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7 June 2024
Broward deputy sheriff and SWAT team member convicted at trial of COVID-19 relief fraudRead the Press Release
MIAMI – On June 5, a federal jury in Miami convicted a Broward Sheriff’s Office (BSO) deputy of conspiracy to defraud the Small Business Administration (SBA), two counts of false statements to the SBA, and wire fraud, all in relation to her COVID-19 relief fraud scheme.
In 2021, Alexandra Acosta, 38, of Tamarac, Florida, conspired with her tax preparer, Vilsaint St Louis, to apply for and receive a Paycheck Protection Program (PPP) loan for herself as a sole proprietor doing business as a realtor based upon materially false information about her average monthly income in 2019, including two falsified IRS tax forms submitted with the application. Acosta also sought and received forgiveness of the fraudulently obtained PPP loan, which totaled over $20,000 in principal and interest. During the period of the scheme, Acosta was employed as a deputy sheriff in BSO’s Department of Law Enforcement and was the first and only BSO female SWAT team member.
The sentencing hearing is scheduled for August 27, before U.S. Senior District Judge Robert N. Scola. Acosta faces up to 20 years in prison for the wire fraud conviction, 5 years in prison for the conspiracy conviction, and 2 years in prison for each of the false statement convictions. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acosta’s coconspirator, St Louis, previously pleaded guilty to his role in the conspiracy and was sentenced, on May 14, to one-year of probation, a $5,000 fine, and 100 hours of community service.
U.S. Attorney for the Southern District of Florida Markenzy Lapointe; Special Agent in Charge Brian Tucker, Eastern Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and the Consumer Financial Protection Bureau; Sheriff Gregory Tony of BSO; and Special Agent in Charge Jeffrey B. Veltri, FBI, Miami Field Office made the announcement.
FRB-OIG, BSO, and FBI Miami investigated this case. Assistant U.S. Attorneys Trevor Jones and Adam Love are prosecuting it. Assistant U.S. Attorney Darren Grove is handling asset forfeiture.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. The Strike Force combines law enforcement and prosecutorial resources and focuses on large-scale, multistate pandemic relief fraud perpetrated by criminal organizations and transnational actors, as well as those who committed multiple instances of pandemic relief fraud. The Strike Force uses prosecutor-led and data analyst-driven teams to identify and bring to justice those who stole pandemic relief funds. Additional information regarding the Strike Force may be found at https://www.justice.gov/opa/pr/justice-department-announces-covid-19-fraud-strike-force-teams.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 23-cr-60170.
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Brooklyn Woman Charged with Possession of Stolen Mail in Connection with Theft of More Than $167,000 from Former EmployerRead the Press Release
NEWARK, N.J. – A Brooklyn woman has been charged with possession of stolen mail in connection with stealing over $167,000 in funds from her one-time employer, U.S. Attorney Philip R. Sellinger announced today.
Kathryn Mountain, 36, of Brooklyn, New York, is charged by complaint with one count of possession of stolen mail. She made her initial appearance before U.S. Magistrate Judge Michael A. Hammer on June 6, 2024, and was released on an unsecured bond of $100,000.
According to documents filed in this case and statements made in court:
From December 2022 through July 2023, Mountain stole and fraudulently obtained mail that contained checks from her former employer and fraudulently deposited those checks into her own bank account. Mountain executed this scheme by first placing a mail hold on her former employer’s mail, which caused the mail to be held at a Newark post office until retrieved by a representative from the company instead of the mail being sent directly to the company. Mountain went to the Newark post office, represented herself as an active member of the company although she had previously been fired, and collected the company’s mail. Mountain then deposited the checks she found in the stolen mail – which had been mailed by the company’s clients to the company as payment for services – into her business bank account.
Mountain attempted to deposit $272,940 in stolen funds; the alleged actual loss caused by Mountain was $167,119.
The count of possession of stolen mail is punishable by a maximum sentence of five years in prison and a fine of up to $250,000.
U.S. Attorney Sellinger credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Christopher A. Nielsen, Philadelphia Division, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Javon Henry of the General Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
mountain.complaint.pdfBrooklyn Felon Sentenced to 65 Months for Illegally Possessing FirearmsRead the Press Release
ALBANY, NEW YORK – Burlington E. Nieuenkirk, age 47, of Brooklyn, New York, was sentenced today to 65 months in prison for illegally possessing three loaded firearms as a felon.
United States Attorney Carla B. Freedman; Bryan Miller, Special Agent in Charge of the New York Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); and Albany County Sheriff Craig D. Apple Sr. made the announcement.
When he pled guilty in this case, Nieuenkirk admitted that on April 30, 2020, he possessed three loaded pistols, one of which had been reported stolen, at a residence in Green Island, New York. A prior felony conviction for robbery prevented Nieuenkirk from legally possessing the firearms in New York.
Senior United States District Judge Frederick J. Scullin, Jr. also ordered that Nieuenkirk serve a 3-year term of supervised release following his release from prison.
The ATF and the Albany County Sheriff’s Office investigated this case with assistance provided by the Albany County District Attorney’s Office. Assistant U.S. Attorney Emmet O’Hanlon prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Bronx Man Charged with 2016 MurderRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York; James Smith, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”); and Edward A. Caban, the Commissioner of the New York City Police Department (“NYPD”), announced today the unsealing of an Indictment charging BRUCE MORRIS, a/k/a “G,” with murder through the use of a firearm and a conspiracy to distribute crack cocaine. MORRIS was arrested this morning and will be presented today before U.S. Magistrate Judge Stewart D. Aaron. The case is assigned to U.S. District Judge Jesse M. Furman.
U.S. Attorney Damian Williams said: “As alleged, almost eight years ago, Bruce Morris murdered Jerome Jemison in the Bronx in connection with a long-running drug conspiracy. Thanks to the hard work of the prosecutors in this Office and our law enforcement partners at the NYPD and FBI, Morris will finally be held to account for this heinous crime. With these charges, we continue our daily work of investigating and prosecuting those who perpetrate these senseless acts – no matter how many years have passed. We hope this prosecution brings some measure of comfort to the victim’s loved ones.”
FBI Assistant Director in Charge James Smith said: “Firearms and illegal narcotics continue to infiltrate and plague our city, posing a grave danger to New Yorkers. In 2016, Bruce Morris allegedly murdered Jerome Jemison – prematurely ending the life of another over a drug trafficking operation. The FBI remains steadfast in its mission to remove firearms from the streets and deliver justice for those fallen victim to unnecessary gun violence, regardless of when the crime was committed.”
NYPD Commissioner Edward A. Caban said: “Gun violence goes hand-in-hand with the illicit drug trade, and today’s charges show the tragic consequences of that reality. The NYPD and our law enforcement partners remain committed to investigating drug-related murders, no matter how long it takes. We also remain committed to disrupting and dismantling the actors and enterprises that fuel such drug-related violence, as well as to removing from our streets all illegal firearms and everyone allegedly willing to use them. I commend the NYPD investigators and FBI agents involved in this important case, as well as the prosecutors at the office of the U.S. Attorney for the Southern District of New York, for their indispensable work.”
As alleged in the Indictment:[1]
MORRIS shot and killed Jerome Jemison on August 11, 2016, in the Bronx, New York, in relation to an eight-year crack cocaine distribution conspiracy.
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MORRIS, 42, of the Bronx, New York, is charged with one count of murder through use of a firearm, which carries a statutory maximum sentence of death or life in prison, and one count of narcotics conspiracy, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison.
The minimum and maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the FBI and the NYPD.
This case is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorneys Matthew Weinberg, Camille L. Fletcher, and Jeffrey W. Coyle are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Brevard County Felon Pleads Guilty to Multiple Drug and Firearms OffensesRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that Shawndell Johnson (32, Melbourne) has pleaded guilty to distribution of a controlled substance, possession with intent to distribute controlled substances, possession of a firearm and ammunition by a convicted felon, and possession of a firearm in furtherance of a drug trafficking crime. Johnson faces a mandatory minimum penalty of 15 years, up to life, in federal prison. A sentencing date has not yet been set.
According to court documents, Johnson twice distributed fentanyl to a confidential source in September 2022. Then, in March 2023, Johnson was arrested on state charges stemming from his fentanyl distribution. Following his arrest, a search of his residence revealed hundreds of grams of fentanyl, methamphetamine, and cocaine as well as digital scales, drug processing materials, and over $30,000 in cash. Also in his residence, agents located two firearms and ammunition. At the time of the search, Johnson had previously been convicted of multiple felonies, including murder in the third degree without design and possession of a firearm by a convicted felon. As a previously convicted felon, Johnson is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Drug Enforcement Administration, the Florida Department of Law Enforcement and the Federal Bureau of Investigation, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Florida Highway Patrol, and the Rockledge Police Department. It is being prosecuted by Assistant United States Attorney Megan Testerman.
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.
Brandon Man Sentenced to Federal Prison for Possession of a Firearm by a Prohibited PersonRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Brandon, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person. The sentencing took place on June 3, 2024, in Sioux Falls, South Dakota.
Antonio Gary Angelo, age 36, was sentenced to three years and one month in federal prison, followed by three years of supervised release. He was ordered to pay $100 as a statutorily required special assessment to the Federal Crime Victims Fund.
Angelo was indicted for Possession of a Firearm by a Prohibited Person by a federal grand jury in October of 2023. He pleaded guilty on March 7, 2024.
On June 30, 2023, Angelo was involved in a traffic stop in Sioux Falls. During the traffic stop, Angelo was non-complaint with law enforcement, refusing to give his name and attempting to flee. Angelo was quickly apprehended by law enforcement and a search of his person was conducted. During the search of his person, Angelo was found in possession of a firearm.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Sioux Falls Police Department. Assistant U.S. Attorney Paige Petersen prosecuted the case.
Angelo was remanded to the custody of the U.S. Marshals Service to continue serving his sentence.
Bradenton Man Indicted for Firearms and Narcotics OffensesRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces the return by a grand jury of an indictment charging Terry McDonald, Jr. (31, Bradenton) with possession of firearm or ammunition by a convicted felon, possession with intent to distribute a controlled substance, and possession of a firearm in furtherance of a drug trafficking crime. If convicted on all counts, McDonald faces a mandatory minimum penalty of 5 years, up to life, in federal prison. The indictment also notifies McDonald that the United States intends to forfeit a Smith & Wesson firearm and ammunition traceable to the offense.
