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Tuesday 28 May 2024
Repeat Offender Sentenced to Two Years in Prison for $1 Million Counterfeit Check SchemeRead the Press Release
BOSTON – A Quincy man was sentenced today in federal court in Boston for a million-dollar bank fraud scheme in which he deposited hundreds of counterfeit checks.
Hui Zhang, 42, was sentenced by U.S. District Court Judge Myong J. Joun to two years in prison to be followed by three years of supervised release, with the first year to be served on home confinement. Zhang was also ordered to pay restitution and forfeiture of $1,035,350. In March 2024, Zhang pleaded guilty to one count of bank fraud.
From in or around June 2020 through at least May 2022, Zhang opened fraudulent bank accounts under false identities into which he electronically deposited approximately 114 counterfeit checks – totaling more than $1 million. The counterfeit checks were drawn on the account of a Boston-based retailer. Zhang subsequently withdrew hundreds of thousands of dollars in cash from these accounts via ATMs.
In 2017, Zhang was convicted of forgery of a check and other offenses and was sentenced to probation. In 2018, after being found in possession of various forged credit cards and fraudulent identity cards, Zhang was convicted of identity fraud and sentenced to two years in prison.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney William F. Abely, Chief of the Criminal Division prosecuted the case.Readout of the Justice Department’s Violent Crime Reduction Steering Committee MeetingRead the Press Release
The Justice Department’s Violent Crime Reduction Steering Committee met today to address recent advances in combating violent crime and plans for building on those advances. Over the last few years, Attorney General Merrick B. Garland has increased resources and established violent crime initiatives across the country in order to bring down violent crime. In addition, Deputy Attorney General Lisa Monaco announced the Department’s Comprehensive Strategy for Reducing Violent Crime, which created a Steering Committee chaired by Principal Associate Deputy Attorney General (PADAG) Marshall Miller and composed of leadership and representatives from across the Justice Department, including law enforcement, prosecutorial, and grantmaking components, to plan and assess initiatives, ensure coordination, and form recommendations for Department leadership in the fight to reduce violent crime.
After PADAG Miller called the meeting to order, the Committee was briefed on the latest violent-crime statistics, which show a notable and steady decline in violent crime. From calendar year 2022 to calendar year 2023, data[1] from over 250 cities showed that violent crime declined considerably, including an 11% decrease in murder, an almost 8.5% decrease in rapes, a 2.3% decrease in aggravated assault, and a nearly 2% decrease in robbery.
Early data[2] from the first quarter of 2024 indicates continuing declines in each of these categories — a 18.4% decline in murder, a 15.6% drop in rape, a 6.2% decrease in aggravated assault, and a 2.3% decline in robbery.
The Committee received updates from the Department’s law enforcement components on progress implementing priority Justice Department violent crime initiatives. The ATF discussed the continued expansion and utilization of Crime Gun Intelligence Centers (CGICs) to combat violent crime. CGICs use cutting-edge technology to rapidly develop and pursue investigative leads, by analyzing firearm and ballistics evidence. The FBI highlighted the work of carjacking task forces — a strategic Department enforcement priority that focuses federal resources on identifying, investigating, and prosecuting the worst carjacking offenders. Carjacking task forces bring together ATF and FBI agents, Justice Department prosecutors, and state, local, Tribal, and territorial law enforcement officers and are now operating in 11 districts across the country.
The Committee was also briefed on recent successes of the Criminal Division’s Violent Crime Initiative (VCI), which works with U.S. Attorneys’ Offices and federal law enforcement in Hartford, Houston; Jackson, St. Louis, and Memphis, and surged resources to Washington, D.C. The briefing highlighted VCI achievements in Houston, where Criminal Division prosecutors and Assistant U.S. Attorneys have surged enforcement and community outreach efforts and use data to focus on the most prolific offenders and recidivists responsible for violence. Since the launch of the Houston effort, the city has seen a 9% reduction in violent crime and a 20% decline in homicides.
The U.S. Attorney community presented on fruitful strategies in combating violent crime around the country. U.S. Attorney Dawn Ison for the Eastern District of Michigan discussed the One Detroit initiative — a program that brings together law enforcement and community stakeholders to develop and implement a comprehensive violence reduction strategy, combining enforcement, violence prevention and intervention resources, and reentry programs. Violent crime rates in Detroit have fallen dramatically, with the city closing out 2023 with the fewest homicides on record in over 50 years. U.S. Attorney Andrew Luger for the District of Minnesota updated the Committee on the successes in his district in cracking down on violent crime, especially during the summer months when violent crime historically surges. U.S. Attorney Luger also shared best practices in fighting summer violent crime surges from around the country, including from the U.S. Attorney’s Office for the District of Connecticut.
The Steering Committee also heard from additional components regarding plans, resources, and best practices to combat violent crime. Specifically, DEA representatives discussed the Tenderloin Project — a joint effort involving federal, state, and local law enforcement partners addressing fentanyl poisonings and drug-related violence in the Tenderloin neighborhood of San Francisco. U.S. Marshals Service representatives described the next phase of its Operation North Star, which utilizes data-driven approaches and surges of law enforcement resources to target the most dangerous armed violent fugitives in selected cities.
U.S. Attorney Alison Ramsdell for the District of South Dakota then described the need for further federal assistance in combating violent crime in Indian country. The Committee endorsed the launch of an inter-component effort to align the necessary personnel and resources to increase significantly federal support for public safety in Indian country.
At the conclusion of the meeting, Principal Associate Deputy Attorney General Miller indicated that the Steering Committee would report to Department leadership on developments from the Department’s violent crime reduction initiatives and provide recommendations regarding additional policy and enforcement strategies.
[1] Major Cities Chiefs Association Violent Crime Survey Year End Comparison, available at https://majorcitieschiefs.com/wp-content/uploads/2024/02/MCCA-Violent-Crime-Report-2023-and-2022-Year-End.pdf; FBI’s Quarterly Uniform Crime Reports, available at: https://cde.ucr.cjis.gov/LATEST/webapp/#/pages/explorer/crime/quarterly.
[2] This data, from 90 cities, is subject to change as more entities provide data and reporting is finalized.
Picayune, Mississippi Man Sentenced to Nearly 15 Years in Prison for Conspiracy to Possess with Intent to Distribute MethamphetamineRead the Press Release
Gulfport, Miss. – A Picayune man was sentenced to 179 months in federal prison for conspiracy to possess with intent to distribute 124.7 kilograms of methamphetamine.
Jeremy Cyntel Turner, 32, was sentenced on May 24, 2024, in U.S. District Court in Gulfport.
According to court records, in 2015, an investigation began into a large-scale drug trafficking organization located largely in Picayune, MS (Pearl River County). In 2018, Turner was identified as someone who was part of the conspiracy. A 2020 arrest of other co-conspirators led agents to information that a package of narcotics was being delivered to a Picayune, MS address. The package contained methamphetamine and was retrieved by Jeremy Turner, who admitted to his involvement in the conspiracy. The total drug quantity attributed to Turner over the course of the conspiracy was 124.7 kilograms of methamphetamine.
Turner pled guilty on June 21, 2023, to possession with intent to distribute methamphetamine.
U.S. Attorney Todd W. Gee, Assistant Special Agent in Charge Anessa Daniels-McCaw of the Drug Enforcement Administration and Acting Special Agent in Charge Eric DeLaune of Homeland Security Investigations made the announcement.
The case was investigated by the Drug Enforcement Administration and Homeland Security Investigations.
The case was prosecuted by Assistant U.S. Attorney Erica Rose.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor- led, intelligence driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Penn Highlands Healthcare to Pay $735,000 to Settle False Claims Act AllegationsRead the Press Release
PITTSBURGH, Pa. – Penn Highlands Healthcare—a Pennsylvania not-for-profit corporation operating a hospital system in north, central, and western Pennsylvania—and several of its hospitals—including Penn Highlands DuBois, formerly known as DuBois Regional Medical Center—(together “Penn Highlands”) have agreed to pay the United States $735,000 to resolve a lawsuit alleging False Claims Act infringement through the submission of claims to Medicare and Medicaid resulting from violations of the Physician Self-Referral Law, United States Attorney Eric G. Olshan announced today.
The Physician Self-Referral Law, commonly known as the Stark Law, prohibits a medical provider from billing Medicare or Medicaid for certain services referred by physicians with whom the hospital has a financial relationship, unless that relationship satisfies one of the law’s statutory or regulatory exceptions. The Stark Law is intended to ensure that medical decision-making is not compromised by improper financial incentives and is instead based on the best interests of the patient.
In this case, the United States alleged that, from July 1, 2009, through June 30, 2012, Penn Highlands DuBois violated the Stark Law by paying improper compensation to referring physician Gary Ott, M.D., and to a physician employed by Women’s Care of Pennsylvania, Dr. Ott’s practice, in the amount of $420,000 under a Consulting, Medical Director and Related Services Agreement for “employment services” allegedly performed before the agreement went into effect, during which time neither physician was employed by Penn Highlands DuBois.
The settlement stems from a whistleblower complaint filed in October 2016 by three medical providers formerly employed by Penn Highlands pursuant to the qui tam provisions of the False Claims Act, which permit private persons, also called relators, to bring a lawsuit on behalf of the government and to share in the proceeds of the suit. The Act also permits the government to intervene and take over the lawsuit, as the government did in this case in regard to some of the relators’ allegations. The relators will receive $154,350 as part of the settlement.
The United States’ intervention and settlement in this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services at 1-800-HHS-TIPS (1-800-447-8477) or online at https://oig.hhs.gov/fraud/report-fraud/.
This case was handled on behalf of the government by the U.S. Attorney’s Office for the Western District of Pennsylvania and the Department of Health and Human Services Office of Inspector General.
The case is captioned United States ex rel. Tuesdae Stainbrook, D.O., M.P.H., Mary Simpson, M.B.A., and Jonathan Pope, M.D. at Civil Action No. 1:16-cv-244. The claims resolved by this settlement are allegations only and there has been no determination of liability.
Owner of Physical Therapy Clinics Sentenced to More Than Two Years in Prison for Health Care FraudRead the Press Release
BOSTON – The former owner of several physical therapy clinics in Greater Boston was sentenced on May 23, 2024 for health care fraud charges.
Chang Goo Yoon, 62, a South Korean national residing in Queens, N.Y., was sentenced by U.S. District Court Judge Indira Talwani to 27 months in prison and three years of supervised release. Yoon was also ordered to pay restitution in an amount to be determined at a later date. In January 2024, Yoon was convicted following a seven-day jury trial on two counts of health care fraud.
“Mr. Yoon took advantage of his patients and the trust-based health insurance system for years by billing for appointments that never happened. In addition, he pressured his employees to participate in his unethical and illegal activities,” said Acting United States Attorney Joshua S. Levy. “These are not victimless crimes. Health care fraud affects everyone by driving up costs for individuals and employers who pay into the health insurance system with their hard earned money. This sentence should send a strong message to others who seek to defraud the system that they will be identified, prosecuted and held accountable.”
“Today, we see yet another local physician going to prison for providing physical therapy services without a license and fraudulently billing for bogus appointments,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “This long-running scheme appears fueled by sheer greed, and the FBI and our partners are committed to bringing medical professionals like Chang Goo Yoon, who choose to betray their oath and get involved in fraud, to justice.”
“This sentence shows that health care fraud is not tolerated in the Commonwealth of Massachusetts. The Insurance Fraud Bureau of Massachusetts places a high priority on fighting this type of insurance fraud, which affects the citizens of this state. We appreciate the collaboration of our investigative partners in combatting fraud in our healthcare system,” said Anthony DiPaolo, Executive Director of the Insurance Fraud Bureau of Massachusetts.
“Physical therapy patients deserve to receive treatment from a provider that will be honest with them and their health insurance provider” said Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division. “Dr. Chang Yoon lied about providing clinical services on dates he never saw patients and then had insurance payments fraudulently sent directly to him via U.S. Mail. Thanks to postal inspectors and our law enforcement partners, Dr. Yoon was sentenced today for his actions. The U.S. Postal Inspection Service is committed to protecting the integrity of the mail stream and all customers who use it.”
Yoon was the owner and operator of several physical therapy clinics in Allston, Waltham and Brookline between 2014 and 2018. Yoon billed patients for non-existent physical therapy appointments, including approximately $150,000 in claims billed on dates when Yoon was traveling in South Korea, Los Angeles and Toronto. Yoon also billed $50,000 in claims on dates when he was gambling at casinos including the Golden Nugget in Atlantic City, N.J., MGM Springfield in Massachusetts and Twin River Casino in Lincoln, R.I. Additionally, Yoon submitted approximately $30,000 in physical therapy claims for himself after three automobile accidents. Most of those claims falsely listed one of Yoon’s employees as the servicing physical therapist. The remaining claims listed Yoon as both the patient and the servicing physical therapist.
In total, the Court found that the defendant submitted more than $1 million in false insurance claims and reaped more than $300,000 in fraudulent proceeds.
