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Thursday 2 May 2024
Poplar Bluff Man Sentenced to 12 Years in Prison After Being Caught Selling MethamphetamineRead the Press Release
CAPE GIRARDEAU – U.S. District Judge Stephen N. Limbaugh Jr. on Thursday sentenced a Poplar Bluff, Missouri man to 10 years in prison for repeatedly selling methamphetamine and another two years for violating his supervised release from for an earlier heroin distribution case.
Joshua E. Forbes, 31, sold meth to a member of the Southeast Missouri Drug Task Force and sent other members of his conspiracy to sell the drug on six occasions between June and August of 2023. A total of about 450 grams of meth and 14 grams of cocaine were sold by the conspirators for $3,810.
Forbes was on supervised release at the time of the drug sales, having been convicted of three counts of heroin distribution in 2021.
Forbes pleaded guilty in January in U.S. District Court in Cape Girardeau to one count of conspiracy to distribute methamphetamine and three counts of distribution of methamphetamine.
The Southeast Missouri Drug Task Force, the Drug Enforcement Administration and the Poplar Bluff Police Department investigated the case. Assistant U.S. Attorney Julie Hunter is prosecuting the case.
Picayune Man Sentenced to over 13 Years in Prison for Possession with Intent to Distribute 27 Grams of MethamphetamineRead the Press Release
Gulfport, Miss. – A Picayune man was sentenced to 160 months in federal prison for possession with intent to distribute 27 grams of methamphetamine.
Conel Lamont Holloway, 40, was sentenced in U.S. District Court in Gulfport.
According to court records, on November 2, 2018, Holloway sold 27 grams of methamphetamine to an individual for $700 in Picayune, Mississippi.
Holloway was indicted by a federal grand jury on September 7, 2022. He pled guilty on November 29, 2023, to possession with intent to distribute a controlled substance.
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.
Phoenix Police Officer Indicted and Ordered Detained for Child Pornography and Exploitation OffensesRead the Press Release
PHOENIX, Ariz. – Alaa Robert Bartley, 41, of Gilbert, was indicted by a federal grand jury on Tuesday for a series of child pornography-related offenses, including Attempted Production of Child Pornography; Attempted Coercion and Enticement of a Minor; and multiple counts of Distributing, Receiving, and Possessing Child Pornography. Also on Tuesday, a federal Magistrate Judge ordered that Bartley be detained in custody pending trial.
The indictment alleges that between August 2020 and August 2023, Bartley repeatedly exchanged digital images of child pornography. The indictment also alleges that in 2019, Bartley attempted to take sexually explicit images of a 15-year-old girl in a bathroom, and from December 2023 to April 2024, he used facilities of interstate commerce while attempting to induce another minor to engage in criminal sexual activity.
Attempted Production of Child Pornography carries a potential sentence of 15-30 years in prison; Attempted Coercion and Enticement of a Minor carries a sentence of 10 years to life in prison; and each count of Distributing, Receiving, and Possessing Child Pornography carries a maximum sentence of 20 years in prison. All counts also carry a potential fine of up to $250,000 and up to a lifetime term of supervised release.
An indictment is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
The Federal Bureau of Investigation is conducting the investigation in this case. The United States Attorney’s Office, District of Arizona, is handling the prosecution.
Bartley - IndictmentCASE NUMBER: CR 24-0749-PHX-JJT
RELEASE NUMBER: 2024-057_BartleyPee Dee Man Sentenced to 15 Years in Federal Prison for Drug CrimeRead the Press Release
FLORENCE, S.C. — Tyquan Raheem Bellamy, 30, of Sellers, was sentenced to 15 years in federal prison after pleading guilty to possession with intent to distribute methamphetamine, fentanyl, and marijuana.
Evidence presented to the court showed that on Jan. 15, 2022, officers with Latta Police Department made a traffic stop on a vehicle driven by Bellamy. As they approached the vehicle, officers smelled the odor of marijuana coming from the vehicle and noticed a trash bag between Bellamy’s feet. A search of the vehicle revealed that the trash bag contained approximately 25 grams of marijuana divided amongst several baggies. Officers also found in the car a loaded 9mm handgun with an extended magazine and two additional magazines, and pills which contained methamphetamine and fentanyl.
Chief United States District Judge R. Bryan Harwell sentenced Bellamy to 180 months imprisonment, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system.
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.
This case was investigated by Latta Police Department, Florence County Sheriff’s Office, South Carolina State Law Enforcement Division, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Katherine Flynn is prosecuting the case.
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Pain Management Physician Sentenced for Unlawfully Distributing OpioidsRead the Press Release
An Ohio physician was sentenced today to seven years in prison for unlawfully distributing opioids from his clinic.
According to court documents and evidence presented at trial, Thomas Romano, 74, of Wheeling, West Virginia, owned and operated a self-named pain management clinic in Martin’s Ferry, Ohio, to which individuals traveled hundreds of miles to obtain prescriptions for opioids and other controlled substances. The prescriptions Romano issued for opioids and other controlled substances greatly exceeded recommended dosages and were in dangerous, life-threatening combinations that fueled the addiction of the individuals to whom he prescribed. Between October 2014 and September 2019, Romano prescribed over 137,000 pills, including opioids, benzodiazepines, and muscle relaxants, to nine individuals.
A federal jury convicted Romano in September 2023 of 24 counts of unlawfully distributing controlled substances in violation of the Controlled Substances Act.
Principal Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Kenneth L. Parker for the Southern District of Ohio; Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration (DEA) Detroit Field Division; Special Agent in Charge J. William Rivers of the FBI Cincinnati Field Office; and Special Agent in Charge Mario M. Pinto of the Department of Health and Human Services Office of Inspector General (HHS-OIG) made the announcement.
The DEA, FBI, HHS-OIG, Ohio Bureau of Workers’ Compensation, and Ohio Board of Pharmacy investigated this case.
Trial Attorneys Devon Helfmeyer and Danielle Sakowski and Counsel Alexis Gregorian of the Criminal Division’s Fraud Section prosecuted the case.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, currently comprised of nine strike forces operating in 27 federal districts, has charged more than 5,400 defendants who collectively have billed federal health care programs and private insurers more than $27 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
Online Predator Who Enticed Minors to Create Child Pornography Sentenced to over a Quarter of a Century in PrisonRead the Press Release
A man who convinced two minor females from other states to record and send him child pornography was sentenced April 30, 2024, to 28 years in federal prison.
Alex McClanahan, age 21, from Dubuque, Iowa, received the prison term after a September 7, 2023 guilty plea to one count of sexual exploitation of children.
In a plea agreement, McClanahan admitted that in 2022 he had sexually explicit conversations over Instagram with a 13‑year‑old and a 15‑year‑old. He also admitted that he requested or persuaded the 13‑year‑old to record herself performing sexually explicit conduct, and she complied. In November 2022, law enforcement officers seized McClanahan’s cell phone and found dozens of sexually explicit videos and photos depicting the 15‑year‑old involved in sexually explicit conduct. In all, investigators also found approximately 700 videos containing child pornography on McClanahan’s phone.
McClanahan was sentenced in Cedar Rapids by United States District Court Chief Judge C.J. Williams. McClanahan was sentenced to 336 months’ imprisonment. He was ordered to make $33,000 in restitution to child victims depicted in videos and photos he possessed. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
McClanahan is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by the Dubuque County Sheriff’s Department and prosecuted by Assistant United States Attorneys Jason Norwood and Dan Chatham.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23‑CR‑1010‑CJW‑MAR.
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Ohio Man Pleads Guilty to Operating an Illegal Gambling Business and Tax FraudRead the Press Release
An Ohio man pleaded guilty today to tax evasion, operating an illegal gambling business and two counts of money laundering associated with his ownership and operation of illegal gambling businesses in Northeast Ohio.
According to court documents and statements made in court, from 2009 through 2022, Steven Saris owned and operated multiple illegal gambling businesses in Northeast Ohio including Café 62, Lucky’s, Winner’s World and Spin City. He also owned and operated such businesses in Springfield, Ohio, and throughout Florida. Saris concealed his involvement in these businesses by arranging for others to serve as nominee owners.
For tax year 2015, Saris filed a false tax return that did not report more than $1.4 million in income he received from his gambling businesses. For tax years 2016 through 2021, Saris did not file tax returns or pay all the tax that he owed despite earning more than $8.5 million in income from his gambling businesses. During that time, Saris made only two nominal payments in 2018 when he filed an application for an extension of time to file his 2017 return. Saris used his proceeds from the illegal gambling businesses to gamble millions at legal casinos and to acquire and renovate at least two residential properties located in Canton, Ohio.
Saris’ conduct caused a tax loss to the IRS of $2,823,391.
In July 2018, law enforcement executed search warrants at multiple illegal gambling businesses and associated locations in Northeast Ohio. Following those search warrants, Saris made false statements to law enforcement. At the same time he was making false statements to law enforcement, Saris continued operating the illegal gambling businesses in Ohio and did not disclose these operations to law enforcement. In August 2022, law enforcement executed a court authorized search warrant at Saris’ residence and for his cell phone. Upon being told of the search warrant for his phone, Saris told law enforcement that he did not know the location of his cell phone. Law enforcement recovered Saris’ cell phone from the water tank of a bathroom toilet in Saris’ residence.
Sentencing for Saris is scheduled for Aug. 8. He faces a maximum penalty of 10 years in prison for the counts of money laundering and five years in prison for both tax evasion and for operating an illegal gambling business. Saris also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS Criminal Investigation, Homeland Security Investigations, the Department of Treasury’s Office of Inspector General, Stark County Prosecutor’s Office, Ohio Casino Control Commission and Ohio Organized Crime Investigations Commission-Major Crimes Task Force investigated the case.
Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.
Ohio Man Pleads Guilty to Operating an Illegal Gambling Business and Tax FraudRead the Press Release
An Ohio man pleaded guilty today to tax evasion, operating an illegal gambling business and two counts of money laundering associated with his ownership and operation of illegal gambling businesses in Northeast Ohio.
According to court documents and statements made in court, from 2009 through 2022, Steven Saris, 49, of Canton, Ohio, owned and operated multiple illegal gambling businesses in Northeast Ohio including Café 62, Lucky’s, Winner’s World and Spin City. He also owned and operated such businesses in Springfield, Ohio, and throughout Florida. Saris concealed his involvement in these businesses by arranging for others to serve as nominee owners.
For tax year 2015, Saris filed a false tax return that did not report more than $1.4 million in income he received from his gambling businesses. For tax years 2016 through 2021, Saris did not file tax returns or pay all the tax that he owed despite earning more than $8.5 million in income from his gambling businesses. During that time, Saris made only two nominal payments in 2018 when he filed an application for an extension of time to file his 2017 return. Saris used his proceeds from the illegal gambling businesses to gamble millions at legal casinos and to acquire and renovate at least two residential properties located in Canton, Ohio.
Saris’ conduct caused a tax loss to the IRS of $2,823,391.
In July 2018, law enforcement executed search warrants at multiple illegal gambling businesses and associated locations in Northeast Ohio. Following those search warrants, Saris made false statements to law enforcement. At the same time he was making false statements to law enforcement, Saris continued operating the illegal gambling businesses in Ohio and did not disclose these operations to law enforcement. In August 2022, law enforcement executed a court authorized search warrant at Saris’ residence and for his cell phone. Upon being told of the search warrant for his phone, Saris told law enforcement that he did not know the location of his cell phone. Law enforcement recovered Saris’ cell phone from the water tank of a bathroom toilet in Saris’ residence.
Sentencing for Saris is scheduled for Aug. 8. He faces a maximum penalty of 10 years in prison for the counts of money laundering and five years in prison for both tax evasion and for operating an illegal gambling business. Saris also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS Criminal Investigation, Homeland Security Investigations, the Department of Treasury’s Office of Inspector General, Stark County Prosecutor’s Office, Ohio Casino Control Commission and Ohio Organized Crime Investigations Commission-Major Crimes Task Force investigated the case.
Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.
North Charleston Man Sentenced to Federal Prison for Weapon ViolationRead the Press Release
CHARLESTON, S.C. — Da’Shawn Marquis Richards, 25, of North Charleston, was sentenced to more than three years in federal prison after pleading guilty to possession of a firearm by a felon.
Evidence presented to the court showed that Richards was wanted for murder and attempted murder Charleston County in November 2021. During his arrest on those charges, law enforcement officials found a loaded handgun with an extended magazine in his vehicle. Later, on March 22, 2023, during another encounter with law enforcement while out on bond for the murder and attempted murder charges, officers searched his car again and located another loaded handgun.
United States District Judge David C. Norton sentenced Richards to 46 months imprisonment to be followed by three years of court-ordered supervision. This was the maximum sentence based on the applicable sentencing guideline range.
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.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the FBI Columbia Field Office, and the North Charleston Police Department. Assistant U.S. Attorney Chris Lietzow is prosecuting the case.
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North Carolina Man Sentenced for Racially Motivated Hate Crimes Against Black and Hispanic MenRead the Press Release
WASHINGTON – A North Carolina man was sentenced yesterday to 41 months in prison and three years of supervised release for committing hate crimes against a Black man and a Hispanic man.
Evidence at trial proved that Marian Hudak, 52, willfully intimidated the victims and interfered with their enjoyment of federally protected activities using force or a threat of force because of their race and color.
“Racially-motivated acts of violence are abhorrent and unlawful, and have no place in our society today,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant, who harbored the KKK flag and Nazi paraphernalia, carried out hate-fueled attacks on a Black man who was merely driving on a public street and a Hispanic man who simply was trying to live in his own home. The severe sentence imposed for these vicious hate crimes should send a strong message that perpetrators of hate-fueled violence will be held accountable. The Justice Department is steadfast in its commitment to investigating and prosecuting hate crimes wherever they occur in our country.”
“All people — regardless of the color of their skin or their nationality — are entitled to travel on public roads and enjoy their homes without fear of being threatened, harassed or intimidated,” said U.S. Attorney Sandra J. Hairston for the Middle District of North Carolina. “The sentence imposed yesterday sends a strong message that this type of violent, hateful conduct will be investigated and prosecuted to the fullest extent of the law.”
“For years Marian Hudak terrorized people of color living in one North Carolina city,” said Special Agent in Charge Robert M. DeWitt of the FBI Charlotte Field Office. “They were afraid to drive down certain streets, fill their cars with gas, or even to take their children to the bus stop because of his intolerance for people who didn't look like him. There is no place for racial hatred-fueled violence in this country.”
Evidence at trial also proved that on Oct. 13, 2022, Hudak encountered J.S., a Black man he had never met before, while they were driving on a public road in Concord, North Carolina. Hudak shouted racial slurs at J.S., told him to “come here, boy,” then got out of his car, punched J.S.’ window multiple times, then chased J.S. home where he continued to shout racial slurs and threatened J.S. Additional trial witnesses testified about other times Hudak shouted slurs at, gave the middle finger to and drove aggressively near other minority motorists. They also testified about a KKK flag, a racist publication and Nazi memorabilia Hudak kept in his residence.
Evidence at trial also proved that on Nov. 27, 2021, Hudak shouted racially charged insults at his next-door neighbor, J.D., a Hispanic man who was enjoying his right to occupy a dwelling. Hudak then attacked J.D. by punching and tackling him, causing J.D. to suffer bodily injury. Other trial witnesses testified about Hudak’s history of social media posts disparaging Hispanic people generally and J.D.’s family specifically and other instances where Hudak intimidated Hispanic people, including by parking his truck outside of a Hispanic church during worship services and by using derogatory language.
The FBI Charlotte Field Office investigated the case.
Assistant U.S. Attorneys Ashley Waid and JoAnna McFadden for the Middle District of North Carolina and Trial Attorney Daniel Grunert of the Civil Rights Division’s Criminal Section prosecuted the case.
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North Carolina Man Sentenced for Racially Motivated Hate Crimes Against Black and Hispanic MenRead the Press Release
A North Carolina man was sentenced yesterday to 41 months in prison and three years of supervised release for committing hate crimes against a Black man and a Hispanic man.
Evidence at trial proved that Marian Hudak, 52, willfully intimidated the victims and interfered with their enjoyment of federally protected activities using force or a threat of force because of their race and color.
“Racially-motivated acts of violence are abhorrent and unlawful, and have no place in our society today,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant, who harbored the KKK flag and Nazi paraphernalia, carried out hate-fueled attacks on a Black man who was merely driving on a public street and a Hispanic man who simply was trying to live in his own home. The severe sentence imposed for these vicious hate crimes should send a strong message that perpetrators of hate-fueled violence will be held accountable. The Justice Department is steadfast in its commitment to investigating and prosecuting hate crimes wherever they occur in our country.”
“All people — regardless of the color of their skin or their nationality — are entitled to travel on public roads and enjoy their homes without fear of being threatened, harassed or intimidated,” said U.S. Attorney Sandra J. Hairston for the Middle District of North Carolina. “The sentence imposed yesterday sends a strong message that this type of violent, hateful conduct will be investigated and prosecuted to the fullest extent of the law.”
“For years Marian Hudak terrorized people of color living in one North Carolina city,” said Special Agent in Charge Robert M. DeWitt of the FBI Charlotte Field Office. “They were afraid to drive down certain streets, fill their cars with gas, or even to take their children to the bus stop because of his intolerance for people who didn't look like him. There is no place for racial hatred-fueled violence in this country.”
Evidence at trial also proved that on Oct. 13, 2022, Hudak encountered J.S., a Black man he had never met before, while they were driving on a public road in Concord, North Carolina. Hudak shouted racial slurs at J.S., told him to “come here, boy,” then got out of his car, punched J.S.’ window multiple times, then chased J.S. home where he continued to shout racial slurs and threatened J.S. Additional trial witnesses testified about other times Hudak shouted slurs at, gave the middle finger to and drove aggressively near other minority motorists. They also testified about a KKK flag, a racist publication and Nazi memorabilia Hudak kept in his residence.
Evidence at trial also proved that on Nov. 27, 2021, Hudak shouted racially charged insults at his next-door neighbor, J.D., a Hispanic man who was enjoying his right to occupy a dwelling. Hudak then attacked J.D. by punching and tackling him, causing J.D. to suffer bodily injury. Other trial witnesses testified about Hudak’s history of social media posts disparaging Hispanic people generally and J.D.’s family specifically and other instances where Hudak intimidated Hispanic people, including by parking his truck outside of a Hispanic church during worship services and by using derogatory language.
The FBI Charlotte Field Office investigated the case.
Assistant U.S. Attorneys Ashley Waid and JoAnna McFadden for the Middle District of North Carolina and Trial Attorney Daniel Grunert of the Civil Rights Division’s Criminal Section prosecuted the case.
North Carolina Man Charged with Mailing Antisemitic Threat Targeting Middle Georgia RabbiRead the Press Release
MACON, Ga. – A North Carolina man is in custody and federally charged with allegedly mailing an antisemitic threat to a Middle Georgia Rabbi.
Ariel E. Collazo Ramos, 31, of High Point, North Carolina, is charged with one count of mailing threatening communications. The indictment was returned by a federal grand jury on April 9 and was unsealed on May 2. Collazo Ramos was taken into custody at his High Point residence today; his initial appearance will occur in the Middle District of North Carolina at a time determined by the Court.
According to the indictment, Rabbi Elizabeth Bahar of Temple Beth Israel in Macon received a threatening postcard at her home via the U.S. Postal Service on Feb. 1, 2024, allegedly from Collazo Ramos. On one side of the postcard, there was a handwritten message: "Is there a child rape, torture, and murder tunnel under your house? We have the Zyklon B. Use Code "GASTHEJEWS" for 10% off!" The reverse side of the postcard displayed a hand-drawn image depicting a purported Jewish male wearing a rat costume and the words “JEWS ARE RATS.”
If convicted, Collazo Ramos faces a maximum sentence of five years in prison and a $250,000 fine.
The case is being investigated by FBI.
Deputy Criminal Chief Will Keyes is prosecuting the case for the Government with assistance from Trial Attorney Erin Monju of the Civil Rights Division’s Criminal Section.
An indictment is only an allegation of criminal conduct, and all defendants are presumed innocent until and unless proven guilty in a court of law beyond a reasonable doubt.
North Carolina Man Charged with Mailing Antisemitic Threat Targeting Middle Georgia RabbiRead the Press Release
MACON, Ga. – A North Carolina man is in custody and federally charged with allegedly mailing an antisemitic threat to a Middle Georgia Rabbi.
Ariel E. Collazo Ramos, 31, of High Point, North Carolina, is charged with one count of mailing threatening communications. The indictment was returned by a federal grand jury on April 9 and was unsealed on May 2. Collazo Ramos was taken into custody at his High Point residence today; his initial appearance will occur in the Middle District of North Carolina at a time determined by the Court.
According to the indictment, Rabbi Elizabeth Bahar of Temple Beth Israel in Macon received a threatening postcard at her home via the U.S. Postal Service on Feb. 1, 2024, allegedly from Collazo Ramos. On one side of the postcard, there was a handwritten message: "Is there a child rape, torture, and murder tunnel under your house? We have the Zyklon B. Use Code "GASTHEJEWS" for 10% off!" The reverse side of the postcard displayed a hand-drawn image depicting a purported Jewish male wearing a rat costume and the words “JEWS ARE RATS.”
If convicted, Collazo Ramos faces a maximum sentence of five years in prison and a $250,000 fine.
The case is being investigated by FBI.
Deputy Criminal Chief Will Keyes is prosecuting the case for the Government with assistance from Trial Attorney Erin Monju of the Civil Rights Division’s Criminal Section.
An indictment is only an allegation of criminal conduct, and all defendants are presumed innocent until and unless proven guilty in a court of law beyond a reasonable doubt.
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Nine Defendants Charged for Roles in Drug Trafficking Organization Associated with Sex, Money, Murder Street GangRead the Press Release
NEWARK, N.J. – Nine people have been charged for their respective roles in a drug trafficking organization that distributed large quantities of fentanyl, heroin, and cocaine in Union County and elsewhere, U.S. Attorney Philip Sellinger announced.
Jerry Ross, 46, of Somerset, New Jersey; Joseph Ross, 42, of Rahway, New Jersey; Luis Delvalle, 41, Pernell White, 36, and Jaquay Bell, 35, all of Piscataway, New Jersey; Andre Gaddy, 31, of North Plainfield, New Jersey; Jacob Douglas, 42, Tarrell Strond, 42, and Tayeire Thomas, 26, all of Plainfield, New Jersey; are each charged by complaint with one count of conspiracy to distribute fentanyl, heroin, and cocaine. Six of the defendants are scheduled to appear today before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court. Douglas, White and Thomas remain at large.
According to the documents filed in this case and statements made in court:
The defendants are all members and associates of a drug trafficking organization that operated an open-air narcotics market in and around the area of West 3rd Street in Plainfield, New Jersey. The organization is affiliated with, and the defendants are members and associates of, the Sex, Money, Murder criminal street gang, which is a set of the Bloods street gang. For several months, law enforcement conducted extensive surveillance of the area, conducted numerous controlled purchases of narcotics, and analyzed telephone records, all of which demonstrated extensive interactions related to drug trafficking between and among the members or the conspiracy.
U.S. Attorney Sellinger credited special agents of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge William S. Walker; the Union County Prosecutor’s Office, under the direction of Prosecutor William Daniel and Chief Harvey A. Barnwell; and officers of the Plainfield Police Department, under Director James Abney and Captain Brian Newman, with the investigation leading to the charges. He also thanked U.S. Customs and Border Protection officers, under the direction of Port Director TenaVel Thomas, Port of New York/Newark; officers of Perth Amboy Police Department under the direction of Chief Lawrence Catano, and prosecutors with the New Jersey Division of Criminal Justice under the direction of New Jersey Attorney General Matthew Platkin. He also thanked the New Jersey State Police.
