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Thursday 8 August 2024
Two Men Separately Indicted for Crimes Related to Domestic ViolenceRead the Press Release
BIRMINGHAM, Ala. – A federal grand jury indicted two men for separate crimes related to domestic violence, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Marcus Watson.
A two-count indictment charges Philip Henry Houk, 33, of Charlotte, North Carolina, with attempted kidnapping and interstate violation of a protective order. According to the indictment, Houk travelled from North Carolina to Jefferson County, Alabama, in June 2024 to break into the victims’ residence and kidnap them. This happened after the Circuit Court of Jefferson County issued a protection order against Houk in March 2024, to protect one of the victims from violence, threats, and harassment by Houk.
A separate two-count indictment charges David Holcomb, 49, of Albertville, with felon in possession of a firearm and possession of a firearm by a person previously convicted of a misdemeanor crime of domestic violence.
ATF investigated each case. Assistant U.S. Attorneys Brittney L. Plyler and Davis Barlow are prosecuting the cases.
An indictment contains only charges. Defendants are presumed innocent unless and until proven guilty.
Two Iranian nationals and one Pakistani national indicted for providing material support to terroristsRead the Press Release
RICHMOND, Va. – A superseding indictment was returned yesterday charging two Iranian citizens, brothers Shahab Mir’kazei (Shahab), and Yunus Mir’kazei (Yunus), and one Pakistani citizen, Muhammad Pahlawan, for conspiring to provide and providing material support to Iran’s weapons of mass destruction program resulting in death and conspiring to commit violence against maritime navigation and maritime transport involving weapons of mass destruction resulting in death. Pahlawan is currently awaiting trial, while Shahab and Yunus remain at large.
According to court documents, Shahab and Yunus work for Iran’s Islamic Revolutionary Guard Corps. Muhammad Pahlawan, 48, is a Pakistani citizen who allegedly worked for the Mir’kazei brothers as the captain of a smuggling vessel, known as a dhow, named the “Yunus,” which is owned by Shahab.
Pahlawan allegedly worked with Shahab to prepare the dhow for multiple smuggling voyages, and Shahab paid Pahlawan in Iranian Rials from a bank account in Shahab’s name. Pahlawan allegedly arranged to receive payments from Shahab and Yunus in Iran and distribute the money to his family and others.
On Jan. 11, U.S. Central Command Navy forces operating from the USS LEWIS B. PULLER, including Navy SEALs and members of the U.S. Coast Guard, boarded the dhow off the coast of Somalia. Two Navy SEALs lost their lives during the interdiction.
As alleged, the U.S. boarding team encountered 14 individual mariners on the vessel, including Pahlawan. During a search of the dhow, the U.S. boarding team allegedly located and seized what is believed to be Iranian-made advanced conventional weaponry. Preliminary analysis of the advanced conventional weaponry indicates that it includes critical components for medium range ballistic missiles and anti-ship cruise missiles, to include a warhead and propulsion and guidance components. The type of weaponry found aboard the dhow is allegedly consistent with the weaponry used by the Houthi rebel forces in recent attacks on merchant ships and U.S. military ships in the Red Sea and Gulf of Aden.
In addition to the charges described above, Pahlawan is charged with providing materially false information to U.S. Coast Guard officers during the boarding of the dhow regarding the vessel’s captain, and witness intimidation for threatening one of the crewmembers on the dhow.
Pahlawan, Shahab, and Yunus all face up to life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division; and Executive Assistant Director Robert R. Wells of the FBI's National Security Branch made the announcement.
Assistant U.S. Attorneys Troy A. Edwards Jr. and Gavin R. Tisdale for the Eastern District of Virginia and Trial Attorney Lesley Woods of the National Security Division’s Counterterrorism Section are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:24-cr-41.
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty.
Two Iranian Nationals and One Pakistani National Indicted for Providing Material Support to TerroristsRead the Press Release
Note: View the superseding indictment here.
A superseding indictment was returned yesterday charging two Iranian citizens, brothers Shahab Mir’kazei (Shahab) and Yunus Mir’kazei (Yunis), and one Pakistani citizen, Muhammad Pahlawan, for conspiring to provide and providing material support to Iran’s weapons of mass destruction program resulting in death and conspiring to commit violence against maritime navigation and maritime transport involving weapons of mass destruction resulting in death. Pahlawan is currently awaiting trial, while Shahab and Yunus remain at large.
According to the court documents, Shahab and Yunus work for Iran’s Islamic Revolutionary Guard Corps. Pahlawan, is a Pakistani citizen who allegedly worked for the Mir’kazei brothers as the captain of a smuggling vessel known as a dhow, named the “Yunus,” which is owned by Shahab.
Pahlawan allegedly worked with Shahab to prepare the dhow for multiple smuggling voyages, and Shahab paid Pahlawan in Iranian Rials from a bank account in Shahab’s name. Pahlawan allegedly arranged to receive payments from Shahab and Yunus in Iran and distribute the money to his family and others.
On the night of Jan. 11, U.S. Central Command Navy forces operating from the USS LEWIS B. PULLER, including Navy SEALs and members of the U.S. Coast Guard, boarded the dhow off the coast of Somalia. Two Navy SEALs lost their lives during the interdiction.
As alleged, the U.S. boarding team encountered 14 individual mariners on the vessel, including Pahlawan. During a search of the dhow, the U.S. boarding team allegedly located and seized what is believed to be Iranian-made advanced conventional weaponry. Preliminary analysis of the advanced conventional weaponry indicates that it includes critical components for medium range ballistic missiles and anti-ship cruise missiles, including to include a warhead and propulsion and guidance components. The type of weaponry found aboard the dhow is allegedly consistent with the weaponry used by the Houthi rebel forces in recent attacks on merchant ships and U.S. military ships in the Red Sea and Gulf of Aden.
In addition to the charges described above, Pahlawan is charged with providing materially false information to U.S. Coast Guard officers during the boarding of the dhow regarding the vessel’s captain and witness intimidation for threatening one of the crewmembers on the dhow.
If convicted, Pahlawan, Shahab and Yunus all face maximum penalties of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Jessica D. Aber for the Eastern District of Virginia and Executive Assistant Director Robert Wells of the FBI’s National Security Branch made the announcement.
Assistant U.S. Attorneys Troy A. Edwards Jr. and Gavin R. Tisdale for the Eastern District of Virginia and Trial Attorney Lesley Woods of the National Security Division’s Counterterrorism Section are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two Brookfield, Wisconsin-Based Companies and Their Owners Pay over $10 Million to Resolve Allegations that They Evaded Customs DutiesRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that Precision Cable Assemblies, Inc. (PCA), Global Engineered Products, Inc. (GEP), and their principals, Ryan Schmus and Richard Horky, paid over $10 million to resolve allegations that the companies failed to pay millions of dollars in customs duties on goods imported from the People’s Republic of China.
PCA and GEP are Wisconsin corporations with principal places of business in Brookfield. PCA sells wire harnesses, battery cables, and other wiring products. GEP sells power distribution products. Both companies import goods from China.
When a company, such as PCA and GEP, imports goods into the United States, the importer is required to file entry documents with the Department of Homeland Security, Customs and Border Protection (CBP), including information about the value of the goods. The importer must declare that the values reported are true to the best of its knowledge and belief. The amount of duties owed depends, in large part, on the value of the goods and the applicable tariff rate.
The United States alleged that PCA and GEP submitted and caused the submission of false commercial invoices to CBP that significantly undervalued the goods imported from China from 2016 through November 2021. More specifically, two Chinese suppliers sent PCA and GEP invoices in electronic spreadsheet format with the full, actual price of the goods imported. PCA and GEP, however, falsified the invoices by altering the spreadsheets to reduce the prices, generally by 70%, and then provided those altered invoices to its customs broker, which, in turn, unknowingly submitted the false invoices to CBP. The United States thus alleged that Defendants avoided payment of millions of dollars of duties on the imported goods, especially after additional duties were imposed on certain goods imported from China in 2018.
GEP initially paid CBP approximately $4.2 million in duties lost from this undervaluation scheme. Pursuant to a settlement agreement with the United States Attorney’s Office, Defendants paid another $6 million to the United States to fully resolve its liability for the alleged evasion of duties, including its potential liability under the False Claims Act.
“The United States Attorney’s Office is committed to preventing fraud,” said U.S. Attorney Haanstad. “Companies that import goods into the United States must provide Customs and Border Protection with truthful information and pay all of the applicable duties owed. This settlement sends a strong message to companies and their owners that they must follow the customs rules.”
LaFonda D. Sutton-Burke, the Chicago Director of Field Operations for CBP, added, “Entities that attempt to defraud the U.S. Government, the American people, and our economy will not succeed.”
The settlement resolves a lawsuit filed under the qui tam or whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims submitted to the government and share in a portion of the government’s recovery. The Act permits the United States to intervene and take over responsibility for litigating these cases, as the United States did here. The qui tam case is captioned United States ex rel. Grob v. Precision Cables Assemblies, Inc., et al., Case No. 22-C-570 (E.D. Wis.) and was brought by Travis Grob, a former employee of PCA. Grob received $1,260,000.
Along with auditors, import specialists, and attorneys from CBP and agents for Homeland Security Investigations, Assistant United States Attorneys Michael Carter and Carter Stewart of the Eastern District of Wisconsin handled the matter.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
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Troy, Alabama Man Sentenced to More Than 17 Years in Prison Following Federal Drug ConvictionRead the Press Release
MONTGOMERY, ALABAMA – On August 7, 2024, a federal judge sentenced Troy, Alabama resident Emmanuel Youngblood, 34, to 210 months in prison followed by five years of supervised release, announced United States Attorney Jonathan S. Ross. The sentence is the result of Youngblood’s conviction for possession of methamphetamine with intent to distribute the illegal drug. Federal inmates are not eligible for parole.
According to court records and evidence presented during his April 2024 trial, law enforcement observed Youngblood driving a vehicle in Troy on November 23, 2022. Knowing Youngblood had an outstanding warrant for his arrest, officers initiated a traffic stop. Youngblood initially attempted to elude the police and led officers on a brief car chase. Youngblood eventually stopped the car and fled on foot. Soon thereafter, officers apprehended him. When Youngblood fled, an adult female and four small children were left behind in the car. During a search of Youngblood’s vehicle, officers found more than half a kilogram of methamphetamine, along with a digital scale and other suspected controlled substances. Investigators found the methamphetamine in a microwave dinner box.
The Troy Police Department and the Drug Enforcement Administration investigated this case, which Assistant United States Attorneys Mark E. Andreu and B. Chelsea Wilson prosecuted.
Three Nashville Men Forfeit $180,886 in Drug Proceeds Seized After Traffic StopRead the Press Release
FORT SMITH — On August 6, 2024, the U.S. District Court for the Western District of Arkansas ordered $180,886 in cash seized from three Nashville men to be forfeited to the United States, upholding a civil complaint by the U.S. Attorney’s Office. The complaint, filed on Jan. 31, 2024, alleged that the funds, seized in an Arkansas State Police traffic stop, should be forfeited because they were the proceeds of or were involved in drug crimes.
According to court documents, this case began the afternoon of Jan. 17, 2023, when an Arkansas State Police trooper stopped a gray Nissan Armada for a traffic violation as it traveled westbound on I-40 in Crawford County, close to the Oklahoma state line. During the stop, the Nissan’s three occupants were visibly nervous and made inconsistent and contradictory statements about where they were going and what they planned to do. All three denied having any drugs or large amounts of cash in the vehicle.
However, 13 minutes after the initial stop certified police canine “Beau” arrived on the scene, and in an “open air sniff” alerted on the vehicle—indicating the odor of illegal drugs. During the subsequent probable cause search, Arkansas troopers found two semi-automatic handguns, one of which had been reported stolen, personal-use quantities of illegal drugs and $180,886 in cash—most of it bundled for ease of counting. The driver, Shapour Saberi, and his two passengers, Redeer Ali Haji and Aryan Rasul Ibrahim, were arrested by the troopers and interviewed by agents of the U.S. Drug Enforcement Administration. The guns, drugs and cash, along with seven cell phones, were seized from them as evidence.
Further investigation by the DEA revealed that Saberi, Haji and Ibrahim operated a thriving mail-order drug business in which they solicited customers to order high-grade marijuana and marijuana “edibles” through Snapchat, Instagram, and other social media platforms. Customers placed their orders and paid for the orders in advance. Once a customer’s payment was received, often another co-conspirator in California would send that customer’s order by way of a common carrier such as UPS or FedEx, or via the U.S. Postal Service. On other occasions, the three transported the high-grade marijuana and edibles from California to Tennessee using common carriers and, on at least one occasion, a rented cargo van filled with trash bags full of marijuana.
