Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
10 September 2024
Canadian Man Pleads Guilty to $1.4 Million Embezzlement SchemeRead the Press Release
BOSTON – A Canadian man pleaded guilty today in federal district court in Boston to embezzling more than $1.4 million from his employer and its clients.
Adil Rahman, 36, of Ontario, Canada, pleaded guilty to one count of wire fraud before United States Senior District Judge William G. Young, who scheduled sentencing for Dec. 9, 2024. Rahman was charged in July 2024.
Rahman worked in Ontario, Canada as a credit analyst for Company A – a subsidiary of a large electrical distribution and services company based in Pittsburgh. As part of his job, Rahman interacted with clients of Company A concerning invoices for the company’s services. Between November 2022 and December 2023, Rahman directed certain customers of Company A to pay their invoices via ACH transfers to his personal bank account, rather than to the account of Company A.
For example, in or about November 2022, Rahman sent an email to the accounts payable department of Company B – a nonprofit municipal corporation based in Hartford, Conn. – asking if the company would be interested in paying future invoices to Company A by ACH transfer rather than by check. When Company B agreed to do so, Rahman provided his personal account information to Company B. Thereafter, under the false impression that it was sending the money to Company A to pay the invoices it owed, Company B sent at least 15 ACH transfers to Rahman’s personal account between December 2022 and June 2023.
Likewise, in May 2023, Rahman emailed the accounts payable department at Company C – a privately held provider of corporate security systems based in Andover, Mass. – asking if Company C wished to pay future invoices by ACH transfer. Once again, when Company C agreed to do so, Rahman provided his personal bank account information and Company C thereafter made 11 ACH transfers to Rahman’s personal account between May 2023 and July 2023.
In total, through this scheme, Rahman defrauded Company A and its clients of more than $1.4 million.
The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $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 Investigations, Boston Division made the announcement. Assistant U.S. Attorney Stephen E. Frank, Chief of the Securities, Financial & Cyber Fraud Unit, is prosecuting the case.
Bureau of Indian Affairs Officer Faces Federal Charges for Sexual AssaultRead the Press Release
Spokane, Washington - A Federal Grand Jury has returned an indictment charging Darren Bowannie, age 34, with Deprivation of Rights Under Color of Law. Bowannie made his first appearance in Federal Court on Monday, September 9, 2024.
Bowannie was employed by the Bureau of Indian Affairs as a lead correctional officer. According to the indictment, Bowannie transported individuals who were in the custody of the Spokane Tribe of Indians and Bureau of Indian Affairs to and from the Colville Tribal Correctional Facility in Nespelem, Washington.
The indictment alleges that on February 9, 2024, Bowannie, who was working as a correctional officer for the Bureau of Indian Affairs (BIA) at the time, was transporting an individual from Wellpinit, Washington to Nespelem, Washington. In his role as a correctional officer, Bowannie’s duties included prisoner transport to and from the BIA’s jail in Wellpinit. During the transport, Bowannie allegedly threatened and sexually assaulted the individual he was transporting. If convicted, Bowannie faces a sentence of up to life in prison and up to 5 years of supervised release.
“Our society places significant trust in law enforcement. Every day we rely on law enforcement officers who put themselves at risk to keep our communities safe and uphold their oath to protect and serve. When law enforcement fails to uphold this trust, my office will carefully investigate allegations of wrongdoing and seek justice to reestablish trust, protect victims, and to keep our communities safe and strong," said U.S. Attorney Vanessa Waldref.
The FBI is investigating the case. Assistant United States Attorney Michael J. Ellis and Tim M. Durkin are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Brothers sentenced to prison for federal drug trafficking and firearms convictionsRead the Press Release
RICHMOND, Va. – A Hopewell man was sentenced today to four years and six months in prison for being a felon in possession of a firearm and ammunition.
According to court documents, on Dec. 19, 2022, Virginia State Police (VSP) encountered Eric Michael Vaughan Jr., 32, in a Hopewell motel room when VSP executed a search warrant on the room. The room was rented by Vaughan’s brother, Quadir McKinnon, 34, of Hopewell, who previously sold 74.37 grams of cocaine, 4.43 grams of heroin, and 96.73 grams of methamphetamine to a confidential source. VSP recovered four firearms, 27.74 grams of cocaine, and 5.93 grams of a mixture containing heroin, cocaine, and fentanyl from the room.
On Jan. 18, 2023, VSP apprehended McKinnon during a traffic stop. Vaughan was in the vehicle with McKinnon. In plain view on the center console of the vehicle was a loaded 9mm handgun. When McKinnon stepped out of the vehicle, a backpack that had also been present in the motel room during the search warrant was tangled in his feet. Inside the backpack were 41.85 grams of cocaine and 6.99 grams of methamphetamine, a digital scale, baggies, and marijuana.
Under the front passenger seat, where Vaughan was sitting, was a loaded 9mm handgun and on the seat was a loose 9mm hollow-point round. In Vaughan’s pockets were .35 grams of a mixture of heroin, cocaine, and fentanyl and .76 grams of cocaine.
On July 16, 2012, Vaughan, armed with a sawed-off shotgun, and a co-defendant robbed individuals in a home in Petersburg. Vaughan was convicted of eleven felonies, including robbery, burglary, use of a firearm in commission of a felony, and abduction. Vaughan was sentenced to 13 years in prison. Less than two months after Vaughan was released from prison, Vaughan threw a firearm from the window of his vehicle as a VSP Trooper attempted to stop him for speeding. Vaughan was convicted of possession of a firearm by a felon, reckless driving, eluding police, and driving without a license. Vaughan was sentenced to two years and 8 months in prison. Vaughan was on pre-trial release for those charges when he was encountered in the motel room on Dec. 19, 2022, and when he was arrested with his brother on Jan. 18, 2023. As a previously convicted felon, Vaughan cannot legally possess a firearm or ammunition.
McKinnon pled guilty on Sept. 13, 2023, to possession with intent to distribute five grams or more of methamphetamine and possession with intent to distribute cocaine. On Jan. 31, McKinnon, a career offender, was sentenced to 14 years and seven months in prison.
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 Colonel Gary T. Settle, Virginia State Police Superintendent, made the announcement after Vaughan was sentenced by U.S. District Judge Roderick C. Young.
Assistant U.S. Attorney Jessica L. Wright prosecuted the cases. Former Special Assistant U.S. Attorney Devon E. Schulz, an Assistant Attorney General with the Virginia Attorney General’s Office, assisted in the prosecution of this 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. 3:23-cr-152 (Vaughan) and 3:23-cr-116 (McKinnon).
Brooklyn Park, Minnesota, Man Guilty of Distributing CocaineRead the Press Release
A man who conspired with others to distribute large quantities of cocaine that resulted in the death of a young Dubuque woman pled guilty today in federal court in Cedar Rapids.
Michael Samuel Knight, age 38, from Brooklyn Park, Minnesota, was convicted of one count of conspiracy to distribute 500 grams of more of cocaine within 1000 feet of several parks and schools in Dubuque, Iowa, between 2017 and April of 2021, that resulted in the death of a young Dubuque woman on February 14, 2021. Knight also pled guilty to personally distributing the cocaine on February 14, 2021, that caused the woman’s death.
At the plea hearing, Knight admitted he was a member of a conspiracy to distribute cocaine in the Dubuque area near numerous parks and schools. He admitted getting cocaine from the individual who brought it from Chicago, and then worked with others to distribute the cocaine to customers in Dubuque. On February 14, 2021, Knight distributed cocaine to a young woman in Dubuque who went home, used the cocaine and died.
Sentencing before United States District Court Chief Judge C.J. Williams will be set after a presentence report is prepared. Knight remains in custody of the United States Marshal pending sentencing. Knight faces a mandatory minimum sentence of 20 years imprisonment and a possible maximum sentence of life imprisonment, a $6,000,000 fine, and up to life on supervised release following any imprisonment. Knight will also be required to pay restitution to the family of the young woman who died using the cocaine distributed by him.
The case was prosecuted by Assistant United States Attorneys Patrick J. Reinert and Nicole Nagin and was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department
of Justice through a cooperative effort of the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Iowa Medical Examiner’s Office and the Dubuque Drug Task Force, comprised of Dubuque Police Department, Dubuque Sheriff’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-CR-01013.
Follow us on Twitter @USAO_NDIA.
Boston Physician Resolves Allegations of Improper Prescribing Practices Involving Controlled SubstancesRead the Press Release
BOSTON – A physician who practiced at Brigham and Women’s Hospital has agreed to pay $25,000 in civil penalties to settle allegations that he violated the Controlled Substances Act by prescribing opioid controlled substances outside the usual course of professional practice.
As part of the settlement agreement, Dr. Edgar Ross, 70, Boston, admitted that, for one patient, he prescribed a mix of controlled substances, including opioids, without always appropriately documenting the risks. Ross also provided early refills in response to the patient’s requests. After multiple hospitalizations and an overdose, the hospital arranged for another physician to take over Ross’s treatment of the patient.
As part of the settlement, Ross entered into a Memorandum of Agreement with the DEA that requires him to work with an independent compliance monitor for three years.
“Safe prescribing of drugs—particularly opioids—is essential to patient and public safety and a priority for our office,” said Acting United States Attorney Joshua S. Levy. “This settlement is an example of how our office and the DEA work to ensure that doctors prescribe dangerous medications only when they are acting within the scope of proper professional practice and with appropriate safeguards in place to prevent and address abuse. We will continue to work with our partners at the DEA to protect patients and enforce the Controlled Substances Act.”
“DEA registrants are responsible for handling controlled substances responsibly and ensuring that complete and accurate records are being properly kept and accounted for in compliance with the Controlled Substances Act,” said Acting Special Agent in Charge Stephen Belleau, Drug Enforcement Administration, New England Field Division. “We are committed to working with our law enforcement and regulatory partners to ensure that these rules and regulations are followed.”
Under the Controlled Substances Act, physicians and other prescribers registered with the Drug Enforcement Administration (the DEA) may only issue prescriptions for a legitimate medical purpose and in the usual course of professional practice.
Acting United States Attorney Levy and DEA ASAC Belleau made the announcement today. Assistant U.S. Attorney Alexandra Brazier of the Affirmative Civil Enforcement Unit handled the case.
Behavioral Healthcare Company Executive Charged with Healthcare FraudRead the Press Release
BOSTON – The Chief Executive Officer of Dana Group Associates, who is also the former Chief Operating Officer of Prime Behavioral Health, was charged today in connection with a scheme to defraud health care benefit programs by directing false billing for patient visits.
Miguel Saravia, 42, was charged and has agreed to plead guilty to six counts of health care fraud. A plea hearing date has not been set.
According to the charging documents, from approximately 2017 to 2022, Saravia directed a group of individuals with no billing or medical training to enter Current Procedural Terminology codes (CPT) for therapy services that were not provided and to upcode CPT codes used for psychotherapy visits. It is further alleged that Saravia submitted, or directed the submission of, false claims for treatment that was not provided or for more complex and expensive treatment than was provided.The charge of health care fraud carries a sentence of up to 10 years in prison, up to three years of supervised release, and a fine of up to $250,000, or twice the gross gain or loss from the offense. 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 U.S. Attorney Joshua S. Levy; Roberto Coviello, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Insurance Fraud Bureau Executive Director Anthony DiPaolo; and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. Assistant U.S. Attorneys Kelly B. Lawrence and Mackenzie A. Queenin of the Health Care Fraud Unit and Lindsey Ross and Steven Sharobem of the Affirmative Civil Enforcement Unit are prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Arizona Man and Co-Defendants Facing Federal Charges for Roles in $178 Million COVID-19 Fraud ConspiracyRead the Press Release
PORTLAND, Ore.—A federal superseding indictment was unsealed Monday in the District of Oregon charging an Arizona man and three associates for conspiring with one another and others to devise and carry out a scheme that attempted to defraud the U.S. Small Business Administration out of at least $178 million in loans intended to help small businesses during the COVID-19 pandemic.
Eric Karnezis, 43, of Sedona, Arizona, is charged in the 23-count superseding indictment with conspiracy to commit wire fraud, wire fraud, and conspiracy to commit money laundering, along with co-defendants Lynisha Wells, 47, and Nikkia Bennett, 43, both of Chula Vista, California, and Fredrico Williams, 48, of San Diego.
According to the superseding indictment, from January 2021 and continuing until at least March 2022, Karnezis carried out a scheme whereby he conspired with recruiters, including Williams, to gather fraudulent business information from customers, including Wells and Bennett, and used the information to submit fraudulent Paycheck Protection Program (PPP) loan applications to the U.S. Small Business Administration (SBA). To facilitate the scheme, Karnezis and his co-conspirators created fictious documents to support their fraudulent loan applications, including false payroll information and tax documents.
In total, Karnezis submitted or caused to be submitted at least 1,300 PPP applications, which together attempted to obtain at least $178 million from SBA. Approximately $105 million in loans were funded in response to these fraudulent applications.
On September 6, 2024, following his arrest in Sedona the day prior, Karnezis made his initial appearance in federal court in the District of Arizona and pleaded not guilty. In a detention hearing held today, Karnezis was released on conditions pending his arraignment in District of Oregon on September 24, 2024.
Bennett and Wells made their first appearances and were arraigned in the District of Oregon on August 23 and August 29, 2024, respectively. Both were released on conditions pending a three-day jury trial scheduled to begin on February 11, 2025. Williams will be arraigned in the District of Oregon on September 20, 2024.
Conspiracy to commit wire fraud, wire fraud, and conspiracy to commit money laundering are punishable by up to 20 years in federal prison, three years’ supervised release, and fines of up to $250,000 or twice the gross gains or losses resulting from the offense.
This case was investigated by the SBA Office of Inspector General (SBA-OIG), IRS Criminal Investigation (IRS:CI), the U.S. Treasury Inspector General for Tax Administration (TIGTA), and the Naval Criminal Investigative Service (NCIS). It is being prosecuted by Meredith Bateman and Robert Trisotto, Assistant U.S. Attorneys for the District of Oregon.
An indictment is only an accusation of a crime, and defendants are presumed innocent unless and until proven guilty.
Since January 2021, more than 50 people have been charged in the District of Oregon for their roles in fraud schemes targeting federal COVID-19 relief programs. Together, these defendants attempted to steal more than $903 million in federal funds. 38 individuals have been convicted for their crimes and sentenced to a combined total of 631 months in federal prison and 1,194 months of probation and/or supervised release.
Anyone with information about allegations of attempted fraud involving COVID-19 can 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: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
9 September 2024
Virginia Woman Sentenced for Role in Drug Trafficking OperationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Hailey Lynn Oliff, 28, of Mount Jackson, Virginia, was sentenced today to 66 months in federal prison for her role in a drug trafficking operation in Berkeley, Hampshire, and Morgan Counties.
According to court documents and statements made in court, Oliff was one of the distributors of the organization, selling methamphetamine, fentanyl, cocaine hydrochloride, and cocaine base.
Oliff will be on three years of supervised release following her prison sentence.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government.
The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, investigated. The task force consists of the Federal Bureau of Investigation, the Drug Enforcement Administration, the West Virginia State Police, the Hampshire County Sheriff’s Office, the Mineral County Sheriff’s Office, the Hardy County Sheriff’s Office, the Grant County Sheriff’s Office, and the Keyser Police Department. The Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Berkeley County and Hampshire County Prosecuting Attorney’s Offices assisted.
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.
U.S. District Judge Gina M. Groh presided.
Press release on original indictment: www.justice.gov/usao-ndwv/pr/twenty-six-charged-eastern-panhandle-drug-trafficking-indictment
###
U.S. Attorney Josh Hurwit to Co-Sponsor “United Against Hate” Summit in MoscowRead the Press Release
COEUR D’ALENE – U.S. Attorney Josh Hurwit, the Latah County Human Rights Task Force, the Nez Perce Tribe, the Moscow Human Rights Commission, DOJ Community Relations Service, and the FBI, are convening a United Against Hate summit on September 16 at The 1912 Center in Moscow. The event is free and is open to the public.