According to the indictment, on or about October 5, 2023, McDonald possessed cocaine and fentanyl with the intent to distribute it. In furtherance of that crime, he also possessed a loaded Smith & Wesson firearm after knowing he had previously been convicted of multiple felonies.
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 and the Manatee County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Jeff Chang.
This case is part of the 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 for occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Baltimore Man Is Sentenced to Ten Years in Federal Prison for Committing an Armed Robbery of A Phone StoreRead the Press Release
Baltimore, Maryland – U.S. District Judge Brendan A. Hurson today sentenced Marvin Benjamin Sparrow, age 32, of Baltimore, Maryland, to ten years in federal prison, followed by three years of supervised release, for an armed commercial robbery of a T-Mobile store in Baltimore County, Maryland.
The sentence was announced by Erek L. Barron, U.S. Attorney for the District of Maryland; Special Agent in Charge Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Chief Gregory Der of the Howard County Police Department; Chief Amal E. Awad of the Anne Arundel County Police Department; and Chief Robert McCullough of the Baltimore County Police Department; and Commissioner Richard Worley of the Baltimore Police Department.
According to his guilty plea, in January 2020, Sparrow and his co-conspirators planned and committed armed robberies of three businesses located in Howard, Anne Arundel, and Baltimore Counties. Specifically, Sparrow participated in the January 22, 2020 armed robbery of a T-Mobile store located in Dundalk, Maryland. During the robbery, Sparrow’s co-conspirator brandished a gun, and then Sparrow and the co-conspirator stole cellphones and other electronic devices. After the robbery, Sparrow and two co-conspirators were apprehended and arrested by law enforcement officers.
This case is part of Project Safe Neighborhoods (“PSN”), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
U.S. Attorney Barron commended the ATF, the Howard County Police Department, the Anne Arundel Police Department, the Baltimore County Police Department, and the Baltimore Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys John W. Sippel, Jr., and Adey Adenrele, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psn and https://www.justice.gov/usao-md/community-outreach.
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Arsonist sentenced to federal prison for setting fires in SavannahRead the Press Release
SAVANNAH, GA: A Chatham County man who set fires in Savannah has been sentenced to nearly 13 years in federal prison.
Marvin Antwon Williams, 44, of Savannah, was sentenced to 151 months in prison after pleading guilty to Arson, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. U.S District Court Chief Judge R. Stan Baker also ordered Williams to serve three years of supervised release upon completion of his prison term. There is no parole in the federal system.
“Fires in an urban area are highly dangerous and potentially devastating to nearby residents,” said U.S. Attorney Steinberg. “Fortunately, the Savannah Fire Department’s fast response prevented greater harm, and Marvin Williams is now being held accountable for his criminal acts.”
As described in court documents and testimony, Savannah firefighters were called to a vacant home under renovation on 39th Street on the evening of April 10, 2022, and extinguished a fire on the front porch roof. A short time later, firefighters were called to another fire in a lane near the same home, and while extinguishing that fire were notified that a new fire had started at the same home.
Investigators learned that Williams had been staying in the residence without the owner’s authorization, and Williams was later was taken into custody. He pled guilty in February in U.S. District Court to one count of Arson, and at sentencing was designated as a career offender due to a long history of criminal convictions, including multiple crimes of violence or controlled substance offenses.
“Arson is an extremely violent crime that not only destroys property but also places firefighters, first responders, and the public at great risk,” said Beau Kolodka, Assistant Special Agent in Charge of the Atlanta Field Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives. “The ATF, along with the Savannah Fire Department Arson Unit and our other law enforcement partners, are committed to ensuring that our communities are safe and that those who commit these dangerous acts are held accountable.”
“The Savannah Fire Arson Unit would like to thank the ATF and the U.S. Attorney’s office for their assistance in this investigation,” said Fred Anderson Chief Investigator for the Savannah Fire Arson Unit. “Arson is a serious crime that affects the entire community. I’m happy that we were able to remove this arsonist from the community and ensure he will not be able to set any more fires and put more lives in danger.”
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Savannah Fire Department Arson Unit, and prosecuted for the United States by Special Assistant U.S. Attorney Michael Z. Spitulnik.
Ada Resident Sentenced to Seven Years in Prison for Obstruction of JusticeRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announces that David Henry Vick, Jr., age 38, of Ada, Oklahoma, was sentenced to 92 months imprisonment for one count of an Information of Obstruction of the Due Administration of Justice.
The charge arose from an investigation by the Bureau of Indian Affairs and the Ada Police Department.
On February 6, 2024, Vick pleaded guilty to the charge. As part of the plea agreement, Vick admitted to attempting to intimidate and threaten a witness for the purpose of influencing, delaying, or preventing testimony before a convening Federal grand jury.
The Honorable Ronald A. White, Chief Judge in the United States District Court for the Eastern District of Oklahoma, presided over the sentencing hearing. Vick will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney T. Cameron McEwen represented the United States.
Accused Drug Cartel Broker, 28 Others Indicted in St. LouisRead the Press Release
ST. LOUIS – A man accused of being a broker for Mexican drug cartels and 28 others have been indicted on drug and money laundering conspiracy charges in St. Louis.
Genaro Rosas-Vargas, 39, also known by other names including “Chilango,” and the 28 others were indicted by a grand jury in U.S. District Court in St. Louis on May 24 on one count of conspiracy to distribute and possess with the intent to distribute 400 grams or more of fentanyl, five kilograms or more of cocaine and 500 grams or more of methamphetamine. Rosas-Vargas and nine others also face one count of money laundering conspiracy, and others face additional drug and firearm charges.
Twenty-eight of the defendants have been arrested in the St. Louis area, Illinois and other states. Rosas-Vargas was arrested when he crossed the U.S. border. The Drug Enforcement Administration and the U.S. Marshals Service arrested the bulk of the defendants this week.
“This long-term investigation represents a significant blow to the drug trafficking cartels trying to profit by poisoning the St. Louis community,” said U.S. Attorney Sayler A. Fleming. “It also resulted in the interception of large quantities of fentanyl, cocaine and meth and the coordinated, masterful arrest of a large number of defendants in multiple states in just a few hours.”
“Mexico-based drug cartels should never be underestimated for their power and global reach,” said Assistant Special Agent in Charge Colin Dickey, head of Drug Enforcement Administration operations in Eastern Missouri. "The lethality of the illegal drugs these traffickers ship into St. Louis communities demonstrates that their greed trumps any concern for the health and safety of our citizens. DEA and our partners are determined to disrupt the cartels’ supply chain and end their horrible business.”
The indictment alleges that since at least 2017, Rosas-Vargas was a Mexico-based broker who obtained fentanyl, meth and cocaine from drug cartels and had it delivered to the St. Louis area and elsewhere. Rosas-Vargas and his co-conspirators wired some drug proceeds back to Mexico and used couriers to transport bulk shipments of cash, the indictment says.
The indictment says Javier Ramos-Garcia, 50, Jose Coronel-Coss, 28, and Theodore Sigite, 47, were large-scale drug traffickers involved in the conspiracy.
The indictment also seeks the forfeiture of a 2017 Jaguar F-Pace, a 2017 Chevrolet Silverado, a 2003 Suzuki GSX motorcycle and more than $131,000 in cash. During the investigation, six kilograms of fentanyl, 44 kilograms of cocaine, 75 kilograms of meth and $250,000 in drug proceeds have been seized, according to a motion seeking to have Rosas-Vargas held in jail until trial.
That motion accuses Rosas-Vargas of organizing the transport of undocumented immigrants from Mexico into the United States, who were then required to work off the $5,000 to $11,000 they owed by participating in drug trafficking operations. Rosas-Vargas also discussed sending firearms from the U.S. to Mexico for use by the cartels, the motion says.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The Drug Enforcement Administration, Internal Revenue Service – Criminal Investigations, the U.S. Marshals Service, the U.S. Secret Service, the FBI, the St. Charles County Police Department, the St. Louis County Police Department, the St. Louis Metropolitan Police Department, the Bridgeton Police Department and the Marion (Illinois) Police Department investigated the case. Assistant U.S. Attorneys Dane Rennier and James Delworth are prosecuting the case.
The investigation was conducted by the St. Louis Gateway Strike Force, which is part of the Organized Crime Drug Enforcement Task Force and includes members of federal, state and local law enforcement agencies. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. The OCDETF strike forces are permanent, multi-agency, prosecutor-led teams that conduct intelligence-driven, multi-jurisdictional operations against priority targets and their affiliate illicit financial networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
6 June 2024
Virginia Man Pleads Guilty in Fake Law Firm Scheme that Defrauded Distressed Homeowners Out of $15 MillionRead the Press Release
WASHINGTON – Terrylle Blackstone, 36, of Woodbridge, Virginia, pleaded guilty today in U.S. District Court in a conspiracy that fraudulently promised thousands of homeowners across the U.S. legal help in avoiding foreclosure. The scheme generated at least $15 million for the conspirators but never provided any legal services to the client-victims.
The plea was announced by U.S. Attorney Matthew M. Graves, Special Agent in Charge David J. Scott of the FBI Washington Field Office Criminal and Cyber Division, and Executive Special Agent in Charge Kareem A. Carter of the Internal Revenue Service – Criminal Investigation (IRS-CI) Washington, D.C. Field Office.
Blackstone today pleaded guilty to a count of conspiracy to commit mail fraud and wire fraud before U.S District Court Judge Randolph D. Moss, who scheduled sentencing for October 3, 2024.
According to court documents, when entering his guilty plea, Blackstone admitted that, from January 2018 until February 2021, he worked with codefendants David Maresca of Virginia, attorney Scott Marinelli of New Jersey, and attorney Sam Babbs of Florida. The co-conspirators told homeowners that they operated a “national law firm” based in Washington, D.C.; that attorneys would review the homeowner’s file and provide legal representation to the homeowners; that an attorney in the homeowner’s local area would be assigned to assist them; that the homeowner could meet and consult with those attorneys about the case; and that attorneys in their law firm could help the homeowner, if necessary, file for bankruptcy.
Blackstone further admitted that, from 2016 until 2019, the conspirators marketed Synergy Law with telephone, television, and internet advertising which told homeowners that attorneys at Maresca and Marinelli’s Synergy Law in Manassas could help them avoid foreclosure. In early 2019, Marinelli was incarcerated in Pennsylvania. Yet Blackstone, Maresca, Marinelli, and others continued to operate Synergy and collect monthly payments purportedly for legal services. During this time, there was no attorney who was a member of Synergy who could practice law. Synergy never had attorneys review all homeowner files and Synergy never had attorneys contact a client’s lender to discuss a mortgage resolution. They also continued to use the interstate wires to operate their “law firm” in ways that were essential to the scheme, such as soliciting clients by telephone.
