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Monday 26 August 2024
Gate City Pharmacist Sentenced for Tampering with OxycodoneRead the Press Release
ABINGDON, Va. – A Gate City, Virginia pharmacist who tampered with oxycodone and hydromorphone was sentenced last week to 24 months in federal prison.
Dillon West Breeding, 34, pled guilty in June 2024 to one count of tampering with consumer products.
“Ensuring the integrity of our prescription drugs is vital to maintaining the public’s confidence in our healthcare system,” United States Attorney Christopher R. Kavanaugh said today. “When patients go to the pharmacy, they trust the medicines they receive are legitimate, and prosecutions like this one go a long way towards ensuring that trust. I am grateful to the FDA, Virginia Department of Health Professions, Virginia State Police, and the Gate City Police for bringing this important matter forward.”
“FDA-OCI remains committed to safeguarding the drug supply chain from individuals who endanger public health and safety by tampering with products,” said George Scavdis, Special Agent in Charge, FDA Office of Criminal Investigations, Metropolitan Washington Field Office. “When pharmacists betray their customers’ trust by tampering with narcotic medications, they not only risk causing needless suffering from ineffective substitutes but also put lives at risk by introducing potentially harmful substances into the drug supply chain. The foundational work of the Gate City Police Department and our valued partnership with the Virginia State Police were integral to our efforts in safeguarding public health and safety in this case.”
According to court documents, Breeding swapped oxycodone tablets with prednisone, a steroid used to treat inflammation, and replaced hydromorphone tablets with leflunomide, a drug used to treat rheumatoid arthritis.
Additionally, Breeding would dispense medication to patients and short them pills, keeping the additional pills for himself.
Because Breeding tampered with these products, a pharmacist could have filled and dispensed the wrong drug to a customer, placing them in danger of death or bodily injury.
The Food and Drug Administration - Office of Inspector General, the Virginia Department of Health Professions, along with the Gate City Police Department and the Virginia State Police, investigated the case.
Assistant U.S. Attorney Carrie Macon prosecuted the case for the United States.
Former Willard Mayor Sentenced for $300,000 Fraud SchemeRead the Press Release
SPRINGFIELD, Mo. – A former mayor and alderman of Willard, Mo., was sentenced in federal court today for a five-year-long scheme in which he used personal identity information to steal nearly $300,000 from more than 500 truck drivers who worked for his employer.
Corey Louis Hendrickson, 46, of Springfield, Mo., was sentenced by U.S. District Judge Brian C. Wimes to three years in federal prison without parole. The court also ordered Hendrickson to pay $298,737 in restitution.
On Oct. 24, 2023, Hendrickson pleaded guilty to one count of wire fraud and one count of aggravated identity theft. Hendrickson, who served as Willard’s mayor from 2015 to 2021 before being elected as an alderman in 2022, resigned from his position on the Willard Board of Aldermen the same day.
Hendrickson admitted that he gained unauthorized access to the fuel expense accounts of more than 500 individuals and conducted more than 1,000 fraudulent transactions that resulted in at least $298,737 being stolen from his victims. Hendrickson’s fraud scheme lasted almost five years, from Sept. 9, 2016, to Aug. 17, 2021.
Hendrickson worked as a fleet dispatcher for Prime, Incorporated, a freight transportation and logistics trucking company that is headquartered in Springfield. Prime contracted with ComData to serve as a payment processor and issuer of fleet fuel cards, and to maintain the financial accounts of Prime drivers that were used to pay for fuel costs as needed by the truck drivers. Prime put funds into each driver’s ComData account, which was then utilized for driving expenses such as fuel. ComData cards were used by the drivers like a bank card.
Hendrickson used his computer access to steal the identity information of drivers and withdraw nearly $300,000 from the accounts intended to pay for the fuel costs for drivers employed by Prime. He transferred the stolen funds into his personal bank accounts.
According to court documents, Hendrickson’s victims incurred losses that ranged between less than $100 to $6,495, with the average loss of a few hundred dollars for each Prime driver’s account.
This case was prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the U.S. Secret Service and the Springfield, Mo., Police Department.
Former Town of Cortlandt Employee and Business Owner Plead Guilty to $2.4 Million Environmental Crime SchemeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today the guilty pleas of GLENN GRIFFIN, the owner, president, and principal of Griffin’s Landscaping Corporation, and ROBERT DYCKMAN, the former Assistant General Foreman for the Town of Cortlandt, in a scheme in which DYCKMAN gave GRIFFIN unauthorized access to the Town of Cortlandt’s Arlo Lane facility to dump loads of unauthorized materials. After dumping these loads, GRIFFIN received payments from the Town for hauling away the very materials that GRIFFIN had illegally dumped. GRIFFIN also pled guilty to a separate bid-rigging scheme. GRIFFIN and DYCKMAN pled guilty today before U.S. Magistrate Judge Victoria Reznik.
U.S. Attorney Damian Williams said: “Robert Dyckman, a former Town of Cortlandt employee, used his important public position to enrich himself and damage public land and fragile wetlands by allowing Glenn Griffin, a business owner and president, to illegally dump harmful, unauthorized materials on public property. Brazenly, Griffin then billed and received payments from the Town for removing and hauling away the very materials that he had illegally dumped. Today, thanks to our law enforcement partners and the dedicated prosecutors of this Office, Griffin and Dyckman have admitted to their crimes and must pay $2.4 million in restitution to their victims. Today’s pleas are a reminder that this Office will bring to justice any public official or business leader who defrauds the public and causes damage to our environment.”
According to allegations in the Indictment and Superseding Informations and statements made in public filings and court proceedings:
Illegal Dumping Scheme
From 2018 until February 2020, GRIFFIN and DYCKMAN engaged in an unauthorized dumping scheme. DYCKMAN gave GRIFFIN and his employees unauthorized access to Arlo Lane, a Cortlandt facility, to dump hundreds of large truckloads of unauthorized materials such as thick concrete, cement with rebar, tiles, bricks, large rocks, and soil. After the illegal dumping, GRIFFIN billed and received payments from the Town of Cortlandt for removing and hauling away the very materials that GRIFFIN had illegally dumped at Arlo Lane with DYCKMAN’s assistance.
DYCKMAN generally allowed GRIFFIN and his employees access to Arlo Lane on Saturdays or after working hours. To carry out the scheme, DYCKMAN would attempt to clear senior Town of Cortlandt management away from Arlo Lane around the time of the unauthorized dumping. When DYCKMAN arranged for a subordinate Town of Cortlandt worker to work overtime when GRIFFIN was dumping unauthorized loads, DYCKMAN would falsely record the worker’s overtime as having occurred during the week in order to conceal the scheme.
In exchange for access to Arlo Lane, GRIFFIN paid DYCKMAN cash bribes.
GRIFFIN and DYCKMAN have agreed to pay the Town of Cortlandt and the Westchester Land Trust, a 501(c)(3) tax-exempt organization which owns damaged wetlands abutting the Town of Cortlandt’s Arlo Lane property, a total of $2.4 million to remediate and restore their property following GRIFFIN and DYCKMAN’s criminal conduct.
Bid-Rigging Scheme
Between 2015 and 2018, GRIFFIN also engaged in a bid-rigging scheme. GRIFFIN defrauded the village of Croton-on-Hudson for work on its schools, and the hamlet of Verplanck for work at its fire department. GRIFFIN made sham, non-competitive, and inflated bids on behalf of entities that GRIFFIN did not work for or have authorization to submit bids on behalf of, so that GRIFFIN would be the low bidder in a pool of purportedly competitive bids and receive public money for work on the projects. Based on these sham, non-competitive, and inflated bids, GRIFFIN was awarded contracts with a combined value exceeding $133,000.
* * *
GRIFFIN, 55, of Cortlandt Manor, New York pled guilty to one count of conspiracy to commit bribery and one count of conspiracy to commit wire fraud, each of which carries a maximum sentence of 5 years in prison. DYCKMAN, 52, of Verplanck, New York, pled guilty to one count of conspiracy to commit mail fraud, which carries a maximum sentence of 5 years in prison. GRIFFIN and DYCKMAN are both scheduled to be sentenced by U.S. District Judge Vincent L. Briccetti on December 5, 2024.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation and the Westchester County Police Department in this investigation. Mr. Williams also thanked the Westchester County District Attorney’s Office and the New York City Department of Investigation for their assistance in the investigation.
This case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorneys David R. Felton and James McMahon are in charge of the prosecution.
Former Marine convicted of receiving and possessing thousands of images and videos of child sexual abuseRead the Press Release
ALEXANDRIA, Va. – A federal judge convicted a former U.S. Marine today on charges of receiving and possessing child sexual abuse material (CSAM).
According to court records and evidence presented at trial, in February 2021, Eman Goodwin, 33, attempted to obtain CSAM from a CSAM trafficker on Kik, who was later convicted of production of child pornography. Goodwin told the trafficker he was specifically looking for “younger than HS” and “12 and under.”
On March 24, 2022, the FBI executed a search warrant and seized 21 electronic devices from Goodwin’s apartment, his pocket, and his car. Forensic examination of the devices revealed that Goodwin used two laptops to download CSAM from the Internet and stored the CSAM on an external hard drive. The hard drive contained nearly 5,000 images and videos depicting children, including prepubescent children, engaged in sexually explicit conduct and bestiality. Goodwin categorized the files into folders with explicit titles, including “CP FULL” and “under 18 nude girl vids.” The defendant also saved hundreds of CSAM files on three cell phones, including on the phones from his pocket and his car.
Goodwin faces a mandatory minimum of five years in prison when sentenced on Dec 13. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office; and Brian Platt, Special Agent in Charge of the Naval Criminal Investigative Service (NCIS) Washington D.C. Field Office, made the announcement after Senior U.S. District Judge Claude M. Hilton entered the verdict.
Assistant U.S. Attorneys Lauren Halper and Seth Schlessinger are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:23-cr-161.
Former Kern County Man Sentenced to 20 Years in Prison for Sexual Exploitation of a MinorRead the Press Release
FRESNO, Calif. — James Patrick Breedlove III, 34, formerly of Bakersfield, was sentenced today to 20 years and 10 months in prison to be followed by a lifetime term of supervised release for sexual exploitation of a minor, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between January 2019 and August 2020, Breedlove knowingly coerced minors to engage in sexually explicit conduct for the purpose of producing images and videos of such conduct. In January 2020, Breedlove posed as a 16-year-old to obtain images and videos of a minor victim engaging in sexually explicit conduct. After receiving one such image, Breedlove threatened to send it to other children at the minor victim’s school if she did not send more images and videos of herself engaging in sexually explicit conduct.
Court documents also indicate that Breedlove used Snapchat to contact multiple other minor victims between the ages of 13 and 17 years old. By misrepresenting his identity and threatening to distribute the images, Breedlove coerced other minor victims to send images and videos of themselves engaging in sexually explicit conduct.
This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Brittany M. Gunter prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States 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.
El Departamento de Justicia llega a un acuerdo con una compañía de gestión de transporte que resuelve acusaciones de discriminación relacionada con la inmigraciónRead the Press Release
El Departamento de Justicia anunció hoy que ha llegado a un acuerdo conciliatorio con BreakthroughFuel, LLC (Breakthrough), una compañía de gestión de transporte con sede en Green Bay, Wisconsin, con operaciones a nivel nacional. El acuerdo resuelve la determinación del Departamento que Breakthrough infringió la ley de Inmigración y Nacionalidad (INA, por sus siglas en inglés) al discriminar a un trabajador no ciudadano de los EE. UU. cuando la empresa retiró su oferta de trabajar en un proyecto en función de su estatus de ciudadanía.
«Los empleadores no pueden excluir ilegalmente a personas con permiso para trabajar en los Estados Unidos debido a su estatus de ciudadanía», afirmó Kristen Clarke, la Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia. «El Departamento se compromete a garantizar que los empleadores no nieguen ilegalmente a los trabajadores el trato igualitario en el lugar de trabajo».
Después de abrir una investigación basada en la queja de un trabajador, la Sección de Derechos de Inmigrantes y Empleados (IER, por sus siglas en inglés), de la División de Derechos Civiles, concluyó que Breakthrough, que utilizó una agencia externa de dotación de personal para cubrir un puesto en el proyecto de Breakthrough, pidió a la agencia que retirara una oferta de trabajo a un trabajador cuando Breakthrough se enteró de que no era un ciudadano de los EE. UU. Por otra parte, la IER también concluyó que Breakthrough no tenía ninguna justificación legal para retirar la oferta.
Conforme los términos del acuerdo, Breakthrough pagará una sanción civil a los Estados Unidos, capacitará a sus empleados en cuanto a los requisitos antidiscriminatorios de la INA, revisará sus políticas de empleo y se someterá a supervisión por parte del Departamento. Durante el transcurso de la investigación de IER, Breakthrough y la agencia de dotación de personal proporcionaron al trabajador una compensación monetaria para abordar su reclamación de salarios perdidos.
La IER es responsable de hacer cumplir la disposición antidiscriminatoria de la INA. Entre otras cosas, la ley prohíbe la discriminación por motivos de estatus de ciudadanía y nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión, prácticas documentales injustas y represalias e intimidación.
Puede obtener más información sobre cómo los empleadores pueden evitar la discriminación en la contratación y el reclutamiento en el sitio web de la IER. Aprenda más sobre el trabajo de la IER y cómo conseguir ayuda mediante este vídeo corto. Aquellos aspirantes o empleados que creen haber sido discriminados por motivos de su ciudadanía, estatus migratorio o nacionalidad de origen en los procesos de contratación, despido, reclutamiento o verificación de la elegibilidad para trabajar (Formulario I-9 e E-Verify) o sujetos a represalias pueden presentar una denuncia. El público también puede llamar a la línea directa de la IER para trabajadores al 1-800-255-7688 (1-800-237-2515, TTY para personas con discapacidades auditivas); llamar a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); inscribirse a un seminario en línea gratuito o visualizar una presentación a la carta; enviar un correo electrónico a [email protected]; o visitar los sitios web de la IER en inglés y español. Inscríbase para recibir actualizaciones por correo electrónico desde la IER.
