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1 October 2024
Saratoga County Man Sentenced for Drug and Firearms OffensesRead the Press Release
ALBANY, NEW YORK – Anthony Luizzi, age 24, of Halfmoon, New York, was sentenced today to 210 months in prison, and to pay a $10,000 fine, for drug and gun crimes in connection with his trafficking of large amounts of fentanyl, cocaine and methamphetamine, and his possession of more than 30 firearms.
United States Attorney Carla B. Freedman; Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Field Division; and Bryan Miller, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), made the announcement.
Luizzi previously pled guilty to conspiracy to distribute and possess with intent to distribute cocaine, methamphetamine, and fentanyl; possession with intent to distribute cocaine, methamphetamine and fentanyl; and possession of firearms in furtherance of drug trafficking crimes.
Luizzi admitted that he conspired to distribute, and possessed with intent and distribute, cocaine, methamphetamine, and fentanyl, from his residence in Halfmoon, and at an apartment on Western Avenue in Albany. On May 23, 2023, law enforcement searched his apartment in Halfmoon and found more than 11 kilograms of fentanyl pills, along with five firearms, including a shotgun with a defaced serial number. Law enforcement also seized $2,616 as drug proceeds. On that same day, law enforcement also searched the apartment on Western Avenue and found 34 more firearms, as well as more than 400 grams of fentanyl pills, more than 7,000 grams of pills containing methamphetamine, and more than 700 grams of cocaine.
United States District Judge Anne M. Nardacci also ordered that Luizzi serve a 5-year term of supervised release following his release from prison and ordered the forfeiture of the $2,616 in cash found at his Halfmoon residence.
The following defendants have also been charged in connection with this investigation:
- Brandon Bartley was sentenced on September 24, 2024, to 180 months in prison and to pay a $5,000 fine, for drug and gun crimes.
- Devon Newsome pled guilty on September 3, 2024, to unlawfully transferring firearms as part of the firearms trafficking conspiracy. Newsome is scheduled to be sentenced on January 6, 2025.
- Jabree Jones was charged with a violation of the terms of his supervised release on May 23, 2023, based on violations of federal gun and drug trafficking laws, and has been detained pending the resolution of the supervised release violation petition. A final revocation hearing is currently scheduled for December 17, 2024. The charges against Jones are merely accusations. He is presumed innocent unless and until proven guilty.
The DEA and the ATF are investigating the case, with assistance from the Saratoga County Sheriff’s Office (SCSO), the United States Postal Inspection Service (USPIS), U.S. Department of Labor, Office of Inspector General (USDOL-OIG), and Henry County Police Department in Georgia. Assistant U.S. Attorney Alexander Wentworth-Ping is prosecuting the case.
Russian National Indicted for Series of Ransomware AttacksRead the Press Release
The Justice Department today unsealed an indictment charging Russian national Aleksandr Viktorovich Ryzhenkov (Александр Викторович Рыженков) with using the BitPaymer ransomware variant to attack numerous victims in Texas and throughout the United States and hold their sensitive data for ransom.
According to the indictment obtained in the Northern District of Texas, beginning in at least June 2017, Ryzhenkov allegedly gained unauthorized access to the information stored on victims’ computer networks. Ryzhenkov and his conspirators then allegedly deployed the strain of ransomware known as BitPaymer and used it to encrypt the files of the victim companies, rendering them inaccessible. An electronic note left on the victims’ systems contained a ransom demand and instructions on how to contact the attackers to begin ransom negotiations. Ryzhenkov and his conspirators allegedly demanded that victims pay a ransom to obtain a decryption key and prevent their sensitive information from being made public online.
The indictment further alleges that Ryzhenkov and others used a variety of methods to intrude into computer systems, including phishing campaigns, malware, and taking advantage of vulnerabilities in computer hardware and software. Ryzhenkov and coconspirators used this access to demand millions of dollars in ransom. Ryzhenkov is believed to be in Russia. View the FBI’s wanted poster for him here.
In coordination with the indictment’s unsealing, the Office of Foreign Assets Control of the U.S. Department of the Treasury today announced that Ryzhenkov was added to its list of specially designated nationals. The designation blocks property and interests in any property the designee may have in the United States and prohibits U.S. financial institutions from engaging in certain transactions and activities with the designated individual. To learn more, view the Treasury announcement here.
“The Justice Department is using all the tools at its disposal to attack the ransomware threat from every angle,” said Deputy Attorney General Lisa Monaco. “Today’s charges against Ryzhenkov detail how he and his conspirators stole the sensitive data of innocent Americans and then demanded ransom. With law enforcement partners here and around the world, we will continue to put victims first and show these criminals that, in the end, they will be the ones paying for their crimes.”
“Ransomware attacks – particularly those deployed by bad actors with ties to Russia – can paralyze a company in the time it takes to open a laptop. Whether or not the ransom is paid, recovering from a ransomware attack is generally costly and time-consuming,” said U.S. Attorney Leigha Simonton for the Northern District of Texas. “The U.S. Attorney’s Office for the Northern District of Texas is committed to pursuing cybercriminals who hold data hostage, no matter where in the world they may be hiding.”
“Aleksandr Ryzhenkov extorted victim businesses throughout the United States by encrypting their confidential information and holding it for ransom,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Addressing the threat from ransomware groups is one of the Criminal Division’s highest priorities. The coordinated actions announced today demonstrate, yet again, that the Justice Department is committed to working with its partners to take an all-tools approach to protecting victims and holding cybercriminals accountable.”
“The FBI together with partners continues to leverage all resources to impose cost on criminals engaging in ransomware attacks,” said FBI Deputy Director Paul Abbate. “Today’s indictment delivers a clear message to those who engage in cyber-criminal activity – you will face severe consequences for your illicit activities and will be held accountable under the law.”
The FBI Dallas Field Office is investigating the case.
Trial Attorney Debra L. Ireland of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Vincent J. Mazzurco for the Northern District of Texas are prosecuting the case.
Victims of ransomware attacks are encouraged to contact their local FBI field office. For additional information on ransomware, please visit StopRansomware.gov.
An indictment is merely an allegation. Under United States law, all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Russian National Indicted for Series of Ransomware AttacksRead the Press Release
The Justice Department today unsealed an indictment charging Russian national Aleksandr Viktorovich Ryzhenkov (Александр Викторович Рыженков) with using the BitPaymer ransomware variant to attack numerous victims in Texas and throughout the United States and hold their sensitive data for ransom.
According to the indictment, beginning in at least June 2017, Ryzhenkov allegedly gained unauthorized access to the information stored on victims’ computer networks. Ryzhenkov and his conspirators then allegedly deployed the strain of ransomware known as BitPaymer and used it to encrypt the files of the victim companies, rendering them inaccessible. An electronic note left on the victims’ systems contained a ransom demand and instructions on how to contact the attackers to begin ransom negotiations. Ryzhenkov and his conspirators allegedly demanded that victims pay a ransom to obtain a decryption key and prevent their sensitive information from being made public online.
The indictment further alleges that Ryzhenkov and others used a variety of methods to intrude into computer systems, including phishing campaigns, malware, and taking advantage of vulnerabilities in computer hardware and software. Ryzhenkov and coconspirators used this access to demand millions of dollars in ransom. Ryzhenkov is believed to be in Russia. View the FBI’s wanted poster for him here.
In coordination with the indictment’s unsealing, the Treasury Department's Office of Foreign Assets Control today announced that Ryzhenkov was added to its list of specially designated nationals. The designation blocks property and interests in any property the designee may have in the United States and prohibits U.S. financial institutions from engaging in certain transactions and activities with the designated individual. To learn more, view the Treasury announcement here.
“The Justice Department is using all the tools at its disposal to attack the ransomware threat from every angle,” said Deputy Attorney General Lisa Monaco. “Today’s charges against Ryzhenkov detail how he and his conspirators stole the sensitive data of innocent Americans and then demanded ransom. With law enforcement partners here and around the world, we will continue to put victims first and show these criminals that, in the end, they will be the ones paying for their crimes.”
“The FBI, together with partners, continues to leverage all resources to impose cost on criminals engaging in ransomware attacks,” said FBI Deputy Director Paul Abbate. “Today’s indictment delivers a clear message to those who engage in cyber-criminal activity – you will face severe consequences for your illicit activities and will be held accountable under the law.”
“Aleksandr Ryzhenkov extorted victim businesses throughout the United States by encrypting their confidential information and holding it for ransom,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Addressing the threat from ransomware groups is one of the Criminal Division’s highest priorities. The coordinated actions announced today demonstrate, yet again, that the Justice Department is committed to working with its partners to take an all-tools approach to protecting victims and holding cybercriminals accountable.”
“Ransomware attacks – particularly those deployed by bad actors with ties to Russia – can paralyze a company in the time it takes to open a laptop. Whether or not the ransom is paid, recovering from a ransomware attack is generally costly and time-consuming,” said U.S. Attorney Leigha Simonton for the Northern District of Texas. “The U.S. Attorney’s Office for the Northern District of Texas is committed to pursuing cybercriminals who hold data hostage, no matter where in the world they may be hiding.”
The FBI Dallas Field Office is investigating the case.
Trial Attorney Debra L. Ireland of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Vincent J. Mazzurco for the Northern District of Texas are prosecuting the case.
Victims of ransomware attacks are encouraged to contact their local FBI field office. For additional information on ransomware, please visit StopRansomware.gov.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Repeat Sex Offender Sentenced to 25 Years in Federal Prison for Attempted Sexual Exploitation of a ChildRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on September 30, 2024, Senior United States District Judge William C. Griesbach sentenced David J. Fuchs (age: 41), formerly of Janesville, Wisconsin, to 25 years in federal prison for attempting to sexually exploit a child.
According to court records, Fuchs engaged in a conversation with an undercover law enforcement officer from the Outagamie County Sheriff’s Office, who was posing online as a 12-year-old girl. During the conversation, Fuchs repeatedly described his desire to have sex with the child, sending multiple explicit photographs of himself and requesting explicit photographs from the undercover officer. Fuchs explained to the undercover officer, in explicit terms, how he intended to “teach” the young girl how to have sexual intercourse. During many of the sexually explicit conversations, Fuchs expressed his belief that the 12-year-old girl was in school. He planned to meet the girl at a travel plaza near Madison, Wisconsin, and he promised to bring her art supplies. On March 15, 2024, Fuchs arrived at a travel plaza with the intention of meeting a 12-year-old girl. The United States Marshals Service placed him under arrest.
Court records further indicate that the undercover officer from the Outagamie County Sheriff’s Office also talked to Fuchs using a different undercover identity. During this conversation, Fuchs offered to pay $100 to have sex with a 7-year-old girl. Fuchs was also talking to undercover officers from the Madison Police Department, the Manitowoc County Sheriff’s Office, and the Fox Valley Metro Police Department, who were posing online as underage girls.
Fuchs is a registered sex offender with prior convictions for attempted second degree sexual assault of a child and sexual assault of an intoxicated victim.
This case was investigated by the Outagamie County Sheriff’s Office, the Manitowoc County Sheriff’s Office, the Fox Valley Metro Police Department, and the Madison Police Department, with assistance from the Rock County Sheriff’s Office and the United States Marshals Service. It was prosecuted by Assistant United States Attorney Alex Duros.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Readout of Justice Department’s “Walk the Redline” Event to Commemorate the Third Anniversary of the Combating Redlining InitiativeRead the Press Release
To commemorate the third anniversary of the Justice Department's Combating Redlining Initiative, Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and U.S. Attorney Matthew M. Graves for the District of Columbia conducted a walking tour yesterday along Washington D.C.'s historic U Street Corridor.
This year also marks the Justice Department’s 30th anniversary of redlining enforcement efforts. In 1994, the department filed its first redlining case against Chevy Chase Federal Savings Bank in Washington, D.C. Walking the historic U Street Corridor highlights the roots of the department’s fair lending enforcement efforts and continued commitment to fight for equal opportunity for all people and communities impacted by redlining.
Assistant Attorney General Clarke and U.S. Attorney Graves met with three of the longest enduring Black-owned businesses in Washington D.C. — Industrial Bank, Lee’s Flower and Card Shop and Ben’s Chili Bowl — to discuss how access to credit and financial services impacted the neighborhood. Leaders reflected on the local Black community’s rich history of entrepreneurship and contributions to the local economy despite historical redlining.
Redlining is an illegal practice in which lenders avoid providing services to individuals living in communities of color because of the race or national origin of the people who live in those communities. Starting in 2025, lenders will also be required to collect and report on the racial demographics of small business loans provided by financial institutions.
“These three legacy D.C. establishments underscore how access to credit and loan services can be transformative in providing access to economic opportunity and generational wealth for Black communities,” said Assistant Attorney General Clarke. “Our Combating Redlining Initiative is holding financial institutions accountable for unlawful redlining practices and has resulted in historic relief to close the widening wealth gap between communities of color and others. As we expand our efforts, we look forward to reviewing future data on business loans to ensure that banks are engaged in fair lending to small businesses.”
“Industrial Bank’s relationship with Lee’s Flower and Card Shop and Ben’s Chili Bowl shows how businesses can thrive when banks provide access to lending,” said U.S. Attorney Graves. “The U.S. Attorney’s Office for the District of Columbia, along with our partners at the Civil Rights Division, are committed to holding accountable those banks that are not providing equal access to lending.”
In October 2021, Attorney General Merrick B. Garland and Assistant Attorney General Clarke launched the Justice Department’s Combating Redlining Initiative as the most aggressive and coordinated effort to fight discriminatory lending against communities of color. The Initiative brings a comprehensive approach by working with U.S. Attorneys’ Offices, State Attorneys General and financial regulatory agencies nationwide to address redlining.
Since 2021, the department has reached major milestones since its launch, including:
- Securing 13 settlements totaling $137 million in relief for communities of color across the country in California, Delaware, Florida, New Jersey, North Carolina, Ohio, Oklahoma, Pennsylvania, Rhode Island, Texas and Tennessee.
- Securing a historic amount of relief that includes $121 million in subsidies for home loans and is expected to generate over $1 billion in investment in affected communities in places such as Houston; Memphis, Tennessee; Newark, New Jersey; Los Angeles; and Charlotte, North Carolina.
Information about the Justice Department’s fair lending enforcement work can be found at www.justice.gov/crt/fair-lending-program. Individuals may report lending discrimination by calling the Justice Department’s housing discrimination tip line at 1-833-591-0291 or submitting a report online. Information about the U.S. Attorney’s Office’s civil rights enforcement may be found at www.justice.gov/usao-dc/affirmative-civil-rights-and-environmental-justice.
Beginning in 2025, consistent with section 1071 of the Dodd-Frank Act, lenders will be required to collect and report certain demographic data for small business loan applications. Information about the Consumer Financial Protection Bureau’s small business lending rulemaking may be found at Small business lending rulemaking | Consumer Financial Protection Bureau (consumerfinance.gov).
Assistant Attorney General Clarke and U.S. Attorney Graves meet with management at Industrial Bank. Assistant Attorney General Clarke and U.S. Attorney Graves are shown a mural by the owners of Lee's Flower and Card Shop. Assistant Attorney General Clarke and U.S. Attorney Graves tour Ben's Chili Bowl.Readout of Justice Department’s “Walk the Redline” Event Meeting with D.C. Local Business Leaders to Commemorate the Third Anniversary of the Combating Redlining InitiativeRead the Press Release
WASHINGTON – To commemorate the third anniversary of the Justice Department's Combating Redlining Initiative, Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and U.S. Attorney Matthew M. Graves for the District of Columbia conducted a walking tour along Washington D.C.'s historic U Street Corridor.
This year also marks the Justice Department’s 30th anniversary of redlining enforcement efforts. In 1994, the department filed its first redlining case against Chevy Chase Federal Savings Bank in Washington, D.C. Walking the historic U Street Corridor highlights the roots of the department’s fair lending enforcement efforts and continued commitment to fight for equal opportunity for all people and communities impacted by redlining.
Assistant Attorney General Clarke and U.S. Attorney Graves met with three of the longest enduring Black-owned businesses in Washington D.C. — Industrial Bank, Lee’s Flower and Card Shop and Ben’s Chili Bowl — to discuss how access to credit and financial services impacted the neighborhood. Leaders reflected on the local Black community’s rich history of entrepreneurship and contributions to the local economy despite historical redlining.
Redlining is an illegal practice in which lenders avoid providing services to individuals living in communities of color because of the race or national origin of the people who live in those communities. Starting in 2025, lenders will also be required to collect and report on the racial demographics of small business loans provided by financial institutions.
