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29 May 2024
Armed, Violent Felon Sentenced to over 10 Years in Federal Prison for Trafficking Guns, Crack, and Meth out of Anderson HomeRead the Press Release
INDIANAPOLIS- Richard Hatchett, 46, of Anderson, has been sentenced to 130 months in federal prison, followed by four years of supervised release, after pleading guilty to unlawful possession of a firearm by a convicted felon, distribution of cocaine, distribution of methamphetamine, and carrying a firearm in relation to a drug trafficking crime.
According to court documents, on three occasions in January 2023, Hatchett sold cocaine to individuals out of his home in Anderson, a total of approximately 9.8 grams of cocaine base, also known as “crack cocaine.” During two of those drug deals, Hatchett also sold the buyer two 9mm semiautomatic handguns. One of the firearms sold by Hatchett had been previously stolen. On the third occasion, Hatchett carried a Glock 9mm handgun in his waist band.
On January 30, 2023, Hatchett sold 14.92 grams of pure methamphetamine to an individual at his home.
On February 14, 2023, ATF agents executed a search warrant at Hatchett’s home and located two guns, high-capacity magazines, micro conversion kits, ammunition, crack cocaine, a digital scale, US currency, and other drug paraphernalia.
Hatchett has sustained previous felony convictions for crimes including murder and burglary in Illinois. Hatchett committed the murder when he was just fifteen years old and has spent the vast majority of his life in prison, on probation, or on parole. His felony convictions prohibit him from ever legally possessing a firearm under state and federal law.
“Even after serving a sentence for murder, this defendant has shown his utter unwillingness to abide by the law. Violent, armed drug traffickers are a menace to our community, and must be held accountable,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “Our office is committed to working closely with our partners at the ATF, Anderson Police, and throughout federal, state, and local law enforcement, to make our communities safer by investigating and prosecuting repeat, violent criminals. Thanks to their efforts, the public will be safe from further crimes by this man for many years.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives, assisted by the Anderson Police Department, investigated this case. The sentence was imposed by U.S. District Court Judge James R. Sweeney.
U.S. Attorney Myers thanked Assistant United States Attorney Patrick Gibson, who prosecuted this case.
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Aldi Executive and Southern Illinois Contractor Plead Guilty to Rigging Construction Project BidsRead the Press Release
EAST ST. LOUIS, Ill. – A former Aldi executive and a general contractor from Breese, Illinois, admitted guilt to federal fraud offenses which involved rigging the bid system for construction projects of grocery stores throughout southern Illinois and Missouri.
Louis R. Ross, Sr., 64, of St. Louis, pleaded guilty to one count of conspiracy to commit mail and wire fraud, four counts of mail fraud and four counts of wire fraud. Donald E. Schniers, 73, pleaded guilty to one count of conspiracy to commit mail and wire fraud, one count of mail fraud and one count of wire fraud.
“By colluding in the bid process, the co-defendants enriched themselves by defrauding Aldi out of millions of dollars,” said U.S. Attorney Rachelle Aud Crowe.
According to court documents, Ross was the Director of Real Estate for Aldi’s O’Fallon, Missouri, Division, and Schniers owned C. Juengel Company out of Breese, Illinois. Schniers, through C. Juengel, provided general contracting services including construction and renovation to Aldi stores within Ross’s division.
From at least February 2014 through March 2018, Ross and Schniers conspired to create a faux competitive bidding environment for construction projects. Schniers admitted to completing false bid forms under the guise of other construction companies without their knowledge or consent.
“In his attempt for personal gain, Louis Ross’s actions undermined competitive contracting practices, which in turn affect the price consumers pay for goods and services,” said FBI Springfield Field office Acting Special Agent in Charge Joe Rodriguez. “The FBI, along with our law enforcement partners, prioritizes efforts to expose corruption and investigate illegal practices.”
The fictitious bids always included higher amounts than C. Juengel’s, which led to C. Juengel being awarded the projects. Using the rigged bidding system, C. Juengel was awarded 12 contracts for general contractor services valued at approximately $20 million.
Ross and Schniers also manipulated the bidding process by altering legitimate bids submitted by another construction company. Due to the stifled competition, Aldi overpaid for the projects and suffered an approximate loss greater than $2.8 million.
“The U.S. Postal Inspection Service is charged with defending the nation’s mail system from illegal use. With the collaborative efforts of our federal law enforcement partners, Postal Inspectors investigate fraudsters who utilize the U.S. Mail to perpetuate financial schemes to defraud others in order to enrich themselves. Postal Inspectors seek justice for victims, including the multiple individual consumer and business victims in this investigation,” said Inspector in Charge Ruth Mendonça who leads the Chicago Division of the U.S. Postal Inspection Service, which includes the St. Louis Field Office.
For his role in the conspiracy, Schniers paid Ross monthly kickbacks totaling $554,000 from C. Juengel’s bank account.
Under the sentencing guidelines, each of the counts carry a maximum term of 20 years’ imprisonment. Ross’s sentencing hearing is scheduled for 1:30 p.m. on Oct. 16 and Schniers’s sentencing hearing is scheduled for 10:30 a.m. on Oct. 17, both at the federal courthouse in East St. Louis.
The FBI Springfield and St. Louis Field Offices and the St. Louis Field Office of the U.S. Postal Inspection Service are contributing to the investigation.
Assistant U.S. Attorney Zoe Gross with the Southern District of Illinois and Trial Attorney Andrew Rosa with the Department of Justice, Antitrust Division, Chicago Office are prosecuting the case.
96-Month Sentence for Maryland Man Who Distributed Thousands of Fentanyl PillsRead the Press Release
WASHINGTON – Edward Steven Monge, 23, of Beltsville, Maryland, was sentenced today to 96 months in prison for participating in a fentanyl distribution conspiracy in which he sold at least 4,500 pills.
The sentence was announced U.S. Attorney Matthew M. Graves, Drug Enforcement Administration Special Agent in Charge Jarod Forget of the Washington Division, Chief Marcus G. Jones of the Montgomery County Police Department, and Chief Pamela Smith of the Metropolitan Police Department (MPD).
Monge pleaded guilty in the District of Columbia on January 30, 2024, to an information charging him with conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl. In addition to the prison term, U.S. District Judge Ana C. Reyes ordered Monge to serve four years of supervised release.
According to the government’s evidence, between February and August 2023 Monge sold more than 4,500 pills containing fentanyl to Jennifer Echeverria Flores, 26, of Silver Spring, MD. Echeverria Flores then sold the pills to a DEA undercover agent on five separate occasions between February 17 and July 19, 2023, in the District and Maryland. The pills were blue, marked “M” on one side, and “30” on the other. The total approximate weight of the pills was 479 grams. These pills were designed to look like authentic oxycodone “M30” pills, but instead contained fentanyl. In addition to the pills Monge distributed with Flores, he distributed thousands more fentanyl pills to other re-distributors and clients during this period.
On August 3, 2023, law enforcement arrested Monge in Hyattsville, MD, and found him carrying about 1,102 identical fentanyl pills. As part of the plea agreement, Monge also admitted that he possessed a firearm in connection with his unlawful distribution of fentanyl. Echeverria Flores pleaded guilty in December to the drug conspiracy charge. Monge’s co-conspirator Mynor Josue Fernandez Alfaro was indicted in March for his role in this conspiracy, and his case is ongoing.
This investigation 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.
This investigation additionally was an effort of Montgomery County Police under the Maryland Criminal Intelligence Network (MCIN). MCIN was launched in 2017 and provides grant funding and strategic support through the Office of Crime Prevention, Youth, and Victim Services to MCIN member sites to identify, disrupt, and dismantle criminal organizations through inter-agency collaboration and data sharing to make Maryland safer. The Governor’s Office of Crime Prevention, Youth, and Victim Services funded this project.
This matter was investigated by the DEA – Washington Division. Valuable assistance was provided by Homeland Security Investigations. It was prosecuted by Trial Attorney Gaelin Bernstein of the Department of Justice’s Criminal Division and Assistant U.S. Attorney David T. Henek, of the Violence Reduction and Trafficking Offenses section. Valuable assistance was provided by former Special Assistant U.S. Attorneys Jordan Leiter and Javier Urbina.
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911 S5 Botnet Dismantled and Its Administrator Arrested in Coordinated International OperationRead the Press Release
Remote video URL
A court-authorized international law enforcement operation led by the U.S. Justice Department disrupted a botnet used to commit cyber attacks, large-scale fraud, child exploitation, harassment, bomb threats, and export violations.As part of this operation, YunHe Wang, 35, a People’s Republic of China national and St. Kitts and Nevis citizen-by-investment, was arrested on May 24 on criminal charges arising from his deployment of malware and the creation and operation of a residential proxy service known as “911 S5.”
According to an indictment unsealed on May 24, from 2014 through July 2022, Wang and others are alleged to have created and disseminated malware to compromise and amass a network of millions of residential Windows computers worldwide. These devices were associated with more than 19 million unique IP addresses, including 613,841 IP addresses located in the United States. Wang then generated millions of dollars by offering cybercriminals access to these infected IP addresses for a fee.
“This Justice Department-led operation brought together law enforcement partners from around the globe to disrupt 911 S5, a botnet that facilitated cyber-attacks, large-scale fraud, child exploitation, harassment, bomb threats, and export violations,” said Attorney General Merrick B. Garland. “As a result of this operation, YunHe Wang was arrested on charges that he created and operated the botnet and deployed malware. This case makes clear that the long arm of the law stretches across borders and into the deepest shadows of the dark web, and the Justice Department will never stop fighting to hold cybercriminals to account.”
“Working with our international partners, the FBI conducted a joint, sequenced cyber operation to dismantle the 911 S5 Botnet—likely the world’s largest botnet ever,” said FBI Director Christopher Wray. “We arrested its administrator, Yunhe Wang, seized infrastructure and assets, and levied sanctions against Wang and his co-conspirators. The 911 S5 Botnet infected computers in nearly 200 countries and facilitated a whole host of computer-enabled crimes, including financial frauds, identity theft, and child exploitation. This operation demonstrates the FBI’s commitment to working shoulder-to-shoulder with our partners to protect American businesses and the American people, and we will work tirelessly to unmask and arrest the cybercriminals who profit from this illegal activity.”
According to court documents, Wang allegedly propagated his malware through Virtual Private Network (VPN) programs, such as MaskVPN and DewVPN (torrent distribution models that he operated) and pay-per-install services that bundled his malware with other program files, including pirated versions of licensed software or copyrighted materials. Wang then managed and controlled approximately 150 dedicated servers worldwide, approximately 76 of which he leased from U.S. based online service providers. Using the dedicated servers, Wang deployed and managed applications, commanded and controlled the infected devices, operated his 911 S5 service, and provided paying customers with access to proxied IP addresses associated with the infected devices.
“As alleged in the indictment, Wang created malware that compromised millions of residential computers around the world and then sold access to the infected computers to cybercriminals,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “These criminals used the hijacked computers to conceal their identities and commit a host of crimes, from fraud to cyberstalking. Cybercriminals should take note. Today’s announcement sends a clear message that the Criminal Division and its law enforcement partners are firm in their resolve to disrupt the most technologically sophisticated criminal tools and hold wrongdoers to account.”
“YunHe Wang created and administered a residential proxy service—a botnet known as 911 S5—that affected millions of computers all over the world,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “He will now be held accountable. Proxy services like 911 S5 are pervasive threats that shield criminals behind the compromised IP addresses of residential computers worldwide. Successfully tackling a problem of this scale is only possible with strong collaboration and exceptional investigative work between our law enforcement partners at home and abroad, and we stand ready to hold accountable anyone—no matter where they are located—who exploits our telecommunications infrastructure for their own criminal purpose.”
Cybercriminals then used proxied IP addresses purchased from 911 S5 to conceal their true originating IP addresses and locations, and anonymously commit a wide array of offenses. These offenses including financial crimes, stalking, transmitting bomb threats and threats of harm, illegal exportation of goods, and receiving and sending child exploitation materials. Since 2014, 911 S5 allegedly enabled cybercriminals to bypass financial fraud detection systems and steal billions of dollars from financial institutions, credit card issuers, and federal lending programs.
911 S5 customers allegedly targeted certain pandemic relief programs. For example, the United States estimates that 560,000 fraudulent unemployment insurance claims originated from compromised IP addresses, resulting in a confirmed fraudulent loss exceeding $5.9 billion. Additionally, in evaluating suspected fraud loss to the Economic Injury Disaster Loan (EIDL) program, the United States estimates that more than 47,000 EIDL applications originated from IP addresses compromised by 911 S5. Millions of dollars more were similarly identified by financial institutions in the United States as loss originating from IP addresses compromised by 911 S5.
The 911 S5 client interface software, which was hosted on U.S.-based servers, enabled cybercriminals located outside of the United States to purchase goods with stolen credit cards or criminally derived proceeds, and illegally export them outside of the United States contrary to U.S. export laws, such as the Export Administration Regulations (EAR). The 911 S5 client interface may also contain encryption or other features which subject it to export controls detailed in the EAR. Accordingly, downloads of the 911 S5 client interface software by certain foreign nationals without a license may constitute violations of the EAR.
“The disruption, seizure, and arrest of the perpetrator(s) responsible for the 911 S5 cybercriminal enterprise demonstrates the forward leaning posture of the Department of Defense Office of Inspector General Defense Criminal Investigative Service (DCIS) Cyber Field Office,” said DCIS Director Kelly P. Mayo. “This investigation showcases the critical import of identifying and pursuing emerging threats and technologies targeting our warfighters, and the industrial base that supports them. Today’s announcement illustrates the magnitude of cooperation within federal law enforcement and our foreign partners pursuing criminals in the rapidly evolving cybercrime arena.”
The indictment further alleges that from 2018 until July 2022, Wang received approximately $99 million from his sales of the hijacked proxied IP addresses through his 911 S5 operation, either in cryptocurrency or fiat currency. Wang used the illicitly gained proceeds to purchase real property in the United States, St. Kitts and Nevis, China, Singapore, Thailand, and the United Arab Emirates. The indictment identifies dozens of assets and properties subject to forfeiture, including a 2022 Ferrari F8 Spider S-A, a BMW i8, a BMW X7 M50d, a Rolls Royce, more than a dozen domestic and international bank accounts, over two dozen cryptocurrency wallets, several luxury wristwatches, 21 residential or investment properties (across Thailand, Singapore, the U.A.E., St. Kitts and Nevis, and the United States), and 20 domains.