The government is represented by Assistant U.S. Attorneys Jason Goldberg and Rachelle M. Navarro of the Organized Crime and Gangs Unit in Newark.
The charges and allegations contained in the complaints are merely accusations, and the defendants are considered innocent unless and until proven guilty.
rossetal.complaint.pdfNew Orleans Woman Charged with False Statements on an Individual Tax ReturnRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that ANGELA SHELTON (“SHELTON”), age 57, of New Orleans, Louisiana, was charged with making false statements on an individual tax return, in violation of Title 26, United States Code, Section 7206(1).
According to yesterday’s one count bill of information, SHELTON willfully under-reported the gross receipts for her company, Big Easy Accommodations, LLC, by over $300,000.00 for the calendar year 2017 on her United States Individual Tax Return, Form 1040.
If convicted, SHELTON faces a maximum sentence of three (3) years of imprisonment and/or a fine of $250,000 or the greater of twice the gross gain to the defendant or twice the gross loss to any person under Title 18, United States Code, Section 3571. Upon release from prison, SHELTON also faces a term of supervised release for up to one (1) year.
U.S. Attorney Evans reiterated that the bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The U.S. Attorney’s Office would also like to acknowledge the work of the Internal Revenue Service Criminal Investigations on this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Maria Carboni.
New Orleans Man Sentenced for Federal Firearms OffenseRead the Press Release
NEW ORLEANS, LOUISIANA- DARNELL MELTON (‘MELTON”), age 27, a resident of New Orleans, was sentenced on April 23, 2024 by U.S. District Judge Jay C. Zainey to 51 months in prison followed by three years of supervised release, along with a $100 mandatory special assessment fee, after previously pleading guilty to being a felon in possession of a firearm, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(8).
According to court documents, MELTON has prior felony convictions for simple robbery, simple burglary, and attempted possession of a firearm by a felon. On March 28, 2023, the Federal Bureau of Investigation (FBI) executed a search warrant at MELTON’s shared residence. MELTON and three others were in the house but did not surrender for over an hour. When the house was searched, FBI found two AR-15 pistols and three handguns in the attic. MELTON possessed one of the handguns, a Glock Model 27 Gen4, .40 caliber semi-automatic pistol.
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.
This case was investigated by the Federal Bureau of Investigation, the Louisiana State Police, and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorney David Berman of the Violent Crime Unit.
New Orleans Man Sentenced for Drug Trafficking and Possessing Car Stolen from Norfolk Southern RailyardRead the Press Release
NEW ORLEANS, LOUISIANA- DERRIN RILEY (“RILEY”), age 29, a resident of New Orleans, was sentenced on April 23, 2024 by U.S. District Judge Jay C. Zainey to 18 months in prison followed by three years of supervised release, along with a $200 mandatory special assessment fee, after previously pleading guilty to possessing a car stolen from the Norfolk Southern Railyard, in violation of Title 18, United States Code, Section 659, and possession with intent to distribute marijuana, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(D).
According to court documents, RILEY was captured on surveillance video occupying a Ford Explorer Timberline that had been stolen from the railyard a week earlier. On April 3, 2023, RILEY exited the stolen car with a large bag of marijuana, which he intended to distribute. Two other individuals riding in the stolen car with RILEY possessed firearms.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Department of Homeland Security, Homeland Security Investigations, the Louisiana State Police, and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorney David Berman of the Violent Crime Unit.
New Jersey Woman Charged with Stealing over $1 Million in Federal Retirement Benefits Intended for Deceased AuntRead the Press Release
NEWARK, N.J. – A New Jersey woman was indicted today for stealing over $1 million of federal benefits meant for her deceased aunt over a 25-year period, U.S. Attorney Philip R. Sellinger announced.
Janis Miller, 77, of South Orange, New Jersey, is charged by indictment with one count of wire fraud.
According to documents filed in this case and statements made in court:
In 1998, Miller’s aunt died. Unaware of her death, the Social Security Administration (SSA) and the U.S. Office of Personnel Management (OPM) paid approximately $1.01 million in retirement and survivor benefits to the bank account of Miller’s deceased aunt. By debit card, cash withdrawals, and forged checks made out to a company Miller controlled, Miller unlawfully disbursed virtually all of those embezzled funds. In 2022, to continue her unlawful receipt of the benefits, Miller, in a telephone conversation with an SSA employee, impersonated her deceased aunt and provided her aunt’s approximate birthdate. OPM and SSA discovered the fraud and discontinued the benefits in 2023, around 25 years after Miller began stealing those benefits.
The count of wire fraud is punishable by a maximum penalty of 20 years in prison and a maximum fine of the greatest of either $250,000 or twice the pecuniary gain or loss caused by the offense, whichever is greatest.
U.S. Attorney Sellinger credited special agents of the Social Security Administration, Office of the Inspector General, Boston-New York Field Division, under the direction of Acting Special Agent in Charge Bradley Parker; and the U.S. Office of Personnel Management, Office of the Inspector General, under the direction of Special Agent in Charge Paul Kimball, with the investigation.
The government is represented by Assistant U.S. Attorney Sam Thypin-Bermeo of the General Crimes Unit in Newark.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
miller.indictment.pdfNevada Man Pleads Guilty to Using Art Appraisal to Conceal FraudRead the Press Release
NEW ORLEANS – The United States Attorney’s Office announced that Nevada resident, MICHAEL JON SCHOFIELD, age 76, pleaded guilty to misprision of a felony.
SCHOFIELD admitted that he concealed wire fraud by emailing an art appraisal that misrepresented his honest assessment of the appraised art’s value.
U.S. District Judge Sarah S. Vance scheduled sentencing for August 14, 2024. Misprision is punishable by up to three years imprisonment followed by up to one year of supervised release, a fine of up to $250,000, and a $100 mandatory special assessment fee.
This case is being investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Chandra Menon of the Public Integrity Unit is in charge of the prosecution.
Mother and son duo charged in $1M elder fraud schemeRead the Press Release
HOUSTON – A 56-year-old Houston resident has been arrested following her indictment in a fraud scheme with her son in which they allegedly tricked an elderly couple out of over $1 million, announced U.S. Attorney Alamdar S. Hamdani.
Authorities have arrested Regina Lynn Thomas aka Nikki Laday. She made her initial appearance before U.S. Magistrate Judge Dena Hanovice Palermo who ordered her into custody pending a detention hearing May 6.
Regina Thomas and her son Isaiah Thomas, 38, Houston, are both charged with one count of conspiracy to commit wire fraud and 67 counts of wire fraud.
The indictment alleges Regina Thomas pretended to be a nurse and assisted a couple with caring for an elderly parent. The couple allegedly allowed her to live at their home while they were out of the country for work.
Regina Thomas then told the couple federal authorities wanted them in connection for Federal Emergency Management Agency (FEMA) fraud and provided them with whom she claimed was an attorney, according to the charges. That individual was allegedly not a real attorney.
The indictment alleges the couple believed they were paying for the attorney’s services. However, the money was allegedly deposited into Isaiah Thomas’ account who shared the funds with his mother.
If convicted, both face up to 20 years in federal prison and a possible $250,000 maximum fine for each count.
The FBI conducted the investigation. Assistant U.S. Attorney Adam Laurence Goldman is prosecuting the case.
The case is brought as part of the Elder Justice Initiative. Its goal is to support and coordinate the Department of Justice’s enforcement and programmatic efforts to combat elder abuse, neglect and financial fraud and scams that target our nation’s older adults.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Montgomery Man Sentenced to 30 Years in Prison for Committing Armed Robbery and Discharging a Firearm During the CrimeRead the Press Release
Montgomery, Alabama – Today, United States Attorney Jonathan S. Ross announced that a federal judge sentenced 21-year-old Jamarcus Dewayne Hatcher, a resident of Montgomery, Alabama, to 360 months in prison for his role in a 2023-armed robbery.
According to his plea agreement and video evidence collected from the scene, on April 6, 2023, Hatcher entered a gas station in Hope Hull, Alabama and walked to the counter. Hatcher pulled a pistol out of his pocket and pointed it at the cashier, then told the cashier to “give me all the money.” After the cashier handed Hatcher the cash from the register, which was approximately $90, Hatcher demanded to know where the cameras were located. Hatcher then walked into the side office area and shot into a device that he believed to be the security DVR. Hatcher quickly exited the station and fled on foot.
On January 22, 2024, Hatcher pleaded guilty to Hobbs Act robbery and discharging a firearm during a crime of violence. When pronouncing Hatcher’s sentence during the May 1, 2024, sentencing hearing, the judge also considered five separate armed robberies or attempted armed robberies of gas station convenience stores and walk-up restaurants. These incidents occurred in March or April of 2023 and involved Hatcher.
The Federal Bureau of Investigation, the Montgomery Police Department, and the Montgomery County Sheriff’s Office investigated this case, with assistance from the Dallas County Sheriff’s Office. Assistant United States Attorney John J. Geer prosecuted the case.
Montana Man Sentenced to Federal Prison for Trafficking Fentanyl Through IdahoRead the Press Release
COEUR D'ALENE – Quinn Michael Brockman, 34, of Libby, Montana, was sentenced to 48 months in federal prison for possession with intent to distribute fentanyl, U.S. Attorney Josh Hurwit announced today.
According to court records, Brockman was pulled over in the Coeur d’Alene area while traveling through Idaho with over 216 grams of fentanyl pills that he had recently acquired in the Seattle area. Based on the quantity involved, law enforcement’s investigation, and Brockman’s own statements, the pills had been acquired for the purpose of reselling in Montana.
U.S. District Judge Amanda K. Brailsford also ordered Brockman to serve three years of supervised release upon the completion of his prison sentence. Brockman pleaded guilty in August 2023.
Fentanyl continues to plague communities throughout the country and these two cases are prime examples of its far-reaching effects. Addiction to fentanyl was a contributing factor behind both of these cases.
“I am grateful for our collaboration with ISP and all law enforcement in North Idaho to remove fentanyl dealers from our state,” said U.S. Attorney Hurwit. “Together, we are committed to addressing the fentanyl problem affecting the health of our communities.”
“Our ongoing collaboration with the DEA Task Force and the U.S. Attorney’s Office is a testament to a joint commitment to community safety,” said Idaho State Police Captain Paul Berger of District 1. “These partnerships significantly amplify our effectiveness and underscore the critical importance of interagency cooperation in addressing our region’s complex challenges. By fortifying our ability to combat crime and upholding the law, we will continue achieving positive results and foster safer communities.”
U.S. Attorney Hurwit commended the Drug Enforcement Administration and the Idaho State Police for their investigation in this case.
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Mexican and Honduran Nationals Indicted for Aggravated Identity TheftRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces the return of indictments charging Antonio Resendiz-Badillo (39, Mexico) and Erlin Maradiaga-Flores (30, Honduras) with aggravated identity theft, misuse of Social Security numbers, and making false statements regarding citizenship with the intent to engage unlawfully in employment. If convicted on all counts, each faces a minimum mandatory penalty of 2 years, up to 12 years, in federal prison.
According to the indictments, Resendiz-Badillo and Maradiaga-Flores misused the names and Social Security numbers of others and falsely claimed to be United States citizens with the intent to engage unlawfully in employment.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Homeland Security Investigations (HSI), the Department of Transportation – Office of Inspector General, the Social Security Administration – Office of the Inspector General, U.S. Customs and Border Protection, the Department of Labor – Office of Inspector General, the Florida Department of Law Enforcement, and the Pinellas County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Christopher F. Murray
Maryland Man Sentenced to 20 Years in Federal Prison After Travelling to Florida to Attempt to Meet A Minor for Sexual ActivityRead the Press Release
Orlando, FL – U.S. District Judge Carlos E. Mendoza has sentenced William Daniel Leonard (55, Maryland) to 20 years in federal prison for using the internet and his cellphone to attempt to entice a minor to engage in sexual activity. The court also ordered Leonard to forfeit a cellphone which was used to commit the offense. Leonard was found guilty after a two-day trial on October 12, 2023.
