Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
12 September 2024
Tioga County Man Sentenced to 180 Months in Prison for Receipt of Child PornographyRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Michael Young, age 43, of Elkland, Pennsylvania, was sentenced yesterday by U.S. District Court Chief Judge Matthew W. Brann to a term of 180 months of imprisonment for the receipt of child pornography.
According to United States Attorney Gerard M. Karam, Young pleaded guilty to receipt of child pornography on March 26, 2024. Young was previously identified by the FBI in 2022 as participating in a website that engaged in the file sharing of child pornography. After his arrest in January 2022, Young was placed on supervised release pending trial. In July 2023, Young was found to have downloaded additional images of child pornography.
This case was by the Federal Bureau of Investigation. Assistant United States Attorney Geoffrey W. MacArthur prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
# # #
Three Defendants Charged in Alleged Nationwide Multi-Million-Dollar Illegal Import and Fraudulent Distribution ConspiraciesRead the Press Release
SAN FRANCISCO – A federal grand jury indicted three defendants in connection with alleged schemes to import from China, fraudulently market, and illegally transport the hazardous chemical trichloroisocyanuric acid (TCCA), in violation of various U.S. laws and regulations.
One of the defendants, Jermoine “Jay” C. Brantley (aka Jay E. Johnson), 52, of Murrieta, Calif., was arrested Sept. 5 at his home and made an initial appearance in Los Angeles the next day. The other two defendants— Haneef Z. Saleem, 44, of New York, New York; and Brian Morris, 49, of Peoria, Ariz.—are scheduled to appear with Brantley in San Francisco before U.S. Magistrate Judge Alex G. Tse, on Sept. 12 to face the charges.
According to the 26-count indictment, filed Aug. 27 and unsealed Sept. 9, all three defendants conspired to commit wire fraud to convince customers and potential customers to buy the TCCA. In addition, all three defendants are charged with crimes related to the alleged transportation of the chemical from various U.S. ports to other destinations throughout the United States. Brantley and Saleem also are charged with conspiring to smuggle the TCCA into the United States, in violation of various laws and regulations.
The chemical at issue, TCCA, is a product commonly referred to in the swimming pool industry as chlorine. The indictment describes how, during the early 2020s, a domestic shortage of TCCA as well as an increase in the tariffs and duties applying to the importation of the chemical from China resulted in a dramatic increase in the price of TCCA in the United States. Brantley and Saleem allegedly took steps to smuggle the product into the country without paying applicable tariffs and duties that would have made the price of the product less competitive. In addition to the smuggling scheme, the indictment describes how all three defendants allegedly participated in a scheme to fraudulently market and sell the product and arranged to have the hazardous materials transported without the proper paperwork and precautions from U.S. ports to customers throughout the United States.
The Smuggling Conspiracy
The indictment alleges Brantley and Saleem avoided tariffs and duties when importing TCCA from China by supplying the wrong import codes to their brokers so that certain duties would not be assessed. At the time, under the applicable tariff schedule for goods imported into the United States, TCCA was subject to significant “anti-dumping” and “countervailing” duties. Brantley and Saleem allegedly avoided paying these anti-dumping and countervailing duties by supplying their brokers with code numbers that mis-identified the product, identifying it as “disinfectant” and “swimming pool disinfectant,” rather than as TCCA. According to the indictment, Brantley and Saleem caused 66 shipments of TCCA to be imported with codes that did not trigger the applicable tariffs and duties.
The Fraud Conspiracy
In addition to the smuggling conspiracy, the indictment describes several ways in which all three defendants allegedly lured customers into purchasing the imported TCCA by making false representations about the product, including false descriptions of the strength and efficacy of the product and its registration status with the Environmental Protection Agency (EPA). According to the indictment, defendants represented to customers and potential customers that their product contained 99 percent TCCA, when, in fact, it had been diluted with boric acid. The indictment also alleges the defendants falsely represented that they, or their products, were “registered with the EPA.” But the defendants never properly registered with the EPA to import the chemical and attempted to avoid inspections by mislabeling their product with EPA registration numbers for a different manufacturer. The indictment alleges that customers purchased more than $3.2 million in response to the defendants’ fraudulent representations.
Improper Transportation of Product
The indictment also describes how defendants allegedly violated rules pertaining to the transportation of oxidizers and hazardous materials. Defendants’ shipments failed to contain labels identifying the TCCA as a “5.1 oxidizer” and as “hazardous material.”
In sum, the defendants are charged with the following crimes and, if convicted, face the following maximum statutory penalties:
Defendant Charge Maximum Statutory Penalties (per count) All three defendants Conspiracy to Commit Wire Fraud
18 U.S.C. § 1349
(one count) 20 years’ imprisonment; $1,000,000 fine; maximum 3 years’ supervised release All three defendants Wire Fraud
18 U.S.C. § 1343
(four counts) 20 years’ imprisonment; $1,000,000 fine; 3 years’ supervised release Brantley and Saleem only Conspiracy to Smuggle Goods Into the United States
18 U.S.C. § 371
(one count) 5 years’ imprisonment; $250,000 fine; 3 years’ supervised release Brantley and Saleem only Smuggling Goods into the United States
18 U.S.C. § 545
(four counts) 20 years’ imprisonment; 3 years’ supervised release; $250,000 fine Brantley and Saleem only Entry of Goods Falsely Classified
18 U.S.C. § 541
(four counts) 2 years’ imprisonment; $250,000 fine; 1 year of supervised release Brantley and Saleem only Entry of Goods by Means of False Statements
18 U.S.C. § 542
(four counts) 2 years’ imprisonment; 1 year of supervised release; $250,000 fine All three defendants Distribution or Sale of Unregistered Pesticide
7 U.S.C. § 136j(a)(1)(A), (E) & 136l(b)(1)(B)
(two counts) 1 year of imprisonment; 1 year of supervised release; $50,000 fine All three defendants Distribution or Sale of Misbranded Pesticide
7 U.S.C. § 136j(a)(1)(A), (E) & 136l(b)(1)(B)
(two counts) 1 years of imprisonment; 1 years of supervised release; $250,000 fine All three defendants Violation of the Hazardous Substances Act
49 U.S.C. § 5124(c) & (d)
(four counts) 5 years’ imprisonment; 3 years’ supervised release; $250,000 fineAn indictment merely alleges that crimes have been committed and all defendants are presumed innocent until proven guilty beyond a reasonable doubt.
In addition to the penalties listed above, the defendants also may be ordered to pay restitution, if appropriate. However, any sentence following conviction would be imposed by the Court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The announcement was made by U.S. Attorney Ismail J. Ramsey, U.S. Environmental Protection Agency Criminal Investigation Division (EPA-CID) Special Agent-in-Charge Kim Bahney, U.S. Department of Homeland Security Investigations (HSI) San Francisco Special Agent in Charge Tatum King, and U.S. Department of Transportation Office of the Inspector General (DOT-OIG) Western Region Special Agent in Charge Cory LeGars.
This case is being prosecuted by Assistant U.S. Attorney Barbara Valliere with assistance from Sara Slattery and Kathy Tat. This prosecution is the result of an investigation by EPA-CID, HSI, and DOT-OIG.
Texas Man Indicted for Sexual Exploitation of Children OffensesRead the Press Release
FRESNO, Calif. — A federal grand jury returned a four-count indictment today, charging Thomas Henry Lopez, 49, of Spring, Texas, with two counts of sexual exploitation of children, one count of distribution of a visual depiction of a minor engaged in sexually explicit conduct, and one count of transfer of obscene material to a minor, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between June 2024 and July 2024, Lopez contacted two minors in California through TikTok and then communicated with them through text messages and the encrypted application JusTalk. Lopez purported to be a 12-year-old male from Texas and requested that the victims create and then send to him still and video images of themselves engaged in sexually explicit conduct. While communicating with the victims, Lopez sent them images of adults and minors engaged in sexually explicit conduct as well as images of himself masturbating. Investigators were able to identify Lopez by determining that he was using internet connections at his residence and at his Houston workplace, where he was the principal wells engineer for an oil and gas company, when communicating with the victims. FBI agents arrested Lopez on Sept. 3, 2024, just as he was leaving on a work-related trip to Singapore, and numerous electronic devices were recovered during a search of his residence. He will appear before a federal magistrate judge in Houston, Texas, on Sept. 13, 2024.
This case is the product of an investigation by the Federal Bureau of Investigation and the Central California Internet Crimes Against Children Task Force, principally the Kingsburg, California Police Department. Assistant U.S. Attorney David L. Gappa is prosecuting the case.
If convicted Lopez, faces a mandatory minimum of 15 years in prison and a maximum statutory penalty of 30 years in prison and a fine of up to $250,000 for the counts of sexual exploitation of children, and a mandatory minimum of five years in prison and a maximum of 20 years in prison and a fine of up to $250,000 for distribution of a visual depiction of a minor engaged in sexually explicit conduct. If convicted of the transfer of obscene material to a minor count, Lopez faces a maximum of 10 years in prison and a fine of up to $250,000. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Texarkana federal inmate sentenced for trafficking drugs in prisonRead the Press Release
TEXARKANA, Texas – A Texarkana federal inmate has been sentenced to an additional 87 months for trafficking drugs inside the prison, announced U.S. Attorney Damien M. Diggs.
Verlan Perez, Jr., 36, of Dallas, pleaded guilty to conspiracy to distribute and possession with intent to distribute methamphetamine and buprenorphine and was sentenced to 87 months in federal prison by U.S. District Judge Robert W. Schroeder, III, on September 11, 2024.
According to information presented in court, in March 2021, mail staff at the Federal Correctional Institution (FCI) in Texarkana, Texas, intercepted two incoming packages addressed to federal inmate, Verlan Perez, Jr. The packages contained buprenorphine, a controlled substance. Further investigation revealed Perez was conspiring with Rosa Solano-Olivares, to have her deliver methamphetamine into the prison, which he would then distribute to others inside the prison. On October 30, 2021, Solano-Olivares entered the FCI Texarkana to visit Perez. After she entered and exited the women’s restroom in the visitation area, prison staff conducted a search of the restroom and located a package of methamphetamine rolled in black electrical tape, a baggie of marijuana, and rolling papers. Perez was responsible for distributing 43 grams of methamphetamine in FCI Texarkana.
Perez was ordered to serve this sentence consecutively to his current federal sentence of 157 months for drug trafficking imposed on January 30, 2019, in the Northern District of Texas. On July 16, 2024, Rosa Solano-Olivares, 41, was sentenced to 20 months in federal prison for her role in the offense.
This case was investigated by the Bureau of Prisons-FCI Texarkana; Texas Department of Public Safety Crime Lab; and the U.S. Drug Enforcement Administration Crime Lab. This case was prosecuted by Assistant U.S. Attorneys Allen Hurst and Lauren Richards.
###
Tennessee Man Convicted of Armed Bank Robbery Is Sentenced to over 12 Years in PrisonRead the Press Release
ASHEVILLE, N.C. – Paul Gordon Day, 37, of Brentwood, Tennessee, was sentenced today to 147 months in prison followed by five years of supervised release for the armed robbery of a bank in Asheville, 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 (FBI) in North Carolina and Chief Michael Lamb of the Asheville Police Department, join U.S. Attorney King in making today’s announcement.According to filed court documents and evidence presented at Day’s trial, on November 9, 2022, at approximately 4:20 p.m., Day rode a bicycle to the PNC Bank branch
located at 8 O’Henry Avenue, in Asheville, which is across the street from the federal courthouse. Day parked the bicycle and entered the bank wearing a blue cap, sunglasses, a blue surgical mask, a grey sweatshirt, and gloves. Upon entering the bank, Day drew from his waistband a firearm wrapped in a black plastic bag secured to the barrel with rubber bands and approached the bank tellers. Day held up a firearm, ordered a customer who was in the bank to the ground, and demanded money from tellers. The tellers complied and gave Day the cash, including a GPS tracking device concealed within the money. Day then fled the scene on the bicycle.
Court documents show that law enforcement tracked the GPS device and determined it was located inside a vehicle traveling on Interstate 26 toward Weaverville, North Carolina. Law enforcement conducted a traffic stop of the vehicle and arrested Day, who was alone in the vehicle. Law enforcement searched the vehicle and recovered the firearm Day used during the robbery, the stolen cash and the GPS tracking device, the bicycle, and numerous articles of clothing worn by Day during the commission of the robbery.