And Blackstone admitted that, from 2019 until at least 2022, the conspirators marketed another firm, Themis Law, with television and website advertising which told homeowners that attorneys with Themis could help them avoid foreclosure. Themis operated a call center at an office in Manassas, Virginia. Call center workers used scripts during their phone calls with homeowners in which Themis falsely promised that an attorney would review the homeowner’s case file; that this attorney knew their lender’s “internal guidelines” for a “mortgage resolution”; and that an assigned “legal team” would contact the homeowner’s lender to negotiate a resolution. Themis required homeowner-clients to pay an initial retainer amount followed by a monthly recurring amount for as long as the firm represented the homeowner. Themis Law never provided legal services to the homeowner-clients. When Themis clients faced imminent foreclosure, Themis advised those clients to consider filing for bankruptcy to save their home and referred the clients to Babbs at Babbs Law Firm. Those clients then signed a new retainer agreement and paid additional fees to Babbs.
During his dates of employment at Synergy Law and Themis Law, Blackstone received no less than $163,199.30 in direct payments from the companies.
A federal district court judge will determine any sentence for Blackstone after considering the U.S. Sentencing Guidelines and other statutory factors. In addition, the United States also will seek a forfeiture money judgment against him for an amount not less than $163,199.30
This case was investigated by the FBI Washington Field Office and the Washington, D.C. Field Office of the Internal Revenue Service – Criminal Investigations.
It is being prosecuted by Assistant United States Attorney John Borchert.
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U.S. Trustee Program Updates Safeguards for Bankruptcy Funds Through Modernized Depository AgreementRead the Press Release
The Justice Department’s U.S. Trustee Program (USTP) recently updated safeguards for bankruptcy funds by introducing a revised and modernized form depository agreement for banks and financial institutions that accept bankruptcy estate deposits.
On June 3, the USTP began transmitting the new agreement to existing authorized depositories and any banks that have expressed interest in signing up. The modernized agreement reflects the evolution in the way that the USTP, Department of the Treasury and financial institutions conduct business. The agreement was last revised in 2013.
“Banks that serve as authorized depositories provide vital foundational support to the bankruptcy system by safeguarding critical recoveries,” said Director Tara Twomey of the Executive Office for U.S. Trustees. “In modernizing this agreement, the USTP remains dedicated to ensuring broad access to banking services for debtors, including those in rural and remote areas.”
The new agreement accommodates advances in technology and the reorganization of the Treasury, and it reflects changes in the methods used for safeguarding certain deposits and in applicable laws and regulations. Additionally, the new agreement aims to simplify the process for banks to become authorized depositories and streamlines two versions of the prior agreement into a single document.
The changes come as the USTP continues to strengthen important safeguards for bankruptcy estate funds following recent banking instability. As the banking turmoil unfolded, the USTP undertook a comprehensive review of its systems for monitoring the deposit and collateralization of funds by trustees and other fiduciaries whom the USTP is charged to supervise. The USTP’s policies and procedures worked as intended. Even in the absence of federal intervention, all bankruptcy funds were protected from a risk of loss except where bankruptcy courts waived the safeguards. Still, the USTP found areas where changes would be beneficial due to technological updates and modernized banking practices.
The modernization of the depository agreement is the product of a robust outreach process, including meetings with stakeholder groups and informational sessions for banks and software vendors that work with trustees.
Under bankruptcy law, trustees and other fiduciaries, including chapter 11 debtors-in-possession, must deposit or invest bankruptcy funds with banks or financial institutions that offer products insured or guaranteed by the full faith and credit of the United States. These rules protect the deposits if the bank fails. When deposits exceed applicable deposit insurance limits, banks must “collateralize” the deposits either by obtaining a bond or pledging government securities. The USTP routinely objects to attempts to waive these safeguards in chapter 11 cases.
The USTP’s mission is to promote the integrity and efficiency of the bankruptcy system for the benefit of all stakeholders – debtors, creditors and the public. The USTP consists of 21 regions with 89 field offices nationwide and an Executive Office in Washington, D.C. Learn more about the USTP at www.justice.gov/ust.
U.S. Attorney's Office Recovers $3.6 Million in Restitution for Financial Crime VictimsRead the Press Release
PHOENIX, Ariz. – The U.S. Attorney’s Office for the District of Arizona has returned over $3.6 million in restitution to the victims of fraud perpetrated by Joseph Nicholas Gagliano.
Gagliano, an Arizona resident, was sentenced in October 2013 to 30 months in prison following his conviction on one count of Conspiracy to Commit Bank Fraud. U.S. v. Joseph Nicholas Gagliano, CR 12-00364-PHX-GMS. Gagliano obtained Small Business Administration (SBA)-backed loans and loan modifications by providing false information on the loan documents about his identity, assets, and liabilities. Gagliano defaulted on the loans, resulting in substantial losses to the lenders and the SBA. As part of his sentence, the court ordered Gagliano to pay over $3.6 million in restitution.
After identifying Gagliano’s commercial dealings and assets, the U.S. Attorney’s Office pursued enforcement using its statutory judgment collection tools. Due to those efforts, Gagliano agreed to a payment agreement and the Office collected Gagliano’s restitution obligation in full. As a result, Gagliano’s crime victims, including the taxpayer supported SBA, have received full compensation for the harm caused by Gagliano’s scheme.
This debt was collected by the U.S. Attorney’s Office Financial Litigation Program (“FLP”). The FLP is responsible for collecting criminal monetary penalties, including fines and restitution, owed to federal crime victims. The FLP works to identify debtors’ assets and income and uses both federal and state law remedies to enforce collection from debtors’ non-exempt property.
Assistant U.S. Attorney Kevin Rapp, District of Arizona, Phoenix, handled the prosecution and Assistant U.S. Attorney Vincent Creta, District of Arizona, Phoenix, handled the financial litigation.
CASE NUMBER: CR 12-00364-PHX-GMS
RELEASE NUMBER: 2024-072-Gagliano# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.U.S. Attorney Will Thompson to Participate in Day Report Center Softball TournamentRead the Press Release
CHARLESTON, W.Va. – United States Attorney Will Thompson of the Southern District of West Virginia and others from his office will be on the roster for the latest Southwestern Regional Day Report Center (SRDRC) Slow Pitch Softball Tournament.
The tournament, now in its 11th year, will start at 9:15 a.m. on Friday, June 7, 2024 at the Lick Creek Park softball fields in Danville.
This year’s tournament will feature eight teams of players from the criminal justice and recovery communities including law enforcement officers, court officials, SRDRC staff and participants, and others in recovery and their loved ones.
“This event shows that people can recover and do things that are positive for the community,” Thompson said.
The teams hail from Boone, Lincoln, Logan and Mingo counties, which are the SRDRC’s service area.
“For many people struggling with addiction, the toughest step toward recovery is the very first one: recognizing that they have a problem and deciding to make a change. We don’t want them to try recovery alone. This is where community involvement comes in,” said Judge Stacy L. Nowicki-Eldridge of West Virginia’s Twenty-Fifth Judicial Circuit (Boone and Lincoln counties). “Having positive influences and a solid support system is essential. The more people they can turn to for encouragement, guidance, and a listening ear, the better their chances for recovery. It’s important to be involved in things that they enjoy, that make them feel needed, and add meaning to their life. When their life is filled with rewarding activities and a sense of purpose, their addiction will lose its appeal. We as a community need to show our support. Remind them that they are valued, they can do this, and they are not alone.”
The SRDRC provides evidence-based substance use disorder treatment and recovery services to high-risk individuals and families, and organizes and hosts the annual tournament.
“This tournament brings everyone together in support of the recovery community and provides a fun, supportive event for us all to enjoy,” said SRDRC Executive Director Michelle Akers.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia.
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Tucker Man Sentenced to 14 Years in Prison for Burglary and Sexual Assault on the Choctaw Indian ReservationRead the Press Release
Jackson, Miss. – A Tucker man was sentenced today to 168 months in federal prison for burglary and sexual assault on the Choctaw Indian Reservation.
According to court documents, Scottie Amos, 26, of the Tucker Community of the Mississippi Band of Choctaw Indians, entered a tribal home on September 14, 2017, and sexually assaulted a female tribal member. The indictment also charged that Amos entered a separate tribal home on November 2, 2017, and took items of value from the home. Amos pled guilty on January 8, 2024.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and Special Agent in Charge Robert Eikhoff of the Federal Bureau of Investigation made the announcement.
The Choctaw Police Department and the Federal Bureau of Investigation investigated the case.
Assistant U.S. Attorneys Kevin J. Payne and Brian K. Burns prosecuted the case.
Three United Kingdom Nationals Charged in Connection with “Evolved Apes” NFT ScamRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and James Smith, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the unsealing of an Indictment charging MOHAMED-AMIN ATCHA, MOHAMED RILAZ WALEEDH, and DAOOD HASSAN, all United Kingdom nationals, with conspiracy to commit wire fraud and money laundering. The charges arise from the defendants’ scheme to defraud victims into purchasing digital artwork known as the “Evolved Apes” collection of non-fungible tokens (“NFTs”). The case has been assigned to U.S. District Judge J. Paul Oetken.
U.S. Attorney Damian Williams said: “As alleged, the defendants ran a scam to drive up the price of digital artwork through false promises about developing a videogame. They allegedly took investor funds, never developed the game, and pocketed the proceeds. Digital art may be new, but old rules still apply: making false promises for money is illegal. As we allege, thousands of people believed these false promises and were tricked into buying these NFTs, including here in the Southern District of New York. NFT fraud is no game, and those responsible will be held accountable.”
FBI Assistant Director in Charge James Smith said: “These three defendants allegedly were part of a scheme to pump up the price of NFTs with lies to the public about developing a related videogame, and to surreptitiously transfer the proceeds of the fraud to their personal accounts. Ghosting customers without fulfilling a promise not only reflects poor business integrity, it also violates the implicit trust buyers place in sellers when purchasing a product, no matter if that product is in a store or stored on a blockchain. The FBI remains committed to pursuing those who perpetrate fraudulent schemes out of a selfish desire for a quick profit.”