Acting U.S. Attorney Levy, FBI SAC Cohen, IFB Executive Director DiPaolo and USPIS INC Larco-Ward made the announcement. Assistant U.S. Attorneys Elysa Q. Wan and Patrick M. Callahan of the Criminal Division prosecuted the case.
Opa-locka man sentenced to 30 years in prison for online solicitation of two 15-year-old girlsRead the Press Release
MIAMI – On May 24, an Opa-locka man was sentenced in federal district court to 360 months’ imprisonment, followed by a lifetime of supervised release, for two counts of online solicitation of a minor to commit a sexual act.
As part of his guilty plea, Malik Hosea Atkinson, 25, also known online as “@jpmon8,” “@Mall9488673”and “unknown_value#5861,” admitted that in 2022 and 2023 he met two teenage girls online in a social networking application. Atkinson convinced the two young girls to meet him in person. To meet the first victim, he drove from Miami-Dade County to Palm Beach County to have sex with her multiple times in his white van. To meet the second victim, he drove to Broward County to have sex with her. Atkinson’s online account and phone revealed the sexual context of Atkinson’s communications with the two minor victims and confirmed that he had video recorded himself sexually exploiting them. The investigation also uncovered that Atkinson had communicated similarly online with other minor females. Atkinson also possessed other child sexual abuse material.
In sentencing Atkinson to 30 years’ incarceration, U.S. District Judge Robyn L. Rosenberg described the defendant’s crimes as “so severe, so egregious.”
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, announced the guilty plea.
FBI Miami and West Palm Beach Resident Agency investigated the case. Assistant U.S. Attorney Gregory Schiller is prosecuting it. Assistant U.S. Attorney Sara Klco is handling forfeiture.
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 Criminal Division’s 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.projectsafechildhood.gov or https://www.justice.gov/usao-sdfl/project-safe-childhood.
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 23-cr-80063.
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Nursing Home CNA Facing Federal Charges for Defrauding Elderly PatientsRead the Press Release
EAST ST. LOUIS, Ill. – A certified nursing assistant formerly employed in the Metro East is accused of using her elderly patients’ credit card and bank account information to make personal purchases without their consent.
Markeisha A. Hill, 35, of Granite City, was charged via a federal grand jury with two counts of access device fraud, six counts of aggravated identity theft and one count of possession of five or more identification documents.
“Financial crimes against the elderly are prevalent, but it’s especially disturbing when nursing home patients are targeted and victimized by the medical professionals who are entrusted with their care,” said U.S. Attorney Rachelle Aud Crowe.
Hill worked as a CNA at University Nursing and Rehabilitation in Edwardsville from October 2022 through June 2023 and Meridian Village in Glen Carbon from August through November 2023. According to the indictment, Hill is accused of stealing her patients’ identification to fraudulently use their debit and credit cards without their consent to make personal purchases greater than $1,000.
“Nursing home caregivers are called to the noble profession of watching over the loved ones of many families who expect their elderly family members to be treated with care. That trust should never be violated,” said David Bolin, Acting Supervisor for the U.S. Secret Service Springfield Resident Office. “I’m proud that our local and federal partners have stood up for the alleged victims in this case and we will maintain our vigilance in the future.”
An indictment is merely a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
If convicted, access device fraud is punishable by up to 15 years’ imprisonment, aggravated identity theft is a mandatory 2-year prison sentence and possession of five or more IDs can equate to five years’ imprisonment.
Law enforcement officials with the U.S. Secret Service, Edwardsville Police Department, Glen Carbon Police Department and Granite City Police Department are contributing to the investigation. Assistant U.S. Attorneys Zoe Gross and David Dean are prosecuting the case.
New Orleans Woman Pleads Guilty to Cares Act Fraud, False Statements to the IRS, and Theft of Government FundsRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that TAMIKA CHAPPELL (“CHAPPELL”), age 40, of New Orleans, LA, pleaded guilty on May 23, 2024 before U.S. District Court Judge Carl J. Barbier to three-counts, including making false statements related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), making false statements to the IRS, and theft of government funds.
The CARES Act is a federal law enacted on March 29, 2020, to provide emergency financial assistance in connection with economic effects of the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1%. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses at least a certain percentage of the PPP loan proceeds on payroll expenses.
In Count 1, CHAPPELL was charged with making false statements to the SBA for the purpose of fraudulently obtaining pandemic-related relief loans funded by the federal government, including PPP funds, which she received in the amount of approximately $105,625.00. In Count 2, CHAPPELL was charged with stealing at least $1,000.00 from the Social Security Administration by receiving disability benefits to which when was not entitled from 2019 to 2022. In Count 3, CHAPPELL was charged with making false statements to the IRS by failing to report the correct amount of taxable income for the year 2020.
Sentencing is scheduled for August 29, 2024. CHAPPELL faces up to five years in prison, up to $250,000 in fines, and up to three years of supervised release for the false statements count. For the theft of government funds, she faces up to 10 years imprisonment, up to $250,000 in fines, and up to three years supervised release. For the false statement and theft from the IRS, she faces up to three years in prison, up to $250,000 in fines, and up to three years of supervised release. There is also a $100 mandatory special assessment fee per count.
For more information on the Department of Justice’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
This case was investigated by an agent assigned to the Pandemic Response Accountability Committee (PRAC) Fraud Task Force. The PRAC was established to serve the American public by promoting transparency and facilitating coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC’s 21 member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending. The PRAC Fraud Task Force brings together agents from 15 Inspectors General to investigate fraud involving a variety of programs, including the Paycheck Protection Program. Task force agents who are detailed to the PRAC receive expanded authority to investigate pandemic fraud as well as tools and training to support their investigations.
U.S. Attorney Evans praised the work of PRAC member U.A. Department of Veterans Affairs - Office of Inspector General, the Social Security Administration, and the Internal Revenue Service – Criminal Investigations in investigating this matter. Assistant U.S. Attorney Edward J. Rivera of the Financial Crimes Unit is in charge of the prosecution.
New Orleans Man Indicted for Federal Drug and Weapons OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that SHANE BOLDEN, age 35, of New Orleans, was charged on May 23, 2024 in a four-count indictment with violations of the Federal Controlled Substances and Gun Control Acts.
BOLDEN is charged in Count 1 with conspiracy to distribute marijuana, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(D), and 846. He is charged in Count 2 with possession with intent to distribute marijuana, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(D). He is charged in Count 3 with possessing a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A)(i). He is charged in Count 4 with being a felon in possession of a firearm, in violation of Title 18, United Staes Code, Sections 922(g)(1) and 924(a)(8).
The indictment also includes a notice of forfeiture requiring BOLDEN to forfeit over $100,000 in cash and nine firearms.
As to each of the drug trafficking charges in Counts 1 and 2, BOLDEN faces up to five years in prison, up to a $250,000 fine, and at least two years of supervised release. As to the charge of possessing a firearm in furtherance of a drug trafficking crime in Count 3, he faces a mandatory minimum sentence of five years and up to life in prison, which is to run consecutively to all other sentences, up to a $250,000 fine, and up to five years of supervised release. As to the felon in possession offense charged in Count 4, he faces a maximum sentence of 15 years in prison, up to a $250,000 fine, and up to three years of supervised release. Each count also carries a mandatory special assessment fee of $100.
According to court documents, on or about April 8, 2024, BOLDEN allegedly conspired with others to knowingly possess with the intent to distribute marijuana. Also, BOLDEN allegedly illegally possessed firearms in furtherance of a drug trafficking crime, all while being prohibited from possessing a firearm due to a previous felony conviction in the state of Louisiana.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation and the New Orleans Police Department. Assistant United States Attorney David Berman of the Violent Crime Unit is in charge of the prosecution.
New Orleans Man Indicted for Distributing FentanylRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that CHARVAN MORRIS (“MORRIS”), age 27, of New Orleans, was indicted on May 23, 2024 on two counts of distributing fentanyl, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C).
MORRIS faces up to 20 years in prison, up to a $1,000,000 fine, at least three years of supervised release, and a $100 mandatory special assessment fee on each count.
According to court documents, on or about February 16 and February 20, 2024, MORRIS allegedly distributed fentanyl in the Eastern District of Louisiana.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant United States Attorney David Berman of the Violent Crime Unit is in charge of the prosecution.
Michigan Man Sentenced to over 5 Years in Prison for Robbing String of CVS Pharmacies for Prescription PillsRead the Press Release
DETROIT – Michigan resident Kristopher Kukola was sentenced yesterday for robbing several CVS pharmacies in Van Buren Township, Saline, and Milan, Michigan, before being arrested with the help of a decoy pill bottle, United States Attorney Dawn N. Ison announced.
Ison was joined in the announcement by Cheyvoryea Gibson, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation (FBI).
United States District Court Judge Stephen J. Murphy sentenced Kukola to 63 months in prison.
Kukola, 39, robbed several CVS pharmacies in the same manner: demanding prescription pills, brandishing what the victims believed to be a gun, and ordering employees to lay on the floor. On the night of May 24, 2022, Kukola robbed a CVS Pharmacy in Van Buren Township, Michigan. He reached into a pocket of his jacket and stated, “I’m armed,” and showed the handle of what the victim believed to be a black handgun. He then directed one of the victims to lay on the ground. On June 2, 2022, he robbed a CVS Pharmacy in Saline, MI. This time, Kukola presented the victims with a list of medications and demanded that an employee give him everything on the list. He again displayed what appeared to be a black handgun and demanded that the victims lay on the floor. On June 8, 2022, Kukola returned to the Van Buren CVS from the first robbery. He handed a list of prescription drugs to an employee, stating “put everything on the list in the bag, or I will start shooting. I have a gun.” Kukola’s final robbery was on July 7, 2022, when he robbed a CVS in Milan, Michigan. Again, he handed an employee a list of prescription pills. But this time, the employee placed a decoy pill bottle with GPS tracking into Kukola’s bag. The tracking device allowed law enforcement to follow Kukola, and ultimately led to his arrest.
“Our office remains steadfast in our commitment to addressing violent crime and protecting our community from the dangerous diversion of prescription drugs.” U.S. Attorney Ison said. “ No one should have to fear for their lives because they work in a pharmacy, and I commend the quick thinking of the pharmacy employee in giving the defendant the decoy pill bottle that ultimately led to his arrest.
"This case serves as an example of the FBI's relentless efforts to track down violent offenders who resort to fear and violence to steal dangerous prescriptions for personal gain," said Special Agent in Charge Cheyvoryea Gibson of the FBI in Michigan. "I want to thank Detroit's Violent Crimes Task Force for their diligent work identifying and capturing the defendant. The FBI is committed to pursuing those who engage in illegal activities that ruin the lives of Michigan residents."
This case was investigated by the Ann Arbor Police Department, Van Buren Township Police Department, Saline Police Department, Milan Police Department, Michigan State Police, and the FBI.
This case was prosecuted by Assistant U.S. Attorneys Meghan Bean and Jasmine Moore.
Miami resident convicted at trial of using a fraudulent driver’s license to access a luxury condoRead the Press Release
MIAMI – On May 15, a federal jury convicted Alfred Lenoris Davis, 50, of Miami, Florida, of use of a counterfeit access device to facilitate a South Florida identity concealment scheme.
Davis, a previously convicted felon, utilized a counterfeit access device, more specifically a fraudulent Florida driver’s license as proof of identity to become an occupant of, and gain access to, a luxury condominium in Sunny Isles, Florida. Due to the concealment of his true identity, Davis’s criminal history was not made known to the condominium’s board members when they assessed his qualifications. Relying on the counterfeit access device, the building allowed Davis full access to amenities and services afforded to residents.
A sentencing hearing is scheduled for July 11 before U.S. District Judge Jose E. Martinez. Davis faces up to 10 years in prison. The federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, made the announcement.
FBI Miami investigated the case. Assistant U.S. Attorneys Jonathan Bailyn and Katie L. Sadlo prosecuted the case. Assistant U.S. Attorney Mitchell Hyman is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-20051.
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Mexican National to Serve 8 Years in Prison for Meth and Fentanyl TraffickingRead the Press Release
ALPINE, Texas – A Mexican national was sentenced in a federal court in Pecos to 97 months in prison for intent to distribute fentanyl and methamphetamine.
According to court documents, Sandra Araceli Diaz Vazquez, 37, of Chihuahua, Mexico, was suspected of delivering narcotics within the U.S. On Dec. 5, 2023, law enforcement officers conducted a traffic stop along Interstate 20 near Colorado City after observing Diaz Vazquez commit two moving violations. Diaz Vazquez consented to a vehicle search, which resulted in the discovery of approximately 20.2 kilograms of methamphetamine and 5.6 kilograms of fentanyl concealed within the fuel tank.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
HSI and the 32nd Judicial District Attorney’s Office investigated the case.
Assistant U.S. Attorneys Amy Greenbaum and Scott Greenbaum prosecuted the case.
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McKeesport Convicted Felon Charged with Possession of FirearmRead the Press Release
PITTSBURGH, Pa. - A resident of McKeesport, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal firearms laws, United States Attorney Eric G. Olshan announced today.
The one-count Indictment named Jared Abraham Ogrosky, 26, as the sole defendant.
