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Thursday 1 August 2024
Latimer County Resident Pleads Guilty to Involuntary ManslaughterRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that David Lee Holloway, age 40, of Wilburton, Oklahoma, entered a plea of guilty to one count of Involuntary Manslaughter in Indian Country.
The Indictment alleged that on February 16, 2023, Holloway killed the victim while operating a motor vehicle under the influence of any intoxicating substance other than alcohol.
At the plea hearing, Holloway admitted that his actions caused the death of one person and inflicted serious bodily injury to another.
The crime occurred in Latimer County, within the boundaries of the Choctaw Nation Reservation, in the Eastern District of Oklahoma.
The charges arose from investigations by the Choctaw Nation Lighthorse Police Department, the Oklahoma Highway Patrol, and the Federal Bureau of Investigation.
The Honorable D. Edward Snow, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report. Holloway was remanded to the custody of the United States Marshal Service pending sentencing.
Landlord Sentenced to 15 Years in Prison for Possessing Child Sexual Abuse MaterialRead the Press Release
ALBANY, Ga. – A retired South Georgia school teacher and landlord was sentenced to serve 15 years in prison for possessing hundreds of images of child sexual abuse material after police first discovered hidden cameras he had placed inside his rental property’s bathroom recording young children bathing and undressing.
David Swanson, 61, was sentenced to serve 180 months in prison to be followed by ten years of supervised release by U.S. District Judge W. Louis Sands on July 31. In addition, Swanson will have to register as a sex offender upon release from prison. Swanson previously pleaded guilty to one count of possessing child pornography. The defendant is not eligible for parole.
“Child predators caught secretly filming unsuspecting and innocent young children and possessing all manners of child sexual abuse material will face justice for these crimes,” said U.S. Attorney Peter D. Leary. “Law enforcement and prosecutors at every level across the Middle District of Georgia remain tireless in our pursuit of child predators out to harm our most vulnerable citizens.”
“The home should be a refuge for a family, particularly children. To violate that sanctuary is unforgivable, especially in such a reprehensible way,” said Jennifer Huerta, the Acting Special Agent in Charge of HSI Atlanta that oversees Georgia and Alabama. “Let this sentence serve as a reminder that HSI and its law enforcement partners are committed to investigating and holding offenders like Swanson accountable.”
According to court documents and statements referenced in court, a concerned citizen notified Ray City Police on March 1, 2023, that she found a hidden camera in the home she rented from Swanson. The responding officer located a camera hidden in the bathroom’s ceiling plugged into an extension cord that ran through the attic. The officer also found two more cameras hidden in electrical outlets in the same bathroom. The SD cards from the cameras contained images of four children between the ages of one to 12, changing clothes and using the toilet. There was also a video clip of Swanson stepping on the toilet, reaching towards the ceiling and then placing a small black object in his pocket. The numerous videos depicting nude minor children bathing and using the toilet were all recorded between Jan. 21, 2023, and Feb. 28, 2023.
Authorities checked Swanson’s other properties in Lowndes County and did not find additional cameras at the other residences. A search warrant was executed at Swanson’s Valdosta residence on March 3, 2023. Agents found approximately 750 images and videos of child sexual abuse material (CSAM)—also known as child pornography—on his electronic devices. Some of the material included children nude in bathrooms, as well as minors engaged in sexually explicit conduct. A review of Swanson’s laptop showed peer-to-peer programs had been loaded on the laptop and a search of the history revealed evidence of Swanson downloading pre-teen hardcore and evidence of a file named “child porn” that had been downloaded to what appeared to be an external drive. Swanson had recently retired as a teacher in the Lowndes County School System.
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 www.projectsafechildhood.gov.
The case was investigated by the Berrien County Sheriff’s Office, the Lowndes County Sheriff’s Office, the Ray City Police Department and Homeland Security Investigations (HSI).
Assistant U.S. Attorney Crawford Seals prosecuted the case for the Government.
Lame Deer meth trafficker sentenced to five years in prisonRead the Press Release
MISSOULA — A Lame Deer man who admitted to distributing methamphetamine and acting as a drug debt collector on the Northern Cheyenne Indian Reservation was sentenced on Wednesday to five years in prison, to be followed by five years of supervised release, U.S. Attorney Jesse Laslovich said today.
The defendant, James “JC” Luis Costilla, 37, pleaded guilty in March to possession with intent to distribute meth.
U.S. District Judge Dana L. Christensen presided.
The government alleged in court documents that in September 2021 on the Northern Cheyenne Indian Reservation, Costilla was with a group of four individuals who were in a car stopped by law enforcement. Costilla distributed meth and worked as a collector for drug debts for his co-conspirators. In Costilla’s car, law enforcement found meth and three firearms--an AR rifle, a shotgun and a handgun. Co-defendant Jamesey Jefferson was sentenced to seven years in prison for her conviction in the case, and co-defendant Ivan Eaglefeathers was sentenced to six years in prison for his conviction in the case.
The U.S. Attorney’s Office prosecuted the case. The FBI and Bureau of Indian Affairs investigated the case.
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Lame Deer man sentenced to 10 years in prison for attempting to coerce and pay for sex with minors on Northern Cheyenne Indian ReservationRead the Press Release
BILLINGS — A Lame Deer man who admitted to attempting to have sex with two minor girls on the Northern Cheyenne Indian Reservation was sentenced today to 10 years in prison, to be followed by 10 years of supervised release, U.S. Attorney Jesse Laslovich said.
The defendant, Travis Dean Two Two, Sr., 36, pleaded guilty in March to attempted coercion and enticement and to attempted sex trafficking of a minor.
U.S. District Judge Susan P. Watters presided.
“Two Two is a predator who used social media to contact and communicate with juvenile girls for sexually explicit conduct for his own gratification. Prior to the initiation of this case, Two Two was a danger to children, especially girls of the Northern Cheyenne Nation. For at least the next 10 years, he’ll no longer be a threat to them,” U.S. Attorney Laslovich said.
In court documents, the government alleged that from about May 2023 to August 2023, in Lame Deer and Ashland, on the Northern Cheyenne Indian Reservation, Two Two communicated through Facebook with a 14-year-old girl, identified as Jane Doe 1, who was living on the Northern Cheyenne Reservation. The communications were made available to law enforcement, and law enforcement obtained consent to take over Doe 1’s account and communicate with Two Two. The communications became increasingly sexual. Two Two requested naked pictures of Doe 1 and made plans to meet with her for sex. Ultimately, Two Two discussed meeting Doe 1 at the MontanaFair in Billings, indicated he wanted to take nude pictures of her and “maybe make a video” of sex acts with her. He noted that he “like[s] them young.” Law enforcement arrested Two Two on Aug. 19, 2023 as he was leaving the MontanaFair.
The government further alleged that from about June 2023 until September 2023, at Lame Deer, Two Two attempted to engage a minor girl in commercial sex. In August 2023, law enforcement interviewed a 16-year-old girl, identified as Jane Doe 2, who indicated she had met Two Two in 2021 and that they had communicated though text messages in the summer of 2023. Doe 2 told law enforcement Two Two provided her with marijuana and that in exchange, Two Two began asking for sex acts to pay for the drug. Doe 2 indicated that she allowed this to occur on a couple of occasions.
The U.S. Attorney’s Office prosecuted the case. The FBI, Montana Division of Criminal Investigation, and Northern Cheyenne Investigative Services conducted the investigation.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Lady Lake Man Sentenced to More Than 11 Years in Prison for Possession of Child Sexual Abuse MaterialRead the Press Release
Ocala, FL – Senior United States District Judge Gregory A. Presnell has sentenced Aaron Taylor Lemire (29, Lady Lake) to 11 years and 3 months in federal prison, followed by 10 years of supervised release, for possession of child sexual abuse material. Lemire entered a guilty plea on February 6, 2024.
According to court documents, after an undercover detective received child sexual abuse images from Lemire, agents executed a search warrant on Lemire’s residence and seized his electronic devices. A forensic review of those devices revealed more than 100 files of child sexual abuse material depicting the abuse of children as young as six years old.
This case was investigated by the Seminole County Sheriff’s Office and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Belkis H. Crockett.
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 United States Attorneys’ Offices and the Criminal Division’ Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Konawa Resident Sentenced for Involuntary Manslaughter in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Kristy Renee Zapata-Gutierrez, age 35, of Konawa, Oklahoma, was sentenced to 30 months in prison for one count of Involuntary Manslaughter in Indian Country.
The charge arose from an investigation by the Oklahoma Highway Patrol, the Seminole Nation Lighthorse Police, and the Federal Bureau of Investigation.
On October 31, 2023, Zapata-Gutierrez pleaded guilty to causing the death of another while driving under the influence and in an unsafe manner. According to investigators, on the morning of March 19, 2023, while under the influence of amphetamine, methamphetamine, and clozapine, Zapata-Gutierrez pulled out onto State Highway 99 in front of oncoming traffic, causing a fatal collision. Zapata-Gutierrez’s passenger died from multiple blunt force injuries. The crime occurred in Seminole County, within the boundaries of the Seminole Nation Reservation, in the Eastern District of Oklahoma.
The Honorable Ronald A. White, Chief District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Zapata-Gutierrez will report to a designated Bureau of Prisons facility on August 29, 2024, to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Kevin Gross represented the United States.
Kennedale Tax Preparer Sentenced to 6+ Years in PrisonRead the Press Release
A Texas tax preparer who pleaded guilty to a $2.6 million tax fraud was sentenced to more than six years in federal prison, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Anthony “Tony” Floyd, 51, was charged in June 2023 with ten counts of aiding in the preparation and presentation of false tax returns. On the morning of his trial, shortly after a jury was seated, Mr. Floyd pleaded guilty to all 10 charges. He was sentenced Monday to 77 months in federal prison by U.S. District Judge Mark Pittman, who also ordered him to pay more than $1.9 million in restitution.
According to court documents, Mr. Floyd filed approximately 400 fraudulent tax returns that included false information designed to increase the amount of refund owed to the taxpayer.
He recruited victim “clients” outside big box stores and through other clients. He obtained their personal information, such as income and deduction information, via text or cell phone conversations, rarely meeting clients in person. Mr. Floyd purposely submitted the returns without reviewing with the taxpayer, then diverted all or most of the refund to his own account.
The resultant tax loss to the United States exceeded $2.6 million.
The tax filings included falsified W2s – filed on behalf of individuals purportedly working in catering, lawn care, event planning, interior décor, and other professions -- and included nonexistent charitable deductions, nonexistent college attendance, and even fictitious relatives.
“Mr. Floyd’s sentencing sends a message that tax fraud is not a victimless crime,” said Christopher J. Altemus Jr., Special Agent in Charge of the IRS Criminal Investigation’s Dallas Field Office. “Mr. Floyd took advantage of his neighbors by preparing fraudulent tax returns and trying to steal approximately $2 million from the U.S. government. His sentence of 77 months in prison holds him accountable for his crimes.”
“Everyone must ensure what is submitted is true and accurate when filing their taxes, even if they are prepared by a professional,” Mr. Altemus added.
IRS – Criminal Investigations conducted the investigation. Assistant U.S. Attorneys P.J. Meitl, Nancy Larson, and Mark Nicols (fmr) prosecuted the case.
Kagawaran ng Hustisya Nakuha ang Makasaysayang Kasunduan sa County ng Los Angeles upang Madagdagan ang Aksesibilidad para sa Botanteng may mga KapansananRead the Press Release
Inanunsyo ngayong araw ng Kagawaran ng Hustisya na naabot nito ang makasaysayang kasunduan sa County ng Los Angeles upang maresolba ang isinampa nitong kaso na nagsasabing nilabag ng county ang Batas sa mga Amerikanong may mga Kapansanan (Americans with Disabilities Act, ADA) sa pamamagitan ng pagkakait sa mga botanteng may mga kapansanan ng pantay na oportunidad na makibahagi sa mga programa, serbisyo at aktibidad nito ng pagboto noong nabigo ito sa pagpili at paggamit ng mga pasilidad sa mga lugar ng botohan na maa-access ng mga taong may mga kapansanan.
"Ang mga taong may mga kapansanan ay nararapat na ganap na mapabilang sa kahon ng balota," wika ng Katulong na Pangkalahatang Abogado na si Kristen Clarke ng Dibisyon para sa mga Karapatang Sibil ng Kagawaran ng Hustisya. "Nakatuon ang Kagawaran ng Hustisya sa pagprotekta sa karapatan ng bawat karapat-dapat na botante, kabilang ang mga botanteng may mga kapansanan, upang makibahagi sa ating proseso ng halalan. Ang kasunduang ito ay dapat maghatid ng mensahe sa mga opisyal sa buong bansa hinggil sa pangangailangan na matiyak ang aksesibilidad ng proseso ng pagboto sa kasalukuyan."
"Ang karapatang bumoto ay mahalaga sa ating demokrasya at kailangang maprotektahan para lahat ng botante," wika ng Abogado ng U.S. na si Martin Estrada para sa Pangunahing Distrito ng California (Central District of California). "Ang mga botanteng may mga kapansanan ay nararapat sa pantay sa oportunidad na bumoto sa personal, nang pribado at nang malaya, kasama ang kanilang mga kapitbahay at kaibigan. Pinupuri namin ang County ng Los Angeles sa pangako nitong makipagtulungan sa Kagawaran ng Hustisya upang matiyak ang pantay na pag-access para sa mga indibidwal na may mga kapansanan."
Isinampa ang kaso noong Hunyo 2023 pagkatapos ng mahabang imbestigasyon na natagpuan na hindi isinama ng county ang mga indibidwal na may mga kapansanan sa pagsali sa sa-personal na programa ng pagboto sa county. Ang Tanggapan para sa Pangunahing Distrito ng California (Office for the Central District of California) ng Abogado ng U.S. ay nagsarbey ng daan-daang lugar ng botohan sa mga halalan noong Hunyo 2016, Marso 2020, Nobyembre 2020 at Nobyembre 2022 at natagpuan na ang karamihan ay may mga arkitektural na hadlang, tulad ng matatarik na rampa, biglaang mga pagbabago ng taas ng mga lalakaran at pintong papasukan, at kakulangan ng maa-access na paradahan. Ang mga hadlang na ito ay pumigil sa mga taong may mga kapansanan sa pagkilos at paningin na makapunta sa mga sentro ng botohan nang ligtas at bumoto sa personal. Sinasabi rin sa kaso na ang programa ng pagboto sa bangketa (curbside voting program) ng county ay hindi ma-access, dahil may ilang sentro ng botohan na kulang sa karatula na nagsasaad na mayroong pagboto sa bangketa o nabigo sa pagkakaloob ng sapat na pamamaraan kung saan kayang makipag-ugnayan ng botante sa isang manggagawa sa halalan para sa tulong sa pagboto sa bangketa.