On January 10, 2024, a federal jury found Day guilty of bank robbery using a dangerous weapon, and possessing and brandishing of a firearm in furtherance of a crime of violence. Day remains in federal custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King thanked the FBI, the Asheville Police Department, and the Weaverville Police Department for their investigation of the case.Assistant U.S. Attorney Alex M. Scott of the U.S. Attorney’s Office in Asheville prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Stafford man sentenced to over 10 years in prison for selling lethal counterfeit pillsRead the Press Release
ALEXANDRIA, Va. – A Stafford man was sentenced today to 10 years and 10 months in prison for his role in a conspiracy to distribute fentanyl and possession with intent to distribute fentanyl.
According to court documents, from at least February 2023 through January 2024, Thomas Lee Smith Jr., 35, obtained thousands of counterfeit oxycodone pills, which were imprinted with “M30” but contained fentanyl, and provided them to redistributors, including co-defendant Shane Darontae Anderson, 37, to sell. Smith’s co-conspirators obtained these drugs from a cartel-connected source in Arizona.
Anderson sold or agreed to sell over 17,500 counterfeit pills containing fentanyl to a cooperating source (CS). The total weight of these pills was approximately 1,500 net grams. Smith supplied Anderson with all the counterfeit pills provided to the CS and drove Anderson to multiple controlled buys. Smith’s vehicle, which Anderson drove to a controlled buy, contained a trap compartment for concealed storage. Anderson also offered to sell cocaine to the CS, as Smith was able to obtain cocaine as well.
On Jan. 24, Smith and Anderson planned to sell 4,500 counterfeit pills to the CS for $8,000. When Smith and Anderson arrived at the meeting location in Stafford, law enforcement arrested them after the Smith and Anderson attempted to flee. Law enforcement searched Smith’s vehicle and located the trap compartment, which contained 4,999 counterfeit pills, as well as a loaded handgun.
Anderson pled guilty on May 8 to conspiracy to distribute fentanyl and possession with intent to distribute fentanyl. On Sept. 5, he was sentenced to 10 years and five months in prison.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division, made the announcement after sentencing by U.S. District Judge Michael S. Nachmanoff.
Assistant U.S. Attorneys Kristin S. Starr and Catherine Rosenberg 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 Nos. 1:24-cr-106 (Smith) and 1: 24-CR-95 (Anderson).
St. Louis Man Caught with Guns and Drugs After Throwing Dog Out of Window SentencedRead the Press Release
ST. LOUIS – U.S. District Judge Henry E. Autrey on Thursday sentenced a man caught with guns and fentanyl after throwing a French bulldog out of a window to 75 months in prison.
On Oct. 19, 2023, police investigating the theft of two French bulldogs set up a meeting to “buy” the dogs. Officers arrested the seller outside of her apartment in St. Louis. As police approached the apartment to try and recover the dogs, a window opened and one of the dogs was thrown out. Police entered that apartment and found Landon Allen hiding in a closet. He had a baggie with 105 capsules containing fentanyl in his pocket. Nearby were empty capsules, a press used to make pills, an AR pistol and a handgun with an extended magazine. Allen admitted as part of his plea possessing one or more of the firearms in furtherance of fentanyl distribution.
Allen, 24, pleaded guilty in June in U.S. District Court in St. Louis to one count of possession with intent to distribute fentanyl.
The North County Police Cooperative, the St. Louis Metropolitan Police Department and the FBI investigated the case. Assistant U.S. Attorney Donald Boyce prosecuted the case.
St. Francis Man Convicted of BurglaryRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Eric C. Schulte has sentenced a St. Francis, South Dakota, man convicted of Second-Degree Burglary. The sentencing took place on September 9, 2024.
Antonio Molina, 35, was sentenced to one year and five months in federal prison, followed by two years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Molina was indicted for second-degree burglary by a federal grand jury in August of 2023. He pleaded guilty on June 10, 2024.
The conviction arose from an incident in St. Francis, within the Rosebud Sioux Indian Reservation, where Molina broke into an individual’s home and attempted to steal various items, including a firearm. Molina was apprehended by law enforcement as he was leaving the scene of the burglary.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Meghan Dilges prosecuted the case.
Molina was immediately remanded to the custody of the U.S. Marshals Service.
Son Found Guilty After Shooting and Conspiring with His Mother to Corruptly Tamper with WitnessesRead the Press Release
TULSA, Okla. – Last night, a federal jury found a son and his mother guilty of crimes related to a 2023 shooting.
Marco Dionte Atkins, 19, of Tulsa and a citizen of Muscogee (Creek) Nation, was convicted of Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence; and Tampering with a Witness by Corrupt Persuasion.
Sidney Brook Mayfield, 39, was convicted of Retaliating Against a Witness, Victim, and Informant; and False Declaration Before a Grand Jury.
They were both found guilty of Conspiracy to Tamper with a Witness, Victim, and Informant by Corrupt Persuasion; Corruptly Tampering with a Witness, Victim, and Informant; and Corruptly Obstructing the Due Administration of Justice.
According to court documents and evidence presented at trial, shortly after 8 pm on Nov. 26, 2023, Sidney Mayfield pulled into a convenience store directly across from the street from a high school. Five teenagers were in the car, including Marco Atkins, Mayfield’s then 18-year-old son. The teens, Mayfield and Atkins, were seen entering the store on video surveillance. After a few minutes inside the store, a verbal altercation began between the teens and the victim. The teens, Mayfield and Atkins, left the store. The teens continued to argue with the victim outside. The video shows Atkins inside the vehicle, firing multiple rounds towards the victim, eventually hitting him. Another person was seen exiting the vehicle to grab something on the ground before Mayfield sped off.
Evidence presented to the jury showed that shortly after Atkins was arrested in January 2024, Mayfield and Atkins began tampering with witnesses, obstructing the investigation, and commenting about retaliation. Atkins original trial was set to begin in June of 2024 but was forced to be continued due to their obstruction and witness tampering. After the trial was continued in June, evidence showed Mayfield ranting on social media about a witness being a “snitch,” announcing the witness's full name and where the family resided. In the video played for the jury, Mayfield stated that she would “kill anybody” that went against her or her son and that she would “ride with Marco until the [explicit] wheels fell off.” Shortly after she posted that video, Mayfield was indicted and arrested, and Atkins was charged with additional counts.
The victim testified that he was shot once in the stomach. He did have a firearm on him, but he did not pull the gun out of his pocket. After being shot, the victim believes he fell backward, and the gun fell out of his pocket. He testified about passing out on the way to the hospital, where it took several days for him to recover from the gunshot wound. Officers testified they did not find a gun on the victim.
During the trial, Atkins testified that the victim made threats towards him and his friends. Atkins said the victim pointed a gun directly at him, and that is why he shot. Atkins described the victim falling backward after being shot and dropping his gun. He said that someone from his vehicle grabbed the victim's gun before they drove off. At the trial, prosecutors questioned Atkins about his testimony and evidence presented regarding obstruction and witness tampering. Atkins denied any involvement.
Atkins and Mayfield will remain in custody until sentencing at a later date.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Tulsa Police Department investigated the case. Assistant U.S. Attorneys John W. Dowdell and Kenneth Elmore prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about PSN, please visit Justice.gov/PSN.
Sioux Falls Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Eric C. Schulte has sentenced a Sioux Falls, South Dakota, man convicted of Failure to Register as a Sex Offender. The sentencing took place on September 9, 2024.
Calvin Spotted Tail, 44, was sentenced to 27 months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Spotted Tail was indicted by a federal grand jury in December of 2023. He pleaded guilty on June 6, 2024.
On December 1, 2005, Spotted Tail pleaded guilty to Sexual Abuse in federal court in South Dakota. As a result of this conviction, Spotted Tail is required to register as a sex offender pursuant to the Sex Offender Registration and Notification Act (SORNA). Spotted Tail last registered with authorities on October 31, 2023. He left his registered address on November 2, 2023, did not return, and did not update his registration as required. Spotted Tail was arrested on October 31, 2023, in Sioux Falls.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Brian J. Murphy prosecuted the case.
Spotted Tail was immediately remanded to the custody of the U.S. Marshals Service.
Senior Fund Executives and Salespeople Charged in Connection with $60 Million Pre-IPO Fraud SchemeRead the Press Release
Earlier today, at the federal court in Brooklyn, a five-count indictment was unsealed charging John Cangialosi, Peter Girgis, Gene Sarabella, also known as “Jerry,” Enrico Carini, also known as “Ed,” and Caner Otar, also known as “John,” with conspiracy to commit securities fraud, conspiracy to commit wire fraud, securities fraud, investment adviser fraud, and money laundering conspiracy in connection with their scheme to defraud investors in Max Infinity Management LLC, Elder Fund Management LLC, and a related series of funds (collectively, “Max Infinity”). The defendants’ fraudulent misrepresentations about the operation of the funds, including excessive and undisclosed share price markups charged to investors, allowed them to raise more than approximately $60 million from investors and divert approximately $27 million for the benefit of the defendants and other Max Infinity salespeople.
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 charges.
“As alleged, based on false promises the defendants bilked investors out of millions of dollars,” stated United States Attorney Breon Peace. “They lied about how they made money and promised near-certain returns on investment when, in truth, they charged astonishing markups, at times greater than 95%, and defrauded investors. My office will vigorously prosecute those who seek to take advantage of the investing public for their own greed.”
Mr. Peace expressed his appreciation to the Securities and Exchange Commission (SEC), Washington, D.C. Home Office, for its significant cooperation and assistance during the investigation.
“These five defendants allegedly charged undisclosed markup fees to defraud almost $60 million from investors of Max Infinity, routing nearly half of the proceeds to their personal wallets. Luring in investors based on false success stories and concealing additional expenses betrays their belief that the money is being handled appropriately. The FBI will continue to disrupt fraudulent schemes rooted in deceit and investigate anyone seeking to make an unlawful quick buck at the cost of another,” stated FBI Director Curtis.
As set forth in the indictment, Max Infinity was a New York City based manager of investment funds that bought and sold stock issued by privately held companies that anticipated an initial public offering (IPO). Principals Cangialosi, Girgis, and Sarabella, along with sales team leaders Carini and Otar, engaged in a scheme to defraud investors and prospective investors in Max Infinity by misrepresenting, among other things, that Max Infinity took no upfront fees, was registered with the SEC, and sourced pre-IPO shares directly from the issuing companies. The defendants also fabricated Max Infinity’s track record – claiming on their website and to investors that Max Infinity had returned significant profits to investors in prior successful IPOs—when in reality, Max Infinity had no such previous investments. Additionally, Cangialosi and Girgis were both, at various times, under suspension by the Financial Industry National Regulatory Authority (FINRA) and hid their involvement in Max Infinity from investors.
Even though investors were told that Max Infinity did not make money until customers made money, Cangialosi, Girgis, and Sarabella paid themselves distributions and paid salespeople commissions out of excessive, undisclosed markups charged to investors. From these distributions, Sarabella directed the purchase of more than a million dollars in luxury watches. Salespeople also utilized scripts that falsely assured investors that the firm had an impressive track record of success in prior IPO deals, conducted extensive due diligence, and had specialized access to top deals. At the principals’ direction, salespeople lulled investors into a false sense of security by falsely claiming SEC oversight over their fund and its investments.
The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.
In July 2022, Mr. Peace was selected as the Chairperson of the White Collar Fraud subcommittee for the Attorney General’s Advisory Committee (AGAC). As the leader of the subcommittee, Mr. Peace plays a key role in making recommendations to the AGAC to facilitate the prevention, investigation and prosecution of various financially motivated, non-violent crimes including wire fraud, such as the crimes that defendants allegedly committed.
If you believe that you or someone you know was victimized by the defendants, please contact the FBI by email at: [email protected] or by calling 1-800-CALL-FBI.
The government’s case is being handled by the Office’s Business & Securities Fraud Section. Assistant United States Attorneys Sarah M. Evans, Eric Silverberg, John O. Enright and Lorena Michelen are in charge of the prosecution, with assistance from Paralegal Specialists Sarah Burn and Liam McNett.
The Defendants:
JOHN CANGIALOSI
Age: 43
Manalapan, New JerseyPETER GIRGIS
Age: 43
Staten Island, New YorkGENE SARABELLA (also known as “Jerry”)
Age: 36
Monroe, New JerseyENRICO CARINI (also known as “Ed”)
Age: 39
Staten Island, New YorkCANER OTAR (also known as “John”)
Age: 37
Brooklyn, New YorkE.D.N.Y. Docket No. 24-CR-363
Securities Trader Pleads Guilty to Market Manipulation ConspiracyRead the Press Release
BOSTON – A securities trader pleaded guilty today in federal court in Boston to his role in a sophisticated, multi-year market manipulation conspiracy involving securities traded on exchanges within the United States, including the New York Stock Exchange and NADSAQ.
