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10 October 2024
Generic Pharmaceutical Company Pays $25 Million to Resolve False Claims Act Liability for Price-Fixing of Generic DrugsRead the Press Release
PHILADELPHIA – U.S. Attorney Jacqueline C. Romero announced that Teva Pharmaceuticals USA, Inc., a generic pharmaceutical manufacturer located in Parsippany, New Jersey, has agreed to pay $25 million to resolve its alleged liability under the False Claims Act for conspiring to fix prices and allocate markets for two generic drugs. This settlement is one part of an overall resolution, for a total payment of $450 million, based on Teva’s ability to pay, of allegations of this and another kickback arrangement.
The government alleged that, between May 1, 2013 and December 31, 2015, Teva paid and received compensation prohibited by the Anti-Kickback Statute through arrangements on price, supply, and allocation of customers with other pharmaceutical manufacturers for two generic drugs manufactured by Teva, pravastatin and tobramycin. Pravastatin is widely used to treat high cholesterol and triglyceride levels, and tobramycin is an antibiotic.
“Kickback arrangements by pharmaceutical companies escalate the costs for critical drugs used by our citizens and federal health care programs,” said U.S. Attorney Romero. “My office is proud to work with the rest of the Department of Justice and our investigative partners to enforce federal laws prohibiting kickback arrangements. We will continue to take action to lower the drug costs for our country and its health care programs supporting senior citizens, our military service members, and others.”
“Kickbacks designed to induce referrals or purchases of healthcare goods or services distort physician and patient decision-making, thwart competition, and bypass controls put in place to protect federal health care programs,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Department of Justice’s Civil Division. “The Department is committed to pursuing all those who engage in kickback violations, including drug manufacturers, to ensure that these federal health care programs continue to serve the interests of taxpayers and program beneficiaries.”
“Conspiring to raise prices on generic medications is illegal and could prevent patients from being able to afford their needed prescription drugs. Americans have the right to purchase generic drugs set by fair and open competition, not collusion,” said Maureen R. Dixon, Special Agent in Charge of the Philadelphia Regional Office of the Inspector General, Department of Health and Human Services (HHS-OIG). “HHS-OIG will continue to work with our law enforcement partners to investigate allegations of health care fraud that put the public and the Medicare program at risk.”
“The Defense Criminal Investigative Service (DCIS), the law enforcement arm of the Department of Defense Office of Inspector General, seeks to protect the integrity of TRICARE, the healthcare system for U.S. military members and their dependents,” said Special Agent in Charge Patrick J. Hegarty, DCIS Northeast Field Office. “When pharmaceutical corporations artificially inflate prices, they place an unnecessary financial burden on the TRICARE program. The settlement agreement announced today demonstrates our commitment to partner with investigative agencies and the Department of Justice, including the Civil Division and the U.S. Attorney’s Office for the Eastern District of Pennsylvania, to combat healthcare fraud.”
The Anti-Kickback Statute prohibits companies from receiving or making payments in return for arranging the sale or purchase of items such as drugs for which payment may be made by a federal health care program. These provisions are designed to ensure that the supply and price of health care items are not compromised by improper financial incentives. This settlement reflects the important role of the False Claims Act to ensure that the United States is fully compensated when it is the victim of kickbacks paid to further anticompetitive conduct.
Teva previously entered into a deferred prosecution agreement with the Department’s Antitrust Division to resolve related criminal charges. Teva agreed to pay a criminal penalty of $225 million based on its ability to pay and admitted to agreeing with competitors to refrain from submitting bids and offers to sell drugs to certain customers. The civil settlement payment announced today is in addition to the criminal penalty paid by the company.
This civil settlement is the seventh resolution arising from the Department’s investigation of price fixing by generic drug manufacturers and was handled by the U.S. Attorney’s Office for the Eastern District of Pennsylvania and the Commercial Litigation Branch (Fraud Section) of the Department of Justice’s Civil Division, with support from HHS-OIG, the Defense Health Agency Program Integrity Office, DCIS, and the Office of Inspector General for the Department of Veterans Affairs.
The investigation and resolution of this matter illustrate the government’s emphasis on combating healthcare 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 the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The matter was handled by Assistant U.S. Attorneys Landon Y. Jones III, Rebecca S. Melley, and Anthony D. Scicchitano of the U.S. Attorney’s Office, along with Senior Trial Counsel Jennifer L. Cihon and Senior Litigation Counsel Laurie A. Oberembt of the Civil Division.
Except for those facts admitted to by Teva in the deferred prosecution agreement, the claims resolved by the civil settlement are allegations only, and there has been no determination of liability.
Former Tacoma, Washington, attorney indicted for embezzling more than half million from client’s trust accountRead the Press Release
Seattle – A former Tacoma lawyer is indicted for twelve counts of wire fraud for his embezzlement from a vulnerable client’s trust account, announced U.S. Attorney Tessa M. Gorman. Colby Parks, 65, allegedly stole more than $570,000 from a client who had been awarded about$1.66 million due to significant permanent injuries she suffered in a motorcycle accident. Parks will make his initial appearance at 2:00 today.
According to the indictment, in 2010 Parks became the trustee for a living trust designed to pay the victim’s expenses after she was severely injured as a passenger on a motorcycle. Initially, the victim’s trust account contained approximately $1.66 million. However, over the first seven years that Parks was the trustee, he siphoned the funds in such large amounts that only $20,000 was left. In 2018, Parks had the victim take out a reverse mortgage on her home and twice used the proceeds to fund the trust account. He continued to make transfers from the account for his own use. Records from the account show that Parks repeatedly transferred funds to his own bank accounts and then, on the same day or soon thereafter, Parks would make a payment for a personal credit card for the same amount as the transfer.
By the end of 2019, the victim’s accounts held only $15. She was forced to sell her home. And even then, Parks diverted proceeds from the sale by claiming the victim owed him money he had advanced to her.
According to the indictment, Parks repeatedly told the defendant she was spending too much money, when in fact, the amount that the victim received as cash disbursements was a fraction of the amount that Parks secretly siphoned for himself.
According to the indictment, when Washington State’s Adult Protective Services investigated Parks’ representation of the victim, Parks initially claimed he was only paid a flat rate of $24,000 per year. After Adult Protective Services requested supporting documentation, Parks revised his statement and said he was paid varying amounts that averaged over $54,000 per year. However, the indictment alleges that Parks, in fact, collected well over $80,000 per year from the victim.
The Washington State Bar also investigated the matter, and Parks resigned his law license instead of discipline, which could have been disbarment.
Wire fraud is punishable by up to 20 years in prison.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI. The case is being prosecuted by Assistant United States Attorney Cindy Chang.
Former Pharmaceutical Executive Sentenced for Falsifying Financial DocumentationRead the Press Release
DETROIT - A Northville man was sentenced Tuesday to one year and one day in prison, followed by two years of supervised release, for providing a financial institution with false documentation in connection with a bank loan, announced United States Attorney Dawn N. Ison.
Ison was joined in the announcement by Special Agent in Charge Cheyvoryea Gibson, Federal Bureau of Investigation, Detroit Field Division
Theodore Toloff, 65, entered his guilty plea in January before United States District Judge David M. Lawson.
According to court records, Toloff served as the Chief Financial Officer of the Frank W. Kerr Company (“Kerr”), a now-defunct pharmaceutical wholesaler that was based in Novi, Michigan. Kerr had a revolving credit agreement with two large financial institutions under which the company borrowed funds up to $60 million pursuant to a calculation dependent on the company’s eligible accounts receivable and inventory. Toloff admitted that he submitted false documentation to the financial institutions that included $18 million in ineligible accounts receivable and that Kerr borrowed additional funds after this false documentation was submitted. The Court found that Toloff’s criminal conduct caused Kerr’s lenders to sustain a loss of $1.3 million, which Toloff was also ordered to pay back to the lenders as restitution.
“Corporate executives should be held to the same standard of honesty as anyone else when they interact with lending institutions,” stated United States Attorney Dawn N. Ison. “When individuals lie to lenders, those lies cause loans to become more difficult and more expensive for honest consumers and businesses to access. My office is committed to ensuring that those who engage in dishonest financial crimes are held accountable.”
"The defendant admitted to providing false documents to a financial institution, undermining the laws and integrity of our financial systems, said Special Agent in Charge Cheyvoryea Gibson of the FBI in Michigan. "The FBI works tirelessly with our law enforcement partners and regulatory agencies to investigate those who commit financial crimes. If you believe you have information related to financial crimes, I urge the public to submit tips on alleged crimes such as those detailed in this case to 1-800-CALLFBI (1-800-225-5324) or online at tips.fbi.gov."
The case was prosecuted by Assistant U.S. Attorney Andrew J. Yahkind. The investigation was conducted by the Federal Bureau of investigation.
Former Health Care Manager Sentenced to Prison for Embezzlement SchemeRead the Press Release
MACON, Ga. – The former office manager of a Middle Georgia chiropractic office was sentenced to serve more than five years in prison after a federal jury found her guilty of committing bank fraud and other federal crimes in an embezzlement scheme that cost an established spinal center more than $200,000 in losses and resulted in its closure.
Emiliya Radford, 33, of Warner Robins, Georgia, was sentenced to serve 66 months in prison to be followed by three years of supervised release by U.S. District Judge Marc Treadwell on Oct. 9. In addition, Radford will pay $298,042.72 in restitution to Dr. James C. Smith on behalf of Smith Spinal Care Center. Radford was found guilty of one count each of bank fraud, wire fraud and federal program theft following approximately one hour of deliberations by a federal jury on June 27. There is no parole in the federal system.
“Financial crime can be life-changing for its victims; here, it forced a business’s closure and burdened innocent people with debt and other troubles,” said U.S. Attorney Peter D. Leary. “FBI and our other federal, state and local law enforcement partners will work to protect small businesses from financial crimes and hold fraudsters accountable.”
“Radford violated the trust of the company that hired her and elevated her to a position of leadership,” said Robert Gibbs, Supervisory Senior Resident Agent of FBI Atlanta's Macon office. “Because of her selfishness and greed, she has not only thrown away her career, but crippled a business and took away jobs from numerous victims. She will now serve a well-deserved prison sentence.”
According to court documents and evidence submitted at trial, Radford’s company, Cyber Pinecone, was hired in Sept. 2019 under a one-year contract to perform marketing work for Smith Spinal Care Center (SSCC) in Warner Robins. In May 2020, Radford was hired as Office Manager at the business, and her new salary included marketing work. Radford was given signatory authority over the SSCC bank account and was responsible for issuing and signing all biweekly payroll checks, including her own.
Radford collected her salary as office manager and, without authorization of SSCC, continued to write and endorse checks to her business, Cyber Pinecone, for extensive marketing work totaling more than $200,000. In addition, she gave herself an unauthorized pay raise and used money from the SSCC bank account to purchase $11,015.67 worth of items from the Apple store that she shipped to her residence. When Radford quit on Dec. 19, 2022, none of the Apple items could be located at SSCC, but some were found inside her home when federal agents executed a search warrant on May 4, 2023. A portion of the embezzled funds came from COVID-19 Federal Economic Disaster Loans (EIDL) directed to aid the business.
The case was investigated by FBI.
Assistant U.S. Attorney Elizabeth Howard prosecuted the case for the Government.
Former Certified Public Accountant Pleads Guilty to Tax EvasionRead the Press Release
DETROIT – A Walled Lake resident and former Certified Public Accountant pleaded guilty today to evading approximately $318,000 in federal income taxes, United States Attorney Dawn N. Ison announced.
Ison was joined in the announcement by Special Agent in Charge Charles Miller of the Internal Revenue Service-Criminal Investigations Detroit Field Office.
Paul Kozowicz, 75, pleaded guilty to one count of tax evasion. Kozowicz’s guilty plea arose out a scheme that, according to court papers, resulted in his intentional failure to report over 1.1 million dollars in taxable income to the Internal Revenue Service over a nine-year period.
According to the plea agreement, between approximately 2002 and 2011, Kozowicz worked as a full-time salaried employee providing accounting and financial services for a law firm in Birmingham, Michigan. In 2011, that firm reorganized, and Kozowicz became a part-time employee of the firm, making approximately 20% of his previous salary. To replace his lost income, Kozowicz became an independent contractor and provided accounting and consulting services to several other businesses.
Kozowicz formed a corporation called “FACS, Inc.,” which purported to be the entity that provided these accounting and consulting services. Kozowicz opened a bank account in the name of FACS, and Kozowicz’s customers deposited their payments for Kozowicz’s services into that account. However, Kozowicz did not declare any of the income he earned using the name FACS on any individual or corporate tax return between 2011 and 2019. Moreover, Kozowicz did not maintain any corporate books or records for FACS, nor did he observe or respect any other corporate formalities such as the State of Michigan’s annual corporate filing requirements.
In addition, according to the plea agreement, Kozowicz treated the monies deposited in the FACS account as his own, and used those monies freely for personal expenses and needs. Yet on his personal federal income tax returns the only income Kozowicz declared was his reduced law-firm salary and certain taxable social security receipts. FACS never filed a corporate tax return. Kozowicz further admitted that between 2011 and 2019, he earned approximately $1.15 million in unreported income through FACS and evaded payment of approximately $318,243 in tax due and owing on that income.
“Paul Kozowicz chose to enrich himself at the expense of the public by willfully concealing over a million dollars in taxable income from the IRS. As a financial professional, Kozowicz knew better. My office takes seriously anyone who evades their obligation to pay taxes, and today’s conviction reflects our commitment to identify and prosecute such offenders,” stated U.S. Attorney Ison.
“The license to run a business is not a license to avoid paying taxes,” said IRS Criminal Investigation, Detroit Field Office, Special Agent in Charge Charles Miller. “Paul Kozowicz's blatant fraud, hiding income, and having his shell business pay his purely personal expenses, cheated all Americans, since we all pay our fair share for the government services and protections that we enjoy. CI remains dedicated to holding those accountable that refuse to play by the rules.”
Sentencing is set for January 21, 2025 before United States District Judge Stephen J. Murphy III. Kozowicz faces a maximum sentence of five years imprisonment. He will be obligated to pay restitution of $318,243 to the IRS after sentencing.
The case is being prosecuted by Assistant United States Attorney John K. Neal. The investigation is being conducted by the Internal Revenue Service-Criminal Investigations Office.