According to the Indictment, on or about March 12, 2024, Ogrosky possessed a loaded .45 caliber semiautomatic pistol after having been previously convicted of three felonies, including drug trafficking and firearms crimes. Ogrosky was on federal supervised release at the time of the alleged offense. Federal law prohibits possession of a firearm or ammunition by a convicted felon.
The law provides for a maximum total sentence of up to 15 years in prison, a fine of up to $250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney V. Joseph Sonson is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives; Allegheny County District Attorney’s Narcotics Enforcement Team; and U.S. Marshals Service conducted the investigation leading to the Indictment.
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.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Lee County, Florida Man Sentenced to Prison for Conspiring to Smuggle Turtles to Germany and Hong Kong and Falsely Labeling the Turtles on Related PaperworkRead the Press Release
MIAMI – On May 24, a Lee County man was sentenced to prison for conspiring to illegally export thousands of turtles to Germany and Hong Kong, and falsifying documents to conceal his conduct.
John Michael Kreatsoulas, 36, of Alva, Florida, was sentenced to serve a year and a day in prison, three years of supervised release, and ordered to pay a $10,000 fine. Kreatsoulas was also barred by the court from engaging in any commercial activity involving wildlife. He had previously pleaded guilty to one count of conspiracy to traffic wildlife and nine counts of falsifying records in violation of the Lacey Act.
According to court documents, from July 2015 to July 2021, Kreatsoulas was the owner and principal of Omni Reptiles Inc., an unregistered Florida business located in Alva, Florida. Omni Reptiles was in the business of domestic and international wholesale trade of wildlife, including protected species of reptiles. Kreatsoulas and Omni Reptiles shipped wildlife they sold to domestic and foreign customers, including to customers in Germany and Hong Kong, through Miami International Airport.
Specifically, Kreatsoulas and his co-conspirators collected and captured various species of turtles, including three-stripe mud turtles and Florida mud turtles, from the wild in Florida and sold those turtles to interstate and foreign customers. Kreatsoulas then falsified U.S. Fish and Wildlife Service (FWS) Form 3-177, which accompanied the international shipments, by including a false “Source” code attesting that the turtles were captive-bred and not wild-caught. Kreatsoulas also falsified invoices related to the sale of the turtles, which purported to show that the turtles sold to co-conspirators in Florida and outside the United States were “captive-bred” hatchling three-stripe mud turtles when, in fact, they were taken from the wild by Kreatsoulas and his co-conspirators.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division, and Special Agent in Charge Douglas Ault of the FWS, Southeast Region and Major James Barrow, Statewide Investigation Unit, Florida Fish and Wildlife Conservation Commission made the announcement.
FWS agents in Miami investigated this matter. Assistant U.S. Attorney Thomas Watts-FitzGerald for the Southern District of Florida and Senior Trial Attorney Gary N. Donner of the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division prosecuted this case.
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Laplace Resident Pleads Guilty to Conspiracy to Commit Wire Fraud for Role in Preparing and Submitting Fraudulent Cares Act Financial Assistance ApplicationsRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that MUNIRA SCHOFIELD (“SCHOFIELD”), age 28, a resident of LaPlace, La., pleaded guilty on May 23, 2024 before United States District Judge Eldon E. Fallon to conspiracy to commit wire fraud, in violation of Title 18, United States Code, Sections 371 and 1343. The charges stem from SCHOFIELD’s role in a conspiracy to prepare and file fraudulent applications for loans related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). SCHOFIELD’s mother, Lynn Schofield (“Lynn”), and brother, Bashir Schofield (“Bashir”), previously pled guilty for their respective roles in the offense.
According to court documents, SCHOFIELD, Lynn and Bashir submitted applications to obtain money from Paycheck Protection Program (PPP) loans and Economic Injury Disaster (EIDL) loans fraudulently. Each defendant submitted at least one loan. All applications falsely represented that the applicant had a sole proprietorship and generated substantial income from the business by overinflating gross receipts. The entities either did not exist or earned far less money than they reported. They also represented that the loan proceeds would be used for business related purposes, when, in fact, the defendants intended to use the money for personal reasons. SCHOFIELD submitted a fraudulent application for an EIDL loan for a business she claimed to own, “Just Jocin.” In conjunction with her mother, Lynn, SCHOFIELD also gave false material information to the SBA that grossly inflated the monthly gross receipts to support other loans, including for an entity named “Afromerica Touch 360, LLC,” and used some of the resulting funds for her personal benefit. In total, MUNIRA SCHOFIELD admitted that her conduct resulted in a loss of approximately $219,033 to the SBA.
MUNIRA SCHOFIELD faces up to five (5) years in prison, up to three years of supervised release, up to a $250,000 fine, and a $100 mandatory special assessment fee. Sentencing before Judge Fallon has been scheduled for August 22, 2024.
For more information on the Department of Justice’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorney Jordan Ginsberg, Chief of the Public Integrity Unit, is in charge of the prosecution.
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Lancaster County Woman Sentenced to 40 Months in Prison for Conspiracy to Distribute CocaineRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Moniqua Ramirez, age 44, of Lancaster, Pennsylvania, was sentenced to 40 months in prison by U.S. District Court Judge Jennifer P. Wilson following her conviction of conspiracy to distribute cocaine.
According to United States Attorney Gerard M. Karam, Ramirez conspired with others to smuggle kilograms of cocaine into Central Pennsylvania through the U.S. Mail. The cocaine was shipped in Puerto Rico and mailed to various drop locations in Lancaster, where the parcels were retrieved by conspirators for further distribution. They also engaged in street level drug trafficking, including selling heroin and fentanyl to customers. The conspirators transported cash back to Puerto Rico in furtherance of the trafficking. A jury convicted Ramirez of conspiracy to traffic cocaine after a three-day jury trial that concluded in November 2023.
Ramirez’s coconspirators, Jonathan Lopez Arizmendi, Ricardo Soto, Ricky Sanchez, Angel Leon-Rivera, Omar Carmenaty Morales, and Lucas Doel Gonzalez-Alvarado, pleaded guilty. They were sentenced as follows:
- Jonathan Arizmendi was sentenced to 150 months in prison.
- Ricardo Soto was sentenced to 46 months in prison.
- Ricky Sanchez was sentenced to 36 months in prison.
- Lucas Doel Gonzalez-Alvarado was sentenced to 97 months in prison.
Angel Leon-Rivera and Omar Carmenaty Morales are awaiting sentencing.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the U.S. Drug Enforcement Administration (DEA), the Pennsylvania State Police, the United States Postal Inspection Service, Lancaster County Drug Task Force and York County Drug Task Force. Assistant U.S. Attorney Michael Consiglio is prosecuting the case.
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Justice Department Sues Oklahoma City Public Schools to Protect Servicemember Reemployment RightsRead the Press Release
The Justice Department has sued Oklahoma City Public Schools (OKCPS) to protect rights guaranteed to an Air Force Reserve Senior Airman, Michael J. McCullough, by the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA). The lawsuit, filed in the U.S. District Court for the Western District of Oklahoma, alleges that OKCPS violated USERRA when it failed to reinstate McCullough in a teacher position upon his return from a military deployment.
“We owe a solemn duty to protect the rights of our servicemembers when called upon to defend our nation. This lawsuit reinforces the Justice Department’s strong commitment to protecting the rights of those who wear the uniform proudly,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “USERRA provides important reemployment protections, and we must act when any employer denies them an opportunity to earn a living because they are called to duty.”
“Service members are called to leave their home and work to serve and protect us,” said U.S. Attorney Robert J. Troester for the Western District of Oklahoma. “It is our job to make sure their employment rights are protected once they return home. My office will continue to vigorously defend the rights justly earned by those who serve our country.”
According to the complaint, McCullough was employed by OKCPS as a music teacher in January 2022. He was under contract for the remainder of the school year, and his principal told him that she wanted him to return to teach the following year. In February 2022, McCullough was ordered to perform military service. When he notified his principal, she suggested it would be easier if he just resigned his teaching position. Less than a month later, during his deployment, OKCPS advised McCullough that his contract for the 2022-2023 school year would not be renewed. Prior to and on his return from active military duty, OKCPS refused McCullough’s repeated requests for reemployment, despite available positions. The lawsuit seeks lost wages, other employment benefits and other remedies. The complaint also seeks liquidated damages because this is the second time that OKCPS’ refusal to reemploy McCullough following military service has required USERRA enforcement action.
USERRA protects the rights of uniformed servicemembers to reemployment in their civilian employment following absences due to military service obligations and provides that servicemembers shall not be discriminated against because of their military obligations. The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.justice.gov/crt-military/employment-rights-userra and www.justice.gov/servicemembers as well as on the Department of Labor’s website at www.dol.gov/vets/programs/userra.
The Department of Labor’s Veterans’ Employment and Training Service investigated the case and referred the case to the Justice Department.
Trial Attorney Robert Galbreath of the Civil Rights Division’s Employment Litigation Section and Assistant U.S. Attorney Emily Fagan for the Western District of Oklahoma are handling the case.
Justice Department Seeks to Shut Down Miami Tax Return Preparers and Their Tax Preparation BusinessesRead the Press Release
The Justice Department’s Tax Division filed a civil injunction suit today to permanently bar Niclas Pierre and Elius Bessard and their tax return preparation businesses, Niclas Tax and Express Inc. and Bessard Immigrations and Tax Services LLC, from preparing federal tax returns for others. The United States also seeks an order requiring the defendants to disgorge to the United States their ill-gotten preparation fees.
The complaint, filed in the U.S. District Court for the Southern District of Florida, alleges that Pierre and Bessard, through their businesses, prepared and filed over 8,000 federal income tax returns for customers since at least 2018. According to the complaint, Pierre and Bessard used a variety of schemes to claim false deductions and credits, including knowingly reporting fake or inflated business expenses and fraudulent losses from the supposed sale of personal investments and business property and fraudulently claiming various credits like the Residential Energy Credit and the American Opportunity Credit, all without customers’ knowledge. The complaint alleges Pierre and Bessard hid their fraudulent activity by not identifying themselves as the return preparer, and instead listed another person as the return preparer or listed no one at all.
According to the complaint, the defendants’ fraudulent activities have cost the United States millions of dollars in lost tax revenue, but the exact loss is difficult to estimate because of the complexity of their schemes and their failure to consistently identify themselves as the tax return preparers.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Attorneys from the Tax Division are handling the case.
Taxpayers seeking a return preparer should remain vigilant against dishonest tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS warns taxpayers to avoid ghost preparers and lists other improper acts that tax preparers engage in to take advantage of their unsuspecting customers. The IRS also offers guidance on the credentials and qualifications that taxpayers should seek from their return preparer.
In the past decade, the Justice Department’s Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
U.S. v. Pierre et al Complaint.pdfJury convicts woman of wire fraud for submitting altered bank statements with a business line of credit applicationRead the Press Release
MIAMI – On May 22, a Fort Lauderdale federal jury convicted Elaine Escoe, 39, of Delray Beach, Florida of wire fraud after submitting altered bank statements in an attempt to fraudulently obtain a line of credit for her business.
Escoe submitted altered bank statements in support of an application for a business line of credit. The altered bank statements obscured the true name of the bank account along with inflated cash balances.
A sentencing hearing is scheduled for Aug. 14 before U.S. District Judge Melissa Damian. Escoe faces up to 20 years in prison. The federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, made the announcement.
FBI Miami investigated the case. Assistant U.S. Attorneys Jonathan Bailyn and Katie L. Sadlo prosecuted the case. Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 24-CR-80010.
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Jury Finds Foreign Nationals Guilty on All Counts for Multiple Drug Crimes Involving the Sale and Distribution of Oxycodone via the Dark WebRead the Press Release
SALT LAKE CITY, Utah – After a two week trial, a federal jury in Salt Lake City returned a guilty verdict against two foreign nationals on all counts and returned a special verdict form requiring the forfeiture of $380,395.64 in cash.
On May 20, 2024, Oluwole Adegboruwa, 54, of Las Vegas, Nevada, and Enrique Isong, 49, of Los Angeles, California, were found guilty of multiple federal crimes including conspiracies to distribute oxycodone and commit money laundering. During the conspiracies, Adegboruwa and Isong used the U.S. Mail and interstate commerce to commit their crimes, which generated more than $8 million in criminal proceeds.
According to evidence presented at trial, from October 2016 through May 2019, Adegboruwa, sold more than 300,000 oxycodone pills to customers on dark web marketplaces, including Hansa, Dream Market, Wall Street Market, and Alphabay (which have since been dismantled by law enforcement). Customers paid Adegboruwa, who operated his vendor pages as “King Odua” and “Alagbada726,” with cryptocurrency, including Bitcoin and Ethereum, which he later sold for traditional currency.
Adegboruwa testified at trial and admitted that he was the only one who had access to his vendor pages on the dark web markets to process orders from customers. He then directed others in Las Vegas and in Los Angeles to package and ship the pills around the United States.
Jurors convicted Adegboruwa under what is commonly referred to as the “kingpin statute” for organizing a continuing criminal enterprise and directing at least five others in the drug distribution conspiracy.