“These three legacy D.C. establishments underscore how access to credit and loan services can be transformative in providing access to economic opportunity and generational wealth for Black communities,” said Assistant Attorney General Clarke. “Our Combating Redlining Initiative is holding financial institutions accountable for unlawful redlining practices and has resulted in historic relief to close the widening wealth gap between communities of color and others. As we expand our efforts, we look forward to reviewing future data on business loans to ensure that banks are engaged in fair lending to small businesses.”
“Lee’s Flower and Card Shop, Ben’s Chili Bowl and Industrial Bank are perfect examples of how businesses can thrive when banks provide equal access to lending,” said U.S. Attorney Graves. “The U.S. Attorney’s Office for the District of Columbia, along with our partners at the Civil Rights Division, are committed to holding accountable those banks that are not providing equal access.”
In October 2021, Attorney General Merrick B. Garland and Assistant Attorney General Clarke launched the Justice Department’s Combating Redlining Initiative as the most aggressive and coordinated effort to fight discriminatory lending against communities of color. The Initiative brings a comprehensive approach by working with U.S. Attorneys’ Offices, State Attorneys General and financial regulatory agencies nationwide to address redlining.
Since 2021, the department has reached major milestones since its launch, including:
- Securing 13 settlements totaling $137 million in relief for communities of color across the country in California, Delaware, Florida, New Jersey, North Carolina, Ohio, Oklahoma, Pennsylvania, Rhode Island, Texas and Tennessee.
- Securing a historic amount of relief that includes $121 million in subsidies for home loans and is expected to generate over $1 billion in investment in affected communities in places such as Houston; Memphis, Tennessee; Newark, New Jersey; Los Angeles; and Charlotte, North Carolina.
Information about the Justice Department’s fair lending enforcement work can be found at www.justice.gov/crt/fair-lending-program. Individuals may report lending discrimination by calling the Justice Department’s housing discrimination tip line at 1-833-591-0291 or submitting a report online. Information about the U.S. Attorney’s Office’s civil rights enforcement may be found at www.justice.gov/usao-dc/affirmative-civil-rights-and-environmental-justice.
Beginning in 2025, consistent with section 1071 of the Dodd-Frank Act, lenders will be required to collect and report certain demographic data for small business loan applications. Information about the Consumer Financial Protection Bureau’s small business lending rulemaking may be found at Small business lending rulemaking | Consumer Financial Protection Bureau (consumerfinance.gov).
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Project Safe Neighborhoods News for September 2024Read the Press Release
SACRAMENTO, Calif. — The Project Safe Neighborhoods (PSN) initiative brings together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence. At the core of PSN is setting focused and strategic enforcement priorities that help prevent violence from occurring in the first place. U.S. Attorney Phillip A. Talbert announces the following actions in federal PSN cases.
Indictments
Anthony Carter, 22, of Elk Grove, and Isaiah Rowland, 28, of Antelope, were indicted on Aug. 15, 2024, each charged with being a felon in possession of a firearm. The indictment was unsealed following their arrests on Sept. 5. According to court documents, Carter is prohibited from possessing a firearm due to prior felony convictions for reckless evasion of a peace officer, felon in possession of a firearm, and possession of a firearm by a person on probation. Rowland, too, is prohibited from possessing a firearm due to prior felony convictions for robbery, failure to appear on a felony charge, and carrying a loaded firearm. This case is the result of the ongoing collaboration between the Sacramento Police Department and its local, state, and federal partners as part of a Public Safety Partnership (PSP) to address violent crime in the community. Started in 2022, the Sacramento PSP is a multi-faceted violence-reduction strategy that relies on innovative data-driven strategies to promote public and community safety. Participating PSP partners include: the Sacramento District Attorney’s Office, Sacramento FBI, Sacramento DEA, Sacramento ATF, the Sacramento U.S. Marshals, and the U.S. Attorney’s Office. Assistant U.S. Attorney Zulkar Khan is prosecuting the case.
Richard Lee Dazo, 38, of West Sacramento, was indicted on Sept. 12, 2024, charged with being a felon in possession of a firearm and ammunition. According to court documents, on Aug. 13, 2024, Dazo was found to be in possession of a loaded Remington 870 shotgun and a pellet gun loaded with live ammunition. Dazo is prohibited from possessing a firearm due to prior felony convictions for assault with force likely to produce great bodily injury and criminal street gang activity, being a felon in possession of a firearm, possession of metal knuckles, and possession of a concealed dirk or dagger. This case is the product of an investigation by the West Sacramento Police Department, FBI Safe Streets Task Force, and Yolo County District Attorney’s Office. Special Assistant U.S. Attorney Matthew De Moura is prosecuting the case.
If convicted, defendants Carter, Rowland and Dazo face a maximum statutory penalty of 15 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Guilty Plea
Sean Arthur Robinson, 37, of Stockton, pleaded guilty on Sept. 10, 2024, to illegal possession of a firearm. According to court documents, law enforcement officers recovered a loaded Glock 27 semi-automatic firearm and a loaded magazine inside a vehicle while serving a search warrant at Robinson’s residence in Stockton in September 2022. The firearm had previously been reported stolen from Sacramento. Robinson is prohibited from possessing firearms due to prior convictions for elder abuse and for carrying a loaded firearm in public. Law enforcement’s investigation into Robinson began at least as early as May 2021, when surveillance footage captured him engaging in a violent shootout at the Grand Hyatt Hotel near San Francisco International Airport. During this incident, Robinson and a compatriot attempted to carjack at least two other vehicles. Following the shootout, law enforcement officers seized a black duffel bag that surveillance footage captured Robinson carrying just before the firefight began and contained three illegal firearms. This case is the product of an investigation by the FBI with assistance from the San Francisco Police Department. Assistant U.S. Attorneys Justin Lee and Sam Stefanki are prosecuting the case.
Robinson is scheduled to be sentenced on Jan. 7, 2025. He faces a maximum statutory penalty of 15 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Sentencings
Jacob Harding-Abeyta, 31, of Vallejo, was sentenced on Sept. 10, 2024, to four years and nine months in prison for being a felon in possession of a firearm and possession of cocaine for sale. According to court documents, on Oct. 7, 2020, a parole search of Harding-Abeyta’s residence resulted in the discovery of a loaded .45-caliber Springfield XDS firearm in his bedroom. Harding-Abeyta is prohibited from possessing firearms or ammunition because he was previously convicted in Solano County for attempted murder in 2014. Officers also discovered 39 grams of powder cocaine, a digital scale, plastic baggies, and other drug paraphernalia. A search of the defendant’s phone revealed that he was selling this and other cocaine. Additionally, Harding-Abeyta also admitted in his plea agreement that he committed obstruction of justice by attempting to suborn perjury of a witness during a prior evidentiary hearing in this case. This case was the product of an investigation by the Solano County Sheriff’s Office, the Solano County District Attorney’s Office, the ATF, and the FBI’s Solano County Violent Crimes Task Force. Assistant U.S. Attorneys Haddy Abouzeid, Jason Hitt, Adrian T. Kinsella prosecuted the case.
Sovan Leng, 34, of Stockton was sentenced on Sept. 10, 2024, to two years and six months in prison for being a felon in possession of a firearm. According to court documents, on Oct. 16, 2023, Leng was found to be in possession of a Glock-17 9 mm pistol. Leng is prohibited from possessing a firearm due to several prior felony convictions for assault with a deadly weapon, carrying a loaded firearm, possession of a stolen vehicle, being a felon in possession of a firearm, and possession of a controlled substance. This case was the product of an investigation by the Stockton Police Department and ATF. Assistant U.S. Attorneys Alstyn Bennett and Zulkar Khan prosecuted the case.
These cases are 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 U.S. Department of Justice 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.
Previously extradited Nigerian national sent to prison for role in multimillion-dollar business email compromise schemeRead the Press Release
HOUSTON – A 45-year-old dual citizen of Nigeria and the United Kingdom has been ordered to federal prison following his conviction in a wire fraud conspiracy involving two districts, announced U.S. Attorneys Alamdar S. Hamdani and Dena J. King for the Southern District of Texas (SDTX) and Western District of North Carolina (WDNC), respectively.
Oludayo Kolawole John Adeagbo aka John Edwards and John Dayo arrived in the United States in August 2022 following his extradition from the United Kingdom to face criminal charges filed in SDTX and WDNC. He pleaded guilty April 8 for his criminal conduct in both cases.
U.S. District Judge Kenneth Bell of the Western District of North Carolina has now ordered Adeagbo to serve a total of 84 months in federal prison to be immediately followed by one year of supervised release. The court also ordered him to pay $942,655.03 in restitution to the victims.
“Adeagbo ran a sophisticated 21st century cyber-criminal operation hiding behind fake email accounts and anonymous internet addresses to steal from the innocent, a crime as old as time itself,” said Hamdani. “Business Email Compromise (BEC) scams have become an epidemic with individuals and businesses suffering debilitating financial losses, while eroding society’s trust in digital communications and undermining overall economic stability. That’s why prosecutors and agents in two jurisdictions worked tirelessly to identify Adeagbo and reach across the Atlantic to bring him to justice.”
“BEC schemes, like the one perpetrated by Adeagbo and his co-conspirators, are sophisticated and devastating crimes that target the trust businesses and institutions place in their daily operations,” said King. “By exploiting this trust, fraudsters steal millions of dollars from unsuspecting victims. This case demonstrates the commitment of my office and our law enforcement partners to pursue justice for those impacted by these schemes and to hold cybercriminals accountable, regardless of where they are operating from.”
"Oludayo Adeagbo and his coconspirators perpetrated transnational cyber-enabled fraud schemes that targeted schools, government entities, and companies across the United States, and caused millions of dollars in losses,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Adeagbo’s extradition, plea, and sentencing underscore the Criminal Division’s commitment to working with our law enforcement partners to pursue cybercriminals who target American victims, no matter where that pursuit leads. We are especially grateful to the Government of the United Kingdom for its assistance in this case.”
"Oludayo Adeagbo thought he was pretty slick stealing other people’s money via this scam. His victims, however, strongly disagreed,” said FBI Executive Assistant Director Michael Nordwall. “Instead of enjoying the fruits of his illegal labors, Adeagbo will now be spending time in a federal prison. The BEC is one of the fastest growing and most costly scams and the only way to fight it is through cooperation, often international cooperation, and this case is a prime example of partnerships working.”
A BEC scheme, also referred to as “cyber-enabled financial fraud,” is a sophisticated scam that often targets individuals, employees or businesses involved in financial transactions or that regularly perform wire transfer payments. Fraudsters are usually part of larger criminal networks operating in the United States and abroad.
There are many variations of BEC scams. Generally, the schemes involve perpetrators gaining unauthorized access to legitimate email accounts or creating email accounts that closely resemble those of individuals or employees associated with the targeted businesses or involved in business transactions with the victim businesses. The scammers then use the compromised or fake email accounts to send false wiring instructions to the targeted businesses or individuals, to dupe the victims into sending money to bank accounts controlled by perpetrators of the scheme. Generally, the money is quickly transferred to other accounts in the United States or overseas.
The Texas BEC Scheme
From November 2016 until July 2018, Adeagbo conspired with others to participate in multiple cyber-enabled business email compromises in an attempt to steal more than $3 million from victim entities in Texas, including local government entities, construction companies and a Houston-area college. Adeagbo and his co-conspirators registered domain names that looked similar to legitimate companies. They then sent emails from those domains pretending to be employees at those companies to clients or customers of the companies they impersonated and deceived those customers into sending wire payments to bank accounts the co-conspirators controlled.
The North Carolina BEC Scheme
From Aug. 30, 2016, to Jan. 12, 2017, Adeagbo and others defrauded a North Carolina university of more than $1.9 million via a BEC scheme. Adeagbo and his co-conspirators obtained information about significant construction projects occurring throughout the United States, including an ongoing multimillion-dollar project at the victim university. To execute the scheme, Adeagbo and others registered a domain name similar to that of the legitimate construction company in charge of the university’s project and created an email address that closely resembled that of an employee of the construction company. Using the fake email address, the fraudsters deceived and directed the university to wire a payment of more than $1.9 million to a bank account someone working under the direction of Adeagbo and his co-conspirators controlled. Upon receiving the payment, Adeagbo and his co-conspirators laundered the stolen proceeds through a series of financial transactions designed to conceal the fraud.
Co-conspirator Donald Ikenna Echeazu, 42, a dual citizen of Nigeria and the United Kingdom extradited to the United States, was previously sentenced to 18 months in prison followed by a year of supervised release and was ordered to pay $655,408.87 in restitution for his role in the conspiracy.
Adeagbo will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI’s Houston Cyber Task Force and Charlotte Field Office conducted the investigation with assistance of the FBI’s Cyber and Criminal Investigative Divisions. The United Kingdom’s National Crime Agency, Metropolitan Police Service, City of London Police and Crown Prosecution Service also provided substantial assistance. The Department of Justice’s Office of International Affairs helped secure the arrest and extradition.
SDTX Assistant U.S. Attorney (AUSA) Rodolfo Ramirez prosecuted the case along with WDNC AUSA Graham Billings and Trial Attorney Brian Mund of the Justice Department’s Criminal Division Computer Crime and Intellectual Property Section.
If you suspect you are a victim of a BEC scheme, you can file a complaint online with the FBI’s Internet Complaint Crime Complaint Cetner (IC3) at bec.ic3.gov. The IC3 staff reviews complaints to detect patterns or other indicators of significant criminal activity for potential criminal prosecution.
Previously Extradited Nigerian National Sentenced for Role in Multimillion-Dollar Business Email Compromise Schemes Targeting Educational Institutions and Businesses in North Carolina and TexasRead the Press Release
CHARLOTTE, N.C. – A dual citizen of Nigeria and the United Kingdom was sentenced today to seven years in prison for his role in a multimillion-dollar business email compromise (BEC) scheme, announced Dena J. King, U.S. Attorney for the Western District of North Carolina, and Alamdar S. Hamdani, U.S. Attorney for the Southern District of Texas.
According to court documents, Oludayo Kolawole John Adeagbo, 45, conspired with others to participate in multiple cyber-enabled BEC schemes that defrauded a North Carolina university of more than $1.9 million, and attempted to steal more than $3 million from victim entities in Texas, including local government entities, construction companies, and a Houston-area college.
Adeagbo, also known as John Edwards and John Dayo, arrived in the United States in August 2022 after he was extradited from the United Kingdom to face criminal charges filed in Charlotte and in Houston. On April 8, 2024, Adeagbo pleaded guilty to one count each of wire fraud and conspiracy to commit wire fraud for his criminal conduct in both cases, following the transfer of the case in the U.S. District Court for the Southern District of Texas to the U.S. District Court for the Western District of North Carolina.
“BEC schemes, like the one perpetrated by Adeagbo and his co-conspirators, are sophisticated and devastating crimes that target the trust businesses and institutions place in their daily operations,” said U.S. Attorney King. “By exploiting this trust, fraudsters steal millions of dollars from unsuspecting victims. This case demonstrates the commitment of my office and our law enforcement partners to pursue justice for those impacted by these schemes and to hold cybercriminals accountable, regardless of where they are operating from.”
“Adeagbo ran a sophisticated 21st century cyber-criminal operation hiding behind fake email accounts and anonymous internet addresses to steal from the innocent, a crime as old as time itself,” said U.S. Attorney Hamdani. “BEC scams have become an epidemic with individuals and businesses suffering debilitating financial losses, while eroding society’s trust in digital communications and undermining overall economic stability. That’s why prosecutors and agents in two jurisdictions worked tirelessly to identify Adeagbo and reach across the Atlantic to bring him to justice.”
“Oludayo Adeagbo thought he was pretty slick stealing other people’s money via this scam. His victims, however, strongly disagreed,” said Executive Assistant Director Michael Nordwall of the FBI. “Instead of enjoying the fruits of his illegal labors, Adeagbo will now be spending time in a federal prison. The BEC is one of the fastest growing and most costly scams and the only way to fight it is through cooperation, often international cooperation, and this case is a prime example of partnerships working.”
“As a North Carolina University planned for growth with a new construction project, Adeagbo worked on a scheme to defraud the school by stealing nearly two million dollars of its funding,” said Special Agent in Charge Robert M. DeWitt of the FBI Charlotte Field Office. “When he and his conspirators first committed this business email compromise more than seven years ago, they likely never expected to get caught. This federal prison sentence shows the FBI will do everything possible to find and hold international financial fraudsters accountable.”