United Against Hate is an initiative launched by the Department of Justice focused on improving efforts to combat hate crimes and hate incidents through relationship building at the local level. Through this endeavor, the U.S. Attorney’s Office seeks to create and strengthen trust and partnerships among law enforcement, community leaders, and residents. Well‑attended summits have already been held in Coeur d’Alene, Caldwell, Boise, Ketchum, Pocatello, and Sandpoint.
“The United Against Hate initiative continues to resonate and be a priority for our office because Idaho continues to grapple with unlawful hate,” said U.S. Attorney Hurwit. “We are committed to empowering Idahoans to recognize and report hate crimes so that we can enforce the law and work toward communities where everyone enjoys the protections of our Constitution without fear of being targeted by bigotry and hate.”
The September 16 event will include remarks from local leaders, presentations from prosecutors about hate crimes laws and reporting mechanisms, and speakers who will share their visions of safety and peace in their community and region.
“It is very exciting for Moscow to host this unique and timely event with such a wide representation of presenters including a panel giving the local perspective on providing a safe and welcoming environment,” said Joann Muneta, Chair of the Latah County Human Rights Task Force
“Our commitment to promoting human rights and combating hate is stronger than ever,” said Erin Agidius, Moscow Human Rights Commission Chair. “This summit represents an opportunity for us to come together as a community, share our experiences, and build lasting partnerships that stand against hate and bigotry. We are honored to collaborate with our co-sponsors to advance this vital cause. It is our collective responsibility to ensure that all members of our community feel safe, valued, and heard. By coming together, we can foster a culture of respect and understanding, making it clear that hate has no place in Moscow or anywhere else.”
“Hate and bigotry can only flourish if it is ignored or goes unopposed,” said Shannon F. Wheeler, Chairman, Nez Perce Tribal Executive Committee. “Working with and getting to know our neighbors is the most effective way to actively push back on hate and prevent it from gaining a foothold in this region. The Nez Perce Tribe has called this area home for thousands of years. As its first inhabitants, we consider these lands sacred and, we are proud to be a partner in the United Against Hate campaign. We will continue to work together with all who are willing to make this region a home for everyone.”
“I look forward to meeting community members and hearing different perspectives on how we can work together to unite our community in standing up to hate,” said U.S. Attorney Hurwit. “And I am deeply honored to partner with our co-sponsors to prioritize this critical mission.”
###
Two Baltimore Men Sentenced to 9 Years and 15 Years, Respectively, in Federal Prison, Relating to Three Armed CarjackingsRead the Press Release
Baltimore, Maryland – U.S. District Judge Brendan A. Hurson sentenced Franklin Jay Smith, age 34, of Catonsville, Maryland, to 9 years (48 months for carjacking and 60 months consecutive for use of a firearm in connection with a crime of violence) and 4 years supervised release, and Davon Tramont Dorsey, age 30, of Gwynn Oak, Maryland, to15 years and 3 years supervised release.
The sentence was announced by Erek L. Barron, United States Attorney for the District of Maryland; Special Agent in Charge William J. DelBagno of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Richard Worley of the Baltimore Police Department; Chief Robert McCullough of the Baltimore County Police Department; Harford County Sheriff Jeffrey R. Gahler; and Harford County State’s Attorney Alison M. Healey.
According to Smith’s and Dorsey’s guilty pleas and evidence introduced at the trial of two codefendants earlier this year, between May and August 2021, the conspirators planned and organized the kidnapping of three victims, J.H. and two employees of check cashing businesses, victims A.T. and A.K. The conspirators carjacked and abducted the victims and used force and threats of force to steal cash. Posing as police officers, using police vests, badges, and a law enforcement-type light bar, the conspirators stopped the victims and/or their vehicles, and brandished firearms and a blow torch during the kidnappings. The three incidents occurred on May 5, 2021, May 15, 2021, and August 2, 2021. Smith admitted that he participated in the two incidents in May, and Dorsey admitted that he participated in the May 15, 2021, incident and the August 2, 2021, incident.
As detailed in Smith’s plea agreement and evidence introduced at the trial of two codefendants earlier this year, on May 5, 2021, two of the conspirators followed victim A.T. from the check cashing business where she worked, driving a Ford Fusion supplied by Smith. Smith set up a detour along the route to cause A.T. to turn down a side street where the two conspirators driving the Ford Fusion posed as police and used a law enforcement-type light bar to pull over A.T.’s vehicle. Wearing police vests and badges, the conspirators brandished firearms to remove A.T. from her vehicle, handcuffed her, placed her into the rear of one of their vehicles, blindfolded her, and stole her vehicle. While driving with victim A.T., the conspirators burned victim A.T. with the blow torch in an attempt to get information from A.T. in order to access the check cashing business where she worked, with the intent to remove all the cash from the business. Smith and the other conspirators later placed A.T. back in the rear of her vehicle, still bound, covered the vehicle with a tarp, and left A.T. to make her way out and call for help.
Smith and Dorsey both admitted that on May 15, 2021, while driving a Ford Fusion with police-style lights, Dorsey and other members of the conspiracy drove to Edgewood, Maryland to abduct and rob J.H. Dorsey and the others were wearing police-style vests with “police” written on them, masks, and gloves. Around midnight on May 15-16, 2021, J.H. left Edgewood, driving a 2022 Toyota Camry. The members of the conspiracy used the police-style lights to stop J.H.’s vehicle. Dorsey and the conspirators, armed with firearms, approached J.H.’s car and identified themselves as police. The conspirators told J.H. that he had an outstanding warrant, and that he was under arrest. The conspirators put J.H. in handcuffs, put duct tape over his eyes and mouth, bound his feet, and put him in the back of their vehicle. J.H. was then driven away in the Ford Fusion with two of the conspirators while two other members of the conspiracy followed in J.H.’s Camry. While J.H. was in the Ford Fusion, the conspirators demanded $10,000, told J.H. that they knew where he lived and that they would kill his parents if he did not cooperate.
At the time J.H. was abducted, Smith was in the White Marsh area of Baltimore County, within minutes of an onramp to Interstate 95, awaiting a call from a conspirator notifying him that J.H. had been abducted. As the Ford Fusion traveled south on Interstate 95, Smith received a call from a coconspirator, and then drove in a separate vehicle and met up with the Ford Fusion, J.H. and other conspirators in Baltimore City. While in the Ford Fusion, one of the conspirators questioned J.H. about money, and used a blow torch to burn his chest when he did not answer questions. The conspirators took J.H.’s necklace, wallet, phone, and car keys. After more than 5 hours of driving and demanding money, the conspirators released J.H. in Baltimore City at approximately 5:20 a.m.
Dorsey also admitted that on August 2, 2021, he and two co-conspirators approached victim A.K. as she left the check cashing business where she worked. The conspirators, wearing police vests and badges, brandished firearms to kidnap victim A.K. and placed her into the rear of one of their vehicles equipped with law enforcement-type lights. The driver was holding a blowtorch with a blue fuel canister, and A.K. observed a bottle of bleach on the floor in the back of the car. After A.K. entered the vehicle, the men bound A.K.’s wrists behind her back with zip-ties and used black duct tape to affix a blindfold over her eyes. One of the men stated to A.K., “We don’t burn sisters.”
According to Dorsey’s guilty plea, while in the vehicle, the men took A.K.’s wallet, phone, and keys, which included the keys to the check cashing business. The men demanded that A.K. provide access to the check cashing business, including demanding the A.K. provide the men with access codes, safe codes, and the amount of money in the safe at the business. The men demanded information from A.K. for nearly 6 hours, then released A.K. in Edmonson Village in Baltimore City at approximately 1:00 a.m. Before they drove away, the men instructed A.K. not to remove her face covering until they had driven away.
In June, a federal jury convicted two codefendants of their roles in the abductions. Dennis Allen Hairston, age 34, of Windsor Mill, Maryland, and Donte Davon Stanley, age 33, of Rosedale, Maryland, were convicted on federal charges of kidnapping and robbery conspiracies; kidnapping; carjacking; robbery affecting commerce. Hairston was also convicted of using, carrying, and brandishing a firearm during and in relation to a crime of violence. District Judge Brendan A. Hurson has scheduled sentencing for Stanley for November 4, 2024, at 10:00 a.m. and Hairston for November 7, 2024, at 10:00 a.m.
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.
U.S. Attorney Barron commended the FBI, the Baltimore Police Department, the Baltimore County Police Department, the Harford County Sheriff’s Office, and the Harford County State’s Attorney’s Office for their work in the investigation and prosecution. Assistant U.S. Attorneys Paul E. Budlow and Spencer Todd of the Civil Rights and Special Victims Section are prosecuting this case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
Three Individuals Sentenced for Child Neglect, Endangerment on the Red Lake ReservationRead the Press Release
MINNEAPOLIS – Three individuals living on the Red Lake Indian Reservation have been sentenced for felony child neglect and felony child endangerment, announced United States Attorney Andrew M. Luger.
According to court documents and evidence presented at trial, between February 2022 and January 2023, Robin John Roy, 55, Nicole Robyn Roy, 29, and Harrison Edwin Dudley Sr., 36, willfully deprived minor victims of necessary food, health care, and supervision despite their reasonable ability to make the necessary provisions, resulting in substantial harm to the minor victims’ physical, mental, and emotional health. Trial evidence established that one of the minor victims suffered from severe anemia as a result of malnourishment, and despite repeat efforts by health care providers to intervene in the child’s condition, the child nearly died as a result of the defendants’ collective failure to provide needed care. Trial evidence also established that both children suffered from prolonged lice infestations that progressed to life-threatening scalp infections.
On February 16, 2024, following a six-day trial before U.S. District Judge Nancy E. Brasel, all three defendants were found guilty of felony child neglect. Nicole Roy and Dudley were also found guilty of felony child endangerment. All three defendants were sentenced on September 5, 2024, by Judge Brasel. Robin Roy received 24 months of probation, Nicole Roy received 12 months and a day in prison followed by three years of supervised release, and Dudley received four months in prison.
In handing down the sentences, Judge Brasel stated she had balanced the relative culpability and the relative nature and circumstances of each defendant. She emphasized that the neglect the children had suffered was “no less serious than an act of assault” because “the injuries that resulted were certainly life threatening,” the neglect went on for a long time, there were “relatively easy” steps the caretakers could have taken, and the caretakers nonetheless willfully failed to take action for the children’s basic needs. Judge Brasel remarked, “The children in this case, and all of the children like them, deserve better.”
This case is the result of an investigation conducted by the FBI.
Assistant U.S. Attorneys Lindsey E. Middlecamp and Rachel L. Kraker prosecuted the case.
Three Council Bluffs Individuals Sentenced to Federal Prison for Methamphetamine ConspiracyRead the Press Release
COUNCIL BLUFFS, Iowa – Three individuals from Council Bluffs were sentenced to federal prison for conspiracy to distribute methamphetamine:
- George Ormond Rolle, Jr., 51, was sentenced on August 28, 2024, to 210 months in federal prison;
- Joseph Robert Winger, 34, was sentenced on February 23, 2024, to 140 months in federal prison; and
- Linda Clover Winger, 41, was sentenced on April 25, 2024, to 78 months in federal prison.
According to public court documents, Rolle, Joseph Winger, and Linda Winger conspired with each other to distribute methamphetamine in the Council Bluffs metro area in 2023. In July 2023, law enforcement officers received information on a package, containing methamphetamine, that was addressed to a residence in Council Bluffs. Law enforcement officers seized the package and conducted a controlled delivery of the seized package. Rolle and Linda Winger attempted to retrieve the package from the residence and were subsequently taken into custody. Their vehicle was searched and had approximately 76 grams of methamphetamine, drug paraphernalia, drug ledgers, and more than $4700. Phone messages confirmed the group was working together to pool their money to buy the methamphetamine for distribution in the Council Bluffs metro area.
After completing their term of imprisonment, each individual will be required to serve a five-year term of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Southwest Iowa Narcotics Task Force.
Supervisor and Employee of City of Trenton Bureau of Environmental Health Charged with Receiving Illegal Overtime PaymentsRead the Press Release
TRENTON, N.J. – A Burlington County, New Jersey, man and a Mercer County, New Jersey, man made their initial court appearances today on charges of participating in a conspiracy to obtain overtime payments from the city of Trenton for work they did not perform, by fraudulently inflating the overtime hours they claimed to have worked conducting residential lead inspections and meal deliveries to needy Trenton residents, U.S. Attorney Philip R. Sellinger announced.
Martin Moore, 59, of Florence, New Jersey, and Andre Trott, 51, of Ewing, New Jersey, are each charged by complaint with conspiracy to embezzle, steal, and obtain by fraud more than $5,000 in funds belonging to and under the care, custody and control of the city of Trenton. Moore is also charged with making false statements to investigators. They appeared before U.S. Magistrate Judge Tonianne J. Bongiovanni in Trenton federal court and were each released on $50,000 unsecured bond.
According to the documents filed in this case and statements made in court:
Trenton’s Department of Health and Human Services (Trenton HHS) is required to provide services to identify lead sources in residential homes in Trenton where children had tested positive for elevated levels of lead in their blood. Beginning in 2018, a New Jersey state grant funded inspections of Trenton properties identified with childhood residents with elevated blood lead levels. Trenton’s Bureau of Environmental Health (BEH), a subdivision of Trenton HHS, was responsible for performing these residential lead inspections.
Trenton received federal funding from the U.S. Department of Housing and Urban Development under a Community Development Block Grant (CDBG) to provide public services, including a meal program to prepare and deliver meals throughout Trenton to the city’s most vulnerable and needy populations. Members of BEH delivered meals under the CDBG from 2020 to 2021.
Moore, a principal registered environmental health specialist for BEH and the entity’s supervisor, and Trott, a senior registered environmental health specialist for BEH, conducted residential lead inspections with other members of BEH from February 2018 through May 2022, and delivered meals with other members of BEH from April 2020 through May 2021. Moore directed members of BEH, including conspirators Trott, Michael Ingram, William Kreiss, and Meraj Fatima, to obtain payments from the city of Trenton for work they did not perform, by fraudulently inflating the overtime hours they claimed to have worked relating to residential lead inspections. Moore also directed Trott, Ingram and Kreiss to inflate their overtime hours submitted for meal deliveries. Moore, himself, also falsely reported overtime exceeding the time it actually took him to complete activities related to lead inspections and meal deliveries. As a result of these fraudulent overtime reports, Moore, Trott, and other members of BEH were paid for overtime work that they did not perform.
In May 2022, when the FBI asked Moore about his role in connection with lead inspections, Moore falsely stated that there was no situation where he had purposedly misrepresented his hours and no situation where he had claimed overtime hours for periods of time that he was outside of New Jersey, even though Moore knew at the time he made these statements that they were knowingly and intentionally false.
Moore faces a maximum penalty of 10 years in prison and maximum fine of $500,000. Trott faces a maximum penalty of five years in prison and a $250,000 fine.
Ingram and Kreiss pleaded guilty on Nov. 28, 2023, and Fatima pleaded guilty on Feb. 26, 2024, to separate informations charging each with one count of conspiracy to embezzle, steal, and obtain by fraud more than $5,000 in funds belonging to and under the care, custody and control of the City of Trenton. They are awaiting sentencing.
U.S. Attorney Sellinger credited agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark; the U.S. Environmental Protection Agency Office of Inspector General, under the direction of Acting Assistant Inspector General Nicolas L. Evans; and the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Vicky Vazquez, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Eric A. Boden, Attorney-in-Charge of the Trenton Branch Office.
The charges and allegations contained in the complaint are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
mooretrott.complaint.pdfSt. Louis Man Admits Operating Long-Running Ponzi SchemeRead the Press Release
ST. LOUIS – A St. Louis, Missouri man on Monday admitted operating a Ponzi scheme for almost a decade that raised $350,000.
Robert F. Rothluebbers, 68, pleaded guilty in U.S. District Court in St. Louis to one count of wire fraud, admitting that he operated the scheme from October 2014 through January 2024. Rothluebbers solicited investments by falsely claiming that he would use their money to purchase R-22 refrigerant in bulk, at a discount, and then re-sell the refrigerant to contractors and others at a 50% profit. Rothluebbers claimed that the gradual phaseout of R-22 would enable him to increase investors’ profits.