Ang kasunduan, na inihain sa hukuman ngayong umaga, ay dadagdagan ang aksesibilidad para sa mga botanteng may mga kapansanan. Sa ilalim ng kasunduan, makikipagtulungan ang County ng Los Angeles sa independiyenteng eksperto sa aksesibilidad ng tatlong taon sa mga patakaran at pamamaraan ng pagpili ng lugar upang matiyak na pinipili ng county ang mga lokasyon ng sentro ng botohan na maa-access o maaaring gawing mas maa-access sa panahon ng pagboto sa pamamagitan ng paggamit ng mga pansamantalang hakbang sa pagremedyo. Sumang-ayon ang county na makipagtulungan sa mga eksperto at ipatupad ng kagawaran ang mga rekomendasyon ng eksperto. Magbibigay ang eksperto ng mga ulat ng dalawang beses sa isang taon sa kanilang mga natuklasan sa county at sa kagawaran.
Sa mahigit 500 pulitikal na distrito at tinatayang 4.3 milyong rehistradong botante, ang County ng Los Angeles ay ang pinakamalaking hurisdiksyon ng halalan sa bansa.
Ang imbestigasyon sa County ng Los Angeles ay bahagi ng Inisyatiba sa Pagboto ng ADA ng kagawaran, na nakatuon sa pagprotekta sa mga karapatan sa pagboto ng mga indibidwal na may mga kapansanan sa buong bansa. Ang higit pang impormasyon tungkol sa pagboto at mga halalan ay makukuha sa website ng Kagawaran ng Hustisya sa www.justice.gov/voting. Para sa higit pang impormasyon hinggil sa Dibisyon para sa mga Karapatang Sibil, mangyaring bumisita sa www.justice.gov/crt. Para sa higit pang impormasyon hinggil sa ADA, mangyaring tawagan ang walang bayad na Linya para sa Impormasyon ng ADA sa 1-800-514-0301 (TTY 1-833-610-1264) o bumisita sa www.ada.gov. Kung naniniwala kang ikaw ay nadiskrimina batay sa kapansanan, mangyaring magsumite ng ulat online sa www.civilrights.justice.gov. Ang Katulong na Abogado ng U.S. at Pinuno ng Seksyon para sa mga Karapatang Sibil na si Richard Park at ang mga Katulong na Abogado ng U.S. na sina Katherine Hikida, Matthew Barragan, Margaret Chen at Alexandra Young para sa Pangunahing Distrito ng California ay pinangasiwaan ang bagay na ito, kasama ang Seksyon para sa mga Karapatan ng may Kapansanan ng Dibisyon para sa mga Karapatang Sibil ng Kagawaran ng Hustisya.
Noong nakaraang buwan, idinaos ang ika-34 na anibersaryo ng ADA, na nilagdaan ni Pangulong George H.W. Bush upang maging batas noong Hulyo 26, 1990. Ang ADA ay ang kauna-unahan sa mundo na komprehensibong batas sa mga karapatang sibil para sa mga indibidwal na may mga kapansanan. Habang ipinagdiriwang namin ang ika-34 na anibersaryo ng ADA, naglalaan kami ng panahon upang kilalanin ang mga kapakinabangan ng ADA, habang nagpapasalamat din na mayroon pa ring dapat gawin upang maisakatuparan ang mga nagtatagal na layunin ng ekidad, ingkluson, at aksesibilidad para sa mga indibidwal na may mga kapansanan.
KC Woman Pleads Guilty to $900,000 Covid Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., woman pleaded guilty in federal court today to her role in two separate conspiracies that resulted in more than $900,000 in fraudulent Paycheck Protection Program (PPP) loans being issued under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Renetta Golden-Larimore, 55, pleaded guilty before U.S. District Judge Brian C. Wimes to two counts of conspiracy to commit wire fraud, contained in two separate federal indictments.
The CARES Act established several new temporary programs and provided for the expansion of others to address the COVID-19 pandemic. Among these programs, the Paycheck Protection Program (PPP) authorized forgivable loans to small businesses to retain workers and maintain payroll, make mortgage interest payments, lease payments, and utility payments.
By pleading guilty today, Golden-Larimore admitted that from February 2021 to May 2022 she conspired with others to submit false and fraudulent applications for PPP loans. The scheme caused over $900,000 in fraudulent PPP loans to be issued to ineligible borrowers, some of which were forgiven even though the funds were not used for the purposes specified in the PPP.
Golden-Larimore admitted she prepared and filed fraudulent PPP loan applications on behalf of other persons. Generally, she charged fees between $2,000 and $7,000 for her assistance in filing false and fraudulent PPP loans, earning a total of at least $75,833 from the scheme. Golden-Larimore created counterfeit IRS forms for nonexistent businesses and with inflated income for existing businesses in order to qualify the borrower for a PPP loan.
Golden-Larimore prepared approximately 43 false PPP loan applications that were funded and numerous other false applications that were rejected. The total loss to the Small Business Administration was $908,278.
Twenty other persons have been charged and convicted in the Golden-Larimore fraud scheme in these two cases and five additional cases.
Under the terms of today’s plea agreement, Golden-Larimore must forfeit to the government at least $75,833, which represents the proceeds she personally obtained from the scheme, and pay $908,278 in restitution to the Small Business Administration, representing the total fraud loss associated with the wire fraud scheme.
Under federal statutes, Golden-Larimore is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by IRS-Criminal Investigation and the Kansas City, Mo., Police Department.
Justice Department finds that conditions at five Texas juvenile justice facilities, including Gainesville State School in the Eastern District of Texas, violate the ConstitutionRead the Press Release
PLANO, Texas – The Justice Department announced today its findings that the Texas Juvenile Justice Department (TJJD) is violating the U.S. Constitution, as well as the Individuals with Disabilities Education Act (IDEA) and the Americans with Disabilities Act (ADA).
“Children are committed to TJJD facilities to receive treatment and rehabilitation so that they may return to their communities as law-abiding, productive citizens,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our investigation showed that, far from achieving those objectives, TJJD engaged in a pattern of abuse, deprivation of essential services and disability-related discrimination that seriously harms children and undermines their rehabilitation. State officials have an obligation to keep these children safe, to teach them, to provide them necessary health services and to treat them fairly, without discrimination. The Justice Department is committed to protecting the rights of vulnerable children in juvenile facilities. We look forward to working with state officials to remedy these violations, institute needed reform and improve outcomes for Texas children.”
The department’s report details findings from a comprehensive investigation of five TJJD youth facilities, including the Evins Regional Juvenile Center, Gainesville State School, Giddings State School, McClennan County State Juvenile Correctional Facility, and Ron Jackson State Juvenile Correctional Complex. The report concludes that:
- TJJD routinely violates the constitutional rights of children in all five facilities by:
- Exposing them to excessive force and prolonged isolation;
- Failing to protect children from sexual abuse; and
- Failing to provide adequate mental health services.
- TJJD violates the IDEA by failing to provide special education and related services to children with disabilities.
- TJJD discriminates against children with disabilities in violation of the ADA by:
- Not providing reasonable modifications necessary to permit their participation in programming required for release and
- Denying them an equal opportunity to benefit from education.
These violations of the Constitution and federal law place children at substantial risk of serious physical and psychological harm and impede successful outcomes for children.
“States that receive federal funds to help educate children with disabilities are required to use those funds appropriately for the benefit of these children,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “Systematically failing to evaluate children suspected of having disabilities inevitably deprives these children of the special education these funds were meant to provide. Texas received funds under the Individuals with Disabilities Education Act, but failed to meet their obligation to ensure that children with disabilities would receive adequate education according to their special needs, among other things. Without appropriate services, children with disabilities in Texas juvenile corrections facilities cannot access the general education curriculum, preventing meaningful rehabilitation and progress. We look forward to working with Texas to rectify the issues we identified in our investigation so that these children, through meeting their educational needs, may have a better chance to succeed when they return to our communities.”
The Justice Department launched its investigation of TJJD’s juvenile justice facilities in October 2021, under the Civil Rights of Institutionalized Persons Act and the Violent Crime Control and Law Enforcement Act of 1994, which authorize the department to address a pattern or practice of deprivation of constitutional and federal rights of children confined to state or local government-run correctional facilities.
The Civil Rights Division’s Special Litigation Section and the U.S. Attorneys’ Offices in Texas investigated the case.
For more information about the Civil Rights Division and the Special Litigation Section, please visit www.justice.gov/crt/special-litigation-section. You can also report civil rights violations to the section by completing the complaint form available at https://civilrights.justice.gov.
To provide information related to the department’s investigation of TJJD’s facilities, please call 1-866-432-0438 or by email at [email protected].
Spanish translation forthcoming. (La traducción al español estará disponible próximamente.)
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- TJJD routinely violates the constitutional rights of children in all five facilities by:
Justice Department finds conditions at five Texas Juvenile Justice facilities violate the ConstitutionRead the Press Release
HOUSTON – The Justice Department has announced its findings that the Texas Juvenile Justice Department (TJJD) is violating the U.S. Constitution, as well as the Individuals with Disabilities Education Act (IDEA) and the Americans with Disabilities Act (ADA).
“Children are committed to TJJD facilities to receive treatment and rehabilitation so that they may return to their communities as law-abiding, productive citizens,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our investigation showed that, far from achieving those objectives, TJJD engaged in a pattern of abuse, deprivation of essential services and disability-related discrimination that seriously harms children and undermines their rehabilitation. State officials have an obligation to keep these children safe, to teach them, to provide them necessary health services and to treat them fairly, without discrimination. The Justice Department is committed to protecting the rights of vulnerable children in juvenile facilities. We look forward to working with state officials to remedy these violations, institute needed reform and improve outcomes for Texas children.”
The department’s report details findings from a comprehensive investigation of five TJJD youth facilities, including the Evins Regional Juvenile Center, Gainesville State School, Giddings State School, McClennan County State Juvenile Correctional Facility and Ron Jackson State Juvenile Correctional Complex. The report concludes that:
- TJJD routinely violates the constitutional rights of children in all five facilities by:
- Exposing them to excessive force and prolonged isolation;
- Failing to protect children from sexual abuse; and
- Failing to provide adequate mental health services.
- TJJD violates the IDEA by failing to provide special education and related services to children with disabilities.
- TJJD discriminates against children with disabilities in violation of the ADA by:
- Not providing reasonable modifications necessary to permit their participation in programming required for release and
- Denying them an equal opportunity to benefit from education.
These violations of the Constitution and federal law place children at substantial risk of serious physical and psychological harm and impede successful outcomes for children.
“The conditions in the facilities are unacceptable,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “Our investigation found that children in these facilities face sexual abuse by staff and other children. Tragically, this is not the first investigation into allegations of sexual abuse at TJJD facilities. Since the early 2000s, other investigations by Texas state agencies and the Texas Rangers substantiated sexual abuse allegations of the children at TJJD facilities, yet this horrifying problem persists. Working with Texas’s other U.S. Attorneys’ Offices, the Civil Rights Division and the State of Texas, my office hopes to provide protections to the vulnerable and help right wrongs that have existed for far too long.”
“My office was proud to partner with the Civil Rights Division and with other U.S. Attorneys’ Offices in our state on this thorough investigation of the Texas Juvenile Justice Department,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “The children in these facilities are uniquely vulnerable to harm and abuse, which hinders their prospects for rehabilitation. They deserve to be protected from harm, to receive adequate mental health care and to receive special education services and reasonable modifications that will give them a chance at productive lives in the community, outside of the walls of these institutions.”
“According to our report, TJJD falls short of creating an environment that fosters rehabilitation,” said U.S. Attorney Leigha Simonton for the Northern District of Texas. “Instead, some of its personnel engage in the use of excessive force and subject children to prolonged isolation, both of which are damaging. Texans know that this is not how we rehabilitate our children. We look forward to working with the State and TJJD to eliminate these issues going forward. Together, I am confident that we can implement practices that result in a better rehabilitative environment at the TJJD and ensure a pathway for children in their care to grow, heal and reach their full potential.”
“States that receive federal funds to help educate children with disabilities are required to use those funds appropriately for the benefit of these children,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “Systematically failing to evaluate children suspected of having disabilities inevitably deprives these children of the special education these funds were meant to provide. Texas received funds under the Individuals with Disabilities Education Act, but failed to meet their obligation to ensure that children with disabilities would receive adequate education according to their special needs, among other things. Without appropriate services, children with disabilities in Texas juvenile corrections facilities cannot access the general education curriculum, preventing meaningful rehabilitation and progress. We look forward to working with Texas to rectify the issues we identified in our investigation so that these children, through meeting their educational needs, may have a better chance to succeed when they return to our communities.”
The Justice Department launched its investigation of TJJD’s juvenile justice facilities in October 2021, under the Civil Rights of Institutionalized Persons Act and the Violent Crime Control and Law Enforcement Act of 1994, which authorize the department to address a pattern or practice of deprivation of constitutional and federal rights of children confined to state or local government-run correctional facilities.
The Civil Rights Division’s Special Litigation Section and the U.S. Attorneys’ Offices in Texas investigated the case.
For more information about the Civil Rights Division and the Special Litigation Section, please visit www.justice.gov/crt/special-litigation-section. You can also report civil rights violations to the section by completing the complaint form available at https://civilrights.justice.gov.
To provide information related to the department’s investigation of TJJD’s facilities, please call 1-866-432-0438 or by email at [email protected].
Spanish translation forthcoming. (La traducción al español estará disponible próximamente.)
- TJJD routinely violates the constitutional rights of children in all five facilities by:
Justice Department and Federal Trade Commission Host First Strike Force on Unfair and Illegal Pricing MeetingRead the Press Release
The Justice Department (DOJ) and Federal Trade Commission (FTC) virtually cohosted the first public meeting of the Strike Force on Unfair and Illegal Pricing (Strike Force) to discuss Strike Force enforcement actions taken to lower prices for Americans.
DOJ Acting Associate Attorney General Benjamin C. Mizer, Assistant Attorney General Jonathan Kanter of the Antitrust Division, Principal Deputy Assistant Attorney General Brian Boynton, head of the Civil Division, and FTC Chair Lina M. Khan, along with other agencies on the Strike Force, assembled to highlight the following Strike Force enforcement actions:
- FTC Chair Khan highlighted the FTC’s recent work to stop corporate lawbreaking that raises prices for Americans, including uncovering evidence of corporate conduct that may raise the price of gas, working to lower the cost of many asthma inhalers to just $35 out-of-pocket, and making it easier for Americans to cancel online subscriptions they don’t want. Chair Khan announced that she will ask the Commission to launch an inquiry into grocery prices in order to probe the tactics that big grocery chains use to hike prices and extract profits from everyday Americans at the checkout counter.
- DOJ Acting Associate Attorney General Mizer described DOJ’s efforts to tackle unlawful behavior that affects the prices Americans pay for their groceries, transportation, and health care. Assistant Attorney General Kanter highlighted the historic and concrete actions Antitrust Division staff are undertaking to enforce the law and lower prices in higher education, housing, transportation, food, agriculture, live music, healthcare, and other vital industries. Principal Deputy Assistant Attorney General Boynton highlighted the Civil Division’s work to combat fraudulent pricing schemes involving government agencies and financial institutions, as well as schemes designed to defraud consumers through unfair and deceptive marketing or billing practices.