Law enforcement initially focused on 911 S5 during an investigation of a money laundering and smuggling scheme, where criminal actors in Ghana and the United States used hijacked IP addresses purchased from 911 S5 to place fraudulent orders using stolen credit cards on the Army and Air Force Exchange Service (AAFES) online e-commerce platform known as ShopMyExchange. Although approximately 2,525 fraudulent orders valued at $5.5 million were submitted, credit card fraud detection systems and federal investigators were able to thwart the bulk of the attempted purchases, reducing the actual loss to approximately $254,000.
“The conduct alleged here reads like it’s ripped from a screenplay: A scheme to sell access to millions of malware-infected computers worldwide, enabling criminals over the world to steal billions of dollars, transmit bomb threats, and exchange child exploitation materials—then using the scheme’s nearly $100 million in profits to buy luxury cars, watches, and real estate,” said Assistant Secretary for Export Enforcement Matthew S. Axelrod of the U.S. Department of Commerce’s Bureau of Industry and Security (BIS). “What they don’t show in the movies though is the painstaking work it takes by domestic and international law enforcement, working closely with industry partners, to take down such a brazen scheme and make an arrest like this happen.”
Wang is charged with conspiracy to commit computer fraud, substantive computer fraud, conspiracy to commit wire fraud, and conspiracy to commit money laundering. If convicted on all counts, Wang faces a maximum penalty of 65 years in prison.
This operation was a coordinated multiagency effort led by law enforcement in the United States, Singapore, Thailand, and Germany. Agents and officers searched residences, seized assets valued at approximately $30 million, and identified additional forfeitable property valued at approximately $30 million. The operation also seized 23 domains and over 70 servers constituting the backbone of Wang’s prior residential proxy service and the recent incarnation of the service. By seizing multiple domains tied to the historical 911 S5, as well as several new domains and services directly linked to an effort to reconstitute the service, the government has successfully terminated Wang’s efforts to further victimize individuals through his newly formed service Clourouter.io and closed the existing malicious backdoors.
On May 28, the Treasury Department’s Office of Foreign Assets Control (OFAC) issued financial sanctions against Wang, Jingping Liu, and Yanni Zheng, for their activities associated with 911 S5, and three entities for being owned or controlled by Wang.
The FBI Dallas and Denver Field Offices, DCIS Cyber Field Office, and BIS Office of Export Enforcement’s Dallas field office are investigating the case.
Trial Attorneys Candy Heath and Lydia Lichlyter of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorneys Camelia Lopez and William Tatum for the Eastern District of Texas are prosecuting the case.
The Department appreciates the significant assistance provided by the Attorney-General’s Chambers of Singapore, Singapore Police Force (SPF), Royal Thai Police, and the Office of the Attorney General and the Anti-Money Laundering Office of the Kingdom of Thailand. The Justice Department’s Office of International Affairs and Money Laundering and Asset Recovery Section provided crucial support to this operation. The Treasury Department’s OFAC also provided support to this operation. Additionally, the Department offers its thanks to Chainalysis, the Shadowserver Foundation, and Microsoft for the assistance provided by each during the investigation and the operation.
For more information or to determine if you are a victim of 911 S5 malware, please visit www.fbi.gov/911S5.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Indictment Domain Seizure Warrants
28 May 2024
Woodbridge man convicted of impersonating a federal officerRead the Press Release
ALEXANDRIA, Va. – A federal jury convicted a Woodbridge man on May 24 on charges of false impersonation of an officer or employee of the United States.
According to court records and evidence presented at trial, Russel Guye Dadzie, 50, was a third-party contractor security guard for federal buildings since at least 2013. Dadzie received training that his authority was limited to the immediate area of the building he was assigned to guard and only during his assigned shift. That training also explains that he is not a federal employee, federal agent, or federal officer, that he should not identify himself as such in any context, and that engaging in this type of misrepresentation could result in criminal charges. Dadzie received this training on multiple occasions, including in January 2023. Access to the buildings to which Dadzie was assigned required Personal Identity Verification (PIV) cards. Dadzie signed agreements with both the Department of Homeland Security (DHS) and the U.S. Agency for International Development (USAID) that he would not use the PIV cards for non-employment-related purposes, that he would not display them to others outside of work, and that he would not use them to coerce, intimidate, deceive, or obtain any privilege, favor, preferential treatment, reward, or personal gain. He signed agreements acknowledging that noncompliance with these requirements might subject him to criminal penalties.
On Sept. 15, 2023, officers with the Prince William County Police Department (PWCPD) approached Dadzie’s vehicle in Woodbridge. Dadzie stated multiple times that he was “with DHS” and that he was a “DHS officer” and a “federal officer.” In lieu of a driver license, Dadzie presented officers with a DHS PIV card to bolster his claims that he was a federal officer. When asked about his vehicle, he challenged police, “You’re asking a federal officer if there’s anything illegal in his vehicle?”
On Nov. 9, 2023, a PWCPD officer encountered Dadzie, noting that the inspection sticker on the windshield of Dadzie’s vehicle was expired. When the officer requested to see Dadzie’s driver license, Dadzie instead showed the officer multiple federal PIV cards he possessed, handed the officer a USAID PIV card, and claimed to be a “federal officer” with USAID.
Dadzie faces a maximum penalty of three years in prison when sentenced on Sept. 12. 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; Derek W. Gordon, Special Agent in Charge of Homeland Security Investigations (HSI) Washington, D.C.; and Peter Newsham, Chief of Prince William County Police, made the announcement after U.S. District Judge Patricia Tolliver Giles accepted the verdict.
Assistant U.S. Attorney Jordan Harvey and Special Assistant U.S. Attorney Daniel Lipkowitz 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-51.
This release was edited on May 28, 2024, to correct the date of conviction.
Wisconsin Attorney Sentenced to Five and a Half Years in Federal Prison for $2.3 Million Fraud and Tax Evasion SchemesRead the Press Release
INDIANAPOLIS- Leslie Smith, 63, of Indianapolis, has been sentenced to five and a half years in federal prison, followed by two years of supervised release, after pleading guilty to health care fraud, wire fraud, and tax evasion. Smith must also pay $2,341,655.08 in restitution.
According to court documents, for years, Leslie Smith engaged in multiple fraud schemes against her employer, relatives, and the government. Smith was a licensed attorney in the state of Wisconsin at the time she committed these crimes.
Smith was employed as the Office Manager for a podiatry practice located in Indianapolis. For years, without the knowledge or consent of her employer, Smith submitted approximately 288 fraudulent claims for reimbursement to Medicaid for oxygen monitoring devices that were never ordered. Smith caused Medicaid to pay $559,197.67 on these false claims and also caused a total of $1,194,942.07 in Medicaid payments to be deposited to her personal bank account.
After being charged in federal court with health care fraud, Smith fraudulently obtained COVID-19 mortgage assistance funds for a home on Kessler Boulevard in Indianapolis. In the application documents, Smith falsely represented that she was the owner of the home. In reality, the owner was a relative of Smith who died in 2020.
Smith also sold a residence in Indianapolis that she jointly owned with another individual for approximately $380,000, without the knowledge or consent of the co-owner. Because she had forged the co-owner’s signature on certain key documents, she was able to keep the entire profit of the home sale.
Smith did not file federal income tax returns from 2018 through 2021, and thereby failed to report approximately $1,299,179.01 in income. She prepared false tax returns for her employer and included all of her payments from Medicaid as income for her employer, in an effort to hide the fact that she was fraudulently receiving money from Medicaid.
“This criminal used her position of trust to lie, cheat, and steal from patients, her employer, and the public—fraudulently lining her pockets with over a million dollars intended to provide healthcare to disadvantaged Hoosiers,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “She continued to engage in new fraud schemes even while facing federal charges, demonstrating an utter disregard for the rule of law. Working together with our partners at Internal Revenue Service-Criminal Investigation, FBI, HHS-OIG, and the Indiana Attorney General’s Medicaid Fraud Control Unit, our office is committed to protecting the public by unravelling complex schemes and holding fraudsters accountable. The federal prison sentence imposed here demonstrates that serious financial crimes will result in serious consequences.”
“This case originated from our office’s data mining efforts and confirms the importance of using every technology tool available to bring fraudsters to justice - even perpetrators who hide in the plain sight of a doctor’s office,” said Indiana Attorney General Todd Rokita. “A special thanks to our Investigator Dan Shragal and Fraud Analyst Sarah Simpson for putting their foot down and ending this podiatrist staff member’s practice of sending millions of dollars in Medicaid payments to their own personal bank account.”
“Leslie Smith not only stole from American taxpayers, but her unbridled greed also betrayed her employer’s trust, shattering the fabric of trust that holds a workplace together,” said Justin Campbell, Special Agent in Charge, IRS Criminal Investigation Chicago Field Office. “This prison sentence should serve as a stark reminder of the profound consequences of greed and deception.”
“Through the defendant’s egregious scheme to defraud the Indiana Medicaid program, she placed personal profits ahead of legitimate care and knowingly stole valuable taxpayer funds intended to provide resources for vulnerable populations in need of assistance,” said Special Agent in Charge Mario M. Pinto with the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “HHS-OIG values the continued collaboration with the Indiana Attorney General’s Medicaid Fraud Control Unit, along with other federal law enforcement partners, and believes today’s sentence sends a strong message that those convicted of defrauding federal and state healthcare programs will be held accountable.”
The Federal Bureau of Investigation, IRS Criminal Investigation Chicago Field Office, U.S. Department of Health and Human Services, Office of the Inspector General, Department of the Treasury, Office of the Inspector General, and Indiana Attorney General’s Office – Medicaid Fraud Control Unit (“MFCU”) investigated this case. The sentence was imposed by U.S. District Court Judge Sarah Evans Barker.
U.S. Attorney Myers thanked Assistant U.S. Attorney Matthew B. Miller, who prosecuted this case.
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 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.
Anyone with information about allegations of attempted fraud involving COVID‑19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form
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Winnebago Man Sentenced for StrangulationRead the Press Release
United States Attorney Susan Lehr announced that Seth J. Lopez, 21, of Winnebago, Nebraska, was sentenced May 24, 2024, in federal court in Omaha, Nebraska for strangulation of an intimate or dating partner. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Lopez to 30 months’ imprisonment. There is no parole in the federal system. After Lopez is released from prison, he will begin a 3-year term of supervised release.
On December 7, 2022, the victim, a Native American woman, arrived at the Winnebago Police Department in Winnebago, Nebraska on the Winnebago Indian Reservation to report being the victim of an assault by Lopez. The victim was accompanied by another woman who had witnessed the assault. Earlier that night, Lopez assaulted the victim when she attempted to leave Lopez’s residence. The witness was accompanying the victim to help her gather her possessions and leave the residence when Lopez assaulted the victim. Lopez threw the victim onto the bed and strangled her by placing both his hands around the victim’s neck and applying pressure. The witness was yelling at Lopez to stop and when he let up, the victim was able to get up off the bed. As the victim tried to leave, Lopez backed the victim into a closet asking her, “Where do you think you’re going?” Lopez then grabbed the victim from behind with his arm around her neck, dragging her back to the bed. When the victim tried to scream, Lopez covered her mouth and face with his free hand, which prevented the victim from screaming and breathing. Lopez’s father heard the altercation, came to the room and told Lopez to stop and let the victim go. The witness to the assault also saw Lopez pull out a knife and hold it toward the victim while the victim’s back was turned from Lopez. Lopez did not attempt to use the knife and the victim herself never saw the knife. The victim had visible bruising and red marks on her neck after the assault.
This case was prosecuted in federal court because the offense occurred on the Winnebago Indian Reservation in what is known as Indian Country, and is an offense under the Major Crimes Act, Title 18, United States Code, Section 1153, giving the United States jurisdiction.
This case was investigated by the Federal Bureau of Investigation, which has law enforcement jurisdiction for felony offenses on the Reservations in the District of Nebraska.
Warren County Sex Offender Pleads Guilty to Child Pornography OffensesRead the Press Release
ALBANY, NEW YORK – Norbert Morgan, age 54, of Glens Falls, New York, pled guilty last week to distribution of child pornography and possession of child pornography while under post-release supervision for prior child exploitation offenses. United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Homeland Security Investigations (HSI), Buffalo Field Office, made the announcement.
Morgan pled guilty on May 24. According to the plea agreement and documents previously filed in the case, Morgan is a registered sex offender in the State of New York, stemming from his 2006 convictions in the Northern District of New York for sexual exploitation of a minor and possession of child pornography. Morgan admitted that between February and August 2023, he used social networking applications on the internet to distribute numerous videos and images of child pornography. During a search of his apartment, federal agents seized a tablet that contained over 600 images of child pornography.
Morgan was arrested on August 30, 2023, after a complaint was filed in federal court. He has been detained since that date. Morgan also admitted to violating the terms of his supervised release on his prior convictions by committing the new offenses. He is scheduled to be sentenced on the new offenses and his violation of supervised release before United States District Judge Anne M. Nardacci on September 19, 2024.
Morgan faces at least 15 years and up to 40 years in prison on his guilty plea and an additional term of up to 2 years in prison on his violation of supervised release. He also faces a fine of up to $250,000 and a supervised release term of at least 5 years and up to life. Morgan may also be ordered to pay restitution to the victims of his offenses and forfeit the device used in the offenses. 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. Morgan would also have to register as a sex offender upon his release from prison.
HSI investigated this case. Assistant United States Attorney Benjamin S. Clark is prosecuting this case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal 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.
Two Owensboro Men Sentenced to Decades in Federal Prison for Methamphetamine Trafficking OffensesRead the Press Release
Owensboro, KY – Two local men were sentenced to decades in federal prison after they were convicted at a jury trial last year for conspiring to possess with the intent to distribute methamphetamine and possessing with intent to distribute methamphetamine.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge Sheila G. Lyons of the DEA Chicago Field Division, and Chief Art Ealum of the Owensboro Police Department made the announcement.
“I commend the outstanding work of the trial team, the DEA, and the Owensboro Police Department for their untiring work and dedication during the investigation and prosecution of this case,” said U.S. Attorney Bennett. “In addition, the assistance provided by our federal, state, and local partners from across the area was crucial to ensuring a successful prosecution of the defendants. The lengthy prison sentences handed down by the Court will make the Western District safer for all who live, work, and visit here.”
