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6 June 2024
Ahoskie Man Convicted on Federal Charges Relating to His Shooting at Hertford County Sheriff’s DeputiesRead the Press Release
WILMINGTON, N.C. – A federal jury convicted an Ahoskie man this week on charges of being a felon in possession of ammunition.
“Gun violence and attacks on law enforcement officers are an attack on the rule of law itself,” said U.S. Attorney Michael Easley. “We are prioritizing any case where a felon draws, levels, or fires a gun at law enforcement. I personally met with the deputies in this case and commend their courage and poise under fire. They did their jobs honorably, and we are proud to do ours in securing this guilty verdict. The people of North Carolina should be grateful for their sacrifice and thankful they survived.”
Hertford County Sheriff Dexter Hayes stated, “July 16 changed these deputies’ lives, today justice for that horrible day has been served. Thank you to the U.S. Attorney’s Office and our FBI partners for their time and effort they put into the case. Thank you to the Deputies who were involved in this case – they did an outstanding job on July 16, 2023, and continue to do so today.”
According to court records and evidence presented at trial, Talametrius Kenyon Spruill, 42, possessed four cartridge casings that were left behind after he fired at Hertford County Sheriff’s Deputies in the early morning hours of July 16, 2023. Deputies responded to a call about a suspicious person after a woman reported that someone was banging on her window at 3am that morning. The first responding Deputy found Spruill sitting in the front passenger seat of the homeowner’s vehicle, holding a firearm. The Deputy ordered Spruill to put the gun away when Spruill fled to the wood line behind the residence. The second Deputy saw Spruill in the wood line as he pulled up in his squad car. The Deputy immediately exited his vehicle with his gun drawn and announced, “Sheriff’s Office, Show me your hands!” as he approached Spruill, who was now crouched in a shallow drainage ditch behind a neighboring house. Spruill did not show his hands and instead fired a Glock 19 semiautomatic handgun four times at the Deputy. The Deputy retreated and returned fire while tripping over a doghouse on the property and getting bit by the resident dog. Despite the exchange of gunfire, neither the Deputy nor Spruill was struck. Spruill managed to evade Deputies and ditch his firearm in a junkyard. On the evening of July 17, 2023, Hertford County Deputies were dispatched to call about a suspicious person four miles away in Aulander, where they found Spruill attempting to crawl under his aunt’s home. Spruill was arrested and interviewed by the FBI, where he confessed that he was at the original crime scene, ran from the police, and discharged his firearm before getting rid of it in the junkyard. A video of the pursuit may be viewed here.
Spruill faces a maximum penalty of 180 months in prison when sentenced on a future date. Spruill still faces state charges of two counts of attempted murder and two counts of assault with a deadly weapon on government officials and possession of a firearm by a felon related to this incident.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the verdict. Hertford County Sheriff’s Office and the FBI investigated the case and Assistant U.S. Attorneys Phil Aubart and Kimberly Dixon is prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.4:23-cr-00041-M-BM.
5 June 2024
Year-long wiretap investigation results in four arrests and kilogram seizures of fentanyl, methamphetamine, heroin, and cocaineRead the Press Release
Seattle – Law enforcement teams from the Drug Enforcement Administration (DEA), Seattle Police Department and IRS Criminal Investigation executed 24 search or arrest warrants taking four people into custody who are allegedly connected to a drug trafficking conspiracy, announced U.S. Attorney Tessa M. Gorman. The drug conspirators have ties to suppliers in Mexico and Colombia, and law enforcement in those countries are assisting with the investigation and search warrants.
“Whenever possible, we try to trace both the origin of drugs and the money going back to those who supply the drugs, said U.S. Attorney Gorman. “We want to ensure that those who would poison our communities – by trafficking drugs from afar – are held accountable for their actions in the United States. I am pleased with the collaborative work between law enforcement not only in the United States, but also with our partners in Colombia, whose collective efforts put a significant dent in this particular drug supply chain.”
“This cooperative effort is a win for the good guys and a tremendous example of the truly international cooperation needed to tackle this immense threat,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division. “I appreciate the extensive cooperation between the DEA, Seattle Police Department, Internal Revenue Service, and the Colombian National Police to create a top-to-bottom success by indicting Mexican cartel members, Colombian drug producers, and American distributors.”
“This operation is a fantastic example of collaborative police work between Seattle PD, the DEA, the IRS, and the Colombian National Police,” said Seattle Police Chief Sue Rahr. “This case highlights how Seattle PD will work tirelessly with its law enforcement partners domestically and internationally to make our community safer.”
"Following the money has taken this investigation to places both close and far from home, allowing us to disrupt this large-scale drug trafficking chain from end-to-end,” said Special Agent in Charge Adam Jobes, IRS Criminal Investigation (IRS-CI), Seattle Field Office. “Teamwork and collaboration are indispensable to investigations this far-reaching, and we are proud to be working with some of the most dedicated law enforcement partners here in the U.S. as well as internationally. We are committed to keeping our communities safe from the scourge of illicit drugs, no matter where these investigations may take us.”
Four people were arrested today in the Western District of Washington and District of New Jersey, and they will have initial appearances and detention hearings over the next few weeks. Those arrested include:
- Ramon Duarte Garcia, 37, a citizen of Mexico residing in Kent, Washington.
- Humberto Lopez Rodriguez, 30, a citizen of Mexico, formerly of Renton, Washington, currently imprisoned at Federal Correctional Institution Lompoc, California
- Curtis McDaniel, 55, a U.S. citizen residing in Tukwila, Washington.
- Manuel Garcia Hernandez, 39, a citizen of Mexico, residing in Renton, Washington.
- Jose Luis Villafañe Osorio, 35, a citizen of Colombia, residing in Plainfield, New Jersey
Duarte Garcia was identified as a significant drug supplier when law enforcement stopped him driving back to the Pacific Northwest with 12 pounds of methamphetamine in his vehicle, along with a stolen firearm and $10,000 in drug trafficking proceeds.
Over the course of the investigation, law enforcement seized 84,000 fentanyl pills, more than a kilogram of fentanyl powder, 32 kilograms of cocaine, 15 kilograms of methamphetamine nearly three kilograms of heroin, nine firearms and $71,000 in drug proceeds. Today alone they recovered nine guns, including an AK-47, 2.5 kilograms of cocaine, and a pound of methamphetamine.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
The investigation is being led by the DEA and Seattle Police Department. The IRS Criminal Investigation and OCDETF Auditor for the U.S. Attorney’s Office are conducting the financial investigation that is focused on the money launderers responsible for the transfer of significant sums of drug trafficking proceeds to sources of supply in Mexico and Colombia. Additional assistance was provided by Renton Police Department, Centralia Police Department, Homeland Security Investigations (HSI), the Department of Housing and Urban Development Office of the Inspector General (HUD OIG), Washington State Patrol, Pierce County and Valley SWAT teams.
The Colombian National Police (CNP) and Colombian Prosecutor’s Office (Fiscalia General) partnered with U.S. law enforcement on this investigation. The Justice Department’s Narcotic and Dangerous Drug Section’s Office of the Judicial Attaché in Bogotá provided critical assistance.
The cases from this investigation are being prosecuted by Assistant United States Attorneys Joe Silvio and C. Andrew Colasurdo in the Western District of Washington.
Windham Man Faces 5+ Years in Federal Prison for Possession, Distribution of Child Sexual Abuse MaterialRead the Press Release
PORTLAND, Maine: A Windham man pleaded guilty today in U.S. District Court in Portland to distribution and possession of child pornography.
According to court records, in October 2023, Cote Noonan, 33, using the username “Femboy Cassidy,” sent an undercover FBI agent three child sexual abuse material videos using the instant messaging application TeleGuard. The videos showed the sexual abuse of young victims, including an infant. The agent also observed “Femboy Cassidy” share similar photos and videos on two other occasions in a trading room for child sexual abuse material. During the investigation, Noonan admitted to operating the “Femboy Cassidy” account and informed law enforcement that they would find child sexual abuse material on his devices. The FBI seized several devices from Noonan’s residence, four of which contained thousands of known child sexual abuse material images and videos. Many of these images and videos showed the sexual abuse of toddlers and infants.
Noonan faces no less than five years and up to 20 years in prison and a fine up to $250,000 on the distribution of child pornography charge, to be followed by five years to life of supervised release. He faces up to 20 years in prison and a fine up to $250,000 on the charge of possession of child pornography involving a prepubescent minor, to be followed by five years to life of supervised release. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI investigated the case.
To report an incident involving the possession, distribution, receipt or production of child pornography: Child sexual abuse material – referred to in legal terms as "child pornography" – captures the sexual abuse and exploitation of children. These images document victims’ exploitation and abuse, and they suffer revictimization every time the images are viewed. In 2023, the National Center for Missing & Exploited Children received 36 million reports of the possession, manufacture, or distribution of child sexual abuse materials. To file a report with NCMEC, go to https://report.cybertip.org or call 1-800-843-5678. If you are in Maine and you or someone you know has been sexually assaulted or abused, you can get help by calling the free, private 24-hour statewide sexual assault helpline at 1-800-871-7741.
Project Safe Childhood: This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, visit https://www.justice.gov/usao-me/psc.
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Watertown Man Sentenced to 30 Years for Production of Child PornographyRead the Press Release
ABERDEEN - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Charles B. Kornmann has sentenced a Watertown, South Dakota, man convicted of Production of Child Pornography. The sentencing took place on June 3, 2024.
Ted Jeffrey Hurkes, age 46, was sentenced to 30 years in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100. Upon his release from federal prison, Hurkes must register as a six offender.
Hurkes was indicted by a federal grand jury in February of 2023. He pleaded guilty on December 4, 2023.
The conviction stemmed from an incident on October 2, 2022, when Hurkes used his cell phone to take pictures and make video recordings of a partially unclothed minor female while she was asleep. The child was unaware of the images being created by Hurkes.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by Homeland Security Investigations, South Dakota Division of Criminal Investigation, and the Watertown Police Department. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Hurkes was immediately remanded to the custody of the U.S. Marshals Service.
Washington woman pleads guilty to using fake documentation to obtain over a hundred Virginia driver’s licensesRead the Press Release
ALEXANDRIA, Va. – A Washington woman pled guilty today to aiding and abetting the unlawful production of identification documents after charging people hundreds of dollars to help them fraudulently obtain Virginia driver’s licenses.
According to court documents, from at least May 2022 through Aug. 21, 2023, Ashya Janai Harley, 30, charged people for her services to help them obtain Virginia driver’s licenses for which they did not qualify. Harley used falsified documents to fraudulently obtain her own Virginia commercial driver’s license, which she used to gain employment as a Washington Metropolitan Area Transit Authority (WMATA) bus driver. Harley was employed as a WMATA bus driver in training from July 22, 2022, through Oct. 18, 2022, when WMATA terminated Harley during the training phase of her employment for reasons unrelated to her license. Two other people Harley assisted in fraudulently obtaining Virginia commercial driver’s licenses were employed as WMATA drivers.
While not altering identities, Harley would electronically alter driving transcripts and proof of residency documents required by the Virginia Department of Motor Vehicles (DMV) to issue driver’s licenses.
Harley often reused many of the same documents, usually her own bank or AT&T statements, when altering proof of residency documents. Harley used the same AT&T statement for more than 54 fraudulent license applications. She also reused her own driver’s transcripts many times. Harley used her mother’s address in Alexandria on more than 67 proof of residency documents that she used to fraudulently assist others in obtaining the Virginia licenses. A Virginia DMV customer service agent noticed the repetition, alerting DMV Law Enforcement. DMV’s Law Enforcement Division began an investigation that ultimately led to Harley’s arrest.
Harley advertised her services for obtaining licenses on her Instagram accounts and buyers were also referred to Harley by her friends, family, and prior customers. Harley charged most buyers approximately $300 for securing driver’s licenses and $450 for commercial driver’s licenses. Overall, Harley aided and abetted in the acquisition of at least 124 Virginia driver’s licenses, 30 of which were commercial driver’s licenses, for individuals who were not qualified to receive them. Virginia DMV immediately cancelled all 124 licenses.
Harley is scheduled to be sentenced on Sept. 26 and faces a maximum penalty of 15 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Matthew Stohler, Special Agent in Charge of the U.S. Secret Service’s Washington Field Office; Gerald F. Lackey, Virginia DMV Commissioner; and Joseph Hill, Chief of DMV’s Law Enforcement Division, made the announcement after U.S. District Judge Patricia Tolliver Giles accepted the plea.
Assistant U.S. Attorneys Kathleen Robeson and Katherine Rumbaugh are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:24-cr-104.
United States Files Forfeiture Action to Recover over $5M of Funds Traceable to Business Email Compromise Scheme Targeting Massachusetts Workers UnionRead the Press Release
The Justice Department filed a civil forfeiture action today to recover approximately $5,315,746.29 of funds alleged to be proceeds of a business email compromise (BEC) scheme and property involved in the subsequent laundering of the proceeds.
According to the complaint, in January 2023, a workers union based in Dorchester, Massachusetts, was defrauded out of $6.4 million after it received a spoofed email, which appeared to be from its investment manager. The email allegedly changed the beneficiary bank account of the $6.4 million payment. The complaint alleges that the email had the intended effect of misleading the workers union into transferring funds to a bank account controlled by someone other than the intended recipient.
The complaint further alleges that the fraudulently obtained funds were then transferred through a series of intermediary bank accounts, with some funds transferred, or attempted to be transferred, to a cryptocurrency exchange or to various bank accounts located in Hong Kong, China, Singapore, and Nigeria. Investigators were able to trace proceeds of the scheme to seven domestically held bank accounts, the contents of which were subsequently seized.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts; and Special Agent in Charge William Mancino of the U.S. Secret Service made the announcement.
The U.S. Secret Service is investigating the case.
Trial Attorneys Jasmin Salehi Fashami and Adrienne E. Rosen of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorney Matthew Lyons for the District of Massachusetts are prosecuting the forfeiture.
A BEC scheme is a type of sophisticated fraud scheme targeting businesses that use wire transfers as a form of payment. BEC schemes affect large global corporations, governments, and individuals, with current global daily losses estimated at approximately $8 million. Criminals compromise legitimate business email accounts through various hacking schemes, including social engineering and the use of malware. Once a business email account is compromised, a fraudulent email is sent directing the recipient of the email to unwittingly transfer funds to an illicit account. Alternatively, criminals create “spoofed” email domain names to trick people into thinking they know the sender. An email domain name is the part of an email address that comes after the “@” symbol. In email spoofing, one character in an email address is often changed or missing, thereby tricking the recipient. Criminals obtain and use privileged information to convince BEC email recipients that the transfer instructions are legitimate.
To avoid becoming the victim of a BEC scheme, verify that sender email addresses are accurate when checking mail on a cellphone or other mobile device before you open any attachments or follow any instructions, and never make any payment changes without verifying with the intended recipient by phone or in person. If you think you have been a victim of a BEC scheme, 1) immediately contact your bank to request a recall or reversal as well as a Hold Harmless Letter or Letter of Indemnity; and 2) file a detailed complaint with the Internet Crime Complaint Center at www.ic3.gov. The Internet Crime Complaint Center is run by the FBI and serves as the country’s hub for reporting cybercrime. Visit www.ic3.gov for updated information regarding BEC trends as well as other cyber fraud schemes.
A civil forfeiture complaint is merely an allegation. The United States bears the burden of proving that the funds in question are subject to forfeiture in a civil forfeiture proceeding.
ComplaintUnited States Files Forfeiture Action to Recover over $5 Million from Business Email Compromise Scheme Targeting Massachusetts Workers UnionRead the Press Release
BOSTON – The United States filed a civil forfeiture action today to recover approximately $5,315,746 alleged to be proceeds of a business email compromise (BEC) scheme targeting a Massachusetts workers union, as well as property involved in money laundering.
The complaint alleges that in January 2023, a workers union located in Dorchester received an email requesting a change of payment information from someone it believed worked at an investment consulting firm. The complaint also alleges that the email came from what initially appeared to be the consulting firm’s true email address but was in fact a spoofed email address that had been changed by one letter. The spoofed email instructed the workers union to make a $6,400,000 transfer to a different bank account than had been previously arranged, which the workers union did, in fact, do. The spoofed email, however, was a fraudulent communication intended to mislead the workers union into unwittingly transferring funds to an account controlled by someone other than the intended recipient.
The fraudulently-obtained funds were then allegedly transferred through a series of intermediary bank accounts – with some funds sent, or attempted to be sent, to a cryptocurrency exchange and various bank accounts located in Hong Kong, China, Singapore and Nigeria. Investigators were able to trace proceeds of the scheme to seven domestically held bank accounts, the contents of which were subsequently seized by U.S. authorities.
“BEC fraud schemes present a serious threat to businesses and individuals nationwide, causing significant financial and emotional harm to victims by exploiting trusted communication channels they rely upon every day. Today’s civil forfeiture action demonstrates that when victims report such misconduct to the authorities there may be steps we can take to recover stolen funds. We hope today’s action helps restore some level of stability and justice for those impacted by fraud,” said Acting U.S. Attorney Joshua S. Levy.
