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13 June 2024
Man Sentenced for over $5.6M International Advance-Fee SchemeRead the Press Release
An Indiana man was sentenced today to three years in prison for his role in an international advance-fee scheme orchestrated from Nigeria that defrauded victims worldwide of over $5.6 million.
According to court documents and evidence presented at trial, from at least February 2015 to January 2018, Tochukwu Nwosisi, 52, of Indianapolis, participated in an advance-fee scheme involving fraudulent offers of investment funding and inheritances to victims around the world. Nwosisi’s Nigeria-based co‑conspirators induced victims to make large wire payments to bank accounts in the United States on the false belief that payment of the purported advance fees was necessary before the bank would release their funding or inheritance. Nwosisi served as a money launderer who accepted victim funds into his U.S.-based bank accounts and directed the proceeds to the ringleaders in Nigeria.
A federal jury in Houston convicted Nwosisi on March 4 of conspiracy to commit money laundering and concealment money laundering.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas; Special Agent in Charge Douglas A. Williams Jr. of the FBI Houston Field Office; and Special Agent in Charge Christopher Hileman of the Department of State Office of Inspector General (DOS-OIG) made the announcement.
The FBI and DOS-OIG investigated the case.
Trial Attorney Philip Trout of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Christian Latham for the Southern District of Texas prosecuted the case.
Man Sentenced for Maintaining Fictitious Super PAC and Credit Card FraudRead the Press Release
A New Jersey man was sentenced today to one year and six months in prison for falsifying a report filed with the Federal Election Commission (FEC) and credit card fraud.
According to court documents, in March 2020, Christopher Richardson, 37, formerly of San Antonio, Texas, created an independent, expenditure-only political action committee, or Super PAC, named Americans for Progressive Action USA (AFPA) that used fictitious names for AFPA’s treasurer and designated agent. Richardson then filed a falsified quarterly report with the FEC claiming that AFPA had raised $4.8 million from several fictitious individuals. Several weeks later, he filed a report of expenditures that falsely claimed that the Super PAC spent over $1.5 million to purchase advertisements and media production opposing certain candidates for the U.S. Senate. Richardson filed another FEC report that falsely stated that AFPA refunded the non-existent $4.8 million in donations.
Richardson also used the alias of one of the fictitious donors to AFPA to obtain a credit card, and then used that card to conduct approximately 200 transactions.
Richardson pleaded guilty on Feb. 29 to one count of making a false entry in a record and one count of access device fraud.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Matthew M. Graves for the District of Columbia; Assistant Director in Charge David Sundberg of the FBI Washington Field Office; and Special Agent in Charge Scott Moffit of the Treasury Inspector General for Tax Administration’s (TIGTA) Cybercrime Investigations Division made the announcement.
The FBI Washington Field Office and TIGTA Cybercrime Investigations Division investigated the case.
Trial Attorney Ryan R. Crosswell of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Joshua Gold for the District of Columbia prosecuted the case, with assistance from Assistant U.S. Attorney Ahmed Baset for the District of Columbia.
Lebanon County Man Charged with Drug Trafficking and Illegally Possessing A FirearmRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Angel Lopez-Guzman, age 37, of Lebanon, PA, was indicted yesterday by a federal grand jury on charges related to the distribution of controlled substances and unlawful possession of firearms.
According to United States Attorney Gerard M. Karam, the indictment alleges that Lopez-Guzman possessed over 500 grams of cocaine with the intent to distribute. It also alleges that Lopez-Guzman illegally possessed a firearm as a convicted felon and possessed a firearm in furtherance of drug trafficking, in Lebanon County, on January 5, 2024.
This case was investigated by the Drug Enforcement Administration and the Lebanon County Drug Task Force. Assistant United States Attorney Michael Scalera is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The maximum penalty Lopez-Guzman faces under federal law for these offenses is up to life in prison, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Lakeland Resident Pleads Guilty to Fentanyl ChargesRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that Nahum Rodriguez-Jaimes (48, Lakeland) pleaded guilty today to three counts of possessing with the intent to distribute fentanyl. Rodriguez-Jaimes faces a maximum penalty of 20 years’ imprisonment on each count. A sentencing date has not yet been set. Rodriguez-Jaimes is a citizen of Mexico and subject to deportation.
According to the plea agreement and court records, law enforcement received information that Rodriguez-Jaimes was distributing fentanyl in Plant City. Rodriguez-Jaimes was involved in three separate transactions at a commercial business in Plant City. On September 28, 2023, Rodriguez-Jaimes distributed 200 fentanyl pills; on October 10, 2023, he distributed 300 fentanyl pills; and on October 19, 2023, he distributed an additional 3 baggies of fentanyl pills.
This case was investigated by the Drug Enforcement Administration, the U.S. Customs and Border Protection, and the Plant City Police Department. It is being prosecuted by Assistant United States Attorney Maria Guzman.
La Crosse Man Sentenced to 5 Years for Illegally Possessing FirearmRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Jayvon E. Jones-Shields, 24, La Crosse, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to 5 years in federal prison for possessing a firearm as a convicted felon. Jones-Shields pleaded guilty to this charge on March 19, 2024.
On October 18, 2023, officers saw Jones-Shields standing on the street in La Crosse with a group of people. The officers arrested Jones-Shields on an active arrest warrant. Officers searched a shoulder bag Jones-Shields was wearing and found a loaded .22 caliber Charter Arms revolver, numerous oxycodone pills, counterfeit prescription pills containing fentanyl, and cocaine. Jones-Shields is prohibited from legally possessing firearms because of multiple felony convictions in Olmsted County, Minnesota.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition and violent and drug crimes that involve the use of firearms.
The charge against Jones-Shields was the result of an investigation conducted by the La Crosse Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney William M. Levins prosecuted this case.
Kissimmee Auto Dealer Charged with 24 Counts of Wire FraudRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Hani Wafik Kaakati (43, Kissimmee) with 24 counts of wire fraud. If convicted, Kaakati faces a maximum penalty of 20 years in federal prison on each count. The indictment also notifies Kaakati that the United States is seeking an order of forfeiture in the amount of at least $443,137.98, the proceeds of the charged criminal conduct.
According to the indictment, Kaakati, through his car dealership, NextGear Automotive, entered into a floorplan financing agreement with victim Company 1. In September 2019, Kaakati misrepresented to Company 1 the availability of funds in NextGear Automotive’s bank account, so that Company 1 would release 24 car titles to him. In fact, Kaakati had withdrawn money from that bank account so that there would be insufficient funds to cover the amount owed to Company 1 for the car titles under the floorplan financing agreement. As a result, Company 1 initiated 24 ACH transactions with NextGear Automotive’s bank account in the total amount of $528,337.98, all of which were returned for insufficient funds.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation and the Seminole County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Risha Asokan.
Kearney Man Sentenced for Post Office BurglaryRead the Press Release
United States Attorney Susan Lehr announced that Tyrelle Smiley, 26, of Kearney, Nebraska, was sentenced on June 13, 2024, in federal court in Lincoln, Nebraska for burglary of a United States Post Office. Senior United States District Court Judge John M. Gerrard sentenced Smiley to 22 months’ imprisonment. There is no parole in the federal system. After Smiley’s release from prison, he will begin a 3-year term of supervised release.
On November 17, 2019, two people broke into the U.S. Post Office branch in Rockville, Nebraska. When U.S. Postal employees arrived at work on Monday, November 18, they discovered several items had been taken, including items that were being mailed, U.S. currency belonging to the Post Office, and coils of postal stamps.
Two persons, including the Smiley, were found to have been responsible for other burglaries in the area and became suspects in this burglary. A Postal Inspector met with Smiley. Smiley eventually admitted that he had entered the post office.
The Postal Inspector also interviewed a person who lived in the same apartment as Smiley. That person consented to a search of the apartment. Some of the stolen property was discovered, including a coil of stamps. Those stamps were later examined for fingerprints and Smiley’s fingerprints were found on the coil of stamps.
Judge Gerrard originally sentenced smiley to 30 months’ imprisonment on June 28, 2023. There was a mistaken understanding of when the post office burglary took place relative to other burglaries Smiley had been convicted of committing in state court. That error was discovered on appeal. The Eighth Circuit Court of Appeals then remanded the case for resentencing.
This case was investigated by the United States Postal Inspection Service.
Kansas Man Sentenced for Illegal Firearm after Shooting at Officers During High Speed PursuitRead the Press Release
SPRINGFIELD, Mo. – A Galena, Kansas, man who shot at police officers during a high-speed pursuit from Joplin, Mo., into Kansas was sentenced in federal court today for illegally possessing a firearm.
Adam Everett Kastler, 36, was sentenced by U.S. District Judge M. Douglas Harpool to 13 years and six months in federal prison without parole.
On Feb. 6, 2024, Kastler pleaded guilty to being a felon in possession of a firearm. Kastler admitted he was in possession of a Smith & Wesson 9mm semi-automatic handgun on Feb. 23, 2023.
Joplin, Mo., police officers spotted Kastler, who had outstanding arrest warrants, inside a Chevrolet Tahoe that was pulled over in a traffic stop on 7th Street. Kastler, who was in the passenger’s seat, pointed a firearm at the driver and said he would shoot him if he did not flee from the police. Instead, the driver got out of the vehicle and laid on the ground.
After the driver got out of the vehicle, Kastler moved from the passenger’s seat to the driver’s seat and fled from the scene with the officers in pursuit. Kastler drove through town at high rates of speed, ignoring multiple stop signs. The pursuit continued into Kansas, where deputies with the Cherokee County Sheriff’s Department assisted in the pursuit.
Officers saw Kastler shooting at them from the vehicle before he lost control and crashed. Kastler was arrested. Officers found the loaded firearm on the center console and two spent shell casings laying on the driver’s side floorboard. Officers also found a methamphetamine glass smoking pipe with residue, three cell phones, and four open containers of alcohol.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Kastler has prior felony convictions for distributing methamphetamine and aggravated domestic battery.
This case was prosecuted by Supervisory Assistant U.S. Attorney Randall D. Eggert. It was investigated by the Joplin, Mo., Police Department, the Cherokee County, Kan., Sheriff’s Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
KC Man Pleads Guilty to Illegal Ammunition, Assaulting OfficerRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man who rammed into a federal agent’s vehicle while attempting to escape arrest pleaded guilty in federal court today to illegally possessing ammunition and assaulting a federal law enforcement officer.
Charles D. Jackson, also known as “Grove Street” and “C Jackem,” 30, pleaded guilty before U.S. Chief District Judge Beth Phillips to one count of being a felon in possession of ammunition and one count of assaulting a federal law enforcement officer.
On Aug. 24, 2023, agents and task officers with the Bureau of Alcohol, Tobacco, Firearms and Explosives executed a search warrant at Jackson’s residence. As officers approached on foot, an ATF agent pulled her vehicle into the driveway to pin in a black Kia sedan parked in the driveway and still running. All of the agents and officers were wearing clearly marked body armor identifying them as “ATF Police.”
The officers announced themselves and the ATF agent activated the emergency equipment on her vehicle. Jackson, who was fully reclined in the driver’s seat, popped up and put the car in drive. He rammed into the front of the ATF vehicle, then attempted to back up and drive forward several times in an apparent attempt to escape. However, the ATF agent pushed the Kia into the garage with her vehicle, immobilizing it.
The ATF vehicle was damaged as a result of Jackson ramming it. Under the terms of today’s plea agreement, Jackson must pay restitution for the damage.
On the floorboard of the front’s driver’s seat where Jackson had been sitting, agents located a loaded AR-style 5.56-caliber pistol with no serial number and with an extended magazine, which contained 39 rounds of ammunition.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Jackson has a prior felony conviction for first degree robbery.
Under federal statutes, Jackson is subject to a sentence of up to 16 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney John C. Constance. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Organized Crime and Drug Enforcement Task Force
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Justice Department Repatriates $1.4B Misappropriated 1MDB Funds to MalaysiaRead the Press Release
The Justice Department announced today that it has repatriated an additional $156 million in misappropriated 1Malaysia Development Berhad (1MDB) funds to the people of Malaysia, bringing the total returned by the department to approximately $1.4 billion.
According to court documents, the funds from 1MDB, formerly Malaysia’s investment development fund, were laundered through major financial institutions worldwide, including in the United States, Switzerland, Singapore, and Luxembourg. As alleged in the civil forfeiture complaints, from 2009 through 2015, high-level officials of 1MDB, their associates, and Low Taek Jho, also known as Jho Low, misappropriated more than $4.5 billion in funds belonging to 1MDB through a criminal scheme involving international money laundering and embezzlement. Some of the embezzlement proceeds were also allegedly used to pay bribes.
Beginning in 2016, a landmark effort encompassing 41 civil forfeiture actions filed in the U.S. District Court for the Central District of California and one in the U.S. District Court for the District of Columbia by the Money Laundering and Asset Recovery Section (MLARS) of the Justice Department’s Criminal Division led to the seizure of over $1.7 billion in stolen assets. This is the largest recovery to date under the department’s Kleptocracy Asset Recovery Initiative. The funds include both funds finally forfeited and funds the department assisted in recovering and returning. The department continues to litigate actions against additional assets allegedly linked to this scheme.
1MDB was created by the government of Malaysia to promote economic development in Malaysia through global partnerships and foreign direct investment. Its funds were intended to be used for improving the well-being of the Malaysian people. Instead, funds held by 1MDB and proceeds of bonds issued for and on behalf of 1MDB were misappropriated and spent on a wide variety of extravagant items, including luxury homes and properties in Beverly Hills, New York, and London; a 300-foot superyacht; and fine art by Monet and Van Gogh. The funds were also sent into numerous business investments, including a boutique hotel in Beverly Hills, a movie production company that made “The Wolf of Wall Street,” the redevelopment of the Park Lane Hotel in Manhattan, and shares in EMI, the largest private music rights holder. As alleged, other funds were provided to various public officials and co-conspirators.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division; and Chief Guy Ficco of the IRS Criminal Investigation (IRS-CI) made the announcement.
The FBI’s International Corruption Squads in New York and Los Angeles and IRS-CI are leading the investigation.
MLARS Trial Attorneys Barbara Levy, Josh Sohn, Jonathon Baum, and Sean Fern are prosecuting the case, with assistance from former MLARS Deputy Chief Woo S. Lee; Trial Attorney Kyle Freeny; and former Asset Forfeiture Section Chief Steven Welk, Asset Forfeiture Section Chief Jonathan Galatzan, and former Assistant U.S. Attorneys John Kucera and Michael Sew Hoy for the Central District of California.
The Justice Department’s Office of International Affairs is providing substantial assistance. MLARS’ Program Operations Unit and the U.S. Marshals Service also provided significant support.