- Deputy Secretary Xochitl Torres Small of the U.S. Department of Agriculture (USDA) highlighted the all-of-USDA approach to tackling food and agricultural pricing challenges for farmers and consumers alike, including an ongoing investigative study on retail concentration and market practices as well as landmark efforts to modernize the Packers & Stockyards Act rulebook and build a competition partnership with state attorneys general.
- Deputy Secretary Andrea Palm of the U.S. Department of Health and Human Services (HHS) spoke on HHS’ work to make health care affordable, transparent, and fair for everyone. Increasing competition and transparency, lowering prescription drug prices, and expanding access to health care are key ways to make sure our health care system is working for all Americans.
- Acting General Counsel Subash Iyer of the U.S. Department of Transportation (DOT) spoke about DOT’s work to protect airline passengers from unfair practices that can make it more expensive to fly, including by proposing a ban on family seating junk fees and investigating Delta’s refund, reimbursement, and customer service problems during the recent IT meltdown.
- Chair Gary Gensler of the U.S. Securities and Exchange Commission (SEC) spoke about the SEC’s work to address unfair, deceptive, and anticompetitive business practices. The SEC is the cop on the beat for the securities markets. The agency’s rulemaking projects promote transparency, access, and fair dealing in the markets. And through market oversight, including examining registrants and reviewing tens of thousands of filings each year, the SEC guards against fraud and deceptive practices and promotes competition.
- Chair Jessica Rosenworcel of the U.S. Federal Communications Commission (FCC) spoke about the FCC’s work to tackle unfair and deceptive pricing tactics in the communications sector, including by implementing new rules that will slash the exorbitant rates that incarcerated people and their families pay to stay connected.
- Director Rohit Chopra of the Consumer Financial Protection Bureau (CFPB) spoke about the CFPB’s work on junk fees, highlighting a report on school lunch fees, and a recently launched inquiry into junk fees in mortgage closing costs. The CFPB continues its work on all aspects of the credit card market, including looking into bait-and-switch rewards tactics, curbing excessive fees, and ensuring competition, all against the backdrop of interest rate margins hitting an all-time high. Additionally, the agency announced further scrutiny on the role of private equity investors in price gouging.
In March, at the sixth meeting of the White House Competition Council, President Biden announced the launch of the Strike Force to strengthen interagency efforts to root out and stop illegal corporate behavior that hikes prices on American families through anti-competitive, unfair, deceptive, or fraudulent business practices.
Justice Department Secures Landmark Agreement with Los Angeles County to Increase Accessibility for Voters with DisabilitiesRead the Press Release
WASHINGTON – The Justice Department announced today that it has reached a landmark agreement with the County of Los Angeles to resolve its lawsuit alleging that the county violated the Americans with Disabilities Act (ADA) by denying voters with disabilities an equal opportunity to participate in its voting programs, services and activities when it failed to select and use facilities as polling places that are accessible to persons with disabilities.
“People with disabilities are entitled to full inclusion at the ballot box,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department is committed to safeguarding the right of every eligible voter, including voters with disabilities, to participate in our electoral process. This agreement should send a message to officials across the country regarding the need to ensure the accessibility of the voting process now.”
“The right to vote is essential to our democracy and must be protected for all voters,” said U.S. Attorney Martin Estrada for the Central District of California. “Voters with disabilities are entitled to an equal opportunity to vote in person, privately and independently, alongside their neighbors and friends. We commend Los Angeles County for its commitment to work with the Justice Department to ensure equal access for individuals with disabilities.”
The lawsuit was filed in June 2023 following a lengthy investigation that found the county excluded individuals with disabilities from participating in the county’s in-person voting program. The U.S. Attorney’s Office for the Central District of California had surveyed hundreds of polling places in the June 2016, March 2020, November 2020 and November 2022 elections and found the vast majority had architectural barriers, such as steep ramps, abrupt level changes at walkways and entrance doors, and lack of accessible parking. These impediments prevented people with mobility and vision disabilities from being able to safely access vote centers and cast their ballots in person. The lawsuit also alleged that the county’s curbside voting program was inaccessible, as certain vote centers lacked signage indicating that curbside voting was available or failed to provide sufficient means by which a voter could contact an election worker for assistance with curbside voting.
The settlement, which was filed with the court earlier today, will increase accessibility for voters with disabilities. Under the agreement, Los Angeles County will work with an independent accessibility expert for three years on site selection policies and procedures to ensure that the county selects voting center locations that are accessible or can be made more accessible during the voting period by employing temporary remedial measures. The county has agreed to work with the expert and the department to implement the expert’s recommendations. The expert will provide semiannual reports on their findings to the county and the department.
With more than 500 political districts and approximately 4.3 million registered voters, Los Angeles County is the largest election jurisdiction in the nation.
The Los Angeles County investigation is part of the department’s ADA Voting Initiative, which focuses on protecting the voting rights of individuals with disabilities across the country. More information about voting and elections is available at www.justice.gov/voting. For more information on the Civil Rights Division please visit www.justice.gov/crt. For more information on the ADA, please call the department’s toll-free ADA Information Line at 1-800-514-0301 (TTY 1-833-610-1264) or visit www.ada.gov. If you believe you have been discriminated against based on disability please submit a report at www.civilrights.justice.gov.
Assistant U.S. Attorney and Chief of the Civil Rights Section Richard Park and Assistant U.S. Attorneys Katherine Hikida, Matthew Barragan, Margaret Chen and Alexandra Young for the Central District of California handled the matter, in coordination with the Justice Department’s Civil Rights Division’s Disability Rights Section.
Last month marked the 34th anniversary of the ADA, which President George H.W. Bush signed into law on July 26, 1990. The ADA was the world’s first comprehensive civil rights law for persons with disabilities. As we celebrate the 34th anniversary of the ADA, we take time to recognize the benefits of the ADA while also appreciating that there is still work to be done to achieve the enduring goals of equity, inclusion and accessibility for persons with disabilities.
Justice Department Secures Agreement with Los Angeles County to Ensure Vote Center Accessibility for Voters with DisabilitiesRead the Press Release
SETTLEMENT AGREEMENTLOS ANGELES – The Justice Department today announced an agreement with the County of Los Angeles to resolve its lawsuit alleging that the county violated the Americans with Disabilities Act of 1990 (ADA) by denying voters with disabilities an equal opportunity to participate in its voting programs, services, and activities when it failed to select and use facilities as polling places that are accessible to persons with disabilities.
The lawsuit was filed in June 2023 following a lengthy investigation that found the county excluded individuals with disabilities from participating in the county’s in-person voting program. The United States Attorney’s Office for the Central District of California had surveyed hundreds of polling places in the June 2016, March 2020, November 2020 and November 2022 elections and found the vast majority had architectural barriers, such as steep ramps, abrupt level changes at walkways and entrance doors, and lack of accessible parking. These impediments prevented people with mobility and vision disabilities from being able to safely access vote centers and cast their ballots in person. The lawsuit also alleged that the county’s curbside voting program was inaccessible, as certain vote centers lacked signage indicating that curbside voting was available or failed to provide sufficient means by which a voter could contact an election worker for assistance with curbside voting.
“The right to vote is essential to our democracy and must be protected for all voters,” said United States Attorney Martin Estrada. “Voters with disabilities are entitled to an equal opportunity to vote in person, privately and independently, alongside their neighbors and friends. We commend Los Angeles County for its commitment to work with the Justice Department to ensure equal access for individuals with disabilities.”
“People with disabilities are entitled to full inclusion at the ballot box,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department is committed to safeguarding the right of every eligible voter, including voters with disabilities, to participate in our electoral process. This agreement should send a message to officials across the country regarding the need to ensure the accessibility of the voting process now.”
The settlement, which was filed with the Court earlier today, will increase voter accessibility for voters with disabilities. Under the agreement, Los Angeles County will work with an independent accessibility expert on site selection policies and procedures to ensure that the county selects facilities, buildings, sites, or locations to serve as vote centers that are accessible or can be made more accessible during the voting period by employing temporary remedial measures. To achieve this commitment, the county has agreed to work with the expert and the United States to implement recommendations. The expert will provide biannual reports to the United States on the county’s progress in complying with the agreement. The expert will also consult with the county on its identification and use of temporary remedial measures for accessibility.
With more than 500 political districts and more than 5.6 million registered voters, Los Angeles County is the largest election jurisdiction in the nation.
This settlement is part of the Department’s ADA Voting Initiative, which focuses on protecting the voting rights of individuals with disabilities. A hallmark of the ADA Voting Initiative is its collaboration with jurisdictions to increase accessibility at polling places. Through this Initiative, the Department has surveyed more than 1,600 polling places and increased polling place accessibility in more than 35 jurisdictions, including Chicago; Hidalgo County, Texas; Cumberland County, Pennsylvania; and Coconino County, Arizona.
Those interested in finding out more about this settlement or the ADA may call the Justice Department’s toll-free ADA information line at (800) 514-0301 or (800) 514-0383 (TDD) or access its ADA website at www.ada.gov. ADA complaints may be filed online at http://www.ada.gov/complaint/
Assistant United States Attorneys Richard Park, Katherine Hikida, Matthew Barragan, Margaret Chen, and Alexandra Young for the Central District of California handled the matter, in coordination with the Justice Department’s Civil Rights Division’s Disability Rights Section.
Last month marked the 34th anniversary of the ADA, which President George H.W. Bush signed into law on July 26, 1990. The ADA was the world’s first comprehensive civil rights law for persons with disabilities. As we celebrate the 34th anniversary of the ADA, we take time to recognize the benefits of the ADA while also appreciating that there is still work to be done to achieve the enduring goals of equity, inclusion, and accessibility for persons with disabilities.
Justice Department Reaches Settlement with City of El Paso, Texas, and Its Contractors for Auctioning over 170 Vehicles Owned by ServicemembersRead the Press Release
The Justice Department today announced that it has reached settlements with the City of El Paso, Texas (the City); United Road Towing Inc., doing business as UR Vehicle Management Solutions (URT); and Rod Robertson Enterprises Inc (RRE) to resolve allegations that they violated the Servicemembers Civil Relief Act (SCRA). The United States’ complaint, which was filed on Feb. 2, 2023, alleges that the City and its contractors auctioned or otherwise disposed of over 170 vehicles owned by protected servicemembers without first obtaining court orders allowing them to do so.
“Members of our armed forces should not have to worry about their cars being auctioned off while they are on the front lines defending our freedoms, liberties and rights,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “These settlements should send a strong message to other cities that they should not take advantage of the rights of our servicemembers while they are defending us from harm."
“My office is committed to safeguarding the rights of servicemembers who call the Western District of Texas home,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I am proud of our partnership with the Civil Rights Division and our work fighting for the men and women in this district who have been deployed overseas.”
Under the agreements, which are subject to court approval, the City must develop new policies and procedures to ensure that contractors who are responsible for auctioning or otherwise disposing of impounded vehicles comply with the SCRA in the future. The City is also responsible for the payment of a $20,000 civil penalty.
RRE, which was the City’s contractor from January 2015 until April 2019, must establish a $140,000 settlement fund to compensate the affected servicemembers and pay a $20,000 civil penalty.
URT, which has been the City’s contractor since June 2019, must establish a $57,395 settlement fund to compensate servicemembers, pay a $24,980 civil penalty, provide SCRA training to its employees, adopt policies and procedures to investigate the military status of any registered owner prior to auctioning a vehicle and obtain a court order or a valid SCRA waiver prior to auctioning a vehicle owned by a protected servicemember.
The department launched its investigation after receiving a complaint from U.S. Army Lieutenant Colonel Lisa Dechent. While she was deployed to Afghanistan, the City had her 2016 White Chevrolet Silverado truck towed to the impound lot. URT sold it at auction for $6,200, without obtaining the court order required by the SCRA. At the time of the auction, Lieutenant Colonel Dechent still owed approximately $13,000 on the loan she had used to finance the purchase of the truck.
The department’s enforcement of the SCRA is conducted by the Civil Rights Division’s Housing and Civil Enforcement Section and U.S. Attorneys’ Offices throughout the country. Since 2011, the department has obtained over $481 million in monetary relief for over 147,000 servicemembers through its enforcement of the SCRA. For more information about the department’s SCRA enforcement efforts, please visit www.servicemembers.gov.
Servicemembers and their dependents who believe that their rights under SCRA have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at legalassistance.law.af.mil/.
View the consent order here.
View the order approving settlement here.
Justice Department Finds Unconstitutional Conditions at Five Texas Juvenile Justice FacilitiesRead the Press Release
The Justice Department announced today its findings that the Texas Juvenile Justice Department (TJJD) is violating the U.S. Constitution, as well as the Individuals with Disabilities Education Act (IDEA) and the Americans with Disabilities Act (ADA).
“Children are committed to TJJD facilities to receive treatment and rehabilitation so that they may return to their communities as law-abiding, productive citizens,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our investigation showed that, far from achieving those objectives, TJJD engaged in a pattern of abuse, deprivation of essential services and disability-related discrimination that seriously harms children and undermines their rehabilitation. State officials have an obligation to keep these children safe, to teach them, to provide them necessary health services and to treat them fairly, without discrimination. The Justice Department is committed to protecting the rights of vulnerable children in juvenile facilities. We look forward to working with state officials to remedy these violations, institute needed reform and improve outcomes for Texas children.”
The department’s report details findings from a comprehensive investigation of five TJJD youth facilities, including the Evins Regional Juvenile Center, Gainesville State School, Giddings State School, McLennan County State Juvenile Correctional Facility, and Ron Jackson State Juvenile Correctional Complex. The report concludes that:
- TJJD routinely violates the constitutional rights of children in all five facilities by:
- Exposing them to excessive force and prolonged isolation;
- Failing to protect children from sexual abuse; and
- Failing to provide adequate mental health services.
- TJJD violates the IDEA by failing to provide special education and related services to children with disabilities.
- TJJD discriminates against children with disabilities in violation of the ADA by:
- Not providing reasonable modifications necessary to permit their participation in programming required for release and
- Denying them an equal opportunity to benefit from education.
These violations of the Constitution and federal law place children at substantial risk of serious physical and psychological harm and impede successful outcomes for children.
“My office was proud to partner with the Civil Rights Division and with other U.S. Attorneys’ Offices in our state on this thorough investigation of the Texas Juvenile Justice Department,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “The children in these facilities are uniquely vulnerable to harm and abuse, which hinders their prospects for rehabilitation. They deserve to be protected from harm, to receive adequate mental health care and to receive special education services and reasonable modifications that will give them a chance at productive lives in the community, outside of the walls of these institutions.”
“According to our report, TJJD falls short of creating an environment that fosters rehabilitation,” said U.S. Attorney Leigha Simonton for the Northern District of Texas. “Instead, some of its personnel engage in the use of excessive force and subject children to prolonged isolation, both of which are damaging. Texans know that this is not how we rehabilitate our children. We look forward to working with the State and TJJD to eliminate these issues going forward. Together, I am confident that we can implement practices that result in a better rehabilitative environment at the TJJD and ensure a pathway for children in their care to grow, heal and reach their full potential.”