Acting U.S. Attorney Levy; Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division; and Andrew Murphy, Special Agent in Charge of the United States Secret Service, Boston Field Office made the announcement today. The civil forfeiture action is being prosecuted by Assistant U.S. Attorney Matthew M. Lyons of the Asset Recovery Unit along with Trial Attorneys Jasmin Salehi Fashami and Adrienne E. Rosen of the Justice Department’s Money Laundering & Asset Recovery Section.
Members of the public who believe they are victims of a cybercrime – including cryptocurrency scams, romance scams, investment scams and business email compromise (BEC) fraud scams – should contact [email protected].
The accusations in the complaint, and the description of the complaint, constitute only allegations that certain property is subject to forfeiture. The United States must prove, by a standard of preponderance of the evidence, that the property is subject to forfeiture. If the United States prevails, the court will order all interests of any potential claimant forfeited.
United States Department of Energy Employee Agrees to Pay $96,757.95 to Settle False Claims Act Allegations Regarding Her Submission of False Claims to Obtain Economic Injury Disaster LoanRead the Press Release
Baltimore, Maryland – U.S. Department of Energy employee Lisa Phillips, of Owings Mills, Maryland, has agreed to pay the United States $96,757.95 to resolve allegations that she violated the federal False Claims Act by submitting false claims to the U.S. Small Business Administration (“SBA”) to obtain an Economic Injury Disaster Loan (“EIDL”) and EIDL advance during the height of the COVID-19 pandemic.
The civil settlement was announced by United States Attorney for the District of Maryland Erek L. Barron, and Inspector General for the Department of Energy, Teri L. Donaldson.
During the COVID-19 pandemic, the Small Business Administration provided EIDLs and EIDL Advances to small businesses to be used for working capital and other normal operating expenses. On July 10, 2020, Phillips signed and submitted a Loan Authorization and Agreement for an EIDL in the amount of $26,200.00. The United States contends that in her this EIDL application, the defendant made several material misrepresentations including, among other things, that, in 2019, her business had four employees, a gross annual revenue of $150,500, and $90,000 in cost of goods expenses. Phillips also stated that her business opened on January 25, 2017, and that the business was in the Educational Services industry. These misrepresentations were knowingly false; Phillips knew that she did not own or operate a business in the Educational Services industry, that she did not have any employees, and that she had neither the revenue nor cost of goods as stated in the application. In addition to the $26,200 Loan, Phillips received a $4,000 advance. The civil investigation was opened by the United States Attorney’s Office based upon a referral from the U.S. Department of Energy’s Office of Inspector General.
“The U.S. Attorney’s Office and our partners are committed to zealously pursuing cases involving COVID-19 fraud, including fraud related to the EIDL program,” said U.S. Attorney Erek L. Barron.
“We are going to continue to hold those who steal from the government accountable for their actions,” said Teri L. Donaldson, Inspector General, Department of Energy. “Pandemic funds were designed to help the public during a difficult time and taking advantage of this program for personal gain will not be tolerated.”
The claims resolved by this settlement are allegations. The settlement is not an admission of liability by Phillips nor a concession by the United States that its claims are not well-founded.
United States Attorney Erek L. Barron commended the U.S. Department of Energy, Office of the Inspector General, for its work in this investigation. Mr. Barron thanked Assistant U.S. Attorney Matthew Shea, who handled the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to report fraud, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/report-fraud.
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U.S. Secret Service Conducts School Violence Prevention Seminars in Brandon and BiloxiRead the Press Release
Jackson, Miss. – United States Attorney Todd Gee announced today that his office joined the U.S. Secret Service, the Mississippi Attorney General’s Office, the Mississippi Department of Public Safety, the Mississippi Department of Education, the Brandon Police Dept., the Biloxi Police Dept., and law enforcement and education professionals from across the state for School Violence Prevention seminars this week at the Brandon Civic Center in Brandon, and the Biloxi Civic Center in Biloxi.
For over 20 years, the U.S. Secret Service National Threat Assessment Center (NTAC) has conducted research on the thinking and behaviors of those who commit acts of targeted school violence in an effort to prevent future tragedies. These seminars highlighted past incidents as well as relevant findings and recommendations from NTAC’s latest research on targeted school violence and interrupted school plots in the United States. It also focused on how communities can use a multidisciplinary approach to identify, assess, and intervene with students exhibiting concerning or threatening behaviors as early as possible. This event was attended by law enforcement, school personnel, and other public safety professionals throughout the state of Mississippi.
“School shootings are a tragedy that can be prevented in some situations with good training on how to recognize and resolve potential threats,” said U.S. Attorney Todd Gee. “The U.S. Secret Service has substantial experience assessing and preventing violence, and we were glad to work with our federal, state, and local partners to make this training available in Mississippi.”
“The U.S. Secret Service and National Threat Assessment Center endeavors to ensure its findings proactively address the areas where we all should feel safe, such as where we work, where we learn, and where we worship,” said Special Agent in Charge Patrick Davis of the U.S. Secret Service Birmingham Field Office.
“The U.S. Secret Service and National Threat Assessment Center have cultivated powerful partnerships across our state, and this is never more important than when we are responding to events of targeted violence,” said Attorney General Lynn Fitch. “It was an honor to join these great partners today as we continue to work towards a safer Mississippi.”
Additional information on the U.S. Secret Service NTAC can be found here: https://www.secretservice.gov/protection/ntac
U.S. Attorneys to Host Financial Crimes ConferenceRead the Press Release
WHEELING, WEST VIRGINIA - Financial professionals throughout West Virginia will gather next week to learn about the latest trends in economic crimes and how to prevent them from occurring.
United States Attorney William Ihlenfeld of the Northern District and United States Attorney Will Thompson of the Southern District will host the Mountain State Bank Secrecy Act and Anti-Money Laundering Conference on Tuesday, June 11. Federal prosecutors and agents will make presentations during the day-long event about romance schemes, elder financial abuse, and how drug traffickers and human traffickers launder money.
“Criminals use our nation’s financial systems to move the money generated by their illegal acts,” said United States Attorney Ihlenfeld. “This conference will provide those on the frontlines with the information needed to identify suspicious activity and with guidance on how to respond.”
“West Virginia has one of the nation’s oldest populations per capita and we tend to be trusting and take others at their word. That makes the state a target-rich environment for financial scams,” said United States Attorney Thompson. “This is an excellent opportunity to educate financial professionals so they can recognize fraudulent schemes and financial abuse and help us prevent this form of harm to West Virginians.”
The conference will take place at WesBanco Bank in Wheeling, City National Bank in Charleston, and virtually on WebEx. It is open to all employees of financial institutions subject to the Bank Secrecy Act, including banks, credit unions, casinos, securities dealers, and money service businesses. Registration is required and may be completed by emailing [email protected] on or before June 7.
U.S. Attorneys to Host Financial Crimes ConferenceRead the Press Release
CHARLESTON, W.Va. – Financial professionals throughout West Virginia will gather next week to learn about the latest trends in economic crimes and how to prevent them from occurring.
United States Attorney Will Thompson of the Southern District and United States Attorney William Ihlenfeld of the Northern District will host the Mountain State Bank Secrecy Act and Anti-Money Laundering Conference on Tuesday, June 11. Federal prosecutors and agents will make presentations during the day-long event about romance schemes, elder financial abuse, and how drug traffickers and human traffickers launder money.
“West Virginia has one of the nation’s oldest populations per capita and we tend to be trusting and take others at their word. That makes the state a target-rich environment for financial scams,” said United States Attorney Thompson. “This is an excellent opportunity to educate financial professionals so they can recognize fraudulent schemes and financial abuse and help us prevent this form of harm to West Virginians.”
“Criminals use our nation’s financial systems to move the money generated by their illegal acts,” said United States Attorney Ihlenfeld. “This conference will provide those on the frontlines with the information needed to identify suspicious activity and with guidance on how to respond.”
The conference will take place at WesBanco Bank in Wheeling, City National Bank in Charleston, and virtually on WebEx. It is open to all employees of financial institutions subject to the Bank Secrecy Act, including banks, credit unions, casinos, securities dealers, and money service businesses.
Registration is required and may be completed by emailing [email protected] on or before June 7.
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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U.S. Attorney's Office Secures Agreement with Rutherford County Restaurant to Ensure Parking Accessibility to Disabled CustomersRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney Dena J. King announced today that federal prosecutors have reached an agreement with the owners of the Carolina Cafe in Forest City, N.C. The agreement requires the owners of the Carolina Cafe to make reasonable modifications to its parking lot to create accessible parking spaces for customers with disabilities.
The Justice Department is responsible for enforcing the Americans with Disabilities Act of 1990 (ADA) and implementing its regulations. The ADA prohibits the failure to make reasonable modifications where those modifications are necessary to make services available to individuals with disabilities. Under the ADA and its regulations, businesses are required to remove barriers for individuals with disabilities by creating designated accessible parking spaces.
The U.S. Attorney’s Office initiated an investigation following a complaint filed with the Justice Department, claiming that Carolina Cafe violated the ADA by failing to provide clearly marked and designated accessible parking for individuals with disabilities. The ADA requires that state or local governments, businesses, or non-profit organizations that provide parking lots or garages, must provide accessible parking spaces for disabled individuals. Accessible parking spaces are different than traditional parking spaces. They have specific features that make it easier for people with disabilities to access programs, goods, or services. As such, accessible parking spaces must be located on the shortest accessible route to the accessible entrance; must be marked to discourage other drivers from parking in them; and must adhere to the ADA guidelines in terms of the number of spaces, dimensions, and presence of an access aisle. A full list of requirements is available in the 2010 ADA Standards of Accessible Design. Upon learning of the complaint, the owners of Carolina Cafe cooperated with the investigation and agreed to remedy the violation and immediately began to work on creating the accessible parking spaces.
“Ensuring the ADA’s enforcement and safeguarding civil rights within this District is a paramount commitment of my Office,” said U.S. Attorney King, who also leads the Attorney General’s Advisory Subcommittee on Civil Rights. “Individuals with disabilities have a right to unhindered access to businesses, free from barriers such as inadequate parking or navigating through congested areas. I want to thank the concerned customer for bringing this matter to our attention, and I'm pleased that Carolina Cafe has agreed to the terms and has taken immediate action to ensure that individuals with disabilities will be fully accommodated in accordance with federal law moving forward.”
This matter was handled by Assistant U.S. Attorney (AUSA) Janice Powers and Investigator Neil Power of the U.S. Attorney’s Office in Charlotte. AUSA Powers also serves as the U.S. Attorney’s Office’s Civil-Civil Rights Coordinator.
Individuals who believe they have been victims of discrimination may file an ADA complaint online at https://www.ada.gov/file-a-complaint/. Additional information about the ADA can be found at www.ada.gov, or by calling the Justice Department’s toll-free information line at 800-514-0301 (voice) or 1-833-610-1264 (TTY).
Two Partners of Westchester Accounting Firm Plead Guilty to Tax Fraud ConspiracyRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Thomas M. Fattorusso, the Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced that GEORGE SANOSSIAN and JACK N. SARDIS pled guilty to conspiracy to defraud the IRS, on May 29 and June 5, 2024, respectively, in White Plains federal court. SANOSSIAN’s sentencing before U.S. District Judge Cathy Seibel is scheduled for September 24, 2024. SARDIS’s sentencing before U.S. District Judge Nelson S. Román is scheduled for September 26, 2024.
U.S. Attorney Damian Williams said: “As they admitted in court, the defendants, both certified public accountants, conspired to fraudulently reduce the tax liability of clients of their accounting firm. This case serves as a reminder to all Americans that they are required to truthfully report their earnings and that criminal penalties could await those who fraudulently deceive the IRS, as George Sanossian and Jack Sardis have learned. My Office will continue to hold to account those who scheme to impede the lawful functions of the IRS.”
IRS-CI Special Agent in Charge Thomas M. Fattorusso said: “Schemes to conceal and reduce federal income and payroll tax liability, such as those utilized by Sardis and Sanossian, are unfair to every taxpayer who obeys the law and pays their fair share. The prosecution of individuals who intentionally conceal income and evade taxes is a key step in the IRS’s enforcement strategy. These guilty pleas place the defendants a step closer to realizing the consequences of their actions.”
According to the Informations, to which SARDIS and SANOSSIAN pled guilty, and statements made court:
SARDIS and SANOSSIAN were certified public accountants and partners in an accounting firm in Scarsdale, New York, that provided accounting and income and payroll tax services to clients, including nine businesses in the construction industry (the “Clients”). From in or about 2012 through at least on or about April 15, 2018, SARDIS and SANOSSIAN agreed with Clients to scheme to: (i) fraudulently reduce the income tax liability of the Clients; (ii) conceal wages paid to employees by the Clients and, thereby, fraudulently reduce the Clients’ payroll tax liability; and (iii) conceal personal income of the Clients. The defendants advised the Clients to participate in a scheme to reduce their federal income and payroll tax liability, pursuant to which the Clients issued checks made payable to a shell company and gave the checks to SARDIS and SANOSSIAN, who then caused the checks to be cashed at a check cashing service and returned the cash, minus a fee, to the Clients. Some Clients used the cash to pay employees without reporting the cash wages on their IRS Forms 941, thereby evading both their employer contributions to Social Security and Medicare and their obligation to withhold income tax on those wages, which permitted the employees to evade federal and state income tax. The owners and managers of some Clients took the cash for personal use without reporting the income on their personal federal and state tax returns. SARDIS and SANOSSIAN caused checks to be cashed in this manner for Clients in a total amount exceeding $2 million.
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SARDIS, 66, of Englewood Cliffs, New Jersey, and SANOSSIAN, 70, of Scarsdale, New York, pled guilty to one count of conspiracy to defraud the IRS, which carries a maximum sentence of five years in prison. SARDIS and SANOSSIAN have agreed to pay restitution to the IRS and New York State, representing the additional tax due and owing as a result of their conduct, in the total amount of $652,883.60.
The maximum potential sentence in these cases is prescribed by Congress and is 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 IRS-CI in this case.
The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorneys Jeffrey C. Coffman and James McMahon are in charge of the prosecution.
Two Baltimore Area Men Convicted After Trial of Abductions Involving Kidnappings, Carjackings and Related ChargesRead the Press Release
Baltimore, Maryland – After a three-week trial, a federal jury returned guilty verdicts today convicting Dennis Allen Hairston, age 34, of Windsor Mill, Maryland, and Donte Davon Stanley, age 33, of Rosedale, Maryland, on federal charges of kidnapping and robbery conspiracies; kidnapping; carjacking; robbery affecting commerce. Hairston was also convicted of using, carrying, and brandishing a firearm during and in relation to a crime of violence.
The guilty verdict was announced by Erek L. Barron, United States Attorney for the District of Maryland; Special Agent in Charge William J. DelBagno of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Richard Worley of the Baltimore Police Department; Chief Robert McCullough of the Baltimore County Police Department; Harford County Sheriff Jeffrey R. Gahler; and Harford County State’s Attorney Alison M. Healey.
“My office will not tolerate carjackings,” stated U.S. Attorney Barron. “We’re collaborating with our partners to prosecute these crimes and hold offenders accountable to the fullest extent of the law.”
“There’s no question these criminals belong behind bars, and their conviction guarantees that will happen,” said Special Agent in Charge William DelBagno of the FBI’s Baltimore Field Office. “Hairston and Stanley’s actions are disturbing and will not be tolerated. FBI Baltimore is determined to ensure brazen individuals willing to use inconceivable violence for financial gain are brought to justice.”
Hairston and Stanley were each convicted of conspiracy to commit kidnapping and conspiracy to affect commerce by robbery. Hairston was convicted of counts relating to the first and second abduction, and Stanley was convicted of counts relating to the first abduction and acquitted on counts relating to the second abduction. Both defendants were acquitted of conduct relating to a third abduction.
Evidence at trial established that from May 3, 2021, through August 26, 2021, the defendants planned and organized the kidnapping of three victims. Two of the victims were employees of check cashing businesses. According to trial testimony, defendants committed the crimes with the goal of robbing the check cashing businesses where two of the victims worked, and to steal cash and other items of value from the third victim. Evidence at trial also established that the defendants planned and organized the carjackings of two of the victims’ vehicles.
According to trial testimony, the victims were surveilled prior to the abductions, including attaching tracking devices to their vehicles. The defendants then abducted the victims by posing as police officers by wearing police vests, police badges, and using a police-style light bar to stop the victims and their vehicles. Trial evidence revealed that the defendants brandished firearms, bound, and blindfolded each victim and forcibly put them into a vehicle operated by the defendants. At trial, the victims testified that the defendants used a blowtorch to burn two of the victims during the course of the kidnappings.
As to the first victim, trial evidence established that, on May 5 to May 6, 2021, the defendants followed the victim from the check cashing business where she worked and, posing as law enforcement officers, used the police-style light bar to pull over her vehicle. According to trial testimony, defendants wore police vests and badges, and brandished firearms to remove the victim from her vehicle. Trial testimony further established that the defendants handcuffed the victim’s hands behind her back, zip-tied her feet, blindfolded her by placing a mask and duct tape around her face, and forcibly placed her into the rear of a vehicle operated by the defendants. While driving with the victim, defendants Hairston and Stanley, burned the victim with a blowtorch in an attempt to obtain information from her to access the check cashing business where she worked, with the intent to remove all of the cash from the business.