Former Arkansas Sheriff’s Deputies Sentenced for Federal Civil Rights Violations for Violently Assaulting Subdued ManRead the Press Release
Two former Crawford County, Arkansas, sheriff’s deputies were sentenced for using unlawful force on a man they arrested. Levi White, 34, was sentenced yesterday to 63 months in prison, and Zackary King, 28, was sentenced today to 12 months in prison.
Each defendant pleaded guilty to one count of deprivation of rights under color of law for a retaliatory assault on R.W., a 26-year-old man. On Aug. 21, 2022, White, King and a third officer approached R.W. in a gas station parking lot during their investigation into a person threatening a store attendant. R.W. lunged at White and tackled him, then all three officers quickly subdued R.W. and pinned him to the ground. After R.W. was pinned to the ground and no longer fighting the officers, White punched R.W. at least nine times in the head, then lifted R.W.’s head and slammed it into the pavement. King kicked R.W. in the back and struck R.W. once in the midsection with his fist. Following the announcement of a federal investigation into the assault, White obstructed the investigation by wiping all data from his county-issued cell phone and selectively deleting text messages about the incident from his personal phone. White asked King if King was also going to wipe his cell phone, but King declined to do so.
“Punching a man in the head, slamming their head repeatedly on the concrete pavement, kicking them in the back and striking them in the midsection — this kind of gratuitous and unjustified violence at the hands of law enforcement runs contrary to the oath that officers take in our country to protect and serve,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The defendants swore an oath to uphold the law, then violated that oath and abused their power as law enforcement officers by assaulting a person in their custody. At the time of the assaults, three officers had already subdued the victim, and further force was unnecessary and unlawful. White added fuel to the fire by taking steps to obstruct the investigation into the violent assault. The Justice Department will continue to vigorously prosecute officers who abuse their authority and violate the rights of people in their custody.”
“Levi White and Zackary King’s sentencings prove that no law enforcement officer is above the law,” said Special Agent in Charge Alicia D. Corder of the FBI Little Rock Field Office. “FBI Little Rock, alongside our trusted partners at Arkansas State Police, will continue to investigate potential abuses of power and civil rights violations throughout our state. We encourage anyone who has information about abusive or corrupt law enforcement to contact the FBI’s ArkTrust Task Force immediately.”
The FBI Little Rock Field Office and Arkansas State Police investigated the case.
Assistant U.S. Attorneys Dustin Roberts and Devon Still for the Western District of Arkansas and Special Litigation Counsel Michael J. Songer and Trial Attorneys Lia Rettammel and Anna Gotfryd of the Justice Department’s Civil Rights Division prosecuted this case.
Federal jury convicts retired DEA agent of conspiracy to defraud the United States and conspiracy to distribute controlled substancesRead the Press Release
BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that a federal jury has convicted retired Drug Enforcement Administration Special Agent Joseph Bongiovanni, 60, of Tonawanda, NY, of one count of conspiracy to defraud the United States, one count of conspiracy to distribute a controlled substance, four counts of obstruction of justice, and one count of false statement to law enforcement. The charges carry a maximum penalty of 20 year in prison and a $250,000 fine.
“The prosecution of law enforcement officers and public officials are the most difficult cases that are undertaken by prosecutors,” stated U.S. Attorney Ross. “However, these verdicts show that no one is above the law, not even a federal agent.”
FBI Special Agent-in-Charge Matthew Miraglia stated, “Federal agents hold a significant amount of authority and trust to keep American people safe. Therefore, when the FBI learns of allegations including bribery, obstruction of justice, and lying to investigators, a rigorous investigation unfolds. Our investigation, re-enforced by the jury’s verdict, found that former DEA agent Joseph Bongiovanni chose greed over integrity. The FBI continues to execute our duties to the highest level of ethical and moral values. We remain steadfast in aggressively investigating and bringing those who misuse their authority to justice.”
“I want to commend the HSI special agents, our law enforcement partners, and the U.S. Attorney’s Office, for the tremendous work and countless hours expended to achieve a successful outcome in this case,” said Erin Keegan, HSI Buffalo Special-Agent-in Charge. “While Bongiovanni’s actions undermined and compromised law enforcement efforts throughout the area, his actions are not, in any way, a reflection of the thousands of DEA agents or law enforcement officers who serve this nation and community with honor and integrity.”
Assistant U.S. Attorneys Joseph M. Tripi, Nicholas T Cooper, and Casey L. Chalbeck, who are handling the case, stated that between 1998 and February 1, 2019, Bongiovanni served as a Special Agent with the Drug Enforcement Administration. From 2001 until his retirement, he was assigned to the Buffalo Resident Office. Bongiovanni used his position as a DEA special agent to defraud the DEA, an agency that is a part of the Department of Justice and the Executive Branch of the United States government, by violating his oath to the United States Constitution and duty to enforce the drug laws of the United States. As a part of his agreement to defraud the United States in violation of his oath and duty, and as part of his agreement to accept bribes, Bongiovanni protected his friends, associates, and individuals he believed were members or associates of Italian Organized Crime in Buffalo, from investigation, arrest, and prosecution. In particular, Bongiovanni provided Michael Masecchia, a former Buffalo School teacher with connections to Italian Organized Crime, and others involved in the distribution of substantial quantities of marijuana, cocaine, and fentanyl pills, by providing law enforcement sensitive information about the existence of investigations, the identities of informants, and about sensitive law enforcement techniques and tactics. As part of his protection and in furtherance of his conspiracy to defraud the DEA, Bongiovanni opened a case file within the DEA, which he then used to obtain to ensure that other state and local law enforcement agencies, and federal agents, would defer the investigation of the individuals that the defendant was protecting to the defendant. Bongiovanni also used the DEA case file to enter information pertaining to drug traffickers he was protecting into deconfliction databases in order to alert himself if any other members of law enforcement were investigating coconspirators Bongiovanni was protecting.
Relatedly, Bongiovanni was convicted of obstruction of justice and making materially false statements to an agent of the United States for preparing false and fraudulent official DEA memoranda, and making false statements to agents investigating Bongiovanni, to conceal his relationship with Peter Gerace Jr., an individual who was under investigation by the DEA, and others for drug trafficking and related offenses.
Michael Masecchia was previously convicted and sentenced to serve seven years in prison. Peter Gerace Jr. is awaiting trial. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The verdict is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia; and the Department of Justice Office of the Inspector General, under the direction of Special Agent-in-Charge Ryan T. Geach, Northeast Region. The Drug Enforcement Administration, under the direction of Special Agent-in-Charge Frank A. Tarantino, III, New York Field Division, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Bryan Miller, New York Field Division, the Erie County Sheriff’s Office, under the direction of Sheriff John Garcia, and the Niagara County Sheriff’s Office, under the direction of Sheriff Michael Filicetti also assisted in the investigation.
Sentencing is scheduled for June 9, 2025, before Judge Lawrence J. Vilardo who presided over the trial of the case.
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El Departamento de Justicia obtiene más de $6.5 millones de la cooperativa de crédito Citadel Federal Credit Union para abordar la exclusión financiera de las comunidades negras e hispanasRead the Press Release
El Departamento de Justicia anunció hoy que Citadel Federal Credit Union (Citadel) ha acordado pagar más de $6.5 millones para resolver las acusaciones de haber incurrido en un patrón o una práctica de discriminación crediticia al practicar la exclusión financiera en barrios de mayoría negra e hispana en Philadelphia y sus alrededores. Este acuerdo histórico es el primer acuerdo sobre la exclusión financiera que el Departamento de Justicia ha conseguido con una cooperativa de crédito, lo que lo convierte en un logro histórico para la Iniciativa para Combatir la Exclusión Financiera.
La exclusión financiera es una práctica ilícita en la que los prestamistas evitan la provisión de servicios crediticios a individuos que viven en comunidades de color por motivos de la raza, el color o el origen nacional de los residentes de esas comunidades.
“Este acuerdo sobre la exclusión financiera marca la primera resolución del Departamento de Justicia que involucra una cooperativa de crédito, lo que deja claro nuestra intención de hacer responsables a todos los tipos de prestamistas por su papel en la exclusión financiera moderna,” comentó Kristen Clarke, la Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia. “Hay más de 4,600 cooperativas de crédito en los Estados Unidos, cada una de las cuales está sujeta a leyes federales que prohíben la discriminación crediticia y la exclusión financiera. La exclusión financiera y otras formas de discriminación crediticia causan daño a las comunidades de color y a las familias al negarles la igualdad de oportunidades para acceder al crédito, lograr el sueño de ser propietarios de una casa y generar riqueza generacional. Este acuerdo ampliará la inversión en comunidades negras e hispanas, especialmente en Philadelphia, y mejorará las oportunidades de ser propietario de una casa y de alcanzar la estabilidad financiera. Los residentes de comunidades perjudicadas por la exclusión financiera ilegal finalmente podrán acceder a los servicios crediticios de Citadel en sus propios barrios, incluso en las nuevas sucursales requeridas por el acuerdo.”
“Durante generaciones, las comunidades de color de Philadelphia han carecido de acceso igualitario al crédito necesario para ser propietarios de casa. Sabemos que la exclusión financiera tiene un impacto devastador en las finanzas y el futuro de una familia, y resulta en desigualdades económicas y de otro tipo que atormentan a nuestras comunidades durante décadas,” afirmó Jacqueline C. Romero, la Fiscal Federal para el Distrito Este de Pennsylvania. “También somos conscientes del cambio transformador que puede ocurrir cuando el crédito se pone a disposición de los residentes desfavorecidos, y particularmente cuando los prestamistas, como Citadel, establecen sucursales en estos barrios.”
La demanda del Departamento de Justicia, que se presentó hoy en el Distrito Este de Pennsylvania, alega que, desde al menos el 2017 hasta el 2021, Citadel no proporcionó servicios de préstamos hipotecarios a barrios de mayoría negra e hispana en Philadelphia y sus alrededores, y desalentó a las personas que buscaban crédito en esas comunidades de obtener préstamos hipotecarios. Los préstamos hipotecarios de Citadel se centraron desproporcionadamente en áreas blancas de la zona metropolitana de Philadelphia. Otros prestamistas generaron solicitudes de hipoteca en barrios de mayoría negra e hispana a casi el triple de la tasa de Citadel y originaron préstamos hipotecarios en estas áreas a más del triple de la tasa de Citadel.
Más aún, la demanda alega que las sucursales de Citadel se encuentran casi exclusivamente en barrios de mayoría blanca, sin sucursales en la Ciudad de Philadelphia, que contiene más del 75% de los barrios de mayoría negra e hispana y el 34% de la población total en el área de mercado de Citadel.
En virtud de la orden de consentimiento propuesta, que queda sujeta a la aprobación del tribunal, Citadel ha acordado invertir $6.52 millones para aumentar las oportunidades crediticias para las comunidades de color en Philadelphia. En concreto, Citadel:
- Invertirá al menos $6 millones en un fondo de subsidios para préstamos para aumentar el acceso a préstamos hipotecarios, mejoras en la vivienda y préstamos de refinanciamiento residencial para residentes de barrios de mayoría negra e hispana en Philadelphia y sus alrededores;
- Gastará al menos $250,000 en el desarrollo de asociaciones comunitarias para la prestación de servicios relacionados con el crédito, la educación financiera del consumidor, la adquisición de viviendas y la prevención de ejecuciones hipotecarias para residentes de barrios de mayoría negra e hispana en el área de mercado de Citadel;
- Gastará al menos $270,000 en publicidad, proyección comunitaria, educación financiera al consumidor y asesoramiento de crédito centrado en barrios de mayoría negra e hispana en Philadelphia;
- Abrirá tres sucursales nuevas en barrios de mayoría negra e hispana en Philadelphia; y
- Contratará a un director de préstamos comunitarios que supervisará el desarrollo continuo de préstamos en comunidades de color.
Asimismo, Citadel ha acordado contratar a consultores independientes para mejorar su programa de préstamos justos y satisfacer mejor las necesidades de crédito hipotecario de las comunidades. La cooperativa de crédito llevará a cabo una evaluación de las necesidades crediticias comunitarias, evaluará sus sistemas de gestión de cumplimiento con las leyes de préstamos justos y llevará a cabo capacitaciones del personal.
Con activos de aproximadamente $6 mil millones, Citadel tiene su sede en Pennsylvania y opera 24 sucursales en su área de mercado por la zona metropolitana de Philadelphia, que incluye los condados de Bucks, Chester, Delaware, Lancaster, Montgomery y Philadelphia. Citadel es la segunda cooperativa de crédito más grande de la región y cuenta con más de 263,000 miembros. Citadel cooperó con la investigación del Departamento de Justicia.
En octubre del 2021, el Fiscal General Garland y la Fiscal General Auxiliar Clarke lanzaron la Iniciativa contra la Exclusión Financiera del Departamento de Justicia, un esfuerzo coordinado de aplicación de la ley para abordar esta forma persistente de discriminación contra las comunidades de color. Desde el año 2021, el Departamento ha anunciado 14 casos de exclusión financiera y ha obtenido más de $144 millones por concepto de compensación para comunidades de color que han sido víctimas de discriminación crediticia por todo el país. En marzo, la Fiscal General Auxiliar Clarke presentó comentarios en la Conferencia de Asuntos Gubernamentales de las Cooperativas de Crédito de los Estados Unidos sobre los problemas únicos planteados por la exclusión financiera en la industria de las cooperativas de crédito.
Puede encontrar una copia de la demanda e información sobre la aplicación de las leyes de préstamos justos del Departamento de Justicia en www.justice.gov/fairhousing. Para informarnos de incidentes de discriminación en el ámbito crediticio, llame a la línea informativa del Departamento de Justicia para discriminación en la vivienda al 1-833-591-0291 o entregue un informe en línea.
Dutch National Pleads Guilty to Money LaunderingRead the Press Release
ALBANY, NEW YORK – Xiomara Christian, age 37, of Amsterdam, The Netherlands, pled guilty today to conspiracy to commit money laundering.
United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.
Christian admitted that from May 2017 to November 2018, she and a co-conspirator laundered drug proceeds from Europe and Australia through bank accounts in the Northern District of New York, intending to conceal the true source of the proceeds, and to make it appear as though the money was legally obtained through legitimate business transactions.