The three individuals also memorialized many aspects of their illegal enterprise on their cell phones which contained pictures of internet advertisements for known strains of high-grade marijuana, close-ups displaying the marijuana, pictures of price lists for known strains of high-grade marijuana and marijuana edibles, photos of packages and mailing labels, records of conversations with customers and suppliers, photos of drug ledgers, text exchanges with co-conspirators that included arguments over business matters and selfies taken by all three subjects.
Significantly, one of Ibrahim’s phones had photos of drug ledgers that included one dated “1/15.” In this photograph, the total profit shown on the drug ledger was $178,450—only $2,436 less than the amount seized from Saberi, Haji and Ibrahim on their Jan. 17, 2023, road trip.
According to court papers, Saberi, Haji and Ibrahim filed administrative claims with the DEA seeking the return of their seized funds, alleging “ownership of the assets were obtained legally without felonious conduct,” and claiming most of the cash came from car sales rather than drug distribution. However, once the U.S. Attorney’s Office filed a formal complaint for civil forfeiture of the funds, complete with pictures of evidence gathered in the investigation, none of the subjects chose to challenge the forfeiture in court. Under the Department of Justice Asset Forfeiture Program, the funds—now in the custody of the U.S. Marshals Service—will be used to compensate crime victims, support law enforcement efforts, and support communities.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The U.S. Drug Enforcement Administration and Arkansas State Police investigated the case. The U.S. Marshals Service manages the Department of Justice Asset Forfeiture Program.
Assistant U.S. Attorney Steven Mohlhenrich civilly prosecuted the case for the United States.
The Department of Justice Asset Forfeiture Program
The Asset Forfeiture Program was created in 1984 when Congress passed the Comprehensive Crime Control Act, which provided federal prosecutors and agents the legal and regulatory tools necessary to keep up with, and ahead of, those who commit crime for economic benefit. The U.S. Marshals Service plays a critical role in identifying and evaluating assets that represent the proceeds of crime as well as efficiently managing and selling assets seized and forfeited by Department of Justice.
The Marshals manage a wide array of assets including real estate, commercial businesses, cash, financial instruments, vehicles, jewelry, art, antiques, collectibles, vessels and aircraft. Proceeds generated from asset sales are used to operate the program, compensate victims and support various law enforcement efforts. The Marshals manage the distribution of proceeds and payments to victims of crime and other innocent third parties, all of which helps to mitigate the financial damage inflicted by criminal activity. The agency employs best practices from private industry to ensure that assets are managed and sold in an efficient and cost-effective manner.
The Asset Forfeiture Program also supports communities by transferring certain types of forfeited assets to state, local and nonprofit organizations. Through the Operation Goodwill program, forfeited real or personal property of marginal value can be transferred to state or local governments in support of drug abuse treatment, drug crime prevention and education, housing, job skills and other community-based public health and safety programs.
Related court documents may be found on the Public Access to Electronic Records website at www.pacer.gov.
Temple Hills Felon Pleads Guilty to Illegal Possession of A Firearm and AmmunitionRead the Press Release
Greenbelt, Maryland – Today, Damante Christian Dozier, age 26, of Temple Hills, Maryland pleaded guilty to being a felon in possession of a firearm and ammunition.
The guilty plea was announced by Erek L. Barron, U.S. Attorney for the District of Maryland; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Chief Demetrious Harris of the City of Seat Pleasant Police Department, and Chief Malik Aziz of the Prince George’s County Police Department.
According to his guilty plea, on June 6, 2023, an officer with the Seat Pleasant Police Department who suspected that Dozier had shoplifted from a retail store in Oxon Hill, Maryland, approached Dozier and observed the shape of a firearm in Dozier’s pants. The officer frisked Dozier’s waistband area and felt a solid rectangular mass consistent with the shape of a firearm. Following the frisk, and after requesting backup, the officer asked Dozier to turn around to be handcuffed, and Dozier attempted to flee. A few seconds later, law enforcement officers from the Seat Pleasant Police Department and the Prince George’s County Police Department gained control of Dozier and retrieved a firearm with an extended magazine from his pants. The recovered firearm was a black Glock 45 .9mm semi-automatic pistol loaded with one round of ammunition in the chamber and 33 rounds in an extended magazine. Dozier knew that he had a previous felony conviction which prohibited him from possessing a firearm and ammunition.
U.S. Attorney Barron commended the ATF, the City of Seat Pleasant Police Department, and the Prince George’s County Police Department for their work in the investigation. Mr. Barron also thanked Special Assistant U.S. Attorney Gustavo Ruiz and Assistant United States Attorney Kelly O. Hayes, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Stockton Man Pleads Guilty to Methamphetamine and Firearms OffensesRead the Press Release
SACRAMENTO, Calif. — Gary Wayne Stuckey, 58, of Stockton, pleaded guilty today to possessing methamphetamine with intent to distribute and being a felon in possession of ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in June 2022, law enforcement officers conducted a traffic stop of Stuckey’s vehicle and observed several pounds of marijuana inside the vehicle. A search revealed over 500 grams of methamphetamine and several items indicative of drug sales, including digital scales, plastic baggies, and hundreds of dollars of U.S. currency in small denominations. Wedged between the driver’s seat and center console of the vehicle was a Polymer 80 handgun, a privately made firearm or “ghost gun” lacking a serial number, that was loaded with a live round of ammunition in the chamber and five additional rounds in the magazine. Stuckey is prohibited from possessing ammunition due to multiple state felony convictions, including a prior conviction for being a felon in possession of ammunition.
This case was the product of an investigation by the Stockton Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Alstyn Bennett and Whitnee Goins, and Special Assistant U.S. Attorney Matthew De Moura are prosecuting the case.
Stuckey is scheduled to be sentenced on Nov. 14, 2024, by U.S. District Judge Daniel J. Calabretta. Stuckey faces a maximum statutory penalty of life in prison and a mandatory minimum of 10 years in prison. 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.
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 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.
St. Louis County Man Sentenced for Aiding FraudRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Thursday sentenced a man who helped someone fraudulently purchase vehicles using stolen identities to one year in prison and ordered him to pay $89,263 in restitution.
Lavell Caradine, 35, worked at a Florissant car dealership at the time. From June 24, 2019, until Aug. 23, 2019, he sold three vehicles to Naquan Powers, who used the personal information of others to buy and finance the vehicles. Powers texted the victims’ personal information to Caradine ahead of time so Caradine could confirm that Powers could use that information to make the purchase, Caradine’s plea agreement says.
After using the dealership’s system to perform a credit check, Caradine discovered that some victims’ identities were unusable. In one case, the victim was deceased and in other, the person had their credit frozen, a sentencing memo filed by Assistant U.S. Attorney Diane Klocke said.
With Caradine’s help, Powers bought a Chevrolet Tahoe with a $42,086 loan, a Chevrolet Impala with a $18,098 loan and a BMW 428 with a $29,079 loan. Powers was trying to buy a Dodge Challenger when Caradine texted him a warning that police were at the dealership.
Caradine pleaded guilty in February to two counts of bank fraud.
Powers, 27, of Hazelwood, is serving a 111-month prison term after pleading guilty and admitting involvement in the vehicle purchases, a credit card scam and pandemic fraud.
The Social Security Administration Office of Inspector General and the U.S. Postal Inspection Service investigated the case. Assistant U.S. Attorney Diane Klocke prosecuted the case.
Spokane Valley Man Sentenced to Federal Prison on Firearm and Fentanyl Trafficking ChargesRead the Press Release
Spokane, Washington - Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced today that Alexander Kosnicki, 46 of Spokane Valley, Washington, was sentenced on one count of Felon in Possession of a Firearm and one count of Possession with Intent to Distribute Fentanyl. Kosnicki was convicted of those crimes on February 13, 2024, following a jury trial. United States District Judge Thomas O. Rice imposed a sentence of 70 months in federal prison to be followed by 6 years of supervised release.
According to court documents and information disclosed at trial and sentencing, on the night of November 22, 2022, Kosnicki was sleeping in the lobby of an apartment building in downtown Spokane. Residents of the building alerted security.
Security guards searched Kosnicki and located a small amount of methamphetamine and fentanyl pills as well as a handgun in Kosnicki’s jacket pocket. Security then called Spokane Police. At the time Kosnicki entered the apartment building carrying these illicit items, Kosnicki had a prior federal conviction for Possession with Intent to Distribute Fentanyl and Felon in Possession of a Firearm out of the Western District of Washington and was not allowed to possess a firearm.
Spokane Police officers searched Kosnicki. During the search, officers located $1,147 in cash in Kosnicki’s right sock and located two large bags of fentanyl pills in Kosnicki’s left sock.
“Mr. Kosnicki illegally possessed a firearm and was distributing deadly fentanyl in our communities. His actions contributed to the growing epidemic of drug use in our society,” stated U.S. Attorney Waldref. “Our office has been prosecuting fentanyl cases vigorously as part of our ongoing efforts to build safer and stronger communities. Fentanyl is particularly lethal, and we are proactively working to prevent the tragedy it causes to Eastern Washington families on a daily basis.”
“Fentanyl and firearms are a lethal combination, and I am gratified that the DEA and our partners could hold Mr. Kosnicki accountable for his behavior,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division. “Our community is safer because of this sentence.”
This case was investigated by the Drug Enforcement Administration and the Spokane Police Department. This case was prosecuted by Assistant United States Attorney Rebecca Perez.
Southern California Dental Offices and Former Owners Pay $6.3M to Resolve False Claims Act Allegations Relating to Improper Paycheck Protection Program LoansRead the Press Release
West Coast Dental Administrative Services LLC (formerly West Coast Dental Services Inc.), which operates a network of dental offices in Southern California, and its founders and former owners, Drs. Soleyman Cohen-Sedgh, Farid Pakravan and Farhad Manavi, have paid $6.3 million to resolve allegations that they knowingly violated the False Claims Act in connection with seven improper loans that West Coast Dental Services Inc. (West Coast Dental) and affiliated dental offices received under the Paycheck Protection Program (PPP). Additionally, City Real Estate Holdings Inc., a real estate investment company owned by Dr. Manavi, has paid an additional $35,149.82 to resolve its potential liability under the False Claims Act in connection with a separate PPP loan.
The PPP, an emergency loan program established by Congress in March 2020 under the Coronavirus Aid, Relief, and Economic Security (CARES) Act and administered by the Small Business Administration, was intended to support small businesses struggling to pay employees and other business expenses during the COVID-19 pandemic. Whether an applicant qualified for a PPP loan as a small business depended on various factors, including the type of business operated by the borrower and the number of employees of both the borrower and its corporate affiliates. In 2021, Congress offered a second round of forgivable loans through the Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act. Under PPP rules, second draw loans were strictly limited to businesses with 300 employees or less. When applying for PPP loans and loan forgiveness, borrowers were required to certify the truthfulness and accuracy of all information provided in their loan applications.
The United States alleged that West Coast Dental and six of its affiliated dental practices received seven improper second draw PPP loans and subsequent forgiveness of these loans based on false certifications that the companies qualified for the loans even though they were ineligible because the dental practices collectively employed more than 300 individuals. The United States further alleged that West Coast Dental and its affiliates failed to disclose common ownership of the affiliated dental offices in their separate PPP applications. The United States also alleged that City Real Estate Holdings Inc., which received a PPP loan, was ineligible to receive the loan under PPP rules, because it is a passive business operated for investment purposes. City Real Estate Holdings Inc. sought and received forgiveness of its total loan amount.
“PPP loans were intended to support small businesses facing difficult economic times due to the COVID-19 pandemic,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department will continue to hold borrowers who improperly received and sought forgiveness of PPP loans accountable for their actions.”
“Companies such as these that depleted crucial pandemic-assistance funding will be held accountable under the False Claims Act,” said U.S. Attorney Martin Estrada for the Central District of California. “This resolution evidences our office’s earnest commitment to ensure that companies act with the utmost integrity and compunction.”