“Mr. Adeagbo's multimillion-dollar BEC scheme inflicted substantial financial damage on trusted educational institutions, government municipalities, and innocent businesses within our community,” said Special Agent in Charge Douglas Williams of the FBI Houston Field Office. “In a world increasingly reliant on the digital landscape, this sentencing serves as a powerful reminder that cybercrime has real consequences. FBI Houston will continue to investigate, attribute, and impose severe consequences on cyber criminals seeking to harm others through deceit and fraud.”
A BEC scheme, also referred to as “cyber-enabled financial fraud,” is a sophisticated scam that often targets individuals, employees, or businesses involved in financial transactions or that regularly perform wire transfer payments. Fraudsters are usually part of larger criminal networks operating in the United States and abroad.
There are many variations of BEC scams. Generally, the schemes involve perpetrators gaining unauthorized access to legitimate email accounts or creating email accounts that closely resemble those of individuals or employees associated with the targeted businesses or involved in business transactions with the victim businesses. The scammers then use the compromised or fake email accounts to send false wiring instructions to the targeted businesses or individuals, to dupe the victims into sending money to bank accounts controlled by perpetrators of the scheme. Generally, the money is quickly transferred to other accounts in the United States or overseas.
The North Carolina BEC Scheme
According to court documents and court proceedings, from August 30, 2016, to January 12, 2017, Adeagbo, his codefendant, Donald Ikenna Echeazu, 42, a dual citizen of Nigeria and the United Kingdom extradited to the United States, and others defrauded a North Carolina university (the University) of more than $1.9 million via a BEC scheme.
Court records show that Adeagbo and his co-conspirators obtained information about significant construction projects occurring throughout the United States, including an ongoing multi-million-dollar project at the University. To execute the scheme, Adeagbo, Echeazu, and others registered a domain name similar to that of the legitimate construction company in charge of the University’s project and created an email address that closely resembled that of an employee of the construction company. Using the fake email address, the fraudsters deceived and directed the University to wire a payment of more than $1.9 million to a bank account controlled by an individual working under the direction of Adeagbo and his co-conspirators. Upon receiving the payment, Adeagbo and his co-conspirators laundered the stolen proceeds through a series of financial transactions designed to conceal the fraud.
The Texas BEC Scheme
According to information contained in court documents, from November 2016 until July 2018, Adeagbo conspired with others to participate in multiple cyber-enabled business email compromises in an attempt to steal more than $3 million from victim entities in Texas, including local government entities, construction companies and a Houston-area college. As with the scheme in North Carolina, Adeagbo and his co-conspirators registered domain names that looked similar to legitimate companies. They then sent emails from those domains pretending to be employees at those companies to clients or customers of the companies they impersonated and deceived those customers into sending wire payments to bank accounts the co-conspirators controlled.
Adeagbo remains in federal custody. He will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility.
On May 16, 2023, Echeazu was sentenced to 18 months in prison followed by a year of supervised release and was ordered to pay $655,408.87 in restitution for his role in the conspiracy.
As part of his sentence, Adeagbo was sentenced to one year of supervised release following his sentence of incarceration and ordered to pay $942,655.03 in restitution for his role in the scheme.
The FBI’s Houston Cyber Task Force and Charlotte Field Office conducted the investigation with assistance from the FBI’s Cyber and Criminal Investigative Divisions. The United Kingdom’s National Crime Agency, Metropolitan Police Service, City of London Police and Crown Prosecution Service also provided substantial assistance. The Justice Department’s Office of International Affairs helped secure the arrest and extradition.
Assistant U.S. Attorney Graham Billings for the Western District of North Carolina, Assistant U.S. Attorney Rodolfo Ramirez for the Southern District of Texas, and Trial Attorney Brian Mund of the Criminal Division’s Computer Crime and Intellectual Property Section prosecuted the case.
If you suspect you are a victim of a BEC scheme, you can file a complaint online with the FBI’s Internet Complaint Crime Complaint Center (IC3) at bec.ic3.gov. The IC3 staff reviews complaints to detect patterns or other indicators of significant criminal activity for potential criminal prosecution. The FBI provides a variety of resources relating to BEC scams through the IC3, which can be located at www.ic3.gov. For more information on BEC scams, visit: www.fbi.gov/scams-and-safety/common-scams-and-crimes/business-email-compromise
Pittsburgh Felon Charged with Escape and Bank RobberyRead the Press Release
PITTSBURGH, Pa. - A former resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of escape and bank robbery, United States Attorney Eric G. Olshan announced today.
The two-count Indictment named John J. Flick, 58, as the sole defendant.
According to the Indictment, on September 2, 2024, Flick left a halfway house in Pittsburgh, where he was serving out a previous sentence for a 2021 bank robbery. The Indictment further alleges that, on the following day, Flick robbed a bank in Dormont.
The law provides for a maximum total sentence of up to 25 years in prison, a fine of up to $500,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Shaun E. Sweeney is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, United States Marshals Service, and Allegheny County Police Department conducted the investigation leading to the Indictment.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Philadelphia Man Who Committed Two Armed Carjackings Hours Apart Sentenced to 16 Years in PrisonRead the Press Release
Philadelphia Man Sentenced to 16 Years in Prison for Committing Two Armed Carjackings Hours Apart
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Amir Wilson, 22, of Philadelphia, Pennsylvania, was sentenced today by United States District Court Judge Juan R. Sánchez to 192 months’ imprisonment and five years of supervised release for his role in two armed carjackings committed in Philadelphia in May 2021.
In December 2023, a federal jury convicted Wilson of conspiracy, two counts of carjacking, and using or carrying a firearm during a crime of violence.
During the first carjacking, on May 15, 2021, Wilson and his co-conspirators pulled alongside a man leaving for work, brandished guns, and demanded his car key while holding him at gunpoint. The group then fled in their vehicle and the victim’s stolen vehicle.
Hours later, at around 3 a.m. on May 16, 2021, Wilson and his co-conspirators pulled alongside two men who were leaving a graduation celebration for a friend. The carjackers again brandished guns, demanded the key to that victim’s vehicle, and fled the scene in the victim’s car. A short time later, Philadelphia police spotted the carjacked vehicle and attempted to stop it. The vehicle led police in a high-speed car chase, which ended with officers halting their pursuit for safety reasons. Police found the second victim’s car abandoned nearby, a short time later.
At approximately 5:15 p.m. that same day, Philadelphia police spotted the first victim’s vehicle. They attempted to stop the car, but it fled from police, leading them on another chase. Police caught up to the car after it struck another vehicle and crashed through a fence in North Philadelphia. Wilson fled from the car on foot and was apprehended thereafter on scene.
“These gunpoint carjackings were terrifying for the victims, who were targeted out of nowhere while just going about their lives,” said U.S. Attorney Romero. “My office and our partners on the Carjacking Task Force won’t stand for these senseless acts of violence and we’re using every tool we’ve got to bring the criminals responsible to justice, as Amir Wilson now knows. Today’s sentence keeps him off the street for quite a while and our community is safer, as a result.”
“Carjacking is a dangerous federal crime that will land you in federal prison,” said ATF Special Agent in Charge Eric DeGree. “This perpetrator threatened his victims with a gun, and twice recklessly raced the car he stole, endangering the neighborhood until he finally crashed it. The ATF Philadelphia Field Division works diligently with the Philadelphia Carjacking Task Force to solve cases using ATF’s unique forensic and investigative tools. Thanks to our cooperative efforts, this violent criminal has been taken off Philadelphia’s streets, making our communities that much safer.”
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Philadelphia Police Department and is being prosecuted by Assistant United States Attorneys Martin E. Howley, Jr. and Priya T. De Souza.
Pennsylvania Man Admits Trafficking Heroin and Cocaine into ConnecticutRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that ISRAEL MENDOZA, also known as “D-Nice” and “Israel Mandosa,” 44, formerly of Reading, Pennsylvania, pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to conspiracy to distribute, and to possess with intent to distribute, heroin and cocaine.
According to court documents and statements made in court, in 2018, the U.S. Postal Inspection Service’s Narcotics and Bulk Cash Trafficking Task Force began investigating a Hartford area narcotics trafficking operation that involved the use of the U.S. Mail to ship parcels of drugs and drug proceeds. Investigators determined that Mendoza supplied Michael Copeland, of Bloomfield, with large quantities of cocaine, and that Copeland, at Mendoza’s direction, mailed parcels containing cash to individuals in California. In September and October, U.S. Postal Inspectors in California intercepted and seized two parcels, each containing approximately $13,000 in cash, that Copeland mailed in Connecticut to addresses in the Fresno area. Investigators analyzed postal records and identified dozens of additional parcels connected to this drug trafficking network that are suspected to have contained narcotics or drug proceeds.
In February 2019, investigators seized a parcel containing nearly 500 grams of cocaine that had been mailed from California to a Bloomfield residence that was connected to Copeland.
Mendoza worked with others, including Neliobet DeJesus and Danny Rhodes, in the Hartford area to distribute heroin and cocaine. During the investigation, after DeJesus had moved to Orlando, Florida, investigators identified a mail parcel that was destined for a residence in Orlando that was linked to DeJesus. A court authorized search of the parcel revealed approximately 500 grams of cocaine and approximately five grams of fentanyl.
On October 31, 2019, a grand jury in Hartford returned an indictment charging Mendoza, Copeland, DeJesus, and Rhodes with narcotics trafficking offenses. Mendoza remained a fugitive until his arrest on August 14, 2023, in California.
Judge Dooley scheduled sentencing for March 10, 2025, at which time Mendoza faces a maximum term of imprisonment of 20 years. Mendoza has been detained since his arrest.
Copeland, DeJesus and Rhodes previously pleaded guilty. On December 8, 2021, Rhodes was sentenced to 87 months of imprisonment; on December 16, 2021, Copeland was sentenced to 30 months of imprisonment; and on March 7, 2022, DeJesus was sentenced to 30 months of imprisonment.
This matter has been investigated by the U.S. Postal Inspection Service’s Narcotics and Bulk Cash Trafficking Task Force, which includes members from the U.S. Postal Inspection Service, the U.S. Postal Service – Office of the Inspector General, the Connecticut Army National Guard, and the Hartford, New Britain, Meriden, and Town of Groton Police Departments. The Drug Enforcement Administration’s Hartford Task Force, Homeland Security Investigations (HSI), Connecticut State Police, and Hartford Police Department assisted the investigation.
The case is being prosecuted by Assistant U.S. Attorney Geoffrey M. Stone.
Ohio and Virginia Men Convicted of Conspiracy to Commit Securities FraudRead the Press Release
CLEVELAND – A jury convicted two men for conspiring to artificially inflate prices on a low-value stock being sold to investors. After a trial that proceeded in two stages for over four weeks, Paul Spivak, 65, of Willoughby Hills, Ohio, and Charles Scott, 70, of Alexandria, Virginia, were found guilty of conspiracy to commit securities fraud. Spivak was also found guilty on two counts of wire fraud in the first stage of trial, and he then pled guilty to four other counts of wire fraud, two counts of securities fraud, and a separate count of conspiracy to commit securities fraud. Scott was then found guilty of a securities fraud conspiracy and one count of securities fraud in the second stage of trial.
According to court documents, trial testimony, and exhibits, Spivak was the majority owner and chief executive officer of U.S. Lighting Group, Inc. (USLG), a publicly traded Florida corporation based in Euclid, Ohio, that focused on the design and manufacture of commercial LED lights, aftermarket auto parts, and fiberglass recreational campers and boats. The company traded on OTC Markets under the ticker USLG and was considered a “penny” stock due to its lower market value. Penny stocks are more vulnerable to price manipulation because they draw less scrutiny and have lower trading volume than other stocks.
Between 2016 and 2019, Spivak and his co-conspirators manipulated USLG’s stock price to their financial benefit. He and his co-conspirators arranged to take USLG public through a reverse merger with a shell company. They sought to artificially inflate or “pump” up the price of USLG stock using call rooms and other manipulative practices. One co-conspirator who helped to take USLG public and inflate the stock price was Richard Mallion, who was previously convicted of securities fraud and banned for life from participating in the securities industry. Numerous investors throughout the country were pressured to purchase USLG stock while Mallion and other co-conspirators covertly arranged for sell orders to match with the buy orders that the call rooms generated.
While the stock price was artificially inflated, Spivak arranged for co-conspirators to act as unlicensed stockbrokers, cold-calling investors to sell them restricted shares of USLG stock. The brokers used aliases and represented the stock as offered at a steep discount relative to the apparent market price. Spivak arranged to pay those brokers large, undisclosed commissions, while concealing the true nature of USLG’s payments to those brokers by entering into fraudulent consulting agreements with them and requiring them to submit invoices that falsely described commission payments as payments for other services.
Between 2016 and 2019, USLG took in approximately $6.9 million from numerous restricted stock investors—many of them elderly and located throughout the country—in increments between $4,000 and $1 million. During that time, the company made approximately 200 payments totaling $2 million in undisclosed commissions to those unlicensed stockbrokers.
From February through June of 2021, Spivak and Scott engaged with undercover agents and a confidential source, who together posed as co-conspirators arranging to artificially inflate or “pump” up the price of USLG. Spivak arranged for them to receive stock, to be sold at inflated prices, from Scott and another co-conspirator, who had also agreed to kick back proceeds to USLG.
Spivak and Scott arranged for Scott to sell free-trading USLG stock to undercover agents and to send approximately half of the proceeds of those sales back to USLG in exchange for additional restricted stock. Undercover agents, in turn, would sell USLG stock at inflated prices, and then use some of the profits to buy more free-trading shares from Scott, who would then kick back additional money to USLG to buy more restricted stock.
Six of the defendants’ co-conspirators previously pled guilty to conspiracy to commit securities fraud and other charges in this matter. Those co-conspirators included Mallion, Spivak’s wife, Olga Smirnova, and a number of the unlicensed stockbrokers. A seventh co-conspirator, Robert Louis Carver, also admitted to participating in this scheme as an unlicensed stockbroker using a stolen identity, all while he was a fugitive in a long-pending securities fraud matter in the U.S. District Court for the Central District of California (Case No. 8:11-CR-62).
“These men orchestrated an aggressive, fraudulent scheme to benefit their company, enrich themselves, and to add to their personal coffers at the expense of others. They not only withheld information, but also purposely engaged a team of affiliates that devised tactics to make it appear that USLG shares were a valuable and valid investment to people who thought they were investing in good faith,” said U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio. “We will not tolerate those who think they can outsmart and manipulate the system through fraud and misrepresentation. This verdict helps protect our citizens and our business communities from these predatory methods and serves as a warning to others who are tempted to break federal securities laws because of greed.”
On April 21, 2025, Spivak was sentenced to 17 years and five months in prison and ordered to pay a $200,000 fine by U.S. District Judge J. Philip Calabrese. Spivak was also ordered to serve three years of supervised release after imprisonment. Restitution is to be determined.
On Feb. 12, 2025, Scott was sentenced to 42 months in prison and ordered to pay a $500,000 fine by U.S. District Judge J. Philip Calabrese. Scott was also ordered to serve two years of supervised release after imprisonment.
The case was investigated by the FBI Cleveland Division. This case was prosecuted by Assistant U.S. Attorneys Elliot Morrison, Megan Miller, and Stephanie Wojtasik for the Northern District of Ohio.
Report investment, financial, and related violations at https://www.sec.gov/submit-tip-or-complaint.
Note: This page was updated Jan. 10, 2025, to reflect the rescheduled sentencing date for Spivak.
Note: This page was updated Jan. 16, 2025, to reflect the rescheduled sentencing date for Scott.
Note: This page was updated Feb. 12, 2025, with sentencing information for Scott.
Note: This page was updated April 22, 2025,with sentencing information for Spivak.
Ohio Woman Sentenced to 40 Years in Prison for Killing Husband with Controlled SubstanceRead the Press Release
TOLEDO, Ohio – Amanda Hovanec, 37, of Wapakoneta, Ohio, has been sentenced to 40 years in prison by U.S. District Judge James R. Knepp, II, after pleading guilty to multiple charges, including distributing a controlled substance that resulted in the death of her husband. Amanda Hovanec was also ordered to serve 10 years of supervised release and ordered to pay restitution in the amount of $2,108,559.36.
According to court documents, Hovanec and her husband, Timothy, were married and had three children. They moved several times for his job with the U.S. Department of State, which included an assignment in South Africa around 2018. While there, Hovanec developed a relationship with a South African citizen named Anthony Theodorou. Hovanec initiated divorce proceedings against her husband in 2020 after returning to the United States. In December 2021, she began to deny her husband visitation with their children despite a court order to permit it. After her husband filed several contempt motions against Hovanec for denying visitation, a judge ordered that the children be given visitation with their father in April 2022, and further ordered that the husband become the residential parent and legal custodian of their children for two months that summer, beginning in May.