On October 4, 2018, Christian delivered €101,950 ($114,816.09 USD) in drug proceeds to an undercover agent with the National Police of The Netherlands in The Netherlands. On October 5, 2018, an undercover agent with the Australian Criminal Intelligence Commission picked up $85,000 AUD ($57,843 USD) in drug proceeds from another co-conspirator in Melbourne, Australia. Christian then had the money wired through a bank account in Latham, New York, and sent to bank accounts in Panama.
At sentencing, scheduled for February 19, 2025, Christian faces up to 20 years in prison and a fine of up to $500,000. A defendant’s sentence is imposed by a judge based on the particular statutes the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The DEA investigated this case. Assistant United States Attorney Douglas Collyer is prosecuting the case.
Drug Maker Teva Pharmaceuticals Agrees to Pay $450M in False Claims Act Settlement to Resolve Kickback Allegations Relating to Copayments and Price FixingRead the Press Release
Teva Pharmaceuticals USA Inc. (Teva USA) and Teva Neuroscience Inc. (collectively, Teva) have agreed to pay $450 million to resolve two matters that allege Teva violated the Anti-Kickback Statute (AKS) and the False Claims Act (FCA). Teva, headquartered in Parsippany, New Jersey, is the largest generic drug manufacturer in the United States. The settlement amount was based on Teva’s ability to pay.
“Kickbacks designed to induce referrals or purchases of healthcare goods or services distort physician and patient decision-making, thwart competition and bypass controls put in place to protect federal health care programs,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department is committed to pursuing those who engage in kickback violations, including drug manufacturers, to ensure that federal health care programs continue to serve the interests of taxpayers and program beneficiaries.”
The settlement encompasses two alleged kickback schemes. First, Teva has agreed to resolve allegations in a complaint the United States filed in the District of Massachusetts in August 2020 that Teva violated and conspired to violate the AKS and FCA by paying Medicare patients’ cost sharing obligations (copays) for the multiple sclerosis drug Copaxone from 2006 through 2017, while steadily raising Copaxone’s price. In particular, the United States alleged that Teva coordinated and conspired with multiple third parties, including a specialty pharmacy and two allegedly independent copay assistance foundations, to ensure that purported donations to the foundations were used specifically to cover the copays of Medicare Copaxone patients, which Teva knew was prohibited by the AKS, and that Teva thereby caused the submission of false claims to Medicare.
Second, Teva USA has agreed to resolve separate allegations that it conspired with other generic drug manufacturers to fix prices for pravastatin, a drug widely used to treat high cholesterol and triglyceride levels, as well as two other generic drugs, clotrimazole and tobramycin. Teva USA previously entered into a deferred prosecution agreement with the Justice Department’s Antitrust Division to resolve related criminal charges. Teva USA paid a criminal penalty of $225 million and admitted to conspiring with three other generic drug companies to fix prices on certain generic drugs. Under the civil settlement announced today, Teva agreed to resolve allegations that the benefits it received under its price fixing scheme constituted illegal kickbacks.
Teva will pay collectively $450 million to resolve the two kickback schemes. This payment is in addition to the criminal penalty paid by Teva USA under its deferred prosecution agreement.
“Kickback arrangements by pharmaceutical companies escalate the costs for critical drugs used by our citizens and federal health care programs,” said U.S. Attorney Jacqueline Romero for the Eastern District of Pennsylvania. “My office is proud to work with the rest of the Department of Justice and our investigative partners to enforce federal laws prohibiting kickback arrangements. We will continue to take action to lower the drug costs for our country and its health care programs supporting senior citizens, our military service members and others.”
“For far too long, Teva gamed the charitable foundation process by paying kickbacks through two foundations, and with the aid of a specialty pharmacy. Those kickbacks undermined the purpose of the Medicare co-pay system and violated the Anti-Kickback Statute,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “This office has taken the leading role in cracking down on these highly lucrative schemes that drive up the cost of essential drugs by bringing multiple enforcement actions that have returned more than $1 billion to the Medicare system. We will continue to pursue these actions to ensure that all pharmaceutical companies play by the rules and to protect the American taxpayers.
“The Medicare program’s copay structure serves as a safeguard against the artificial inflation of drug prices. When a pharmaceutical company manipulates drug prices through collusion, or disguises kickbacks as charitable donations to subsidize copays for its own drugs, the integrity of the Medicare program is jeopardized,” said Assistant Inspector General for Investigations Adam Globerman of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “This type of conduct is unacceptable, and HHS-OIG remains committed to thoroughly pursuing allegations of price fixing and kickbacks that put the Medicare program at risk.”
“The Defense Criminal Investigative Service, the law enforcement arm of the Department of Defense Office of Inspector General, seeks to protect the integrity of TRICARE, the healthcare system for U.S. military members and their dependents,” said Special Agent in Charge Patrick J. Hegarty of DCIS Northeast Field Office. “When pharmaceutical corporations artificially inflate prices, they place an unnecessary financial burden on the TRICARE program. The settlement agreement announced today demonstrates our commitment to partner with investigative agencies and the Department of Justice, including the Civil Division and the U.S. Attorney’s Office for the Eastern District of Pennsylvania, to combat healthcare fraud.”
Since 2017, the United States has collected over $1 billion, in addition to today’s settlement, from pharmaceutical companies that allegedly used third-party foundations as conduits to unlawfully pay patient copays. The department has also reached settlements with four foundations and a specialty pharmacy pertaining to those allegations. Today’s resolution with Teva is the largest of these settlements to date. The settlement of Teva’s price fixing conduct is the seventh pertaining to allegations of price fixing involving generic drugs, with total recoveries exceeding $500 million.
The government’s pursuit of these matters illustrates the department’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).
The resolution of the patient copay matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, and U.S. Attorney’s Office for the District of Massachusetts, with investigative support from HHS-OIG and the FBI.
Attorneys Douglas Rosenthal and Nelson Wagner of the Civil Division’s Fraud Section and Assistant U.S. Attorneys Abraham R. George, Diane Seol and Evan Panich for the District of Massachusetts handled the matter.
The civil resolution of the price fixing matter was the result of a coordinated effort between the Fraud Section and the U.S. Attorney’s Office for the Eastern District of Pennsylvania, with investigative support from HHS-OIG, the Defense Health Agency Program Integrity Office, DCIS and Office of Inspector General for the Department of Veterans Affairs.
Senior Trial Counsel Jennifer L. Cihon and Senior Litigation Counsel Laurie A. Oberembt of the Civil Division and Assistant U.S. Attorneys Landon Y. Jones III, Rebecca S. Melley and Anthony D. Scicchitano for the Eastern District of Pennsylvania handled the matter. Fraud Section financial analyst Sheryl Paynter provided support for both matters.
The civil action in Massachusetts is captioned United States v. Teva Pharmaceuticals USA, Inc. et al., No. 20-cv-11548 (DMA).
DMA Settlement
EDPA Settlement
Court Prohibits Two Texas Physicians from Prescribing Opioids and Imposes $1.2M in Civil Penalties for Alleged Unlawful Opioid DistributionRead the Press Release
A federal court has prohibited two Dallas-area physicians from prescribing opioids and other controlled substances and imposed a total of $1.2 million in judgments against them in a case alleging the physicians violated the Controlled Substances Act (CSA), the Justice Department announced today.
In a civil complaint filed in 2019 in the Northern District of Texas, the United States alleged that Cesar B. Pena Rodriguez M.D. and Leovares A. Mendez M.D. violated the CSA by issuing prescriptions for opioids and other powerful drugs outside the usual course of professional practice and not for a legitimate medical purpose. The complaint alleged that the defendants issued thousands of prescriptions without apparent regard for patient harm, including prescriptions for a combination of an opioid, a short-acting benzodiazepine, and a muscle relaxer — a dangerous and frequently-abused drug cocktail known as the “trinity.” In an order filed Oct. 8, the court imposed a $291,451 civil penalty judgment against Mendez in addition to a $914,021 civil penalty judgment against Pena Rodriguez entered earlier this year.
“Prescribing opioids for no legitimate purpose betrays the trust placed in our medical professionals and significantly threatens the communities they serve,” said Principal Deputy Assistant Attorney General Brian Boynton, head of the Justice Department’s Civil Division. “The Justice Department will continue to use every available tool to stop doctors who fail to uphold their obligation to prescribe controlled substances lawfully.”
“Doctors are charged with protecting and healing us when we are sick and vulnerable. Instead of healing vulnerable members of our community, these doctors sought to profit off of their addictions,” said U.S. Attorney Leigha Simonton for the Northern District of Texas. “The U.S. Attorney’s Office’s Civil Division, in conjunction with our partners in the Consumer Protection Branch, sought immediate injunctive relief to prevent these doctors from prescribing to addicts and have now terminated their ability to ever put their patients at risk in this way again.”
“Peña-Rodríguez and Mendez were distributing deadly controlled substances mix known as the ‘trinity’ outside the course of a legitimate medical need, simply to get rich,” said Special Agent in Charge Eduardo A. Chávez of the Drug Enforcement Administration (DEA) Dallas. “Following our successful criminal prosecution, we issued a trinity of ourselves through not just criminal penalties, but now civil and administrative ones as well. Standards for our medical professionals must stay high because patients deserve a doctor they can trust. We will continue to partner with the U.S. Attorney’s Office to seek all avenues of justice and accountability against all medical providers who violate their code of conduct.”
The defendants agreed to consent judgments to settle the allegations in the complaint. The orders entered by the court permanently prohibit Pena Rodriguez and Mendez from ever again prescribing, dispensing, administering or distributing controlled substances. The orders also bar them from holding DEA registrations or working at, supervising or owning a medical practice where controlled substances are present.
In a separate criminal action, Pena Rodriguez previously pleaded guilty to one count of conspiracy to unlawfully distribute controlled substances. Mendez was found guilty at a jury trial of one count of conspiracy to distribute a controlled substances and six counts of unlawful distribution of controlled substances. Mendez was sentenced to seven years in prison. Dr. Pena Rodriquez was sentenced to two years in prison.
The DEA investigated the case.
Assistant U.S. Attorney Sarah Delaney for the Northern District of Texas and Trial Attorney Scott B. Dahlquist of the Civil Division’s Consumer Protection Branch prosecuted the case.
The claims made in the complaint are allegations that the United States would need to prove by a preponderance of the evidence if the case proceeded to trial.
Controller of Family-Owned Businesses Pleads Guilty to Embezzling $3.4 MillionRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that JOHN HICKEY, the former controller and Director of Quality Assurance for a family-owned business in Armonk, New York, pled guilty to one count of wire fraud in connection with his embezzlement of more than $3.4 million from the business.
U.S. Attorney Damian Williams said: “John Hickey embezzled over $3.4 million from a family-owned business, exploiting his position of trust for personal gain. Today’s guilty plea holds Hickey accountable for his illegal conduct and demonstrates our unwavering commitment to pursuing justice for victims of fraud.”
According to the allegations contained in the Information:[1]
HICKEY was a member of the family that owned the group of victim corporations and held minority ownership interest in some of the corporations. The victim corporations manufactured flame retardant fabrics. HICKEY began to work at the victim corporations while he was in college and became the Director of Quality Assurance in or about 2012. HICKEY also served as the controller of some of the victim corporations.
From February 2018 to November 2023, HICKEY embezzled $3,461,292.69 from the victim corporations. He created false invoices that appeared to be from entities with which the vctim corporations did business. He then forged signatures that supposedly approved payment of those invoices and caused the victims' accounting system to print checks payable to him in the amount of the invoices. Once a check was printed, HICKEY changed the payee on the check to match the name on the corresponding false invoice. He used a rubber signature stamp to sign the checks. HICKEY used the proceeds of the above scheme to gamble on sporting events, to attend concerts and sporting events, to improve and repair his home and to go on vacations.
* * *
HICKEY, 34, of Feasterville-Trevose, PA, pleaded guilty to one count of wire fraud, which carries a maximum sentence of twenty years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as the sentence will be determined by the court.
Mr. Williams praised the outstanding investigative work of the Special Agents of the United States Attorney's Office for the Southern District of New York.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorney James McMahon is in charge of the prosecution.
[1]As the introductory phrase signifies, the entirety of the text of the Information, and the description of the Information set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Bronx Man Convicted of Robberies and Firearms OffenseRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced the conviction in Manhattan federal court of JAMES KELLY for robbing two delis in the Bronx, New York, on October 10, 2021 and January 15, 2023, and brandishing a firearm in connection with the 2023 robbery. The jury convicted KELLY today following a four-day trial before U.S. District Judge Gregory H. Woods.
U.S. Attorney Damian Williams said: “James Kelly used a firearm to intimidate and threaten the lives of working New Yorkers, all to steal money from their delis. Today, a unanimous jury of his peers held Kelly accountable for his crimes. We thank our law enforcement partners for their relentless pursuit of justice for the victims and the public."
According to the allegations in the Indictment and the evidence presented during trial and court proceedings:
On October 10, 2021, KELLY entered a deli in the Bronx with his hands in his pocket, purporting to have a gun. He got close to a deli employee working alone in the store, threatened to shoot him, and demanded cash and marijuana. After the deli employee gave KELLY cash, KELLY ordered the deli employee to get down on the ground and said that if the employee moved, he would “shoot the shit” out of the employee. Fifteen months later, on January 15, 2023, KELLY robbed another deli in the Bronx, pointed a gun at two deli employees, again demanded cash and threatened to shoot them, and again ordered them to get on the ground.
* * *
KELLY, 32, of the Bronx, New York, was convicted of two counts of Hobbs Act robbery, each of which carries a maximum sentence of 20 years in prison; and one count of the use, carrying, and possession of a firearm, which was brandished, which carries a mandatory minimum sentence of seven years in prison and a maximum sentence of life in prison.
The statutory minimum and maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge. KELLY is scheduled to be sentenced by Judge Woods on January 14, 2025.
Mr. Williams praised the outstanding investigative work of the New York City Police Department’s Bronx Violent Crimes Squad and the investigators of the Office.
This case is being supervised by the Office’s General Crimes Unit. Assistant U.S. Attorneys Connie L. Dang, Adam Z. Margulies, Georgia V. Kostopoulos, Katherine Cheng, and David R. Felton are in charge of the prosecution, with the assistance of Paralegal Specialist Olivia Sebade.
Boston Man Sentenced to over 10 Years in Prison for Attempting to Purchase Sex with MinorRead the Press Release
BOSTON – A Boston man was sentenced today in federal court in Boston for attempting to pay for sex with a 14-year-old girl.