Xiaosong Wang, 36, of Upton, Mass. pleaded guilty to one count of conspiracy to commit securities fraud. U.S. Senior District Court Judge William G. Young scheduled sentencing for Dec. 17, 2024. Wang was initially charged in October 2019. Pursuant to a plea agreement, Xiaosong Wang agreed to forfeit $1,041,084 in illicit proceeds from the conspiracy and agreed to an order removing him to China upon completion of his sentence.
From approximately 2013 through at least 2018, Wang participated in the manipulative trading activity of a group of securities traders located in China and, at times, in Massachusetts. Specifically, Xiaosong Wang and his co-conspirators, including Jiali Wang, used multiple brokerage accounts in their names, and in the names of others with whom Xiaosong Wang and Jiali Wang had relationships, to artificially depress or inflate the prices of thinly traded securities. They did so by repeatedly placing relatively small sell (or buy) orders designed to send a false signal about a security’s supply (or demand) and to depress (or inflate) the security’s price. Xiaosong Wang and his co-conspirators then immediately placed relatively large buy (or sell) orders on the other side of the market to take advantage of their manipulations. Once the large orders executed, Xiaosong Wang and his co-conspirators cancelled their outstanding manipulative orders.
Jiali Wang pleaded guilty in August 2022 and was sentenced in December 2022 to time served (three months in prison) and nine months of home detention. Jiali Wang was also ordered to forfeit $7.75 million in illicit proceeds.
The charge of conspiracy to commit securities fraud provides for a sentence of up to 25 years in prison, five years of supervised release, and a fine of $250,000, or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Valuable assistance was provided by the Securities and Exchange Commission. Assistant U.S. Attorney James R. Drabick of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Rockford Man Sentenced to More Than Six Years in Federal Prison for Trafficking Cocaine and Selling FirearmsRead the Press Release
ROCKFORD — A Rockford man has been sentenced to more than six years in federal prison for trafficking cocaine and selling firearms in Rockford.
ROGELIO IBARRA, 34, pleaded guilty earlier this year to distribution of cocaine and the unlawful possession of firearms. U.S. District Judge Iain D. Johnston on Tuesday sentenced Ibarra to 76 months in federal prison.
Ibarra, a leader of the Rockford chapter of the “Insane Unknowns” street gang, admitted in a plea agreement that in 2021 and 2022 he and other gang leaders would distribute cocaine to Insane Unknown members to sell on the streets and fund the gang’s criminal activities. Ibarra also admitted that despite prior felony convictions, he possessed five firearms and sold those firearms to another individual.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Douglas S. DePodesta, Special Agent-in-Charge of the Chicago Field Office of the FBI. The Winnebago County Sheriff’s Office, Rockford Police Department, and U.S. Drug Enforcement Administration assisted in the investigation. The government was represented by Assistant U.S. Attorney Robert S. Ladd.
Holding illegal firearm possessors accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods (PSN) – the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, the U.S. Attorney’s Office and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Robeson County Man Who Led Law Enforcement on Two Car Chases Sentenced for Armed RobberyRead the Press Release
GREENSBORO – A Robeson County man convicted of Hobbs Act robbery and brandishing a firearm during a crime of violence has been sentenced, announced United States Attorney Sandra J. Hairston of the Middle District of North Carolina (MDNC).
SHAWN CRAIG STRICKLAND, age 46, of Maxton, North Carolina, was sentenced on September 11, 2024, to 150 months in prison. STRICKLAND pleaded guilty on April 2, 2024, to interference with commerce by robbery, a violation of Title 18, United States Code, Section 1951(a), and brandishing a firearm during and in relation to a crime of violence, a violation of Title 18, United States Code, Section 924(c)(1)(A)(ii).
According to court records, in the early morning of February 5, 2023, a suspect, later identified as STRICKLAND, entered the County Line Grocery located at 1482 NC Highway 71 North in Maxton in the MDNC, armed with a handgun and disguised. He held the firearm on the counter, demanded the clerk give him the money in the register, and stole $1,894. On February 9, when deputies from Scotland County Sheriff’s Office (SCSO) and Robeson County Sheriff’s Office (RCSO) attempted to apprehend STRICKLAND, he led them on a dangerous car chase, at times through residential areas, while weaving through traffic, swerving across the lane divider, driving with his foot on the dashboard and out of the driver’s side window, and drinking a beer. STRICKLAND evaded capture as he drove into the woods.
SCSO and RCSO enlisted the assistance of the U.S. Marshals Service in apprehending STRICKLAND. On April 4, 2023, law enforcement located STRICKLAND, and again he led them on a dangerous car chase, avoiding spike strips, driving into oncoming traffic, and running cars off the road. When his car became stuck in muddy terrain, he exited the car with a loaded shotgun. As law enforcement ran after him, he dropped the shotgun but refused to obey any other commands as he ran through woods and pastures until law enforcement captured and arrested him.
STRICKLAND was sentenced by the Honorable Thomas D. Schroeder, United States District Judge in the United States District Court for the MDNC. At the conclusion of his active term of imprisonment, STRICKLAND will be subject to a five-year term of supervised release. He was also ordered to pay $1,894 in restitution.
The case was investigated by the Scotland County Sheriff's Office, Robeson County Sheriff's Office, United States Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The case was prosecuted by Assistant United States Attorney Laure Jeanne Dildine.
###
Research Foundation Pays $313,574 to Resolve Claims That University Research Scientist Failed to Disclose Foreign SupportRead the Press Release
ALBANY, NEW YORK – The Research Foundation of the State University of New York (RFSUNY) has paid $313,574 to resolve civil allegations that a research scientist at the State University of University at Albany (UAlbany) failed to disclose his affiliations with and support from a foreign government in connection with federal research funding.
The settlement relates to National Aeronautics and Space Administration (NASA) and National Oceanic and Atmospheric Administration of the United States Department of Commerce (NOAA) grants and research support agreements that provided funding to UAlbany. In the funding application process, NASA and NOAA require disclosure of, among other things, foreign government support received by any principal investigator (PI) on the grant or agreement. The settlement resolves allegations that Research Scientist Dr. Qilong Min failed to disclose his affiliations with and/or funding from the People’s Republic of China (PRC) in connection with Min’s work as PI on three federal research grants from which RFSUNY received funding (the Subject Grants). In particular, UAlbany’s Dr. Min did not disclose that he was receiving funding from PRC during the period of the Subject Grants in connection with: (i) Min's employment with Wuhan University, a public university in China; (ii) Min's participation in a Chinese Talent Plan, a program established by the PRC to recruit individuals with knowledge or access to foreign technology intellectual property; and (iii) grants that funded Min’s research efforts for projects in China from the National Natural Science Foundation of China and other Chinese funding sources. During the United States’ investigation, UAlbany terminated Dr. Min’s employment.
“Universities, institutions and researchers are required to make certain disclosures when applying for federal grants so that the government can assess whether to fund their research and development,” said United States Attorney Carla B. Freedman. “My office will hold accountable applicants who undermine the integrity of the grant process by knowingly failing to submit complete and truthful applications.”
“This settlement demonstrates NASA OIG’s commitment to identifying and holding accountable those who engage in deliberate concealment of affiliations with foreign entities to illegally obtain research funding,” said Adelle K. Harris, Special Agent in Charge of the Eastern Field Office, NASA Office of Inspector General. “I am proud of the exceptional teamwork of our law enforcement partners and the USAO for the Northern District of New York that resulted in securing this settlement and ensuring aggressive oversight of taxpayer funds awarded for academic research.”
“The U.S. Department of Commerce (DOC), Office of Inspector General is determined to protect the integrity of NOAA programs and grant funding,” said Eric Arcand, Special Agent in Charge, DOC Office of Inspector General. “Failure to comply with level of effort reporting requirements when working on NOAA-funded research projects undermines the trust placed in those receiving federal grant funds. We greatly appreciate the efforts by the U.S. Attorney’s Office and our federal law enforcement partners in investigating and resolving this matter.”
This matter was handled by Assistant U.S. Attorney John D. Hoggan, Jr., with substantial assistance from DOC OIG and NASA OIG.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Repeat Child Pornography Offender Sentenced to 15 Years in PrisonRead the Press Release
MOBILE, AL – Jedidiah Allen, age 32, was sentenced on September 10 to 15 years in prison after entering guilty pleas to Distribution of Child Pornography and Access with Intent to View Child Pornography. Allen entered his guilty pleas on April 15, 2024.
According to court documents, Allen was distributing child pornography via a social media website and possessed child pornography on his phone on two different occasions. Law enforcement investigated Allen after receiving a tip from a social media platform. In August of 2022, Allen’s phone was seized and examined. Law enforcement found 103 images of child pornography. There was a text message on the device in which Allen asked a female to take pictures of her young niece in the shower, and there were messages in which Allen described sexually abusing a minor child and taking a photograph of the abuse. Upon his arrest on March 14, 2024, Allen was again found to be in possession of child pornography on his phone. Allen was previously convicted of Possession of Obscene Materials Under 17 in the Circuit Court of Mobile County on March 2, 2020.
At sentencing, Chief Judge Beaverstock imposed a 180-month sentence of incarceration and a fifteen-year term of supervised release upon Allen’s discharge from prison. During his term of supervised release, Allen will be subject to sex offender treatment, substance abuse testing and treatment as well has mental health treatment. Allen will be required to register as a sex offender and is to have no contact with minors. Allen was ordered to pay $3,000 in restitution in $200 in special assessments.
Homeland Security Investigations and the Alabama Law Enforcement Agency investigated the case. Assistant U.S. Attorney Kacey Chappelear prosecuted the case on behalf of the United States.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit https://www.justice.gov/psc/publications-resources
Rapids Theatre owner and associate named in superseding indictment for defrauding the Economic Injury Disaster Loan and Paycheck Protection Programs out of more than $750,000Read the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that a federal grand jury has returned a superseding indictment charging John L. Hutchins, 70, of Lewiston, NY, and Roberto Soliman, 40, of Niagara Falls, NY, with conspiracy to commit wire fraud and bank fraud, bank fraud, and wire fraud. In addition, defendant Hutchins is charged with making a false statement and defendant Soliman is charged with engaging in monetary transactions with criminally derived property. The charges carry a maximum penalty of 30 years in prison.
Assistant U.S. Attorneys Paul E. Bonanno and Douglas A. C. Penrose, who is handling the case, stated that the superseding indictment charges Hutchins and Soliman with filing fraudulent loan applications under the Economic Injury Disaster Loan (EIDL), the Paycheck Protection Program (PPP), and the Shuttered Venue Operators Grant (SVOG). The loans available for these programs were designed to provide emergency financial assistance pursuant to the Coronavirus Aid, Relief, and Economic Security (CARES Act). The defendants applied for loans under the following companies owned by defendant Hutchins:
• Rapids Theatre Niagara Falls, USA, Inc.
• 1711 Main, LLC
• Bear Creek Entertainment, LLC
• Hutch Enterprises, LLC
• The Hutchins Agency, LLC
• CWE Entertainment, Corp. (owned by defendant Soliman)
Between March and August 2020, Hutchins and Soliman received four Economic Injury Disaster Loans totaling $749,500.00. In support of each of the loans, Hutchins and Soliman submitted false revenue and expense figures for the businesses on the loan applications. Hutchins and Soliman used the loan funding for their own personal expenses, such as payments for residential properties in North Tonawanda, NY, and Lewiston, NY, a 2020 BMW, a 2020 Cadillac, homeowner association fees on a Florida condominium, and payments to relatives.
In addition, Hutchins and Soliman applied for and received two Paycheck Protection Program loans totaling $115,978.
In November 2020, Hutchins is accused of making a false statement to a Special Agent of the Federal Bureau of Investigation and to an Investigator of the United States Attorney's Office, falsely denying applying for, or authorizing anyone to apply for, any Economic Injury Disaster Loans or Paycheck Protection Program loans, with the possible exception of one PPP loan for Rapids Theater.
Soliman is also accused of engaging in monetary transactions with criminally derived property for using the fraudulent loan proceeds to pay personal expenses.
The superseding indictment is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge Thomas Fattorusso, U.S. Customs and Border Protection, under the direction of Rose Brophy, Director of Field Operations, and the New York State Office of Professional Discipline.
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.
# # # #
Providence Resident Admits to Role in Schemes to Defraud Unemployment Benefit Programs, Property Title CompanyRead the Press Release
PROVIDENCE, RI – A Providence man has admitted to a federal judge that he participated in an international fraud scheme to defraud the federally-funded pandemic unemployment compensation program of more than $70,000, and to defraud an Alabama-based property title company of an additional $80,000, announced United States Attorney Zachary A. Cunha.