At trial, the jury also heard testimony from co-defendants who have already pleaded guilty. They described the ways in which Adegboruwa directed them to sort, package, and ship oxycodone pills to minimized damage and detection. The jury also heard from a Utah customer who discussed the process of ordering from Adegboruwa’s dark web vendor pages and how the ordered products arrived at his home via U.S. Postal Service Priority Mail.
After the jury returned guilty verdicts against Adegboruwa and Isong on all counts, they returned a special verdict form on May 22, 2024, requiring Adegboruwa to forfeit $380,395.64 in cash, $15,500 in lieu of a 2017 Dodge Charger, and 26 money orders totaling $9,400. The jury also found that Adegboruwa had to forfeit cryptocurrency now valued at more than $15 million.
Adegboruwa and Isong are scheduled for sentencing in August 2024 at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City.
United States Attorney Trina A. Higgins of the District of Utah made the announcement.
The case is being investigated jointly by the U.S. Postal Inspection Service (USPIS), Drug Enforcement Administration (DEA), and Internal Revenue Service Criminal Investigation (IRS-CI).
Assistant United States Attorneys Thaddeus J. May, Jennifer E. Gully, and Stewart M. Young of the U.S. Attorney’s Office for the District of Utah are prosecuting the case.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach.
Johnston Man Sentenced to Ten Years in Prison for Trafficking Thousands of Fentanyl PillsRead the Press Release
PROVIDENCE, RI – The leader of a fentanyl trafficking conspiracy that distributed and possessed enough fentanyl to create more than two million potentially lethal doses of the drugs has been sentenced to ten years in federal prison, announced United States Attorney Zachary A. Cunha.
Jonathan King, 33, of Johnston, who previously admitted to a federal judge that he arranged for the sale and delivery of thousands of fentanyl-laced pills, some of which were delivered at his direction by family members, including his father, was convicted in U.S. District Court on June 7, 2022, of conspiracy to distribute more than 400 grams of fentanyl and distribution of 400 grams or more of fentanyl. He was sentenced today by U.S. District Court Chief Judge John J. McConnell, Jr., to 120 months of incarceration to be followed by five years of federal supervised release.
“The defendant’s drug distribution network put countless Rhode Island lives at risk for his own selfish gain,” remarked U.S. Attorney Cunha. “This prosecution, and today’s decade-long sentence should make one thing clear: in a time when overdose rates in our state remain at crisis levels, and every city and town in Rhode Island has seen opioid overdose deaths, we are determined to use every federal law enforcement tool at our disposal to stop combat significant opioid traffickers.”
“The state of Rhode Island is faced with a fentanyl crisis unlike ever before as deaths continue to soar,” said Acting DEA Special Agent in Charge Stephen P. Belleau, New England Field Division. “Those responsible for distributing lethal drugs like fentanyl disguised in pills to the citizens of Rhode Island need to be held accountable for their actions. Today’s sentence holds Mr. King accountable for his crimes and we will continue to work with our law enforcement partners to put other callous distributers like him behind bars. Make no mistake, DEA will aggressively pursue Drug Trafficking Organizations who are distributing this poison in order to profit and destroy people’s lives.”
At today’s sentencing hearing, King was ordered to forfeit proceeds derived from his drug trafficking activities to include a Jaguar XF and $6,750 in cash seized at the time of his arrest on July 20, 2021.
The case was prosecuted by Assistant U.S. Attorney G. Michael Seaman, with the assistance of Assistant U.S. Attorney Lee H Vilker.
The matter was investigated by the Rhode Island Drug Task Force, comprised of personnel from the DEA; Internal Revenue Service Criminal Investigation; Rhode Island State Police; Cranston Police Department; Middletown Police Department; Newport Police Department; Pawtucket Police Department; Providence Police Department; Warwick Police Department; Woonsocket Police Department; and Amtrak Police.
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Jefferson Parish Man Pleads Guilty to Violating Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – DEON SHORT (“SHORT”), age 27, a resident of Jefferson Parish, pleaded guilty on May 21, 2024, before Chief U.S. District Judge Nannette Jolivette Brown, to conspiracy to distribute cocaine, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(C), and 846, announced U.S. Attorney Duane A. Evans.
According to court documents, in June 2022, representatives from the Jefferson Parish Sheriff’s Office and Drug Enforcement Administration (DEA) initiated a joint investigation into SHORT as a member of a co-conspirator’s cocaine distribution organization. As part of the investigation, agents utilized a DEA Confidential Source to make a controlled purchase of 125 grams of cocaine from SHORT.
SHORT faces up to twenty years imprisonment, a fine of up to $1,000,000, at least three years of supervised release following any term of imprisonment, and a $100 mandatory special assessment fee.
This case was investigated by the Drug Enforcement Administration and Jefferson Parish Sheriff’s Office. The prosecution is being handled by Assistant United States Attorney J. Benjamin Myers of the Financial Crimes Unit.
Israeli Man Admits Conspiring with Convicted Ponzi Schemer and Others to Defraud Investors of Tens of Millions of Dollars, to Launder Money, and to Obstruct JusticeRead the Press Release
TRENTON, N.J. – An Israeli man today admitted conspiring with Eliyahu "Eli" Weinstein, whose 24-year federal prison sentence was commuted after being twice convicted of defrauding investors of a total of $230 million, and others to defraud investors of more than $35 million in a new fraud scheme, and to conspiring to engage in money laundering and obstruct justice, U.S. Attorney Philip R. Sellinger announced.
Shlomo Erez, 56, of Israel, pleaded guilty before U.S. District Judge Michael A. Shipp in Trenton federal court to an information charging him with one count of conspiracy to commit securities fraud, one count of conspiracy to commit money laundering, and one count of conspiracy to obstruct justice.
U.S. Attorney Philip R. Sellinger“Shlomo Erez admitted to helping Eliyahu ‘Eli’ Weinstein, a twice convicted fraudster whose sentence was commuted by the then President of the United States, hide his identity from investors, ripping them off to the tune of millions of dollars and evading hundreds of millions of dollars in restitution to victims of Weinstein’s prior fraud schemes. This scheme used phony identities and false promises of access to deals involving scarce medical supplies, baby formula, and first-aid kits supposedly destined for wartime Ukraine to defraud victims. Erez will now face justice for his crimes, and we will continue to prosecute the other alleged conspirators.”
“Financial crimes like the charges Shlomo Erez pled guilty to today cause great emotional harm to the numerous victims who trusted this defendant with their hard earned money,” Jenifer L. Piovesan, Special Agent in Charge, IRS Criminal Investigation, Newark Field Office, said. “We will continue to aggressively investigate cases of people who victimize others for their own financial gain.”
Four of Erez’s conspirators – Christopher Anderson, 47, Richard Curry, 36, Alaa Hattab, 35, and Joel Wittels, 57 – previously pleaded guilty to conspiracy to commit securities fraud. Wittels also pleaded guilty to conspiracy to obstruct justice and to conspiracy to engage in the unlicensed wholesale distribution of prescription drugs. All are awaiting sentencing. Charges are still pending against conspirators Weinstein and Aryeh “Ari” Bromberg.
According to documents filed in this case and statements made in court:
Weinstein was convicted two times in New Jersey federal court for defrauding investors. His first case involved a real estate Ponzi scheme, and his second case stemmed from additional fraud Weinstein committed while on pretrial release. For these crimes, which resulted in combined losses to investors of approximately $230 million, Weinstein was sentenced to serve 24 years in prison, followed by three years of supervised release. On Jan. 19, 2021, after Weinstein had served less than eight years, the president of the United States at that time commuted Weinstein’s term to time served, leaving intact the rest of his sentence.
Soon after being released from prison, Weinstein began orchestrating a new scheme to solicit money from investors through a company called Optimus Investments Inc. (Optimus). Using the fake name “Mike Konig,” Weinstein ran Optimus with Bromberg and Wittels.
Weinstein, Bromberg, and Wittels received the bulk of investor money through a second company, Tryon Management Group LLC, which was owned and controlled by Anderson and Curry. Tryon promised these individual investors – consisting mostly of friends and family – lucrative opportunities to invest in deals involving COVID-19 masks, scarce baby formula, and first-aid kits supposedly bound for wartime Ukraine. Posing as Mike Konig, Weinstein provided the information for these supposed deals. Based on that information, investors gave money to Tryon, believing the deals were legitimate and not knowing about Weinstein’s involvement. In turn, Tryon transferred those funds to Weinstein, through Optimus. Erez served as a purported custodian of Optimus funds for Optimus’ investors. After receiving investor money, Erez conducted numerous financial transactions at Weinstein’s direction for purposes other than what investors were promised, including investing in a penthouse apartment in Miami, Florida, and a purported land deal in Morocco.
In February 2022, almost immediately after Tryon and Optimus started receiving investor money, Tryon was unable to pay its investors. Rather than reveal this information to investors, the conspirators agreed to pool money from existing investors of both Optimus and Tryon and use it to make monthly payments to other investors in a Ponzi-like fashion. The conspirators concealed this arrangement from investors by falsely telling investors that the payments derived from legitimate investment returns, not other investors’ money.
In late August 2022, the conspirators had a series of meetings in which Weinstein revealed his true identity to Anderson and Curry. In these meetings, at least two of which included Erez, Weinstein also admitted to making various false statements about purported Optimus deals and to misappropriating Tryon investor money. Both during and after these August 2022 meetings, the conspirators agreed to continue concealing Weinstein’s identity from investors and to raise additional money to pay off existing Tryon investors, all in an effort to stop the Ponzi scheme from falling apart and to cover up the conspirators’ fraud.
In addition to defrauding investors, Erez also conspired with Weinstein and others to launder the proceeds of their crimes. Erez opened bank accounts to hold money for Weinstein that Erez knew was the proceeds of unlawful activity, including the fraud scheme, and transferred it for the benefit of Weinstein and his conspirators. Erez also created entities to invest ill-gotten funds in real estate companies for the benefit of Weinstein and his associates.
Erez also conspired with Weinstein, Bromberg, and others to obstruct justice. They helped hide Weinstein’s assets that should have been used to pay over $200 million in restitution that he still owes his previous victims. They also concealed Weinstein’s myriad business activities, which he was required to disclose to the court and which were expressly prohibited by the terms of his supervised release.
Conspiracy to commit securities fraud and conspiracy to obstruct justice are each punishable by a maximum of five years in prison and a maximum fine of either $250,000 or twice the gain or loss from the offense, whichever is greatest. Conspiracy to commit money laundering is punishable by a maximum of twenty years and a statutory maximum fine equal to the greatest of $500,000 or twice the value of the property involved in the transaction, whichever is greatest. Sentencing for Erez is scheduled for Nov. 5, 2024.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge Dennehy, and the IRS-Criminal Investigation, Newark Field Office, under the direction of Special Agent in Charge Jenifer L. Piovesan, with the investigation leading to the charges in this case. He also thanked the Securities and Exchange Commission, under the direction of Antonia Apps, Director of the SEC’s New York Regional Office.
The government is represented by Assistant U.S. Attorneys Jonathan Fayer, Carolyn Silane, Mark Pesce of the Economic Crimes Unit in Newark.
The charges against Weinstein and Bromberg are merely accusations, and they are presumed innocent unless and until proven guilty.
erez.information.pdfIllinois Man Sentenced to 92 Months in PrisonRead the Press Release
HAMMOND- Charles Thompson, 49 years old, of Forest Park, Illinois, was sentenced by United States District Court Senior Judge James T. Moody after pleading guilty to conspiracy to distribute cocaine, announced United States Attorney Clifford D. Johnson.
Thompson was sentenced to 92 months in prison followed by 2 years of supervised release.
According to documents in the case, on three occasions between January 2021, and August 2021,
Thompson conspired with others to distribute cocaine. Thompson’s criminal history includes prior felony convictions for aggravated traffic and controlled substances offenses, including a prior 1995 delivery of cocaine conviction.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. This case was prosecuted by Assistant United States Attorney Michael J. Toth.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Huntington Man Sentenced to Prison for Aggravated Identity TheftRead the Press Release
HUNTINGTON, W.Va. – George West, 53, of Huntington, was sentenced today to two years in prison, to be followed by one year of supervised release, and ordered to pay $14,456.45 in restitution and forfeit $14,456.45 for aggravated identity theft.
According to court documents and statements made in court, on January 12, 2022, West was employed by a Huntington business when he forged the name of the business’s owner on a $780 check that West wrote on the business’s bank account. West gave the forged check to his then-roommate for rent that West owed. West admitted that he was not authorized to write the check or to sign it with the owner’s name, and that he was not entitled to the money. West further admitted that he falsely told the roommate that the check represented money owed by the business owner to West, and that the owner made the check payable to the roommate to cover West’s debt.
West also stole two checks from the roommate, writing each for $780 to pay two month’s worth of rent and signing them with his roommate’s name. West admitted that he was not entitled to that money, and that he knew that his roommate had not authorized him to write the checks or sign them in his name.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Huntington Police Department, and the Charleston Police Department.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Jonathan T. Storage prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-89.