Significant assistance has also been provided to the department over the course of its work in the investigations and civil and criminal litigation by the Attorney General’s Chambers of Malaysia, the Royal Malaysia Police, the Malaysian Anti-Corruption Commission, the United Kingdom Financial Conduct Authority, the United Kingdom Prudential Regulation Authority, the United Kingdom National Crime Agency (NCA), the Attorney General’s Chambers of the Territory of the British Virgin Islands, the Attorney General’s Office of the Bailiwick of Guernsey and the Guernsey Economic Crime Division, the International Anti-Corruption Coordinate Centre, the Attorney General’s Chambers of Singapore, the Singapore Police Force–Commercial Affairs Division, the Office of the Attorney General and the Federal Office of Justice of Switzerland, the judicial investigating authority of the Grand Duchy of Luxembourg, the Criminal Investigation Department of the Grand-Ducal Police of Luxembourg, and Indonesian, Latvian and French authorities.
The Kleptocracy Asset Recovery Initiative is led by a team of dedicated MLARS prosecutors in partnership with federal law enforcement agencies, and often with U.S. Attorney’s Offices, to forfeit the proceeds of foreign official corruption and, where appropriate, to seize, forfeit, and repatriate those recovered assets to benefit the people harmed by these acts of corruption and abuse of office. Individuals with information about possible proceeds of foreign corruption located in or laundered through the United States should email [email protected] or submit information at https://tips.fbi.gov/.
Justice Department Finds Civil Rights Violations by Phoenix Police Department and City of PhoenixRead the Press Release
Following a comprehensive investigation, the Justice Department announced today that the Phoenix Police Department (PhxPD) and the City of Phoenix (City) engage in a pattern or practice of conduct that violates the U.S. Constitution and federal law.
Specifically, the Department finds that:
- PhxPD uses excessive force, including unjustified deadly force and other types of force.
- PhxPD and the City unlawfully detain, cite, and arrest people experiencing homelessness and unlawfully dispose of their belongings. This is the first time the Department has found a pattern or practice of conduct that focuses on the rights of people experiencing homelessness.
- PhxPD discriminates against Black, Hispanic, and Native American people when enforcing the law.
- PhxPD violates the rights of people engaged in protected speech and expression.
- PhxPD and the City discriminate against people with behavioral health disabilities when dispatching calls for assistance and responding to people in crisis.
The Department also described serious concerns about PhxPD’s treatment of children. Finally, the Department identified deficiencies in policy, training, supervision, and accountability that contribute to PhxPD and the City’s unlawful conduct.
“The Justice Department has concluded there is reasonable cause to believe that the City of Phoenix and the Phoenix Police Department engage in a pattern or practice of conduct that deprives its residents and visitors, including Black, Hispanic, and Native American people, of their rights under the Constitution and federal law,” said Attorney General Merrick B. Garland. “The release of today’s findings report is an important step toward accountability and transparency, and we are committed to working with the City of Phoenix and Phoenix Police Department on meaningful reform that protects the civil rights and safety of Phoenix residents and strengthens police-community trust.”
“Phoenix residents deserve nothing less than fair, non-discriminatory, and constitutional policing,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our comprehensive investigation revealed unlawful and unconstitutional practices in the Phoenix Police Department’s enforcement activities that impact some of Phoenix’s most vulnerable residents, including Black, Hispanic, and Native American people, homeless people, and those experiencing behavioral health crises. The police also used excessive force, delayed necessary medical aid, and infringed on the civil rights of those engaged in First Amendment-protected conduct, including demonstrations and protests. Our findings provide a blueprint and a roadmap that can help transform the police department, restore community trust and strengthen public safety efforts in one of America’s largest cities. We are committed to working collaboratively with the police department, city officials, and the public to institute reform and remedy the violations we identified in our investigation.”
The Department opened this investigation on Aug. 5, 2021. Career attorneys and staff in the Civil Rights Division’s Special Litigation Section conducted the investigation. The team conducted numerous onsite tours; interviewed PhxPD officers, supervisors, and command staff; spoke with City officials and employees; accompanied behavioral crisis responders, specialty squads that frequently interacted with unhoused people, and officers on ride-alongs; reviewed thousands of documents; and reviewed hundreds of hours of body-worn camera footage.
As it does in every case, the division met regularly throughout the investigation with City and PhxPD officials to provide feedback on the observations of the Department and its policing experts and on reforms to address the issues observed. Multiple subject-matter experts advised the division on the investigation. Collectively, these experts have decades of experience in assessing police tactics and training, internal investigations, 911 call-taking and dispatch, and statistical analyses. Department attorneys and staff also met with community members, advocates, service providers, and other stakeholders in the Phoenix area.
Consistent with its standard practice in investigations of other cities, the Department provided a detailed briefing on the findings to the City and PhxPD on Tuesday, and proposed that the parties agree in principle to negotiate expeditiously and in good faith to reach a comprehensive court-enforceable settlement with independent monitoring.
The Department conducted this investigation pursuant to 34 U.S.C. Section 12601, which prohibits law enforcement officers from engaging in a pattern or practice of conduct that deprives people of rights protected by the Constitution or federal law, Safe Streets Act of 1968, Title VI of the Civil Rights Act of 1964, and Title II of the Americans with Disabilities Act.
The Department will conduct outreach to members of the Phoenix community to explain the findings and for input on remedies to address the Department’s findings. Individuals may also submit recommendations by email at [email protected] or by phone at 866-432-0335.
This is one of 11 investigations into law enforcement agencies opened by the Justice Department under Section 12601 since April 2021. Last year, the Department issued Section 12601 findings reports regarding two of those investigations: the Louisville, Kentucky, Metro Police Department and Minneapolis Police Department. The eight other investigations cover the Lexington, Mississippi, Police Department; Louisiana State Police; Memphis, Tennessee, Police Department; Mount Vernon, New York, Police Department; New York City Police Department’s Special Victims Division; Oklahoma City Police Department; Worcester, Massachusetts, Police Department; and Trenton, New Jersey, Police Department.
Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt.
Information specific to the Civil Rights Division’s Police Reform Work can be found at www.justice.gov/crt/file/922421/download.
The Justice Department will hold a virtual community meeting at 6 p.m. PT / 9 p.m. ET. Members of the public are encouraged to attend to learn more about the findings. Please join the meeting at www.zoomgov.com/webinar/register/WN_wc5Fgkk9TaueUHSmV0J_Eg.
View the findings report here.
View the findings report in Spanish here.
View the executive summary here.
View the executive summary in Spanish here.
Jury Convicts Madison Man of Covid-Relief Fraud, False Statements, and Money LaunderingRead the Press Release
MADISON, WIS. – A Madison, Wisconsin, man has been convicted of Covid-relief fraud, making false statements on loan applications, and money laundering. Eric Upchurch, 36, was convicted following a three-day trial in federal court in Madison. The jury reached a verdict today after approximately five hours of deliberation. The guilty verdict is announced by Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted to provide immediate financial assistance to individuals, families, and organizations affected by the COVID-19 pandemic. This Act authorized the U.S. Small Business Administration (SBA) to offer Paycheck Protection Program (PPP) forgivable loans to business owners negatively affected by the COVID-19 pandemic.
The government presented evidence at trial that from April 2020 to April 2021, Upchurch submitted 14 PPP loan applications to the SBA on behalf of his various companies. In each PPP application, Upchurch falsely represented his companies’ payroll expenses and revenues. Upchurch also submitted false documentation. In total, Upchurch’s fraudulent representations caused the SBA to approve 10 of the loans and deposit approximately $400,000 into bank accounts controlled by Upchurch. The government also presented evidence that Upchurch laundered fraudulently obtained funds by purchasing cryptocurrency.
U.S. District Judge William M. Conley scheduled sentencing for August 30, 2024. Upchurch faces a maximum penalty of 20 years in federal prison on the each of the fraud counts and 10 years on the money laundering count. Upchurch faces a maximum penalty of 5 years in prison on each of the false statement counts.
The case was investigated by the Internal Revenue Service, Federal Bureau of Investigation, and the Small Business Administration, Office of Inspector general. The prosecution is being handled by Assistant U.S. Attorneys Chad Elgersma and William M. Levins.
Jefferson County Man Admits Providing Alcohol, Vapes to Minor for SexRead the Press Release
ST. LOUIS –A man from Jefferson County, Missouri on Thursday admitted exchanging items of value including drugs and vape cartridges with an underage girl in exchange for sexual activity.
Kody L. Willyard, 32, of Barnhart, pleaded guilty in U.S. District Court in St. Louis to one felony count of coercion and enticement of a minor. He admitted providing marijuana, alcohol, vaping devices and vape cartridges to a girl when she was 14 and 15 years old in exchange for sexual activity.
The victim’s father uncovered Willyard’s crimes when he reviewed the victim’s social media and digital communications. He then contacted law enforcement. The victim told authorities that Willyard had also provided items of value to another girl in exchange for sexual acts.
At Willyard’s sentencing, scheduled for September, both Willyard’s lawyer and Assistant U.S. Attorney Jillian Anderson will recommend 15 years in prison. The crime carries a mandatory minimum prison term of 10 years.
The FBI, the St. Louis County Police Department Special Investigations Unit and the Jefferson County Sheriff’s Department investigated the case. Assistant U.S. Attorney Jillian Anderson is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jacksonville Man with Domestic Violence and Felony Convictions Indicted for Illegally Trying to Buy A FirearmRead the Press Release
Jacksonville, FL – United States Attorney Roger B. Handberg announces the return of an indictment charging Jose Dominguez (50, Jacksonville) with making a false statement to a federally licensed firearms dealer during the attempted purchase of a firearm. If convicted, Dominguez faces a maximum penalty of five years in federal prison.
According to the indictment, Dominguez completed an ATF Form 4473 during the attempted purchase of a firearm from a federally licensed firearms dealer. Dominguez indicated on the required paperwork that he had not been convicted of a misdemeanor crime of domestic violence and that he had not been convicted of a crime punishable by more than one year of imprisonment. According to court records, Dominguez was previously convicted of misdemeanor domestic battery in Duval County and three crimes punishable by more than one year of imprisonment in Miami-Dade County, including grand theft and two drug offenses.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Elisibeth Adams.
This is another case uncovered through the FBI’s National Instant Criminal Background Check System (NICS). All NICS denials are reported to federal law enforcement and are reviewed daily for potential criminal prosecution. Federal law makes it a felony offense to make a false statement to a firearms dealer when trying to buy a gun.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Jacksonville Man Pleads Guilty to Bank Fraud Involving Stolen MailRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Frank Anthony Acanda (26, Jacksonville) has pleaded guilty to conspiracy to commit bank fraud. Acanda faces up to 30 years in federal prison and payment of restitution to the victims he and his co-defendant, Jonathan Benavide Hidalgo (26, Jacksonville), defrauded. A sentencing date has not been set.
According to court documents, for several months, Acanda, Hidalgo, and others drove around Fleming Island, Jacksonville, and St. Augustine and stole large volumes of mail from residential and business mailboxes. After opening the mail and stealing checks and money orders, Acanda, Hidalgo, and others acting on their behalf, deposited the items into bank accounts controlled by them and then used ATMs to immediately withdraw cash. In some instances, the co-defendants altered the stolen checks by increasing the amount of the checks to maximize the amount of money they could withdraw from ATMs.
Hidalgo is set for trial in August 2024.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Clay County Sheriff’s Office, Florida Department of Law Enforcement, and the United States Postal Inspection Service - Jacksonville Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein. The asset forfeiture is being handled by Assistant United States Attorney Jennifer M. Harrington.
Isleta Village Man Pleads Guilty to Federal Firearms OffenseRead the Press Release
ALBUQUERQUE – A Isleta Village man was charged by criminal complaint with assault with a dangerous weapon under the major crimes act.
Vincent Jerome Martinez, 18, an enrolled member of the Pueblo of Isleta, appeared before a federal judge today and pled guilty to a criminal information charging him with to assault with a dangerous weapon.
According to court documents, on December 14, 2023, Isleta Pueblo officers responded to a report of shots fired in a residential area. When they arrived on scene, Officers observed Martinez, dressed in black clothing, running behind a shed.
After taking Martinez into custody, a search incident to the arrest revealed three 12-gauge shotgun rounds in Martinez’s pocket and a modified shotgun with an obliterated serial number hidden under a railroad tie near the shed. The shotgun had one spent shell in the ejection port and one live round in the chamber. Officers also found two additional spent shotgun casings nearby.
According to the victim, Martinez came out of a residence shortly after the victim arrived to provide transportation and pointed a shotgun at the victim while threatening to kill him. Martinez then fired the shotgun in the air, causing the victim to drive away. As the victim drove away in his vehicle, Martinez fired several rounds at the victim before fleeing from the scene to hide behind a nearby shed where he was later arrested.
At sentencing, Martinez faces up to 10 years in prison. He will remain in custody pending sentencing, which has not been scheduled.
U.S. Attorney Alexander M.M. Uballez made the announcement today.
The Bureau of Indian Affairs investigated this case with assistance from the Isleta Police Department. Assistant United States Attorney Jesse Pecoraro is prosecuting the case.
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Iraqi Woman Sentenced for Lying to Federal OfficersRead the Press Release
ALBANY, NEW YORK – Israa Sultan, age 44, of New York, New York, was sentenced today to time served (approximately 141 days in jail) for making a false statement to federal authorities.
United States Attorney Carla B. Freedman and Port Director Timothy Walker of the Alexandria Bay Port of Entry, U.S. Customs and Border Protection (CBP), made the announcement.
United States District Judge Anne M. Nardacci also imposed a $5,000 fine and 1 year of supervised release, and she ordered Sultan to reimburse the Office of the Federal Public Defender for the cost of her defense.
Sultan—an Iraqi national lawfully admitted into the United States in 2007—attempted to cross from New York into Canada using another woman’s United States passport. Canadian authorities refused to grant entry to Sultan, and they turned her over to CBP. Sultan falsely told a CBP Officer that she was the person depicted in the passport. When CBP searched Sultan, they recovered approximately 20 grams of cocaine hidden within her shoes. Sultan subsequently brought cocaine into a federal courthouse during a hearing in this case.
CBP investigated the case, which Assistant U.S. Attorney Jonathan S. Reiner prosecuted.
Indictment Charges Carjacking of Uber Eats Driver in NorthwestRead the Press Release
WASHINGTON – Guilbert Rojas Villarroel, 39, of Alexandria, Va., was arraigned today before the Honorable Heidi Pasichow of the Superior Court of the District of Columbia on a Superior Court indictment arising from a September 2023 carjacking, announced U.S. Attorney Matthew M. Graves and Chief Pamela A. Smith, of the Metropolitan Police Department (MPD).
The grand jury returned its indictment on Wednesday, May 29, 2024, charging Villarroel with armed carjacking, robbery while armed, threats to injure/kidnap, and first-degree theft.
