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Thursday 13 June 2024
Southwest Missouri Man Sentenced for Meth Trafficking, Illegal FirearmRead the Press Release
SPRINGFIELD CITY, Mo. – A southwest Missouri man was sentenced in federal court today for illegally possessing methamphetamine and a firearm.
Billy Hile, 61, who has no known address, was sentenced by U.S. District Judge M. Douglas Harpool to 13 years in federal prison without parole.
On Nov. 9, 2023, Hile pleaded guilty to possessing methamphetamine with the intent to distribute and to possessing a firearm in furtherance of a drug-trafficking crime. Hile was sentenced as a career offender due to his prior felony convictions.
A Missouri State Highway Patrol trooper conducted a traffic stop on Sept. 15, 2021, while Hile was driving his Chevrolet Silverado pickup truck on U.S. Highway 60 in Lawrence County, Mo. Hile, who had 13 baggies of marijuana with him, admitted to the trooper that he had a medical marijuana card but purchased marijuana on the black market. Hile also admitted that he last smoked marijuana a couple of hours prior to the traffic stop. The trooper conducted field sobriety tests on Hile and arrested him for driving while intoxicated.
When the trooper searched Hile, he found marijuana and $4,795 in cash (some of which was later determined to be counterfeit). Hile also had a bag in his pants that contained a pipe, methamphetamine, cocaine, and psilocyn mushrooms.
The trooper searched Hile’s vehicle and found a loaded Glock 9mm semi-automatic pistol, which had been reported as stolen, and 91.49 grams of methamphetamine inside a Gladware container in a tackle box. The tackle box also contained drug paraphernalia.
This case was prosecuted by Supervisory Assistant U.S. Attorney Randall D. Eggert and Assistant U.S. Attorney Jessica Eatmon. It was investigated by the Missouri State Highway Patrol and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Shreveport Businessman and Military Veteran Sentenced on Federal ChargesRead the Press Release
SHREVEPORT, La. – United States Attorney Brandon B. Brown announced that Edward L. Angel, Sr., 71, of Shreveport, has been sentenced for theft of government funds and making false statements to the Federal Aviation Administration (FAA). United States District Judge David C. Joseph sentenced Angel to 3 years of supervised probation, with the first 6 months being served as home confinement. Angel was also ordered to pay restitution in the amount of $141,972.89 and a fine in the amount of $850,000.
In February, Angel was found guilty by a federal jury of three counts of making false statements to the Federal Aviation Administration (FAA) after a week-long trial. The jury was deadlocked as to the remaining counts in the indictment charging Angel with theft of government funds and a mistrial was declared. After the mistrial was declared, the government and Angel eventually agreed to enter into a plea agreement. Pursuant to that plea agreement, Angel pled guilty to one count of theft of government funds.
Angel is a military veteran and owned and operated two businesses, ELA Group, Inc. (ELA) and Paradigm Engineers and Constructors PLLC (Paradigm). The VA has a service-disabled veteran owned small business program (SDVOSB) which is a program that provides federal contracting assistance to small businesses owned by disabled veterans by providing them the opportunity to get certain set-aside contracts. To be eligible for this program, the veteran must meet specific criteria demonstrating eligibility, ownership, and control of the small business.
In 2011 and 2012, Angel submitted forms to the SDVOSB stating that he was the President of ELA and responsible for all day-to-day responsibilities and decisions. He also submitted documentation stating he worked 40+ hours each week and his compensation was taken at the end of the year in the form of IRS Subchapter S regulations distributions. On the forms Angel submitted, he represented to SDVOSB that the reason he did not take a salary was because he chose to leave money in the corporation to keep as much working capital as possible. In 2016, Angel purchased and became the President of Paradigm. Soon after his purchase of Paradigm, he began to submit documentation to qualify the company for the SDVOSB program. He certified that he was the 100% owner of Paradigm and worked an average of 50 or more hours a week committing 5-6 hours a day to each of his entities. As a result of these representations, ELA and Paradigm were accepted into the SDVOSB program and received millions of dollars in set-aside contracts from the SDVOSB.
From on or about November 2013, Angel also received Individual Unemployability from the Veterans Benefits Administration (VBA). Angel submitted documents to substantiate his disability claims for the VBA stating he was unable to work and had been unemployed since 2008. As a result of his misrepresentations to VBA, Angel admitted that he received $93,819.29 in IU payments that he was not entitled to receive and that were deposited into his bank account in the form of monthly payments.
On June 16, 2011, Angel also applied for SSA Disability Insurance Benefits stating that he had been unable to work since 2010 due to a medical condition. The SSA approved his application to receive disability benefits. Angel admits that he failed to disclose that he owned and operated two companies and was gainfully employed. As a result of these misrepresentations, he received $48,153.60 in disability payments he was not entitled to receive.
The case was investigated by the U.S. Department of Transportation Office of Inspector General, Department of Veteran Affairs Office of Inspector General, and Social Security Administration Office of Inspector General, and was prosecuted by Executive Assistant United States Attorney Earl M. Campbell and former Assistant United States Attorney Tennille M. Gilreath.
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Second Superseding Indictment Charges One of Two District Brothers Accused in Fentanyl and Cocaine Conspiracy with Causing the Deaths of Two MenRead the Press Release
WASHINGTON – One of two brothers, Jevaughn Mark, was charged earlier today in a second superseding indictment in connection with distributing fentanyl and cocaine, on December 26, 2023, that resulted in the deaths of two men, Brandon Román and Robert Barletta. The Mark brothers, Jevaughn “Ledo” Mark, 32, and Angelo Mark, 30, previously were charged on April 9 in a 17-count superseding indictment for participating in a conspiracy that distributed large amounts of fentanyl and cocaine in the metropolitan area.
The charges were announced by U.S. Attorney Matthew M. Graves, Drug Enforcement Administration (DEA) Special Agent in Charge Jarod Forget of the Washington Division, and Chief Pamela A. Smith of the Metropolitan Police Department (MPD).
Jevaughn Mark is currently being held on charges that include eight counts of unlawful distribution (of fentanyl, cocaine, and heroin) and distributing 40 grams or more of fentanyl between January 10, 2024, and March 13, 2024. The charges stem from six controlled purchases in which undercover DEA and MPD taskforce officers (UC-DEA/MPD) contacted Jevaughn Mark and purchased narcotics. In each instance, the UC-DEA/MPD agents requested to buy “Special K” or ketamine from Jevaughn Mark. In every instance, Jevaughn Mark supplied a mixture of fentanyl and other substances, including heroin, but not ketamine.
After obtaining an indictment against Jevaughn Mark, law enforcement executed a search warrant at his residence in connection with his arrest. From his residence, agents recovered two firearms, cocaine, fentanyl, about $38,000 in cash, body armor vests, and drug trafficking paraphernalia. The same day, law enforcement executed another search warrant at a second residence tied to Jevaughn Mark, in which they located his brother, Angelo Mark. From Angelo Mark’s bedroom, law enforcement recovered seven firearms, 900 rounds of ammunition, dozens of pills, cocaine, fentanyl, drug trafficking paraphernalia, and about $50,000 in cash. Based on the evidence, both brothers were indicted in the first superseding indictment.
On April 9, both Jevaughn Mark and Angelo Mark were charged with conspiracy to possess with intent to distribute 40 grams or more of fentanyl and 500 grams or more of cocaine between January 2021 and March 2024.
Separately, Angelo Mark was charged in the first superseding indictment with possession with intent to distribute fentanyl and cocaine, possession of a firearm in furtherance of drug trafficking, and unlawful possession of a firearm by a felon.
In addition to the new count of distribution of fentanyl resulting in death, Jevaughn Mark previously was charged with possession with intent to distribute fentanyl and heroin, possession with intent to distribute cocaine, possession of a firearm in furtherance of drug trafficking, and unlawful possession of a firearm by a felon.
The case is being investigated by the DEA’s Washington Division and the Metropolitan Police Department. It is being prosecuted by Assistant U.S. Attorneys Iris McCranie and Special Assistant U.S. Attorney Timothy Coley, of the Violence Reduction and Trafficking Offenses (VRTO) section.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Second Person Charged in Armed Carjacking in Northeast DCRead the Press Release
WASHINGTON – Maurice Edwards, 20, of Washington, D.C., was charged yesterday with armed carjacking in District of Columbia Superior Court, announced U.S. Attorney Matthew M. Graves and Chief Pamela A. Smith, of the Metropolitan Police Department (MPD). Edwards is detained pending his June 14, 2024, preliminary hearing.
According to the government’s evidence, on March 11, 2024, Edwards drove a car through a stop sign at 48th Pl and Lee St, NE, and struck the victim’s vehicle. Edwards and his accomplice, Auzsa Beatty, got out of their car and yelled at the victim. When the victim got out of his car, Edwards pulled a gun on him, and Beatty got into the victim’s car. Beatty drove off in the victim’s vehicle, and Edwards drove off in the vehicle he had been driving. The victim immediately reported the offense. MPD Officers later found the victim’s car parked near Beatty’s home.
Beatty, 28, of Washington, D.C., was previously charged with carjacking, and has been detained pending her August 12, 2024, trial before the Honorable Andrea Hertzfeld. Edwards’ case will be joined with Beatty’s.
This case is being investigated by the Metropolitan Police Department and the U.S. Attorney’s Office for the District of Columbia. The case is being prosecuted by Assistant U.S. Attorney Anthony Cocuzza.
Charges are merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Second Defendant Pleads Guilty to Armed Robbery of Danville Convenience StoreRead the Press Release
ROANOKE, Va. – A Danville, Virginia man pled guilty recently to committing Hobbs Act robbery of the Sunrise convenience store in Danville.
Calvin Franklin Hughes, Jr., 38, pled guilty to one count of Hobbs Act robbery and one count of discharging a firearm in relation to a crime of violence. Co-defendant Arshay Treyvant Haley, 19, also from Danville, previously pled guilty to committing the Hobbs Act robbery.
According to court documents, on the night of February 15, 2023, Hughes and Haley entered the Sunrise convenience store in Danville wearing masks. Haley approached the store clerk and brandished a machete, while Hughes pointed a pistol at the clerk. Hughes took around $750 from the cash register and Haley grabbed cigarette cartons off the shelf. Before fleeing the store with Haley, Hughes fired his pistol into the ceiling, leaving a shell casing.
Surveillance footage revealed a distinctive tattoo on Hughes’ left hand, aiding in his identification. Days later, officers executed a search warrant at his apartment where they found a pistol hidden in an HVAC vent and a machete in a closet. Ballistic analyses confirmed the pistol found in Hughes’ apartment was the same one he fired in the Sunrise store.
United States Attorney Christopher R. Kavanaugh and Craig B. Kailimai, Special Agent in Charge of the Washington Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, made the announcement.
The Danville Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant U.S. Attorney Drew O. Inman and former Special Assistant U.S. Attorney J. Parker Gochenour prosecuted the case for the United States.
San Jose Restaurant Owner Sentenced to Two-And-A-Half Years in Prison in Multi-Million-Dollar Covid-19 Fraud SchemeRead the Press Release
SAN FRANCISCO – A San Jose restauranteur who fraudulently obtained and misused millions of dollars in COVID-19 relief funds has been sentenced to 30 months in prison, announced United States Attorney Ismail J. Ramsey; Federal Bureau of Investigation (FBI) Special Agent in Charge Robert K. Tripp; and Small Business Administration (SBA) Office of Inspector General (OIG) Special Agent in Charge Weston King of the Western Region. The sentence was handed down by the Hon. Charles R. Breyer, Senior United States District Judge.
David Tai Leung, 58, of Sacramento, pleaded guilty in February 2024 to three counts of wire fraud, in violation of 18 U.S.C. § 1343, in connection with fraudulently obtained loans he received from the Restaurant Revitalization Fund (RRF) and the Paycheck Protection Program (PPP). He was originally indicted on those charges in August 2022.