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Honduras-Based Leader of Migrant Smuggling Organization SentencedRead the Press Release
The leader of a migrant smuggling organization was sentenced today to 10 years in prison for her role in smuggling over 100 migrants from Honduras to the United States for profit.
“Today’s sentencing is the latest example of the great work of Joint Task Force Alpha (JTFA), which we launched nearly three years ago to hold accountable the most prolific and dangerous human smuggling groups, and which has obtained more than 240 convictions to date,” said Attorney General Merrick B. Garland. “This defendant exploited vulnerable migrants for her own profit, risking their lives and our national security in the process. Together with our partners across the federal government, the Justice Department will continue our efforts to dismantle and disrupt human smuggling networks like those the defendant operated.”
“Today’s sentencing again highlights the extraordinary work being done by our Homeland Security Investigations (HSI) and U.S. Customs and Border Protection personnel who, day in and day out, are relentless in their mission to disrupt and dismantle dangerous smuggling operations and to secure our border,” said Secretary of Homeland Security Alejandro N. Mayorkas. “This sentencing is a testament to the partnership and collaboration this Administration has strengthened across the federal enterprise, and with our allies in countries such as Honduras and Mexico, to crack down on criminal organizations. We will continue our work alongside our federal, state, and local partners to attack the ruthless smuggling operations that prey on the vulnerable and cause so much death and trauma.”
“Cooperation and collaboration are key tools in protecting America from the reach of international human smuggling organizations,” said U.S. Attorney Gary Restaino for the District of Arizona. “We thank Honduras for its willingness to extradite, the various local agencies who interdicted migrants and helped us make the connection to a larger organization, and all of the JTFA partners for dismantling a smuggling network.”
According to court documents, Maria Mendoza-Mendoza, also known as La Guera, 52, of Honduras, coordinated the movement of migrants from Honduras to the U.S.-Mexico border and to stash houses operated in Phoenix, Arizona, where the migrants would be detained until their smuggling fees were paid. The smuggling organization utilized funnel accounts to collect millions of dollars in smuggling fees. Mendoza-Mendoza exercised her authority within the organization to assess punitive sanctions—she threatened to “bleed out” a guide as punishment and demanded that a migrant whose family did not pay his smuggling fee be thrown “back in the desert.”
“Human smuggling is an insidious crime and one that this defendant participated in over 100 times—all for profit,” said Special Agent in Charge Fransisco B. Burrola of HSI Arizona. “Human smugglers do nothing but prey on vulnerable people who at times pay with their lives while crossing the border. Smugglers endanger and exploit people by using dangerous networks that threaten the safety of our communities and our national security; HSI is committed to combatting this type of cross border crime along with our partner law enforcement agencies. Let this sentencing serve as a warning to other smugglers contemplating their continued participation—prison awaits you.”
Mendoza-Mendoza was indicted in January 2018 and extradited from Honduras to the United States in June 2023. Mendoza-Mendoza pleaded guilty on Jan. 24 to conspiracy to transport illegal aliens for profit.
This prosecution resulted from the coordinated efforts of JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Justice Department, in partnership with the Department of Homeland Security (DHS), to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The task force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime. Since its creation in June 2021, JTFA has achieved significant results, including 305 arrests, including against leaders, organizers, and significant facilitators; 242 U.S. convictions; 175 U.S. defendants sentenced, including significant jail sentences imposed; substantial seizures and forfeiture of assets and contraband, including hundreds of thousands of dollars in cash, real property, vehicles, firearms and ammunition, and drugs; multiple indictments and successful extradition requests against foreign leadership targets.
HSI Sells Office investigated the case, with significant assistance from the U.S. Border Patrol’s Tucson Sector and numerous state and local law enforcement agencies throughout the country. The Justice Department’s Office of International Affairs worked with law enforcement partners in Honduras to secure the arrest and extradition of Mendoza-Mendoza. The U.S. Marshals Service assisted with the extradition efforts.
The U.S. Attorney’s Office for District of Arizona prosecuted the case.
Honduras-Based Leader of Alien Smuggling Organization Sentenced to 120 Months in PrisonRead the Press Release
TUCSON, Ariz. – Maria Mendoza-Mendoza aka “La Guera”, 52, of Honduras, was sentenced today by United States District Judge Raner C. Collins to 120 months in prison, followed by three years of supervised release. Mendoza-Mendoza pleaded guilty to Conspiracy to Transport Illegal Aliens for Profit.
“Today’s sentencing is the latest example of the great work of Joint Task Force Alpha, which we launched nearly three years ago to hold accountable the most prolific and dangerous human smuggling groups, and which has obtained more than 240 convictions to date,” said Attorney General Merrick B. Garland. “This defendant exploited vulnerable migrants for her own profit, risking their lives and our national security in the process. Together with our partners across the federal government, the Justice Department will continue our efforts to dismantle and disrupt human smuggling networks like those the defendant operated.”
“Cooperation and collaboration are key tools in protecting America from the reach of international human smuggling organizations,” said United States Attorney Gary Restaino. “We thank Honduras for its willingness to extradite, the various local agencies who interdicted migrants and helped us make the connection to a larger organization, and all of the Joint Task Force Alpha partners for dismantling a smuggling network.”
“Human smuggling is an insidious crime and one that this defendant participated in over 100 times – all for profit,” said Fransisco B. Burrola, special agent in charge for HSI Arizona. “Human smugglers do nothing but prey on vulnerable people who at times pay with their lives while crossing the border. Smugglers endanger and exploit people by using dangerous networks that threaten the safety of our communities and our national security; HSI is committed to combatting this type of cross border crime along with our partner law enforcement agencies. Let this sentencing serve as a warning to other smugglers contemplating their continued participation – prison awaits you.”
Mendoza-Mendoza was the leader of a smuggling organization that smuggled over 100 migrants from Honduras to the United States. As the leader, she coordinated the movement of migrants from Honduras to the United States/Mexico border and to stash houses operated in Phoenix, Arizona, where the migrants would be detained until their smuggling fees were paid. The organization utilized funnel accounts to collect millions of dollars in smuggling fees. Mendoza-Mendoza exercised her authority within the organization to assess punitive sanctions—she threatened to “bleed out” a guide as punishment and demanded that a migrant whose family did not pay his smuggling fee be thrown “back in the desert.”
Mendoza-Mendoza was indicted in January 2018 and extradited from Honduras to the United States in June 2023. In determining Mendoza-Mendoza’s sentence, Judge Collins found that the conspiracy involved several aggravating factors, including smuggling unaccompanied minors, possession of a firearm, intentionally or recklessly creating a substantial risk of death, and detaining migrants through coercion or threat in connection with a demand for payment.
This prosecution resulted from the coordinated efforts of Joint Task Force Alpha (JTFA). The U.S. Attorney’s Office for the District of Arizona is part of JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security (DHS), to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The Task Force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime. Since its creation in June 2021, JTFA has achieved significant results, including 305 arrests, including against leaders, organizers, and significant facilitators; 242 U.S. convictions; 175 U.S. defendants sentenced, including significant jail sentences imposed; substantial seizures and forfeiture of assets and contraband, including hundreds of thousands of dollars in cash, real property, vehicles, firearms and ammunition, and drugs; multiple indictments and successful extradition requests against foreign leadership targets.
Homeland Security Investigations – Sells Office conducted the investigation in this case, with significant assistance from Customs and Border Protection’s United States Border Patrol’s Tucson Sector, and numerous state and local law enforcement agencies throughout the country. The United States Marshals Service assisted with the extradition efforts. The Justice Department’s Office of International Affairs worked with law enforcement partners in Honduras to secure the arrest and extradition of Mendoza-Mendoza. The United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-18-0078-TUC-RCC
RELEASE NUMBER: 2024-069_Mendoza-Mendoza# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.Hays man sentenced to more than six years in prison for assaulting, seriously injuring woman on Fort Belknap Indian ReservationRead the Press Release
GREAT FALLS — A Hays man who admitted to beating and seriously injuring a woman on the Fort Belknap Indian Reservation was sentenced today to six years and eight months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
The defendant, Avery Jordon Boe, 39, pleaded guilty in January to assault resulting in serious bodily injury.
Chief U.S. District Judge Brian M. Morris presided.
The government alleged in court documents that on April 29, 2021 near Hays, Boe assaulted the victim, identified as Jane Doe, by strangling her several times and throwing a rock at her, breaking her arm. Boe did not kill her because he had a seizure. Jane Doe initially lied to the officers about her injuries because she was afraid of Boe.
The U.S. Attorney’s Office prosecuted the case. The FBI and Fort Belknap Law Enforcement conducted the investigation.
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Greenwich Man Sentenced to Federal Prison for Possessing Child Sex Abuse Images and VideosRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut announced that CHRISTOPHER BATES JR., 37, of Greenwich, was sentenced today by U.S. District Judge Victor A. Bolden in New Haven to 24 months of imprisonment, followed by five years of supervised release, for possessing images and videos of child sexual abuse.
According to court documents and statements made in court, an international law investigation revealed that an IP address at Bates’ residence was being used to access the dark web to view images and videos depicting the sexual abuse of children. On November 30, 2022, Homeland Security Investigations (HSI) agents interviewed Bates, who consented to a search of his electronic devices. A forensic review of one of his laptops revealed approximately 1,222 images and two videos depicting the sexual abuse of children, including infants.
Bates is an attorney admitted to practice in New York and Connecticut.
As part of his sentence, Bates was ordered to pay restitution of $15,000, an assessment of $17,000 to fund the Child Pornography Victims Reserve fund, and additional assessments of $5,100.
Bates was arrested on December 13, 2022. On February 7, 2024, he pleaded guilty to possessing and accessing with intent to view child pornography.
Bates, who is released on a $300,000 bond under electronic monitoring, is required to report to prison on July 11.
This matter was investigated by Homeland Security Investigations (HSI) with the assistance of the Greenwich Police Department. The case was prosecuted by Assistant U.S. Attorney Neeraj N. Patel.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Fresno Man Pleads Guilty to Possessing a Hand Grenade, Ammunition, and MethamphetamineRead the Press Release
FRESNO, Calif. — Eric Feldmann, 38, of Fresno, pleaded guilty today to possessing methamphetamine with intent to distribute and being felon in possession of a firearm and ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Dec. 24, 2023, Feldmann knowingly possessed an MKII hand grenade with a M204A2 Fuze in his car. The grenade was seized by police and destroyed. Feldmann also possessed methamphetamine and several boxes of .223 caliber ammunition. In 2017, Feldmann was convicted in Kings County of possession of a controlled substance for sale and is prohibited from possessing a firearm or ammunition.
This case is the product of an investigation by the Fresno Police Department and the Drug Enforcement Administration. Assistant U.S. Attorneys Justin J. Gilio and Cody S. Chapple are prosecuting the case.
Feldmann is scheduled to be sentenced by U.S. District Judge Jennifer L. Thurston on Oct. 15, 2024. Feldman faces a mandatory minimum of five years to a maximum of 40 years in prison and a fine of up to $5 million for possession of methamphetamine with intent to distribute, and a maximum of 15 years in prison and a $250,000 fine for being a felon in possession of a firearm and ammunition. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
Four Defendants Sentenced to a Combined 74 Years in Federal Prison for Child Exploitation OffensesRead the Press Release
FAYETTEVILLE – Four Northwest Arkansas people were recently sentenced to federal prison for child exploitation offenses. The Honorable Timothy L. Brooks presided over the sentencing hearings, which was held in the U.S. District Court in Fayetteville.
On May 9, 2024, Darlina Maree Jasso, age 33 of Berryville, Arkansas, was sentenced to 120 months without the possibility of parole after being convicted of Transporting a Minor across State Lines to Engage in Sexual Activity. According to court documents, in May of 2022, an officer with the Carroll County Sheriff’s Department contacted the Federal Bureau of Investigations after it was discovered that Jasso had transported a 15-year-old female from the state of Missouri to her Berryville residence, with the intent that she and her boyfriend engage in sexual activity with the minor. Law enforcement ultimately discovered a surveillance video on Jasso’s phone capturing sexual activity between the two adults and the minor. Law enforcement likewise found text message communications on the phone between the boyfriend and Jasso in which they detailed their plan to bring the minor down from her home in Missouri and the sexual conduct they intended to engage in with the minor.
On May 21, 2024, Charles Merchant, Age 32 of Berryville, Arkansas, was sentenced to 100 months in federal prison without the possibility for parole after being convicted of Transporting Child Pornography. Per court documents, in August of 2022, agents and task force officers with the Homeland Security Investigations received information that Merchant had uploaded images of child sexual abuse material to the social media platform KIK. Federal law enforced subsequently executed a search warrant at Merchant’s residence and discovered multiple images of child pornography.
On May 23, 2024, Aaron Hudson, known also as Sophie Anne Hudson, age 32 of Fayetteville, Arkansas, was sentenced to 72 months in federal prison without the possibility for parole after being convicted of Possession of Child Pornography. Per court documents, in December of 2021, agents and task force officers with the Homeland Security Investigations received information that an individual had uploaded images of a child sexual abuse material to a website known to law enforcement as a platform for viewing and trading child pornography. During the resulting investigation, federal law enforced executed a search warrant at Hudson’s Rogers residence and discovered multiple images of child pornography along with multiple child size dolls used for sexual activity.