According to court documents and evidence presented at trial, Cedric Swanagan, 37, and Courtland Reed, 32, were convicted of conspiring to possess with the intent to distribute over 50 grams of methamphetamine between September 2021 and April 4, 2022, in Daviess County, Kentucky and elsewhere. The jury also convicted both Swanagan and Reed of possession with the intent to distribute over 50 grams of methamphetamine on February 22, 2022, in Daviess County and elsewhere. The evidence presented at trial included recorded phone calls between the defendants that were intercepted during a federal wiretap investigation and evidence involving approximately 876 grams of pure methamphetamine associated with the defendants.
The jury further found that Swanagan had committed one serious drug felony and that Reed had committed one serious drug felony and one violent felony prior to committing the offenses in this case. These findings increased the mandatory minimum sentences for both defendants.
On May 23, 2024, Swanagan was sentenced by a United States District Court Judge for the Western District of Kentucky to 30 years in prison, followed by 10 years of supervised release.
On February 6, 2024, Reed was sentenced by a United States District Court Judge for the Western District of Kentucky to 25 years in prison, followed by 10 years of supervised release.
There is no parole in the federal system.
The DEA and the Owensboro Police Department investigated this case, with assistance from the Daviess County Sheriff’s Office, the Department of Homeland Security Investigations, the Indiana State Police, the Kentucky State Police, the Vanderburgh County Sheriff’s Office, the McLean County Sheriff’s Office, and the Owensboro-Daviess County Appalachia High Intensity Drug Trafficking Area (AHIDTA) Task Force.
Assistant U.S. Attorneys Frank Dahl and Josh Porter prosecuted the case, with assistance from paralegal specialist Aaron Cooper.
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 www.justice.gov/OCDETF
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Two Men Admit Smuggling Drugs into Jail, Causing Inmate’s DeathRead the Press Release
ST. LOUIS – Two men have admitted involvement in a conspiracy to smuggle drugs into the St. Francois County Jail that resulted in the overdose death of an inmate.
Garry W. Triplett, 37, of Bonne Terre, Missouri, pleaded guilty Tuesday to one count of conspiracy to distribute controlled substances resulting in death and one count of distributing of controlled substances.
Timothy L. Noll, 35, of Park Hills, Missouri, pleaded guilty on May 22, to one count of conspiracy to distribute controlled substances resulting in death and one count of distribution of controlled substances resulting in death.
Both men admitted involvement in a conspiracy to smuggle drugs into the St. Francois County Jail. Noll arrived at the jail on July 27, 2021, and almost immediately began to try and find someone to smuggle drugs into the jail that he could then sell. After finding an intermediary, Noll instructed the intermediary to get the drugs from Triplett. This initial distribution was captured on a video call:
Noll also advised the intermediary on how to conceal the drugs in a bible.
On August 1, an intermediary dropped off the bible at the jail. The next morning, Noll was being transferred to state prison. When he discovered that he couldn’t bring the bible with him, he had staff give it to his cellmate, who died August 4 of mixed drug intoxication. The victim had 19 ng/ml of fentanyl in his bloodstream. As little as 3 ng/ml can be fatal. He had also taken methamphetamine.
On a shelf in his cell, investigators discovered a clear plastic baggie with methamphetamine residue and a King James Bible with a detached spine.
Triplett admitted providing 3 grams of both fentanyl and meth to the intermediary, and Noll admitted providing these controlled substances to his cellmate. They also acknowledged that these controlled substances caused the cellmate’s death.
Noll is scheduled to be sentenced in August, and Triplett in September. The death resulting charge carries a mandatory minimum of 20 years in prison, with a maximum penalty of life and a $10 million fine.
The case was investigated by the Missouri State Highway Patrol. Assistant U.S. Attorney Zachary Bluestone is prosecuting the case.
Traffic Stop in Louisiana Results in Conviction and Sentencing of Four from Texas for Distribution of Cocaine, Methamphetamine and MarijuanaRead the Press Release
SHREVEPORT, La. – United States Attorney Brandon B. Brown announced that four defendants involved in a drug distribution conspiracy have all been sentenced. United States District Judge S. Maurice Hicks, Jr. sentenced the four defendants as follows:
Kendrick D. Riggins, 46, of El Campo, Texas, was sentenced to 108 months in prison, followed by 5 years of supervised release. Riggins pleaded guilty on December 12, 2023, to one count of conspiracy to distribute 500 grams or more of cocaine.
Myrna B. Grays, 70, of El Campo, Texas, was sentenced April 1, 2024, to 60 months in prison, followed by 4 years of supervised release. Grays pleaded guilty on September 12, 2023, to one count of conspiracy to distribute 500 grams or more of cocaine.
Ricky L. Lawson, 64, of Ganado, Texas, was sentenced to 105 months in prison, followed by 4 years of supervised release. Lawson pleaded guilty on September 12, 2023, to one count of conspiracy to distribute 500 grams or more of cocaine.
Shaheed H. Davis, 35, of Rosenburg, Texas, was previously sentenced on March 5, 2024, to 150 months in prison, followed by 5 years of supervised release. Davis pleaded guilty on November 1, 2023, to one count of conspiracy to distribute 500 grams or more of cocaine.
According to information introduced in court, on January 12, 2022, troopers with the Louisiana State Police were performing stationary patrol on I-20 when they observed a Ford Expedition and a Nissan Versa, both bearing Texas license plates and traveling eastbound. Troopers stopped both cars after observing traffic infractions. The driver of the Ford was identified as Kendrick Riggins and the passenger and owner of that car was identified as Shaheed Davis. The trooper who stopped Riggins and Davis detected a strong odor of marijuana and cologne emanating from within the Ford. The driver of the Nissan was identified as Ricky Lawson and his passenger was identified as Myrna Grays. The Nissan was a rental car. Troopers were able to determine that the two vehicles were traveling together from Texas.
Troopers received consent to search the Nissan and found hidden inside the trunk approximately 945.1 grams of powder cocaine and almost 5,000 pills which contained a mixture and substance of methamphetamine weighing approximately 923.1 grams. Troopers also searched the Ford and found a Taurus 9mm handgun; several magazines and ammunition; marijuana; a box of sandwich baggies; a digital scale with cocaine residue; a razorblade with cocaine residue; a whisk with cocaine residue; and a large amount of cash.
Through their further investigation, law enforcement officers learned that Grays agreed to help Riggins find someone to rent a car for him and that Riggins would pay for half of the rental. Riggins, Grays, and Lawson traveled in the rented Nissan from El Campo, Texas to a gas station where they met Davis. Riggins got in the Ford with Davis and Grays and Lawson followed inside the Nissan.
Each of the defendants were charged with conspiracy to distribute cocaine and possession with intent to distribute cocaine. In addition, Davis was charged with being a convicted felon in possession of a firearm.
The case was investigated by the Drug Enforcement Administration and Louisiana State Police and prosecuted by Assistant United States Attorney Mike Shannon and Retired Assistant United States Attorney Mary Mudrick.
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Three Defendants Sentenced for Federal Drug and Gun OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – JONATHAN GONZALEZ (“GONZALEZ”), ANTHONY ROMAN (“ROMAN”), and KEVIN TYLER (“TYLER”), age 25 and residents of New Orleans, were sentenced on May 14, 2024 by U.S. District Judge Jay C. Zainey after previously pleading guilty to violations of the Federal Controlled Substances and Gun Control Acts.
GONZALEZ was sentenced to 104 months imprisonment, followed by 3 years of supervised release, and $500 in mandatory special assessment fees for his convictions for conspiracy to distribute and possess with intent to distribute marijuana and tapentadol, in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(C), 841(b)(1)(D), and 846; possession with intent to distribute marijuana, in violation of 21 U.S.C. §§ 841(a)(1) and 841(b)(1)(D); possession of a car stolen from the Norfolk Southern Railyard, in violation of 18 U.S.C. § 659; conspiracy to possess firearms in furtherance of a drug trafficking crime, in violation of 18 U.S.C. § 924(o); and possession of a firearm in furtherance of a drug trafficking crime, in violation of 18 U.S.C. § 924(c)(1)(A)(i).
ROMAN was sentenced to 90 months imprisonment, followed by 3 years of supervised release, and $500 in mandatory special assessment fees for his convictions for conspiracy to distribute and possess with intent to distribute controlled substances, in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(C), 841(b)(1)(D), and 846; conspiracy to possess firearms in furtherance of a drug trafficking crime, in violation of 18 U.S.C. § 924(o); possession of a car stolen from the Norfolk Southern Railyard, in violation of 18 U.S.C. § 659; possession with intent to distribute tapentadol in violation, of 21 U.S.C. §§ 841(a)(1) and 841(b)(1)(C); and possession of a firearm in furtherance of a drug trafficking crime, in violation of 18 U.S.C. § 924(c)(1)(A)(i).
TYLER was sentenced to 120 months imprisonment, followed by 4 years of supervised release, and $200 in mandatory special assessment fees for his convictions for possession with intent to distribute 40 grams or more of fentanyl and possession with intent to distribute a quantity of cocaine hydrochloride, in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(B), and 841(b)(1)(C); and possession of a firearm in furtherance of a drug trafficking crime, in violation of 18 U.S.C. § (c)(1)(A)(i)
According to court documents, on January 29, 2023, New Orleans Police Department (NOPD) officers observed ROMAN driving an Infinity QX80 that was stolen from the Norfolk Southern Railyard. The Federal Bureau of Investigation (“FBI”) subsequently executed search warrants at two of ROMAN’s residences and recovered tapentadol, marijuana, and 10 firearms.
GONZALEZ was a passenger in the stolen Infinity ROMAN was driving on January 29th. When NOPD officers attempted to perform an investigative stop on the vehicle, GONZALEZ fled on foot but was apprehended after a short chase. He had a Glock Model 19 pistol, an extended magazine containing 29 rounds of ammunition, a large bag of marijuana, a digital scale, and plastic baggies. On May 17, 2023, the FBI executed a search at GONZALEZ’s mother’s residence. GONZALEZ lived at the residence and had a loaded firearm, tapentadol, and marijuana that he intended to sell.
TYLER was intercepted on a Drug Enforcement Agency (DEA) court authorized wire discussing selling kilogram quantities of cocaine and explaining that he mixed fentanyl with other drugs. FBI agents subsequently executed a search warrant at TYLER’s residence and recovered fentanyl, a fentanyl precursor, cocaine, and loaded firearms.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Federal Bureau of Investigation and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorney David Berman of the Violent Crime Unit.
Tea Woman Sentenced for Obtaining a Controlled Substance by FraudRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Tea, South Dakota, woman convicted of Obtaining a Controlled Substance by Misrepresentation, Fraud, Forgery, Deception, and Subterfuge. The sentencing took place on May 24, 2024.
Brittany Enstad, age 40, was sentenced to two years of probation and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Enstad was indicted by a federal grand jury in June of 2023. She pleaded guilty on March 6, 2024.
The conviction stemmed from incidents between July 1, 2022, and December 30, 2022, when Enstad, who was working at a registered nurse at the Sanford Canton-Inwood Medical Center in Canton, South Dakota, obtained blister packs from the narcotics cabinet containing OxyContin, removed the OxyContin, and replaced the drug with other medications, such as melatonin and acetaminophen. Enstad then resealed the blister packs knowing that the other medications could be dispensed to patients at the medical center instead of OxyContin. Enstad used the stolen OxyContin for her own use.
“Patients deserve to have confidence that they are receiving the proper treatment from those entrusted with providing their medical care. Those who knowingly tamper with medicines for patients put those patients’ health at risk,” said Special Agent in Charge Ronne Malham, FDA Office of Criminal Investigations, Chicago Field Office. “Our office will continue to pursue and bring to justice healthcare professionals who take advantage of their position and compromise patients’ health and comfort by tampering with needed drugs.”
This case was investigated by the Food and Drug Administration – Office of Criminal Investigation and the DEA. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
St. Louis Felon Admits Being Caught with Stolen GunRead the Press Release
ST. LOUIS –A convicted felon from St. Louis, Missouri on Tuesday admitted being caught by police with a stolen gun after fleeing from a carjacked vehicle.
Cedric Cross Sr., 42, pleaded guilty to one felony count of being a felon in possession of a firearm. He admitted that on Jan. 30, 2022, he was caught by Saint Louis Metropolitan Police Department officers while armed after jumping out of a carjacked truck. Cross was the passenger, and the driver had led police on a high-speed chase before crashing. Cross’ gun was stolen. He denied being one of two armed men who carjacked the truck earlier that evening at the intersection of Marcus Avenue and Martin Luther King Drive.
In his plea agreement, Cross also disputed shooting a paramour in the Walnut Park West neighborhood of St. Louis the day before the carjacking. The victim said after an argument, Cross pulled out a gun and started shooting, hitting her four times. Ballistics evidence from the shooting matched the handgun found with Cross the next day.
Cross is scheduled to be sentenced Tuesday, May 28th, 2024. He also potentially faces additional prison time for violating his supervised release from a prior felon in possession case in U.S. District Court in East St. Louis. In 2017, he was sentenced there to 63 months in prison after being caught with a stolen .38-caliber revolver.
The case was investigated by the Saint Louis Metropolitan Police Department. Assistant U.S. Attorney Catherine Hoag is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Sinaloa Cartel Leader Nestor Isidro Perez Salas, A/K/A “Nini,” Extradited to the United States on Drug Importation, Murder, Kidnapping, Firearms, and Money Laundering ChargesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Merrick B. Garland, the Attorney General of the United States, announced that Sinaloa Cartel leader Nestor Isidro Perez Salas, a/k/a “Nini,” was extradited Saturday, May 25, from Mexico to the U.S. based on the charges contained in two Indictments. The first, filed in the District of Columbia by the Criminal Division’s Narcotic and Dangerous Drug Section (the “NDDS Indictment”), charges PEREZ SALAS with cocaine and methamphetamine importation, firearms offenses, and conspiracy to obstruct justice through murder. The second, filed in the Southern District of New York (the “SDNY Indictment”) charges Perez Salas with leadership of a continuing criminal enterprise resulting in the deaths of numerous victims, including a confidential source for the Drug Enforcement Administration ("DEA"), fentanyl importation and trafficking, obstruction of justice by murdering an informant, kidnapping resulting in the deaths of eight people, including a minor boy, firearms, and money laundering offenses. Perez Salas was arrested in Mexico by Mexican authorities on November 22, 2023. Perez Salas was presented on the charges contained in the SDNY Indictment today before U.S. Magistrate Judge Ona T. Wang. Perez Salas will be arraigned before U.S. District Judge Katherine Polk Failla on May 30, 2024, at 3:00 p.m.