Court Sentences Mobile Man to 10 Years Imprisonment for Methamphetamine Trafficking with a FirearmRead the Press Release
MOBILE, AL – On August 23, 2024, United States District Court Judge, Kristi K. DuBose sentenced Tymel Rashad Franklin to 120 months imprisonment for possession with the intent to distribute methamphetamine and possession of a firearm in furtherance of the drug trafficking.
Documents filed with the court established that on January 6, 2021, Mobile Police Department officers used a confidential informant to purchase approximately one ounce of methamphetamine from the defendant. When Franklin sold the methamphetamine to the informant, Franklin was armed with a Glock 32 handgun in his waistband. The defendant also had a digital scale with methamphetamine and marijuana residue on it in his pocket, and also had $2,649 in cash at the time. The defendant had been previously convicted of receiving stolen property and possession of marijuana first degree in 2015.
The case was investigated by the Bureau of Alcohol Tobacco and Firearms and the City of Mobile Police Department. The case was prosecuted by Assistant United States Attorney George F. May.
Colorado Dentist Charged with Tax EvasionRead the Press Release
A federal grand jury in Denver returned an indictment unsealed on Friday charging a Colorado dentist with six counts of tax evasion for his use of an illegal tax shelter.
According to the indictment, since 2014, Ryan Ulibarri owned and operated Ulibarri Family Dentistry in Fort Collins. In 2016, Ulibarri allegedly purchased a tax shelter for $50,000. From 2017 through 2022, Ulibarri allegedly used this tax shelter to conceal from the IRS over $3.5 million in income he earned.
To effectuate the tax shelter, Ulibarri allegedly signed trust instruments purporting to create three trusts and a private foundation and opened bank accounts in the name of each entity. He also allegedly re-structured his dental practice so that the majority of it was purportedly owned by one of the trusts. Ulibarri allegedly transferred nearly all the funds he earned from his dental practice to the bank accounts for the trusts and foundation he created. He allegedly used those funds to pay personal expenses, such as the mortgage on his home and his credit card bills. Finally, he allegedly filed false tax returns for himself and the trusts that assigned the income he earned and controlled from his practice to the trusts.
In total, Ulibarri is alleged to have caused a tax loss to the IRS of over $1 million.
If convicted, Ulibarri faces a maximum penalty of five years in prison for each count of tax evasion. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement.
IRS Criminal Investigation is investigating the case.
Trial Attorneys Amanda R. Scott and Lauren K. Pope and Senior Litigation Counsel Corey J. Smith of the Tax Division are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Ulibarri Indictment.pdfCity of Los Angeles Agrees to Pay $38.2M to Resolve False Claims Act Suit for Alleged Misuse of Department of Housing and Urban Development Grant FundsRead the Press Release
The City of Los Angeles has agreed to pay $38.2 million to resolve allegations that it knowingly failed to meet federal accessibility requirements when it sought and used Department of Housing and Urban Development (HUD) grant funds for multifamily affordable housing.
HUD provides grant funds to Los Angeles and other cities to support housing and community development, including building and rehabilitating affordable multifamily housing units. Recipients of federal housing development funds must comply with federal accessibility laws, including Section 504 of the Rehabilitation Act, Americans with Disabilities Act and Fair Housing Act. These laws prohibit discrimination against people with disabilities in activities receiving federal financial assistance. For example, the laws require 5% of all units in certain federally-assisted multifamily housing be accessible for people with mobility impairments and an additional 2% be accessible for people with visual and auditory impairments. Recipients of federal funds must also implement other housing-related accessibility requirements, including maintaining a publicly available list of accessible units with a description of their accessibility features, adopting policies and procedures to ensure that people who need the accessibility features of particular units occupy them and designating at least one city employee to coordinate accessibility efforts.
In 2017, the United States intervened and filed a complaint in a whistleblower action filed under the False Claims Act alleging that, for over a decade, the City of Los Angeles failed to follow federal accessibility laws when building and rehabilitating affordable multifamily properties and failed to make its affordable multifamily housing program accessible to people with disabilities. The United States alleged that the housing was not structurally accessible because of failures like slopes that were too steep, counters that were too high, and thresholds that did not permit wheelchair access. The United States further alleged that the city failed to maintain a publicly available list of accessible units and their accessibility features. The United States alleged that the city, on an annual basis, knowingly and falsely certified to HUD that it complied with these grant requirements despite its failure to do so. Today’s settlement resolves the pending lawsuit.
“This settlement shows that we will hold accountable jurisdictions receiving federal grant money to ensure they satisfy their obligations to make affordable housing accessible to people with disabilities,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Our years spent litigating this case demonstrate the department’s steadfast commitment to this effort.”
“Municipalities that receive federal grant money for affordable and accessible housing must comply with federal law and honor the rights of people with disabilities,” said First Assistant U.S. Attorney Joseph T. McNally for the Central District of California. “The nearly $40 million settlement here demonstrates our commitment to ensuring municipalities receiving federal funds comply with federal law. We will continue to work with the City of Los Angeles to ensure equal access for individuals with disabilities.”
“By failing to make certain that HUD-funded multifamily housing was appropriately built or rehabilitated to meet federal accessibility requirements, the city discriminated against people with disabilities,” said Inspector General Rae Oliver Davis of HUD. “HUD’s Office of the Inspector General will continue to work with our law enforcement partners to hold accountable those who fail to meet their legal obligations for the housing needs of people with disabilities.”
“The settlement announced today sends a clear message that HUD and its partners at the Department of Justice will work tirelessly to protect the integrity of HUD’s programs and demonstrates the importance of providing accessible housing,” said General Counsel Damon Smith of HUD. “In this instance, HUD determined that the City of Los Angeles fell far short of its responsibilities to provide HUD-funded accessible housing, but the settlement agreement provides a fresh start for HUD and the City to work collaboratively to address the City’s pressing housing needs.”
The False Claims Act permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The Act permits the United States to intervene and take over responsibility for litigating such an action, as the United States did here. The lawsuit is captioned U.S. ex rel. Ling, et al. v. City of Los Angeles, et al., No. CV11‐00974, and was brought by a Los Angeles resident who uses a wheelchair and the Fair Housing Council of San Fernando Valley, a nonprofit disability rights advocacy group. The private parties’ share of the settlement has not yet been determined.
In 2020, the United States settled for $3.1 million allegations against another defendant in the lawsuit, CRA/LA, the successor of the Community Redevelopment Agency of the City of Los Angeles, a local redevelopment agency that financed and assisted in the development of multifamily affordable housing using local tax monies and federal grants.
The resolutions obtained in this litigation were the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and U.S. Attorney’s Office for the Central District of California, with assistance from HUD’s Office of General Counsel and Office of Inspector General.
Attorneys William C. Edgar, Jennifer Chorpening, Daniel W. Kastner and Wesley J. Heath of the Civil Division of the Civil Division’s Fraud Section and Assistant U.S. Attorneys Karen Paik and Paul La Scala for the Central District of California handled the case.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
SettlementCity of Los Angeles Agrees to Pay $38.2 Million to Resolve False Claims Act Suit for Alleged Misuse of HUD Grant FundsRead the Press Release
SETTLEMENT AGREEMENTLOS ANGELES – The City of Los Angeles has agreed to pay $38.2 million to resolve allegations that it knowingly failed to meet federal accessibility requirements when it sought and used U.S. Department of Housing and Urban Development (HUD) grant funds for multifamily affordable housing, the Justice Department announced today.
“Municipalities that receive federal grant money for affordable and accessible housing must comply with federal law and honor the rights of people with disabilities,” said First Assistant United States Attorney Joseph T. McNally. “The nearly $40 million settlement here demonstrates our commitment to ensuring municipalities receiving federal funds comply with federal law. We will continue to work with the City of Los Angeles to ensure equal access for individuals with disabilities.”
HUD provides grant funds to Los Angeles and other cities to support housing and community development, including building and rehabilitating affordable multifamily housing units. Recipients of federal housing development funds must comply with federal accessibility laws, including Section 504 of the Rehabilitation Act, the Americans with Disabilities Act and the Fair Housing Act. These laws prohibit discrimination against people with disabilities in activities receiving federal financial assistance.
For example, the laws require five percent of all units in certain federally-assisted multifamily housing be accessible for people with mobility impairments and an additional two percent be accessible for people with visual and auditory impairments.
Recipients of federal funds must also implement other housing-related accessibility requirements, including maintaining a publicly available list of accessible units with a description of their accessibility features, adopting policies and procedures to ensure that people who need the accessibility features of particular units occupy them, and designating at least one city employee to coordinate accessibility efforts.
In 2017, the United States intervened and filed a complaint in a whistleblower action filed under the False Claims Act alleging that, for over a decade, the City of Los Angeles failed to follow federal accessibility laws when building and rehabilitating affordable multifamily properties and failed to make its affordable multifamily housing program accessible to people with disabilities. The United States alleged that the housing was not structurally accessible because of failures like slopes that were too steep, counters that were too high, and thresholds that did not permit wheelchair access. The United States further alleged that the city failed to maintain a publicly available list of accessible units and their accessibility features. The United States alleged that the city, on an annual basis, knowingly and falsely certified to HUD that it complied with these grant requirements despite its failure to do so. Today’s settlement resolves the pending lawsuit.
“This settlement shows that we will hold accountable jurisdictions receiving federal grant money to ensure they satisfy their obligations to make affordable housing accessible to people with disabilities,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Our years spent litigating this case demonstrate the department’s steadfast commitment to this effort.”
“By failing to make certain that HUD-funded multifamily housing was appropriately built or rehabilitated to meet federal accessibility requirements, the city discriminated against people with disabilities,” said HUD Inspector General Rae Oliver Davis. “HUD’s Office of the Inspector General will continue to work with our law enforcement partners to hold accountable those who fail to meet their legal obligations for the housing needs of people with disabilities.”
“The settlement announced today sends a clear message that HUD and its partners at the Department of Justice will work tirelessly to protect the integrity of HUD’s programs and demonstrates the importance of providing accessible housing,” said General Counsel Damon Smith of HUD. “In this instance, HUD determined that the City of Los Angeles fell far short of its responsibilities to provide HUD-funded accessible housing, but the settlement agreement provides a fresh start for HUD and the City to work collaboratively to address the City’s pressing housing needs.”
The settlement resolves a lawsuit filed under the qui tam or whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The Act permits the United States to intervene and take over responsibility for litigating these cases, as the United States did in 2017 here. The qui tam case is captioned United States ex rel. Ling, et al. v. City of Los Angeles, et al., No. CV11‐00974 (C.D. Cal.), and was brought by a Los Angeles resident who uses a wheelchair and the Fair Housing Council of San Fernando Valley, a nonprofit disability rights advocacy group. A relator share has not yet been determined.
In 2020, the United States settled for $3.1 million allegations against another defendant in the lawsuit, CRA/LA, the successor of the Community Redevelopment Agency of the City of Los Angeles, a local redevelopment agency that financed and assisted in the development of multifamily affordable housing using local tax monies and federal grants.
The resolution obtained in this litigation was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the United States Attorney’s Office for the Central District of California, with assistance from HUD’s Office of General Counsel and Office of Inspector General.
The matter was handled by Assistant United States Attorneys Karen Y. Paik and Paul B. La Scala of the Civil Division’s Civil Fraud Section and Justice Department Fraud Section attorneys William C. Edgar, Jennifer Chorpening, Daniel W. Kastner, and Wesley J. Heath of the Civil Division.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Charlotte Business Owner Convicted of Selling Fraudulently Obtained iPhones Overseas Is Sentenced to PrisonRead the Press Release
CHARLOTTE, N.C. – Rami Mahmod Mhana, 46, of Charlotte, was sentenced to 68 months in prison followed by three years of supervised release today for selling stolen and fraudulently obtained iPhones and other electronic devices to buyers overseas, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In May 2023, a federal jury convicted Mhana of conspiracy, international transportation of stolen goods, and money laundering,
Jason Byrnes, Special Agent in Charge of the United States Secret Service (USSS), Charlotte Field Office, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.
According to court documents, trial evidence, and witness testimony, Mhana was the owner of Wireless City Fashions, Inc. (Wireless City) and Protocol Business Group Inc. (Protocol), located at 441 Bradford Drive in Charlotte, as well as multiple Boost mobile stores in the Charlotte area. From at least May 2017 through October 2019, Mhana purchased thousands of brand-new Apple iPhones and other electronic devices that were stolen and fraudulently obtained. Mhana then sold and shipped the iPhones to the United Arab Emirates (the U.A.E.) and the Hong Kong Special Administrative Region of the People’s Republic of China (Hong Kong).
Court records show that Mhana obtained a significant portion of the stolen and fraudulently obtained devices from multiple local “boosters.” A booster is a person who steals or obtains through fraud goods and products and sells them for profit. Mhana’s store on Bradford Drive was known to local boosters as a place they could sell stolen devices for cash with no questions asked. In fact, as trial evidence established, Mhana provided his employees with a pricelist of how much they should pay for certain new model iPhones and other electronic devices, which was significantly less than retail value of the devices. The Court ordered Mhana to pay restitution in the amount of $3,649,033 to the victims of the fraud scheme. The Court also ordered Mhana to forfeit $229,118 and more than 100 new-in-the box iPhones seized during the investigation.
Mhana will be ordered to report to the federal Bureau of Prisons upon designation of a federal facility.
In a separate case, two Charlotte businessmen were sentenced to prison in August 2023, for orchestrating a similar scheme.