On May 24, 2024, Nathan Scott Wright, age 38 of Rogers, Arkansas, was sentenced to 600 months in federal prison without the possibility for parole after being convicted of both Sexual Exploitation of a Minor via the Production of Child Pornography and Transporting Child Pornography. Per court documents, in October of 2022, agents and task force officers with the FBI received information that Wright had uploaded images to Google servers of him sexually abusing an approximately 4-year-old female. Officers of the Benton County Sheriff’s Department and the FBI subsequently executed a search warrant at Wright’s Rogers residence and discovered multiple images of child pornography, including those depicting WRIGHT sexually abusing at least one minor. At sentencing, the United States presented the Court with evidence that Wright took images of himself sexually abusing a second minor.
U.S. Attorney Clay Fowlkes of the Western District of Arkansas made the announcement.
The Federal Bureau of Investigation, Homeland Security Investigations, the Internet Crimes Against Children Taskforce, the Benton County Sheriff’s Office, and the Carroll County Sheriff’s Office investigated the cases.
Assistant U.S. Attorney Tyler Williams prosecuted these cases on behalf of the United States.
These cases were prosecuted 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 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.
Former Water District General Manager Pleads Guilty to Conspiracy to Commit Water Theft and Separate Tax ChargeRead the Press Release
FRESNO, Calif. — Dennis Falaschi, 78, of Aptos, pleaded guilty today to one count of conspiring to take federally owned water and one count of filing a false tax return, U.S. Attorney Phillip A. Talbert announced.
According to court records, from 1992 through approximately April 2015, Falaschi was the general manager for a public water district in Fresno and Merced Counties (PWD) that sold water to farmers with over 38,000 acres of farmland. PWD obtained water that it sold by purchasing water from the federal government and collecting drainage water from farms. The federal water that PWD purchased came from the Delta-Mendota Canal (DMC), which is a federally owned canal operated by the United States Department of the Interior’s Bureau of Reclamation. PWD purchased federal water from the DMC pursuant to a contract that it entered into with the Bureau of Reclamation.
The federal water that PWD purchased from the DMC was fresh water that could be used for farming immediately. The drainage water that PWD collected from farms was high in salt content and toxins, and it needed to be blended down with fresh water before it could be reused.
Falaschi learned that water from the DMC was leaking from an old standpipe into a parallel canal in PWD. The parallel canal was owned by the then-president of PWD’s board of directors. PWD employees subsequently modified the old standpipe so that it would not leak and could be opened and closed. This allowed for water to be taken from the DMC on demand.
The amount of federal water that was illegally taken for which Falaschi was responsible was valued at over $1.5 million but under $3.5 million. Nearly all of that water was taken to blend down and reuse drainage water.
Moreover, according to court records, from 2011 through 2016, Falaschi entered into private water sales where he received payments. The water sold was legitimately sourced from outside PWD and was not federally owned water. Thereafter, in March 2016, Falaschi signed and filed an individual income tax return with the Internal Revenue Service where he did not report the income that he received from the private water sales.
This case is the product of an investigation by the U.S. Department of the Interior’s Office of Inspector General, the IRS Criminal Investigation, and the Federal Bureau of Investigation. Assistant U.S. Attorneys Joseph Barton and Henry Carbajal III are prosecuting the case.
Falaschi is scheduled to be sentenced on Sept. 16, 2024, before U.S. District Judge Jennifer L. Thurston. Falaschi faces a maximum statutory penalty of five years in prison and $250,000 fine for the conspiracy to commit water theft and three years in prison and $100,000 fine for the tax charge. 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.
filed_falaschi_plea_agreement.pdfFormer Marfa Substitute Teacher Gets 30 Years in Prison for Producing Child Sexual Abuse MaterialRead the Press Release
ALPINE, Texas – A Marfa woman was sentenced in a federal court in Alpine to 360 months in prison for production of child pornography.
According to court documents, investigators found that Sonya Conchita Murillo, 33, a former substitute teacher for the Marfa Independent School District, possessed child sexual abuse materials, including videos depicting Murillo sexually abusing a prepubescent child. Murillo was arrested June 7, 2023 and pleaded guilty to one count of production of child pornography in January.
Murillo’s former boyfriend, Patricio Javier Serrano, was sentenced in March to 97 months in prison for one count of possession of child pornography and one count of transportation of child pornography, aiding and abetting. Serrano had been charged in a separate indictment and pleaded guilty on Oct. 27, 2023.
“The fact that the judge delivered the maximum allowed 30-year imprisonment to this defendant for producing child pornography, is indicative of the utterly horrendous predatory acts Murillo committed,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I am very grateful to our federal, state, and local law enforcement partners for their work on this case. Rest assured, protecting the children in our communities is undoubtedly a top priority in this district, and child predators will be brought to justice.”
“Children trust their teachers and caretakers and Murillo betrayed that trust,” said Special Agent in Charge John Morales for FBI El Paso. “No child should ever have to question the motives of an adult they interact with at school or at home. A child should feel safe and not be subjected to sexual abuse. I want to thank the FBI Special Agents in our Alpine Resident Agency and our partners at Homeland Security Investigations, Marfa Police Department, and Texas Department of Public Safety who worked together to remove a child predator from our schools and neighborhoods.”
“Homeland Security Investigations aggressively pursues child predators, and cases involving people in positions of trust are particularly disturbing. In this case, the punishment is fitting of the crime," said Acting Special Agent in Charge Eric McLoughlin for HSI El Paso. “Today we are once again reminded of the need for constant vigilance—online and in our schools—to protect the most vulnerable among us."
The FBI, HSI, Texas Department of Public Safety, and Marfa Police Department investigated the case.
Assistant U.S. Attorneys Amy Greenbaum and Kevin Cayton prosecuted 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 CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Former FTX Executive Ryan Salame Sentenced to 90 Months in PrisonRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that RYAN SALAME was sentenced today to 90 months in prison. SALAME previously pled guilty to conspiracy to make unlawful political contributions and defraud the Federal Election Commission and conspiracy to operate an unlicensed money transmitting business before U.S. District Judge Lewis A. Kaplan, who imposed today’s sentence.
U.S. Attorney Damian Williams said: “Ryan Salame agreed to advance the interests of FTX, Alameda Research, and his co-conspirators through an unlawful political influence campaign and through an unlicensed money transmitting business, which helped FTX grow faster and larger by operating outside of the law. Salame’s involvement in two serious federal crimes undermined public trust in American elections and the integrity of the financial system. Today’s sentence underscores the substantial consequences for such offenses.”
According to the filings and statements made during court proceedings:
RYAN SALAME was a high-ranking official at Alameda Research, the quantitative cryptocurrency trading firm founded by Samuel Bankman-Fried, from 2019 to 2021. In or about October 2021, SALAME was named co-CEO of FTX’s Bahamian affiliate FTX Digital Markets Ltd.
While working at Alameda Research and FTX, SALAME conspired with Bankman-Fried and other employees of FTX and Alameda Research to operate an unlicensed money transmitting business, unlawfully using FTX, Alameda Research, and an entity called “North Dimension” to transmit FTX customer funds without a license. The conspirators and others at Alameda Research and FTX also made false statements to U.S. banks in order to maintain their unlawful businesses.
Additionally, beginning in or around 2020, SALAME conspired with Bankman-Fried and FTX executive Nishad Singh to donate campaign contributions in a manner that obscured Bankman-Fried’s association with certain of the contributions. These donations were made to improve Bankman-Fried’s personal standing in Washington, D.C., increase FTX’s profile, and curry favor with candidates that could help pass legislation favorable to FTX, Alameda, or Bankman-Fried’s personal agenda. In total, SALAME and his co-conspirators made over 300 political contributions, totaling tens of millions of dollars, that were unlawful because they were made in the name of a straw donor or paid for with corporate funds and caused false information to be reported by campaigns and political action committees to the Federal Election Commission.
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In addition to the prison term, SALAME, 30, of Potomac, Maryland, was sentenced to three years of supervised release and ordered to pay more than $6 million in forfeiture and more than $5 million in restitution.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force, with assistance from the Office’s Illicit Finance and Money Laundering and Complex Frauds and Cybercrime Units. Assistant U.S. Attorneys Danielle Kudla, Samuel Raymond, Thane Rehn, Nicolas Roos, and Danielle Sassoon are in charge of the prosecution.
Former Boston Teacher Charged with Child Pornography OffensesRead the Press Release
BOSTON – A Quincy man has been arrested and charged for allegedly possessing and receiving child sexual abuse material (CSAM).
Carter Peaseley, 40, was charged with possession and receipt of child pornography. Peaseley was arrested on May 23, 2024 and released on conditions including a curfew, electronic location monitoring and an order not to have unsupervised contact with children.
According to the charging documents, for approximately one year, Peaseley was involved in an online relationship with a 15-year-old minor, during which he allegedly discussed wanting to teach the minor how to kiss – among other sexually explicit activities – and his plan to visit the minor. Peaseley allegedly instructed the minor not to save his texts and suggested they should use a different platform. It is further alleged that Peaseley and the minor exchanged photographs which included sexually explicit photos of the minor. According to court documents, during a search of Peaseley’s residence, approximately 243 images of CSAM were found on a computer and cellphone which were seized.Peaseley was formerly a teacher at the John D. O’Bryant School of Mathematics and Science and the Match Charter School, both of which are in Boston.
The charge of possession and receipt of child pornography provides for a mandatory minimum of five years in prison and maximum sentence of 20 years in prison, five years and up to a lifetime of supervised release, a fine of $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 and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney David Tobin of the Major Crimes Unit is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Foreign national sentenced to prison for million-dollar business email schemeRead the Press Release
ALEXANDRIA, Va. – A Nigerian national was sentenced today to four years in prison for stealing someone’s identity and fraudulently redirecting over a million dollars in business transaction payments.
According to court documents, in October 2020, after his co-conspirators gained access to email exchanges between Company 1 and Company 2, Abdulafeez Oluwatoyin Adebiyi, 34, learned that Company 1 had recently issued invoices to Company 2 for over a million dollars for work Company 1 had already performed for Company 2.
Operating outside the United States, Adebiyi created a phony email account for the president of Company 1 by using a domain name that differed from Company 1’s domain by a single letter. While impersonating the president, Adebiyi sent messages to Company 2 falsely claiming that Company 1 had recently changed bank accounts and provided account and routing numbers for a recently created account controlled by Adebiyi and his co-conspirators.
After Company 2 issued a wire transfer of over a million dollars to what they believed was an account for Company 1, the co-conspirators distributed the money through various transactions, including purchases of cryptocurrency and cashier’s checks and additional wire transfers.
The United Kingdom extradited Adebiyi in October 2023.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; David J. Scott, Special Agent in Charge of the FBI Washington Field Office's Criminal and Cyber Division; and Jason J. Scalzo, Special Agent in Charge of the Electronic Crimes Unit for the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema.
Assistant U.S. Attorney Seth Schlessinger prosecuted the case.
The Justice Department’s Office of International Affairs worked with UK authorities to secure the extradition of Adebiyi.
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. 1:22-cr-21.
This release was edited on May 29, 2024, to correct the announcing official for FDIC-OIG.
Final defendant sentenced to ten years in prison in fentanyl distribution schemeRead the Press Release
Tacoma – The final defendant of a two-man drug distribution crew was sentenced today in U.S. District Court in Tacoma to ten years in prison, announced U.S. Attorney Tessa M. Gorman. Dustin Carl Wurges, 37, was arrested November 8, 2021, with a large load of drugs, three firearms, and three sets of body armor in the Chevy Tahoe he was riding in. The driver of the car, Jonathan Mayhall was sentenced to ten years in prison on March 4, 2024. At that sentencing hearing, U.S. District Judge Benjamin H. Settle said, “Fentanyl has become a plague in this community and across the country… we know it has fatal consequences. The quantities that you brought here could well have contained a dose that would have caused someone to die.”
According to records filed in the case, law enforcement became aware of Wurges and Mayhall’s drug activity as they investigated an Aryan prison gang involved in trafficking drugs in the Puget Sound region. In November 2021, the men set up a drug deal with contacts in southern California. Initially they were taking $50,000 to purchase controlled substances, but when the prices seemed low, they upped their budget by an additional $200,000. As the two men returned from California, law enforcement monitored their progress. At a rest area in Thurston County Washington law enforcement arrested the men. In the car, law enforcement seized more than four kilograms of fentanyl, nearly two kilograms of cocaine, more than a kilogram of heroin, two and a half kilograms of methamphetamine, two firearms, three ballistic vests, money counters, and more than $87,000 in cash. Law enforcement seized an additional pistol from the purse of a female co-conspirator who was riding in the vehicle.
Wurges entered a guilty plea in the case in October 2023. Both the prosecution and defense agreed to recommend a sentence of ten years in prison with five years of supervised release to follow prison.