According to the government’s evidence, on September 9, 2023, an Uber Eats driver stopped in the 2000 block of K Street NW to pick up an order, leaving his friend, the victim, in the car. Villarroel jumped in the driver’s seat and ordered the victim out of the car. The victim refused, and Villarroel drove off with him still in the car. After a short distance, Villarroel stopped the car and threatened to shoot and kill the victim if he did not get out, and reached toward his waistband, making the victim believe he had a gun. The victim got out of the car and started to call 911 as he walked away. Villarroel eventually abandoned the vehicle and began walking towards the victim. Villarroel approached the victim and threatened to kill him if he called 911. Villarroel then ran away. MPD officers arrived immediately, and arrested Villarroel a short distance away.
This case was investigated by the Metropolitan Police Department and the U.S. Attorney’s Office for the District of Columbia. It is being prosecuted by Assistant U.S. Attorney Shaniqua Butler.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
Interpol Washington and Panama Enhance Border Security Through Project TerminusRead the Press Release
INTERPOL Washington’s Project TERMINUS, in collaboration with the National Central Bureau (NCB) Panama, has significantly enhanced Panama's border security by integrating INTERPOL data into the newly established Border Information and Analysis Targeting Unit (BIATU).
“Through international collaboration, we have significantly increased our Panamanian partners’ ability to detect and disrupt threats, increasing the security in both of our nations,” said INTERPOL Washington Acting Director Jeffrey Grimming. “By better enabling the BIATU to provide timely, relevant, and actionable intelligence to border security leaders, we have collectively made significant strides toward building a safer region and safer world for us all.”
The Panama Ministry of Security recently established BIATU to provide critical intelligence at both strategic and operational levels to law enforcement. This U.S. Embassy-vetted unit operates with the support of a U.S. Customs and Border Protection advisor, who collaborates closely with BIATU personnel to address security vulnerabilities and threats.
However, during an initial site survey by PROJECT Terminus at the BIATU fusion center, it was determined that the center lacked direct access to INTERPOL databases managed by NCB Panama, causing significant gaps and delays in information exchange.
With funding from the U.S. Department of State, Project TERMINUS facilitated the direct connection of BIATU to critical INTERPOL data through NCB Panama, significantly enhancing operational efficiency. This integration not only strengthens Panama's overall security but also reinforces its relations with partner nations.
Project TERMINUS provides expert technical assistance to countries across the world seeking to integrate access to INTERPOL databases into their national border security information-sharing systems. This assistance helps nations screen against the illicit international travel of transnational criminals and terrorists.
Houstonian admits to filing over $500,000 in fraudulent disaster relief loansRead the Press Release
HOUSTON – A 26-year-old woman has pleaded guilty to conspiracy to commit wire fraud, announced U.S. Attorney Alamdar S. Hamdani.
From March 2020 until June 2021, Khalia Douglas conspired with others to submit false and fraudulent applications to the Federal Emergency Management Agency (FEMA), Small Business Administration (SBA), the U.S. government and a bank for financial assistance.
As part of her plea, Douglas admitting to using her Instagram account “GoGettaKaee” to post multiple stories advertising her involvement in filing fraudulent SBA COVID-19 Economic Injury Disaster Loan (EIDL) applications. Such posts include “SBA is back open. $350 for method. Yes im doing applications $100 upfront & $2k when your money hit. You’ll need a real bank account.”
Douglas accepted payment for her services via CashApp where her clients would make payments to her and send a screenshot of the completed payment as proof.
She also submitted false EIDL applications for herself and false Paycheck Protection Program (PPP) applications for another.
Further investigation revealed Douglas filed eight FEMA disaster assistance applications related to Hurricane Laura.
Additionally, Douglas committed several other fraudulent acts like filing false unemployment benefits in Kansas, using another person’s name to rent her apartment and using another person’s bank account to deposit counterfeit checks.
Authorities discovered her phone and computer contained a multitude of various documents and discussions of fraud in text messages, emails relating to fraudulent applications, false tax documents, images of counterfeit government identification documents and more.
Due to her actions, the EIDL, PPP and the bank lost a total of $351,007 with an attempted loss amount of $514,415.
Douglas received approximately $23,775 for her services.
U.S. District Judge Alfred H. Bennett has set sentencing for Sept. 26. At that time, Douglas faces up five years in federal prison and a possible $250,000 maximum fine.
She was permitted to remain on bond pending sentencing.
The Department of Homeland Security-Office of Inspector General conducted the investigation. Assistant U.S. Attorney Rodolfo Ramirez is prosecuting the case.
Houston felon gets max for illegal gun possessionRead the Press Release
HOUSTON – A 22-year-old local man has been ordered to federal prison following his conviction of being a felon in possession of a firearm, announced U.S. Attorney Alamdar S. Hamdani.
Avery Frank Bass Jr. pleaded guilty March 22.
U.S. District Judge David Hittner has now ordered Bass to serve the statutory maximum of 15 years in federal prison to be immediately followed by three years of supervised release. In handing down the sentence, the court noted Bass was a true danger to the community.
Law enforcement arrested Bass as part of the Houston Violent Crime Initiative announced in September 2023.
“Removing violent individuals who use firearms from our communities is one of the top priorities of my office,” said Hamdani. “The Houston Violent Crime Initiative is an innovative program aimed at reducing violent crime by employing federal laws to prosecute gang members and associates in the southwest and southeast areas of Houston. The result in this case demonstrates that we are making progress in our fight to reduce violent and firearms crimes in the Southern District of Texas.”
Local law enforcement was executing an arrest warrant for Bass for aggravated robbery in August 2023. At that time, they discovered a loaded American Tactical AR pistol and a loaded 9mm Glock 17 on the driver’s side floorboard where Bass had been sitting. A review of his criminal history showed that he had three prior felony convictions for robbery, all of which involved the use of a firearm.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, FBI and the Houston Police Department conducted the investigation.
Assistant U.S. Attorney Kelly Zenon-Matos prosecuted the case along with Trial Attorneys Ralph Paradiso and Shelia Lafferty of the Justice Department’s Violent Crime and Racketeering Section.
Georgian Sentenced to Life Imprisonment for Armed Fentanyl Trafficking in MaconRead the Press Release
MACON, Ga. – A confirmed member of a local criminal street gang was sentenced to life in prison this week for his role in a prolific armed drug organization in Middle Georgia dealing kilograms of fentanyl and other deadly street drugs often mixed with the lethal synthetic opioid.
Kenneth Emanuel Pertillo, Jr. aka “Fat Boy,” 40, of Gray, Georgia, and formerly of Macon, West Virginia and North Carolina, was sentenced to serve life in prison to be followed by ten years of supervised release by U.S. District Judge Ashley Royal on June 12. Pertillo was found guilty at trial on Oct. 2, 2023, of one count of conspiracy to possess with intent to distribute fentanyl, methamphetamine and heroin and one count of possession with intent to distribute fentanyl, methamphetamine, heroin, cocaine and cocaine base. His co-defendant at trial, Johnifer Dernard Barnwell, 37, of Macon, was found guilty of one count of conspiracy to possess with intent to distribute fentanyl, methamphetamine and heroin; one count of possession with intent to distribute fentanyl, methamphetamine, heroin, cocaine and cocaine base; and one count of possession of a firearm in furtherance of a drug trafficking crime. Barnwell faces a maximum of life in prison and his sentencing date will be determined by the Court. There is no parole in the federal system.
“This armed criminal organization was pushing large amounts of fentanyl and other lethal combinations of street drugs mixed with fentanyl into our neighborhoods, putting many people at risk of death and degrading the safety of all,” said U.S. Attorney Peter D. Leary. “Working alongside law enforcement at every level, our office will continue to leverage every available investigative and prosecutorial tool to reduce violent crime and keep communities safe.”
“Gangs wreak havoc on local residents by engaging in violence and peddling dangerous drugs that devastate communities and families," said Senior Supervisory Special Agent Robert Gibbs of FBI Macon. "As this lengthy sentence demonstrates, the FBI and our partners will do whatever is necessary to dismantle violent criminal enterprises and keep our communities safe."
According to court documents and evidence presented at trial, FBI began investigating a large-scale fentanyl, heroin and methamphetamine distribution organization in Macon and the Central Georgia region in March 2020. Federal agents identified Pertillo and Barnwell as distributors and part of the MOB (Money Over Bitches) sect of the Mafia criminal street gang. To advance the investigation, agents conducted multiple controlled purchases from various defendants in the case and obtained orders authorizing wiretaps on five phones used by members of the organization, including Barnwell. Controlled purchases occurred at trap houses on Mimosa Drive and Culver Street, and at a local nightclub, among other locations. Illegal drugs being sold as “heroin” often tested as a fentanyl mix.
On July 20, 2021, FBI executed search warrants at eleven Macon addresses identified as trap houses or distribution locations on Mimosa Drive, Culver Street, Forest Hill Road, Riverside Park Boulevard, Lucerne Drive, Shurling Drive and Kingsview Drive. Agents found approximately eight kilograms of fentanyl, methamphetamine, heroin, cocaine and cocaine base plus 20 firearms, hundreds of rounds of ammunition, large-capacity firearm magazines and more than $50,000 cash. At one location—an apartment identified as a drug “lab” at 3990 Riverside Park Blvd. where Barnwell and Pertillo would mix fentanyl and heroin in a kitchen blender before selling it—agents found approximately 2.5 kilograms of methamphetamine, nearly one kilogram of pure fentanyl, more than one kilogram of a pure fentanyl chemical analogue and more than two kilograms of blends containing fentanyl, heroin and fentanyl analogue mix. Agents also found nearly half a kilogram of pure heroin, more than 280 grams of cocaine base, 80 grams of cocaine and 64 grams of ketamine. Agents seized several firearms, a fully loaded AR14 drum magazine, ammunition and $5,778 cash at that location.
In all, the organization is responsible for distributing or possessing with the intent to distribute more than three kilograms of fentanyl or fentanyl analogue, 2.5 kilograms of methamphetamine, nearly two kilograms of heroin and significant quantities of cocaine base and cocaine.
The following co-defendants have been sentenced:
Troy Truelle Williams, Sr., aka “Ty, 55, of Macon, was sentenced to serve 300 months in prison to be followed by five years of supervised release on March 13, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl and heroin;
De’Kerio Ja’mel Coleman aka “Dee,” 36, of Macon, was sentenced to serve 220 months in prison to be followed by three years of supervised release on Feb. 13, after he previously pleaded guilty to distribution of fentanyl;
Christopher Leon Coleman aka “Slim,” 41, of Macon, was sentenced to serve 188 months in prison to be followed by five years of supervised release on Feb. 13, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl, heroin and methamphetamine;
Gregory Bernard Jolly aka “Stank,” 38, of Macon, was sentenced to serve 188 months in prison to be followed by three years of supervised release on May 15, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl, heroin and methamphetamine;
Joshua Antoine Green aka “J” or “Jay,” 33, of Macon, was sentenced to serve 160 months in prison to be followed by three years of supervised release on Jan. 24, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl, heroin and methamphetamine;
Romello Campbell, 22, of Macon, was sentenced to serve 120 months in prison to be followed by three years of supervised release on May 9, 2023, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl, heroin and methamphetamine;
Diamond Monique Thomas, 28, of Macon, was sentenced to serve 96 months in prison to be followed by three years of supervised release on July 11, 2023, after she previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl, heroin and methamphetamine;
Jameliha Shalonda Coleman aka “Juicy,” 27, of Macon, was sentenced to serve 90 months in prison to be followed by three years of supervised release on June 9, 2023, after she previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl, heroin and methamphetamine;
Recardo Keon Ray aka “Keon,” 39, of Macon, was sentenced to serve 70 months in prison to be followed by three years of supervised release on Feb. 13, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl, heroin and methamphetamine;
Johnnie B. Lowe, 68, of Macon, was sentenced to serve 63 months in prison to be followed by three years of supervised release on March 13, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl;
Michael Clifford White, 41, of Macon, was sentenced to serve 63 months in prison to be followed by three years of supervised release on March 13, after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl;
Tiara Thomas aka “Red,” 23, of Macon, was sentenced to serve 60 months in prison to be followed by three years of supervised release on Jan. 24, after she previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances, including fentanyl; and
Rochelle Oliver aka “Chelle,” 40, of Macon, was sentenced to three years of probation on Feb. 13, after she previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The case was investigated by the FBI, with assistance from numerous agencies who participated in executing search warrants and conducting arrests, including the DEA, the GBI, the Bibb County Sheriff’s Office, the Butts County Sheriff’s Office, the Bleckley County Sheriff’s Office, the Houston County Sheriff’s Office, the Georgia Department of Corrections, the Perry Police Department and the Athens-Clarke County Police Department.
Assistant U.S. Attorney Joy Odom is prosecuting the case for the Government.
Founder/CEO and Clinical President of Digital Health Company Arrested for $100M Adderall Distribution and Health Care Fraud SchemeRead the Press Release
SAN FRANCISCO – The founder and CEO of a California-based digital health company and its clinical president were arrested today in connection with their alleged participation in a scheme to distribute Adderall over the internet, conspire to commit health care fraud in connection with the submission of false and fraudulent claims for reimbursement for Adderall and other stimulants, and obstruct justice.
Ruthia He, the founder and CEO of Done Global Inc., was arrested in Los Angeles and will make her initial appearance at 1:30 p.m. PDT/4:30 p.m. EDT in Los Angeles. David Brody, the clinical president of Done Health P.C. (collectively, Done), was arrested in San Rafael, California, and will make his initial appearance at 10:30 a.m. PDT/1:30 p.m. EDT in San Francisco, California.
“As alleged, these defendants exploited the COVID-19 pandemic to develop and carry out a $100 million scheme to defraud taxpayers and provide easy access to Adderall and other stimulants for no legitimate medical purpose,” said Attorney General Merrick B. Garland. “Those seeking to profit from addiction by illegally distributing controlled substances over the internet should know that they cannot hide their crimes and that the Justice Department will hold them accountable.”
“The individuals charged today allegedly disregarded the first rule of medical care—do no harm—in order to maximize profits, and there is no place for such fraud in our healthcare system,” said Secretary of Homeland Security Alejandro N. Mayorkas. “The indictment levied against these individuals sends a clear message: the Department of Homeland Security, our Homeland Security Investigations personnel, and our partners across the federal government will hold accountable those providers and prescribers who prey on their patients.”
“The internet is a place of remarkable innovation, allowing its users to make innumerable types of transactions with greater ease. Such transactions, however, must always be legal,” said Deputy Chief of the Criminal Division Matthew Yelovich for the Northern District of California. “The indictment alleges that He and Brody used an internet-based infrastructure to illegally distribute drugs and to conspire to commit health care fraud. This office will always prosecute health care fraud and illegal drug distribution on the internet as vigorously as we do traditional frauds and illegal drug distribution.”