“This settlement sends a signal to wrongdoers that evidence of improper conduct will be brought to light,” said Special Agent in Charge Weston King for Small Business Administration’s Office of Inspector General (SBA OIG)’s Western Region. “Our office will remain relentless in the pursuit of those who seek to exploit SBA’s vital pandemic response programs. I want to thank the U.S. Department of Justice and our law enforcement partners for their exceptional efforts and collaboration in pursuit of justice.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Relator LLC, a limited liability corporation formed by California attorneys Anoush Hakimi and Peter Shahriari. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned U.S. ex rel. Relator LLC v. West Coast Dental Services Inc., et al., CV 22-3812-MCS (MARx) (C.D. Cal.). Relator LLC will receive approximately $507,000 as its share of the total settlement.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Central District of California, with assistance from the Small Business Administration’s Office of General Counsel and Office of the Inspector General.
Trial Attorney Allie Pang of the Civil Division’s Commercial Litigation Branch, Fraud Section, and Assistant U.S. Attorney Jack D. Ross for the Central District of California handled the matter, with the assistance of Paralegal Heather Beckler, Investigator Maria Marsh, and Auditor John Powers for the U.S. Attorney’s Office for the Central District of California. Special Agent Samuel Huynh of SBA-OIG also provided investigative assistance.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Justice Department in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The task force bolsters efforts to investigate and prosecute the most culpable domestic and international actors committing civil and criminal fraud and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus.
Tips and complaints from all sources about potential fraud affecting COVID-19 government relief programs can be reported by visiting the webpage of the Civil Division’s Fraud Section, which can be found here. Anyone with information about allegations of attempted fraud involving COVID-19 can also report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
SettlementSouth Dakota Man Found Guilty of Failure to Register as a Sex OffenderRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that a jury has convicted Lance Quintin Longie, age 40, of South Dakota of Failure to Register as a Sex Offender following a one-day jury trial in federal district court in Aberdeen. The verdict was returned on August 5, 2024.
The charges carry a penalty of a maximum of 10 years in custody and/or a $250,000 fine, a mandatory minimum of five years and a maximum of life of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Longie was initially indicted by a federal grand jury in May of 2024.
Longie is required to register a sex offender under the Sex Offender Registration and Notification Act because he was convicted of Criminal Sexual Conduct in the First Degree in 2004 in the District Court of Minnesota, Clay County. In the summer of 2022, Longie was residing in Moorhead, Minnesota, and last registered with the Moorhead Police Department on June 29, 2022. Later that summer, Longie travelled to South Dakota and took up residence in New Effington. Longie remained at the New Effington address and did not update the sex offender registry in South Dakota until he was arrested at the residence by officers with the Roberts County Sheriff’s Office on March 22, 2024.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorneys Beau J. Blouin and Connie Larson prosecuted the case.
A presentence investigation was ordered. A sentencing date has not been set. The defendant was remanded to the custody of the U.S. Marshals Service.
Serial South Miami Bank Robber Unmasked: Defendant Convicted of Two Armed Bank RobberiesRead the Press Release
MIAMI – On August 5, a federal jury found Luis Ramirez Gonzalez, 37, of Miami, guilty of two counts of armed bank robbery.
The evidence during the six-day trial revealed that Ramirez Gonzalez committed two armed bank robberies within ten days — one at Interamerican Bank’s Kendall branch on Nov. 29, 2023 and a second at a Palmetto Bay TD Bank on Dec. 9, 2023.
According to the evidence admitted at trial, Ramirez Gonzalez entered Interamerican Bank wearing an Amazon vest and a Halloween-style mask, with an aged face, on Nov. 29, 2023. He marched straight to the nearest teller, pointing a gun at the teller and taking cash from the teller’s drawer before turning his attention to access the bank’s vault. When bank employees told him they could not access it, he moved to the next teller drawer and took the cash from there before leaving in a vehicle.
The evidence admitted at trial further showed Ramirez Gonzalez’s face on surveillance footage in the early hours of Dec. 9, 2023, peering through the glass door of the TD Bank. Just a few hours later, Ramirez Gonzalez returned to the same TD Bank, but this time wore a porcelain doll Halloween-style mask with the word “God” written on the forehead. He then drew a dark gun from a black bag and pointed it at the nearest teller’s pregnant midsection before taking the cash from the first teller drawer. When he wanted to access the vault, bank employees told him they were unable to provide him access and he again proceeded to the second teller drawer, emptying it of cash before departing the bank.
The evidence admitted at trial revealed that the Ramirez Gonzalez had also stolen two stacks of cash containing GPS trackers from the teller drawers, which law enforcement followed before he led them on a brief high-speed chase through a residential neighborhood ending with Ramirez Gonzalez crashing the car. He then bailed from the wreckage and fled on foot through residential backyards for almost two hours before being arrested by law enforcement. From the canal that lined the backyards and approximately where a homeowner saw an individual jumping into the canal following the crash, law enforcement recovered a black bag containing the “God” mask, the dark gun, and the exact amount of stolen cash—including the GPS trackers—all used during the TD Bank robbery.
The dark gun recovered from the canal was revealed to be a BB gun that Ramirez Gonzalez had purchased as a rush order two days prior to the TD Bank robbery, according to the evidence admitted at trial.
U.S. District Judge Beth Bloom is scheduled to sentence Ramirez Gonzalez on Oct. 25. He is facing a total statutory maximum penalty of 25 years' imprisonment as to each count of armed bank robbery. Judge Bloom will determine Ramirez Garcia’s sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, announced the convictions.
FBI investigated this case with substantial assistance from the Miami-Dade Police Department. Coral Gables Police Department’s Underwater Recovery Unit also assisted in this case. Assistant U.S. Attorneys Alexandra D. Comolli and Sterling M. Paulson are prosecuting the case.
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 23-cr- 20490.
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San Francisco Tow Company Operator Charged with Insurance Fraud and Money LaunderingRead the Press Release
SAN FRANCISCO – Jose Vicente Badillo and Jessica Elizabeth Najarro appeared in federal court today to face mail fraud, wire fraud, and money laundering charges related to a scheme to defraud an auto insurance company, announced United States Attorney Ismail J. Ramsey; FBI Special Agent in Charge Robert K. Tripp; and IRS Criminal Investigation (CI) Acting Special Agent in Charge Michael Mosley of the Oakland Field Office. The case has been assigned to the Hon. Rita F. Lin, United States District Judge.
According to an indictment returned by a federal grand jury on July 9, 2024, Badillo, 28, and Najarro, 30, both of San Francisco, conspired to defraud an insurance company by submitting a fraudulent insurance claim on a wrecked car that Badillo purchased in June 2019. The indictment alleges that, when Badillo bought the car, it was undrivable, with severe front-end damage and a non-functioning engine. Nevertheless, the indictment says, Najarro obtained an insurance policy on, and later took title to, the car before falsely reporting to the insurance company in July 2019 that she had been in a single-car accident in it in San Francisco. The indictment further alleges that Najarro spoke with, and made materially false statements and misrepresentations to, an insurance representative in another state, after which the insurance company processed and approved her claim and sent her an insurance reimbursement check for $34,037.48. The indictment alleges that the full amount of the insurance reimbursement check was deposited a few days later into a Wells Fargo Bank account controlled by Badillo.
The indictment also alleges that, at the time of the offenses in 2019, Badillo owned and/or controlled at least two companies engaged in the business of towing vehicles: Jose’s Towing, LLC, and Auto Towing, LLC, both of which operated out of San Francisco.
Both defendants are charged with one count each of (i) conspiracy to commit mail and wire fraud, in violation of 18 U.S.C. § 1349; (ii) mail fraud, in violation of 18 U.S.C. §§ 1341 and 2; (iii) wire fraud, in violation of 18 U.S.C. §§ 1343 and 2; and (iv) money laundering, in violation of 18 U.S.C. §§ 1957 and 2.
Badillo and Najarro were arrested in San Francisco on August 8, 2024, and released on a $50,000 bond at their initial appearances later that day. Both defendants are next scheduled to appear in court on August 12, 2024, at 10:30 a.m., before the Hon. Lisa J. Cisneros for arraignment and identification of counsel.
An indictment merely alleges that crimes have been committed, and both defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Badillo and Najarro each face a maximum sentence of 20 years in prison, and a fine of $250,000 or twice the gross gain or loss, whichever is greater, plus restitution, if appropriate, on each of Counts 1 through 3, which charge mail fraud, wire fraud, and conspiracy to commit the same, in violation of 18 U.S.C. §§ 1341, 1343, 1349, and 2. They face a maximum sentence of 10 years in prison, and a fine of $250,000 or twice the amount of criminally derived property involved in the transaction, whichever is greater, plus restitution, if appropriate, on Count 4, which charges money laundering, in violation of 18 U.S.C. §§ 1957 and 2. The court also may order an additional term of supervised release to begin after any prison term as part of the sentence for either or both defendants. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Assistant U.S. Attorneys Kyle F. Waldinger and Galen A. Phillips are prosecuting the case with the assistance of Amala James and Carolyn Jusay Caparas. The prosecution is the result of a lengthy investigation by the FBI and IRS CI.
Rhode Island Man Charged with Possessing Unregistered Machine GunRead the Press Release
Burlington, Vermont – The Office of the United States Attorney for the District of Vermont announced that on August 8, 2024, a federal grand jury returned an indictment charging Brenden Sackal, 31, of Rockville, Rhode Island, with possessing an unregistered machine gun and possessing a machine gun lacking an identification number, in violation of the National Firearms Act.
Sackal’s federal arraignment date has not yet been set. Sackal was scheduled to appear in Caledonia Superior Court today on related charges.
According to court records, Sackal is alleged to have knowingly possessed an unregistered machine gun that lacked a serial number, specifically a privately manufactured 5.56 caliber AR-type pistol, on July 14, 2024. The National Firearms Act requires registration of machine guns, as well as other specific types of dangerous weapons, and requires those types of dangerous weapons to be identified by serial number.
The United States Attorney’s Office emphasizes that an indictment contains allegations only and that Sackal is presumed innocent until and unless proven guilty. Sackal faces up to 10 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 Bureau of Alcohol, Tobacco, Firearms and Explosives and the Vermont State Police. United States Attorney Kerest also commended the actions of United States Border Patrol, United States Customs and Border Protection, the Vermont State Police, and the Orleans County Sherriff’s Office in apprehending Sackal on July 14, 2024.
The prosecutor is Assistant United States Attorney Jonathan A. Ophardt. Sackal is not yet represented on the federal charges.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
Readout of Justice Department Officials’ Participation in National Night OutRead the Press Release
WASHINGTON – Yesterday, Attorney General Merrick B. Garland, Deputy Attorney General Lisa Monaco, and Acting Associate Attorney General Benjamin C. Mizer participated in the 41st Annual National Night Out (NNO). Their participation in NNO events highlights the Justice Department’s partnerships with federal, state, and local law enforcement that have played key roles in its Comprehensive Strategy for Reducing Violent Crime, which focuses federal resources on identifying, investigating, and prosecuting the most significant drivers of violent crime.
Established in 1984 from a Justice Department Bureau of Justice Assistance (BJA) grant, NNO aims to build relationships with and between communities and law enforcement, promote police-community partnerships, and enhance neighborhood camaraderie. The community-building campaign provides an opportunity to bring police and neighbors together under positive circumstances.
This year, NNO takes place as violent crime continues to decline nationwide, following an uptick during the pandemic in 2020. FBI data shows a decrease in violent crime in communities across the country in 2023 compared to the previous year, including an over 13% reduction in homicides. That is the steepest yearly decline in homicides in over 50 years. Early data from 2024 indicates that this trend is continuing.
“Each year, National Night Out gives communities across the country the chance to celebrate and strengthen their partnerships with law enforcement,” said Attorney General Merrick B. Garland. “This was a particularly meaningful National Night Out because it came after our country experienced one of the lowest nationwide violent crime rates in 50 years this past year. The Justice Department will never stop working to build on this progress because every person, in every neighborhood, in every community deserves to be safe from violent crime.”
The Attorney General participated in National Night Out events in Des Moines, Iowa. He was joined by First Assistant U.S. Attorney Andrew Kahl for the Southern District of Iowa at an event hosted by the Urbandale, Iowa, Police Department, where they had an opportunity to engage with local law enforcement and community members.
This week, Attorney General Garland met with prosecutors and law enforcement partners from the U.S. Attorneys’ Offices for the District of Nevada, Eastern District of Wisconsin, Northern District of Iowa, and Southern District of Iowa. The Attorney General met with U.S. Attorney Jason Frierson for the District of Nevada and discussed his office’s work as part of the Department’s Organized Crime Drug Enforcement Task Forces program (OCDETF), which seeks to identify, disrupt, and dismantle high-level criminal and drug trafficking organizations. In Wisconsin, he spoke with federal, state, and local law enforcement leaders, including Milwaukee Sheriff Denita Ball and Police Chief Jeffrey Norman, about efforts to continue to decrease violent crime and reduce fentanyl on streets in the Milwaukee area. Attorney General Garland also touted the work of the U.S. Attorney’s Office in the Northen District of Iowa to secure sentences for multiple gun and drug crime offenders.