Both cases were the result of the investigative efforts of CMPD and the Secret Service, which have established a fully integrated partnership to combat the most significant organized criminal groups operating in Charlotte. Through this partnership, this unit has successfully leveraged local and federal resources, personnel, expertise and authorities to identify and combat the criminals and criminal organizations that have the largest negative impact on the community.
Assistant U.S. Attorneys Michael E. Savage, William Bozin, and Benjamin Bain-Creed of the U.S. Attorney’s Office in Charlotte prosecuted the cases.
California Lobbying Firm Agrees to Settle Fraud Allegations Involving Paycheck Protection Program LoanRead the Press Release
california_advisors_settlement_agreement_v.1.pdfSACRAMENTO, Calif. — California Advisors LLC, Delaney Hunter, and William Gonzalez have agreed to pay the United States a combined $580,000 in damages and penalties to resolve allegations that they violated the False Claims Act and the Financial Institutions Reform, Recovery and Enforcement Act by receiving a loan under the Paycheck Protection Program (PPP), U.S. Attorney Phillip A. Talbert announced.
Congress created the PPP in March 2020, as part of the Coronavirus Aid, Relief, and Economic Security Act, to provide relief to small businesses experiencing economic hardship during the COVID-19 pandemic. Although many businesses were eligible for these loans, some businesses were not, including those primarily engaged in political or lobbying activities.
In April 2020, California Advisors, a lobbying firm, through its partners Delaney Hunter and William Gonzalez, applied for and received a PPP loan in the amount of $144,340. The Small Business Administration forgave the loan in February 2021. This settlement resolves allegations that California Advisors, Delaney Hunter, and William Gonzalez knowingly made false statements in certifying the business’s eligibility for a PPP loan. As part of the settlement, California Advisors agreed to pay approximately $380,000 in damages under the False Claims Act and approximately $150,000 in civil penalties under the Financial Institutions Reform, Recovery and Enforcement Act. Delaney Hunter and William Gonzalez have agreed to pay $25,000 each for their involvement in the false certification in California Advisors LLC’s PPP loan application and loan forgiveness application.
“The Paycheck Protection Program was a vital resource to struggling small businesses during the darkest hours of the COVID-19 pandemic,” said U.S. Attorney Talbert. “This Office will continue to investigate businesses who took advantage of these funds at the expense of other small businesses.”
SBA’s General Counsel Therese Meers stated, “The favorable settlement in this case is the product of enhanced efforts by federal agencies such as the Small Business Administration working with the U.S. Attorney’s Office, SBA’s Office of Inspector General and other Federal law enforcement agencies, as well as private individuals who uncover fraudulent conduct to recover the product of this fraud as well as penalties.”
The matter was handled by Assistant U.S. Attorney Tara Amin.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across the government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The claims resolved by this settlement are allegations only, and there has been no determination of liability.
Cabell County Man Sentenced to Prison for Role in Methamphetamine Trafficking OrganizationRead the Press Release
HUNTINGTON, W.Va. – Walter Alvin Cremeans, 57, of Culloden, was sentenced today to five years and 10 months in prison, to be followed by three years of supervised release, for possession with intent to distribute methamphetamine. Cremeans admitted to his role in a drug trafficking organization (DTO) responsible for distributing large quantities of methamphetamine and fentanyl in the Southern District of West Virginia.
According to court documents and statements made in court, on October 28, 2023, a law enforcement officer conducted a traffic stop of a vehicle driven by Cremeans on the 4200 block of Ohio River Road in Huntington. Cremeans admitted that he placed approximately 97 grams of methamphetamine in a cup that was thrown from his vehicle during the traffic stop. The officer located and seized the methamphetamine on the ground outside of Cremeans’ vehicle. Cremeans further admitted that investigators observed him acquiring the seized methamphetamine just before the traffic stop, and that he had arranged to receive the methamphetamine during multiple phone calls that were intercepted by investigators.
Cremeans is among 27 individuals indicted in a 53-count indictment that charges the defendants with distributing methamphetamine and fentanyl transported from Detroit, Michigan, in Huntington and other locations within the Southern District of West Virginia.
Cremeans is also among 21 defendants who have pleaded guilty in the main case. One other of the 27 indicted individuals pleaded guilty to a related offense in a separate case. The indictment against the remaining defendants is pending. An indictment is merely an allegation and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Cabell County Sheriff’s Department, the Drug Enforcement Administration (DEA), the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the U.S. Postal Inspection Service. MDENT is composed of the Charleston Police Department, the Kanawha County Sheriff’s Office, the Putnam County Sheriff’s Office, the Nitro Police Department, the St. Albans Police Department and the South Charleston Police Department.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorneys Joseph F. Adams and Stephanie Taylor prosecuted the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-180.
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Burlington County, N.J., Man Sentenced to over Three Years in Prison for Two Business Schemes That Defrauded Investors of Approximately $550,000Read the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Michael Salerno, 55, of Mount Laurel, New Jersey, was sentenced today by United States District Court Judge Paul S. Diamond to 37 months’ imprisonment and ordered to pay restitution in the amount of $549,835 in connection with multiple elaborate schemes that defrauded hundreds of investors out of more than half a million dollars.
Salerno was indicted for the schemes in September of 2020, and in February 2023, pleaded guilty to three counts of wire fraud.
Between September 2016 and at least November 2018, the defendant operated a series of businesses, including Black Diamond Forex, L.P., BDF Trading, L.P., Advanta Capital Markets, Inc., and Advanta FX, each of which purported to be in the business of trading foreign currencies. Using a variety of misrepresentations and omissions, Salerno induced victims to pay advance fees — up-front payments of typically more than $1,000 — in order to be hired by Salerno’s company. He told the victims that, upon their hiring, he would make available to them a pool of $10 million that they could trade on the foreign currency market and take a generous cut of any profits. Each of these representations was false.
To make his fraudulent activities appear legitimate, Salerno held himself out as a sophisticated and successful businessman. He claimed that he had been a profitable currency trader, and to have managed a real estate empire, a portion of which he said he sold for $10 million to fund the currency-trading venture — none of which was true, either. In fact, he declared bankruptcy twice, most recently in 2015, and had been evicted multiple times from rental homes for failure to pay rent. In 2005, he pleaded guilty to federal tax charges and was sentenced to 21 months in prison. He failed to disclose any of this to the victims before taking their money, instead collecting more than $300,000 in advance fees and using the money for his own benefit.
The defendant’s currency-trading scheme came to a halt when he was advised that he was the target of an FBI investigation and the Commodity Futures Trading Commission sought and obtained an injunction against Salerno and his businesses in 2018. However, Salerno turned immediately to a second scheme. Between May 2018 and at least December 2019, he operated a company called AccuOne Financial, Inc., which purported to be in the business of assisting clients in ridding themselves of unwanted automobile leases. It also purported to offer a different set of clients, whose personal credit precluded them from obtaining an automobile lease, access to automobile leases, low-interest vehicle loans, and credit repair services. But Salerno failed to do as promised, instead ripping off both sets of clients. The defendant took the unwanted vehicles from the first set of clients, made few, if any, of the required lease payments, and then gave the vehicles to the second set of clients who could not obtain their own leases, in exchange for substantial monthly fees. The predictable result of this house of cards-style scheme was that the clients who wanted to get out of their leases either continued to make monthly lease payments for cars they no longer had or suffered substantial damage to their credit, and the clients who leased cars from AccuOne often had them repossessed without warning. Salerno netted several hundred thousand dollars from this scheme alone.
“Michael Salerno is a modern-day snake oil salesman,” said U.S. Attorney Romero. “Upon learning that his fraud scheme had caught the FBI’s attention, he didn’t close up shop and clean up his act – he simply pivoted to a different scheme. Today’s sentence holds him accountable for the harm he’s caused and brings a measure of justice for his victims. My office and the FBI are working every day to put scammers and swindlers like this out of business.”
"Under the guise of a businessman, Salerno was truly a criminal, devising schemes built on manipulation and lies, which placed the financial security of his victims at risk,” said Wayne A. Jacobs, Special Agent in Charge of FBI Philadelphia. “The FBI will continue to rigorously pursue those who attempt to enrich themselves through fraudulent means.”
The case was investigated by the FBI and prosecuted by Assistant United States Attorney Matthew Newcomer and former Assistant United States Attorney Christopher J. Mannion.
Bank Employee Is Charged for Alleged Fraud SchemeRead the Press Release
CHARLOTTE, N.C. – A federal grand jury returned a criminal indictment last week against Jaminata Starks, 29, of Charlotte, for her role in a scheme involving fraudulent bank accounts, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Starks had her initial appearance in federal court today before U.S. Magistrate Judge David C. Keesler.
Cardell T. Morant, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD), join U.S. Attorney King in making today’s announcement.
According to allegations in the indictment, Starks was employed by a financial institution (Victim Bank) and worked for a branch in Charlotte. As part of her duties, Starks was authorized to, among other things, open new bank accounts for existing customers and transfer funds between customers’ accounts. The indictment alleges that, between April 13, 2022, and May 23, 2022, Starks conspired with others to misuse the Victim Bank’s customers’ personal identifying information (PII) to fraudulently open new bank accounts in the victims’ names and transfer funds out of the victims’ existing accounts into the fraudulent accounts, without the customers’ knowledge or consent. Starks and her co-conspirators then allegedly used various methods to withdraw the stolen funds.
According to the charges, during the scheme, Starks allegedly transferred at least $120,000 from the custody of the Victim Bank and made false entries in the Victim Bank’s books and records. It is further alleged that Starks was offered $1,000 for each fraudulent new account she created. In addition to the charges, the indictment contains a notice for a forfeiture money judgment in the amount of at least $30,000, that the government contends constitutes the proceeds of Starks’s alleged criminal conduct referenced in the indictment.
Starks is charged with conspiring to defraud the United States and to violate the laws of the United States, which carries a maximum penalty of five years in prison; four counts of making false entries in a bank record, which carries a maximum of up to 30 years in prison per count; and four counts of aggravated identity theft, which carries a mandatory two-year prison term, consecutive to any other prison term imposed, per count. Starks was released on bond following her initial appearance.
The charges against Starks are allegations and the defendant is innocent until proven guilty beyond a reasonable doubt in a court of law.
Assistant U.S. Attorney Michael E. Savage of the U.S. Attorney’s Office in Charlotte is prosecuting the case.
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Bakersfield Resident Sentenced for Drug ConspiracyRead the Press Release
FRESNO, Calif. —Jose Luis Zambrano, 40, of Bakersfield, was sentenced today to 12 years and seven months in prison for conspiring to distribute and possess with intent to distribute methamphetamine and heroin, U.S. Attorney Phillip A. Talbert announced. Today’s sentence will run consecutive to his state sentence.
According to court documents, from October 2016 to January 2017, Zambrano sold 1 pound of methamphetamine and nearly 12 ounces of heroin in four separate transactions involving a confidential source. A federal wiretap investigation also revealed that Zambrano was the source of drug supply for Manuel Teodoro Aros, 49, of Santa Maria, from whom law enforcement seized another 2.5 pounds of methamphetamine in March 2017, and, in June 2017, was the intended recipient of 5 ounces of heroin from Jesus Burgos-Luna, 43, a fugitive believed to be running the operation from Mexico. The wiretap investigation ended prematurely when Zambrano and another drug co-conspirator were arrested for murder-related charges.
Zambrano was brought to federal court following his conviction in May 2022 in Kern County Superior Court for solicitation to commit murder. Teodoro Aros previously entered a guilty plea for his involvement in the drug conspiracy and was sentenced to 13 years and eight months in prison.
This case was the product of an investigation by the Drug Enforcement Administration and the Bakersfield Police Department. Assistant United States Attorney Karen A. Escobar prosecuted the case.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about Organized Crime Drug Enforcement Task Forces, please visit Justice.gov/OCDETF.
Army Soldier Arrested for Using AI to Generate Child PornographyRead the Press Release
An Army soldier stationed at Joint Base Elmendorf-Richardson in Anchorage, Alaska, was arrested last week on criminal charges related to his alleged transportation, receipt and possession of files depicting child sexual abuse, and use of AI to generate sexually explicit images of children.
“The misuse of cutting-edge generative AI is accelerating the proliferation of dangerous content, including child sexual abuse material — so the Department of Justice is accelerating its enforcement efforts,” said Deputy Attorney General Lisa Monaco. “As alleged, the defendant used AI tools to morph images of real kids into horrific child sexual abuse material. Criminals considering the use of AI to perpetuate their crimes should stop and think twice — because the Department of Justice is prosecuting AI-enabled criminal conduct to the fullest extent of the law and will seek increased sentences wherever warranted.”
“As alleged, Seth Herrera possessed thousands of images depicting the violent sexual abuse of children, including infants. He also allegedly used AI to create images depicting the sexual exploitation of children he knew,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Today’s announcement should serve as yet another warning that the Criminal Division will aggressively pursue those who possess or produce child sexual abuse material, including where the images were generated through AI.”
According to court documents, Seth Herrera, 34, allegedly transported, received and possessed files depicting child sexual abuse. Herrera also allegedly used online AI chatbots to generate realistic child sexual abuse materials (CSAM) depicting minors known to him.
“Technology may change, but our commitment to protecting children will not,” said U.S. Attorney S. Lane Tucker for the District of Alaska. “We will aggressively pursue those who produce and traffic in child sexual abuse material (CSAM), no matter how that material was created. Put simply, CSAM generated by AI is still CSAM, and those who sexually exploit children, through whatever technological means, will be held accountable by our office in conjunction with our law enforcement partners, for justice and the safety of our children.”
“This investigation and indictment are a testament to the dedication of the men and women of Homeland Security Investigations to find and bring to justice those who exploit our nation’s children,” said Executive Associate Director Katrina W. Berger of Homeland Security Investigations (HSI). “Absolutely no child should suffer these travesties, and no person should feel immune from detection and prosecution for these crimes by HSI and its partners in law enforcement.”