According to the allegations in the Indictment:[1]
In the fall of 2021, ATCHA, WALEEDH, and HASSAN executed a type of scam commonly known as a “rug pull,” where developers advertise a digital project, collect funds from purchasers, then abandon the project and keep the funds. ATCHA, WALEEDH, and HASSAN allegedly created and promoted an NFT project called “Evolved Apes” that involved the marketing of digital images of cartoon apes. The following is a graphic typical of the images that became Evolved Apes NFTs:
The creators and promoters of the Evolved Apes project publicly promised to use funds raised from selling the NFTs to develop a videogame based on the NFTs, which they claimed would increase the NFTs’ value. But after selling the NFTs and collecting large sums from purchasers, including in the Southern District of New York, they quickly shut down the Project’s website and kept the funds without developing the promised videogame. ATCHA, WALEEDH and HASSAN then laundered the misappropriated funds through multiple cryptocurrency transactions to their own personal accounts to conceal their ill-gotten gains.
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ATCHA, 23, WALEEDH, 23, and HASSAN, 23, all United Kingdom nationals, are charged with one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering, each of which carries a maximum sentence of 20 years in prison.
The maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the outstanding investigative work of the FBI.
The case is being handled by the Office’s Illicit Finance and Money Laundering Unit. Assistant U.S. Attorneys Samuel L. Raymond and Josiah Pertz are in charge of the prosecution.
The charges in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Three Men Indicted for Firearms Trafficking Conspiracy as Part of “Operation Gridlock”Read the Press Release
FRESNO, Calif. — A federal grand jury returned a five-count indictment today against three men, Wendell Moton, 33, of Fresno, Donnie Hicks, 33, of Visalia, and McCael Marshall, 34, of Visalia, charging them with conspiracy to commit firearms trafficking and possession of a firearm by a felon, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Moton, Hicks, and Marshall arranged to sell a machine gun to an undercover agent via the internet, and then were stopped by investigators on the way to the sale. Moton additionally was found with an additional firearm when he fled from police on another date.
This case is a product of “Operation Gridlock,” a long-term investigation into a network of violent criminal street gangs by Homeland Security Investigations, the Fresno Police Department, the Federal Bureau of Investigation, the California Department of Justice, the California Highway Patrol, the Fresno Sheriff’s Office, the Fresno County District Attorney’s Office, and the Fresno Multi-Agency Gang Enforcement Consortium. Assistant U.S. Attorney Robert L. Veneman-Hughes is prosecuting the case.
If convicted, each defendant faces a maximum statutory penalty of 15 years in prison and a $250,000 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.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about OCDETF, please visit Justice.gov/OCDETF.
This case is being prosecuted under the new criminal provisions of the Bipartisan Safer Communities Act, which Congress enacted, and the President signed in June 2022. The Act is the first federal statute specifically designed to target the unlawful trafficking and straw-purchasing of firearms.
Texas Man Faces Federal Charges After Traveling to Engage in Sexual Conduct with a Minor He Met OnlineRead the Press Release
PORTLAND, Ore.—A Presidio, Texas man is facing federal charges today after he traveled to Oregon to engage in sexual conduct with a minor he met online.
Steven Worth Ellis, 60, has been charged by criminal complaint with traveling with intent to engage in illicit sexual conduct, attempting to sexually exploit a child, and coercing and enticing a minor.
According to court documents, in late May 2024, the Oregon Department of Human Services received a tip alleging that Ellis was engaged in an online sexual relationship with a 15-year-old child. It was reported that Ellis had met the child on Reddit, a popular online forum, and engaged in frequent, sexually explicit communication with the child for at least a month. It was further alleged that Ellis told the child he wanted to marry her and made plans to travel from his home in Texas to Oregon to “come get her.”
Further investigation revealed that Ellis did intend to travel to Oregon to meet the child and had an active vacation rental reservation for a residence located near the child’s home. Investigators began tracking Ellis’s movements and soon observed him leaving Texas and traveling in a northwest direction toward Oregon.
Investigators intercepted and arrested Ellis today in The Dalles, Oregon, and he made his initial appearance in federal court in Portland before a U.S. Magistrate Judge. He was ordered detained pending further court proceedings.
This case was investigated by Homeland Security Investigations and the Portland Police Bureau. It is being prosecuted by Mira Chernick, Assistant U.S. Attorney for the District of Oregon.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Anyone who has information about the physical or online exploitation of children are encouraged to contact HSI at (866) 347-2423 or submit a tip online at report.cybertip.org.
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. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Tennessee man admits fentanyl distribution that led to death of Great Falls manRead the Press Release
GREAT FALLS — A Tennessee man accused of mailing fentanyl pills to a Great Falls couple that led to the overdose death of the husband admitted to a trafficking crime today, U.S. Attorney Jesse Laslovich said.
The defendant, Malice Clark, Jr., aka Greg Clark, aka “Greed”, 57, of Memphis, Tennessee, pleaded guilty to possession with intent to distribute fentanyl. Clark faces a maximum of 20 years in prison, a $1 million fine and at least three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for Oct. 17. Clark was detained pending further proceedings.
The government alleged in court documents that from at least February 2021 to April 2022, Clark repeatedly mailed small quantities of fentanyl from his home in Tennessee to the victim, John Doe, and his wife in Great Falls. Clark and Doe were friends and Doe would send Clark money in exchange for user amounts of fentanyl. Doe usually sent the money to Clark through a mobile cash transfer app, and Clark would send Doe a receipt and U.S. Postal Service tracking number for the package that contained fentanyl. On April 5, 2022, Doe and his wife received a package of fentanyl in the mail from Clark. That evening, both Doe and his wife took some of the fentanyl. At about 2:20 a.m. on April 6, 2022, Doe’s wife called 911 and reported that Doe had overdosed. Doe was found unresponsive and pronounced dead. An autopsy confirmed that Doe’s death was caused by acute fentanyl intoxication. Law enforcement collected pills that were determined to be fentanyl from Doe’s home, Doe’s wife admitted they had obtained the pills from Clark through the mail.
Assistant U.S. Attorney Jeffrey K. Starnes is prosecuting the case. The Great Falls Police Department, Memphis (Tennessee) Police Department, FBI, U.S. Postal Service Office of Inspector General, Drug Enforcement Administration and Montana Medical Examiner Office conducted the investigation.
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Summers County Man Sentenced to Prison for Federal Gun CrimeRead the Press Release
CHARLESTON, W.Va. – David Nelson Gill, 32, of Hinton, was sentenced today to one year and six months in prison, to be followed by three years of supervised release, for being a felon in possession of a firearm.
According to court documents and statements made in court, on February 6, 2023, Gill was a passenger in a vehicle pulled over by law enforcement in St. Albans. Gill admitted to possessing a loaded Taurus Model PT111 9mm pistol found by officers during a search of the vehicle. The pistol was later found to have been stolen. Officers also found a loaded Remington Model 870 12-gauge shotgun on the vehicle’s rear passenger seat floor and approximately 3 grams of methamphetamine on Gill’s person following his arrest after the traffic stop.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Gill knew he was prohibited from possessing a firearm because of his prior felony conviction for grand larceny in Summers County Circuit Court on August 11, 2017.
United States Attorney Will Thompson made the announcement and commended the investigative work of the St. Albans Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Jonathan T. Storage 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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-75.
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Summers County Man Sentenced to Prison for Federal Gun CrimeRead the Press Release
CHARLESTON, W.Va. – David Nelson Gill, 32, of Hinton, was sentenced today to one year and six months in prison, to be followed by three years of supervised release, for being a felon in possession of a firearm.
According to court documents and statements made in court, on February 6, 2023, Gill was a passenger in a vehicle pulled over by law enforcement in St. Albans. Gill admitted to possessing a loaded Taurus Model PT111 9mm pistol found by officers during a search of the vehicle. The pistol was later found to have been stolen. Officers also found a loaded Remington Model 870 12-gauge shotgun on the vehicle’s rear passenger seat floor and approximately 3 grams of methamphetamine on Gill’s person following his arrest after the traffic stop.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Gill knew he was prohibited from possessing a firearm because of his prior felony conviction for grand larceny in Summers County Circuit Court on August 11, 2017.
United States Attorney Will Thompson made the announcement and commended the investigative work of the St. Albans Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Jonathan T. Storage 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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-75.
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Studio City Man Arrested for Allegedly Causing Fireworks to Be Shot from In-Flight Helicopter in Video He Directed for YouTube ChannelRead the Press Release
LOS ANGELES – A San Fernando Valley man has been arrested on a federal criminal complaint alleging he directed a YouTube video in which two women in a helicopter – flying near the ground and without filming permits – repeatedly shot fireworks at a Lamborghini sportscar last year in San Bernardino County, the Justice Department announced today.
Suk Min Choi, 24, a.k.a. “Alex Choi,” of Studio City, is charged with one count of causing the placement of an explosive or incendiary device on an aircraft. Choi is scheduled to make his initial appearance this afternoon in United States District Court in downtown Los Angeles. He was arrested on Wednesday and his arraignment is expected in the coming weeks.
According to an affidavit filed with the complaint, on July 4, 2023, Choi posted on his YouTube channel a video entitled, “Destroying a Lamborghini with Fireworks.” In the video, Choi allegedly presses a “fire missiles” button while two women are in a helicopter, shooting fireworks at a speeding Lamborghini sportscar. Law enforcement believes the video was shot on the El Mirage Dry Lakebed in San Bernardino County.
YouTubeScreenshot of YouTube video from the complaint affidavit in USA v. Choi. Credit: DOT-OIG
After shooting what appears to be a live-action version of a fictionalized video game scene, the video transitions to a behind-the-scenes look at how Choi shot the first third of the video. During this portion of the video, Choi allegedly makes various references to himself coordinating the shoot. Specifically, the video states that Choi directed it. In the video, Choi thanks a camera company for “being a part of my crazy stupid ideas.” He also allegedly said in the video that the group who helped make the video “[expletive] up” at one point “because I forgot to tell my friend how to use a torch.”
Finally, as noted in the affidavit, during the video it appears Choi made the decision to end filming when someone asked if they would film again, stating, “No, that’s it. We’re out of fireworks, right?”
In other parts of the video, Choi is seen next to the helicopter, holding what appears to be a firework, according to the affidavit.
Law enforcement believes that Choi committed the offense sometime in June 2023, that he did not have a permit to film a shoot using fireworks on a helicopter, and that he purchased the fireworks in Nevada because they were illegal in California.