The children went with their father for an April weekend visitation, as ordered, after which their father returned them to Hovanec’s Wapakoneta residence. Later, a missing persons investigation was opened when the husband failed to check out of an area hotel where he had been staying.
During the investigation, law enforcement officials discovered the husband’s abandoned car in Dayton, Ohio. It had been equipped with a dash camera. Review of the camera’s video showed that the husband had returned the children to Hovanec’s residence around 7 p.m. on April 24, 2022. Video footage showed Hovanec and her mother, Anita Green, waiting outside the residence next to the garage. Hovanec was then seen walking toward the driver’s side of the vehicle and heard telling the children, “I have a surprise for you inside.” The children entered the residence, followed by Green. Seconds later, the victim was heard saying, “What the heck are you doing? Did you just assault me?” and then, “Get away from me . . . Get off of me.” The victim and Hovanec came into the camera’s view, at which time video footage captured her pulling on her husband’s shirt as he tried to use his cellphone. She wrestled with him and eventually knocked the phone out of his hand. She then pulled on his back to bring him to the ground, holding him around the neck until his body went limp and he became unresponsive, lying on the driveway. Hovanec stood up, picked up her husband’s cellphone, removed his smart watch, and turned off his vehicle’s engine, at which point the dash camera stopped recording.
After first attempting to cover up her crimes, Hovanec later confessed to investigators that she injected her husband in the shoulder with “poison” that she understood would kill him within minutes. She also admitted to disposing of his car in Dayton, and burying his body in a wooded area not far from her home. Theodorou was in Ohio at the time of the incident. He not only obtained the substance used to kill the victim, but also helped Hovanec bury her husband’s body. Green, who both Hovanec and Theodorou confirmed knew about the plan to murder the victim in advance, was charged as an accessory after the fact. She agreed to drive them and the victim’s body to the grave site, which was dug in advance of the murder.
The investigation determined that the victim was injected with M-99, also known as Etorphine, a Schedule I controlled substance approximately 1000 times more potent than morphine. It is used in veterinary medicine for zoo and wildlife anesthesia.
According to court records, Hovanec considered killing her husband for at least a year before the murder and had considered alternate means to do so, including hiring a hitman, before settling on injecting him with M-99.
“Hovanec’s violent and intentional actions were cold-blooded, calculated, and cruel. Her extreme malevolence toward her husband and complete disregard for how his murder would affect their innocent children is incomprehensible and unforgiveable,” said U.S. Attorney Rebecca Lutzko for the Northern District of Ohio. “We know that no amount of time served can bring back a family’s loved one. But our hope is that the victim’s family may find some sense of closure as they painstakingly work to heal from this unimaginable and horrific tragedy.”
Theodorou was sentenced to 18 years in prison and three years of supervised release after pleading guilty to conspiracy to import, importation and distribution of a controlled substance that resulted in death. He was also ordered to pay $2,108,559.36 in restitution, of which a part will be paid jointly and severally with Hovanec and Green. Anita Green was sentenced to 10 years in prison and two years of supervised release after pleading guilty to being an accessory to the crimes committed by Amanda Hovanec and Anthony Theodorou.
This case was investigated by the FBI Cleveland Division, Lima Resident Agency, the Auglaize County Sheriff’s Office, the Ohio Bureau of Criminal Investigation (BCI), and the Lucas County Coroner’s Office.
The case was prosecuted by Assistant U.S. Attorneys Alissa Sterling and Michelle Baeppler for the Northern District of Ohio.
Ohio Man Agrees to Plead Guilty to Interstate Transportation of Stolen Andy Warhol Art PrintRead the Press Release
LOS ANGELES – An Ohio man has agreed to plead guilty to a federal criminal charge for trafficking a stolen Andy Warhol print worth at least $175,000.
Image Source: Federal Plea AgreementBrian Alec Light, 58, of Hudson, Ohio (formerly a resident of downtown Los Angeles), is expected to plead guilty in the coming weeks to one count of interstate transportation of stolen goods. His initial appearance in federal court is scheduled for October 28.
According to his plea agreement, a thief stole the Warhol print – a trial proof depicting former Soviet Union leader Vladimir Lenin and was print number 44 of 46 total Warhol made – from the victim’s home in Los Angeles County in early 2021. The victim informed law enforcement of its theft soon after, as well as the original gallery in West Hollywood that sold him the artwork. Days after the theft, the thief brought the artwork to a pawnshop, which purchased it. The pawnshop’s owner contacted Light for help selling the artwork, which Light knew was stolen. Light contacted an auction house to sell the print within weeks of its theft. Light told the pawnshop owner to drop off the Warhol at the auction house in Beverly Hills so that it could be transported to Dallas for inspection and sale, which the pawnshop owner did.
The auction house shipped the Warhol artwork to Dallas where it was to be inspected and included in an upcoming auction in the spring of 2021. An employee of the auction house in Dallas reached out to the gallery in West Hollywood for its opinion of the piece. The gallery immediately recognized the piece as the stolen piece of art. As a result, the gallery notified the auction house of its stolen nature and notified the FBI. When the FBI questioned Light about it, he lied and created a fake receipt purporting to show that he bought the print before it was stolen.
Upon pleading guilty, Light will face a statutory maximum sentence of 10 years in federal prison.
As part of his plea agreement, Light will forfeit the stolen artwork retrieved by law enforcement.
The FBI’s Art Crime Team is investigating this matter.
Assistant United States Attorney Erik Silber, Senior Counsel in the Criminal Division and Assistant United States Attorneys Dominique Caamano and Matthew O’Brien, of the Environmental Crimes and Consumer Protection Section, are prosecuting this case.
North Carolina Woman Pleads Guilty to Wire Fraud and Money Laundering in Connection with Embezzlement of Funds from Her EmployerRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Rhonda Rochelle Canidate, age 48, of Greensboro, North Carolina, pleaded guilty before U.S. District Court Judge Christopher C. Conner to a two-count criminal information charging her with wire fraud and money laundering, in connection with a scheme to embezzle funds from her employer between 2021 and 2022.
According to U.S. Attorney Gerard M. Karam, between March 2021 and July 2022, Canidate was employed as an accounting specialist at Henry Molded Products Company (“Henry Molded”) in Lebanon, Pennsylvania. Between October 2021 and June 2022, Canidate entered false payment entries for former Henry Molded employees into Henry Molded’s third-party payroll software, causing the software to issue direct deposit payments from Henry Molded’s bank account to bank accounts controlled by Canidate in the name of the former employees. This fraud not only financially injured Henry Molded; it also harmed the former employees by creating an overpayment for tax purposes.
Canidate caused a loss of $532,050 and has agreed to pay restitution in accordance with a schedule to be determined by the Court.
The case was investigated by the Internal Revenue Service. Assistant United States Attorney David C. Williams is prosecuting the case.
The maximum combined penalty under federal law for these offenses is 30 years, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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North Carolina Man Sentenced for Methamphetamine TraffickingRead the Press Release
MARTINSBURG, WEST VIRGINIA – Phillip Scott Barnette, 41, of High Point, North Carolina, was sentenced to 200 months in federal prison for conspiracy to possess with intent to distribute and to distribute crystal methamphetamine, fentanyl, and cocaine base.
According to court documents, Barnette, also known as “E-Lo,” worked with others to sell methamphetamine in Falling Waters, West Virginia, and the surrounding area.
Barnette will serve three years of supervised release following his prison sentence.
Assistant U.S. Attorney Kyle Kane prosecuted the case on behalf of the government.
The investigation was conducted by the Eastern Panhandle Drug Task Force, a HIDTA-funded initiative, and the Berkeley County Sheriff’s Office.
U.S. District Judge Gina M. Groh presided.
New York Resident Sentenced to 12 Years in Prison for Sexual Exploitation of a MinorRead the Press Release
ERIE, Pa. - A resident of Harford, New York, has been sentenced in federal court to 12 years in prison, to be followed by 10 years of supervised release, and ordered to pay a special assessment in the amount of $5,200 on his conviction of violating federal laws relating to the sexual exploitation of a minor, United States Attorney Eric G. Olshan announced today.
United States District Judge Susan Paradise Baxter imposed the sentence on Noah Oliver Fisch-Lewis, 32.
According to information presented to the Court, from September 23, 2022, until October 8, 2022, Fisch-Lewis communicated with an undercover agent posing as the mother of a 10-year-old girl. During this period, Fisch-Lewis repeatedly expressed, in very graphic terms, his desire to engage in sexual activity with the minor. On October 8, 2022, Fisch-Lewis drove from upstate New York to Erie, Pennsylvania, for the purpose of engaging in illicit sexual conduct with the purported 10-year-old and was taken into custody upon his arrival at the agreed meeting place.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Olshan commended the Federal Bureau of Investigation, Homeland Security Investigations, Pennsylvania State Police, Erie Police Department, Millcreek Police Department, and Erie County Detectives for the investigation leading to the successful prosecution of Fisch-Lewis.
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 (CEOS), 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.
New York Man Admits Conspiring to Engage in Multimillion-Dollar Wire Fraud SchemeRead the Press Release
NEWARK, N.J. – A New York man today admitted conspiring to commit wire fraud that caused losses of more than $2 million, U.S. Attorney Philip R. Sellinger announced.
Terrell Fuller, 34, of Baldwin, New York, pleaded guilty before U.S. District Court Judge Stanley R. Chesler in Newark federal court to an information charging him with one count of wire fraud conspiracy.
According to documents filed in this case and statements made in court:
Fuller and his conspirators submitted a fraudulent application to the Small Business Administration (SBA), which caused the SBA to provide them with approximately $1.2 million. They also opened bank accounts in the names of various entities and individuals, deposited illegally obtained or fraudulent checks into those accounts, and then withdrew and attempted to withdraw money from the accounts. Fuller, using stolen personal identifying information, fraudulently rented locations to live in New York and failed to pay more than $400,000 in rent and fees for those locations. Fuller and his conspirators obtained more than $2 million in money and property through their fraudulent actions.
The wire fraud conspiracy charge is punishable by a maximum penalty of 20 years in prison and maximum fine of $250,000 or twice the value of the funds involved in the transfer, whichever is greater. Sentencing is scheduled for Feb. 5, 2025.
U.S. Attorney Sellinger credited special agents of the FBI, Franklin Township Resident Agency, under the direction of Acting Special Agent in Charge Nelson I. Delgado in Newark, and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan in Newark, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the Cybercrime Unit in Newark.
fuller.information.pdf
New Jersey Man Charged with Transportation of Irish Citizens Who Entered the United States UnlawfullyRead the Press Release
Burlington, Vermont – The United States Attorney’s Office stated that Tyshan Murray, 43, of Union, New Jersey has been charged by indictment with unlawfully transporting citizens of Ireland, who had entered the United States unlawfully.
On September 26, 2024, Murray appeared before United States Magistrate Judge Kevin J. Doyle for an arraignment on the indictment and entered a plea of not guilty. Judge Doyle had previously ordered that Murray be detained during the pendency of this matter.
According to court records, on September 8, 2024, nine citizens of Ireland had crossed into the United States illegally in the vicinity of Drew Road in Richford, Vermont. Murray picked up these nine citizens near the U.S.-Canada border and transported them in his SUV, including two young children who were unrestrained in the rear cargo compartment.
The United States Attorney’s Office emphasizes that Murray is presumed innocent until and unless proven guilty. Murray faces up to five years of imprisonment if convicted. The actual sentence, however, would be determined by the Court with guidance from the advisory United States Sentencing Guidelines and the statutory sentencing factors.
United States Attorney Nikolas P. Kerest commended the investigatory efforts of the United States Border Patrol.
The prosecutor is Assistant United States Attorney Andrew C. Gilman. Murray is represented by Assistant Federal Public Defender Barclay Johnson.
New Jersey Woman Charged with Smuggling Narcotics Through Rohlsen AirportRead the Press Release
St. Croix, VI – United States Attorney Delia L. Smith announced today that Ceestra Burgess, 23, of Irvington, New Jersey was charged with conspiracy to possess with intent to distribute narcotics and possession with intent to distribute narcotics.
According to court documents, on September 27, 2024, Burgess arrived in St. Croix on a Spirit Airlines flight from Fort Lauderdale. During an inspection of Spirit Airlines luggage, a Customs and Border Protection canine alerted to the presence of narcotics in Burgess’ checked bag. The luggage was then placed on the baggage claim carousel and later removed by Burgess. A search of Burgess’ luggage revealed several vacuum sealed packages wrapped in Christmas paper which contained approximately 12 kilograms of marijuana. If convicted, Burgess faces a maximum penalty of 5 years in prison. A federal judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case is being investigated by Custom and Border Protection and Homeland Security Investigations and is being prosecuted by Assistant United States Attorney Daniel H. Huston. 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.
United States Attorney Smith reminds the public that 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.
Mobile Man Sentenced to 24 Months in Prison for Illegally Possessing a FirearmRead the Press Release
MOBILE, AL – A Mobile man was sentenced to 24 months in prison for possessing a firearm as a previously convicted felon.
According to court documents, Brandon Reed, 27, was arrested by Mobile police on January 5, 2023, following a traffic stop. Reed was operating a vehicle with a revoked license and had a switched tag. A search revealed Reed to be in possession of a firearm, marijuana, and drug paraphernalia.Reed was indicted for being a felon in possession of a firearm and pled guilty to the charge. United States District Court Judge Jeffrey U. Beaverstock sentenced Bailey to 24 months in prison followed by a 3-year term of supervised release for illegally possessing the firearm.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Mobile Police Department investigated 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.
Assistant U.S. Attorney Jessica S. Terrill prosecuted the case on behalf of the United States.
Missouri Man Admits Recording Sex with MinorRead the Press Release
ST. LOUIS – A man from Linn County, Missouri on Monday admitted recording himself having sexual contact with a minor.
Russell Alan Pirkey, 54, pleaded guilty in U.S. District Court in St. Louis to a charge of sexual exploitation of a child.
Pirkey admitted using his cell phone to record himself having sexual contact with a 10-year-old girl. Pirkey’s crime was discovered on April 8, 2023, when the Brookfield Police Department was contacted with concerns about his contact with the victim.
Pirkey has also agreed to forfeit a cell phone, a tablet and various electronic storage devices that were seized by law enforcement during the investigation.
Pirkey is scheduled to be sentenced Jan. 14, 2025. The sexual exploitation charge carries a mandatory minimum charge of 15 years in prison, and a maximum of 30 years.
The FBI, the Brookfield Police Department and the Linn County Sheriff’s Office investigated the case. Assistant U.S. Attorney Nathan Chapman is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Mexican National Sentenced to 46 Months in Prison for Illegal ReentryRead the Press Release
Jacksonville, Florida – U.S. District Judge Wendy Berger has sentenced Juan Rodriguez-Acevedo (57, Mexico) to 3 years and 10 months in federal prison for illegal reentry after removal following a conviction for committing an aggravated felony. Rodriguez-Acevedo entered a guilty plea in June 2024.
According to the court documents, Rodriguez-Acevedo is a native and citizen of Mexico. In 2007, he was convicted in the U.S. District Court for the Middle District of Florida of possession with intent to distribute 500 grams or more of methamphetamine. Due to his conviction for an aggravated felony, Rodriguez-Acevedo received a permanent ban from the United States and was deported to Mexico in 2018 after his release from federal prison. In 2019, Rodriguez-Acevedo was encountered by law enforcement in Texas. He had crossed the border illegally and was prosecuted for illegal reentry following his removal after a conviction for commission of an aggravated felony. He was again deported to Mexico in 2021 after his release from federal prison.
In March 2024, law enforcement officers with U.S. Immigration and Customs Enforcement arrested Rodriguez-Acevedo during enforcement activities in Lake City. Rodriguez-Acevedo admitted to law enforcement that he had again unlawfully reentered the United States in June 2023.
This case was investigated by U.S. Immigration And Customs Enforcement (ICE) Enforcement And Removal Operations (ERO). It was prosecuted by Assistant United States Attorney David B. Mesrobian.
MS-13 Gang Associate Sentenced to 50 Years in Prison for the Murders of Four Young Men in a Central Islip ParkRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Leniz Escobar, also known as “Diablita,” an associate of the Leeward Locos Salvatruchas (Leeward) and Brentwood Locos Salvatruchas (Brentwood) cliques of La Mara Salvatrucha, also known as the MS-13, a violent transnational criminal organization, was sentenced by United States Second Circuit Judge Joseph F. Bianco, sitting by designation, to 600 months’ imprisonment. On April 8, 2022, Escobar was convicted after a four-week trial of racketeering, including predicate acts of murder, conspiracy to murder rival gang members, and obstruction of justice, and murder in aid-of racketeering. Those charges stemmed from her participation in the April 11, 2017 murders of Justin Llivicura, Michael Lopez, Jorge Tigre and Jefferson Villalobos, who were hacked to death with machetes and other sharp objects after Escobar lured them to a local Central Islip park.