According to his plea agreement, Leung—who co-owned and controlled the finances of a San Jose restaurant—submitted an application in May 2021 for $5 million in RRF funds that he certified he would use for approved business-related expenses like payroll, business rent or mortgage costs, and business maintenance expenses and utilities. However, Leung admitted he knew when he made these certifications that, in fact, he intended to use the RRF funds for purposes other than those he had indicated on the application. In reliance on the statements and certifications in Leung’s application, the SBA granted the application and funded the loan in full in June 2021. Leung admitted he then transferred $3.5 million to a personal investment account he controlled and used RRF funds to purchase securities and pay fees associated with the refinancing of the mortgage on his personal residence in Sacramento, all in violation of RRF program requirements restricting the use of RRF funds to specified eligible business-related uses.
In his plea agreement, Leung also admitted that he had previously applied for and received two PPP loans that he had misused to enrich himself—one for $257,100 that was funded in April 2020 and a second for $360,055 that was funded in March 2021. Rather than use those funds for approved business-related expenses, Leung admitted he used the money to enrich himself, including by making payments to a Lexus dealership and spending money at a casino in Northern California.
Ultimately, Leung admitted he received approximately $5.6 million in RRF and PPP funds and that he unlawfully used $3,359,701.28 of those funds. Leung agreed, and was ordered, to pay that amount in restitution.
The PPP was administered by the SBA as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a federal law enacted in 2020 to provide billions of dollars in emergency financial assistance to millions of Americans suffering from the economic effects of the COVID-19 pandemic. The RRF was administered by the SBA as part of the American Rescue Plan Act (ARPA), a federal law enacted in 2021 to provide funding and support to restaurants, bars, and similar businesses serving food and drink that suffered revenue losses as a result of the COVID-19 pandemic and related mitigation measures. The PPP and RRF provided forgivable loans and grants to small businesses for job retention and certain other qualified business expenses.
In addition to sentencing Leung to prison and ordering him to pay more than $3.3 million in restitution, Judge Breyer ordered the defendant to serve three years of supervised release to begin after his prison term is completed.
Assistant U.S. Attorneys Ivana Djak and Alethea Sargent are prosecuting the case. The prosecution is the result of an investigation by the FBI and SBA OIG.
Sacramento Man Pleads Guilty to Attempted Sexual Exploitation of a MinorRead the Press Release
SACRAMENTO, Calif. — Bruce Anthony Garcia, 42, of Sacramento, pled guilty today to the attempted sexual exploitation of a minor under his care, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between Aug. 2, 2017, and Sept. 1, 2019, Garcia took hidden video recordings of the victim. He recorded the victim in various stages of undress, using the toilet or shower, or changing in a bedroom or the living room of the apartment they shared. On his devices, Garcia possessed thousands of images and videos of the victim, with the victim either partially or fully nude in several hundred of these images.
When confronted, Garcia admitted that he specifically intended to take these images and videos, that his intent in creating the images and videos was sexual, and that he generally has a sexual interest in children. Garcia described how he would wait until the victim would be getting ready for bed or to take a shower, and then place a cellphone in the bathroom or bedroom. The phone would be propped up so that it would record the minor, but would either appear to be inconspicuous, as if it were being charged, or be hidden altogether. Garcia would then connect to this device remotely using a second device such that he could watch the minor live. From the recordings thus created, Garcia would take screenshots, resulting in the images that were eventually found. Further, Garcia would sometimes manipulate these images so as to focus or zoom in on the victim’s genitals and pubic area. In a text message conversation with another person, Garcia offered to trade pictures of the victim in exchange for other child sexual abuse material.
In addition to the images and videos described above, Garcia was also found to possess approximately 4,266 images and 426 videos of other child sexual abuse material, including images and videos showing the sexual abuse of toddlers. Several of these videos also depicted violence against the victims, including at least one depicting the bondage and torture of a prepubescent female child. Garcia’s child sexual abuse collection included 110 series of known victims of child sexual abuse.
This case is the product of an investigation by the Internet Crimes Against Children Unit of the Sacramento Valley Hi-Tech Crimes Task Force and the Sacramento County Sheriff’s Office. Assistant U.S. Attorney Dhruv M. Sharma is prosecuting the case.
Garcia is scheduled to be sentenced by U.S. District Judge Troy L. Nunley on Sept. 12, 2024. Garcia faces a minimum statutory penalty of 15 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
Riverside County Man Indicted for Transporting 44 Kilograms of Cocaine and 10 Kilograms of HeroinRead the Press Release
FRESNO, Calif. — A federal grand jury returned a one-count indictment today against Jose Miguel Perez, 42, of Corona, charging him with possessing with intent to distribute more than 5 kilograms of cocaine and more than 1 kilogram of heroin, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Perez was pulled over by law enforcement officers while driving north on Interstate 5 in Fresno County. Deputies seized 56 kilograms of various narcotics in the car’s two hidden compartments. Seven kilograms of cocaine were hidden in the ceiling of the car, while an additional 37 kilograms of cocaine, 10 kilograms of heroin, and 2 kilograms of ketamine were seized from a hidden compartment in the car’s roof.
This case is the product of an investigation by the Fresno County Sheriff’s Office and the Drug Enforcement Administration. Assistant U.S. Attorney Cody S. Chapple is prosecuting the case.
If convicted, Perez faces a statutory minimum of 10 years with a maximum penalty of life in prison and a $10 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Resident of China Pleads Guilty to Conspiracy to Send Leading Electric Vehicle Company’s Trade Secrets to an Undercover U.S. AgentRead the Press Release
Today, in federal court in Central Islip, Klaus Pflugbeil, a resident of the People’s Republic of China (the PRC or China) and a Canadian and German national, pleaded guilty to conspiring to send trade secrets that belonged to a leading U.S.-based electric vehicle company (Victim Company-1). Pflugbeil and his co-defendant, Yilong Shao, who remains at large, are owners of a PRC-based business (Business-1) that sold technology used to make batteries, including batteries used in electric vehicles. Pflugbeil, a former employee of a company later purchased by Victim Company-1, stole trade secrets from his then employer, and later used the trade secrets to build Business-1, marketing his business as a replacement for Victim Company-1’s products. The proceeding was held before United States Magistrate Judge Arlene R. Lindsay. When sentenced, Pflugbeil faces up to 10 years in prison.
Breon Peace, United States Attorney for the Eastern District of New York, Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division, and James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“Today, the defendant is guilty of boldly sending valuable trade secrets, detailed documents and drawings that he stole from a U.S.-based leading manufacturer of battery-powered electric vehicles to an undercover law enforcement agent expertly posing as a businessman on Long Island,” stated United States Attorney Peace. “Today’s guilty plea demonstrates how this Office will swiftly bring to justice those who misappropriate intellectual property belonging to American companies, to safeguard our economy and national security.”
Mr. Peace also thanked the Justice Department’s Computer Crime and Intellectual Property Section for their invaluable assistance on the case.
“Despite Pflugbeil’s agreement to protect what he knew was proprietary, sensitive technology, he chose to abscond with these trade secrets to China, where he sought an unfair and illegal advantage in critical industries such as electric vehicle manufacturing,” stated Assistant Attorney General Olsen. “With his guilty plea, Pflugbeil is now being held accountable for this unlawful conduct that jeopardized our national security.”
Victim Company-1 is a U.S.-based leading manufacturer of battery-powered electric vehicles and battery energy systems. In 2019, Victim Company-1 acquired a Canada-based manufacturer of automated, precision dispensing pumps and battery assembly lines (the “Canadian Manufacturer”). Prior to its purchase by Victim Company-1, the Canadian Manufacturer sold battery assembly lines to customers who manufactured alkaline and lithium-ion batteries for consumer use. The battery assembly lines contained or utilized a proprietary technology now owned by Victim Company-1: continuous motion alkaline battery assembly (the “Battery Assembly Trade Secret”). The proprietary technology provided a substantial competitive advantage to Victim Company-1 in the battery manufacturing process.
Both Pflugbeil and his co-defendant Shao are former employees of the Canadian Manufacturer. As detailed in court documents, by no later than 2019, Pflugbeil and Shao planned to use Victim Company-1’s trade secrets for their own business activities. Pflugbeil told Shao that he had “a lot of original documents” related to the technology and sought out more “original drawings” of the trade secrets. Shao subsequently confirmed, among other things, that, “we have all of original assembly drawings by PDF.”
The conspirators took measures to obfuscate that they had stolen documents. For example, Pflugbeil wrote to Shao about a document he created based on a document that Shao had stolen from Victim Company-1, “[it's] in a different format, so it looks very original and not like a copy.”
In or about July 2020, Pflugbeil joined Business-1, a company previously established by Shao, which has since expanded to locations in China, Canada, Germany and Brazil. Business‑1 makes the same precision dispensing pumps and battery assembly lines that the Canadian Manufacturer developed. Business-1 was marketed by Pflugbeil as an alternative source for the sale of products that relied upon Victim Company-1’s trade secrets, publishing online advertisements on Google, YouTube and LinkedIn.
Pflugbeil purchased ads on Google for Business-1. These ads read, for example, “[Business-1] | Replacing [Canadian Manufacturer] Pumps & Parts | [Canadian Manufacturer] Identical Spare Parts. We manufacture precision metering pumps and fill tubes. | Contact Us for your [Canadian Manufacturer] replacement pumps and parts.” In any given week, this ad was shown tens of thousands of times.
Pflugbeil also repeatedly sent LinkedIn messages that said, “Hello [name], I used to work at [Canadian Manufacturer], and after [Victim Company-1] purchased and closed the company, I am now part of a company providing similar products and services.” Pflugbeil’s LinkedIn profile background, pictured below, read:
On September 11, 2023, undercover FBI agents attended a trade show for the packaging and processing industries (the “Trade Show”) in Las Vegas, Nevada. The undercover agents posed as businesspeople who were interested in purchasing a battery assembly line from Business-1 to manufacture batteries at a facility in Long Island, New York. The undercover agents were introduced to Shao at the trade show and later to Pflugbeil via email.
Subsequently, on or about November 17, 2023, Pflugbeil sent, via email, a detailed 66-page technical documentation proposal (the “Proposal”) to an undercover agent (“UC-1”). The Proposal notes, “this technical documentation package contains [Business-1] proprietary information which must be kept confidential.” In reality, the Proposal contained Battery Assembly Trade Secret information belonging to Victim Company-1: at least half a dozen drawings Pflugbeil used in the Proposal and sent to UC-1 were, in fact, Victim Company-1’s information related to the Battery Assembly Trade Secret.
The government’s case is being handled by the Office’s National Security and Cybercrime Section and the Criminal Section of the Long Island Criminal Division. Assistant United States Attorneys Ellen H. Sise and Samantha Alessi are in charge of the prosecution, along with Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section.
Today’s actions were coordinated through the Justice and Commerce Departments’ Disruptive Technology Strike Force. The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains and prevent critical technology from being acquired by authoritarian regimes and hostile nation states.
The Defendant
KLAUS PFLUGBEIL
AGE: 58
Ningbo, ChinaE.D.N.Y. Docket No. 24-CR-238 (JMA)
Resident of China Pleads Guilty to Conspiracy to Send Leading Electric Vehicle Company’s Trade Secrets to Undercover U.S. AgentRead the Press Release
Klaus Pflugbeil, 58, a Canadian and German national and resident of the People’s Republic of China (PRC), pleaded guilty today to conspiring to send trade secrets that belonged to a leading U.S.-based electric vehicle company (Victim Company-1). Pflugbeil and his co-defendant, Yilong Shao, who remains at large, are owners of a PRC-based business (Business-1) that sold technology used to make batteries, including batteries used in electric vehicles. Pflugbeil, a former employee of a company later purchased by Victim Company-1, stole trade secrets from his then employer and later used the trade secrets to build Business-1, marketing his business as a replacement for Victim Company-1’s products.
“Despite Pflugbeil’s agreement to protect what he knew was proprietary, sensitive technology, he chose to abscond with these trade secrets to China, where he sought an unfair and illegal advantage in critical industries such as electric vehicle manufacturing,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “With his guilty plea, Pflugbeil is now being held accountable for this unlawful conduct that jeopardized our national security.”