According to court documents, He and Brody allegedly conspired with others to provide easy access to Adderall and other stimulants in exchange for payment of a monthly subscription fee. The indictment alleges that the conspiracy’s purpose was for the defendants to unlawfully enrich themselves by, among other things, by increasing monthly subscription revenue and thus increasing the value of the company. Done allegedly arranged for the prescription of over 40 million pills of Adderall and other stimulants, and obtained over $100 million in revenue.
“As alleged in the indictment, the defendants provided easy access to Adderall and other stimulants by exploiting telemedicine and spending millions on deceptive advertisements on social media. They generated over $100 million in revenue by arranging for the prescription of over 40 million pills,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “These charges are the Justice Department’s first criminal drug distribution prosecutions related to telemedicine prescribing through a digital health company. As these charges make clear, corporate executives who put profit over the health and safety of patients—including by using technological innovation—will be held to account.”
He and Brody allegedly obtained subscribers by targeting drug seekers and spending tens of millions of dollars on deceptive advertisements on social media networks. They also allegedly intentionally structured the Done platform to facilitate access to Adderall and other stimulants, including by limiting the information available to Done prescribers, instructing Done prescribers to prescribe Adderall and other stimulants even if the Done member did not qualify, and mandating that initial encounters would be under 30 minutes. To maximize profits, He allegedly put in a place an “auto-refill” function that allowed Done subscribers to elect to have a message requesting a refill be auto-generated every month. He wrote that Done sought to “use the comp structure to dis-encourage follow-up” medical care by refusing to pay Done prescribers for any medical visits, telemedicine consultation, or time spent caring for patients after an initial consultation, and instead paying solely based on the number of patients who received prescriptions.
“The defendants in this case operated Done Global Inc., an online telehealth website that prescribed Adderall and other highly addictive medications to patients who bought a monthly subscription. The defendants allegedly preyed on Americans and put profits over patients by exploiting telemedicine rules that facilitated access to medications during the unprecedented COVID-19 public health emergency,” said DEA Administrator Anne Milgram. “Instead of properly addressing medical needs, the defendants allegedly made millions of dollars by pushing addictive medications. In many cases, Done Global prescribed ADHD medications when they were not medically necessary. In 2022 the FDA issued a notice of shortages in prescription stimulants, including Adderall. Any diversion of Adderall and other prescription stimulant pills to persons who have no medical need only exacerbates this shortage and hurts any American with a legitimate medical need for these drugs. The DEA will continue to hold accountable anyone, including company executives, that uses telehealth platforms to put profit above patient safety.”
“As more health care needs are met through telemedicine, we will not tolerate fraud schemes that seek to recklessly exploit digital technologies,” said Honorable Christi A. Grimm of the Department of Health and Human Services Inspector General (HHS-OIG). “We will continue to work with our law enforcement partners to protect the enrollees of federal health care programs by ensuring that requirements for the appropriate, legal prescribing of stimulants and other drugs are always met, and those who choose to violate them are held accountable.”
He and Brody allegedly persisted in the conspiracy even after being made aware that material was posted on online social networks about how to use Done to obtain easy access to Adderall and other stimulants, and that Done members had overdosed and died. They also allegedly concealed and disguised the conspiracy by making fraudulent representations to media outlets to forestall government investigations and action and induce third parties to continue doing business with Done.
“Healthcare fraud is not a victimless crime. It levies a tremendous cost on our nation’s healthcare systems and economy,” said Executive Associate Director Katrina W. Berger of Homeland Security Investigations (HSI). “Today’s announcement should serve as a reminder that it is only a matter of time before anyone engaging in fraudulent activity is caught and brought to justice.”
“Instead of prioritizing the health of their customers, He and Brody’s telemedicine company allegedly prioritized profits—more than $100 million worth—by fraudulently prescribing medications like Adderall and other stimulants,” said Chief Guy Ficco of IRS Criminal Investigation. “This led customers to addiction, abuse, and overdoses, which the company tried to conceal by making false representations to the media in order to deter oversight by government agencies.”
He, Brody, and others also conspired to defraud pharmacies and Medicare, Medicaid, and the commercial insurers to cause the pharmacies to dispense Adderall and other stimulants to Done members in violation of their corresponding responsibility; Medicare, Medicaid, and the commercial insurers to pay for the cost of these drugs; and Done members to continue to pay subscription fees to Done. He and others allegedly made false and fraudulent representations about Done’s prescription policies and practices to induce the pharmacies to fill Done’s prescriptions. As a result, Medicare, Medicaid, and the commercial insurers paid in excess of approximately $14 million.
The indictment also alleges that He and Brody conspired to obstruct justice after a grand jury subpoena was issued to another telehealth company and in anticipation of a subpoena being issued to Done, including by deleting documents and communications, using encrypted messaging platforms instead of company email, and ultimately failing to produce documents in response to a subpoena issued to Done by a federal grand jury.
If convicted, He and Brody each face a maximum penalty of 20 years in prison on the conspiracy to distribute controlled substances and distribution of controlled substances counts.
The DEA, HHS-OIG, HSI, and IRS Criminal Investigation are investigating the case.
Assistant U.S. Attorneys Kristina Green, Katherine Lloyd-Lovett, and Lloyd Farnham for the Northern District of California and Principal Assistant Chief Jacob Foster and Trial Attorney Raymond Beckering III of the DOJ’s Criminal Division’s Fraud Section are prosecuting 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.
Any patient of Done or medical professional who has been involved with the allegedly illegal conduct should call to report this conduct to the DEA hotline at 646-466-5159.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
dkt_1_he_brody_indictment.pdfFounder/CEO and Clinical President of Digital Health Company Arrested for $100M Adderall Distribution and Health Care Fraud SchemeRead the Press Release
The founder and CEO of a California-based digital health company and its clinical president were arrested today in connection with their alleged participation in a scheme to distribute Adderall over the internet, conspire to commit health care fraud in connection with the submission of false and fraudulent claims for reimbursement for Adderall and other stimulants, and obstruct justice.
Ruthia He, the founder and CEO of Done Global Inc., was arrested in Los Angeles and will make her initial appearance at 1:30 p.m. PDT/4:30 p.m. EDT in Los Angeles. David Brody, the clinical president of Done Health P.C. (collectively, Done), was arrested in San Rafael, California, and will make his initial appearance at 10:30 a.m. PDT/1:30 p.m. EDT in San Francisco, California.
“As alleged, these defendants exploited the COVID-19 pandemic to develop and carry out a $100 million scheme to defraud taxpayers and provide easy access to Adderall and other stimulants for no legitimate medical purpose,” said Attorney General Merrick B. Garland. “Those seeking to profit from addiction by illegally distributing controlled substances over the internet should know that they cannot hide their crimes and that the Justice Department will hold them accountable.”
“The individuals charged today allegedly disregarded the first rule of medical care—do no harm—in order to maximize profits, and there is no place for such fraud in our healthcare system,” said Secretary of Homeland Security Alejandro N. Mayorkas. “The indictment levied against these individuals sends a clear message: the Department of Homeland Security, our Homeland Security Investigations personnel, and our partners across the federal government will hold accountable those providers and prescribers who prey on their patients.”
“As alleged in the indictment, the defendants provided easy access to Adderall and other stimulants by exploiting telemedicine and spending millions on deceptive advertisements on social media. They generated over $100 million in revenue by arranging for the prescription of over 40 million pills,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “These charges are the Justice Department’s first criminal drug distribution prosecutions related to telemedicine prescribing through a digital health company. As these charges make clear, corporate executives who put profit over the health and safety of patients—including by using technological innovation—will be held to account.”
According to court documents, He and Brody allegedly conspired with others to provide easy access to Adderall and other stimulants in exchange for payment of a monthly subscription fee. The indictment alleges that the conspiracy’s purpose was for the defendants to unlawfully enrich themselves by, among other things, by increasing monthly subscription revenue and thus increasing the value of the company. Done allegedly arranged for the prescription of over 40 million pills of Adderall and other stimulants, and obtained over $100 million in revenue.
“The internet is a place of remarkable innovation, allowing its users to make innumerable types of transactions with greater ease. Such transactions, however, must always be legal,” said Deputy Chief of the Criminal Division Matthew Yelovich for the Northern District of California. “The indictment alleges that He and Brody used an internet-based infrastructure to illegally distribute drug sales and to conspire to commit health care fraud. This office will always prosecute health care fraud and illegal drug distribution on the internet as vigorously as we do traditional frauds and illegal drug distribution.”
He and Brody allegedly obtained subscribers by targeting drug seekers and spending tens of millions of dollars on deceptive advertisements on social media networks. They also allegedly intentionally structured the Done platform to facilitate access to Adderall and other stimulants, including by limiting the information available to Done prescribers, instructing Done prescribers to prescribe Adderall and other stimulants even if the Done member did not qualify, and mandating that initial encounters would be under 30 minutes. To maximize profits, He allegedly put in a place an “auto-refill” function that allowed Done subscribers to elect to have a message requesting a refill be auto-generated every month. He wrote that Done sought to “use the comp structure to dis-encourage follow-up” medical care by refusing to pay Done prescribers for any medical visits, telemedicine consultation, or time spent caring for patients after an initial consultation, and instead paying solely based on the number of patients who received prescriptions.
“The defendants in this case operated Done Global Inc., an online telehealth website that prescribed Adderall and other highly addictive medications to patients who bought a monthly subscription. The defendants allegedly preyed on Americans and put profits over patients by exploiting telemedicine rules that facilitated access to medications during the unprecedented COVID-19 public health emergency,” said DEA Administrator Anne Milgram. “Instead of properly addressing medical needs, the defendants allegedly made millions of dollars by pushing addictive medications. In many cases, Done Global prescribed ADHD medications when they were not medically necessary. In 2022 the FDA issued a notice of shortages in prescription stimulants, including Adderall. Any diversion of Adderall and other prescription stimulant pills to persons who have no medical need only exacerbates this shortage and hurts any American with a legitimate medical need for these drugs. The DEA will continue to hold accountable anyone, including company executives, that uses telehealth platforms to put profit above patient safety.”
“As more health care needs are met through telemedicine, we will not tolerate fraud schemes that seek to recklessly exploit digital technologies,” said Honorable Christi A. Grimm of the Department of Health and Human Services Inspector General (HHS-OIG). “We will continue to work with our law enforcement partners to protect the enrollees of federal health care programs by ensuring that requirements for the appropriate, legal prescribing of stimulants and other drugs are always met, and those who choose to violate them are held accountable.”
He and Brody allegedly persisted in the conspiracy even after being made aware that material was posted on online social networks about how to use Done to obtain easy access to Adderall and other stimulants, and that Done members had overdosed and died. They also allegedly concealed and disguised the conspiracy by making fraudulent representations to media outlets to forestall government investigations and action and induce third parties to continue doing business with Done.
“Healthcare fraud is not a victimless crime. It levies a tremendous cost on our nation’s healthcare systems and economy,” said Executive Associate Director Katrina W. Berger of Homeland Security Investigations (HSI). “Today’s announcement should serve as a reminder that it is only a matter of time before anyone engaging in fraudulent activity is caught and brought to justice.”
“Instead of prioritizing the health of their customers, He and Brody’s telemedicine company allegedly prioritized profits—more than $100 million worth—by fraudulently prescribing medications like Adderall and other stimulants,” said Chief Guy Ficco of IRS Criminal Investigation. “This led customers to addiction, abuse, and overdoses, which the company tried to conceal by making false representations to the media in order to deter oversight by government agencies.”
He, Brody, and others also conspired to defraud pharmacies and Medicare, Medicaid, and the commercial insurers to cause the pharmacies to dispense Adderall and other stimulants to Done members in violation of their corresponding responsibility; Medicare, Medicaid, and the commercial insurers to pay for the cost of these drugs; and Done members to continue to pay subscription fees to Done. He and others allegedly made false and fraudulent representations about Done’s prescription policies and practices to induce the pharmacies to fill Done’s prescriptions. As a result, Medicare, Medicaid, and the commercial insurers paid in excess of approximately $14 million.
The indictment also alleges that He and Brody conspired to obstruct justice after a grand jury subpoena was issued to another telehealth company and in anticipation of a subpoena being issued to Done, including by deleting documents and communications, using encrypted messaging platforms instead of company email, and ultimately failing to produce documents in response to a subpoena issued to Done by a federal grand jury.
If convicted, He and Brody each face a maximum penalty of 20 years in prison on the conspiracy to distribute controlled substances and distribution of controlled substances counts.
The DEA, HHS-OIG, HSI, and IRS Criminal Investigation are investigating the case.
Principal Assistant Chief Jacob Foster and Trial Attorney Raymond Beckering III of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Kristina Green, Katherine Lloyd-Lovett, and Lloyd Farnham for the Northern District of California are prosecuting 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.
Any patient of Done or medical professional who has been involved with the allegedly illegal conduct should call to report this conduct to the DEA hotline at 646-466-5159.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Fort Worth Man Charged with Threatening Federal Agent: ‘Guns Will Come Out’Read the Press Release
A Fort Worth man has been charged with threatening an FBI agent involved in a high-profile investigation, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Timothy Muller, 43, was charged via criminal complaint on Thursday with interstate threatening communications and influencing, impeding, or retaliating against a federal official. He was arrested outside his home on Thursday morning without incident.
According to the complaint, Mr. Muller allegedly placed a call to an FBI special agent at 5:03 p.m. on June 11.
The agent was known to have been involved in an investigation into a laptop belonging to H.B. Shortly before Mr. Muller allegedly placed his call to the agent, media outlets reported that H.B. had been convicted following a trial related to a 2018 firearm purchase.
According to the complaint, Mr. Muller said, “hey,” and the agent disconnected the call. Mr. Muller immediately called back and allegedly left a one-minute and five-second message threatening the agent and his family:
“You can run, but you can’t [expletive] hide,” Mr. Muller allegedly said. “ You covered up child pornography. You covered up [H.B.] raping his own [expletive] niece.”
“So here’s how it’s gonna go,” Mr. Muller allegedly continued. “[T.]’s gonna win the re-election, and then we’re gonna [expletive] go through the FBI and just start throwing you [expletive]s into jail. Or, you can steal another election, and then the guns will come out, and we’ll hunt you [expletive]s down and slaughter you like the traitorous dogs you are in your own [expletive] homes. In your own [expletive] beds. The last thing you’ll ever hear are the horrified shrieks of your widow and orphans. And then you know what we’re going to do? … We’re going to slaughter your whole [expletive] family.”
Mr. Muller then allegedly sent the agent several texts, writing, “How’s the family? Safe?” and “Did you [expletive]s really think you were going to disenfranchise 75 million Americans and not die? Lol.”