Breon Peace, United States Attorney for the Eastern District of New York, James E. Dennehy, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Robert E. Waring, Acting Commissioner, Suffolk County Police Department (SCPD), announced the sentence.
“The defendant demonstrated her allegiance to the MS-13 gang by luring four young men to their slaughter,” stated United States Attorney Peace. “Today’s significant sentence reflects not only the seriousness of her conduct but also the consequences of her actions including the terror and suffering experienced by the victims, and the life-altering grief that their families continue to suffer. It is my hope that the justice meted out today will provide some comfort to those who lost loved ones to this senseless gang violence.”
“In April 2017, Leniz Escobar ensnared four young men in a lethal ambush where fellow MS-13 associates ruthlessly murdered them due to assumed allegiance with a rival gang. Her subsequent bragging of her inhumane trap to ranked members exemplifies Escobar's perverted prioritization of gang status over human life. May today's sentencing provide some justice to the victims' families, and serve as a promise that the FBI will continue to eradicate the MS-13 presence terrorizing our communities,” stated FBI Assistant Director in Charge Dennehy.
"The senseless and brutal murder of four young people by members of the transnational gang MS-13, terrorized the Central Islip community and sent shockwaves across the nation," Suffolk County Police Acting Commissioner Robert Waring said. "Leniz Escobar played a significant role in leading four victims to their deaths and will pay the necessary price for her part. We hope that today's sentencing brings some measure of closure to the families who have suffered unimaginable grief. We will continue to pursue those who threaten the safety and well-being of members of our community with relentless determination."
The evidence at trial proved that on the evening of April 11, 2017, Escobar and a co-conspirator, Keyli Gomez, lured five young men, including the four murder victims, to a park in Central Islip where they were attacked by members of the MS-13, including Josue Portillo, Freiry Martinez, Alexis Hernandez, Edwin Rodriguez, Sergio Segovia-Pineda, Omar Antonio Villalta, Henry Salmeron, Anderson Sanchez and others. The MS-13 members believed the victims to be members of a rival gang; at least two of the victims had offended the MS-13 by posting photos on social media in which they wore certain items and flashed hand signs that signified membership in the MS-13 gang. Escobar and Gomez showed the gang-related photos to members of the MS-13, who confirmed the young men did not belong to MS-13, and it was decided that the victims would be killed. Gomez testified at the trial that she and Escobar drove with the victims to the park, led them to a predetermined wooded area and sent the MS-13 members text-messages notifying them of their arrival. The MS-13 members and associates proceeded to the designated location and encircled the victims under the cover of darkness. One of the intended victims immediately fled and was able to escape. Llivicura, Lopez, Tigre and Villalobos were surrounded by MS-13 members, who attacked them with machetes, knives, an axe, and wooden clubs. After the attack, the MS-13 members dragged the victims’ bodies to a more secluded spot in the woods, piled them up, and then fled. The victims’ bodies were discovered the following evening.
In the days following the murders, Escobar bragged to other MS-13 members about her role in the killings and, in recorded calls with her boyfriend, who was a high-ranking member of the Brentwood clique, discussed the attack in detail. Using barely coded language, and referring to the victims who were killed, she said, “four individuals took the train and who knows when they’ll be back, got me?” Escobar then shared how that plan went awry when one person escaped, adding “But one of them, one of them managed to still be here on the map” and “he knows stuff about me.” In a separate call, Escobar told her boyfriend that she was “happy for this to happen.” Of the four victims, she said they were “never coming back . . . somewhere else . . . seeing the light . . . no more . . . out of here . . . not on the map.”
Additionally, Escobar destroyed evidence of her involvement in the murders by disposing of a sweatshirt stained with the blood of a victim, tossing her cellular phone from a moving vehicle when she was being followed by the police and falsely telling detectives that she and Gomez were victims of a random robbery in the park on the night of the murders.
More than a dozen MS-13 members and associates have been charged in connection with the April 11, 2017 murders, including the individuals listed above. Of these defendants, Escobar is the fifth person to be sentenced. Josue Portillo was sentenced to 55 years’ incarceration, Freiry Martinez was sentenced to 50 years’ incarceration, Anderson Sanchez was sentenced to 32 years’ incarceration, Alexis Hernandez was sentenced to 29 years’ incarceration, and the remaining defendants are pending sentence.
Today’s sentencing is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13. The MS-13’s leadership traditionally has been based in El Salvador, Honduras, Guatemala and Mexico, but the organization also has thousands of members and an increasing number of leaders in the United States. With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island. Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults. Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 70 murders in the Eastern District of New York, resulting in the convictions of dozens of MS-13 leaders and members in connection with those murders. These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, which is comprised of agents and officers of the FBI, SCPD, Nassau County Police Department, Nassau County Sheriff’s Department, Suffolk County Probation Office, Suffolk County Sheriff’s Office, the New York State Police, the Hempstead Police Department, the Rockville Centre Police Department and the New York State Department of Corrections and Community Supervision.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Paul G. Scotti, Justina L. Geraci and Megan E. Farrell are in charge of the prosecution, with the assistance of Automated Litigation Support Specialist Michael Compitello.
The Defendant:
LENIZ ESCOBAR
Age: 24
Islip Terrace, New YorkE.D.N.Y. Docket No. 21-CR-101 (JFB)
Lewiston Man Sentenced to 35 Years for Sexually Exploiting a Child, Possessing Child Sexual Abuse MaterialRead the Press Release
PORTLAND, Maine: A Lewiston man was sentenced today in U.S. District Court in Portland for sexually exploiting a child and possessing child sexual abuse material.
U.S. District Judge Nancy Torresen sentenced Timothy Doyon, 29, to 35 years in prison, to be followed by a lifetime of supervised release. He was also ordered to pay $103,500 in restitution. Doyon pleaded guilty on October 24, 2023.
In sentencing Doyon, the judge stated, “This crime is among the worst I have ever seen.” The judge also thanked the law enforcement officers who worked on this investigation, noting that if Doyon had not been caught and arrested on state charges, “I don’t know where this would have gone. And based on the images that have been described from the child sex abuse material that was in your possession, I don’t think it was going anywhere good.”
According to court records, in March 2023, the Maine State Police Computer Crimes Unit (MSPCCU) received three related CyberTips from the National Center for Missing and Exploited Children’s (NCMEC). According to the tips, a phone number had been used to upload more than 400 files of suspected child sexual abuse material to cloud-based storage. Investigation revealed that the phone number belonged to Timothy Doyon, a registered sex offender in Maine with a prior state conviction for possessing sexually explicit material of a minor under 12. In May 2023, investigators executed a warrant to search Doyon’s person, vehicle and residence. During the warrant’s execution, investigators seized multiple electronic devices, including cell phones and digital storage devices, and Doyon admitted to downloading, viewing, and saving child sexual abuse material. At least one image recovered depicted Doyon engaging in sexually explicit conduct with a child under the age of 12. The U.S. Attorney’s Office is limiting identifying information to protect the minor victim’s privacy.
Homeland Security Investigations (HSI) and the MSPCCU investigated the case with assistance from the Lewiston Police Department.
“This case has been one of the most heartbreaking and emotionally challenging cases our special agents have worked. Today’s significant sentence reflects the absolute cruelty and horror Doyon inflicted upon a child. We hope that the conclusion of this case and the knowledge that he will be in federal prison for many, many years can bring some peace to all he victimized,” said Special Agent in Charge Michael J. Krol for Homeland Security Investigations in New England.
To report an incident involving the possession, distribution, receipt or production of child pornography: Child sexual abuse material – in legal terms, “child pornography” – captures the sexual abuse and exploitation of children. These images document victims’ exploitation and abuse, and they suffer revictimization every time the images are shared or viewed. File a report with the National Center for Missing & Exploited Children at https://report.cybertip.org or 1-800-843-5678. If you are in Maine and you or someone you know has been sexually assaulted or abused, you can get help by calling the free, private 24-hour statewide sexual assault helpline at 1-800-871-7741.
Project Safe Childhood: This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, visit https://www.justice.gov/usao-me/psc.
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Lehigh Valley-Area Doctor Agrees to Pay $45,000 to Resolve False Claims Act LiabilityRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Maneesh Ailawadi, MD, has agreed to pay $45,000 plus interest to resolve False Claims Act allegations that he caused the submission of false claims by submitting inappropriate claims to Medicaid and Medicare by improperly billing esophagogastroduodenoscopies (“EGDs”) on bariatric patients at the former Steward Easton Hospital in Easton, Pennsylvania.
EGDs are procedures that examine the lining of the esophagus, stomach, and the first part of the small intestine – the duodenum. These are performed to identify symptoms that may be new, cannot be explained, or are not responding to treatment. The findings from an EGD can help surgeons decide on the most appropriate bariatric procedure and follow up care.
Ailawadi, a bariatric and general surgeon, had privileges to perform bariatric surgeries and EGDs at Steward Easton Hospital. The government alleges that Ailawadi caused the submission of false claims for payment to both Medicaid and Medicare from January 1, 2019, to March 31, 2020, arising from Ailawadi improperly billing EGD procedures using CPT Code 43239 without reduced service modifier 52 when the duodenum was deliberately not examined. According to the United States, these EGD procedures were only partially completed to save time, although Ailawadi billed the federal healthcare programs as if they had been fully completed. By failing to enter the duodenum during the EGD procedure, Ailawadi allegedly was not able to identify any abnormalities, such as bleeding, growths, ulcers, or inflammation.
“The United States Attorney’s Office for the Eastern District of Pennsylvania places a high priority on enforcement in cases involving healthcare fraud,” said Romero. “We will hold accountable those who bill the Federal Healthcare Programs for procedures that are either not performed, or partially performed, as was the case here.”
“Today’s settlement shows our attention to and commitment to investigating allegations of fraud targeting Medicare and Medicaid, whether we need to examine the potential conduct of an individual physician or several parties in a complex scheme,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services Office of Inspector General. “We will continue to partner with the United States Attorney’s Office to evaluate allegations brought under the False Claims Act to ensure the integrity of Federal Healthcare Programs.”
This settlement resolved a lawsuit filed under the False Claims Act in the U.S. District Court for the Eastern District of Pennsylvania by a former Steward Easton Hospital employee. Under the qui tam or whistleblower provisions of the False Claims Act, lawsuits like this one may be brought on behalf of the United States and the relator shares in any recovery by the government. The relator was represented in this case by Brian J. McCormick, Jr., of Ross Feller Casey, LLP.
This matter was investigated by the U.S. Attorney’s Office for the Eastern District of Pennsylvania, in conjunction with the U.S. Department of Health and Human Services Office of Inspector General. The investigation and settlement were handled by Assistant U.S. Attorneys Deborah W. Frey and Eric D. Gill, Auditor George Niedzwicki, Fraud Examiner Frank O’Connor, and Paralegal Brendan Novak.
The claims resolved by this settlement are allegations only and there has been no determination of liability.
Knoxville Man Sentenced to 380 Months for Drug and Firearm Offenses After Assaulting Officer and Crashing Van in Attempt to FleeRead the Press Release
KNOXVILLE, Tenn. – On October 1, 2024, Michel Harris, 38, of Knoxville, TN, was sentenced to a term of imprisonment of 380 months by the Honorable Thomas A. Varlan, United States District Judge in the United States District Court for the Eastern District of Tennessee at Knoxville. Following his imprisonment, he will be on supervised release for 10 years.
As part of the plea agreement filed with the court, Harris pled guilty to possessing with intent to distribute nearly a kilogram of methamphetamine, in violation of 21 U.S.C. § 841(a)(1)(A) and possessing a firearm while being a felon, in violation of 18 U.S.C. § 922(g).
According to the filed plea agreement, Harris, who is a convicted felon, illegally purchased a firearm, hundreds of rounds of ammunition, and other firearm paraphernalia, including upper receivers for an AR type rifle, and 100-round, 60-round, and 50-round drum magazines for various caliber firearms, while attending the RK Gun Show in Knoxville in April 2022. After leaving the gun show, Harris, who had been under surveillance, committed a traffic violation, and was stopped at a gas station off Clinton Highway.
Officers initiated a search of Harris’ van while at the gas station. During the search, Harris ran to the driver’s side door, got in, and sped onto Clinton Highway, with a KPD officer inside. The officer attempted to restrain Harris and gain control of the van but was unsuccessful. Ultimately, the van crashed into oncoming traffic, hitting two vehicles head on. Harris, unharmed during the crash, fled on foot and was apprehended a short time later. The officer suffered a head wound and a badly broken arm. No other drivers or passengers were seriously injured.
“Harris’ conduct was dangerous and brazen. He jeopardized the lives of countless innocent bystanders and law enforcement officers during his attempt to flee, and an untold number of people were endangered by the weapons and ammunition Harris illegally purchased,” said United States Attorney Francis M. Hamilton III. “Our office is committed to uncovering and prosecuting dangerous criminals who gravely harm our communities through drug trafficking and the illegal purchase of firearms and ammunition.”
“Illegal firearm possession is a serious threat to public safety as demonstrated in this case,” said ATF Nashville Special Agent in Charge Marcus Watson. “The safety of our communities and protecting the public is one of the cornerstones of what our agency seeks to accomplish every day. This sentence highlights ATF’s commitment to protecting the public through vigorous enforcement of the federal firearms laws by identifying, arresting, and presenting for prosecution the perpetrators illegally obtaining firearms and those responsible for violent crimes committed in our communities.”
“Harris’ actions were reckless and showed a complete disregard for the safety of others in our community. We are incredibly fortunate that our officer, Lieutenant Michael Geddings, was able to make a full recovery from the injuries he sustained while attempting to apprehend Harris. I appreciate the efforts of the U.S. Attorney's Office to hold him to account for his behavior,” said Knoxville Chief of Police Paul Noel.
The charges were the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, with the assistance of the Knoxville Police Department and the Knox County Sheriff’s Office.
Assistant U.S. Attorneys Anne-Marie Svolto and Michael Deel of the Eastern District of Tennessee prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Justice Department Finds Unconstitutional Conditions in Georgia PrisonsRead the Press Release
MACON, Ga. – The Justice Department announced today its findings that conditions of confinement in Georgia’s prisons violate the Eighth Amendment to the Constitution.
“We hope these findings are a wake-up call. Incarcerated people and staff in the Georgia Department of Corrections face unacceptable, systemic risks, and the impact affects all of our communities,” said U.S. Attorney Peter Leary for the Middle District of Georgia. “We hope to work collaboratively with the State of Georgia to improve these deadly conditions; indeed, the Constitution requires it.”
“Our findings report lays bare the horrific and inhumane conditions that people are confined to inside Georgia’s state prison system,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our statewide investigation exposes long-standing, systemic violations stemming from complete indifference and disregard to the safety and security of people Georgia holds in its prisons. People are assaulted stabbed, raped and killed or left to languish inside facilities that are woefully understaffed. Inmates are maimed and tortured, relegated to an existence of fear, filth and not so benign neglect. These dangerous conditions not only harm the people Georgia incarcerates — it places prison employees and the broader community at risk. The Justice Department is committed to using its authority to bring about humane conditions of confinement that are consistent with contemporary standards of decency and respect for basic human dignity.”
The department’s 93-page report details its findings from a thorough investigation of Georgia’s state-operated and private correctional facilities. Georgia has the fourth-highest state prison population in the country, with approximately 50,000 people incarcerated. The report concludes that:
- The State of Georgia engages in a pattern or practice of violating incarcerated persons’ constitutional rights by failing to protect individuals housed in medium- and close-security facilities from widespread physical violence and subjecting incarcerated persons to unreasonable risk of harm from sexual abuse across its facilities. Specifically, Georgia fails to protect incarcerated persons, including persons who are lesbian, gay, bisexual, transgender and intersex (LGBTI), from harm caused by sexual violence or abuse.
- Critical understaffing and systemic deficiencies in physical plant, housing and classification, contraband control, incident reporting and investigations all contribute to the widespread violence.
- Georgia allows gangs to exert improper influence on prison life, including controlling entire housing units and operating unlawful and dangerous schemes in and from the prisons, harming both incarcerated people and the public.