“The defendant boldly took what did not belong to him and used stolen trade secrets for his own personal profit knowing those valuable trade secrets were rightfully owned by an American company,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Today’s guilty plea demonstrates how this office will swiftly bring to justice those who misappropriate intellectual property belonging to American companies particularly where the use of the technology poses a national security risk.”
“The defendant knowingly and illegally took trade secrets with no regard to the damage that would be done to the victim or the financial impact it would have on the U.S. economy,” said Assistant Director Michael Nordwall of the FBI’s Criminal Investigative Division. “The FBI and our partners will aggressively investigate and hold accountable anyone who seeks to profit by stealing technology from U.S. companies.”
According to court documents, Victim Company-1 is a U.S.-based leading manufacturer of battery-powered electric vehicles and battery energy systems. In 2019, Victim Company-1 acquired a Canada-based manufacturer of automated, precision dispensing pumps and battery assembly lines (the Canadian Manufacturer). Prior to its purchase by Victim Company-1, the Canadian Manufacturer sold battery assembly lines to customers who manufactured alkaline and lithium-ion batteries for consumer use. The battery assembly lines contained or utilized a proprietary technology now owned by Victim Company-1: continuous motion alkaline battery assembly (the Battery Assembly Trade Secret). The proprietary technology provided a substantial competitive advantage to Victim Company-1 in the battery manufacturing process.
Both Pflugbeil and Shao are former employees of the Canadian Manufacturer. As detailed in court documents, by no later than 2019, Pflugbeil and Shao planned to use Victim Company-1’s trade secrets for their own business activities. Pflugbeil told Shao that he had “a lot of original documents” related to the technology and sought out more “original drawings” of the trade secrets. Shao subsequently confirmed, among other things that, “we have all of original assembly drawings by PDF.”
The conspirators took measures to obfuscate that they had stolen documents. For example, Pflugbeil wrote to Shao about a document he created based on a document that Shao had stolen from Victim Company-1, “[its] in a different format, so it looks very original and not like a copy.”
In or about July 2020, Pflugbeil joined Business-1, a company previously established by Shao, which has since expanded to locations in China, Canada, Germany and Brazil. Business‑1 makes the same precision dispensing pumps and battery assembly lines that the Canadian Manufacturer developed. Business-1 was marketed by Pflugbeil as an alternative source for the sale of products that relied upon Victim Company-1’s trade secrets, publishing online advertisements on Google, YouTube and LinkedIn.
Pflugbeil purchased ads on Google for Business-1. These ads read, for example, “[Business-1] | Replacing [Canadian Manufacturer] Pumps & Parts | [Canadian Manufacturer] Identical Spare Parts. We manufacture precision metering pumps and fill tubes. | Contact Us for your [Canadian Manufacturer] replacement pumps and parts.” In any given week, this ad was shown tens of thousands of times.
Pflugbeil also repeatedly sent LinkedIn messages that said, “Hello [name], I used to work at [Canadian Manufacturer], and after [Victim Company-1] purchased and closed the company, I am now part of a company providing similar products and services. Pflugbeil’s LinkedIn profile background, pictured below, read:
Pflugbeil’s LinkedIn profile background.On Sept. 11, 2023, undercover FBI agents attended a trade show for the packaging and processing industries in Las Vegas. The undercover agents posed as businesspeople who were interested in purchasing a battery assembly line from Business-1 to manufacture batteries at a facility in Long Island, New York. The undercover agents were introduced to Shao at the trade show and later to Pflugbeil via email.
Subsequently, on or about Nov. 17, 2023, Pflugbeil sent, via email, a detailed 66-page technical documentation proposal to an undercover agent (UC-1). The proposal notes, “this technical documentation package contains [Business-1] proprietary information which must be kept confidential.” In reality, the proposal contained Battery Assembly Trade Secret information belonging to Victim Company-1: at least half a dozen drawings Pflugbeil used in the Proposal and sent to UC-1 were, in fact, Victim Company-1’s information related to the Battery Assembly Trade Secret.
Pflugbeil pleaded guilty to conspiring to send trade secrets. He is scheduled to be sentenced on Oct. 9 and faces a maximum penalty of 10 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 is investigating the case. The Criminal Division’s Computer Crime and Intellectual Property Section provided valuable assistance.
Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section and Assistant U.S. Attorneys Ellen H. Sise and Samantha Alessi for the Eastern District of New York are prosecuting the case.
This action was coordinated through the Disruptive Technology Strike Force, an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation-states. Under the leadership of the Assistant Attorney General for National Security and the Assistant Secretary of Commerce for Export Enforcement, the Strike Force leverages tools and authorities across the U.S. government to enhance the criminal and administrative enforcement of export control laws.
Registered sex offender indicted for possessing images of child sexual abuseRead the Press Release
Seattle – A 52-year-old Des Moines, Washington, man, who is a registered sex offender, was indicted by a grand jury this week for possession of images of child sexual abuse, announced U.S. Attorney Tessa M. Gorman. Edward James Creed, was on Washington State Department of Corrections supervision when he was found to have unapproved electronic devices in his residence and images of child sexual abuse on his phone. Because of his prior conviction, Creed faces a mandatory minimum ten-year sentence if convicted. He will be arraigned on the charge next week.
According to records filed in the case, Creed previously served nearly ten years in state custody for a 2008 Kitsap County conviction for rape of a child. He was released in 2017 but was returned to custody for a time in 2019. In March of 2024, a community corrections review of his phone revealed that he had collected images of child sexual abuse. After his arrest, a search of his room at the sex offender residence revealed that he had a number of unapproved electronic devices. Those devices are still being forensically analyzed.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by Homeland Security Investigations (HSI) and the Washington State Department of Corrections.
The case is being prosecuted by Assistant United States Attorney Cecelia Gregson.
Prior felon pleads guilty to new child pornography chargeRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Christopher Gostick, 30, of Lancaster, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to receipt of child pornography by a person having a prior conviction relating to possession of child pornography, which carries a mandatory minimum penalty of 15 years in prison, a maximum of 40 years, and a fine of $250,000.
Assistant U.S. Attorney Douglas A. C. Penrose, who is handling the case, stated that on June 9 and 10, 2023, Gostick attended a sleepover birthday party, during which he kissed a minor victim (Minor Victim 1), who was nine years old, on the lips. Minor Victim 1 told her parents, which resulted in police officers responding to the residence and taking possession of cellular telephones and a tablet that belonged to Gostick. A review of one of the cellphones uncovered a surreptitiously recorded video of Minor Victim 1 using the bathroom. In addition to the video of Minor Victim 1, law enforcement also found on Gostick’s other cellphone a screen recording of a Snapchat conversation between Gostick and a second minor victim (Minor Victim 2), who was 10 years old at the time. During that conversation, Gostick, who was posing as an 11-year-old female, instructed Minor Victim 2 to send him a sexually explicit video, which Minor Victim 2 did. A review of Gostick’s devices also recovered approximately 613 images and two videos containing child pornography. Previously, in August 2019, Gostick was convicted on a state charge of Attempted Possessing a Sexual Performance by a Child Less than 16.
The plea is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino, and the Buffalo Police Department, under the direction of Commissioner Joseph Gramaglia.
Sentencing is scheduled for October 4, 2024, at 10:30 a.m. before Judge Arcara.
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Portsmouth man convicted of sex trafficking and production of child pornography sentenced to prisonRead the Press Release
NORFOLK, Va. – A Portsmouth man was sentenced today to 32 years in prison for sex trafficking, production of child pornography, possession with intent to distribute controlled substances, and unlawful possession of a firearm.
According to court records and evidence presented at trial, on April 30, 2022, Pierre De Romeo Smith, 40, met 16-year-old Jane Doe. The same day, he took sexually explicit photographs of her, including suggestive photos of her posed with the muzzle of a shotgun in her mouth. Several hours later, he posted these pictures of her on a commercial sex website, advertising her for commercial sex. For the following three weeks, the defendant continued to make her available for commercial sex with as many as 30 “dates” a night throughout the Hampton Roads area. He gave her amphetamines to keep her awake and confiscated the money from her dates.
On May 19, 2022, the Virginia Beach Police Department conducted an undercover commercial sex operation at a hotel in Virginia Beach where they encountered Jane Doe. When interviewing her at the hotel, detectives observed a text message on her phone from the defendant stating he was there. The defendant was observed arriving at the hotel’s parking garage and was arrested. In his car were multiple controlled substances, including fentanyl, cocaine and methamphetamine, and a Glock handgun, which the defendant was prohibited from possessing as a convicted felon.
After his arrest, Smith “green lit” Jane Doe, meaning he approved for her to be killed. Jane Doe relayed this information to law enforcement, who corroborated the “green light” through two separate confidential sources. According to those sources, Smith, a leader in the Imperial Gangster Bloods gang, ordered an associate to carry out the hit, and Smith said that no one would testify against him at trial.
A federal jury convicted Smith on April 6, 2023.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Derek W. Gordon, Special Agent in Charge of Homeland Security Investigations (HSI) Washington, D.C.; and Paul Neudigate, Chief of Virginia Beach Police, made the announcement after sentencing by U.S. District Judge Elizabeth Wilson Hanes.
Assistant U.S. Attorneys Megan Montoya and Rebecca Gantt prosecuted the case.
This case was investigated by the Hampton Roads Human Trafficking Task Force, a collaboration between federal, state, and local law enforcement and prosecutors, as well as nongovernmental organizations, working together to combat human trafficking in the Hampton Roads, Virginia region.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:22-cr-122.
Portland, Oregon man indicted for traveling to Seattle for sex with childrenRead the Press Release
Seattle – A 56-year-old Portland, Oregon, man was indicted by a federal grand jury for attempted enticement of a minor and travel with the intent to engage in a sexual act with a minor, announced U.S. Attorney Tessa M. Gorman. Marc David McCool was arrested May 16, 2024, when he arrived at a Seattle area hotel, allegedly intending to sexually abuse fictitious 7 and 11-year-old children. McCool remains detained at FDC SeaTac and is scheduled for arraignment next week.
According to records filed in the case, McCool responded to an ad posted on social media by an undercover law enforcement agent. Over more than six weeks of “chats” via the Kik Messenger App, McCool allegedly described his sexual interest in children, his sexual abuse of other victims, and the types of “trophies” he kept from those prior criminal sexual acts. Ultimately, McCool arranged to travel to Seattle allegedly believing he would sexually abuse two young children. He was arrested after he traveled by train and a rideshare to the meet location. At the time of arrest, he had various items reflective of his sexual interest in abusing children: condoms, baby oil, rope, and stuffed animals.
Attempted enticement of a minor is punishable by no less than 10 years to lifetime imprisonment. Traveling with the intent to engage in a sexual act with a minor is punishable by up to 30 years imprisonment.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by Homeland Security Investigation as part of the Seattle Police Department Internet Crimes against Children Task Force (ICAC).
The case is being prosecuted by Assistant United States Attorney Cecelia Gregson.
U.S. v McCool 24-cr-00102
Ponemah Man Sentenced to Prison for Attempted Robbery of Red Lake HomeRead the Press Release
MINNEAPOLIS – A Ponemah man has been sentenced to 18 months in federal prison, three years of supervised release, and owes $500 in restitution for attempted robbery occurring within the boundary of the Red Lake Indian Reservation.
According to court documents, on September 24, 2022, Justice Edward Desjarlait, 27, attempted to rob a residence on the Red Lake Indian Reservation. Carrying an unloaded rifle, Desjarlait knocked on the front door of the residence, raised the rifle and demanded, “Give me all of your [expletive].” Desjarlait then attempted to open the storm door in order to enter the house, but the door was locked so he fled without taking anything from the home.
On February 5, 2024, Desjarlait pleaded guilty to one count of attempted robbery. He was sentenced in U.S. District Court by Judge Joan N. Ericksen on June 5, 2024.
This case is the result of an investigation conducted by the Red Lake Tribal Police Department and the U.S. Border Patrol with assistance from the FBI.