“The conditions in the facilities are unacceptable,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “Our investigation found that children in these facilities face sexual abuse by staff and other children. Tragically, this is not the first investigation into allegations of sexual abuse at TJJD facilities. Since the early 2000s, other investigations by Texas state agencies and the Texas Rangers substantiated sexual abuse allegations of the children at TJJD facilities, yet this horrifying problem persists. Working with Texas’s other U.S. Attorneys’ Offices, the Civil Rights Division and the State of Texas, my office hopes to provide protections to the vulnerable and help right wrongs that have existed for far too long.”
“States that receive federal funds to help educate children with disabilities are required to use those funds appropriately for the benefit of these children,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “Systematically failing to evaluate children suspected of having disabilities inevitably deprives these children of the special education these funds were meant to provide. Texas received funds under the Individuals with Disabilities Education Act, but failed to meet their obligation to ensure that children with disabilities would receive adequate education according to their special needs, among other things. Without appropriate services, children with disabilities in Texas juvenile corrections facilities cannot access the general education curriculum, preventing meaningful rehabilitation and progress. We look forward to working with Texas to rectify the issues we identified in our investigation so that these children, through meeting their educational needs, may have a better chance to succeed when they return to our communities.”
The Justice Department launched its investigation of TJJD’s juvenile justice facilities in October 2021, under the Civil Rights of Institutionalized Persons Act and the Violent Crime Control and Law Enforcement Act of 1994, which authorize the department to address a pattern or practice of deprivation of constitutional and federal rights of children confined to state or local government-run correctional facilities.
The Civil Rights Division’s Special Litigation Section and the U.S. Attorneys’ Offices in Texas investigated the case.
For more information about the Civil Rights Division and the Special Litigation Section please visit www.justice.gov/crt/special-litigation-section. You can also report civil rights violations to the section by completing the complaint form available at civilrights.justice.gov.
To provide information related to the department’s investigation of TJJD’s facilities please call 1-866-432-0438 or email at [email protected].
Spanish translation forthcoming. (La traducción al español estará disponible próximamente.)
- TJJD routinely violates the constitutional rights of children in all five facilities by:
Joliet man admits stealing guns in Billings pawnshop burglaryRead the Press Release
BILLINGS — A Joliet man on Wednesday admitted to stealing firearms from a Billings pawnshop during a burglary, U.S. Attorney Jesse Laslovich said today.
The defendant, Lucious Machiavelli, aka Robert Allen Boyden, 47, pleaded guilty to theft from a federal firearms licensee. Machiavelli faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release.
U.S. District Judge Susan P. Watters presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for Dec. 4. Machiavelli was detained pending further proceedings.
The government alleged in court documents that on Sept. 11, 2023, Pawnbrokers West, a federal firearms licensee, in Billings, was burglarized shortly before 3 a.m. Ten firearms were stolen during the break in. Law enforcement learned that Machiavelli was involved in the burglary. Five of the stolen firearms were recovered from the residence of a co-defendant, who told law enforcement that Machiavelli had brought the guns to the residence. Another co-defendant told law enforcement that he and Machiavelli went into the pawn shop and stole the firearms.
The U.S. Attorney’s Office is prosecuting the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Billings Police Department conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
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Jacksonville Man Pleads Guilty to Federal Drug Trafficking ChargeRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Michael Wayne Burroughs (46, Jacksonville) has pleaded guilty to conspiracy to distribute 50 grams or more of pure or actual methamphetamine. Burroughs faces a minimum mandatory penalty of 10 years, up to life, in federal prison. A sentencing date has not yet been set.
According to court documents, in 2022, federal agents began investigating Burroughs’s drug trafficking activity. Agents purchased pure methamphetamine from Burroughs at his residence in Jacksonville on three separate occasions using a confidential source. In 2023, agents identified one of Burroughs’s methamphetamine suppliers as Devan Hall. Between April and June 2023, agents observed Hall and Burroughs conduct multiple drug transactions in Jacksonville. In July 2023, agents arrested Burroughs and Hall on criminal complaints.
Hall pleaded guilty to conspiracy to distribute 50 grams or more of pure or actual methamphetamine. On January 8, 2024, he was sentenced to 10 years in federal prison.
This case was investigated by the Federal Bureau of Investigation, Homeland Security Investigations, the U.S. Postal Inspection Service, and the Jacksonville Sheriff’s Office as part of an Organized Crime Drug Enforcement Task Force (OCDETF), which identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. This case is being prosecuted by Assistant United States Attorney Aakash Singh.
Inmate at the Federal Correctional Institution at Schuylkill Sentenced to 35 Months in Prison for Assault with A Dangerous WeaponRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jared Sebaugh, age 36, an inmate at the Federal Correctional Institution at Schuylkill, in Minersville, Pennsylvania, was sentenced on August 1, 2024, by U.S. District Court Judge Julia K. Munley, to serve 35 months in prison for assaulting another inmate with a dangerous weapon.
According to United States Attorney Gerard M. Karam, Sebaugh, formerly of Olmstead Falls, Ohio, pleaded guilty and admitted to assaulting another inmate with a dangerous weapon with intent to do bodily harm. The charge stems from an incident in February 2023 in which Sebaugh assaulted another inmate with a prison-made weapon consisting of a combination lock attached to a cloth strap.
The investigation was conducted by the Federal Bureau of Investigation and the Bureau of Prisons Special Investigative Service. Assistant United States Attorney Robert J. O’Hara prosecuted the case.
At the time of the incident at FCI Schuylkill, Sebaugh was serving a sentence from the Northern District of Ohio for being a convicted felon in possession of a firearm. That sentence has since expired.
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Indictment Returned under Title 16 on More than 80 Charges for Spring 2023 Crime SpreeRead the Press Release
WASHINGTON – Hanif Brown, 18, of Washington, D.C., was arraigned today on an indictment charging him with 81 charges for his role in a criminal conspiracy to commit armed carjackings, armed robberies, identity theft, credit card fraud, and vehicle theft during the Spring of 2023, U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD) announced.
A grand jury in the Superior Court of the District of Columbia returned an indictment yesterday charging Hanif Brown with conspiracy, two counts of armed carjacking, carjacking of a senior citizen, thirteen counts of armed robbery, sixteen counts of assault with a dangerous weapon, first-degree and second-degree identity theft of senior citizens, credit card fraud of a senior citizen, three counts of first-degree theft, three counts of unauthorized use of a vehicle, eight counts of unauthorized use of a vehicle during a crime of violence, and 31 firearm related charges.
Brown was arraigned on August 1, 2024, at a hearing before the Honorable Michael O’Keefe. If convicted, Brown faces mandatory minimum sentences of fifteen years for each armed carjacking, seven years for unarmed carjacking, and five years for each firearm-related offense.
According to the government’s evidence, in 2021, Brown and other suspects created a Cash App account using a senior citizen’s stolen personal identifying information. Two years later, beginning in March 2023, Brown and his associates commenced a months-long crime spree in which he and his associates stole vehicles and used those vehicles to commit carjackings and gunpoint robberies. During those robberies, Brown and his associates stole currency and jewelry and forced their victims to surrender the passcodes for their phones, which Brown and his associates then accessed to initiate unauthorized monetary transfers via Cash App.
Over a two-week period during the months of March 2023 and April 2023, Brown and his associates committed three armed carjackings – one of which was a brazen attack in the Third Street Tunnel and another in which a senior citizen was the victim. Over this same time period, Brown and his associates committed five armed robberies in D.C. and one in Hyattsville, Maryland, with a total of more than 10 victims. Brown and his associates then used phones stolen from the robbery victims to illegally transfer funds from their Cash App accounts to Brown.
In May 2023, Brown and his associates continued their violent crime spree and committed several more armed robberies – one in which the victim was robbed at gunpoint on H Street NE of the victim’s phone, which was subsequently used to illegally transfer funds from the victim to Brown’s Cash App account and another in which two victims were robbed of their high-end jewelry at gunpoint. Brown then shared social media posts depicting himself wearing the proceeds from the robbery.
Brown was ultimately arrested on May 15, 2023. He has been in custody since his arrest.
This case is being investigated by the Metropolitan Police Department (MPD).
This case is being prosecuted by the U.S. Attorney’s Office for the District of Columbia.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
Illinois Man Sentenced to 35 Years in Federal Prison for Production of Child PornographyRead the Press Release
Montgomery, ALABAMA – On July 31, 2024, a federal judge in Montgomery, Alabama ordered 31-year-old Brenden Neil Noel, a resident of Danforth, Illinois, to serve 35 years in prison for producing child pornography, announced United States Attorney Jonathan S. Ross. The judge also ordered that Noel remain on supervised release for life following his prison term. Restitution to Noel’s victims will be determined at a later date. There is no parole in the federal system.
According to Noel’s plea agreement and other court records, in November of 2022, law enforcement received evidence of explicit communications on various messaging apps between an unknown individual and two females under the age of 14 in the Middle District of Alabama. Investigators discovered that the messages originated from Noel’s residence in Illinois and law enforcement contacted him shortly thereafter. Agents then examined various electronic devices belonging to Noel. They found, stored on the devices, numerous images and videos containing suspected child pornography. In his plea agreement, Noel specifically admitted that he had coerced victims he knew to be under the age of 14 to send him nude images. Noel also admitted that, while he participated in video calls with minor victims, he persuaded the victims to engage in sexually explicit conduct. Noel recorded the conduct using a second phone. Noel pleaded guilty to production of child pornography in federal court on April 2, 2024.
During the investigation, agents learned that Noel had previously been convicted in Illinois of aggravated criminal sexual assault, requiring him to register as a sex offender.
“Crimes targeting children are most disturbing,” said United States Attorney Ross. “Offenses like Noel’s have lifelong consequences for the victims. Through the hard work of law enforcement agencies, Noel will not be able to cause further harm to young people.”
“Protecting our children is of paramount importance, and the FBI along with our law enforcement partners will work tirelessly to prevent their victimization and to hold accountable those who abuse them,” said FBI Special Agent in Charge Paul Brown.
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. Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
The FBI Mobile Field Office and the Chilton County Sheriff’s Office investigated this case, with assistance from the United States Marshals Service, the National Center for Missing and Exploited Children, and the Alabama Attorney General’s Office. Assistant United States Attorney Tara S. Ratz prosecuted the case.
Illinois Financial Advisor Sentenced to 2 Years for Investment Fraud and Filing a False Tax ReturnRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that David Swartz, 59, Highland Park, Illinois, was sentenced today by U.S. District Judge William M. Conley to 2 years in federal prison for wire fraud and assisting in the preparation of a false tax return. Swartz pleaded guilty to these charges on April 11, 2024. As part of his sentence, Swartz was ordered to pay $181,915 in restitution to Victim-1.
Swartz, who worked as an unregistered investment advisor and fund manager, had a close personal relationship with Victim-1, who was a resident of Madison, Wisconsin. Beginning in January of 2009, Victim-1 made regular and periodic investments into Swartz’s investment fund with the understanding that Swartz was conservatively investing the money. Beginning in 2018, Swartz began misrepresenting the performance of the fund to Victim-1. For example, the fund lost approximately 23% of its value in 2018, but Swartz sent Victim-1 an email on December 31, 2018, stating that the fund had its “best year yet” and returned “NET almost 9% through November and only a 1.5% loss during December.” Despite the heavy losses to the fund, on January 29, 2019, Swartz emailed Victim-1 stating that the fund “had an incredibly great 2018” and was “solidly profitable for the year.”
When the fund lost a significant amount of its value in February 2020 due to a series of risky trades, Swartz again lied to Victim-1 about the fund’s performance and induced Victim-1 to invest an additional $150,000. On March 18, 2020, Swartz emailed Victim-1 a purported copy of a Charles Schwab account statement for the fund. Swartz had altered the statement to show that the total value of the fund on December 31, 2019, was $1,017,191, however, the actual value of the fund was $58.
On March 7, 2020, Swartz provided a false Schedule K-1 for tax year 2019 to Victim-1 that showed that Victim-1’s net short-term capital gains from his investment in the fund exceeded $500,000. In fact, Swartz knew that Victim-1 did not have capital gains from the fund in 2019, because the fund incurred significant losses. Relying on the falsified document, on October 12, 2020, Victim-1 filed a U.S. Individual Income Tax Return Form 1040 for the 2019 tax year that substantially overreported Victim-1’s capital gains on Schedule D, Line 5. This caused Victim-1 to report owing an unjustified amount of federal income tax.
The charges against Swartz were a result of an investigation conducted by IRS Criminal Investigation. The prosecution of the case has been handled by Assistant U.S. Attorney Aaron Wegner.
Hartford Gang Member Sentenced to 36 Years in Federal Prison for 2013 Drug-Related MurderRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that ANTWANE WILLIAMS-BEY, also known as “Buck,” 33, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 432 months of imprisonment, followed by five years of supervised release, for committing the drug-related murder of Valentin Santos Jr., 21, in Hartford on August 12, 2013.
According to the evidence presented during his trial, on August 12, 2013, Williams-Bey, a member of the Orange Street Killas (OSK) street gang, shot and killed Santos, also known as “Macho” and “Ubby,” on Linnmoore Street in Hartford in retaliation for a theft of Williams-Bey’s drug stash/money. Santos was shot approximately 12 times, mostly in the back.
Williams-Bey was found guilty of the offense on November 2, 2022.
Williams-Bey has been detained in federal custody since February 2017 and had been serving an 84-month sentence for distributing heroin and crack cocaine. While awaiting trial in this murder case, Williams-Bey was charged in the District of Rhode Island for participating in a conspiracy to smuggle synthetic marijuana into the Rhode Island detention center where he was held. He pleaded guilty and, in February 2024, was sentenced to 24 months of imprisonment for that offense.
This investigation was conducted by the Federal Bureau of Investigation’s Northern Connecticut Gang Task Force and the Hartford Police Department’s Major Crimes Division. The Task Force includes members of the FBI, Hartford Police Department, East Hartford Police Department, New Britain Police Department, West Hartford Police Department, Connecticut State Police, and Connecticut Department of Correction. The case was prosecuted by Assistant U.S. Attorney Robert S. Ruff and Trial Attorney Brian P. Leaming of the Justice Department’s Violent Crime and Racketeering Section.
Grand jury indicts prior felon on drug and gun chargesRead the Press Release
BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that a federal grand jury has returned a three-count indictment charging Robert L. Robinson with possession with intent to distribute cocaine, possession with intent to distribute cocaine, possession of firearms in furtherance of drug trafficking, and being a felon in possession of firearms. The charges carry a maximum penalty of life in prison.
Assistant U.S. Attorney Louis A. Testani, who is handling the case, stated that according to the indictment and a previously filed complaint, on June 7, 2024, law enforcement executed a search warrant at Robinson’s Buffalo residence. During the search, investigators recovered quantities of suspected cocaine and marijuana, $35,869.00 in cash, two firearms, ammunition, and drug paraphernalia. One of the firearms was reported as a duty weapon stolen from a member of the Miami Dade Police Department on July 18, 2019. After the execution of the search warrant, Robinson was taken into custody.