According to the allegations contained in the NDDS Indictment, SDNY Indictment, other court filings, and statements made during court proceedings:[1]
The Sinaloa Cartel (the “Cartel”) is one of the most powerful drug cartels in Mexico and is responsible for the manufacturing and importing of fentanyl for distribution in the U.S. Fentanyl is a dangerous synthetic opioid that is more than 50 times more potent than heroin and is the leading cause of death for Americans ages 18 to 49.
In recent years, the Cartel has been led, in part, by the sons of the Cartel’s notorious former leader, Joaquin Archivaldo Guzman Loera, a/k/a “El Chapo”—Ivan Archivaldo Guzman Salazar, Jesus Alfredo Guzman Salazar, and Ovidio Guzman Lopez—known collectively as the “Chapitos.”[2] Like their father, who, in July 2017, was sentenced to a term of life plus 30 years in prison, the Chapitos have used violence and rely on a sophisticated security apparatus to maintain control and to protect themselves and their operations as they traffic massive quantities of narcotics, including fentanyl, cocaine, and methamphetamine, to the U.S.
PEREZ SALAS is one of the senior leaders of the Chapitos’ security apparatus. Under PEREZ SALAS’s direction, armed enforcers for the Chapitos, known as sicarios, have used rampant violence to protect the Chapitos’ operation and to demolish unsupportive businesses, capture contested territory, intimidate civilians, and attack and murder law enforcement which resist their efforts. In part under the direction of PEREZ SALAS, these sicarios regularly used military-grade firearms and explosives, including machineguns and rocket launchers, to kidnap, torture, and kill anyone who opposed the Chapitos. This relentless violence has led to rampant bloodshed and taken the lives of untold victims.
PEREZ SALAS has also personally committed brutal acts of violence to advance the Chapitos’ trafficking operations. For example, in or about 2017, PEREZ SALAS, with two of the Chapitos, captured, tortured, interrogated, and killed two Mexican federal law enforcement officers. In or about May 2017, PEREZ SALAS, with two of the Chapitos and others, captured three members of a rival drug cartel, Los Zetas, and tortured them with electrocution before interrogating and killing them. Also in or about 2017, PEREZ SALAS and others conspired to kill and retaliate against a witness and informant. And in or about 2022, PEREZ SALAS and another sicario tested the potency of their fentanyl on individuals, and also experimented on a woman by injecting her repeatedly with the dangerous drug until she overdosed and died.
In addition, PEREZ SALAS has personally participated in the negotiation and sale of large quantities of fentanyl. More specifically, in or about the summer of 2022, PEREZ SALAS and other associates sold fentanyl (later seized by the DEA) in Los Angeles. During the course of these sales, among other things, PEREZ SALAS described that he owned his own fentanyl labs and that three fentanyl “cooks” from one of his labs had recently died from sampling the product because it was so potent.
Finally, most recently, in or about October 2023, PEREZ SALAS, and other sicarios acting at his direction, kidnapped a DEA confidential source and 10 other victims in Mexico—including a U.S. citizen—whom PEREZ SALAS believed worked for or were related to the confidential source. PEREZ SALAS and his sicarios killed eight of the kidnapped victims, including the DEA confidential source, and a thirteen-year-old boy. PEREZ SALAS kidnapped and killed these victims in retaliation for the confidential source’s provision of information to the DEA in connection with the investigation of PEREZ SALAS and his associates in the Southern District of New York.
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PEREZ SALAS, 32, a Mexican national, is charged in the SDNY Indictment with: one count of participating in a continuing criminal enterprise resulting in death, which carries a mandatory sentence of life in prison; one count of conspiring to import fentanyl into the U.S., which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison; one count of conspiring to distribute and possess with intent to distribute fentanyl, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison; one count of using, carrying, and possessing machine guns and destructive devices in connection with the continuing criminal enterprise and the fentanyl importation and trafficking conspiracies, which carries a mandatory minimum sentence of 30 years in prison and a maximum sentence of life in prison; one count of conspiring to use, carry, and possess machine guns and destructive devices in connection with the continuing criminal enterprise and the fentanyl importation and trafficking conspiracies, which carries a maximum sentence of life in prison; one count of conspiring to launder money, which carries a maximum sentence of 20 years in prison; one count of obstruction of justice by retaliating against an informant through murder, which carries a mandatory sentence of life in prison; one count of conspiring to obstruct justice by retaliating against an informant through murder, which carries a mandatory sentence of life in prison; one count of kidnapping resulting in death, including of a minor, which carries a mandatory sentence of life in prison; and one count of conspiring to commit kidnapping resulting in death, including of a minor, which carries a mandatory minimum sentence of 20 years in prison and a maximum sentence of life in prison. PEREZ SALAS is charged in the NDDS Indictment with one count of conspiring to import cocaine and methamphetamine into the U.S., which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison; one count of using, carrying, and possessing machineguns and destructive devices in connection with the cocaine and methamphetamine conspiracy, which carries a mandatory minimum sentence of 30 years in prison and a maximum sentence of life in prison; and one count of conspiracy to obstruct justice by retaliating against a witness and informant through murder, which carries a mandatory sentence of life in prison.
The mandatory minimum and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
The DEA’s Special Operations Division Bilateral Investigations Unit and the FBI Washington Field Office investigated this case, with assistance from multiple DEA offices, as well as the assistance of the Office of International Affairs of the Justice Department’s Criminal Division; the U.S. Department of State, Rewards for Justice Program; and the U.S. Marshals Service. The Justice Department also thanks Mexican authorities for their key role in securing the arrest and extradition of PEREZ SALAS.
This prosecution is being handled by the Southern District of New York’s National Security and International Narcotics Unit alongside the NDDS. SDNY Assistant U.S. Attorneys Nicholas S. Bradley, Sarah L. Kushner, Alexander N. Li, David J. Robles, and Kyle A. Wirshba, and NDDS Trial Attorneys Kirk Handrich, Kate Naseef, Samantha Thompson, and Tara Arndt, are in charge of the prosecution.
The charges contained in the SDNY Indictment and NDDS Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the NDDS Indictment and the SDNY Indictment and the description of the other court filings set forth herein constitute only allegations, and every fact described should be treated as an allegation.
[2] In September 2023, Ovidio Guzman Lopez was extradited to the U.S. on charges relating to his drug trafficking operations as a leader of the Cartel.
Sharon Drug Trafficker Pleads Guilty to Conspiring to Distribute Cocaine, Fentanyl, and Heroin and to Launder Drug ProceedsRead the Press Release
PITTSBURGH, Pa. - A resident of Sharon, Pennsylvania, pleaded guilty in federal court to conspiring both to engage in drug trafficking and to launder drug trafficking proceeds, United States Attorney Eric G. Olshan announced today.
London Pinkins, 29, pleaded guilty before United States District Judge Cathy Bissoon to (1) conspiring to distribute 500 grams or more of cocaine, 400 grams or more of fentanyl, and 100 grams or more of heroin between June 2020 and June 2021 and (2) conspiring to launder drug trafficking proceeds between February 2021 and June 2021.
Judge Bissoon scheduled sentencing for October 1, 2024. The law provides for a maximum total sentence of not less than 10 years and up to life in prison, a fine of up to $10 million, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorneys Benjamin C. Dobkin and Craig W. Haller are prosecuting this case on behalf of the United States.
The Federal Bureau of Investigation, Drug Enforcement Administration, Pennsylvania Office of Attorney General, Bureau of Alcohol, Tobacco, Firearms and Explosives, Pennsylvania State Police, Lawrence County Drug Task Force, Mercer County Drug Task Force, New Castle Police Department, Sharon Police Department, Hermitage Police Department, and Farrell Police Department conducted the investigation that led to the prosecution of Pinkins.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Sacramento Man Pleads Guilty to Being a Felon in Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — John Damian, 30, of Sacramento, pleaded guilty today to being a felon in possession of a firearm, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Nov. 8, 2023, law enforcement officers attempted to serve a search warrant on an armed robbery suspect who was walking with Damian. Damian was on parole for multiple felonies and was subject to a search clause. Damian initially hesitated to comply with the law enforcement officers commands and attempted to go around the side of the robbery suspect’s vehicle. But as the officers approached him, he admitted to having a gun. A loaded Glock 27 semi-automatic firearm was found in his right sweatshirt pocket. The firearm contained a 13-round magazine loaded with .40 caliber ammunition, but no round in the chamber. In his left sweatshirt pocket, detectives located approximately 20.74 grams of cocaine. Damian has previously been convicted of multiple felonies including assault with force likely to produce great bodily injury, being a felon in possession of a firearm, assault on person with a semi-automatic firearm, and willful discharge of a firearm in a negligent manner.
Damian is scheduled to be sentenced by U.S. District Judge William B. Shubb on Aug. 26, 2024. Damian faces a maximum statutory penalty of 15 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case is the product of an investigation by the Federal Bureau of Investigation and the Sacramento Police Department. Special Assistant U.S. Attorney Matthew De Moura is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
Roslindale Man Pleads Guilty to Illegally Possessing Firearm in Furtherance of Drug TraffickingRead the Press Release
BOSTON – A Heath Street Gang member/associate pleaded guilty today in federal court in Boston to unlawfully possessing a firearm.
Deondre Blanding, 27, of Roslindale, pleaded guilty to one count of possession of a firearm in in furtherance of a drug trafficking crime. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Sept. 6, 2024. Blanding was charged and arrested in February 2024, along with over 40 alleged Heath Street Gang members/associates, who were charged with racketeering conspiracy, drug trafficking, firearms and financial fraud charges.
On Oct. 8, 2023, Blanding arranged to buy three pounds of marijuana from an individual and arrived to the deal armed with a firearm. The arranged drug deal resulted in a shooting in the middle of a Randolph neighborhood involving Blanding and two other individuals. Prior to this shooting, investigators had identified Blanding as being a marijuana dealer for the Heath Street Gang who distributed pound-quantity amounts of marijuana.
The charge of possession of firearm in furtherance of violent or drug trafficking crime provides for a mandatory sentence of five years up to life in prison, five years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Boston Police Commissioner Michael Cox; and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division made the announcement today. Valuable assistance was provided by the Randolph Police Department. Assistant U.S. Attorneys Michael Crowley and Sarah Hoefle of the Organized Crime & Gang Unit are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.
Repeat Offender Sentenced to Two Years in Prison for $1 Million Counterfeit Check SchemeRead the Press Release
BOSTON – A Quincy man was sentenced today in federal court in Boston for a million-dollar bank fraud scheme in which he deposited hundreds of counterfeit checks.
Hui Zhang, 42, was sentenced by U.S. District Court Judge Myong J. Joun to two years in prison to be followed by three years of supervised release, with the first year to be served on home confinement. Zhang was also ordered to pay restitution and forfeiture of $1,035,350. In March 2024, Zhang pleaded guilty to one count of bank fraud.
From in or around June 2020 through at least May 2022, Zhang opened fraudulent bank accounts under false identities into which he electronically deposited approximately 114 counterfeit checks – totaling more than $1 million. The counterfeit checks were drawn on the account of a Boston-based retailer. Zhang subsequently withdrew hundreds of thousands of dollars in cash from these accounts via ATMs.
In 2017, Zhang was convicted of forgery of a check and other offenses and was sentenced to probation. In 2018, after being found in possession of various forged credit cards and fraudulent identity cards, Zhang was convicted of identity fraud and sentenced to two years in prison.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney William F. Abely, Chief of the Criminal Division prosecuted the case.Readout of the Justice Department’s Violent Crime Reduction Steering Committee MeetingRead the Press Release
The Justice Department’s Violent Crime Reduction Steering Committee met today to address recent advances in combating violent crime and plans for building on those advances. Over the last few years, Attorney General Merrick B. Garland has increased resources and established violent crime initiatives across the country in order to bring down violent crime. In addition, Deputy Attorney General Lisa Monaco announced the Department’s Comprehensive Strategy for Reducing Violent Crime, which created a Steering Committee chaired by Principal Associate Deputy Attorney General (PADAG) Marshall Miller and composed of leadership and representatives from across the Justice Department, including law enforcement, prosecutorial, and grantmaking components, to plan and assess initiatives, ensure coordination, and form recommendations for Department leadership in the fight to reduce violent crime.
After PADAG Miller called the meeting to order, the Committee was briefed on the latest violent-crime statistics, which show a notable and steady decline in violent crime. From calendar year 2022 to calendar year 2023, data[1] from over 250 cities showed that violent crime declined considerably, including an 11% decrease in murder, an almost 8.5% decrease in rapes, a 2.3% decrease in aggravated assault, and a nearly 2% decrease in robbery.
Early data[2] from the first quarter of 2024 indicates continuing declines in each of these categories — a 18.4% decline in murder, a 15.6% drop in rape, a 6.2% decrease in aggravated assault, and a 2.3% decline in robbery.
The Committee received updates from the Department’s law enforcement components on progress implementing priority Justice Department violent crime initiatives. The ATF discussed the continued expansion and utilization of Crime Gun Intelligence Centers (CGICs) to combat violent crime. CGICs use cutting-edge technology to rapidly develop and pursue investigative leads, by analyzing firearm and ballistics evidence. The FBI highlighted the work of carjacking task forces — a strategic Department enforcement priority that focuses federal resources on identifying, investigating, and prosecuting the worst carjacking offenders. Carjacking task forces bring together ATF and FBI agents, Justice Department prosecutors, and state, local, Tribal, and territorial law enforcement officers and are now operating in 11 districts across the country.
The Committee was also briefed on recent successes of the Criminal Division’s Violent Crime Initiative (VCI), which works with U.S. Attorneys’ Offices and federal law enforcement in Hartford, Houston; Jackson, St. Louis, and Memphis, and surged resources to Washington, D.C. The briefing highlighted VCI achievements in Houston, where Criminal Division prosecutors and Assistant U.S. Attorneys have surged enforcement and community outreach efforts and use data to focus on the most prolific offenders and recidivists responsible for violence. Since the launch of the Houston effort, the city has seen a 9% reduction in violent crime and a 20% decline in homicides.
The U.S. Attorney community presented on fruitful strategies in combating violent crime around the country. U.S. Attorney Dawn Ison for the Eastern District of Michigan discussed the One Detroit initiative — a program that brings together law enforcement and community stakeholders to develop and implement a comprehensive violence reduction strategy, combining enforcement, violence prevention and intervention resources, and reentry programs. Violent crime rates in Detroit have fallen dramatically, with the city closing out 2023 with the fewest homicides on record in over 50 years. U.S. Attorney Andrew Luger for the District of Minnesota updated the Committee on the successes in his district in cracking down on violent crime, especially during the summer months when violent crime historically surges. U.S. Attorney Luger also shared best practices in fighting summer violent crime surges from around the country, including from the U.S. Attorney’s Office for the District of Connecticut.