Dimitri Shawn McKenzie, 29, was sentenced by U.S. Senior District Court Judge William G. Young to 126 months in prison, to be followed by five years of supervised release. In June 2024, McKenzie was convicted following a three-day jury trial of one count of attempted sex trafficking of a child.
“The sad reality is that children are being sold for sex in our communities because of people like Dimitri McKenzie. These men fuel that commercial sex industry and drive demand. We are actively prosecuting the men and women who traffic adults and kids for profit, but in order to make a real dent in this pernicious conduct, we also have to go after demand – that is the people who are trolling the internet purchasing sex with little kids. I hope that every coward behind a keyboard who is thinking about engaging in the rape of the child under the auspices of a commercial transaction thinks twice – you may very well be talking to an undercover federal agent. Don’t do it. If you do, you are looking at a minimum of ten years behind bars,” said Acting United States Attorney Joshua S. Levy.
“It is deeply disturbing to know that people pay to sexually abuse children. McKenzie was ready and willing to pay to sexually assault a child. Thankfully, through our undercover operation, he instead found an HSI special agent and not a real child,” said Special Agent in Charge Michael J. Krol for Homeland Security Investigations in New England. “This sentence reflects the seriousness of his crime and our commitment to protecting children from exploitation and abuse.”
In November 2022, McKenzie responded to an online post purportedly advertising two minor girls – ages 12 and 14 years old – available to perform sex acts in exchange for money in the Boston area. The post was a fictitious advertisement by undercover law enforcement. In subsequent text communications with undercover law enforcement, McKenzie agreed to pay $100 to have sex with the fictitious 14-year-old at a hotel. Upon arriving at the hotel, McKenzie met with undercover law enforcement posing as the purported seller in the hotel parking lot, provided cash in exchange for 20 minutes with the fictitious minor and accepted a hotel room key. McKenzie was immediately taken into custody.
If you or someone you know may be impacted or experiencing commercial sex trafficking, please contact [email protected].
Acting U.S. Attorney Levy and HSI SAC Krol made the announcement today. Valuable assistance was provided by the Lexington, Waltham, Barnstable, Quincy and Cambridge Police Departments as well as the Massachusetts State Police and the Massachusetts Attorney General’s Office. Assistant U.S. Attorney Torey B. Cummings of the Civil Rights & Human Trafficking Unit and Assistant U.S. Attorney David G. Tobin of the Major Crimes Unit prosecuted the case.
Boston Man Charged in Elder Fraud Conspiracy That Defrauded Elderly Victim of over $400,000Read the Press Release
BOSTON – A South Boston man has been arrested and charged in connection with a scheme that defrauded a 75-year-old man from Berkshire County, Mass., of approximately $420,000.
Urvishkumar Vipulkumar Patel, 21, was charged with conspiracy to commit wire fraud. Patel was arrested on Oct. 7, 2024 and subsequently released by the Court on conditions including GPS monitoring and orders that he remain in Massachusetts.
According to the charging documents, in or around June 2024, the victim received a pop-up message on his computer claiming that his computer was frozen. The message contained a phone number, which the victim believed to be associated with Microsoft, and directed the victim to call for assistance. The victim then called the phone number listed in the pop-up and allegedly spoke with an individual before being transferred to another individual who called himself, “Sam Wilson.”
It is alleged that Wilson claimed to be a federal agent with the U.S. Treasury Department and purported to confirm the victim’s name and address. When the victim stated that was not the correct address, Wilson provided additional addresses until the victim identified his correct address. Wilson then allegedly told the victim that the victim’s name and address were listed as being involved in a money laundering scheme and that the “Treasury” showed a number of houses had been purchased in the United States and Russia in the victim’s name. Wilson allegedly told the victim that he was going to help him get out of this trouble and would speak to a judge but that, in the meantime, the victim needed to safeguard his money from being further implicated in the supposed money laundering scheme. Specifically, Wilson allegedly told the victim he should withdraw cash from his bank and send it to the Treasury Department, where it would be kept in a lock box until the victim was cleared of the scheme. Wilson also allegedly cautioned that the bank would not let the victim withdraw all of his money at once – directing the victim to make the withdrawals in smaller amounts and send it to Wilson at the “Treasury” in installments.
On approximately five separate occasions over the course of three months, the victim withdrew and provided approximately $420,000 in cash to several individuals he believed to be associated with “Sam Wilson.” On each occasion, Wilson asked the victim how much he could withdraw from his bank account, directed the victim to place the cash in a taped box with the victim’s own name and address written on it. Wilson also allegedly told the victim a specific date and time at which he would send a courier for the cash. On each occasion, the courier would pull alongside the curb in front of the victim’s house, lower one of the passenger side windows and provide a prearranged “PIN” passcode to the victim. The victim would then place the box of cash into the courier’s vehicle who would then drive away.
The victim’s sister reported this activity to law enforcement on Oct. 1, 2024. According to the charging documents, on Oct. 7, 2024, Patel served as the courier waiting outside of the victim’s home and was approached by an undercover officer posing as the victim. It is alleged that, after receiving the prearranged “PIN” passcode from Patel, the undercover officer placed the box into Patel’s vehicle and Patel quickly drove away. He was immediately apprehended.
At the time of his arrest, Patel was allegedly driving a rental car and was actively engaged in a WhatsApp call on his cell phone. Patel allegedly told law enforcement that he had been collecting packages for weeks at the direction of another individual in exchange for payment. Patel also allegedly told law enforcement that he would deliver each package to a prearranged location before receiving his payment.
The investigation remains ongoing. Members of the public who believe they are victims of a cybercrime – including elder fraud scams, cryptocurrency scams, romance scams, investment scams, and business email compromise fraud scams – should contact [email protected]. To report elder fraud, please visit the FBI’s IC3 Elder Fraud Complaint Center or contact the dedicated National Elder Fraud Hotline at 833–FRAUD–11 or 833–372–8311 Monday - Friday, 10a.m.- 6p.m. EST.
The charge of conspiracy to commit wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Valuable assistance was provided by the North Adams Police Department and the Hampden County Sheriff’s Office. Assistant U.S. Attorney Kaitlin Brown of the Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Bakersfield Man Charged with Offenses Involving the Sexual Exploitation of MinorsRead the Press Release
FRESNO, Calif. — A federal grand jury returned an indictment against Rafael Omero Plata Guerrero, 34, of Bakersfield, today charging him with two counts of sexual exploitation of a minor and one count of receipt of child pornography, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between April 15, 2024, and Aug. 26, 2024, Guerrero produced visual depictions of two minors engaged in sexually explicit conduct. Using the internet and a laptop, Guerrero also received child pornography between June 1, 2024, and Aug. 27, 2024.
This case is the product of an investigation by Homeland Security Investigations, the U.S. Secret Service, and the Central California Internet Crimes Against Children Task Force. Assistant U.S. Attorney Brittany M. Gunter is prosecuting the case.
If convicted, Guerrero faces a maximum statutory penalty of up to 30 years in prison, with a mandatory minimum of 15 years in prison, and up to a $250,000 fine for each count of sexual exploitation of a minor. If convicted of receipt of child pornography, Guerrero faces a maximum statutory penalty of up to 20 years in prison, with a mandatory minimum of five years in prison, and up to a $250,000 fine. 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.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
23 Members of a Violent Gang in Aguadilla, Puerto Rico, Charged with Drug Trafficking and Firearms OffensesRead the Press Release
SAN JUAN, Puerto Rico – On September 28, 2024, a federal grand jury in the District of Puerto Rico returned an indictment charging 23 violent gang members from the municipality of Aguadilla with conspiracy to possess with intent to distribute, possession and distribution of controlled substances, and firearms violations, announced W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. The Federal Bureau of Investigation and the Puerto Rico Police Bureau (PRPB) Aguadilla Strike Force were in charge of the investigation of the case. Homeland Security Investigations (HSI) Special Response Team (SRT) and Guaynabo Municipal Police SRT collaborated during the arrests.
“Criminal organizations like the one we dismantled today harm the community with drug trafficking and acts of violence,” said U.S. Attorney Muldrow. “Federal and state authorities will continue to focus our resources to remove violent gang members from the community so law abiding citizens can live in peace.”
“Our successful operation and the indictment of over 20 individuals in this case stand as a resolute testament to the unwavering commitment of our office to combat drug trafficking organizations across our entire area of responsibility,” said Joseph González, Special Agent in Charge of the FBI’s San Juan Field Office. “We know our work is not completed when it comes to the fight against violent gangs and the scourge of illegal drugs, but the public can be assured that we will continue to relentlessly pursue and bring to justice those who seek to profit from the suffering of others.”
The indictment alleges that from 2015 through the present, the drug trafficking organization distributed cocaine base (commonly known as “crack”), cocaine, and marihuana within 1,000 feet of La Montaña Public Housing Project, and other areas nearby the municipality of Aguadilla, all for significant financial gain and profit.
As part of the conspiracy, the defendants established a drug distribution point that would move within different areas inside the public housing project, in order to avoid police detection. While selling narcotics at the drug point, the co‑conspirators used face masks to avoid identification by law enforcement officers and asked potential buyers for a government identification prior to selling the narcotics to detect government agents.
The defendants acted in different roles to further the goals of the drug trafficking conspiracy, to include: leaders, enforcers, runners, sellers, and facilitators. The members of the gang used force, violence, and intimidation to intimidate rival drug trafficking organizations, and to discipline members of their own organization. The defendants charged in the drug trafficking conspiracy are:
[1] Efraín Pellot-Guerra, a.k.a “Fri Fri”
[2] Marcelino Nieves-Flores, a.k.a “Boster”
[3] Luis Abraham Berdecía, a.k.a “Luisito”
[4] Caleb John Arocho-Quiñones, a.k.a “Caleb/John El Vizco/El Gordo”
[5] Rolando Martell-Bartolomey, a.k.a “Chava”
[6] Jose Pellot- Avilés, a.k.a “Carimarcao”
[7] Jesús Manuel Lorenzo, a.k.a “Chino/Gordo”
[8] Mason Maisonet-Cruz
[9] Bryan Snaidel Rodríguez-Nieves
[10] Giordanny Levi González-Molina
[11] Jeremy Khalil Arvelo-Cruz
[12] Héctor Rosado Álvarez, a.k.a “Onix”
[13] Dwight Arvelo-Sánchez
[14] Marc Anthony Rodríguez-Cestero
[15] Carlos Morales-Malavé, a.k.a “Gonzalo”
[16] Santos López-Nieves, a.k.a “Choki”
[17] Julio Valentín-García, a.k.a “Melaza”
[18] Elian Jafred Quiles-Vega, a.k.a “Keko”
[19] Gianny Kid Vega-Molina, a.k.a “Anthony”
[20] Félix Pardo-Hernández
[21] Kevin Vargas-Vega, a.k.a “Flow”
[22] Juan Seín-González
[23] Carlos Manuel Vega-Román
Eight defendants are charged in Count Five with possession of firearms in furtherance of a drug trafficking crime.
The FBI thanks the PRPB Aguadilla Strike Force for their assistance in this investigation.
Assistant U.S. Attorney (AUSA) and Chief of the Gang Section Alberto López-Rocafort, Deputy Chief of the Gang Section, AUSA Teresa Zapata-Valladares, and AUSAs Pedro R. Casablanca, and Héctor Siaca Flores are prosecuting the case. If convicted on the drug charges, the defendants face a minimum sentence of 10 years, and up to life in prison. If convicted of both the drug and firearms charges in Count Five, the defendants face a minimum sentence of 15 years, and up to life in prison. All defendants charged in the drug conspiracy are facing a narcotics forfeiture allegation of $6,897,500.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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12 Charged with Fentanyl Trafficking in AbileneRead the Press Release
Twelve alleged fentanyl traffickers were arrested in a large-scale drug bust in Abilene, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
The takedown – the second in an operation that previously resulted in the prosecution of 17 drug traffickers arrested during a large-scale bust in late February – involved agents and officers from the Federal Bureau of Investigation’s Dallas Field Office - Abilene Resident Office, the Taylor County Sheriff’s Office, the Abilene Police Department, and the Callahan County Sheriff’s Office.
Those charged in two separate indictments unsealed today include:
- Christopher Thompson, charged with possession with intent to distribute fentanyl
- Marquee Anthony Aboso, aka OC, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Kurtney Bernard Jones, aka KP, charged with conspiracy to distribute fentanyl and two counts of possession with intent to distribute fentanyl
- Steven Lattimore, aka PNut, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Mckenzee Marie Lane, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Maxine Gonzales, charged with conspiracy to distribute and possess with intent to distribute fentanyl
- Tylik Ojur Johnson, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Jeremiah Greene, aka Lil Mexico, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Paul Eli Snyder, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Robert Lee Mason, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Glen Edward Lee, Jr., charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
- Christopher Anthony Glaze, charged with conspiracy to distribute and possess with intent to distribute fentanyl and possession with intent to distribute fentanyl
Over the course of the operation into these individuals, agents seized more than 14,856 fentanyl pills, 45.4 grams of heroin, 2.56 grams of meth, and 15.56 grams of crack cocaine, as well as multiple firearms.
An indictment is merely an allegation of criminal conduct, not evidence. All defendants are presumed innocent until proven guilty in a court of law.
If convicted, some defendants named in these indictments face up to 20 years in federal prison.
Sixteen of the 17 defendants arrested in February’s takedown have already been convicted. Fourteen have already been sentenced to a combined 187 years in federal prison; two pleaded guilty and await sentencing, and one is awaiting trial. The lead defendant, Diana Perez, deemed responsible for more than 109,221 kilograms of drugs, was sentenced Thursday to more than 24 years in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office - Abilene Resident Agency, the Drug Enforcement Administration's Dallas Field Division - Fort Worth Resident Agency, and the Taylor County Sheriff’s Office conducted the investigation with the assistance of Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms, & Explosives' Dallas Field Division, and the IRS – Criminal Investigations. The cases are being prosecuted by the West Texas Branch of the U.S. Attorney’s Office for the Northern District of Texas.
This prosecution stems from an Organized Crime Drug Enforcement Task Forces (OCDETF) instigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transitional criminal organizations that threaten the Untied States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF program can be found at https://www.justice.gov/OCDETF.