As to the second victim, trial evidence established that, on May 15 to 16, 2021, Hairston and others approached the victim in his vehicle in Edgewood, Maryland. Trial evidence proved that the Hairston again used a police-style light bar to pull over the second victim. Wearing police vests and badges, the evidence revealed that Hairston kidnapped the second victim and forcibly placed him into the rear of a vehicle operated by the conspirators. After placing a mask over his face and duct-taping his face and stealing his vehicle, the second victim was burned with a blow torch in an effort to obtain cash and other items from him.
The defendants each face a maximum sentence of life in prison for the kidnapping conspiracy and for each count of kidnapping; a maximum of 20 years in federal prison for the robbery conspiracy and for each count of attempted robbery; a maximum of 15 years in federal prison for each count of carjacking. Hairston also faces a mandatory minimum sentence of seven years in federal prison and up to life in prison, consecutive to any other sentence imposed, for using, carrying, and brandishing a firearm during and in relation to a crime of violence relating to the first abduction. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. U.S. District Judge Brendan A. Hurson has not set a date for sentencing.
Davonne Tramont Dorsey previously pled guilty to his role in the offenses, and sentencing is scheduled for August 22, 2024. U.S. District Judge Brendan A. Hurson has scheduled sentencing for Dorsey for August 22, 2024, at 10:00 a.m. Franklin Jay Smith also previously pled guilty to his role in the offenses. Judge Hurson has not set a date for sentencing for Smith.
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 FBI, the Baltimore Police Department, the Baltimore County Police Department, the Harford County Sheriff’s Office, and the Harford County State’s Attorney’s Office for their work in the investigation and prosecution.
Assistant U.S. Attorneys Paul E. Budlow and Spencer Todd of the Civil Rights and Special Victims Section are prosecuting this case. U.S. Attorney Barron also commended the work of the office’s professional staff, including the victim-witness unit, for their work on this difficult 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-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Texas Man Charged with Federal Hate Crime for Making Threats against Employees of Sikh OrganizationRead the Press Release
CAMDEN, N.J. – A Texas man has been charged with a federal hate crime and for making interstate threats against the employees of a Sikh nonprofit organization.
Bhushan Athale, 48, of Dallas, was charged by complaint with one count of interfering with federally protected activities through the threatened use of a dangerous weapon and one count of transmitting an interstate threat to injure another person.
According to the criminal complaint:
On Sept. 17, 2022, Athale called the main number of an organization that advocates for the civil rights of Sikh individuals within the United States. Over the next hour, Athale left seven voicemails expressing extreme hatred toward Sikh individuals working at this same organization and threatening to injure or kill these individuals with a razor. Athale’s voicemails, which were filled with violent imagery and obscenity, contained references to places, people and tenets that are particularly significant within the Sikh religion. Among other things, Athale stated his intention to “catch” the Sikhs at Organization 1, forcibly “shave” the “top and bottom hair” of these individuals, use a “razor” to forcibly “cut” these individuals’ hair and “make” them bald, forcibly “make” them smoke and eat tobacco and “show [them] the heaven.”
In March, Athale again called the same Sikh organization and left two more voicemails. In these voicemails, Athale again used violent imagery to express his hatred toward Sikhs as well as Muslims, suggesting, among other things, that the Indian Government and Mumbai Police should “catch them and beat their ass” and “f*ck these rascals’ mothers.”
The investigation reflects that Athale has a long history of making religious-based comments and threats, such as when he previously used a professional networking site to express to a former co-worker that he “hate[d] Pakistan” and “hate[d] Muslims,” and he told the co-worker “I hate you, I just don’t know how to kill your whole family including you? Tell me??? I will figure it out […] Probably I will hire a Jew, they will be most happy.”
Athale faces a maximum penalty of 10 years in prison for the interfering with federally protected activities charge and a maximum penalty of five years in prison for the transmitting an interstate threat charge. Both charges also carry a penalty of up to a $250,000 fine. If convicted, a federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Philip R. Sellinger for the District of New Jersey and Special Agent in Charge Wayne A. Jacobs of the FBI Philadelphia Field Office made the announcement.
The FBI Philadelphia Field Office investigated the case.
Assistant U.S. Attorneys Sara A. Aliabadi and Jason M. Richardson for the District of New Jersey and Trial Attorney Eric Peffley of the Justice Department’s Civil Rights Division are prosecuting the case.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
athale.complaint.pdfTexas Man Charged with Federal Hate Crime for Making Threats Against Employees of Sikh OrganizationRead the Press Release
A Texas man has been charged with a federal hate crime and for making interstate threats against the employees of a Sikh nonprofit organization.
Bhushan Athale, 48, of Dallas, was charged by complaint with one count of interfering with federally protected activities through the threatened use of a dangerous weapon and one count of transmitting an interstate threat to injure another person.
According to the criminal complaint, on or about Sept. 17, 2022, Athale called the main number of an organization that advocates for the civil rights of Sikh individuals within the United States. Over the next hour, Athale left seven voicemails expressing extreme hatred toward Sikh individuals working at this same organization and threatening to injure or kill these individuals with a razor. Athale’s voicemails, which were filled with violent imagery and obscenity, contained references to places, people and tenets that are particularly significant within the Sikh religion. Among other things, Athale stated his intention to “catch” the Sikhs at the organization, forcibly “shave” the “top and bottom hair” of these individuals, use a “razor” to forcibly “cut” these individuals’ hair and “make” them bald, forcibly “make” them smoke and eat tobacco and “show [them] the heaven.”
In March, Athale again called the same Sikh organization and left two more voicemails. In these voicemails, Athale again used violent imagery to express his hatred toward Sikhs as well as Muslims, suggesting, among other things, that the Indian Government and Mumbai Police should “catch them and beat their ass” and “f*ck these rascals’ mothers.”
The investigation reflects that Athale has a long history of making religious-based comments and threats, such as when he previously used a professional networking site to express to a former co-worker that he “hate[d] Pakistan” and “hate[d] Muslims,” and he told the co-worker “I hate you, I just don’t know how to kill your whole family including you? Tell me??? I will figure it out […] Probably I will hire a Jew, they will be most happy.”
If convicted, Athale faces a maximum penalty of 10 years in prison for interfering with federally protected activities and a maximum penalty of five years in prison for transmitting an interstate threat. Both charges also carry a penalty of up to a $250,000 fine. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Philip R. Sellinger for the District of New Jersey and Special Agent in Charge Wayne A. Jacobs of the FBI Philadelphia Field Office made the announcement.
The FBI Philadelphia Field Office investigated the case.
Assistant U.S. Attorneys Sara A. Aliabadi and Jason M. Richardson for the District of New Jersey and Trial Attorney Eric Peffley of the Justice Department’s Civil Rights Division are prosecuting the case.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
South Park Resident Sentenced to Nearly 11 Years in Prison for Distribution and Possession of Child Sexual Abuse MaterialRead the Press Release
PITTSBURGH, Pa. - A resident of South Park, Pennsylvania, was sentenced in federal court on June 3, 2024, to 130 months of incarceration, to be followed by seven years of supervised release, on his convictions of distribution and possession of material depicting the sexual exploitation of minors, United States Attorney Eric G. Olshan announced today.
Senior United States District Judge Nora Barry Fischer imposed the sentence on Michael Moran, 66, after he pleaded guilty to the charges in October 2022.
According to information presented to the Court, Moran uploaded more than 200 images of child sexual assault material to Flickr/SmugMug in August 2018. Subsequent investigation by the FBI and Allegheny County Police led to the Western Pennsylvania Violent Crimes Against Children Task Force executing a search warrant at Moran’s South Park residence. There, law enforcement officers seized multiple computers, tablets, phones, hard drives, and other electronic equipment, many of which contained child sexual abuse material including photos and videos. Law enforcement also determined that Moran had publicly posted sexually explicit images of minors to his Flickr accounts that were then marked as favorites by other users.
Prior to imposing sentence, Judge Fischer noted the seriousness of Moran’s conduct and that Congress had purposely made penalties for child pornography offenses harsh. She also stated that use of a computer makes the crime easier to perpetrate but more difficult for the public to know of a defendant’s wrongdoing. In determining the sentence, the Judge also considered Moran’s admission that he had sexually assaulted a minor with autism decades earlier.
Assistant United States Attorney Jacqueline Brown prosecuted this case on behalf of the government.
United States Attorney Olshan commended the Federal Bureau of Investigation and Allegheny County Police Department for the investigation leading to the successful prosecution of Moran.
Sisseton Man Sentenced to 10 Years in Federal Prison for Abusive Sexual ContactRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Charles B. Kornmann has sentenced a Sisseton, South Dakota, man convicted of Abusive Sexual Contact. The sentencing took place on June 3, 2024, in Aberdeen, South Dakota.
Lincoln Duane Wanna, age 40, was sentenced to 10 years in federal prison, followed by five years of supervised release. He was ordered to pay $100 as a statutorily required special assessment to the Federal Crime Victims Fund.
Wanna was indicted for Abusive Sexual Contact and Possession of a Firearm by a Prohibited Person by a federal grand jury in July of 2022. He pleaded guilty to Abusive Sexual Contact on November 20, 2023.
The conviction stemmed from Wanna's repeated sexual abuse of a juvenile female from the time she was seven years old until she was 12 years old.
This matter was prosecuted by the U.S. Attorney’s Office because the Major Crimes Act, a federal statute, mandates that certain violent crimes alleged to have occurred in Indian country be prosecuted in federal court as opposed to State court.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the FBI and the Sisseton Wahpeton Law Enforcement. Assistant U.S. Attorneys Jeremy R. Jehangiri and Elizabeth A. Ebert prosecuted the case.
Wanna was remanded to the custody of the U.S. Marshals Service to continue serving his sentence.
Senior Promoter in Cryptocurrency Ponzi Scheme Pleads Guilty to Wire Fraud ConspiracyRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that JUAN TACURI, a senior promoter in the cryptocurrency Ponzi scheme known as Forcount (and later known as Weltsys), pled guilty to conspiracy to commit wire fraud before U.S. District Judge Analisa Torres. The Forcount scheme spanned the globe and, in the U.S., principally targeted Spanish-speaking populations. TACURI was one of the scheme’s most successful promoters and reaped millions of dollars from his participation in the fraud. TACURI is scheduled to be sentenced on September 24, 2024, before Judge Torres.
U.S. Attorney Damian Williams said: “With this guilty plea, Juan Tacuri is being held to account for taking advantage of retail investors and selling them a fabricated investment opportunity. Tacuri brought in millions of dollars in victim funds — funds the victims could not afford to lose — and spent it lavishly on luxury goods and real estate. This Office will not stop pursuing Ponzi schemers like Tacuri, particularly where they target regular, working people who are in dire straits financially.”
According to allegations in the Indictment, public filings, and statements made in court:
Forcount was a purported cryptocurrency mining and trading company that promised to earn its victim-investors (“Victims”) profits in exchange for their purchase of purported cryptocurrency-related investment products. The founders and promoters of the scheme, such as TACURI, falsely promised their Victims, among other things, that profits from the company’s cryptocurrency trading and mining would result in guaranteed daily returns on Victims’ investments and the doubling of those investments within six months. In reality, Forcount was not engaging in cryptocurrency trading or mining, and the founder and promoters of the scheme were using Victim funds to pay other Victims, to further promote the schemes, and to enrich themselves.
TACURI traveled throughout the U.S., where he and others hosted lavish expos and small community presentations aimed at luring Victims to invest in the schemes, including in the Southern District of New York. During larger-scale events, TACURI would present Forcount’s investment products and compensation plan, encourage Victims to invest as a means of achieving financial freedom, and boast about the amount of money he was earning, including by wearing designer clothing to such events. The atmosphere of these events was festive and designed to generate excitement about the schemes.
Victims invested in the Forcount scheme by purchasing investment products from promoters, such as TACURI, using cash, checks, wire transfers, and actual cryptocurrency. Following a Victim’s investment, they would be provided with access to an online portal where they could monitor their purported returns. While Victims saw “profits” accumulate on the scheme’s online portal, most Victims were unable to withdraw any of these so-called profits and ultimately lost their entire investments. By contrast, Forcount’s promoters, like TACURI, siphoned off, in some cases, hundreds of thousands of dollars in Victim funds, which they withdrew as cash, spent on promotional expenses for the schemes, and used for personal expenditures such as luxury goods and real estate.
At least as early as in or about April 2018, Victims who attempted to withdraw money from their online portal accounts had difficulty doing so, and when they complained to promoters, such as TACURI, they were met with excuses, delays, and hidden fees, if they were able to make any withdrawals at all. Despite these complaints, Forcount’s promoters, including TACURI, continued to promote the fraudulent scheme and accept Victims’ investments. As complaints mounted, Forcount began offering proprietary crypto-tokens for sale as a means of injecting liquidity into the scheme. TACURI claimed that these tokens, known as “Mindexcoin,” would eventually be worth a significant amount of money when they were accepted by companies for payment for goods and services. This was false. In reality, they were essentially worthless and resulted in further financial loss to Victims. By in or about 2021, the scheme had stopped making payments to Victims and their chief promoters, including TACURI, stopped promoting the schemes, and, in some instances, stopped responding to Victims’ complaints altogether.
The U.S. Attorney’s Office for the Southern District of New York is committed to protecting the rights of crime victims. If you believe you are a victim of the Forcount scheme, our Victim/Witness Unit can make sure that you are notified of important stages of these cases to help you exercise your rights. You can reach them at 866-874-8900.
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TACURI, 46, of Greenacres, Florida, pled guilty to one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison. As part of his guilty plea, TACURI also agreed to forfeit nearly $4 million in Victim funds and certain real estate TACURI purchased using Victim funds.
The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the outstanding investigative work of Homeland Security Investigations. Mr. Williams also thanked the New York City Police Department; the New York City Sheriff’s Office; the Bureau of Insurance Fraud, Property, and Casualty in the Division of Investigative and Forensic Services of the Florida Department of Financial Services; and the Florida Office of Financial Regulation for their assistance. Mr. Williams also thanked the Securities and Exchange Commission and the Brazilian Federal Police for their assistance.
The case is being handled by the Office’s Illicit Finance and Money Laundering Unit. Assistant U.S. Attorneys Benjamin A. Gianforti and Michael D. Maimin are in charge of the prosecution.
San Fernando Valley Man Found Guilty of Sending Threatening Emails to FBI that Included Threats to Bomb Its L.A. Field OfficeRead the Press Release
LOS ANGELES – A San Fernando Valley man was found guilty by a jury today of sending threatening emails to the FBI, including ones in which he threatened to bomb the FBI’s Los Angeles Field Office and referenced the notorious “Unabomber.”
Mark William Anten, 52, of Sun Valley, was found guilty of two counts of threats by interstate communication. He has been in federal custody since December 2023.
According to evidence presented at a three-day trial, from July 2023 to December 2023, Anten sent a series of increasingly threatening communications to the FBI, culminating in two threats to bomb the FBI field office in Westwood.
“Law enforcement officers put their lives on the line to keep our community safe and therefore deserve our thanks and respect,” said United States Attorney Martin Estrada. “Those who threaten the FBI and other law enforcement officers ignore the daily sacrifices these officers make to protect us and undermine the rule of law. We will continue to stand with our law enforcement partners.”
“Even after being warned, Mr. Anten double-downed on his threats to murder FBI employees,” said Krysti Hawkins, the Acting Assistant Director in Charge of the FBI's Los Angeles Field Office. “The FBI will not tolerate credible death threats to individuals or institutions and, as evidenced during the trial, neither did the jury.”
These emails included repeated references to Theodore John Kaczynski, a.k.a. “The Unabomber,” whose 20-year bombing campaign killed three people and injured nearly two dozen more. Kaczynski was convicted of federal crimes, spent the bulk of his prison sentence in the Supermax federal prison in Colorado and died in a different federal prison last year.
On November 20, 2023, two FBI task force officers interviewed Anten in front of his residence. During the interview, Anten admitted to sending the previous communications and the officers admonished him to stop contacting agents. Despite the admonition, Anten’s conduct escalated.
On December 5, 2023, Anten sent to FBI agents an email in which he wrote, “I AM THE UNABOMBER” and “I WILL UNABOMB THE LOS ANGELES FBI HQ.”
The next day, Anten wrote to FBI agents, “I can go on a mass murder spree. In fact it would be very explainable by your actions.” He concluded the email with, “[y]ou ain’t getting away with this one,” and signed the email, “SuperMax or Death.”
Anten also sent FBI agents an email, which attached a photograph depicting the results of an internet search for “how to make a dirty bomb.”
Later that day, Anten visited the FBI’s Los Angeles Field Office and later emailed agents that he visited their building and would continue to do so. Surveillance footage confirmed Anten’s presence there.
United States District Judge Wesley L. Hsu scheduled a September 13 sentencing hearing, at which time Anten will face a statutory maximum sentence of five years in federal prison for each count.
The FBI investigated this matter.
Assistant United States Attorneys Clifford D. Mpare and Kedar S. Bhatia, both of the General Crimes Section, are prosecuting this case.
Romanian scammer sentenced for using card skimmers to commit bank fraudRead the Press Release
NORFOLK, Va. – A Romanian national was sentenced today to one year and six months in prison for using card skimmers to steal credit and debit card information and defraud banks.
According to court documents, from September of 2022 through August of 2023, Cristian Romica Ristea, 52, stole credit and debit card information across the East Coast of the United States. Ristea installed and maintain portable card reading devices, known as “skimmers,” in ATMs and installed pin hole cameras to obtain PIN numbers.