The Steering Committee also heard from additional components regarding plans, resources, and best practices to combat violent crime. Specifically, DEA representatives discussed the Tenderloin Project — a joint effort involving federal, state, and local law enforcement partners addressing fentanyl poisonings and drug-related violence in the Tenderloin neighborhood of San Francisco. U.S. Marshals Service representatives described the next phase of its Operation North Star, which utilizes data-driven approaches and surges of law enforcement resources to target the most dangerous armed violent fugitives in selected cities.
U.S. Attorney Alison Ramsdell for the District of South Dakota then described the need for further federal assistance in combating violent crime in Indian country. The Committee endorsed the launch of an inter-component effort to align the necessary personnel and resources to increase significantly federal support for public safety in Indian country.
At the conclusion of the meeting, Principal Associate Deputy Attorney General Miller indicated that the Steering Committee would report to Department leadership on developments from the Department’s violent crime reduction initiatives and provide recommendations regarding additional policy and enforcement strategies.
[1] Major Cities Chiefs Association Violent Crime Survey Year End Comparison, available at https://majorcitieschiefs.com/wp-content/uploads/2024/02/MCCA-Violent-Crime-Report-2023-and-2022-Year-End.pdf; FBI’s Quarterly Uniform Crime Reports, available at: https://cde.ucr.cjis.gov/LATEST/webapp/#/pages/explorer/crime/quarterly.
[2] This data, from 90 cities, is subject to change as more entities provide data and reporting is finalized.
Picayune, Mississippi Man Sentenced to Nearly 15 Years in Prison for Conspiracy to Possess with Intent to Distribute MethamphetamineRead the Press Release
Gulfport, Miss. – A Picayune man was sentenced to 179 months in federal prison for conspiracy to possess with intent to distribute 124.7 kilograms of methamphetamine.
Jeremy Cyntel Turner, 32, was sentenced on May 24, 2024, in U.S. District Court in Gulfport.
According to court records, in 2015, an investigation began into a large-scale drug trafficking organization located largely in Picayune, MS (Pearl River County). In 2018, Turner was identified as someone who was part of the conspiracy. A 2020 arrest of other co-conspirators led agents to information that a package of narcotics was being delivered to a Picayune, MS address. The package contained methamphetamine and was retrieved by Jeremy Turner, who admitted to his involvement in the conspiracy. The total drug quantity attributed to Turner over the course of the conspiracy was 124.7 kilograms of methamphetamine.
Turner pled guilty on June 21, 2023, to possession with intent to distribute methamphetamine.
U.S. Attorney Todd W. Gee, Assistant Special Agent in Charge Anessa Daniels-McCaw of the Drug Enforcement Administration and Acting Special Agent in Charge Eric DeLaune of Homeland Security Investigations made the announcement.
The case was investigated by the Drug Enforcement Administration and Homeland Security Investigations.
The case was prosecuted by Assistant U.S. Attorney Erica Rose.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor- led, intelligence driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Penn Highlands Healthcare to Pay $735,000 to Settle False Claims Act AllegationsRead the Press Release
PITTSBURGH, Pa. – Penn Highlands Healthcare—a Pennsylvania not-for-profit corporation operating a hospital system in north, central, and western Pennsylvania—and several of its hospitals—including Penn Highlands DuBois, formerly known as DuBois Regional Medical Center—(together “Penn Highlands”) have agreed to pay the United States $735,000 to resolve a lawsuit alleging False Claims Act infringement through the submission of claims to Medicare and Medicaid resulting from violations of the Physician Self-Referral Law, United States Attorney Eric G. Olshan announced today.
The Physician Self-Referral Law, commonly known as the Stark Law, prohibits a medical provider from billing Medicare or Medicaid for certain services referred by physicians with whom the hospital has a financial relationship, unless that relationship satisfies one of the law’s statutory or regulatory exceptions. The Stark Law is intended to ensure that medical decision-making is not compromised by improper financial incentives and is instead based on the best interests of the patient.
In this case, the United States alleged that, from July 1, 2009, through June 30, 2012, Penn Highlands DuBois violated the Stark Law by paying improper compensation to referring physician Gary Ott, M.D., and to a physician employed by Women’s Care of Pennsylvania, Dr. Ott’s practice, in the amount of $420,000 under a Consulting, Medical Director and Related Services Agreement for “employment services” allegedly performed before the agreement went into effect, during which time neither physician was employed by Penn Highlands DuBois.
The settlement stems from a whistleblower complaint filed in October 2016 by three medical providers formerly employed by Penn Highlands pursuant to the qui tam provisions of the False Claims Act, which permit private persons, also called relators, to bring a lawsuit on behalf of the government and to share in the proceeds of the suit. The Act also permits the government to intervene and take over the lawsuit, as the government did in this case in regard to some of the relators’ allegations. The relators will receive $154,350 as part of the settlement.
The United States’ intervention and settlement in this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services at 1-800-HHS-TIPS (1-800-447-8477) or online at https://oig.hhs.gov/fraud/report-fraud/.
This case was handled on behalf of the government by the U.S. Attorney’s Office for the Western District of Pennsylvania and the Department of Health and Human Services Office of Inspector General.
The case is captioned United States ex rel. Tuesdae Stainbrook, D.O., M.P.H., Mary Simpson, M.B.A., and Jonathan Pope, M.D. at Civil Action No. 1:16-cv-244. The claims resolved by this settlement are allegations only and there has been no determination of liability.
Owner of Physical Therapy Clinics Sentenced to More Than Two Years in Prison for Health Care FraudRead the Press Release
BOSTON – The former owner of several physical therapy clinics in Greater Boston was sentenced on May 23, 2024 for health care fraud charges.
Chang Goo Yoon, 62, a South Korean national residing in Queens, N.Y., was sentenced by U.S. District Court Judge Indira Talwani to 27 months in prison and three years of supervised release. Yoon was also ordered to pay restitution in an amount to be determined at a later date. In January 2024, Yoon was convicted following a seven-day jury trial on two counts of health care fraud.
“Mr. Yoon took advantage of his patients and the trust-based health insurance system for years by billing for appointments that never happened. In addition, he pressured his employees to participate in his unethical and illegal activities,” said Acting United States Attorney Joshua S. Levy. “These are not victimless crimes. Health care fraud affects everyone by driving up costs for individuals and employers who pay into the health insurance system with their hard earned money. This sentence should send a strong message to others who seek to defraud the system that they will be identified, prosecuted and held accountable.”
“Today, we see yet another local physician going to prison for providing physical therapy services without a license and fraudulently billing for bogus appointments,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “This long-running scheme appears fueled by sheer greed, and the FBI and our partners are committed to bringing medical professionals like Chang Goo Yoon, who choose to betray their oath and get involved in fraud, to justice.”
“This sentence shows that health care fraud is not tolerated in the Commonwealth of Massachusetts. The Insurance Fraud Bureau of Massachusetts places a high priority on fighting this type of insurance fraud, which affects the citizens of this state. We appreciate the collaboration of our investigative partners in combatting fraud in our healthcare system,” said Anthony DiPaolo, Executive Director of the Insurance Fraud Bureau of Massachusetts.
“Physical therapy patients deserve to receive treatment from a provider that will be honest with them and their health insurance provider” said Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division. “Dr. Chang Yoon lied about providing clinical services on dates he never saw patients and then had insurance payments fraudulently sent directly to him via U.S. Mail. Thanks to postal inspectors and our law enforcement partners, Dr. Yoon was sentenced today for his actions. The U.S. Postal Inspection Service is committed to protecting the integrity of the mail stream and all customers who use it.”
Yoon was the owner and operator of several physical therapy clinics in Allston, Waltham and Brookline between 2014 and 2018. Yoon billed patients for non-existent physical therapy appointments, including approximately $150,000 in claims billed on dates when Yoon was traveling in South Korea, Los Angeles and Toronto. Yoon also billed $50,000 in claims on dates when he was gambling at casinos including the Golden Nugget in Atlantic City, N.J., MGM Springfield in Massachusetts and Twin River Casino in Lincoln, R.I. Additionally, Yoon submitted approximately $30,000 in physical therapy claims for himself after three automobile accidents. Most of those claims falsely listed one of Yoon’s employees as the servicing physical therapist. The remaining claims listed Yoon as both the patient and the servicing physical therapist.
In total, the Court found that the defendant submitted more than $1 million in false insurance claims and reaped more than $300,000 in fraudulent proceeds.
Acting U.S. Attorney Levy, FBI SAC Cohen, IFB Executive Director DiPaolo and USPIS INC Larco-Ward made the announcement. Assistant U.S. Attorneys Elysa Q. Wan and Patrick M. Callahan of the Criminal Division prosecuted the case.
Opa-locka man sentenced to 30 years in prison for online solicitation of two 15-year-old girlsRead the Press Release
MIAMI – On May 24, an Opa-locka man was sentenced in federal district court to 360 months’ imprisonment, followed by a lifetime of supervised release, for two counts of online solicitation of a minor to commit a sexual act.
As part of his guilty plea, Malik Hosea Atkinson, 25, also known online as “@jpmon8,” “@Mall9488673”and “unknown_value#5861,” admitted that in 2022 and 2023 he met two teenage girls online in a social networking application. Atkinson convinced the two young girls to meet him in person. To meet the first victim, he drove from Miami-Dade County to Palm Beach County to have sex with her multiple times in his white van. To meet the second victim, he drove to Broward County to have sex with her. Atkinson’s online account and phone revealed the sexual context of Atkinson’s communications with the two minor victims and confirmed that he had video recorded himself sexually exploiting them. The investigation also uncovered that Atkinson had communicated similarly online with other minor females. Atkinson also possessed other child sexual abuse material.
In sentencing Atkinson to 30 years’ incarceration, U.S. District Judge Robyn L. Rosenberg described the defendant’s crimes as “so severe, so egregious.”
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, announced the guilty plea.
FBI Miami and West Palm Beach Resident Agency investigated the case. Assistant U.S. Attorney Gregory Schiller is prosecuting it. Assistant U.S. Attorney Sara Klco is handling forfeiture.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov or https://www.justice.gov/usao-sdfl/project-safe-childhood.
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 23-cr-80063.
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Nursing Home CNA Facing Federal Charges for Defrauding Elderly PatientsRead the Press Release
EAST ST. LOUIS, Ill. – A certified nursing assistant formerly employed in the Metro East is accused of using her elderly patients’ credit card and bank account information to make personal purchases without their consent.
Markeisha A. Hill, 35, of Granite City, was charged via a federal grand jury with two counts of access device fraud, six counts of aggravated identity theft and one count of possession of five or more identification documents.
“Financial crimes against the elderly are prevalent, but it’s especially disturbing when nursing home patients are targeted and victimized by the medical professionals who are entrusted with their care,” said U.S. Attorney Rachelle Aud Crowe.
Hill worked as a CNA at University Nursing and Rehabilitation in Edwardsville from October 2022 through June 2023 and Meridian Village in Glen Carbon from August through November 2023. According to the indictment, Hill is accused of stealing her patients’ identification to fraudulently use their debit and credit cards without their consent to make personal purchases greater than $1,000.
“Nursing home caregivers are called to the noble profession of watching over the loved ones of many families who expect their elderly family members to be treated with care. That trust should never be violated,” said David Bolin, Acting Supervisor for the U.S. Secret Service Springfield Resident Office. “I’m proud that our local and federal partners have stood up for the alleged victims in this case and we will maintain our vigilance in the future.”
An indictment is merely a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
If convicted, access device fraud is punishable by up to 15 years’ imprisonment, aggravated identity theft is a mandatory 2-year prison sentence and possession of five or more IDs can equate to five years’ imprisonment.
Law enforcement officials with the U.S. Secret Service, Edwardsville Police Department, Glen Carbon Police Department and Granite City Police Department are contributing to the investigation. Assistant U.S. Attorneys Zoe Gross and David Dean are prosecuting the case.
New Orleans Woman Pleads Guilty to Cares Act Fraud, False Statements to the IRS, and Theft of Government FundsRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that TAMIKA CHAPPELL (“CHAPPELL”), age 40, of New Orleans, LA, pleaded guilty on May 23, 2024 before U.S. District Court Judge Carl J. Barbier to three-counts, including making false statements related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), making false statements to the IRS, and theft of government funds.
The CARES Act is a federal law enacted on March 29, 2020, to provide emergency financial assistance in connection with economic effects of the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1%. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses at least a certain percentage of the PPP loan proceeds on payroll expenses.
In Count 1, CHAPPELL was charged with making false statements to the SBA for the purpose of fraudulently obtaining pandemic-related relief loans funded by the federal government, including PPP funds, which she received in the amount of approximately $105,625.00. In Count 2, CHAPPELL was charged with stealing at least $1,000.00 from the Social Security Administration by receiving disability benefits to which when was not entitled from 2019 to 2022. In Count 3, CHAPPELL was charged with making false statements to the IRS by failing to report the correct amount of taxable income for the year 2020.
Sentencing is scheduled for August 29, 2024. CHAPPELL faces up to five years in prison, up to $250,000 in fines, and up to three years of supervised release for the false statements count. For the theft of government funds, she faces up to 10 years imprisonment, up to $250,000 in fines, and up to three years supervised release. For the false statement and theft from the IRS, she faces up to three years in prison, up to $250,000 in fines, and up to three years of supervised release. There is also a $100 mandatory special assessment fee per count.
For more information on the Department of Justice’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
This case was investigated by an agent assigned to the Pandemic Response Accountability Committee (PRAC) Fraud Task Force. The PRAC was established to serve the American public by promoting transparency and facilitating coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC’s 21 member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending. The PRAC Fraud Task Force brings together agents from 15 Inspectors General to investigate fraud involving a variety of programs, including the Paycheck Protection Program. Task force agents who are detailed to the PRAC receive expanded authority to investigate pandemic fraud as well as tools and training to support their investigations.
U.S. Attorney Evans praised the work of PRAC member U.A. Department of Veterans Affairs - Office of Inspector General, the Social Security Administration, and the Internal Revenue Service – Criminal Investigations in investigating this matter. Assistant U.S. Attorney Edward J. Rivera of the Financial Crimes Unit is in charge of the prosecution.