Deputy Attorney General Monaco attended two National Night Out events in Cincinnati with U.S. Attorney of Kenneth Parker for the Southern District of Ohio and Chief Teresa Theetge of the Cincinnati Police. She visited the Westwood and Roselawn neighborhoods, where she spoke with local community leaders and law enforcement officials about how they are partnering together to keep Cincinnati safe. Prior to her NNO stops, the Deputy Attorney General attended roll-call at the Cincinnati Police Department (CPD)’s Third District to thank the women and men of the force for their commitment to public safety.
While in Cincinnati, the Deputy Attorney General visited the U.S. Attorney’s Office for the Southern District of Ohio to hear from the dedicated prosecutors and professional staff of the office about their work to carry out the Justice Department’s mission, especially tackling violent crime. The Deputy Attorney General also toured the Cincinnati Crime Gun Intelligence Center (CGIC), which imbeds ATF special agents and analysts with local law enforcement and prosecutors to swiftly identify unlawfully used firearms and their sources. Like the many other crime gun intelligence centers nationwide, the Cincinnati CGIC harnesses cutting-edge technologies — including the ATF’s National Integrated Ballistic Information Network (NIBIN) and eTrace systems — to rapidly develop and pursue investigative leads in order to drive case clearance rates up, which in turn can help drive violent crime rates down.
Prior to traveling to Cincinnati, the Deputy Attorney General delivered the keynote address at the 25th anniversary celebration of the Women in Federal Law Enforcement Foundation, where she emphasized the crucial role women in law enforcement play in protecting communities nationwide.
Acting Associate Attorney General Mizer joined U.S. Attorney Michael F. Easley Jr. for the Eastern District of North Carolina, Special Agent in Charge Benny Mims of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Charlotte Field Division, and U.S. Marshal Glenn McNeill Jr. for the Eastern District of North Carolina to attend two National Night Out events in Raleigh, North Carolina. The Acting Associate Attorney General visited Tarboro Road Community Center and The Village at Washington Terrace, where he met with law enforcement partners and community members and discussed issues of importance in Raleigh.
In addition to the federal, state, local, and Tribal partners, the 94 U.S. Attorneys’ Offices around the country are invaluable partners in the Department’s work to combat violent crime. All of the U.S. Attorneys’ Offices visited this week by the Attorney General, Deputy Attorney General, and Acting Associate Attorney General maintain ongoing participation in the Department’s Project Safe Neighborhoods initiative, which builds on existing programs in each district to reduce gun violence, gun crime, and sustain those reductions.
Randolph Man Arrested for Child Pornography OffenseRead the Press Release
BOSTON – A Randolph man has been arrested and charged for allegedly possessing and transporting child sexual abuse material (CSAM).
Kesler Xavier Saget, 43, was charged with transporting child pornography and possession of child pornography. Saget was arrested yesterday and, following an initial appearance in federal court in Boston, was detained pending a hearing scheduled for Aug. 12, 2024.
According to the charging documents, after landing at Boston Logan International Airport from Santo Domingo, Dominican Republic, CSAM was allegedly detected on Saget’s phone during a border search. Further review of the phone allegedly showed payments Saget made in exchange for access to CSAM.
The charge of transporting child pornography provides for a mandatory minimum sentence of five years in prison and up to 20 years in prison, five years to life of supervised release and a fine of up to $250,000. The charge of possessing child pornography provides for a sentence up to 20 years in prison, at least five years and up to a lifetime of supervised release and a fine up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
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.
Acting United States Attorney Joshua S. Levy and Michael J. Krol, Special Agent in Charge, Homeland Security Investigations, in New England made the announcement. Valuable assistance in the investigation was provided by the U.S. Customs and Border Protection. Assistant U.S. Attorney Brian Sullivan of the Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Providence Gang Member Sentenced for Possessing AmmunitionRead the Press Release
PROVIDENCE, RI – A convicted felon described in court documents as being a member of a “dangerous Providence Street gang and a driver of violence within that group” was sentenced today to two years in federal prison for being a felon in possession of ammunition, announced United States Attorney Zachary A. Cunha.
Ryan DaCruz, 28, of Providence and Central Falls, was sentenced by U.S. District Court Judge William E. Smith to 24 months of incarceration to be followed by two years of federal supervised released. DaCruz pleaded guilty on pleaded guilty on January 30, 2024, to a charge of being a felon in possession of ammunition.
On May 31, 2023, in support of an ongoing Project Safe neighborhoods investigation, Bureau of Alcohol, Tobacco, Firearms, and Explosives, along with officers and detectives from the Providence and Central Falls Police Departments, encountered DaCruz as he left a Central Falls apartment. A number of packages of marijuana, consistent with being packaged for sale, and several hundred dollars in cash bundled in different quantities were found in his backpack. Agents and officers followed DaCruz’s arrest with a court-authorized search of the apartment DaCruz had just left and located a 30-round, Glock magazine for use in a 9mm Glock firearm, a clear plastic bag containing 14 rounds of commercially produced 9x19mm ammunition, and a small bag of suspected cocaine among his personal belongings.
As reflected in court documents, DaCruz’s affiliation with the East Side gang dates back to at least 2016. DaCruz appears in a video filmed in 2016 that depicts him riding through a residence on a wheel board singing, holding what appears to be two pistols/revolvers. As the video ends, DaCruz pulls the triggers on both guns. The menacing lyrics of the song that he is singing in the video was in reference to Chad Brown, a rival Providence gang.
Court records illustrate that DaCruz was previously convicted and sentenced in Rhode Island state court on drug and firearms charges in crimes unrelated to the case heard today in federal court.
The case was prosecuted by Assistant United States Attorneys John P. McAdams and Paul F. Daly, Jr.
The matter was investigated by ATF, Providence Police Department, and Central Falls Police Department.
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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Previously Deported Man Indicted for Transfer of Fraudulent Social Security Cards and Counterfeit Driver’s LicensesRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a nine-count indictment today against Javier Aguilera Rosas, 42, residing in Los Angeles, charging him with transfer of false identity documents, misuse of Social Security numbers, and being a previously deported alien found in the United States, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Rosas transferred to others fraudulent Social Security cards and driver’s licenses that used the identifying information of multiple individuals, including their Social Security numbers and driver’s license numbers. Rosas was previously deported from the United States in December 2009 after committing an aggravated felony of forgery.
This case is the product of an investigation by the Federal Bureau of Investigation. Special Assistant U.S. Attorney Nicole Moody is prosecuting the case.
If convicted, Rosas faces 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 defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Previously Convicted Felon from Beaver Falls Sentenced to More Than Six Years in Prison for Repeated Possession of FirearmsRead the Press Release
PITTSBURGH, Pa. – A resident of Beaver Falls, Pennsylvania, pleaded guilty in federal court to firearms charges and was sentenced to 77 months of imprisonment, to be followed by three years of supervised release, United States Attorney Eric G. Olshan announced today.
Senior United States District Judge David S. Cercone imposed the sentence on Eric Kalif Hubbard, 41.
According to evidence presented to the Court, on May 23, 2023, an officer with the New Brighton Police Department initiated a traffic stop on a vehicle driven by Hubbard. In approaching the vehicle, the officer observed an open container and the odor of alcohol, as well as a black satchel bag in the vehicle. When asked by the officer to exit the vehicle due to suspicion of drunk driving, Hubbard sped away in the vehicle. Officers pursued Hubbard and, upon finding his crashed vehicle, arrested Hubbard hiding in the brush and searched the nearby Beaver River, where they recovered a black satchel floating in the water. That bag contained three pill bottles bearing Hubbard’s name and a loaded revolver.
On July 14, 2023, an officer with the Beaver Falls Police Department initiated a traffic stop on Hubbard after observing that there was no inspection sticker on his windshield. The officer, who was aware of the prior traffic stop and also knew that Hubbard had a suspended license, determined that the vehicle was a rental, that Hubbard was not on the rental agreement, and that the vehicle had to be towed. Upon conducting an inventory of the vehicle while awaiting a tow truck, the officer discovered contraband, stopped the inventory, and applied for a search warrant, with the resulting search leading to the recovery of three black ski masks, three pairs of black gloves, a loaded 12 gauge shotgun with a cut stock, and a loaded semiautomatic rifle.
At the time Hubbard possessed the firearms and ammunition seized in these instances, he had been convicted of seven felony offenses. Federal law prohibits possession of a firearm or ammunition by a convicted felon.
Assistant United States Attorney Brendan J. McKenna prosecuted this case on behalf of the government.
United States Attorney Olshan commended the New Brighton Police Department, Beaver Falls Police Department, and Bureau of Alcohol, Tobacco, Firearms and Explosives for the investigation leading to the successful prosecution of Hubbard.
Peoria Felon Sentenced to 84 Months in Federal Prison for Possession and Sales of Machineguns, Firearms and AmmunitionRead the Press Release
PEORIA, Ill. – A Peoria, Illinois man, Devonte Powell Thompson, 27, was sentenced today to 84 months’ imprisonment for two counts of possession of a machinegun and three counts of possession of firearms and ammunition. His sentence includes a three-year term of supervised release to be served upon completion of his term of confinement.
At the sentencing hearing before U.S. District Judge James E. Shadid, the government presented evidence that Thompson, while on parole for a state felony firearm conviction, possessed and sold three handguns, including an AR-15-style privately manufactured “ghost gun” pistol, two machinegun conversion “switch” devices, and ammunition over the course of four transactions in February 2023. Thompson was prohibited from possessing any firearms or ammunition due to any one of his five prior felony convictions, three of which were firearm-related offenses.
The indictment was filed in July 2023, and Thompson was arrested shortly thereafter on July 19, 2023. Thompson entered a guilty plea in February 2024. He has remained in the custody of the U.S. Marshals Service since his arrest.
The statutory penalties for possession of a machinegun are up to 10 years’ imprisonment, followed by up to three years of supervised release, for each count. The penalties for possession of firearms and ammunition are up to 15 years imprisonment, followed by up to three years of supervised release, for each count.
The Peoria Area Federal Firearms Task Force, comprised of agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Peoria Police Department; the Peoria County Sheriff’s Department; Illinois Department of Corrections; and the Illinois State Police, investigated the case. Assistant U.S. Attorney Ronald L. Hanna represented the government in the prosecution.
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.
Palestinian National Sentenced to 7.5 Years in Prison for Travel with Intent to Engage in Sexual Conduct with MinorRead the Press Release
PITTSBURGH, Pa. - A Palestinian national was sentenced in federal court to 90 months of imprisonment, to be followed by 15 years of supervised release, on his conviction of one count of travel with intent to engage in illicit sexual conduct, United States Attorney Eric G. Olshan announced today.
United States District Judge Marilyn J. Horan imposed the sentence on Huthayfa Almassri, 33, who had pleaded guilty to the charge on April 15, 2024.
According to information presented to the Court, Almassri traveled from Palestine on May 31, 2022, and was admitted to the United States as a Lawful Permanent Resident. On June 14, 2022, Almassri initiated an online relationship with an individual he believed to be a minor but was actually a law enforcement officer acting in an undercover capacity. In his conversations with the minor, Almassri lied about his age and real name. On October 16, 2022, Almassri arranged to meet with the minor for sex. Almassri was arrested when he arrived to meet with the minor. In conjunction with his guilty plea, Almassri agreed to the judge’s entry of a judicial order of removal from the United States.
Assistant United States Attorney Heidi M. Grogan prosecuted this case on behalf of the government.
United States Attorney Olshan commended the Federal Bureau of Investigation and FBI Pittsburgh Child Exploitation and Human Trafficking Task Force for the investigation leading to the successful prosecution of Almassri.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Owner of Orlando Company Sentenced to 24 Years in Federal Prison for $57 Million Investment Fraud SchemeRead the Press Release
Orlando, FL – U.S. District Judge Carlos Mendoza has sentenced Avinash Singh (42, St. Cloud) to 24 years in federal prison for wire fraud and money laundering. The court also ordered Singh to forfeit the $57 million in proceeds he obtained from his offenses, as well as real property that he purchased with those proceeds. Singh entered a guilty plea on May 6, 2024.