Rothluebbers solicited investors from October 2014 to May 2017, entering into written purchase agreements in which he agreed to the purchase of specified amounts of R-22 at certain prices, and a minimum resale price. But Rothluebbers admitted using investors’ money to pay earlier investors, pay relatives or for personal purchases.
Rothluebbers provided bogus excuses for failing to pay investors, including a claim that the money had been frozen by his financial institution and the Internal Revenue Service.
Rothluebbers admitted raising at least $350,000 from four investors. He admitted paying Ponzi scheme payments of $171,450, mostly after investors discovered his scheme.
Rothluebbers is scheduled to be sentenced on December 12. Wire fraud is punishable by up to 20 years in prison, a $250,000 fine or both prison and fine.
The FBI investigated the case. Assistant U.S. Attorney Jonathan Clow is prosecuting the case.
Roslindale Man Sentenced to Five Years in Prison for Firearm OffenseRead the Press Release
BOSTON – A Heath Street Gang member/associate involved in a shooting in residential neighborhood was sentenced on Sept. 6, 2024 in federal court in Boston for unlawfully possessing a firearm.
Deondre Blanding, 27, of Roslindale, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to five years in prison to be followed by four years of supervised release. In May 2024, Blanding pleaded guilty to one count of possession of a firearm in furtherance of a drug trafficking crime.
Blanding was charged and arrested in February 2024, along with over 40 alleged Heath Street Gang members/associates, who were charged with racketeering conspiracy, drug trafficking, firearms and financial fraud charges. Blanding was a marijuana dealer for the Gang who distributed pound-quantity amounts of marijuana.
On Oct. 8, 2023, Blanding arranged to buy three pounds of marijuana from an individual and arrived at the deal armed with a firearm. The arranged drug deal resulted in a shooting in the middle of a Randolph neighborhood involving Blanding and two other individuals.
Acting United States Attorney Joshua S. Levy; Boston Police Commissioner Michael Cox; and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division made the announcement today. Valuable assistance was provided by the Randolph Police Department. Assistant U.S. Attorneys Michael Crowley and Sarah Hoefle of the Organized Crime & Gang Unit prosecuted the case.
Readout of the Justice Department’s Violent Crime Reduction Steering Committee MeetingRead the Press Release
The Justice Department’s Violent Crime Reduction Steering Committee met last week to discuss the efforts, challenges, and successes in reducing violent crime — as well as how the Department can further the steady, continued decline in violent crime in 2024. The Steering Committee is chaired by Principal Associate Deputy Attorney General (PADAG) Marshall Miller and composed of leadership and representatives from across the Department.
After PADAG Miller called the meeting to order, the Committee was briefed on the latest violent-crime statistics. Preliminary data from 88 cities showed that violent crime has continued to decline considerably in 2024, including a 16.9% decline in murder, a 7.5% decrease in rape, a 3.4% decrease in aggravated assault, and a 5.2% decline in robbery.
The Committee received updates from U.S. Attorney Andrew Luger for the District of Minnesota on the various initiatives employed by members of the U.S. Attorney community to crack down in violent crime during the summer months, when violent crime historically surges. These initiatives, employed by U.S. Attorneys’ Offices across the country, included such efforts as: increased outreach and intervention activities; weekly, data-driven coordination with local law enforcement to identify shooters and other drivers of violent crime for federal prosecution; surges in federal firearms prosecutions; increased focus on prosecution for possession or use of machinegun conversion devices, which convert semi-automatic firearms into fully automatic machineguns; launch and implementation of carjacking task forces; and partnerships with the Department’s Criminal Division to bring prosecutions under the Racketeer Influenced and Corrupt Organizations Act. Early data showed successful outcomes from initiatives that included, for example, further year-over-year reductions in homicides in Detroit and a zeroing out of carjackings in the Eastern District of Texas during the summer months of 2024.
The Committee was briefed by the Drug Enforcement Administration and the U.S. Marshals Service on their efforts and successes in combating violent crime over the summer through Operation Overdrive and Operation North Star, respectively, and from the Bureau of Alcohol, Tobacco, Firearms and Explosives regarding the Department’s convening with the additive manufacturing industry on how to reduce the availability and use of unlawful machinegun conversion devices, which was held Friday and included remarks from the Deputy Attorney General.
The Committee also heard from the Department’s grantmaking components regarding grants and additional resources to combat violent crime. The Office of Justice Programs discussed its use of grants, training, and technical assistance to assist state, local, and Tribal justice agencies in addressing their communities’ specific public safety needs. After previewing plans to observe the upcoming 30th anniversary of the Violence against Women Act, the Office of Violence Against Women briefed the Committee on its work at the intersection of firearms and domestic violence and on an important resource for prosecutors, the Framework for Prosecutors to Strengthen Our National Response to Sexual Assault & Domestic Violence Involving Adult Victims. The Department’s Community Oriented Policing Services discussed additional grants and resources available for combatting violent crime, including the award of grants to local law enforcement to hire career law enforcement officers.
At the conclusion of the meeting, Principal Associate Deputy Attorney General Miller discussed a new directive from the Deputy Attorney General on combating machinegun conversion devices. He also indicated that the Steering Committee’s work would be reported to Department leadership, including developments from the Department’s violent crime reduction initiatives and recommendations regarding additional policy and enforcement strategies.
Pierce County man sentenced to seven years in prison for drug and gun crimesRead the Press Release
Seattle – A 46-year-old Pierce County man was sentenced last week in U.S. District Court in Seattle to seven years in prison for his repeated drug trafficking and firearms possession, announced U.S. Attorney Tessa M. Gorman. Ryan James Townsend was indicted in November 2023, after two encounters with law enforcement. At the sentencing hearing U.S. District Judge Robert S. Lasnik imposed four years of supervised release to follow sentencing.
According to records filed in the case, Townsend was investigated by law enforcement in November 2022, for an incident where he fired multiple shots into the air outside a Planet Fitness gym on East 72nd Street in Tacoma. Witnesses and surveillance video showed Townsend in a white Escalade firing a handgun into the air. Townsend was later located in the car at a gas station, passed out behind the wheel. A 9mm handgun was found in the car. Townsend was prohibited from possessing firearms due to prior convictions.
About nine months later, in August 2023, a Puyallup Police Officer attempted to stop Townsend as he was driving in a different car with no license plates. Townsend fled in the car, hitting and damaging another vehicle, and injuring the driver. Ultimately Townsend crashed his car. He attempted to run from the police who responded to the crash site.
A court authorized search of the car revealed methamphetamine as well as a handgun in the glove box. When a search warrant was served on Townsend’s residence, agents seize fentanyl pills, heroin, and three firearms.
In June 2024, Townsend pleaded guilty to possession of a controlled substance with intent to distribute and two counts of unlawful possession of a firearm. Both prosecutors and defense recommended a sentence of 84 months in prison.
In asking for the seven-year sentence, Assistant United States Attorney Casey Conzatti wrote to the court, “On a number of occasions Mr. Townsend continued to possess firearms knowing he was not allowed to. On one occasion Mr. Townsend was observed shooting a gun into the air putting civilians in danger. Following the arrest for this conduct, Mr. Townsend did not stop his criminal behavior. Less than a year later, Mr. Townsend was found with a second firearm, and this time he had drugs with him.”
The case was investigated by the Drug Enforcement Administration (DEA), and the Puyallup and Tacoma Police Departments.
The case was prosecuted by Assistant United States Attorney Casey Conzatti.
Philadelphia Man Who Scarred, Nearly Blinded Ex-Girlfriend in Public Chemical Attack Convicted at TrialRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Victor Ortiz, 47, of Philadelphia, Pennsylvania, was convicted Friday at trial of stalking, seriously injuring, and permanently disfiguring a woman with whom he had a previous relationship.
On the morning of May 4, 2022, the defendant had pursued his ex-girlfriend as she walked to her office in Philadelphia. Before she reached the building, the defendant threw soda ash, a caustic substance, on the victim’s face and torso. His attack temporarily blinded her in the left eye and caused severe pain and permanent scarring on her body.
Investigators subsequently found that the defendant had attached a GPS device to the victim’s vehicle so that he could monitor her location and follow her. After law enforcement officials discovered the device, the defendant was caught on camera attempting to install a second GPS device on the victim’s vehicle in July 2022.
The defendant is scheduled to be sentenced on December 17 and faces a maximum possible sentence of 20 years’ incarceration.
“Victor Ortiz needed to take ‘no’ for answer,” said U.S. Attorney Romero. “But rather than moving on when a relationship ended, he targeted, stalked, and viciously assaulted his ex-partner, causing horrendous physical pain and emotional trauma. My office will continue to work with our law enforcement colleagues to get justice for stalking victims and take the dangerous offenders who terrorized them off the street.”
“HSI is dedicated to protecting individuals from dangerous predators such as Victor Ortiz,” said Acting Special Agent in Charge of HSI Philadelphia Sara Bay. “Our excellent partnership with the U.S. Attorney’s Office for the Eastern District of Pennsylvania allows us to hold these criminals responsible for their crimes and obtain justice for their victims.”
The case was investigated by Homeland Security Investigations and the Philadelphia Police Department and is being prosecuted by Assistant United States Attorneys Michael R. Miller and Angella Middleton.
Philadelphia Man Sentenced to 21 Years in Prison for Series of Armed Carjackings Targeting ElderlyRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Alex Askew, 20, of Philadelphia, Pennsylvania, was sentenced today by United States District Court Judge Timothy J. Savage to 21 years’ imprisonment, three years of supervised release, restitution of $36,183.61, and an $800 assessment in connection with a series of armed carjackings targeting mainly elderly victims in Philadelphia and Upper Darby in September of 2022.
Askew was charged by superseding indictment in April of 2023, and on February 21, 2024, he pleaded guilty to one count of conspiracy to commit carjacking, three counts of carjacking, three counts of using a firearm in relation to a crime of violence, and one count of attempted carjacking.
The defendant and others committed three carjackings and one attempted carjacking, all with firearms, during the course of the conspiracy that took place between September 6, 2022, and September 12, 2022. The incidents detailed are as follows:
- On September 6, 2022, in the afternoon, Askew and two others committed two carjackings within minutes of one another and blocks away. In the first carjacking, Askew was one of three people to brandish a firearm at three victims aged 60 to 80 years old parking their vehicle on the 800 block of North 26th Street in Philadelphia. In the course of stealing their Mitsubishi SUV, Askew and others threatened to kill them. The same group used the stolen Mitsubishi to drive to the 2600 block of Brown Street minutes later where they pointed a black firearm at a woman parking her Kia Sportage. They demanded her keys before fleeing in both stolen cars.
- The next day in the evening, on September 7, 2022, Askew and others threatened a 66-year-old woman at gunpoint in the course of stealing her Acura SUV. The victim had just parked in front of her home on Wilde Avenue in Upper Darby late at night when a male with a firearm pointed a gun at her and demanded her keys. The offenders stole the victim’s purse and fled in her vehicle.
- In the late afternoon of September 11, 2022, Askew and others threatened a 71-year-old woman at gunpoint as she parked in the alleyway behind her home on Brunswick Avenue in Upper Darby. Askew and another male demanded the keys but fled the scene without her vehicle when the victim screamed and ran towards her home.
“Alex Askew is 20 years old and was just sentenced to 21 years in prison,” said U.S. Attorney Romero. “Anyone who’s out there committing carjackings, or even contemplating it, needs to think long and hard about whether stealing a car for a few hours or days is worth spending decades of your life behind bars. The public shouldn’t have to fear being ambushed by armed criminals every time they get in or out of their car. That’s why we and our law enforcement partners are committed to prosecuting these violent crimes and why they carry such significant sentences.”
“Carjacking is a serious and dangerous crime, and as this case shows, even a youthful offender like Askew can be sentenced to serious federal prison time for carjacking,” said Eric DeGree, Special Agent in Charge of ATF’s Philadelphia Field Office. “The fact that the defendant and accomplices targeted vulnerable elderly community members makes their crime spree even more reprehensible. Preventing and prosecuting carjacking remains a high priority, and as in this case, we will work with our partners in the Philadelphia Carjacking Task Force to track down the perpetrators across jurisdictions, whenever and wherever they act.”
“I want to thank U.S. Attorney Romero for her collaborative efforts to hold violent criminals accountable by bringing them to justice.” said Delaware County District Attorney Jack Stollsteimer. “In Delaware County, our Project Safe Neighborhoods partnership is a force multiplier for the men and women of law enforcement working courageously every day to keep our communities safe.”
“We will not tolerate violent crime in our community,” said Upper Darby Police Superintendent Timothy Bernhardt. “Alex Askew’s actions were not only dangerous but unacceptable, and we remain committed to hold accountable anyone who threatens the safety of our residents. We extend our gratitude to the U.S. Attorney’s Office, particularly U.S. Attorney Jacqueline C. Romero, for their partnership and dedication in prosecuting this individual. Together with our law enforcement partners, we will continue to work tirelessly to protect our town and ensure that those who commit crimes face justice.”
“The sentence handed down today serves as a powerful reminder that the Philadelphia Police Department, alongside our law enforcement partners, will not tolerate violent crime in our city, especially crimes that target our most vulnerable citizens,” said Philadelphia Police Commissioner Kevin J. Bethel. “These brazen carjackings were not only a threat to public safety but also a violation of the sense of security every individual deserves. I commend the dedication of our officers - and the collaboration across our partner agencies - that brought this individual to justice. We remain committed to ensuring the safety of all Philadelphians through decisive and strategic actions.”
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, the Delaware County District Attorney’s Office Criminal Investigation Division, the Upper Darby Township Police Department, and the Philadelphia Police Department, and is being prosecuted by Special Assistant United States Attorneys Brian Doherty and Sandra M. Urban.
Owner of Three North Shore Restaurants Pleads Guilty to Tax Fraud SchemesRead the Press Release
BOSTON – A Hampton, N.H. man pleaded guilty on Sept. 6, 2024 to defrauding the Internal Revenue Service regarding federal employment taxes and the Massachusetts Department of Revenue regarding state meals taxes over a six-year period. Defendant owned and operated three restaurants: in Salem, Mass.; Peabody, Mass.; and Seabrook, N.H.
John Drivas, age 66, pleaded guilty to five counts of failure to collect and pay over employment taxes owed to the IRS and four counts of wire fraud for state meals taxes he collected from restaurant customers but failed to pay to the state Department of Revenue. U.S. District Judge Julia E. Kobick scheduled sentencing for Dec. 5, 2024.
Between January 2016 to October 2022, Drivas was the owner and operator of three restaurants: Red’s Sandwich Shop in Salem, Mass., Red’s Kitchen and Tavern in Peabody, Mass. and Red’s Seabrook in Seabrook, N.H. He was the sole shareholder of the Salem restaurant until he sold it to an employee in September 2022. He was the 100% owner of the Peabody restaurant with his wife and the 52% owner of the Seabrook restaurant with his children.
Drivas paid wages to numerous employees of the restaurants partly by payroll checks and partly in cash. He did not report the cash wages to the IRS or pay employment taxes on them. Federal tax law requires employers to withhold from any employee wages an amount for income taxes and other amounts for Social Security and Medicare taxes. Drivas caused employment tax losses of $439,341.
Drivas also collected more than $1.5 million in state meals taxes paid by restaurant customers which he failed to pay over to the state as required by law. In Massachusetts, all owners and operators of restaurants and bars are required to collect 6.25 sales taxes on meals. Salem and Peabody also require restaurants and bars to collect an additional 0.75% local option meals excise tax. Although Drivas collected the taxes from restaurant customers, he intentionally withheld $1,596,775. of those taxes from monthly reports and payments owed to the Massachusetts Department of Revenue.
The charge of failure to pay over taxes carries a maximum potential sentence of five years in prison, three years of supervised release, , a fine of $250,000 or twice the gross gain or loss and restitution. Each wire fraud charge is punishable by up to 20 years in prison, supervised release for three years, a fine of $250,000 or twice the gross gain or loss, and restitution. Sentences are imposed by the federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.Acting United States Attorney Joshua S. Levy, Harry Chavis, Special Agent in Charge of the Internal Revenue Service Criminal Investigation, Boston Field Office and Katherine Mulligan, Chief of Investigations for the Insurance Fraud Bureau of Massachusetts made the announcement today. Valuable assistance was provided by the Criminal Investigations Bureau of the Massachusetts Department of Revenue. Assistant United States Attorney Victor A. Wild of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Othello Man Indicted for Rolling Back and Replacing OdometersRead the Press Release
Spokane, Washington – On September 4, 2024, a federal grand jury for the Eastern District of Washington returned an indictment charging Reynaldo Valdez Garza Jr., age 52, of Othello, Washington, with five counts of Odometer Tampering. Garza made his first appearance in Federal Court on September 9, 2024.