On Aug. 17, 2023, law enforcement officers observed Ristea conduct an illegal transaction at a Bank of America ATM in Chesapeake. Afterward, the officers arrested Ristea and conducted a search of his vehicle, in which they found 36 Vanilla Visa cards, skimming tools, a skimming device, and an international driver license in the name of “Christan Weber.” Law enforcement then searched the home Ristea was renting and found additional skimming tools and skimming devices. Ristea possessed 91 vanilla gift cards that were encoded with stolen information. One financial institution estimated that 289 card numbers were compromised.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Kang Lee, Resident Agent in Charge of the U.S. Secret Service’s Norfolk Resident Office, made the announcement after sentencing by U.S. District Judge Jamar K. Walker.
Assistant U.S. Attorney Matthew Heck prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:23-cr-142.
Rochester man sentenced for making a false statement involving sunken vesselRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Vyacheslav S. Migitskiy, 34, a Ukrainian national living in Rochester, NY, who was convicted of making a materially false statement, was sentenced to time served, and ordered to pay $15,442 in restitution by U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that on August 25, 2022, Migitskiy towed a 25-foot Bayliner boat onto Lake Ontario with the intention of sinking the abandoned vessel. Migitskiy intentionally sunk the vessel without reporting his actions. The following day, on August 26, 2022, the partially submerged boat was discovered by civilian witnesses who reported the sinking to the United States Coast Guard, which resulted in an immediate search and rescue effort by the Coast Guard, the New York State Police, and other law enforcement agencies which included deployment of surface vessels, aircraft, and SCUBA search teams. The United States Coast Guard spent $14,194 during the search and rescue effort, while the New York State Police spent $1,248.
On October 4, 2022, Migitskiy was interviewed by a Special Agent with the United States Coast Guard, during which he falsely stated that he had donated the boat to unnamed individuals. Migitskiy further provided a false description of the individuals who took possession of the vessel, false information on how they removed the vessel from his property, and false information on what they did with the vessels’ trailer.
The sentencing is the result of an investigation by the Coast Guard Investigative Service, under the direction of Joshua Packer, Special Agent-in-Charge, Central Region, the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter, the New York State Police, under the direction of Major Miklos Szoczei III, and the Gates Police Department, under the direction of Chief Robert Long, the Rochester Fire Department, under the direction of Chief Stefano Napolitano, the Irondequoit Police Department, under the direction of Chief Scott Peters, and the Greece Police Department, under the direction of Chief Michael Wood.
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Readout of Civil Rights Division’s Quarterly LGBTQI+ Rights Community Stakeholder Meeting During Pride MonthRead the Press Release
Marking the first week of Pride Month, the Justice Department convened its quarterly interagency meeting with LGBTQI+ community stakeholders. Acting Associate Attorney General Benjamin C. Mizer spoke with those at the meeting and underscored the Department’s commitment to supporting LGBTQI+ communities through our enforcement and grantmaking activities. Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and the division’s LGBTQI+ Working Group outlined several civil and criminal enforcement efforts.
“Protecting civil rights is at the core of the Justice Department’s mission. As we seek to advance equality for LGBTQI+ Americans, the Department remains committed to bringing all resources to bear in that fight,” said Acting Associate Attorney General Benjamin C. Mizer. “Our efforts span the entire Department and include our pursuit of litigation to protect access to gender-affirming healthcare for transgender adults and minors, and our grants to organizations as well as state and local agencies working to prevent hate crimes and provide trauma-informed support to survivors. While progress is not always easy, we will not let up in our fight to ensure equal justice for everyone, regardless of what they look like, how they worship, or who they love.”
“The Civil Rights Division’s efforts to protect the rights of the LGBTQI+ community are wide-ranging efforts to protect children subjected to bullying and harassment, expand opportunities in education and employment, ensure access to necessary health care, and prosecute those who commit unlawful hate-motivated violence,” said Assistant Attorney General Clarke. “As we continue celebrating Pride Month, we stand ready to use every tool available to safeguard the dignity, safety and civil rights of the LGBTQI+ community to ensure the full protections and guarantees of the U.S. Constitution and federal laws.”
Representatives from the Civil Rights Division, FBI, Community Relations Service Office of Justice Programs, and Office on Violence Against Women, heard from attending organizations on an array of topics, including student safety and well-being, health data privacy, anti-LGBTQI+ violence and hate, HIV discrimination, grant funding concerns, and the need to increase intersex awareness. Representatives from other government agencies, including the Departments of Health and Human Services, Education, Homeland Security, Veterans Affairs, Labor, and Housing and Urban Development, as well as the Equal Employment Opportunity Commission, Consumer Financial Protection Bureau, Environmental Protection Agency, National Endowment of the Arts, AmeriCorps, and others, were also in attendance.
This week’s meeting strengthens the Justice Department’s commitment to aggressively protecting LGBTQI+ rights, including through building relationships with LGBTQI+ organizations and stakeholders. The department’s recent work on LGBTQI+ rights includes statements of interest and lawsuits challenging state bans on gender-affirming health care for transgender people in Indiana and Idaho. The department has also vindicated the rights of LGBTQI+ people under the Fair Housing Act and the Americans with Disabilities Act. The department has prosecuted hate crimes based on LGBTQI+ status, including securing its first guilty verdict in a trial under the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act for killing a transgender woman. These and other efforts by the Civil Rights Division can be found on its website at its LGBTQI+ Working Group page.
Acting Associate Attorney General Mizer and Assistant Attorney General Clarke meeting with LGBTQI+ stakeholders.Pharmacy Owner and Physician Charged with Illegally Diverting Oxycodone for CashRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York; Frank A. Tarentino III, the Special Agent in Charge of the New York Division of the Drug Enforcement Administration (“DEA”); Naomi Gruchacz, the Special Agent in Charge of the New York Regional Office of the U.S. Department of Health and Human Services, Office of Inspector General (“HHS-OIG”); James Smith, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”); and Thomas Fattorusso, the Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced today the unsealing of Complaints charging Feroze Nazirbage, a pharmacy owner, and Mordechai Bar, a physician, with illegally diverting oxycodone and other controlled substances. Both NAZIRBAGE and BAR were arrested today and will be presented tomorrow in White Plains federal court.
U.S. Attorney Damian Williams said: “As alleged, Dr. Mordechai Bar and Feroze Nazirbage breached the trust that was placed in them to prescribe and dispense controlled substances only for legitimate medical purposes. They allegedly used their positions as healthcare professionals as a cover for what amounted to no more than common drug dealing operations. We will not tolerate the illegal sale of oxycodone and other addictive substances into the community, whether those sales take place on the street corner, at a doctor’s office, or behind a pharmacy counter.”
DEA Special Agent in Charge Frank A. Tarentino III said: “The arrests today of Doctor Mordechai Bar and pharmacy owner Feroze Nazirbage are the result of the DEA’s commitment in pursuing those individuals who allegedly exacerbate the ongoing opioid crisis. As alleged, these two healthcare professionals, who illegally diverted the highly addictive oxycodone for cash had a responsibility of protecting patients’ lives, not destroying them. The DEA will relentlessly pursue those individuals responsible for putting profits and greed over the health of their patients.”
HHS-OIG Special Agent in Charge Naomi Gruchacz said: “This physician and pharmacy owner are alleged to have illegally distributed controlled substances, which is behavior that could contribute to the ongoing opioid epidemic. HHS-OIG works with our law enforcement partners to ensure that individuals involved in fraud schemes that exploit federal health care programs and threaten patient safety are held accountable.”
FBI Assistant Director in Charge James Smith said: “In exchange for financial compensation, Feroze Nazirbage and Mordechai Bar, a pharmacy owner and physician, respectively, allegedly conspired to distribute controlled substances – including oxycodone – without a legitimate prescription or patient medical examination. Failing their ethical duty to do good, the defendants allegedly abused their positions in healthcare by serving as suppliers for a highly addictive narcotic while greedily pocketing the rewards. With assistance from our law enforcement partners, today’s charges reflect the FBI’s intolerance of those who selfishly jeopardize the health of others, especially those entrusted with prioritizing and preserving the wellness of our city.”
IRS-CI Special Agent in Charge Thomas Fattorusso said: “Nazirbage and Bar went against all medical ethics and broke the law with their alleged dealing of oxycodone, a highly addictive drug. Law enforcement understands the continued need to stop the flow of this drug getting into hands with no medical need, and we remain steadfast in working investigations to arrest those who prey on the vulnerable.”
As alleged in the two Complaints filed on May 30, 2024, in White Plains federal court and unsealed today:[1]
Oxycodone, a Schedule II narcotic, is a highly addictive opioid analgesic that is used to treat severe and chronic pain conditions, such as post-operative pain, severe back and orthopedic injuries, as well as pain associated with certain forms of cancer and other terminal illnesses. Oxycodone prescriptions are in high demand and have significant cash value to drug dealers. The street value of oxycodone depends on the number of milligrams of oxycodone in each tablet, and in and around the New York City area, each milligram of oxycodone roughly translates to around $1 in street value.
NAZIRBAGE is associated with multiple pharmacies in and around New York City, including F&N Pharmacy, of which he is the president, and QV Pharmacy, where he has been observed working and directing customers. From at least about December 2022 up to the date of the Complaint, NAZIRBAGE has conspired with others to dispense or distribute oxycodone and other controlled substances, in violation of the law, in exchange for cash. In addition to filling prescriptions that he knew were not issued for a legitimate medical purpose by a practitioner acting within the usual course of professional practice, NAZIRBAGE also repeatedly sold controlled substances to a customer without a prescription in what is commonly referred to as a “backdoor sale.” During one of those sales, NAZIRBAGE gave that customer a handwritten menu of various prescription drugs and their per-pill cost for future backdoor sales (pictured below):
BAR is a physician whose practice is located in New Rochelle, New York. From at least in or about January 2023 up to the date of the Complaint, BAR conspired with others to provide prescriptions not issued for a legitimate medical purpose for oxycodone, amphetamine, and alprazolam to patients in exchange for cash payments. BAR issued those prescriptions without conducting medical examinations of the patients and, in many cases, without even speaking to or meeting with the patients.
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NAZIRBAGE, 50, of Bellerose, New York, is charged with one count of conspiring to illegally dispense or distribute oxycodone and other controlled substances, which carries a maximum sentence of 20 years in prison, and 11 counts of dispensing or distributing oxycodone and other controlled substances, each of which carries a maximum sentence of 20 years in prison.
BAR, 71, of Larchmont, New York, is charged with one count of conspiring to illegally dispense or distribute oxycodone and other controlled substances, which carries a maximum sentence of 20 years in prison, and 12 counts of dispensing or distributing oxycodone and other controlled substances, each of which carries a maximum sentence of 20 years in prison.
The maximum potential penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Williams praised the outstanding efforts of the DEA, HHS-OIG, the FBI, and IRS-CI. He also thanked the DEA Task Force Officers from the Yonkers Police Department, the Westchester County Police Department, the Putnam Sheriff Department, the Orangetown Police Department, and the Rockland Seriff Department. He added that the investigation is ongoing. Any individuals who believe they have information that may be relevant to this investigation should contact DEA Victim/Witness Coordinator James Lee at [email protected] and/or by calling (646) 529-4042.
This effort is part of an Organized Crime Drug Enforcement Task Forces (“OCDETF”) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The prosecution is being handled by the Office’s White Plains Division. Assistant U.S Attorneys David A. Markewitz and Kathryn Wheelock are in charge of the prosecution.
The charges contained in the Complaints 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 Complaints and the description of the Complaints set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Pennsylvania Man Sentenced for Online Enticement of a MinorRead the Press Release
RALEIGH, N.C. – A Pennsylvania man was sentenced today to 120 months imprisonment followed by 60 months of supervised release for online enticement of a minor after text messages between the defendant, James Julius Caton, age 29, and the minor victim that were sexual in nature were uncovered on the victim’s phone. The messages include discussion of Caton traveling from Pennsylvania to North Carolina to have sex with the victim. Caton pled guilty to the charge on February 22, 2024.
According to court documents and other information presented in court, Caton was investigated by the Cary Police Department after a mom found sexual text messages between Caton and her 13-year-old child. Law enforcement analyzed the child’s phone and interviewed the child. It was learned Caton first reached out to the child on Omegle, a free, web-based online chat service that allowed users to socialize without the need to register. The conversation moved to Snapchat and Instagram, and later to text messages. Search warrants were obtained for both Caton’s and the victim’s Snapchat and Instagram accounts, where sexually explicit conversations between the two were discovered. In text messages between the two, Caton encouraged the child to send pictures of their genitals to Caton. In addition, Caton and the child discussed meeting to engage in sexual activities.
Caton was arrested in Pennsylvania where he was living. His digital devices were analyzed in Pennsylvania and law enforcement found unrelated images and videos of child pornography on his cellular device.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after the sentencing was concluded. U.S. District Judge Terrence W. Boyle presided over the sentencing. The Cary Police Department and the Department of Homeland Security investigated the case and Assistant U.S. Attorney Charity Wilson 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 Justice.gov/PSC.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-341-BO.
Paul Girard and Associates Sentenced to Ten Life Sentence in Federal CourtRead the Press Release
St. Croix, VI – United States Attorney Delia L. Smith announced today that Paul Girard, 36, of St. Croix and three members of his violent criminal enterprise were sentenced to ten separate terms of life in prison for their roles in a racketeer influenced and corrupt organization (RICO).
“A reign of unspeakable terror was unleashed in this Territory by Girard and his enterprise. Murders, robberies, assaults, gun violence, kidnappings, all ordered by Girard while he was incarcerated. Many lives have been affected by this senseless violence, but the life sentences issued by the court send a strong message that our system of justice works, and anyone who commits these heinous crimes will be prosecuted to the fullest extent of the law”, U.S. Attorney Smith said.
According to court documents and evidence produced at trial, Girard, also known as “Bogus”, was the leader of the gang. In that role, Girard ordered shootings against rival gang members, as well as individuals he believed had stolen from or otherwise disrespected the gang. Girard planned several armed robberies that his crew executed, including those at several jewelry stores located in St. Thomas. Most of the criminal activity was orchestrated by Girard from prison, where he was serving sentences for multiple prior criminal convictions.
Tyler Eugene, also known as “Lucc”, 26, of St. Croix, committed acts of violence on behalf of the gang and at Girard’s direction, including murdering Juan Encarnacion, III, a rival gang member, outside a convenience store. Kareem Harry, also known as “Crumbull”, 36, of St. Croix, participated in the murder of Eddie Harriette, Jr. who was believed to have stolen money from the Girard gang, and separately set up the shooting death of Jermaine Williams, a member of a rival gang led by Ivan James, outside of Williams’ child’s daycare center.
Six additional defendants, all of St. Croix except for Wayne Bellille, of St. Thomas, have pleaded guilty to various racketeering charges and have been sentenced. Below is each defendant’s sentence for the following convictions:
Defendant
In-Custody Sentence
Conviction
Paul Girard
Life, plus 47 years
RICO Conspiracy; VICAR murder; VICAR kidnapping; VICAR Attempted Murder; Use of Firearm to Cause Death During a Crime of Violence; Hobbs Act Robbery
Tyler Eugene
Life, plus 30 years
RICO Conspiracy; VICAR Murder; VICAR Attempted Murder; Use of Firearm to Cause Death During a Crime of Violence
Kareem Harry
Life, plus 20 years
RICO Conspiracy, VICAR Murder; VICAR Kidnapping; Use of Firearm to Cause Death During a Crime of Violence
Shaquielle Correa
17 years, six months
RICO Conspiracy
James Cruz
12 years
RICO Conspiracy
Shermyra Gumbs
Eight years, four months
RICO Conspiracy
Wahilli James
Six years
RICO Conspiracy
Wayne Bellille
Four years, nine months
RICO Conspiracy
Etherneal Simon
Two years, 10 months
RICO Conspiracy and Money Laundering
Shaquan Prentice
25 years
RICO Conspiracy
The FBI San Juan Field Office’s St. Thomas and St. Croix Resident Agencies and Virgin Islands Police Department investigated the case. This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation and was prosecuted by Trial Attorneys Christopher Taylor and Marie Zisa of the Criminal Division’s Violent Crime and Racketeering Section and Human Rights and Special Prosecution Sections, and Assistant United States Attorney Meredith Edwards, formerly of the U.S. Attorney’s Office for the District of the Virgin Islands.
Owner of Jay’s Immigration Consulting Practice, LLC sentenced to over 5 years in federal prisonRead the Press Release
MIAMI – On May 31, Jephte Bernard, 70, of Margate, Florida, was sentenced to 63 months in federal prison by U.S. District Judge Rodolfo A. Ruiz, after previously pleading guilty to mail fraud and making false statements. Bernard was sentenced for his massive and decades long immigration fraud scheme involving the fraudulent submission of asylum claims to U.S. Citizenship and Immigration Services (USCIS) from Jay’s Immigration Consulting Practice, LLC offices in Sunrise, Orange Park, and Bradenton, Florida. Upon release from custody, Bernard must serve three years of supervised release and forfeit $3,932,460.00 in illegally obtained proceeds.