A complaint is merely an allegation, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
If convicted, Choi would face a statutory maximum sentence of 10 years in federal prison.
The United States Department of Transportation Office of Inspector General and the Bureau of Alcohol, Tobacco, Firearms and Explosives are investigating this matter.
Assistant United States Attorney Dominique Caamano of the Environmental Crimes and Consumer Protection Section is prosecuting this case.
Stilwell Resident Pleads Guilty to Federal Firearm CrimeRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Robert Micco Harjo, age 30, of Stilwell, Oklahoma, entered a guilty plea to one count of illegally possessing a firearm and ammunition.
The Indictment charged Harjo with knowingly possessing a firearm and 117 rounds of ammunition on December 3, 2023, after having been previously convicted a crime punishable by more than one year imprisonment.
The charges arose from an investigation by the Stilwell Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Jason Robertson, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report. Harjo was remanded to the custody of the United States Marshal Service pending sentencing.
Assistant United States Attorney Edith Singer represented the United States.
St. Tammany Parish Man Sentenced for Selling 1000 Fentanyl Pills to Undercover AgentRead the Press Release
NEW ORLEANS, LOUISIANA – ALSKIIN MILLICAN (“MILLICAN”), age 21, of Madisonville, La., was sentenced on June 4, 2024 after previously pleading guilty to conspiracy to distribute and possess with intent to distribute 40 grams or more of a mixture and substance containing a detectable amount Fentanyl, a Schedule II controlled substance, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(B), and 846. MILLICAN was sentenced to thirty-three (33) months imprisonment, three (3) years of supervised release, and a $200.00 mandatory special assessment fee.
According to court documents, MILLICAN conspired with others to sell fentanyl in the Eastern District of Louisiana. As a part of the investigation, on September 15, 2023, MILLICAN sold 1000 fentanyl pills to an undercover agent in Mandeville, Louisiana.
The case was investigated by Homeland Security Investigations and the St. Tammany Parish Sheriff’s Department. Assistant United States Attorney Rachal Cassagne of the Narcotics Unit oversees the prosecution.
St. Louis County Man Admits Armed Carjacking in St. LouisRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri on Thursday admitted committing a violent carjacking in St. Louis last year.
Ahdaejay Britton, 19, of Bel-Ridge, pleaded guilty in U.S. District Court in St. Louis to one count of carjacking and one count of possession and brandishing a firearm in furtherance of a crime of violence.
At about 1:30 p.m. on May 8, the victim parked his Mazda 3 in a garage in the 3800 block of Lindell Boulevard. Britton admitted that he and a juvenile accomplice saw the man parking, then followed him down a stairwell, grabbed him from behind and pulled him down to the ground. While pointing a gun at the victim, Britton demanded the keys to the car, then stole the victim’s wallet and cell phone before following his accomplice to the Mazda.
Police located the car in the 10000 block of New Halls Ferry Road and spotted the juvenile in the driver’s seat. Britton was in a nearby business. Officers found the victim’s phone and a .45-caliber semiautomatic pistol in the Mazda. Britton later admitted to police that he’d committed the carjacking and robbery at gunpoint.
Britton is scheduled to be sentenced November 14. The carjacking charge carries a penalty of up to 15 years in prison, a $250,000 fine or both. The firearm charge carries a mandatory minimum sentence of seven years, consecutive to all other charges, and a maximum of life in prison.
The St. Louis Metropolitan Police Department and the St. Louis County Police Department investigated the case. Assistant U.S. Attorney Matthew Martin 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.
St. Albans Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Timothy A. Ward, 42, of St. Albans, was sentenced today to eight years and nine months in prison, to be followed by three years of supervised release, for aiding and abetting the distribution of methamphetamine.
According to court documents and statements made in court, Ward and his wife, Sarah J. Ward, distributed methamphetamine or aided and abetted each other to distribute methamphetamine to confidential informants on seven occasions in Kanawha County from October 2, 2023, through December 6, 2023. The Wards received money for several of these transactions. For two of the transactions, Timothy J. Ward directed a confidential informant to shoplift items in exchange for methamphetamine. The transactions included the sale of a half-ounce of methamphetamine to a confidential informant at a St. Albans bar on October 2, 2023.
Timothy A. Ward also sold a firearm with an obliterated serial number at the couple’s St. Albans residence on December 7, 2023 to a confidential informant who had purchased methamphetamine from him on prior occasions. Timothy A. Ward knew he was prohibited from possessing a firearm because of his prior conviction for being a person prohibited from possessing a firearm on September 8, 2020 in Kanawha County Magistrate Court.
Timothy A. Ward has a long criminal history with 24 prior convictions, including for such other offenses as domestic battery, grand larceny, daytime burglary, breaking and entering, fleeing, escape, and possession with intent to deliver a controlled substance.
Sarah J. Ward, 40, pleaded guilty to aiding and abetting the distribution of methamphetamine on February 15, 2024, and awaits sentencing.
United States Attorney Will Thompson made the announcement and commended the investigative work of the St. Albans Police Department and the U.S. Department of Homeland Security-Homeland Security Investigations (HSI).
United States District Judge Irene C. Berger imposed the sentence. Assistant United States Attorney JC MacCallum prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-201.
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Springdale Man Sentenced to 87 Months in Federal Prison for Transporting Child PornographyRead the Press Release
FAYETTEVILLE – A Springdale man was sentenced yesterday to 87 months imprisonment without the possibility of parole on one (1) Count of Transportation of Child Pornography. The Honorable Timothy L. Brooks presided over the sentencing hearing, which was held in the U.S. District Court in Fayetteville.
According to court documents, in January of 2022, agents and task force officers with Homeland Security Investigations received information that an individual from Northwest Arkansas had uploaded images of child sexual abuse material to a Google account. During the resulting investigation, law enforcement identified the user of the Google account as Jonathan David Attaway, age 32 of Springdale, Arkansas. Federal law enforcement subsequently executed a search warrant at Attaway’s residence and discovered multiple devices containing images of child sexual abuse material. At sentencing, the United States presented the Court with evidence reflecting that Attaway possessed images of minors as young as 6 years old engaged in sexually explicit conduct.
U.S. Attorney Clay Fowlkes of the Western District of Arkansas made the announcement.
Homeland Security Investigations, the Internet Crimes Against Children Taskforce, investigated the case.
Assistant U.S. Attorney Tyler Williams prosecuted the case on behalf of the United States.
These cases were prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov.
Smyrna Man Sentenced for Producing Child Sexual Abuse Material and Witness TamperingRead the Press Release
NASHVILLE – Pierre Burns, 31, of Smyrna, Tennessee, was sentenced yesterday to 20 years in prison and 10 years of supervised release. A federal jury previously convicted him of two counts of sexual exploitation of a minor and one count of witness tampering for producing sexually explicit images of two minors and then calling one of the minors from jail to influence her trial testimony.
According to the evidence at trial, in March 2020 the defendant picked up two runaway minors at a Nashville Waffle House. Over the course of the next several days, he used his phone to photograph and record the minors engaging in sexual acts. Following a traffic stop, these sexually explicit images were discovered on the defendant’s phone. One of the minors depicted in the images was in the car with the defendant during that traffic stop.
While the defendant was awaiting trial on child exploitation charges, he called one of the minors from the jail in an attempt to influence her testimony. The defendant was subsequently charged in a superseding indictment with witness tampering.
“Protecting minors from exploitation continues to be one of the Justice Department’s top priorities,” said United States Attorney Henry C. Leventis. “Today’s sentence, and the excellent investigative and trial work that preceded it, will ensure that this defendant will not get anywhere near children for the next two decades.”
“This sentencing is a result of cooperation between HSI and the Metropolitan Nashville Police Department to rescue children being sexually exploited,” said HSI Nashville Special Agent in Charge Rana Saoud. “Our investigators work tirelessly with our law enforcement partners to deliver justice to those who engage in the production and distribution of child sexual abuse material.”
The Metropolitan Nashville Police Department and Homeland Security Investigations investigated this case. Assistant U.S. Attorney Monica R. Morrison prosecuted the case.
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Sex offender sentenced for conspiring to livestream sexual abuse of children overseasRead the Press Release
ALEXANDRIA, Va. – A Sterling man was sentenced today to 32 years in prison for conspiring with a child sex trafficker in the Philippines to livestream the sexual abuse of numerous children on the Internet.
According to court documents, between at least April 2017 and November 2020, Michael Anthony Baxter, 50, and the child sex trafficker conspired to use children, some as young as three years old, to produce more than 30 livestreaming webcam shows depicting the sexual abuse of the children. Baxter and his co-conspirator used an Internet application to arrange the time and location of the livestream, preview the children who would appear in the livestream, discuss the sexual acts the children would perform, and direct the sexual acts in real time via text chat. Baxter paid the child sex trafficker through a third-party website to sexually abuse the young children while he watched via livestream.
Baxter’s co-conspirator was arrested in the Philippines in February 2021 for human trafficking offenses. After that arrest, Baxter continued to engage with other suspected child sex traffickers.
In December 2023, law enforcement executed a federal search warrant at Baxter’s residence, where they found him actively engaged in a chat on the same Internet application with another suspected child sex trafficker. Records obtained from the Internet application showed that Baxter had purchased livestreams of the other user’s 7- and 10-year-old daughters engaged in sexually explicit conduct.
In addition to the children victimized through the livestreams, Baxter also possessed hundreds of files on his computers depicting child sexual abuse. Baxter is a registered sex offender, having been convicted in Prince William County Circuit Court in 2009 for possession of child pornography.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Derek W. Gordon, Special Agent in Charge of Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by U.S. District Judge Michael S. Nachmanoff.
Assistant U.S. Attorneys Lauren Halper prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:24-cr-8.
Sex Offender Sentenced to 10 Years in Federal Prison for Possessing Child Sex Abuse MaterialRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that SHELDON THOMSON, 36, last residing in Norwich, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 120 months of imprisonment, followed by 15 years of supervised release, for possessing child sex abuse images and videos.
According to court documents and statements made in court, in 2007, Thomson, who now identifies as female, was convicted in state court of sexual assault in the first degree, involving sexual intercourse with a person under the age of 13, and of risk of injury to a child. She was released from prison in November 2015 and began serving a term of probation. In May 2022, Thomson’s state probation officer seized multiple cellphones, a tablet, and a storage card from Thomson, her vehicle, and her residence. Analysis of the seized devices revealed more than 100 images and videos depicting the sexual abuse of children, including prepubescent children.