Obryan Poku, 29, pleaded guilty to two counts of wire fraud and one count each of theft of public funds and money laundering. He is scheduled to be sentenced on December 17, 2024.
As reflected in court documents, after living in Texas for two years, Poku returned to Rhode Island in June 2021, while continuing to collect pandemic unemployment insurance benefits from the Texas Workforce Commission (TWC). On approximately 10 occasions, Poku made fraudulent statements in the course of recertifying online benefits applications, falsely attesting that he was not receiving any other income, when in fact he was. Poku subsequently received pandemic unemployment benefits totaling $14,042 that he was not entitled to receive.
Additionally, Poku conspired with individuals in Ghana to launder $70,644 in pandemic unemployment benefits received from the Illinois Department of Economic Security; those benefits were obtained by individuals working with Poku, using the stolen personal identification information of three individuals. The Illinois benefit payments were directed to a bank account controlled by Poku, who then wired a portion of the ill-gotten proceeds to his co-conspirators in Ghana, while keeping a portion for himself.
In yet another scheme detailed in court filings, Poku conspired with individuals in Ghana in an attempt to defraud an Alabama-based title company. To carry out the scheme, Poku or a member of the conspiracy sent an $80,000 check to the title company, purportedly as earnest money for a pending real estate transaction. Approximately two weeks after the check was placed in escrow by the title company, the co-conspirators sent the company an email stating that the property purchase had fallen through, and requesting that the $80,000 earnest payment be reimbursed to an investment company. It was later determined by investigators that the investment company had been created by Poku just days prior to the request for reimbursement. Shortly after the funds were transferred to Poku’s company account, the title company was notified that the original check was fraudulent and that the funds in Poku’s company’s account had been frozen. Poku then attempted to access the funds by repeatedly calling the bank and falsely stating that the funds were sent from business partners, and later, by family members.
Poku is scheduled to be sentenced on December 17, 2024. The defendant’s sentences will be determined by a federal district court judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.
The case is being prosecuted by Assistant United States Attorney G. Michael Seaman.
The matter was investigated by the FBI’s Rhode Island Complex Financial Crimes Task Force. The Task Force is comprised of agents from the FBI and Internal Revenue Service – Criminal Investigations, and members of the Providence Police Department, North Providence Police Department, and the Rhode Island State Police.
###
Prior felon charged with illegal firearm possessionRead the Press Release
BUFFALO, N.Y. — U.S. Attorney Trini E. Ross announced today that Lawrence Foggie, 66, of Buffalo, NY, was arrested and charged by criminal complaint with possession of a firearm in furtherance of drug trafficking crimes and being a felon in possession of a firearm, which carry a maximum penalty of life in prison.
Assistant U.S. Attorney Donna M. Duncan, who is handling the case, stated that on September 6th, 2024, Buffalo Police and the ATF received information that an individual in the area of Main and E. Utica Streets in Buffalo, pulled a firearm on another person. Law enforcement officers responded to the area and observed Foggie as matching the description of the individual. Law enforcement approached and gave verbal commands for Foggie to stop moving. Foggie stated that he had a pistol permit and a firearm in his backpack. He was taken into custody. A loaded .38 caliber revolver, 3.6 grams of suspected methamphetamine, pills and drug paraphernalia were recovered from Foggie’s backpack. In July 2016, Foggie was convicted of a felony in Erie County Court and is legally prohibited from possessing a firearm.
Foggie made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. and was detained.
The complaint is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Joseph Gramaglia and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Bryan Miller.
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.
# # # #
Previously convicted Newport News man sentenced for federal firearm offenseRead the Press Release
NEWPORT NEWS, Va. – A Newport News man was sentenced today to three years and one month in prison for being a felon in possession of a firearm.
According to court documents, on Jan. 25, 2022, Antonio James Hill, 33, sold a .38 caliber handgun and five rounds of ammunition to a confidential informant (CI) for $200. During this controlled purchase, Hill was wearing a shoulder holster holding another firearm.
Hill was previously convicted of felonies, including malicious wounding and use or display of a firearm during the commission of a felony. He also was convicted of assaulting a corrections officer while incarcerated for the prior felony convictions. As a convicted felon, Hill cannot legally possess a firearm or ammunition.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, James VanVliet, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division, and Jason S. Miyares, Attorney General of Virginia, made the announcement after sentencing by Chief U.S. District Judge Mark S. Davis. The Newport News Police Department and Hampton Police Department provided significant assistance in the investigation of this case.
Special Assistant U.S. Attorney Alyson C. Yates, an Assistant Attorney General with the Virginia Attorney General’s Office, prosecuted the case.
Assistance was provided by the Washington/Baltimore High Intensity Drug Trafficking Area (HIDTA) task force.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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. 4:24-cr-12.
Portland Man Sentenced to 156 Months in Federal Prison for Possessing Methamphetamine While on Federal SupervisionRead the Press Release
EUGENE, Ore.—A Portland, Oregon man with prior convictions for narcotics, firearms, and interstate prostitution was sentenced to federal prison today for possessing methamphetamine after he was caught by federal law enforcement, while on supervised release, with narcotics and a firearm.
Anthony Ballard Jones, 42, was sentenced to 156 months in federal prison and five years’ supervised release.
“Every day the FBI works tirelessly to build strong cases to remove violent individuals like Anthony Jones from our communities,” said Douglas A. Olson, Special Agent in Charge of the FBI Portland Field Office. “We appreciate the work of the U.S. Attorney's Office in pursuing justice in this case.”
According to court documents, in January 2022, FBI received reports from a concerned citizen that Jones, on federal supervised release from a prior conviction, was sending threatening text messages to individuals. During the investigation, FBI received reports from another concerned citizen that Jones was engaged in illegal activities. At the same time, Jones had fled federal supervision and the U.S. Probation Office in Oregon was rendered unable to track his whereabouts or monitor his conduct.
On March 23, 2022, FBI special agents arrested Jones in Portland, Oregon. A firearm and multiple bags were seized from Jones’ vehicle. Later, investigators searched the bags and found ammunition, a knife, drug packaging materials and paraphernalia, and distribution quantities of methamphetamine and fentanyl, as well as cocaine and heroin.
On April 21, 2022, a federal grand jury in Eugene returned a three-count indictment charging Jones with possessing methamphetamine with the intent to distribute, illegally possessing a firearm as a convicted felon, and possessing a firearm in furtherance of a drug trafficking crime.
On September 12, 2024, Jones pleaded guilty to possessing methamphetamine with the intent to distribute.
This case was investigated by the FBI. It was prosecuted by William M. McLaren and Jeffrey S. Sweet, Assistant U.S. Attorneys for the District of Oregon.
Placer County Man Pleads Guilty to Child Exploitation ChargeRead the Press Release
SACRAMENTO, Calif. — Paul Hughes, 41, of Colfax, pleaded guilty today to sexual exploitation of a child, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between September 2018 and June 2019, on three separate occasions Hughes created visual depictions of minors engaged in sexually explicit conduct. Hughes used a cellphone to surreptitiously record at least three videos containing child sexual abuse material and saved them on an external hard drive. In addition to these videos, agents recovered over 3,000 images and videos of child sexual abuse material on Hughes’s external hard drive and Google account.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Denise N. Yasinow is prosecuting the case.
Hughes is scheduled to be sentenced on Jan. 30, 2025, by U.S. District Judge Troy L. Nunley. Hughes faces a mandatory minimum sentence of 15 years in prison and a maximum statutory penalty of 30 years in prison. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Philadelphia Man Who Carjacked Two Ride-Share Drivers in One Week Sentenced to More Than 11 Years in PrisonRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Rashad Johnson-Price, 20, of Philadelphia, Pennsylvania, was sentenced today to 135 months in prison, five years of supervised release, and a $300 special assessment by United States District Court Judge Michael M. Baylson, for two counts of carjacking and one count of carrying and using a firearm during, and in relation to, the commission of a crime of violence.
Johnson-Price was indicted on those violations in January of 2023. He pleaded guilty in September 2023, before the late Honorable Gene E.K. Pratter, admitting to carjacking a Lyft driver with an accomplice at approximately 4 a.m. on August 9, 2022, in the Frankford section of Philadelphia. As part of his plea, the defendant also admitted to carrying and using a firearm to commit this offense. Then, on August 13, 2022, the defendant and an accomplice carjacked an Uber driver at approximately 5 a.m. In both instances, the defendant and an accomplice requested a ride-share vehicle and when they arrived at or near their destination, they carjacked the vehicle from the ride-share driver at gunpoint.
“The victims in this case were just trying to make an honest living when two criminals threatened them at gunpoint,” said U.S. Attorney Romero. “It must have been terrifying, especially in the early hours of the morning, with few other people around. We and our partners on the Philadelphia Carjacking Task Force will not allow carjackers like Rashad Johnson-Price to commit these violent crimes with impunity. He’ll now be living his 20s behind bars.”
“Luring victims through their ride-share service to take their cars and livelihood at gunpoint was a particularly awful crime that will not go unpunished,” said Eric J. DeGree, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ Philadelphia Field Division. “Working with our Philadelphia Carjacking Task Force partners, ATF Philadelphia Field Division applies our unique forensic and investigative tools to ensure justice for the victims and to make our communities safer.”
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Philadelphia Police Department and is being prosecuted by Assistant United States Attorneys Robert E. Eckert and Lauren E. Stram.
Philadelphia Businessman Sentenced to One Year in Prison for Evading $148,000 in TaxesRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that William Powell, 65, of Philadelphia, Pennsylvania, was sentenced to 12 months in prison and three years of supervised release by United States District Court Judge Michael M. Baylson, for committing tax evasion. Powell was also ordered to pay $148,984 in restitution and a $50,000 fine.
The defendant was indicted in August 2023 and pleaded guilty to the charges against him in May.
Powell had been performing general contracting work and cleaning services for a federally funded nonprofit organization in the Philadelphia area, but in 2010, he married the executive director of this nonprofit. Conflict-of-interest rules prohibited the nonprofit from retaining Powell’s company due to the marriage.
To circumvent these rules, Powell used another person to take over the cleaning business as a nominal owner. Powell continued to run the business, provide the services, and receive compensation from the cleaning business. While hiding his operation of the cleaning service business from 2014 through 2018, Powell earned over $700,000 derived from payments made to the cleaning business by his wife’s non-profit entity.
Powell hid this income by receiving cash payments, using a debit card in the name of the cleaning business to pay his personal expenses, failing to file tax returns, and eventually lying to IRS agents when they interviewed him about his activity. By hiding over $700,000 in income from the IRS, Powell evaded paying $148,984 in income taxes.
“Paying the taxes that we lawfully owe is both our civic and legal duty,” said U.S. Attorney Romero. “William Powell opted to go another way, concealing hundreds of thousands of dollars in income. In doing so, he cheated both the government and the honest taxpayers who help fill its treasury each year. That’s why tax evasion has some serious consequences, as Mr. Powell can now confirm.”
“The prosecution of individuals who intentionally conceal income and evade taxes is a vital element of the IRS' enforcement strategy,” said Amy MacNeely, Acting Special Agent in Charge, IRS-Criminal Investigation Philadelphia Field Office. “Those who attempt to hide their income to evade paying taxes, like Mr. Powell did, should know you will be prosecuted.”
The case was investigated by the Internal Revenue Service - Criminal Investigation and the United States Department of Agriculture Office of Inspector General, and is being prosecuted by Assistant United States Attorney Michael T. Donovan.
Pharr resident receives max for smuggling over 100Read the Press Release
CORPUS CHRISTI, Texas – A 21-year-old man has been sentenced for transporting undocumented individuals, announced U.S. Attorney Alamdar S. Hamdani.
Isaac Jake Gonzalez pleaded guilty March 30, 2023.
U.S. District Judge David S. Morales has now ordered Gonzalez to serve 60 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard evidence that while on bond, Gonzalez continued to smuggle undocumented individuals and allegedly trafficked a 15-year-old girl for sex which resulted in a revocation of his bond. The court also heard Gonzalez was responsible for smuggling unaccompanied minors and that, in some cases, the undocumented people were locked in trailers where the refrigeration was not working.
Beginning in summer 2021, authorities initiated an investigation into an organization responsible for smuggling thousands of undocumented aliens in tractor-trailers. Law enforcement ultimately identified Gonzalez and his brother-in-law, Anthony Williams, as coordinators responsible for recruiting drivers.
On Dec. 6, 2022, authorities arrested Gonzalez and three other co-conspirators. Law enforcement discovered that members had delivered six undocumented migrants to a warehouse where a tractor-trailer was waiting to smuggle them north.
Through the investigation, Gonzalez was found responsible for smuggling approximately 115 undocumented individuals.