9 October 2024
York Man Sentenced to over 14 Years in Prison for Drug TraffickingRead the Press Release
HARRISBURG –The United States Attorney’s Office for the Middle District of Pennsylvania announced that Mark A. Woods, age 32, of York, Pennsylvania, was sentenced on October 7, 2024, to 176 months in prison by United States District Court Judge Christopher C. Conner for drug offenses.
According to United States Attorney Gerard M. Karam, Woods was sentenced for trafficking crack cocaine, heroin, and fentanyl in York. Previously, Woods entered a guilty plea where he admitted that on July 30, 2019, the York City Police Department caught him with drugs he was going to traffic. Police also found that he had a gun. When imposing sentence, Judge Conner pointed to the fact that Woods had a gun on this occasion, that Woods’ extensive criminal history including drugs and guns, and that previous prison sentences failed to deter him.
The case was investigated by the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the York City Police Department. Assistant U.S. Attorney Michael A. Consiglio is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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York County Man Sentenced to 10 Years in Prison for Trafficking MethamphetamineRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Craig Smith, age 53, of York County, Pennsylvania, was sentenced on October 8, 2024, by U.S. District Court Judge Jennifer P. Wilson to 10 years in prison for trafficking methamphetamine.
According to United States Attorney Gerard M. Karam, Smith was sentenced for his role in a methamphetamine trafficking ring operated out of a home in Windsor, Pennsylvania. Smith received the ten-year mandatory minimum sentence for trafficking over 500 grams of methamphetamine.
Smith had previously entered a guilty plea where he admitted that on May 6, 2020, he tried to acquire over 600 grams of methamphetamine from a drug dealer in Philadelphia. Police arrested him and found a gun. Smith was charged with conspiracy to traffic meth with Kimberly Forney, Cody Mitzel, Christa Tabor, and Sheridan Lee Boothe.
All the other co-defendants have pled guilty to their roles in methamphetamine trafficking conspiracy. Kimberly Forney was sentenced to 14 years in prison. Cody Mitzel was sentenced to approximately 36 months in prison. Sheridan Lee Boothe was sentenced to 100 months in prison. Christa Tabor pled guilty to conspiracy to traffic methamphetamine and is awaiting sentencing.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Michael Consiglio is prosecuting the case.
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Utah Outdoor Retailer Accused of Evading $1.8M in TaxesRead the Press Release
ST. GEORGE, Utah – A federal grand jury in St. George returned an indictment charging a Southern Utah business owner with tax crimes.
According to court documents, Phyllip Hallman Heaton, 42, of Washington City, Utah, owns and operates Zion Outfitter, an outdoor retail and rental shop near the entrance of Zion National Park. It is alleged that, between 2018 and 2022, Heaton underreported over $5.4 million in sales. He did so by providing his tax-return preparers with profit and loss statements that underreported Zion Outfitter’s gross receipts, falsely representing to his tax preparers that the profit and loss statements were accurate, signing and authorizing the filing of tax returns with the IRS that he knew were false, and structuring cash deposits into Zion Outfitter’s checking account. This resulted in Heaton evading over $1.8 million in taxes.
Heaton is charged with five counts of evasion of assessment of income tax and five counts of fraud and false statements. His initial appearance on the indictment is scheduled for October 28, 2024, at 10:00 a.m. before a U.S. Magistrate Judge at the St. George Courthouse.
U.S. Attorney Trina A. Higgins for the District of Utah made the announcement.
The case is being investigated by the Internal Revenue Service-Criminal Investigations (IRS-CI).
Assistant United States Attorney Stephen P. Dent of the U.S. Attorney’s Office for the District of Utah is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
U.S. Attorney’s Office Secures Sentence of Shiprock Man for Voluntary ManslaughterRead the Press Release
ALBUQUERQUE, N.M. - A Shiprock man was sentenced to 97 months in federal prison, the maximum penalty pursuant to the plea agreement, for the fatal beating of another man during an altercation.
There is no parole in the federal system.
According to court documents, on June 26, 2022, Morrie Lee Begaye, 37, an enrolled member of the Navajo Nation, started a fight with John Doe, also an enrolled member of the Navajo Nation, at a residence in Shiprock, New Mexico, which is within the exterior boundaries of the Navajo Nation in San Juan County. Begaye attacked John Doe, and after the fight went to the ground, he punched and kicked Doe in the head and body.
John Doe was airlifted to University of New Mexico Hospital in Albuquerque where imaging revealed he had a large bleed in the space surrounding the left side of his brain. The bleed was large enough to cause the brain to shift inside the skull, leading to compression of vital structures of the brain. John Doe was in a coma, and the neurosurgical team deemed his injuries too severe for surgical intervention. The following day, on June 28, 2022, he was declared brain dead and granted others the gift of life through organ donation on June 29, 2022.
Upon his release from prison, Begaye will be subject to three years of supervised release.
U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Police Department and Navajo Department of Criminal Investigations. Assistant U.S. Attorneys Caitlin L. Dillon and Brittany DuChaussee are prosecuting the case.
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U.S. Attorney's Office, FBI, and Border Patrol Join Forces to Combat Rising Assaults on AgentsRead the Press Release
ALBUQUERQUE, N.M. – Federal prosecutors have filed charges against several individuals for assaulting U.S. Border Patrol agents in separate incidents along the southern border, highlighting an ongoing concern for officer safety.
According to court documents, on August 20, 2023, a Border Patrol agent pursued a group of migrants near the U.S.-Mexico border. The agent located Juventino Darinel Reyes-Fuentes, 30, a Mexican national, and began to arrest him, but Juventino resisted and attempted to reach for the agent’s weapon. The agent fired at Juventino, shooting his wallet and phone. Juventino’s brother, Jose Maria Reyes-Fuentes, 24, also a Mexican national, then approached and assaulted the agent. A struggle ensued as the brothers wrestled the firearm away from the agent. The brothers then stole the agent's ATV and fled but were later apprehended by other agents.
Juventino and Jose both pled guilty in federal court to assault upon a federal officer involving physical contact and were each sentenced to 16 months in prison.
In another case, Edwin Esau Fuentes-Galea, a Salvadoran national, assaulted a U.S. Border Patrol agent near Santa Teresa, NM, on January 26, 2024. Fuentes resisted arrest, threw sand and dirt at the agent, and bit him during the struggle. His actions resulted in visible injuries to the agent, who required medical treatment.
Fuentes-Galea pled guilty to assaulting a federal officer on May 8, 2024, and was sentenced to 12 months and one day in prison.
On September 19, 2024, Ricardo Prieto-Simental, 25, a Mexican national, was approached by U.S. Border Patrol agents near Santa Teresa, New Mexico. When agents attempted to detain Prieto-Simental, who was suspected of being in the country illegally, Prieto-Simental fled from agents and then attempted to break a cell phone on a rock, and then threw the phone as a Border Patrol Agent’s head. The Border Patrol agent then attempted to place handcuffs on Prieto-Simental, who then began punching, kicking, and biting the Border Patrol agent. Prieto-Simental bit the agent on the left forearm, breaking the skin and resulting in a bite mark and bruising.
Prieto-Simental was charged with assault of a federal agent and has been detained pending trial.
In a similar case, Enrique Rodriguez-Salazar, 26, a Mexican national, was approached by U.S. Border Patrol agents near Santa Teresa, New Mexico on September 26, 2024. When agents attempted to detain Rodriguez, who was laying on the ground, he resisted and threw a handful of dirt into an agent’s face, hitting him in the eyes. After being hit, the agent deployed his taser and was able to subdue Rodriguez.
Rodriguez was charged with assault of a federal agent and appeared before a federal judge and was detained pending the resolution of his case.
In another case, on May 29, 2024, a Border Patrol agent encountered a group of five individuals, including three children, walking along the border wall. When the agent attempted to take the group into custody, Erika Jasmin Lobato-Melendez, a Salvadoran national, bit the Agent on the forearm with enough force to cause bruising and abrasions through her uniform jacket. As a result, the agent required medical treatment.
Lobato-Melendez pled guilty to assaulting a federal officer involving physical contact, on September 5, 2024. At sentencing, Lobato-Melendez faces not more than eight years in prison.
These cases highlight the risks faced by federal officers and the Department of Justice’s commitment to their safety and security. The FBI and U.S. Border Patrol continue to work together to address such incidents.
U.S. Attorney Alexander M.M. Uballez, Chief Patrol Agent Anthony Scott Good of the U.S. Border Patrol El Paso Sector and Raul Bujanda, Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Las Cruces Resident Agency of the Federal Bureau Investigation investigated these cases with assistance from the U.S. Border Patrol. Assistant U.S. Attorneys Kirk Williams, Mark Saltman and Christopher S. McNair are prosecuting these cases.
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Two Russian Nationals Charged for Their Participation in an Illicit Procurement Network That Exported to Russia Sensitive U.S.-Sourced Microelectronics with Military Applications in Violation of U.S. Export ControlsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, James E. Dennehy, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Jonathan Carson, the Special Agent in Charge of the Office of Export Enforcement of the New York Field Office of the Bureau of Industry and Security of the U.S. Department of Commerce, announced today that ZHANNA SOLDATENKOVA and RUSLAN ALMETOV, both Russian nationals, were indicted along with ARTHUR PETROV, a dual Russian and German national, for export control violations, smuggling, wire fraud, and money laundering in connection with their alleged participation in a scheme to procure U.S.-sourced microelectronics subject to U.S. export controls on behalf of a Russia-based supplier of critical electronics components for manufacturers supplying weaponry and other equipment to the Russian military. PETROV, previously charged in a criminal Complaint, was arrested on August 26, 2023, in the Republic of Cyprus at the request of the U.S. and was extradited from the Republic of Cyprus earlier this year. He arrived in the Southern District of New York on August 8, 2024, and was ordered detained. SOLDATENKOVA and ALMETOV are at large. The case is assigned to U.S. District Judge Alvin K. Hellerstein.
The indictment can be read here.
U.S. Attorney Damian Williams said: “Zhanna Soldatenkova and Ruslan Almetov are now charged, alongside previously charged Arthur Petrov, for conspiring to smuggle microelectronics with military applications from U.S. distributors to a Russian company that supplies manufacturers for the Russian military. This Office is committed to exposing the full breadth of such illicit procurement networks and protecting our national security.”
Assistant Director in Charge James E. Dennehy said: “Zhanna Soldatenkova and Ruslan Almetova, along with Arthur Petrov, allegedly conspired to evade export laws as members of an illegal international procurement network to help aid the Russian defense industry. As alleged, by deliberately concealing the true nature of their business, they not only violated the law but ultimately put the national security of our country at risk. The FBI, in concert with our partners, is determined to protect the United States and will hold accountable anyone attempting to harm our nation.”
Special Agent in Charge Jonathan Carson said: “As this action demonstrates, we will work with our domestic and international law enforcement partners to charge alleged violators wherever they may be worldwide. Illegal global procurement networks that prop up the Russian war machine will not be tolerated. That’s why we and our law enforcement partners are working nonstop to ensure that those operating such networks face American justice.”
According to the allegations contained in the Indictment returned in Manhattan federal court:[1]
PETROV is a dual Russian-German national who previously resided in Russia and Cyprus and worked for LLC Electrocom VPK (“Electrocom”), a Russia-based supplier of critical electronics components for manufacturers supplying weaponry and other equipment to the Russian military. SOLDATENKOVA is a Russian national who has resided in Russia and worked for Electrocom. ALMETOV is also a Russian national who has resided in Russia and was the co-founder and served as General Director of Electrocom.
PETROV, SOLDATENKOVA, and ALMETOV operated an illicit procurement network in Russia and elsewhere overseas. More specifically, they fraudulently procured from U.S. distributors large quantities of microelectronics subject to U.S. export controls on behalf of Electrocom. To carry out the scheme, PETROV, SOLDATENKOVA, and ALMETOV used shell companies and other deceptive means to conceal that the electronics components were destined for Russia. The technology that the defendants procured in contravention of export controls had significant military applications and included various types of electronics components of the sort that have been recovered in Russian military hardware on the battlefield in Ukraine, such as Russian guided missiles, drones, and electronic warfare and communications devices.
To perpetrate the scheme, PETROV first acquired the controlled microelectronics from U.S.-based electronics exporters using a Cyprus-based shell company, Astrafteros Technokosmos LTD (“Astrafteros”), which he operated. PETROV procured these sensitive electronics components by falsely representing to the U.S. exporters that Astrafteros was purchasing the items for fire security systems, among other commercial uses, and that the ultimate end-users and destinations of the electronics are companies in Cyprus or other third countries — when in fact the components were destined for Electrocom in Russia, which supplies manufacturers for the Russian military. The microelectronics that PETROV procured as part of the conspiracy included, among other things, microcontrollers and integrated circuits on the Commerce Control List maintained by the Commerce Department and which could not lawfully be exported or reexported to Russia without a license from the Commerce Department. Invoices provided to PETROV by the U.S. distributors expressly noted that these microcontrollers and integrated circuits were subject to U.S. export controls.
To evade these controls, PETROV, SOLDATENKOVA, and ALMETOV worked together to transship the controlled items procured by PETROV using pass-through entities operated by SOLDATENKOVA and ALMETOV in third countries. SOLDATENKOVA and ALMETOV then caused the items to be shipped, sometimes through yet another country, to the ultimate destination: Electrocom in Saint Petersburg, Russia. At all times, PETROV, SOLDATENKOVA, and ALMETOV concealed from the U.S. distributors that they were procuring the controlled electronics components on behalf of Electrocom and that the items were destined for Russia. During the course of the conspiracy, PETROV, SOLDATENKOVA, and ALMETOV procured from U.S. distributors and shipped to Russia more than $225,000 worth of controlled electronics components with military applications.