According to court documents, Singh operated an Orlando-based company by the name of Highrise Advantage, LLC (Highrise). From February 2013 to September 2020, Singh received more than $57 million from over 1,100 victims who believed that they were making investments in retail foreign currency contracts (forex) through Highrise. To induce his victims to invest, Singh claimed that he had a proven track record of success as a forex trader, that he was going to use the funds for investments in forex, and that he would “guarantee” that his victims would not lose any funds for any trading losses. None of these representations were true.
Rather than invest his victims’ funds in forex trading as he had promised, Singh used funds from one investor to pay amounts owed to another investor. Singh misappropriated at least $45 million of the victims’ “investments” in the form of payments to other investors and also spent millions of dollars in personal expenses, including the purchase of real estate, retail purchases, phone bills, events, dining, and reserving music studio space to record music with his band.
“This case epitomizes selfish greed at an astonishing level,” said Ron Loecker, Special Agent in Charge of IRS Criminal Investigation’s Tampa Field Office. “Mr. Singh tried to use the proceeds of his Ponzi scheme to live like a pop star while popping the dreams of his victim investors. This sentencing shows that we will go to great lengths to ensure those who try to illegally place themselves above others are held accountable.”
This case was investigated by the Federal Deposit Insurance Corporation - Office of Inspector General, the St. Cloud IRS Federal Financial Crimes Task Force, and the State of Florida Office of Financial Regulation, with assistance from the U.S. Marshals Service. It was prosecuted by Assistant United States Attorney Amanda S. Daniels. Asset recovery was handled by Assistant United States Attorney Nicole M. Andrejko.
Norton Shores Man Sentenced to Seven Years in Federal Prison for Methamphetamine TraffickingRead the Press Release
GRAND RAPIDS – U.S. Attorney for the Western District of Michigan Mark Totten today announced that Anthony Bradell McMillan, 37, of Norton Shores, Michigan was sentenced to seven years in federal prison followed by three years of supervised release for possession with intent to distribute methamphetamine pills, cocaine, and MDMA. U.S. District Judge Jane M. Beckering noted at sentencing that McMillan’s possession of a gun during his offense and his history of domestic violence precluded her from granting McMillan’s request for a shorter sentence.
“Mr. McMillian helped flood our communities with potentially lethal drugs and has a history of domestic violence, including the circumstances that gave rise to this case,” said U.S. Attorney Mark Totten. “Disrupting the flow of poisons that are taking so many lives and protecting victims of gender-based violence are central to our mission.”
On January 21, 2024, officers from the Norton Shores Police Department responded to McMillan’s home after 911 dispatchers received complaints that McMillan was inside and reportedly abusing his girlfriend. Upon arriving, officers knocked on the front door and several other doors and windows with no answer. After several attempts, McMillan’s girlfriend eventually emerged. Officers observed injuries, confirmed that McMillan had been beating her, and learned that during the assault, he threatened her with a pistol. As a previously convicted felon, McMillan was not allowed to possess firearms.
Officers obtained a warrant to search McMillan’s residence. Inside the house, officers seized a digital scale, controlled substance packaging material, MDMA pills, and two digital scales. In the yard, officers found a black trash bag that McMillan had discarded after police arrived. The trash bag contained a .45 caliber Glock 21 pistol, over 2,700 methamphetamine pills, over 100 grams of cocaine, and a banking card with McMillan’s name on it. McMillan was located and taken into custody without incident.
McMillan was subsequently charged by indictment and, in April 2024, pled guilty to the charge of possession with intent to distribute controlled substances.
The U.S. Drug Enforcement Administration, Norton Shores Police Department, Muskegon County Sheriff’s Office, and Muskegon Heights Police Department investigated this case, and Assistant U.S. Attorney Joel Fauson prosecuted it.
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Newburgh Duo Sentenced to Combined 25 Years in Federal Prison for Trafficking Pounds of Methamphetamine into EvansvilleRead the Press Release
EVANSVILLE- Michael Jimenez, 37, of Newburgh, Indiana and Jordan Jimenez, 30, of Evansville, Indiana, have been sentenced to federal prison for ten and fifteen years, respectively, followed by five years of supervise release after pleading guilty to conspiracy to distribute methamphetamine. Jordan Jimenez also pleaded guilty to possession with intent to distribute methamphetamine.
According to court documents, between May and July of 2022, the uncle and nephew duo worked together to buy and sell large quantities of methamphetamine in Southern Indiana. Jordan Jimenez obtained pounds of methamphetamine from his source of supply and then fronted a portion of that methamphetamine to his uncle, Michael, who would repay Jordan upon reselling the methamphetamine to his own customers. The pair often acted as a joint business, sharing a customer base and coordinating drug quantities and prices.
On July 15, 2022, officers with the Evansville Police Department stopped Jordan for speeding and a K9 officer indicated the presence of illegal drugs in the car. During a search of the car, officers located a grocery bag filled with approximately five and a half pounds of methamphetamine.
Law enforcement officer subsequently conducted a court-authorized search of Jordan’s home. During the search, officers found a Taurus 9 mm semiautomatic pistol, an Andro .223 rifle, ammunition for the firearms, and a digital scale.
Over the course of the conspiracy, the Jimenez duo was responsible for the distribution of at least twenty pounds, or more than nine kilograms, of methamphetamine.
“The methamphetamine ravaging our families and neighborhoods doesn’t come from thin air,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “Drug traffickers like the two men convicted in this case bring this poison from thousands of miles away and pump it onto our communities. We will continue to work with our partners at the DEA, the Evansville-Vanderburgh County Drug Task Force, and the Evansville Police Department to dismantle these meth trafficking conspiracies and hold these criminals accountable for the harm they cause.”
The Drug Enforcement Administration, Evansville-Vanderburgh County Drug Task Force, and Evansville Police Department investigated this case. This prosecution is also part of the Indiana High Intensity Drug Trafficking Areas (HIDTA) program. The sentences were imposed by U.S. District Court Judge Richard L. Young.
U.S Attorney Myers thanked Assistant United States Attorney Matthew B. Miller, who prosecuted this 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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New York Man Admits Laundering Proceeds of Elder Fraud and Computer Fraud SchemesRead the Press Release
NEWARK, N.J. – A Queens, New York, man today admitted that he illegally laundered the proceeds of elder fraud and computer fraud schemes, U.S. Attorney Philip R. Sellinger announced.
Hector Claveria, 51, of Elmhurst, New York pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to Count Two of the indictment charging him with international money laundering.
According to documents filed in this case and statements made in court:
In early 2020, Claveria acted as a money mule for a fraudulent scheme by picking up numerous packages that contained cash that he knew were proceeds of illegal activity. He then laundered some of this money in June 2020 by wiring $20,000 from his U.S. bank account to a foreign bank account. These funds were the proceeds of two fraudulent schemes: The first was an elder-fraud scheme in which the perpetrators tricked elder victims into believing that they owed money to various government agencies and companies, and then into sending payments to locations identified by the perpetrators. The second was a computer-fraud scheme in which perpetrators tricked victims into believing that they owed money to a computer services company, and then into sending payments to locations identified by the perpetrators, purportedly at the direction of the computer company. At the time Claveria wired the funds to a foreign account, he knew that the transfer was designed to conceal and disguise the nature of the funds.
The charge of international money laundering carries a maximum penalty of 20 years in prison and a maximum fine of $500,000 or twice the value of the monetary instrument or funds involved in the transportation, transmission, or transfer. Sentencing is scheduled for Dec. 19, 2024.
U.S. Attorney Sellinger credited special agents of the Social Security Administration Office, of the Inspector General, Boston-New York Field Division, under the direction of Acting Special Agent in Charge Bradley Parker.
The government is represented by Assistant U.S. Attorneys Chana Zuckier of the OCDETF Unit and Jennifer Kozar of the Economic Crimes Unit in Newark.
claveria.indictment.pdfMoorhead Man Pleads Guilty to Methamphetamine Distribution ConspiracyRead the Press Release
MINNEAPOLIS – A Moorhead man has pleaded guilty to his role in a methamphetamine distribution conspiracy, announced United States Attorney Andrew M. Luger.
According to court documents, beginning in April 2023 through February 23, 2024, Jamie Richard White, 46, knowingly and willingly entered into an arrangement in which he would acquire over 500 grams of methamphetamine with the intent to distribute it. On October 26, 2023, law enforcement executed a search warrant at his residence as part of investigating the alleged restraint of a woman in his basement. In his home, law enforcement found over 400 grams of powder fentanyl laced with the veterinary tranquilizer xylazine. Text messages on White’s cell phone confirmed that he planned to distribute the fentanyl/xylazine mixture. White was arrested, charged with several state crimes, taken into custody, and released on bond in December 2023.
While his state charges were pending, White continued to conspire to possess and distribute methamphetamine. On February 25, 2024, the U.S. Postal Inspection Service intercepted a parcel bound for an address in the Fargo-Moorhead area containing nine pounds of methamphetamine. Agents removed the methamphetamine and conducted a controlled delivery at the intended delivery address. Once delivered, law enforcement observed White’s co-conspirators retrieve and open the package and then leave. Shortly thereafter, law enforcement stopped the co-defendants and found one of them in possession of three additional pounds of methamphetamine. Law enforcement separately stopped White and found him in possession of an additional 125 grams of methamphetamine, digital scales, and other miscellaneous drug distribution materials. The investigation comprises the largest combined seizure of methamphetamine in Clay County, Minnesota.
White pleaded guilty yesterday in U.S. District Court before Judge Nancy E. Brasel to one count of conspiracy to distribute methamphetamine. Because he has multiple prior felonies, White is subject to a 15-year mandatory minimum prison term. A sentencing hearing will be scheduled at a later date.
This case is the result of an investigation conducted by the U.S. Postal Inspection Service, the Drug Enforcement Administration, the Clay County Sheriff’s Office, the Moorhead Police Department, and other supporting agencies.
Assistant U.S. Attorney Lauren O. Roso is prosecuting the case.
Minnesota Man Sentenced to over 19 Years in Federal Prison for Attempted Production of Child PornographyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced an Elmore, Minnesota, man convicted of Attempted Production of Child Pornography. The sentencing took place on August 8, 2024.
Mason Mensing, age 23, was sentenced to 19 years and five 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. Upon his release, Mensing must register as a sex offender.
Mensing was indicted by a federal grand jury in November of 2022. He pleaded guilty on May 21, 2024.
The conviction stemmed from incidents between August 17, 2022, and August 19, 2022, when Mensing pretended to be a high schooler in Minnesota and attempted to persuade a minor female in Sioux Falls, South Dakota, to send him nude images of herself. The minor female refused and told her parents, who then went to the police. After an undercover agent took over the minor’s Snapchat account, Mensing had several sexual conversations with the undercover agent. An examination of Mensing’s Snapchat account revealed that he had requested nude photos from multiple teenage girls in South Dakota and Minnesota.
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 Homeland Security Investigations and the Brookings Police Department. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Mensing was immediately remanded to the custody of the U.S. Marshals Service.
Mexican National Sentenced to 4 Years in Federal Prison for Trafficking FentanylRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that JOSE DE JESUS VEGA-CERVANTES, 45, a citizen of Mexico last residing in Norwalk, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 48 months of imprisonment trafficking fentanyl.
According to court documents and statements made in court, in July and August 2023, the Drug Enforcement Administration and Norwalk Police Department made controlled purchases of fentanyl from Vega-Cervantes. Vega-Cervantes was arrested on August 22, 2023, after he attempted to sell a kilogram of fentanyl to an individual working with law enforcement.
Vega-Cervantes has been detained since his arrest. He pleaded guilty on May 7, 2024.
Vega-Cervantes faces immigration proceedings when he completes his prison term.
This matter was investigated by the Drug Enforcement Administration and the Norwalk Police Department. The case was prosecuted by Assistant U.S. Attorney Lauren C. Clark.
Mexican Man Sentenced to Prison for Illegally Reentering the United States After Being Deported Two TimesRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to more than three months in federal prison.
Javier Santiz-Santiz, age 32, a citizen of Mexico illegally present in the United States and residing in Tama, Iowa, received the prison term after a June 12, 2014, guilty plea to one count of illegal reentry into the United States after having been deported.
At the guilty plea, Santiz-Santiz admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Santiz-Santiz was previously deported in January 2013 and February 2013. On May 2, 2024, immigration officials learned Santiz-Santiz had illegally returned to the United States and found Santiz-Santiz at the Tama County Jail following his arrest on state charges.
Santiz-Santiz was sentenced in Cedar Rapids by United States District Court Chief Judge C.J. Williams. Santiz-Santiz was sentenced to 98 days’ imprisonment. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Santiz-Santiz is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 34-CR-36.