A criminal complaint is merely an allegation of criminal conduct, not evidence. Mr. Muller is presumed innocent until proven guilty in a court of law.
If convicted, he faces up to 10 years in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. The U.S. Attorney’s Office for the Northern District of Texas is prosecuting the case.
Former University City High School Teacher Pleads Guilty to Attempted Enticement of a MinorRead the Press Release
NEWS RELEASE SUMMARY – June 13, 2024
SAN DIEGO – Sean Stevenson, a former high school science teacher at University City High School, pleaded guilty in federal court today, admitting that when he was still a teacher, he sought commercial sex with a 16-year-old girl.
Stevenson was arrested in October 2023 when he arrived for what he thought would be a sexual rendezvous with the underage girl. At the time he was unaware that he was communicating online with an undercover agent.
Stevenson’s alleged illicit activity was discovered during another sex trafficking investigation. According to his plea agreement, Stevenson used a voice-over-internet protocol (VOIP) line to negotiate by text message for commercial sex with a woman who identified herself as “Kash.” Stevenson offered Kash a fee to find a female under the age of 18 for Stevenson. In pertinent part, Stevenson made these statements to Kash via text: “I don’t suppose you know in[sic] younger girls I could pay u a premium for?”; “I pay u a finders fee and I pay her”; “The younger the better”; and “Just keep it in mind if you come across any high school age girls.” When Kash suggested an 18-year-old girl, Stevenson replied: “Not young enough.”
When Kash was arrested as part of the sex trafficking investigation, an undercover officer continued the online conversation with Stevenson. Believing he was still speaking with Kash, when the undercover officer offered a 16-year-old cousin for commercial sex with Stevenson, he replied: “Oh ... yes!” Stevenson continued to exchange messages with the undercover officer, negotiating $150 for a “bbbj” (oral copulation without a condom); $100 for manual genital stimulation; a “car date” (a commercial sex encounter that occurs inside a vehicle). The exchange continued, with Stevenson stating, “Ok. Well I’m interested in her for sure!” He asked for a “sexy pic,” negotiated a $140 fee and arranged to meet up.
On October 24, 2023, at approximately 7 a.m., Stevenson arrived at the pre-arranged meet up location. He drove to a parking lot where he had a full unobstructed view of the meeting location. He then drove laps around a nearby apartment complex where he expected to meet the 16-year-old. Stevenson was stopped by law enforcement officials and placed under arrest. During the arrest, $140 was located in the driver’s side door storage area of Stevenson’s Mazda Miata.
“Instead of a protector, this teacher became a predator,” said U.S. Attorney Tara McGrath. “These despicable acts betray the trust of students, parents, and the entire community. Yet through swift justice in this case we have continued to protect children from being exploited, trafficked, and abused.”
“Mr. Stevenson was a trusted member of the community who preyed upon our most vulnerable youth,” said Christopher Davis, acting special agent in charge for HSI San Diego. “HSI is fully committed to working with our law enforcement partners to rescue victims and aggressively investigate allegations of human trafficking and sexual exploitation of children. We encourage anyone who has information related to human trafficking and sexual exploitation of children to report it to law enforcement immediately.”
Stevenson is scheduled to be sentenced on September 5, 2024, at 9 a.m. before U.S. District Judge Anthony J. Battaglia.
This case is being prosecuted by Assistant U.S. Attorneys Derek Ko and Andrew Sherwood.
Anyone with information about this case is urged to contact San Diego County Crime Stoppers (888-580-8477) and the National Human Trafficking Hotline (888-373-7888).
DEFENDANTS Case Number
Sean Stevenson Age: 58 San Diego, CA
SUMMARY OF CHARGES
Attempted Enticement of a Minor– Title 18, U.S.C., Section 2422(b)
Maximum penalty: Life in prison, 10-year mandatory minimum
INVESTIGATING AGENCIES
Homeland Security Investigations
San Diego Human Trafficking Task Force
Former UC Davis and Davis Club Water Polo Coach Pleads Guilty to Distribution of Visual Depictions of Minors Engaged in Sexually Explicit ConductRead the Press Release
SACRAMENTO, Calif. — Daniel Joseph Noble, 28, residing in San Diego County, pleaded guilty today to knowing distribution of visual depictions of minors engaged in sexually explicit conduct, U.S. Attorney Phillip A. Talbert announced.
According to court records, between March 10, 2022, and April 12, 2022, Noble participated in a Kik private group chat dedicated to sharing videos of child pornography. Noble shared over 20 video files with the Kik group. Some of those files that Noble shared showed prepubescent minors being sexually abused by adults. At the time he engaged in this conduct, Noble was working as the assistant water polo coach for UC Davis men’s team and the associated youth team.
This case is the product of an investigation by the Federal Bureau of Investigation in Sacramento and in Jacksonville, Florida, and the Sacramento Valley Hi-Tech Crimes Task Force. Assistant U.S. Attorney Christina McCall is prosecuting the case.
Following his guilty plea, Noble was remanded into custody. He is scheduled to be sentenced on Sept. 12, 2024, by U.S. District Judge Daniel J. Calabretta. Noble faces a maximum statutory penalty of 20 years in prison, with a mandatory minimum of five years in prison, a $250,000 fine, and up to a lifetime of supervised release. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
Former Nurse Sentenced for Adulteration of FentanylRead the Press Release
BOSTON – A former nurse was sentenced yesterday in federal court in Boston for adulteration of fentanyl at a local hospital.
Caroline Sheehan, 39, of Lowell, Mass., was sentenced by U.S. District Court Judge Angel Kelley to three years of probation and ordered not to pursue employment that requires a registered nurse license or permits access to prescription narcotics. In February 2024, Sheehan pleaded guilty to one count of adulteration of a prescription drug with intent to defraud and mislead.
In March 2021, while working at a Massachusetts hospital, Sheehan removed a bag of intravenous fentanyl solution from an automated dispensing machine. Sheehan used a syringe to remove fentanyl from the IV bag, injected saline into the bag to replace the fentanyl she had removed and returned the bag to its drawer in the machine. A hospital employee saw a blood stain on the IV bag and removed the IV bag, which laboratory testing confirmed contained less than the declared concentration of fentanyl, from the machine before any of the adulterated fentanyl solution was administered to a patient. Sheehan later admitted that she had withdrawn fentanyl from the IV bag and replaced it with saline to avoid getting caught. Sheehan later admitted that she had been stealing prescription drugs from the hospital for months, replacing the siphoned drugs with saline solution, to feed her substance abuse addiction.
Acting United States Attorney Joshua S. Levy; Fernando McMillan, Special Agent in Charge of the Food and Drug Administration, Office of Criminal Investigations; Robert Coviello, Special Agent in Charge of the Department of Health and Human Services, Office of the Inspector General; and Robert H. Goldstein, MD, PhD, Commissioner of the Massachusetts Department of Public Health made the announcement. Assistant U.S. Attorney Kelly Begg Lawrence, Chief of the Health Care Fraud Unit prosecuted the case.
Former Manchester Man Pleads Guilty to the Unlawful Possession of Firearms and AmmunitionRead the Press Release
CONCORD – A former Manchester man pleaded guilty in federal court to being a felon in possession of firearms and ammunition, U.S. Attorney Jane E. Young announces.
James Aubuchont, 52, pleaded guilty to the illegal possession of two firearms and over 2,000 rounds of ammunition. U.S. District Court Judge Joseph N. Laplante scheduled sentencing for September 19, 2024. Aubuchont is already serving a sentence in New Hampshire state prison on other offenses.
In July 2023, a state warrant was issued for Aubuchont’s arrest in connection with an aggravated felonious sexual assault. Law enforcement arrested him on July 12, 2023, near the Flat Mountain Pond Shelter in the White Mountains. During a recorded jailhouse call, Aubuchont asked another person to retrieve his two “fishing rods” from the campsite, including one that “we got from VJ, remember the one you bought?” Three days later, law enforcement recovered a rifle and pistol from Aubuchont’s campsite, along with over 2,000 rounds of ammunition. The rifle had been purchased from a firearms dealer operated by an individual with the first and middle initials V.J.
The charging statute provides a sentence of no greater than 15 years in prison, 3 years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
The Bureau of Alcohol, Tobacco, and Firearms led the investigation. The Carroll County Sheriff’s Department and U.S. Forest Service provided valuable assistance. Assistant U.S. Attorneys Alexander S. Chen and Tiffany A. Scanlon are prosecuting the case.
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Foreign national convicted for participation in business email compromise schemeRead the Press Release
ALEXANDRIA, Va. – A federal jury convicted a Nigerian national today for operating a business email compromise scheme targeting victims in the United States and elsewhere.
According to court documents and evidence presented at trial, Ebuka Raphael Umeti, 35, and his co-conspirators sent victim businesses phishing emails, which were made to appear as though they originated from trusted senders, such as a bank or a vendor. These phishing attacks allowed the co-conspirators to gain unauthorized access to victim computer systems and email accounts, including by infecting victim computers with malicious software or “malware” that provided the co-conspirators with remote access. The co-conspirators then exploited that access to obtain sensitive information, which they used to deceive individuals at victim companies into executing wire transfers to accounts specified by the co-conspirators. As a result of this scheme, the co-conspirators caused or attempted to cause more than $1.5 million of loss to victims.
“Umeti participated in a sophisticated computer hacking and business email compromise scheme that targeted numerous businesses in the United States,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Although Umeti and his co-conspirators carried out their scheme from outside the United States, they were not beyond the reach of the Justice Department. Today’s conviction should serve as yet another reminder that, if you target American victims, the Criminal Division is committed to tracking you down and holding you responsible for your criminal conduct, no matter where you are.”
“The reach of cyber criminals is extensive, but so too is the reach of the law,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “Umeti relied on hidden malware, deception, and an ocean of distance to steal from American businesses and avoid prosecution. Despite those obstacles and obfuscations, a dedicated team of investigators and prosecutors showed outstanding resolve in bringing him to justice.”
“Today's guilty verdict is a victory in our fight against cybercrime and should serve as a warning to cybercriminals who believe they can operate with impunity,” said Assistant Director in Charge David Sundberg of the FBI Washington Field Office. “The FBI remains committed to relentlessly pursuing those engaged in malicious cyber activities and ensuring they are held accountable.”
The jury convicted Umeti of conspiracy to commit wire fraud, three counts of wire fraud, conspiracy to cause intentional damage to a protected computer, and intentional damage to a protected computer. He is scheduled to be sentenced on Aug. 27 and faces a maximum penalty of 27 years in prison on the wire fraud conspiracy count, five years in prison on the conspiracy to cause intentional damage to a protected computer count, 20 years on each wire fraud count, and 10 years on the intentional damage to a protected computer count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Co-defendant Franklin Ifeanyichukwu Okwonna, 34, pleaded guilty on May 20 to his role in the scheme and is scheduled to be sentenced on Sept. 3.
The FBI Washington Field Office investigated the case.
The Justice Department’s Office of International Affairs worked with the FBI’s Legal Attaché Office in Nairobi, the U.S. Marshals Service, and Kenya’s Office of the Director of Public Prosecutions and Directorate of Criminal Investigation to secure the extradition of Umeti and his co-defendant.
Assistant U.S. Attorney Laura D. Withers for the Eastern District of Virginia and Senior Counsel Thomas S. Dougherty of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) and are prosecuting the case. CCIPS Senior Counsel Aarash Haghighat assisted in the investigation and indictment of the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-123.
Foreign National Convicted for Participation in Business Email Compromise SchemeRead the Press Release
A federal jury in Alexandria, Virginia, convicted a Nigerian national today for operating a business email compromise scheme targeting victims in the United States and elsewhere.
According to court documents and evidence presented at trial, Ebuka Raphael Umeti, 35, and his co-conspirators sent victim businesses phishing emails, which were made to appear as though they originated from trusted senders, such as a bank or a vendor. These phishing attacks allowed the co-conspirators to gain unauthorized access to victim computer systems and email accounts, including by infecting victim computers with malicious software or “malware” that provided the co-conspirators with remote access. The co-conspirators then exploited that access to obtain sensitive information, which they used to deceive individuals at victim companies into executing wire transfers to accounts specified by the co-conspirators. As a result of this scheme, the co-conspirators caused or attempted to cause more than $1.5 million of loss to victims.
“Umeti participated in a sophisticated computer hacking and business email compromise scheme that targeted numerous businesses in the United States,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Although Umeti and his co-conspirators carried out their scheme from outside the United States, they were not beyond the reach of the Justice Department. Today’s conviction should serve as yet another reminder that, if you target American victims, the Criminal Division is committed to tracking you down and holding you responsible for your criminal conduct, no matter where you are.”
“The reach of cyber criminals is extensive, but so too is the reach of the law,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “Umeti relied on hidden malware, deception, and an ocean of distance to steal from American businesses and avoid prosecution. Despite those obstacles and obfuscations, a dedicated team of investigators and prosecutors showed outstanding resolve in bringing him to justice.”
“Today’s guilty verdict is a victory in our fight against cybercrime and should serve as a warning to cybercriminals who believe they can operate with impunity,” said Assistant Director in Charge David Sundberg of the FBI Washington Field Office. “The FBI remains committed to relentlessly pursuing those engaged in malicious cyber activities and ensuring they are held accountable.”
The jury convicted Umeti of conspiracy to commit wire fraud, three counts of wire fraud, conspiracy to cause intentional damage to a protected computer, and intentional damage to a protected computer. He is scheduled to be sentenced on Aug. 27 and faces a maximum penalty of 27 years in prison on the wire fraud conspiracy count, five years in prison on the conspiracy to cause intentional damage to a protected computer count, 20 years on each wire fraud count, and 10 years on the intentional damage to a protected computer count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Co-defendant Franklin Ifeanyichukwu Okwonna, 34, pleaded guilty on May 20 to his role in the scheme and is scheduled to be sentenced on Sept. 3.
The FBI Washington Field Office investigated the case.
The Justice Department’s Office of International Affairs worked with the FBI’s Legal Attaché Office in Nairobi, the U.S. Marshals Service, and Kenya’s Office of the Director of Public Prosecutions and Directorate of Criminal Investigation to secure the extradition of Umeti and his co-defendant.
Senior Counsel Thomas S. Dougherty of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) and Assistant U.S. Attorney Laura D. Withers for the Eastern District of Virginia are prosecuting the case. CCIPS Senior Counsel Aarash Haghighat assisted in the investigation and indictment of the case.
Five sisters indicted for defrauding retailer’s return programRead the Press Release
Seattle – Five sisters who reside in the Seattle area will appear today at 1:45 PM on a grand jury indictment charging them with conspiracy and mail fraud for their scheme to defraud a major active clothing retailer, announced U.S. Attorney Tessa M. Gorman. The five allegedly exploited a “Fast-Track Returns” policy whereby they scanned a return label at a post office to get a gift card with the refund amount via email, but never actually mailed the merchandise back to the retailer. Instead, they traveled to brick-and-mortar stores across the country and returned the merchandise for a second, duplicate refund. The indictment alleges that through this scheme defendants defrauded the retailer of more than $1 million.