“Individuals incarcerated by the Georgia Department of Corrections should not be subjected to life threatening violence and other forms of severe deprivation while serving their prison terms,” said U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia. “Our constitution requires humane conditions in prisons, that, at a minimum, ensure that people in custody are safe. The findings of the Civil Rights of Institutionalized Persons Act investigation of the Georgia Department of Corrections reveal grave and diffuse failures to safeguard the men and women housed in its facilities, including disturbing and increasing frequencies of deaths among incarcerated people. We expect the State of Georgia to share our sense of urgency about the seriousness of the violations described in this report and to work cooperatively with the Justice Department, our office and our U.S. Attorney partners in the Middle and Southern Districts to remedy these systemic deficiencies in Georgia prisons.”
“The safety and security of Georgia’s prisons are inescapably linked to the overall safety and security of our communities,” said U.S. Attorney Jill E. Steinberg for the Southern District of Georgia. “The long-term dysfunction in the management of the prison system has led to the proliferation of criminal networks inside those facilities that endanger private citizens, staff and incarcerated people and directly lead to unacceptable and avoidable violence and abuse against incarcerated people. We are committed to working with the Georgia Department of Corrections to create a safer environment inside and outside Georgia’s prisons.”
The findings announced today are the result of the Justice Department’s civil investigation and are separate from any criminal cases brought by the Justice Department.
The Civil Rights Division’s Special Litigation Section and U.S. Attorneys’ Offices for the Northern, Middle and Southern Districts of Georgia conducted the investigation.
For more information about the Civil Rights Division and the Special Litigation Section, please visit www.justice.gov/crt/special-litigation-section. You can also report civil rights violations to the section by completing the complaint form available at civilrights.justice.gov/. To provide information related to the department’s investigation of Georgia’s prisons, please call 1-844-401-3736 or email the department at [email protected].
Justice Department Finds Unconstitutional Conditions in Georgia PrisonsRead the Press Release
The Justice Department announced today its findings that conditions of confinement in Georgia’s prisons violate the Eighth Amendment to the Constitution.
“Our findings report lays bare the horrific and inhumane conditions that people are confined to inside Georgia’s state prison system,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our statewide investigation exposes long-standing, systemic violations stemming from complete indifference and disregard to the safety and security of people Georgia holds in its prisons. People are assaulted stabbed, raped and killed or left to languish inside facilities that are woefully understaffed. Inmates are maimed and tortured, relegated to an existence of fear, filth and not so benign neglect. These dangerous conditions not only harm the people Georgia incarcerates — it places prison employees and the broader community at risk. The Justice Department is committed to using its authority to bring about humane conditions of confinement that are consistent with contemporary standards of decency and respect for basic human dignity.”
The department’s 93-page report details its findings from a thorough investigation of Georgia’s state-operated and private correctional facilities. Georgia has the fourth-highest state prison population in the country, with approximately 50,000 people incarcerated. The report concludes that:
- The State of Georgia engages in a pattern or practice of violating incarcerated persons’ constitutional rights by failing to protect individuals housed in medium- and close-security facilities from widespread physical violence and subjecting incarcerated persons to unreasonable risk of harm from sexual abuse across its facilities. Specifically, Georgia fails to protect incarcerated persons, including persons who are lesbian, gay, bisexual, transgender and intersex (LGBTI), from harm caused by sexual violence or abuse.
- Critical understaffing and systemic deficiencies in physical plant, housing and classification, contraband control, incident reporting, and investigations all contribute to the widespread violence.
- Georgia allows gangs to exert improper influence on prison life, including controlling entire housing units and operating unlawful and dangerous schemes in and from the prisons, harming both incarcerated people and the public.
“Individuals incarcerated by the Georgia Department of Corrections should not be subjected to life threatening violence and other forms of severe deprivation while serving their prison terms,” said U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia. “Our constitution requires humane conditions in prisons, that, at a minimum, ensure that people in custody are safe. The findings of the Civil Rights of Institutionalized Persons Act investigation of the Georgia Department of Corrections reveal grave and diffuse failures to safeguard the men and women housed in its facilities, including disturbing and increasing frequencies of deaths among incarcerated people. We expect the State of Georgia to share our sense of urgency about the seriousness of the violations described in this report and to work cooperatively with the Justice Department, our office and our U.S. Attorney partners in the Middle and Southern Districts to remedy these systemic deficiencies in Georgia prisons.”
“We hope these findings are a wake-up call. Incarcerated people and staff in the Georgia Department of Corrections face unacceptable, systemic risks, and the impact affects all of our communities,” said U.S. Attorney Peter Leary for the Middle District of Georgia. “We hope to work collaboratively with the State of Georgia to improve these deadly conditions; indeed, the Constitution requires it.”
“The safety and security of Georgia’s prisons are inescapably linked to the overall safety and security of our communities,” said U.S. Attorney Jill E. Steinberg for the Southern District of Georgia. “The long-term dysfunction in the management of the prison system has led to the proliferation of criminal networks inside those facilities that endanger private citizens, staff and incarcerated people and directly lead to unacceptable and avoidable violence and abuse against incarcerated people. We are committed to working with the Georgia Department of Corrections to create a safer environment inside and outside Georgia’s prisons.”
The findings announced today are the result of the Justice Department’s civil investigation and are separate from any criminal cases brought by the Justice Department.
The Civil Rights Division’s Special Litigation Section and U.S. Attorneys’ Offices for the Northern, Middle and Southern Districts of Georgia conducted the investigation.
For more information about the Civil Rights Division and the Special Litigation Section, please visit www.justice.gov/crt/special-litigation-section. You can also report civil rights violations to the section by completing the complaint form available at civilrights.justice.gov/. To provide information related to the department’s investigation of Georgia’s prisons, please call 1-844-401-3736 or email the department at [email protected].
Spanish translation forthcoming. (La traducción al español estará disponible próximamente.)
Justice Department Finds Unconstitutional Conditions in Georgia PrisonsRead the Press Release
The Justice Department announced today its findings that conditions of confinement in Georgia’s prisons violate the Eighth Amendment to the Constitution.
“Our findings report lays bare the horrific and inhumane conditions that people are confined to inside Georgia’s state prison system,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our statewide investigation exposes long-standing, systemic violations stemming from complete indifference and disregard to the safety and security of people Georgia holds in its prisons. People are assaulted stabbed, raped and killed or left to languish inside facilities that are woefully understaffed. Inmates are maimed and tortured, relegated to an existence of fear, filth and not so benign neglect. These dangerous conditions not only harm the people Georgia incarcerates — it places prison employees and the broader community at risk. The Justice Department is committed to using its authority to bring about humane conditions of confinement that are consistent with contemporary standards of decency and respect for basic human dignity.”
The department’s 93-page report details its findings from a thorough investigation of Georgia’s state-operated and private correctional facilities. Georgia has the fourth-highest state prison population in the country, with approximately 50,000 people incarcerated. The report concludes that:
- The State of Georgia engages in a pattern or practice of violating incarcerated persons’ constitutional rights by failing to protect individuals housed in medium- and close-security facilities from widespread physical violence and subjecting incarcerated persons to unreasonable risk of harm from sexual abuse across its facilities. Specifically, Georgia fails to protect incarcerated persons, including persons who are lesbian, gay, bisexual, transgender and intersex (LGBTI), from harm caused by sexual violence or abuse.
- Critical understaffing and systemic deficiencies in physical plant, housing and classification, contraband control, incident reporting, and investigations all contribute to the widespread violence.
- Georgia allows gangs to exert improper influence on prison life, including controlling entire housing units and operating unlawful and dangerous schemes in and from the prisons, harming both incarcerated people and the public.
“Individuals incarcerated by the Georgia Department of Corrections should not be subjected to life threatening violence and other forms of severe deprivation while serving their prison terms,” said U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia. “Our constitution requires humane conditions in prisons, that, at a minimum, ensure that people in custody are safe. The findings of the Civil Rights of Institutionalized Persons Act investigation of the Georgia Department of Corrections reveal grave and diffuse failures to safeguard the men and women housed in its facilities, including disturbing and increasing frequencies of deaths among incarcerated people. We expect the State of Georgia to share our sense of urgency about the seriousness of the violations described in this report and to work cooperatively with the Justice Department, our office and our U.S. Attorney partners in the Middle and Southern Districts to remedy these systemic deficiencies in Georgia prisons.”
“We hope these findings are a wake-up call. Incarcerated people and staff in the Georgia Department of Corrections face unacceptable, systemic risks, and the impact affects all of our communities,” said U.S. Attorney Peter Leary for the Middle District of Georgia. “We hope to work collaboratively with the State of Georgia to improve these deadly conditions; indeed, the Constitution requires it.”
“The safety and security of Georgia’s prisons are inescapably linked to the overall safety and security of our communities,” said U.S. Attorney Jill E. Steinberg for the Southern District of Georgia. “The long-term dysfunction in the management of the prison system has led to the proliferation of criminal networks inside those facilities that endanger private citizens, staff and incarcerated people and directly lead to unacceptable and avoidable violence and abuse against incarcerated people. We are committed to working with the Georgia Department of Corrections to create a safer environment inside and outside Georgia’s prisons.”
The findings announced today are the result of the Justice Department’s civil investigation and are separate from any criminal cases brought by the Justice Department.
The Civil Rights Division’s Special Litigation Section and U.S. Attorneys’ Offices for the Northern, Middle and Southern Districts of Georgia conducted the investigation.
Justice Department Finds Conditions in Georgia Prisons Violate the ConstitutionRead the Press Release
ATLANTA – Today the United States Attorney’s Office for the Northern District of Georgia announced its findings from a multi-year investigation concluding that the Georgia Department of Corrections is violating incarcerated persons’ constitutional rights by failing to protect them from widespread physical violence and harm. The 94-page report details how the violence in Georgia prisons has become increasingly worse over the past several years.
“Individuals incarcerated by the Georgia Department of Corrections should not be subjected to life threatening violence and other forms of severe deprivation while serving their prison terms,” said U.S. Attorney Ryan K. Buchanan. “Our constitution requires humane conditions in prisons, that, at a minimum, ensure that people in custody are safe. The findings of the Civil Rights of Institutionalized Persons Act investigation of the Georgia Department of Corrections reveal grave and diffuse failures to safeguard the men and women housed in its facilities, including disturbing and increasing frequencies of deaths among incarcerated people. We expect the State of Georgia to share our sense of urgency about the seriousness of the violations described in this report and to work cooperatively with the Department of Justice, our office, and our U.S. Attorney partners in the Middle and Southern Districts to remedy these systemic deficiencies in Georgia prisons.”
“Our findings report lays bare the horrific and inhumane conditions that people are confined to inside Georgia’s state prison system,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our statewide investigation exposes long-standing, systemic violations stemming from complete indifference and disregard to the safety and security of people Georgia holds in its prisons. People are assaulted stabbed, raped and killed or left to languish inside facilities that are woefully understaffed. Inmates are maimed and tortured, relegated to an existence of fear, filth and not so benign neglect. These dangerous conditions not only harm the people Georgia incarcerates — it places prison employees and the broader community at risk. The Justice Department is committed to using its authority to bring about humane conditions of confinement that are consistent with contemporary standards of decency and respect for basic human dignity.”
As described in the report issued today, Georgia has the fourth-highest state prison population in the country, with almost 50,000 people incarcerated in 34 state-operated prisons and four private prisons. Beginning in 2016, the United States conducted a thorough investigation of Georgia’s prisons, with a focus on medium- and close-security facilities. The report found that critical understaffing and systemic deficiencies in physical plant, housing and classification, contraband control, and incident reporting and investigations, all contribute to the widespread violence. The United States also determined that gangs exert improper influence on prison life with impunity, including controlling entire housing units and operating unlawful and dangerous schemes in and from the prisons, harming both incarcerated people and the public. The report concludes that the GDC’s procedures constitute a pattern or practice of violating incarcerated persons’ constitutional rights under the Eighth Amendment to the U.S. Constitution by failing to protect those housed at the medium- and close-security levels from widespread physical violence and harm.
The United States also concluded that Georgia unconstitutionally subjects incarcerated persons to unreasonable risk of harm from sexual abuse across its facilities. Specifically, Georgia fails to protect incarcerated persons, including persons who are lesbian, gay, bisexual, transgender, and intersex (“LGBTI”), from harm caused by sexual violence or abuse. Individuals who are LGBTI are subjected to unreasonable risk of harm from sexual abuse in Georgia prisons due to inadequate sexual safety screening and classification practices, problematic and ineffective housing assignments, and other systemic deficiencies.
The United States launched its investigation under the Civil Rights of Institutionalized Persons Act in 2016. At that time, the investigation focused on whether Georgia adequately protected incarcerated persons who are LGBTI from sexual abuse. In 2021, the United States expanded the investigation to also investigate protection from violence and harm for all incarcerated persons in facilities housing those at the medium- and close-security levels. The Northern District of Georgia’s United States Attorney’s Office joined together with the U.S. Attorneys’ Offices for the Middle and Southern Districts of Georgia, and the Civil Rights Division’s Special Litigation Section, to conduct the investigation.
The case is being handled by Aileen Bell Hughes, Deputy Chief of the Public Integrity & Civil Rights Section.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Attachments:
cover_letter_for_georgia_cripa_findings.pdf findings_report_-_georgia_department_of_corrections_2024_final.pdfJefferson County felon sentenced to 20 years in federal prison for gas station robberyRead the Press Release
BEAUMONT, Texas – A Nederland man has been sentenced to 20 years in federal prison for violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs.
Tarrell Donald Nowlin, 53, pleaded guilty to Hobbs Act robbery and was sentenced to 240 months in federal prison by U.S. District Judge Marcia A. Crone on October 1, 2024.
According to court documents, on January 16, 2024, law enforcement officers responded to a call regarding an armed robbery at the Speedway Gas Station located on Eastex Freeway in Beaumont. The store clerk reported the assailant pulled into the parking lot and parked near one of the gas pumps. The driver then entered the business and pointed a revolver at the clerk and demanded money. The clerk opened the cash register, and the assailant took approximately $550 cash and left the store. Law enforcement reviewed video footage from the gas station and local surrounding businesses and were able to identify Nowlin as the assailant. Further investigation revealed Nowlin was a career offender with three prior robbery convictions. Nowlin was indicted by a federal grand jury on April 3, 2024.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone.On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the FBI, Beaumont Police Department and Nederland Police Department and prosecuted by Assistant U.S. Attorney Matthew Quinn.
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Indiana Man Pleads Guilty to Conspiracies Involving Cyber Intrusion and $37 Million Cryptocurrency TheftRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that Evan Frederick Light, age 21, of Lebanon, Indiana, appeared before U.S. Magistrate Judge Veronica Duffy on September 30, 2024, and pleaded guilty to an Indictment that charged him with Conspiracy to Commit Wire Fraud and Conspiracy to Launder Monetary Instruments.
The maximum penalty for each count upon conviction is 20 years in custody and/or a fine, three years of supervised release, and a $200 special assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
“These convictions reflect the relentless efforts of the U.S. Attorney’s Office and the FBI in identifying a cybercriminal, holding him accountable, and prioritizing the victims of his crimes,” said U.S. Attorney Ramsdell. “Although this defendant tried to hide in the shadows of a cyber underworld, he was not beyond the reach of our team, and today’s guilty verdicts should serve as a reminder that this Office and its law enforcement partners will bring cyber criminals to justice, regardless how sophisticated their crimes may be.”
“This case underscores the FBI’s unwavering commitment to identifying and bringing cybercriminals to justice," said Special Agent in Charge Alvin M. Winston Sr. of FBI Minneapolis. “Cyber-intrusions pose a serious threat to both individuals and businesses, and we are dedicated to protecting the public from these sophisticated attacks. The FBI will continue to work alongside our partners to ensure that those who exploit technology for financial gain are held accountable, no matter how complex or far-reaching their schemes may be.”
According to court documents, in February of 2022, Light was involved in a cyber-intrusion involving an investment holdings company located in Sioux Falls, South Dakota. During the cyber-intrusion, Light stole customer personal identifiable information (“PII”) and then stole cryptocurrency worth over $37 million from nearly 600 victims. He acted with one or more unidentified perpetrators.
Specifically, during the cyber intrusion, Light accessed the identity of a real client of the investment holdings company and unlawfully utilized that identity to infiltrate the investment holdings company’s computer servers. After successfully accessing the computer servers, he then exfiltrated from the servers the PII of hundreds of other clients, using this access to steal virtual currencies from the clients who held such assets with the investment holdings company.
The stolen cryptocurrency, under Light’s control, was then funneled to various locations throughout the world, including multiple mixing services and gambling websites to conceal his identity and to hide the virtual currency. Light’s conduct adversely affected victims all over the world, including South Dakota. As a result of his conduct, the total loss was approximately $37 million.