According to evidence and testimony introduced during the trial and sentencing hearing, Leonard reached out to an undercover agent who was posing online as the father of a 13-year-old daughter. Leonard expressed interest in meeting the “child” for sex and spent the next three weeks planning his trip from Maryland to Florida. During the same time that he was making plans to come to Florida, Leonard was talking to two other minors online, a 14-year-old girl and a 16-year-old girl.
Leonard traveled to North Carolina on November 19, 2021, to see the 14-year-old girl after deciphering her address from a digital photograph that she had sent to Leonard. On December 7, 2021, Leonard arrived in Florida with two boxes of condoms to meet the notional 13-year-old girl, where he was met by law enforcement officers and arrested.
“This predator sought to betray the innocence of a child, and his sentencing serves as a stark reminder of the consequences for those who seek to exploit our most vulnerable,” said Homeland Security Investigations (HSI) Orlando Assistant Special Agent in Charge David Pezzutti. “Today's sentencing underscores HSI’s commitment to the relentless pursuit of those who threaten the safety and securing of our children.”
This case was investigated by Homeland Security Investigations (HSI) in Florida. It is being prosecuted by Assistant United States Attorneys Stephanie McNeff and Amanda Daniels.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Maryland Financial Advisor Sentenced to Three-And-A-Half Years in Federal Prison for Stealing an Elderly Client’s Life SavingsRead the Press Release
Baltimore, Maryland – On April 30, 2024, U.S. District Judge Stephanie A. Gallagher sentenced Eddy Ray Blizzard, age 45, of Havre de Grace, Maryland to 42 months’ imprisonment followed by two years of supervised release.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge William J. DelBagno of the Federal Bureau of Investigation, Baltimore Field Office; and Southeast Region Special Agent in Charge Edwin Bonano of the Federal Housing Finance Agency, Office of Inspector General. “Eddy Blizzard deserves every year he will spend behind bars. His cruel and calculated scheme went on for years and his brazen deception caused great harm to the victim and his family,” said Special Agent in Charge William J. DelBagno of the FBI’s Baltimore Field Office. “The victim spent his life working diligently, saving for retirement, and building an inheritance for his loved ones. Blizzard not only stole a million dollars, but took away their security and peace of mind. The FBI will not stand idly by as fraudsters and cheats take advantage of our elderly citizens. We, along with our law enforcement partners, vow to identify, investigate and pursue those targeting vulnerable people in Maryland."
According to his plea agreement, Blizzard held several licenses that allowed him to operate as a registered broker and a registered investment adviser per the Financial Industry Regulatory Authority (“FINRA”). From 2003 to 2014, Blizzard was employed by a bank securities company (Bank 1) and from 2014 to 2017 he was employed by a bank investment services company (Bank 2), both in Maryland.
As detailed in the plea agreement’s statement of facts, victim R.M. was a resident of Maryland and had attended school through the ninth grade. R.M. was 75 years old in January 2020. Beginning in 1963, R.M. went to work for a Baltimore based commercial air-conditioning company, where he enjoyed a successful career installing commercial grade air conditioning units around the country. R.M.’s employer offered him supervisory positions at the company, but R.M. declined because he was not able to read or write. R.M. was able to continue as an air conditioning technician by memorizing facts and figures and conceptualizing things visually. R.M. routinely worked approximately 15 to 30 hours of overtime per week during his career to make extra money. In 2003, after approximately 40 years of service with the air conditioning company, R.M. took a buyout and retired. Six months later, R.M. decided to invest his retirement funds to provide an inheritance for his grandchildren. R.M. sought investment advice from Bank 1, where he had his depository accounts.
Blizzard began working at Bank 1 shortly after R.M. began investing there and became R.M.’s financial adviser. Blizzard admitted that in about 2005, he told R.M. that he “went out on his own” meaning that Blizzard began working as an independent financial advisor and asked R.M. if R.M. wanted to leave Bank 1 and use Blizzard as a full-time financial advisor. Blizzard told R.M. that it would be a while before he had his own office, but he would continue to work out of the Bank 1 branch in Catonsville, Maryland. However, Blizzard never went to work as an independent financial advisor.
According to the plea agreement, approximately once a month, R.M. would drive from his new home in Chester, Maryland on the Eastern Shore to meet with Blizzard at Bank 1 in Catonsville, approximately one hour away; however, R.M. and Blizzard would meet in Blizzard’s car, not the office. R.M. continued to meet with Blizzard in this way over several years. These meetings lasted 30 to 45 minutes and R.M. was never told why they were meeting in Blizzard’s car.
Blizzard admitted that after he became R.M.’s financial advisor, he began asking R.M. for signed blank checks. R.M. recalled giving Blizzard 15-20 signed blank checks. Blizzard filled in the remaining information to include the payee, the amount, the date, and detailed memo section, but R.M. did not know what the checks were for. When R.M. received the cancelled checks in the mail, he knew Blizzard had written them out because R.M. recognized Blizzard’s handwriting. Blizzard used these checks for personal purposes, and not for any benefit of R.M. On approximately 12 different instances, R.M. went to his local bank to withdraw cash and was told there was not enough money in the account. R.M. would then call Blizzard to let him know about the deficiency. Blizzard then told R.M. to wait a day or two and there would be funds in the account to withdraw. R.M. did not ask Blizzard why there were no funds in the account or how those funds were replenished.
During his years of investment with Blizzard, R.M. believed that his retirement funds were protected, meaning they would not lose value – a fact that Blizzard reiterated to R.M. many times. R.M. also believed that Blizzard was handling payment of R.M.’s mortgage.
As detailed in the plea, in August 2019, R.M. realized there was a problem. R.M. was preparing to go on a family vacation and attempted to withdraw $1,000 to $1,500 in cash from the local Bank 1 branch and was told there were not sufficient funds in the account. R.M. attempted to contact Blizzard on his cell phone for a week with no response. R.M. then went to Blizzard’s Perry Hall, Maryland residence to talk to Blizzard in person, knocking on the front and back doors of Blizzard’s residence. No one came to the door, but R.M. received a voicemail from Blizzard, while he was still at Blizzard’s home. In the voicemail, Blizzard stated that the neighbors had called him and were complaining about the banging on the door. Blizzard further explained that all of R.M.’s money was gone, and that Blizzard had attempted suicide at his parent’s Myrtle Beach, South Carolina home, and was being hospitalized.
On September 19, 2019, Blizzard sent an email to R.M.’s son in response to a message R.M.’s son had sent via social media to Blizzard’s wife inquiring about what happened to R.M.’s money. Blizzard told R.M.’s son that he had made some bad investments and felt terrible about failing R.M. and that is why Blizzard tried to end his life. As explained in his plea, Blizzard admitted that, in fact, he was never hospitalized and did not attempt suicide in South Carolina and that the reason R.M.’s account lost value was almost entirely because Blizzard withdrew R.M.’s funds, and deposited those funds into his own bank account, to use for his own purposes.
A review of R.M.’s depository and investment accounts showed that between January 2013 and August 2019 there were a total of 242 distributions totaling approximately $1.4 million from R.M.’s retirement accounts. Of those, 129 distributions totaling $1.2 million were specifically requested from R.M.’s retirement accounts instead of being regular systematic annuity payments. After taxes and fees were deducted from those requested payments, approximately $1 million was deposited into R.M.’s Bank 1 account. This review also revealed that from April 2016 to April 2019 Blizzard deposited approximately 112 checks drawn on R.M.’s account into various bank accounts at Bank 1 and elsewhere that were held by Blizzard jointly with his wife or individually. These checks totaled approximately $848,000 and were written to Blizzard or Blizzard’s wife. A review of these checks showed that almost all had comments written on the memo section indicating various purposes such as payment of property taxes, construction, boat payments, and down payments for a new house.
In addition, on at least three occasions Blizzard stole R.M.’s Social Security income, which was directly deposited into R.M.’s checking account. On each occasion, once the payment was deposited into R.M.’s account, a check in the amount of $1,200 or more, signed by R.M. and made payable to Eddy Blizzard, was deposited in Blizzard’s personal account. Also, in the fall of 2019, R.M.’s home was put into foreclosure because Blizzard failed to make the mortgage payments on R.M.’s home as he had promised. R.M. died on March 20, 2020.
Reporting from consumers about fraud and fraud attempts is critical to law enforcements efforts to investigate and prosecute schemes targeting older adults. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available through the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice Hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying next steps, including identifying appropriate reporting agencies, providing information to callers to assist them in reporting or connecting them with agencies, and providing resources and referrals on a case-by-case basis. The hotline is staffed from 10:00 a.m. to 6:00 p.m. Monday through Friday. English, Spanish, and other languages are available. More information about the Department’s elder justice efforts can be found on the Department’s Elder Justice website, www.elderjustice.gov. Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324.
United States Attorney Erek L. Barron commended the FBI and the FHFA OIG for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Evelyn Lombardo Cusson and Aaron S.J. Zelinsky, who are prosecuting this case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help seniors, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/elder-justice-initiative.
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Man Pleads Guilty to Defrauding COVID-19 Relief Programs and Commercial Equipment LendersRead the Press Release
A Maryland man pleaded guilty today to conspiring to defraud Coronavirus Aid, Relief, and Economic Security (CARES) Act loan programs and to his role in a years-long scheme to defraud commercial equipment financing companies.
According to court documents, Andra Shirone Thompson, 47, of Silver Spring, joined a conspiracy to submit fraudulent applications for Economic Injury Disaster Loans (EIDLs) and Paycheck Protection Program (PPP) loans on behalf of companies he controlled, including Alpha Bravo Tango LLC., Senergy Consulting Group Inc., and Novus Ordo Seclorum LLC. As a result of the deceitful loan applications, Thompson fraudulently obtained $716,375. Thompson spent a portion of the proceeds on vehicles, including a 2014 Lamborghini Aventador, and on renovations to a home in North Carolina.
Thompson also joined a conspiracy to defraud equipment financing companies by submitting fraudulent invoices that falsely showed the sale of substantial quantities of computer servers and related equipment. Thompson and his co-conspirators caused borrowers to submit these invoices to lenders to support their applications for loans to purchase the items shown on the invoices. Once approved, the loan proceeds were deposited into accounts controlled by Thompson and his co-conspirators. Unbeknownst to the lenders, the sales evidenced by the invoices never occurred. Thompson and his co-conspirators typically “kicked back” a portion of the proceeds to the borrower who submitted the application and kept the rest for themselves. Thompson personally participated in three executions of this scheme that caused approximately $813,362 in fraudulently induced lending.
Thompson pleaded guilty to two counts of conspiracy to commit wire fraud. He faces a maximum penalty of five years in prison on each count. A sentencing date has not yet been set. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Principal Deputy Assistant Attorney General Nicole Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Erek Barron for the District of Maryland; Special Agent in Charge Kareem Carter of the IRS Criminal Investigation (IRS-CI) Washington, D.C., Field Office; Special Agent in Charge Jeffrey Pittano of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), Mid-Atlantic Region; Special Agent in Charge Amaleka McCall-Braithwaite of the Small Business Administration Office of Inspector General (SBA-OIG), Eastern Region; and Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division made the announcement.
IRS-CI, FDIC-OIG, SBA-OIG, and the FBI are investigating the case.
Trial Attorney David A. Peters of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Joseph Wenner for the District of Maryland are prosecuting the case.
Malachi Crockett Sentenced for Role in Violent Albuquerque Crime SpreeRead the Press Release
ALBUQUERQUE – Malachi Alan Crockett, 19, was sentenced to 6 years in prison for his role in a violent crime spree that terrorized Albuquerque residents in the Spring of 2023.
There is no parole in the federal system.