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A table containing the charges and maximum penalties for PETROV, 35, of Russia and Cyprus, SOLDATENKOVA, 36, of Russia, and ALMETOV, 43, of Russia, is set forth below. The maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Charge
Defendants
Maximum Penalties
Count One: Conspiracy to defraud the United States (18 U.S.C. § 371)PETROV, SOLDATENKOVA, and ALMETOV5 years’ imprisonmentCount Two: Conspiracy to violate the Export Control Reform Act (“ECRA”) (50 U.S.C. §§ 4819(a)(1), 4819(a)(2)(A)-G), and 4819(b); 15 C.F.R. §§ 736.2(b)(1), 746.8(a)(1), and 764.2)PETROV, SOLDATENKOVA, and ALMETOV20 years’ imprisonmentCount Three: Violation of ECRA (50 U.S.C. §§ 4819(a)(1), 4819(a)(2)(A)-G), and 4819(b); 15 C.F.R. §§ 736.2(b)(1), 746.8(a)(1), and 764.2)PETROV and SOLDATENKOVA20 years’ imprisonmentCount Four: Violation of ECRA (50 U.S.C. §§ 4819(a)(1), 4819(a)(2)(A)-G), and 4819(b); 15 C.F.R. §§ 736.2(b)(1), 746.8(a)(1), and 764.2)PETROV and SOLDATENKOVA20 years’ imprisonmentCount Five: Violation of ECRA (50 U.S.C. §§ 4819(a)(1), 4819(a)(2)(A)-G), and 4819(b); 15 C.F.R. §§ 736.2(b)(1), 746.8(a)(1), and 764.2)PETROV, SOLDATENKOVA, and ALMETOV20 years’ imprisonmentCount Six: Conspiracy to smuggle goods from the United States (18 U.S.C. § 371)PETROV, SOLDATENKOVA, and ALMETOV5 years’ imprisonmentCount Seven: Smuggling goods from the United States (18 U.S.C. §§ 554(a) and 2)PETROV and SOLDATENKOVA10 years’ imprisonmentCount Eight: Smuggling goods from the United States (18 U.S.C. §§ 554(a) and 2)PETROV and SOLDATENKOVA10 years’ imprisonmentCount Nine: Smuggling goods from the United States (18 U.S.C. §§ 554(a) and 2)PETROV, SOLDATENKOVA, and ALMETOV10 years’ imprisonmentCount Ten: Conspiracy to commit wire fraud (18 U.S.C. § 1349)PETROV, SOLDATENKOVA, and ALMETOV20 years’ imprisonmentCount Eleven: Conspiracy to commit money laundering (18 U.S.C. §§ 1956(h), 1956(f))PETROV, SOLDATENKOVA, and ALMETOV20 years’ imprisonmentMr. Williams praised the outstanding investigative work of the FBI and its New York Field Office, Counterintelligence Division and the New York Field Office of the Bureau of Industry and Security of the Department of Commerce. Mr. Williams also thanked the FBI’s Legal Attaché offices in Poland, Germany, and Athens, Greece; the Department of Justice’s National Security Division, Counterintelligence and Export Control Section; the Department of Justice’s Office of International Affairs; the Republic of Cyprus Ministry of Justice and Public Order; and the Law Office of the Republic for their assistance. The Republic of Cyprus National Police also provided critical assistance in effecting the defendant’s arrest and detention at the request of the U.S.
This prosecution is coordinated through the Justice Department’s Task Force KleptoCapture and the Justice and Commerce Departments’ Disruptive Technology Strike Force. Task Force KleptoCapture is an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export restrictions, and economic countermeasures that the U.S. has imposed, along with its allies and partners, in response to Russia’s unprovoked military invasion of Ukraine. The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation states.
This case is being handled by the Office’s National Security and International Narcotics Unit. Assistant U.S. Attorney Kevin Sullivan is in charge of the prosecution, with assistance from Trial Attorney Maria Fedor of the Counterintelligence and Export Control Section.
The charges in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Two Men Charged by Indictment with Conspiring to Receive and Distribute Child Pornography Through the MailRead the Press Release
SYRACUSE, NEW YORK – John Kelly, age 82, of Rome, New York, and Richard Hockersmith, age 65, of Plattsburgh, New York, were arraigned last week on a federal indictment charging each defendant with conspiring to receive and distribute child pornography using the U.S Postal Service. Kelly and Hockersmith also face charges of receipt, distribution, and possession of child pornography. Both defendants have been detained in custody pending trial.
United States Attorney Carla B. Freedman and Erin Keegan, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.
The indictment alleges that between August 19, 2022, and September 10, 2024, Kelly and Hockersmith conspired to receive and distribute child pornography which they also possessed on several electronic devices. Each defendant is presumed innocent unless and until proven guilty.
If convicted, Kelly and Hockersmith each face at least 5 years and up to 20 years in federal prison for the conspiracy and receipt and distribution counts, and up to 20 years for their possession of child pornography. They also face a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life. Kelly and Hockersmith would also have to register as sex offenders upon their release from federal prison and would be required to forfeit the devices used to commit their crimes and pay restitution to victims. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The case is being investigated by Homeland Security Investigations (HSI) with assistance from the Oneida County Sheriff’s Office and the New York State Police. Assistant U.S. Attorney Adrian S. LaRochelle is prosecuting the case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Two Los Angeles-Area Residents Arrested on Indictment Alleging Scheme to Fraudulently Obtain and Launder Medicare ProceedsRead the Press Release
LOS ANGELES – A Los Angeles woman and a San Fernando Valley man were arrested today on a 24-count federal grand jury indictment alleging a scheme to defraud Medicare out of more than $54 million via hospice and diagnostic testing services that were never provided and then laundered their illicit proceeds, including by buying millions of dollars’ worth of gold bars and coins.
Sophia Shaklian, 36, of the Larchmont area of Los Angeles, and Alex Alexsanian, 47, of Burbank, were arrested early this morning. They are scheduled to be arraigned this afternoon in United States District Court in downtown Los Angeles.
Shaklian is charged with 16 counts of health care fraud and four counts of transactional money laundering. Alexsanian is charged with one count of conspiracy to launder monetary instruments and three counts of concealment money laundering.
According to the indictment that a federal grand jury returned on October 2, Shaklian, often using aliases, managed and submitted claims for seven health care providers enrolled with Medicare and located in Los Angeles County. These businesses included a hospice company she owned – the Pasadena-based Chateau d’Lumina Hospice and Palliative Care – and several diagnostic testing companies: Saint Gorge Radiology in Sylmar; Hope Diagnostics in North Hollywood; Direct Imaging & Diagnostics and Lab One – both located in Hollywood; and Labtech and Lifescan Diagnostics in Claremont.
From March 2019 to August 2024, these companies allegedly submitted more than $54 million in fraudulent claims to Medicare for services that were never provided and not needed. In total, they received more than $23 million for those claims. Shaklian allegedly laundered Medicare funds paid to Chateau by transferring them to accounts in the name of “Varsenic Babaian,” a synthetic or fake identity.
Alexsanian allegedly directed a foreign national to open Saint Gorge Radiology, and to acquire Medicare provider Console Hospice in Van Nuys, and then provide control of those companies and their bank accounts and the foreign national’s personal bank accounts to Alexsanian.
Alexsanian conspired with the foreign national (who soon left the country) and others to have Saint Gorge Radiology and Console Hospice submit fraudulent claims to Medicare for services not provided and then laundered the Medicare reimbursements they received, as well as funds deposited into their accounts through the “Babaian” identity, and used them to, among other things, buy more than $6 million in gold bars and coins.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proved guilty beyond a reasonable doubt.
If convicted of all charges, Shaklian would face a statutory maximum sentence of 10 years in federal prison for each health care fraud count and up to 20 years in federal prison for each money laundering count. Alexsanian would face up to 20 years in federal prison for each count.
The United States Department of Health and Human Services Office of the Inspector General and the FBI are investigating this matter.
Assistant United States Attorney Kristen A. Williams of the Major Frauds Section is prosecuting this case.
Three men charged with stealing mailRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Michael Robinson, 32, Lamor Runell Bolden, 26, and Antonio Jones, Jr., 24, were charged by criminal complaint with conspiracy and theft of mail, which carry a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney Franz M. Wright, who is handling the case, stated that according to the complaint, late during the overnight of October 1 into October 2, 2024, investigators were conducting surveillance of the Cayuga Road Post Office. At approximately 1:30 a.m. on October 2, 2024, law enforcement observed a dark-colored SUV enter the driveway from Cayuga Road and drive up to the blue mailboxes outside the post office. The vehicle stopped immediately adjacent to the back side of the mailboxes, rather than on the front side, which contains the drop slots for customers. The back side of each mailbox contains the locked U.S. Postal Service access door for employees to remove customer mail for processing. Law enforcement then observed two individuals exit the vehicle, approach the back side of the mailboxes, where one of the two appeared to use a key to access the mailboxes and remove the contents. The other individual appeared to act as a sort of “lookout.” The two then got back in the vehicle and left the area.
Law enforcement continued to observe the vehicle, which was later intercepted by Cheektowaga Police, and a traffic stop was initiated. There were three individuals in the vehicle, including defendants Robinson, Bolden, and Jones. There was a substantial amount of mail in the vehicle, some sealed and some open, and an arrow key.
The complaint is the result of an investigation by the U.S. Postal Inspection Service, under the direction of Special Agent-in-Charge Ketty Larco-Ward, Boston Division, and the Cheektowaga Police Department, under the direction of Chief Brian Coons.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Three Indicted in Conspiracy to Commit Bank Robberies in the Eastern District of California and the East BayRead the Press Release
SACRAMENTO, Calif. — On Sept. 26, 2024, a federal grand jury returned a five-count indictment against Dontae Jones Jr., 20, and Yasmin Millett, 21, both residing in Northern California with no fixed address, and JoMya Mauriyne Futch, 21, of Richmond, charging them with conspiracy to commit bank robbery and bank robbery, U.S. Attorney Phillip A. Talbert announced. Futch was additionally charged with one count of perjury.
The indictment was unsealed today following the defendants’ arrests.
According to court documents, between June 2023 and September 2024, Jones and Millett conspired to commit at least 10 bank robberies in Sacramento, Vallejo, Suisun City, Benicia, Concord, and Antioch. Jones and Millett worked together and with others, primarily women they recruited, such as Futch, to facilitate a patterned series of bank robberies. The participants drove to bank and credit union branches, entered the branches with threatening notes demanding money, presented the notes to branch employees, took cash, and exited the branches to a waiting getaway car. Generally, the notes would instruct the bank employees to provide money or “I will kill everyone in here.” On at least one occasion, a woman was held at gunpoint and forced to commit a robbery by Jones and Millett against her will. On another occasion, Jones and Millett used a minor in an attempted robbery. After a successful robbery, the members of the conspiracy distributed the stolen money amongst themselves.
Jones and Millett actively sought and groomed recruits to act as the note passers. Millett advertised the conspiracy on Instagram in videos and photographs of herself and other participants holding large amounts of cash. Jones and Millett sometimes directed recruits to wear dark sunglasses during the robberies to conceal their identities and carry purses in order to carry the stolen money away from the banks and credit unions.
Futch joined the conspiracy and conspired to commit at least two bank robberies. She is additionally charged with perjury. On Aug. 15, 2024, Futch appeared as a witness under oath before a grand jury and knowingly made false statements.
This case is the product of an investigation by FBI field offices in San Francisco and Sacramento, with assistance from the Sacramento Police Department, Vacaville Police Department, Suisun City Police Department, Vallejo Police Department, Antioch Police Department, Alameda County Sheriff’s Office, Benicia Police Department, Concord Police Department, California Highway Patrol, Hayward Police Department, and Fremont Police Department. Assistant U.S. Attorney Whitnee Goins is prosecuting the case.
If convicted of conspiracy to commit bank robbery, the defendants face a maximum statutory penalty of five years in prison and a fine up to $250,000. The bank robbery counts carry a maximum statutory penalty of 20 years in prison and a $250,000 fine. Futch faces a maximum penalty of five years in prison and a $250,000 fine if she is convicted of perjury. 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 defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Three Arrested, Facing up to 10 years in Federal Prison for Possession of Machinegun Conversion DevicesRead the Press Release
DEL RIO, Texas – A San Antonio man was arrested on criminal charges related to his alleged possession of a machinegun conversion device.
According to court documents, Anethen Sergio Bruno aka “BIG A,” 21, possessed at least two handguns, each equipped with a machinegun conversion device, also known as a “switch.” The devices make a firearm capable of firing automatically more than one shot, without manual reloading, by a single function of the trigger. The possession, production, and/or use of such devices is in violation of federal law and violators are considered to be in possession of a machinegun.
Bruno made his initial appearance in federal court today and is charged with two counts of possession of a machinegun. If convicted, he faces up to 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Codefendants Hector Elias aka “COCO,” 20, and Miguel Angel Reyes aka “ANGEL,” 22, of Del Rio were both arrested Sept. 27 and made their initial appearances Sept. 30. Elias is charged with one count of possession of a machinegun and one count of felon in possession of a firearm. He faces up to 10 years in prison for the machinegun charge and up to 15 years in prison for the felon in possession charge. Reyes is charged with one count of possession of a machinegun. He faces up to 10 years in prison.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives is investigating the case.
Assistant U.S. Attorneys Warsame Galaydh and Matt Kass are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Texas Man Pleads Guilty to Cocaine DistributionRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces that Julio Deleon (38, Brownsville, TX) has pleaded guilty to conspiracy to distribute controlled substances and possession with intent to distribute controlled substances. Deleon faces a minimum mandatory sentence of 5 years, up to 40 years, in federal prison. Deleon is scheduled to be sentenced on January 9, 2024.
According to court documents, on January 25, 2024, officers from the Bradenton Police Department attempted to stop a vehicle in which Deleon was the passenger. Once the vehicle stopped, Deleon fled, but he was quickly apprehended. During a search of the vehicle officers located a backpack with just under five kilograms of cocaine, which was on the floor by the front passenger seat where Deleon had been sitting.
This case was investigated by Homeland Security Investigations and the Bradenton Police Department. It is being prosecuted by Assistant United States Attorney Michael R. Kenneth.
St. Michael Man Pleads Guilty to Child Abuse in Death of One-Year-OldRead the Press Release
Fargo – United States Attorney Mac Schneider announced that Collin Ray Delorme, also known as Collin Ray Delorme Sr., age 29, from St. Michael, North Dakota, appeared in federal court on October 9, 2024, in Fargo and pleaded guilty before District Court Judge Peter Welte to three counts of Child Abuse in Indian country.
As noted in court documents, on February 18, 2023, Delorme’s co-defendant Kenzie Rose Baker called 911 from a home in St. Michael on the Spirit Lake Reservation and reported a one-year-old child was not breathing. The child was transported to CHI St. Alexius in Devils Lake, North Dakota and was pronounced dead.
An autopsy concluded the cause of death was “battered child” due to multiple, repeated injuries of various ages, evident upon external and internal examination. The child’s internal injuries were untreated, given rise to infection and sepsis.