According to the court record, during the course of the fraud scheme, Bernard falsely portrayed himself as an attorney, pastor, Border Patrol Agent, and former employee and agent with Immigration and Customs Enforcement, who advertised immigration-related services to aliens in the United States, family members and friends of aliens who were in the United States, and domestic family members and friends of aliens who were abroad, all of whom were in need of assistance for immigration-related matters before USCIS. Bernard targeted Spanish-speaking immigrants from Central and South America, as well as Haitian-creole speaking immigrants, by fraudulently representing himself as an attorney licensed to practice law in the United States and advertised his services and expertise in a number of ways, including through the use of business cards, print media, storefront decals, and word of mouth. Bernard gave false, inaccurate, and incomplete legal and immigration advice to client-victims in order to induce them to retain his services and those of Jay’s Immigration Services and prepared and filed various immigration applications and petitions, including Form I-589’s (Application for Asylum and Withholding of Removal) which he knew contained false statements, including false biographical information, false residential addresses, and false preparer names, all without the victim applicant’s knowledge and consent. As a result of this fraudulent immigration scheme, Bernard defrauded over 1,000 vulnerable victims, and in the process, earned more than $3.9 million dollars in fraudulent proceeds.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI), Miami Field Division, and Miami Asylum Director Varsenik Papazian for USCIS announced the sentences imposed by Judge Ruiz.
HSI Fort Lauderdale and USCIS Miami Asylum Office Fraud Detection and National Security Directorate (FDNS) investigated the case. Assistant U.S. Attorney Marc Anton prosecuted the case. Assistant U.S. Attorney Sara Klco handled asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov under case number 23-CR-60195.
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Newport News man with multiple prior felony convictions sentenced for illegally possessing a firearmRead the Press Release
NEWPORT NEWS, Va. – A Newport News man was sentenced today to three years and 10 months in prison for being a felon in possession of a firearm.
According to court documents, on June 8, 2022, Newport News Police (NNPD) were searching for Larry Donnell Jones, 45, who was wanted on several outstanding arrest warrants, including for firearms-related offenses. Officers observed Jones leaving a residence in a vehicle. NNPD stopped the vehicle, and Jones attempted to flee on foot. Officers quickly caught and arrested Jones. NNPD officers then lawfully searched the residence and recovered a 9mm semiautomatic handgun, loaded with 17 rounds of ammunition, which belonged to Jones.
Jones had been convicted previously for multiple felony offenses, including drug distribution, possession of cocaine, and possession of a firearm while in possession of a controlled substance. As a previously convicted felon, Jones cannot possess firearms or ammunition.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jason Miyares, Attorney General of Virginia; Derek W. Gordon, Special Agent in Charge of Homeland Security Investigations (HSI) Washington, D.C.; and Steve R. Drew, Chief of Newport News Police, made the announcement after sentencing by U.S. District Judge Elizabeth W. Hanes.
Special Assistant U.S. Attorney Alyson C. Yates, an Assistant Attorney General with the Virginia Attorney General’s Office, prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:23-cr-44.
New York Man Charged with Smuggling Protected TurtlesRead the Press Release
A federal grand jury charged a New York man today in a three-count indictment alleging he illegally shipped eastern box turtles and three-toed box turtles, both protected wildlife species, from the United States to China for the global pet trade black market.
Russell Milis, 26, of Brooklyn, is charged with two counts of smuggling goods from the United States and one count of violating the Lacey Act.
The indictment alleges that, between November 2019 and November 2020, Milis exported turtles without obtaining the necessary license or declaring the wildlife to customs officials as required by the Endangered Species Act. Both species of turtles are protected by the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), an international agreement to protect fish, wildlife and plants that are or may become threatened with extinction. The United States and China are parties to this agreement. The indictment alleges that Milis shipped the turtles to Asia without the mandatory CITES permits.
The indictment also charged Milis with shipping the turtles in packages that were falsely labeled as to their contents in violation of the Lacey Act. The Lacey Act is the nation’s oldest wildlife trafficking statute and prohibits, among other things, shipping wildlife, fish or plants in interstate or international commerce without accurate information as to the contents.
The eastern box turtle (Terrapene carolina carolina) is a subspecies of the common box turtle and is native to forested regions of the eastern United States with some isolated populations in the Midwest. The three-toed box turtle (Terrapene triunguis) is also a subspecies of the common box turtle and is native to woodlands and grasslands in the central and southern United States. Turtles with colorful markings are especially prized in the domestic and foreign pet trade market, particularly in China and Hong Kong, where they can sell for several thousand dollars.
If convicted, Milis faces a maximum penalty of 10 years in prison for each smuggling count and a maximum penalty of five years in prison for the Lacey Act violation. A court could also order a fine of up to the greater of $250,000 or twice the defendant’s financial gain from the criminal activity charged in each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division and Assistant Director Edward Grace of the U.S. Fish and Wildlife Service (USFWS), Office of Law Enforcement made the announcement.
The USFWS investigated the case, with assistance from the U.S. Postal Inspection Service.
Senior Trial Attorney Ryan Connors and Trial Attorney Elise Kent Bernanke of the Environment and Natural Resources Division’s Environmental Crimes Section are prosecuting the case, with assistance from the U.S. Attorney’s Office for the Eastern District of New York.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
New Orleans Woman Guilty of Making False Statements on Individual Tax ReturnRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that on June 5, 2024 ANGELA SHELTON (“SHELTON”), age 57, of New Orleans, pled guilty to making false statements on an individual tax return, in violation of Title 26, United States Code, Section 7206(1).
According to court documents, SHELTON owned and operated “Big Easy Accommodations, LLC,” a vacation rental and property management company in New Orleans. Between 2017 and 2019, SHELTON under-reported her income on her individual tax returns from Big Easy Accommodations, by approximately $879,020. This underreporting caused a loss of approximately $294,690.00 to the Internal Revenue Service.
Consequently, SHELTON faces a maximum sentence of three (3) years of imprisonment, up to one (1) year of supervised release, a fine of up to $250,000, and a mandatory special assessment fee of $100. SHELTON also agreed to pay restitution to the Internal Revenue Service in the amount of $294,690.00. Chief United States District Court Judge Nannette Jolivette Brown set sentencing in this matter for September 26, 2024.
The U.S. Attorney’s Office would also like to acknowledge the work of the Internal Revenue Service Criminal Investigations on this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Maria Carboni of the Financial Crimes Unit.
New Orleans Man Sentenced for Being Felon in Possession of Firearm and AmmunitionRead the Press Release
NEW ORLEANS, LOUISIANA – CHRIS ROBERTSON, Jr. (“ROBERTSON”), age 25, of New Orleans, was sentenced on June 4, 2024 by Chief U.S. District Judge Nanette Jolivette Brown to 41 months in prison followed by 3 years of supervised release, along with a $100 mandatory special assessment fee, after previously pleading guilty to being a felon in possession of a firearm and ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(8).
According to court documents, the Federal Bureau of Investigation (FBI) executed a search warrant at ROBERTSON’s residence in November of 2023. FBI found a box of 9-millimeter ammunition hidden underneath his mattress and a Glock Model 19, 9-millimeter handgun hidden underneath a rug outside of his bedroom. ROBERTSON has previous convictions for possessing a firearm with an obliterated serial number and attempted illegal carrying of weapons while in possession of a controlled substance.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation. Assistant United States Attorney David Berman of the Violent Crime Unit is in charge of the prosecution.
New Orleans Man Pleads Guilty to Violation of Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – SEAN COBB (“COBB”), age 53, a resident of New Orleans, pleaded guilty on June 4, 2024, before United States District Judge Wendy B. Vitter to a violation of the Federal Gun Control Act, announced U.S. Attorney Duane A. Evans.
According to court records, the New Orleans Police Department responded to COBB’s residence after officers were flagged down by a man who said COBB had shot him. When the police approached, COBB shut the door and refused to come out. He ultimately surrendered a few hours later. The police found a gun and spent casing. COBB admitted that he possessed the gun in furtherance of his maintenance of a drug involved premises.
Judge Vitter set sentencing for August 27, 2024. COBB faces a mandatory minimum term of 5 years and a maximum term of life imprisonment, a fine of up to $250,000, up to 5 years of supervised release, and a mandatory special assessment fee of $100.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorney David Haller, Senior Litigation Counsel.
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Mount Zion Baptist Church Agrees to Pay over $70,000 to Settle Allegations of Misusing Paycheck Protection Program Loan FundsRead the Press Release
NASHVILLE – Mount Zion Baptist Church (“MZB”) has agreed to pay $70,464.39 to settle civil claims that it misused a Paycheck Protection Program (“PPP”) loan. This agreement resolves allegations that MZB unjustly enriched itself by improperly using the PPP loan to make mortgage principal payments in violation of the PPP regulations.
The United States alleged that MZB applied for a PPP loan in April 2020, certifying that the loan would be used only for purposes permitted under the PPP regulations, including mortgage interest payments. But on May 29, 2020, MZB made two separate mortgage principal payments totaling $70,464.39, in violation of the PPP requirements. On May 1, 2021, MZB applied for full forgiveness of its PPP loan, certifying that it used the entirety of the loan funds to pay business expenses that were eligible for forgiveness. As a result, on May 17, 2021, the Small Business Administration (“SBA”) approved MZB’s application for PPP loan forgiveness, including the portion of the loan that the United States contends that MZB used for mortgage principal payments.
Congress created the PPP in March 2020, as part of the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, to provide emergency financial support to the millions of Americans suffering from the economic effects caused by the COVID-19 pandemic. The CARES Act authorized billions of dollars in forgivable loans to small businesses struggling to pay employees and other business expenses. This settlement resolves allegations that MZB was unjustly enriched by taking PPP funds that it used improperly for purposes that were not allowed by the PPP.
The litigation resolved by this case originally was brought under the qui tam or whistleblower provisions of the False Claims Act by Kiara Moore, a former employee of MZB. Under the whistleblower provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. In this case, Moore will receive $10,569.66 of the settlement funds. The litigation, which is concluded by the settlement announced today, is captioned United States ex rel. Moore v. Mount Zion Baptist Church, Case No. 3:23-cv-0024 (M.D. Tenn.).
This matter was handled by Assistant U.S. Attorney S. Jae Lim of the Middle District of Tennessee, with assistance from the SBA’s Office of General Counsel.
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.
Tips and complaints from all sources about potential fraud affecting COVID-19 government relief programs can be reported by visiting the webpage of the Civil Division’s Fraud Section, which can be found here. Anyone with information about allegations of attempted fraud involving COVID-19 can also 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.
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Michigan Business Owner Sentenced for Tax Evasion and Obstructing the IRSRead the Press Release
A Bloomfield Hills, Michigan, businessman was sentenced today to 24 months in prison for evading his income taxes, failing to file an income tax return and obstructing an IRS audit.
According to court documents and evidence presented at trial, Ryan Richmond owned and operated Relief Choices LLC, a marijuana dispensary in Warren, Michigan. From 2011 through at least 2014, Richmond directed Relief Choices to pay its operating expenses extensively in cash and route customer credit card payments through an unrelated third-party bank account to conceal its true business gross receipts.
On his personal 2012 through 2014 tax returns, Richmond did not report Relief Choices as a business he owned and did not report its gross receipts. In addition, Richmond failed to file any tax return for tax year 2014, despite Relief Choices earning more than $1.8 million in gross receipts that year.
In 2015 and 2016, Richmond also obstructed the IRS by misleading an IRS auditor examining his individual income taxes about his knowledge of, role in and profits derived from Relief Choices.
In total, Richmond caused a loss to the IRS of $1,088,151.
In addition to his prison sentence, U.S. District Judge Linda V. Parker for the Eastern District of Michigan sentenced Richmond to one year of supervised release and ordered him to pay $2,777,684 in restitution to the IRS.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement.
IRS Criminal Investigation investigated the case.
Trial Attorneys Mark McDonald and Christopher P. O’Donnell of the Justice Department’s Tax Division prosecuted the case.
Meridian Man Sentenced for Destruction of an Energy Facility After Shooting at Two Idaho Power Hydroelectric Power PlantsRead the Press Release
BOISE – Randy Scott Vail, 59, of Meridian, was sentenced to five years of probation for destruction of an energy facility, U.S. Attorney Josh Hurwit announced today.
According to court records, on June 8, 2023, and continuing into June 9, 2023, Vail shot at the Hells Canyon Dam hydroelectric power station and the Brownlee Dam hydroelectric power station causing power loss and substantial damage to both. The Hells Canyon Dam and the Brownlee Dam are located on the Snake River along the Idaho-Oregon border and were built and are operated by Idaho Power Company. The dams are essential to electricity production, transmission, and storage in Washington, Idaho, and Oregon.
Specifically, in the late-night hours of June 8, 2023, Vail arrived on the top of Hells Canyon Dam via motorcycle, loaded a rifle with ammunition and discharged the rifle, shooting at the power substations. As a result, power loss occurred at Hells Canyon Dam. Approximately one hour later, on June 9, 2023, Vail arrived via motorcycle to the Brownlee Dam. Vail again loaded a rifle with ammunition and shot at the dam’s power substations. As a result, large plumes of sparks were visible in the switch yard of the power plant.
Approximately 45 minutes after Vail shot the Brownlee Dam power substations, a sheriff’s deputy encountered Vail on a motorcycle on Highway 71 traveling south towards Cambridge, Idaho. Law enforcement initiated emergency lights and sirens, but Vail failed to yield and increased speed. After approximately three miles, Vail yielded to lights and sirens, and he was taken into custody. During a search and inventory of Vail and the motorcycle, law enforcement located bolt cutters, a guitar case housing two rifles, and live and spent ammunition. Vail also was carrying two yellow compressed air tanks with gasoline with the pressure gauge missing.
In calls to family members while incarcerated, Vail repeatedly stated that the government is “illegitimate” and that he did not recognize the authority of judges, sheriffs, the Governor, or the federal government. In Vail’s own words, he wanted to “make a statement” and stated that “we need a revolution or a civil war.” Based on the investigation, it appears that Vail developed his anti-government ideology, at least in part, after watching and reading online propaganda that discusses anti-government conspiracy theories.
“The defendant’s conduct put at risk our power supply and all aspects of our lives that depend on it,” said U.S. Attorney Hurwit. “The defendant was motivated by anti-law enforcement and anti-government sentiment. Now to be clear: he was prosecuted for his illegal conduct, not his beliefs. Yet, this case shows that our way of life is threatened when people begin to believe that ideology can somehow justify violence. It never does. I am grateful for our local law enforcement partners and the FBI for their work on this case and to Idaho Power for its cooperation. We will continue to work to protect Idaho’s critical infrastructure and to hold wrongdoers accountable.”
“The citizens of Idaho, Oregon, and Washington rely on this infrastructure, and the damage potentially could have been catastrophic,” said Special Agent in Charge Shohini Sinha of the Salt Lake City FBI. “The FBI and our partners will work diligently to identify, arrest, and hold accountable those who use violence to further ideology.”
Senior U.S. District Judge B. Lynn Winmill also sentenced Vail to pay restitution to Idaho Power in the amount of $546,982.46 with the potential for an additional amount to be determined by the Court at a later time. Vail pleaded guilty to the charge on March 7, 2024.
U.S. Attorney Hurwit commended a host of federal, state, and local partners in both Idaho and Oregon, for their combined efforts on this case. The partners include the FBI, the Washington County Sheriff’s Office, the Washington County Prosecuting Attorney’s Office, the Adams County Sheriff’s Office, the Adams County Prosecuting Attorney’s Office, the Meridian Police Department, the Ada County Prosecuting Attorney’s Office, the Boise Police Department, and the Baker County Sheriff’s Office and Wallowa County Sheriff’s Office in Oregon. Assistant U.S. Attorneys Heather S. Patricco and Erin C. Blackadar prosecuted the case, in collaboration with the Department of Justice’s National Security Division.
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Memphis Man Resentenced to 20 Years for Attempted RobberyRead the Press Release
Memphis, TN – A federal judge recently resentenced a Memphis man to 20 years in federal prison for the attempted robbery of a Boost Mobile store in December 2017. United States Attorney Kevin G. Ritz announced the sentence today.
According to information presented in court, on December 8, 2017, Lamar Clancy, 31, and another man entered a Boost Mobile store, armed with guns and wearing ski masks. They immediately pointed their weapons at the three employees behind the counter, stating, “You know what time it is.", before opening fire at the employees. Two of the employees returned fire.
During the shooting, a third, unarmed employee was shot in the knee. The shooting also endangered a customer and three minor children who had been waiting in a vehicle in the parking lot. After the shooting, Clancy and his accomplice fled the scene.
On May 2, 2019, after a jury trial, Clancy was found guilty of attempted robbery and discharging a firearm in furtherance of that attempted robbery; he was originally sentenced in November 2019. Due to changes in the law which went into effect in 2022, Clancy’s firearm conviction was vacated, and the district court scheduled a resentencing hearing. At that hearing, United States District Court Judge John T. Fowlkes sentenced Clancy to 240 months incarceration with the Bureau of Prisons, followed by 3 years of supervised release. There is no parole in the federal system.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Federal Bureau of Investigation and the Memphis Police Department.
United States Attorney Ritz thanked Assistant United States Attorney Naya Bedini, who prosecuted this case at the resentencing hearing, as well as the law enforcement partners who investigated the case.