The indictment alleges that beginning in May of 2023, Garza carried out a scheme to acquire used cars with high mileage, tamper with or replace the odometers in the vehicles to make the cars mileage appear much lower, then advertise and sell the vehicles to unsuspecting buyers for an inflated price. According to the indictment, in some cases, Garza caused odometers to be rolled back more than 100,000 miles.
The indictment further alleges that in some instances Gaza would wait for the buyer to sign their section of the Bill of Sale paperwork, then fill in the “seller” section with different information than what was represented to the buyer regarding the identity of the seller and mileage.
“The purchase of a vehicle is often one of the largest financial commitments people make. It is important that buyers have confidence in the information they receive when deciding which vehicle to purchase,” stated U.S. Attorney Vanessa Waldref. “My office is committed to protecting consumers from fraudsters who seek to cheat the system for their own gain.”
This case was investigated by the National Highway Traffic Safety Administration and the Adams County Sheriff’s Office. This case is being prosecuted by Assistant United States Attorney Devin Curda.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Ohio Man Pleads Guilty to Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – Adrian Horton, also known as “Big Guy” and “Fat Boy,” 23, of Toledo, Ohio, pleaded guilty today to possession with intent to distribute 40 or more grams of fentanyl and a quantity of cocaine base, also known as “crack.”
According to court documents and statements made in court, on March 28, 2022, law enforcement officers executed a search warrant at a Monroe Avenue residence in Huntington where Horton was staying. Officers seized over 40 grams of fentanyl and a quantity of cocaine. Horton admitted that he possessed the seized controlled substances, intended to distribute them, and used the Huntington residence to distributed various kinds of controlled substances.
Horton is scheduled to be sentenced on December 16, 2024, and faces a mandatory minimum of five years and up to 40 years in prison, at least four years of supervised release, and a $5 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Huntington Police Department.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorneys Owen Reynolds and Stephanie Taylor are 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. 3:24-cr-5.
###
Newport News woman pleads guilty to laundering money taken from a pandemic relief loan programRead the Press Release
NEWPORT NEWS, Va. – A Newport News woman pled guilty today to laundering proceeds of a pandemic-benefit fraud scheme.
According to court documents, on March 17, 2021, Shenita R. Banks, 50, applied for a loan for her company, Wireless Queen, Inc., through the Paycheck Protection Program (PPP), a COVID-19 relief program intended to provide loans backed by the Small Business Administration (SBA) to certain businesses, nonprofit organizations, and other entities to help them retain their employees or stay afloat during the pandemic. Banks incorporated Wireless Queen, Inc., on July 27, 2015, but it had no business operations, employees, or sales in 2020.
In her PPP application, Banks fraudulently claimed that the purpose of the loan was for payroll costs, rent/mortgage interest, utilities, and covered supplier costs. Banks falsely stated that her average monthly payroll costs were $58,900.00. As part of the application, Banks submitted copies of tax returns (IRS Forms 940, 941, and 1120) for tax year 2020, in which she reported payments to employees totaling $705,941.44. However, the IRS has no record of Banks filing these forms for tax years 2018 through 2022 or of Banks filing an individual Form 1040 tax return for those tax years.
On March 24, 2021, Banks’ PPP loan application was approved, and on March 25, 2021, Banks electronically signed the PPP application attesting that the information provided was true and accurate and that she understood the criminal penalties associated with providing false statements to the SBA. Banks specifically certified that she was eligible to receive a loan under the rules issued by the SBA and that all loan proceeds would be used only for business-related purposes.
On March 31, 2021, Banks received $145,833 for the awarded PPP funding to her business account held in the name of Wireless Queen Inc., which Banks opened the day before submitting the initial PPP application. On April 5, 2021, Banks laundered $33,030 of the PPP loan funds by withdrawing them from the Wireless Queen bank account.
Banks is scheduled to be sentenced on Jan. 29, 2025, and faces a up to 10 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Kareem A. Carter, IRS Criminal Investigation Special Agent in Charge of the Washington D.C. Field Office, made the announcement after U.S. District Judge Jamar K. Walker accepted the plea.
Assistant U.S. Attorneys Therese O'Brien and Mack Coleman are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:24-cr-41.
Newbury Man Sentenced to 60 Months in Federal Prison for Distributing Child Sexual Abuse MaterialRead the Press Release
CONCORD – A Newbury man was sentenced today in federal court for distributing child sexual abuse material (CSAM), U.S. Attorney Jane E. Young announces.
Marc Jacques, 50, was sentenced by U.S. District Court Paul Barbadoro to 60 months in federal prison and 5 years of supervised release. The defendant was ordered to pay $26,500 in restitution. On March 18, 2024, Jacques pleaded guilty to one count of distribution of child pornography.
Between 2018 and 2022, Jacques’ IP address had been reported to the National Center for Missing and Exploited Children (NCMEC) in connection with at least 40 CyberTips related to the online sexual exploitation of children. Between November 24 and December 6, 2021, Jacques uploaded 49 files of apparent CSAM to the social media platform Kik. Law enforcement executed a federal search warrant on Jacques’ residence and person in June 2022. Forensic examination of Jacques’ electronic devices revealed the presence of over 200 files of apparent child sexual abuse material (CSAM) as well as chats between Jacques and others related to the sexual exploitation of children and the sharing of CSAM. In at least one chat conversation, Jacques sent videos of CSAM to others.
“Survivors of child sexual abuse material suffer from revictimization and live everyday with fear that their abuse is being shared on the internet,” said U.S. Attorney Jane E. Young. “Law enforcement in the District of New Hampshire will continue to utilize every resource available to disrupt the distribution of CSAM and incarcerate offenders convicted of these horrific crimes.”
“The defendant’s online behavior was flagged repeatedly by systems designed to detect predators sharing child sexual abuse materials. Today’s sentence is the result of the collaboration of private industry and the dedicated work of law enforcement who work together every day to see justice for the children victimized when these horrific images are produced,” said Special Agent in Charge Michael J. Krol for Homeland Security Investigations in New England.
Homeland Security Investigations led the investigation. Valuable assistance was provided by the New Hampshire Internet Crimes Against Children Task Force (ICAC), the Nashua Police Department, and the Hillsborough County Sheriff’s Department. Assistant U.S. Attorney Kasey Weiland is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by 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.
###
Mineral County Man Sentenced for Fentanyl ChargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Shawn Douglas Oates, 30, of Burlington, West Virginia, was sentenced today to 110 months in federal prison for conspiracy to possess with intent to distribute and to distribute fentanyl.
According to court documents and statements made in court, Oates’ residence was searched and officers seized nearly 70 grams of fentanyl. Oates has prior drug and theft convictions.
Oates will be on three years of supervised release following his prison sentence.
Assistant U.S. Attorney Kyle Kane prosecuted the case on behalf of the government.
The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, investigated. The task force consists of the Federal Bureau of Investigation, the Drug Enforcement Administration, the West Virginia State Police, the Hampshire County Sheriff’s Office, the Mineral County Sheriff’s Office, the Hardy County Sheriff’s Office, the Grant County Sheriff’s Office, and the Keyser Police Department.
U.S. District Judge Gina M. Groh presided.
Maryland Man Sentenced to A Year and A Day in Connection with Covid Fraud SchemeRead the Press Release
Baltimore, Maryland –Senior United States District Judge James K. Bredar sentenced Ayaz Qureshi, age 55, of Severna Park, Maryland to a year and a day in federal prison, followed by two years of supervised release, in connection with a conspiracy to commit wire fraud affecting financial institutions, relating to more than $250,000 in fraudulent Paycheck Protection Program (“PPP”) benefits. PPP benefits were a program created by the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which was a federal law enacted in March 2020 to provide emergency financial assistance to Americans suffering from the economic effects caused by the COVID-19 pandemic.
The sentence was announced by Erek L. Barron, U.S. Attorney for the District of Maryland; Special Agent in Charge William J. DelBagno of the Federal Bureau of Investigation, Baltimore Field Office (‘FBI’), Special Agent in Charge Amaleka McCall-Brathwaite of the Small Business Administration Office of Inspector General (“SBA-OIG”), Eastern Region, and Chief Robert McCullough of the Baltimore County Police Department (“BCPD”).
Financial assistance through PPP benefits included forgivable loans to small businesses for job retention and certain other expenses, administered through the Small Business Administration (“SBA”), and SBA-approved lenders. According to the guilty plea, in March 2021, the Defendant and co-conspirator Ahmed (“Adam”) Sary submitted a fraudulent PPP loan application to Cross River Bank to obtain a PPP loan for Yazee, Inc. (“Yazee”), a company the Defendant owned. The PPP loan application contained numerous material misrepresentations, including that Yazee in 2019 had 16 employees and an average monthly payroll of more than $100,000. In support of the loan application, a fabricated 2019 Internal Revenue Service (“IRS”) form was submitted, which falsely stated that Yazee’s total payments to employees in 2019 were more than $1,200,000.
Based on the false representations and fraudulent submissions made on behalf of the Defendant as the owner of Yazee, the PPP loan was funded on March 22, 2021 and approximately $250,000 was distributed to a bank account controlled by the Defendant. The Defendant agreed to pay Sary kickbacks totaling $75,000 for his work in submitting the false application and obtaining the fraudulent PPP loan. After receipt of the PPP loan, the Defendant established payroll services for Yazee to facilitate documentation that would later be used to substantiate a request for the PPP loan to be forgiven.
The District of Maryland Strike Force is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the CARES Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
United States Attorney Erek L. Barron commended the FBI for their work in the investigation, and thanked the Small Business Administration’s Office of Inspector General, and the Baltimore County Police Department. Mr. Barron thanked Assistant U.S. Attorneys Paul A. Riley, Jared M. Beim, and Bijon A. Mostoufi, who are prosecuting the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao/md.
# # #
Marion County Man Pleads Guilty to Attempting to Entice A Minor to Engage in Sexual ActivityRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces that Joseph Raymond Morin (51, Ocala) has pleaded guilty to attempting to entice a minor to engage in sexual activity. Morin faces a minimum mandatory penalty of 10 years, up to life, in federal prison. A sentencing date has not yet been set.
According to the plea agreement, between May 3 and June 26, 2024, Morin communicated online with someone whom he believed was a 13-year-old girl. The child, however, was an undercover Homeland Security Investigations special agent. Morin engaged in a sexually explicit conversation with the undercover agent. Ultimately, Morin was arrested when he traveled to a pre-determined meeting location in Marion County to meet with the fictious minor to engage in sexual activity.
This case was investigated by Homeland Security Investigations and the Marion County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Man Sentenced to 40 Months for Participating in International Money Laundering Scheme Involving More Than $3 Million in Fraud ProceedsRead the Press Release
NEWS RELEASE SUMMARY – September 9, 2024
SAN DIEGO – Juan Pablo Prada Bernal of Colombia was sentenced in federal court today to 40 months in prison for participating in an international money laundering conspiracy involving more than $3 million in proceeds obtained through phone scams.
At today’s hearing, U.S. District Court Judge Andrew G. Schopler also ordered Bernal to pay $327,040.72 in restitution to 27 victims of the offense.
According to his plea agreement, between June 2018 and March 2020, Bernal was a member of an international conspiracy that laundered large amounts of money. The conspiracy involved two sides: Those responsible for contacting victims by phone and tricking them into sending thousands of dollars to U.S.-based bank accounts, and those responsible for laundering the proceeds through those bank accounts. The money launderers received and transferred the ill-gotten gains to their co-conspirators in Colombia and the United States, and in the process concealed the nature, source, location, ownership and control of the proceeds.
The money launderers opened bank accounts at various financial institutions using false mailing addresses. Shortly after the accounts were opened, the phone scammers – many of whom lived in Colombia – made unsolicited phone calls to victims in the United States using spoofed phone numbers. This allowed callers to conceal their identity and make it appear as if the calls originated from locations in the United States, such as a police station where the victim lived or had lived in the past.
During calls with victims, the scammers impersonated federal and local law enforcement officers and made the victims believe they were implicated in a crime. Using this as leverage, the conspirators coerced victims to make large wire transfers or other payments to purportedly resolve their criminal liability. The scammers instructed victims to wire funds to the various bank accounts opened by the money launderers. Once the money was deposited into the accounts, the money launderers quickly moved to withdraw the funds, purchase cashier’s checks to send to other conspirators, and drain the balance of the accounts before the funds could be frozen.
According to the United States’ sentencing memorandum, Bernal opened bank accounts at 10 different financial institutions to carry out the money laundering scheme. In many instances, Bernal received the fraud proceeds shortly after he opened the bank accounts and drained the balance of the accounts in a matter of days. After banks stopped allowing Bernal to open new accounts, he began to receive and launder cashier’s checks sent from his co-conspirators that were purchased with fraud proceeds obtained from other victims. To carry out this new role, Bernal and his co-conspirators traveled to multiple Moneytree locations in the same day for the purpose of laundering large amounts of fraud proceeds over a short period of time.
Over the course of approximately two years, Bernal received and laundered fraud proceeds more than 30 times from 27 different victims, including varying amounts of cashier’s checks from 14 of his co-conspirators, totaling an amount of $327,040.72.
“These scammers are sophisticated and will prey on emotion and fear,” said U.S. Attorney Tara McGrath. “This defendant turned deceit into profit, so we turned his profit into a conviction.”
“FBI Los Angeles works closely with our law enforcement partners to combat money laundering in our communities. Mr. Bernal’s sentence should serve as a deterrent to those who seek to prey on innocent victims” said Akil Davis, Assistant Director in Charge of the FBI Los Angeles Field Office. “The FBI reminds the public to be vigilant and never send money, gift cards, or share personal identifying information with a caller and to verify that the caller is a legitimate business or organization. The public is urged to report these calls to 1-800-CALL-FBI or tips.fbi.gov.”
“The U.S. Border Patrol is an all-threats agency, and we will continue to work with our law enforcement partners to protect our citizens from any and all threats,” said Chief Patrol Agent Patricia McGurk-Daniel. “I couldn’t be prouder of the work done by these agents to secure a significant and successful prosecution.”
This case is the result of ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
This case is being prosecuted by Assistant U.S. Attorney Patrick C. Swan.
DEFENDANT Case Number 23-cr-1483-AGS
Juan Pablo Prada Bernal Age: 24 Columbia
SUMMARY OF CHARGES
Money Laundering Conspiracy - Title 18, U.S.C., Section 1956(h)
Maximum Penalties: Twenty years in prison and a $250,000 fine or twice the value of the property involved in the transaction
INVESTIGATING AGENCIES
U.S. Department of Homeland Security
U.S. Customs and Border Protection
U.S. Border Patrol
Federal Bureau of Investigation
Organized Crime Drug Enforcement Task Force
U.S. Secret Service
Man Sentenced for Third Federal Gun CrimeRead the Press Release
MOBILE, AL – Cornelius Jeremih Pruitt, 28, of Daphne, Alabama, was sentenced today on his third conviction for being a felon in possession of a firearm or ammunition. Court documents show that Pruitt was under federal supervision through the United States Probation Office for two prior federal convictions for felon in possession of a firearm when he was apprehended in July of 2023. Bay Minette police responded to a report of a man in a silver vehicle brandishing a weapon while driving in front of a residence. Officer began a patrol of the area an observed a silver vehicle parked in the middle of Means Avenue in the dark with no headlights on. Pruitt was the driver and sole occupant. As a result of the ensuing investigation, officers discovered a gun under his seat loaded with 17 rounds of ammunition. Pruitt told the police it was over for him, and admitted he was a convicted felon. Pruitt pled guilty to the charge in May of 2024.