“Refund fraud schemes such as this one simply drives up the costs for retailers and result in higher prices for the rest of us,” said U.S. Attorney Gorman. “We will work with our law enforcement partners to shut these down and hold the perpetrators accountable.”
“This investigation underscores HSI’s commitment to combatting organized retail theft, which poses a direct threat to the integrity and vitality of our economy,” said Special Agent in Charge Robert Hammer, who oversees HSI operations in the Pacific Northwest. “Together, with the support of our communities and law enforcement partners, we will seek to dismantle these criminal enterprises and ensure that every individual and business can thrive in a secure environment."
The five are charged with conspiracy to commit mail fraud and 24 counts of mail fraud. The defendants are:
Dunia Almezal, 29, of Marysville, Washington
Layla Almansuri, 27, of Stanwood, Washington
Shahad Almansuri, 33, of Marysville, Washington
Raghad Almansuri, 32, Marysville, Washington
Nejoom Almansuri, 25, Marysville, Washington
According to the indictment, the defendants ordered multiple shipments per week from the victim company. Then, often before the items were delivered, the defendants requested a return label for the items. Once that label arrived via email, the defendants took the label to a self-service counter at the post office and scanned it, obtaining a return credit via email within two hours. However, the defendants never mailed the merchandise back. Instead, they traveled to retail stores in Washington and across the country returning merchandise for a second refund. That second refund was in the form of money to their debit cards. They returned goods in Arizona, California, Colorado, Florida, Michigan, Nevada, and Oregon, as well as Washington. The defendants would allegedly use the emailed gift card credit to purchase more goods, thus continuing the fraud.
The defendants would often travel together to make the returns and would transfer money between each other as a “cut” of the proceeds.
After becoming aware of the scheme, the victim retailer changed their return policies.
Conspiracy to commit mail fraud and mail fraud are punishable by up to 20 years in prison and a $250,000 fine.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by Homeland Security Investigations (HSI) and the U.S. Postal Inspection Service (USPIS).
The case is being prosecuted by Assistant United States Attorney Rachel Yemini.
almansuri_indictment.pdfFive Men Indicted for Methamphetamine and Fentanyl Trafficking in Merced County as Part of “Operation Red Rooster”Read the Press Release
FRESNO, Calif. — A federal grand jury returned a five-count indictment today against five men, Fernando Arellano, 36, of Planada; Isaiah Serena, 40, of Merced; Jason Mott, 49, of Merced; David Gonzales, 45, of Merced; and Christopher Baca-Arias, 18, a native of Honduras; charging them with crimes related to a Merced drug trafficking operation, U.S. Attorney Phillip A. Talbert announced.
Arellano, Serena, and Mott are charged with conspiracy to distribute methamphetamine. Serena and Mott are additionally charged with distribution of methamphetamine. Serena, Mott, Gonzales, and Baca-Arias are charged with conspiracy to distribute fentanyl, and Serena, Gonzales, and Baca-Arias are additionally charged with distribution of fentanyl. Serena is also charged with possession of a firearm by a felon.
According to court documents, Serena and Mott operated a drug trafficking operation centered on a self-storage business in Merced. Arellano supplied methamphetamine for the operation, while Baca-Arias supplied fentanyl. Gonzales worked for Serena and Mott. During the course of the investigation, conspirators distributed more than 40 pounds of methamphetamine and 2 pounds of fentanyl.
This case is a product of “Operation Red Rooster,” a long-term investigation into gang violence and drug trafficking by Homeland Security Investigations, the Merced-Area Gang and Narcotics Enforcement Team (MAGNET), the California Department of Justice, and the Federal Bureau of Investigation, with assistance from the California Highway Patrol, the Merced County Sheriff’s Office, the Merced Police Department, the Livingstone Police Department, and other agencies. Assistant U.S. Attorney Robert L. Veneman-Hughes is prosecuting the case.
If convicted, Arellano, Serena, Mott, and Gonzales face a statutory maximum of life in prison and a $10 million fine. Baca-Arias faces a statutory maximum of 20 years in prison and a $1 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, Justice.gov/PSN.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF) program. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about Organized Crime Drug Enforcement Task Forces, please visit Justice.gov/OCDETF.
Final Member of Benton Harbor Machinegun and Drug Trafficking Investigation SentencedRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Earl Austin IV, 22, of Benton Harbor, Michigan was sentenced to 108 months in prison for his part in trafficking methamphetamine, guns, and machinegun switches. Austin is the last of 17 defendants, from three criminal indictments to be sentenced from this investigation.
“The families of Benton Harbor deserve to carry out their lives without the fear of violence.” said U.S. Attorney Mark Totten. “Safety is a civil right. These cases represent our commitment to making that right a reality. While we can never prosecute our way out of the gun violence epidemic, accountability for those few individuals who are driving violence is critical.”
On December 15, 2022, the U.S. Attorney’s Office for the Western District of Michigan announced charges against 10 defendants, including Earl Austin IV. Seven additional defendants were later charged in three different criminal cases.
In this case, investigators seized over one pound of methamphetamine, five firearms, and three machinegun switches over the course of six months. Undercover officers bought methamphetamine, fentanyl, and oxycodone from Austin on 17 different occasions. On two occasions in August and September of 2022, Austin sold machinegun switches to undercover officers. Austin then sold an assault rifle and two pistols on three separate occasions from November to December 2022. Police eventually executed a search warrant at Austin’s residence and found more methamphetamine and two guns. Austin is a felon and prohibited from possessing firearms. Austin proceeded to trial, where a jury found him guilty on all 15 counts of the indictment.
Austin’s codefendants pleaded guilty. Robert Griffin was sentenced to 70 months in prison for selling methamphetamine. Rhonda Acklin was sentenced to 41 months in prison for selling methamphetamine. Evorion Anderson was sentenced to 70 months in prison for selling methamphetamine and machinegun switches.
Ten other defendants were charged with firearm violations, mostly related to machinegun switches. In that case, Torez Burnett imported machine gun conversion devices, or “switches,” from China and distributed them to members of his street gang, My Brother’s Keeper (MBK), and others in Benton Harbor and Grand Rapids.
Finally, in a third case, three defendants were charged with being felons in possession of firearms. Following a jury trial in August 2023, a jury convicted each man of being a felon in possession of a firearm. At sentencing, Chief Judge Hala Jarbou found that Mark Curtis possessed his gun in connection with first degree premeditated murder.
“Families in Benton Harbor can take comfort in knowing the individuals responsible for distributing harmful drugs throughout the community and possessing dangerous weapons were held accountable for their crimes,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “It is through the tremendous partnerships fostered among our local, state, and federal partners that we are able to find and apprehend criminals who endanger public safety.”
Serious crimes have serious consequences. Illegal machinegun conversion devices are a threat to our community and public safety. They are not toys and they have no place in our communities,” said ATF Detroit Field Division Special Agent in Charge James Deir. “Mr. Austin chose to illegally convert firearms while conspiring to distribute methamphetamines onto our streets. Ultimately, Mr. Austin and his co-cohorts will have considerable time in prison to reflect on their poor decisions.”
This case was investigated by the FBI, ATF, DEA, Michigan State Police, Benton Harbor Department of Public Safety, Berrien County Sheriff’s Office, Benton Charter Township Police Department, and the Pokagon Band Tribal Police Department. Assistant U.S. Attorneys Patrick J. Castle and Jacob S. Metoxen handled the prosecution.
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Felon Sentenced for Second-Degree MurderRead the Press Release
TULSA, Okla. – Today, U.S. District Judge Sara E. Hill sentenced Rahmon Lawrence Macon, Jr., 31, of Tulsa, to 480 months imprisonment, followed by 5 years of supervised release. Macon was sentenced after pleading guilty to Second Degree Murder in Indian Country.
“Macon was reckless and careless with his actions that led to the death of an innocent bystander, Aliza Crook,” said U.S. Attorney Clint J. Johnson. “I hope this conviction will bring some type of justice for Aliza’s loved ones who courageously spoke in court today.”
According to court documents, in November 2022, video surveillance showed Macon pulling into a gas station and exiting his car to argue with a man. The man got in his car, where 19-year-old Aliza Crook was seated, and drove off. Macon fired a handgun several times at the car, striking Aliza in the head and killing her. Several eyewitnesses identified Macon as the shooter. After his arrest, evidence revealed Macon Jr. attempted to dissuade witnesses from cooperating with the FBI.
Because of his criminal convictions, Macon served multiple terms of imprisonment in the Oklahoma Department of Corrections and was eventually released in May 2022. Approximately six months after his release from imprisonment, Macon shot and killed Aliza Crook.
Macon is a citizen of the Cherokee Nation, and he will remain in custody pending transfer to the U.S. Bureau of Prisons.
After the death of Aliza Crook, her family saved the lives of two people by generously donating her heart, kidneys, and liver.
The FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Tulsa Police Department investigated the case. Assistant U.S. Attorneys Niko Boulieris and Adam Bailey prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about PSN, please visit Justice.gov/PSN.
Fast Food Manager Pleads Guilty to Wire Fraud After Embezzling More Than $140,000 from EmployerRead the Press Release
ST. PAUL, Minn. – A Woodbury man has pleaded guilty to embezzling more than $140,000 from his employer, announced United States Attorney Andrew M. Luger.
According to court documents, Timothy Michael Hill, Jr., 36, was employed by Company A to manage a fast-food franchise restaurant at the Minneapolis St. Paul International Airport. In his position as manager, Hill was responsible for collecting and making daily cash deposits into a safe deposit box.
According to court documents, between September 2022 and October 2023, Hill collected the daily cash receipts from the restaurant and instead of depositing it into the safe deposit box, pocketed some or all of the cash. Hill attempted to conceal his embezzlement by using future cash receipts to cover his theft, creating a false impression that the cash deposits were delayed rather than stolen. To further conceal his embezzlement, Hill sent regular emails to Company A’s accounting personnel representing that he was belatedly depositing cash from earlier dates, when, in fact, he was using cash collected during the ensuing time period to conceal his embezzlement.
According to court documents, Hill spent the stolen cash on jewelry, online sports betting, and the adult website Only Fans, among other things. He also transferred thousands of dollars through CashApp to various individuals, including several female colleagues in exchange for personal photos and videos.
In total, Hill knowingly and willfully embezzled approximately $144,000 from Company A over a period of 13 months.
Hill pleaded guilty today in U.S. District Court before Judge Paul A. Magnuson to one count of wire fraud. A sentencing hearing will be scheduled at a later time.
This case is the result of an investigation conducted by the FBI and the Minneapolis Airport Police Department.
Assistant U.S. Attorney Matthew C. Murphy is prosecuting the case.
El Departamento De Justicia Encuentra Vulneraciones De Los Derechos Civiles Por Parte De La Policía De Phoenix Y La Ciudad De PhoenixRead the Press Release
Después de una investigación exhaustiva, el Departamento de Justicia anunció hoy que la Policía de Phoenix (PhxPD) y la Ciudad de Phoenix (Ciudad) están incurriendo en un patrón o una práctica de conducta que vulnera la Constitución y las leyes federales.
En concreto, el Departamento halló que:
- La PhxPD utiliza fuerza excesiva, incluida la fuerza letal no justificada y otros tipos de fuerza.
- La PhxPD y la Ciudad detienen, citan y aprehenden ilegalmente a las personas sin techo y se deshacen ilegalmente de sus pertenencias. Esta es la primera vez que el Departamento ha encontrado un patrón o una práctica de conducta que se centra en los derechos de las personas sin techo.
- La PhxPD discrimina en contra de las personas negras, hispanas y amerindias cuando hacen cumplir las leyes.
- La PhxPD vulnera los derechos de las personas que participan en formas de discurso y expresión protegidas.
- La PhxPD y la Ciudad discriminan en contra de las personas con discapacidades de salud del comportamiento al despachar llamadas de asistencia y responder a las personas en crisis.
Por otra parte, el Departamento describió preocupaciones graves sobre cómo la PhxPD trata a los niños. Por último, el Departamento identificó deficiencias en políticas, capacitación, supervisión y rendición de cuentas que contribuyen a la conducta ilícita de la PhxPD y de la Ciudad.
“El Departamento de Justicia ha concluido que hay motivos razonables para creer que la ciudad de Phoenix y la PhxPD incurren en un patrón o una práctica de conducta que priva a sus residentes y visitantes, incluidas las personas negras, hispanas y amerindias, de sus derechos bajo la Constitución y las leyes federales”, dijo el Fiscal General Merrick B. Garland. “La publicación del informe de hallazgos de hoy es un paso importante hacia la rendición de cuentas y la transparencia, y estamos comprometidos a trabajar con la ciudad de Phoenix y la PhxPD en una reforma significativa que proteja los derechos civiles y la seguridad de los residentes de Phoenix y fortalezca la confianza entre la policía y la comunidad”.
“Los residentes de Phoenix merecen nada menos que una vigilancia policial justa, constitucional y no discriminatoria”, afirmó Kristen Clarke, la Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia. “Nuestra investigación exhaustiva reveló prácticas ilegales e inconstitucionales en la aplicación de la ley por parte de la PhxPD que impactan a algunos de los residentes más vulnerables de Phoenix, incluidas las personas negras, hispanas, y amerindias, las personas sin techo y aquellas que se encuentran en medio de una crisis de salud del comportamiento. La policía también utilizó fuerza excesiva, retrasó la asistencia médica necesaria e infringió los derechos civiles de aquellos involucrados en conductas protegidas por la Primera Enmienda, incluidas manifestaciones y protestas. Nuestros hallazgos proporcionan un plan y una hoja de ruta que pueden ayudar a transformar el departamento de policía, restaurar la confianza de la comunidad y fortalecer los esfuerzos de seguridad pública en una de las ciudades más grandes de los Estados Unidos. Nos comprometemos a trabajar en colaboración con el departamento de policía, los funcionarios de la ciudad y el público para instituir reformas y remediar las vulneraciones que identificamos en nuestra investigación”.
El Departamento inició esta investigación el 5 de agosto del 2021. Abogados y personal de carrera en la Sección de Litigios Especiales de la División de Derechos Civiles llevaron a cabo la investigación. El equipo realizó numerosos recorridos in situ; entrevistó a agentes, supervisores y personal encargado de mando de la PhxPD; habló con funcionarios y empleados de la Ciudad; acompañó en los recorridos a equipos de respuesta ante crisis de salud del comportamiento, escuadrones especializados que interactuaban con frecuencia con personas sin techo y agentes en los recorridos; revisó miles de documentos; y revisó cientos de horas de grabaciones de cámaras corporales.