New Orleans Man Indicted for Federal Drug and Weapons OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that SHANE BOLDEN, age 35, of New Orleans, was charged on May 23, 2024 in a four-count indictment with violations of the Federal Controlled Substances and Gun Control Acts.
BOLDEN is charged in Count 1 with conspiracy to distribute marijuana, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(D), and 846. He is charged in Count 2 with possession with intent to distribute marijuana, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(D). He is charged in Count 3 with possessing a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A)(i). He is charged in Count 4 with being a felon in possession of a firearm, in violation of Title 18, United Staes Code, Sections 922(g)(1) and 924(a)(8).
The indictment also includes a notice of forfeiture requiring BOLDEN to forfeit over $100,000 in cash and nine firearms.
As to each of the drug trafficking charges in Counts 1 and 2, BOLDEN faces up to five years in prison, up to a $250,000 fine, and at least two years of supervised release. As to the charge of possessing a firearm in furtherance of a drug trafficking crime in Count 3, he faces a mandatory minimum sentence of five years and up to life in prison, which is to run consecutively to all other sentences, up to a $250,000 fine, and up to five years of supervised release. As to the felon in possession offense charged in Count 4, he faces a maximum sentence of 15 years in prison, up to a $250,000 fine, and up to three years of supervised release. Each count also carries a mandatory special assessment fee of $100.
According to court documents, on or about April 8, 2024, BOLDEN allegedly conspired with others to knowingly possess with the intent to distribute marijuana. Also, BOLDEN allegedly illegally possessed firearms in furtherance of a drug trafficking crime, all while being prohibited from possessing a firearm due to a previous felony conviction in the state of Louisiana.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation and the New Orleans Police Department. Assistant United States Attorney David Berman of the Violent Crime Unit is in charge of the prosecution.
New Orleans Man Indicted for Distributing FentanylRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that CHARVAN MORRIS (“MORRIS”), age 27, of New Orleans, was indicted on May 23, 2024 on two counts of distributing fentanyl, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C).
MORRIS faces up to 20 years in prison, up to a $1,000,000 fine, at least three years of supervised release, and a $100 mandatory special assessment fee on each count.
According to court documents, on or about February 16 and February 20, 2024, MORRIS allegedly distributed fentanyl in the Eastern District of Louisiana.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant United States Attorney David Berman of the Violent Crime Unit is in charge of the prosecution.
Michigan Man Sentenced to over 5 Years in Prison for Robbing String of CVS Pharmacies for Prescription PillsRead the Press Release
DETROIT – Michigan resident Kristopher Kukola was sentenced yesterday for robbing several CVS pharmacies in Van Buren Township, Saline, and Milan, Michigan, before being arrested with the help of a decoy pill bottle, United States Attorney Dawn N. Ison announced.
Ison was joined in the announcement by Cheyvoryea Gibson, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation (FBI).
United States District Court Judge Stephen J. Murphy sentenced Kukola to 63 months in prison.
Kukola, 39, robbed several CVS pharmacies in the same manner: demanding prescription pills, brandishing what the victims believed to be a gun, and ordering employees to lay on the floor. On the night of May 24, 2022, Kukola robbed a CVS Pharmacy in Van Buren Township, Michigan. He reached into a pocket of his jacket and stated, “I’m armed,” and showed the handle of what the victim believed to be a black handgun. He then directed one of the victims to lay on the ground. On June 2, 2022, he robbed a CVS Pharmacy in Saline, MI. This time, Kukola presented the victims with a list of medications and demanded that an employee give him everything on the list. He again displayed what appeared to be a black handgun and demanded that the victims lay on the floor. On June 8, 2022, Kukola returned to the Van Buren CVS from the first robbery. He handed a list of prescription drugs to an employee, stating “put everything on the list in the bag, or I will start shooting. I have a gun.” Kukola’s final robbery was on July 7, 2022, when he robbed a CVS in Milan, Michigan. Again, he handed an employee a list of prescription pills. But this time, the employee placed a decoy pill bottle with GPS tracking into Kukola’s bag. The tracking device allowed law enforcement to follow Kukola, and ultimately led to his arrest.
“Our office remains steadfast in our commitment to addressing violent crime and protecting our community from the dangerous diversion of prescription drugs.” U.S. Attorney Ison said. “ No one should have to fear for their lives because they work in a pharmacy, and I commend the quick thinking of the pharmacy employee in giving the defendant the decoy pill bottle that ultimately led to his arrest.
"This case serves as an example of the FBI's relentless efforts to track down violent offenders who resort to fear and violence to steal dangerous prescriptions for personal gain," said Special Agent in Charge Cheyvoryea Gibson of the FBI in Michigan. "I want to thank Detroit's Violent Crimes Task Force for their diligent work identifying and capturing the defendant. The FBI is committed to pursuing those who engage in illegal activities that ruin the lives of Michigan residents."
This case was investigated by the Ann Arbor Police Department, Van Buren Township Police Department, Saline Police Department, Milan Police Department, Michigan State Police, and the FBI.
This case was prosecuted by Assistant U.S. Attorneys Meghan Bean and Jasmine Moore.
Miami resident convicted at trial of using a fraudulent driver’s license to access a luxury condoRead the Press Release
MIAMI – On May 15, a federal jury convicted Alfred Lenoris Davis, 50, of Miami, Florida, of use of a counterfeit access device to facilitate a South Florida identity concealment scheme.
Davis, a previously convicted felon, utilized a counterfeit access device, more specifically a fraudulent Florida driver’s license as proof of identity to become an occupant of, and gain access to, a luxury condominium in Sunny Isles, Florida. Due to the concealment of his true identity, Davis’s criminal history was not made known to the condominium’s board members when they assessed his qualifications. Relying on the counterfeit access device, the building allowed Davis full access to amenities and services afforded to residents.
A sentencing hearing is scheduled for July 11 before U.S. District Judge Jose E. Martinez. Davis faces up to 10 years in prison. The federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, made the announcement.
FBI Miami investigated the case. Assistant U.S. Attorneys Jonathan Bailyn and Katie L. Sadlo prosecuted the case. Assistant U.S. Attorney Mitchell Hyman is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-20051.
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Mexican National to Serve 8 Years in Prison for Meth and Fentanyl TraffickingRead the Press Release
ALPINE, Texas – A Mexican national was sentenced in a federal court in Pecos to 97 months in prison for intent to distribute fentanyl and methamphetamine.
According to court documents, Sandra Araceli Diaz Vazquez, 37, of Chihuahua, Mexico, was suspected of delivering narcotics within the U.S. On Dec. 5, 2023, law enforcement officers conducted a traffic stop along Interstate 20 near Colorado City after observing Diaz Vazquez commit two moving violations. Diaz Vazquez consented to a vehicle search, which resulted in the discovery of approximately 20.2 kilograms of methamphetamine and 5.6 kilograms of fentanyl concealed within the fuel tank.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
HSI and the 32nd Judicial District Attorney’s Office investigated the case.
Assistant U.S. Attorneys Amy Greenbaum and Scott Greenbaum prosecuted the case.
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McKeesport Convicted Felon Charged with Possession of FirearmRead the Press Release
PITTSBURGH, Pa. - A resident of McKeesport, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal firearms laws, United States Attorney Eric G. Olshan announced today.
The one-count Indictment named Jared Abraham Ogrosky, 26, as the sole defendant.
According to the Indictment, on or about March 12, 2024, Ogrosky possessed a loaded .45 caliber semiautomatic pistol after having been previously convicted of three felonies, including drug trafficking and firearms crimes. Ogrosky was on federal supervised release at the time of the alleged offense. Federal law prohibits possession of a firearm or ammunition by a convicted felon.
The law provides for a maximum total sentence of up to 15 years in prison, a fine of up to $250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney V. Joseph Sonson is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives; Allegheny County District Attorney’s Narcotics Enforcement Team; and U.S. Marshals Service conducted the investigation leading to the Indictment.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Lee County, Florida Man Sentenced to Prison for Conspiring to Smuggle Turtles to Germany and Hong Kong and Falsely Labeling the Turtles on Related PaperworkRead the Press Release
MIAMI – On May 24, a Lee County man was sentenced to prison for conspiring to illegally export thousands of turtles to Germany and Hong Kong, and falsifying documents to conceal his conduct.
John Michael Kreatsoulas, 36, of Alva, Florida, was sentenced to serve a year and a day in prison, three years of supervised release, and ordered to pay a $10,000 fine. Kreatsoulas was also barred by the court from engaging in any commercial activity involving wildlife. He had previously pleaded guilty to one count of conspiracy to traffic wildlife and nine counts of falsifying records in violation of the Lacey Act.
According to court documents, from July 2015 to July 2021, Kreatsoulas was the owner and principal of Omni Reptiles Inc., an unregistered Florida business located in Alva, Florida. Omni Reptiles was in the business of domestic and international wholesale trade of wildlife, including protected species of reptiles. Kreatsoulas and Omni Reptiles shipped wildlife they sold to domestic and foreign customers, including to customers in Germany and Hong Kong, through Miami International Airport.
Specifically, Kreatsoulas and his co-conspirators collected and captured various species of turtles, including three-stripe mud turtles and Florida mud turtles, from the wild in Florida and sold those turtles to interstate and foreign customers. Kreatsoulas then falsified U.S. Fish and Wildlife Service (FWS) Form 3-177, which accompanied the international shipments, by including a false “Source” code attesting that the turtles were captive-bred and not wild-caught. Kreatsoulas also falsified invoices related to the sale of the turtles, which purported to show that the turtles sold to co-conspirators in Florida and outside the United States were “captive-bred” hatchling three-stripe mud turtles when, in fact, they were taken from the wild by Kreatsoulas and his co-conspirators.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division, and Special Agent in Charge Douglas Ault of the FWS, Southeast Region and Major James Barrow, Statewide Investigation Unit, Florida Fish and Wildlife Conservation Commission made the announcement.
FWS agents in Miami investigated this matter. Assistant U.S. Attorney Thomas Watts-FitzGerald for the Southern District of Florida and Senior Trial Attorney Gary N. Donner of the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division prosecuted this case.
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Laplace Resident Pleads Guilty to Conspiracy to Commit Wire Fraud for Role in Preparing and Submitting Fraudulent Cares Act Financial Assistance ApplicationsRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that MUNIRA SCHOFIELD (“SCHOFIELD”), age 28, a resident of LaPlace, La., pleaded guilty on May 23, 2024 before United States District Judge Eldon E. Fallon to conspiracy to commit wire fraud, in violation of Title 18, United States Code, Sections 371 and 1343. The charges stem from SCHOFIELD’s role in a conspiracy to prepare and file fraudulent applications for loans related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). SCHOFIELD’s mother, Lynn Schofield (“Lynn”), and brother, Bashir Schofield (“Bashir”), previously pled guilty for their respective roles in the offense.
According to court documents, SCHOFIELD, Lynn and Bashir submitted applications to obtain money from Paycheck Protection Program (PPP) loans and Economic Injury Disaster (EIDL) loans fraudulently. Each defendant submitted at least one loan. All applications falsely represented that the applicant had a sole proprietorship and generated substantial income from the business by overinflating gross receipts. The entities either did not exist or earned far less money than they reported. They also represented that the loan proceeds would be used for business related purposes, when, in fact, the defendants intended to use the money for personal reasons. SCHOFIELD submitted a fraudulent application for an EIDL loan for a business she claimed to own, “Just Jocin.” In conjunction with her mother, Lynn, SCHOFIELD also gave false material information to the SBA that grossly inflated the monthly gross receipts to support other loans, including for an entity named “Afromerica Touch 360, LLC,” and used some of the resulting funds for her personal benefit. In total, MUNIRA SCHOFIELD admitted that her conduct resulted in a loss of approximately $219,033 to the SBA.
MUNIRA SCHOFIELD faces up to five (5) years in prison, up to three years of supervised release, up to a $250,000 fine, and a $100 mandatory special assessment fee. Sentencing before Judge Fallon has been scheduled for August 22, 2024.
For more information on the Department of Justice’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorney Jordan Ginsberg, Chief of the Public Integrity Unit, is in charge of the prosecution.
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Lancaster County Woman Sentenced to 40 Months in Prison for Conspiracy to Distribute CocaineRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Moniqua Ramirez, age 44, of Lancaster, Pennsylvania, was sentenced to 40 months in prison by U.S. District Court Judge Jennifer P. Wilson following her conviction of conspiracy to distribute cocaine.
According to United States Attorney Gerard M. Karam, Ramirez conspired with others to smuggle kilograms of cocaine into Central Pennsylvania through the U.S. Mail. The cocaine was shipped in Puerto Rico and mailed to various drop locations in Lancaster, where the parcels were retrieved by conspirators for further distribution. They also engaged in street level drug trafficking, including selling heroin and fentanyl to customers. The conspirators transported cash back to Puerto Rico in furtherance of the trafficking. A jury convicted Ramirez of conspiracy to traffic cocaine after a three-day jury trial that concluded in November 2023.
Ramirez’s coconspirators, Jonathan Lopez Arizmendi, Ricardo Soto, Ricky Sanchez, Angel Leon-Rivera, Omar Carmenaty Morales, and Lucas Doel Gonzalez-Alvarado, pleaded guilty. They were sentenced as follows:
- Jonathan Arizmendi was sentenced to 150 months in prison.
- Ricardo Soto was sentenced to 46 months in prison.
- Ricky Sanchez was sentenced to 36 months in prison.
- Lucas Doel Gonzalez-Alvarado was sentenced to 97 months in prison.
Angel Leon-Rivera and Omar Carmenaty Morales are awaiting sentencing.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the U.S. Drug Enforcement Administration (DEA), the Pennsylvania State Police, the United States Postal Inspection Service, Lancaster County Drug Task Force and York County Drug Task Force. Assistant U.S. Attorney Michael Consiglio is prosecuting the case.
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Justice Department Sues Oklahoma City Public Schools to Protect Servicemember Reemployment RightsRead the Press Release
The Justice Department has sued Oklahoma City Public Schools (OKCPS) to protect rights guaranteed to an Air Force Reserve Senior Airman, Michael J. McCullough, by the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA). The lawsuit, filed in the U.S. District Court for the Western District of Oklahoma, alleges that OKCPS violated USERRA when it failed to reinstate McCullough in a teacher position upon his return from a military deployment.
“We owe a solemn duty to protect the rights of our servicemembers when called upon to defend our nation. This lawsuit reinforces the Justice Department’s strong commitment to protecting the rights of those who wear the uniform proudly,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “USERRA provides important reemployment protections, and we must act when any employer denies them an opportunity to earn a living because they are called to duty.”