Williams, 27, Pharr, was previously sentenced to 96 months in federal prison.
Gonzalez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of Border Patrol and Texas Department of Public Safety. Assistant U.S. Attorney Barbara J. De Peña prosecuted the case.
Parmelee Man Sentenced for Attempted RobberyRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that Chief Judge Roberto A. Lange, U.S. District Court, has sentenced a Parmelee, South Dakota, man convicted of Attempted Robbery. The sentencing took place on September 10, 2024.
Phillip Clairmont, age 25, was sentenced to four years and six months in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund. Clairmont was further ordered to pay restitution in the amount of $25,000.
Clairmont was indicted by a federal grand jury in March of 2024. He was found guilty following a two-day jury trial in June of 2024.
On January 13, 2024, Clairmont entered a convenience store in Parmelee, which is within the boundaries of the Rosebud Sioux Indian Reservation. The victim worked at the store and was seated behind the store counter. Clairmont approached the victim and began assaulting him, by striking him in the head and face, and demanded money. The victim agreed to give Clairmont money, at which point Clairmont stopped assaulting the victim. The victim then retrieved a firearm and shot Clairmont in the abdomen. Clairmont immediately fled the store, and the victim called 911. Clairmont was located a short time later at a nearby residence and was hospitalized for his injuries.
This matter was prosecuted by the U.S. Attorney’s Office because the Major Crimes Act, a federal statute, mandates that certain violent crimes alleged to have occurred in Indian country be prosecuted in Federal court as opposed to State court.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Clairmont was immediately remanded to the custody of the U.S. Marshals Service.
Orange County felon sentenced to federal prison for gun violationRead the Press Release
BEAUMONT, Texas – An Orange convicted felon has been sentenced to federal prison for a firearms violation in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs.
Terryence John Nelson, 40, pleaded guilty to being a felon in possession of a firearm and was sentenced to 46 months in federal prison by U.S. District Judge Marcia A. Crone on September 12, 2024.
According to information presented in court, on October 29, 2023, law enforcement officers were dispatched to the Orange Boat Ramp in reference to a large disturbance with shots fired. Upon arrival, officers could see a large crowd with numerous vehicles in the boat ramp parking lot. As officers approached the scene, they heard several gunshots and observed muzzle flashes. Witnesses identified a dark green Lincoln Continental town car and told police that some of the occupants were involved in the shooting. Police identified the driver of the car as Nelson. Further investigation revealed Nelson had an active warrant for his arrest and he was detained. During the arrest, Nelson was found to have a semi-automatic pistol in his pants pocket. The firearm had previously been reported stolen out of Orange County, Texas, and it had an extended magazine loaded with approximately 19 rounds of ammunition.
Nelson admitted to officers that he carried the firearm everywhere he went for protection. He told officers that he knew it was wrong because he was a convicted felon.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Orange Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives and prosecuted by Assistant U.S. Attorney Matthew Quinn.
###
Ohio Man Sentenced for Tax Fraud Conspiracy Related to Illegal Gambling BusinessesRead the Press Release
An Ohio man was sentenced to 24 months in prison today for conspiring to defraud the IRS by not reporting income he earned from his ownership and operation of illegal gambling businesses.
According to court documents and statements made in court, from 2010 through 2018, Jason Kachner, of Canton, along with Christos Karasarides Jr. and other co-conspirators, owned and operated two illegal gambling businesses, Skilled Shamrock and Redemption. From 2012 through 2017, patrons at Skilled Shamrock wagered a total of more than $34 million, which resulted in more than $4 million in income for the owners of the gambling business. Kachner conspired with his co-owners to defraud the IRS by using a nominee owner to conceal their ownership of the businesses and by filing false tax returns that omitted most of the income he received from the businesses.
Overall, Kachner caused a loss to the IRS of $844,692.
In addition to his prison sentence, U.S. District Judge Donald C. Nugent for the Northern District of Ohio ordered Kachner to serve three years of supervised release and pay $1,393,024 in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS Criminal Investigation, the Stark County Prosecutor’s Office, the U.S. Department of Treasury Office of Inspector General, Homeland Security Investigations, the Ohio Casino Control Commission, and Ohio Organized Crime Investigations Commission-Major Crimes Task Force investigated the case.
Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.
Ohio Man Sentenced for Tax Fraud Conspiracy Related to Illegal Gambling BusinessesRead the Press Release
An Ohio man was sentenced to 20 months in prison for conspiring to defraud the IRS by not reporting income he earned from his ownership and operation of illegal gambling businesses.
According to court documents and statements made in court, from 2010 through 2018, Jason Kachner, 48, of Canton, along with Christos Karasarides Jr., 59, of Canton, and other co-conspirators, owned and operated two illegal gambling businesses, Skilled Shamrock and Redemption.
From 2012 through 2017, patrons at Skilled Shamrock wagered a total of more than $34 million, which resulted in more than $4 million in income for the owners of the gambling business. Kachner conspired with his co-owners to defraud the IRS by using a nominee owner to conceal their ownership of the businesses and by filing false tax returns that omitted most of the income he received from the businesses.
Overall, Kachner caused a loss to the IRS of $844,692.
In addition to his prison sentence, U.S. District Judge Donald C. Nugent for the Northern District of Ohio ordered Kachner to serve three years of supervised release and pay $1,393,024 in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS Criminal Investigation, the Stark County Prosecutor’s Office, the U.S. Department of Treasury Office of Inspector General, Homeland Security Investigations, the Ohio Casino Control Commission, and Ohio Organized Crime Investigations Commission-Major Crimes Task Force investigated the case.
Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.
Ohio Man Sentenced for Tax Evasion, Money Laundering and Operating an Illegal Gambling BusinessRead the Press Release
An Ohio man was sentenced to over seven years in prison today for tax, money laundering and gambling crimes arising out of his ownership and operation of illegal gambling businesses and related misconduct.
According to court documents and statements made in court, from 2009 through 2022, Steven Saris owned and operated multiple illegal gambling businesses in Northeast Ohio — including Café 62, Lucky’s, Winner’s World, Spin City and another business in Springfield, Ohio — as well as in Florida. Saris concealed his involvement in and income from these businesses by having others serve as nominee owners, and by destroying and directing others to destroy business records.
For tax year 2015, Saris filed a false tax return that did not report more than $1.4 million in income he received from his illegal gambling businesses. For tax years 2016 through 2021, Saris did not file tax returns or pay all the tax that he owed despite earning more than $9 million in income from his gambling businesses. During that time, Saris made only two nominal payments to the IRS in 2018 when he filed an application for an extension of time to file his 2017 return. Saris used his proceeds from the businesses to gamble millions at legal casinos and to acquire and renovate at least two residential properties located in Canton, Ohio.
Saris’s conduct caused a tax loss of $2,823,391.
In July 2018, law enforcement executed search warrants at multiple illegal gambling businesses and associated locations in Northeast Ohio. Following those search warrants, Saris made false statements to law enforcement. At the same time, Saris continued operating the illegal gambling businesses and did not disclose that to law enforcement. In August 2022, law enforcement executed a court authorized search warrant at Saris’ residence and for his cell phone. Upon learning of the search warrant for his cell phone, Saris told law enforcement that he did not know the location of his cell phone. Law enforcement recovered Saris’ cell phone from the water tank of a toilet in Saris’ residence.
In addition to his prison sentence, U.S. District Judge Donald C. Nugent for the Northern District of Ohio ordered Saris to serve three years of supervised release and pay $2,823,391 in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS Criminal Investigation; the Stark County, Ohio, Prosecutor’s Office; the U.S. Department of Treasury Office of Inspector General; Homeland Security Investigations; the Ohio Casino Control Commission and the Ohio Organized Crime Investigations Commission, Major Crimes Task Force investigated the case.
Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.
Ohio Man Sentenced for Tax Evasion, Money Laundering and Operating an Illegal Gambling BusinessRead the Press Release
An Ohio man was sentenced to over seven years in prison today for tax, money laundering and gambling crimes arising out of his ownership and operation of illegal gambling businesses and related misconduct.
According to court documents and statements made in court, from 2009 through 2022, Steven Saris, 49, of Canton, Ohio, owned and operated multiple illegal gambling businesses in Northeast Ohio — including Café 62, Lucky’s, Winner’s World, Spin City and another business in Springfield, Ohio — as well as in Florida. Saris concealed his involvement in and income from these businesses by having others serve as nominee owners, and by destroying and directing others to destroy business records.
For tax year 2015, Saris filed a false tax return that did not report more than $1.4 million in income he received from his illegal gambling businesses. For tax years 2016 through 2021, Saris did not file tax returns or pay all the tax that he owed despite earning more than $9 million in income from his gambling businesses. During that time, Saris made only two nominal payments to the IRS in 2018 when he filed an application for an extension of time to file his 2017 return. Saris used his proceeds from the businesses to gamble millions at legal casinos and to acquire and renovate at least two residential properties located in Canton, Ohio.
Saris’ conduct caused a tax loss of $2,823,391.
In July 2018, law enforcement executed search warrants at multiple illegal gambling businesses and associated locations in Northeast Ohio. Following those search warrants, Saris made false statements to law enforcement. At the same time, Saris continued operating the illegal gambling businesses and did not disclose that to law enforcement. In August 2022, law enforcement executed a court authorized search warrant at Saris’ residence and for his cellphone. Upon learning of the search warrant for his cellphone, Saris told law enforcement that he did not know where it was located. Law enforcement recovered Saris’ cellphone from the water tank of a toilet in Saris’ residence.
In addition to his prison sentence, U.S. District Judge Donald C. Nugent for the Northern District of Ohio ordered Saris to serve three years of supervised release and pay $2,823,391 in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS Criminal Investigation; the Stark County, Ohio, Prosecutor’s Office; the U.S. Department of Treasury Office of Inspector General; Homeland Security Investigations; the Ohio Casino Control Commission and the Ohio Organized Crime Investigations Commission, Major Crimes Task Force investigated the case.
Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.
Northglenn Man Charged with Assault in Rocky Mountain National Park Crash That Injured ThreeRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces that Wade Thyfault, 24, of Northglenn, Colorado, was charged by complaint with one count of assault resulting in serious bodily injury in connection with a high-speed chase and car crash inside Rocky Mountain National Park.
According to the complaint, on Sunday, September 8, 2024, a Dodge Ram truck drove through the Grand Lake entrance of Rocky Mountain National Park and did not stop. A Park Ranger attempted to engage with the vehicle, which continued to drive erratically through the park at high rates of speed. Near the junction of Mill’s Drive and Highway 36 the Dodge Ram collided with a Toyota Corolla. Three people in the Toyota were injured, one critically. The driver of the Dodge Ram fled the scene on foot. Area law enforcement searched for the driver, who was found the next day after a homeowner in Estes Park reported a break-in at their residence.
The defendant made his initial appearance in Denver, Colorado on September 12, 2024, in front of Chief United States Magistrate Judge Michael E. Hegarty.
The charges contained in the indictment are allegations and the defendant is presumed innocent of the charges unless and until proven guilty.
The case is being investigated by the National Park Service. The case is being prosecuted by Assistant United States Attorney Garreth Winstead.
Case Number: 24-mj-00171-MEH
Northern California Man Arrested on Federal Complaint Alleging He Assaulted Attendants on Flight Bound for San FranciscoRead the Press Release
RIVERSIDE, California – An Alameda County man has been arrested on a federal criminal complaint alleging he assaulted flight attendants shortly after his flight from Orange County to San Francisco took off, causing the flight to divert to Ontario for the safety of passengers and crew, the Justice Department announced today.
Charles Angel Salva, 30, of Fremont, is charged with interference with flight crew members and attendants.
Salva, who was arrested on Wednesday, is expected to make his initial appearance this afternoon in United States District Court in Riverside.
According to an affidavit filed with the complaint, Salva was on a Frontier Airlines flight bound from John Wayne Airport in Santa Ana destined for San Francisco International Airport on September 9. Shortly after takeoff, while the airplane was climbing and under 10,000 feet, flight attendants saw that the oxygen masks in one row of the middle of the aircraft were out of the overhead compartment. Flight attendants investigated and discovered that Salva had his hand in the overhead compartment.
One passenger later told law enforcement that Salva appeared claustrophobic and seemed like he wanted to get off the plane. Salva then pulled down the oxygen mask from the overhead compartment, getting his hand stuck there in the process before a passenger helped him free his hand.
Salva allegedly began yelling obscenities at flight attendants and said, “We are all going to hell,” and “This airplane is going down!” Salva then grabbed at fellow passengers and ran towards the rear of the airplane when flight attendants tried to restrain him. Salva allegedly then attempted to choke a flight attendant, leaving two small marks on the victim’s neck.