Judge Jeffery U. Beaverstock sentenced Pruitt to 30 months in prison on the new charge, and ordered that Pruitt serve 5 years of supervised release following his imprisonment. The judge further ordered that Pruitt’s supervised release term from his two prior felon in possession charges be revoked and that he serve 24 months imprisonment for his violation of that supervision. The judge ordered that Pruitt would be subjects to standard conditions of supervised release, as well as certain special conditions, including mental health counseling and treatment, drug and alcohol testing and treatment and the model search provision, which permits a search of his person and premises upon reasonable suspicion that he has violated his supervision. He was also ordered to pay $100 in special mandatory assessments. No fine was imposed but the firearm and ammunition seized from Pruitt was ordered forfeited to the United States.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Bay Minette Police Department.
Assistant U.S. Attorney Gloria Bedwell prosecuted the case on behalf of the United States.
Man Arrested and Charged with Stealing Benefits from Low-Income FamiliesRead the Press Release
NEWS RELEASE SUMMARY – September 6, 2024
SAN DIEGO –Andrei Bogdan Arteni of Romania appeared in federal court in Los Angeles today to face charges in the Southern District of California that he conspired to steal hundreds of thousands of dollars in public-assistance benefits from low-income families that need the funds to pay for food, housing and other necessities. He was ordered detained and will appear in federal court in San Diego for his next hearing.
Arteni was arrested in Santa Ana yesterday in connection with the thefts, which resulted in losses exceeding $580,000. According to the complaint, between October 2023 and March 2024, he and co-conspirators installed skimming devices at point-of-sale terminals in grocery stores and large-volume retailers in communities with higher concentrations of public benefit recipients. The data skimmed from government-issued benefit cards, known as EBT (electronic benefit transfer) cards, was then re-encoded onto the magnetic strips of fraudulent cards that they used to make tens of thousands of dollars in unauthorized ATM withdrawals over the course of several months.
Also yesterday, authorities served court-authorized search warrants at two storage units in National City and Newport Beach, and Romanian authorities served warrants on 10 residences across Romania. U.S. federal authorities seized more than $550,000 in cash, jewelry, and skimming devices. Romanian authorities seized two properties in the cities of Iași and Podu Iloaiei, along with more than $190,000 and €200,000 cash.
“Stealing public assistance funds from those who need it most takes greed to a new depth,” said U.S. Attorney Tara McGrath. “With this case, we are enforcing laws designed to protect the security of electronic payment devices and ensure public confidence in everyday transactions.”
“EBT fraud is especially devastating as it targets our most vulnerable community members and can cause extreme financial hardship,” said Jason Reynolds, the Special Agent in Charge of the U.S. Secret Service’s San Diego Field Office. “The U.S. Secret Service, and our partners remain committed to investigating these crimes so that those receiving these benefits do not have to worry about their benefits being stolen.”
“Homeland Security Investigations is dedicated to working with our foreign law enforcement partners to disrupt and dismantle trans-national fraud groups who victimize U.S. banking institutions and government programs for their financial benefit,” said HSI Los Angeles Special Agent in Charge Eddy Wang. “This case is an example of how HSI will go to great lengths to bring those who perpetrate these crimes to justice.”
According to court documents, Arteni and his co-conspirators used false identities to rent out an Airbnb, a storage unit in Newport Beach, and a storage unit in National City. The storage unit in Newport Beach stored several household appliances with cash concealed inside—some of which were shipped to Romania.
According to the complaint, the brothers were linked to the crimes through surveillance photos at ATMs in San Diego County where they made fraudulent withdrawals. Victims are located throughout Southern California, including San Diego, Los Angeles and Riverside.
This case is being prosecuted by Assistant U.S. Attorneys Ronald Sou and David Kete. Valuable assistance was provided by the U.S. Attorney’s Office for the Central District of California, U.S. Customs and Border Protection, Los Angeles Sheriff’s Department, the National City Police Department, and Romanian authorities, including Romania Public Ministry Prosecutor’s Office of DIICOT – Galați Territorial Service, Galați and Iași Police-Organized Crime Brigades.
If you or someone you know has had your EBT benefits stolen, San Diego County’s Department of Health & Human Services Agency requires that the theft be reported within 10 days. More information for San Diego County victims is available at: https://www.sandiegocounty.gov/content/sdc/hhsa/programs/ssp/ebt_fraud.html.
DEFENDANT Case Number 24MJ1934
Andrei Bogdan Arteni 35 Santa Ana
SUMMARY OF CHARGES
Title 18, U.S.C. §§1029(a)(2), (b)(1), and (c)(1)(A)(i) – Use and Attempted Use of Unauthorized Access Devices
Maximum Penalty: Ten years in prison, $250,000 fine
Title 18, U.S.C. §1029(a)(2), (b)(2), and (c)(1)(A)(i) – Access Device Conspiracy
Maximum Penalty: Ten years in prison, $250,000 fine
Title 18, U.S.C. §§ 982(a)(2)(B) and 1029(c)(1)(C) – Criminal Forfeiture
INVESTIGATING AGENCIES
Homeland Security Investigations, Los Angeles
United States Secret Service, San Diego
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Madison Man Sentenced to 7 Years for Fentanyl Trafficking and Illegal Gun PossessionRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Davonte F. King, 29, Madison, Wisconsin, was sentenced on September 5, 2024, by Chief U.S. District Judge James D. Peterson to a total of 7 years in federal prison for possessing fentanyl intended for distribution and possessing a firearm in furtherance of a drug trafficking crime. The prison term will be followed by 6 years of supervised release. King pleaded guilty to these charges on June 27, 2024.
In October and November 2022, King was intercepted over a wiretap speaking with the leader of a drug trafficking organization in Madison who was selling cocaine and fentanyl pills which were designed to appear like commercially manufactured oxycodone pills. King was often ordering hundreds of fentanyl pills at a time and was believed to be distributing them in the Madison area.
On October 19, 2022, King and the drug source set up a deal for fentanyl pills. After they met in Madison, a Madison Police Department officer attempted to conduct a traffic stop on King’s vehicle, but he fled at a high rate of speed in a residential area and got away. After the flight, King called the drug source and said he could not stop because he was a felon with a firearm.
On November 17, 2022, King was again intercepted setting up a deal with his drug source for 100 fentanyl pills. Officers observed King enter the drug source’s business and exit after a short time. The vehicle King was in then stopped at a grocery store parking lot where two people made brief contact with the vehicle consistent with drug deals. The vehicle was pulled over shortly after leaving the parking lot. King was ultimately arrested, and a search of his person revealed baggies with fentanyl pills and cocaine, $1,383 in cash, and drug trafficking paraphernalia including multiple baggies and small rubber bands.
During a search of the vehicle, law enforcement located a Taurus 9mm handgun under the front passenger seat where King had been seated. The Taurus was loaded with a bullet in the chamber. King is prohibited from legally possessing firearms and ammunition because of a prior felony conviction.
At the time of these events, King was on state supervision for a 2016 second degree reckless endangering safety conviction and a 2021 domestic battery conviction. King’s supervision has since been revoked and he is currently serving a 25-month state prison revocation sentence. Judge Peterson ordered that the federal sentence run consecutive to the remainder of the revocation sentence.
At sentencing, Judge Peterson said that this case involved a serious drug trafficking offense, as cheap fentanyl pills are flooding into communities. Judge Peterson also found King’s history of firearms possession and violence to be aggravating factors.
The charges against King were the result of an investigation conducted by the U.S. Postal Inspection Service, Drug Enforcement Administration, IRS Criminal Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, Wisconsin Department of Justice Division of Criminal Investigation, and Dane County Narcotics Task Force. The investigation was conducted and funded by the Organized Crime Drug Enforcement Task Force (OCDETF), a multi-agency task force that coordinates long-term narcotics trafficking investigations. Assistant U.S. Attorney Steven P. Anderson prosecuted this case.
This case is also 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.
Lynchburg Man Sentenced to 18 Years for Drug DistributionRead the Press Release
LYNCHBURG, Va. – A Lynchburg, Virginia man, who distributed large quantities of cocaine and methamphetamine throughout the greater-Lynchburg area while possessing a firearm and had previously been convicted in state court of second degree murder, was sentenced to 18 years in federal prison.
Taurus McDaniel, 43, previously pled guilty to conspiracy to possess with the intent to distribute and distribute methamphetamine, possession with the intent to distribute and to distribute methamphetamine and possessing a firearm in furtherance of a drug trafficking crime. In addition, McDaniel was convicted in 2007 of murder in the second degree in the Circuit Court for Sussex County.
Quentin Randolph, a co-defendant in the matter, was previously sentenced to 15 years in federal prison for his role in the conspiracy.
According to court documents, between October 2022 and June 2023, McDaniel, Randolph, and others conspired to distribute methamphetamine in the greater Lynchburg metropolitan area. The Lynchburg, Virginia Police Department development several confidential informants (CIs) and made numerous controlled purchases of methamphetamine from McDaniel and Randolph from McDaniel’s residence at 100 Bright Star Court in Lynchburg.
On June 2, 2023, law enforcement executed a search warrant at McDaniel’s residence and discovered 356 grams of cocaine, a loaded, Colt .38 caliber revolver, a digital scale, a loaded 9 mm pistol with a laser sight and an extended magazine, and 236 grams of methamphetamine.
United States Attorney Christopher R. Kavanagh, Jared Forget, Special Agency in Charge of the DEA’s Washington Division, James VanVliet, Acting Special Agent in Charge of the Washington Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Ryan M. Zuidema, Chief of the Lynchburg Police Department made the announcement.
The Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the City of Lynchburg Police Department investigated the case.
The investigation and conviction of Taurus McDaniel is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Assistant U.S. Attorney Sean Welsh prosecuted the case.
Luzerne County Man Sentenced to 108 Months in Prison for Fentanyl TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on September 5, 2024, U.S. District Court Judge Malachy E. Mannion sentenced Antoine Montgomery, age 34, of Wilkes Barre, Pennsylvania, to a term of 108 months’ imprisonment for trafficking of fentanyl.
According to United States Attorney Gerard M. Karam, Montgomery pleaded guilty to a drug trafficking on February 23, 2022. Montgomery was arrested during the DEA’s Operation Overdrive which targeted drug trafficking, firearms and violent crimes in Wilkes Barre, Pennsylvania, and surrounding areas. Agents conducted surveillance in the area of Beaumont Street, Wilkes Barre when they observed Montgomery and his co-defendant Jamal Jenkins conduct numerous illegal drug transactions. As a result of further investigation, a federal search warrant was served on a residence and parked vehicle controlled by Montgomery and Jenkins on January 4, 2023. Agents seized 300 grams of fentanyl and fluorofentanyl, together with crack cocaine and cocaine.
Judge Mannion previously sentenced Jenkins to 36 months’ imprisonment, and in this case also ordered Montgomery to serve a term of 4 years of supervised release following release from custody.
This case was jointly investigated by the DEA and the Pennsylvania State Police. Assistant United States Attorney Todd K. Hinkley prosecuted the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin and other opioids. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin and opioid traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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.
###
Leaders of Transnational Terrorist Group Charged with Soliciting Hate Crimes, Soliciting the Murder of Federal Officials, and Conspiring to Provide Material Support to TerroristsRead the Press Release
The Justice Department announced today that Dallas Humber, 34, of Elk Grove, California, and Matthew Allison, 37, of Boise, Idaho — leaders of the Terrorgram Collective, a transnational terrorist group — were charged with a 15-count indictment for soliciting hate crimes, soliciting the murder of federal officials, and conspiring to provide material support to terrorists. Humber and Allison were arrested on Friday by law enforcement officials.
“Today’s indictment charges the defendants with leading a transnational terrorist group dedicated to attacking America’s critical infrastructure, targeting a hit list of our country’s public officials, and carrying out deadly hate crimes — all in the name of violent white supremacist ideology,” said Attorney General Merrick B. Garland. “Today’s arrests are a warning that committing hate-fueled crimes in the darkest corners of the internet will not hide you, and soliciting terrorist attacks from behind a screen will not protect you. The United States Department of Justice will find you, and we will hold you accountable.”
“We allege that the leaders of Terrorgram charged today are a threat to public safety and the rule of law,” said Deputy Attorney General Lisa Monaco. “Using the Telegram platform, they advanced their heinous white supremacist ideology, solicited hate crimes, and provided guidance and instructions for terrorist attacks on critical infrastructure and assassinations of government officials. Today’s action reaffirms that the Department of Justice will not tolerate this alleged abhorrent conduct. It has no place in America or anywhere else. We will continue working with our law enforcement partners to identify, apprehend, and hold accountable anyone who engages in such activity, no matter where they are located.”
“These defendants are alleged to be the leaders of Terrorgram Collective, a transnational terrorist group that our investigation found is responsible for soliciting hate crimes and the murder of government officials and providing support to terrorists,” said FBI Director Christopher Wray. “Whether motivated by racial bias or antagonism toward government and societal norms, such behavior will not be tolerated. Terrorism is still the FBI’s number one priority, and working with our partners we are committed to investigating and holding accountable those who break the laws and assist violent actors in lethal plots.”
“Hate crimes fueled by bigotry and white supremacy, and amplified by the weaponization of digital messaging platforms, are on the rise and have no place in our society,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This indictment charges the leaders of a transnational terrorist group with several civil rights violations, including soliciting others to engage in hate crimes and terrorist attacks against Black, immigrant, LGBT, and Jewish people. Make no mistake, as hate groups turn to online platforms, the federal government is adapting and responding to protect vulnerable communities. The Justice Department is committed to protecting the civil rights of all Americans, and we will resolutely strive to bring to justice those who seek to threaten, undermine, or extinguish it.”
“As alleged, Humber and Allison, the leaders of Terrorgram, conspired to provide material support and solicited attacks on federal officials and critical government infrastructure, including federal buildings and energy facilities,” said Matthew G. Olsen of the National Security Division. “Today’s charges demonstrate the Justice Department’s resolve to bring every available tool to bear in countering threats of violent extremists and protecting Americans.”
“The defendants solicited murders and hate crimes based on the race, religion, national origin, sexual orientation, and gender identity of others,” said U.S. Attorney Phillip A. Talbert for the Eastern District of California. “They also doxed and solicited the murder of federal officials, conspired to provide material support to terrorists, and distributed information about explosives that they intended to be used in committing crimes of violence. My office will continue to work tirelessly with our partners in law enforcement and in the Justice Department to investigate and prosecute those who commit such violations of federal criminal law. I would like to thank the FBI and the Justice Department’s Civil Rights Division and National Security Division for their partnership in support of the common mission to keep our people and public officials safe from hate-fueled crimes of violence.”
According to the indictment, which was unsealed today, Humber and Allison are the leaders of the Terrorgram Collective, a transnational terrorist group that operates on the digital messaging platform Telegram, where it promotes white supremacist accelerationism: an ideology centered on the belief that the white race is superior; that society is irreparably corrupt and cannot be saved by political action; and that violence and terrorism are necessary to ignite a race war and accelerate the collapse of the government and the rise of a white ethnostate.
The indictment alleges that Humber and Allison, as leaders of the Terrorgram Collective, contributed to and disseminated several Terrorgram videos and publications that provide specific advice for carrying out crimes, celebrate white supremacist attacks, and provide a hit list of “high-value targets” for assassination. The hit list included U.S. federal, state, and local officials, as well as leaders of private companies and non-governmental organizations, many of whom were targeted because of race, religion, national origin, sexual orientation, or gender identity.
Humber and Allison are alleged to have operated Terrorgram channels and group chats, where they solicited Terrorgram users to commit attacks in order to achieve Terrorgram’s goals of accelerationism and white supremacy and provided instructions and guidance to equip Terrorgram users to carry out those attacks. These attacks include but are not limited to:
- Bias-motivated attacks against those deemed by Terrorgram to be enemies of the white race;
- Terrorist attacks on government infrastructure, such as government buildings and energy facilities, which Terrorgram believes will ignite a race war and help accelerate the collapse of government and society; and
- Attacks on “high-value targets” — like politicians and government officials — whose murders Terrorgram believes would sow chaos and further accelerate the government’s downfall.
They also incited Terrorgram users to commit attacks in furtherance of white supremacist accelerationism, including the following individuals who were allegedly inspired or guided by Humber, Allison, and other members of the Terrorgram Collective to carry out attacks or were planning to do so when they were arrested by law enforcement:
- An individual who shot three people (killing two) outside of an LGBT bar in Slovakia;
- An individual who planned an attack on energy facilities in New Jersey; and
- An individual who stabbed five people near a mosque in Turkey.