Assistant U.S. Attorney Emily A. Polachek prosecuted the case.
Omaha Man Pleads Guilty to Possession with the Intent to Distribute MethamphetamineRead the Press Release
A man who possessed methamphetamine with the intent to distribute pled guilty on June 12, 2024, in federal court in Sioux City.
Jose L. Velez, Sr., age 39, from Omaha, Nebraska, was convicted of one count of possession with intent to distribute a controlled substance, methamphetamine.
At the plea hearing, Velez admitted on or about February 23, 2024, he knowingly and intentionally possessed with intent to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine and 50 grams or more of actual (pure) methamphetamine.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Velez remains in custody of the United States Marshal and will remain in custody pending sentencing. Velez faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $10,000,000 fine, and 5 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Kevin C. Fletcher and was investigated by the North Central Iowa Drug Task Force, the Cerro Gordo Sheriff’s Office, the Clear Lake Police Department, the Iowa Division of Narcotics Enforcement, the Mason City Police Department, the Iowa State Patrol, the Iowa DCI Laboratory, and the Cerro Gordo County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 24-CR-03018.
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Oklahoma Man Sentenced to 25 Years for Possession of Nearly 5 Kilograms of Methamphetamine, 1,988 Fentanyl Pills, and Five FirearmsRead the Press Release
HARRISON – A Lawton, Oklahoma man was sentenced yesterday to 300 months in the United States Bureau of Prisons on criminal charges related to his arrest near Harrison, Arkansas on August 3, 2023, for Possession of Methamphetamine and Fentanyl With Intent to Distribute. Thompson’s sentence was accompanied by $2,000 in fines and a five (5) year term of supervised release to follow his imprisonment. The Honorable Timothy L. Brooks presided over the sentencing hearing, which was held in the U.S. District Court in Fayetteville.
According to court documents, Allen Ray Thompson, age 32, a native of Lawton, Oklahoma, was traffic stopped by the Arkansas State Police in rural Boone County, Arkansas near Harrison for failure to display a proper vehicle tag. During the traffic stop, a narcotics-detecting canine alerted on the vehicle, prompting a search which revealed 4,934.5 grams of methamphetamine, 1,988 fentanyl pills, and five firearms, one of which was stolen. Thompson, a previously convicted felon, was not permitted to possess a firearm. A later search of Thompson’s telephone text messages revealed that Thompson was delivering the controlled substances to customers in the Harrison area who had previously paid Thompson through an internet-based, peer-to-peer money transfer platform.
U.S. Attorney Clay Fowlkes of the Western District of Arkansas made the announcement.
The Federal Bureau of Investigation, State of Arkansas 14th Judicial District Drug Task Force and Arkansas State Police conducted the investigation in the case.
Assistant U.S. Attorney Brandon Carter prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF .
Information regarding this case may be found at
Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov, WDAR Case No. 3:23 CR 30009-002.
Ohio Man Pleads to Illegally Purchasing Firearms in Tampa and Transferring Them to JuvenilesRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that Gabriel Gladman (23, Akron, OH) today pleaded guilty to a 14-count indictment charging him with 8 counts of providing a false statement to a federally licensed dealer to acquire a firearm and 6 counts of unlawfully transferring a handgun to a juvenile. Gladman faces a maximum penalty of 10 years’ imprisonment for each count of providing a false statement to acquire a firearm, and 1 year in federal prison for each count for unlawfully transferring a handgun to a juvenile. A sentencing date has not yet been set.
According to the plea agreement, Gladman, on several dates, purchased firearms from federally licensed dealers in Tampa, where he represented that he was the actual buyer of the firearms. On those same dates, however, Gladman transferred those firearms to juveniles.
As part of the plea agreement, Gladman has agreed to forfeit 8 firearms, which are traceable to proceeds of the offense. Those firearms included a Glock .26 semi-automatic firearm, an FMK 9C1 semi-automatic firearm, a Taurus G3 semi-automatic firearm, two Tara TM-9X semi-automatic firearms, and a Taurus G3C semi-automatic firearm.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Tampa Police Department. It is being prosecuted by Assistant United States Attorney Maria Guzman. Assistant United States Attorney Suzanne Nebesky is responsible for the forfeiture of the firearms.
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.
New York Man Charged with Defrauding Harrisburg Resident and Others, of Thousands of Dollars in Cash and GoldRead the Press Release
HARRISBURG– The United States Attorney’s Office for the Middle District of Pennsylvania announced that Kuldeep Jaggi, age 39, of Huntingdon Station, New York, was indicted by a federal grand jury for conspiracy to commit wire fraud.
According to United States Attorney Gerard M. Karam, the indictment alleges that Jaggi was a member of a conspiracy that operated a fraud scheme that targeted victims throughout the United States including Harrisburg, Pennsylvania. In part, the fraud scheme was carried out by causing pop-up windows to appear on victims’ personal computers. These pop-up windows falsely stated the victims’ computers had been infected with a virus and instructed victims to call the telephone number provided to receive technical assistance.
It is further alleged that victims who called the number spoke with a member of the conspiracy who falsely represented himself to be a government agent or employee. During the telephone call, it was falsely represented to the victims that their compromised computers had been used to commit crimes for which they would be charged, and that for the virus to be removed from the computer, victims had to pay a fee in the form of cash or gold. Victims were instructed to hand deliver the cash or gold payment to an “agent” who was being sent to the victim’s homes.
The indictment alleges that Jaggi was one of the scheme’s “agents” who travelled to victims’ homes to pick up the cash or gold. According to the Indictment, on October 3, 2023, Jaggi traveled to Harrisburg, Pennsylvania, to collect approximately $64,000 in gold from a victim, and between September 26, 2023, and October 3, 2023, Jaggi traveled to Massachusetts, Idaho, and Texas where he collected a total of approximately $129,000 from three victims.
The case was investigated by the U.S. Department of Homeland Security Investigations, and the Swatara Township Police Department. Assistant U.S. Attorney Joseph J. Terz is prosecuting the case.
The maximum penalty under federal law for the indicted offenses is 20 years imprisonment, a term of supervised release after imprisonment, a fine, and special assessment. A sentence following a finding of guilt is imposed by the judge after consideration of the applicable federal sentencing statutes and Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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New York City Man Sentenced to 61 Months in Prison for Bank Fraud SchemeRead the Press Release
ST. LOUIS – U.S. District Judge Henry E. Autrey on Wednesday sentenced a man from New York City to 61 months in prison and ordered him to repay $30,000 to victims of a bank fraud scheme.
The federal prison sentence for George Sciarrone, 54, will follow a prison sentence he is currently serving on an unrelated matter.
Sciarrone pleaded guilty in U.S. District Court in St. Louis in February to one count of conspiracy to commit mail fraud, six counts of bank fraud and one count of aggravated identity theft. He admitted that sometime prior to September 28, 2022, organizers of a bank fraud scheme located outside of Missouri identified financial accounts of various Missouri residents. They then recruited Sciarrone and others to deposit counterfeit checks into those accounts and then withdraw the money. The organizers produced counterfeit drivers licenses and credit cards bearing the names of the account holders and pictures of those they had recruited.
Sciarrone admitted depositing checks in amounts from $3,800 to $4,000 into five banks by using the names of six different people between Sept. 28, 2022, and Oct. 7, 2022.
Valerie Kelly, 46, of New York City, pleaded guilty in November to one count of conspiracy to commit mail fraud, four counts of bank fraud and three counts of use of a counterfeit access device. She admitted using the identities of six people to deposit fraudulent checks ranging from $3,500 to $4,500 into five banks and attempting to cause losses of over $80,000 to more than 10 victims.
In March, Judge Autrey sentenced Kelly to 15 months in prison and ordered her to repay $69,100.
The U.S. Postal Inspection Service, the Bridgeton Police Department, the Creve Coeur Police Department, the Florissant Police Department, the Richmond Heights Police Department, the St. Charles City Police Department and the Wentzville Police Department investigated the case. Assistant U.S. Attorney Tracy Berry prosecuted the case.
New Jersey Woman Indicted for Using Fraudulent Passport CardRead the Press Release
BOSTON – A New Jersey was indicted today in federal court in Worcester for allegedly using a fraudulent passport card at a Shrewsbury credit union while attempting to withdraw money from a customer’s account.
Elizabeth Clemente, 42, was indicted on one count each of forgery or false use of a passport and aggravated identity theft. Clemente was arraigned in federal court in Worcester earlier today. Clemente was charged by criminal complaint in January 2024.
It is alleged that on Nov. 7, 2023, Police responded to a credit union in Shrewsbury where employees reported that Clemente allegedly attempted to withdraw money by impersonating a real credit union account holder, “Person #1.” While speaking with law enforcement, Clemente allegedly first identified herself “Heather.” When pressed for further identification information, Clemente allegedly provided the name of “Person #1”, however it is alleged that Clemente could not remember her date of birth or address. When further questioned, Clemente allegedly handed law enforcement a fraudulent U.S. Passport Card. The passport card bore Person #1’s name and actual date of birth, but contained Clemente’s photograph.
The charge of forgery or false use of a passport provides for a maximum sentence of 10 years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of aggravated identity theft provides for a mandatory 2-year prison term to be served consecutively, up to one year of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Matthew O’Brien, Special Agent in Charge of U.S. Department of State’s Diplomatic Security Service, Boston Field Office; and Shrewsbury Police Chief Kevin Anderson made the announcement today. Assistant United States Attorney Danial E. Bennett of the Worcester Branch Office is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
New Bedford Man Pleads Guilty to Social Security FraudRead the Press Release
BOSTON – A New Bedford man pleaded guilty yesterday in federal court in Boston to fraudulently receiving Social Security disability benefits.
Anthony Patterson, 62, pleaded guilty to one count of theft of government money. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for Sept. 10, 2024. Patterson was charged in May 2024.
From 2013 to 2023, Patterson collected Supplemental Security Income (SSI) benefits, which are only available to people with limited financial means. During two interviews with the Social Security Administration in 2012 and 2022, Patterson made sworn false statements regarding his marital status and living situation to conceal household income and resources. As a result, he collected $92,582 in SSI benefits that he was ineligible to receive.
The charge of theft of government money provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. 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 Bradley Parker, Acting Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division made the announcement today. Special Assistant U.S. Attorney James J. Nagelberg of the Major Crimes Unit is prosecuting the case.
Multiple Lafourche Parish Residents Indicted for Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced today the unsealing of a seven-count indictment charging the following individuals:
- LIONEL DUNCAN, (“DUNCAN”), age 34, of Thibodaux, Louisiana
- JOHN PAUL GAGE JR., (“GAGE JR.”), age 42, of Des Allemands, Louisiana
- LINEZ GREEN, (“GREEN”), age 30, of Thibodaux, Louisiana
- YOLANDA TILLMAN, (“TILLMAN”), age 42, Des Allemands, Louisiana
- JAMES WILLIAMS, (“WILLIAMS”), age 64, of Schriever, Louisiana
- MICHAEL LEWIS, (“LEWIS”), age 47, of Thibodaux, Louisiana
- RYDELLE ROUNDS, (“ROUNDS”), age 40, of Thibodaux, Louisiana
- ANJHAELYN HAYNES, (“HAYNES”), age 28, of Humble, Texas
The indictment was unsealed on June 10, 2024 after all eight individuals were arrested by local law enforcement working with federal Drug Enforcement Administration agents. All eight individuals were indicted in Count 1 for Conspiracy to distribute and possess with intent to distribute, controlled substances, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(B), and 846. If convicted of Count 1, they face a minimum of 5 years and up to 40 years imprisonment, up to a $5,000,000 fine, and at least 4 years of supervised release following imprisonment.
GREEN and GAGE JR. were indicted in Count 3, while GAGE JR. and ROUNDS were indicted in Count 6, for illegal use of a communications facility, in violation of Title 21, United States Code, Section 843(b) and Title 18, United States Code, Section 2. If convicted of Counts 3 or 6, they face up to 20 years imprisonment, up to a $1,000,000 fine, and at least 3 years supervised release following imprisonment.