Follow us on Twitter @USAO_NDIA.
Mexican Man Sentenced to Prison for Illegally Reentering the United States After Being Deported Two TimesRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to more than three months in federal prison.
Javier Santiz-Santiz, age 32, a citizen of Mexico illegally present in the United States and residing in Tama, Iowa, received the prison term after a June 12, 2014, guilty plea to one count of illegal reentry into the United States after having been deported.
At the guilty plea, Santiz-Santiz admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Santiz-Santiz was previously deported in January 2013 and February 2013. On May 2, 2024, immigration officials learned Santiz-Santiz had illegally returned to the United States and found Santiz-Santiz at the Tama County Jail following his arrest on state charges.
Santiz-Santiz was sentenced in Cedar Rapids by United States District Court Chief Judge C.J. Williams. Santiz-Santiz was sentenced to 98 days’ imprisonment. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Santiz-Santiz is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 34-CR-36.
Follow us on Twitter @USAO_NDIA.
Memphis Man Sentenced for Defrauding COVID-19 Relief Fund of More Than $2,000,000Read the Press Release
Memphis, TN – Dardanius Coleman, 55, of Memphis, was sentenced to 21 months in federal prison for defrauding the Paycheck Protection Program (PPP), a federal program administered by the Small Business Administration (SBA) designed to provide emergency financial assistance to small businesses affected by the COVID-19 pandemic. Kevin G. Ritz, United States Attorney for the Western District of Tennessee, announced the sentence today.
United States Attorney Ritz said: “This federal program was designed to lift hardworking citizens and small businesses in a time of need. Instead, the defendant in this case cheated the program and misused relief funds. I commend our federal law enforcement partners for helping to bring this defendant to justice. This office will continue to vigorously prosecute those who defraud COVID-19 relief programs.”
According to information presented in court, from April 2020 through November 2021, Coleman submitted fraudulent PPP applications for five purported businesses that he controlled. These applications contained false information and fake documents concerning the number of employees and the amount of payroll related to the purported businesses. Once Coleman received the loan proceeds, the monies were used for his personal benefit, not for the approved purposes for the funds such as rent or paying his employees.
This case was investigated by the Federal Bureau of Investigation (FBI) and the SBA Office of Inspector General.
“As we’ve seen in the aftermath of the COVID-19 pandemic, criminals will exploit any opportunity to take advantage of programs intended to help businesses and individuals,” said Special Agent in Charge Joseph E. Carrico of FBI Tennessee. “This sentencing demonstrates the ongoing commitment and dedication of the FBI to work with our partners to aggressively hold individuals accountable who perpetrate fraud against the American people.”
“This sentencing underscores our unwavering commitment to protecting the integrity of SBA programs,” said SBA – Office of the Inspector General’s Eastern Region Special Agent in Charge, Amaleka McCall-Braithwaite. “Fraudulent activities undermine the purpose of these essential programs, designed to support legitimate small businesses struggling during the pandemic. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their support and dedication to ensuring that those who exploit federal programs are held accountable.”
Coleman previously entered a guilty plea to a count of wire fraud. As a part of the sentence imposed, United States District Judge Thomas L. Parker also ordered Coleman to pay $2,093,318 in restitution to the SBA and serve a three-year term of supervision after release from custody.
United States Attorney Kevin G. Ritz thanked Assistant United States Attorney Tony Arvin, who prosecuted this case, as well as the law enforcement partners who investigated the case.
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For more information, please contact the Media Relations Team at [email protected]. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
McIntosh County Residents Sentenced for Federal Drug CrimesRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Doyle Lee Lafavor, age 53, and Jerry Eugene Teafatiller, age 40, both of Checotah, Oklahoma, were sentenced for federal drug charges. Lafavor was sentenced to 84 months in prison for one count of Possession with Intent to Distribute Methamphetamine, and Teafatiller was sentenced to 60 months for one count of Possession with Intent to Distribute Methamphetamine.
The charges arose from investigations by the Drug Enforcement Administration, the United States Postal Inspection Service, the Oklahoma Bureau of Narcotics, the McIntosh County Sheriff’s Office, and the District 25 District Attorney’s Office Drug and Violent Crime Task Force.
On October 11, 2023, Teafatiller pleaded guilty to one count of Possession with Intent to Distribute Methamphetamine. On October 12, 2023, Lafavor pleaded guilty to one count of Possession with Intent to Distribute Methamphetamine. According to investigators, during a traffic stop on April 17, 2023, law enforcement located approximately 430 grams of methamphetamine in a large plastic bag on the backseat floorboard and over 30 grams of methamphetamine on the center console of a vehicle occupied by Lafavor and Teafatiller.
The Honorable Ronald A. White, Chief U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearings. Lafavor and Teafatiller will remain in the custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve non-paroleable sentences of incarceration.
Assistant United States Attorney Erin Cornell represented the United States.
McCurtain County Resident Sentenced to Life for Sexually Abusing A ChildRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Brett Dewayne Cole, age 34, of McCurtain County, Oklahoma, was sentenced to life in prison for each of two counts of Aggravated Sexual Abuse in Indian Country and for one count of Abusive Sexual Contact in Indian Country. The sentences are to run concurrently.
The charges arose from an investigation by the McCurtain County Sheriff’s Office and the Federal Bureau of Investigation.
On March 7, 2023, Cole was found guilty by a federal jury. At trial, the United States presented evidence that from January to May of 2019, Cole sexually assaulted a minor female in his custody and care whom he knew to be under the age of twelve. Two other witnesses testified that Cole also assaulted them when they were under the age of twelve. The crimes occurred in McCurtain County, within the boundaries of the Choctaw Nation Reservation, in the Eastern District of Oklahoma.
“Thanks to the bravery of the victims who testified in this case, Mr. Cole will never again be able to abuse another child, and our community is a much safer place for everyone,” said Acting Special Agent in Charge Joseph Skarda of the FBI Oklahoma City Field Office. “The three life sentences handed down today plainly reflect the gravity of the crimes, along with the FBI’s commitment to putting child predators behind bars.”
“Mr. Cole’s appalling crimes against children warrant these life sentences,” said United States Attorney Christopher J. Wilson. “My heart goes out to the brave individuals who survived Mr. Cole’s assaults, and who summoned the courage necessary to report and provide witness to his crimes. Together with investigators and prosecutors, they have ensured that Mr. Cole is no longer at liberty to prey on others.”
The Honorable John F. Heil, III, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the sentencing hearing. Cole will remain in the custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Nicole Paladino represented the United States at the sentencing hearing.
McAllen man imprisoned for using Instagram to solicit sexual images from young childrenRead the Press Release
McALLEN, Texas – A 23-year-old man has been sentenced for attempting to coerce and entice a minor, announced U.S. Attorney Alamdar S. Hamdani.
Israel Ruiz pleaded guilty March 29.
Chief U.S. District Judge Randy Crane has now sentenced Ruiz to 210 months in federal prison. At the hearing, the court heard information regarding Ruiz’s methods of manipulation and extortion used against minor children to share photographs constituting child pornography. In handing down the prison terms, Judge Crane noted the danger this offense poses to the community. Ruiz must also serve five years of supervised release following his prison sentence. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Ruiz will also be ordered to register as a sex offender.
From January to February 2020, Ruiz used Instagram to solicit explicit images from children as young as nine.
The investigation revealed he used several tactics to obtain the pornographic materials including contacting the minor victims via the social media platform. He also intimidated the minors through threats to post other nude images of them or their friends online if additional images were not given to him.
He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI conducted the investigation.
Assistant U.S. Attorneys Cahal P. McColgan and Alexa D. Parcell prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
Marion Man Pleads Guilty to Receipt of Child PornographyRead the Press Release
A man who received child pornography pled guilty today in federal court in Cedar Rapids. Jeffrey Alan Bradley, age 50, from Marion, Iowa, was convicted of one count of receipt of child pornography.
In a plea agreement, Bradley admitted that between May 2020 and February 2022, he received at least 600 visual depictions of minors engaging in sexually explicit conduct. The depictions included material portraying sadistic or masochistic conduct or other depictions of violence, as well as the sexual abuse or exploitation of an infant or toddler. Law enforcement searched Bradley’s residence in February 2022, and recovered the child pornography.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Sentencing before United States District Court Chief Judge C.J. Williams will be set after a presentence report is prepared. Bradley remains in custody of the United States Marshal pending sentencing. Bradley faces a mandatory minimum sentence of 5 years’ imprisonment and a possible maximum sentence of 20 years’ imprisonment, $40,100 in special assessments, a $250,000 fine, and a life of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Devra T. Hake and was investigated by the Federal Bureau of Investigation. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 24-CR-40. Follow us on Twitter @USAO_NDIA.
Manchester Woman Sentenced to 72 Months in Federal Prison for Drug Distribution and Possession of a FirearmRead the Press Release
CONCORD – A Manchester woman was sentenced today in federal court on drug and firearm offenses, U.S. Attorney Jane E. Young announces.
Shannon Pellot-Sosa, 39, was sentenced by Chief U.S. District Judge Landya McCafferty to 72 months in prison and 3 years of supervised release. On April 30, 2024, Pellot-Sosa pleaded guilty to one count of conspiracy to distribute methamphetamine, one count of possession with intent to distribute controlled substances, and one count of possession of a firearm in furtherance of a drug trafficking crime.
On April 5, 2022 and April 14, 2022, law enforcement purchased methamphetamine from Pellot-Sosa and her co-defendant near Pellot-Sosa’s Manchester residence. On May 5, 2022, law enforcement executed a search warrant at Pellot-Sosa’s residence and seized approximately 612 grams of cocaine, 147 grams of methamphetamine, and 28 grams of fentanyl, along with two handguns, one of which was loaded with six rounds of ammunition.
“The distribution of bulk quantities of drugs like methamphetamine, fentanyl, and cocaine is, on its own, a serious federal offense,” said U.S. Attorney Young. “The possession of firearms by drug dealers exponentially compounds the risks to public safety. This office will continue to seek the heightened punishments provided by law for drug traffickers who choose to utilize guns as a tool of their trade.”
“The FBI and our partners will not let drugs and gun violence rip apart our communities,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “Today’s sentence puts Shannon Pellot-Sosa out of business for supplying a steady stream of methamphetamine, cocaine, and fentanyl to anyone willing to pay for it, reaping a profit from other people’s addiction, while possessing illegal firearms.”
The Federal Bureau of Investigation, Boston Division, and the Manchester Police Department led the investigation. This case was prosecuted by Assistant United States Attorney’s Jarad Hodes and Heather Cherniske.
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Liberian Citizen Admits to Unlawfully Possessing Two Firearms as a FelonRead the Press Release
ALBANY, NEW YORK – Mana Sambola a/k/a “Coffee,” age 41, a Liberian citizen residing in Saratoga Springs, New York, pled guilty today to illegally possessing two firearms.
United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Homeland Security Investigations (HSI), Buffalo, New York Field Office, made the announcement.
A search warrant executed at Sambola’s apartment on May 22, 2023, led to the recovery of a Glock 43 pistol; an Anderson Manufacturing AM15 assault rifle; and four boxes of ammunition. Sambola has prior felony convictions that prevent him from lawfully possessing those firearms and ammunition.
Sambola faces a maximum term of 15 years in prison; a fine of up to $250,000; and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
HSI investigated the case with the assistance of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); the Warren County District Attorney’s and Sheriff’s Offices; the New York State Police; and the Saratoga County Sheriff’s Office. Assistant U.S. Attorney Jonathan S. Reiner is prosecuting the case.
Kanawha County Man Pleads Guilty to Federal Gun CrimeRead the Press Release
CHARLESTON, W.Va. – Joseph Douglas Collier, 38, of Alum Creek, pleaded guilty today to being a felon in possession of a firearm.
According to court documents and statements made in court, on November 11, 2023, a law enforcement officer removed a Kimber model Tactical Pro II .45-caliber pistol from Collier’s possession after Collier allegedly brandished it outside a Charleston bar.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Collier knew he was prohibited from possession a firearm because of his prior felony conviction for possession with intent to deliver a controlled substance, cocaine, in Kanawha County Circuit Court on January 12, 2010.
Collier is scheduled to be sentenced on November 21, 2024, and faces a maximum penalty of 15 years in prison, up to three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Charleston Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
United States District Judge Irene C. Berger presided over the hearing. Assistant United States Attorney Samuel D. Marsh is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:24-cr-69.