Robinson was previously convicted of felony crimes in 2003 and 2011 and is legally prohibited from possessing firearms.
The indictment is the result of an investigation by the Federal Bureau of Investigation, Child Exploitation Task Force, under the direction of Special Agent-in-Charge Matthew Miraglia, and the Erie County Sheriff’s Office, under the direction of Sheriff John Garcia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Gas Station Robber Who Crashed into Apartment Complex SentencedRead the Press Release
A robber who led police on a 100 mph chase before crashing into an apartment complex was sentenced today to over 21 years in federal prison, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Jaden Christofer Tipton, 21, was indicted in October 2023 and pleaded guilty in February 2024 to two counts of Hobbs Act robbery and two counts of brandishing a firearm in furtherance of a crime of violence. He was sentenced Thursday by U.S. District Judge James Wesley Hendrix to a total of 255 months imprisonment.
In plea papers, Mr. Tipton admitted to robbing two Lubbock gas stations the course of just 53 minutes on July 10, 2023.
In both robberies, Mr. Tipton pulled a firearm from his waistband, chambered a round, pointed it at the nearest cashier, and demanded all the money in the register.
Shortly after the second robbery, officers located Mr. Tipton’s blue four-door traveling eastbound. They attempted to conduct a traffic stop, but Mr. Tipton fled, leading officers on a high-speed chase before crashing into an apartment complex, where he was taken into custody.
Inside Mr. Tipton’s vehicle, officers found a black bag of cash and a loaded Taurus 9mm pistol.
At Thursday's sentencing hearing, prosecutors noted that when the defendant crashed into the apartment complex, he rammed into a couple’s bedroom. Both were hospitalized with serious injuries.
Both convenience store clerks submitted written statements to the Court, which were read at sentencing.
Tipton’s crime “uprooted my entire life and sent my mental state spiraling,” wrote clerk B.V.
“I wake up from night terrors, seeing that whole experience replaying in my mind, hearing that bullet going into the chamber,” clerk J.N. wrote.
The Lubbock Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives’ Dallas Field Division conducted the investigation. Assistant U.S. Attorney Stephen Rancourt prosecuted the case.
Founder of GPB Capital and CEO of Ascendant Capital Convicted of Fraud ChargesRead the Press Release
A federal jury in Brooklyn today convicted David Gentile, the founder, owner and Chief Executive Officer (CEO) of GPB Capital Holdings, LLC (GPB) and Jeffry Schneider, the owner and CEO of Ascendant Capital LLC (Ascendant Capital), on all counts of an indictment charging them with conspiracy to commit securities fraud, conspiracy to commit wire fraud, and securities fraud; Gentile was also convicted on two counts of wire fraud. The charges related to a years-long scheme to defraud more than 10,000 investors by misrepresenting the source of funds used to make monthly distribution payments and the amount of revenue generated by three of GPB’s investment funds. The verdict followed an eight-week trial before United States District Judge Rachel P. Kovner. When sentenced, Gentile and Schneider each faces up to 20 years in prison.
Breon Peace, United States Attorney for the Eastern District of New York and Christie M. Curtis, Acting Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.
“The jury found that the defendants lied to investors about the health of their funds and the source of fund distribution payments, all while they were fraudulently making those distribution payments with investor capital to maintain the appearance of successful portfolio companies,” stated United States Attorney Peace. “This Office has a proud history of prosecuting fraudsters who abuse the trust of investors, and we will continue to vigorously protect the integrity of the financial markets.”
Mr. Peace expressed his appreciation to the Securities and Exchange Commission, the New York City Business Integrity Commission and the New York City Police Department for their valuable assistance with the case.
GPB, founded in 2013 by Gentile, was a New York-based investment advisor registered with the SEC. GPB was the general partner of several investment funds that raised and invested capital in a portfolio of private equity investments. GPB worked with Ascendant Capital, a marketing firm founded by Schneider, to market the GPB funds to investors. Gentile and Schneider worked closely together on the operation and marketing of GPB funds, receiving regular updates as to the funds’ performance.
As proven at trial, between August 2015 and December 2018, the defendants engaged in a scheme to defraud investors and prospective investors in several GPB funds through material misrepresentations and omissions. Specifically, Gentile and Schneider, both individually and through employees at Ascendant Capital, represented to investors that the funds would make a monthly distribution payment that would be fully covered from operations, meaning that the companies purchased by the funds would be sufficiently profitable for the payments to be made from the companies’ cash flow, without drawing from capital raised by investors.
In reality, when the funds’ performance lagged, the defendants tried to disguise the shortfall with fraudulent, back-dated documents and paid investor distributions out of investor capital. Ultimately, investor capital was used to pay for a significant portion of the distributions made to investors. Gentile and Schneider were aware that the GPB Funds were underperforming and authorized the fraudulent distribution payments.
This case is being handled by the Office’s Business & Securities Fraud Section. Assistant United States Attorneys Artie McConnell, Jessica K. Weigel, Nicholas M. Axelrod and Kate Mathews are in charge of the prosecution, with the assistance of Paralegal Specialists Madison Bates and Allison Henry.
The Defendants:
DAVID GENTILE
Age: 57
Manhasset, New YorkJEFFRY SCHNEIDER
Age: 55
Austin, TexasE.D.N.Y. Docket No. 21-CR-54 (RPK)
Fort Wayne Man Sentenced to 188 Months in PrisonRead the Press Release
FORT WAYNE –Deshon A. Jenkins, 37 years old, of Fort Wayne, Indiana, was sentenced by United States District Court Chief Judge Holly A. Brady after pleading guilty to distributing a controlled substance and possessing with intent to distribute a controlled substance, announced United States Attorney Clifford D. Johnson.
Jenkins was sentenced to 188 months in prison followed by five years of supervised release.
According to documents in the case, on September 7, 2023, Jenkins distributed over 200 grams of methamphetamine. On September 29, 2023, Jenkins was apprehended and found to be in possession of over 50 grams of methamphetamine which he intended to distribute. At the time of his apprehension, Jenkins led officers on a high-speed chase and threw a large bag of methamphetamine from his vehicle. After Jenkins crashed his vehicle, he was taken into custody and the controlled substance was recovered.
This case was investigated by the Federal Bureau of Investigation’s Fort Wayne Safe Streets Gang Task Force, which includes the FBI, the Fort Wayne Police Department, the Indiana State Police, and the Allen County Sheriff’s Department. The case was prosecuted by Assistant United States Attorney Justin C. Sheridan.
This case was 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.
Fort Dodge Woman Pleads Guilty to Meth Conspiracy ChargesRead the Press Release
A woman who conspired to distribute methamphetamine pled guilty July 31, 2024, in federal court in Sioux City.
Amanda Johnson, f/k/a Amanda Adams, 35, from Fort Dodge, Iowa, was convicted of conspiracy to distribute methamphetamine and distribution of methamphetamine. In 2020, Johnson was convicted in federal court of same conduct - conspiracy to distribute methamphetamine and possession with intent to distribute and aiding and abetting another in the possession with intent to distribute methamphetamine.
At the plea hearing, Johnson admitted her involvement in a conspiracy that distributed more than 150 grams of methamphetamine in the Fort Dodge area for six months in 2023. On November 15, 2023, Johnson and another distributed about ¼ pound methamphetamine in a controlled drug purchase transaction in Waterloo, Iowa. On December 4, 2023, Johnson made an agreement to distribute ¼ pound of methamphetamine to an undercover agent, distributed 2 grams of methamphetamine, then fled.
Sentencing before United States District Court Judge Leonard T. Strand will be set after a presentence report is prepared. Johnson remains in custody of the United States Marshal pending sentencing. On the conspiracy conviction Johnson faces a mandatory minimum sentence of 15 years’ imprisonment and a possible maximum sentence of life imprisonment, a $20,000,000 fine, and at least ten years of supervised release following any imprisonment. On the distribution conviction Johnson faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $8,000,000 fine, and at least eight years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Iowa Division of Narcotics Enforcement, the Iowa DCI Laboratory, Fort Dodge Iowa Police Department, Webster County Sheriff’s Office, and the Waterloo, Iowa, based Tri-County Drug Task Force.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 24-3005.
Follow us on Twitter @USAO_NDIA.
Former Primis Bank manager sentenced to federal prison $2.4M embezzlement schemeRead the Press Release
RICHMOND, Va. – A Weems man was sentenced today to four years and three months in prison for designing and executing a scheme over the course of 15 years to defraud his employer, a local financial institution, by issuing fraudulent loans to other individuals and using the loan proceeds for himself.
According to court documents, James Stevens, 47, was employed at Primis Bank (formerly known as Sonabank, Eastern VA Bank, and Southside Bank) from 2000 to June 2023 as a Commercial Lender, Branch Manager, and Assistant Branch Manager. As a Commercial Lender for Primis, Stevens had the authority to issue loans on behalf of the bank, as well as the ability to open and access customer accounts and transfer funds into and out of customer accounts.
Beginning in 2008, and continuing through June 2023, Stevens exploited his position of trust at Primis Bank to issue numerous fraudulent loans—on behalf of his unwitting bank employer—in the names and using the identities of numerous other individuals. Stevens would often create fraudulent documentation to support these loan applications, using the personal information of multiple Primis Bank customers in the process. Stevens would then use proceeds of these fraudulently issued loans to make payments on other previously-issued fraudulent loans, to pay himself, or to pay others. Through this loan scheme, Stevens caused a loss to Primis Bank of more than $2.3 million.
Stevens also exploited his personal relationship with one Primis Bank customer to access the customer’s personal savings and checking accounts and to withdraw funds from the customer’s accounts. Stevens used his access to the customer’s accounts to change the mailing address on the accounts so that the bank customer remained unaware of the thefts, which eventually totaled more than $97,000. Altogether, the frauds and thefts perpetrated by Stevens resulted in a total loss to Primis Bank of $2,477,643.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne.
Assistant U.S. Attorneys Thomas A. Garnett and Robert Day prosecuted 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-10.
Former Georgia Teacher Admits to Catfishing Students and Posting Child Sexual Assault Material on DiscordRead the Press Release
MACON, Ga. – A former Sandersville, Georgia, high school teacher pleaded guilty to producing and distributing child sexual abuse material (CSAM)—also known as child pornography—in federal court this morning.
Michael Allen Dendy, 33, of Milledgeville, Georgia, pleaded guilty to one count of production of child pornography and one count of distribution of child pornography before U.S. District Judge Marc Treadwell on July 30. Dendy faces a mandatory minimum of 15 years in prison up to a maximum sentence of thirty years in prison for production of child pornography and a mandatory minimum of five years in prison up to a maximum sentence of twenty years in prison for distribution child pornography. In addition, Dendy faces a maximum term of supervised release of life, and he will have to register as a child sex offender upon release from federal prison. Dendy faces a maximum fine of $250,000 and restitution to victims as determined by the Court. A sentencing date has not been scheduled.
“It’s a nightmare for parents to imagine a trusted teacher catfishing students and then posting sexually explicit images of these kids on social media,” said U.S. Attorney Peter D. Leary. “Thanks to good police work, a child predator is off the streets and will be held accountable for the suffering and pain he has caused. Furthermore, this case is an important reminder that online predators are a real threat, and parents must exercise vigilance.”
“Teachers are supposed to be a safety net for our children, not target and exploit them,” said Jennifer Huerta, the Acting Special Agent in Charge of HSI Atlanta that oversees Georgia and Alabama. “This plea represents the great work done by HSI and our partners to identify, investigate and prosecute these predators. HSI remains vigilant in protecting our children and holding those accountable those who exploit them.”
“Michael Allen Dendy’s guilty plea marks a significant step towards justice for the heinous crimes committed,” said Washington County Sheriff Joel Cochran. “We are resolute in our commitment to safeguarding our children and ensuring that those who prey on them are held accountable. I want to extend my heartfelt gratitude to all law enforcement officers, prosecutors and support personnel who worked tirelessly on this case. Your dedication and hard work have made our community safer and brought us closer to justice for the victims.”
According to court documents and statements referenced in court, the Washington County Sheriff’s Office (WCSO) received multiple complaints in Dec. 2022 regarding child pornography being posted on the social media platform Discord and were informed that several local high school students had their images posted to the platform under “WACO Confessions” without their knowledge or approval. A WCSO investigation found “WACO Confessions” was created by an individual—later determined to be Dendy—under the username “TheOneYouLeftBehind.” The IP address most frequently used to access the account was tracked to Dendy’s residence. Dendy was a teacher at Washington County High School in Sandersville, Georgia, from Aug. 2020 until his arrest by WCSO deputies on Jan. 20, 2023.
Dendy admitted to obtaining nude images of individuals, particularly of underage students at Washington County High School. He confirmed that he would communicate with the students using fake Instagram accounts—posing as a young male and a young female on Instagram—and that he never met with any students in person. Dendy also admitted to creating “WACO Confessions.”
A search warrant executed at Dendy’s residence recovered numerous electronic devices containing CSAM and chat conversations between Dendy and several identified victims. Specifically, between Jan. 1, 2023, and Jan. 31, 2023, Defendant persuaded a 16-year-old to engage in sexually explicit conduct, film the conduct and share it with Dendy through social media. In a separate incident, on Dec. 11, 2022, Dendy uploaded a video to “WACO Confessions” depicting a minor, who was between the ages of 14 and 15, engaging in sexually explicit conduct.
Dendy taught at three schools previously: Griffin High School in Griffin, Georgia, from 2018-2020; St. Charles High School in Waldorf, Maryland, from 2017-2018; and Starkville High School in Starkville, Mississippi, from 2014-2016. Parents and guardians of children who may have encountered Dendy and have concerns related to this investigation can contact the Homeland Security Investigations (HSI) tip line at 1-866-347-2423.
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 www.projectsafechildhood.gov.
The case is being investigated by WCSO and Homeland Security Investigations (HSI) with significant assistance from the Leesburg Police Department (Virginia), the Charles County Sheriff’s Office (Maryland) and the Middle Judicial Circuit of Georgia District Attorney’s Office.
Assistant U.S. Attorney Daniel Peach is prosecuting the case for the Government.
Former Ericson State Bank President Sentenced for Bank FraudRead the Press Release
United States Attorney Susan Lehr announced that Jackie Poulsen, aka Jack Poulsen, 71, of Ericson, Nebraska, was sentenced on August 1, 2024, in federal court in Lincoln, Nebraska for bank fraud. United States District Judge Susan M. Bazis sentenced Poulsen to 18 months’ imprisonment with 5 years of supervised release to follow. There is no parole in the federal system. Poulsen was additionally ordered to pay a $815,000 in restitution.
Poulsen was the President of Ericson State Bank (ESB) from June of 2010 until September of 2019. He was additionally on the Board of Directors for the bank. In his role as President of ESB, he was responsible for overseeing all ESB’s affairs and managing ESB’s day-to-day operations. ESB, like any other bank in Nebraska, had to undergo regular examinations conducted by the Nebraska Department of Banking and Finance (NDBF). One such examination occurred in October of 2017, which ESB passed. The next examination occurred in April of 2019. The 2019 examination revealed that ESB’s condition had significantly deteriorated since the 2017 examination. NDBF indicated in a report that this deterioration was “due in large part to [ESB] being operated without regard for laws, regulations, prudent banking policies, and practices.”