GREEN was indicted in Counts 2, 4, and 5 for distribution of a quantity of a mixture of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C). If convicted of either of these three counts, GREEN faces up to twenty years imprisonment, up to a $1,000,000 fine, and at least three years supervised release following imprisonment.
HAYNES was indicted in Count 7 for possessing with intent to distribute more than 500 grams of cocaine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B). If convicted of Count 7, she faces a minimum of 5 years and up to 40 years imprisonment, up to a $5,000,000 fine, and at least 4 years of supervised release following imprisonment. All seven counts of the indictment also carry a mandatory $100 special assessment fee.
According to the indictment, beginning on a time unknown but continuing until at least May 4, 2024, these eight individuals conspired to distribute and possess with intent to distribute, cocaine and methamphetamine throughout the Lafourche and Terrebonne Parish region of the Eastern District of Louisiana. The conspiracy involved obtaining narcotics from Houston, Texas and transporting those narcotics to Thibodaux, Louisiana. The conspiracy was carried out through wire and electronic communications.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at http://www.justice.gov/OCDETF.
United States Attorney Evans praised the work of the Drug Enforcement Administration, Louisiana State Police, the Thibodaux Police Department, the Lafourche Parish Sheriff’s Office, and the Terrebonne Parish Sheriff’s Office. The prosecution is being handled by Assistant United States Attorney Stuart Theriot of the Narcotics Unit.
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Morganton Man Is Sentenced to 17 Years for Trafficking FentanylRead the Press Release
ASHEVILLE, N.C. – Joseph Paul Mosteller, 42, of Morganton, N.C., was sentenced today to 17 years in prison followed by three years of supervised release for trafficking fentanyl, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, Robert Schurmeier, Director of the North Carolina State Bureau of Investigation (NC SBI), Sheriff Banks Hinceman of the Burke County Sheriff’s Office, Sheriff Donald G. Brown II of the Catawba County Sheriff’s Office, and Chief Reed Baer of the Hickory Police Department, join U.S. Attorney King in making today’s announcement.
According to court documents and today’s sentencing hearing, in June 2023, law enforcement initiated an investigation into Mosteller for suspected fentanyl and methamphetamine trafficking in Burke and Catawba Counties. On June 2, 2023, law enforcement were conducting surveillance of Mosteller, and observed the defendant and another individual, who was carrying a shoebox, walking toward Mosteller’s car, which was parked in the parking lot of a hotel in Hickory, N.C. Law enforcement attempted to arrest Mosteller before the defendant drove off in his vehicle. Law enforcement arrested the other individual and seized the shoebox, which contained methamphetamine. The individual told law enforcement that Mosteller had received a delivery of methamphetamine at the hotel the day prior.
According to court documents, on June 22, 2023, law enforcement believed Mosteller had received methamphetamine and was located at a residence in Burke County. Law enforcement observed Mosteller enter a vehicle that had been parked in the driveway. As Mosteller drove off in the vehicle, law enforcement attempted to conduct a traffic stop but Mosteller did not stop and instead began to drive off at a high speed. Mosteller travelled several miles before colliding into an embankment. Law enforcement arrested Mosteller and seized a paper bag located inside the vehicle, that contained multiple controlled substances, including fentanyl, packaged for distribution. Later the same day, law enforcement executed a search warrant at the Burke County residence. During the search, law enforcement seized additional distribution amounts of fentanyl and digital scales.
Chief U.S. District Judge Martin Reidinger presided over Mosteller’s hearing and ordered the defendant to remain in the custody of the U.S. Marshals Service pending transportation to a designated federal Bureau of Prisons facility.
U.S. Attorney King thanked the ATF, the NC SBI, the Burke County Sheriff’s Office, the Catawba County Sheriff’s Office, and the Hickory Police Department for their investigation of the case.
Assistant U.S. Attorney Christopher Hess of the U.S. Attorney’s Office in Asheville prosecuted the case.
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Money Launderer Sentenced to 30 Months in Prison for Laundering Millions of Dollars of Health Care Fraud ProceedsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that MUKHIDDIN KADIROV was sentenced today to 30 months in prison for his involvement in a conspiracy to launder millions of dollars from a health care fraud scheme that primarily targeted the Medicare and Medicaid programs. KADIROV controlled three shell company bank accounts, opened in the name of another person, that he used to launder over $6 million in health care fraud proceeds, including over $4 million for his co-defendant NERIK ILYAYEV. KADIROV previously pled guilty to one count of conspiracy to commit concealment money laundering before U.S. District Judge Gregory H. Woods, who imposed today’s sentence.
U.S. Attorney Damian Williams said: “Mukhiddin Kadirov participated in a complex international money laundering network to launder millions of dollars fraudulently obtained from Medicare and Medicaid, as well as from other insurers. Kadirov abused our financial system by providing false information to banks to use shell company bank accounts to launder millions in fraud proceeds. This prosecution and today’s sentence are part of my Office’s ongoing work to take down complex money laundering networks and safeguard the integrity of our financial systems.”
According to the Complaint, the Information, court filings, and public court proceedings:
From approximately March 2021 through the spring of 2022, KADIROV participated in a sophisticated money laundering network that primarily launders health care fraud proceeds (the “Money Laundering Network”). Members of the Money Laundering Network typically deposit checks from health care companies that represent health care fraud proceeds into New York-based bank accounts held by shell companies. The conspirators controlling the shell companies collect cash typically from U.S.-based individuals who want to remit funds, often to Uzbekistan, through unlicensed channels. The conspirators controlling the shell companies then provide that cash, minus a fee, to the conspirators providing the health care checks. The conspirators controlling the shell companies next typically wire the check deposit proceeds from the shell companies to foreign companies to purchase goods from those foreign companies. The foreign companies ship the goods to importers in Uzbekistan. The importers pay the Uzbekistan-based partners of the conspirators operating the shell companies in U.S. currency for the goods. Those Uzbekistan-based partners would then give the U.S. currency to the families and friends of the individuals who had provided the cash to the conspirators controlling the shell companies in New York.
As part of his participation in the Money Laundering Network, KADIROV controlled three business bank accounts held in the names of three different shell companies that were purportedly wholesale companies (the “Shell Company Accounts”). KADIROV used the Shell Company Accounts to launder approximately $4.2 million from a pharmacy in Manhattan (“Pharmacy-1”) controlled by ILYAYEV that was engaged in a scheme to defraud Medicare and Medicaid by submitting fraudulent billing for expensive HIV medications. Between March 2021 and April 2022, approximately $6.9 million flowed through KADIROV’s Shell Company Accounts, which included not only the fraud proceeds from Pharmacy-1 but also deposits from other pharmacies and health care companies.
KADIROV took significant steps to conceal his role in the money laundering scheme. KADIROV used the identity of another person who was no longer in the United States to control the Shell Company Accounts. When using ATM machines to access the Shell Company Accounts, KADIROV covered his face to obscure his face on bank surveillance video and wore latex gloves to prevent leaving fingerprints. KADIROV also used a burner phone subscribed using a fake name and email address to access the Shell Company Accounts and to call the banks regarding the Shell Company Accounts.
KADIROV conducted his money laundering scheme consistent with the typical practices of the Money Laundering Network, using the Shell Company Accounts to engage in check cashing and unlicensed money transmitting. The three Shell Companies KADIROV used to conduct the money laundering all had either “Wholesale” or “Supply” in their names to give the false impression to banks and law enforcement that the Shell Companies were medical supply companies to disguise the true nature of the transactions between Pharmacy-1 and the Shell Companies. KADIROV’s Shell Company Accounts were funded virtually entirely by check deposits from Pharmacy-1 and other pharmacies. Moreover, consistent with the practices of the Money Laundering Network, KADIROV wired virtually all the funds that flowed through the Shell Company Accounts abroad to companies in China, Ukraine, and Russia.
KADIROV stopped operating the Shell Company Accounts by the spring of 2022, soon after Pharmacy-1 closed in March 2022 after another member of the Money Laundering Network who attempted to launder fraud proceeds from Pharmacy-1 was arrested. KADIROV nevertheless continued to facilitate ILYAYEV’s money laundering. After closing Pharmacy-1, ILYAYEV, using the identity of another person, continued to operate another pharmacy, which he used to defraud No Fault insurance providers of over $1.2 million and to unlawfully sell medications obtained from illegitimate sources, for which the pharmacy received over $900,000 in proceeds. ILYAYEV also used that stolen identity to open multiple corporate bank accounts for the pharmacy to receive and spend the fraud proceeds generated by the pharmacy. KADIROV, who is also a construction contractor, used a debit card in the name of that stolen identity to buy materials for a construction project for ILYAYEV.
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In addition to the prison term, KADIROV, 46, of Queens, New York, was sentenced to three years of supervised release and ordered to forfeit more than $6 million.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation and the U.S. Department of Health and Human Services, Office of the Inspector General. Mr. Williams also thanked the National Insurance Crime Bureau and the Investigations Medicare Drug Integrity Contractor for their assistance in the investigation.
The case is being handled by the Office’s Illicit Finance and Money Laundering Unit. Assistant U.S. Attorneys Cecilia E. Vogel and Thane Rehn are in charge of the prosecution.
Minnesota Man Sentenced to 10 Years in Prison for Providing Material Support to ISISRead the Press Release
MINNEAPOLIS – A St. Louis Park man has been sentenced to 120 months in prison followed by 15 years of supervised release for providing material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization, announced U.S. Attorney Andrew M. Luger.
According to court documents, in June 2015, Abdelhamid Al-Madioum, 27, departed the United States with his family to Casablanca, Morocco, to visit extended family. Once in Morocco, Al-Madioum surreptitiously fled to Syria to join and fight for ISIS. During the following several months, Al-Madioum was administratively enrolled into ISIS, received military training from its members, and assigned to a battalion. Al-Madioum served as a soldier for ISIS until late 2015 when he was injured while conducting military activities on behalf of ISIS. Following his injury, Al-Madioum continued to provide assistance to ISIS as a personnel database administrator. He remained a member of ISIS until he was captured by Syrian Democratic Forces in March of 2019.
On September 16, 2020, Al-Madioum made his initial appearance in U.S. District Court in the District of Minnesota on an indictment charging him with providing material support to ISIS. On January 13, 2021, Al-Madioum pleaded guilty to one count of providing material support to a designated foreign terrorist organization. He was sentenced today by U.S. District Judge Ann D. Montgomery. Based on the defendant’s cooperation, the government asked the court to give the defendant credit for providing substantial assistance.
This case is the result of an investigation conducted by the FBI’s Joint Terrorism Task Force.
Assistant U.S. Attorney Andrew R. Winter for the District of Minnesota and Trial Attorney John Cella of the National Security Division’s Counterterrorism Section are prosecuting the case.
Minnesota Man Sentenced to 10 Years in Prison for Providing Material Support to ISISRead the Press Release
A Minnesota man was sentenced to 120 months in prison followed by 15 years of supervised release for providing material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization. Based on the defendant’s cooperation, the government asked the court to give the defendant credit for providing substantial assistance.
According to court documents, in June 2015, Abdelhamid Al-Madioum, 27, of St. Louis Park, Minnesota, departed the United States with his family to Casablanca, Morocco, to visit extended family. Once in Morocco, Al-Madioum surreptitiously fled to Syria to join and fight for ISIS. During the following several months, Al-Madioum was administratively enrolled into ISIS, received military training from its members and assigned to a battalion. Al-Madioum served as a soldier for ISIS until late 2015 when he was injured while conducting military activities on behalf of ISIS. Following his injury, Al-Madioum continued to provide assistance to ISIS as a personnel database administrator. He remained a member of ISIS until he was captured by Syrian Democratic Forces in March of 2019.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Andrew M. Luger for the District of Minnesota and Executive Assistant Director Larissa L. Knapp of the FBI’s National Security Branch made the announcement.
The FBI investigated the case.