Baker admitted she observed swelling present for two weeks but failed to seek medical care. After the child’s death, Delorme claimed an external injury to the child’s back, which was above a spinal fracture, occurred when he misjudged a step and his boot slipped and a flashlight hit the child.
Two of the charges that Delorme pleaded guilty to are related to his abuse and the resulting death of the one-year-old child. The third charge is the result of Delorme’s abuse of a second child, who was three years old, by hitting the child on the arms and throwing him on the bed.
Delorme is scheduled for sentencing on February 18, 2025, and faces a maximum sentence of forty years in prison.
On August 16, 2024, Baker pled guilty to charges of Accessory after the Fact; Child Abuse in Indian country; Child Neglect in Indian country. Baker is scheduled to be sentenced on January 22, 2025.
Baker and Delorme are detained pending sentencing.
“Today’s guilty plea is a step towards accountability for the heartrending death of a young child,” Schneider said. “The way this toddler was treated was horrific and shameful. Whether it is at multi-disciplinary team meetings throughout the District of North Dakota or by holding child abusers accountable in federal court, our career prosecutors and partners in law enforcement are committed to protecting kids and preventing tragic cases like this one.”
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorneys Lori H. Conroy and SheraLynn Ternes.
Previous Press release for co-defendant Kenzie Rose Baker can be seen HERE:
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Sioux Falls Woman Sentenced for Possession with Intent to Distribute MethamphetamineRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Eric C. Schulte has sentenced a Sioux Falls, South Dakota, woman convicted of Possession with Intent to Distribute a Controlled Substance. The sentencing took place on October 8, 2024.
Andrea Pitts, age 46, was sentenced to eight years and one month in federal prison, followed by three years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Pitts was indicted by a federal grand jury in the March of 2023. She pleaded guilty on July 10, 2024.
On November 24, 2022, Pitts and her co-defendant Jennifer Walsh were pulled over due to speeding on I-90 in Chamberlain, South Dakota. During the traffic stop a K-9 was called and alerted to the presence of drugs. A search of the vehicle revealed five pounds of methamphetamine in a hidden compartment. Pitts and Walsh were transporting the drugs from California to South Dakota where the methamphetamine would be distributed.
This case was investigated by the South Dakota Highway Patrol and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Pitts was immediately remanded to the custody of the U.S. Marshals Service following her sentencing. Walsh was sentenced on September 23, 2024, to eight years and one month in federal prison.
Sioux Falls Man Sentenced to over Three Years in Federal Prison for Firearm CrimesRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Sioux Falls, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person. The sentencing took place on October 7, 2024.
Marwan Abdulkareem Hamdan, age 27, was sentenced to three years and 10 months in federal prison, followed by two years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Hamdan was indicted for Possession of a Firearm by a Prohibited Person by a federal grand jury in April of 2023. He pleaded guilty to that charge on July 29, 2024.
The charge arose from a traffic stop in the early morning hours of September 4, 2022, in which Hamdan was the front seat passenger. The vehicle was searched, and a firearm was located in the vehicle’s glove box. Forensic analysis found Hamdan’s DNA on the gun.
Hamden is prohibited from possessing firearms because he is a three-time convicted felon. He was convicted of Robbery in the Second Degree in 2015, Identity Theft in 2016, and Possession of a Firearm by a Convicted Felon in 2018.
This case was investigated by the Sioux Falls Police Department’s Violent Crime Unit and Homeland Security Investigations. Assistant U.S. Attorney Elizabeth Ebert-Webb prosecuted the case.
The defendant was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced to over 11 Years in Federal Prison for Drug CrimesRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Sioux Falls, South Dakota, man convicted of Possession of a Controlled Substance with Intent to Distribute. The sentencing took place on October 7, 2024.
George Lamoine Ridgway, age 55, was sentenced to 11 years and three months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Ridgway was indicted for Possession of a Controlled Substance with Intent to Distribute by a federal grand jury in August of 2023. He pleaded guilty to that charge on July 19, 2024.
On March 25, 2023, Ridgway was pulled over for a traffic violation northwest of Yankton, South Dakota. His vehicle was searched and law enforcement discovered over five pounds of methamphetamine, along with various, unused packaging materials and baggies, and over $8,000 in cash. The investigation further discovered drug transaction conversations on Ridgway’s cell phone with would-be customers.
This case was investigated by the South Dakota Highway Patrol, the South Dakota Division of Criminal Investigation, and the Drug Enforcement Administration. Assistant U.S. Attorney Elizabeth Ebert-Webb prosecuted the case.
The defendant was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Sioux Falls, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on October 7, 2024.
Travis Jones, age 40, was sentenced to 11 years and three months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Jones was indicted by a federal grand jury in May of 2024. He pleaded guilty on July 29, 2024.
The conviction stemmed from incidents over the course of many months until January 9, 2024, when Jones knowingly and intentionally combined, conspired, and agreed with others to distribute methamphetamine. Jones obtained multiple pounds of methamphetamine from a co-conspirator and distributed it to others. Jones eventually sold an ounce of methamphetamine to a confidential informant on two separate occasions.
This case was investigated by the Drug Enforcement Administration and the Sioux Falls Police Department. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Jones was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced for Conspiracy to Distribute FentanylRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Lawrence L. Piersol has sentenced a Sioux Falls, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on October 7, 2024.
Hermon Mehari Gebre, age 19, was sentenced to 10 years in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Gebre was indicted by a federal grand jury in February of 2024. He pleaded guilty on July 15, 2024.
The conviction stemmed from incidents over the course of many months until February of 2024, when Gebre, knowingly combined, conspired, and agreed with others to distribute over 400 grams of pills containing fentanyl. Gebre obtained the fentanyl pills from a source on more than one occasion and distributed them to others in South Dakota. Gebre also sold approximately 76 pills to someone who, unbeknownst to Gebre, was working with law enforcement as a confidential informant. Fentanyl is a Schedule II controlled substance.
This case was investigated by the South Dakota Division of Criminal Investigation, the Sioux Falls Police Department, the Sisseton Wahpeton Law Enforcement Services, the U.S. Postal Inspection Service, and the Drug Enforcement Administration. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Gegbre was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced for Conspiracy to Distribute FentanylRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Lawrence L. Piersol has sentenced a Sioux Falls, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on October 7, 2024.
Nathan John Barnhart, age 24, was sentenced to two years and nine months in federal prison, followed by three years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Barnhart was indicted by a federal grand jury in March of 2024. He pleaded guilty on July 22, 2024.
The conviction stemmed from incidents over the course of many months until March of 2024, when Barnhart knowingly combined, conspired, and agreed with others to distribute fentanyl. Barnhart obtained the fentanyl pills from a co-conspirator and distributed them to others in the Sioux Falls area. A search warrant was executed at Barnhart’s residence and found pills containing fentanyl with a total weight of approximately 43 grams. Investigators later learned that Barnhart was involved in distributing approximately 2,700 fentanyl pills in the Sioux Falls area. Fentanyl is a Schedule II controlled substance.
This case was investigated by Homeland Security Investigations, the Sioux Falls Police Department, the Sioux Falls Area Drug Task Force, and the U.S. Postal Inspection Service. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Barnhart was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced for Attempted Enticement of a MinorRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Lawrence L. Piersol has sentenced a Sioux Falls, South Dakota, man convicted of Attempted Enticement of a Minor Using the Internet. The sentencing took place on October 7, 2024.
Carter Joe Tyree, age 21, was sentenced to 10 years in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100. Tyree must also register as a sex offender upon his release from federal prison.
Tyree was indicted by a federal grand jury in March of 2024. He pleaded guilty on July 8, 2024.
The conviction stemmed from an incident on March 8, 2024, when Tyree attempted to use online mobile apps on his cell phone to persuade and coerce an undercover agent posing as a 13-year-old female to engage in sexual activity.
This case was investigated by Homeland Security Investigations and the Sioux Falls Police Department. Assistant U.S. Attorney Elizabeth A. Ebert-Webb prosecuted the case.
Tyree was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Charged with 36 Counts of Child Pornography ChargesRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that a federal grand jury has indicted a Sioux Falls, South Dakota, man with additional charges of Production of Child Pornography, Attempted Production of Child Pornography, and the Transfer of Obscene Materials to a Minor.
Justin Preuschl, age 29, was previously indicted in June of 2024 for charges involving the exploitation of minors. As the investigation continued law enforcement identified eleven additional victims and the grand jury superseded Preuschl’s indictment with 20 additional charges in October of 2024. He appeared before U.S. Magistrate Judge Veronica L. Duffy on October 4, 2024, and pleaded not guilty to the Superseding Indictment.
On the counts of production and attempted production of child pornography, Preuschl faces a mandatory minimum sentence of 15 years in federal prison and a possible maximum of 30. On the counts of the transfer of obscene materials to a minor Preuschl faces a possible maximum of 10 years in federal prison. Each count also carries a term of imprisonment and/or a $250,000 fine. If sentenced to prison, upon his release he could be placed on supervised release for a period of up to life. There is also a $100 assessment per count to the Federal Crime Victims Fund. Restitution may also be ordered.
The Superseding Indictment alleges that over a two-year period, Preuschl used various online applications and platforms to persuade, or attempted to persuade, several minor females to produce images of sexually explicit conduct and send the image or video to him. Preuschl also used various online applications to send obscene materials to minor females knowing the females were under the age of 16.
The charges are merely accusations and Preuschl is presumed innocent until and unless proven guilty.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The investigation is being conducted by Homeland Security Investigations. Assistant U.S. Attorney Elizabeth A. Ebert-Webb is prosecuting the case.
Preuschl was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Shelton Man Charged with Child Exploitation OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Michael J. Krol, Special Agent in Charge of Homeland Security Investigations (HSI), New England, today announced that BURNEST GEYER, Jr., 31, of Shelton, has been charged by federal criminal complaint with child exploitation offenses.
As alleged in court documents, an investigation revealed that Geyer had told an individual that he possessed child pornography videos, and that he had communicated with a second individual through Telegram, an encrypted phone messaging application, about his child pornography collection. During a Telegram communication, Geyer shared his laptop screen and showed pictures and videos depicting the sexual abuse of children.
On October 8, 2024, investigators conducted a court-authorized search of Geyer’s residence and seized Geyer’s iPhone and other items. Preliminary analysis of the Telegram app on the iPhone revealed approximately 2,000 images and videos depicting child pornography.
Geyer was arrested yesterday. He appeared before U.S. Magistrate Judge S. Dave Vatti in Bridgeport and was released on a $100,000 bond.
The complaint charges Geyer with receipt and distribution of child pornography, an offense that carries a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 20 years, and with possession of child pornography, an offense that carries a maximum term of imprisonment of 20 years.
U.S. Attorney Avery stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by Homeland Security Investigations (HSI) with the assistance of the Bridgeport Police Department and the Shelton Police Department. The case is being prosecuted by Assistant U.S. Attorney Daniel P. Gordon.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Sex Offender Indicted on Production of Child Pornography ChargesRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on October 8, 2024, a federal grand jury issued an indictment alleging that Robert D. Nytes (age: 49) of Kossuth, Wisconsin, produced child pornography and that he did so as an individual required to register as a sex offender in violation of Title 18, United States Code, Sections 2251(a) and 2260A.
According to the indictment, on or about February 25, 2023, Nytes used and employed a minor child “to engage in sexually explicit conduct for the purpose of producing a visual depiction.” Nytes was previously convicted of Second Degree Sexual Assault of a Child on two separate occasions in Sheboygan County Circuit Court. If convicted of production of child pornography, Nytes faces a mandatory minimum sentence of 35 years’ imprisonment and up to a lifetime term of imprisonment. He also faces a mandatory consecutive ten year term of imprisonment if he is convicted of producing child pornography as a person who is required to register as sex offender. He may also be fined up to $250,000 and will continue to be required to register as a sex offender under state and federal law.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Manitowoc County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Daniel R. Humble.
An indictment is only a charge and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove his guilty beyond a reasonable doubt.
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Seventh Member of Houston County Drug Trafficking Organization Receives Federal Prison SentenceRead the Press Release
Montgomery, AL – Today, Acting United States Attorney Kevin Davidson announced that a federal judge has sentenced the last of seven individuals for their roles in a drug distribution operation in Houston County, Alabama. On October 8, 2024, 63-year-old Louis Peter Kellenberger III, a resident of Dothan, Alabama received a sentence of 120 months in prison following his conviction for conspiracy to distribute methamphetamine.
According to court records for each co-defendant and evidence presented at Kellenberger’s trial, Michael Antonio Blackmon, also a resident of Dothan, conspired with Kellenberger and five others to obtain and sell methamphetamine from August 2021 through June 2023. An investigation revealed that Kellenberger utilized Blackmon, who was a known distributor of methamphetamine in the area, as a source of supply.
On May 7, 2024, Blackmon received a sentence of 360 months in prison for his role in the conspiracy. Federal guidelines called for a significant sentence for Blackmon due to his serious criminal history and the quantity of illegal drugs attributed to him. When pronouncing Blackmon’s sentence, the judge also considered that Blackmon used various residences to store and sell illegal drugs and played a managerial or supervisory role in the drug distribution operation.
Other members of the conspiracy and their sentences include: 63-year-old Randall Pitts received a sentence of 188 months in prison on May 8, 2024; 38-year-old Shane Martin received a sentence of 168 months in prison on March 14, 2024; Dreshawn Shiver, 24, received a 96-month sentence on April 18, 2024; 40-year-old Antwuan Ellis received an 87 months sentence on February 22, 2024; finally, Curtis Bagwell received a sentence of 11 months on June 13, 2024. There is no parole in the federal system.
This prosecution is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
The Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Alabama Law Enforcement Agency, the Dothan Police Department, and the Eufaula Police Department investigated this case, which Assistant United States Attorneys Chelsea Wilson and Mark E. Andreu prosecuted.
Seven Western Washington tribal nations receive significant funding from DOJ’s Office of Violence Against Women to enhance services for victims of domestic violenceRead the Press Release
Seattle – Seven western Washington tribal nations are receiving significant funding to enhance services for victims of domestic violence, sexual assault, and stalking, announced U.S. Attorney Tessa M. Gorman. The grants, from the Office of Violence Against Women (OVW) pay for a range of services. For three of the tribes the funding will enhance their efforts to hold non-Indian offenders accountable in tribal court.