At the sentencing hearing today, Judge Settle said, “This is a very serious crime because of the wake of damage it leaves behind.”
The investigation was led by the FBI with critical investigative teamwork from the Drug Enforcement Administration (DEA), Homeland Security Investigations (HSI), the Washington State Department of Corrections and significant local assistance from the Tacoma Police Department, Pierce County Sheriff’s Office, and the Thurston County Narcotics Task Force, led by the Thurston County Sheriff’s Office.
The case is being prosecuted by Assistant United States Attorneys Zach Dillon and Max Shiner.
Final Defendant Pleads Guilty to Nationwide Telemarketing Fraud Scheme Targeting EldersRead the Press Release
MINNEAPOLIS – A Texas man has pleaded guilty on the eve of trial to his role in a $4.8 million nationwide telemarketing fraud scheme that targeted elderly and vulnerable victims, announced U.S. Attorney Andrew M. Luger.
According to court documents, Jeremy Wade Wilson, 42, of Fort Worth, Texas, owned and operated Publishers Elite, a Texas-based company involved in fraudulent magazine sales. From 2013 through 2019, Wilson ran a telemarketing call center in Arlington, Texas, where Wilson provided his telemarketers with scripts containing fraudulent sales pitches for use in defrauding victim-consumers out of hundreds or even thousands of dollars. Wilson knew that many of the consumers on these lists were elderly or otherwise susceptible to fraudulent and deceptive sales tactics. Nevertheless, Wilson directed his telemarketers to call the people on these lists and trick them, through a series of lies and misrepresentations, into signing up for expensive magazine subscription packages.
During the course of the scheme, Wilson and his company defrauded more than 14,000 victims across the United States, including more than 200 victims in Minnesota. Between 2013 and 2019, Wilson’s company received more than $4.8 million from victims of his scheme.
Wilson, who is the last of 64 defendants charged in the nationwide telemarketing fraud scheme, was scheduled for trial on May 29, 2024. Wilson pleaded guilty earlier today before Judge John R. Tunheim to six counts of wire fraud and SCAMS Act. A sentencing hearing is scheduled for September 26, 2024.
This case is the result of an investigation conducted by the United States Postal Inspection Service and the Federal Bureau of Investigation. Additional assistance was provided by the Treasury Inspector General for Tax Administration (TIGTA) and the Minnesota Attorney General’s Office.
Assistant U.S. Attorneys Joseph H. Thompson, Matthew S. Ebert, Harry M. Jacobs, Garrett S. Fields, Matthew C. Murphy, and Melinda A. Williams are prosecuting the case.
Elmo man admits Social Security fraud, theft charges for collecting deceased mother’s benefits and not reporting proceeds from dog grooming businessRead the Press Release
MISSOULA — An Elmo man accused of illegally receiving federal benefits by collecting his deceased mother’s Social Security payments and by not disclosing his assets, including proceeds from a dog grooming business, admitted to fraud and theft charges today, U.S. Attorney Jesse Laslovich said.
The defendant, Gerry Alen Albus, 64, pleaded guilty to theft of government money and Social Security fraud as indicted. Albus faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release.
U.S. District Judge Donald W. Molloy presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for Sept. 24. Albus was released pending further proceedings.
In court documents, the government alleged that in May 2015, Albus was approved to receive Supplemental Security Income benefits from the Social Security Administration and was advised of his legal obligation to accurately report his income, resources and household composition. In October 2016, Albus reported to SSA that he had moved to Elmo, lived alone and paid rent to his landlord, when in fact, he did not pay rent and his landlord was his romantic partner. In 2017, Albus and his partner converted his partner’s 20-acre property in Elmo into a dog grooming business.
The government further alleged that Albus did not disclose his ownership interest in property he co-owned in Florida with his mother or proceeds from the sale of the property in June 2017. Albus’ mother died in March 2017, but SSA continued to send her monthly payments of approximately $2,000 until it learned of her death through this investigation. From March 2017 until November 2021, Albus took his mother’s SSA payments and used them for his personal expenses.
In addition, the government alleged that Albus failed to report other assets, including three vehicles, several bank accounts and proceeds from the dog grooming business.
In a May 2022 interview with SSA special agents at the dog grooming business, Albus admitted he did not pay rent, that he lived with his partner, that he did not disclose vehicles or income and that he took his mother’s SSA benefits after her death because he felt he was “entitled” to them. Albus told agents that he knew if he reported all his income and assets, it would have reduced or eliminated his SSA payments. SSA determined Albus received approximately $60,627 in SSI benefits for which he was ineligible and stole an additional $59,535 in SSA funds intended for his mother.
Assistant U.S. Attorney Karla E. Painter is prosecuting the case. The SSA Office of Inspector General and Montana Division of Criminal Investigation conducted the investigation.
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Eight Members of Webster-Based Drug Trafficking Organization Arrested on Federal ChargesRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces the unsealing of an indictment charging seven individuals with drug trafficking offenses. The indictment also notifies the individuals that the United States intends to forfeit a purple Springfield Armory Hellcat 9mm pistol and assorted ammunition. An eighth individual was charged by criminal complaint.
Indictment: United States v. Clarence Ford, et al.
Name (Age, Residence)
Charges
Maximum Penalties
Clarence Ford, Jr.
(46, Webster)
Conspiracy to distribute 500 grams or more of a mixture containing methamphetamine and 500 grams or more of cocaine
Distribution of 50 grams of methamphetamine (4 counts)
Minimum mandatory sentence of 15 years, up to life, in federal prison
Minimum mandatory sentence of 15 years, up to life, in federal prison
Willie Ford, III
(35, Webster)
Conspiracy to distribute 500 grams or more of a mixture containing methamphetamine and 500 grams or more of cocaine
Minimum mandatory sentence of 15 years, up to life, in federal prison
Justin Demon Lowery
(41, Webster)
Conspiracy to distribute 50 grams or more of methamphetamine and a detectable amount of fentanyl
Distribution of 50 grams or more of methamphetamine and a detectable amount of fentanyl
Minimum mandatory sentence of 15 years, up to life, in federal prison
Minimum mandatory sentence of 15 years, up to life, in federal prison
Matthew Stanley Simmons, III
(25, New Port Richey)
Conspiracy to distribute 50 grams or more of methamphetamine and 40 grams or more of fentanyl
Distribution of 40 grams or more of fentanyl
Distribution of 50 grams or more of methamphetamine
Minimum mandatory sentence of 10 years, up to life, in federal prison
Minimum mandatory sentence of 5 years, up to 40 years, in federal prison
Minimum mandatory sentence of 5 years, up to 40 years, in federal prison
Antwan D. Williams
(44, Webster)
Conspiracy to distribute methamphetamine
20 years in federal prison
William Cody Ferguson
(30, Tampa)
Conspiracy to distribute 40 grams or more of fentanyl
Distribution of 40 grams or more of fentanyl (2 counts)
Felon in possession of a firearm or ammunition
Minimum mandatory sentence of 5 years, up to 40 years, in federal prison
Minimum mandatory sentence of 5 years, up to 40 years, in federal prison
Minimum mandatory sentence of 5 years, up to 15 years, in federal prison
Johnny Leanda Harris
(56, Webster)
Conspiracy to distribute 50 grams or more of methamphetamine
Distribution of 50 grams or more of methamphetamine
Minimum mandatory sentence of 10 years, up to life, in federal prison
Minimum mandatory sentence of 5 years, up to 40 years, in federal prison
Criminal Complaint
Theron Mathews
(36, New Port Richey)
Possession with intent to distribute fentanyl
Minimum mandatory sentence of 10 years, up to life, in federal prison
According to court filings and information presented during the detention hearings, Clarence Ford, Jr. served as a main source of supply for methamphetamine in the Webster area. His drug trafficking organization stretched into Hillsborough, Pasco, Hernando, Sumter, and Pinellas counties. Ford supplied drugs to Willie Ford, Matthew Simmons, Justin Lowery, Antwan Williams, and Johnny Harris. These individuals are allegedly responsible for distributing more than 2,970 grams of methamphetamine and approximately 129 grams of fentanyl and conspiring to distribute over 500 grams of cocaine during the conspiracy.
On May 14, 2024, agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Drug Enforcement Administration arrested the seven individuals charged by indictment. During a search warrant executed at Simmons’s residence, agents located fentanyl, scales, blenders, and firearms. As a result, Simmons’s roommate, Theron Mathews, was arrested and charged via a criminal complaint.
In total, the agents seized 11 firearms, approximately 800 grams of fentanyl, approximately 1,400 grams of methamphetamine, 2 kilogram press machines, a pill press machine, and $40,000 in cash from members of the organization during arrest operations.
An indictment and a complaint are merely formal charges 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, the Drug Enforcement Administration, the Tampa Police Department, the Sumter County Sheriff’s Office, and the Pasco Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Samantha Beckman. Assistant United States Attorney Suzanne Nebesky is handling the forfeiture.
Detroit Man Sentenced to 45 Years in Prison for Sexually Exploiting a ChildRead the Press Release
DETROIT – A Detroit man was sentenced to 45 years in federal prison for sexually exploiting a child and distributing child pornography, United States Attorney Dawn N. Ison announced.
Ison was joined in the announcement by Cheyvoryea Gibson, FBI Special Agent in Charge of Detroit.
Matthew Borodich, 37 of Detroit was sentenced by United States District Court Judge Linda V. Parker.
In late summer 2023, a Winnebago (Wisconsin) County Sheriff’s Department officer working covertly online discovered that a user, later identified as Borodich, had shared multiple pornographic images and videos of a 7-year-old victim to an online public chat group. Law enforcement traced Borodich to Detroit, and the FBI executed a search warrant at Borodich’s residence the very next day. Over the course of two interviews, Borodich admitted to sexually abusing his victim to create child sexually abusive material and other instances of abuse. The FBI also analyzed Borodich’s cell phone and found the material he had shared online of his victim, as well as hundreds of other images and videos of child pornography, including more than 11 hours of footage.
“Through swift inter-agency coordination and the commitment of our law enforcement partners, we ended a dangerous sexual predator’s abuse of this vulnerable victim. This sentence justly punishes the defendant for preying on a child of such a young age, and should serve as warning to others who also engage in this type of egregious conduct.” U.S. Attorney Ison said.
"Thanks to the unwavering efforts of our partners at the Winnebago County Sheriff's Department, the U.S. Attorney's Office, and our office, Mr. Borodich can no longer prey on children through online methods," said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. "We have zero tolerance for the exploitation of the innocent and will persist in working together with our law enforcement partners to apprehend these criminals who believe they can prey on our youth and get away with it."
This case was investigated by the FBI and the Winnebago County Sheriff’s Department. This case was prosecuted by Assistant U.S. Attorneys Christopher Rawsthorne, Tara Hindelang, and Sean L. King.
Detroit Man Arrested and Charged After Attempting to Provide Money to ISISRead the Press Release
DETROIT - A Detroit man was arrested and charged in an indictment with attempting to provide material support and resources to the Islamic State of Iraq and al-Sham (ISIS), a foreign terrorist organization, announced United States Attorney Dawn N. Ison.
Ison was joined in the announcement by Cheyvoryea Gibson, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation.
Charged was Jibreel Pratt, 25.
According to the indictment, Pratt is charged with two counts of attempting to provide currency and monetary instruments to ISIS in March and May 2023, respectively.
The FBI arrested Pratt at his home in Detroit this morning. He will make his initial appearance in U.S. District Court today. The U.S. Attorney’s Office will be asking the Court to hold Pratt in pretrial detention because of his danger to the community and the risk that he will flee.
“The indictment alleges that the defendant attempted to support and join ISIS, which is one of the most brutal terrorist organizations in the world. These charges reflect our commitment to hold accountable anyone who tries to help terrorists,” said U.S. Attorney Ison.
“Mr. Pratt allegedly attempted to provide support to a foreign terrorist organization well known for committing violence and human rights violations,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “The protection of the American people and our communities remains a top priority for the FBI. Through joint and coordinated efforts by our law enforcement and intelligence partners, and vigilant citizens, we will continue to disrupt plots by those who desire to harm others on behalf of a foreign terrorist organization. I would like to thank our Joint Terrorism Task Force for their work in this investigation and for their steadfast commitment to protecting our nation.”
Based on the charges in the Indictment, Pratt faces up to 20 years in prison for each count if convicted.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI’s Joint Terrorism Task Force and is being prosecuted by Assistant U.S. Attorney Jerome Gorgon and Douglas Salzenstein.
Des Moines Woman Pleads Guilty to Meth ConspiracyRead the Press Release
A woman who conspired to distribute methamphetamine pled guilty May 28, 2024, in federal court in Sioux City.