Trial Attorney John Cella of the National Security Division’s Counterterrorism Section and Assistant U.S. Attorney Andrew R. Winter for the District of Minnesota prosecuted the case.
Mexican National Charged with Illegal Reentry and Failure to Comply with Sex Offender Registration RequirementsRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Cosme Marin-Ponce, age 40, of Mexico, was indicted by a federal grand jury for illegal reentry into the United States by a previously deported alien and for failing to register as a sex offender. The case was unsealed following Marin-Ponce’s arrest.
According to United States Attorney Gerard M. Karam, the indictment alleges that Marin-Ponce was previously removed from the United States on September 23, 2019, after pleading guilty to indecent assault of a person less than 13 years old. It is alleged that he was subsequently found in the United States without having first obtained legal permission to reenter the country. Marin-Ponce also failed to register as a sex offender, as his previous conviction required.
This matter was investigated by U.S. Immigration and Customs Enforcement and Removal Operations (ERO) and the United States Marshals Service. Assistant United States Attorney Michael Scalera is prosecuting the case.
The maximum penalty under federal law for this offense is 10 years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Mescalero Woman Sentenced for Domestic ViolenceRead the Press Release
ALBUQUERQUE – A Mescalero woman was sentenced to 18 months in prison after pleading guilty in federal court to physically assaulting her partner and causing him substantial bodily injury.
There is no parole in the federal system.
According to publicly available court documents, on September 24, 2023, Prestina Lisa Kazhe, 44, an enrolled member of the Mescalero Apache Tribe, and John Doe got into an argument while watching a football game and drinking alcohol at their residence. During the argument, Kazhe struck John Doe multiple times on the head with a beer bottle, causing lacerations that required staples.
When John Doe tried to flee, Kazhe hit him 9-10 more times with a metal pot, leaving him bleeding profusely. As a result of the assault, John Doe required multiple staples to close his wounds.
After completing his term of imprisonment, Kazhe will be required to serve 3 years of supervised release.
U.S. Attorney Alexander M.M. Uballez made the announcement today.
The Bureau of Indian Affairs investigated this case. Assistant United States Attorney Joni Autrey Stahl is prosecuting the case.
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Mescalero Man Pleads Guilty to Domestic ViolenceRead the Press Release
ALBUQUERQUE – A Mescalero man pleaded guilty in federal court to assaulting his intimate partner by strangling her.
In his plea agreement, Ronnie Pernell Evans admitted that on November 8, 2023, he assaulted his intimate partner, Jane Doe. Evans and Jane Doe were outside her home arguing when he shoved her and grabbed her by her throat. Evans squeezed Jane Doe’s throat and pushed her backwards toward his vehicle until they tripped and fell to the ground.
Evans got back up and continued dragging Jane Doe towards his car until a neighbor intervened. Evans fled the scene. Responding officers later stopped Evans on Highway U.S. 70 and arrested him.
The Court ordered that Evans remain in custody pending sentencing, which has not been scheduled.
At sentencing, Evans faces 10 years in prison. Upon his release from prison, Evans will be subject to up to three years of supervised release.
U.S. Attorney Alexander M.M. Uballez made the announcement today.
The Bureau of Indian Affairs investigated this case. Assistant U.S. Attorney Joni Autrey Stahl is prosecuting the case.
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Man sentenced for over $5.6M international advance-fee schemeRead the Press Release
HOUSTON - An Indiana man has been ordered to federal prison for his role in an international advance-fee scheme orchestrated from Nigeria that defrauded victims worldwide of over $5.6 million, announced U.S. Attorney Alamdar S. Hamdani.
The jury deliberated for 45 minutes before convicting Tochukwu Nwosisi, 52, Indianapolis, Indiana, following a six-day trial March 4 of conspiracy to commit money laundering and concealment money laundering.
U.S. District Judge Alfred H. Bennett has now ordered Nwosisi to serve a total of 36 months in federal prison to be immediately followed by two years of supervised release. He must also pay $905,945 in restitution. In handing down the sentence, the court noted Nwosisi was a knowing, willing participant in a criminal scheme with very real impacts to victims around the world, stating that “today is the day for accountability.”
From at least February 2015 to January 2018, Nwosisi participated in an advance-fee scheme involving fraudulent offers of investment funding and inheritances to victims around the world. Nwosisi’s Nigeria-based co-conspirators induced victims to make large wire payments to bank accounts in the United States on the false belief that payment of the purported advance fees was necessary before the bank would release their funding or inheritance. Nwosisi served as a money launderer who accepted victim funds into his U.S.-based bank accounts and directed the proceeds to the ringleaders in Nigeria.
The FBI and Department of State – Office of Inspector General conducted the investigation.
Assistant U.S. Attorney Christian Latham prosecuted the case along with Trial Attorney Philip Trout of the Criminal Division’s Fraud Section.
Man Sentenced to 141 Months in Prison for St. Louis Store RobberyRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Thursday sentenced a man who admitted committing the armed robbery of a Foot Locker in St. Louis, Missouri in 2021 to 141 months in prison.
Demetrius Kirksey, now 35, robbed the Foot Locker at 4651 Chippewa Street in St. Louis on Oct. 6, 2021. He pointed a handgun at the clerk before running behind the counter and stealing cash from the register.
Kirksey pleaded guilty in January U.S. District Court in St. Louis to robbery and possession and brandishing a firearm in furtherance of a crime of violence.
The St. Louis Metropolitan Police Department and the FBI investigated the case. Assistant U.S. Attorneys Cassandra Wiemken and Jennifer Szczucinski are prosecuting the case.
Man Sentenced for over $5.6M International Advance-Fee SchemeRead the Press Release
An Indiana man was sentenced today to three years in prison for his role in an international advance-fee scheme orchestrated from Nigeria that defrauded victims worldwide of over $5.6 million.
According to court documents and evidence presented at trial, from at least February 2015 to January 2018, Tochukwu Nwosisi, 52, of Indianapolis, participated in an advance-fee scheme involving fraudulent offers of investment funding and inheritances to victims around the world. Nwosisi’s Nigeria-based co‑conspirators induced victims to make large wire payments to bank accounts in the United States on the false belief that payment of the purported advance fees was necessary before the bank would release their funding or inheritance. Nwosisi served as a money launderer who accepted victim funds into his U.S.-based bank accounts and directed the proceeds to the ringleaders in Nigeria.
A federal jury in Houston convicted Nwosisi on March 4 of conspiracy to commit money laundering and concealment money laundering.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas; Special Agent in Charge Douglas A. Williams Jr. of the FBI Houston Field Office; and Special Agent in Charge Christopher Hileman of the Department of State Office of Inspector General (DOS-OIG) made the announcement.
The FBI and DOS-OIG investigated the case.
Trial Attorney Philip Trout of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Christian Latham for the Southern District of Texas prosecuted the case.
Man Sentenced for Maintaining Fictitious Super PAC and Credit Card FraudRead the Press Release
A New Jersey man was sentenced today to one year and six months in prison for falsifying a report filed with the Federal Election Commission (FEC) and credit card fraud.
According to court documents, in March 2020, Christopher Richardson, 37, formerly of San Antonio, Texas, created an independent, expenditure-only political action committee, or Super PAC, named Americans for Progressive Action USA (AFPA) that used fictitious names for AFPA’s treasurer and designated agent. Richardson then filed a falsified quarterly report with the FEC claiming that AFPA had raised $4.8 million from several fictitious individuals. Several weeks later, he filed a report of expenditures that falsely claimed that the Super PAC spent over $1.5 million to purchase advertisements and media production opposing certain candidates for the U.S. Senate. Richardson filed another FEC report that falsely stated that AFPA refunded the non-existent $4.8 million in donations.
Richardson also used the alias of one of the fictitious donors to AFPA to obtain a credit card, and then used that card to conduct approximately 200 transactions.
Richardson pleaded guilty on Feb. 29 to one count of making a false entry in a record and one count of access device fraud.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Matthew M. Graves for the District of Columbia; Assistant Director in Charge David Sundberg of the FBI Washington Field Office; and Special Agent in Charge Scott Moffit of the Treasury Inspector General for Tax Administration’s (TIGTA) Cybercrime Investigations Division made the announcement.
The FBI Washington Field Office and TIGTA Cybercrime Investigations Division investigated the case.
Trial Attorney Ryan R. Crosswell of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Joshua Gold for the District of Columbia prosecuted the case, with assistance from Assistant U.S. Attorney Ahmed Baset for the District of Columbia.
Lebanon County Man Charged with Drug Trafficking and Illegally Possessing A FirearmRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Angel Lopez-Guzman, age 37, of Lebanon, PA, was indicted yesterday by a federal grand jury on charges related to the distribution of controlled substances and unlawful possession of firearms.
According to United States Attorney Gerard M. Karam, the indictment alleges that Lopez-Guzman possessed over 500 grams of cocaine with the intent to distribute. It also alleges that Lopez-Guzman illegally possessed a firearm as a convicted felon and possessed a firearm in furtherance of drug trafficking, in Lebanon County, on January 5, 2024.
This case was investigated by the Drug Enforcement Administration and the Lebanon County Drug Task Force. Assistant United States Attorney Michael Scalera is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The maximum penalty Lopez-Guzman faces under federal law for these offenses is up to life in prison, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Lakeland Resident Pleads Guilty to Fentanyl ChargesRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that Nahum Rodriguez-Jaimes (48, Lakeland) pleaded guilty today to three counts of possessing with the intent to distribute fentanyl. Rodriguez-Jaimes faces a maximum penalty of 20 years’ imprisonment on each count. A sentencing date has not yet been set. Rodriguez-Jaimes is a citizen of Mexico and subject to deportation.
According to the plea agreement and court records, law enforcement received information that Rodriguez-Jaimes was distributing fentanyl in Plant City. Rodriguez-Jaimes was involved in three separate transactions at a commercial business in Plant City. On September 28, 2023, Rodriguez-Jaimes distributed 200 fentanyl pills; on October 10, 2023, he distributed 300 fentanyl pills; and on October 19, 2023, he distributed an additional 3 baggies of fentanyl pills.
This case was investigated by the Drug Enforcement Administration, the U.S. Customs and Border Protection, and the Plant City Police Department. It is being prosecuted by Assistant United States Attorney Maria Guzman.
La Crosse Man Sentenced to 5 Years for Illegally Possessing FirearmRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Jayvon E. Jones-Shields, 24, La Crosse, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to 5 years in federal prison for possessing a firearm as a convicted felon. Jones-Shields pleaded guilty to this charge on March 19, 2024.
On October 18, 2023, officers saw Jones-Shields standing on the street in La Crosse with a group of people. The officers arrested Jones-Shields on an active arrest warrant. Officers searched a shoulder bag Jones-Shields was wearing and found a loaded .22 caliber Charter Arms revolver, numerous oxycodone pills, counterfeit prescription pills containing fentanyl, and cocaine. Jones-Shields is prohibited from legally possessing firearms because of multiple felony convictions in Olmsted County, Minnesota.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition and violent and drug crimes that involve the use of firearms.
The charge against Jones-Shields was the result of an investigation conducted by the La Crosse Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney William M. Levins prosecuted this case.
Kissimmee Auto Dealer Charged with 24 Counts of Wire FraudRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Hani Wafik Kaakati (43, Kissimmee) with 24 counts of wire fraud. If convicted, Kaakati faces a maximum penalty of 20 years in federal prison on each count. The indictment also notifies Kaakati that the United States is seeking an order of forfeiture in the amount of at least $443,137.98, the proceeds of the charged criminal conduct.
According to the indictment, Kaakati, through his car dealership, NextGear Automotive, entered into a floorplan financing agreement with victim Company 1. In September 2019, Kaakati misrepresented to Company 1 the availability of funds in NextGear Automotive’s bank account, so that Company 1 would release 24 car titles to him. In fact, Kaakati had withdrawn money from that bank account so that there would be insufficient funds to cover the amount owed to Company 1 for the car titles under the floorplan financing agreement. As a result, Company 1 initiated 24 ACH transactions with NextGear Automotive’s bank account in the total amount of $528,337.98, all of which were returned for insufficient funds.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation and the Seminole County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Risha Asokan.