According to court documents, on March 21, 2023, the Albuquerque Police Department (APD) responded to a series of violent carjackings that occurred in Southwest Albuquerque.
The first incident occurred around 5:33 PM, when Jane Doe 1 was carjacked at gunpoint by three male suspects, including two juveniles and Crockett. The suspects fled in the victim's white Nissan Sentra.
Approximately 10 minutes later, a second carjacking was reported near Westgate Community Park. Crockett and his accomplices, carjacked Jane Doe 2 at gunpoint, taking her Chevrolet Traverse. During this incident, the suspects also fired multiple shots at a witness, causing her to crash her vehicle.
Minutes later, the group attempted to carjack a couple, Jane Doe 3 and John Doe 1, near Carlos Rey Elementary school, but the victims were able to drive away.
The final carjacking occurred around 6:00 PM, when the group robbed Jane Doe 4 of her red Chevrolet Spark at gunpoint.
APD officers later spotted the stolen Spark and initiated a pursuit, which ended in a crash. Four male suspects, including Crockett and three juveniles, fled the vehicle. Crockett and one of the juveniles were apprehended on scene.
Crockett was found to be in possession of a handgun with an extended magazine. The handgun was fitted with a machine conversion device, commonly called an auto sear or “switch.”
U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the Federal Bureau of Investigation, made the announcement today.
The FBI Albuquerque Field Office investigated this case with assistance from the Albuquerque Police Department. Assistant United States Attorney Natasha Moghadam prosecuted the case.
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Major Methamphetamine Trafficker in Burke County Is Sentenced to 25 Years in PrisonRead the Press Release
ASHEVILLE, N.C. – A major drug trafficker responsible for distributing large quantities of methamphetamine in and around Burke County was sentenced to 25 years in prison today, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Gregory Travis Gowan, 53, of Morganton, N.C., was ordered to serve five years under court supervision upon completion of his prison sentence.
Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office, and Sheriff Banks Hinceman of the Burke County Sheriff’s Office join U.S. Attorney King in making today’s announcement.
According to today’s sentencing hearing and documents filed with the court, in February 2022, law enforcement investigating Gowan’s drug trafficking activities executed search warrants at Gowan’s residence and vehicle in Burke County. Law enforcement seized over $100,000 from Gowan’s residence and vehicle, as well as a quantity of methamphetamine, and items consistent with drug distribution. Subsequently, law enforcement executed additional search warrants at Gowan’s garage and residence, and more drugs and cash were seized. Over the course of the investigation, law enforcement determined that Gowan was responsible for trafficking more than 60 kilograms of methamphetamine in Burke County and was a major source of supply for local dealers.
On August 21, 2024, Gowan pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and two counts of possession with intent to distribute methamphetamine. Gowan is currently in federal custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King thanked the DEA and the Burke County Sheriff’s Office for their investigation of the case.
Assistant U.S. Attorney Christopher Hess of the U.S. Attorney’s Office in Asheville prosecuted the case.
Lowell Man Pleads Guilty to Armed Bank RobberiesRead the Press Release
BOSTON – A Lowell man pleaded guilty yesterday to the robberies of three Worcester banks in April 2023.
Joselito Santiago-Matias, 38, pleaded guilty to one count of bank robbery and two counts of armed bank robbery. U.S. District Court Judge Margaret R. Guzman scheduled sentencing for July 24, 2024. Santiago-Matias was indicted by a federal grand jury in September 2023.
Santiago-Matias robbed a Santander Bank in Worcester on April 3, 2023; a Berkshire Bank in Worcester using a gun on April 12, 2023; and a Santander Bank in Worcester using a gun on April 19, 2023.
The charge of bank robbery provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of armed bank robbery provides for a sentence of up to up to 25 years, five years of supervised release and a fine up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Worcester Police Department Interim Chief Paul B. Saucier made the announcement. Assistant U.S. Attorney Brendan D. O’Shea of the Worcester Branch Office is prosecuting the case.
Lincoln Man Sentenced for Distribution of MethamphetamineRead the Press Release
United States Attorney Susan Lehr announced that Rondale King, 44, of Lincoln, Nebraska was sentenced on May 2, 2024, in federal court in Lincoln for distribution of methamphetamine. Senior United States District Court Judge John M. Gerrard sentenced King to 180 months’ imprisonment. There is no parole in the federal system. After King’s release from prison, he will begin a 10-year term of supervised release.
On four occasions in October of 2022, Rondale King sold meth to a cooperating individual working with law enforcement. In total, King sold over 5 ounces of meth.
King has a prior conviction for possession with intent to deliver meth from 2019. He faces increased penalties in federal court due to his prior drug conviction.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Leader of Massive Scheme to Traffic in Fraudulent and Counterfeit Cisco Networking Equipment Sentenced to PrisonRead the Press Release
A Florida resident and dual citizen of the United States and Turkey was sentenced yesterday to six years and six months in prison for running an enormous operation over many years to traffic in fraudulent and counterfeit Cisco networking equipment.
Under the terms of the plea agreement, Onur Aksoy, 40, of Miami, agreed to pay restitution of $100 million to Cisco and amounts to other victims that will be determined by the court at a later date, and to permit destruction of millions of dollars of counterfeit goods seized from his businesses.
“Aksoy sold hundreds of millions of dollars’ worth of counterfeit computer networking equipment that ended up in U.S. hospitals, schools, and highly sensitive military and other governmental systems, including platforms supporting sophisticated U.S. fighter jets and military aircraft,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Criminals who flood the supply chain with low-quality networking equipment from China and Hong Kong harm U.S. businesses, pose serious health and safety risks, and compromise national security. This case—one of the largest counterfeit trademark cases ever prosecuted in the United States—demonstrates the Criminal Division’s commitment and capacity to prosecute the most complex counterfeiting schemes and bring the perpetrators to justice.”
“Through an elaborate, years-long scheme, Aksoy created and ran one of the largest counterfeit-trafficking operations ever,” said Attorney for the United States Vikas Khanna for the District of New Jersey. “His operation introduced tens of thousands of counterfeit and low-quality devices trafficked from China into the U.S. supply chain, jeopardizing both private-sector and public-sector users, including highly sensitive U.S. military applications like the support platforms of U.S. fighter jets and other military aircraft. Yesterday’s sentence, made possible by the investigation and prosecution of this office and our department and agency partners, now brings Aksoy to justice and holds him accountable for the breathtaking scale of his operation.”
According to court documents and statements made in court, Aksoy ran at least 19 companies formed in New Jersey and Florida, as well as approximately 15 Amazon storefronts and at least 10 eBay storefronts (collectively, the Pro Network Entities). The Pro Network Entities imported from suppliers in China and Hong Kong tens of thousands of low-quality, modified computer networking devices with counterfeit Cisco labels, stickers, boxes, documentation, and packaging, all bearing counterfeit trademarks registered and owned by Cisco that made the goods falsely appear to be new, genuine, and high-quality devices manufactured and authorized by Cisco. The devices had an estimated total retail value of hundreds of millions of dollars. The Pro Network Entities generated over $100 million in revenue from the scheme, and Aksoy personally received millions of dollars.
“Protecting the integrity of the supply chain for everyday consumers, government agencies, and our warfighters remains a top priority for Homeland Security Investigations,” said Special Agent in Charge Eddy Wang of Homeland Security Investigations (HSI) Los Angeles. “My office and our partners will continue to work diligently to remove counterfeit products that adversely affect public health and safety from the stream of commerce and hold the offenders accountable.”
“Mr. Aksoy’s sentencing brings closure to his years-long, greed-driven scheme that wasted U.S. taxpayer dollars and degraded our nation’s military readiness when he and his companies knowingly defrauded the Department of Defense by introducing counterfeit products into its supply chain that routinely failed or did not work at all,” said Special Agent in Charge Bryan D. Denny of the Department of Defense (DoD) Office of Inspector General, Defense Criminal Investigative Service (DCIS) Western Field Office. “In doing so, he sold counterfeit Cisco products to the DoD that were found on numerous military bases and in various systems, including but not limited to U.S. Air Force F-15 and U.S. Navy P-8 aircraft flight simulators.”
The devices the Pro Network Entities imported from China and Hong Kong were typically older, lower-model products—some of which had been sold or discarded—which Chinese counterfeiters then modified to appear to be genuine versions of new, enhanced, and more expensive Cisco devices. The Chinese counterfeiters often added pirated Cisco software and unauthorized, low-quality, or unreliable components—including components to circumvent technological measures added by Cisco to the software to check for software license compliance and to authenticate the hardware. Finally, to make the devices appear new, genuine, high-quality, and factory-sealed by Cisco, the Chinese counterfeiters added counterfeited Cisco labels, stickers, boxes, documentation, packaging, and other materials.
Fraudulent and counterfeit products sold by the Pro Network Entities suffered from numerous performance, functionality, and safety problems. The products often failed to operate or otherwise malfunctioned, causing significant damage to their users’ networks and operations. Customers of Aksoy’s devices included hospitals, schools, and government agencies. In addition, numerous counterfeit devices originating from the Pro Network Entities were discovered in highly sensitive governmental applications, such as classified information systems. The devices were also identified in combat and non-combat operations of the U.S. Navy, U.S. Air Force, and U.S. Army, such as platforms supporting the F-15, F-18, and F-22 fighter jets, AH-64 Apache attack helicopter, P-8 maritime patrol aircraft, and B-52 Stratofortress bomber aircraft.
“This case should serve as a warning to those who attempt to sell counterfeit goods to the U.S. government,” said Special Agent in Charge Greg Gross of the Naval Criminal Investigative Service (NCIS) Economic Crimes Field Office. “NCIS is committed to safeguarding the Department of Navy acquisition programs that enhance fleet readiness.”
“Companies should be honest in their dealings with the government,” said Deputy Inspector General Robert C. Erickson of the General Services Administration Office of Inspector General (GSA-OIG). “GSA-OIG special agents are committed to working with investigative partners to hold accountable fraudsters who sell counterfeit equipment to the United States.”
Between 2014 and 2022, Customs and Border Protection (CBP) seized approximately 180 shipments of counterfeit Cisco devices that were sent to the Pro Network Entities from China and Hong Kong. Aksoy responded to some of these seizures by falsely submitting official paperwork to CBP under the alias “Dave Durden,” an identity that he used to communicate with Chinese co-conspirators. To try to avoid CBP scrutiny, Chinese co-conspirators broke the shipments up into smaller parcels sent on different days, and Aksoy used fake delivery addresses in Ohio.
Between 2014 and 2019, Cisco sent seven letters to Aksoy asking him to cease and desist his trafficking of counterfeit goods. Aksoy responded to at least two of these letters by causing his attorney to provide Cisco with forged documents. In July 2021, agents executed a search warrant at Aksoy’s warehouse that led to the seizure of approximately 1,156 counterfeit Cisco devices with a retail value of over $7 million.
Aksoy pleaded guilty in June 2023 to conspiring with others to traffic in counterfeit goods and to commit mail fraud, wire fraud, and mail fraud.
HSI, DCIS, NCIS, GSA-OIG, and CBP investigated the case. The CBP’s Electronics Center of Excellence, Los Angeles National Targeting and Analysis Center, and Office of Trade, Regulatory Audit and Agency Advisory Services, Miami Field Office provided valuable assistance.
Senior Counsel Matthew A. Lamberti of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Andrew M. Trombly and Senior Trial Counsel Barbara Ward for the District of New Jersey are prosecuting the case.
Laurel Man Sentenced to Almost 6 Years in Prison for Possession with Intent to Distribute a Controlled SubstanceRead the Press Release
Hattiesburg, MS – A Laurel man was sentenced today to 70 months in prison for possession with intent to distribute a substance containing a detectable amount of methamphetamine.
According to court records, Danny Ray Cole, 46, was caught distributing pills to a buyer that contained 12.46 grams of a substance containing a detectable amount of methamphetamine. Evidence obtained in the investigation revealed that defendant had additional amounts of drugs in his possession.