At the plea hearing, Pamela Brownell, 63, from Des Moines, Iowa, admitted that from September 2022 through October 2023, she and others conspired to distribute more than 45 kilograms of methamphetamine in the Fort Dodge, Iowa area. In October 2023, law enforcement purchased ½ pound of methamphetamine from Brownell in a controlled drug transaction. Also in October 2023, a traffic stop of Brownell resulted in the seizure of ½ pound of methamphetamine which she intended to distribute to others. In 2006 Brownell was previously convicted in federal court of an attempt to possess methamphetamine with intent to distribute.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Brownell remains in custody of the United States Marshal pending sentencing. Brownell faces a mandatory minimum sentence of 15 years’ imprisonment and a possible maximum sentence of life imprisonment, a $20,000,000 fine, and at least ten years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by Iowa Division of Narcotics Enforcement, the Iowa State Patrol, the Iowa DCI Laboratory, and the Polk, Hamilton, and Webster County Sheriffs’ Offices.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 24-3007. Follow us on Twitter @USAO_NDIA.
Danish Man Who Traveled from Denmark to Fresno to Exploit a Minor Is Sentenced for Distribution of Child PornographyRead the Press Release
FRESNO, Calif. — Claus Svelmo Marcuslund, 59, of Odense, Denmark, was sentenced today to 14 years in prison to be followed by 15 years of supervised release for his conviction of one count of distribution of images of minors engaged in sexually explicit conduct, U.S. Attorney Phillip A. Talbert announced.
“To vindicate victims of child exploitation and bring criminals to justice, our law enforcement and our communities must work together in partnership across county, state, and national borders,” U.S. Attorney Talbert said. “Our office is committed to protect our children and hold offenders accountable.”
“We will do everything in our investigative power to bring to justice those who seek to hurt children,” said San Francisco Special Agent in Charge Tatum King. “This sentence holds Marcuslund accountable for his crimes and serves as a warning for those who travel to the United States specifically to abuse a child. HSI and its partners will work diligently to investigate and prosecute these heinous criminals, regardless of location around the world. HSI Fresno appreciates the work of HSI Attaché Frankfurt, the Fresno County Sheriff’s Office, the U.S. Attorney’s Office, and the Central Valley Internet Crimes Against Children Task Force for their joint effort in this investigation.”
According to court documents, in January 2023, Marcuslund contacted an undercover agent who had created the profile of a mother with a seven-year-old daughter, on a dark-web site dedicated to persons interested in pedophilia. Marcuslund told the agent “I’m Scandinavian, professional music producer/songwriter and lyricist and yeah, I’m also a pedophile.” He also stated that “I’m divorced and now searching [for] a nice woman/mom to get to know better, hopefully with the potential of getting together in real life one day. Obviously, she must be 100% supportive of pedophilia and incest.” During the next several months Marcuslund sent messages to the agent through the website’s messaging feature, as well as the fully encrypted Telegram application. Marcuslund explained in graphic detail the sexual acts in which he hoped to engage with the mother and child. During those communications, he sent between 300 and 600 images of adults sexually abusing young children. He also discussed having another child with the mother and molesting the newborn.
Marcuslund flew from Copenhagen to the Los Angeles International Airport and then to Fresno. On July 11, 2023, agents arrested him upon arrival at the Fresno International Airport. On Feb. 20, 2024, Marcuslund pleaded guilty.
This case was the product of an investigation by Homeland Security Investigations with assistance from the Central Valley Internet Crimes Against Children Task Force. Assistant U.S. Attorney David Gappa prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute 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.
Cranberry Township Resident Indicted for Domestic Violence and Assault of Partner During 2022 CruiseRead the Press Release
PITTSBURGH, Pa. - A resident of Cranberry Township, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on assault and interstate domestic violence charges, United States Attorney Eric G. Olshan announced today.
The three-count Indictment named Quintin Owens, 27, as the sole defendant.
According to the Indictment, on or about October 11, 2022, on a cruise ship excursion departing from Orlando, Florida, Owens strangled, assaulted, and wounded his intimate and dating partner, also a resident of Western Pennsylvania.
The law provides for a maximum total sentence of up to 10 years in prison, a fine of up to $250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Nicole Vasquez Schmitt is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation leading to the Indictment.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Couple Sentenced in Connection to Child’s Death from FentanylRead the Press Release
Yakima, Washington - Chief United States District Judge Stanley A. Bastian sentenced Samantha Marie Tainewasher, age 39, to time served on one count of Involuntary Manslaughter, and one count of Use of a Communications Facility in the Commission of a Drug Felony. The Court also sentenced Tainewasher’s codefendant, Calvin James Hunt, age 52, to 24 months in federal prison on one count of Involuntary Manslaughter, one count of Possession with Intent to Distribute Fentanyl, and one count of Use of a Communications Facility in the Commission of a Drug Felony. Tainewasher and Hunt were convicted on November 16, 2023, following a jury trial. Chief District Judge Bastian imposed 3 years of federal supervision on both defendants upon their release from custody. Tainewasher is from Wapato, Washington. Hunt is from Toppenish, Washington.
According to court documents and information disclosed at trial and sentencing, on March 29, 2020, Yakama Nation Police were dispatched to Tainewasher’s home in Wapato, Washington, to a report of an unresponsive fifteen-month-old child. When an officer arrived, Tainewasher ran toward the officer with her son in her arms. Unable to find a pulse and noting the blue tinge on the child’s lips, the officer began CPR. The child was taken to the hospital where he was pronounced deceased. A toxicology report later found the child died from ingesting fentanyl.
During the investigation, the FBI seized Hunt’s phone. On the phone was a video recorded on March 27. The video pans over the Tainewasher’s bed and shows methamphetamine, a fentanyl-laced pill, and drug paraphernalia.
The FBI obtained Facebook records concerning Tainewasher and Hunt. The Facebook records showed that Hunt and Tainewasher engaged in buying and selling heroin, methamphetamine, and pills. Tainewasher also made Facebook posts acknowledging her addiction and use of drugs led to her son’s death.
“This case is incredibly tragic and heartbreaking. A 15-month-old child, whose parents are members of the Yakama Nation, ingested a deadly amount of fentanyl while in the care of his mother, who was just a few feet away. No sentence will be able to replace the loss of life of this young victim. The fentanyl epidemic continues to claim lives and inflict havoc on families from all walks of life,” stated Vanessa R. Waldref, United States Attorney for the Eastern District of Washington. “I’m very proud of my team of prosecutors, who work tirelessly to vindicate victims’ rights and who devote their careers to seeking justice on behalf of the most vulnerable among us.”
This case was investigated by the FBI. It was prosecuted by Assistant United States Attorneys Michael Ellis and Timothy J. Ohms.
Contractor Sentenced for Bankruptcy Fraud, Suborning Perjury, Money Laundering, and Wire FraudRead the Press Release
PROVIDENCE – A self-employed contractor who waged a multi-year campaign of fraud, harassment, and abuse in the United States Bankruptcy Court, and who executed multiple schemes; made false representations; intentionally obstructed proceedings; and suborned perjury, all to conceal substantial assets from the bankruptcy court, has been sentenced to three years in federal prison, announced United States Attorney Zachary A. Cunha.
Additionally, Ernest P. Ricci, 62, of North Kingstown, previously admitted to a federal judge that he fraudulently applied for and received COVID-related Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL) from the Small Business Administration (SBA), money that he laundered in an effort to conceal it from the bankruptcy court.
Ricci was sentenced today by U.S. District Court Chief Judge John J. McConnell, Jr., to 36 months of incarceration to be followed by three years of federal supervised release. Ricci was also ordered to pay restitution in the amount of $129,306 to the SBA and $77,568 to the IRS, jointly and severally with his wife. He pleaded guilty in November 2023 to charges of bankruptcy fraud, obstruction, suborning perjury, wire fraud, and money laundering,
In October 2017, prior to filing a Chapter 7 Bankruptcy petition in an attempt to protect a $1.5 million dollar home in Florida that he and his wife used as both rental property and a vacation home, and on which he had failed to make any mortgage payments for approximately five years, Ricci transferred all of the assets of his business: Premier Home Restoration LLC (Premier), to his wife. He then falsely submitted documents to the Bankruptcy Court, under oath, indicating that he had been unemployed for many years, that he had no income, that he garnered no compensation of any kind from his wife’s company, that he controlled no bank accounts, and that he had no assets or properties other than the Florida home. In fact, it was determined, Ricci continued to control Premier after he transferred the company to his wife; that he ran its day-to-day operations; and that he made use of income from the company to maintain his lifestyle, none of which he disclosed to the Bankruptcy Court.
Additionally, Ricci failed to truthfully disclose rental income from his Florida property and from another property that he owned in New Hampshire; and that he was untruthful when he claimed that he held a $200,000 mortgage in the name of another person for the New Hampshire property when, in fact, he owned the property himself and was collecting rent, and that he convinced that person to commit perjury before the bankruptcy trustee.
In addition to the schemes employed by Ricci to hide assets and mislead the Bankruptcy Court, after the Bankruptcy Trustee was declared to be the equitable owner of Ricci’s former company, Premier, Ricci fraudulently applied for COVID-related PPP EIDL loans from the SBA, purportedly to pay Premier employees and company expenses. When filing loan applications, Ricci failed to disclose that the Trustee was the owner of Premier, and that he and the company were involved in bankruptcy proceedings. After obtaining the EIDL and PPP loans, Ricci laundered the proceeds by conducting a series of financial transactions to conceal the location, ownership, and control of the COVID support payments which he used to purchase rental property in Warwick, RI, in the name of another person.
Court documents detail a number of stalling tactics, frivolous pleadings, and fraudulent claims by Ernest Ricci, including claims that he was indigent, during the years’ long bankruptcy proceedings. Documents also detail numerous combative communications sent by Ernest Ricci to the bankruptcy Trustee, some laced with profanities.
The case was prosecuted by Assistant U.S. Attorney John P. McAdams.
The matter was investigated by the FBI, Internal Revenue Service Criminal Investigation, and the United States Bankruptcy Trustee.
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Cincinnati Man Sentenced in Washington D.C. to 13 Years for Distributing Child Pornography, Seeking an 8-Year-Old to AbuseRead the Press Release
WASHINGTON – John Albertson, 33, of Cincinnati, Ohio, was sentenced on Friday, May 24, 2024, in U.S. District Court to 13 years in prison for sending an undercover FBI agent videos of adults sexually abusing prepubescent girls with the aim of making his own sexually exploitive videos so that he could “have fun and make xxx money.” The sentence was announced by U.S. Attorney Matthew M. Graves, FBI Special Agent in Charge David J. Scott of the FBI Washington Field Office Criminal and Cyber Division, and Chief Pamela A. Smith of the Metropolitan Police Department.
Albertson entered a guilty plea on November 7, 2023, to one count of Distribution of Child Pornography. In addition to the prison term, U.S. District Court Judge Jia M. Cobb ordered Albertson to serve 15 years of supervised release and to pay $18,000 in restitution to the victims depicted in the child pornography.
According to court documents, on August 9, 2023, Albertson joined an encrypted private messaging group on social media where members traded images of child sexual abuse. Albertson shared images of an adult man abusing a prepubescent girl, sending them to an undercover FBI agent working with Metropolitan Police Department-Federal Bureau of Investigation (MPD-FBI) Child Exploitation Task Force. On August 10, 2023, Albertson initiated a text conversation during which he invited the undercover agent to join another social media group focused on child pornography. Albertson and the undercover then exchanged messages in which Albertson sought a meeting with the undercover and his purported 8-year-old daughter for the purpose of sexually abusing the child and filming the abuse for the purpose of later selling it.
Following Albertson’s arrest in the Cincinnati suburb of Hebron, Kentucky, on August 23, 2023, he was transported to the Washington D.C. area where he was indicted by a Grand Jury.
In seeking a 13-year sentence, the prosecution argued that Albertson had engaged in progressively more violent, disturbing, and dangerous conduct over the past decade including a violent interaction with police in 2017 and masturbating in front of a child in 2021, prior to engaging in the conduct in this case.
This case was investigated by the Metropolitan Police Department-Federal Bureau of Investigation (MPD-FBI) Child Exploitation Task Force. It is being prosecuted by Assistant U.S. Attorney and Jocelyn Bond.
23-cr-0324
Burmese citizen going to prison for 10 years on fentanyl and gun chargesRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Lay Wah, 24, a Burmese citizen living in Buffalo, NY, who was convicted of possession with intent to distribute 40 grams or more of fentanyl, and possession of a firearm in furtherance of a drug trafficking crime, was sentenced to serve 120 months in prison by U.S. District Richard J. Arcara.
Assistant U.S. Attorney Meghan E. Leydecker, who handled the case, stated that on March 13, 2023, the ATF and Buffalo Police executed a search warrant at Wah’s Newfield Street residence. As SWAT officers made entry into the apartment, they also formed a perimeter around the exterior of the residence. Simultaneous with Wah fleeing into the rear of the apartment, an officer outside observed an object being thrown out of a rear bedroom window. Investigators recovered a semi-automatic handgun from the rear yard next door. Attached to the handgun was an extended magazine loaded with 31 rounds of ammunition and a machinegun conversion device. Inside the apartment, investigators recovered approximately 888 blue pills, three cellular telephones, ammunition, narcotics packaging materials and $4,540 in cash.
The sentencing is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Bryan Miller and the Buffalo Police Department, under the direction of Commission Joseph Gramaglia.
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