“Native women suffer domestic violence assaults at a disproportionately higher rate than other communities,” said U.S. Attorney Gorman. “These grants enhance the efforts of our tribal partners to hold offenders accountable and promote healing for victims of domestic violence and sexual assault.”
Three tribes, the Quileute Tribe, the Lummi Nation, and the Tulalip Tribes received grants under the 2024 Special Tribal Criminal Jurisdiction Grant Program. The program assists tribes in establishing court staff and procedures to prosecute non-Indians for crimes against Indian victims on tribal land. Such crimes include: assault of Tribal justice personnel, child violence, dating violence, domestic violence, obstruction of justice, sexual violence, sex trafficking, stalking and violation of a protection order.
The Quileute Tribe received $1,710,078 for its justice program. The Lummi Nation received $863,977 and the Tulalip Tribes was awarded $1.5 million specifically for their tribal court programs.
In addition to the Tribal Criminal jurisdiction grants, significant funds are supporting services for victims in tribal communities:
The Tulalip Tribes receive two other OVW grants totaling $1.7 million. $500,000 is to enhance investigation of domestic violence, dating violence, sexual assault and stalking with additional training and personnel. The additional $1.2 million is to support crisis intervention services, housing, legal services, and therapy for victims of domestic violence.
The Lummi Nation received an additional $800,000 for safety planning and shelter for victims of domestic violence.
The Suquamish Indian Tribe received $1.2 million to provide support for crime victims, housing stability and no cost civil legal services.
The Quinault Indian Nation received $1,199,960 to provide advocacy, shelter, and legal services to victims.
The Sauk-Suiattle Indian Tribe received $900,000 for transitional housing for victims and funding for a special therapy program for youth who have experienced domestic violence, dating violence and sexual assault.
The Skokomish Indian Tribe received $501,601 to increase the capacity of its crisis hotline, safe housing and crisis advocacy and support.
Salvadorian Man Sentenced for Illegal ReentryRead the Press Release
BOSTON – A Salvadoran man living in Somerville was sentenced today in federal court in Boston for unlawfully reentering the United States after deportation.
Tony Joel Salvador Umanzor, 36, was sentenced by U.S. District Court Judge Richard G. Stearns to eight months in prison. In June 2024, Salvador Umanzor pleaded guilty to one count of unlawful reentry of deported alien. In May 2024, Salvador Umanzor was indicted by a federal grand jury. He has been in federal custody since his initial appearance in federal court on May 9, 2024.
Salvador Umanzor was removed from the United States on Oct. 10, 2018 following a state conviction in 2013 for trafficking oxycodone, for which he was sentenced to five years and one day in prison. Sometime after his removal, Salvador Umanzor unlawfully reentered the United States, and was located in April 2024 following a state arrest for unrelated conduct.
Acting United States Attorney Joshua S. Levy; Todd M. Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations; and Boston Police Commissioner Michael Cox made the announcement. Assistant U.S. Attorney Elianna J. Nuzum of the Major Crimes Unit prosecuted the case.
Rochester woman convicted of drug related charge by a federal jury going to prisonRead the Press Release
ROCHESTER, N.Y. - U.S. Attorney Trini E. Ross announced today that Danielle Hampton, 51, of Rochester, NY, who was convicted of maintaining a drug-involved premises following a jury trial, was sentenced to serve 24 months in prison by U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorneys Katelyn M. Hartford and Nicholas M. Testani, who handled the case, stated that in September 2021, members of the Greater Rochester Area Narcotics Enforcement Team (GRANET) began investigating the drug trafficking activities at 304 Adams Street in Rochester. During the investigation, investigators made controlled purchases of cocaine from the residence. On November 18, 2021, a search warrant was executed at the residence, during which investigators encountered Hampton inside. During the search, a loaded firearm, approximately 9 grams of crack cocaine, $571.00 in cash, and drug paraphernalia was recovered from the residence. Two children were present during the search. Hampton was taken into custody at that time.
The sentencing is the result of an investigation by the Greater Rochester Area Narcotics Enforcement Team (GRANET), which includes Homeland Security Investigations, under the direction of Special Agent-in-Charge Erin Keegan, the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter, and the Rochester Police Department, under the direction of Chief David Smith.
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Rocheport Husband, Wife Indicted for Producing Child PornographyRead the Press Release
JEFFERSON CITY, Mo. – A Rocheport, Mo., couple was indicted by a federal grand jury for victimizing three children to produce child pornography.
Jeremy James Cudney, 34, and his wife, Cassandra Elaine Cudney, 34, were charged in an eight-count indictment returned by a federal grand jury in Jefferson City, Mo.
The indictment alleges that Jeremy and Cassandra Cudney participated in a conspiracy to produce child pornography from August 25, 2019, to April 25, 2022. They are also charged together in three counts of producing child pornography involving two child victims, one of whom was under the age of 12 and two of whom were under the age of 16.
In addition, Jeremy Cudney is charged with one count of distributing child pornography and one count of possessing child pornography. Cassandra Cudney is also charged with one count of distributing child pornography and one count of possessing child pornography.
The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Melissa A. Pierce and Assistant U.S. Attorney Ashley S. Turner. It was investigated by Homeland Security Investigations, Missouri State Technical Assistance Team, and the Howard County, Mo., Sheriff’s Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Resident of New Hampshire Sentenced for Involvement in Online Scheme to Defraud the ElderlyRead the Press Release
ALEXANDRIA, La. – United States Attorney Brandon B. Brown announced that Raj Vinodchandra Patel, 34, of New Hampshire, has been sentenced by United States District Judge Dee D. Drell to 51 months in prison for his role in an online scheme to defraud the elderly. On June 20, 2024, Patel pleaded guilty to one count indictment charging him with conspiracy to commit wire fraud.
Sometime in September 2023, an elderly resident in Alexandria, Louisiana, saw a “pop-up” message on their computer screen which directed them to call a computer “helpline.” This alleged computer helpline was merely a contact number being operated by one of Patel’s co-conspirators from India. When the victim called this supposed helpline, they were told that criminal activity had been seen on their computer and then transferred them to an alleged special agent working for the Federal Trade Commission in Washington, D.C. who would assist them further. However, the victim was not actually communicating with a federal agent but in truth and in fact, it was another of Patel’s co-conspirators operating from India. This fake federal agent falsely claimed that the victim’s Social Security number had been compromised, and that their monetary assets were at risk and that the only way to fix it would be for the victim to liquidate their bank account, buy gold bullion, and then transfer that gold bullion to another federal agent who would maintain the gold for supposed safe keeping until the “federal investigation” was completed. When in truth and in fact, there was no federal investigation, but this was an online scam to steal money and property from the victim.
Patel worked as a courier in this wire fraud scheme. On October 7, 2023, he flew from Boston to New Orleans, rented a car, and drove to the victim’s residence to retrieve the gold bullion. The victim had been instructed by Patel’s co-conspirator in India to place the gold bullion into the backseat of Patel’s rental car. Unbeknownst to Patel, however, the victim had contacted the Federal Bureau of Investigation (“FBI”) about the fraud scheme. The FBI set up a sting operation and video recorded Patel retrieving the package from the victim and driving away.
Troopers with the Louisiana State Police stopped Patel and he was placed under arrest. Following his arrest, Patel admitted to his part in this scheme and that he had flown to other places across the United States for gold pickups from other elderly victims. Patel further admitted that as he was being stopped by law enforcement officers, he deleted the “WhatsApp Business” application from his cell phone in order to conceal his communications with co-conspirators. The intended loss amount attributed to this fraud scheme was approximately $514,000.
“There is a keen federal interest to protect the elderly and prosecute those who take advantage of their vulnerability by using them to commit financial crimes,” said United States Attorney Brandon B. Brown. “This is a transnational crime, spanning from India to central Louisiana, that was investigated because the victim trusted his/her instincts and immediately contacted law enforcement. The Department of Justice is ready, willing, and able to seek justice for the elderly, who are the backbone of our country.”
“Victims in Louisiana lost nearly $12 million dollars to schemes just like this one last year and those are the people we know about,” said Special Agent in Charge Lyonel Myrthil of FBI New Orleans. “The victim in this case did exactly as we ask the public to do. Trust your instincts. Take a break and call law enforcement. These actors are getting bolder and potential victims are putting their lives at risk with these encounters. We ask the public to report any suspicious activity like this to IC3.gov or by calling 1-800-CALL-FBI.”
The case was investigated by the Federal Bureau of Investigation and Louisiana State Police and prosecuted by Assistant United States Attorney Mike Shannon.
To report elder fraud, contact the dedicated National Elder Fraud Hotline at 1-833-FRAUD-11 or 1-833-372-8311 and visit the FBI’s IC3 Elder Fraud Complaint Center at IC3.gov. To learn more about the Department of Justice’s elder justice efforts please visit the Elder Justice Initiative page.
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Republic Man Sentenced for Fentanyl Trafficking, Illegal FirearmsRead the Press Release
SPRINGFIELD, Mo. – A Republic, Mo., man was sentenced in federal court for illegally possessing fentanyl to distribute and several firearms following two instances in which he fled from law enforcement officers.
Tonikko Fewell, 35, was sentenced by U.S. District Judge M. Douglas Harpool to 16 years in federal prison without parole.
On April 22, 2024, Fewell pleaded guilty to two counts of possessing fentanyl with the intent to distribute, one count of possessing a firearm in furtherance of a drug-trafficking crime, and one count of being a felon in possession of a firearm.
On Aug. 16, 2021, law enforcement officers executed a search warrant at Fewell’s residence. Fewell drove by his residence while officers were executing the search warrant. Officers attempted to conduct a traffic stop, but Fewell dropped off a female passenger and quickly sped away at speeds over 100 miles per hour. Officers discontinued the pursuit over public safety concerns.
Officers searched Fewell’s residence and found approximately 588 grams of fentanyl, $3,420 in cash, and an Anderson .223-caliber semi-automatic rifle, which had been reported stolen, with a fully loaded 40-round magazine. Officers also found a Jimenez Arms 9mm semi-automatic pistol that had been reported stolen and a Walther 9mm semi-automatic pistol in a vehicle parked at the residence.
On Dec. 8, 2021, a Springfield, Mo., police detective attempted to conduct a traffic stop of an orange Cadillac Fewell was driving. The detective did not pursue the vehicle, but shortly afterward saw the vehicle had been involved in a three-car accident at the intersection of Commercial Street and National Avenue. The detective searched the vehicle and found 54 grams of fentanyl and $4,232 in cash. Fewell, a passenger, and their 2-year-old daughter were transported to the hospital for treatment.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Fewell has a prior felony conviction for unlawful use of a weapon.
This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Springfield, Mo., Police Department, the Greene County, Mo., Sheriff’s Department, the Republic, Mo., Police Department, and the Christian County, Mo., Sheriff’s Department.
Project Safe Neighborhoods
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.
Repeat Offender Sentenced to 135 Months in Prison for Possession of Child PornographyRead the Press Release
NEWARK, N.J. –A Hudson County, New Jersey, man was sentenced today to 135 months in prison for possessing images of child sexual abuse, U.S. Attorney Philip R. Sellinger announced.
Christopher Carvajal, 31, of North Bergen, New Jersey, previously pleaded guilty before U.S. District Judge Claire C. Cecchi to an information charging him with one count of possession of child pornography. Judge Cecchi imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
In April 2023, Carvajal’s iPhone was seized at Newark International Airport. A search revealed that Carvajal’s iPhone contained more than 900 video files and more than 400 image files depicting sexual abuse of minors, including infants or toddlers. Carvajal’s iPhone also contained communications in which Carvajal discussed his desire for sexual encounters with young children. Carvajal was previously convicted in the Superior Court of New Jersey, Bergen County, of a child pornography offense.
In addition to the prison term, Judge Cecchi sentenced Carvajal to 15 years of supervised release.
U.S. Attorney Sellinger credited special agents of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge Spiros Karabinas, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Matthew Specht of the Special Prosecutions Division in Newark.
Registered sex offender arrested on federal charges alleging he targets & exploits local high school studentsRead the Press Release
COLUMBUS, Ohio – Law enforcement agents arrested a Columbus man this morning on federal charges alleging he sexually exploited high school girls and coerced them into engaging in commercial sex acts.
Terrance P. Cummings, 29, has a criminal history of unlawful sexual conduct with minors dating back to 2016. In this case, Cummings’s federal child exploitation charge carries a mandatory minimum of 25 years and up to 50 years in prison and the coercion and enticement charge pending against him is punishable by at least 10 years and up to life in prison.
The FBI asks anyone with information related to the criminal allegations against Cummings to text 740-428-0739.
According to an affidavit filed in support of the criminal complaint, in July 2024, the Central Ohio Human Trafficking Task Force received information about a 16-year-old victim allegedly receiving gifts and illicit substances from Cummings in exchange for sex acts.
The court documents allege Cummings had sex with numerous minor victims in exchange for drugs in addition to requesting nude images of them. On some occasions, Cummings would allegedly provide the drug to the minor victims before engaging in sex acts with them. It is alleged that Cummings sold or provided fentanyl, marijuana, Xanax, cocaine, acid and ecstasy.
While executing a search warrant at Cummings’s apartment in August, agents discovered a variety of narcotics, along with two iPhones submerged in the water tank on the back of the bathroom toilet, which Cummings had allegedly attempted to destroy after learning about the warrant.
Cummings’s electronics and other accounts contained more than 18,000 sexual images and videos including child pornography. The investigation revealed that Cummings requested sexually explicit content in exchange for money, gifts and drugs.
Cummings is charged with sexually exploiting a minor, distributing, receiving or possessing child pornography, coercion and enticement of a minor, and obstruction of justice. His case was unsealed today, and he appeared in federal court at 1:15pm.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Elena Iatarola, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Ohio Attorney General Dave Yost announced the charges. Assistant United States Attorneys Emily Czerniejewski and Jennifer Rausch are representing the United States in this case.
The Central Ohio Human Trafficking Task Force was formed under Ohio Attorney General Dave Yost’s Ohio Organized Crime Investigations Commission, and includes resources from the Columbus Division of Police, Homeland Security Investigations, Delaware County Sheriff’s Office, Powell Police Department, Bureau of Criminal Investigations, The Ohio State University Police Department, Marysville Division of Police, Salvation Army, Southeast Healthcare, the Franklin County Prosecutor’s Office and the Delaware County Prosecutor’s Office.
A criminal complaint merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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