Cole was indicted by a federal grand jury on June 6, 2023, and pled guilty on December 12, 2023, to possession with intent to distribute a controlled substance.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and Acting Special Agent in Charge Eric DeLaune of Homeland Security Investigations in New Orleans made the announcement.
Homeland Security Investigations and the Jones County Sheriff’s Department investigated the case.
Assistant U.S. Attorney Matt Allen prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Justice Department Files Statement of Interest Supporting Individuals’ Right to Sue Under Voting Rights Act of 1965Read the Press Release
SCRANTON – The Justice Department announced that it has filed a statement of interest in the U.S. District Court for the Middle District of Pennsylvania supporting the right of private plaintiffs to bring a lawsuit to enforce Section 2 of the Voting Rights Act. This filing is one of many recent briefs by the Justice Department supporting the longstanding principle that private plaintiffs are authorized to bring lawsuits to vindicate important rights protected by the Voting Rights Act.
“The right to vote is the foundation of our democracy, and it is the right on which all other rights depend,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Since the enactment of the landmark Voting Rights Act in 1965 to protect this precious right, private parties have enforced the law in courts across this county, enabling countless Americans to vote free from unlawful discrimination. The Justice Department will continue vigorously enforcing the Voting Rights Act and defending the right of private citizens and organizations to do the same.”
“The Voting Rights Act gives private citizens a voice to stand up to unlawful voting discrimination by their government,” said U.S. Attorney Gerard M. Karam for the Middle District of Pennsylvania. “My office will continue to enforce the civil rights statutes like the Voting Rights Act, and proudly partners with the Civil Rights Division in protecting a private citizens’ right to enforce that Act.”
The department filed its statement of interest in Aquino and Lopez v. Hazleton Area School District, a case in which plaintiffs allege the at-large method of electing the nine-member school board of directors unlawfully dilutes the ability of Hispanic voters to elect candidates of their choice. The school district seeks to dismiss the case, arguing that private parties like the plaintiffs are not able to file lawsuits under Section 2 of the Voting Rights Act. The department’s statement of interest argues that private parties may enforce the Voting Rights Act directly, as well as through another civil rights law ton which plaintiffs often rely.
The Justice Department has filed 18 statements of interest and amicus briefs in federal district courts and courts of appeals since January 2021 supporting the right of private parties to file suits under the Voting Rights Act and the Civil Rights Act to protect the right to vote. In all, since January 2021, the Justice Department has filed 32 statements of interest in courts across the country to protect the right to vote.
More information about voting and elections is available on the Justice Department’s website at www.justice.gov/voting. Learn more about the Voting Rights Act and other federal voting laws at www.justice.gov/crt/voting-section. Individuals may report possible violations of the federal voting rights laws through the Civil Rights Division’s website at ciilrights.justice.gov or by telephone toll-free at 800-253-3931.
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Jury Finds District Man Guilty of Firearm Offenses, Fleeing Law Enforcement, Reckless DrivingRead the Press Release
WASHINGTON – Frederick Powell, 29, of Washington, D.C., was found guilty by a jury of unlawful possession of a firearm (prior conviction) and other charges after attempting to hide his pistol inside the Federal Energy Regulatory Commission building following a Friday-night vehicular flight from police through the H-Street corridor on September 15, 2023, announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Powell also was found guilty of carrying a pistol without a license, possession of an unregistered firearm, unlawful possession of ammunition, as well as felony fleeing from law enforcement and reckless driving. The verdict was returned on April 30, 2024, following a trial in the Superior Court of the District of Columbia. The Honorable Andrea Hertzfeld scheduled sentencing for July 12, 2024. Powell faces a maximum sentence of 20 years in prison.
According to the government’s evidence, on September 15, 2023, at approximately 9:40 p.m., Powell was driving an unregistered vehicle in the 800 block of K Street. When MPD officers attempted to conduct a traffic stop, Powell fled at high speed, running red lights and stop signs, even though traffic was heavy and many pedestrians, enjoying the district’s night life, were around.
An MPD officer later spotted Powell’s vehicle parked outside the entrance to the Federal Energy Regulatory Commission building. As officers approached, Powell entered the building, and once out of view of officers, took a .45 caliber pistol from his waistband and discreetly placed it on the floor. The firearm was loaded with one round in the chamber and nine rounds in the magazine. The serial number on the firearm had been obliterated, making it difficult to trace. Luckily, Powell’s actions were captured on the building’s surveillance system.
Powell had previously been convicted of two counts of robbery and one count of conspiracy in 2017 and was on supervision for a 2021 conviction for unlawful possession of a firearm (prior conviction).
This case was investigated by the Metropolitan Police Department. It was prosecuted by the U.S. Attorney’s Office for the District of Columbia.
Jury Convicts Pinellas Trafficker of Distributing Fentanyl Resulting in DeathRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces that a federal jury has found Bobby Peterson (41, St. Petersburg) guilty of conspiracy to distribute fentanyl resulting in death, distribution of fentanyl resulting in death, and distribution of fentanyl. Peterson faces a mandatory sentence of life imprisonment. His sentencing hearing is scheduled for July 19, 2024.
Peterson was arrested on February 18, 2022, and detained.
According to testimony, evidence presented at trial, and court records Peterson was a supplier of fentanyl and other controlled substances in Pinellas County. On May 12, 2020, Peterson distributed fentanyl to Jacqueline Schnieder who in turn distributed some of the fentanyl to a friend, M.G. A few hours later, M.G. died of fentanyl toxicity. On the same day, Peterson communicated with another individual, L.O., about the sale of fentanyl. Hours later, L.O. also died of fentanyl toxicity.
When Peterson was told about M.G.’s death, he expressed no remorse and instead responded, “they know what they’re doing.” After Peterson became aware that M.G. had died from the fentanyl he distributed, Peterson continued to sell fentanyl. On February 5, 2021, Peterson sold fentanyl to an undercover detective.
Jacqueline Schnieder previously pleaded guilty for her role in this case and is pending sentencing.
This case was investigated by the Drug Enforcement Administration and the Pinellas Park Police Department, with assistance from the Federal Bureau of Investigation as part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply. It is being prosecuted by Assistant United States Attorney Lauren Stoia.
Jimcy McGirt Sentenced to 30 Years for Aggravated Sexual AbuseRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced today that Jimcy McGirt, age 75, of Holdenville, Oklahoma, was sentenced to 360 months imprisonment for one count of Aggravated Sexual Abuse in Indian Country.
On December 5, 2023, McGirt pleaded guilty to one count of Aggravated Sexual Abuse in Indian Country. As part of the plea agreement, McGirt confessed to sexually abusing a child in August of 1996.
“Today’s sentence closes a chapter on a perpetrator who has attempted to evade the legal consequences of his actions at every turn,” said United States Attorney Christopher J. Wilson. “For the victim, we hope it is but a beginning. To go into a courtroom—to fight to be heard and to be believed—that takes courage. To do so over three decades requires unimaginable fortitude of spirit. It is our hope the guilty plea and the sentence imposed bring some solace and comfort to those most effected by the defendant’s crimes.”
The Honorable John F. Heil, III, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing.
Assistant United States Attorneys Sarah McAmis and Kyra Jenner represented the United States.
Jackson Man Sentenced to 61 Months in Federal Prison for Conspiracy to Commit Bank Fraud and Aggravated Identity TheftRead the Press Release
Jackson, MS – A Jackson man was sentenced today to 61 months in federal prison for conspiracy to commit bank fraud and aggravated identity theft.
Ronald Gardner, 51, was sentenced in U.S. District Court in Jackson.
According to court documents and statements made in court, Gardner and his co-conspirator, Anthony Craig Myrick, opened an account at a Jackson bank in another person’s name in September 2022. Gardner and Myrick deposited several counterfeit U.S. Treasury checks in the account at various bank branches in the Jackson metro area and withdrew the cash before the checks were determined to be counterfeit. Gardner admitted to manufacturing the counterfeit Treasury checks and creating a false identification card using another person’s name and identity. The Court found that, as part of the scheme, 10 or more victims had their personal identifying information used unlawfully or without authority.
Gardner and Myrick were indicted by a federal grand jury on August 22, 2023. Myrick pleaded guilty on October 17, 2023, and Gardner pleaded guilty on February 2, 2024. Myrick was sentenced on March 11, 2024, to 26 months in prison. Both defendants were ordered to pay restitution to the bank as part of their sentences.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and U.S. Secret Service Special Agent in Charge Patrick Davis made the announcement.
The U.S. Secret Service and Rankin County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Kimberly T. Purdie prosecuted the case.
Jackson Man Sentenced to 30 Years in Prison for Production of Child PornographyRead the Press Release
Jackson, Miss. – A Jackson man was sentenced to 360 months in prison, followed by a lifetime of supervised release, for production of child pornography.
According to court documents, Delvan Jerrod Howard, 43, produced a video of an adult man engaging in sexually explicit conduct with a child. Howard was indicted by a federal grand jury on April 5, 2022. He pled guilty on January 11, 2024, to production of child pornography.
Howard was ordered to pay 3,000 under the Amy, Vicky, and Andy Child Pornography Victim Assistance Act of 2018. He will also be required to register as a sex offender.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and Special Agent in Charge Robert Eikhoff of the Federal Bureau of Investigation made the announcement.
The Federal Bureau of Investigation and the Mississippi Attorney General Office’s Cyber Crime Unit investigated the case.
Assistant U.S. Attorney Glenda R. Haynes 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 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.
Illegal possession of firearm sends Missoula felon to prisonRead the Press Release
MISSOULA — A Missoula felon was sentenced on May 1 to 33 months in prison, to be followed by three years of supervised release, for illegally possessing a loaded and stolen firearm, U.S. Attorney Jesse Laslovich said today.
The defendant, Caleb Gerard Diamond, 24, pleaded guilty in December 2023 to prohibited person in possession of a firearm.
U.S. District Judge Dana L. Christensen presided.
In court documents, the government alleged that in May 2023, Diamond, while on felony probation for two separate crimes, was arrested for exposing himself in public while watching two females leave a movie theater. Diamond possessed a loaded .45-caliber handgun and methamphetamine. The gun had been stolen the previous October from a vehicle a few blocks from where Diamond was arrested. Twelve days earlier, Diamond stole ammunition from a local business. When questioned about firearms in his residence, Diamond initially stated he was not aware of any but then advised he recently had purchased a shotgun and gave it to his roommate.
Assistant U.S. Attorney Karla E. Painter prosecuted the case. The Missoula Police Department, Montana Probation and Parole and Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Honduran National Pleads Guilty to Illegal Re-Entry of Removed AlienRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that ALLAN ENRIQUE GOMEZ VILLEDA, age 41, a citizen of Honduras, pleaded guilty on April 30, 2024, to illegal reentry of a deported alien, in violation of Title 8, United States Code, Sections 1326(a).
According to the court documents, GOMEZ VILLEDA admitted to reentering the United States illegally after being previously deported on May 9, 2019.
GOMEZ VILLEDA faces a sentence of up to 2 years imprisonment, up to 1 years of supervised release, up to a $100,00 fine, and a $100 special assessment fee.
U.S. District Court Judge Jay C. Zainey has set the sentencing for June 18, 2024.
U.S. Attorney Evans praised the work of United States Immigration and Customs Enforcement, Enforcement and Removal Operations in investigating this matter. Assistant United States Attorney Paul J. Hubbell of the General Crimes Unit is in charge of the prosecution.
Honduran National Pleads Guilty to Illegal Re-EntryRead the Press Release
NEW ORLEANS – JONATHAN JOSE CASTILLO-JANEZ, age 24, pleaded guilty on April 30, 2024, to illegal reentry of a removed alien, in violation of Title 8, United States Code, Section 1326(a), announced U.S. Attorney Duane A. Evans. His sentencing is set for June 25, 2024.