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Justice Department Disrupts North Korean Remote IT Worker Fraud Schemes Through Charges and Arrest of Nashville FacilitatorRead the Press Release
Matthew Isaac Knoot, 38, of Nashville, Tennessee, was arrested today for his efforts to generate revenue for the Democratic People’s Republic of Korea’s (DPRK or North Korea) illicit weapons program, which includes weapons of mass destruction (WMD).
The FBI, along with the Departments of State and Treasury, issued a May 2022 advisory to alert the international community, private sector, and public about the North Korea IT worker threat. Updated guidance was issued in October 2023 by the United States and the Republic of Korea (South Korea) and in May 2024 by the FBI, which include indicators to watch for that are consistent with the North Korea IT worker fraud and the use of U.S.-based laptop farms.
According to court documents, Knoot participated in a scheme to obtain remote employment with American and British companies for foreign information technology (IT) workers, who were actually North Korean actors. Knoot allegedly assisted them in using a stolen identity to pose as a U.S. citizen; hosted company laptops at his residences; downloaded and installed software without authorization on such laptops to facilitate access and perpetuate the deception; and conspired to launder payments for the remote IT work, including to accounts tied to North Korean and Chinese actors.
“As alleged, this defendant facilitated a scheme to deceive U.S. companies into hiring foreign remote IT workers who were paid hundreds of thousands of dollars in income funneled to the DPRK for its weapons program,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “This indictment should serve as a stark warning to U.S. businesses that employ remote IT workers of the growing threat from the DPRK and the need to be vigilant in their hiring processes.”
“North Korea has dispatched thousands of highly skilled information technology workers around the world to dupe unwitting businesses and evade international sanctions so that it can continue to fund its dangerous weapons program,” said U.S. Attorney Henry C. Leventis for the Middle District of Tennessee. “Today’s indictment, charging the defendant with facilitating a complex, multi-year scheme that funneled hundreds of thousands of dollars to foreign actors, is the most recent example of our office’s commitment to protecting the United States’ national security interests.”
“As today’s charges demonstrate, the FBI will relentlessly pursue those who aid the North Korean government’s illegal efforts to generate revenue,” said Assistant Director Bryan Vorndran of the FBI’s Cyber Division. “Where illicit proceeds may be used to fund the regime’s kinetic capacity, we will prioritize our work to disrupt that flow of money. This indictment should demonstrate the risk faced by those who support the DPRK's malicious cyber activity.”
The DPRK has dispatched thousands of skilled IT workers to live abroad, primarily in China and Russia, with the aim of deceiving U.S. and other businesses worldwide into hiring them as freelance IT workers to generate revenue for its WMD programs. DPRK IT worker schemes involve the use of pseudonymous email, social media, payment platform and online job site accounts, as well as false websites, proxy computers, and witting and unwitting third parties located in the United States and elsewhere. As described in a May 2022 tri-seal public service advisory released by the FBI, the Department of the Treasury, and the Department of State, such IT workers have been known to individually earn up to $300,000 annually, generating hundreds of millions of dollars collectively each year, on behalf of designated entities, such as the North Korean Ministry of Defense and others directly involved in the DPRK’s UN-prohibited WMD programs.
The indictment unsealed today in the Middle District of Tennessee alleges that Knoot participated in a scheme to assist overseas IT workers to obtain remote IT work at U.S. companies which believed that they were hiring U.S.-based personnel. The IT workers, who were North Korean nationals, used the stolen identity of a U.S. citizen, “Andrew M.,” to obtain this remote IT work. The scheme defrauded U.S. media, technology, and financial companies, ultimately causing them hundreds of thousands of dollars in damages.
According to court documents, Knoot ran a “laptop farm” at his Nashville residences between approximately July 2022 and August 2023. The victim companies shipped laptops addressed to “Andrew M.” to Knoot’s residences. Following receipt of the laptops, and without authorization, Knoot logged on to the laptops, downloaded and installed unauthorized remote desktop applications, and accessed the victim companies’ networks, causing damage to the computers. The remote desktop applications enabled the North Korean IT workers to work from locations in China, while appearing to the victim companies that “Andrew M.” was working from Knoot’s residences in Nashville. For his participation in the scheme, Knoot was paid a monthly fee for his services by a foreign-based facilitator who went by the name Yang Di. A court-authorized search of Knoot’s laptop farm was executed in early August 2023.
The overseas IT workers associated with Knoot’s cell were each paid over $250,000 for their work between approximately July 2022 and August 2023, much of which was falsely reported to the Internal Revenue Service and the Social Security Administration in the name of the actual U.S. person, Andrew M., whose identity was stolen. Knoot and his conspirators’ actions also caused the victim companies more than $500,000 in costs associated with auditing and remediating their devices, systems, and networks. Knoot, Di, and others conspired to commit money laundering by conducting financial transactions to receive payments from the victim companies, transfer those funds to Knoot and to accounts outside of the United States, in an attempt both to promote their unlawful activity and to hide that transferred funds were the proceeds of it. The non-U.S. accounts include accounts associated with North Korean and Chinese actors.
Knoot is charged with conspiracy to cause damage to protected computers, conspiracy to launder monetary instruments, conspiracy to commit wire fraud, intentional damage to protected computers, aggravated identity theft and conspiracy to cause the unlawful employment of aliens. If convicted, Knoot faces a maximum penalty of 20 years in prison, including a mandatory minimum of two years in prison on the aggravated identity theft count.
Under the Department-wide “DPRK RevGen: Domestic Enabler Initiative,” launched in March 2024 by the National Security Division and the FBI’s Cyber and Counterintelligence Divisions, Department prosecutors and agents are prioritizing the identification and shuttering of U.S.-based “laptop farms” — locations hosting laptops provided by victim U.S. companies to individuals they believed were legitimate U.S.-based freelance IT workers — and the investigation and prosecution of individuals hosting them. Today’s announcement follows successful action taken by the Department in October 2023 and May 2024, which targeted identical and related conduct.
The FBI is investigating the case.
Assistant U.S. Attorney Josh Kurtzman for the Middle District of Tennessee and Trial Attorney Greg Nicosia of the National Security Division’s Cyber Section are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Justice Department Announces That It Will Provide Technical Assistance to the Boston Police Department under COPS Office’s Collaborative Reform InitiativeRead the Press Release
The Justice Department’s Office of Community Oriented Policing Services (COPS Office) today announced it will engage with the Boston Police Department (BPD) through the COPS Office Collaborative Reform Initiative’s Critical Response program.
The COPS Office, in conjunction with the National Policing Institute (a Critical Response provider), will provide a review and assessment of operations within BPD’s Human Resources section to determine whether processes and structures within this area can be adapted to increase operational efficiencies and effectiveness.
“We applaud the Boston Police Department for requesting this review,” said Acting Associate Attorney General Benjamin C. Mizer. “We know that agencies that are transparent about the work that they do and how they do it increase their ability to build public trust and advance public safety.”
“The COPS Office has been able to see first-hand the positive changes that agencies undergo when they commit to the type of assistance offered under our Critical Response program,” said Director Hugh T. Clements, Jr. of the COPS Office. “And that commitment, in turn, has a big impact on public trust.”
The Collaborative Reform Initiative encompasses three programs offering expert services to state, local, territorial, and Tribal law enforcement agencies: the Collaborative Reform Initiative Technical Assistance Center, Critical Response, and Organizational Assessment programs (complete details of these programs can be found at cops.usdoj.gov/collaborativereform). Managed out of the COPS Office, this continuum of services is designed to build trust between law enforcement agencies and the communities they serve; improve operational efficiencies and effectiveness; enhance officer safety and wellness; build agencies’ capacity for organizational learning and self-improvement; and promote community policing practices nationwide.
The Critical Response program is designed to provide targeted technical assistance (TA) to state, local, territorial, and Tribal law enforcement agencies experiencing high-profile events, major incidents, or sensitive issues of varying need. Critical Response is highly customizable by providing flexible assistance to law enforcement agencies that have recently experienced a critical incident or identified an issue of significant community concern in their department’s operations. The TA generally falls into three categories: (1) immediate delivery of TA to address a pressing and acute need, (2) data analysis, and (3) after-action reviews to understand and learn from law enforcement and public safety responses to critical incidents or issues.
The COPS Office is the federal component of the Justice Department responsible for advancing community policing nationwide. The only Justice Department agency with policing in its name, the COPS Office was established in 1994 and has been the cornerstone of the nation’s crime fighting strategy with grants, a variety of knowledge resource products, and training and technical assistance. Through the years, the COPS Office has become the go-to organization for law enforcement agencies across the country and continues to listen to the field and provide the resources that are needed to reduce crime and build trust between law enforcement and the communities served. The COPS Office has been appropriated more than $20 billion to advance community policing, including grants awarded to more than 13,000 state, local, territorial, and Tribal law enforcement agencies to fund the hiring and redeployment of approximately 138,000 officers.
Jury Finds District Man Guilty of Assault with Intent to Kill While Armed of a 6-Year-Old in Southeast Washington D.C.Read the Press Release
WASHINGTON –A Superior Court jury found Deon Cannon, 30, of Washington, D.C., guilty of assault with intent to kill while armed of a minor and other charges in a late-afternoon shooting that took place on Labor Day weekend in 2021 on Terrace Road SE at Naylor Gardens, announced U.S. Attorney Matthew Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Cannon also was found guilty of assault with intent to kill while armed, assault with a dangerous weapon, assault with a dangerous weapon committed against a minor, possession of a firearm during a crime of violence, unlawful possession of a firearm, carrying a pistol without a license, possession of a large capacity ammunition feeding device, possession of an unregistered firearm and unlawful possession of ammunition. The verdict was returned on August 7, 2024, following a trial in the Superior Court of the District of Columbia.
The Honorable Judge Rainey Brandt scheduled sentencing for October 11, 2024. Cannon faces a maximum sentence of 35 years in prison.
According to the government’s evidence, at approximately 5:40 p.m. on September 5, 2021, Cannon was pacing the sidewalk of Terrace Road SE, waiting for the victim to walk in that direction. The victim was walking from the playground with his 6-year-old son when Cannon fired two rounds aimed directly at the victims. In defense of his son, the father fired back. A second shooter came from around the corner and fired 17 more rounds aimed at the victim while his son ran away.
Cannon followed the victims and was seen by officers within minutes of the shooting. He fled but was later caught and arrested. He has been in custody since.
Detectives with the Metropolitan Police Department recovered surveillance video from the residences in the area that captured the shooting. At the time of Cannon’s arrest, he was wearing clothing that matched that worn by the suspect in the surveillance video. Additionally, the government presented DNA and ballistics evidence.
This case was investigated by the Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
This case was prosecuted by Assistant United States Attorneys Sara Matar and Mark Levy of the U.S. Attorney’s Office for the District of Columbia.
Jury Finds District Man Guilty of Armed RobberyRead the Press Release
WASHINGTON – A Superior Court jury found Maunyae Worsley, 18, of Washington, D.C., guilty of armed robbery and other charges arising from a robbery of a Northeast gas station, announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Worsley was also found guilty of possessing a firearm during a crime of violence, possession of an unregistered firearm, and unlawful possession of ammunition. The verdict was returned on August 8, 2024.
The Honorable Jason Park scheduled sentencing for October 18, 2024.
According to the government’s evidence, on April 9, 2024, at approximately 3:47 a.m., Worsley went to the Exxon gas station in the Brookland neighborhood. The lone attendant was outside the store, putting up a sign in the window. As the attendant went back inside, Worsley pulled out a tan semiautomatic pistol, grabbed the attendant, and forced him into the employees-only section. Worsley took approximately $5,000 from the cash register and a file cabinet before fleeing the scene.
The next day, MPD officers were executing an unrelated search warrant at Worsley’s home when they recovered a tan Glock 19X semiautomatic pistol from Worsley’s bedroom. Officers also recovered a jacket, sweatpants, and shoes from Worsley’s bedroom that matched the clothing the defendant wore during the robbery. Subsequent investigation found that Worsley was wearing a GPS monitor, and his GPS records placed him at the scene of the robbery.
Worsley was arrested during the execution of the search warrant on April 10, 2024, and he has been in custody since.
In announcing the verdict, U.S. Attorney Graves and Chief Smith commended the work of those who investigated the case from the Metropolitan Police Department.
Finally, they commended the work of Assistant U.S. Attorneys Ella Gladman and Will Lawrence, who prosecuted the case.
Jury Convicts Cedar Rapids Man of Attempted Sex Trafficking of a Child and Destruction of EvidenceRead the Press Release
A man who attempted to solicit a minor to engage in prostitution was convicted by a jury on Wednesday, August 7, 2024, after a two-day trial in federal court in Cedar Rapids.