Salva then pushed another flight attendant and said he was going to kill everybody, the affidavit alleges. Passengers helped restrain Salva, who broke out of flex cuffs and had to be restrained by a seatbelt. During the incident, Salva kicked one flight attendant approximately six times in the leg, causing apparent bruising and swelling, which required medical attention.
The flight was diverted to Ontario International Airport because the flight attendants did not feel safe trying to put Salva back in his seat.
A complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
If convicted, Salva would face a statutory maximum sentence of 20 years in federal prison.
The FBI and the Ontario Police Department are investigating this matter.
Assistant United States Attorney Cory L. Burleson of the Riverside Branch Office is prosecuting this case.
North Carolina Woman Sentenced to More Than Two Years in Federal Prison for Embezzling More Than $500,000 from Farwell Funeral Service in NashuaRead the Press Release
CONCORD – A North Carolina woman was sentenced today in federal court in Concord in connection with charges arising out of her embezzlement of more than a half a million dollars from her previous employer, Farwell Funeral Service Inc. in Nashua, U.S. Attorney Jane E. Young announces.
LaSaundra Simmons, 52, was sentenced by U.S. District Court Judge Joseph Laplante to 27 months in prison and 2 years of supervised release. The defendant was ordered to pay $541,381in restitution. On May 20, 2024, Simmons pleaded guilty to one count of wire fraud.
Simmons worked as the bookkeeper for Farwell Funeral Service, Inc. for several years. Starting in 2015, and continuing until it was discovered in January 2023, Simmons employed a scheme to embezzle funds from the company. On more than 100 occasions, she either made unauthorized wire transfers of funds from the funeral home’s bank account to her own account, or drafted unauthorized checks which she deposited by electronic wire transfer into her own account. She would often describe these checks as “commissions” or “consulting fees.” She embezzled $541,381 over the course of the scheme.
“Ms. Simmons’s conduct was egregious, long-running, and did great harm to a third-generation New Hampshire small business,” said U.S. Attorney Jane E. Young. “Today’s sentence is a measure of justice for the victim and a warning to other fraudsters that if you steal from your employer, you will be prosecuted and incarcerated.”
“LaSaundra Simmons betrayed the trust of the family-run funeral home where she worked, and stole more than half a million dollars from them, using their money as her own,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “The FBI will diligently investigate and bring to justice anyone who engages in such egregious financial fraud.”
The Federal Bureau of Investigation and the Nashua Police Department led the investigation. Assistant U.S. Attorney Charles L. Rombeau is prosecuting the case.
###
North Carolina Native Pleads Guilty to Gun Trafficking ChargesRead the Press Release
ALBANY, NEW YORK – Kenneth Locke, age 23, who currently resides in Philadelphia, Pennsylvania, pled guilty today to conspiring with others to unlawfully obtain firearms from a licensed dealer by making false statements, also known as “straw purchasing” firearms.
United States Attorney Carla B. Freedman and Bryan Miller, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), made the announcement.
Locke, a native of North Carolina, admitted that he entered into an agreement with Rylan Peterson, a Kingston native and former Marine then living in North Carolina, to acquire six semi-automatic handguns on behalf of Oryin McLeod and others residing in Kingston, New York. After McLeod paid Locke through Peterson, Locke purchased the firearms from a licensed dealer in North Carolina, falsely representing at the time of the purchase that he was acquiring the firearms for himself. Peterson later transported the firearms from North Carolina to New York where he provided them to McLeod and others. McLeod was subsequently arrested for unlawful possession of two of the firearms acquired through the straw purchasing scheme.
Sentencing is scheduled for January 15, 2025, before Senior United States District Judge Lawrence E. Kahn. Locke faces up to 5 years in prison, a fine of up to $250,000, and a term of supervised release of 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
McLeod and Peterson previously pleaded guilty to charges related to their unlawful acquisition of the firearms.
ATF and the Kingston Police Department are investigating this case. Assistant U.S. Attorney Dustin C. Segovia and former Assistant U.S. Attorney Emmet O’Hanlon prosecuted the case.
New Mexico Resident Indicted for Trafficking Firearms into ConnecticutRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Robert Fuller, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury in Hartford has returned a six-count indictment charging TIMOTHY GREGORY, 42, formerly of Questa, New Mexico, with firearms trafficking offenses.
Gregory was arrested on July 18, 2024, in Eugene, Oregon, pursuant to a criminal complaint, and the indictment was returned on July 31, 2024. Gregory appeared today before U.S. Magistrate Judge Robert M. Spector in New Haven and pleaded not guilty to the charges. He has been detained since his arrest.
As alleged in court documents and statements made in court, an FBI New Haven Safe Streets Gang Task Force investigation revealed that Gregory had offered to sell and ship firearms to an individual in Connecticut who is prohibited from possessing firearms. In May 2024, Gregory mailed a parcel containing a Glock 42 .380 caliber pistol and three magazines to Connecticut. In June 2024, he mailed a .223 caliber AR15-style rifle and two empty 30-round magazines to Connecticut. Gregory also indicated he had approximately 300 additional firearms, some which were fully automatic, to sell, as well as six hand grenades.
The indictment charges Gregory with two counts of firearms trafficking, which carries a maximum term of imprisonment of 15 years on each count; two counts of unlawful transfer of firearms to an out-of-state residence, which carries a maximum term of imprisonment of five years on each count; and two counts of mailing nonmailable firearms, which carries a maximum term of imprisonment of two years on each count.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. A charge is only an allegation, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This case is being prosecuted, in part, under the new criminal provisions of the Bipartisan Safer Communities Act, which Congress enacted and the President signed in June 2022. The Act is the first federal statute specifically designed to target the unlawful trafficking and straw-purchasing of firearms.
This matter is being investigated by the FBI New Haven Safe Streets Gang Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the U.S. Postal Inspection Service. The Task Force includes members from the FBI, the Connecticut State Police, the Connecticut Department of Correction, and the New Haven, Milford, East Haven, West Haven, and Wallingford Police Departments. The case is being prosecuted by Assistant U.S. Attorney Stephanie T. Levick.
Neola Man Sentenced to 292 Months in Federal Prison for Transportation of a Minor and a Firearms OffenseRead the Press Release
COUNCIL BLUFFS, Iowa – A Neola man was sentenced today to a total term of 292 months in federal prison for transporting a minor for the purpose of engaging in sex acts and possessing firearms as a felon.
According to public court documents, Steven Earl Adkins, 56, communicated with a minor on Craigslist. He drove to a truck stop in Nebraska, picked up the minor, and brought the minor to his home. Adkins provided necessities to the minor in exchange for sex acts. During a search warrant at Adkins’s residence, law enforcement located 16 firearms and ammunition. In 2011, Adkins was convicted in Nebraska of the felony offense of strangulation, which prohibits Adkins from possessing firearms.
After completing his term of imprisonment, Adkins will be required to serve a five-year term of supervised release. There is no parole in the federal system. Adkins will be required to register as a sex offender.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the FBI, Iowa Division of Narcotics Enforcement, Omaha Police Department, and Colorado Springs Police Department.
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.
Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
Mississippi Woman Pleads Guilty to Fraud Relating to Rental Property IncomeRead the Press Release
CONCORD – A Mississippi woman pleaded guilty today in federal court in Concord to charges arising out of her theft of rental proceeds from her previous employer, U.S. Attorney Jane E. Young announces.
Roslyn Weems, 52, previously of Portsmouth, NH, pleaded guilty to one count of wire fraud. U.S. District Court Samantha Elliott scheduled sentencing for December 19, 2024.
Weems worked for an individual who resides in Portsmouth. The victim owned a luxury property off the coast of Maine that was listed available for rent via the Internet at websites. In July 2021, Weems coordinated the rental of the property for three weeks, generating approximately $52,000 in rental income. Weems arranged to have the payments diverted to accounts under her exclusive control rather than an account associated with the property’s owner, and then used the payments for her own benefit.
The charging statute provides a sentence of no greater than 20 years in prison, 3 years of supervised release, and a fine of $250,000. Restitution is mandatory. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
The Federal Bureau of Investigation and the Portsmouth Police Department led the investigation. Assistant U.S. Attorney Charles L. Rombeau is prosecuting the case.
###
Michigan City Man Sentenced to 88 Months in PrisonRead the Press Release
SOUTH BEND – Demetrius Roberson, 51 years old, of Michigan City, Indiana, was sentenced by United States District Court Judge Damon R. Leichty after pleading guilty to possessing with intent to distribute cocaine and being a convicted felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Roberson was sentenced to 88 months in prison followed by 3 years of supervised release.
According to documents in the case, between December 2022 and February 2023, Roberson sold cocaine on seven occasions, totaling approximately two ounces. A search warrant executed at Roberson’s house in February 2023, resulted in the recovery of almost 400 grams of cocaine, one pound of marijuana, two handguns, and over $5,000.00.
This case was investigated by the Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the LaPorte County Drug Task Force, the Michigan City Police Department, the Indiana State Police Laboratory, and the LaPorte County Prosecutor’s Office. The case was prosecuted by Assistant United States Attorney Katelan McKenzie Doyle.
Methamphetamine Trafficker Is Sentenced to More Than 11 Years in PrisonRead the Press Release
ASHEVILLE, N.C. – Christopher DeShawn Nelson, 42, of Asheville, was sentenced to 141 months in prison followed by five years of supervised release today for trafficking methamphetamine, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office, and Chief Michael Lamb of the Asheville Police Department, join U.S. Attorney King in making today’s announcement.
According to court documents and court proceedings, law enforcement initiated an investigation into Nelson after learning he was trafficking drugs and guns in and around Hillcrest Apartments in Asheville. Beginning in late June 2022, law enforcement utilized a confidential informant (CI) to conduct drug and gun purchases from Nelson. For example, on July 19, 2022, the CI communicated with Nelson about purchasing a 9mm firearm and methamphetamine. The same day, the CI traveled to Hillcrest Apartments where he purchased a firearm and methamphetamine from Nelson in exchange for $1,130. Court records show that from June 28 to August 18, 2022, Nelson sold the CI more than 88 grams of methamphetamine and three firearms.
On August 25, 2023, Nelson pleaded guilty to distributing five grams or more of actual methamphetamine. At today’s sentencing hearing, U.S. District Judge Martin Reidinger ordered Nelson to begin serving the federal sentence after the defendant completes the 30-month state sentence he is currently serving for a drug conviction.
The investigation was conducted by the ATF, the DEA, and the Asheville Police Department.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Assistant U.S. Attorney Christopher Hess of the U.S. Attorney’s Office in Asheville prosecuted the case.
Members of A Luzerne County Family Each Sentenced to Serve 10 Years Imprisonment for Drug TraffickingRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Anthony Disabella, age 35, James Disabella, Jr. age 60, and James Disabella, III, age 36, all of Hazleton, Pennsylvania, were each sentenced by United States District Court Judge Julia K. Munley to serve 10 years’ imprisonment for their role in a conspiracy to distribute large amounts of pure methamphetamine in the Hazleton area between August 2022 and December 2022.
According to United States Attorney Gerard M. Karam, the Disabellas each previously pleaded guilty before Judge Munley to distributing over 50 grams of pure methamphetamine. Throughout the time period of the conspiracy the Disabellas distributed at least 500 grams of pure methamphetamine to other street level distributors and drug addicts.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation (FBI) and the Pennsylvania State Police. Assistant U.S. Attorney Jenny P. Roberts prosecuted the case.
# # #
Maryland U.S. Attorney’s Office and Justice Department’s Civil Rights Division Secure Agreement with Johns Hopkins Health System to Provide People with Disabilities Equal Access to Medical CareRead the Press Release
The Justice Department announced today that it filed a complaint and proposed consent decree in the U.S. District Court for the District of Maryland resolving allegations that the Johns Hopkins Health System Corporation (Johns Hopkins) violated the Americans with Disabilities Act (ADA) by denying people with disabilities equal access to medical care by excluding their necessary support persons.
“Patients with disabilities deserve equal access to healthcare,” said U.S. Attorney Erek L. Barron for the District of Maryland. “Appropriate medical care often requires them to be accompanied by essential support persons. Johns Hopkins’ recommitment to meeting the needs of its patients with disabilities and ensuring that they are treated with dignity and respect is a welcome outcome of this agreement.”
“Patients with disabilities may need the assistance of a support person, like a family member or aide, to have equal access to health care, especially during emergencies,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Policies and training go hand in hand when it comes to ensuring that health care providers and their employees are protecting patient rights and not excluding support persons improperly. Ensuring equal access to medical care is a priority for the Justice Department.”