“Service members are called to leave their home and work to serve and protect us,” said U.S. Attorney Robert J. Troester for the Western District of Oklahoma. “It is our job to make sure their employment rights are protected once they return home. My office will continue to vigorously defend the rights justly earned by those who serve our country.”
According to the complaint, McCullough was employed by OKCPS as a music teacher in January 2022. He was under contract for the remainder of the school year, and his principal told him that she wanted him to return to teach the following year. In February 2022, McCullough was ordered to perform military service. When he notified his principal, she suggested it would be easier if he just resigned his teaching position. Less than a month later, during his deployment, OKCPS advised McCullough that his contract for the 2022-2023 school year would not be renewed. Prior to and on his return from active military duty, OKCPS refused McCullough’s repeated requests for reemployment, despite available positions. The lawsuit seeks lost wages, other employment benefits and other remedies. The complaint also seeks liquidated damages because this is the second time that OKCPS’ refusal to reemploy McCullough following military service has required USERRA enforcement action.
USERRA protects the rights of uniformed servicemembers to reemployment in their civilian employment following absences due to military service obligations and provides that servicemembers shall not be discriminated against because of their military obligations. The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.justice.gov/crt-military/employment-rights-userra and www.justice.gov/servicemembers as well as on the Department of Labor’s website at www.dol.gov/vets/programs/userra.
The Department of Labor’s Veterans’ Employment and Training Service investigated the case and referred the case to the Justice Department.
Trial Attorney Robert Galbreath of the Civil Rights Division’s Employment Litigation Section and Assistant U.S. Attorney Emily Fagan for the Western District of Oklahoma are handling the case.
Justice Department Seeks to Shut Down Miami Tax Return Preparers and Their Tax Preparation BusinessesRead the Press Release
The Justice Department’s Tax Division filed a civil injunction suit today to permanently bar Niclas Pierre and Elius Bessard and their tax return preparation businesses, Niclas Tax and Express Inc. and Bessard Immigrations and Tax Services LLC, from preparing federal tax returns for others. The United States also seeks an order requiring the defendants to disgorge to the United States their ill-gotten preparation fees.
The complaint, filed in the U.S. District Court for the Southern District of Florida, alleges that Pierre and Bessard, through their businesses, prepared and filed over 8,000 federal income tax returns for customers since at least 2018. According to the complaint, Pierre and Bessard used a variety of schemes to claim false deductions and credits, including knowingly reporting fake or inflated business expenses and fraudulent losses from the supposed sale of personal investments and business property and fraudulently claiming various credits like the Residential Energy Credit and the American Opportunity Credit, all without customers’ knowledge. The complaint alleges Pierre and Bessard hid their fraudulent activity by not identifying themselves as the return preparer, and instead listed another person as the return preparer or listed no one at all.
According to the complaint, the defendants’ fraudulent activities have cost the United States millions of dollars in lost tax revenue, but the exact loss is difficult to estimate because of the complexity of their schemes and their failure to consistently identify themselves as the tax return preparers.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Attorneys from the Tax Division are handling the case.
Taxpayers seeking a return preparer should remain vigilant against dishonest tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS warns taxpayers to avoid ghost preparers and lists other improper acts that tax preparers engage in to take advantage of their unsuspecting customers. The IRS also offers guidance on the credentials and qualifications that taxpayers should seek from their return preparer.
In the past decade, the Justice Department’s Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
U.S. v. Pierre et al Complaint.pdfJury convicts woman of wire fraud for submitting altered bank statements with a business line of credit applicationRead the Press Release
MIAMI – On May 22, a Fort Lauderdale federal jury convicted Elaine Escoe, 39, of Delray Beach, Florida of wire fraud after submitting altered bank statements in an attempt to fraudulently obtain a line of credit for her business.
Escoe submitted altered bank statements in support of an application for a business line of credit. The altered bank statements obscured the true name of the bank account along with inflated cash balances.
A sentencing hearing is scheduled for Aug. 14 before U.S. District Judge Melissa Damian. Escoe faces up to 20 years in prison. The federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, made the announcement.
FBI Miami investigated the case. Assistant U.S. Attorneys Jonathan Bailyn and Katie L. Sadlo prosecuted the case. Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 24-CR-80010.
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Jury Finds Foreign Nationals Guilty on All Counts for Multiple Drug Crimes Involving the Sale and Distribution of Oxycodone via the Dark WebRead the Press Release
SALT LAKE CITY, Utah – After a two week trial, a federal jury in Salt Lake City returned a guilty verdict against two foreign nationals on all counts and returned a special verdict form requiring the forfeiture of $380,395.64 in cash.
On May 20, 2024, Oluwole Adegboruwa, 54, of Las Vegas, Nevada, and Enrique Isong, 49, of Los Angeles, California, were found guilty of multiple federal crimes including conspiracies to distribute oxycodone and commit money laundering. During the conspiracies, Adegboruwa and Isong used the U.S. Mail and interstate commerce to commit their crimes, which generated more than $8 million in criminal proceeds.
According to evidence presented at trial, from October 2016 through May 2019, Adegboruwa, sold more than 300,000 oxycodone pills to customers on dark web marketplaces, including Hansa, Dream Market, Wall Street Market, and Alphabay (which have since been dismantled by law enforcement). Customers paid Adegboruwa, who operated his vendor pages as “King Odua” and “Alagbada726,” with cryptocurrency, including Bitcoin and Ethereum, which he later sold for traditional currency.
Adegboruwa testified at trial and admitted that he was the only one who had access to his vendor pages on the dark web markets to process orders from customers. He then directed others in Las Vegas and in Los Angeles to package and ship the pills around the United States.
Jurors convicted Adegboruwa under what is commonly referred to as the “kingpin statute” for organizing a continuing criminal enterprise and directing at least five others in the drug distribution conspiracy.
At trial, the jury also heard testimony from co-defendants who have already pleaded guilty. They described the ways in which Adegboruwa directed them to sort, package, and ship oxycodone pills to minimized damage and detection. The jury also heard from a Utah customer who discussed the process of ordering from Adegboruwa’s dark web vendor pages and how the ordered products arrived at his home via U.S. Postal Service Priority Mail.
After the jury returned guilty verdicts against Adegboruwa and Isong on all counts, they returned a special verdict form on May 22, 2024, requiring Adegboruwa to forfeit $380,395.64 in cash, $15,500 in lieu of a 2017 Dodge Charger, and 26 money orders totaling $9,400. The jury also found that Adegboruwa had to forfeit cryptocurrency now valued at more than $15 million.
Adegboruwa and Isong are scheduled for sentencing in August 2024 at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City.
United States Attorney Trina A. Higgins of the District of Utah made the announcement.
The case is being investigated jointly by the U.S. Postal Inspection Service (USPIS), Drug Enforcement Administration (DEA), and Internal Revenue Service Criminal Investigation (IRS-CI).
Assistant United States Attorneys Thaddeus J. May, Jennifer E. Gully, and Stewart M. Young of the U.S. Attorney’s Office for the District of Utah are prosecuting the case.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach.
Johnston Man Sentenced to Ten Years in Prison for Trafficking Thousands of Fentanyl PillsRead the Press Release
PROVIDENCE, RI – The leader of a fentanyl trafficking conspiracy that distributed and possessed enough fentanyl to create more than two million potentially lethal doses of the drugs has been sentenced to ten years in federal prison, announced United States Attorney Zachary A. Cunha.
Jonathan King, 33, of Johnston, who previously admitted to a federal judge that he arranged for the sale and delivery of thousands of fentanyl-laced pills, some of which were delivered at his direction by family members, including his father, was convicted in U.S. District Court on June 7, 2022, of conspiracy to distribute more than 400 grams of fentanyl and distribution of 400 grams or more of fentanyl. He was sentenced today by U.S. District Court Chief Judge John J. McConnell, Jr., to 120 months of incarceration to be followed by five years of federal supervised release.
“The defendant’s drug distribution network put countless Rhode Island lives at risk for his own selfish gain,” remarked U.S. Attorney Cunha. “This prosecution, and today’s decade-long sentence should make one thing clear: in a time when overdose rates in our state remain at crisis levels, and every city and town in Rhode Island has seen opioid overdose deaths, we are determined to use every federal law enforcement tool at our disposal to stop combat significant opioid traffickers.”
“The state of Rhode Island is faced with a fentanyl crisis unlike ever before as deaths continue to soar,” said Acting DEA Special Agent in Charge Stephen P. Belleau, New England Field Division. “Those responsible for distributing lethal drugs like fentanyl disguised in pills to the citizens of Rhode Island need to be held accountable for their actions. Today’s sentence holds Mr. King accountable for his crimes and we will continue to work with our law enforcement partners to put other callous distributers like him behind bars. Make no mistake, DEA will aggressively pursue Drug Trafficking Organizations who are distributing this poison in order to profit and destroy people’s lives.”
At today’s sentencing hearing, King was ordered to forfeit proceeds derived from his drug trafficking activities to include a Jaguar XF and $6,750 in cash seized at the time of his arrest on July 20, 2021.
The case was prosecuted by Assistant U.S. Attorney G. Michael Seaman, with the assistance of Assistant U.S. Attorney Lee H Vilker.
The matter was investigated by the Rhode Island Drug Task Force, comprised of personnel from the DEA; Internal Revenue Service Criminal Investigation; Rhode Island State Police; Cranston Police Department; Middletown Police Department; Newport Police Department; Pawtucket Police Department; Providence Police Department; Warwick Police Department; Woonsocket Police Department; and Amtrak Police.
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Jefferson Parish Man Pleads Guilty to Violating Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – DEON SHORT (“SHORT”), age 27, a resident of Jefferson Parish, pleaded guilty on May 21, 2024, before Chief U.S. District Judge Nannette Jolivette Brown, to conspiracy to distribute cocaine, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(C), and 846, announced U.S. Attorney Duane A. Evans.
According to court documents, in June 2022, representatives from the Jefferson Parish Sheriff’s Office and Drug Enforcement Administration (DEA) initiated a joint investigation into SHORT as a member of a co-conspirator’s cocaine distribution organization. As part of the investigation, agents utilized a DEA Confidential Source to make a controlled purchase of 125 grams of cocaine from SHORT.
SHORT faces up to twenty years imprisonment, a fine of up to $1,000,000, at least three years of supervised release following any term of imprisonment, and a $100 mandatory special assessment fee.
This case was investigated by the Drug Enforcement Administration and Jefferson Parish Sheriff’s Office. The prosecution is being handled by Assistant United States Attorney J. Benjamin Myers of the Financial Crimes Unit.
Israeli Man Admits Conspiring with Convicted Ponzi Schemer and Others to Defraud Investors of Tens of Millions of Dollars, to Launder Money, and to Obstruct JusticeRead the Press Release
TRENTON, N.J. – An Israeli man today admitted conspiring with Eliyahu "Eli" Weinstein, whose 24-year federal prison sentence was commuted after being twice convicted of defrauding investors of a total of $230 million, and others to defraud investors of more than $35 million in a new fraud scheme, and to conspiring to engage in money laundering and obstruct justice, U.S. Attorney Philip R. Sellinger announced.
Shlomo Erez, 56, of Israel, pleaded guilty before U.S. District Judge Michael A. Shipp in Trenton federal court to an information charging him with one count of conspiracy to commit securities fraud, one count of conspiracy to commit money laundering, and one count of conspiracy to obstruct justice.
U.S. Attorney Philip R. Sellinger“Shlomo Erez admitted to helping Eliyahu ‘Eli’ Weinstein, a twice convicted fraudster whose sentence was commuted by the then President of the United States, hide his identity from investors, ripping them off to the tune of millions of dollars and evading hundreds of millions of dollars in restitution to victims of Weinstein’s prior fraud schemes. This scheme used phony identities and false promises of access to deals involving scarce medical supplies, baby formula, and first-aid kits supposedly destined for wartime Ukraine to defraud victims. Erez will now face justice for his crimes, and we will continue to prosecute the other alleged conspirators.”
“Financial crimes like the charges Shlomo Erez pled guilty to today cause great emotional harm to the numerous victims who trusted this defendant with their hard earned money,” Jenifer L. Piovesan, Special Agent in Charge, IRS Criminal Investigation, Newark Field Office, said. “We will continue to aggressively investigate cases of people who victimize others for their own financial gain.”
Four of Erez’s conspirators – Christopher Anderson, 47, Richard Curry, 36, Alaa Hattab, 35, and Joel Wittels, 57 – previously pleaded guilty to conspiracy to commit securities fraud. Wittels also pleaded guilty to conspiracy to obstruct justice and to conspiracy to engage in the unlicensed wholesale distribution of prescription drugs. All are awaiting sentencing. Charges are still pending against conspirators Weinstein and Aryeh “Ari” Bromberg.
According to documents filed in this case and statements made in court:
Weinstein was convicted two times in New Jersey federal court for defrauding investors. His first case involved a real estate Ponzi scheme, and his second case stemmed from additional fraud Weinstein committed while on pretrial release. For these crimes, which resulted in combined losses to investors of approximately $230 million, Weinstein was sentenced to serve 24 years in prison, followed by three years of supervised release. On Jan. 19, 2021, after Weinstein had served less than eight years, the president of the United States at that time commuted Weinstein’s term to time served, leaving intact the rest of his sentence.
Soon after being released from prison, Weinstein began orchestrating a new scheme to solicit money from investors through a company called Optimus Investments Inc. (Optimus). Using the fake name “Mike Konig,” Weinstein ran Optimus with Bromberg and Wittels.
Weinstein, Bromberg, and Wittels received the bulk of investor money through a second company, Tryon Management Group LLC, which was owned and controlled by Anderson and Curry. Tryon promised these individual investors – consisting mostly of friends and family – lucrative opportunities to invest in deals involving COVID-19 masks, scarce baby formula, and first-aid kits supposedly bound for wartime Ukraine. Posing as Mike Konig, Weinstein provided the information for these supposed deals. Based on that information, investors gave money to Tryon, believing the deals were legitimate and not knowing about Weinstein’s involvement. In turn, Tryon transferred those funds to Weinstein, through Optimus. Erez served as a purported custodian of Optimus funds for Optimus’ investors. After receiving investor money, Erez conducted numerous financial transactions at Weinstein’s direction for purposes other than what investors were promised, including investing in a penthouse apartment in Miami, Florida, and a purported land deal in Morocco.