The investigation was conducted by the FBI. The case is being prosecuted by Assistant U.S. Attorney Jeremy R. Jehangiri.
A presentence investigation was ordered and a sentencing date has not been set. The defendant was remanded to the custody of the U.S. Marshals Service pending sentencing.
Huron Man Sentenced for Attempted Enticement of a MinorRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Lawrence L. Piersol has sentenced a Huron, South Dakota, man convicted of Attempted Enticement of a Minor Using the Internet. The sentencing took place on September 30, 2024.
Kyle Dean Bult, age 38, was sentenced to 12 years and seven months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100. Once released, Bult must register as a sex offender.
Bult was indicted by a federal grand jury in April of 2024. He pleaded guilty on July 1, 2024.
The conviction stemmed from incidents between March 9, 2024, and March 10, 2024, when Bult accessed the media application Taimi, via his cellular phone, and initiated a text conversation with a 15-year-old female. During the conversation, Bult sent several messages to her asking questions, including her age. Bult also sent several messages that were sexual in nature, including asking for a meeting for a sexual encounter. Unbeknownst to Bult, an undercover agent was posing as the 15-year-old female. Bult drove to a meeting place and was arrested.
This is Bult’s third criminal conviction for a sexual offense involving a minor victim.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the South Dakota Internet Crimes Against Children Task Force and Homeland Security Investigations. Assistant U.S. Attorney Elizabeth A. Ebert-Webb prosecuted the case.
Bult was immediately remanded to the custody of the U.S. Marshals Service.
Huntingdon County Man Indicted for Firearms OffensesRead the Press Release
HARRISBURG– The United States Attorney’s Office for the Middle District of Pennsylvania announced that Timothy Albert Brewin, age 54, of Huntingdon County, Pennsylvania, was indicted by a federal grand jury for firearms offenses.
According to United States Attorney Gerard M. Karam, the indictment charges Brewin with possessing approximately 40 firearms as a prohibited person and possessing two sawed-off shotguns that were not registered in the National Firearms Registration and Transfer Record in violation of the National Firearms Act.
The case was investigated by the Pennsylvania State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney K. Wesley (Wes) Mishoe is prosecuting the case.
The maximum penalty under federal law for the charges against Brewin is 25 years imprisonment, a term of supervised release following imprisonment, a fine, and special assessment. A sentence following a finding of guilt is imposed by the judge after consideration of the applicable federal sentencing statutes and Federal Sentencing Guidelines.
Indictments are only allegations. All persons indicted are presumed to be innocent unless and until found guilty in court.
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Houston felon admits to three gunpoint robberiesRead the Press Release
HOUSTON – A 28-year-old Houston man has pleaded guilty to multiple counts of robbery and one count of brandishing a firearm, announced U.S. Attorney Alamdar S. Hamdani.
In November and December 2023, Josue Castro-Gomez robbed two gas stations and one Houston-area smoke shop at gunpoint.
On Nov. 25, 2023, Castro-Gomez entered a Korner Food Mart located in Houston, brandished a firearm and demanded the store clerk give him cash from the register. He proceeded to discharge the firearm, shooting above the clerk’s head, but fled from the scene without taking any money.
On Dec. 11-12, 2023, Castro-Gomez went to a Circle K gas station and a Vape City, respectively, and demanded cash from the register. He received money on both occasions and fled the scenes.
On Dec. 12, law enforcement located Castro-Gonzalez and found him to be in possession of a .32 caliber handgun.
During the investigation, authorities matched a spent shell casing from the Nov. 25 robbery to the firearm in Castro-Gonzalez’s possession at the time of his arrest through the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) National Integrated Ballistic Information Network.
Castro-Gonzalez has prior felony convictions from 2015 and 2017 for unauthorized use of a motor vehicle and possession of a controlled substance, respectively. As a convicted felon, he is prohibited from possessing firearms or ammunition per federal law.
U.S. District Judge George C. Hanks Jr. will impose sentencing Dec. 11. At that time, Castro-Gonzalez could receive up to 20 years in federal prison and a possible $250,000 maximum fine for each of two counts of robbery. For brandishing a firearm while committing a crime of violence, he faces another possible seven years in prison which he must serve consecutively to any other prison term imposed.
He has been and will remain in custody pending sentencing.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with assistance from the Houston Police Department and Harris County Sheriff’s Office. Assistant U.S. Attorney Francisco J. Rodriguez is prosecuting the case.
Hardin woman admits biting BIA officer on Crow Indian ReservationRead the Press Release
BILLINGS — A Hardin woman accused of biting a Bureau of Indian Affairs officer on the arm while law enforcement was attempting to arrest her during a disturbance on the Crow Indian Reservation admitted to an assault charge today, U.S. Attorney Jesse Laslovich said.
The defendant, Chrystal Joann Stewart, 36, pleaded guilty to assault on a federal officer. Stewart faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.
U.S. Magistrate Judge Timothy J. Cavan presided. A sentencing date will be set before U.S. District Judge Susan P. Watters. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Stewart was detained pending further proceedings.
In court documents, the government alleged that on April 29, 2023, a BIA officer, identified as Jane Doe, responded to a call in Crow Agency about Stewart causing a disturbance at a residence. Stewart had knocked on the door, and residents let Stewart inside, where she collapsed and was unresponsive. The residents shook Stewart awake and it was obvious that Stewart was high. The residents called 911 because Stewart was scaring the children in the home.
Although communicating with Stewart was difficult because she was high, Officer Jane Doe convinced Stewart to leave the house. After Stewart walked out of the house, one of the residents told the officers that Stewart had grabbed a knife from the kitchen and put in her purse. Another officer had responded to assist Officer Jane Doe and saw the knife sticking out of Stewart’s purse. Stewart resisted and pulled away from the officer when he tried to grab her arm to take away the purse. Stewart repeatedly refused instructions to stop resisting and tried to get away by kicking and screaming at the officers. The officers ultimately tased Stewart, who continued to resist. Stewart then lunged at one of the officers and tried to run back into the residence. Officer Jane Doe was able to get one handcuff on Stewart, but Stewart then turned and bit the officer on the upper right arm. Stewart would not release the bite. Finally, with the help of emergency medial responders, the officers were able to get a second handcuff on Stewart and she released the bite. Officer Jane Doe was treated at the Indian Health Service for the bite injury, which broke the skin.
The U.S. Attorney’s Office if prosecuting the case the case. The BIA conducted the investigation.
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Greensboro man sentenced for possession of child pornographyRead the Press Release
GREENSBORO – A 55-year-old Greensboro man was sentenced today to 120 months in prison after pleading guilty to one count of possession of child pornography, announced United States Attorney Sandra J. Hairston of the Middle District of North Carolina (MDNC).
According to court records, investigators with the Greensboro Police Department (GPD) obtained search warrants for a Greensboro residence and a vehicle belonging to JEFFREY ALLAN HILL after three victims reported to GPD that they were sexually assaulted when they were minors sleeping over at HILL’s house. Subsequent forensic analysis of electronic devices used by HILL revealed more than 13,500 image files and 244 video files of child pornography.
HILL pleaded guilty to one count of possession of child pornography on March 13, 2024.
United States District Court Judge Thomas D. Schroeder sentenced HILL to a 120-month term of imprisonment followed by lifetime supervised release. In addition, HILL was ordered to pay restitution totaling $33,000.00, special assessments totaling $22,100.00, and a $5,000 fine. He also forfeited a computer and two hard drives.
The case was investigated by the Greensboro Police Department and the Department of Homeland Security-Investigations. The case was prosecuted by Assistant United States Attorney K. P. Kennedy Gates.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. 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.
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Four-Time Convicted Felon Pleads Guilty to Federal Charges for Unlawfully Possessing Firearm and Distribution Quantity of PCPRead the Press Release
WASHINGTON – Timothy Eugene Taylor, 36, a four-time convicted felon from Washington, D.C., pleaded guilty today to federal charges stemming from his possession of a loaded firearm and a distributable quantity of liquid phencyclidine, commonly known as PCP, in August 2023, announced U.S. Attorney Matthew M. Graves; ATF Acting Special Agent in Charge Samuel Ward of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Division (ATF); and Chief Pamela A. Smith of the Metropolitan Police Department (MPD).
Taylor pleaded guilty in the U.S. District Court for the District of Columbia to one count of unlawful possession of a firearm by a person convicted of a crime punishable by imprisonment for a term exceeding one year and one count of unlawful possession with intent to distribute a mixture and substance containing a detectable amount of phencyclidine. The Honorable Randolph D. Moss scheduled a sentencing hearing for April 2, 2025.
According to court papers, on August 11, 2023, officers with MPD’s Seventh District Crime Suppression Team were patrolling the 300 block of Livingston Terrace Southeast in a marked police cruiser. Officers observed that Taylor was wearing a crossbody satchel with a distinct “L-shaped” bulge protruding from the bag. Based on this observation, officers believed Taylor was carrying a firearm and attempted to speak with him from their vehicle. Taylor moved the bag to the opposite side of his body—out of view—and was turning his body away from the police. As officers exited the vehicle to get a better look at the bag, Taylor fled on foot into a nearby apartment building in which he did not reside.
Officers pursued Taylor into the building, where they stopped him. An officer frisked Taylor’s satchel and immediately felt a hard object that he recognized to be a firearm. Officers opened the satchel and recovered a loaded Smith and Wesson M&P 9 2.0 9-millimeter, semiautomatic handgun. The firearm was loaded with one chambered round of 9mm ammunition and an additional 21 rounds of 9mm ammunition in its extended magazine. Officers also recovered three vials of liquid phencyclidine, commonly known as PCP, from the bag. The quantity of PCP recovered was indicative of distribution rather than personal use.
Following his arrest, Taylor agreed to participate in an interview with an MPD detective. In the interview, Taylor admitted that the firearm belonged to him and that he was engaged in the distribution of PCP.
Federal law prohibits Taylor from possessing a firearm because he has previously been convicted of crimes punishable by imprisonment for a term exceeding one year. Taylor has been convicted of four such offenses in the District of Columbia since 2007, including a 2020 conviction for the same federal firearms charge to which he pleaded guilty today.
Taylor was arrested on October 27, 2023, and has remained held without bond since his arrest.
The charges carry a maximum sentence of 35 years in prison and up to a $1,250,000 fine. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentence imposed in this case will be determined by the Court after considering the U.S. Sentencing Guidelines and other statutory factors.
At the time of the offense Taylor was serving a term of supervised release for his 2020 federal firearms conviction. Upon his conviction in this case, Taylor faces revocation of supervised release and up to 24 additional months in prison.
The case was investigated by ATF and MPD as part of Project Safe Neighborhoods.
The case is being prosecuted by Assistant U.S. Attorney Paul V. Courtney. Valuable assistance was provided by former Special Assistant U.S. Attorneys Christine A. Pattison and Katherine M. Toth, who indicted the case and litigated pretrial motions.
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Four Employees of Juvenile Detention Center Plead Guilty to Taking BribesRead the Press Release
Earlier today, in federal court in Brooklyn, Da’Vante Bolton, an employee of the New York City Administration for Children’s Services (ACS), pleaded guilty to accepting bribes, admitting that he smuggled contraband into a juvenile detention facility in exchange for illegal payments. On September 3, 2024, September 10, 2024 and September 26, 2024, ACS employees Octavia Napier, Christopher Craig and Nigel King pleaded guilty, respectively, to Travel Act bribery charges in connection with the same conduct. Today’s proceeding was held before United States District Judge Orelia E. Merchant. All four defendants were Youth Development Specialists at the Crossroads Juvenile Center in Brownsville, Brooklyn (Crossroads). When sentenced, Bolton faces a maximum sentence of 10 years’ imprisonment, and Napier, Craig and King each face a maximum sentence of five years’ imprisonment.
Breon Peace, United States Attorney for the Eastern District of New York, Jocelyn E. Strauber, Commissioner, New York City Department of Investigation (DOI) and James E. Dennehy, Assistant Director in Charge, New York Field Office (FBI) announced the charges.
“These defendants prioritized their own financial interests above the safety and security of residents and co-workers at the Crossroads Juvenile Center, giving dangerous contraband to juveniles in their care in exchange for bribes,” stated United States Attorney Peace. “This Office and our law enforcement partners will not stop rooting out and prosecuting corruption in our City’s jails and juvenile detention facilities.”
DOI Commissioner Jocelyn E. Strauber said, “These four City Youth Development Specialists were responsible for the safety and well-being of juveniles at the Crossroads Center in Brooklyn. They failed the juveniles in their care, and the City, when they took bribes to smuggle dangerous items into Crossroads, including razor blades, prescription pills, and alcohol. I thank the FBI and the U.S. Attorney’s Office for the Eastern District of New York for their partnership in the investigation that led to guilty pleas of these four defendants.”
Approximately 120 residents, ranging in age from 14 to 20, are detained at Crossroads. Residents at Crossroads are prohibited from possessing any contraband, including narcotics, cellular telephones, cigarettes, weapons and alcohol, among other prohibited items. ACS employees at Crossroads are trained to confiscate any contraband they find and must notify a supervisor if any contraband is discovered. Although staff members are supposed to undergo a security screening whenever they enter the facility, a significant amount of contraband has recently been recovered from Crossroads residents. Between approximately March 2022 and May 2024, at least 75 cell phones and more than 340 scalpels or blades were recovered from the facility, as well as narcotics and tobacco.
The defendants are or were Youth Development Specialists at Crossroads, who were responsible for supervising residents. Their responsibilities are similar to those of a correction officer at a jail facility, except, among other differences, Youth Development Specialists are restricted in the type of force they may use and are not permitted to carry pepper spray or restraints.
Da’Vante Bolton has been employed by ACS since March 2020. Bolton accepted more than $20,000 in bribes from Crossroads residents or their associates and, in exchange, smuggled in razor blades and marijuana.
Christopher Craig has been employed by ACS since August 2018. Craig received more than $5,000 in bribes to smuggle in contraband, including marijuana and tobacco.
Nigel King was employed by ACS from October 2021 to August 2024. King accepted more than $6,000 in bribes for smuggling in marijuana, prescription pills and alcohol.
Octavia Napier was employed by ACS from June 2022 to May 2023. Napier received more than $2,000 in bribes to both smuggle in contraband and allow a Crossroads resident to use Napier’s Cash App account to run the resident’s contraband distribution business from within Crossroads.
A fifth defendant, Roger Francis, is currently awaiting trial on the same charges.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Philip Pilmar and Andrew D. Grubin and Special Assistant United States Attorney Cassie Perez of the Bronx District Attorney’s Office are in charge of the prosecution, with assistance from Legal Assistant Thomas Englert.
Defendants Who Have Pled Guilty:
DA’VANTE BOLTON
Age: 31
Queens, NYE.D.N.Y. Docket No. 24-CR-383 (OEM)
CHRISTOPHER CRAIG
Age: 37
Brooklyn, NYE.D.N.Y. Docket No. 24-CR-345 (OEM)
NIGEL KING
Age: 45
Queens, NYE.D.N.Y. Docket No. 24-CR-368 (RPK)
OCTAVIA NAPIER
Age: 26
Brooklyn, NYE.D.N.Y. Docket No. 24-CR-328 (FB)
Defendant Awaiting Trial:
ROGER FRANCIS
Age: 58
Brooklyn, NYE.D.N.Y. Docket No. 24-CR-342 (NCM)
Fort Myers Man Sentenced to 40 Years for Distributing and Possessing Child Sexual Abuse Images and VideosRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell has sentenced Richard Edward Brillhart (44, Fort Myers) to 40 years in federal prison for distribution and possession of images and videos depicting the sexual abuse of children. Brillhart was also ordered to serve a lifetime of supervised release and register as a sex offender. A federal jury had found Brillhart guilty on February 7, 2024.
According to court documents, between April and August 2021, several social media applications provided cybertips to the National Center for Missing and Exploited Children (NCMEC) reporting that Brillhart was involved in the possession and distribution of child sexual abuse material on various social media platforms. On September 8, 2021, Homeland Security Investigations (HSI) executed a search warrant at Brillhart’s residence and seized his cellphone. A subsequent forensic examination of Brillhart’s cellphone revealed images and videos of children being sexually abused.
Further, Brillhart had a prior conviction for possession of materials involving the sexual exploitation of minors from 2004.