Some individuals with dementia, intellectual disabilities, autism spectrum disorder and other disabilities may require the assistance of a support person (such as a family member, personal assistant, or other individual knowledgeable about them) when accessing medical care. Support persons can help individuals with disabilities to communicate, such as providing their medical history and answering questions, and to understand what is happening, such as medical instructions they are given during their care and discharge. The complaint alleges that Johns Hopkins failed on numerous occasions to follow its own policies for visitors and support persons by not permitting patients with disabilities to be accompanied by their support persons. As a result, these patients were unable to receive equal care.
Under the proposed consent decree, which the court must approve, Johns Hopkins has agreed to pay $150,000 to compensate multiple affected individuals. Johns Hopkins will also update its support person policies to ensure ADA compliance, train its employees on its support person policies and the ADA, and report any future complaints regarding support persons to the Justice Department. The claims resolved by this Consent Decree are allegations and not an admission of liability by Johns Hopkins.
This matter was handled jointly by the U.S. Attorney’s Office for the District of Maryland and the Civil Rights Division’s Disability Rights Section. U.S. Attorney Erek L. Barron thanked Assistant U.S. Attorney Sarah A. Marquardt and Trial Attorney Stephanie Berger of the Civil Rights Division, who handled the case.
Title III of the Americans with Disabilities Act (ADA) requires private hospitals and other health care providers to provide individuals with disabilities full and equal enjoyment of their goods and services. For more information on the Maryland U.S. Attorney’s Office’s civil rights work, please visit https://www.justice.gov/usao-md/civil-rights. ADA complaints may be filed online at https://www.ada.gov/file-a-complaint/. Anyone in Maryland may also report civil rights violations by emailing [email protected].
.
# # #
Man Sentenced to 24 Months in PrisonRead the Press Release
SOUTH BEND – Jose De Leon Medina, 39 years old, of Mexico, was sentenced by United States District Court Judge Damon R. Leichty after pleading guilty to illegal reentry of a removed alien and failure to register as a sex offender, announced United States Attorney Clifford D. Johnson.
De Leon Medina was sentenced to 24 months in prison.
According to documents in the case, De Leon Medina, a citizen of Mexico, was convicted of child molesting in 2019 which required him to register as a sex offender. After De Leon Medina completed his sentence of imprisonment for the crime, he was removed from the United States to Mexico. Two months later, Immigration and Customs Enforcement officials learned De Leon Medina had illegally reentered the United States and was living in Goshen, Indiana. De Leon Medina had also failed to register as a sex offender.
This case was investigated by U.S, Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations. The case was prosecuted by Assistant United States Attorney Jerome W. McKeever.
Los Angeles Businessman and His Companies Settle Claims Related to Improper COVID-19 Business-Relief LoansRead the Press Release
SETTLEMENT AGREEMENT
LOS ANGELES – Yosef Y. Manela, a Los Angeles-based businessman who owns and operates an accounting firm, law firm and consulting company, has paid $802,341 to the United States to resolve allegations that he and his three companies violated the False Claims Act in connection with six loans the businesses received under the Paycheck Protection Program (PPP), the Justice Department announced today.Manela and his companies also agreed to repay the lender for all outstanding PPP loans, relieving the Small Business Administration (SBA) of liability to the lender for the federal guaranty of approximately $728,000.
The PPP, an emergency loan program established by Congress in March 2020 under the Coronavirus Aid, Relief and Economic Security (CARES) Act and administered by the SBA, was intended to support small businesses struggling to pay employees and other business expenses during the COVID-19 pandemic. A borrower applying for a PPP loan was required to make multiple certifications that the borrower was eligible for the requested loan and the borrower would not receive another PPP loan. The borrower was also required to certify that the funds would be used for qualifying expenses, such as payroll, lease payments, utilities and other allowable business expenses. In December 2020, Congress approved funding for a “second draw” of PPP loan funds, which became available to borrowers beginning in January 2021.
The United States alleged that Manela and his companies received a total of six first and second draw PPP loans based on duplicative payroll expenses for multiple businesses and/or on behalf of non-existent employees. According to the United States, Manela and his companies made capital distributions of business profits to Manela’s family members that were falsely characterized as wages in PPP loan applications and forgiveness applications. The United States alleged that these false loan and forgiveness applications resulted in losses to the SBA for processing fees, interest and payment to the lender on a loan guarantee.
“Every taxpayer dollar lost to unscrupulous individuals during the COVID-19 pandemic is money that failed to reach businesses struggling for survival,” said United States Attorney Martin Estrada. “It is important that we uphold the integrity of pandemic-related assistance programs.”
“PPP loans were intended to provide critical relief to small businesses facing difficult economic times due to the COVID-19 pandemic,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department is committed to pursuing those who improperly sought to enrich themselves at the expense of the PPP or other pandemic-assistance programs.”
“The favorable settlement in this case is the product of enhanced efforts by federal agencies such as the Small Business Administration working with the Department of Justice, SBA’s Office of Inspector General and other Federal law enforcement agencies, to address fraud on the PPP,” said General Counsel Therese Meers of the SBA.
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Relator LLC, a limited liability corporation formed by California attorneys Anoush Hakimi and Peter Shahriari. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Relator LLC v. Yosef Y. Manela et al., Case No. 2:22-cv-04781-MWF-ASx (CDCA). Relator LLC will receive approximately $80,000 as its share of the total settlement.
The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, and U.S. Attorney’s Office for the Central District of California, with assistance from the SBA’s Office of General Counsel and Office of the Inspector General.
Assistant United States Attorney Paul B. La Scala of the Civil Division’s Civil Fraud Section and Justice Department Trial Attorney Allie Pang of the Civil Division’s Commercial Litigation Branch, Fraud Section handled this matter.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Justice Department in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The task force bolsters efforts to investigate and prosecute the most culpable domestic and international actors committing civil and criminal fraud and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus.
Tips and complaints from all sources about potential fraud affecting COVID-19 government relief programs can be reported by visiting the webpage of the Civil Division’s Fraud Section, which can be found here. Anyone with information about allegations of attempted fraud involving COVID-19 can also report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Lee’s Summit Neurologist Pleads Guilty to False Tax ReturnsRead the Press Release
KANSAS CITY, Mo. – A Lee’s Summit, Mo., neurologist pleaded guilty in federal court today to failing to report cash income from her practice on her federal tax returns.
Maria Donato, 55, waived her right to a grand jury indictment and pleaded guilty before U.S. District Judge Roseann A. Ketchmark to a federal information that charges her with one count of making a false declaration under penalties of perjury.
Donato owned and operated Forest Park Neurology, LLC, where she practiced as a neurologist from 2012 to 2019. Donato’s patients sometimes paid cash for her services from 2015 through 2019, but Donato failed to report the full extent of her cash income on her federal income tax returns. Donato specifically pleaded guilty to failing to report more than $120,000 in cash income in 2017.
By pleading guilty today, Donato admitted that she filed her federal income tax returns, or caused her returns to be filed, knowing they were false. Each return included a written declaration whereby Donato acknowledged the return was being filed under penalties of perjury. Donato also failed to properly report her cash income on her Missouri tax returns during those years.
Under federal statutes, Donato is subject to a sentence of up to three 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 Nicholas P. Heberle. It was investigated by IRS-Criminal Investigation.
Kanawha County Man Pleads Guilty to Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Joseph Daniel Skeens, 35, of St. Albans, pleaded guilty today to distribution of methamphetamine.
According to court documents and statements made in court, on November 17, 2023, Skeens sold approximately 2.5 grams of methamphetamine to a confidential informant in exchange for a new Rigid impact wrench that was still in its original packaging.
Skeens admitted to the transaction and further admitted to at least three additional transactions from October 2, 2023, through November 22, 2023, during which he distributed fentanyl and methamphetamine in exchange for money or items of value such as tools and groceries that were shoplifted at his direction. The transaction occurred at or near Skeens’ residence in St. Albans.
These transactions by Skeens also included the sale of 3.46 grams of fentanyl in exchange for $50 on October 2, 2023, the sale of 1.34 grams of methamphetamine in exchange for a Rigid rotary power hammer on November 18, 2023, and approximately 1 grams of methamphetamine in exchange for approximately $100 worth of groceries on November 22, 2023. Each transaction was with a confidential informant.
Skeens is scheduled to be sentenced on January 9, 2025, and faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the St. Albans Police Department and the assistance provided by the U.S. Department of Homeland Security-Homeland Security Investigations (HSI).
United States District Judge Irene C. Berger presided over the hearing. Assistant United States Attorney JC MacCallum is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-200.
###
Justice Department Secures Agreement with Parking Management Company to Resolve Claims of National Origin DiscriminationRead the Press Release
The Justice Department announced today that it secured a settlement agreement with SP Plus Corporation (SP Plus), a transportation and parking management company headquartered in Chicago. The agreement resolves the department’s determination that SP Plus discriminated against a worker by rejecting a valid document that showed her permission to work and requesting that she provide unnecessary documentation, based on her national origin.
“It is unlawful for employers to reject a valid document showing someone’s permission to work because of where the person was born,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The department is committed to protecting workers from national origin discrimination in the hiring process and eliminating unnecessary barriers to employment.”
After conducting an investigation based on a complaint, the Civil Rights Division’s Immigrant and Employee Rights Section (IER) concluded that SP Plus discriminated against a beneficiary of Temporary Protected Status (TPS) based on her national origin. TPS beneficiaries have permission to work in the United States. They can get Employment Authorization Documents that show employers their permission to work. Sometimes, the federal government extends these Employment Authorization Documents past the expiration date on the card. Instructions on how an employer can determine if an Employment Authorization Document has been extended by the federal government direct employers to look at the document’s category code and date of expiration. The department determined that instead of following the federal government’s instructions, SP Plus unlawfully rejected the worker’s valid, extended Employment Authorization Document because she was born in the Bahamas rather than Haiti, the country through which she has TPS. The Immigration and Nationality Act (INA) prohibits employers from considering an employee’s country of birth or other national origin indicator when verifying a person’s permission to work.
Under the terms of the settlement, SP Plus will pay a civil penalty to the United States, and offer reinstatement and pay backpay to the affected worker. The agreement also requires the company to train its personnel on the INA’s anti-discrimination requirements, revise its employment policies and be subject to departmental monitoring. SP Plus cooperated with the division’s investigation.
IER is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits discrimination based on citizenship status and national origin in hiring, firing or recruitment or referral for a fee; unfair documentary practices; or retaliation and intimidation.
IER’s website has information about employers’ obligations not to discriminate when hiring workers with TPS and employment rights for workers with TPS. Learn about TPS from U.S. Citizenship and Immigration Services’ website. Learn more about IER’s work and how to get assistance through this brief video. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status or national origin in hiring, firing, recruitment or during the employment eligibility verification process (Form I-9 and E-Verify); or subjected to retaliation, may file a charge. The public can also call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a live webinar or watch an on-demand presentation; email [email protected]; or visit IER’s English and Spanish websites. Sign up for email updates from IER.
Justice Department Secures Agreement with Johns Hopkins Health System to Provide People with Disabilities Equal Access to Medical CareRead the Press Release
The Justice Department announced today that it filed a complaint and proposed consent decree in the U.S. District Court for the District of Maryland resolving allegations that the Johns Hopkins Health System Corporation (Johns Hopkins) violated the Americans with Disabilities Act (ADA) by denying people with disabilities equal access to medical care by excluding their necessary support persons.
“Patients with disabilities may need the assistance of a support person, like a family member or aide, to have equal access to health care, especially during emergencies,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Policies and training go hand in hand when it comes to ensuring that health care providers and their employees are protecting patient rights and not excluding support persons improperly. Ensuring equal access to medical care is a priority for the Justice Department.”
“Patients with disabilities deserve equal access to healthcare,” said U.S. Attorney Erek L. Barron for the District of Maryland. “Appropriate medical care often requires them to be accompanied by essential support persons. Johns Hopkins’ recommitment to meeting the needs of its patients with disabilities and ensuring that they are treated with dignity and respect is a welcome outcome of this agreement.”
Some individuals with dementia, intellectual disabilities, autism spectrum disorder and other disabilities may require the assistance of a support person (such as a family member, personal assistant or other individual knowledgeable about them) when accessing medical care. Support persons can help individuals with disabilities to communicate, such as providing their medical history and answering questions, and to understand what is happening, such as medical instructions they are given during their care and discharge.
The complaint alleges that Johns Hopkins failed on numerous occasions to follow its own policies on visitors and support persons and did not permit patients with disabilities to be accompanied by their support persons. As a result, these patients were unable to receive equal care. Title III of the ADA requires private hospitals and other health care providers to provide individuals with disabilities with full and equal enjoyment of their goods and services.