Kearney Man Sentenced for Post Office BurglaryRead the Press Release
United States Attorney Susan Lehr announced that Tyrelle Smiley, 26, of Kearney, Nebraska, was sentenced on June 13, 2024, in federal court in Lincoln, Nebraska for burglary of a United States Post Office. Senior United States District Court Judge John M. Gerrard sentenced Smiley to 22 months’ imprisonment. There is no parole in the federal system. After Smiley’s release from prison, he will begin a 3-year term of supervised release.
On November 17, 2019, two people broke into the U.S. Post Office branch in Rockville, Nebraska. When U.S. Postal employees arrived at work on Monday, November 18, they discovered several items had been taken, including items that were being mailed, U.S. currency belonging to the Post Office, and coils of postal stamps.
Two persons, including the Smiley, were found to have been responsible for other burglaries in the area and became suspects in this burglary. A Postal Inspector met with Smiley. Smiley eventually admitted that he had entered the post office.
The Postal Inspector also interviewed a person who lived in the same apartment as Smiley. That person consented to a search of the apartment. Some of the stolen property was discovered, including a coil of stamps. Those stamps were later examined for fingerprints and Smiley’s fingerprints were found on the coil of stamps.
Judge Gerrard originally sentenced smiley to 30 months’ imprisonment on June 28, 2023. There was a mistaken understanding of when the post office burglary took place relative to other burglaries Smiley had been convicted of committing in state court. That error was discovered on appeal. The Eighth Circuit Court of Appeals then remanded the case for resentencing.
This case was investigated by the United States Postal Inspection Service.
Kansas Man Sentenced for Illegal Firearm after Shooting at Officers During High Speed PursuitRead the Press Release
SPRINGFIELD, Mo. – A Galena, Kansas, man who shot at police officers during a high-speed pursuit from Joplin, Mo., into Kansas was sentenced in federal court today for illegally possessing a firearm.
Adam Everett Kastler, 36, was sentenced by U.S. District Judge M. Douglas Harpool to 13 years and six months in federal prison without parole.
On Feb. 6, 2024, Kastler pleaded guilty to being a felon in possession of a firearm. Kastler admitted he was in possession of a Smith & Wesson 9mm semi-automatic handgun on Feb. 23, 2023.
Joplin, Mo., police officers spotted Kastler, who had outstanding arrest warrants, inside a Chevrolet Tahoe that was pulled over in a traffic stop on 7th Street. Kastler, who was in the passenger’s seat, pointed a firearm at the driver and said he would shoot him if he did not flee from the police. Instead, the driver got out of the vehicle and laid on the ground.
After the driver got out of the vehicle, Kastler moved from the passenger’s seat to the driver’s seat and fled from the scene with the officers in pursuit. Kastler drove through town at high rates of speed, ignoring multiple stop signs. The pursuit continued into Kansas, where deputies with the Cherokee County Sheriff’s Department assisted in the pursuit.
Officers saw Kastler shooting at them from the vehicle before he lost control and crashed. Kastler was arrested. Officers found the loaded firearm on the center console and two spent shell casings laying on the driver’s side floorboard. Officers also found a methamphetamine glass smoking pipe with residue, three cell phones, and four open containers of alcohol.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Kastler has prior felony convictions for distributing methamphetamine and aggravated domestic battery.
This case was prosecuted by Supervisory Assistant U.S. Attorney Randall D. Eggert. It was investigated by the Joplin, Mo., Police Department, the Cherokee County, Kan., Sheriff’s Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
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.
KC Man Pleads Guilty to Illegal Ammunition, Assaulting OfficerRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man who rammed into a federal agent’s vehicle while attempting to escape arrest pleaded guilty in federal court today to illegally possessing ammunition and assaulting a federal law enforcement officer.
Charles D. Jackson, also known as “Grove Street” and “C Jackem,” 30, pleaded guilty before U.S. Chief District Judge Beth Phillips to one count of being a felon in possession of ammunition and one count of assaulting a federal law enforcement officer.
On Aug. 24, 2023, agents and task officers with the Bureau of Alcohol, Tobacco, Firearms and Explosives executed a search warrant at Jackson’s residence. As officers approached on foot, an ATF agent pulled her vehicle into the driveway to pin in a black Kia sedan parked in the driveway and still running. All of the agents and officers were wearing clearly marked body armor identifying them as “ATF Police.”
The officers announced themselves and the ATF agent activated the emergency equipment on her vehicle. Jackson, who was fully reclined in the driver’s seat, popped up and put the car in drive. He rammed into the front of the ATF vehicle, then attempted to back up and drive forward several times in an apparent attempt to escape. However, the ATF agent pushed the Kia into the garage with her vehicle, immobilizing it.
The ATF vehicle was damaged as a result of Jackson ramming it. Under the terms of today’s plea agreement, Jackson must pay restitution for the damage.
On the floorboard of the front’s driver’s seat where Jackson had been sitting, agents located a loaded AR-style 5.56-caliber pistol with no serial number and with an extended magazine, which contained 39 rounds of ammunition.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Jackson has a prior felony conviction for first degree robbery.
Under federal statutes, Jackson is subject to a sentence of up to 16 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney John C. Constance. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Organized Crime and Drug Enforcement Task Force
This case 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.
Justice Department Repatriates $1.4B Misappropriated 1MDB Funds to MalaysiaRead the Press Release
The Justice Department announced today that it has repatriated an additional $156 million in misappropriated 1Malaysia Development Berhad (1MDB) funds to the people of Malaysia, bringing the total returned by the department to approximately $1.4 billion.
According to court documents, the funds from 1MDB, formerly Malaysia’s investment development fund, were laundered through major financial institutions worldwide, including in the United States, Switzerland, Singapore, and Luxembourg. As alleged in the civil forfeiture complaints, from 2009 through 2015, high-level officials of 1MDB, their associates, and Low Taek Jho, also known as Jho Low, misappropriated more than $4.5 billion in funds belonging to 1MDB through a criminal scheme involving international money laundering and embezzlement. Some of the embezzlement proceeds were also allegedly used to pay bribes.
Beginning in 2016, a landmark effort encompassing 41 civil forfeiture actions filed in the U.S. District Court for the Central District of California and one in the U.S. District Court for the District of Columbia by the Money Laundering and Asset Recovery Section (MLARS) of the Justice Department’s Criminal Division led to the seizure of over $1.7 billion in stolen assets. This is the largest recovery to date under the department’s Kleptocracy Asset Recovery Initiative. The funds include both funds finally forfeited and funds the department assisted in recovering and returning. The department continues to litigate actions against additional assets allegedly linked to this scheme.
1MDB was created by the government of Malaysia to promote economic development in Malaysia through global partnerships and foreign direct investment. Its funds were intended to be used for improving the well-being of the Malaysian people. Instead, funds held by 1MDB and proceeds of bonds issued for and on behalf of 1MDB were misappropriated and spent on a wide variety of extravagant items, including luxury homes and properties in Beverly Hills, New York, and London; a 300-foot superyacht; and fine art by Monet and Van Gogh. The funds were also sent into numerous business investments, including a boutique hotel in Beverly Hills, a movie production company that made “The Wolf of Wall Street,” the redevelopment of the Park Lane Hotel in Manhattan, and shares in EMI, the largest private music rights holder. As alleged, other funds were provided to various public officials and co-conspirators.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division; and Chief Guy Ficco of the IRS Criminal Investigation (IRS-CI) made the announcement.
The FBI’s International Corruption Squads in New York and Los Angeles and IRS-CI are leading the investigation.
MLARS Trial Attorneys Barbara Levy, Josh Sohn, Jonathon Baum, and Sean Fern are prosecuting the case, with assistance from former MLARS Deputy Chief Woo S. Lee; Trial Attorney Kyle Freeny; and former Asset Forfeiture Section Chief Steven Welk, Asset Forfeiture Section Chief Jonathan Galatzan, and former Assistant U.S. Attorneys John Kucera and Michael Sew Hoy for the Central District of California.
The Justice Department’s Office of International Affairs is providing substantial assistance. MLARS’ Program Operations Unit and the U.S. Marshals Service also provided significant support.
Significant assistance has also been provided to the department over the course of its work in the investigations and civil and criminal litigation by the Attorney General’s Chambers of Malaysia, the Royal Malaysia Police, the Malaysian Anti-Corruption Commission, the United Kingdom Financial Conduct Authority, the United Kingdom Prudential Regulation Authority, the United Kingdom National Crime Agency (NCA), the Attorney General’s Chambers of the Territory of the British Virgin Islands, the Attorney General’s Office of the Bailiwick of Guernsey and the Guernsey Economic Crime Division, the International Anti-Corruption Coordinate Centre, the Attorney General’s Chambers of Singapore, the Singapore Police Force–Commercial Affairs Division, the Office of the Attorney General and the Federal Office of Justice of Switzerland, the judicial investigating authority of the Grand Duchy of Luxembourg, the Criminal Investigation Department of the Grand-Ducal Police of Luxembourg, and Indonesian, Latvian and French authorities.
The Kleptocracy Asset Recovery Initiative is led by a team of dedicated MLARS prosecutors in partnership with federal law enforcement agencies, and often with U.S. Attorney’s Offices, to forfeit the proceeds of foreign official corruption and, where appropriate, to seize, forfeit, and repatriate those recovered assets to benefit the people harmed by these acts of corruption and abuse of office. Individuals with information about possible proceeds of foreign corruption located in or laundered through the United States should email [email protected] or submit information at https://tips.fbi.gov/.
Justice Department Finds Civil Rights Violations by Phoenix Police Department and City of PhoenixRead the Press Release
Following a comprehensive investigation, the Justice Department announced today that the Phoenix Police Department (PhxPD) and the City of Phoenix (City) engage in a pattern or practice of conduct that violates the U.S. Constitution and federal law.
Specifically, the Department finds that:
- PhxPD uses excessive force, including unjustified deadly force and other types of force.
- PhxPD and the City unlawfully detain, cite, and arrest people experiencing homelessness and unlawfully dispose of their belongings. This is the first time the Department has found a pattern or practice of conduct that focuses on the rights of people experiencing homelessness.
- PhxPD discriminates against Black, Hispanic, and Native American people when enforcing the law.
- PhxPD violates the rights of people engaged in protected speech and expression.
- PhxPD and the City discriminate against people with behavioral health disabilities when dispatching calls for assistance and responding to people in crisis.
The Department also described serious concerns about PhxPD’s treatment of children. Finally, the Department identified deficiencies in policy, training, supervision, and accountability that contribute to PhxPD and the City’s unlawful conduct.
“The Justice Department has concluded there is reasonable cause to believe that the City of Phoenix and the Phoenix Police Department engage in a pattern or practice of conduct that deprives its residents and visitors, including Black, Hispanic, and Native American people, of their rights under the Constitution and federal law,” said Attorney General Merrick B. Garland. “The release of today’s findings report is an important step toward accountability and transparency, and we are committed to working with the City of Phoenix and Phoenix Police Department on meaningful reform that protects the civil rights and safety of Phoenix residents and strengthens police-community trust.”
“Phoenix residents deserve nothing less than fair, non-discriminatory, and constitutional policing,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our comprehensive investigation revealed unlawful and unconstitutional practices in the Phoenix Police Department’s enforcement activities that impact some of Phoenix’s most vulnerable residents, including Black, Hispanic, and Native American people, homeless people, and those experiencing behavioral health crises. The police also used excessive force, delayed necessary medical aid, and infringed on the civil rights of those engaged in First Amendment-protected conduct, including demonstrations and protests. Our findings provide a blueprint and a roadmap that can help transform the police department, restore community trust and strengthen public safety efforts in one of America’s largest cities. We are committed to working collaboratively with the police department, city officials, and the public to institute reform and remedy the violations we identified in our investigation.”