“The charges against Herrera, a U.S. military soldier, for trafficking and generating child sexual abuse materials using artificial intelligence represent a profound violation of trust as well as preview of the challenges law enforcement continues to face in this evolving threat to our children” said Special Agent in Charge Robert Hammer of HSI Pacific Northwest Division. “This appalling misconduct undermines Herrera’s commitment to defending both our nation and its most vulnerable members.”
Herrera is charged with one count of transportation of child pornography, one count of receipt of child pornography, and one count of possession of child pornography. He will make his initial court appearance on Aug. 27 before U.S. Magistrate Judge Kyle F. Reardon of the U.S. District Court for the District of Alaska. If convicted, he faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
HSI and Army Criminal Investigation Division are investigating the case.
Trial Attorney Rachel L. Rothberg of the Criminal Division’s Child Exploitation and Obscenity Section and Assistant U.S. Attorney Mac Caille Petursson for the District of Alaska are prosecuting the case.
If anyone has information concerning Herrera’s alleged actions or may have encountered someone in person or online using the name Seth Herrera, please contact the HSI tip line at 1-877-447-4847.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
32 Individuals Indicted for Pandemic Unemployment Assistance (PUA) FraudRead the Press Release
SAN JUAN, P.R. – On August 22, 2024, a Federal Grand Jury in the District of Puerto Rico returned 32 separate indictments charging 32 individuals with engaging in fraud to obtain Pandemic Unemployment Assistance (PUA) benefits totaling $981,071, announced W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. The Federal Bureau of Investigation (FBI) and the United States Department of Labor Office of Inspector General (USDOL-OIG) are in charge of the investigations with the assistance of the United States Postal Inspection Service (USPIS) and the Puerto Rico Department of Labor and Human Resources.
According to the indictments, the defendants engaged in schemes to defraud the Puerto Rico Department of Labor and Human Resources (Departamento del Trabajo y Recursos Humanos, “DTRH”) by submitting fraudulent applications to obtain unemployment insurance benefits which contained PUA funds.
Under the provisions of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, persons who were business owners, self-employed workers, independent contractors, or gig workers qualified for federal benefits (PUA) administered by the DTRH if they previously performed such work in Puerto Rico and were unemployed, partially unemployed, unable to work, or unavailable to work due to a COVID-19 related reason. To obtain these federal benefits, individuals could apply online through the DTRH’s web site—www.trabajo.pr.gov. Claimants answered various questions to establish their eligibility and were required to provide personal identifying information, which included their name, mailing address, gender, email, phone number, social security number, and date of birth. Moreover, claimants had to identify a qualifying occupational status and COVID-19 related reason for being out of work. In their application, claimants could also submit several documents as evidence of their income.
If the DTRH approved a claimant’s application, the DTRH would send a check to the claimant via the United States Postal Service for qualified benefits which could contain regular unemployment insurance benefits and federal funds in the form of PUA, Federal Pandemic Unemployment Compensation (FPUC); and Pandemic Emergency Unemployment Compensation (PEUC) benefits.
The indictments charge the 32 individuals with theft of United States’ property—PUA benefits— mail fraud and misuse of Social Security numbers because the defendants engaged in deceptive conduct designed to fraudulently obtain multiple-unemployment checks from the DTRH by using false social security numbers. The defendants received PUA benefits from the DTRH via mail in the form of checks that they were not qualified or authorized to receive.
The defendants charged and the amount of money fraudulently obtained are:
- Alexander Hernández-Casanova ($21,576)
- Héctor Javier Fernández-Porrata ($40,488)
- José Emanuel Serrano ($30,564)
- José Manuel Salinas-Bermúdez ($18,180)
- Kenny A. Cruz-Chévere ($49,476)
- Luis Felipe Cesani-Cintrón ($66,390)
- Michael Martínez-Torres ($21,444)
- Juan José Reyes-Hernaiz ($35,022)
- Neyscha Lee Font-Fontanez ($22,908)
- Christopher J. Mercedes-Sánchez ($30,168)
- Taylor Bryan Rentas-Día ($22,374)
- Danny Olmo-Quiñones ($22,440)
- Francisco J. Carrillo-Hernaiz ($43,152)
- Julio Omar Rodríguez-Algarín ($31,632)
- Alexander Barbosa-Concepción ($23,304)
- Bryan Omar De Jesús-Pizarro ($53,636)
- Bryan De Jesús-Acevedo ($17,580)
- Carlos Alberto Batista-Serrano ($53,070)
- Fabián Abdiel García-Concepción ($22,440)
- Dianelys Ailysh Torres-Pizarro ($34,692)
- Jamisael Jiménez-Pérez ($30,366)
- Jerry Isaías Medina-Hernández ($20,112)
- Jesús Manuel Crespo-Rivera ($31,830)
- Glendaly Rivera-Torres ($21,708)
- Joumar Vale-Sauri ($33,069)
- Kelvin A. Fermaint-Hernández ($22,374)
- Kenneth Javier Escalera-Paris ($17,910)
- Manuel Salinas-Bermudez ($40,086)
- Rodney Eiram Rodríguez-Rivera ($20,112)
- Yoanelys Vázquez-González ($32,430)
- Eluzay De Jesús-Acevedo ($17,376)
- Luis Angel Crespo-Rivera ($33,162)
“The Justice Department remains committed to using every available federal tool to combat and prevent COVID-19 related fraud,” said U.S. Attorney Muldrow. “We will continue to hold accountable those who seek to exploit the pandemic for personal gain, to protect vulnerable populations, and to safeguard the integrity of taxpayer-funded programs.”
“This repeat violation is deeply concerning. It is clear that some individuals continue to exploit a worldwide crisis for personal gain by disregarding the law. We want to make it abundantly clear that this behavior will not be tolerated, now or ever,” stated Special Agent in Charge of the FBI San Juan Field Office, Joseph González. “The FBI and our law enforcement partners will relentlessly pursue all leads to ensure that these criminals face justice. If you or anyone you know has information about these crimes, I urge you to come forward by calling (787) 987-6500 or submitting a tip online at tips.FBI.gov. To those who have engaged in these fraudulent acts, I strongly advise you to come forward and cooperate with law enforcement before we take action against you.”
“An important part of the mission of the U.S Department of Labor, Office of Inspector General is to investigate allegations of fraud involving pandemic-related unemployment insurance programs. We will continue to work with our law enforcement partners to investigate these types of allegations,” stated Jonathan Mellone, Special Agent-in-Charge, Northeast Region, U.S. Department of Labor, Office of Inspector General.
“The 32 defendants charged are alleged to have collectively stolen close to a million dollars from the federal government by committing fraud in Pandemic Unemployment Assistance under the CARES Act. These charges are a reminder that fraud is not a victimless crime and individuals who attempt to commit fraud face significant penalties,” said Juan A. Vargas, Inspector in Charge, Miami Division, U.S. Postal Inspection Service. “The U.S. Postal Inspection Service is committed to working with our law enforcement partners to ensure the U.S. Mail is not utilized as a tool to defraud the government and taxpayers.”
Assistant U.S. Attorney Scott Anderson is in charge of the prosecution of these cases. If convicted, the defendants are facing the following sentences: up to 20 years of imprisonment for mail fraud; up to10 years of imprisonment for theft of government money; up to 5 years of imprisonment for misuse of a social security number; a fine of up to $250,000; and three years of supervised release.
To report a COVID-19-related fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form
Indictments contain only charges and are not evidence of guilt. The defendants are presumed to be innocent unless and until proven guilty.
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Saturday 24 August 2024
Utah Resident Accused of Making Death Threats to Salt Lake County Sheriff and Other Government OfficesRead the Press Release
SALT LAKE CITY, Utah – A federal grand jury in Salt Lake City returned a superseding indictment August 21, 2024, charging a Salt Lake County man with stalking. The man was arrested on April 4, 2024, via a federal complaint after he was accused of making repeated threatening phone calls to the Salt Lake County Sheriff’s Office and other Salt Lake County government offices.
According to court documents, Ryan Gregory Bracken, 44, of West Valley City, Utah, called the Salt Lake County Recorder’s Office on April 1, 2024. In a voicemail, he accused the Salt Lake County Recorder and an employee of being guilty of treason. As alleged, Bracken made a point of stating that the penalty for treason is death. Prior to the voicemail, Bracken had also made repeated phone calls to the Salt Lake County Recorder’s Office, which allegedly became increasingly verbally abusive and threatening.
On April 2, 2024, Bracken called the Salt Lake County Sheriff’s Office to speak with the elected Sheriff regarding a “fraudulent Sheriff’s sale on his property and called it a criminal act. Bracken threatened to “open fire” on the first person who shows up to his property to evict him. Bracken made specific reference to having a 7.62 millimeter firearm. In a separate call on the same day, Bracken made multiple threats that if the Sheriff’s sale of his property occurred, he would hold the Sheriff responsible for treasonous acts and she would swing from a rope.
Information obtained from Information Technology specialists with Salt Lake County government revealed that Bracken called various Salt Lake County government offices, to include the Sheriff’s Office and the Assessor’s Office, 32 times in April 2024 alone.
Bracken is charged with five counts of stalking, and one count of interstate communication of threats. His initial court appearance on the superseding indictment is scheduled for August 27, 2024, at 11:00 a.m. in courtroom 8.4 before a U.S. Magistrate Judge at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City.
U.S. Attorney, Trina A. Higgins, of the District of Utah made the announcement.
The case is being investigated jointly by Homeland Security Investigations (HSI) and the Salt Lake County Sheriff’s Office.
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.
Friday 23 August 2024
York Man Sentenced to 10 Years in Prison for His Role in Smuggling Kilos of Cocaine from Puerto RicoRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Kevin Marrero-Morales, from York, Pennsylvania, was sentenced on August 20, 2024, to 10 years in prison by United States District Court Judge Christopher C. Conner for trafficking cocaine.
According to United States Attorney Gerard M. Karam, a grand jury indicted Marrero-Morales and others for their role in conspiracy to smuggle kilograms of cocaine from Puerto Rico into York. Marrero-Morales pled guilty and admitted to his participation in the conspiracy, which included smuggling 30 kilograms of cocaine in one shipment. Marrero-Morales was sentenced to the mandatory minimum sentence of 10-years in prison.
Also charged in the case are Juan Escalera-Carrasquillo, age 25, Daniel Velez-Olivero, age 37, Gerald J. Calcano, age 31, Takquasha C. Beatty, age 29, Reynaldo Vargas Seda, age 23, Kevin Marrero-Morales, age 29, and Jorge Angel Rivera-Ortiz, age 24. The indictment alleged as part of the conspiracy, drugs and weapons were stored at various locations in York. It was also alleged that Escalera-Carrasquillo, Beatty, and Seda possessed a Glock 9mm pistol, a Smith and Wesson 380 pistol, and Del-Ton AR15 rifle during and in relation to their drug trafficking activities.
The case was investigated by the U.S. Bureau of Alcohol Tobacco Firearms and Explosives, the Pennsylvania State Police, the York County Drug Task Force, 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.
The maximum penalty under federal law for these offenses is life imprisonment, a term of supervised release following imprisonment, and a fine.
All persons charged are presumed to be innocent unless and until found guilty in court.
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Winnebago Man Sentenced for Domestic Assault by an Habitual OffenderRead the Press Release
United States Attorney Susan Lehr announced that Kelton Chilson, age 29, of Winnebago, Nebraska, was sentenced on August 23, 2024, in federal court in Omaha, Nebraska, for domestic assault by a habitual offender in Indian Country. Chief United States District Judge Robert F. Rossiter, Jr., sentenced Chilson to 24 months’ imprisonment. There is no parole in the federal system. After Chilson’s release from prison, he will begin a 3-year term of supervised release.
In September 2023, Chilson physically assaulted a female victim known to him by punching the victim in the face. A witness to the assault notified local law enforcement, who arrived on scene to find the victim lying in a roadway with much of her clothing torn off and obvious injuries to her head and face. The victim was transported by ambulance for emergency medical care and found to have suffered a broken nose. Prior to his assault on the victim in September 2023, Chilson had already been convicted on multiple occasions of domestic violence offenses in state and tribal courts.
This case was prosecuted in federal court because the offense was a felony and occurred on the Winnebago Indian Reservation in Nebraska.
This case was investigated by the Federal Bureau of Investigation.
Vice Chairman of Smyth County School Board ArrestedRead the Press Release
ABINGDON, Va. – Todd Stewart Williams, the Vice Chairman of the Smyth County School Board, was arrested at his home today on federal criminal charges related to child exploitation.
According to court documents, Williams spent more than $10,000 between May 2022 and January 2024 to entice at least six juvenile victims into sending him nude images and sexually explicit videos of themselves and others.
“Sexual exploitation and abuse have grown exponentially through the use of the internet, especially its online gaming platforms,” said Christopher R. Kavanaugh, United States Attorney for the Western District of Virginia. “The safety and well-being of children in our communities are top priorities of my Office, and we are committed to the joint efforts with our law enforcement partners to relentlessly pursue these perpetrators and ensure they are brought to justice.”
“This case is a reminder of the constant threat of child exploitation minors face online,” said Stanley M. Meador, Special Agent in Charge of the FBI Richmond Field Office. “Whether an offender sexually abuses a child in person or online, the FBI and our partners will continue to seek justice for innocent victims by holding offenders accountable.”
Williams’s alleged criminal activity came to the attention of law enforcement in September 2022 when a 15-year-old teenager living in Oklahoma reported to the FBI that Williams, using the Snapchat username “todd_w3411” requested nude images and videos of him.
During an interview with law enforcement, the teen told investigators he met Williams in a Snapchat group intended for gay teenage males. Soon after they began chatting, Williams reached out to the teen and offered to make in-app purchases in an online video game in exchange for nude pictures of the teen.