Joshua Johnson, age 50, of Cedar Rapids, Iowa, was found guilty of attempted sex trafficking of a child and destruction of evidence.
The evidence at trial showed that, in December 2023, Johnson responded to an ad on a website for prostitution. He exchanged text messages with a person who stated that she was 13 years old; she actually was an undercover law enforcement officer. Johnson sent messages describing sex acts he could perform with the minor, and he traveled to Hiawatha, Iowa, to meet with her. After meeting with officers, Johnson wiped his cell phone.
Sentencing before United States District Court Chief Judge C.J. Williams will be set after a presentence report is prepared. Johnson remains in custody of the United States Marshal pending sentencing. Johnson faces a mandatory minimum sentence of 15 years imprisonment and a possible maximum sentence of life imprisonment, a $500,000 fine, $5,200 in special assessments, and supervised release for 5 years to life following any imprisonment.
This case is being prosecuted by Assistant United States Attorney Mark Tremmel and was investigated by the Federal Bureau of Investigation, Homeland Security Investigations, the Iowa Division of Criminal Investigation, and the Hiawatha Police Department.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 24-38.
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Jamaican National Indicted for an Alleged Lottery Scheme That Defrauded Victims of More Than $9.5 MillionRead the Press Release
Baltimore, Maryland – Today Nickoy Campbell, age 29, of Jamaica, had an initial appearance on a superseding indictment for conspiracy to commit mail fraud in connection with a lottery scheme.
The second superseding indictment was announced by Erek L. Barron, U.S. Attorney for the District of Maryland; Postal Inspector in Charge Damon E. Wood of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge Michael McCarthy of Homeland Security Investigations (HSI) Baltimore; and Chief Malik Aziz of the Prince George’s County Police Department.
According to the indictment, from October 2020 until February 2024, the defendants and their co-conspirators contacted the victims by mail or over the phone and convinced them that they had won millions of dollars in a lottery or sweepstakes but were required to send payment in advance for taxes and other fees before they could receive their winnings. The defendants and other conspirators caused the victims to send payments for the purported taxes and other fees through wire transfer, by gift card, by sending cash and by other payment methods. According to the indictment, as a result of the scheme, the victims sent at least $9.5 million to the defendants and other conspirators.
Wayne Henry and Dwayne Henry of Landover Hills, Maryland were charged previously with conspiracy to commit mail fraud as part of the same lottery scheme.
If convicted, Campbell faces a maximum sentence of 20 years in federal prison for the mail fraud conspiracy. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. At today’s initial appearance in U.S. District Court in Baltimore, U.S. Magistrate Judge Charles D. Austin ordered that Campbell be detained.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Reporting from consumers about fraud and fraud attempts is critical to law enforcements efforts to investigate and prosecute schemes targeting older adults. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice Hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying next steps, including identifying appropriate reporting agencies, providing information to callers to assist them in reporting or connecting them with agencies, and providing resources and referrals on a case-by-case basis. The hotline is staffed from 10:00 a.m. to 6:00 p.m. Monday through Friday. English, Spanish, and other languages are available. More information about the Department’s elder justice efforts can be found on the Department’s Elder Justice website, www.elderjustice.gov. Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324.
U.S. Attorney Barron commended the U.S. Postal Inspection Service, HSI, United States Department of the Treasury, Office of Inspector General and the Social Security Administration Office of Inspector General for their work in the investigation and thanked the Maryland State Police, Baltimore County Police, and Anne Arundel County Police for their assistance. Mr. Barron thanked Assistant U.S. Attorneys Evelyn Lombardo Cusson and Christine Goo, who are prosecuting the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help seniors, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/elder-justice-initiative.
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International Fugitive Sentenced to Federal Prison for Stealing over $10 Million from a New Hampshire Investment CompanyRead the Press Release
CONCORD – A Guatemalan man was sentenced today in federal court in Concord for stealing over $10 million from a New Hampshire-based investment company, U.S. Attorney Jane E. Young announces.
Roberto Montano, a/k/a Jorge Roberto Montano Midence, a/k/a Roberto Pellegrini, a/k/a Alberto Yardi, 58, was sentenced by U.S. District Court Judge Landya B. McCafferty to 60 months in prison and one year of supervised release. On February 13, 2024, Montano pleaded guilty to one count of wire fraud.
“The defendant’s theft was egregious. Over the course of several years, he stole more than $10 million and squandered the funds on a series of failed investments. In addition, after the fraud was uncovered, the defendant fled the United States, evading law enforcement for almost a decade before he was arrested,” said U.S. Attorney Jane E. Young. “This conviction and sentence underscore that this office and our law enforcement partners across the world will never stop to bring fraudsters to justice.”
“Robert Montano actively led his client to believe they were investing responsibly, putting their money into low-risk projects. But as his lies continued and the losses mounted to $10 million, Mr. Montano engaged in a cover-up, trying to conceal this staggering fraud before fleeing the U.S.,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “Simply put, this case is about greed and the serious abuse of trust. Today’s sentence holds Mr. Montano accountable for his clear disdain for the law, and highlight’s the FBI’s determination to bring financial fraudsters like him to justice, no matter where in the world they try to hide.”
Montano is a Guatemalan citizen who managed two forestry projects in Guatemala for a New Hampshire-based investment adviser between 2007 and 2014. Beginning in approximately late 2009, Montano embezzled the projects' funds by (1) diverting cash and concealing the diversions using altered bank and financial statements; (2) mortgaging the projects’ properties without authorization and investing the proceeds in failed business ventures; and (3) stealing teak forestry subsidies paid by the Guatemalan government. To conceal his embezzlement, Montano altered or deleted entries in financial statements and moved funds back-and-forth between accounts during audits. For example, the defendant provided the victim a false bank statement reporting that one of the bank accounts had a cash balance of approximately $1,147,604 when it actually had a zero balance.
After Montano was alerted to an investigation into the fraud in 2014, he participated in a Skype call with the victim in which he admitted to embezzling funds “many years ago.” He admitted he “cooked the books” and “illegally” mortgaged properties. At the time, Montano was in Miami and promised that he would travel to New England. He also said he would not flee and added, “If I have to go to prison, I’ll go to prison.”
Montano instead fled the United States for Guatemala. While in Guatemala, the defendant participated in another call with the victim where he again admitted to embezzlement and fraud totaling approximately $10 million. However, the defendant was also wanted by Guatemalan authorities, and he moved to Nicaragua, where he has been living for several years under an alias. Most recently, Montano was known as “Alberto Yardi,” a purported life coach and yoga instructor.
Since 2014, the FBI was actively engaged in efforts to locate and arrest Montano. In 2022, the FBI received multiple reports that Montano was living in a resort town on the Pacific Coast in Nicaragua. After that, Montano agreed to meet with federal agents at the airport in Managua, Nicaragua, and flew to Miami International Airport. Once he was arrested in Miami, Montano provided law enforcement a five-page document admitting his guilt. The first two sentences read, “I am guilty. I abused the trust [the victim] placed in me.”
After Montano completes his sentence in the United States, he faces deportation to Guatemala, where he is charged with additional offenses.
The FBI led the investigation. Valuable assistance was provided by the International Criminal Police Organization (INTERPOL), Republic of Guatemala, the FBI’s Legal Attaché in Panama City, Panama, the FBI Miami Field Office, the U.S. Department of Homeland Security, the U.S. State Department, specifically the U.S. Embassy in Managua, Nicaragua, and the Embassy of Italy in Managua, Nicaragua. Assistant U.S. Attorney Alexander S. Chen prosecuted the case.
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Illinois Man Charged with Robbing Credit UnionRead the Press Release
URBANA, Ill. – A grand jury returned an indictment on August 6, 2024, charging Troy D. Burke, 41, with robbing the Community Plus Federal Credit Union in Rantoul, Illinois, on June 20, 2024.
Burke was arrested in Rantoul on June 20, 2024, by officers of the Rantoul Police Department and has remained in the custody of law enforcement since that date. He was initially charged by the Champaign County State’s Attorney’s Office and later charged by federal complaint.
If convicted, the maximum statutory penalties for the crime charged are up to 20 years of imprisonment, up to a $250,000 fine, and up to three years of supervised release.
Agencies participating in the investigation include the Rantoul Police Department; the Federal Bureau of Investigation, Springfield Field Office; and the Champaign County State’s Attorney’s Office. Assistant U.S. Attorney William J. Lynch is representing the government in the prosecution.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Honduran National Indicted for Alleged Armed Robberies of Two Austin StoresRead the Press Release
AUSTIN, Texas – A federal grand jury in Austin returned an indictment charging a Honduran national with four counts related to Hobbs Act robbery and firearm offenses.
According to court documents, Christian Lopez-Burgos, 25, allegedly committed an armed robbery of two Austin convenience stores on or about Dec. 31, 2023 and Feb. 3, 2024. During the first robbery, Lopez-Burgos allegedly brandished a firearm. During the second robbery, he allegedly fired a pistol at a victim three times and pointed it at two others.
Lopez-Burgos is charged with two counts of Hobbs Act robbery, one count of brandishing a firearm during and in relation to a crime of violence, and one count of discharging a firearm during and in relation to a crime of violence. If convicted, he faces up to 20 years in prison for each Hobbs Act violation, a minimum of seven years in prison for the brandishing charge, and a minimum of 10 years in prison for the discharge offense years in prison. Federal law provides that any punishment imposed as to the firearms charges is to run consecutively to any other sentence imposed. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
The FBI, Austin Police Department, San Marcos Police Department and Houston Police Department are investigating the case.
Assistant U.S. Attorney Gabriel Cohen is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###Hardin man sentenced to seven years in prison for role in shooting death on Crow Indian ReservationRead the Press Release
BILLINGS — A Hardin man who admitted he hindered a murder investigation into the 2023 shooting death of another man on the Crow Indian Reservation was sentenced today to seven years in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
The defendant, Garrell Robert Snell, 34, pleaded guilty in April to accessory after the fact.
U.S. District Judge Susan P. Watters presided. The court also ordered $7,997 restitution.
The government alleged in court documents that on Jan. 18, 2023 at Crow Agency, on the Crow Indian Reservation, a gunshot victim was driven to the emergency room at the IHS Crow/Northern Cheyenne Hospital, where the victim, a man, was pronounced dead upon arrival. The driver initially lied to law enforcement about where the driver had found the victim. Snell also lied to law enforcement that day about how and where the murder took place, which delayed the investigation of the scene until the next day. Law enforcement learned that the victim was shot outside of a residence on Crow River Road.
Law enforcement obtained a federal search warrant and analyzed an SD card from exterior security cameras on the residence. Initially, nothing of any evidentiary value was recovered from the SD card. But in February 2024, the SD card was again analyzed, and video was recovered. The video does not show the murder but contains footage before and after the murder. The government further alleged that the video shows the victim lying on snow-covered ground in the yard before he was picked up and put into the vehicle used to take him to the hospital. After the vehicle leaves, the video shows Snell and another individual cleaning the snow-covered area where the victim had been lying by moving snow with a shovel, broom, hands and feet. The footage also appears to show Snell and the other individual picking up items from the snow-covered area. Two bullets retrieved from the victim’s body and shell casings recovered from the area that was cleaned by Snell and the other individual were determined to have been fired from the same gun. The gun has not been recovered.
The U.S. Attorney’s Office prosecuted the case. The FBI and Bureau of Indian Affairs conducted the investigation.
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Hancock County Man Sentenced to Federal Prison for Possession of More than 25 Stolen Firearms and a Pipe BombRead the Press Release
A man who was found with more than 25 stolen firearms and explosives was sentenced July 31, 2023, to 2 years in federal prison.
Tommy Gretillat, age 44, from Corwith, Iowa, received the prison term after a February 5, 2024, guilty plea to possession of a firearm by a felon.
Evidence in the case revealed that when Hancock County Sheriff’s deputies executed a search warrant at Gretillat’s residence related to an investigation into multiple burglaries in the Humboldt County area, he was found to have more than 25 stolen firearms, explosives or destructive devices, a pipe-bomb, as well as other stolen property.
Gretillat’s criminal history includes several burglary convictions and a previous conviction for possession of a firearm by a felon, all of which precluded his lawful possession of firearms.
Gretillat was sentenced in Sioux City by United States District Court Judge Leonard T. Strand to 24 months’ imprisonment. He must also serve a 2-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Gretillat is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by Hancock County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-3004.
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