Como sucede en todos los casos, la División se reunió regularmente a lo largo de la investigación con funcionarios de la Ciudad y de la PhxPD para proveer comentarios sobre las observaciones del Departamento y sus expertos policiales y sobre las reformas para abordar los problemas observados. Múltiples peritos en la materia aconsejaron a la División durante la investigación. En conjunto, estos expertos tienen décadas de experiencia en la evaluación de tácticas y capacitación policiales, investigaciones internas, la toma y el despacho de llamadas al 911, y los análisis estadísticos. Los abogados y el personal del Departamento también se reunieron con miembros de la comunidad, defensores, proveedores de servicios y otras partes interesadas por la zona de Phoenix.
De acuerdo con su práctica estándar en investigaciones de otras ciudades, el Departamento proporcionó a la Ciudad y PhxPD una sesión informativa detallada sobre sus hallazgos el martes y propuso que las partes acordaran en principio a negociar de forma rápida y de buena fe para llegar a un acuerdo integral ejecutable por un tribunal con supervisión independiente.
El Departamento llevó a cabo esta investigación de conformidad con la Sección 12601 del Título 34 del Código de los EE. UU. (Sección 12601), que prohíbe a los agentes del orden público participar en un patrón o una práctica de conducta que prive a las personas de los derechos protegidos por la Constitución o las leyes federales, la ley de Calles Seguras de 1968, el Título VI de la Ley de Derechos Civiles de 1964 y el Título II de la ley de Estadounidenses con Discapacidades.
El Departamento llevará a cabo acciones directas con los miembros de la comunidad de Phoenix para explicar los hallazgos y para obtener información sobre posibles recursos para abordar los hallazgos del Departamento. Las personas también pueden enviar sus recomendaciones por correo electrónico a [email protected] o por teléfono al 866-432-0335.
Esta es una de las 11 investigaciones de agencias de aplicación de la ley iniciadas por el Departamento de Justicia en virtud de la Sección 12601 desde abril del 2021. El año pasado, el Departamento emitió informes de hallazgos bajo la Sección 12601 en dos de esas investigaciones: la Policía de la Zona Metropolitana de Louisville (Kentucky) y la Policía de Minneapolis. Las otras ocho investigaciones cubren la Policía de Lexington (Mississippi); la Policía Estatal de Louisiana; la Policía de Memphis (Tennessee); la Policía de Mount Vernon (New York); la División de Víctimas Especiales de la Policía de New York City; la Policía de Oklahoma City; la Policía de Worcester (Massachusetts); y la Policía de Trenton (New Jersey).
Hay más información sobre la División de Derechos Civiles en su sitio web en Civil Rights Division | División de Derechos Civiles (justice.gov).
Para información específica sobre el trabajo de reformación policíaca de la División de Derechos Civiles: www.justice.gov/crt/file/922421/download.
El Departamento de Justicia celebrará una reunión comunitaria virtual en 6 p.m. PT / 9 p.m. ET. Se anima a los miembros del público a que asistan para obtener más información sobre los hallazgos. Únase a la reunión a través de este enlace: www.zoomgov.com/webinar/register/WN_wc5Fgkk9TaueUHSmV0J_Eg
Edenton Man Sentenced to More Than 8 Years for Child PornographyRead the Press Release
RALEIGH, N.C. – An Edenton man was sentenced today to 102 months in prison followed by 120 months of supervised release for receiving child pornography after his devices were found to contain over 3,000 images of child pornography, including images and videos of infants, toddlers and very young children. The defendant was also ordered to pay $107,000 in restitution to 16 known victims.
“The United States Attorney’s Office and Homeland Security Investigations have built a wonderful relationship with Chowan Sheriff’s Office and the Edenton Police Department which has allowed our community and citizens to feel safe in our bedroom community and for that I say thank you,” said Edenton Police Chief Henry King.
According to court documents and other information presented in court, Matterson Xavier Rusyn, 61, was investigated by the Chowan County Sheriff’s Office after Microsoft reported one of its users uploaded an image of child pornography into a reverse Bing image search to find similar images. Microsoft made the report to the National Center for Missing and Exploited Children who forwarded the report to the Chowan County Sheriff’s Office who learned the IP address used to upload the images were connected to Rusyn.
A search warrant was executed at Rusyn’s residence. Rusyn was present for the search warrant and admitted he was collecting child pornography images and videos. Multiple digital devices including cell phone, computers and hard drives were seized. Those devices were forensically analyzed and found to contain over 3,000 images of child pornography. Rusyn’s collection of images and videos included infants, toddlers, and very young children as well as images depicting sadistic and masochistic conduct.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after the sentencing was concluded. U.S. District Judge James C. Dever III presided over the sentencing. The Chowan County Sheriff’s Office and the Department of Homeland Security investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:23-CR-16-D.
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Dominican Republic Resident Pleads Guilty to Conspiring to Traffic CocaineRead the Press Release
PITTSBURGH, Pa. – A citizen of the Dominican Republic pleaded guilty in federal court to a drug trafficking charge, United States Attorney Eric G. Olshan announced today.
Adelin Hernandez Amparo, 31, pleaded guilty before United States District Judge William S. Stickman IV to one count of conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine.
In connection with the guilty plea, the Court was advised that federal, state, and local law enforcement operating under the High Intensity Drug Trafficking Areas (HIDTA) program in Beaver County conducted a joint investigation into the Kijana Lowe drug trafficking organization. On November 8, 2021, law enforcement conducted a surveillance operation at the Greyhound Bus Station in downtown Pittsburgh, and observed Hernandez Amparo and another individual exit the bus station with two suitcases and get into a vehicle driven by a co-defendant. Mobile surveillance followed the vehicle to a motel in Coraopolis.
Surveillance observed Lowe enter the motel room occupied by Hernandez Amparo and the two co-defendants, and then back outside, accept one of the suitcases transported from the bus station. Law enforcement detained the individuals and executed search warrants on the suitcase, the motel room, and Lowe’s vehicle. The suitcase contained nearly 10 kilograms of cocaine, a Schedule II controlled substance. Lowe’s vehicle contained over $280,000 that was to be used to purchase the seized cocaine. A search of cell phones revealed text messages from Lowe in which Lowe complained about having to pay three people for the drug re-supply, referring to Hernandez Amparo and his associates.
Judge Stickman scheduled sentencing for October 16, 2024. The law provides for a maximum total sentence of not less than 10 years and up to life in prison, a fine of up to $10 million, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the Court remanded Hernandez Amparo to the custody of the U.S. Marshals Service.
Assistant United States Attorney Brendan J. McKenna and Special Assistant United States Attorney Kara Cotter are prosecuting this case on behalf of the government.
The Pennsylvania Office of Attorney General and Drug Enforcement Administration conducted the investigation that led to the prosecution of Hernandez Amparo.
DOJ and Evergreen Treatment Services settle allegations regarding double billing of government health programsRead the Press Release
Seattle – The U.S. Department of Justice today resolved double billing allegations against Evergreen Treatment Services, announced U.S. Attorney Tessa M. Gorman. The settlement is on behalf of the U.S. Department of Health and Human Services (HHS) which runs the Medicare program and other government health plans. Evergreen Treatment Services will pay the government $1,453,982 to resolve the matter.
“I want to commend the data analysis work done by our Affirmative Civil Enforcement unit and HHS-OIG to identify the double billing,” said U.S. Attorney Gorman. “We want to be sure taxpayer dollars are safeguarded so they can legitimately go to critical services such as drug treatment.”
“Providers that participate in Medicare are obligated to bill for services honestly and lawfully. Submitting false claims diverts funding from essential health services, including critical drug treatment, which puts both patient well-being and federal health care programs at risk,” said Special Agent in Charge Steven J. Ryan of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “This settlement shows that HHS-OIG will continue to work with our law enforcement partners to detect and deter actions that threaten the Medicare program and its enrollees.”
According to the settlement agreement, in January 2020, Medicare began paying for drug treatment services including medically assisted treatment. Evergreen, a non-profit based in Seattle, submitted claims in 2020 for the period January 1, 2020, to July 2020 and those claims were paid. The claims are paid weekly, and services are bundled: medications, counseling, therapy, toxicology testing, intake activities and periodic assessments are billed under one billing code.
Evergreen then knowingly resubmitted bills that had already been paid. This conduct continued from January 8, 2021, to February 26, 2021. Evergreen was improperly reimbursed for these services. These double billings totaled $726,991.
Of the $1,453,982 settlement, $726,991 is restitution and the rest is a penalty under the False Claims Act.
This matter was handled by Assistant United States Attorney Matt Waldrop and Ryan Hardy, investigative analyst with the U.S. Attorney’s Office. HHS-OIG and the DEA Diversion Control Division provided significant investigative assistance.
Convicted Felon Sentenced to over 38 Years in Federal Prison for Two Armed Carjackings and Firearms OffensesRead the Press Release
Memphis, TN – A federal judge has sentenced a Memphis man to 466 months – more than 38 years – in federal prison for committing two carjackings and firearms offenses in the Memphis area. United States Attorney Kevin G. Ritz announced the sentence today.
According to information presented in court, Glenn Miller, 29, committed two back-to-back carjackings in Memphis on June 8, 2022. First, Miller approached a man at a gas station on Chelsea Avenue and forced the victim to get into his vehicle at gunpoint. Miller continued to hold a gun on the victim and made him drive around until Miller eventually ordered the victim out of the vehicle. Miller drove away in the victim’s car.
Minutes later, Miller approached another man sitting in his car on Maplewood Avenue; this was around the corner from the gas station where Miller carjacked the first victim. Completely unprovoked, Miller fired two rounds at the second victim, striking the victim in the face. The second victim was severely injured but survived. Miller drove off in the second victim’s car and was apprehended later that day by the Memphis Police Department. Miller was in possession of three firearms when he was arrested.
United States Attorney Ritz stated: “Armed carjackings tear at the fabric of our society. This defendant will spend more than 38 years in federal prison for committing multiple armed carjackings. Our office will continue to seek justice for victims of violent crime by holding offenders accountable for their actions.”
“ATF is on the frontline in the fight against violent crime and will continue to work side-by-side with our partners. Carjacking investigations are a priority. Therefore, ATF will continue to deploy traditional investigative techniques overlayed with cutting edge technology to deter these types of violent activities,” said Special Agent in Charge Marcus S. Watson of the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
On November 17, 2023, Miller pled guilty to carjacking the second victim and discharging a firearm during that carjacking, as well as three counts of being a felon in possession of a firearm. Miller proceeded to trial by a jury on the remaining charges related to the carjacking of the first victim and the brandishing of a firearm during that carjacking. On February 27, 2024, a federal jury convicted Miller of the counts related to the first carjacking after less than an hour of deliberation.
On June 12, 2024, United States District Court Judge Sheryl H. Lipman sentenced Miller to 466 months in federal prison to be followed by three years’ supervised release. There is no parole in the federal system.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, as well as the Memphis Police Department’s Violent Crimes Unit.
United States Attorney Kevin Ritz thanked Assistant U.S. Attorneys Regina Thompson and Greg Wagner, who prosecuted this case, as well as the law enforcement partners who investigated the case.
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For more information, please contact the Media Relations Team at [email protected]. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
Columbus Man Sentenced to 8 Years for Illegal Possession of Guns at the Links at Oxford ApartmentsRead the Press Release
OXFORD, Miss. – A Columbus man was sentenced today to eight years in prison for possessing firearms as a prior convicted felon.
According to court records, Tyson Jamal Hairston, 34, previously pled guilty to possessing two pistols after having been convicted of a felony offense. Officers located one firearm while serving Hairston with a state warrant for kidnapping at the Links at Oxford Apartments. During a search of Hairston’s Links apartment, officers located a second firearm and narcotics.
At a sentencing hearing on Thursday, U.S. District Court Judge Michael P. Mills sentenced Hairston to 96 months imprisonment followed by a three-year term of supervised release.
“Citizens have every right to expect that individuals who commit violent crimes and who use guns to commit those crimes will be removed from the streets and sentenced to prison,” remarked U.S. Attorney Clay Joyner. “This office will continue to work with all of our local, state and federal law enforcement partners to aggressively prosecute those individuals who choose to illegally possess and use guns in our communities.”
“Getting guns out of the hands of criminals is an essential element of the fight against violent crime and securing our neighborhoods,” said ATF New Orleans Field Division Special Agent in Charge Joshua Jackson. “The sentence imposed today sends a message to the community that convicted felons illegally possessing firearms will be held accountable as we work to keep our neighborhoods safe as a top priority for ATF.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case in partnership with the Oxford Police Department and the Lafayette County Metro Narcotics Unit.
Assistant U.S. Attorney Julie Howell Addison 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.
Clive Insurance Salesperson Sentenced to 19 Years for Fraud and ContemptRead the Press Release
A Clive man was sentenced on June 12, 2024, to 18.5 years in federal prison for wire fraud and an additional six months for criminal contempt of court. He also was ordered to pay over $2.4 million in restitution to the victims of his fraud.
According to public court documents and evidence presented at sentencing, Zachary James Flaherty, 48, conducted a vast fraud over the course of seventeen years. From 2006 to 2023, Flaherty defrauded over thirty individuals out of all or portions of their retirement savings and other monies—in all, Flaherty’s victims lost over $3 million. Flaherty’s victims were from Iowa, Kansas, Missouri, and Nebraska; nearly all the victims were elderly, with the oldest being ninety-three years old at the time of the fraud. Most of the victims had limited financial knowledge.
Flaherty developed close relationships with his victims—he took them out to eat, bought them gifts, and helped with chores around their house. At least six of Flaherty’s victims were recently widowed when he exploited them, and Flaherty assisted with funeral arrangements or related matters for multiple victims’ spouses.
To gain access to his victims’ monies, Flaherty lied to his victims about numerous matters, including information about the returns and bonuses they could receive by investing with him, their ability to make penalty-free withdrawals of their funds, and the losses they could incur. Once his victims had “invested” with him, he continued to misrepresent and conceal information about the returns the victims were earning, the amount of money victims had invested, and the costs and penalties associated with the investments.
Flaherty primarily used two approaches to defraud his victims. His first approach was to encourage his victims to write checks to him or one of his businesses and promise his victims that he would invest the funds on their behalf. Victims trusted Flaherty’s statements and wrote him numerous checks. But Flaherty did not invest the funds on his victims’ behalf as he had stated; instead, he spent the money on himself, his family, and his businesses.
Flaherty’s second approach was to invest his victims’ funds into annuities. Flaherty was licensed to sell annuities in multiple states, and by purchasing annuities for his clients, Flaherty received over $1 million in commission payments from insurance companies. To obtain annuities on his victims’ behalf, however, Flaherty submitted documents to insurance companies which contained false misrepresentations, including forged signatures for his victims.