From May 1, 2022 through October 1, 2022, Williams sent the teen over $2,000 in exchange for nude images and videos.
Based on the information obtained from the FBI investigation in Oklahoma, the FBI in Richmond began an investigation into the Snapchat activities of Williams’ username, “todd_w3411.”
The FBI’s investigation uncovered multiple instances of Williams’s alleged exploitation of minors. In one instance, Williams used Snapchat to communicate with a then 12-year-old minor and offered to purchase items for an online game before eventually offering to buy nude pictures and videos from the boy.
Between August 2022 and January 2024, Williams sent the young victim nearly $1,000 in exchange for nude images and videos.
In January 2023, Williams met another teen on Snapchat and paid the teen to take pictures and videos of him sexually abusing his younger stepbrother, who was 10 years old at the time. As directed by Williams, the teen would approach his stepbrother in their bedroom at night and force his stepbrother to watch pornography. The teen would masturbate and take pictures.
Because the teen reached the $600 monthly limit on Cash App transactions, Williams mailed him a debit card hidden inside a pair of shoes to ensure he was able to purchase his videos.
In a six-month period, Williams paid over $3,500 for nude images and videos of the teen and his stepbrother.
In yet another interaction with a young teenage boy on Snapchat, Williams paid over $3,000 in exchange for nude images and videos of him and his teenage boyfriend.
If you or someone you know have information about this matter or feel you may have been a victim, please contact the FBI Richmond Division.
The Federal Bureau of Investigation is investigating the case.
Assistant U.S. Attorney Whit Pierce is prosecuting the case.
A criminal complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Martin Estrada Announces Implementation of New Whistleblower Pilot Program to Facilitate Increased Prosecutions of High-Level WrongdoersRead the Press Release
POLICYLOS ANGELES – United States Attorney Martin Estrada today announced that the U.S. Attorney’s Office for the Central District of California (USAO-CDCA) has implemented a new Voluntary Self-Disclosure, Whistleblower Pilot Program encouraging individuals to disclose criminal conduct undertaken by or through companies, exchanges, and other institutions.
The program, which is effective immediately, is designed to prompt individuals to come forward about previously unknown fraud, bribery, and other misconduct. It does so by setting forth conditions under which the voluntary self-disclosure (VSD) of misconduct to the USAO-CDCA, coupled with the agreement to fully cooperate in the investigation of others involved, may make the disclosing individual eligible to avoid prosecution.
The program applies to circumstances where an individual voluntarily discloses to the USAO-CDCA information regarding criminal conduct undertaken by or through public or private companies, exchanges, financial institutions, investment advisers, or investment funds involving fraud or corporate control failures or affecting market integrity, or criminal conduct involving state or local bribery or fraud relating to federal, state, or local funds. It is designed to facilitate the investigation of misconduct that is not already known to the USAO-CDCA and target those equally or more culpable in the misconduct, and only offers benefits to those who did not play a leading role in the misconduct, and who are not corporate CEOs or those in similar positions of control or federal, state, or local officials.
This Pilot Program provides transparency regarding the circumstances in which USAO-CDCA prosecutors will offer deferred or non-prosecution agreements (DPAs or NPAs) to incentivize individuals (and their counsel) to provide original and actionable information. Receiving such information will help us investigate and prosecute criminal conduct that might otherwise go undetected or be impossible to prove, and will, in turn, further encourage companies to create compliance programs that help prevent, detect, and remediate misconduct and to report misconduct when it occurs.
Under the VSD pilot program, the USAO-CDCA will enter into a DPA or NPA in exchange for the individual’s cooperation where the following conditions are met:
- The misconduct has not previously been made public and is not already known to our Office or to any component of the Department of Justice;
- The individual voluntarily discloses the criminal conduct to our Office and not in response to a government inquiry, and prior to imminent threat of disclosure or government investigation;
- The individual is able to provide substantial assistance in the investigation and prosecution of at least one equally or more culpable persons, did not play a leading role in the disclosed conduct, and is prepared to cooperate fully with this Office in its investigation and prosecution of the disclosed conduct, including by providing testimony if requested;
- The individual truthfully and completely discloses all criminal conduct in which the individual has participated and of which the individual is aware;
- The individual is not a federal, state, or local elected or appointed and confirmed official; not an official or agent of a federal investigative or federal law enforcement agency; or is not the CEO or equivalent, or a person who otherwise exercises primary control – regardless of title – over the operations of a public or private company; and
- The individual has not engaged in any criminal conduct that involves: the use of force or violence, any sex offense involving fraud, force, or coercion, or a minor, any offense involving terrorism or implicating national security or foreign affairs and does not have a previous felony conviction or a conviction of any kind for conduct involving fraud or dishonesty.
In instances in which an individual discloses such information, but does not meet the above requirements, prosecutors may consider exercising – with supervisory approval – discretion to extend a DPA or NPA.
To self-disclose pursuant to this policy, please email: [email protected].
Umatilla Man Faces Federal Charges for Making Threats of Sexual Violence Against Children and Possessing Dozens of Photos and Videos Depicting Child Sexual AbuseRead the Press Release
PORTLAND, Ore.—A Umatilla, Oregon man who is alleged to have made several hoax phone calls threatening sexual violence against children and possessed dozens of photos and videos depicting child sexual abuse has been indicted in federal court.
Thomas Loren Goatley, 20, has been charged with receiving and possessing child pornography and making interstate threats.
According to court documents, between approximately January 5 and April 30, 2024, Goatley is alleged to have made more than 60 phone calls to various schools, police departments, emergency lines, and animal shelters in at least 12 states. During many of these calls, Goatley claimed that he was sexually assaulting a child, or that he was about to do so. While investigating these threats, special agents from the FBI discovered Goatley was also the subject of numerous CyberTipline Reports submitted to the National Center for Missing and Exploited Children (NCMEC) indicating that he was active in receiving and distributing child sexual abuse material.
On July 22, 2024, investigators executed a federal search warrant on Goatley’s person and residence in Umatilla, and he was placed under arrest. A later search of Goatley’s cell phone revealed dozens of illicit images and videos depicting child sexual abuse.
On July 23, 2024, Goatley made his initial appearance in federal court before a U.S. Magistrate Judge and was detained pending further court proceedings. He was arraigned Thursday and pleaded not guilty. A four-day jury trial is scheduled to begin on October 22, 2024.
Receiving and possessing child pornography is punishable by up to 20 years in federal prison with a five-year mandatory minimum sentence. Transmitting interstate threats is punishable by up to five years in federal prison.
This case was investigated by the FBI with assistance from the Umatilla Police Department. It is being prosecuted by Mira Chernick, Assistant U.S. Attorney for the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at (503) 224-4181 or submit a tip online at tips.fbi.gov.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Justice Department to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
U.S. Attorney’s Office Secures Guilty Plea in Shiprock Assault CaseRead the Press Release
ALBUQUERQUE – A Shiprock man has pleaded guilty in federal court to a single assault charge related to a brutal attack that left his victim with life-threatening injuries.
According to court documents, on January 1, 2024, Tyrell Jordan Benally, 25, an enrolled member of the Navajo Nation, assaulted Jane Doe at a residence in Shiprock, New Mexico, by repeatedly striking her with a closed fist and strangling her until she lost consciousness. The assault caused Jane Doe to suffer serious bodily injury, including life-threatening injuries from the strangulation.
At sentencing, Benally faces up to 10 years in prison followed by up to three years of supervised release.
U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the FBI 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 Department of Criminal Investigations. The United States Attorney’s Office for the District of New Mexico is prosecuting the case.
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U.S. Attorney's Office Secures 52-Month Sentence for Las Cruces Man Following 2023 Pipe Bomb IncidentRead the Press Release
ALBUQUERQUE – A Las Cruces man was sentenced to 52 months in prison following his conviction for possessing a pipe bomb and ammunition near a church playground.
There is no parole in the federal system.
According to court documents, on May 31, 2023, Nathan Wallace, 41, was observed in the children’s playground of East Mesa Baptist Church. Wallace was arrested by the Doña Ana County Sheriff's Department after being found in possession of a destructive device and ammunition. Upon questioning, he admitted to possessing a metal pipe containing gunpowder, which was later confirmed to be an operational pipe bomb.
The device was seized by law enforcement and analyzed by a bomb technician, who discovered a fuse inside. Additionally, a search of Wallace's belongings revealed a 20-gauge Winchester AA High Strength shotgun shell, a motion sensor, two cell phones, and various modified batteries and wires, indicating potential explosive device components.
Wallace is prohibited by federal law from handling or possessing firearms or ammunition due to his previous felony convictions, which include multiple counts of forgery and possession of explosive devices.
In his plea agreement, Wallace admitted to knowingly possessing ammunition after being convicted of multiple felonies punishable by imprisonment exceeding one year.
Upon his release from prison, Wallace 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 FBI Albuquerque Field Office, made the announcement today.
The Las Cruces Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Dona Ana County Sheriff’s Office. Assistant United States Attorneys Ry Ellison and Christopher McNair prosecuted the case.
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U.S. Attorney Announces Consent Decree with Legacy Builders for Violating Lead Paint Safety RegulationsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Lisa F. Garcia, the Regional Administrator for Region 2 of the U.S. Environmental Protection Agency (“EPA”), announced today that the United States filed a civil lawsuit against LEGACY BUILDERS/DEVELOPERS CORP. (“LEGACY”) alleging violations of the Toxic Substances Control Act (“TSCA”) and EPA’s Renovation, Repair, and Painting Rule (“RRP Rule”). The U.S. simultaneously entered into a Consent Decree resolving that lawsuit. The Consent Decree includes a $168,000 civil penalty and requires LEGACY to take steps to mitigate potential harms caused by its conduct.
U.S. Attorney Damian Williams said: “Legacy Builders failed to follow lead-safe work regulations designed to protect building occupants—including children—and workers from toxic lead paint dust generated during apartment renovations. This lawsuit is another example of our commitment to ensure that renovation firms are held responsible for violating these important safety rules.”
EPA Regional Administrator Lisa F. Garcia said: “Legacy Builders/Developers Corp. is being held accountable for not complying with rules that are designed to protect residents as well as workers and are a key part of protecting public health. The company’s activities put tenants, the public, and its employees at risk of exposure to lead dust hazards. Exposure to lead-based paint can have serious health impacts and remains a common source of lead poisoning in children. EPA will continue to be vigilant and ensure we reduce all risk of lead exposure.”
TSCA and the RRP Rule impose safety requirements to minimize the risk that young children, tenants, and renovation workers are exposed to toxic lead paint dust during renovations of residential buildings. Exposure to lead dust is the most common cause of lead poisoning, which can lead to severe, irreversible health problems, particularly in children. Lead poisoning can affect children’s brains and developing nervous systems, causing reduced IQ, learning disabilities, and behavioral problems.
As alleged in the U.S. Complaint filed in the district court:
LEGACY performed renovation work at hundreds of residential apartments across five building sites in Manhattan between 2016 and 2020. In September 2017, EPA inspected a LEGACY worksite and found that LEGACY had failed to contain lead dust. This was consistent with inspections in April and August 2017 of the same LEGACY worksite by the New York City Department of Health and Mental Hygiene, where inspectors observed dust and debris in hallways, common areas, and the vacant apartments being renovated, and collected dust wipe samples containing lead in excess of federal standards. Following further investigation, EPA determined that LEGACY lacked required RRP Rule certifications and, at multiple worksites, failed to train its workers on lead-safe work practices, failed to follow lead-safe work practices, failed to inform building owners and occupants of the risks of lead poisoning during that renovation, and failed to maintain records necessary to demonstrate compliance with lead-safe work practice rules. When LEGACY was informed of these issues, it provided the EPA with inaccurate information about its RRP Rule compliance.
In the Consent Decree, LEGACY admits, acknowledges, and accepts responsibility for the following conduct:
- Between 2016 and 2020, LEGACY performed renovation work at more than one hundred residential apartments at five different building sites in Manhattan. LEGACY failed to comply with requirements of the RRP Rule on numerous occasions at these renovation projects. Among other things:
- LEGACY failed to provide on-the-job lead safety training to workers, in violation of the RRP rule.
- LEGACY failed to adequately contain construction dust, including dust containing lead in excess of levels permitted under the RRP Rule, and failed to conduct the required post-renovation cleaning verification, in violation of the RRP rule.
- LEGACY failed to post signs clearly defining its work area and warning occupants and other persons not involved in renovation activities to remain outside of the work area, in violation of the RRP Rule.
- LEGACY failed to provide a lead-hazard information pamphlet to the owner or occupants of the building before commencing work, in violation of the RRP Rule.
- LEGACY failed to maintain documentation showing that it complied with lead-safe work practices, in violation of the RRP Rule.
- Additionally, between June 2016 and August 2017, LEGACY performed renovation work covered by the RRP Rule at two of these worksites without possessing the firm certification required by the RRP Rule for renovation firms performing such work and without assigning a certified renovator to oversee those projects.
* * *
Pursuant to the Consent Decree, LEGACY will pay a penalty of $168,000, an amount based on the company’s documented inability to pay the full civil penalty for which it otherwise would be liable. The Consent Decree requires LEGACY to comply with safe work practices and other RRP Rule requirements in the future. Additionally, to mitigate the effects of the violations, among other things, LEGACY will conduct education sessions for residents of the five buildings on the hazards of lead-based paint and methods of minimizing potential exposures, and LEGACY will offer to conduct training for maintenance staff at these buildings on lead-hazard reduction and common issues pertaining to the use of lead-safe work practices in day-to-day operations. Failure to comply with the Consent Decree will give rise to significant additional penalties.
To provide public notice and afford members of the public the opportunity to comment on the Consent Decree, the Consent Decree will be lodged with the District Court for a period of at least 30 days before it is submitted for the Court’s approval.
Mr. Williams thanked the attorneys and enforcement staff at EPA Region 2 for their critical work on this matter.