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For more information, please contact the Media Relations Team at [email protected]. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
Man Charged for Carrying Loaded Ghost Gun, Cocaine, and Scale on Bronx Subway PlatformRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Edward A. Caban, the Commissioner of the New York City Police Department (“NYPD”), announced today the filing of a Complaint in Manhattan federal court charging JERMAINE GREENE with firearms and narcotics offenses in connection with a March 28, 2024, incident at the New York City subway station located on Fordham Road and Jerome Avenue in the Bronx (the “Fordham Road Station”). GREENE was arrested today and presented before U.S. Magistrate Judge Stewart D. Aaron.
U.S. Attorney Damian Williams said: “As alleged, Jermaine Greene brought a loaded gun, a drug stash, and tools of the drug trade into the New York City subway system. I am grateful to the NYPD for its efforts to bring to justice those who endanger their follow passengers and abuse public transportation.”
NYPD Commissioner Edward A. Caban said: “Policing methods that focus on relatively minor offenses — in this case, fare evasion — often lead police officers to larger alleged crimes that are putting unsuspecting New Yorkers in danger. The NYPD refuses to turn a blind eye to criminal recidivists who allegedly continue to act with impunity and vows to keep addressing crime and disorder in every form. I commend the police officers who made this arrest and thank everyone at the office of the U.S. Attorney for the Southern District of New York for their continued partnership in our public safety mission.”
According to the allegations in the Complaint:[1]
On or about March 28, 2024, at approximately 5:37 p.m., NYPD officers observed GREENE entering the Fordham Road Station without paying a fare and walking upstairs to the southbound subway platform. The officers arrested GREENE after determining that he was the subject of open arrest warrants.
NYPD officers searched GREENE incident to arrest and recovered a privately assembled 9 mm “ghost” gun loaded with 12 rounds of ammunition. A photograph of the firearm and ammunition is below:
After transporting GREENE to NYPD Transit District 11 for processing, NYPD officers conducted an inventory search of GREENE. From inside a bookbag worn by GREENE underneath his jacket, the officers recovered a plastic bag containing approximately 50 grams of cocaine, a scale, and several empty plastic bags. The officers also found a small plastic bag of cocaine in GREENE’s pants pocket. A photograph of the scale and bags of cocaine is below:
GREENE was not permitted to possess ammunition because of prior felony convictions, including a Delaware conviction for second degree murder, for which GREENE was under court supervision at the time of these offenses.
* * *
GREENE, 42, of the Bronx, New York, is charged with one count of possessing ammunition after a felony conviction, which carries a maximum sentence of 15 years in prison; one count of distribution of narcotics, which carries a maximum sentence of 20 years in prison; and one count of possession of a firearm in furtherance of a drug trafficking crime, which carries a mandatory minimum sentence of five years in prison and a maximum sentence of life in prison.
The statutory minimum and maximum 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 work of the NYPD in connection with this investigation.
This case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorney Henry Ross is in charge of the prosecution.
The charges contained in the Complaint 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 Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Macon Resident Pleads Guilty to Obstructing Justice in Civil InvestigationRead the Press Release
MACON, Ga. – The owner of Middle Georgia Family Rehab has admitted in federal court to ordering two employees to illegally alter documents during a federal civil investigation into alleged improper healthcare billing by the business.
Brenda Hicks, 58, of Macon, pleaded guilty to one count of conspiracy to obstruct justice before Chief U.S. District Judge Marc Treadwell on June 5. Hicks faces a maximum of 20 years in prison to be followed by three years of supervised release and $250,000 fine. In addition, the plea agreement stipulates that Hicks will pay restitution to TRICARE, Medicare, Blue Cross Blue Shield, Medicaid and the U.S. Department of Veterans Affairs (VA). Sentencing is scheduled for Sept. 5. There is no parole in the federal system.
“Anyone who attempts to alter or destroy documents requested as part of a federal investigation will face federal penalties for breaking the law,” said U.S. Attorney Peter D. Leary. “For the sake of justice and truth, it is imperative that the integrity of the investigation is maintained for the benefit of all parties.”
According to court documents, Middle Georgia Family Rehab, LLC (MGFR)—an outpatient rehabilitation facility owned by Hicks with locations in Byron and Macon—was served with a Civil Investigative Demand (CID) requesting various patient records on Oct. 7, 2019. After its receipt, Hicks set up a meeting about the CID with two MGFR employees. Hicks told them it was an “audit” and explained that MGFR did not have the records that were requested. She then instructed them to go into the system and pull any portions of the requested files, looking for hard copies of the records in MGFR’s storage unit if needed.
Many of the requested records were either blank or missing. Hicks explained that if the records were not there or had not been signed, the employees were supposed to create or sign the records. For example, if the records were missing progress notes, Hicks instructed the employees to make them up by copying and pasting the narrative language from other progress notes to fill in the missing information. These narrative sections were supposed to contain unique information from each session, such as the patient’s pain level and what exercises were performed at the visit. One employee expressed concern to the other employee that what they were doing was illegal and quit. The other employee complied with Hicks’ instructions and added notes and signatures to patient records as needed. These doctored patient records were then produced to the Civil Division of the U.S. Attorney’s Office on Dec. 2, 2019, in response to the CID. Hicks now admits that she conspired to corruptly alter patient records with the intent to impair the integrity of those records and their availability for use in a civil action. For more information about the civil action, please visit: https://www.justice.gov/usao-mdga/pr/judge-orders-middle-georgia-family-rehab-pay-96-million-damages-submitting-hundreds.
The case was investigated by the Department of Defense, Defense Criminal Investigative Service (DOD-DCIS); the Department of Health & Human Services, Office of Inspector General (HHS-OIG); the Georgia Medicaid Fraud Control Unit (MFCU); and the Veterans Affairs, Office of Inspector General (VA-OIG); with substantial assistance from the U.S. Department of Labor, Office of Inspector General (DOL-OIG).
Assistant U.S. Attorney Elizabeth Howard is prosecuting the case for the Government, with previous assistance from former Assistant U.S. Attorney Sean Dietrick.
Macon Man Sentenced to Prison for Robbing a Truist Bank BranchRead the Press Release
MACON, Ga. – The Macon resident who robbed a Truist Bank Branch on Riverside Drive in Macon in 2023 while on federal supervised release was sentenced to federal prison today.
Gabriel Bell, 29, of Macon, was sentenced to serve a total of 111 months imprisonment (87 months in prison for bank robbery and 24 months in prison for violating his supervised release in Case No. 5:23-CR-39) to be followed by five years of supervised release by Chief U.S. District Judge Marc Treadwell on June 5. In addition, Bell was ordered to pay $3,000 restitution to Truist Bank. Bell was found guilty by a federal jury of one count of bank robbery on March 12. There is no parole in the federal system.
“Two tips from concerned citizens helped law enforcement quickly track down Gabriel Bell, who was on federal supervised release at the time for illegally possessing a gun,” said U.S. Attorney Peter D. Leary. “Law enforcement at every level is committed to keeping our communities safe from violence and seeking justice for victims.”
“Bell’s prior prison time was apparently not enough for him because he returned to his robbing ways while he was still on supervised release for the last crime he committed,” said Robert Gibbs, Supervisory Senior Resident Agent of FBI Atlanta’s Macon Office. “Thanks to the assistance of our partners with the Bibb County Sheriff’s Office, he now will have more time in prison to think about what he’ll do when he is released from prison this time.”
“Our citizens can be grateful that dedicated investigative work from Bibb deputies and FBI agents have resulted in a repeat offender receiving prison time as a result of choosing crime as a career,” said Bibb County Sheriff David J. Davis.
According to court documents and evidence submitted at trial, Bell walked into the Truist Bank at 2998 Riverside Drive in Macon on Feb. 16, 2023, at approximately 3:17 p.m., wearing a blue surgical mask. There were no customers in the business at the time. Bell handed a demand note to a teller that stated: “PUT ALL BIG BILLS IN ENVELOPE (ROBBERY) Do anything stupid, and I’ll shoot you!” The teller put her hands up and told Bell she did not have money and passed the note to another teller. This second teller gave Bell cash, after which he fled. Tellers at the bank said Bell lifted his shirt and they saw something that was described as dark, silver, with a handle and that could have been a gun. In surveillance video, Bell is seen grabbing at his hip where tellers reported they saw the object. No weapon was recovered.
The Bibb County Sheriff’s Office released photographs taken from surveillance video to the public and received two tips identifying the suspect as Bell. The FBI processed the demand note for latent fingerprints and developed two latent prints that were determined to belong to Bell. The FBI also obtained location information from Bell’s cell phone and Google account which confirmed he was in the area near the bank at the time of the robbery. Bell was taken into custody on Feb. 20, 2023. Bell was previously convicted of armed robbery of the Huddle House in Jeffersonville, Georgia, in 2015. He was also found guilty in the Eastern District of North Carolina of one count of convicted felon in illegal possession of a firearm in 2021 and was on federal supervised release for that offense at the time of the Truist Bank robbery.
The case was investigated by FBI and the Bibb County Sheriff’s Office.
Assistant U.S. Attorney Elizabeth Howard prosecuted the case for the Government.
Lincoln Man Sentenced to 25 Years in Prison for Conspiracy to Distribute DrugsRead the Press Release
United States Attorney Susan Lehr announced that George Lesley Weaver, Jr., 38, of Lincoln, Nebraska, was sentenced on June 5, 2024, in federal court in Lincoln for conspiracy to distribute and possession with intent to distribute 5 kilograms or more of cocaine, 400 grams or more of fentanyl and 50 kilograms or more of marijuana, resulting in serious bodily injury. Senior United States District Judge John M. Gerrard sentenced Weaver to 300 months’ imprisonment. There is no parole in the federal system. After Weaver’s release from prison, he will begin an 8-year term of supervised release.
Beginning in June of 2021, Weaver’s co-defendant, Anna Idigima, a Nebraska State Patrol, (NSP) stored evidence room employee, began stealing drugs held in completed NSP cases which were awaiting destruction orders. She provided the drugs to her boyfriend, Weaver, who sold them in Lincoln. The Lincoln/Lancaster County Narcotics Task Force, (LLCNTF), conducted an audit of the NSP evidence storage areas where Idigima had access during this timeframe. The following approximate totals of drugs were found to be missing:
Marijuana - 154 pounds
Cocaine - 19 pounds
Fentanyl - 6 pounds
Heroin - 10 pounds
Methamphetamine - 3 pounds
THC - 32 pounds
THC vape cartridges - 1,720
Also, numerous assorted pills.In August of 2021, investigators searched Weaver’s Snap Chat account and found drug-related conversations and a photo of several large bags of marijuana on a bed. One of the bags had a piece of red evidence label tape on it which was consistent with evidence tape used by NSP. In a search of an apartment rented by Weaver on S. 21st Street in Lincoln, investigators found residue containing cocaine, fentanyl, and marijuana.
On August 4, 2021, a married couple both overdosed at their home in Nebraska City. One of them required CPR and both were given Narcan. They were both transported to and hospitalized in Omaha. During a search of their residence, two bags of white powder containing cocaine and fentanyl, weighing just under an ounce, were found. A physician who is board certified in emergency medicine and medical toxicology reviewed first responder and hospital records for the couple and determined their use of cocaine laced with fentanyl carried a substantial risk of death had they not been given Narcan.
After they recovered, the couple told investigators they bought what they thought was an ounce of cocaine from a man in Lincoln. On of the victims, working with NSP, had a recorded phone conversation with the source, who apologized for selling them bad cocaine and admitted the cocaine had fentanyl in it. The source was contacted by law enforcement, admitted selling the cocaine to the Nebraska City couple and said he bought it from Weaver over the course of two purchases in late July 2021, and early August 2021.
On August 18, 2021, a third victim was found unconscious and unresponsive near his residence in Lincoln. He was given CPR and Narcan and was hospitalized. A total of approximately four grams of cocaine and fentanyl were found in the victim’s car and wallet. As with the Nebraska City couple, a physician specializing in emergency medicine and toxicology reviewed first responder reports and medical records and determined the victim would have been at a substantial risk of death had he not received Narcan. The Lincoln victim later told investigators he bought what he thought was cocaine earlier on the day of his overdose from another person and had used some in his car just prior to his overdose.
The Lincoln victim’s source was arrested with approximately one ounce of cocaine and fentanyl on August 20, 2021, and agreed to talk to law enforcement. The source said it was some of the “bad stuff” causing overdoses and he got it from Weaver one to two weeks prior. The source said he started buying cocaine from Weaver in about June of 2021in quantities ranging from grams to 1/8 ounce at a time. On one occasion, the source saw approximately ½ pound of cocaine in the back of Weaver’s Lincoln restaurant, Granny Weavs. This ½ pound was separated into one-ounce bags, one of which Weaver sold to Roberts. On another occasion, the source saw a bag containing an estimated pound of marijuana hidden behind a vent in the back room of Granny Weavs.
Another cooperating witness told investigators they bought cocaine from Weaver beginning in June of 2021. One purchase of approximately a pound of cocaine occurred at Granny Weavs. The witness said Weaver also rented an apartment in Lincoln, where he sold cocaine and other drugs and collected money owed from customers.
After Weaver was arrested in September of 2021, he was incarcerated with another cooperating witness in the fall of 2022. Weaver talked about his girlfriend who worked for NSP and stole drugs from evidence lockers, including cocaine, fentanyl, marijuana, methamphetamine, and pills. Weaver talked about obtaining a couple of pounds or kilos of each of these drugs, estimated they were worth over a million dollars on the street, and talked about making good money selling these drugs. Weaver told the witness he mixed a little fentanyl with cocaine and methamphetamine because the fentanyl was addictive and would make customers come back.
Weaver’s co-defendant, Idigima, was sentenced for the same offense on July 19, 2023. She was sentenced to 262 months’ imprisonment.
This case was investigated by the Lincoln/Lancaster County Narcotics Task Force (Lincoln Police Department, Lancaster County Sheriff’s Office and UNL Police Department), the Nebraska State Patrol, the Nebraska City Police Department, and the Saline County Sheriff’s Office.
Last of Six Defendants Sentenced to Federal Prison for a Methamphetamine, Fentanyl, and Money Laundering Conspiracy Spanning from California to South DakotaRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Victorville, California, man convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on June 3, 2024.
Terry Morris III, age 24, was sentenced to 15 years in federal prison, followed by five years of supervised release. He was also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Terry Morris Jr., age 41, father of Terry Morris III, was sentenced on November 13, 2023, for his Conspiracy to Distribute a Controlled Substance charge to 33 years and four months in federal prison, followed by five years of supervised release. He was then sentenced on the Conspiracy to Launder Monetary Instruments charge to 20 years in federal prison. Both sentences were ordered to run concurrently with one another, but consecutive to his sentence in California. He was also ordered to pay a $200 special assessment to the Federal Crime Victims Fund.
Morris III and his other five co-conspirators were indicted on charges of Conspiracy to Distribute a Controlled Substance and Conspiracy to Launder Monetary Instruments by a federal grand jury in June of 2023. Morris III pleaded guilty on March 15, 2024.
Morris Jr. orchestrated a drug trafficking organization from his prison cell within the Kern Valley State Prison in California, where he was incarcerated for murder. Using a cell phone which had been smuggled in, Morris Jr. communicated by call, text, and social media with members of his family, to include Terry Morris III, along with numerous other co-defendants from both South Dakota and California, in order to distribute large amounts of methamphetamine and fentanyl in the Sioux Falls, South Dakota area. Morris III was involved in the distribution of approximately 27 pounds of methamphetamine and hundreds of fentanyl pills during his involvement in this conspiracy. Morris Jr. is attributed with distributing at least 200 pounds of methamphetamine and 80,000 fentanyl pills during his involvement in this conspiracy, drugs that were known to be sourced from Mexican cartels.
Others that have been charged as part of this conspiracy include Rigoberto Hernandez, age 32, of Los Angeles, California, who was sentenced on May 1, 2023, to 11 years and eight months in federal prison; Reginald Davis, age 41, also of Los Angeles, was sentenced on May 26, 2023, to 17 years and one month in federal prison; Kessara Mikkelson, age 35, of Sioux Falls, South Dakota, was sentenced on October 30, 2023, to 19 years and seven months in federal prison; Asia Gunhammer, age 31, also of Sioux Falls, was sentenced on October 30, 2023, to 10 years and six months in federal prison. All defendants were also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
This case was investigated by the FBI, Sioux Falls Police Department, and the Minnehaha County Sheriff’s Office. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Morris III was immediately remanded to the custody of the U.S. Marshals Service.
Ketchikan man sentenced to 13 years and 4 months for running child pornography distribution group chatRead the Press Release
JUNEAU, Alaska – A Ketchikan man was sentenced today to 13 years and 4 months in prison for distributing child pornography through a group messaging platform.
According to court documents, Walter William Onstad, 46, was an administrator of a messaging group known as “Anything Goes.” The chat was used exclusively to exchange child pornography, with some of the visuals depicting the sexual abuse of pre-pubescent minors.
Court documents say investigators with the National Center for Missing and Exploited Children received a tip in April 2022 that an individual, later identified as Onstad, sent at least 12 images and videos of child pornography to another user through the messaging platform.
An investigation revealed that Onstad solicited images depicting child sexual abuse from those wanting to enter the “Anything Goes” group chat. The defendant would personally verify the images, upload the images to the group chat and grant access to people who provided them.