On October 31, 2023, Thomson pleaded guilty to possession of child pornography. The penalties in this matter were enhanced based on Thomson’s prior convictions for sexual assault in the first degree and risk of injury to a minor.
Thomson is being sentenced tomorrow in state court for violating his probation.
This case was investigated by Homeland Security Investigations (HSI) with the assistance of the State of Connecticut Office of Adult Probation, and was prosecuted by Assistant U.S. Attorney Daniel E. Cummings.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Seminole County Couple Charged with Firearm and Drug OffensesRead the Press Release
Orlando, FL –United States Attorney Roger B. Handberg announces the return by a grand jury of an indictment charging Giovany Joel Crespo Hernandez (27, Orlando) and Monicasabel Romero Soto (28, Orlando) with possession with intent to distribute controlled substances and use of a firearm in furtherance of drug trafficking. If convicted on all counts, Crespo Hernandez faces a maximum penalty of 20 years in federal prison. If convicted on all counts, Romero Soto faces a minimum mandatory penalty of 5 years, up to 40 years, in federal prison. The indictment also notifies Crespo Hernandez and Romero Soto that the United States intends to forfeit the firearms and ammunition which are alleged to have facilitated the offenses.
According to the indictment, on April 17, 2024, Crespo Hernandez and Romero Soto possessed with intent to distribute fentanyl and possessed a firearm in furtherance of that drug offense. On April 17, 2024, Romero Soto possessed with intent of distribute 500 grams or more of cocaine.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Homeland Security Investigations and the Seminole County Sheriff’s Office, with assistance from Apopka Police Department, Drug Enforcement Administration, St. Cloud Police Department, and United States Postal Inspection Service. It will be prosecuted by Assistant United States Attorneys Stephanie McNeff and Dana Hill.
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.
Video statement from U.S. Attorney Handberg: https://www.youtube.com/watch?v=BEz8M45kGqE
Schuylkill County Man Charged with Methamphetamine TraffickingRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that John Kyle Smith, age 40, of Schuylkill Haven, PA, was charged on June 4, 2024, by a federal grand jury for possession with intent to distribute methamphetamine.
According to United States Attorney Gerard M. Karam, the Indictment alleges that on February 29, 2024, in Schuylkill County, Smith possessed with the intent to distribute methamphetamine.
This matter was investigated by the Federal Bureau of Investigation (FBI) and the PA Office of Attorney General Bureau of Narcotics Investigations (BNI). Assistant United States Attorney Jeffery St John 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 under federal law for this offense is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments and Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Schenectady Man Indicted for Drug and Gun OffensesRead the Press Release
ALBANY, NEW YORK – James Alvin Boone, age 29, of Schenectady, New York, was indicted today for conspiracy to distribute and possess with intent to distribute controlled substances, distribution of a controlled substance, possession with intent to distribute controlled substances, and possession of a firearm in furtherance of a drug trafficking crime.
United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.
Boone was previously charged by federal complaint, on March 25, 2024. He has been detained since he made his initial appearance that day before United States Magistrate Judge Daniel J. Stewart.
According to the indictment, on July 28, 2023, Boone possessed cocaine with the intent to distribute it, and also possessed a pistol in furtherance of that crime. The indictment further alleges that Boone conspired to distribute and possess with intent to distribute fentanyl and cocaine from January 14, 2023 through March 25, 2024; possessed with intent to distribute fentanyl and cocaine on March 25, 2024; and distributed fentanyl on three occasions between December 6, 2023 and February 8, 2024.
The indictment seeks the forfeiture of the pistol, over $27,000 in U.S. currency, and nearly $40,000 worth of jewelry.
The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
The charges filed against Boone carry a mandatory minimum prison term of 15 years and a maximum term of life, a fine of up to $10 million, and a term of supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The DEA is investigating the case with assistance from the Colonie Police Department, Schenectady Police Department, and New York State Police. Assistant U.S. Attorney Mikayla Espinosa is prosecuting the case.
San Antonio Man Sentenced to More Than 41 Years in Federal Prison for Sexually Exploiting a ChildRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced in federal court to 502 months in prison followed by lifetime supervised release for producing and distributing child sexual abuse material.
According to court documents, Demetrio Ramirez, 34, produced and shared across social media 20 videos depicting himself and a prepubescent minor engaged in sexual conduct. The child sexual abuse material was identified on Feb. 15, 2023, through Operation Rescue Me, a joint operation by the FBI and the National Center for Missing and Exploited Children (NCMEC). Ramirez pleaded guilty without a plea agreement on Feb. 20 to one count of sexual exploitation of children and one count of distribution of child pornography. He was also ordered to forfeit his phone and any online accounts used to commit the offense. Restitution will be decided at a later date.
“Thanks to the vigilance of our FBI and the NCMEC, we were able to put an end to the repeated sexual abuse of a young child and lock up the offender for the next four decades,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “Let us be clear. The sexual abuse and exploitation of children will not be tolerated. We will relentlessly pursue these cases and prosecute them to the full extent of the law.”
"Demetrio Ramirez preyed on children, one of the most vulnerable groups in our society, and this sentence ensures he can't hurt another child," said Special Agent in Charge Aaron Tapp for the FBI San Antonio Field Office. “We want to thank our partners at the NCMEC and DOJ, through their Project Safe Childhood, for their continued assistance in keeping our communities safe from predators.”
The FBI investigated the case.
Assistant U.S. Attorney Tracy Thompson prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Sallisaw Resident Sentenced to Five Years for Burglary in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Christopher Dean Dod, age 39, of Sallisaw, Oklahoma, was sentenced to 60 months imprisonment for Burglary in the Second Degree in Indian Country.
The charge arose from investigations by the Sallisaw Police Department, the Oklahoma State Fire Marshal, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
On February 6, 2023, Dod pleaded guilty to one count of a superseding indictment of Burglary in the Second Degree in Indian Country. According to investigators, on April 6, 2022, Dod forced his way into a Sallisaw apartment, on the Cherokee Nation Reservation, and attempted to burn the apartment by lighting combustible materials on the kitchen stove. Dod fled the scene, but was apprehended and arrested a short time later by law enforcement after neighbors spotted Dod gaining entrance into a nearby residence.
The Honorable Ronald A. White, Chief Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Dod will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Kevin Gross represented the United States.
Rock County Man Sentenced to 6 1/2 Years for Illegally Possessing Firearms and Maintaining a Drug HouseRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Byron D. Broomfield, 37, Beloit, Wisconsin, was sentenced on June 4, 2024, by U.S. District Judge William M. Conley to 6 ½ years in federal prison for possessing firearms after a felony conviction and maintaining a drug-involved premises. Broomfield pleaded guilty to these charges on February 14, 2024.
The Beloit Police Department began investigating Broomfield for drug trafficking in January 2023. During their investigation, police found evidence of substantial marijuana dealing in Broomfield’s trash. On March 6, officers stationed outside of Broomfield’s home observed Broomfield and another man enter Broomfield’s residence with an empty bag. After a short time, the other individual left the home with that same bag full. A few hours later, officers watched another two individuals drive to the home, enter the residence with an empty backpack, and leave a short time later with that backpack full. Officers stopped those individuals and found two pounds of marijuana in that backpack. The individuals told officers that they bought the marijuana from Broomfield, who was also known to associate with firearms.
Police then obtained and executed a search warrant at Broomfield’s residence and found 6,599 grams of marijuana commercially packaged for distribution and a loaded Taurus G3C 9mm handgun that had Broomfield’s DNA on it. Officers also searched Broomfield’s car and found a Glock Model 19 handgun with a Glock “switch” attached, and a Masterpiece Arms Defender 9mm handgun with an obliterated serial number.
A Glock switch is a common name for an illegal after-market device that converts a semi-automatic handgun into a fully functioning machine gun. An obliterated serial number is a serial number that has been altered or destroyed, making it more difficult to identify the firearm or trace it to other crimes.
At sentencing, Judge Conley emphasized that gun violence “plagues the nation” and added that the Beloit community was no exception. Judge Conley additionally considered the incredible danger Broomfield posed to the public by possessing a handgun with a Glock switch.
This is Broomfield’s second federal felony conviction. In 2010, Broomfield was convicted of distributing cocaine in the Western District of Wisconsin.
The charges against Broomfield were the result of an investigation conducted by the Beloit Police Department, the Wisconsin Department of Justice Division of Criminal Investigation, the Drug Enforcement Administration, the Wisconsin State Patrol, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The prosecution of the case has been handled by Assistant U.S. Attorney Kathryn Ginsberg.
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.
Raytown Sex Offender Pleads Guilty to Possessing Child PornographyRead the Press Release
KANSAS CITY, Mo. – A Raytown, Mo., man who is a convicted sex offender pleaded guilty in federal court today to possessing thousands of videos and images of child pornography.
James Anthony Bee, 56, pleaded guilty before U.S. District Judge Stephen R. Bough to one count of possessing child pornography.
Bee has a prior federal felony conviction for distributing child pornography, for which he was sentenced to seven years in prison, followed by 15 years of supervised release. Bee’s term of supervised release began on Dec. 30, 2021.
On Nov. 2, 2022, probation officers conducted an unannounced home inspection at Bee’s residence. A probation officer noticed several cell phone charging cords on his bedroom floor. The terms of Bee’s supervised release prohibited him from possessing electronic devices with access to any on-line computer service without the prior approval of the probation office. Upon retrieving the cords, the probation officer discovered that one of the cords was connected to an SD card reader, which contained a micro-SD card inside the reader.
When Bee arrived and realized the probation officers had found the SD card and were going to search it, he struck the living room window twice with his hand, breaking it. He retrieved a piece of glass and attempted to cut his neck with it. The probation officers contacted emergency services and Bee was transported to the hospital for treatment.
A forensic examination of the SD card found more than 1,300 videos of child pornography and more than 9,000 images of child pornography.
Under federal statutes, Bee is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of 20 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 is scheduled on Oct. 24, 2024.
This case is being prosecuted by Assistant U.S. Attorney Kenneth W. Borgnino. It was investigated by the U.S. Probation Office and the FBI.