This case is being handled by the Environmental Protection Unit of the Office’s Civil Division. Assistant U.S. Attorneys Ilan Stein and Samuel Dolinger are in charge of the case.
- Between 2016 and 2020, LEGACY performed renovation work at more than one hundred residential apartments at five different building sites in Manhattan. LEGACY failed to comply with requirements of the RRP Rule on numerous occasions at these renovation projects. Among other things:
Two Men Indicted for Damaging Rock Formations at National Recreation Area in NevadaRead the Press Release
LAS VEGAS – A federal grand jury indicted two Henderson men for allegedly damaging ancient rock formations at the Lake Mead National Recreation Area in Nevada.
According to allegations contained in the indictment, on April 7, 2024, Wyatt Clifford Fain (37) and Payden David Guy Cosper (31) pushed large chunks of ancient rock formations over the edge of a cliff onto the ground below while on or near the Redstone Dunes Trail at the Lake Mead National Recreation Area, resulting in damages in excess of $1,000.
Fain and Cosper were each charged with one count of injury and depredation of government property and one count of aiding and abetting. They were arrested by the United States Marshals Service, and they made their initial court appearance today before United States Magistrate Judge Nancy Koppe. A jury trial has been scheduled for October 8, 2024, before United States District Judge Jennifer Dorsey.
If convicted, the defendants each face up to ten years imprisonment.
United States Attorney Jason M. Frierson for the District of Nevada and United States Marshal Gary Schofield for the United States Marshals Service made the announcement.
The National Park Service investigated this case. Assistant United States Attorney Skyler Pearson is prosecuting the case.
If you see something suspicious in any National Park location, or if you have information that could aid an investigation, call the NPS-wide Tip Line at 1-888-653-0009 or submit a tip online at https://www.nps.gov/orgs/1563/submit-a-tip.htm.
An indictment merely alleges that crimes have been committed. The defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Twelve Individuals in Central Florida, Puerto Rico, and South Carolina Charged with Murder, Drug Trafficking, Money Laundering, Firearms Offenses, and FraudRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces the return of four indictments charging a total of 12 individuals with murder in furtherance of drug trafficking, conspiracy to commit drug trafficking, conspiracy to commit money laundering, conspiracy to commit wire fraud, illegal possession of firearms, and bank fraud. The indictments also seek the forfeiture of more than $6.5 million identified as the amount involved in the offenses and proceeds of the offenses, two properties, and firearms.
INDICTMENT ONE
Carlos Limery Dones Drug Trafficking Organization Indictment
Name
(Age, Residence)
Charges
Max Penalty
Carlos Limery Dones, a/k/a “Siervo,” “Chino”
(46, Puerto Rico)
Drug trafficking conspiracy, money laundering, and bank fraud
Life in federal prison.
Santos Cruz Rivera
(44, Kissimmee)
Drug trafficking conspiracy, distribution of controlled substances, possession of cocaine with intent to distribute, maintaining a drug premises, possessing a firearm while a convicted felon, and money laundering conspiracy
Life in federal prison.
Nelson Franco, a/k/a “Voltio”
(48, South Carolina)
Drug trafficking conspiracy, distribution of controlled substances, and money laundering conspiracy
Life in federal prison.
Rebel Rivera Carbonell
(46, Dundee)
Drug trafficking conspiracy, maintaining a drug premises, and possession of cocaine with intent to distribute
Life in federal prison.
Madelyn Sanchez, a/k/a “La Negra”
(50, Kissimmee)
Drug trafficking conspiracy and maintaining a drug premises
Life in federal prison.
Roberto Rodriguez Almodovar
(59, Kissimmee)
Drug trafficking conspiracy and committing murder in furtherance of drug trafficking
Faces a maximum sentence of death.
Luis Torres Sanchez, a/k/a “Gordo”
(39, Puerto Rico)
Drug trafficking conspiracy, distribution of controlled substances, and possessing a firearm in furtherance of drug trafficking
Life in federal prison.
Johnson Rivera Martinez
(40, Orlando)
Drug trafficking conspiracy and distribution of controlled substances
Life in federal prison.
Yesenia Laracuente
(35, Kissimmee)
Money laundering conspiracy
20 years in federal prison.
Nancy Contreras, a/k/a “La Doña”
(46, Dundee)
Money laundering conspiracy
20 years in federal prison.
Carol Flores Morales
(48, South Carolina)
Money laundering conspiracy and money laundering
20 years in federal prison.
INDICTMENT TWO
Wire Fraud Conspiracy in Purchase of a Home
Yesenia Laracuente
(35, Kissimmee)
Wire fraud conspiracy
20 years in federal prison.
Wilmary Sepulveda
(36, Kissimmee)
Wire fraud conspiracy
20 years in federal prison.
INDICTMENT THREE
COVID-Related Fraud
Carlos Limery Dones
46, Puerto Rico
Wire fraud
20 years in federal prison.
INDICTMENT FOUR
COVID-Related Fraud
Santos Cruz Rivera
(44, Kissimmee)
Wire fraud
20 years in federal prison.
According to the indictments, there was a multi-year conspiracy to traffic cocaine and fentanyl within the Middle District of Florida, resulting in several seizures of both substances. Eight of the charged individuals are alleged to be involved in the trafficking of controlled substances. On August 3, 2021, in retaliation for the killing of a lookout at a stash house the organization used, Almodovar murdered one of the individuals present at the homicide with a single gunshot to the back of the head.
The individuals charged across the four indictments also engaged in schemes to acquire various homes and other properties by various means. As charged in one indictment, Limery Dones defrauded a bank by transmitting $110,000 to buy a house in the name of a third-party when, in reality, he was the actual purchaser of the home. Franco, Flores Morales, and Contreras allegedly conspired to put a home in Flores Morales’s name when the money came from Franco’s sale of controlled substances. In another scheme charged across two of the indictments, Laracuente and Sepulveda conspired to falsely report Laracuente’s employment and income to secure a mortgage that Cruz Rivera then made payments on in Laracuente’s name with drug proceeds. The third and fourth indictments charge Limery Dones and Cruz Rivera with fraud in obtaining Paycheck Protection Program loans by filing claims for companies that did not exist.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Drug Enforcement Administration; Internal Revenue Service—Criminal Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Osceola County Sheriff’s Office; and Kissimmee Police Department, with assistance from Homeland Security Investigations, the Central Florida High Intensity Drug Trafficking Area (HIDTA), and the U.S. Postal Inspection Service, as part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. It is being prosecuted by Assistant United States Attorneys Dan Baeza and Michael Buchanan.
Straw purchasing rifles sends McAllen man to prisonRead the Press Release
McALLEN, Texas – A 22-year-old man has been sentenced for illegally purchasing firearms on behalf of a Mexican national, announced U.S. Attorney Alamdar S. Hamdani.
Juan Hector Resendez-Meza III pleaded guilty May 31.
Chief U.S. District Judge Randy Crane has now ordered Resendez-Meza to serve 24 months in federal prison to be immediately followed by three years of supervised release.
At the time of his plea, Resendez-Meza admitted a man residing in Reynosa, Mexico, approached and asked him to purchase firearms on his behalf.
Resendez-Meza received $16,000 in cash to do so between May and August 2023. At the time of each purchase, Resendez-Meza lied on federal forms, claiming he was the true buyer.
He also admitted to illegally procuring three rifles on behalf of the Mexican citizen including a .50 caliber rifle. In addition, Resendez-Meza had previously bought and sold two pistols to the man.
Previously released on bond, Resendez was taken into custody following the sentencing where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation.
Assistant U.S. Attorney Amanda McColgan prosecuted the case.
This case is being prosecuted as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
St. Louis County Woman Admits Prostituting MinorRead the Press Release
ST. LOUIS – A woman from St. Louis County, Missouri on Friday admitted promoting the prostitution of a minor online.
Carrie Little, 44, pleaded guilty in U.S. District Court in St. Louis to one count of coercion or enticement of a minor. Little’s trial was scheduled to begin Tuesday.
As part of her plea, Little admitted that beginning at least as early as 2018, she recruited women and had others recruit women to engage in prostitution. Among those recruited was a minor female. Little provided the victim with a place to live and placed sexually suggestive and/or explicit photos of the minor that were taken with Little’s phone in online advertisements for commercial sex. Little took calls to arrange sexual encounters and to arrange the price. After the encounters, men paid Little or the victim, who was required to give the majority of the money to Little.
Little is scheduled to be sentenced November 26. The charge carries a penalty of at least 10 years in prison, with a maximum of life.
The St. Louis County Police Human Trafficking Task Force investigated the case as part of the FBI St. Louis Child Exploitation and Human Trafficking Task Force. Crisis Aid International and the International Institute of Saint Louis assisted victims associated with the case. Assistant U.S. Attorneys Dianna Edwards and Nathan Chapman are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Southbury Man Sentenced to 5 Years in Federal Prison for Illegally Possessing Sawed-Off Shotguns and SilencersRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that ANTHONY ENGLEHARDT, 44, of Southbury, was sentenced yesterday by U.S. District Judge Omar A. Williams in Hartford to 60 months of imprisonment, followed by three years of supervised release, for unlawfully possessing sawed-off shotguns and silencers. Judge Williams ordered that Englehardt must serve his first six months of supervised release in home confinement.
According to court documents and statements made in court, shortly before midnight on March 13, 2023, Torrington Police received a report that Englehardt used a rifle and shot a hole in the ceiling of a Torrington residence, and then left the residence. At the time, Englehardt was subject to a protective order issued by the Waterbury Superior Court that required him to surrender all of his firearms and ammunition. At approximately 12:30 a.m. on March 14, 2023, Connecticut State Police stopped Englehardt’s vehicle, took him into custody, and charged him with multiple offenses. Later that day, a search of Englehardt’s Southbury residence revealed 10 firearms, six silencers, more than 1,000 rounds of ammunition, and various firearms parts and accessories. Three of the firearms were sawed-off shotguns and were not registered pursuant to the National Firearms Act. The six silencers also were not registered.
Englehardt has been detained since his federal arrest on May 25, 2023. On April 18, 2024, he pleaded guilty to possession of unregistered National Firearms Act firearms and silencers.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), with the assistance of the Connecticut State Police, Torrington Police Department, and Southbury Police Department. The case was prosecuted by Assistant U.S. Attorney Katherine E. Boyles.
Sixth Tri-Cities cocaine trafficker sentenced to 16 years in federal prisonRead the Press Release
RICHMOND, Va. – A Hopewell man was sentenced today to 16 years in prison for conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine throughout the Tri-Cities region of Central Virginia.
According to court documents, from at least May 2021 through October 2023, Cleveland Lamont Parson, 51, conspired with Aaron Larde Heath, 39, of Chester, and others to broker the purchase of kilogram quantities of cocaine from various sources in Virginia, North Carolina, Mexico, and elsewhere and to coordinate cocaine shipments. Parson used his residence in Hopewell as a stash house to distribute, store, and transfer the cocaine. Parson and Heath were held responsible for distributing between 50-150 kilograms of cocaine during the course of the conspiracy.
On May 18, 2023, Jerrell Stanley Bugg, 46, of Chester, purchased three kilograms of cocaine from Parson. After Bugg left Parson’s residence with the cocaine, law enforcement conducted a traffic stop, during which Bugg recovered a 9mm semi-automatic handgun to law enforcement. When a K-9 unit alerted to narcotics in the vehicle, Bugg attempted to flee on foot but was apprehended at the scene. Law enforcement then recovered the cocaine from the vehicle. On Dec. 8, 2023, Bugg pled guilty to possession with intent to distribute 500 grams or more of cocaine and, on May 7, was sentenced to seven years in prison.
In August 2023, Parson and Heath received 18 kilograms of cocaine, but upon inspection, determined a portion of the cocaine was of poor quality and decided to return that portion. On Aug. 6, 2023, couriers Jose Misael Reyes, 33, of El Salvador, and Corina Chavez, 31, of Bailey, North Carolina, transported the low-quality cocaine to their residence in Roanoke Rapids, North Carolina. On Aug. 7, 2023, law enforcement executed a search warrant at the residence and recovered the cocaine. On Jan. 12, Reyes pled guilty to conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine and, on June 13, was sentenced to 11 years and three months in prison. On Jan. 19, Chavez pled guilty to conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine and, on June 13, was sentenced to five years and 10 months in prison.
On Aug. 20, 2023, Heath traveled from Virginia to Charlotte, North Carolina, and acquired 20 kilograms of cocaine. Heath recruited Antonio Shaw, 61, of Hopewell, to serve as a courier for Heath and agreed to pay Shaw to transport the cocaine to Virginia. At a hotel in Charlotte, Heath provided the 20 kilograms of cocaine to Shaw. As Shaw traveled to Virginia, law enforcement conducted a traffic stop in Randolph County, North Carolina, and recovered the cocaine from the trunk of Shaw’s vehicle. On Jan. 16, Shaw pled guilty to conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine and, on July 12, was sentenced to five years and six months in prison.
On Oct. 25, 2023, law enforcement executed a search warrant at Parson’s residence. During the search, law enforcement recovered a 12-gauge semi-automatic shotgun, a .38 caliber revolver, a .45 caliber semi-automatic handgun with an extended 30 round magazine, a .762 caliber AK-47 semiautomatic rifle, two shotgun magazines, a money counter, $37,261, and multiple cellphones.
On Dec. 5, 2023, Heath pled guilty to conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine and, on May 3, was sentenced to 15 years in prison.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division; and Jason Miyares, Attorney General of Virginia, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson.
Assistant U.S. Attorneys Erik S. Siebert, Shea M. Gibbons, Jessica Wright, and Special Assistant U.S. Attorney Ellen Hubbard, an Assistant Attorney General with the Virginia Attorney General’s Office, prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation Deep Dope Well. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:23-cr-133.