According to the indictment, JONATHAN JOSE CASTILLO-JANEZ, (“CASTILLO-JANEZ”) reentered the United States after being previously deported on June 14, 2017. CASTILLO-JANEZ, a Honduran national with no legal right to be in the United States, was arrested in Orleans Parish in January of 2024 for Battery and Possession of Stolen Property. Department of Homeland Security research revealed that he was deported on June 14, 2017 after being convicted in Salt Lake City, Utah, of Attempted Distribution of Cocaine. He served 120 days in jail in Utah.
CASTILLO-JANEZ faces a maximum term of imprisonment of two years, a maximum fine of up to $250,000, a maximum term of supervised release of up to one year, and a mandatory $100 special assessment fee. He faces a sentencing enhancement of up to 10 years imprisonment because of a prior felony conviction.
U.S. Attorney Evans praised the work of the United States Immigration and Customs Enforcement and Orleans Parish Sheriff’s Office in investigating this matter. Assistant U.S. Attorney Carter K.D. Guice, Jr. of the General Crimes Unit is in charge of the prosecution.
Hernando Man Sentenced to 14 Years in Prison for Destruction of Evidence and Accessing with Intent to View Child Sexual Abuse MaterialRead the Press Release
Tampa, Florida – U.S. District Judge Thomas Barber has sentenced Basilio Jim Diaz (Hernando, 64) to 14 years in federal prison, followed by a lifetime of supervised release, for destruction of evidence and accessing with intent to view child sexual abuse material. The court also ordered Diaz to forfeit electronic devices, which were used in the commission of the offense, register as a sex offender, and pay $38,000 in restitution. A federal jury found Diaz guilty on January 10, 2024.
According to testimony and evidence presented at trial, on March 9, 2023, the FBI executed a search warrant at Diaz’s home seeking evidence of child exploitation. When the FBI announced their presence, Diaz refused to exit his home. FBI SWAT members used an armored vehicle to break through the front door and obtain a visual inside the home. The SWAT agents also deployed two drones to better assess the situation inside the home. After nearly an hour, Diaz had disabled one of the drones and was in the process of disabling the second drone when SWAT agents entered the home and detained Diaz. A search of the home revealed that Diaz had spent those 45 - 50 minutes destroying evidence. Despite Diaz’s efforts, the FBI used forensic tools to recover thousands of images and videos depicting the child sexual abuse and exploitation of children from Diaz’s laptop. Agents also recovered two child-like sex dolls.
This case was investigated by the Federal Bureau of Investigation, the Hernando County Sheriff’s Office, and task force officers from the Tampa Police Department and the Pasco Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Ilyssa M. Spergel and Ross D. Roberts.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Hays man convicted of sexually abusing minor girl on Fort Belknap Indian Reservation sentenced to more than three years in prisonRead the Press Release
GREAT FALLS — A Hays man convicted by a federal jury of sexually abusing a minor girl on the Fort Belknap Indian Reservation was sentenced on May 1 to three years and 10 months in prison, to be followed by five years of supervised release, U.S. Attorney Jesse Laslovich said today.
Following a three-day trial, the jury on Oct. 5, 2023 found Daniel Jacob Werk, 38, guilty of sexual abuse of a minor, as charged in an indictment.
Chief U.S. District Judge Brian M. Morris presided.
In court documents and at trial, the government alleged that from July 2021 to October 2021, Werk repeatedly sexually abused a 15-year-old girl on the Fort Belknap Indian Reservation. Werk, who was the program coordinator for the Fort Belknap Grassland Restoration Project, a program designed to provide opportunities for at-risk Native youth, recruited the girl, identified as Jane Doe, into the program and then repeatedly engaged in sexual acts with her.
The U.S. Attorney’s Office prosecuted the case. The FBI conducted the investigation.
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Hahn Air Lines Agrees to Pay $26.8M to Resolve False Claims Act Liability for Its Alleged Failure to Pay Travel Fees Collected from PassengersRead the Press Release
Hahn Air Lines GmbH, a privately owned company based in Germany, and its Minneapolis-based subsidiary Hahn Air USA Inc. (collectively Hahn Air) have agreed to pay $26.8 million to resolve allegations that Hahn Air violated the False Claims Act by knowingly failing to remit to the United States certain travel fees that Hahn Air collected from commercial airline passengers flying into or within the United States.
Hahn Air Lines GmbH operates as a commercial travel company whose primary business includes offering an electronic ticketing database that allows travel agencies worldwide to issue airline passenger tickets for travel on airlines based on agreements that Hahn Air Lines GmbH has with numerous commercial airlines located around the world. Pursuant to its business model, Hahn Air Lines GmbH collects certain mandatory travel fees, including certain passenger fees that are owed to the United States.
The settlement resolves allegations that, from 2012 to 2018, Hahn Air allegedly knowingly and improperly avoided paying to the United States certain travel fees that Hahn Air had collected from airline passengers purchasing Hahn Air tickets. These included Animal and Plant Health Inspection Service Agricultural Quarantine and Inspection User Fees owed to the Department of Agriculture (USDA); Customs User Fees and Immigration User Fees owed to Customs and Border Protection (CBP) and Passenger Civil Aviation Security Service Fees owed to the Transportation Security Administration.
“Companies that benefit from air travel in the United States must pay their fair share of the costs associated with that such travel,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Today’s settlement demonstrates that we will protect the taxpayers by ensuring that those who are obligated to pay money to the United States, whether in the form of travel fees or other types of payments, are held accountable for what they owe.”
“Companies cannot pocket, for their own benefit, government taxes and fees that they collect from their customers,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “This settlement shows that companies that intentionally do so will face stiff penalties.”
“I appreciate the continued partnership with the Justice Department’s Civil Division and our other law enforcement partners,” said Inspector General Joseph V. Cuffari of the Department of Homeland Security (DHS). “Today’s multimillion dollar settlement is a result of our collective efforts and demonstrates that the United States holds corporations accountable when they fail to comply with the law.”
“Participation in Government travel business programs is a privilege and should not involve actors who seek to circumvent paying travel costs to the U.S. Government,” said Acting Special Agent in Charge Charmeka Parker of the USDA Office of the Inspector General (OIG). “Thanks to the hard work and tireless efforts of the investigative team, the interests and integrity of the United States and the business process throughout Government continue to be protected. The USDA Office of Inspector General appreciates the commitment of the Department of Justice and the cooperative efforts of our law enforcement partners. Our resources are well utilized when we work together to investigate those who intend to defraud the U.S. Government. This resolution demonstrates that we are committed to holding businesses accountable when they choose to abuse the integrity of vital government programs.”
The settlement resolved a lawsuit filed under the qui tam or whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The qui tam case is captioned U.S. ex rel. MGSNOVA Advisory, LLC v. Hahn Air, Inc. et al, No. 1:15‐cv‐02184 (D.D.C.). As part of today’s resolution, the whistleblower will receive a total of approximately $4.8 million.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the District of Columbia, with assistance from the Offices of Inspector General for the DHS and USDA.
Trial Attorney Richard W. Hagner of the Civil Division and Assistant U.S. Attorney Darrell Valdez for the District of Columbia handled the matter.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
SettlementHahn Air Lines Agrees to Pay $26.8 Million to Resolve False Claims Act Liability for Its Alleged Failure to Pay Travel Fees Collected from PassengersRead the Press Release
WASHINGTON – Hahn Air Lines GmbH, a privately owned company based in Germany, and its Minneapolis-based subsidiary Hahn Air USA, Inc. (collectively, “Hahn Air”) have agreed to pay $26.8 million to resolve allegations that Hahn Air violated the False Claims Act by knowingly failing to remit to the United States certain travel fees that Hahn Air collected from commercial airline passengers flying into or within the United States.
The settlement was announced by U.S. Attorney Matthew M. Graves, Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division, Inspector General Joseph V. Cuffari for the Department of Homeland Security, and Acting Special Agent in Charge Charmeka Parker for USDA Office of the Inspector General (OIG).
Hahn Air Lines GmbH operates as a commercial travel company whose primary business includes offering an electronic ticketing database that allows travel agencies worldwide to issue airline passenger tickets for travel on airlines based on agreements that Hahn Air Lines GmbH has with numerous commercial airlines located around the world. Pursuant to its business model, Hahn Air Lines GmbH collects certain mandatory travel fees, including certain passenger fees that are owed to the United States.
The settlement resolves allegations that, from 2012 to 2018, Hahn Air allegedly knowingly and improperly avoided paying to the United States certain travel fees that Hahn Air had collected from airline passengers purchasing Hahn Air tickets. These included Animal and Plant Health Inspection Service Agricultural Quarantine and Inspection User Fees owed to the U.S. Department of Agriculture (USDA); Customs User Fees and Immigration User Fees owed to U.S. Customs and Border Protection (CBP); and Passenger Civil Aviation Security Service Fees owed to the Transportation Security Administration.
“Companies cannot pocket, for their own benefit, government taxes and fees that they collect from their customers,” said U.S. Attorney for the District of Columbia Matthew M. Graves. “This settlement shows that companies that intentionally do so will face stiff penalties.”
“Companies that benefit from air travel in the United States must pay their fair share of the costs associated with that such travel,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Today’s settlement demonstrates that we will protect the taxpayers by ensuring that those who are obligated to pay money to the United States, whether in the form of travel fees or other types of payments, are held accountable for what they owe."
“I appreciate the continued partnership with the Justice Department’s Civil Division and our other law enforcement partners,” said Inspector General Joseph V. Cuffari for the Department of Homeland Security. “Today’s multimillion dollar settlement is a result of our collective efforts and demonstrates that the United States holds corporations accountable when they fail to comply with the law.”
“Participation in Government travel business programs is a privilege and should not involve actors who seek to circumvent paying travel costs to the U.S. Government,” said Acting Special Agent in Charge Charmeka Parker for USDA Office of the Inspector General (OIG). “Thanks to the hard work and tireless efforts of the investigative team, the interests and integrity of the United States and the business process throughout Government continue to be protected. The USDA Office of Inspector General appreciates the commitment of the Department of Justice and the cooperative efforts of our law enforcement partners. Our resources are well utilized when we work together to investigate those who intend to defraud the U.S. Government. This resolution demonstrates that we are committed to holding businesses accountable when they choose to abuse the integrity of vital government programs.”
The settlement resolved a lawsuit filed under the qui tam or whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The qui tam case is captioned U.S. ex rel. MGSNOVA Advisory, LLC v. Hahn Air, Inc. et al, No. 1:15‐cv‐02184 (D.D.C.). As part of today’s resolution, the whistleblower will receive a total of approximately $4.8 million.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the United States Attorney’s Office for the District of Columbia, with assistance from the Offices of Inspector General for the Department of Homeland Security and the Department of Agriculture.
The matter was handled by Trial Attorney Richard W. Hagner of the Civil Division and Assistant U.S. Attorney Darrell Valdez for the District of Columbia.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Guatemalan Man Pleads Guilty to Kidnapping Minor Girl He Helped Smuggle into the United StatesRead the Press Release
SPARTANBURG, S.C. — Bernardino de Jesus Ramirez-Ramirez, a/k/a Carlos Mendoza, 35, of Guatemala, pleaded guilty to kidnapping and illegal transportation of an alien following two days of trial in federal court.
Evidence introduced during the trial revealed that in October 2022, Ramirez paid for a 16-year-old girl to be smuggled into the United States from Guatemala. Ramirez directed the minor’s journey into the United States. He instructed her to turn herself in to immigration officials after she crossed the border and provide them his name and contact information as the person who was supposed to receive her. The minor was taken into the custody of the Office of Refugee Resettlement and placed in a shelter for unaccompanied alien children.
Officials at the shelter learned that the minor was not related to Ramirez and had never met him before, that he had paid her smuggling debt, and that he had work lined up for her in the United States. They determined Ramirez posed a risk of labor trafficking and was not a suitable sponsor for the minor. In March 2023, they released the minor to an uncle in South Carolina.