As the investigation continued, the defendants cell phone was taken by law enforcement and over 300 images and 40 videos of child sexual abuse were in his possession on the phone. The defendant admitted to being responsible for the possession and distribution of over 600 images. Some of the images he possessed and distributed included the sexual abuse of minors as young as infants and toddlers.
“Mr. Onstad contributed to the victimization of children by running a child sexual abuse material distribution chat and was responsible for sharing hundreds of images of innocent children,” said U.S. Attorney S. Lane Tucker for the District of Alaska. “We will continue to work with law enforcement to relentlessly pursue, arrest and prosecute individuals who traffic images of child sexual abuse and hold them responsible for the incalculable damage they’ve caused.”
“Innocent children are revictimized each time CSAM is distributed,” said Special Agent in Charge Rebecca Day of the FBI Anchorage Field Office. “As an administrator of a CSAM distribution operation, Walter Onstad fueled a market that preys on our most vulnerable. No matter how they commit their crimes, those who sexually exploit children will be pursued and held accountable by the FBI and law enforcement partners, for justice and the safety of our children.”
The Juneau Resident Agency of the FBI Anchorage Field Office, with assistance from the Ketchikan Police Department and North Carolina’s Internet Crimes Against Children (ICAC) Task Force, investigated the case.
Assistant U.S. Attorney Jack Schmidt 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 https://www.justice.gov/psc.
Jury Convicts Brooklyn Man of Illegally Transporting AliensRead the Press Release
SYRACUSE, NEW YORK – Ydenis Adames-Ramos, age 36, a native of the Dominican Republic living in Brooklyn, New York, was convicted today following a three-day jury trial of illegally transporting aliens. United States Attorney Carla B. Freedman and Robert N. Garcia, Chief Patrol Agent of the United States Border Patrol Swanton Sector made the announcement.
The evidence at trial established that, on March 11, 2023, the defendant drove from his home in Brooklyn to Chateaugay, New York, to pick up three individuals who were illegally present in the United States. He then transported those illegal aliens in the Chateaugay, New York area, shortly before being stopped by United States Border Patrol. The defendant intended to drive the aliens to Queens, New York, and then receive a payment of $2,000.
Sentencing is scheduled for October 3, 2024, in Albany, before United States District Judge Anne M. Nardacci. The charge for which the defendant was convicted carries a maximum sentence of 10 years in prison, a fine of up to $250,000.00, and a term of supervised release of up to 3 years. 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 United States Border Patrol investigated the case. Assistant U.S. Attorneys Jessica N. Carbone and Adrian S. LaRochelle are prosecuting the case.
Indian National Admits Defrauding Telephone Providers and Insurance Companies of $9 Million Worth of MerchandiseRead the Press Release
NEWARK, N.J. – An Indian national admitted his role in a conspiracy to defraud various telephone providers and insurance companies of millions of dollars by using stolen or fake identities to submit fraudulent claims for replacement cellular devices and then reselling those devices outside the United States, U.S. Attorney Philip R. Sellinger announced today.
Sandeep Bengera, 36, of Newark, pleaded guilty before U.S. District Judge Madeline Cox Arleo in Newark federal court to a two-count indictment charging him with one count of conspiracy to commit mail fraud and one count of conspiracy to commit interstate transfer of stolen property.
According to documents filed in this case and statements made in court:
From June 2013 through June 2019, Bengera was involved in a widespread scheme to defraud cellular telephone provider and insurance companies using the U.S. mail system, as well as other third-party mail carriers. Bengera and his conspirators used stolen and fake identities to submit false claims of lost, stolen or damaged cellular telephones, as well as other devices, in order to obtain replacement devices. Bengera and his conspirators maintained a network of mailboxes and storage units across the United States, including in New Jersey, where the replacement devices would be shipped and then held before being sold to third parties outside the United States. Bengera admitted the total value of the replacement devices was more than $9 million.
The charge of conspiracy to commit mail fraud carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gain or loss from the offense. The charge of conspiracy to commit interstate transfer of stolen goods carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gain or loss from the offense. Sentencing is scheduled for Oct. 10, 2024.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark and Assistant Director in Charge James Smith in New York; postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Inspector in Charge Christopher A. Nielsen, Philadelphia Division; special agents of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge William S. Walker; officers with Customs and Border Protection, New York Field Office, under the direction of Director of Field Operations Francis J. Russo; and the U.S. Department of State’s Diplomatic Security Service, New York Field Office, under the direction of Acting Special Agent in Charge Kelly Bishop, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Rachelle M. Navarro of the U.S. Attorney’s Office’s Criminal Division in Newark.
bengera.indictment.pdfIllinois Predator Sentenced to 42 Years in Federal Prison for Years of Sexual Abuse of a Young Child he Drugged with MethamphetamineRead the Press Release
INDIANAPOLIS- Zachary Nichols, 31, of Newton, Illinois, has been sentenced to 42 years in federal prison, followed by a lifetime of supervised release, after pleading guilty to two counts of sexual exploitation of a child and one count of permitting or assisting by a parent or guardian in the sexual exploitation of a child.
According to court documents, Zachary Nichols had been in a romantic relationship with a relative of an eleven-year-old child. Beginning in at least 2016, Nichols began sexually abusing the child and recording the abuse. Nichols groomed, sexually abused, and raped the child for years, all while recording and taking photos of the abuse.
Nichols was an active user of methamphetamine and supplied the child with the drug to facilitate some of the sexual abuse. The child is nearly incapacitated because of drug use in some of the child sex abuse material that Nichols created. Nichols continued supplying methamphetamine to the child well into the victim’s teenage years.
On multiple occasions, Nichols forced the child to engage in sexual conduct with Dustin Cox on camera. Cox was Nichols’ drug dealer and was also a registered sex offender at the time. Nichols received drugs in exchange for bringing the child to be sexually abused by Cox. Cox has been charged with Sexual Exploitation of a Child, and Conspiracy to Sexually Exploit a child in a related case. Cox has filed a petition to plead guilty, and guilty plea and sentencing hearing will be scheduled at a later date.
On August 25, 2022, Nichols was arrested in Illinois. A court-authorized search of his phone and Google account showed multiple image and video files depicting Nichols sexually abusing the child.
The FBI and the Indianapolis Metropolitan Police Department investigated this case. The sentence was imposed by U.S. District Court Judge James R. Sweeney II. Judge Sweeney also ordered that Nichols must pay $20,000 in restitution to the victim.
“For years, Zachary Nichols sexually abused a child entrusted in his care in the most horrific of ways: so utterly depraved he traded his victim’s body for meth and pushed the drug on the innocent child. Nichols inflicted the worst childhood traumas imaginable, and the harms will echo for the rest of the victim’s life,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana “There is no place in a civilized society for men like this. Thanks to the talent and dedication of the team at the FBI, our law enforcement partners, and our federal prosecutor, children will be safe from this man for many, many years.”
“This sentence clearly demonstrates the gravity of the defendant’s heinous actions and ensures he will be behind bars for years to come and unable to perpetrate such depravity on another child,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “The FBI and our law enforcement partners will continue to aggressively pursue and hold accountable those who engage in these crimes.”
U.S. Attorney Myers thanked Assistant U.S. Attorney Tiffany J. Preston, who prosecuted this 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. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims.
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Georgia Woman Sentenced in South Dakota Drug and Money Laundering ConspiracyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Decatur, Georgia, woman convicted of Conspiracy to Distribute a Controlled Substance and Conspiracy to Launder Monetary Instruments. The sentencing took place on June 3, 2024.
Julia Precious Ballansaw, 21, was sentenced on the count of Conspiracy to Distribute a Controlled Substance to five years and 10 months in federal prison, followed by three years of supervised release. She was then sentenced on the count of Conspiracy to Launder Monetary Instruments to five years and 10 months in federal prison, followed by three years of supervised release, each sentence to run concurrently with one another. She was also ordered to pay a $200 special assessment to the Federal Crime Victims Fund.
Ballansaw was indicted for Conspiracy to Distribute a Controlled Substance and Conspiracy to Launder Monetary Instruments by a federal grand jury in October of 2023. She pleaded guilty on March 14, 2024.
Ballansaw obtained methamphetamine from a co-conspirator in California and then transported it back to another co-conspirator in South Dakota in order for it to be further distributed. Ballansaw also obtained methamphetamine from another co-conspirator in South Dakota and distributed it to others within South Dakota. Additionally, Ballansaw and others conducted wire transfers at financial institutions of funds that were derived from the sale of controlled substances in South Dakota, in order to send the money to co-conspirators in California.
This case was investigated by Homeland Security Investigations, Internal Revenue Service-Criminal Investigations, Sioux Falls Police Department, and the South Dakota Division of Criminal Investigation. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Ballansaw was immediately remanded to the custody of the U.S. Marshals Service.
Gang Leader and Two Gang Members Sentenced to Life in PrisonRead the Press Release
The leader and two members of a violent criminal gang in the U.S. Virgin Islands (USVI) were sentenced yesterday to life in prison for their roles in a racketeer influenced and corrupt organization (RICO).
According to court documents and evidence produced at trial, Paul Girard, also known as Bogus, 36, of St. Croix, USVI, was the leader of the gang. In that role, Girard ordered shootings against rival gang members, as well as individuals he believed had stolen from or otherwise disrespected the gang. Girard planned several armed robberies that his crew executed, including those at several jewelry stores located in St. Thomas. Most of the criminal activity was orchestrated by Girard from prison, where he was serving sentences for multiple prior criminal convictions.
Tyler Eugene, also known as Lucc, 26, of St. Croix, committed acts of violence on behalf of the gang and at Girard’s direction, including murdering a rival gang member outside a convenience store. Kareem Harry, also known as Crumbull, 36, also of St. Croix, participated in the murder of a victim who was believed to have stolen money from the Girard gang and separately set up the shooting death of a rival gang member outside of the victim’s child’s daycare.
Six additional defendants, all of St. Croix except for Wayne Bellille, who is of St. Thomas, USVI, have already pleaded guilty to various racketeering charges and have been sentenced. Below is each defendant’s sentence for the following convictions:
Defendant
In-Custody Sentence
Conviction
Paul Girard
Life, plus 47 years
RICO conspiracy; VICAR murder; VICAR kidnapping; VICAR attempted murder; use of firearm to cause death during a crime of violence; Hobbs Act Robbery
Tyler Eugene
Life, plus 30 years
RICO conspiracy; VICAR murder; VICAR attempted murder; use of firearm to cause death during a crime of violence
Kareem Harry
Life, plus 20 years
RICO conspiracy, VICAR murder; VICAR kidnapping; use of firearm to cause death during a crime of violence
Shaquielle Correa
17 years, six months
RICO conspiracy
James Cruz
12 years
RICO conspiracy
Shermyra Gumbs
Eight years, four months
RICO conspiracy
Wahilli James
Six years
RICO conspiracy
Wayne Bellille
Four years, nine months
RICO conspiracy
Etherneal Simon
Two years, 10 months
RICO conspiracy and money laundering
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Delia L. Smith for the District of the U.S. Virgin Islands; Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division; and Special Agent in Charge Joseph Gonzalez of the FBI San Juan Field Office made the announcement.
The FBI San Juan Field Office’s St. Thomas and St. Croix Resident Agencies and Virgin Islands Police Department investigated the case. This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation.
Trial Attorney Christopher Taylor of the Criminal Division’s Violent Crime and Racketeering Section, Trial Attorney Marie Zisa of the Criminal Division’s Human Rights and Special Prosecutions Section, and Assistant U.S. Attorney Meredith Edwards, formerly of the U.S. Attorney’s Office for the District of the Virgin Islands, prosecuted the case.
Forty-Seven Defendants Charged in Imperial Valley Takedown of Drug Trafficking Network Linked to Sinaloa CartelRead the Press Release
NEWS RELEASE SUMMARY – June 5, 2024
EL CENTRO – Fourteen indictments were unsealed in federal court today charging 47 alleged members of an Imperial Valley-based, Sinaloa Cartel-linked fentanyl-and-methamphetamine distribution network with drug trafficking, firearms and money laundering offenses.
In a coordinated takedown this morning, more than 400 federal, state, and local law enforcement officials arrested 36 defendants and executed 25 search warrants in Imperial County, San Diego, Fresno, Los Angeles, Phoenix and Salem, Oregon. As of this afternoon, the search continues for 11 fugitives.
Including seizures today and throughout the long-term investigation, authorities have confiscated more than four kilograms of fentanyl, which amounts to about two million potentially fatal doses; more than 324 kilograms (over 714 pounds) of methamphetamine; significant quantities of cocaine and heroin; and 52 firearms, including handguns and rifles.
The investigation also resulted in the arrest of Alexander Grindley for alleged methamphetamine trafficking while employed as a U.S. Border Patrol agent, and multiple spin-off investigations in this district and others.
Crimes charged in the indictments include drug trafficking, money laundering and gun-related offenses. Court documents indicated the defendants were operating throughout the Imperial Valley—in Brawley, El Centro, Westmoreland, Imperial, Calexico, Niland, Holtville, Calipatria—and in Mexicali, Mexico.
“With this takedown, the Justice Department has dealt yet another blow to the Sinaloa Cartel and its associates,” said Attorney General Merrick B. Garland. “I am grateful to the more than 400 law enforcement officers whose work in this operation resulted in dozens of arrests, charges against 47 defendants, and the seizure of firearms, meth, cocaine, heroin, and two million potentially lethal doses of fentanyl. We will continue to be relentless in our fight to protect American communities from the cartels.”
“This investigation tore apart a drug trafficking network responsible for supplying dealers in communities across the region,” said U.S. Attorney Tara McGrath. “But there is still much work to be done. If you’re a parent, and today’s price of fentanyl terrifies you, talk to your kids about the dangers of drug use. If you’re an addict, and your dealer was arrested today, seek treatment. And if you’re a dealer but your supplier was arrested today, look out – we are coming for you next.”
“The Department of Homeland Security and our federal, state and local partners are unrelenting in our work to keep deadly fentanyl off our streets and bring those who traffic in it to justice,” said Secretary of Homeland Security Alejandro N. Mayorkas. “The indictments unsealed today are the direct result of our multipronged and coordinated law enforcement approach – one that utilizes all of our government’s resources and capabilities. Together, we are preventing fentanyl and other deadly drugs from being produced, distributed, or consumed, and saving countless lives.”
“Today’s coordinated operation, involving, over 400 federal, state, and local law enforcement officials, marks a decisive blow against an Imperial Valley-based, Sinaloa Cartel-linked distribution network and significantly disrupts the flow of dangerous drugs into our communities,” said Katrina W. Berger, Executive Associate Director for Homeland Security Investigations. “This operation is a testament to the power of law enforcement collaboration and our unwavering commitment to bringing these criminals to justice.”
“Today, the El Centro Border Patrol Sector teamed with allied law enforcement agencies to support both Homeland Security Investigations and the United States Attorney’s Office of San Diego in this operation,” said El Centro Sector Chief Gregory Bovino. “Our successful collaboration should be a reminder to criminal organizations in the Imperial Valley and elsewhere that justice will be served.”
“This operation shows what can be accomplished when there is collaboration between federal and local law enforcement agencies,” said Imperial County District Attorney George Marquez. “The Imperial County District Attorney’s office will continue to work together with our partners to bring to justice those that harm or are a danger to our community.”
According to the indictments and search warrants, the defendants belonged to various trafficking organizations that were part of an extensive network supplying all of Imperial County and beyond with dangerous drugs.
According to court records, on June 30, 2021, agents seized two pounds of methamphetamine and a cache of ghost guns and ammunition, including: 15 lower receivers, three upper receivers, multiple barrels and stocks, 18 magazines, 40 Luger 9mm rounds and approximately 400 rounds of .223 Red Army ammunition, which are made in Russia. None of the firearms or firearm parts had any identifying serial numbers or markings. They were all ghost guns. Wiretap intercepts showed that defendant Cory Gershen supplied other members of the organization with ghost guns in exchange for methamphetamine. The investigation also revealed the assault rifles (depicted below) were destined for the organization’s source of supply in Mexico.
Multiple AR-style firearms, parts, pistols, magazines, unfinished firearm parts used to create ghost guns, and a cache of Russian made ammunition.
On June 30, 2021, agents seized additional ghost guns, ammunition and methamphetamine from another member of the same drug trafficking organization. Specifically, agents seized two AR-style ghost guns and a Colt .380 semiautomatic handgun and additional Russian rifle ammunition from defendant Guadalupe Molina-Flores, one of the alleged members of the trafficking organization. According to a search warrant, after seizing the firearms, agents searched Molina-Flores’ residence and found 309.4 grams (0.68 pounds) of methamphetamine.
Two more AR-style rifles, a pistol, magazines, and Russian made ammunition. Notably, these were exchanged for drugs.
Fentanyl continues to be a prolific killer. Imperial County experienced 24 opioid-related overdose deaths in 2022, the most recent full year of data available from the California Department of Public Health. The annual mortality rate for 2022 was 13.57 deaths per 100,000 residents—an increase of 41 percent over 2021.