Second Former Memphis Police Officer Pleads Guilty to Federal Civil Rights and Conspiracy Charges Tied to Death of Tyre NicholsRead the Press Release
Memphis, TN – A former Memphis, Tennessee, Police Department (MPD) officer facing federal civil rights charges for the tragic killing of Tyre Nichols pleaded guilty in federal court today.
Emmitt Martin III, pleaded guilty to civil rights and conspiracy charges arising out of the Jan. 7, 2023, incident. Martin is the second MPD officer to plead guilty in this case.
On Sept. 12, 2023, a federal jury returned a four-count indictment against Martin and four co-defendants. The charges included using excessive force resulting in the death of Nichols; aiding and abetting each other in using that excessive force; failing to intervene to stop the excessive force; failing to render medical aid; and conspiring or taking action to cover up their misconduct. On Nov. 2, 2023, co-defendant Desmond Mills entered a guilty plea to civil rights and conspiracy charges.
The remaining three defendants will face a federal trial scheduled for Sept. 9.
In today’s court appearance, Martin pleaded guilty to counts one and three of the indictment. Count one charged Martin with using excessive force and failing to intervene in the unlawful assault. Count three charged Martin with conspiring to cover up his use of unlawful force by omitting material information and by providing false and misleading information to his supervisor and to others. A sentencing hearing is scheduled for Dec. 5. A federal district court judge will determine any sentence after considering U.S. Sentencing Guidelines and other statutory factors.
Attorney General Merrick B. Garland, FBI Director Christopher Wray, Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Kevin Ritz for the Western District of Tennessee, and Special Agent in Charge Joseph E. Carrico of the FBI Memphis Field Office made the announcement.
The FBI Memphis Field Office investigated this case.
Assistant U.S. Attorneys David Pritchard and Elizabeth Rogers for the Western District of Tennessee and Special Litigation Counsel Kathryn E. Gilbert, Trial Attorney Andrew Manns and Deputy Chief Forrest Christian of the Justice Department’s Civil Rights Division are prosecuting the case.
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Topic
CIVIL RIGHTS
Components
Civil Rights Division
Civil Rights - Criminal Section
Federal Bureau of Investigation (FBI)
USAO - Tennessee, Western
Press Release Number: 24-1049
Second Former Memphis Police Officer Pleads Guilty to Federal Civil Rights and Conspiracy Charges Tied to Death of Tyre NicholsRead the Press Release
A former Memphis, Tennessee, Police Department (MPD) officer facing federal civil rights charges for the tragic killing of Tyre Nichols pleaded guilty in federal court today.
Emmitt Martin III, pleaded guilty to civil rights and conspiracy charges arising out of the Jan. 7, 2023, incident. Martin is the second MPD officer to plead guilty in this case.
On Sept. 12, 2023, a federal jury returned a four-count indictment against Martin and four co-defendants. The charges included using excessive force resulting in the death of Nichols; aiding and abetting each other in using that excessive force; failing to intervene to stop the excessive force; failing to render medical aid; and conspiring or taking action to cover up their misconduct. On Nov. 2, 2023, co-defendant Desmond Mills entered a guilty plea to civil rights and conspiracy charges.
The remaining three defendants will face a federal trial scheduled for Sept. 9.
In today’s court appearance, Martin pleaded guilty to counts one and three of the indictment. Count one charged Martin with using excessive force and failing to intervene in the unlawful assault. Count three charged Martin with conspiring to cover up his use of unlawful force by omitting material information and by providing false and misleading information to his supervisor and to others. A sentencing hearing is scheduled for Dec. 5. A federal district court judge will determine any sentence after considering U.S. Sentencing Guidelines and other statutory factors.
Attorney General Merrick B. Garland, FBI Director Christopher Wray, Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Kevin Ritz for the Western District of Tennessee, and Special Agent in Charge Joseph E. Carrico of the FBI Memphis Field Office made the announcement.
The FBI Memphis Field Office investigated this case.
Assistant U.S. Attorneys David Pritchard and Elizabeth Rogers for the Western District of Tennessee and Special Litigation Counsel Kathryn E. Gilbert, Trial Attorney Andrew Manns and Deputy Chief Forrest Christian of the Justice Department’s Civil Rights Division are prosecuting the case.
Scottsville Woman Sentenced to 2 Years in Federal Prison and Ordered to Pay $873,107 in Restitution for Defrauding Former EmployerRead the Press Release
Louisville, KY –A Scottsville, Kentucky, woman was sentenced yesterday to two years in federal prison for engaging in a scheme to defraud her former employer.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge Michael E. Stansbury of the FBI Louisville Field Office made the announcement.
According to court records, Reda W. Tabor, 67, was sentenced to two years in federal prison, followed by two years of supervised release, for one count of wire fraud. The charges in this case stemmed from Tabor’s scheme in which, from 2014 to 2020, while employed as Vice President in Charge of Finance/Accounting and Human Resources at Beneke Wire Company in Louisville, Kentucky, Tabor used her position to access the company’s bank accounts and make unauthorized transfers of company funds to her personal bank account.
Tabor was also ordered to pay restitution in the amount of $873,107 and a fine in the amount of $10,000.
There is no parole in the federal system.
The case was investigated by the FBI.
Assistant U.S. Attorney Amanda Gregory prosecuted the case.
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San Diego Man Charged with Using Explosives to Burglarize ATMsRead the Press Release
NEWS RELEASE SUMMARY – August 23, 2024
SAN DIEGO – Son Nguyen of San Diego was arrested early today and charged in federal court with two counts of damaging property in connection with using explosives on two ATMs.
Nguyen, who unsuccessfully attempted to steal money from the machines, was tracked through surveillance video, vehicle registration and facial features, the complaint said. He was taken into custody by the FBI at his Mira Mesa residence and is scheduled to make his first appearance in federal court Monday.
According to the complaint, at approximately 3:24 a.m. on June 8, 2024, Nguyen drove up to an ATM outside of California Coast Credit Union on Governor Drive in San Diego. Nguyen got out of his car and brought a five-gallon blue plastic container with a white spout to the area in front of the ATM. He then appeared to insert a black polyvinyl chloride plastic (“PVC”) hose into the ATM. A short time later, a small explosion occurred inside the ATM. Despite efforts to pull money out of the machine, Nguyen left empty handed.
San Diego Police officers responded to an alarm at the credit union and observed a white PVC pipe connected to a black PVC pipe with two batteries taped to it. They also observed pieces of what looked like a blue balloon around the ATM. Approximately 20 feet from the ATM was another plastic pipe.
According to the complaint, a few weeks later, at approximately 2:10 a.m. on June 28, 2024, Nguyen drove up to another ATM in Rancho Bernardo outside of a First Citizen’s Bank branch in San Diego. He then repeated the same steps. After electrical components caught fire and smoke started coming out of the ATM, Nguyen returned and attempted to extract cash from the machine but was unsuccessful.
Investigators used surveillance camera video to track the defendant and his vehicle. While serving a court-authorized search warrant at Nguyen’s home, investigators found gas, black powder, potassium nitrate sulfur, explosive pre-cursor chemicals, a paper that explains how to make black powder and a firearm in Nguyen’s residence, among other equipment and clothing items consistent with those used during the attempts.
“Fortunately, neither of these incidents resulted in injury or successful theft of cash,” said U.S. Attorney Tara McGrath. “With the discovery of chemicals and equipment in the search today, future attempts were also thwarted.”
This case is being prosecuted by Assistant U.S. Attorneys Andrew Sherwood and Shital Thakkar.
DEFENDANT Case Number 24-mj-03215
Son Thanh Nguyen Age: 44 San Diego, CA
SUMMARY OF CHARGES
Use of an Explosive to Damage Property – 18 U.S.C., Section 844(i)
Maximum penalty: Twenty years in prison
INVESTIGATING AGENCIES
Federal Bureau of Investigation
San Diego Police Department
San Diego County Sheriff’s Department Bomb Squad
City of San Diego’s Hazmat Team
A complaint itself is not evidence that the defendant committed the crimes charged. The defendant is presumed innocent until the Government meets its burden in court of proving guilt beyond a reasonable doubt.
- St. Thomas Drug Trafficker Sentenced to 25 Years in $2.1 Million Dollar Cocaine Seizure Case
Rutland Man Sentenced to 27 Months for Distribution of Cocaine BaseRead the Press Release
Burlington, Vermont – The United States Attorney’s Office for the District of Vermont stated that on August 20, 2024, Bradley Saldi, 44, of Rutland, Vermont, was sentenced by Chief United States District Judge Christina Reiss to a term of 27 months’ imprisonment to be followed by a 3-year term of supervised release. Saldi previously pleaded guilty to distributing cocaine base.
According to court records, between May 15, 2023, and June 14, 2023, Saldi made four sales of controlled substances, cocaine base or fentanyl, to a confidential informant at the Highlander Motel in Rutland, Vermont, where Saldi was employed as a handyman. Prior to these controlled purchases from Saldi, court records indicate that Saldi was involved in the drug trafficking activities of Jose Maldonado and Edgar Correa, who were previously convicted and sentenced in the District of Vermont for their illegal activities. Saldi also participated with Maldonado and Correa in the assault of an individual related to a presumed drug debt.
United States Attorney Nikolas P. Kerest commended the collaborative investigatory efforts of the Vermont State Police Drug Task Force, Federal Bureau of Investigation, Homeland Security Investigations, and Rutland City Police Department.The case was prosecuted by Assistant U.S. Attorneys Jonathan Ophardt and Jason Turner. Saldi was represented by Mark Oettinger, Esq.
Rosebud Man Convicted for Abusive Sexual ContactRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced that a jury has convicted Eugene Hollow Horn Bear, age 64, of Rosebud, South Dakota, of two counts of Abusive Sexual Contact following a two-day jury trial in federal district court in Pierre, South Dakota. The verdict was returned on August 21, 2024.
The charges carry a maximum penalty of three years in custody and/or a $250,000 fine, five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Hollow Horn Bear was indicted by a federal grand jury in March of 2024.
According to the evidence presented at trial, the victim awoke to Hollow Horn Bear touching her vagina and breasts after she had gone to sleep in an abandoned carwash in Mission, South Dakota, within the Rosebud Sioux Indian Reservation. The victim called out for help and another individual pulled Hollow Horn Bear off the victim and forced him to leave the carwash.
This matter was prosecuted by the U.S. Attorney’s Office because the Major Crimes Act, a federal statute, mandates that certain violent crimes alleged to have occurred in Indian country be prosecuted in federal court as opposed to State court.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Wayne Venhuizen prosecuted the case.
The defendant was remanded to the custody of the U.S. Marshals Service. A sentencing date has not been set.
Romanian Man Sentenced for Possession of Device Making Equipment and Aggravated Identity TheftRead the Press Release
United States Attorney Susan Lehr announced that Ciprian Amariutei, 37, a Romanian citizen whose address is unknown, was sentenced on August 23, 2024, in federal court in Omaha, Nebraska, for possession of device making equipment with intent to defraud and aggravated identity theft. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Amariutei to 16 months in prison for possession of device making equipment with intent to defraud and a consecutive 24 months in prison for aggravated identity theft. There is no parole in the federal system. After Amariutei’s release from prison, he will begin a 2-year term of supervised release.
On March 8, 2024, Amariutei’s co-defendant, Mona Maria Tataru, 32, also a Romanian citizen, was sentenced to 10 months in prison for possession of device making equipment with intent to defraud and a consecutive 24 months in prison for aggravated identity theft, to be followed by two years of supervised release.
In April 2023, surveillance video showed Amariutei, accompanied by Tataru, placing a skimming device and pinhole camera on an ATM in Omaha. Omaha police officers found the vehicle shown in the video and contacted Amariutei and Tataru at a local motel. Officers located in Amariutei’s and Tataru’s possession more skimming devices and cameras, equipment to generate phony debit and ATM cards, and several cards that had been encoded with stolen bank account information that enabled them to be used as ATM cards. In total, officers located approximately 220 sets of bank account information corresponding to accounts at more than a dozen different banks.
This case was investigated by the Department of Homeland Security and the Omaha Police Department.
Rashad Trice Sentenced to Life Imprisonment for Kidnapping Resulting in Death of Wynter Cole-SmithRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Rashad Maleek Trice was sentenced to life imprisonment for kidnapping resulting in the death of 2-year-old Wynter Cole-Smith.
“Today we have achieved a measure of justice,” said U.S. Attorney Mark Totten. “We can’t bring back the precious life of Wynter Cole-Smith, but we can do our best to ensure her killer is found guilty and spends the rest of his life in prison, which is what we’ve done today.” Totten continued: “I am so grateful to the hundreds of officers from over two dozen law enforcement agencies who came running to join the statewide search for Wynter Cole-Smith. Their commitment to protect and serve was overwhelming.”
According to the initial complaint, on July 2, 2023, a woman reported to the Lansing Police Department that she had been attacked by Trice and ultimately fled her apartment to escape him. When police responded to her apartment, Trice and the woman’s daughter, Cole-Smith, were no longer present. A white Chevrolet Impala had also allegedly been stolen. On July 3, police attempted to stop the white Chevrolet Impala in St. Clair Shores and the driver attempted to flee. Police apprehended the driver, Trice, but Cole-Smith was not in the car. Cell site information showed the approximate path Trice’s phone had recently taken, which prompted law enforcement to start conducting searches for Cole-Smith in specific areas. On July 5, 2023, law enforcement found Cole-Smith’s body in Detroit. On March 22, 2023, U.S. Attorney Totten announced that Trice pled guilty to the charge of kidnapping resulting in death.
“Our hearts still break for little Wynter. She should still be here,” stated U.S. Attorney for the Eastern District of Michigan, Dawn N. Ison. “The tireless search and coordination by federal, state, and local law enforcement agencies across the state, over several days, to bring her home safely, truly demonstrated the committed, collaborative effort with which we work every day to protect and serve our citizens. Although nothing will bring little Wynter back, I hope her family takes some solace in that effort and today’s sentence.”