Project Safe Childhood
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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Queens and Brooklyn-Based Eye Doctor Settles Health Care Fraud Claims for More Than $2.4 MillionRead the Press Release
Breon Peace, United States Attorney for the Eastern District of New York, Letitia James, New York State Attorney General, and Naomi Gruchacz, Special Agent-in-Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), announced today a settlement agreement with a New York-based ophthalmologist, his ophthalmology practice and related entities which allegedly provided ophthalmological health care services to Brooklyn and Queens residents, many of whom were elderly or non-native English speakers. The settlement agreement requires the defendants to pay more than $2.4 million to resolve claims that they billed or caused to be billed false claims for payment to Medicare and Medicaid for certain procedures, tests, and other ophthalmological services that were either unnecessary or could not have been performed because the ophthalmologist was not in his office. Under the terms of the agreement, these providers, including Sheldon Rabin, Sheldon Rabin, M.D., Sheldon Rabin, M.D., P.C. d/b/a New York Eye Care, will pay $2,426,144.93 to the United States to resolve claims under the False Claims Act. The defendants have also separately agreed to pay $73,855.07 to New York State to resolve claims under New York State’s False Claims Act, for a total payment of $2.5 million.
“As alleged, the defendants took advantage of our district's older residents and other vulnerable individuals in defrauding the Medicare and Medicaid programs for their own personal gain,” stated U.S. Attorney Peace. “As this settlement makes clear, our Office will protect the integrity of government health care programs and pursue providers who enrich themselves through fraud.”
Mr. Peace also thanked the Medicaid Fraud Control Unit of the Office of the New York State Attorney General for their assistance with the investigation.
“Doctors who exploit their patients undermine the health care system that all New Yorkers rely on,” stated New York Attorney General James. “Dr. Rabin and his practice unjustly enriched themselves with taxpayer funds by taking advantage of their elderly and vulnerable patients, and today they are being held accountable. I thank U.S. Attorney Peace and our partners in this investigation for bringing this case to ensure New Yorkers get the high-quality care they deserve.”
“The Medicare and Medicaid fraud claims in this case involved services that were not medically necessary, which always raises a concern about potential patient harm,” stated HHS-OIG Special Agent-in-Charge Gruchacz. “Individuals and entities that participate in the federal health care system are required to obey the laws meant to preserve the integrity of program funds and the provision of appropriate, quality services to patients.”
As alleged by the Government, from 2013 through 2016, defendants improperly submitted claims to Medicare and Medicaid for treatments that were unnecessary by manipulating patient test readings to create an appearance of a need for certain eye care services, when in fact, the patients’ test readings indicated no such need. Further, during this same time frame, the government alleged instances of services having been billed, but never actually rendered by Dr. Rabin, because he was out of the office or out of the country when the services were purportedly rendered.
The settlement includes the resolution of two civil actions brought under the qui tam or whistleblower provisions of the False Claims Act. Under the qui tam provisions of the False Claims Act, a private party can file an action on behalf of the United States and receive a portion of the settlement if the government takes over the case and reaches a monetary agreement with the defendant. As alleged in the qui tam actions, the defendants provided ophthalmological health care services to Brooklyn and Queens residents, many of whom were elderly or non-native English speakers.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
The government’s case was handled by Assistant United States Attorney Artemis Lekakis of the Office’s Civil Division.
E.D.N.Y. Docket Nos. 13-CV-1930 (HG) and 15-CV-6356 (HG)Previously Convicted Felon Sentenced to Nearly Seven Years in Prison for Firearm OffensesRead the Press Release
BOSTON – A Lowell man was sentenced yesterday for being a felon in possession of loaded firearms.
Jey Luis Guerrero, 20, was sentenced by U.S. District Court Chief Judge F. Dennis Saylor IV to 81 months in prison, followed by three years of supervised release. In February 2024, Guerrero pleaded guilty to one count of being a felon in possession of firearms and ammunition.
On April 13, 2023, while on parole following a state court drug distribution conviction, Guerrero’s state parole officer conducted an unannounced home visit. Located in Guerrero’s bedroom were 12 bags of suspected fentanyl and two loaded firearms that had been reported stolen – one of which was equipped with a large capacity magazine. The drugs and firearms were subsequently seized.
Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Lowell Police Superintendent Greg Hudon made the announcement today. Assistant U.S. Attorney Philip C. Cheng of the Organized Crime & Gang Unit 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 gun violence and other violent crime, 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 Project Safe Neighborhoods, please visit Justice.gov/PSN.
Perryton ISD Coach Charged for Enticing 15-Year-Old StudentRead the Press Release
A Perrytown ISD coach has been charged following an alleged sexual relationship with his 15-year-old student, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Cole Underwood, 29, was charged via criminal complaint with enticement of a minor. He made his initial appearance before U.S. Magistrate Judge Lee Ann Reno on Thursday afternoon.
According to the complaint, Perryton ISD’s superintendent reached out to law enforcement on May 7 to report a possible inappropriate relationship between Mr. Underwood and a female student. According to the superintendent, surveillance video allegedly showed Mr. Underwood meeting with the girl alone after hours, despite being given a specific directive not to be alone with her.
Agents reviewed the footage and observed Mr. Underwood propping an exterior door open and then shutting off lights. Approximately 15 minutes later, the girl entered the darkened building through the propped door and walked into Mr. Underwood’s office.
In interviews with law enforcement, the child said Mr. Underwood had sex with her in his office more than a dozen times between February and May.
She said that after she added him as a contact on Snapchat, he established a personal friendship with her, and even invited her to his office to confide in him. She said that Mr. Underwood began messaging her in a flirtatious and sexual manner in December, and eventually used Snapchat to arrange sexual encounters.
A search of the girl’s cell phone revealed multiple late-night conversations – some lasting more than six hours – between her and Mr. Underwood, who allegedly occasionally referred to the child as “wifey” and told her he loved her.
A complaint is merely an allegation of criminal conduct, not evidence. Mr. Underwood is presumed innocent until proven guilty in a court of law.
If convicted, he faces up to life in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office – Amarillo Resident Agency and the Ochiltree County Sheriff’s Office conducted the investigation with the full cooperation of the Perryton Independent School District. Assistant U.S. Attorney Callie Woolam is prosecuting the case.
Parkersburg Man Pleads Guilty to Child Pornography CrimeRead the Press Release
CHARLESTON, W.Va. – Jon Ryan LaFever, 29, of Parkersburg, pleaded guilty today to production of child pornography.
According to court documents and statements made in court, on or about March 16, 2023, LaFever posted a picture of a minor female on an instant messaging mobile app. LaFever received a direct message after posting the photo from an app user asking about the minor female. LaFever admitted that he messaged the user that the minor female was a 7-year-old girl to whom he had access. LaFever further admitted that he sent the user several additional photos through direct messaging. The photos included one image of the minor female in her underwear and with her legs spread open, and two images of a minor female’s nude genital area.
LaFever also admitted to sending two videos of the minor female to the app user. In both videos, LaFever touches the minor female’s buttocks while she was asleep on a bed, attempts to pull her shorts and underwear aside to expose her genital and pubic area, and stops when she appears to be waking up.
On March 20, 2023, law enforcement officers executed a search warrant of LaFever’s Parkersburg residence. LaFever admitted to officers that he sent the videos on the messaging app. Officers seized LaFever’s cell phone during the search and a forensic analysis found it stored several images and videos depicting the minor female on a bed in his residence. LaFever admitted to creating the images and videos with his cell phone. They included the two videos of the minor female that he created with his cell phone on March 6, 2023.
LaFever further admitted to possessing hundreds of images and videos of child pornography on his phone and an online file-storage account, and that some of this child pornography depicted prepubescent minors.
LaFever is scheduled to be sentenced on September 5, 2024, and faces a mandatory minimum of 15 years and up to 30 years in prison, at least five years and up to a lifetime of supervised release, and a $250,000 fine. LaFever also owes restitution, in an amount to be determined by the Court, and must register as a sex offender.
United States Attorney Will Thompson made the announcement and commended the investigative work of the U.S. Department of Homeland Security-Homeland Security Investigations (HSI) and the West Virginia State Police.
United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Jennifer Rada Herrald 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 Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-199.
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Palomar Hospital Pays $250,000 for Diverting FentanylRead the Press Release
NEWS RELEASE SUMMARY – June 3, 2024
SAN DIEGO – Palomar Health, a California public health care district located in San Diego County, has paid $250,000 to resolve allegations of diversion of fentanyl from one of its facilities and failure to keep accurate records for fentanyl.
Palomar Health is California’s largest health care district, with campuses in Escondido and Poway. This settlement arises from a self-disclosure Palomar Health made to the U.S. Drug Enforcement Administration (DEA) that one of its employees may have diverted controlled substances.
The government investigated Palomar Health and concluded that vials of fentanyl were diverted from Pyxis machines—automated medication dispensing machines often used in hospital settings—located at Palomar Health’s Cardiac Catheterization Lab in Escondido. Specifically, the government concluded that over a five‑month period, numerous vials of fentanyl were diverted from the Pyxis machines and unused fentanyl was not properly disposed of.
In addition to paying $250,000 to resolve the government’s claims, Palomar Health entered into a Memorandum of Agreement with the DEA requiring Palomar Health to undertake additional measures to increase security, implement specialized training, and to handle controlled substances properly and safely.
“We commend self-reporting by those responsible for managing controlled substances and encourage others to notify law enforcement early to prevent needless harm,” said U.S. Attorney Tara McGrath.
“We value our relationships with our registrant population and encourage all of them to be diligent in preventing and catching diversion,” said Diversion Program Manager Rostant Farfan. “Keeping medications, like fentanyl, off of the street is the responsibility of all who work with controlled substances.”
This settlement was the result of a coordinated effort by the U.S. Attorney’s Office for the Southern District of California and the Drug Enforcement Administration.
To report a tip directly to a DEA representative regarding medical personnel writing suspicious opioid prescriptions and pharmacies dispensing large amounts of opioids, call (571) 324-6499 or visit the DEA’s website (https://www.deadiversion.usdoj.gov/tips-online.html) and click on “Rx Abuse Online Reporting.”
This case was prosecuted by Assistant U.S. Attorney Dylan M. Aste.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Pair arrested for extensive CARES Act fraud conspiracyRead the Press Release
HOUSTON – Two individuals are now in custody for allegedly conspiring to submit numerous fraudulent applications for small business loans through the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) Program provided through the Coronavirus Aid Relief and Economic Security (CARES) Act, announced U.S. Attorney Alamdar S. Hamdani.
Authorities have arrested Shawn Nicholas Young, 41, Missouri City, and Trenikia Lashae Banks, 40, Houston. They will make their initial appearances before U.S. Magistrate Judge Richard Bennett at 2 p.m.