The indictment charges Humber and Allison with a total of 15 counts, including one count of conspiracy, four counts of soliciting hate crimes, three counts of soliciting the murder of federal officials, three counts of doxing federal officials, one count of threatening communications, two counts of distributing bombmaking instructions, and one count of conspiring to provide material support to terrorists.
If convicted of all charges, Humber and Allison each face a maximum penalty of 220 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Sacramento Field Office and FBI Salt Lake City Field Office, Boise Resident Agency, investigated the case, with assistance from the U.S. Attorney’s Office for the District of Idaho and a variety of foreign and domestic law enforcement agencies.
The Justice Department’s Civil Rights Division, National Security Division, and U.S. Attorney’s Office for the Eastern District of California are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
View the indictment here.
Leaders of Transnational Terrorist Group Charged with Soliciting Hate Crimes, Soliciting the Murder of Federal Officials and Conspiring to Provide Material Support to TerroristsRead the Press Release
SACRAMENTO, Calif. — The Justice Department announced today that Dallas Humber, 34, of Elk Grove, California, and Matthew Allison, 37, of Boise, Idaho — leaders of the Terrorgram Collective, a transnational terrorist group — were charged with a 15-count indictment for soliciting hate crimes, soliciting the murder of federal officials, and conspiring to provide material support to terrorists. Humber and Allison were arrested on Friday by law enforcement officials.
“Today’s indictment charges the defendants with leading a transnational terrorist group dedicated to attacking America’s critical infrastructure, targeting a hit list of our country’s public officials, and carrying out deadly hate crimes – all in the name of violent white supremacist ideology,” said Attorney General Merrick B. Garland. “Today’s arrests are a warning that committing hate-fueled crimes in the darkest corners of the internet will not hide you, and soliciting terrorist attacks from behind a screen will not protect you. The United States Department of Justice will find you, and we will hold you accountable.”
“The defendants solicited murders and hate crimes based on the race, religion, national origin, sexual orientation, and gender identity of others,” said U.S. Attorney Phillip A. Talbert. “They also doxed and solicited the murder of federal officials, conspired to provide material support to terrorists, and distributed information about explosives that they intended to be used in committing crimes of violence. My office will continue to work tirelessly with our partners in law enforcement and in the U.S. Department of Justice to investigate and prosecute those who commit such violations of federal criminal law. I would like to thank the FBI and the U.S. Justice Department’s Civil Rights Division and National Security Division for their partnership in support of the common mission to keep our people and public officials safe from hate-fueled crimes of violence.”
“The leaders of Terrorgram charged today are a threat to public safety and the rule of law,” said Deputy Attorney General Lisa Monaco. “Using the Telegram platform, they advanced their heinous white supremacist ideology, solicited hate crimes, and provided guidance and instructions for terrorist attacks on critical infrastructure and assassinations of government officials. Today’s action reaffirms that the Department of Justice will not tolerate this alleged abhorrent conduct. It has no place in America or anywhere else. We will continue working with our law enforcement partners to identify, apprehend, and hold accountable anyone who engages in such activity, no matter where they are located.”
“Hate crimes fueled by bigotry and white supremacy, and amplified by the weaponization of digital messaging platforms, are on the rise and have no place in our society,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This indictment charges the leaders of a transnational terrorist group with several civil rights violations, including soliciting others to engage in hate crimes and terrorist attacks against Black, immigrant, LGBT, and Jewish people. Make no mistake, as hate groups turn to these online platforms, the federal government is adapting and responding to protect vulnerable communities. The Justice Department is committed to protecting the civil rights of all Americans, and we will resolutely strive to bring to justice those who seek to threaten, undermine, or extinguish it.”
“These defendants are alleged to be the leaders of Terrorgram Collective, a transnational terrorist group that our investigation found is responsible for soliciting hate crimes and the murder of government officials and providing support to terrorists,” said FBI Director Christopher Wray. “Whether motivated by racial bias or antagonism toward government and societal norms, such behavior will not be tolerated. Terrorism is still the FBI’s number one priority, and working with our partners we are committed to investigating and holding accountable those who break the laws and assist violent actors in lethal plots.”
According to the indictment, which was unsealed today, Humber and Allison are the leaders of the Terrorgram Collective, a transnational terrorist group that operates on the digital messaging platform Telegram, where it promotes white supremacist accelerationism: an ideology centered on the belief that the white race is superior; that society is irreparably corrupt and cannot be saved by political action; and that violence and terrorism are necessary to ignite a race war and accelerate the collapse of the government and the rise of a white ethnostate.
The indictment alleges that Humber and Allison, as leaders of the Terrorgram Collective, contributed to and disseminated several Terrorgram videos and publications that provide specific advice for carrying out crimes, celebrate white supremacist attacks, and provide a hit list of “high-value targets” for assassination. The hit list included U.S. federal, state, and local officials, as well as leaders of private companies and non-governmental organizations, many of whom were targeted because of race, religion, national origin, sexual orientation, or gender identity.
Humber and Allison are alleged to have operated Terrorgram channels and group chats, where they solicited Terrorgram users to commit attacks in order to achieve Terrorgram’s goals of accelerationism and white supremacy and provided instructions and guidance to equip Terrorgram users to carry out those attacks. These attacks include but are not limited to:
- Bias-motivated attacks against those deemed by Terrorgram to be enemies of the white race;
- Terrorist attacks on government infrastructure, such as government buildings and energy facilities, which Terrorgram believes will ignite a race war and help accelerate the collapse of government and society;
- Attacks on “high-value targets” – like politicians and government officials –whose murders Terrorgram believes would sow chaos and further accelerate the government’s downfall.
They also incited Terrorgram users to commit attacks in furtherance of white supremacist accelerationism, including the following individuals who were allegedly inspired or guided by Humber, Allison, and other members of the Terrorgram Collective to carry out attacks or were planning to do so when they were arrested by law enforcement:
- An individual who shot three people (killing two) outside of an LGBTQI+ bar in Slovakia;
- An individual who planned an attack on energy facilities in New Jersey; and
- An individual who stabbed five people near a mosque in Turkey.
The indictment charges Humber and Allison with a total of 15 counts, including one count of conspiracy, four counts of soliciting hate crimes, three counts of soliciting the murder of federal officials, three counts of doxing federal officials, one count of threatening communications, two counts of distributing bombmaking instructions, and one count of conspiring to provide material support to terrorists.
“The FBI is fiercely committed to protecting the civil liberties and safety of all Americans. Through close collaboration with our partners, the arrests of Humber and Allison reflect our resolve to combat hate crimes and terrorism. This operation reaffirms our dedication to public safety, national security, and our constitutional freedoms,” stated FBI Sacramento Special Agent in Charge Sid Patel.
“The unfortunate reality is that hate exists, and when someone is willing to fuel their beliefs through fear and violence, it puts the safety of us all at risk,” said Special Agent in Charge Shohini Sinha of the Salt Lake City FBI. “No community is immune. The FBI is deeply committed to safeguarding Americans from the threat of domestic terrorism and violent extremism.”
If convicted of all charges, Humber and Allison each face a maximum penalty 220 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Sacramento Field Office and FBI Salt Lake City Field Office, Boise Resident Agency investigated the case, with assistance from the U.S. Attorney’s Office for the District of Idaho and a variety of foreign and domestic law enforcement agencies.
The Justice Department’s Civil Rights Division, National Security Division, and U.S. Attorney’s Office for the Eastern District of California are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Justice Department Sues Maine for Violating the Americans with Disabilities ActRead the Press Release
The Justice Department sued the State of Maine today for unnecessarily segregating children with behavioral health disabilities in hospitals, residential facilities and a state-operated juvenile detention facility in violation of the Americans with Disabilities Act (ADA) and the Supreme Court’s decision in Olmstead v. L.C. The department previously notified Maine of its findings of civil rights violations in a June 2022 letter to Maine. The letter identified steps that Maine should take to remedy the violations.
“The State of Maine has an obligation to protect its residents, including children with behavioral health disabilities, and such children should not be confined to facilities away from their families and community resources,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Civil Rights Division is committed to ensuring that people with disabilities can get the services they need to remain at home with their families and loved ones, in their communities.”
“Families across Maine must be able to access to local community-based services for their children with behavioral health disabilities,” said U.S. Attorney Darcie N. McElwee for the District of Maine. “The alleged violations identified by the Justice Department must be remedied so that these children and their families can obtain services in their own communities, as required by the Americans with Disabilities Act.”
The ADA and the Olmstead decision require state and local governments to ensure the services they provide for children with disabilities are available in the most integrated setting appropriate to each child’s needs. These services can include assistance with daily activities, behavior management and individual or family counseling. Community-based behavioral health services also include crisis services that can help prevent a child from being institutionalized during a mental health crisis. Absent these services, Maine children with disabilities enter emergency rooms, come into contact with law enforcement and remain in institutions when they could remain with their families if Maine provided them sufficient community-based services.
The lawsuit alleges that Maine administers its system in a way that limits behavioral health services in the community. As a result, Maine children must enter in- and out-of-state facilities, or even the state-operated juvenile detention facility, Long Creek Youth Development Center, to receive behavioral health services. Others are at serious risk of entering these facilities, as their families struggle to keep them home despite the lack of necessary services.
The Civil Rights Division’s Disability Rights Section investigated this case with assistance from the U.S. Attorney’s Office for the District of Maine.
For more information on the ADA, please call the department’s toll-free ADA Information Line at 1-800-514-0301 (TDD 800-514-0383) or visit www.ada.gov/topics/community-integration/.
For more information on the Civil Rights Division, please visit www.justice.gov/crt.
The letter of findings can be viewed here.
Justice Department Issues New Guidance on Federal Law Regarding Voter RegistrationRead the Press Release
The Justice Department announced today that it has published a new guidance addressing limits on when and how jurisdictions may remove voters from their voter lists. The guidance document reflects the department’s commitment to ensuring that every eligible voter can exercise their right to vote free of discrimination or voter intimidation.
“Ensuring that every eligible voter is able to vote and have that vote counted is a critical aspect of sustaining a robust democracy, and it is a top priority for the Justice Department,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “As we approach Election Day, it is important that states adhere to all aspects of federal law that safeguard the rights of eligible voters to remain on the active voter lists and to vote free from discrimination and intimidation.”
In its guidance, the department reminds states that efforts to ensure accurate and current voting rolls must be accomplished in compliance with federal law and in a nondiscriminatory manner. Specifically, the department explains important limits imposed by federal law on the rules and procedures states may adopt regarding their voter registration lists. For example, list maintenance efforts must be uniform and nondiscriminatory, and a program to systematically remove ineligible voters must not be done within 90 days of a federal election. There also are specific rules about how to remove registered voters because they have moved. Importantly, these federal protections apply whether the process is initiated by the state or is responsive to third-party submissions.
The department also released a fact sheet as a resource for jurisdictions and provides information on certain civil provisions of federal law that protect the right to vote.
- Section 11(b) of the Voting Rights Act: Federal law broadly prohibits intimidation, threats and coercion — or attempts to do so — throughout every stage of the voting process, including registering to vote, casting a ballot and counting votes.
- Section 2 of the Voting Rights Act: Federal law also prohibits discrimination in voting because of race, color or membership in a minority language group, defined to include American Indian, Asian American, Alaskan Native and Spanish heritage citizens.
- Section 208 of the Voting Rights Act: For voters with disabilities and those unable to read or write, federal law guarantees voting assistance in all aspects of the voting process by a person of the voter’s choice subject to only two exceptions barring assistance by the voter’s employer or union. And, under the Americans with Disabilities Act, state and local governments must ensure people with disabilities have a full and equal opportunity to vote.
- Section 203 of the Voting Rights Act: The fact sheet explains that some jurisdictions, as determined by the Census Bureau, are required to provide all election information that is available in English in the covered minority language.
In April, the department announced an updated website, www.justice.gov/voting, a one-stop resource for information on voting and elections. This website includes guides on a range of topics to inform voters and state and local election officials. It includes, among other topics, information about Voting Protections for Language Minority Citizens under Section 203 of the Voting Rights Act, state-by-state rules regarding voting after a criminal conviction, the voting rights of members of the armed services and U.S. citizens living overseas, and information related to post-election audits, including the requirements under federal law that state and local election officials “retain and preserve” voting-related records.
More information about voting and elections is available on the Justice Department’s website at www.justice.gov/voting. Learn more about the Voting Rights Act and other federal voting laws at www.justice.gov/crt/voting-section. Complaints about possible violations of federal voting rights laws can be submitted through the Civil Rights Division’s website at civilrights.justice.gov or by telephone at 1-800-253-3931.
The www.justice.gov/voting website also provides information on the Justice Department’s Election Threats Task Force, which leads the department’s efforts to address violence against election workers and to ensure that all election workers — whether elected, appointed or volunteer — are able to do their jobs free from threats and intimidation.
You can report suspected criminal activity regarding voting to the FBI at 1-800-CALL-FBI (1-800-225-5324) or by filing an online complaint at tips.fbi.gov. You can also contact local law enforcement. If at any time you are in imminent danger, call 911.
Justice Department Begins Second Distribution of Forfeited Funds to Compensate Victims of Fraud Scheme Facilitated by Western UnionRead the Press Release
The Justice Department announced today that the Western Union Remission Fund began its second distribution of approximately $18.5 million in funds forfeited to the United States from the Western Union Company (Western Union) to approximately 3,000 victims located in the United States and abroad. These victims stand to recover the full amount of their losses.
This is the second distribution of the second phase of the Western Union Remission. The first distribution of the second phase paid approximately $40 million to over 25,000 victims. Through two phases, the Western Union Remission Fund has distributed over $420 million to more than 175,000 victims who received full compensation for their losses.
The second phase of the Western Union Remission was opened in March 2022 to provide victims who had not filed petitions in the first phase of distributions an opportunity to file for remission. The Justice Department continues to review petitions for remission and reconsideration request forms from those victimized by the scheme. The Justice Department anticipates authorizing more distributions for victims in the coming months.
“Western Union aided and abetted fraud schemes that collectively caused thousands of victims to lose hundreds of millions of dollars,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “The Justice Department has now returned more than $420 million forfeited from Western Union to more than 175,000 victims, who have received full compensation for their losses. The sixth distribution from the Western Union Remission Fund demonstrates yet again that the Criminal Division is committed to using all of its authorities to make crime victims whole.”
“The latest distribution of $18.5 million to approximately 3,000 victims again highlights the commitment of our prosecutors and law enforcement partners,” said U.S. Attorney Gerard M. Karam for the Middle District of Pennsylvania. “Western Union allowed fraudsters to carry out schemes against the most vulnerable people in our society, and we are proud to uphold accountability for those involved in these schemes and ensure proper compensation for the harm that victims suffered.”
“This $18.5 million disbursement to approximately 3,000 victims represents the U.S. Postal Inspection Service’s commitment to the American people and the many victims of financial fraud,” said U.S. Postal Inspector in Charge Christopher Nielsen of the U.S. Postal Inspection Service’s (USPIS) Philadelphia Division. “The Western Union Remission process has now disbursed over $420 million to approximately 175,000 victims. This accomplishment reflects our continued efforts with the U.S. Department of Justice’s Money Laundering and Asset Recovery Section to provide financial reimbursement to those victimized by a large scale and sophisticated mass marketing fraud.”
In 2017, Western Union entered into a deferred prosecution agreement (DPA) with the United States. Pursuant to the DPA, Western Union acknowledged responsibility for its criminal conduct, which included violations of the Bank Secrecy Act and aiding and abetting wire fraud, and agreed to forfeit $586 million, which has been made available to compensate victims of the international consumer fraud scheme through the remission process. Western Union simultaneously resolved a parallel civil investigation with the Federal Trade Commission.
In this scheme, fraudsters targeted consumers, including seniors, through multiple scams. Three specific scams directed towards seniors include the grandparent scam, where the fraudster would pose as the victim’s relative in need of immediate money to avoid personal harm, lottery, or sweepstakes scams; where the fraudster would tell the victim that they had won a large cash prize but had to pay fees such as taxes to claim the prize; and romance scams, where the fraudster would pose as an online love interest and request funds for a visit or for another purpose. In each of these scams, the fraudsters convinced their victims to send money through Western Union.