“This was a senseless tragedy that shook our community to its core,” said Lansing Police Chief Rob Backus. “While nothing can replace the loss of Wynter Cole-Smith, I hope today’s sentencing offers some solace to Wynter’s family who have endured unimaginable pain. I’m grateful for the hard work and dedication of U.S. Attorney Mark Totten and his team.”
“The sentencing of Rashad Trice is the direct result of an exhaustive investigation conducted by members of the FBI in Michigan, our law enforcement partners, and the U.S. Attorney's Office for the Western Michigan,” stated Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “The collaboration with federal, state, and local law enforcement partners underscores the power of teamwork. While this may not provide immediate closure to the family of Wynter Cole-Smith, we are hopeful it will begin the healing process. Rashad Trice will spend the remainder of his life in prison, and we are optimistic this sentencing will serve as a deterrent, preventing another family from enduring the pain experienced by Wynter Cole-Smith's family.”
This case was prosecuted by Assistant United States Attorney Doaa Al-Howaishy and investigated by the FBI and Lansing Police Department, along with the U.S. Customs and Border Protection Air and Marine Operations, U.S. Customs and Border Protection, U.S. Border Patrol, U.S. Secret Service, Federal Air Marshal Service, Internal Revenue Service, U.S. Department of Labor, U.S. Attorney’s Office for the Eastern District of Michigan, Michigan State Police, Michigan State University Department of Police and Public Safety, Michigan Department of Corrections, Ingham County Sheriff’s Office, Ingham County Prosecutor’s Office, Eaton County Sheriff's Office, Oakland County Sheriff’s Office, Macomb County Sheriff's Office, Detroit Police Department, Detroit Public Schools Community District Department of Public Safety, Eastpointe Police Department, St. Clair Shores Police Department, Bloomfield Hills Police Department, Dearborn Police Department, Sterling Heights Police Department, West Bloomfield Police Department, Bloomfield Police Department, Southfield Police Department, Northville Township Police Department, and Clinton Township Police Department.
The U.S. Attorney’s Office for the Western District of Michigan issued the previous press releases in this case:
- July 7, 2023 – U.S. Attorney Totten Announces Federal Charges in the Kidnapping of 2-Year-Old Wynter Cole Smith.
- July 26, 2023 – Trice Indicted for Kidnapping Resulting in Death and Kidnapping a Minor in Wynter Cole-Smith Case.
- August 7, 2023 – Trice Pleads Not Guilty During Arraignment in Wynter Cole-Smith Case.
- November 3, 2023 – Rashad Trice Trial Date Set for April 16 in Wynter Cole-Smith Case.
- March 22, 2024 – Rashad Trice, Who Killed Two-Year-Old Wynter Cole-Smith, Pleads Guilty to Kidnapping Resulting in Death.
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- July 7, 2023 – U.S. Attorney Totten Announces Federal Charges in the Kidnapping of 2-Year-Old Wynter Cole Smith.
Previously Convicted Felon from Pittsburgh Indicted for Possessing Firearm and AmmunitionRead the Press Release
PITTSBURGH, Pa. - A resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of violating a federal firearms law, United States Attorney Eric G. Olshan announced today.
The one-count Indictment named Keith Harris, 25, as the sole defendant.
According to the Indictment, on June 11, 2024, Harris possessed a firearm and ammunition. Harris has a number of prior felony convictions, including a 2022 conviction as a felon in possession of firearm and/or ammunition. Federal law prohibits possession of a firearm or ammunition by a convicted felon.
The law provides for a maximum sentence of up to 15 years in prison, a fine of up to $250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Kelly M. Locher is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation leading to the Indictment.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Port Richey Brothers Plead Guilty to Trafficking 100 Kilograms of FentanylRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces that Marcus Fowler (33) and Pierre Fowler (35), both of Port Richey, have pleaded guilty to conspiring to distribute over 400 grams of fentanyl, over 500 grams of methamphetamine, and cocaine. Marcus Fowler also pleaded guilty to possession with intent to distribute 500 grams or more of cocaine. Each faces a maximum penalty of life in federal prison. A sentencing date has not yet been set.
According to the plea agreement, beginning in 2006, Marcus and Pierre Fowler conspired with others to distribute fentanyl, methamphetamine, and cocaine in the Middle District of Florida. Co-conspirators reported receiving over 100 kilograms of fentanyl and 500 pounds of methamphetamine from the brothers between 2020 and 2022. In January 2023, agents seized more than 13 pounds of methamphetamine and 3 kilograms of fentanyl through postal intercepts that were bound for members of the conspiracy. On February 8, 2023, agents recovered more than a kilogram of fentanyl, cocaine, and methamphetamine in addition to numerous firearms—including a machinegun—from the brothers’ stash house in Tarpon Springs.
Marcus and Pierre Fowler used drug proceeds to purchase several properties in Pasco and Pinellas Counties. As part of their plea agreement, they have agreed to forfeit the following properties which are traceable to the offenses:
1. 7715 Topay Lane, Port Richey, Florida 34668
2. 4152 Memphis Avenue, New Port Richey, Florida 34652
3. 5606 Sunshine Park Drive, New Port Richey, Florida 34652
4. 4330 Kibler Lane, Holiday, Florida 34691
5. 2141 Speck Drive, Holiday, Florida 34691
6. 4240 Oakfield Avenue, Holiday, Florida 34691
7. 710 North Avenue, Tarpon Springs, Florida 34689
8. 122 East Lime Street, Tarpon Springs, Florida 34689
9. 1522 Elite Court, Holiday, Florida 34691,
This case was investigated by the Drug Enforcement Administration, the U.S. Secret Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Pasco Sheriff’s Office, the Tarpon Springs Police Department, and the Pinellas County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Samantha E. Beckman, and the asset forfeiture is being handled by Assistant United States Attorney James Muench.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Pittsburgh Felon Serving Life Sentence Found Guilty at Trial of Contempt of Court and Assault of Court-Appointed AttorneyRead the Press Release
PITTSBURGH, Pa. - After the conclusion of a non-jury trial, a federal judge on August 22, 2024, found James Taric Byrd guilty of one count of contempt of court by misbehavior that obstructs the administration of justice and one count of assault for striking his court-appointed attorney in a courtroom at the Joseph F. Weis Jr. U.S. Courthouse, United States Attorney Eric G. Olshan announced today.
Byrd, 47, formerly of Pittsburgh, Pennsylvania, was tried before United States District Judge Robert J. Colville in Pittsburgh. Byrd is currently serving a life sentence plus 20 years of incarceration on a 2022 conviction for violating federal narcotics and firearm laws.
The evidence presented at trial established that, on July 18, 2022, while Byrd was in trial before another federal judge on unrelated charges, Byrd struck his attorney in the head. The defendant’s assaultive conduct disrupted and delayed the trial proceedings and obstructed the orderly administration of justice. The Court also heard evidence suggesting that the defendant’s motive in striking his attorney was to prompt a mistrial and delay the 2022 jury trial proceedings.
Four months after his January 2023 sentencing of life imprisonment, Byrd was tried and found guilty by a federal jury of one count of possession of contraband in prison. He subsequently was sentenced to an additional eight months of incarceration on that May 2023 conviction.
Judge Colville scheduled sentencing for Byrd’s contempt of court and assault conviction for December 18, 2024. Byrd will remain in custody pending sentencing. The law provides for a maximum sentence of up to life in prison, a fine, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based on the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorneys DeMarr W. Moulton and Soo C. Song prosecuted the case on behalf of the government.
The United States Marshals Service conducted the investigation that led to the prosecution of Byrd.
Pennsylvania man going to prison for gun trafficking conspiracyRead the Press Release
BUFFALO, N.Y. -- U.S. Attorney Trini E. Ross announced today that Christian Arroyo Collazo, 28, of New Castle, PA, who was convicted of conspiracy to traffic in firearms, was sentenced to serve 36 months in prison by U.S. District Judge John L. Sinatra, Jr.
Assistant U.S. Attorneys Joshua A. Violanti and Jeffrey E. Intravatola, who handled the case, stated that between July 2022, and March 2023, Collazo transported, or attempted to transport, firearms to the Jamestown, NY, area. These firearms included pistols, AR-style rifles, handguns, revolvers, and high-capacity magazines. Collazo trafficked a total of approximately 40 firearms. Collazo utilized social media to conduct firearm related conversations and effectuate his firearms trafficking activities. During these conversations, Collazo would send photos of firearms to potential buyers.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case is being prosecuted under the new criminal provisions of the Bipartisan Safer Communities Act, which Congress enacted, and the President signed in June 2022. The Act is the first federal statute specifically designed to target the unlawful trafficking and straw-purchasing of firearms.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Frank Tarentino, III, New York Field Division, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Bryan Miller, Special Agent-in-Charge, New York Field Division, the Jamestown Metro Drug Task Force, under the direction of Jamestown Police Chief Timothy Jackson, and the Erie, PA, Police Department, under the direction of Chief Daniel Spizarny Sr.
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Pennsylvania Man Pleads Guilty to Traveling Across State Lines for Sexual Exploitation of a MinorRead the Press Release
AKRON, Ohio – Soumya Rudra, 41, of Whitehall, Pennsylvania, has pleaded guilty to traveling across state lines to engage in illicit sexual conduct with a minor and to possession of child sexual abuse materials (CSAM), also referred to as child pornography.
According to court documents, Rudra met the 14-year victim on a dating game app called “Kiss Kiss.” He then messaged her via Snapchat text and video calls throughout several months. Rudra drove more than 400 miles from Pennsylvania to Ohio in November 2023 to meet the victim. He transported her to a hotel where he proceeded to engage in criminal sexual activities. Investigators also discovered CSAM involving other minors on his electronic devices which were recovered at the hotel room.
Sentencing is scheduled for Dec. 11, 2024. Rudra faces a maximum penalty of 30 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The investigation was conducted by the FBI, Canton Field Office and the Wayne County Sheriff’s Office. Assistant U.S. Attorney Toni Beth Schnellinger Feisthamel for the Northern District of Ohio prosecuted the case.
To report child exploitation, please visit cybertipline.org, or call 1-800-843-5678, 24 hours a day, 7 days a week.
Pass Christian Woman Pleads Guilty to Production of Child PornographyRead the Press Release
Gulfport, Miss.- A Pass Christian, Mississippi woman pled guilty to production of child pornography.
According to court documents, Sarah Jane Bennett, 43, was identified by law enforcement as an individual in lawful custody of a minor child who was using the child to produce visual depictions of the minor engaging in sexually explicit conduct. Further investigation revealed that Bennett’s cell phone contained multiple videos and images of child sexual abuse material involving the minor child.
Bennett is scheduled to be sentenced on December 10, 2024, in Gulfport, and faces a maximum penalty of 30 years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Todd W. Gee and Special Agent in Charge Robert Eikhoff of the Federal Bureau of Investigation made the announcement.
The Federal Bureau of Investigation is investigating the case, with assistance from the Mississippi Attorney General’s Office Cyber Crimes Division, the Gulfport Police Department, and the Biloxi Police Department.
Assistant U.S. Attorney Andrea Jones is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.
Oviedo Man Pleads Guilty to Receiving and Possessing Child Sexual Abuse MaterialRead the Press Release
Orlando, FL – United States Attorney Roger B. Handberg announces that Carl Vecchione, (62, Oviedo) has pleaded guilty to receipt and possession of child sexual abuse material. Vecchione faces a minimum mandatory penalty of 5 years, up to 40 years, in federal prison. Sentencing is scheduled for November 19, 2024.
According to the plea agreement, on June 9, 2022, Homeland Security Investigations (HSI) executed a search warrant at Vecchione’s residence after identifying the home’s Internet Protocol (IP) address as sharing child sexual abuse material online. HSI located more than 900 images and videos of child sexual abuse material on Vecchione’s laptop.
This case was investigated by Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Stephanie A. McNeff.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Omaha Man Sentenced to 210 Months for Production of Child PornographyRead the Press Release
United States Attorney Susan T. Lehr announced that Neon Chang, age 41, of Omaha, Nebraska was sentenced on August 23, 2024, in federal court in Omaha for production of visual depictions of minors engaging in sexually explicit conduct. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Chang to 210 months’ imprisonment. There is no parole in the federal system. After his release from prison, Chang will be required to complete a 10-year term of supervised release. Chang was also ordered to pay a special assessment in the amount of $5,000 pursuant to the Amy, Vicky, and Andy Victim Assistance Act of 2018.
An investigation into the online sharing of child pornography led law enforcement officers to obtain a warrant for the search of Chang’s residence in November 2023. Chang was not present but was later interviewed at his place of employment. Chang told investigators that he used a specific software program to receive and download child pornography. Among the child pornography files made available for sharing by Chang through the peer-to-peer program included prepubescent minors, minors under the age of twelve, and files showing sexual abuse or exploitation of toddlers. Chang also admitted that in 2019, he recorded sexual encounters involving himself, his spouse, and a minor victim.
Investigators were able to locate 28 video files on a computer seized from the basement of the residence. The investigator viewed the video files and found they were created in January and February of 2019, when the minor victim was approximately thirteen years old. The videos corroborated Chang’s statements regarding the sexual encounters involving him, his spouse, and the minor victim. One of the videos recorded from a stationary camera depicts the minor victim having sexual intercourse with Chang’s spouse at Chang’s direction, while Chang was also using a cell phone camera to record the sexual encounter. During the sentencing hearing, Chief Judge Rossiter characterized Chang’s conduct as “beyond horrible.”
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 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 www.projectsafechildhood.gov.
This case was investigated by the Douglas County Sheriff’s Office and the Omaha Federal Bureau of Investigation’s Child Exploitation and Human Trafficking Task Force.