“The sentencing of Richard Brillhart to four decades sends a clear message that our community will not tolerate the exploitation of children, in any form,” said Homeland Security Investigations Tampa Assistant Special Agent in Charge Micah C. McCombs. “The Southwest Florida INTERCEPT Task Force, South Florida Internet Crimes Against Children Task Force, Fort Myers Police Department, Lee County Sheriff’s Office, and the Louisiana Bureau of Investigations work tirelessly to make impacts every day to hold those who engage in the possession and distribution of child sexual abuse material accountable.”
This case was investigated by the Homeland Security Investigations, the Southwest Florida Inter-Agency Child Exploitation and Persons Trafficking Task Force (INTERCEPT), which is comprised of detectives and investigative specialist who are part of the South Florida Internet Crimes Against Children (ICAC) Task Force and are cross designated Task Force Officers with HSI. The Fort Myers Police Department, the Lee County Sheriff’s Office, and the Louisiana Bureau of Investigations assisted with this investigation. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Former contract Air Force cryptologist pleads guilty to distributing child sexual abuse materialRead the Press Release
NORFOLK, Va. – A Virginia Beach man pled guilty today to distribution of child sexual abuse material (CSAM).
According to court documents, Lawson Heath Wright, 51, was employed at Langley Air Force Base as a contracted cryptologist in 2023 when he distributed CSAM images depicting young children engaged in sexual conduct. Wright posed as an 18-year-old Ukrainian refugee named Lara Urbaszewski and claimed to be having a sexual relationship with a 12-year-old male. On multiple occasions, posing as Urbaszewski, Wright used an email account to send CSAM to users.
On Jan. 24, 2024, Virginia Beach Police (VBPD) executed a state search warrant for the e-mail account, and on April 2, 2024, VBPD, in conjunction with Homeland Security Investigations (HSI) Norfolk, executed a state search warrant on Wright’s vehicle and residence. Investigators seized several electronic devices including a cellphone, an external hard drive, laptops, and a micro-SD. CSAM was found on each of these devices. Some of the CSAM on Wright’s devices depicts sadistic or masochistic conduct or other depictions of violence or sexually explicit images involving an infant or toddler.
Wright is scheduled to be sentenced on Feb. 11, 2025. He faces a mandatory minimum of five years and up to 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Derek W. Gordon, Special Agent in Charge of Homeland Security Investigations (HSI) Washington, D.C.; and Paul Neudigate, Chief of Virginia Beach Police, made the announcement after U.S. District Judge Elizabeth W. Hanes accepted the plea.
Assistant U.S. Attorney Kristen Taylor is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by 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. 2:24-cr-86.
Former Las Vegas Teacher Sentenced to Nine Years in Prison for Distributing Approximately 130 Files of Child Sexual Abuse Material via A Social Media Messaging ApplicationRead the Press Release
LAS VEGAS – A Las Vegas man who was employed as a second-grade teacher was sentenced Monday by United States District Judge James C. Mahan to nine years in prison to be followed by 20 years of supervised release for distributing child sexual abuse material (CSAM) via, Kik, a social media messaging application.
According to court documents, between April 11, 2021 and August 23, 2021, Alexander Scott Derringer (38) distributed over 130 CSAM files through two accounts on the mobile application Kik messenger. Of these files, approximately 59 of those files were recovered from two cellphones, both owned by Derringer. These files were among the approximately 2,584 images and 269 videos of CSAM found in the aggregate of both devices. The images and videos depicted minors as young as infants.
The Henderson Police Department identified Derringer after receiving two CyberTips from the National Center for Missing and Exploited Children that an individual using an IP address associated with Derringer’s residence uploaded and shared CSAM with other users and groups.
In June 2024, Derringer pleaded guilty to one count of distribution of child pornography.
“Mr. Derringer abused his position of public trust to prey on those we expected him to protect,” said Special Agent in Charge Spencer L. Evans of the FBI Las Vegas Division. “Every time child pornography is viewed on the internet, it re-victimizes a child. The sexual exploitation of children is among the most unscrupulous crimes we investigate, and today’s sentencing serves as a reminder that the FBI and our partners will work tirelessly to protect children from abuse and exploitation.”
United States Attorney Jason M. Frierson for the District of Nevada and Special Agent in Charge Evans made the announcement.
The FBI-led Child Exploitation Task Force which consists of the Las Vegas Metropolitan Police Department, North Las Vegas Police Department, Henderson Police Department, Nevada Attorney General’s Office, and Homeland Security Investigations investigated the case. Assistant United States Attorney Afroza Yeasmin prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Justice Department. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children by calling 1-800-THE-LOST (1-800-843-5678) or online at https://report.cybertip.org.
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Former Comptroller General of Ecuador Sentenced in International Bribery and Money Laundering SchemeRead the Press Release
MIAMI – The former Comptroller General of Ecuador was sentenced today to 10 years in prison and ordered to forfeit $16.5 million for his role in a multimillion-dollar international bribery and money laundering scheme in which he received over $10 million in bribes and laundered those bribes payments in South Florida.
According to court documents and evidence presented at trial, between 2010 to 2015, Carlos Ramon Polit Faggioni, 73, solicited and received over $10 million in bribe payments from Odebrecht S.A., the Brazil-based construction conglomerate. Polit, in his position as Comptroller General of Ecuador, was responsible for protecting public funds against fraud and rooting out corruption. Instead, Polit took bribes from Odebrecht in exchange for removing fines and not imposing fines on Odebrecht’s projects in Ecuador. Additionally, in or around 2015, Polit received a bribe from an Ecuadorian businessman in exchange for assisting the businessman with obtaining certain contracts with the state-owned insurance company of Ecuador. From in or around 2010 and continuing until at least 2017, at the direction of Polit, another member of the conspiracy caused proceeds of Polit’s bribery scheme to “disappear” by using Florida companies registered in the names of friends and associates, often without the associates’ knowledge. The conspirators also used funds from Polit’s bribery scheme to purchase and renovate real estate in Florida.
On April 23, Polit was convicted at trial of one count of conspiracy to commit money laundering, three counts of concealment money laundering, and two counts of engaging in transactions in criminally derived property.
Odebrecht S.A. pleaded guilty in December 2016 to conspiring to violate the anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA) in connection with a broader scheme to pay nearly $800 million in bribes to public officials in 12 countries, including Ecuador.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; and Special Agent in Charge Anthony Salisbury of the Homeland Security Investigations (HSI) Miami Field Office made the announcement.
The HSI Miami Field Office investigated this case. IRS Criminal Investigation provided substantial assistance.
The Justice Department’s Office of International Affairs provided substantial assistance. The Justice Department also thanks the assistance with the investigation of law enforcement authorities in Ecuador, Brazil, Panama, and Curacao.
Senior Litigation Counsel Michael N. Berger for the Southern District of Florida and Trial Attorney Jil Simon and Assistant Chief Alexander Kramer of the Criminal Division’s Fraud Section are prosecuting the case. Assistant U.S. Attorney Nicole Grosnoff and Sandra Demirci for the Southern District of Florida are handling asset forfeiture.
The Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-20114.
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Former Comptroller General of Ecuador Sentenced in International Bribery and Money Laundering SchemeRead the Press Release
The former comptroller general of Ecuador was sentenced today to 10 years in prison and ordered to forfeit $16.5 million for his role in a multimillion-dollar international bribery and money laundering scheme in which he received over $10 million in bribes and laundered those bribes payments in South Florida.
According to court documents and evidence presented at trial, between 2010 to 2015, Carlos Ramon Polit Faggioni, 73, solicited and received over $10 million in bribe payments from Odebrecht S.A., the Brazil-based construction conglomerate. Polit, in his position as Comptroller General of Ecuador, was responsible for protecting public funds against fraud and rooting out corruption. Instead, Polit took bribes from Odebrecht in exchange for removing fines and not imposing fines on Odebrecht’s projects in Ecuador. Additionally, in or around 2015, Polit received a bribe from an Ecuadorian businessman in exchange for assisting the businessman with obtaining certain contracts with the state-owned insurance company of Ecuador. From in or around 2010 and continuing until at least 2017, at the direction of Polit, another member of the conspiracy caused proceeds of Polit’s bribery scheme to “disappear” by using Florida companies registered in the names of friends and associates, often without the associates’ knowledge. The conspirators also used funds from Polit’s bribery scheme to purchase and renovate real estate in Florida.
On April 23, Polit was convicted at trial of one count of conspiracy to commit money laundering, three counts of concealment money laundering, and two counts of engaging in transactions in criminally derived property.
Odebrecht S.A. pleaded guilty in December 2016 to conspiring to violate the anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA) in connection with a broader scheme to pay nearly $800 million in bribes to public officials in 12 countries, including Ecuador.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Markenzy Lapointe for the Southern District of Florida; and Special Agent in Charge Anthony Salisbury of the Homeland Security Investigations (HSI) Miami Field Office made the announcement.
The HSI Miami Field Office investigated this case. IRS Criminal Investigation provided substantial assistance.
The Justice Department’s Office of International Affairs provided substantial assistance. The Justice Department also thanks the assistance with the investigation of law enforcement authorities in Ecuador, Brazil, Panama, and Curacao.
Trial Attorney Jil Simon and Assistant Chief Alexander Kramer of the Criminal Division’s Fraud Section and Senior Litigation Counsel Michael N. Berger for the Southern District of Florida are prosecuting the case. Assistant U.S. Attorneys Nicole Grosnoff and Sandra Demirci for the Southern District of Florida are handling asset forfeiture.
The Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Florida Woman Admits COVID-19 Relief Program FraudRead the Press Release
NEWARK, N.J. – A Florida woman today admitted fraudulently obtaining $465,489 in COVID-19 relief funding after submitting fraudulent applications to victim lenders, the U.S. Attorney Philip R. Sellinger announced.
Jane Batista, 43, of Lake Worth, Florida, pleaded guilty before U.S. District Judge Evelyn Padin in Newark federal court to one count of wire fraud and one count of money laundering.
According to documents filed in this case and statements made in court:
From April 2020 to August 2021, Batista submitted fraudulent Paycheck Protection Program (PPP) loan applications for herself, her husband, and two businesses they owned and operated. In support of those applications, Batista lied about the number of employees the businesses employed, the income the employees earned, and the revenue Batista and her husband generated as sole proprietors. Batista also submitted forged documents, including fake tax return documents. After the victim lenders funded the loans, Batista used that money for personal expenses and made several large transfers, including one for $15,000.
The wire fraud count carries a maximum of 20 years in prison. The money laundering count carries a maximum of 10 years in prison. Each count also carries a maximum fine of $250,000, or twice the gross gain or loss from the offense, whichever is greatest. Sentencing is scheduled for March 18, 2025.
U.S. Attorney Sellinger credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan; special agents of the Social Security Administration, Office of the Inspector General, under the direction of Acting Special Agent in Charge Corwin Rattler; special agents of the FBI, under the direction of Acting Special Agent in Charge Nelson I. Delgado; and special agents of the U.S. Attorney’s Office for the District of New Jersey, under the direction of Special Agent in Charge Thomas Mahoney with the investigation.
The government is represented by Assistant U.S. Attorneys Robert Taj Moore of the Organized Crime Drug Enforcement Task Force and Aaron L. Webman of the Economic Crimes Unit in Newark.
The District of New Jersey COVID-19 Fraud Enforcement Strike Force is one of the five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
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 Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
batista.information.pdfFlorida Tax Return Preparer Agrees to Permanent Injunction and to Pay $85,000 in Ill-Gotten GainsRead the Press Release
The U.S. District Court for the Southern District of Florida issued a permanent injunction yesterday against West Palm Beach, Florida, tax return preparer Gregory Salgado, both individually and doing business as GMJ Real Investments Inc. and doing business as Cuba Salgado Tax & Real Estate.
The injunction bars Salgado from preparing tax returns, working for or having any ownership stake in any tax preparation business, assisting others prepare tax returns or set up business as a preparer and transferring or assigning customer lists to any other person or entity. The court also ordered Salgado to pay $85,000 in ill-gotten gains he received from his return preparation business. Salgado agreed to both the injunction and the order to pay $85,000.
The complaint alleged that Salgado pleaded guilty in 2012 to filing a false personal return and filing a false return for another taxpayer, and the IRS subsequently assessed more than $500,000 in civil penalties against him for willfully underreporting tax on returns he prepared for customers. According to the complaint, neither Salgado’s conviction, 33-month incarceration nor civil penalties altered his behavior. After his release from prison in August 2015, Salgado continued to prepare thousands returns for customers that either reduced their tax liability or inflated their refund claims. He did this largely by falsifying or overstating itemized deductions, fabricating or overstating business income and expenses and falsifying filing statuses and dependents.
As a result of the court’s order, Salgado must send notice of the injunction to each person for whom he or his business prepared federal tax returns, amended tax returns or claims for refund between Jan. 1, 2019, to the present. Additionally, the court ordered Salgado post a copy of the injunction at all locations where he conducts business and on his business’s website.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS also offers 10 tips to avoid tax season fraud and ways to safeguard their personal information.
In the past decade, the Justice Department’s Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Salgado - PI and Disgorgement Order.pdfFlagstaff Man Sentenced for Arson in Grand Canyon National ParkRead the Press Release
PHOENIX, Ariz. – Dahntay Dunbar, 21, of Flagstaff, was sentenced last week by Senior U.S. District Judge Roslyn O. Silver to 20 months in prison, to be followed by 60 months of supervised release. Judge Silver also ordered Dunbar to pay $20,146.13 in restitution. Dunbar pleaded guilty to Arson of a Dwelling, which occurred in the Grand Canyon National Park, on July 8, 2024.
Between the late night of May 17, 2024, and the early morning of May 18, 2024, Dunbar pushed his way into a locked cabin within the national park, which was the residence of his former girlfriend. She was not home at the time. Dunbar found a bottle of clear liquor and dumped it on a bed. Dunbar then took a lighter, lit one of his former girlfriend’s shirts on fire and placed it on the bed. The bed started to burn, and Dunbar left the cabin. The fire caused scorching, burn damage, and smoke damage to the walls, ceiling, and other parts of the cabin. A bystander observed the fire and put most of it out prior to the arrival of the fire department. Dunbar was arrested on other charges a short time later by National Park Service law enforcement rangers and admitted to having committed the arson.
National Park Service special agents and rangers, assisted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Flagstaff, handled the prosecution.
CASE NUMBER: CR-24-08061-001-PCT-RSO
RELEASE NUMBER: 2024-132_Dunbar# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.Final Victory Inn Defendant Sentenced to over 15 Years in PrisonRead the Press Release
DETROIT – Terry Pruitt, a conspirator in the sex and drug trafficking organization that operated out of the former Victory Inn hotel in Dearborn, Michigan, was sentenced to over 15 years in federal prison last week based on his conviction on drug trafficking charges, announced United States Attorney Dawn N. Ison.
Joining Ison in the announcement was Homeland Security Investigations Detroit Special Agent in Charge Angie M. Salazar.
This sentencing is the final in the eight-year case in which the following defendants were sentenced to over 116 years collectively.
Darrick Dernard Bell – 28 years
Shelvie Lewis Avery – 19 years
Janette Gaggo Tawfik – 10 years
Michael Anthony Randol – 15 years
Bryant Edward Daugherty – 7 years 3 months
Charles Thomas Ford – 12 years
Harold Lashawn Nero – 9 years 7 months
Terry Pruitt – 15 years 8 months
Pruitt pleaded guilty in March 2021 to charges stemming from the operation of a large-scale drug and prostitution business operating out of the Victory Inn, a motel formerly located next to the main drag for prostitution on Michigan Avenue. Specifically, Pruitt, a longtime drug dealer, helped satiate the demand of the vulnerable human-trafficking victims for crack cocaine and heroin at the Victory Inn. Pruitt engaged in both drug and human trafficking at the motel while co-defendant Darrick Bell’s drug trafficking conspiracy essentially ran the Victory Inn.
“This final sentencing brings to an end the years-long investigation and prosecution of this pernicious drug and sex trafficking organization,” said U.S. Attorney Ison. I want to commend the hard work and dedication of the agents and prosecutors who worked so diligently to bring these individuals to justice.”
“This case spanned 8 years, and thanks to our U.S. Attorney’s office we have the sentencing of the final defendant,” said HSI Detroit Special Agent in Charge Angie M. Salazar. “Throughout this investigation our agents and law enforcement partners remained steadfast in their commitment to those impacted by this criminal organization. I commend our law enforcement team for their perseverance in the pursuit of justice and their dedication to protecting our communities.”
The investigation was conducted by agents of Homeland Security Investigations.
The case was prosecuted by Assistant United States Attorneys Matthew Roth, Jerome Gorgon, Blake Hatlem, and Lisandra Fernandez-Silber