Certain owners, operators, or employees of Western Union agent locations were complicit in the schemes. Western Union aided and abetted the fraud scheme by failing to suspend or terminate complicit agents and by allowing them to continue to process fraud-induced monetary transactions. Western Union fulfilled its obligations under the DPA and the court granted the motion to dismiss the information.
The Justice Department, through the Asset Forfeiture Program, works diligently to restore lost funds to victims of crime and acknowledges the significant assistance of the USPIS Philadelphia Division’s Harrisburg, Pennsylvania, Office in the Western Union remission. The victim compensation payments in the Western Union case would not have been possible without the extraordinary efforts of the Criminal Division’s Money Laundering and Asset Recovery Section and the U.S. Attorneys’ Offices for the Middle District of Pennsylvania, Central District of California, Eastern District of Pennsylvania, and Southern District of Florida. The FBI Los Angeles Field Office, IRS Criminal Investigation, Homeland Security Investigations Philadelphia, Federal Reserve Board and Consumer Financial Protection Bureau Office of Inspector General, and Department of the Treasury Office of Inspector General provided valuable assistance.
More information about the Western Union Remission Fund and its compensation to victims is available at www.WesternUnionRemissionPhase2.com. Further questions may be directed to the Western Union Remission Administrator by phone at (855) 786-1048 or by email at [email protected].
Jury convicts RGV man for illegally transporting non-U.S. citizenRead the Press Release
CORPUS CHRISTI, Texas – A 45-year-old Pharr resident has been convicted of unlawfully transporting an undocumented alien, announced U.S. Attorney Alamdar S. Hamdani.
The jury deliberated for approximately one hour before finding Benjamin Ramirez guilty following a one-day trial.
The jury heard that Ramirez drove to the Falfurrias Border Patrol checkpoint with a passenger in the front seat. Law enforcement conducted a routine immigration inspection and determined the passenger was illegally present in the United States.
At trial, Ramirez claimed that he had no idea the passenger was illegally in the country and that they were traveling to perform mechanical work in San Antonio. The jury did not believe defense claims and found Ramirez guilty as charged.
U.S. District Judge David S. Morales presided over the trial and set sentencing for Dec. 4, at which time Ramirez faces up to five years in federal prison.
He was permitted to remain on bond pending that hearing.
Customs and Border Protection conducted the investigation. Assistant U.S. Attorneys John Lamont and Liesel Roscher prosecuted the case.
Interstate Drug-Trafficker Sentenced to 180 Months in PrisonRead the Press Release
MARQUETTE, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Bradley Scott Heard, 46, of Havre, Montana, and Chicago, Illinois, was sentenced by U.S. District Court Judge Robert J. Jonker to 180 months in prison for possession with intent to distribute methamphetamine in Michigan’s Upper Peninsula. Heard’s co-defendant, Davell Blackman, 45, of Chicago Heights, Illinois, was previously sentenced to 60 months in prison.
“My office is committed to disrupting drug trafficking rings pushing poison into our communities,” said U.S. Attorney Mark Totten. “We will continue to collaborate with our local, state, and federal law enforcement partners in the U.P. and across the District to hold traffickers accountable and keep illegal drugs off of our streets.”
In June 2023, members of the Michigan State Police Traffic Safety Team, in collaboration with the Upper Peninsula Substance Enforcement Team (UPSET), stopped Heard, Blackman, and a passenger as they drove through Menominee County. During a search of the vehicle, investigators found approximately a pound of high-purity methamphetamine that Heard intended to distribute.
“UPSET is dedicated to stopping interstate drug-traffickers whenever they come into the Upper Peninsula,” said Detective Sergeant Matt LaBonte, Interim Commander of the Upper Peninsula Substance Enforcement Team. “We will continue to work closely with our federal and local partners to ensure that individuals like Bradley Heard are brought to justice.”
Heard has a decades-long criminal history that includes previous convictions for selling cocaine base, possessing marijuana with intent to distribute, and other drug crimes. He also has a history of violence, including a conviction for armed robbery and aggravated criminal sexual abuse.
The Upper Peninsula Substance Enforcement Team, Michigan State Police Traffic Safety Team, and the Drug Enforcement Administration investigated the case. Assistant U.S. Attorneys Jacob S. Metoxen and Ted Greeley prosecuted the case.
###
Georgetown Woman Pleads Guilty to Lying to Federal InvestigatorsRead the Press Release
CHARLESTON, S.C. —Angel Cooper Vause, 56, of Georgetown, has pleaded guilty to lying to federal investigators about her role in the 2009 kidnapping, rape, and murder of Brittanee Drexel.
After abandoning her previous plea agreement, Vause pleaded guilty to a three-count indictment unsealed in March. The indictment alleged that Vause lied to FBI agents about the events of April 25, 2009. Vause’s previous bond was also revoked, and she was taken into custody.
Vause faces a maximum penalty of 24 years in federal prison. She also faces a fine of up to $250,000, restitution, and three years of supervision to follow the term of imprisonment. United States Magistrate Judge Mary Gordon Baker accepted the guilty plea. United States District Judge Richard M. Gergel will sentence Vause after receiving and reviewing a sentencing report prepared by the U.S. Probation Office.
This case was investigated by the FBI Columbia Field Office. Assistant U.S. Attorneys Winston Holliday and Elle E. Klein are prosecuting the case.
###
Four Southern California Men Arrested on Charges Alleging They Kidnapped Migrants and Held Them for RansomRead the Press Release
LOS ANGELES – Four men from Southern California have been arrested and arraigned on a nine-count indictment charging them with kidnapping migrants to the United States and holding them for ransom, demanding cash from their families in exchange for their safe return.
The indictment, returned July 30, charges the following five defendants with two counts of conspiracy to commit hostage taking and hostage taking, two counts of conspiracy to commit kidnapping and kidnapping, one count of conspiracy to transport illegal aliens, and two counts of transporting illegal aliens for private financial gain:
- Miguel Angel Avila, a.k.a. “Fredo,” “Quavo,” “Marcos,” and “Papitas,” 22, of Hemet;
- Omar Avila Salmeron, a.k.a. Simón Hernández,” “Andres,” and “El Palatero,” 41, of South Los Angeles;
- Jose Jaime Garcia, a.k.a. “Pablo” and “Sneaky,” 20, of San Jacinto;
- Gabriel Michel Becerra, a.k.a. “Steven”, 22, of Palmdale; and
- Jose Alfredo Moreno Gonzalez, 21, of Oak Hills.
Avila, Salmeron, Garcia, and Becerra also are charged with two counts of conspiracy to interfere with commerce by extortion and attempted interference with commerce by extortion (Hobbs Act).
Four defendants have been arraigned and have pleaded not guilty to the charges against them. Salmeron, Garcia, and Moreno are scheduled to go on trial on October 1. Avila has an October 29 trial date scheduled. A federal magistrate judge has ordered Avila and Salmeron jailed without bond. Garcia and Moreno are free on bond.
Becerra is currently a fugitive. Anyone with information pertaining to his whereabouts is encouraged to call law enforcement.
“These defendants allegedly preyed upon victims who sought to emigrate to our country by demanding ransom from the victims’ families in exchange for their release,” said United States Attorney Martin Estrada of the Central District of California. “Our office is committed to ensuring that those who use violence to terrorize others face severe consequences for their actions.”
According to the indictment, on March 21, 2023, Avila instructed Moreno to drive to a Chevron gas station in Chandler, Arizona. Upon arrival, Moreno reportedly kidnapped four migrants and transported them to a restaurant in Burbank.
Avila, along with Garcia and Becerra, then held the hostages in a house. Using a victim’s cellphone, Avila demanded ransom money from the victim’s family member in exchange for their release. Avila then allegedly used another victim’s cellphone to demand ransom payments, partially to an account in Mexico and partially to an account in the United States, from that victim’s family member in exchange for the victim’s release.
On March 22, 2023, Avila and Salmeron demanded ransom from another hostage’s family member for their release. Avila, Garcia, and Becerra allegedly moved the three of the hostages to a motel room, where one victim managed to escape through a second-story bathroom window.
Avila and a co-conspirator chased the victim to a nearby store in Koreatown. Inside the store, Avila body-slammed the victim, placed him in a chokehold, and punched him repeatedly in the face in an attempt to re-kidnap him.
Avila, Garcia, and Becerra then allegedly restrained one victim and another hostage by tying their hands, transported them to another house, and held them in a room, threatening them with violence if they attempted to escape.
On March 23, 2023, Avila, Garcia, and Becerra reportedly drove a victim to a gas station, where they took $11,000 in cash from the victim’s brother in exchange for the victim’s release.
“Human smuggling is a dangerous crime,” said United States Attorney Tara McGrath of the Southern District of California. “These defendants will face justice for abusing vulnerable migrants for profit.”
An indictment 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 of all charges, each defendant would face a statutory maximum sentence of life in federal prison.
Operation Safe Cities establishes strategic enforcement priorities with an emphasis on prosecuting the most significant drivers of violent crime. Across this region, the most damaging and horrific crimes are committed by a relatively small number of particularly violent individuals. This strategic enforcement approach is expected to increase the number of arrests, prosecutions and convictions of recidivists engaged in the most dangerous conduct. It is designed to improve public safety across the region by targeting crimes involving illicit guns, prohibited persons possessing firearms, or robbery crews that cause havoc and extensive losses to retail establishments.
United States Customs and Border Protection, Homeland Security Investigations, and the Los Angeles Police Department are investigating this matter.
This case is being prosecuted jointly by the U.S. Attorney’s Offices for the Central District of California and Southern District of California. Assistant United States Attorney Jena A. MacCabe of the Violent and Organized Crime Section is the lead counsel on this matter.
Four Gang Members Charged in 2022 Armed Robbery and Carjacking SpreeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Edward A. Caban, the Commissioner of the New York City Police Department (“NYPD”), announced today the unsealing of a nine-count indictment charging four individuals—KELVIN FERNANDEZ, DEIVID PEREZ, a/k/a “Bujia,” JUAN LOPEZ, a/k/a “Secreto,” and MOISES HERNANDEZ DE LA CRUZ, a/k/a “Flaco”—with several federal crimes, including robbery, carjacking, and firearms offenses stemming from their roles in the Shooting Boys gang. The defendants were arrested this morning and will be presented today before U.S. Magistrate Judge Stewart D. Aaron in Manhattan federal court. The case is assigned to U.S. District Judge George B. Daniels.
U.S. Attorney Damian Williams said: “As alleged, the defendants went on a crime spree in Manhattan and the Bronx. Their alleged violent robberies and car thefts—committed using a firearm, machete, and BB gun—left terrified New Yorkers in their wake. Let these charges be a message to any gang members who think they can get away with perpetrating violence in our city: this Office will prosecute you to the fullest extent of the law.”
NYPD Commissioner Edward A. Caban said: “These arrests underscore the NYPD’s relentless efforts to identify and investigate the alleged members of ruthless gangs and crews plaguing our neighborhoods. I commend our NYPD detectives and our partners in the office of the U.S. Attorney for the Southern District of New York for their ongoing work to eradicate gun violence in New York City and their commitment to preserving the safety of all New Yorkers.”
As alleged in the Indictment and other documents filed in federal court:[1]
The “Shooting Boys” gang is a criminal organization based in the University Heights section of the Bronx. Since at least 2017, gang members have sold drugs, used guns, and committed numerous acts of violence against members of rival gangs. Originally associated with the “Trinitarios” gang, the Shooting Boys broke off from the “Sunset” chapter of the Trinitarios in about 2018. The defendants are members and associates of the Shooting Boys.
Between April 25 and May 10, 2022, the defendants committed gunpoint robberies of two convenience stores in Manhattan and the Bronx, robbed a third convenience store in the Bronx using a machete and a BB gun, committed an armed carjacking of a victim’s BMW in the Bronx, and forcibly stole a Jeep Cherokee from a victim in Queens, New York. Still images from surveillance video capturing certain of these incidents are pictured below:
April 25, 2022, Gunpoint Convenience Store Robbery
April 30, 2022, Gunpoint Convenience Store Robbery
May 10, 2022, Machete and BB Gun Convenience Store Robbery
FERNANDEZ provided the other defendants with the firearm—a .357 revolver—and BB gun that were used during the charged incidents. The .357 revolver was recovered by law enforcement and is pictured below.
* * *
A chart containing the names, charges, and maximum and minimum penalties for the defendants is set forth below.
The mandatory minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the outstanding investigative work of the NYPD.
This case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Dominic A. Gentile and Chelsea L. Scism are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Charge
Defendants
Maximum and Minimum Penalties
Count One
Conspiracy to Commit Hobbs Act Robbery
18 U.S.C. § 1951
KELVIN FERNANDEZ
JUAN LOPEZ
DEIVID PEREZ
MOISES HERNANDEZ DE LA CRUZ
Maximum: 20 years in prison
Count Two
Hobbs Act Robbery
18 U.S.C. §§ 1951 and 2
KELVIN FERNANDEZ
JUAN LOPEZ
DEIVID PEREZ
Maximum: 20 years in prison
Count Three
Firearms Offense
18 U.S.C. §§ 924(c) and 2
KELVIN FERNANDEZ
JUAN LOPEZ
DEIVID PEREZ
Maximum: Life in prison
Minimum: 7 years in prison, which must be consecutive to any other term imposed
Count Four
Hobbs Act Robbery
18 U.S.C. §§ 1951 and 2
KELVIN FERNANDEZ
JUAN LOPEZ
DEIVID PEREZ
Maximum: 20 years in prison
Count Five
Firearms Offense
18 U.S.C. §§ 924(c) and 2
KELVIN FERNANDEZ
JUAN LOPEZ
DEIVID PEREZ
Maximum: Life in prison
Minimum: 7 years in prison, which must be consecutive to any other term imposed
Count Six
Hobbs Act Robbery
18 U.S.C. §§ 1951 and 2
KELVIN FERNANDEZ
MOISES HERNANDEZ DE LA CRUZ
DEIVID PEREZ
Maximum: 20 years in prison
Count Seven
Carjacking
18 U.S.C. §§ 2119 and 2
KELVIN FERNANDEZ
JUAN LOPEZ
DEIVID PEREZ
Maximum: 15 years in prison
Count Eight
Firearms Offense
18 U.S.C. § 924(c) and 2
KELVIN FERNANDEZ
JUAN LOPEZ
DEIVID PEREZ
Maximum: Life in prison
Minimum: 7 years in prison, which must be consecutive to any other term imposed
Count Nine
Interstate Transportation of a Stolen Vehicle
18 U.S.C. §§ 2312 and 2
MOISES HERNANDEZ DE LA CRUZ
DEIVID PEREZ
Maximum: 10 years in prison
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Four Delaware Men Charged with International “Sextortion” and Money Laundering SchemeRead the Press Release
Between Aug. 20 and Sept. 5, four Delaware men were arrested and/or self-surrendered in Delaware on federal charges relating to an alleged international “sextortion” scheme that targeted thousands of victims throughout the United States, Canada, and the United Kingdom.
According to a superseding indictment unsealed today, Sidi Diakite, 30; Almamy Diaby, 22; Abdul Aziz Sangare, 26; and Abdoul Aziz Traore, 31; all residents of Wilmington, and other co-conspirators allegedly operated an international, financially motivated “sextortion” and money laundering scheme in which the conspirators engaged in cyberstalking, interstate threats, extortion, money laundering, and wire fraud. As part of the scheme, the conspirators, utilizing multiple payment methods, attempted to extort approximately $6.9 million from thousands of potential victims, and they successfully extorted approximately $1.9 million from these victims through CashApp and Apple Pay alone.
The superseding indictment also charges Hadja Kone, 28, of Wilmington, Delaware, who was previously arrested in April; and Siaka Ouattara, 22, of Abidjan, Cote d’Ivoire, whom the Ivorian authorities separately arrested in February in Abidjan, Cote d’Ivoire, on Ivorian charges stemming from the same scheme.