The Department opened this investigation on Aug. 5, 2021. Career attorneys and staff in the Civil Rights Division’s Special Litigation Section conducted the investigation. The team conducted numerous onsite tours; interviewed PhxPD officers, supervisors, and command staff; spoke with City officials and employees; accompanied behavioral crisis responders, specialty squads that frequently interacted with unhoused people, and officers on ride-alongs; reviewed thousands of documents; and reviewed hundreds of hours of body-worn camera footage.
As it does in every case, the division met regularly throughout the investigation with City and PhxPD officials to provide feedback on the observations of the Department and its policing experts and on reforms to address the issues observed. Multiple subject-matter experts advised the division on the investigation. Collectively, these experts have decades of experience in assessing police tactics and training, internal investigations, 911 call-taking and dispatch, and statistical analyses. Department attorneys and staff also met with community members, advocates, service providers, and other stakeholders in the Phoenix area.
Consistent with its standard practice in investigations of other cities, the Department provided a detailed briefing on the findings to the City and PhxPD on Tuesday, and proposed that the parties agree in principle to negotiate expeditiously and in good faith to reach a comprehensive court-enforceable settlement with independent monitoring.
The Department conducted this investigation pursuant to 34 U.S.C. Section 12601, which prohibits law enforcement officers from engaging in a pattern or practice of conduct that deprives people of rights protected by the Constitution or federal law, Safe Streets Act of 1968, Title VI of the Civil Rights Act of 1964, and Title II of the Americans with Disabilities Act.
The Department will conduct outreach to members of the Phoenix community to explain the findings and for input on remedies to address the Department’s findings. Individuals may also submit recommendations by email at [email protected] or by phone at 866-432-0335.
This is one of 11 investigations into law enforcement agencies opened by the Justice Department under Section 12601 since April 2021. Last year, the Department issued Section 12601 findings reports regarding two of those investigations: the Louisville, Kentucky, Metro Police Department and Minneapolis Police Department. The eight other investigations cover the Lexington, Mississippi, Police Department; Louisiana State Police; Memphis, Tennessee, Police Department; Mount Vernon, New York, Police Department; New York City Police Department’s Special Victims Division; Oklahoma City Police Department; Worcester, Massachusetts, Police Department; and Trenton, New Jersey, Police Department.
Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt.
Information specific to the Civil Rights Division’s Police Reform Work can be found at www.justice.gov/crt/file/922421/download.
The Justice Department will hold a virtual community meeting at 6 p.m. PT / 9 p.m. ET. Members of the public are encouraged to attend to learn more about the findings. Please join the meeting at www.zoomgov.com/webinar/register/WN_wc5Fgkk9TaueUHSmV0J_Eg.
View the findings report here.
View the findings report in Spanish here.
View the executive summary here.
View the executive summary in Spanish here.
Jury Convicts Madison Man of Covid-Relief Fraud, False Statements, and Money LaunderingRead the Press Release
MADISON, WIS. – A Madison, Wisconsin, man has been convicted of Covid-relief fraud, making false statements on loan applications, and money laundering. Eric Upchurch, 36, was convicted following a three-day trial in federal court in Madison. The jury reached a verdict today after approximately five hours of deliberation. The guilty verdict is announced by Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted to provide immediate financial assistance to individuals, families, and organizations affected by the COVID-19 pandemic. This Act authorized the U.S. Small Business Administration (SBA) to offer Paycheck Protection Program (PPP) forgivable loans to business owners negatively affected by the COVID-19 pandemic.
The government presented evidence at trial that from April 2020 to April 2021, Upchurch submitted 14 PPP loan applications to the SBA on behalf of his various companies. In each PPP application, Upchurch falsely represented his companies’ payroll expenses and revenues. Upchurch also submitted false documentation. In total, Upchurch’s fraudulent representations caused the SBA to approve 10 of the loans and deposit approximately $400,000 into bank accounts controlled by Upchurch. The government also presented evidence that Upchurch laundered fraudulently obtained funds by purchasing cryptocurrency.
U.S. District Judge William M. Conley scheduled sentencing for August 30, 2024. Upchurch faces a maximum penalty of 20 years in federal prison on the each of the fraud counts and 10 years on the money laundering count. Upchurch faces a maximum penalty of 5 years in prison on each of the false statement counts.
The case was investigated by the Internal Revenue Service, Federal Bureau of Investigation, and the Small Business Administration, Office of Inspector general. The prosecution is being handled by Assistant U.S. Attorneys Chad Elgersma and William M. Levins.
Jefferson County Man Admits Providing Alcohol, Vapes to Minor for SexRead the Press Release
ST. LOUIS –A man from Jefferson County, Missouri on Thursday admitted exchanging items of value including drugs and vape cartridges with an underage girl in exchange for sexual activity.
Kody L. Willyard, 32, of Barnhart, pleaded guilty in U.S. District Court in St. Louis to one felony count of coercion and enticement of a minor. He admitted providing marijuana, alcohol, vaping devices and vape cartridges to a girl when she was 14 and 15 years old in exchange for sexual activity.
The victim’s father uncovered Willyard’s crimes when he reviewed the victim’s social media and digital communications. He then contacted law enforcement. The victim told authorities that Willyard had also provided items of value to another girl in exchange for sexual acts.
At Willyard’s sentencing, scheduled for September, both Willyard’s lawyer and Assistant U.S. Attorney Jillian Anderson will recommend 15 years in prison. The crime carries a mandatory minimum prison term of 10 years.
The FBI, the St. Louis County Police Department Special Investigations Unit and the Jefferson County Sheriff’s Department investigated the case. Assistant U.S. Attorney Jillian Anderson is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jacksonville Man with Domestic Violence and Felony Convictions Indicted for Illegally Trying to Buy A FirearmRead the Press Release
Jacksonville, FL – United States Attorney Roger B. Handberg announces the return of an indictment charging Jose Dominguez (50, Jacksonville) with making a false statement to a federally licensed firearms dealer during the attempted purchase of a firearm. If convicted, Dominguez faces a maximum penalty of five years in federal prison.
According to the indictment, Dominguez completed an ATF Form 4473 during the attempted purchase of a firearm from a federally licensed firearms dealer. Dominguez indicated on the required paperwork that he had not been convicted of a misdemeanor crime of domestic violence and that he had not been convicted of a crime punishable by more than one year of imprisonment. According to court records, Dominguez was previously convicted of misdemeanor domestic battery in Duval County and three crimes punishable by more than one year of imprisonment in Miami-Dade County, including grand theft and two drug offenses.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Elisibeth Adams.
This is another case uncovered through the FBI’s National Instant Criminal Background Check System (NICS). All NICS denials are reported to federal law enforcement and are reviewed daily for potential criminal prosecution. Federal law makes it a felony offense to make a false statement to a firearms dealer when trying to buy a gun.
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.
Jacksonville Man Pleads Guilty to Bank Fraud Involving Stolen MailRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Frank Anthony Acanda (26, Jacksonville) has pleaded guilty to conspiracy to commit bank fraud. Acanda faces up to 30 years in federal prison and payment of restitution to the victims he and his co-defendant, Jonathan Benavide Hidalgo (26, Jacksonville), defrauded. A sentencing date has not been set.
According to court documents, for several months, Acanda, Hidalgo, and others drove around Fleming Island, Jacksonville, and St. Augustine and stole large volumes of mail from residential and business mailboxes. After opening the mail and stealing checks and money orders, Acanda, Hidalgo, and others acting on their behalf, deposited the items into bank accounts controlled by them and then used ATMs to immediately withdraw cash. In some instances, the co-defendants altered the stolen checks by increasing the amount of the checks to maximize the amount of money they could withdraw from ATMs.
Hidalgo is set for trial in August 2024.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Clay County Sheriff’s Office, Florida Department of Law Enforcement, and the United States Postal Inspection Service - Jacksonville Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein. The asset forfeiture is being handled by Assistant United States Attorney Jennifer M. Harrington.
Isleta Village Man Pleads Guilty to Federal Firearms OffenseRead the Press Release
ALBUQUERQUE – A Isleta Village man was charged by criminal complaint with assault with a dangerous weapon under the major crimes act.
Vincent Jerome Martinez, 18, an enrolled member of the Pueblo of Isleta, appeared before a federal judge today and pled guilty to a criminal information charging him with to assault with a dangerous weapon.
According to court documents, on December 14, 2023, Isleta Pueblo officers responded to a report of shots fired in a residential area. When they arrived on scene, Officers observed Martinez, dressed in black clothing, running behind a shed.
After taking Martinez into custody, a search incident to the arrest revealed three 12-gauge shotgun rounds in Martinez’s pocket and a modified shotgun with an obliterated serial number hidden under a railroad tie near the shed. The shotgun had one spent shell in the ejection port and one live round in the chamber. Officers also found two additional spent shotgun casings nearby.
According to the victim, Martinez came out of a residence shortly after the victim arrived to provide transportation and pointed a shotgun at the victim while threatening to kill him. Martinez then fired the shotgun in the air, causing the victim to drive away. As the victim drove away in his vehicle, Martinez fired several rounds at the victim before fleeing from the scene to hide behind a nearby shed where he was later arrested.
At sentencing, Martinez faces up to 10 years in prison. He will remain in custody pending sentencing, which has not been scheduled.
U.S. Attorney Alexander M.M. Uballez made the announcement today.
The Bureau of Indian Affairs investigated this case with assistance from the Isleta Police Department. Assistant United States Attorney Jesse Pecoraro is prosecuting the case.
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Iraqi Woman Sentenced for Lying to Federal OfficersRead the Press Release
ALBANY, NEW YORK – Israa Sultan, age 44, of New York, New York, was sentenced today to time served (approximately 141 days in jail) for making a false statement to federal authorities.
United States Attorney Carla B. Freedman and Port Director Timothy Walker of the Alexandria Bay Port of Entry, U.S. Customs and Border Protection (CBP), made the announcement.
United States District Judge Anne M. Nardacci also imposed a $5,000 fine and 1 year of supervised release, and she ordered Sultan to reimburse the Office of the Federal Public Defender for the cost of her defense.
Sultan—an Iraqi national lawfully admitted into the United States in 2007—attempted to cross from New York into Canada using another woman’s United States passport. Canadian authorities refused to grant entry to Sultan, and they turned her over to CBP. Sultan falsely told a CBP Officer that she was the person depicted in the passport. When CBP searched Sultan, they recovered approximately 20 grams of cocaine hidden within her shoes. Sultan subsequently brought cocaine into a federal courthouse during a hearing in this case.
CBP investigated the case, which Assistant U.S. Attorney Jonathan S. Reiner prosecuted.
Indictment Charges Carjacking of Uber Eats Driver in NorthwestRead the Press Release
WASHINGTON – Guilbert Rojas Villarroel, 39, of Alexandria, Va., was arraigned today before the Honorable Heidi Pasichow of the Superior Court of the District of Columbia on a Superior Court indictment arising from a September 2023 carjacking, announced U.S. Attorney Matthew M. Graves and Chief Pamela A. Smith, of the Metropolitan Police Department (MPD).
The grand jury returned its indictment on Wednesday, May 29, 2024, charging Villarroel with armed carjacking, robbery while armed, threats to injure/kidnap, and first-degree theft.
According to the government’s evidence, on September 9, 2023, an Uber Eats driver stopped in the 2000 block of K Street NW to pick up an order, leaving his friend, the victim, in the car. Villarroel jumped in the driver’s seat and ordered the victim out of the car. The victim refused, and Villarroel drove off with him still in the car. After a short distance, Villarroel stopped the car and threatened to shoot and kill the victim if he did not get out, and reached toward his waistband, making the victim believe he had a gun. The victim got out of the car and started to call 911 as he walked away. Villarroel eventually abandoned the vehicle and began walking towards the victim. Villarroel approached the victim and threatened to kill him if he called 911. Villarroel then ran away. MPD officers arrived immediately, and arrested Villarroel a short distance away.
This case was investigated by the Metropolitan Police Department and the U.S. Attorney’s Office for the District of Columbia. It is being prosecuted by Assistant U.S. Attorney Shaniqua Butler.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.