During the investigation that followed the 2019 examination, the NDBF discovered that there were significant violations of the Nebraska statutory lending limits and that Poulsen had personally made, or was directly responsible for, many of the loans, lines of credit, and coverups of overdrafts that were in violation of the law, and which were adversely affecting the safety and soundness of ESB. A substantial number of the violations involved accounts and loans held by a relative of Poulsen’s and the relative’s business-related entities. NDBF examiners determined that a specific loan to Poulsen’s relative had been continuously more than the statutory lending limit since November 2017, or approximately one month after the 2017 Examination. NDBF examiners further determined that since May 29, 2019, Poulsen made multiple advances to the relative and charged off a portion of the borrowings without completing the appropriate paperwork or seeking approval from the Board or loan committee.
NDBF examiners discovered that some lending limit violations had substantially increased in size through increases in operating lines of credit, additional advances, and/or payment of overdrafts since the May 29, 2019, meeting. NDBF examiners determined that as of August 26, 2019, maturity dates on loans had been extended multiple times without formal documentation; borrowers’ financial information was inadequate; collateral for loans was either non-existent or poorly documented and managed, and deposit accounts, including those held by his relative, were frequently and substantially overdrawn. Poulsen’s scheme to defraud continued until September of 2019, when Poulsen was removed from his positions of authority with ESB based on NDBF’s findings. Poulsen’s license was also revoked.
As of December 31, 2019, ESB had total assets of approximately $110,879,000. However, on February 14, 2020, NDBF closed ESB and appointed the Federal Deposit Insurance Corporation (“FDIC”), as liquidator and receiver of ESB. Mark Quandahl, NDBF Director issued a statement regarding the failure of ESB which stated, “The failure of Ericson State Bank resulted primarily from large out-of-territory commercial loan losses and poor management practices which led to a deterioration of the bank’s capital. When the capital was not replenished the Department was left with no option but to place the insolvent institution into receivership.”
The FDIC entered into a purchase and assumption agreement with Farmers and Merchants Bank, Milford, NE, in which the purchasing bank assumed all customer deposits of ESB. At the time of ESB’s failure, ESB was a state chartered financial institution regulated and examined by the NDBF and it was determined that a loss of $815,000 was attributable to the insider-related loans which were subject to Poulsen’s scheme.
The investigation and subsequent prosecution of this matter was the result of the work of multiple agencies in conjunction with the United States Attorney’s Office for the District od Nebraska. Following today’s sentencing the following comments were made:
“The people of Nebraska expect their monies to be safe when they choose to place their trust in local banks.” Said United States Attorney Susan T. Lehr. “No bank officials should be permitted to abuse that trust for the sake of their and their family’s personal gain. The United States Attorney’s Office thanks all law enforcement agencies who worked diligently on the thorough investigation of this case.”
FBI Omaha Special Agent in Charge Eugene Kowel said, “Not only did Jack Poulsen’s financial scheme of insider-related loans lead to his sentence to federal prison, it also led to the collapse of a bank that had served rural Nebraska for 60 years. The FBI is committed to working with our federal, state, and local partners to hold accountable those who exploit their positions of trust to defraud financial institutions.”
“Jack Poulsen exploited his position as a bank executive to commit fraud that ultimately led to Ericson State Bank’s failure,” said Jon Ellwanger, Special Agent in Charge, Western Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and Consumer Financial Protection Bureau. “His sentencing sends a clear message that bank executives who commit fraud will be brought to justice for their actions. We are proud to have worked with our federal law enforcement partners and the U.S. Attorney’s Office to hold Mr. Poulsen accountable for his crimes.”
“As both bank president and board member, the defendant had a duty to conduct business honestly but instead abused that trust and committed insider fraud, contributing to the failure of a bank that had been part of the Federal Home Loan Bank System for more than 60 years,” said Korey Brinkman, Special-Agent-in-Charge of FHFA-OIG’s Midwest Region. “We will continue to vigorously investigate criminal offenses involving frauds that impact the integrity, safety, and soundness of Federal Home Loan Banks and member banks. We are proud to partner with our colleagues and the United States Attorney’s Office with this investigation.”
“Today's sentencing holds the defendant accountable for defrauding Ericson State Bank by misusing his position as president of the bank to conceal the true financial condition of these loans from the institution and its Board of Directors,” said Special Agent in Charge Justin R. Bundy of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG), Kansas City Region. “The FDIC OIG will continue to work with our law enforcement partners to bring to justice bank insiders who violate their positions of trust and commit fraudulent acts that threaten to undermine the integrity of our Nation’s financial institutions.”
This case was investigated by the Federal Housing Finance Agency – Office of Inspector General, Federal Deposit Insurance Corporation – Office of Inspector General, Federal Reserve Board – Office of Inspector General, and the Federal Bureau of Investigations.
Former Division Chief of Logistics for Kootenai County EMSS Sentenced in Drug Diversion SchemeRead the Press Release
COEUR D’ALENE – Scott Higgins, 57, of Coeur d’Alene, was sentenced yesterday on charges for theft from a program receiving federal funds and acquiring controlled substances by fraud, U.S. Attorney Josh Hurwit announced today. Both charges relate to a drug diversion scheme that Higgins carried out over multiple years while employed as the Division Chief of Logistics for Kootenai County Emergency Medical Services System (KCEMSS).
According to court records, as the Division Chief of Logistics, Higgins was responsible for purchasing and managing controlled substances on behalf of KCEMSS. Between at least July 2020 and February 2023, Higgins engaged in a fraudulent scheme whereby he ordered on behalf of KCEMSS substantially more opioids than were required and kept the excess for personal use. The total value of the opioids that Higgins wrongfully acquired from this scheme was $13,428.24.
Chief U.S. District Judge David C. Nye sentenced Higgins. Based in part on Higgins’ lack of criminal history, cooperation with the investigation, acceptance of responsibility, and proactive engagement in substance abuse treatment, Higgins was afforded a probationary sentence of 5 years. Should Higgins violate probation, he will be subject to re-sentencing and faces up to 14 years of imprisonment if sentenced consecutively on both counts. Judge Nye also ordered Higgins to pay restitution to KCEMSS.
“This case is a reminder of how the opioid crisis impacts our communities in many different ways,” said U.S. Attorney Hurwit. “It demonstrates not only the need for strong enforcement but also the need for all of us to come together to raise awareness about the dangers of opioids as well as the hope that can be found through substance abuse treatment.”
“People like Mr. Higgins who work with controlled substances are placed in positions of special trust to safeguard the public’s health and well-being and DEA takes any violation of that trust extremely seriously,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division. “We are gratified by the accountability the Court imposed on Mr. Higgins for breaking his obligations and we thank the Kootenai County Sheriff’s Office and the U.S. Attorney’s Office for the District of Idaho for their partnership in this effort.”
U.S. Attorney Hurwit commended the cooperative work of the Kootenai County Sheriff’s Office and the Drug Enforcement Administration, which led to the charges. He also thanked the Kootenai County Prosecutor’s Office for their assistance with the investigation. Assistant U.S. Attorney Adam Johnson prosecuted this case.
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Fifth Defendant Pleads Guilty in North Austin Mail Robbery Case, Sixth Defendant Arrested Out of StateRead the Press Release
AUSTIN, Texas – An Austin man pleaded guilty in federal court to charges related to conspiracy and mail robbery.
According to court documents, Cody Smith, 19, conspired with five codefendants in 2023 to target U.S. Postal Service letter carriers and steal their Arrow Keys in order to unlawfully open mail boxes in the local area. In one instance, on Dec. 4, 2023, Smith and codefendant Samuel Williams, 19, wearing dark hooded sweatshirts and masks, approached a letter carrier and demanded he give them his assigned USPS Arrow Key. Smith and Williams ripped the key from the letter carrier’s belt and ran to a getaway vehicle. Codefendants Christian Mosquera, 21, and Nicholas Williams, 21, assisted in the robbery as driver and look-out, respectively. Two other codefendants, Camren Hamilton, 22, and Jonathan Rangel, 27, also had roles in the conspiracy.
Smith pleaded guilty to one count of robbery of mail matter or other property and one count of conspiracy to commit robbery of mail matter or other property. He faces a up to ten years in prison for the robbery charge and up to five years in prison for the conspiracy. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Codefendant Samuel Williams was located and arrested in St. Louis July 30.
Mosquera, Nicholas Williams, Hamilton and Rangel have all pleaded guilty and are scheduled for sentence hearings in September. Smith does not yet have a sentencing date.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The U.S. Postal Inspection Service, Austin Police Department, Round Rock Police Department, and Georgetown Police Department are investigating the case.
Assistant U.S. Attorney Dan Guess is prosecuting the case.
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Federal Judge Sentences Chicago Man to 40 Years in Prison for Sex Trafficking Several ChildrenRead the Press Release
CHICAGO — A federal judge has sentenced a Chicago man to 40 years in prison for recruiting several children to engage in sex acts for money.
LENNIE PERRY trafficked at least seven minors under the age of 18. One of his victims was under 14 years old when Perry caused her to engage in a commercial sex act. Perry used websites such as Backpage and Facebook to advertise commercial sex acts and recruit the young victims to work for him. Perry also required that each of his victims have sex with him before he would traffic them to others. Perry arranged for the victims to meet individuals for the commercial sex acts in hotels and residences in Illinois, Minnesota, and Mississippi.
Perry, 49, was convicted in 2021 on federal sex trafficking charges. Six of Perry’s victims testified at trial about their ordeals.
In addition to the prison term, U.S. District Judge Edmond E. Chang on Wednesday ordered Perry to pay $523,600 in restitution to his victims.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Lucas Rothaar, Acting Special Agent-in-Charge of the Chicago Field Office of the FBI. The case was investigated by the FBI Chicago Child Exploitation Task Force. Valuable assistance was provided by the Chicago Police Department and Homeland Security Investigations.
“Defendant’s actions have created a trauma for the victims that is impossible to truly understand,” Assistant U.S. Attorney Charles W. Mulaney argued in the government’s sentencing memorandum. “Traffickers operating today should receive the message that if you traffic children in the Chicagoland area, you will receive the fullest punishment prescribed by law.”
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by calling 1-800-843-5678 or logging on to www.cybertipline.com.
Fargo, ND Man Indicted for Possession of a Firearm by a Convicted FelonRead the Press Release
Fargo – United States Attorney Mac Schneider announced that on August 1, 2024, Kadar Udai Pearson, appeared in federal court at an initial appearance and arraignment hearing. The United States District Court for the District of North Dakota unsealed an Indictment revealing that a federal grand jury indicted Pearson on the charge of Possession of a Firearm by a Convicted Felon.
Specifically, on June 5, 2024, the Fargo Police Department identified and arrested Kadar Pearson near the Arbors apartment complex. Pearson was in possession of a loaded pistol. At the time, Pearson was an inmate on escape status with the North Dakota Department of Corrections and Rehabilitation, under a sentence imposed in October 2023, for his felony convictions of Possession with Intent to Deliver Fentanyl and Theft of a Firearm.
The Indictment in this case is not evidence of guilt. The defendant is presumed innocent unless or until proven guilty beyond a reasonable doubt at trial.
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. PSN is based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case is being investigated by the Fargo Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. This case is being prosecuted by Assistant United States Attorney Jake Rodenbiker and Trial Attorney Alyssa Levey-Weinstein in the Violent Crime and Racketeering Section of the Criminal Division at the United States Department of Justice.
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Escambia County Pays $3.5 Million to Settle FCA LawsuitRead the Press Release
PENSACOLA, FLORIDA – Escambia County, Florida, paid the United States $3,500,000 to resolve allegations that the county violated the False Claims Act by falsely billing government healthcare programs for emergency medical services and transportation. The settlement was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
The settlement resolves claims against Escambia County arising from ambulance and emergency medical technicians lacking the requisite certifications who then provided healthcare services via emergency medical services and transportation with Escambia County Emergency Medical Services during the period of January 1, 2013 through December 31, 2020.
“This settlement with Escambia County demonstrates our commitment to protect federal health care funds and to hold providers accountable for fraudulent billing especially when it impacts the safety and well-being of our citizens,” said U.S. Attorney Coody. “Our office will continue to uphold the integrity of taxpayer-funded programs and vigorously pursue health care providers that defraud the government.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Dr. Rayme Edler. 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 filed by Dr. Edler in May 2020 is captioned United States of America ex rel. Rayme M. Edler, M.D., v. Escambia County, 3:20-cv-05503-MCR-HTC.
This civil settlement agreement is not an admission of any liability by Escambia County, nor a concession by the United States that its claims were not well-founded.
Assistant United States Attorneys Mary Ann Couch and Marie Moyle represented the United States in this matter.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the U.S. Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
El Departamento de Justicia descubre condiciones que violan normas constitucionales en cinco centros de justicia de menores de TexasRead the Press Release
El Departamento de Justicia anunció hoy sus conclusiones de que el Departamento de Justicia de Menores de Texas (TJJD, por sus siglas en inglés) está violando la Constitución de los Estados Unidos, así como la Ley de Educación para Personas con Discapacidades (IDEA, por sus siglas en inglés) y la Ley de Estadounidenses con Discapacidades (ADA, por sus siglas en inglés).
“Los menores son internados en centros del TJJD para recibir tratamiento y rehabilitación, a fin de que puedan regresar a sus comunidades como ciudadanos respetuosos de la ley y productivos”, declaró Kristen Clarke, la fiscal general adjunta de la División de Derechos Civiles del Departamento de Justicia. “Nuestra investigación demostró que, lejos de lograr esos objetivos, el TJJD incurrió en un patrón de abuso, privación de servicios esenciales y discriminación relacionada con la discapacidad que perjudica gravemente a los niños y socava su rehabilitación. Los funcionarios del estado tienen la obligación de mantener a estos niños a salvo, de enseñarles, de proporcionarles los servicios sanitarios necesarios y de tratarlos con equidad y sin discriminación. El Departamento de Justicia se ha comprometido a proteger los derechos de los niños vulnerables internados en centros de menores. Esperamos trabajar con los funcionarios del estado para remediar estas violaciones, instituir las reformas necesarias y mejorar los resultados para los niños de Texas”.
El informe del departamento detalla los hallazgos de una investigación exhaustiva de cinco centros de menores del TJJD, incluidos el Centro Regional de Menores de Evins, la Escuela Estatal de Gainesville, la Escuela Estatal de Giddings, el Correccional Juvenil Estatal del Condado de McLennan y el Complejo Correccional Juvenil Estatal Ron Jackson. El informe concluye que:
- El TJJD sistemáticamente viola los derechos constitucionales de los niños en las cinco instalaciones al:
- Exponerlos a fuerza excesiva y aislamiento prolongado;
- No proteger a los niños de actos de abuso sexual; y
- No proporcionar servicios de salud mental adecuados.
- El TJJD viola la ley IDEA al no proporcionar educación especial y servicios relacionados a los niños con discapacidades.