According to the 11-count indictment, Young and Banks devised a scheme to submit fraudulent PPP and EIDL applications to the Small Business Administration (SBA) and several banks authorized to approve and fund PPP loans the government backed. They allegedly submitted false tax documents, including fake personal and business tax returns, to support the loan applications.
The indictment alleges Young and Banks used the loan proceeds to make large cash withdrawals and to pay for unauthorized and non-business expenses such as residential mortgages, home improvement loans and the purchase of vehicles. Some of the money also went to Young as kickback payments for submitting fraudulent applications for the businesses Banks and others owned, according to the allegations.
If convicted, each faces up to 20 years imprisonment for conspiracy and wire fraud as well as a $250,000 maximum possible fine. The money laundering count carries a possible 10-year prison term and a fine of up to $250,000 or twice the value of the property involved in the transaction.
Homeland Security Investigations, Federal Housing Finance Agency – Office of Inspector General (OIG), Treasury Inspector General for Tax Administration, Small Business Administration – OIG and Federal Deposit Insurance Corporation – OIG conducted the investigation with the assistance of Fort Bend County Sheriff’s Office. Assistant U.S. Attorneys Stephanie Bauman and Shirin Hakimzadeh are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Ohio Man Admits to Sex Offender Registry ViolationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Scott Allen Schafer, 54, of Millersburg, Ohio, pled guilty today to failing to update his sex offender registration.
According to court documents, Schafer is required to register as a sex offender because of a prior conviction involving a minor in Ohio in 2018. Schafer was living in Ritchie County, West Virginia, and failed to update his registration.
Schafer faces up to 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The United States Marshals Service and the West Virginia State Police investigated.
Assistant U.S. Attorney Sarah Wagner is prosecuting the case on behalf of the government.
U.S. Magistrate Judge Michael John Aloi presided.
North Carolina man who groped teen on flight to Seattle sentenced to prisonRead the Press Release
Seattle – A- 70-year-0ld Andrews, North Carolina man was sentenced Wednesday to 6 months in custody and 12 months of supervised release following prison, for an assault on board an aircraft flying from Atlanta to Seattle, announced U.S. Attorney Tessa M. Gorman. Jack Allen Roberson was arrested at Sea-Tac airport in July of 2023. He pleaded guilty to simple assault in March 2024. At the sentencing hearing U.S. District Judge Lauren King noted the offense was egregious as passengers are captive when seated next to someone on a plane, and children are especially vulnerable in these circumstances. Judge King recognized the conduct was traumatizing for the victim and commended the teen's bravery in coming forward and participating in the criminal justice process.
According to records filed in the case, Roberson was seated next to the 15-year-old victim who was traveling with her guardian. While Roberson appeared to be sleeping, he slipped his hand onto the victim’s thigh and ran his hand up under her skirt and towards her genitals. The victim reported the unwanted touching to her guardian, who contacted the flight attendant. Roberson was moved to a different seat. Law enforcement was contacted and met the plane on arrival. Roberson was arrested and taken to the Federal Detention Center at SeaTac.
In asking for the prison sentence, Assistant United States Attorney Sanaa Nagi wrote to the court, “Airline assaults are a plague on our modern, highly mobile society. The Western District of Washington in particular, likely in part due to Seattle’s location and relationship with the greater international air travel network, has experienced a significant increase of the number of airline assault reports as of late… In the immediate aftermath of the assault, Roberson’s groping left the victim shocked and afraid…. Despite the trauma of being assaulted by a complete stranger, she found the courage to report what happened – to stand up for herself and declare that what Roberson did to her was not acceptable and should not go unpunished.”
The case was investigated by the FBI with assistance from the Port of Seattle Police.
The case was prosecuted by Assistant United States Attorney Sanaa Nagi.
Norfolk Man Sentenced to 30 Years in Prison for Production of Child PornographyRead the Press Release
United States Attorney Susan Lehr announced that Estefan Bernardino Chavez, 30, of Norfolk, Nebraska, was sentenced on June 6, 2024, in federal court in Omaha, Nebraska, for production of child pornography. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Chavez to 30 years’ imprisonment. There is no parole in the federal system. After Chavez’s release from prison, he will begin a 15-year term of supervised release. Chavez will also be required to register as a sex offender. Chief Judge Rossiter ordered Chavez to pay $3,000 in restitution and a $3,100 special assessment.
On February 28, 2023, Chavez attempted to join an online website purporting to facilitate the sharing of so-called “original” child pornography content via the Tor network. Chavez used an IP address that resolved to his residence in Norfolk to register for an account on the website. While using the website, Chavez sent the website administrator a link that contained a video file that depicted Chavez and a minor victim engaged in sexually explicit conduct.
On March 1, 2023, the Federal Bureau of Investigation’s Child Exploitation and Human Trafficking Task Forced executed a search warrant at Chavez’s residence. Chavez was arrested that same day.
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 United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Omaha FBI's Child Exploitation and Human Trafficking Task Force.
Nigerian National Sentenced for Romance SchemeRead the Press Release
ALBUQUERQUE – A Nigerian National was sentenced to 51 months in prison and ordered to pay $524,000 in restitution and a money judgment in the amount of $868,295 for his role in a hybrid romance scam and business email compromise scheme.
There is no parole in the federal system.
According to court documents, the scheme began in July 2015 when a co-conspirator initiated a romance scam with a 56-year-old widow in New Mexico using the alias "Sean Bartlett." The co-conspirator convinced the victim that he was an engineer working on lucrative oil contracts and promised to marry the victim but instructed her to send him money for supposed business expenses.
On September 13, 2015, Uchenna Nlemchi opened a personal bank account at Amegy Bank in his own name. Sixteen days later, Nlemchi opened a fraudulent business bank account at the same bank in the name of the non-existent "Jay Auto & Machine Parts," listing himself as the sole owner.
Following the co-conspirator’s instructions over the next few months, the victim made several transfers into accounts controlled by Nlemchi totaling over $375,000 from her retirement savings and a home equity loan. This included wiring $45,000 on October 7th to another person's account, before sending $35,000 directly to the "Jay Auto & Machine Parts" account on October 9th, the same day the other person wired $44,000 into that account. On October 22nd, the victim transferred $125,346 from her and her late husband's IRA accounts into Nlemchi’s "Jay Auto & Machine Parts" bank account. Then on December 7th, she took out a $170,000 home equity loan and immediately transferred the full amount to that account.
Separately in late 2015, a German citizen attempting to purchase a Miami condo received fraudulent wire instructions after a hacker compromised her attorney's email. The German victim then wired money intended for the condo purchase to the New Mexico victim’s account. A co-conspirator then instructed the New Mexico victim to forward over $200,000 of those funds to Nlemchi’s accounts.
Nlemchi rapidly withdrew and transferred globally over $868,000 that was deposited into the "Jay Auto & Machine Parts" account from the New Mexico victim and other fraud proceeds. Nlemchi abandoned the fraudulent accounts on February 29, 2016, as bank investigators closed in.
At the time, Nlemchi was in the United States on a student visa and attended Texas Southern University. He was arrested in Houston, Texas in 2017 and released on electronic monitoring in the third-party custody of his wife and ordered to surrender his passport. Nlemchi escaped from his monitoring system and fled to Mexico, then to Brazil, then back to his home in Nigeria. Nlemchi was an international fugitive for more than five years until his arrest in Hungary in 2023.
Nlemchi pleaded guilty in federal court to one count each of wire fraud and conspiracy to commit money laundering in February 2024.
After completing his term of imprisonment, Nlemchi will be required to serve 3 years of supervised release and will be subject to deportation proceedings.
U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, made the announcement today.
The Albuquerque Division of the FBI investigated this case with assistance from the Albuquerque Police Department during the extradition process. Assistant U.S. Attorney Jeremy Peña is prosecuting the case.
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McAlester Resident Sentenced to 20 Years for Possessing Material Involving the Sexual Exploitation of A MinorRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Nathan Rex Upton, age 35, of McAlester, Oklahoma, was sentenced to 20 years of imprisonment, followed by a 10-year term of supervised release, for one count of Possession of Certain Material Involving the Sexual Exploitation of a Minor.
The charges arose from investigations by the Pittsburg County Sheriff’s Office, the Department of Homeland Security Investigations, and the United States Secret Service.
On November 1, 2023, Upton pleaded guilty to the charge. According to investigators, on October 20, 2022, law enforcement executed a search warrant for Upton’s McAlester home. Agents seized multiple computer hard drives. A subsequent search of the drives revealed over 16,000 images depicting child sexual abuse.
The Honorable Judge Ronald A. White, Chief Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Upton will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Caila M. Cleary represented the United States.
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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood and Internet safety education, please visit www.justice.gov/psc and click on the tab “resources”.
We encourage anyone who suspects or has information regarding child sexual exploitation, trafficking of minors, sextortion, child pornography, or any other means of child exploitation to immediately contact law enforcement. You can file a report on the National Center for Missing & Exploited Children (NCMEC) website at www.cybertipline.com. If you prefer to speak to someone directly, you can contact NCMEC’s Call Center at 1-800-843-5678, the FBI at 1-800-CALL-FBI (1-800-225-5324), or HSI at 1-877-4-HSI TIP (1-877-447-4847).
Man who traveled from Florida to Western New York to have sex with a minor arrested on multiple child pornography chargesRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Jose Francisco Cardoso Tehovnik, 21, of Orlando, Florida, was arrested and charged by criminal complaint with enticement of a minor, and production, receipt, and possession of child pornography. The charges carry a mandatory minimum penalty of five years in prison and a maximum of life.
Assistant U.S. Attorney Caitlin M. Higgins, who is handling the case, stated that according to the complaint, in February 2024, Tehovnik began communicating with a minor female (victim) in the Western District of New York on the social media application Instagram, before moving the conversation to Snapchat. During these conversations, Tehovnik and the victim exchanged naked images, which included child pornography of the victim, and Tehovnik made plans to travel to the Western District of New York. In April 2024, Tehovnik flew from Florida to New York to engage in sexual activity with the victim, before returning to Florida. On June 4, 2024, Tehovnik came back to the Western District of New York, picked up the victim, and traveled to New Jersey, where law enforcement located him with the victim. Tehovnik was arrested and taken into custody.
Tehovnik made an initial appearance this morning in the District of New Jersey and will be returned to the Western District of New York at a later date.
The complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, and the Niagara Falls Police Department, under the direction of Superintendent Nicholas Ligammari.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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