A forensic examination of Ramirez’s phone revealed that he was fixated on gaining control over the minor. For months, he exchanged messages with members of the minor’s family regarding her smuggling debt and indicating he would do whatever it took to get her into his custody. He told the minor that because of the “favor” he extended her in helping her get to the United States, she had to live with him. He also told her that if she stayed with her uncle in South Carolina, her smuggling debt, and the interest on it, would increase.
On April 5, 2023, Ramirez drove from Missouri to the victim’s home in South Carolina and told her that if she did not come with him, she would be deported back to Guatemala. The victim, believing her debt would be increased and she would be deported if she did not go along, agreed to leave with Ramirez. He drove her to his home in Kansas City, Missouri, where she was recovered by law enforcement officials the following day.
“Every child deserves to grow up in a safe environment, free from the threat of harm,” said Adair F. Boroughs, U.S. Attorney for the District of South Carolina. “Crimes that exploit and endanger our young people will be met with swift accountability.”
“Finding and stopping predators like Ramirez, who seek to exploit minors, is one of the highest priorities of our office,” said Kyle D. Burns, Acting Special Agent in Charge of HSI Charlotte that covers North and South Carolina. “Rescuing this victim saved her from unspeakable horrors and I am thankful for the great work done on this case and the amazing support of our law enforcement partners.”
Ramirez faces a maximum penalty of life in federal prison. He also faces a fine of up to $500,000 and at least three years of supervision to follow the term of imprisonment. United States District Judge Donald C. Coggins presided over the trial, accepted the guilty plea, and will sentence Ramirez after receiving and reviewing a sentencing report prepared by the U.S. Probation Office.
The case was investigated by Homeland Security Investigations, the South Carolina Law Enforcement Division, and the Newberry Police Department, with assistance from the Greenville County Sheriff’s Office and the Kansas City, Missouri, Police Department. Assistant U.S. Attorneys Carrie Fisher Sherard and Kathleen Stoughton are prosecuting the case.
Georgia Methamphetamine Trafficker Is Sentenced to More Than 15 Years in PrisonRead the Press Release
ASHEVILLE, N.C. – Larry Edward Wood, 62, of Mount Airy, Georgia, was sentenced to 188 months in prison today for trafficking methamphetamine, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Wood was also ordered to serve five years under court supervision after he is released from prison.
Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office, Sheriff Doug Farmer of the Jackson County Sheriff’s Office, Sheriff Curtis Cochran of the Swain County Sheriff’s Office, and Chief Devin Holland of the Franklin Police Department join U.S. Attorney King in making today’s announcement.
According to filed court documents and court proceedings, law enforcement initiated an investigation into Wood, a Georgia resident, for suspected methamphetamine trafficking in and around Macon County. In May 2021, a confidential source working with law enforcement purchased methamphetamine from Wood. In July 2021, Wood traveled to Macon County and delivered five kilograms of methamphetamine that was seized by law enforcement.
On July 28, 2023, Wood pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and possession with intent to distribute methamphetamine. Wood remains in the custody of the United States Marshals Service pending placement by the Federal Bureau of Prisons.
In making today’s announcement, U.S. Attorney King thanked the DEA, the Jackson County Sheriff’s Office, Swain County Sheriff’s Office, and the Franklin Police Department for their investigation of the case.
Assistant U.S. Attorney Christopher Hess of the U.S. Attorney’s Office in Asheville prosecuted the case.
Fruitland Man Sentenced for Brutal Assault on NeighborRead the Press Release
ALBUQUERQUE – A federal judge handed down a 12-month plus one day prison sentence to a Fruitland man for assaulting his neighbor after a long-simmering tension boiled over.
According to publicly available court records, June 27, 2021, Elijah Cudei Etsitty, 27, an enrolled member of the Navajo Nation, and his family got into a fistfight with their neighbor, Jane Doe’s husband. During the fight, the group pinned Jane Doe’s husband to the ground, where they continued to beat and choke him.
Seeing this, Jane Doe intervened to protect her husband. Etsitty slammed Jane Doe to the ground and struck her until she lost consciousness, causing head and facial injuries, including a skull fracture and resulting seizure activity.
There is no parole in the federal system. Upon his release from prison, Etsitty will be subject to three years of supervised release.
U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, made the announcement today.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Shiprock Police Department. Assistant United States Attorney Kimberly Bell is prosecuting the case.
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Former Village of Brewster Police Officer Sentenced to 36 Months in Prison for his Role in Commercial Sex Bribery SchemeRead the Press Release
Earlier today, in federal court in Brooklyn, former Village of Brewster Police Officer Wayne Peiffer was sentenced by United States District Judge LaShann DeArcy Hall to 36 months’ imprisonment for his participation in a conspiracy to commit Hobbs Act extortion and conspiracy to commit bribery. Additionally, Peiffer must pay $5,000 in forfeiture as well as perform community service during his supervised release for no less than four hours per week for a total of 208 hours. The community service should benefit Brewster, New York or a nearby community.
The charges arose from Peiffer’s protection of two Queens-based prostitution businesses from law enforcement when the businesses brought women to his jurisdiction in Brewster, New York, to engage in prostitution. Peiffer pleaded guilty to the charges in April 2022.
Breon Peace, United States Attorney for the Eastern District of New York, Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Edward A. Caban, Commissioner, New York City Police Department (NYPD), announced the charges.
“The defendant is rightly punished with a prison sentence for disgracing his badge, violating the public trust in the community he was sworn to serve, and facilitating the victimization of vulnerable women all for his own self-satisfaction,” stated United States Attorney Peace. “Rooting out public corruption in all its pernicious forms is a priority of this Office as such conduct undermines trust in law enforcement.”
Mr. Peace also expressed his appreciation to the Putnam County District Attorney’s Office for their continued support and assistance throughout this investigation.
“Wayne Peiffer violated his sworn oath to serve the community by using his authority as law enforcement to protect known sex traffickers and perpetuate the further victimization of the trafficked women,” stated FBI Assistant Director-in-Charge Smith. “Today, justice has been restored. Peiffer’s sentence emphasizes the FBI’s intolerance of corrupt individuals who abuse their position and disrupt the public’s confidence in our law enforcement departments.”
“Wayne Peiffer, a police officer and trusted public servant, used his official position to shield prostitution route drivers and sex traffickers from other local and state law enforcement in exchange for sexual favors,” stated HSI New York Special Agent-in-Charge Arvelo. “This case is particularly alarming because Peiffer not only betrayed his sworn duty to uphold the law, but his actions also facilitated the trafficking of young women. HSI will not tolerate those who abuse their positions of trust to commit these despicable acts exploiting the most vulnerable members of our society.”
“Today, a former police officer who once swore an oath and then betrayed it in reprehensible fashion is facing the consequences of his actions,” stated NYPD Commissioner Caban. “Law enforcement is a noble profession that provides no harbor for those who would tarnish the shield we proudly wear. I commend everyone from the NYPD, HSI, FBI, and the U.S. Attorney’s Office for the Eastern District for their work on this important case.”
From approximately 2010 through October 2018, Peiffer provided protection to members of a prostitution business and a sex trafficking organization that each transported women from Queens to Brewster for the purposes of engaging in prostitution. Peiffer’s protection included advance notice of increased law enforcement activities and assistance with avoiding detection and apprehension. For example, on one occasion Peiffer warned members of the Cid-Hernandez Sex Trafficking Organization not to travel to Brewster because law enforcement officers in a narcotics investigation were conducting car stops in the area. Peiffer met one of the criminal organization’s employees in a service station and told him to leave the area. On another occasion Peiffer called one of the organization’s drivers and advised him not to travel to Brewster because of law enforcement activities. When a driver for the organization was pulled over by another Brewster police officer, Peiffer vouched for the driver, describing him as a “friend.” In exchange for his assistance, Peiffer received sexual services from the women at no cost.
Four of Peiffer’s co-defendants, Luz Elvira Cardona, Roberto Cesar Cid Dominguez, Blanca Hernandez Morales and Jose Facundo Zarate Morales were convicted after trial of sex trafficking in October 2023, and they are awaiting sentencing. Co-defendant Cristian Godinez pleaded guilty to conspiracy to facilitate prostitution and conspiracy to facilitate bribery. He was sentenced in December 2023 to 14 months in prison.
The government’s case is being handled by the Office’s Civil Rights Section. Assistant United States Attorneys Nicholas J. Moscow and Rachel A. Bennek are in charge of the prosecution, with the assistance of Paralegal Specialist Ryan Costley.
The Defendant:
WAYNE PEIFFER
Age: 51
Highland, New YorkCo-Defendants:
LUZ ELVIRA CARDONA
Age: 35
Queens, New YorkROBERTO CESAR CID DOMINGUEZ
Age: 61
Queens, New YorkCRISTIAN NOE GODINEZ
Age: 44
Queens, New YorkBLANCA HERNANDEZ MORALES
Age: 53
Queens, New YorkJOSE FACUNDO ZARATE MORALS
Age: 35
Queens, New YorkE.D.N.Y. Docket No. 21-CR-622 (LDH)
Former Ericson State Bank President Pleads Guilty to Bank FraudRead the Press Release
United States Attorney Susan Lehr announced today that Jack Poulsen, age 71, of Ericson, Nebraska, entered a plea of guilty to an Information alleging bank fraud in front of United States Magistrate Judge Jacqueline M. DeLuca. Judge DeLuca scheduled Poulsen’s sentencing hearing for August 1st, 2024, at 11:00 AM before United States District Judge Susan M. Bazis. Poulsen faces a maximum possible penalty of 30 years’ imprisonment, a fine of up to $1 million, and a mandatory special assessment of $100.
Ericson State Bank was a small rural bank founded in 1959 and had its sole location in Ericson, Nebraska. It was an insured member of the FDIC since June of 1960, until its closing in February of 2020. Poulsen was the President of Ericson State Bank from June of 2010 until September of 2019. He additionally sat on the Board of Directors.
As President of Ericson State Bank, Poulsen was responsible for overseeing all Ericson State Bank’s affairs and managing day-to-day operations. Poulsen was additionally responsible for keeping other Board of Directors informed of the bank’s financial condition. As President, Poulsen had lending authority but was required to seek approval from the bank’s loan committee for any loans exceeding $250,000. Poulsen was not allowed to be the loan officer on loans for which he would have a personal conflict of interest, including loans Ericson State Bank made to parties or entities related to Poulsen.
Beginning in 2012, Ericson State Bank began a lending relationship with an individual related to Poulsen. This individual and his business entities received numerous loans and opened several accounts with the bank. Pursuant to rules and regulations, Poulsen was not allowed to be the loan officer for these insider-related loans. Nevertheless, beginning at least in June of 2015, Poulsen began interfering with these insider-related loans and accounts for the purpose of hiding their unsoundness from the Board of Directors. These actions included advancing bank funds on insider-related loans more than the approved loan amounts; manipulating data contained in the bank’s computer system by advancing Payment Due Dates and Loan Maturity Dates to conceal the past-due status of the insider-related loans from the Board of Directors; advancing loans over the approved note amounts and applying the funds to conceal overdrafts on the insider-related checking accounts from the Board of Directors. Poulsen’s actions continued until September of 2019 when Poulsen was removed from his positions of authority with Ericson State Bank.
In one instance, in March 2019, Poulsen manipulated the maturity date and entered a new due date for one of the insider-related loans without proper authorization. Due to this manipulation, the loan was not presented as past-due to the Board of Directors despite the loan being mature for 181 days and drawn to a balance of approximately $1.6 million over the approved loan amount.
Ultimately, Ericson State Bank failed and was placed into a receivership with the FDIC. At the time of Ericson State Bank’s failure, Ericson State Bank was a state chartered financial institution regulated and examined by the Nebraska Department of Banking and Finance and it was determined that a loss of more than $800,000 was attributable to the insider-related loans which were subject to the above-described scheme.
This case was investigated by the Federal Housing Finance Agency – Office of Inspector General, Federal Deposit Insurance Corporation – Office of Inspector General, Federal Reserve Board – Office of Inspector General, and the Federal Bureau of Investigations.