As alleged in the superseding indictment, the conspirators posed as young females online and initiated communications with thousands of potential victims, who were primarily young men and included minors from the United States, Canada, and the United Kingdom. The conspirators allegedly offered to provide and/or provided victims with sexual photographs, video recordings, and/or “web cam” or “live video chat” sessions depicting what they falsely portrayed to be a young female, when in fact the conspirators were the ones operating the accounts. Unbeknownst to the victims, during the web cam/live video chats, the conspirators surreptitiously recorded the victims as they exposed their genitals and/or engaged in sexual activity. The conspirators thereafter sent the victims copies of the victims’ fraudulently obtained sexual images and threatened to distribute the victims’ sexual images to the victims’ friends, family members, significant others, employers, and co-workers, and to publish the victims’ sexual images widely online, unless the victims transferred funds to designated recipients. Ouattara, Kone, Diakite, Diaby, Sangare, Traore, and others also operated infrastructure to transfer the funds illegally obtained from the victims to conspirators located in Côte d’Ivoire and elsewhere overseas.
Diakite, Diaby, Sangare, Traore, Kone, and Ouattara are each charged with conspiracy to commit cyberstalking and to send interstate threats, conspiracy to engage in money laundering, money laundering, and wire fraud. If convicted, the defendants each face a maximum penalty of 20 years in prison for each conspiracy count and money laundering count, and a maximum penalty of 20 years in prison for each wire fraud count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division, U.S. Attorney David C. Weiss for the District of Delaware, and Acting Assistant Director James C. Barnacle Jr. of the FBI’s Criminal Investigative Division made the announcement.
The FBI is investigating the case, with assistance from the Justice Department's Office of International Affairs and the government of Cote d’Ivoire.
Trial Attorney Austin M. Berry of the Criminal Division’s Child Exploitation and Obscenity Section, Senior Trial Attorney Mona Sedky of the Criminal Division’s Computer Crime and Intellectual Property Section, and Assistant U.S. Attorney Briana Knox for the District of Delaware are prosecuting the case.
If you, your child, or someone you know is being exploited via sextortion, contact your local FBI field office, call 1-800-CALL-FBI (1-800-225-5324), or report it online at the Internet Crime Complaint Center (IC3). Additional resources can found at Financially Motivated Sextortion — FBI. For more information about this particular financially motivated sextortion case and if you believe you are a victim in this particular case, please also visit justice.gov/criminal/criminal-vns/case/united-states-v-hadja-fanta-kone-siaka-ouattara-sidi-diakite-almamy-moustapha-diaby.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Four Charged in $1 Million Health Care Fraud SchemeRead the Press Release
BOSTON – One Massachusetts resident has been indicted, and two Massachusetts residents and one New York resident have agreed to plead guilty, in connection with a scheme to defraud various health insurance companies by submitting false claims seeking reimbursement for over $1 million of bogus medical expenses purportedly incurred during international travel.
Henry Ezeonyido, 36, of Brockton, Mass., was charged with one count of conspiracy to commit health care fraud and six counts of health care fraud. Brendon Ashe, 40, of Dorchester, Mass.; Darline Cobbler, 40, of Randolph, Mass.; and Ariel Lambert, 34, of Brooklyn, N.Y., have each agreed to plead guilty to conspiracy to commit health care fraud. All four defendants were originally charged in a complaint unsealed on July 11, 2024.
According to the charging documents, from in or about October 2019 through in or about February 2022, Ezeonyido allegedly submitted fraudulent health insurance claims on his own behalf and on behalf of others, including Ashe, Cobbler, and Lambert, for expensive medical treatment that they purportedly received and paid for out-of-pocket while traveling overseas. It is alleged that many of the claims related to fake traumatic injuries such as stabbings, gunshot wounds, and hit and run car accidents that the defendants and others purportedly suffered requiring their hospitalization abroad.
Ezeonyido allegedly submitted fabricated documents to health insurance companies in support of the fraudulent claims, including fabricated medical records purporting to show the medical care received, fabricated bank records purporting to show payment to the international treatment facilities, and – where the claim related to a fake traumatic injury – fabricated police reports describing the circumstances of the alleged event. As a result of these fraudulent claims, various health insurance companies were allegedly billed over $1 million for services that were never provided. According to the charging documents, upon receiving payments from the health insurance companies, Ashe, Cobbler, Lambert and others allegedly paid a portion of the proceeds to Ezeonyido and other co-conspirators.
The charges of health care fraud and conspiracy to commit health care fraud each carry a sentence of up to 10 years in prison, up to three years of supervised release, and a fine of up to $250,000, or twice the gross gain or loss from the offense. 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; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division; and Insurance Fraud Bureau Executive Director Anthony DiPaolo made the announcement today. Assistant U.S. Attorney Leslie Wright of the Health Care Fraud Unit is prosecuting the case.The details contained in the charging documents are allegations. Ezeonyido is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Prosecutor Sentenced to over 15 Years in Prison for Producing Child PornographyRead the Press Release
MIAMI – A U.S. District Judge sentenced William Power McCaughan, Jr., a Miami attorney and former prosecutor, to 190 months’ imprisonment following his plea of guilty to one count of production of child sexual abuse material.
According to the agreed upon factual proffer in support of McCaughan, Jr.’s guilty plea in May, over a course of years McCaughan, Jr. chatted with others using the Kik application regarding child sexual abuse material. Specifically, McCaughan, Jr. chatted with another individual and received a video of that individual’s 11-year-old niece fully nude while exiting the shower. Also, McCaughan, Jr. chatted with at least two minor victims regarding sexual acts. McCaughan, Jr. asked one minor victim for sexually explicit images, even telling the minor victim how to position himself and what parts of his adolescent body to capture in the image.
McCaughan, Jr. was sentenced on Aug. 28. A restitution hearing is scheduled for Nov. 19.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, and Special Agent in Charge Jeffrey B. Veltri of FBI, Miami Field Office, made the announcement.
This case was investigated by the FBI’s Child Exploitation and Human Trafficking Task Force. Assistant U.S. Attorneys Abbie D. Waxman and Lauren Astigarraga-Little prosecuted the case. Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, PSC 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 the PSC initiative and for information regarding Internet safety, please visit www.justice.gov/psc.
Anyone with information regarding suspected child abuse, exploitation and sextortion is encouraged to call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-cr-20325.
###
Former New York City Department of Education CEO of School Support Services and Three Business Owners Sentenced to Prison for Corruption and BriberyRead the Press Release
Earlier today, in federal court in Brooklyn, Eric Goldstein, the former Chief Executive Officer of the New York City Department of Education’s (NYC DOE) Office of School Support Services, and Blaine Iler, Michael Turley and Brian Twomey, the owners of SOMMA Food Group (SOMMA), were sentenced by U.S. Circuit Judge Denny Chin sitting by designation to prison terms for multiple counts of bribery and bribery conspiracy relating to programs receiving federal funds. Goldstein was sentenced to 2 years, Iler to 12 months and a day along with a $10,000 fine, Turley to 15 months, and Twomey to 15 months and a $10,000 fine. The four defendants were convicted by a federal jury in June 2023 following a four-week trial.
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 sentences.
“Eric Goldstein corruptly abused his high-ranking position of trust as a public official and pursued lucrative bribes at the expense of school children, many of whom rely on healthy meals provided by the New York City Department of Education,” stated United States Attorney Peace. “Great responsibility came with overseeing the school system’s food operations, but shamefully, Goldstein prioritized lining his pockets with payoffs from his co-defendants to ensure the DOE purchased their products and that their food stayed in the schools even after plastic, bones and metal were found in the chicken served to schoolchildren and teachers. Today’s jail sentences should serve as a lesson to these defendants and others that public corruption, especially acts that jeopardize the well-being of our children, will be punished.”
FBI Acting Assistant Director in Charge Curtis stated: “Eric Goldstein abused his position as the DOE Chief Executive Officer of Office of School Support Services to accept nearly $100,000 in bribes from co-defendants to knowingly serve unfit lunch choices for consumption to students and teachers. Goldstein ignored numerous complaints from the school and valued personal profits over the wellbeing of our city’s schoolchildren, allowing them to ingest plastic and other inedible items. May today’s sentencing reiterate the FBI’s continued determination to target any public official who prioritizes illicit financial compensation over the health of our city.”
In 2015 and 2016, Iler, Turley and Twomey entered into a corrupt arrangement with Goldstein, whereby SOMMA would provide the capital to a business named Range Meats Supply Co. (RMSCO). Specifically, over a period of 14 months, Iler, Turley and Twomey transferred approximately $96,670 to RMSCO for Goldstein’s benefit, including payments to Goldstein’s divorce attorney and father. In exchange, Goldstein, who served as the CEO of the NYC DOE’s Office of Food and Nutrition Services (SchoolFood), used his position to ensure that the NYC DOE purchased and served SOMMA’s products to thousands of schoolchildren, including chicken tenders that were found to contain foreign objects, including plastic. Goldstein also made sure that SchoolFood’s approval of SOMMA’s products was expedited and that disputes between SOMMA and the NYC DOE were resolved in SOMMA’s favor.
The largest bribe payment was made in the fall of 2016, when SchoolFood had stopped serving SOMMA’s chicken tenders because a NYC DOE employee choked on a bone that had not been removed from a SOMMA chicken tender. Goldstein, who, as CEO, had final approval as to whether and when SOMMA’s chicken tenders would be allowed back in schools, delayed making any decision until Iler, Turley, and Twomey had agreed to transfer SOMMA’s ownership interest in RMSCO to him, as well as to transfer $66,670 to a bank account in RMSCO’s name that Goldstein had opened and controlled. Following weeks of negotiations, on November 29, 2016, Iler, Turley and Twomey agreed to pay the bribe Goldstein was soliciting and, one day later, on November 30, 2016, Goldstein approved reintroduction of SOMMA’s chicken products in schools. SOMMA’s products were served in schools until April 2017 when, following repeated complaints from students and staff that the chicken tenders continued to contain foreign objects, SchoolFood decided to remove all SOMMA food products from New York City public schools.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Robert Polemeni, Andrew Grubin, Laura Zuckerwise and Kaitlin McTague are in charge of the prosecution, with assistance from Paralegal Specialists Kavya Kannan and Rachel Friedman.
The Defendants:
ERIC GOLDSTEIN
Age: 56
New Rochelle, New YorkBLAINE ILER
Age: 37
Dallas, TexasMICHAEL TURLEY
Age: 54
Fayetteville, ArkansasBRIAN TWOMEY
Age: 51
Dallas, TexasE.D.N.Y. Docket No. 21-CR-550 (DC)
Former Glynn County Public Works supervisor sentenced to prison for fraudulent credit card chargesRead the Press Release
BRUNSWICK, GA: A former supervisor in the Glynn County Department of Public Works has been sentenced to federal prison and ordered to repay money he illegally gained from fraudulent charges to government purchasing cards.
William Harold Richards, 51, of Brunswick, was sentenced to 30 months in prison after pleading guilty to Wire Fraud, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge Lisa Godbey Wood also ordered Richards to pay $422,168 in restitution to the Glynn County government, and to serve three years of supervised release upon completion of his prison term.
There is no parole in the federal system.
“Taxpayers rightly expect employees of their government agencies to handle public money responsibly,” said U.S. Attorney Steinberg. “William Richards did the opposite by defrauding taxpayers and enriching himself at their expense, and he is being held accountable for his crime.”
As described in court documents and testimony, Richards was hired at the Glynn County Department of Public Works in 2010, progressing to a supervisory role that provided him with access to employee purchasing cards and the county’s billing system. In September 2023, the Glynn County Police Department and the FBI initiated an investigation after another Public Works employee noticed suspicious charges on his county purchasing card.
Investigators determined that Richards, who was responsible for coding and reconciling purchases made with the department’s purchasing cards, had for more than two years made fraudulent purchases with his own county-issued card and with those of other employees, issuing payments to a fictitious company that he created and then transferring the funds to his own bank account.
Richards was arrested on state charges and later indicted in federal court. As part of his guilty plea to the federal charge, Richards acknowledged that he “used the proceeds of this fraudulent scheme to make numerous personal purchases, including the purchase of lottery tickets.”
“This type of fraud increases costs for all taxpayers in this country and erodes public trust in government,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “The FBI is committed to holding corrupt individuals, like Richards, accountable for their greed.”
The case was investigated by the Glynn County Police Department and the FBI, and prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorney Matthew A. Josephson.
Foreign National Extradited from Colombia to the United States for Kidnapping and Assaulting Members of the U.S. MilitaryRead the Press Release
MIAMI – A Colombian national was extradited to the United States on Friday to face charges related to kidnapping and assaulting two members of the U.S. military who were on temporary duty in Bogotá, Colombia.
Kenny Julieth Uribe Chiran, 35, of Bogotá, made her initial court appearance today in Miami, Florida, before Magistrate Judge Eduardo Sanchez of the U.S. District Court for the Southern District of Florida.
According to court documents, Uribe Chiran and her co-conspirators targeted, incapacitated, and kidnapped two U.S. soldiers in Bogotá in order to rob them of their valuables.
Uribe Chiran is charged with kidnapping an internationally protected person, conspiracy to kidnap an internationally protected person, assaulting an internationally protected person, and conspiracy to assault an internationally protected person.
Uribe Chiran is the last of the three co-defendants to be extradited to the United States. Arango Castellanos was extradited in May 2023 from Colombia to the United States, pleaded guilty in January to the charges in the indictment, and was sentenced in May to 48 years and nine months in prison. Silva Ochoa was extradited in April from Chile to the United States and is currently scheduled for trial in November.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division, and Special Agent in Charge Jeffrey B. Veltri of the FBI Miami Field Office made the announcement.
The FBI is investigating the case, and the U.S. Marshals Service escorted Uribe Chiran from Colombia to the United States. The Justice Department’s Office of International Affairs, the FBI Miami Field Office, the Office of the Legal Attaché Santiago, and the Narcotic and Dangerous Drug Section’s Judicial Attaché Office in Bogotá provided significant assistance in securing the arrest and extradition of Uribe Chiran. The United States also thanks Colombian law enforcement authorities for their valuable assistance.
Assistant U.S. Attorney Bertila Fernandez for the Southern District of Florida and Trial Attorneys Clayton O’Connor and Elizabeth Nielsen of the Criminal Division’s Human Rights and Special Prosecutions Section are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-cr-20474.
###
Foreign National Extradited from Colombia to the United States for Kidnapping and Assaulting Members of the U.S. MilitaryRead the Press Release
A Colombian national was extradited to the United States on Friday to face charges related to kidnapping and assaulting two members of the U.S. military who were on temporary duty in Bogotá, Colombia.
Kenny Julieth Uribe Chiran, 35, of Bogotá, made her initial court appearance today in Miami, Florida, before Magistrate Judge Eduardo Sanchez of the U.S. District Court for the Southern District of Florida.
According to court documents, Uribe Chiran and her co-conspirators targeted, incapacitated, and kidnapped two U.S. soldiers in Bogotá in order to rob them of their valuables.
Uribe Chiran is charged with kidnapping an internationally protected person, conspiracy to kidnap an internationally protected person, assaulting an internationally protected person, and conspiracy to assault an internationally protected person.
Uribe Chiran is the last of the three co-defendants to be extradited to the United States. Arango Castellanos was extradited in May 2023 from Colombia to the United States, pleaded guilty in January to the charges in the indictment, and was sentenced in May to 48 years and nine months in prison. Silva Ochoa was extradited in April from Chile to the United States and is currently scheduled for trial in November.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division, U.S. Attorney Markenzy Lapointe for the Southern District of Florida, and Special Agent in Charge Jeffrey B. Veltri of the FBI Miami Field Office made the announcement.
The FBI is investigating the case, and the U.S. Marshals Service escorted Uribe Chiran from Colombia to the United States. The Justice Department’s Office of International Affairs, the FBI Miami Field Office, the Office of the Legal Attaché Santiago, and the Narcotic and Dangerous Drug Section’s Judicial Attaché Office in Bogotá provided significant assistance in securing the arrest and extradition of Uribe Chiran. The United States also thanks Colombian law enforcement authorities for their valuable assistance.
Trial Attorneys Clayton O’Connor and Elizabeth Nielsen of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Bertila Fernandez for the Southern District of Florida are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.