The investigation revealed that the price per fentanyl pill has plummeted. For example, in June 2021, targets of the investigation were obtaining fentanyl pills in Imperial Valley at approximately $1.65 to $1.75 per pill. By December 2021, the prices being discussed had dropped to approximately $1.25 per pill. By May 2024, the same pills were being sold at only 45 cents per pill—less than one-third of the price three years earlier. The precipitous drop in price reflects the increased supply and availability of fentanyl being smuggled into the United States and the close ties between targets of this investigation and their Sinaloa Cartel supplier of fentanyl pills.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
*An indictment, complaint or information in a search warrant is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
DEFENDANT Case Number 24cr0455-CAB
Maria Isabel Ferrat 34 Brawley, CA
SUMMARY OF CHARGES
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Maximum Penalties: Twenty years in prison and a $1 million fine.
DEFENDANTS Case Number 24cr0456-CAB
*Guadalupe Molina-Flores, AKA “Lupe” 43 Westmoreland, CA
Stephanie Joann Hernandez, AKA “JoJo” 42 El Centro, CA
*Emmanuel Becerra, AKA “E-Man” 36 Westmorland, CA
Jeremy Clayton Harris, Sr. 44 El Centro, CA
Jack Daniel Myers 41 Westmorland, CA
Cory Gershen 36 Jacumba, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine, Fentanyl and Heroin (21 U.S.C. §§ 841, 846)
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Felon in Possession of Ammunition (18 U.S.C. § 922(g)(1))
Using, Carrying or Possession of Firearm in Commission of a Drug Trafficking Crime
(18 U.S.C. 924(c)(1)(A)(i))Maximum Penalties: For conspiracy charge and possession with intent to distribute methamphetamine charges: Life in prison with a mandatory minimum of 10 years and a $10 million fine. For felon in possession of ammunition charge: Ten years in prison and a $250,000 fine. For using, carrying or possession of firearm in commission of a drug trafficking crime: Five years in prison mandatory consecutive to the related drug trafficking offense and $250,000 fine.
DEFENDANTS Case Number 24cr0504-CAB
Eduardo Mendoza, AKA “Casper” 31 Niland, CA
Francisco Javier Mendoza, AKA “Pancho” 33 Niland, CA
Carlos Cezar Mendoza 36 Yuma, AZ
Christopher John Coffman 59 Brawley, CA
Daniel Estevan Mendoza 30 Brawley, CA
Tyran Malik Sullivan 40 Brawley, CA
Katelyn Singh 32 Holtville, CA
Cynthia Diaz 35 Imperial, CA
Robert Leroy Humble 49 Brawley, CA
Terry Kyle Christiansen 52 Imperial, CA
Melvin Betha 25 Niland, CA
*Dylan Gutierrez 24 Calexico, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine and Fentanyl (21 U.S.C. §§ 841, 846)
Maximum Penalties: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
DEFENDANT Case Number 24cr0849-CAB
*Maricela Selk 47 Brawley, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine (21 U.S.C. §§ 841, 846)
Maximum Penalties: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
DEFENDANT Case Number 24cr0854-CAB
Christopher Landon Bustin 40 Chula Vista, CA
SUMMARY OF CHARGES
Possession with Intent to Distribute Methamphetamine (21 U.S.C. §§ 841, 846)
Felon in Possession of Firearm and Ammunition (18 U.S.C. § 922(g)(1))
Maximum Penalties: For possession with intent to distribute methamphetamine charges: Life in prison with a mandatory minimum of 10 years and a $10 million fine. For felon in possession charge: Ten years in prison and a $250,000 fine
DEFENDANT Case Number 24cr0855-CAB
Ernie David Davila 43 Holtville, CA
SUMMARY OF CHARGES
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Maximum Penalties: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
DEFENDANT Case Number 24cr0856-CAB
*Karla Franco 42 Los Angeles, CA
Frederick Joseph McKenna, AKA “Downer” 32 Pico Rivera, CA
Gabino Mora 31 Pico Rivera, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine (21 U.S.C. §§ 841, 846)
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Maximum Penalties: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
DEFENDANT Case Number 24cr0857-CAB
Alexander Bennet Grindley 53 Brawley, CA
SUMMARY OF CHARGES
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Maximum Penalties: Twenty years in prison and a $1 million fine.
DEFENDANT Case Number 24cr0858-CAB
Robert Thomas Isaac, AKA “RT” 48 Brawley, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine, Heroin and Fentanyl (21 U.S.C. §§ 841, 846)
Maximum Penalties: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
DEFENDANT Case Number 24cr0909-TWR
*Bryan Ayala Alvarez, AKA “Pingo” 41 Brawley, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine (21 U.S.C. §§ 841, 846)
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Maximum Penalties: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
DEFENDANT Case Number 24cr0910-CAB
*Alfred Aldapa Juarez, Jr. 32 Brawley, CA
SUMMARY OF CHARGES
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Maximum Penalties: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
DEFENDANT Case Number 24cr0911-CAB
*Pedro Alberto Rioseco, AKA “Pete” 42 Calexico, CA
Jesus Antonio Escoto-Troncozo, AKA “Chocho” 45 El Centro, CA
SUMMARY OF CHARGES
Conspiracy to Distribute Methamphetamine (21 U.S.C. §§ 841, 846)
Possession with Intent to Distribute Methamphetamine (21 U.S.C. § 841(a)(1))
Felon in Possession of Firearm and Ammunition (18 U.S.C. § 922(g)(1))
Using, Carrying or Possession of Firearm in Commission of a Drug Trafficking Crime
(18 U.S.C. 924(c)(1)(A)(i))Maximum Penalties: For conspiracy charge and possession with intent to distribute methamphetamine charges: Life in prison with a mandatory minimum of 10 years and a $10 million fine. For felon in possession of ammunition charge: Ten years in prison and a $250,000 fine. For using, carrying or possession of firearm in commission of a drug trafficking crime: Five years in prison mandatory consecutive to the related drug trafficking offense and $250,000 fine.
DEFENDANTS Case Number 24cr00093-RSH
Sergio Reyes-Green 32 Brawley, CA
James Wade Hanks 53 Brawley, CA
Jesus Fernardo Romero, AKA “Chuy” 28 (In Custody)
Yomayra Patricia Penuelas 37 El Cajon, CA
SUMMARY OF CHARGES
Conspiracy to Import Methamphetamine (21 U.S.C. §§ 952, 960, 963)
Importation of Methamphetamine (21 U.S.C. §§ 952, 960)
Aiding and Abetting (18 U.S.C. § 2)
Conspiracy to Launder Money (21 U.S.C. § 1956(h), 1956(a)(2)(A) and (a)(2)(B))
Maximum Penalties: For methamphetamine charges: Life in prison with a mandatory minimum of 10 years and a $10 million fine. For the money laundering charges: Twenty years in prison and a fine of $500,000 or twice the amount of criminal derived property, whichever is greater.
DEFENDANTS Case Number 24cr00094-RSH
Mario Alberto Urena, AKA “Vaca” 34 Brawley, CA
Pablo Enrique Trejo, AKA “Bolas” 45 Calexico, CA*Carlos Felipe Ruedas-Celaya 45 Calexico, CA
Estevan Ramirez Gonzalez 26 Phoenix, AZ
*Francisco Javier Ramirez-Garcia, AKA “Pitufo” 56 Calexico, CA
*Javier Jacquez 48 Calexico, CA
Araceli Rangel-Torres 28 Mexicali, Mexico
Miguel Angel Flores 31 Fresno, CA
Carlos Valencia Mendoza 29 Mexicali, MexicoSUMMARY OF CHARGES
Conspiracy to Distribute Fentanyl (21 U.S.C. §§ 841, 846)
Conspiracy to Distribute Methamphetamine (21 U.S.C. §§ 841, 846)
Conspiracy to Possess with Intent to Distribute Methamphetamine (21 U.S.C. §§ 841, 846)Possession with Intent to Distribute Controlled Substances (21 U.S.C. § 841(a)(1))
Aiding and Abetting (18 U.S.C. § 2)
Conspiracy to Launder Money (21 U.S.C. § 1956(h), 1956(a)(2)(A) and (a)(2)(B))
Maximum Penalties:
For conspiracy charges: Life in prison with a mandatory minimum of 10 years and a $10 million fine.
For the possession with intent to distribute methamphetamine charges (except Count 3): Life in prison with a mandatary minimum of 10 years and a $10 million fine.
For the possession with intent to distribute methamphetamine charge in Count 3: Forty years in prison with a mandatory minimum of five years and a $5 million fine.
For the money laundering charges: Twenty years in prison and a fine of $500,000 or twice the amount of criminal derived property, whichever is greater.
*Fugitives
AGENCIES
Homeland Security Investigations
Drug Enforcement Administration
Department of Justice, Organized Crime Drug Enforcement Task Forces
Department of Justice Office of Enforcement Operations
United States Border Patrol
U.S. Customs and Border Protection - Office of Field Operations
U.S. Customs and Border Protection - Air and Marine Operations
ICE Enforcement and Removal Operations
Bureau of Alcohol, Tobacco Firearms and Explosives
United States Postal Inspection Service
DHS Office of Inspector General
California Department of Corrections and Rehabilitation
California Highway Patrol
Brawley Police Department
El Centro Police Department
Calexico Police Department
Imperial County Sheriff’s Office
Imperial County District Attorney’s Office
Imperial County Probation Department
Imperial Police Department
Westmorland Police Department
Calipatria Police Department
Imperial Valley - Law Enforcement Coordination Center
Imperial County Child Protective Service
San Diego County Sheriff’s Office
United States Marshals Service
Forty-Seven Defendants Charged in Imperial Valley Takedown of Drug Trafficking Network Linked to Sinaloa CartelRead the Press Release
Fourteen indictments were unsealed today charging 47 alleged members of an Imperial Valley, California-based, Sinaloa Cartel-linked fentanyl-and-methamphetamine distribution network with drug trafficking, firearms, and money laundering offenses.
In a coordinated takedown this morning, more than 400 federal, state, and local law enforcement officials arrested 36 defendants and executed 25 search warrants in Imperial County; San Diego; Fresno, California; Los Angeles; Phoenix; and Salem, Oregon. As of this afternoon, the search continues for 11 fugitives.
Including seizures today and throughout the long-term investigation, authorities have confiscated more than four kilograms of fentanyl, which amounts to about two million potentially fatal doses; more than 324 kilograms (over 714 pounds) of methamphetamine; significant quantities of cocaine and heroin; and 52 firearms, including handguns and rifles.
The investigation also resulted in the arrest of Alexander Grindley for alleged methamphetamine trafficking while employed as a U.S. Border Patrol agent and multiple spin-off investigations in this district and others.
Crimes charged in the indictments include drug trafficking, money laundering, and gun-related offenses. Court documents indicated the defendants were operating throughout the Imperial Valley — in Brawley, El Centro, Westmoreland, Imperial, Calexico, Niland, Holtville, Calipatria — and in Mexicali, Mexico.
“With this takedown, the Justice Department has dealt yet another blow to the Sinaloa Cartel and its associates,” said Attorney General Merrick B. Garland. “I am grateful to the more than 400 law enforcement officers whose work in this operation resulted in dozens of arrests, charges against 47 defendants, and the seizure of firearms, meth, cocaine, heroin, and two million potentially lethal doses of fentanyl. We will continue to be relentless in our fight to protect American communities from the cartels.”
“The Department of Homeland Security and our federal, state, and local partners are unrelenting in our work to keep deadly fentanyl off our streets and bring those who traffic in it to justice,” said Secretary of Homeland Security Alejandro N. Mayorkas. “The indictments unsealed today are the direct result of our multipronged and coordinated law enforcement approach — one that utilizes all of our government’s resources and capabilities. Together, we are preventing fentanyl and other deadly drugs from being produced, distributed, or consumed, and saving countless lives.”
“This investigation tore apart a drug trafficking network responsible for supplying dealers in communities across the region,” said U.S. Attorney Tara McGrath for the Southern District of California. “But there is still much work to be done. If you’re a parent and today’s price of fentanyl terrifies you, talk to your kids about the dangers of drug use. If you’re an addict and your dealer was arrested today, seek treatment. And if you’re a dealer but your supplier was arrested today, look out – we are coming for you next.”
“Today’s coordinated operation, involving, over 400 federal, state, and local law enforcement officials, marks a decisive blow against an Imperial Valley-based, Sinaloa Cartel-linked distribution network and significantly disrupts the flow of dangerous drugs into our communities,” said Acting Special Agent in Charge Chris Davis of Homeland Security Investigations, San Diego. “This operation is a testament to the power of law enforcement collaboration and our unwavering commitment to bringing these criminals to justice.”
“Today, the El Centro Border Patrol Sector teamed with allied law enforcement agencies to support both Homeland Security Investigations and the U.S. Attorney’s Office for the Southern District of California in this operation,” said Chief Gregory Bovino of the U.S. Border Patrol’s El Centro Sector. “Our successful collaboration should be a reminder to criminal organizations in the Imperial Valley and elsewhere that justice will be served.”
“This operation shows what can be accomplished when there is collaboration between federal and local law enforcement agencies,” said Imperial County District Attorney George Marquez. “The Imperial County District Attorney’s office will continue to work together with our partners to bring to justice those that harm or are a danger to our community.”
According to the indictments and search warrants, the defendants belonged to various trafficking organizations that were part of an extensive network supplying all of Imperial County and beyond with dangerous drugs.
According to court records, on June 30, 2021, agents seized two pounds of methamphetamine and a cache of ghost guns and ammunition, including: 15 lower receivers, three upper receivers, multiple barrels and stocks, 18 magazines, 40 Luger 9mm rounds, and approximately 400 rounds of .223 Red Army ammunition, which are made in Russia. None of the firearms or firearm parts had any identifying serial numbers or markings. They were all ghost guns. Wiretap intercepts showed that defendant Cory Gershen supplied other members of the organization with ghost guns in exchange for methamphetamine. The investigation also revealed the assault rifles (depicted below) were destined for the organization’s source of supply in Mexico.
On June 30, 2021, agents seized additional ghost guns, ammunition, and methamphetamine from another member of the same drug trafficking organization. Specifically, agents seized two AR-style ghost guns and a Colt .380 semiautomatic handgun, and additional Russian rifle ammunition from defendant Guadalupe Molina-Flores, one of the alleged members of the trafficking organization. According to a search warrant, after seizing the firearms, agents searched Molina-Flores’ residence and found 309.4 grams (0.68 pounds) of methamphetamine.
Fentanyl continues to be a prolific killer. Imperial County experienced 24 opioid-related overdose deaths in 2022, the most recent full year of data available from the California Department of Public Health. The annual mortality rate for 2022 was 13.57 deaths per 100,000 residents — an increase of 41% over 2021.
The investigation revealed that the price per fentanyl pill has plummeted. For example, in June 2021, targets of the investigation were obtaining fentanyl pills in Imperial Valley at approximately $1.65 to $1.75 per pill. By December 2021, the prices being discussed had dropped to approximately $1.25 per pill. By May, the same pills were being sold at only 45 cents per pill — less than one-third of the price three years earlier. The precipitous drop in price reflects the increased supply and availability of fentanyl being smuggled into the United States and the close ties between targets of this investigation and their Sinaloa Cartel supplier of fentanyl pills.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
An indictment, complaint, or information is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Utah Movie Producer Found Guilty of Tax CrimesRead the Press Release
A federal jury convicted a Utah man yesterday of tax evasion and forcibly retaking property that had been seized by the government to pay his outstanding tax debt.
According to court documents and evidence presented at trial, Paul Kenneth Cromar owned a home in Cedar Hills, Utah, and operated Blue Moon Productions LLC, a freelance film and media production company. From 1999 through 2005, Cromar did not file any federal income tax returns or pay any tax. In 2007, the IRS conducted an audit and assessed him with $703,266.96 in taxes, interest and penalties. After Cromar failed to make any payments towards his outstanding debt, the government filed a civil suit in federal court to foreclose on his home to satisfy his outstanding tax debt.
After several court proceedings in which Cromar participated, a federal judge ordered that his home be sold at auction and the proceeds used to pay off some of the taxes he owed. Cromar then attempted to stop the sale by filing bogus documents on the property’s title and with the IRS, intimidating potential purchasers or investors for the home and harassing IRS personnel by filing frivolous lawsuits against them personally.
Shortly before the court-ordered sale closed, Cromar forcibly broke into the home and attempted to reclaim it. With the help of others, he occupied the home unlawfully for five months, fortifying it with weapons, sandbags and wooden boards tactically placed throughout the house.
Through his criminal conduct, Cromar caused a total tax loss to the IRS of $1,174,201.91.
The jury convicted Cromar of one count of tax evasion and one count of forcibly rescuing seized property. He was acquitted of attempting to interfere with the administration of internal revenue laws.
Cromar is scheduled to be sentenced at a later date and faces a maximum penalty of five years in prison for tax evasion and two years in prison for forcibly retaking seized property. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, U.S. Attorney Trina A. Higgins for the District of Utah and Acting Special Agent in Charge Carissa Messick of the IRS Criminal Investigation (IRS-CI)’s Phoenix Field Office made the announcement.
IRS-CI and the Treasury Inspector General for Tax Administration investigated the case. The FBI assisted in locating and apprehending Cromar who had been a fugitive from justice in a related Utah state court criminal matter since August 2022.
Trial Attorneys Meredith Havekost and Patrick Burns of the Justice Department’s Tax Division and Assistant U.S. Attorney Mark Woolf for the District of Utah are prosecuting the case.