Under the proposed consent decree, which the court must approve, Johns Hopkins has agreed to pay $150,000 to compensate multiple affected individuals. Johns Hopkins will also update its support person policies to ensure ADA compliance, train its employees on its support person policies and the ADA and report to the department on any future complaints regarding support persons.
The Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the District of Maryland handled the matter.
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 800-514-0301 (TTY 1-833-610-1264) or visit www.ada.gov. If you believe you’ve been discriminated against, you may file a complaint online at www.civilrights.justice.gov/. Anyone in the District of Maryland may also report civil rights violations by emailing [email protected].
Justice Department Announces More Than $690 Million in Violence Against Women Act FundingRead the Press Release
Today, the Justice Department announced the awards of over $690 million in grant funding administered by the Office on Violence Against Women (OVW). This funding will support services and justice responses for victims and survivors of domestic violence, dating violence, sexual assault, and stalking across all U.S. states and territories and in many Tribal nations.
The funding was announced as part of the Justice Department’s commemoration of the 30th anniversary of the passage of the Violence Against Women Act (VAWA), which was the first comprehensive federal law focused on preventing and addressing domestic violence, sexual assault, dating violence, and stalking.
“Thirty years ago, VAWA transformed our national response to domestic violence, sexual assault, dating violence, and stalking,” said Attorney General Merrick B. Garland. “Today, officers, prosecutors, judges, families, and society at large understand what should have always been clear: these crimes cannot be cast aside as somehow distinct or private. Instead, we recognize that they are among the most serious crimes that our society faces and that we must continue to improve access to justice, safety, and services for survivors.”
“I was privileged to work on the passage of the original Violence Against Women Act thirty years ago — landmark legislation that transformed how our nation responds to domestic violence and sexual assault,” said Deputy Attorney General Lisa Monaco. “Our country’s progress to prevent gender-based violence is not finished, but we have come a long way since 1994 thanks to the hard work of survivors, advocates, and members of law enforcement — including the women and men of the Justice Department — who work every day to hold perpetrators accountable and protect survivors. The grants we’re announcing today reaffirm our commitment to building safe communities for all, free from violence and fear.”
“Thanks to the changes in VAWA over the last 30 years, we've explored additional pathways to justice, acknowledging that justice looks different for each survivor,” Principal Deputy Associate Attorney General Benjamin C. Mizer said. “The right to live free from violence is fundamental, and our policies and resources must continue to evolve to protect this right fully. I commend OVW’s efforts to implement VAWA 2022’s expanded resources, including new funding to support and strengthen restorative practice programs addressing gender-based violence as well as to prevent and prosecute cybercrimes such as cyberstalking and the non-consensual distribution of intimate images.”
VAWA was first enacted in 1994 as part of the Violent Crime Control and Law Enforcement Act. It initially focused on providing resources and training to improve the responses and policies of law enforcement, prosecutors, and courts, to support victim services, and to address crimes historically treated as private matters. Recognizing that domestic violence, sexual assault, dating violence, and stalking require a coordinated community response that extends beyond the justice system, Congress subsequently reauthorized VAWA, enhancing its policies and expanding grant funding streams, in 2000, 2005, 2013, and 2022.
Each reauthorization of VAWA has broadened the law and expanded available resources, reflecting an evolving understanding of these crimes and underscoring the need for comprehensive, holistic approaches to improve victims’ access to justice, safety, and supportive services while also improving offender accountability. Over the years, VAWA has supported enhanced comprehensive services for survivors and increased equitable access to funding and legal protections across all communities, particularly those facing additional challenges to attaining the services and support they need.
“The power of VAWA is that it is centered on the lived realities and leadership of survivors. By identifying what works well that can be expanded and enhanced, and identifying gaps and barriers, we can continue to improve VAWA and ensure that we are supporting all survivors, including those from historically marginalized communities and underserved populations who often face multiple barriers to services and safety,” OVW Director Rosie Hidalgo said. “We remain committed to making progress toward ending domestic violence, sexual assault, dating violence, and stalking, and to ensuring that all survivors have multiple pathways to safety, services, healing, and justice.”
Created in 1995 to implement the provisions of VAWA and its subsequent reauthorizations, OVW provides national leadership on domestic violence, sexual assault, dating violence, and stalking. The office is comprised of dedicated advocates, experts, and survivors, many of whom have extensive experience in the field of domestic and sexual violence. OVW has distributed over $11 billion in funding authorized by VAWA since its enactment. Through its grant programs and partnerships, OVW helps strengthen local responses to domestic violence, sexual assault, dating violence, and stalking and provides funding annually to all 50 states, six territories, and many Tribal nations. By funding essential services for survivors, OVW ensures that communities are better equipped to address these critical issues. Today’s announcement includes funding for numerous grant programs, including new programs launched in FY 2024 as a result of the most recent reauthorization of VAWA in 2022 and appropriations acts.
Funding announced today includes:
- STOP (Services, Training, Officers, and Prosecutors) Violence Against Women Formula Grants Program: Grants totaling over $171 million will be distributed to all 50 states and six U.S. territories to support a coordinated community response among law enforcement, prosecution, courts, victim services organizations, and other community services to address domestic violence, sexual assault, dating violence, and stalking. The STOP program was one of VAWA’s first grant programs and was authorized in the original enactment in 1994.
- Sexual Assault Services Formula Program: Grants totaling over $52 million will be awarded in each state and territory to assist them in supporting rape crisis centers and nonprofit organizations, as well as Tribal programs that assist survivors of sexual assault.
- Transitional Housing Assistance Grants for Victims of Domestic Violence, Dating Violence, Sexual Assault, and Stalking Program: Grants totaling over $40 million will support programs that provide six to 24 months of transitional housing support for survivors who are homeless or in need of transitional housing and other housing assistance as a result of domestic violence, sexual assault, dating violence, or stalking.
- Grants to Improve the Criminal Justice Response (ICJR) Program: Grants totaling over $24 million will assist communities in improving their criminal justice response while seeking safety and autonomy for survivors. ICJR grantees are encouraged to develop, implement, or enhance a coordinated community response to bring together effective partners from the local government, law enforcement agencies, prosecutors’ offices and courts, nonprofit organizations, and population-specific organizations to address these crimes. This year for the first time, OVW is also awarding more than $14 million through a related initiative, the Enhancing Investigation and Prosecution of Domestic Violence, Dating Violence, Sexual Assault, and Stalking Initiative, to support effective policing and prosecution strategies by promoting and evaluating effective trauma-informed policing and prosecution responses to domestic violence, sexual assault, dating violence, and stalking.
- State and Territory Domestic Violence and Sexual Assault Coalitions Program: Grants totaling over $19 million will support the critical work of state and territory domestic violence and sexual assault coalitions, which includes coordinating victim services and collaborating with federal, state, and local entities.
- Indian Tribal Governments Program: Grants totaling over $45 million will support the development and enhancement of effective strategies by Tribal governments to address domestic violence, sexual assault, dating violence, and stalking in Tribal communities consistent with Tribal law and custom. Additionally, $7.5 million is awarded under the newly established Grants to Indian Tribal Governments Program: Strengthening Tribal Advocacy Responses Track to support Tribes who have not previously accessed the Tribal Government funding and seek additional support for capacity building.
In addition, funding for new grant programs that were launched this year, made possible by VAWA’s 2022 reauthorization and expansion includes:
- Demonstration Program on Trauma-Informed, Victim-Centered Training for Law Enforcement (Abby Honold Program): Grants totaling $3 million will support the development and evaluation of enhanced, trauma-informed training for law enforcement to improve the response to victims. This new grant program, recently authorized through the 2022 VAWA Reauthorization, was championed by a former college student whose own experience as a survivor of sexual assault led her to want to improve the law enforcement response.
- National Resource Center on Cybercrimes Against Individuals: New funding totaling $2.8 million will support the establishment of a national resource center to provide information, training, and technical assistance to improve the capacity of individuals, organizations, governmental entities, and communities to prevent, enforce, and prosecute cybercrimes against individuals. This includes addressing technology-facilitated abuse, such as the non-consensual distribution of intimate images, and cyber-stalking, among others.
- Local Law Enforcement Grants for Enforcement of Cybercrimes Program: Grants totaling $5.5 million will be distributed through this new grant program to support communities in preventing, enforcing, and prosecuting cybercrimes against individuals and providing training for law enforcement, prosecutors, judges, victim services providers, and judicial personnel to address such crimes.
- Restorative Practices Pilot Sites Program: Grants totaling over $15 million will be provided through this new grant program authorized by the 2022 Reauthorization of VAWA to support, strengthen, and expand existing restorative practice programs that address domestic violence, sexual assault, dating violence, and stalking through a trauma-informed and survivor-centered approach. Additionally, OVW will award $8 million to fund research and evaluation of restorative practices in collaboration with the pilot sites. Earlier this year, OVW awarded grants to three entities to serve as national training and technical assistance providers and to work with the pilot sites.
- Healing and Response Teams: For the first time, OVW is providing more than $2 million through its Healing and Response Teams Special Initiative to support the development of practices using a Tribal-based model of care to respond to Missing or Murdered Indigenous Persons cases related to domestic violence, sexual assault, dating violence, stalking, and sex trafficking. This initiative is in response to recommendations made by the Not Invisible Act Commission.
View the LE for Enforcement of Cybercrimes Program Awards here.
View the ICJR Awards here.
View the NRCC Awards here.
View the Restorative Practices Pilot Program Evaluation Award here.
View the Restorative Practices Pilot Sites Program Awards here.
View the State Coalitions Awards here.
View the STOP Awards here.
View the TH Awards here.
View the Abby Honold Awards here.
View the EIP Awards here.
View the HRT Awards here.
View the SASP Awards here.
View the TG START Awards here.
View the Tribal Governments Awards here.
Jury Convicts Pennsylvania Woman of Bank Fraud, Money Laundering, and ConspiracyRead the Press Release
An accountant and adjunct business instructor who laundered over $800,000 of the proceeds of a multi-state business email compromise scheme was convicted by a jury after a three-day trial in federal court in Cedar Rapids.
Margo Ann Williams, age 62, from Scranton, Pennsylvania, was convicted of one count of bank fraud, three counts of money laundering, three counts of engaging in monetary transactions in property derived from specified unlawful activity, and one count of money laundering conspiracy. The verdict was returned this morning following about five hours of jury deliberations.
The evidence at trial showed that, between December 2022 and July 2023, five victims—a Cedar Rapids church, two businesses, a non-profit, and an individual—had their electronic payments misdirected due to hacked email accounts. The email accounts were hacked while the victims were in the process of making large wire and automatic clearinghouse (“ACH”) transactions to others. The victims received “spoofed” emails that falsely appeared to come from legitimate and trusted sources. The fraudulent emails contained instructions to change the routing information for the wire and ACH transactions. Unbeknownst to the victims, those accounts listed in the new instructions belonged to Williams. After receiving “spoofed” emails, the victims instructed their banks to wire the funds according to the new payment instructions. Williams received the funds into bank accounts she controlled, and then she rapidly transferred the stolen money to other bank accounts that she controlled. Williams eventually transferred stolen funds to two national cryptocurrency exchanges and an individual in Florida.
For example, in June 2023, a Cedar Rapids church was engaged in a $7 million renovation of its campus. The hackers compromised the email account of the project’s architect and caused the church to receive “spoofed” emails in which the email domain of the project’s general contractor was slightly changed. As a result, the church representatives thought they were engaged in email correspondence with the project’s general contractor when, in truth, unknown individuals were impersonating the general contractor’s employees. As a result, the church unwittingly wired over $466,000 to Williams’s shell corporation, “MBCI & Evercorp, LLC.” Other victims in the business email compromise scheme included a hotel manager in Colorado, a large non-profit in Washington state, a self-employed homebuilder in Montana, and a general commercial contractor in Pennsylvania.
During the scheme, Williams repeatedly opened bank accounts at major national banks, including one in the name of her shell corporation. As the banks discovered the fraud and closed the accounts, Williams would continue to open new accounts at other banks in an effort to continue to perpetrate the fraud. Williams claimed at trial that she was doing so at the direction of a famous British actor with whom she had formed a romantic relationship. Williams earned approximately $25,000 from the scheme. Williams made many personal purchases with the stolen money, including an Apple Watch and a Louis Vuitton handbag.
Sentencing before United States District Court Judge Leonard T. Strand will be set after a presentence report is prepared. Williams remains free on bond previously set pending sentencing. Williams faces a possible maximum sentence of 140 years’ imprisonment, a $4.25 million fine, and 5 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Timothy L. Vavricek and Kyndra A. Lundquist and was investigated by the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-CR-64.
Follow us on Twitter @USAO_NDIA.