- El TJJD discrimina a los niños con discapacidades en violación de la ADA al:
- No proporcionar las modificaciones razonables necesarias para permitir su participación en los programas requeridos de liberación y
- Negarles la igualdad de oportunidades para beneficiarse de la educación.
Estas violaciones de la Constitución y de la ley federal exponen a los niños a un riesgo considerable de sufrir daños físicos y psicológicos graves e impiden que los niños salgan adelante.
“Mi oficina se sintió orgullosa de colaborar con la División de Derechos Civiles y con otras Fiscalías de los EE. UU. de nuestro estado en esta investigación exhaustiva del Departamento de Justicia de Menores de Texas”, dijo Jaime Esparza, el fiscal federal para el Distrito Oeste de Texas. “Los niños en estas instalaciones son especialmente vulnerables a sufrir lesiones y abusos, lo que limita sus posibilidades de rehabilitación. Merecen ser protegidos contra cualquier lesión, recibir una atención de salud mental adecuada y recibir servicios de educación especial y modificaciones razonables que les den la oportunidad de llevar una vida productiva en la comunidad, fuera de los muros de estas instituciones”.
“Según nuestro informe, el TJJD no consigue crear un entorno que fomente la rehabilitación”, declaró Leigha Simonton, la fiscal federal para el Distrito Norte de Texas. “Por el contrario, parte de su personal emplea fuerza excesiva y somete a los menores a un aislamiento prolongado, lo que resulta perjudicial. Los tejanos sabemos que no es así como rehabilitamos a nuestros niños. Estamos deseosos de trabajar con el estado y el TJJD para eliminar estos problemas en el futuro. Juntos, estoy segura de que podemos implementar prácticas que resulten en un mejor ambiente de rehabilitación en el TJJD y aseguren un camino para que los niños bajo su cuidado crezcan, sanen y alcancen su máximo potencial”.
“Las condiciones de estos centros son inaceptables”, declaró Alamdar S. Hamdani, el fiscal federal para el Distrito Sur de Texas. “Nuestra investigación encontró que los niños en estas instalaciones se enfrentan a abusos sexuales por parte del personal así como de otros niños. Trágicamente, esta no es la primera investigación sobre alegatos de abuso sexual en los centros del TJJD. Desde principios de los años 2000, otras investigaciones realizadas por agencias del estado de Texas y los Rangers de Texas corroboraron alegatos de abuso sexual de los niños en los centros del TJJD; sin embargo, este horrible problema persiste. En colaboración con las demás fiscalías de los EE. UU. en Texas, la División de Derechos Civiles y el estado de Texas, mi oficina espera proteger a las personas vulnerables y ayudar a corregir errores que han existido durante demasiado tiempo”.
“Los estados que reciben fondos federales para ayudar a educar a los niños con discapacidades están obligados a utilizar esos fondos adecuadamente en beneficio de estos niños”, dijo Damien M. Diggs, el fiscal federal para el Distrito Este de Texas. “No evaluar sistemáticamente a los niños de los que se sospecha que tienen discapacidades, priva inevitablemente a estos niños de la educación especial que estos fondos estaban destinados a proporcionar. Texas recibió fondos al amparo de la Ley de Educación para Personas con Discapacidades, pero no cumplió con su obligación de garantizar que los niños con discapacidades recibieran una educación adecuada de acuerdo con sus necesidades especiales, entre otros aspectos. Sin los servicios adecuados, los niños con discapacidades internados en centros correccionales de menores de Texas no pueden acceder al plan de estudios de educación general, lo que impide una rehabilitación y un progreso significativos. Esperamos colaborar con Texas para rectificar los problemas que hemos detectado en nuestra investigación, a fin de que estos niños, mediante la satisfacción de sus necesidades educativas, tengan más posibilidades de triunfar cuando vuelvan a nuestras comunidades”.
El Departamento de Justicia inició su investigación de los centros de justicia de menores del TJJD en octubre de 2021, al amparo de la Ley de Derechos Civiles de las Personas Internadas en Instituciones y la Ley de Represión de Delitos Violentos y de Orden Público de 1994, que autorizan al departamento a investigar una pauta o práctica de privación de los derechos constitucionales y federales de los menores internados en centros correccionales gestionados por el gobierno estatal o local.
La Sección Especial de Litigios de la División de Derechos Civiles y las Fiscalías de los EE. UU. en Texas investigaron el caso.
Si desea obtener más información sobre la División de Derechos Civiles y la Sección Especial de Litigios, visite www.justice.gov/crt/special-litigation-section. También puede denunciar violaciones de los derechos civiles a la sección completando el formulario de denuncia disponible en https://civilrights.justice.gov.
Si desea proporcionar información relacionada con la investigación del departamento sobre los centros del TJJD, llame al 1-866-432-0438 o envíe un correo electrónico a [email protected].
- El TJJD sistemáticamente viola los derechos constitucionales de los niños en las cinco instalaciones al:
Doctor and Her Granddaughter Sentenced to Prison for Unlawful Distribution of OpioidsRead the Press Release
Tampa, FL – U.S. District Judge Thomas Barber today sentenced Janet Pettyjohn (78, Spring Hill) to three years in federal prison and Shelly Gallagher (34, Brooksville) to six years in federal prison for conspiracy to distribute drugs. As part of Pettyjohn’s sentence, the court also entered an order of forfeiture in the amount of $34,132, the proceeds of the charged criminal conduct. Pettyjohn and Gallagher entered guilty pleas in May 2024.
According to court documents, Pettyjohn was an osteopathic physician licensed to practice medicine in the State of Florida with a Drug Enforcement Administration (DEA) registration number to prescribe controlled substances. In July 2020, Florida’s Board of Osteopathic Medicine (BOM) restricted Pettyjohn from prescribing opioids due to complaints about the manner in which she prescribed controlled substances. After the BOM’s Final Order and the prescribing restriction took effect, Pettyjohn continued to prescribe opioids in violation of the Final Order. The BOM later lifted the prescribing restriction in March 2021.
Gallagher is Pettyjohn’s granddaughter and did not hold a medical license. Between March 2021 and February 2023, Gallagher sponsored patients at Pettyjohn’s clinic and ordered controlled substances for herself and others from Pettyjohn. Despite obvious signs of drug abuse and diversion, Pettyjohn knowingly and intentionally prescribed the controlled substances for Gallagher and others for no legitimate medical purpose in the usual course of professional practice, which Gallagher and others abused and diverted.
A search of Pettyjohn’s residence in February 2024 revealed $34,132 in U.S. currency in a safe, which were proceeds of her illegal prescribing. Pettyjohn relinquished her medical license and DEA registration in May 2024.
This case was investigated by the Drug Enforcement Administration - Tampa District Office, the U.S. Department of Health and Human Services - Office of Inspector General, the Hernando County Sheriff’s Office, and by the Opioid Fraud Abuse and Detection Unit at the United States Attorney’s Office, which focuses on opioid-related fraud and abuse by medical and health care professionals who have contributed to the prescription opioid epidemic. It was prosecuted by Assistant United States Attorney Greg Pizzo.
Detroit Man Admits to Federal Drug ChargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Shakur Jones, 25, of Detroit, Michigan, pled guilty to one count of conspiracy to distribute controlled substances and one count of possession with intent to distribute methamphetamine.
Jones was the supplier of methamphetamine, cocaine base, and fentanyl for a drug trafficking conspiracy in Monongalia County, WV. As part of the investigation law enforcement officers searched a Morgantown residence and discovered over a kilogram of methamphetamine, and located Jones in one of the bedrooms. During a search of Jones’s phone, a photograph of 10 pounds of prepackaged methamphetamine taken two days before the search was recovered.
Two other defendants, Nolan Eickleberry, 27, of Morgantown, and Dorian Myles, 26, of Detroit, Michigan, have each admitted to their roles in the drug trafficking conspiracy and are awaiting sentencing.
Assistant U.S. Attorneys Zelda Wesley and Christie Utt are prosecuting the case on behalf of the government.
The Mon Metro Drug Task Force, a HIDTA-funded initiative, and the Drug Enforcement Administration investigated.
Chief U.S. District Court Judge Thomas S. Kleeh presided.
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Des Moines Man Sentenced to 6 Years in Federal Prison for Attempted Transfer of Obscene Material to a MinorRead the Press Release
DES MOINES, Iowa – A Des Moines man was sentenced on Thursday, July 25, 2024, to 72 months in federal prison for attempted transfer of obscene material to a minor.
According to public court documents, Carl Edward Gentry, 38, engaged in a Facebook conversation with an undercover officer posing as a 15-year-old female for approximately ten months. Gentry then began a separate Facebook conversation with an undercover officer posing as a 13-year-old female. During each of the conversations, Gentry graphically described the sex acts he wished to perform upon the females if they met him in person. Gentry also sent graphic images of his exposed genital area to the 13-year-old female using a texting application.
After completing his term of imprisonment, Gentry will be required to serve three years of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Altoona Police Department, the Internet Crimes Against Children Task Force, and the FBI Human Trafficking and Child Exploitation Task Force.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Des Moines Man Sentenced to 10 Years in Federal Prison for Possession of Child PornographyRead the Press Release
DES MOINES, Iowa – A Des Moines man was sentenced on Friday, July 26, 2024, to 120 months in federal prison for possession of child pornography.
According to public court documents, Jon-Richard Stamatelos, 63, possessed four internet capable computer devices in October 2023. Three of those devices—two cell phones and a tablet computer—contained hundreds of images and videos of child pornography. At the time of his offense, Stamatelos was a registered sex offender due to a 2023 state conviction for possession of child pornography in the Iowa District Court for Polk County. Stamatelos was found in possession of child pornography approximately seven months after he was sentenced in state court.
After completing his term of imprisonment, Stamatelos will be required to serve ten years of supervised release. There is no parole in the federal system. Stamatelos was also ordered to pay $3,000 in restitution.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Iowa Internet Crimes Against Children Task Force, the FBI Human Trafficking and Child Exploitation Task Force, and Iowa’s Fifth Judicial District Department of Correctional Services.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Departamento de Justicia llega a un acuerdo histórico con el Condado de Los Ángeles para aumentar la accesibilidad para los votantes con discapacidadesRead the Press Release
El Departamento de Justicia anunció hoy que ha llegado a un acuerdo histórico con el Condado de Los Ángeles para resolver la demanda alegando que el condado violó la Ley para Estadounidenses con Discapacidades (ADA, por sus siglas en inglés) por negar a los votantes con discapacidades una oportunidad igualitaria de participar en sus programas, servicios y actividades de voto cuando fracasó en seleccionar y utilizar facilidades para centros de voto que son accesibles para las personas con discapacidades.
“Las personas con discapacidades tienen el derecho a plena inclusión en las urnas,” comentó la Fiscal General Auxiliar Kristen Clarke de la División de Derechos Civiles del Departamento de Justicia. “El Departamento de Justicia se compromete a salvaguardar el derecho de todos los votantes elegibles de participar en nuestro proceso electoral, incluido lo de los votantes con discapacidades. Este acuerdo debe transmitir a todos los oficiales del país un mensaje sobre la necesidad de asegurar la accesibilidad del proceso de votar ahora.”
“El derecho de votar es esencial para nuestra democracia y tiene que ser protegido para todos los votantes,” comentó el Fiscal de los Estados Unidos Martin Estrada para el Distrito Central de California. “Los votantes con discapacidades tienen el derecho de votar en persona, con privacidad e independientemente, al lado de sus vecinos y amigos. Comendamos al Condado de Los Ángeles para su compromiso a trabajar con el Departamento de Justicia para asegurar el acceso igualitario para los individuos con discapacidades.”
Se entabló esta demanda en junio 2023 después de una investigación larga que encontró que el condado excluyó a los individuos con discapacidades de participar en los programas de votación en persona del condado. La Oficina del Fiscal de los Estados Unidos para el Distrito Central de California había evaluado cientos de centros de votación durante las elecciones de junio 2016, marzo 2020, noviembre 2020 y noviembre 2022 y encontró que la gran mayoría tenían barreras arquitecturales, tal como rampas escarpadas, cambios de nivel repentinos en pasarelas peatonales y puertas de entrada, y falta de estacionamiento accesible. Estos impedimentos previnieron que las personas con discapacidades de movilidad y visión accedieran de forma segura a los centros de voto y votar en persona. Esta demanda también alegó que el programa de votar desde acera del condado era inaccesible, debido a ciertos centros de voto que carecían de señalización indicando que la votación desde la acera estaba disponible o que no proveían maneras a través de las que el votante podía comunicarse con un trabajador electoral para asistencia con la votación desde la acera.
El acuerdo, que se entabló con el corte hoy anteriormente, aumentará la accesibilidad para los votantes con discapacidades. Según el acuerdo, el Condado de Los Ángeles trabajará con un experto de accesibilidad independiente por tres años en sus policías de selección de sitios y procedimientos para asegurar que el Condado seleccione sitios como centro de voto que son accesibles o que pueden ser hecho más accesibles durante el periodo de voto, a través de implementar medidas remediadoras temporales. El condado ha acordado trabajar con el experto y el departamento para implementar las recomendaciones del experto. El experto también proveerá informes semestrales sobre sus hallazgos al condado y al departamento.
Con más de quinientos distritos políticos y aproximadamente 4,3 millones de votantes registrados, el Condado de Los Ángeles es la jurisdicción de elección más grande del país.
La investigación del Condado de Los Ángeles es parte de la Iniciativa de Votación ADA, la cual se enfoca en proteger los derechos de voto de los individuos con discapacidades. Para conocer más sobre la ADA y cómo esta se aplica a la votación usted puede visitar el sitio web a www.ada.gov/topics/voting/. Para conocer más sobre la División de Derechos Civiles, por favor visite a www.justice.gov/crt. Para conocer más sobre la ADA, por favor llame a La Línea de Información de la ADA gratuita a 1-800-514-0301 (TTY 1-833-610-1264) o visite a www.ada.gov. Si usted cree que ha experimentado la discriminación por motivos de discapacidad, por favor realizar un informe en línea a www.civilrights.justice.gov. Fiscal Federal Auxiliar y Jefe de la Sección de Derechos Civiles Richard Park y los Fiscales Federales Auxiliares Katherine Hikida, Matthew Barragan, Margaret Chen y Alexandra Young del Distrito Central de California trataron el asunto, en coordinación con la Sección de Derechos de Discapacidad de la División de Derechos Civiles del Departamento de Justicia.
El mes pasado se compló el 34º aniversario de la ADA, promulgado por Presidente George H.W. Bush el 26 de julio, 1990. La ADA fue la primera ley comprehensiva de derechos civiles para las personas con discapacidades. Mientras celebramos el 34º aniversario de la ADA, dedicamos tiempo para reconocer los beneficios de la ADA mientras tanto entendiendo que aún queda trabajo por hacer para lograr las metas perdurables de la equidad, la inclusión, y la accesibilidad para las personas con discapacidades.