Flaherty’s elderly victims were not financially situated to invest in annuities. Annuities are long-term investments which typically take years to fully vest. If the owner of the annuity withdraws or cancels the annuity before it vests, then the owner usually must pay penalties, taxes, and other fees. Flaherty misrepresented the extent of the penalties, taxes, and fees his victims would suffer by investing with him, and he repeatedly encouraged his victims to withdraw funds and cancel annuities. Taking Flaherty at his word, his victims withdrew money and cancelled annuities, resulting in victims suffering massive amounts of losses.
Numerous victims spoke at sentencing about how Flaherty’s actions had betrayed their trust in him, shattered their faith in other people, and left them with limited financial resources. Several victims lost nearly all their life savings; others can no longer afford medical or assisted-living care. Victims also reported suffering health problems as a result of the increased anxiety and stress caused by Flaherty’s crimes.
Flaherty’s conviction for criminal contempt of court resulted from his violations of court orders issued in February 2024. Those orders prohibited Flaherty from selling or dissipating his personal property, which could be used to pay some of the money back to victims. Yet, Flaherty sold and attempted to sell and conceal several assets in March and April 2024, including guitars. Evidence at sentencing established that since being charged with federal crimes in April 2023, Flaherty repeatedly violated court orders applicable to him.
“Elder financial fraud causes devastating losses to its victims. Zachary Flaherty’s actions targeting the retirement savings and fixed incomes these victims spent a lifetime earning were an unprecedented betrayal of the trust they placed in him. The severity of Flaherty’s 228 months’ sentence, and $2.4 million in restitution, only partially compensates for the deep financial harm caused by his conduct. The heartbreaking impact of this type of crime can leave victims fearful for the future and wondering who to trust. Some helpful keys to combat these crimes are accountability and awareness,” said United States Attorney Richard D. Westphal for the Southern District of Iowa.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa Insurance Division’s Fraud Bureau and the Federal Bureau of Investigation investigated this case, with assistance from the Ankeny Police Department, the Clive Police Department, the Des Moines Police Department, and the Iowa Department of Public Safety’s Division of Criminal Investigation.
To report elder fraud, contact the dedicated National Elder Fraud Hotline at 1-833-FRAUD-11 or 1-833-372-8311 and visit the FBI’s IC3 Elder Fraud Complaint Center at https://www.ic3.gov. To learn more about the Department of Justice elder justice efforts please visit the Elder Justice Initiative page: https://www.justice.gov/elderjustice.
Chicago Man Sentenced to Prison for Interstate Cocaine TraffickingRead the Press Release
PITTSBURGH, Pa. - A resident of Chicago, Illinois, was sentenced in federal court on June 11, 2024, to 46 months of incarceration, to be followed by three years of supervised release, on his conviction of violating federal narcotics laws, United States Attorney Eric G. Olshan announced today.
United States District Judge Christy Criswell Wiegand imposed the sentence on Anthony Cook, 55.
According to information presented to the Court, Cook supplied over five kilograms of cocaine to two cocaine distributors based in the Western District of Pennsylvania after personally transporting the drugs from Chicago.
Assistant United States Attorney Jonathan D. Lusty prosecuted this case on behalf of the government.
United States Attorney Olshan commended the Federal Bureau of Investigation, Pennsylvania State Police, and Perryopolis Police Department for the investigation leading to the successful prosecution of Cook.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Charlottesville Bodybuilding Coach Pleads Guilty to Child ExploitationRead the Press Release
CHARLOTTESVILLE, Va. – A Charlottesville-based virtual bodybuilding coach, who sexually exploited at least six minors over the course of three years, pled guilty today to federal child exploitation and child pornography charges.
Elliott Atwell, 34, pled guilty to one count of sexual exploitation of a minor and one count of possession of, and access with the intent to view, child pornography. At sentencing, Atwell faces a mandatory minimum penalty of 15 years in prison and a possible maximum penalty of 30 years.
According to court documents, between December 2013 and April 2020, Atwell manipulated at least six minors to record themselves engaging in sexually explicit conduct and then send those recordings to him.
In efforts to gain the victims’ trust and willingness to participate, Atwell sent them gifts, including a digital camera, sex toys, Viagra, lubricant and other items. Atwell then gave detailed instructions on what sexual activities he wanted performed and captured on video.
In addition, the FBI searched Atwell’s iCloud account, which contained over 300 images and video files depicting minors engaged in sexually explicit conduct, including images of prepubescent boys engaged in sex acts.
The FBI remains committed to identifying and pursuing potential additional victims of Atwell’s conduct. If you have information that may be helpful, please contact the FBI tipline at 1-800-CALL-FBI (1-800-225-5324) or reach out online at https://tips.fbi.gov/home.
The Federal Bureau of Investigation is investigating the case.
Assistant U.S. Attorney Melanie Smith and Trial Attorney Jessica Urban of the Department of Justice’s Child Exploitation and Obscenity Section are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Charges Filed in Connection with String of Robberies Along Metropolitan Branch TrailRead the Press Release
WASHINGTON – Jalique Wiseman, 19, of Washington, D.C., was indicted yesterday on twenty-four charges stemming from a string of robberies and armed robberies in October and November 2023, announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Wiseman was indicted by a grand jury in the Superior Court of the District of Columbia on charges including robbery, armed robbery, possession of a firearm during a crime of violence, assault with a dangerous weapon, and credit card fraud. Wiseman is scheduled to be arraigned on June 26, 2024, before the Honorable Jennifer Di Toro.
According to the government’s evidence, between October 2, 2023, and November 23, 2023, Wiseman and an accomplice robbed eleven people on or near the Metropolitan Branch Trail. Wiseman and his accomplice, using either physical violence or at gunpoint, robbed the victims of phones and other property. Wiseman demanded the victims’ passcodes and used that information to access the victims’ financial accounts to transfer money to accounts Wiseman controlled.
This case is being investigated by the Metropolitan Police Department.
This case is being prosecuted by Assistant U.S. Attorney Kraig Ahalt of the U.S. Attorney’s Office for the District of Columbia.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
Career Offender Sentenced to over 17 Years for Illegally Possessing a FirearmRead the Press Release
Memphis, TN – A federal judge recently sentenced a Memphis man to over 17 years in federal prison for being a convicted felon in possession of a firearm, possession of a firearm in furtherance of a drug trafficking crime, and for possession of marijuana with the intent to distribute it. United States Attorney Kevin G. Ritz announced the sentence today.
According to court documents, in December 2021, Charlie Gibson was stopped by security guards at a local apartment complex for loitering. Upon detaining Gibson and searching his belongings, the guards found a Glock .40 caliber pistol, approximately 250 grams of marijuana, and three digital scales. The guards called the Memphis Police Department, who came and arrested Gibson.
In July 2022, Shelby County deputies responded to an assault call in Cordova, Tennessee and were told that the suspect was driving a gray Nissan. The deputies found the gray Nissan, and then saw a man, later identified as Gibson, quickly get into it. A deputy stood in front of the car and ordered Gibson to stop. Gibson refused and drove forward, striking the deputy who rolled onto the hood of the vehicle. The deputy drew his service weapon and ordered Gibson to stop again, but Gibson instead revved the engine. The deputy then fired several rounds through the windshield, striking Gibson, who crashed the vehicle shortly thereafter. Deputies at the scene rendered lifesaving aid to Gibson. Law enforcement later found a Glock .40 caliber pistol on the driver’s side floorboard of Gibson’s vehicle.
Charges from both incidents were combined into a superseding indictment in November 2023. After a two-day trial in February 2024, federal jurors found Gibson guilty of two counts of being a convicted felon in possession of a firearm, one count of marijuana possession with intent to distribute, and one count of possession of a firearm during commission of a dangerous felony.
United States District Court Judge Sheryl H. Lipman sentenced Gibson on June 11, 2024, to a total of 210 months in federal prison followed by three years of supervised release. 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 for federal prosecution by the PSN Gun Task Force, Memphis Police Department, and the Tennessee Bureau of Investigation.
United States Attorney Kevin Ritz thanked Assistant United States Attorneys Jermal Blanchard and Greg Wagner, who prosecuted this case, as well as the law enforcement partners who investigated the case.
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For more information, please contact the Media Relations Team at [email protected]. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
Captain of Oil Tanker Pleads Guilty to Obstruction and Violating Ship Pollution Prevention LawRead the Press Release
Captain Abdurrahman Korkmaz, 37, pleaded guilty today to a two-count information charging him with violating the Act to Prevent Pollution from Ships (APPS) and for obstructing proceedings. Korkmaz, a Turkish national, was the captain of the PS Dream, a Panama-flagged motor tanker. The two related companies that operated the PS Dream pleaded guilty last month to environmental crimes.
The PS Dream arrived in New Orleans on Jan. 26, 2023. The U.S. Coast Guard conducted an inspection which included a review of the vessel’s oil record books. In his plea, Korkmaz acknowledges presenting the books to the Coast Guard knowing that they omitted information about discharging oily waste to the ocean before arriving in the United States. The falsified logs were intended to conceal the fact that beginning on Jan. 11, the crew had dumped oil-contaminated waste overboard on the voyage to New Orleans and was not complying with international treaties regulating oil pollution from ships.
According to documents and statements filed in court, Korkmaz ordered his crew to pump overboard from the residual oil tank which contained oily waste. A portable pump placed inside the tank and connected to a long flexible hose was used to discharge directly into the ocean without any required pollution prevention equipment or monitoring. The waste oil, including sludge, originated in the engine room and had been improperly transferred into the residual oil tank on the deck of the ship by a prior crew.
Senior managers at Prive Shipping LLC and Prive Shipping Denizcilik Ticaret – two related companies that operated the ship – were aware that the oil-contaminated waste remained in the tank and were informed by Korkmaz that it had been dumped overboard. Both companies pleaded guilty and are scheduled for sentencing on Sept. 26.
Korkmaz is scheduled to be sentenced on Sept. 10. He faces a maximum penalty of six years in prison, with a fine of up to $250,000, or twice the gain or loss from the offense, for the APPS charge. He also faces a maximum penalty of five years in prison, with a fine of up to $250,000, or twice the gain or loss from the offense, for the obstruction charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division; U.S. Attorney Duane A. Evans for the Eastern District of Louisiana; Special Agent in Charge Damon J. Youmans of the Coast Guard Investigative Service’s Gulf Field Office and Captain Greg Callaghan, Commander of U.S. Coast Guard Sector New Orleans made the announcement.
The Coast Guard Investigative Service and the Environmental Protection Agency’s Criminal Investigations Division investigated the case with assistance from U.S. Coast Guard Sector New Orleans.
Senior Litigation Counsel Richard A. Udell and Senior Trial Attorney Ryan Connors of the Justice Department’s Environmental Crimes Section and Assistant U.S. Attorneys G. Dall Kammer and Christine M. Calogero for the Eastern District of Louisiana are prosecuting the case.
California Man Pleads Guilty to Fraudulently Using Corporations’ UPS Accounts in Shipping Label SchemeRead the Press Release
WASHINGTON – Carl Granada Wilson, Jr., 36, of Hollywood, California, pleaded guilty today to fraudulently obtaining access to two American companies’ UPS accounts, which were then used to create shipping labels by Raekwon Malik Harrod, of Washington, D.C., and another individual. The announcement was made by U.S. Attorney Matthew M. Graves and FBI Special Agent in Charge David J. Scott of the Washington Field Office Criminal and Cyber Division.
Wilson pleaded guilty to conspiracy to commit mail fraud, which has a statutory maximum penalty of five years’ imprisonment. As part of his plea agreement, he must pay restitution to the two companies. He also will be liable for a forfeiture money judgment for proceeds he received as a result of the scheme. U.S. District Court Judge Ana C. Reyes, who accepted Wilson’s guilty plea in the District of Columbia, scheduled sentencing for October 31, 2024.
In his plea agreement, Wilson admitted that no later than 2020, he gained access to one company’s UPS account’s log-in credentials and provided them to Harrod, who provided the credentials to a Maryland co-conspirator. Initially, Harrod and the Maryland co-conspirator, who both re-sold shoes online, used the account to create UPS shipping labels to mail the shoes that they sold, which reduced their shipping costs to zero. Wilson admitted that he intended for Harrod to use the account to ship shoes. In late 2020, Harrod and a Maryland co-conspirator started using the account to sell UPS shipping labels to third parties. Wilson did not know they were selling labels online. As a result of Harrod and the Maryland co-conspirator’s use of the account, the company lost more than $900,000.
In late July 2021, Harrod and the Maryland co-conspirator lost access to the account, prompting them to tell Wilson that they had been selling labels using the account. Wilson requested that they pay him $120,000, which Harrod and the Maryland co-conspirator understood would be used to compensate the person who gave Wilson access to the account. In reality, Wilson planned to keep all of that money for himself. In August 2021, Harrod and the Maryland co-conspirator withdrew nearly $70,000 in cash and flew with the money to Los Angeles. They withdrew another $50,000 once they were in California and provided the funds to Wilson.
Eventually, Wilson secured access to a second American company’s UPS account, which he provided to Harrod and the Maryland co-conspirator. The two men then resumed selling UPS shipping labels online, this time with direct involvement and knowledge of Wilson.
This case was investigated by the FBI’s Washington Field Office. It is being prosecuted by Assistant U.S. Attorney Kondi Kleinman with the assistance of paralegal specialist Sonalika Chaturvedi and Michon Tart. Former Financial Analyst Bryan Snitselaar assisted with the investigation.
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Brockton Man Pleads Guilty to Unlawful Possession of Firearm and AmmunitionRead the Press Release
BOSTON – A previously convicted felon pleaded guilty yesterday in federal court in Boston to unlawfully possessing a Glock pistol and 18 rounds of ammunition.
Michael Whitfield, 43, of Brockton, pleaded guilty to one count of being a felon in possession of firearms and ammunition. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for Oct. 8, 2024. In November 2023, Whitfield was indicted by a federal grand jury.
On March 6, 2023, upon arrival at a motor vehicle accident scene in Brockton, law enforcement observed Whitfield in a vehicle with significant damage, its airbag deployed and a broken passenger door window. There was a strong odor of alcohol coming from inside the vehicle and an empty tequila bottle was observed on the passenger seat floor. A Glock 19X .9mm pistol loaded with 18 rounds was found on the driver’s side floorboard between Whitfield’s legs.
Due to a prior felony conviction stemming from 2006, Whitfield is prohibited from possessing firearms and ammunition.
The charge of being a felon in possession of a firearm and ammunition provides for a sentence of up to 15 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division made the announcement today. Valuable assistance was provided by the Plymouth County District Attorney’s Office, Massachusetts State Police, Brockton Police Department and the Brockton Fire Department. Assistant U.S. Attorney Luke A. Goldworm of the Major Crimes Unit is prosecuting the case.