Defendants in two different cases sentenced to prison for abusive sexual contact on aircraft flying to SeattleRead the Press Release
Seattle – Two men were sentenced today in U.S. District Court in Seattle in separate instances of sexually assaulting passengers seated near them on aircraft flying to Seattle, announced U.S. Attorney Tessa M. Gorman. Indian citizen Abhinav Kumar, 39, was sentenced to 15 months in prison for his May 2024 conviction at trial of abusive sexual contact. Desmond D. Bostick was sentenced to nine months in prison for assault with intent to commit a felony. Bostick pleaded guilty in April 2024. Both sentences were imposed by U.S. District Judge Jamal N. Whitehead.
“The Western District of Washington continues to see an increase in cases involving sexual assault aboard aircraft, and we have a zero-tolerance policy,” said U.S. Attorney Tessa M. Gorman. “These cases demonstrate that there are real consequences for this predatory behavior. Those who prey on passengers on flights coming to Seattle face prosecution and loss of their freedom.”
According to records filed in the case and testimony at trial, Abhinav Kumar was arrested at Seattle-Tacoma International Airport on Sunday, February 18, 2024, after groping the breast of a juvenile sitting near him on an Emirates flight from Dubai to Seattle. The victim was traveling with family members who were sitting in the seats in front of the victim and across the aisle from the victim. Kumar was seated in a window seat with an open center seat between him and the victim. Kumar engaged the 17-year-old in conversation and asked her to meet him for coffee. She politely declined the invitation.
Later, while the victim was trying to sleep under a blanket, Kumar spread his blanket over himself and over the middle seat. The on-board video shows the movement of his arm under the blanket reaching toward the victim.
The sleeping victim awoke to feel a hand under her blanket, and she pulled away. The hand returned, moving up her arm, then inside her shirt, and eventually reaching her breast. The victim froze at first but then got up and asked her mother to come to the bathroom with her. The Emirates crew was notified, and they alerted law enforcement to meet the plane. Kumar was arrested and convicted following a three-day jury trial.
In asking for a 21-month prison sentence, prosecutors wrote to the court, “Kumar took advantage of a vulnerable 17-year-old girl by assaulting her while she was asleep. He reached inside her shirt to stroke her bare breast and stopped his assault only when a flight attendant was approaching. Not only did he demonstrate gross disregard for others’ bodily privacy and cause lasting trauma for the victim, but he has never acknowledged his crime nor demonstrated any understanding that he may not use girls for his personal gratification.”
In a statement to the court the victim wrote the assault, “has become a persistent, haunting presence in my life…. The experience has changed me. It has tainted my perceptions of others and made me fearful of strangers.”
In the second case sentenced today, 25-year-old Desmond D. Bostick of Federal Way, Washington, pleaded guilty last April, admitting the sexual motivation for his assault on the 24-year-old stranger sitting next to him on a June 2023 Alaska Airlines flight from San Diego to Seattle.
Bostick was seated in the last row of the plane in the aisle seat and the victim, was seated in the middle seat. Bostick repeatedly touched the victim on the thigh and grabbed her buttocks when she stood to allow the passenger in the window seat to exit the row. Bostick touched her buttocks a second time when the victim stood for the window seat passenger to return to his seat. Bostick admits he touched the victim to arouse his sexual desire.
After the plane landed, the victim reported the conduct to the flight crew and law enforcement began its investigation. Bostick had left the airport, and his location was unknown. The federal grand jury returned an indictment in the case on September 27, 2023. Bostick was located and arrested by the FBI on February 9, 2024. He pleaded guilty April 11, 2024.
Writing to the court, prosecutors emphasized the importance of deterrence, “Bostick assaulted a young woman while she sat isolated on a plane in flight. He repeatedly groped her while she was stuck in the middle seat of the back of an airplane with nowhere to go… Sexual offenses on airplanes are a serious problem. General deterrence is important so that potential offenders consider the risk of consequences if they are caught. This court should order a sentence that communicates to both Bostick and other potential offenders that abusive sexual contact is a serious crime that will be met with meaningful consequences.”
At the sentencing hearing Judge Whitehead told Bostick, “To characterize your conduct as a ‘lapse of judgement’ would be to divorce your conduct from its true ugliness.” Bostick will serve three years of supervised release following his prison term.
Both cases were investigated by the FBI with assistance from the Port of Seattle Police. U.S. Customs and Border Protection assisted with U.S. v Kumar.
Assistant United States Attorneys Miriam Hinman and Sanaa Nagi prosecuted U.S. v. Kumar (24-00041JNW).
Assistant United States Attorneys Kristine Foerster and Sean Waite prosecuted U.S. v. Bostick (23-155JNW)
Dauphin County Man Indicted for Controlled Substance and Firearms OffensesRead the Press Release
HARRISBURG– The United States Attorney’s Office for the Middle District of Pennsylvania announced that Keane Jackson, age 38, of Dauphin County, Pennsylvania, was indicted yesterday by a federal grand jury for controlled substance and firearms offenses.
According to United States Attorney Gerard M. Karam, the indictment charges Jackson with possessing with intent to distribute a controlled substance, possessing a firearm (.38 caliber Colt DA) in furtherance of a drug trafficking crime, and possessing a firearm as a prohibited person.
The case was investigated by the Dauphin County Criminal Investigations Division and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney K. Wesley (Wes) Mishoe is prosecuting the case.
The maximum penalty under federal law for the charges against Jackson is life imprisonment, a term of supervised release following imprisonment, a fine, and special assessment. A sentence following a finding of guilt is imposed by the judge after consideration of the applicable federal sentencing statutes and Federal Sentencing Guidelines.
Indictments are only allegations. All persons indicted are presumed to be innocent unless and until found guilty in court.
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Danbury Man Admits Recording His Sexual Abuse of Minor VictimRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that ENRIQUE PAULO PUCHA-JIMENEZ, 33, of Danbury, pleaded guilty today in Hartford federal court to production of child pornography.
According to court documents and statements made in court, on multiple occasions between November 2020 and August 2023, Pucha-Jimenez sexually abused a minor girl, who was between the approximate ages of nine and 12, and used his cell phone to take photographs and videos of his sexual abuse of the victim.
On August 16, 2023, Danbury Police arrested Pucha-Jimenez on state sexual assault and risk of injury offenses. He has been detained since his arrest.
Pucha-Jimenez is scheduled to be sentenced by U.S. District Judge Jeffrey A. Meyer in New Haven on October 24, at which time he faces a mandatory minimum term of imprisonment of 15 years and a maximum term of imprisonment of 30 years.
Pucha-Jimenez’s state charges are pending.
This matter has been investigated by the Federal Bureau of Investigation and the Danbury Police Department. The case is being prosecuted by Assistant U.S. Attorney Daniel E. Cummings with the assistance of the Office of the State’s Attorney for the Judicial District of Danbury.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Court Permanently Stops Mississippi Professionals and Business from Organizing and Selling “Tax Plans”Read the Press Release
The U.S. District Court for the Southern District of Mississippi entered permanent injunctions yesterday against Thomas Walt Dallas, Jason Todd Mardis and Capital Preservation Services LLC to bar them from making statements about tax benefits for compensation, among other relief. The defendants consented to entry of the injunctions.
According to the complaint, Dallas, Mardis and Capital Preservation Services marketed a tax scheme at numerous professional conferences and media appearances targeting medical professionals and small business owners. They allegedly, falsely claimed that customers following their “Tax Plans” could claim multiple deductions to which they were not actually entitled. This included false claims that (1) customers’ businesses could take deductions for paying large, unnecessary “marketing fees” to newly-created, sham marketing companies; (2) the marketing companies could employ family members, including minor children, and take deductions for family meals, vehicle expenses and tuition, among other items; and (3) customers could “rent” their homes to their businesses on a short-term basis at exorbitant rates and avoid paying taxes on the rental income.
The complaint further alleges that Dallas, Mardis and Capital Preservation Services knew or had reason to know that their statements to customers about the supposed tax benefits of the tax plans were false. The alleged the harm from the scheme could be as much as $130 million in lost tax revenue since 2014.
Deputy Assistant General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Each year the IRS highlights some of the tax scams that put taxpayers at risk of losing money, personal information, data and more. In the IRS’ most recent list, it specifically warned taxpayers “to beware of promoters peddling bogus tax schemes aimed at reducing taxes or avoiding them altogether.”
Working with the IRS, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers and tax scheme promoters over the past decade. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
CPS Consent Injunction.pdf Dallas Consent Injunction.pdf Mardis Consent Injunction.pdfCorpus Christi Man Sentenced to 46 Months in Federal Prison for Transporting, Endangering Undocumented NoncitizensRead the Press Release
DEL RIO, Texas – A Corpus Christi man was sentenced in a federal court in Del Rio to 46 months in prison for conspiracy to transport undocumented noncitizens, placing lives in jeopardy.
According to court documents, Thomas Bucciarelli, 40, failed to yield to law enforcement in Carrizo Springs on Aug. 20, 2022. Bucciarelli drove through red traffic lights and struck the driver’s side of a vehicle stopped at an intersection. Border Patrol agents located Bucciarelli’s vehicle in a parking lot, finding four passengers who were revealed to be undocumented noncitizens. Bucciarelli was taken into federal custody. He pleaded guilty to one count on Feb. 6, 2023.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
U.S. Border Patrol investigated the case.
Assistant U.S. Attorney Timothy Markovits prosecuted the case.
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Corporate President Sentenced to Prison for Multimillion Dollar California Excise Tax SchemeRead the Press Release
SACRAMENTO, Calif. — Rahman Lakhani, of Naperville, Illinois, was sentenced today to four years in prison for a tobacco-related excise tax fraud scheme, U.S. Attorney Phillip A. Talbert announced.
U.S. District Judge Daniel J. Calabretta sentenced Lakhani and his two corporations, N. Ali Enterprises Inc. and 21st Century Distribution Inc., for a total of 20 counts of mail and wire fraud. In addition to Lakhani’s prison term, his companies were each sentenced to three years of probation and all defendants were ordered to pay over $5.9 million in restitution.
According to court documents, Lakhani and the corporate defendants used warehouses in Illinois, Nevada, and California, to move over $25 million worth of other tobacco products (OTP) across the United States and into California. OTP are tobacco products other than cigarettes, such as cigars and chewing tobacco.
As the defendants moved the OTP from state to state, they submitted false excise tax returns to different state regulators that were designed to hide the size and value of the shipments. Ultimately, the OTP was sold into California on false invoices with the misrepresentation that tax had been paid. In fact, Lakhani and the corporate defendants submitted or caused to be submitted false tax returns to the California Board of Equalization (BOE) and the California Department of Tax and Fee Administration (CDTFA). As a result of the fraud, Lakhani and the corporate defendants defrauded the State of California of over $5.9 million.
This fraud allowed Lakhani and the corporate defendants to earn additional profit and to undercut competitors who lawfully paid the excise tax. A large percentage of the proceeds of the California OTP excise tax are used to fund California’s early childhood development program, First 5 California.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives along with the former California State Board of Equalization, sections of which are now the California Department of Tax and Fee Administration. Assistant U.S. Attorneys Rosanne L. Rust and Michael D. Anderson prosecuted the case.
Conover, N.C. Woman Is Sentenced to Prison for Stealing More Than $300,000 from Elderly CoupleRead the Press Release
CHARLOTTE, N.C. – Andrea Brawley, 46, of Conover, N.C., was sentenced today to 48 months in prison followed by three years of supervised release for stealing more than $300,000 from her elderly relatives, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation in North Carolina and Sheriff Donald G. Brown II of the Catawba County Sheriff’s Office join U.S. Attorney King in making today’s announcement.
According to court documents and court proceedings, from August 2016 to January 2023, Brawley engaged in a scheme to defraud the elderly couple identified in court documents as J.S. and M.S., by exploiting her relationship with the victims to steal their money and property. Brawley gained access to the victims’ personal and company bank accounts, which she was expected to use to manage the couple’s personal and business affairs and to pay routine bills. Instead, Brawley misused her access to transfer funds to herself, causing the victims to sustain significant financial losses. For example, Brawley failed to make payments due on the victims’ home equity line of credit on their residence. As a result, the victims’ residence went into foreclosure and the couple lost their home. Brawley also drained the victims’ retirement accounts by forging retirement distribution forms without the victims’ knowledge and consent, causing them further financial hardship. Over the course of the scheme, Brawley defrauded J.S. and M.S. and M.S.’s company of more than $300,000.
According to court records, Brawley concealed the fraudulent scheme from J.S. and M.S. by making false representations about the cause of the foreclosure and about the state of J.S. and M.S.’s finances and personal affairs. Brawley also isolated J.S. and M.S. and limited their contact with their friends and family by taking the victims’ cell phones, impersonating them in communications with third parties, transporting them to various locations around the state, and preventing them from returning to their residence. In furtherance of the scheme, Brawley engaged in identity theft by using and attempting to use one or more means of identification that belonged to J.S. and M.S., including their names, addresses, and unique account numbers.
On November 28, 2023, Brawley pleaded guilty to wire fraud. She is currently released on bond and will be ordered to report to the federal Bureau of Prisons upon designation of a federal facility.
In sentencing Brawley, U.S. District Judge Kenneth D. Bell described the defendant’s conduct as “outrageous,” and ordered her to pay $628,174.06 in restitution.
The FBI and the Catawba County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Graham Billings with the U.S. Attorney’s Office in Charlotte prosecuted the case.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. 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 relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 10am-6pm Eastern Time, Monday-Friday. English, Spanish, and other languages are available.
Colombian Man Sentenced for his Participation in Money Laundering ConspiracyRead the Press Release
BOSTON – A Colombian man was sentenced today in federal court in Boston for is involvement in a money laundering conspiracy.
Jose Abril-Sequera, 59, was sentenced by U.S. District Court Judge Richard G. Stearns to 50 months in prison today after pleading guilty to money laundering charges. In April 2024, Abril-Sequera pleaded guilty to an indictment charging him with participating in a money laundering conspiracy and conducting substantive money laundering transactions.
Beginning in 2016 and continuing until 2022, an investigation was conducted into a money laundering organization based primarily in Barranquilla, Colombia. An undercover investigator infiltrated the organization by portraying himself as an international money launderer, able to pick up bulk cash throughout the world, launder the proceeds through his United States based accounts, and send the money to Colombia through the Black Market Peso Exchange, a common method of trade based money laundering used to repatriate the proceeds of drug trafficking to Colombia.
Abril-Sequera was a business owner in Colombia who used his business bank account to receive drug proceeds in Colombia. During the course of the conspiracy, Abril-Sequera received over $250,000 million in wire transfers to his account. After receipt, Abril-Sequera withdrew the funds from his account to pay out the money in Colombia to the owners. Abril-Sequera also created fake invoices to mask the true source of the funds and evade anti-money laundering protocols. Abril-Sequera knew that the money involved was the proceeds of drug trafficking and freely discussed working with individuals dealing in hundreds of kilograms worth of drugs and the logistics of laundering the proceeds.
Acting United States Attorney Joshua R. Levy and Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Assistant U.S. Attorney’s Jared C. Dolan and Alathea E. Porter prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found athttps://www.justice.gov/OCDETF.