In February 2022, almost immediately after Tryon and Optimus started receiving investor money, Tryon was unable to pay its investors. Rather than reveal this information to investors, the conspirators agreed to pool money from existing investors of both Optimus and Tryon and use it to make monthly payments to other investors in a Ponzi-like fashion. The conspirators concealed this arrangement from investors by falsely telling investors that the payments derived from legitimate investment returns, not other investors’ money.
In late August 2022, the conspirators had a series of meetings in which Weinstein revealed his true identity to Anderson and Curry. In these meetings, at least two of which included Erez, Weinstein also admitted to making various false statements about purported Optimus deals and to misappropriating Tryon investor money. Both during and after these August 2022 meetings, the conspirators agreed to continue concealing Weinstein’s identity from investors and to raise additional money to pay off existing Tryon investors, all in an effort to stop the Ponzi scheme from falling apart and to cover up the conspirators’ fraud.
In addition to defrauding investors, Erez also conspired with Weinstein and others to launder the proceeds of their crimes. Erez opened bank accounts to hold money for Weinstein that Erez knew was the proceeds of unlawful activity, including the fraud scheme, and transferred it for the benefit of Weinstein and his conspirators. Erez also created entities to invest ill-gotten funds in real estate companies for the benefit of Weinstein and his associates.
Erez also conspired with Weinstein, Bromberg, and others to obstruct justice. They helped hide Weinstein’s assets that should have been used to pay over $200 million in restitution that he still owes his previous victims. They also concealed Weinstein’s myriad business activities, which he was required to disclose to the court and which were expressly prohibited by the terms of his supervised release.
Conspiracy to commit securities fraud and conspiracy to obstruct justice are each punishable by a maximum of five years in prison and a maximum fine of either $250,000 or twice the gain or loss from the offense, whichever is greatest. Conspiracy to commit money laundering is punishable by a maximum of twenty years and a statutory maximum fine equal to the greatest of $500,000 or twice the value of the property involved in the transaction, whichever is greatest. Sentencing for Erez is scheduled for Nov. 5, 2024.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge Dennehy, and the IRS-Criminal Investigation, Newark Field Office, under the direction of Special Agent in Charge Jenifer L. Piovesan, with the investigation leading to the charges in this case. He also thanked the Securities and Exchange Commission, under the direction of Antonia Apps, Director of the SEC’s New York Regional Office.
The government is represented by Assistant U.S. Attorneys Jonathan Fayer, Carolyn Silane, Mark Pesce of the Economic Crimes Unit in Newark.
The charges against Weinstein and Bromberg are merely accusations, and they are presumed innocent unless and until proven guilty.
erez.information.pdfIllinois Man Sentenced to 92 Months in PrisonRead the Press Release
HAMMOND- Charles Thompson, 49 years old, of Forest Park, Illinois, was sentenced by United States District Court Senior Judge James T. Moody after pleading guilty to conspiracy to distribute cocaine, announced United States Attorney Clifford D. Johnson.
Thompson was sentenced to 92 months in prison followed by 2 years of supervised release.
According to documents in the case, on three occasions between January 2021, and August 2021,
Thompson conspired with others to distribute cocaine. Thompson’s criminal history includes prior felony convictions for aggravated traffic and controlled substances offenses, including a prior 1995 delivery of cocaine conviction.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. This case was prosecuted by Assistant United States Attorney Michael J. Toth.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Huntington Man Sentenced to Prison for Aggravated Identity TheftRead the Press Release
HUNTINGTON, W.Va. – George West, 53, of Huntington, was sentenced today to two years in prison, to be followed by one year of supervised release, and ordered to pay $14,456.45 in restitution and forfeit $14,456.45 for aggravated identity theft.
According to court documents and statements made in court, on January 12, 2022, West was employed by a Huntington business when he forged the name of the business’s owner on a $780 check that West wrote on the business’s bank account. West gave the forged check to his then-roommate for rent that West owed. West admitted that he was not authorized to write the check or to sign it with the owner’s name, and that he was not entitled to the money. West further admitted that he falsely told the roommate that the check represented money owed by the business owner to West, and that the owner made the check payable to the roommate to cover West’s debt.
West also stole two checks from the roommate, writing each for $780 to pay two month’s worth of rent and signing them with his roommate’s name. West admitted that he was not entitled to that money, and that he knew that his roommate had not authorized him to write the checks or sign them in his name.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Huntington Police Department, and the Charleston Police Department.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Jonathan T. Storage prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-89.
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Honduras-Based Leader of Migrant Smuggling Organization SentencedRead the Press Release
The leader of a migrant smuggling organization was sentenced today to 10 years in prison for her role in smuggling over 100 migrants from Honduras to the United States for profit.
“Today’s sentencing is the latest example of the great work of Joint Task Force Alpha (JTFA), which we launched nearly three years ago to hold accountable the most prolific and dangerous human smuggling groups, and which has obtained more than 240 convictions to date,” said Attorney General Merrick B. Garland. “This defendant exploited vulnerable migrants for her own profit, risking their lives and our national security in the process. Together with our partners across the federal government, the Justice Department will continue our efforts to dismantle and disrupt human smuggling networks like those the defendant operated.”
“Today’s sentencing again highlights the extraordinary work being done by our Homeland Security Investigations (HSI) and U.S. Customs and Border Protection personnel who, day in and day out, are relentless in their mission to disrupt and dismantle dangerous smuggling operations and to secure our border,” said Secretary of Homeland Security Alejandro N. Mayorkas. “This sentencing is a testament to the partnership and collaboration this Administration has strengthened across the federal enterprise, and with our allies in countries such as Honduras and Mexico, to crack down on criminal organizations. We will continue our work alongside our federal, state, and local partners to attack the ruthless smuggling operations that prey on the vulnerable and cause so much death and trauma.”
“Cooperation and collaboration are key tools in protecting America from the reach of international human smuggling organizations,” said U.S. Attorney Gary Restaino for the District of Arizona. “We thank Honduras for its willingness to extradite, the various local agencies who interdicted migrants and helped us make the connection to a larger organization, and all of the JTFA partners for dismantling a smuggling network.”
According to court documents, Maria Mendoza-Mendoza, also known as La Guera, 52, of Honduras, coordinated the movement of migrants from Honduras to the U.S.-Mexico border and to stash houses operated in Phoenix, Arizona, where the migrants would be detained until their smuggling fees were paid. The smuggling organization utilized funnel accounts to collect millions of dollars in smuggling fees. Mendoza-Mendoza exercised her authority within the organization to assess punitive sanctions—she threatened to “bleed out” a guide as punishment and demanded that a migrant whose family did not pay his smuggling fee be thrown “back in the desert.”
“Human smuggling is an insidious crime and one that this defendant participated in over 100 times—all for profit,” said Special Agent in Charge Fransisco B. Burrola of HSI Arizona. “Human smugglers do nothing but prey on vulnerable people who at times pay with their lives while crossing the border. Smugglers endanger and exploit people by using dangerous networks that threaten the safety of our communities and our national security; HSI is committed to combatting this type of cross border crime along with our partner law enforcement agencies. Let this sentencing serve as a warning to other smugglers contemplating their continued participation—prison awaits you.”
Mendoza-Mendoza was indicted in January 2018 and extradited from Honduras to the United States in June 2023. Mendoza-Mendoza pleaded guilty on Jan. 24 to conspiracy to transport illegal aliens for profit.
This prosecution resulted from the coordinated efforts of JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Justice Department, in partnership with the Department of Homeland Security (DHS), to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The task force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime. Since its creation in June 2021, JTFA has achieved significant results, including 305 arrests, including against leaders, organizers, and significant facilitators; 242 U.S. convictions; 175 U.S. defendants sentenced, including significant jail sentences imposed; substantial seizures and forfeiture of assets and contraband, including hundreds of thousands of dollars in cash, real property, vehicles, firearms and ammunition, and drugs; multiple indictments and successful extradition requests against foreign leadership targets.
HSI Sells Office investigated the case, with significant assistance from the U.S. Border Patrol’s Tucson Sector and numerous state and local law enforcement agencies throughout the country. The Justice Department’s Office of International Affairs worked with law enforcement partners in Honduras to secure the arrest and extradition of Mendoza-Mendoza. The U.S. Marshals Service assisted with the extradition efforts.
The U.S. Attorney’s Office for District of Arizona prosecuted the case.
Honduras-Based Leader of Alien Smuggling Organization Sentenced to 120 Months in PrisonRead the Press Release
TUCSON, Ariz. – Maria Mendoza-Mendoza aka “La Guera”, 52, of Honduras, was sentenced today by United States District Judge Raner C. Collins to 120 months in prison, followed by three years of supervised release. Mendoza-Mendoza pleaded guilty to Conspiracy to Transport Illegal Aliens for Profit.
“Today’s sentencing is the latest example of the great work of Joint Task Force Alpha, which we launched nearly three years ago to hold accountable the most prolific and dangerous human smuggling groups, and which has obtained more than 240 convictions to date,” said Attorney General Merrick B. Garland. “This defendant exploited vulnerable migrants for her own profit, risking their lives and our national security in the process. Together with our partners across the federal government, the Justice Department will continue our efforts to dismantle and disrupt human smuggling networks like those the defendant operated.”
“Cooperation and collaboration are key tools in protecting America from the reach of international human smuggling organizations,” said United States Attorney Gary Restaino. “We thank Honduras for its willingness to extradite, the various local agencies who interdicted migrants and helped us make the connection to a larger organization, and all of the Joint Task Force Alpha partners for dismantling a smuggling network.”
“Human smuggling is an insidious crime and one that this defendant participated in over 100 times – all for profit,” said Fransisco B. Burrola, special agent in charge for HSI Arizona. “Human smugglers do nothing but prey on vulnerable people who at times pay with their lives while crossing the border. Smugglers endanger and exploit people by using dangerous networks that threaten the safety of our communities and our national security; HSI is committed to combatting this type of cross border crime along with our partner law enforcement agencies. Let this sentencing serve as a warning to other smugglers contemplating their continued participation – prison awaits you.”
Mendoza-Mendoza was the leader of a smuggling organization that smuggled over 100 migrants from Honduras to the United States. As the leader, she coordinated the movement of migrants from Honduras to the United States/Mexico border and to stash houses operated in Phoenix, Arizona, where the migrants would be detained until their smuggling fees were paid. The organization utilized funnel accounts to collect millions of dollars in smuggling fees. Mendoza-Mendoza exercised her authority within the organization to assess punitive sanctions—she threatened to “bleed out” a guide as punishment and demanded that a migrant whose family did not pay his smuggling fee be thrown “back in the desert.”
Mendoza-Mendoza was indicted in January 2018 and extradited from Honduras to the United States in June 2023. In determining Mendoza-Mendoza’s sentence, Judge Collins found that the conspiracy involved several aggravating factors, including smuggling unaccompanied minors, possession of a firearm, intentionally or recklessly creating a substantial risk of death, and detaining migrants through coercion or threat in connection with a demand for payment.
This prosecution resulted from the coordinated efforts of Joint Task Force Alpha (JTFA). The U.S. Attorney’s Office for the District of Arizona is part of JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security (DHS), to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The Task Force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime. Since its creation in June 2021, JTFA has achieved significant results, including 305 arrests, including against leaders, organizers, and significant facilitators; 242 U.S. convictions; 175 U.S. defendants sentenced, including significant jail sentences imposed; substantial seizures and forfeiture of assets and contraband, including hundreds of thousands of dollars in cash, real property, vehicles, firearms and ammunition, and drugs; multiple indictments and successful extradition requests against foreign leadership targets.
Homeland Security Investigations – Sells Office conducted the investigation in this case, with significant assistance from Customs and Border Protection’s United States Border Patrol’s Tucson Sector, and numerous state and local law enforcement agencies throughout the country. The United States Marshals Service assisted with the extradition efforts. The Justice Department’s Office of International Affairs worked with law enforcement partners in Honduras to secure the arrest and extradition of Mendoza-Mendoza. The United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-18-0078-TUC-RCC
RELEASE NUMBER: 2024-069_Mendoza-Mendoza# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.Hays man sentenced to more than six years in prison for assaulting, seriously injuring woman on Fort Belknap Indian ReservationRead the Press Release
GREAT FALLS — A Hays man who admitted to beating and seriously injuring a woman on the Fort Belknap Indian Reservation was sentenced today to six years and eight months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
The defendant, Avery Jordon Boe, 39, pleaded guilty in January to assault resulting in serious bodily injury.
Chief U.S. District Judge Brian M. Morris presided.
The government alleged in court documents that on April 29, 2021 near Hays, Boe assaulted the victim, identified as Jane Doe, by strangling her several times and throwing a rock at her, breaking her arm. Boe did not kill her because he had a seizure. Jane Doe initially lied to the officers about her injuries because she was afraid of Boe.
The U.S. Attorney’s Office prosecuted the case. The FBI and Fort Belknap Law Enforcement conducted the investigation.
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Greenwich Man Sentenced to Federal Prison for Possessing Child Sex Abuse Images and VideosRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut announced that CHRISTOPHER BATES JR., 37, of Greenwich, was sentenced today by U.S. District Judge Victor A. Bolden in New Haven to 24 months of imprisonment, followed by five years of supervised release, for possessing images and videos of child sexual abuse.
According to court documents and statements made in court, an international law investigation revealed that an IP address at Bates’ residence was being used to access the dark web to view images and videos depicting the sexual abuse of children. On November 30, 2022, Homeland Security Investigations (HSI) agents interviewed Bates, who consented to a search of his electronic devices. A forensic review of one of his laptops revealed approximately 1,222 images and two videos depicting the sexual abuse of children, including infants.
Bates is an attorney admitted to practice in New York and Connecticut.
As part of his sentence, Bates was ordered to pay restitution of $15,000, an assessment of $17,000 to fund the Child Pornography Victims Reserve fund, and additional assessments of $5,100.
Bates was arrested on December 13, 2022. On February 7, 2024, he pleaded guilty to possessing and accessing with intent to view child pornography.
Bates, who is released on a $300,000 bond under electronic monitoring, is required to report to prison on July 11.
This matter was investigated by Homeland Security Investigations (HSI) with the assistance of the Greenwich Police Department. The case was prosecuted by Assistant U.S. Attorney Neeraj N. Patel.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Fresno Man Pleads Guilty to Possessing a Hand Grenade, Ammunition, and MethamphetamineRead the Press Release
FRESNO, Calif. — Eric Feldmann, 38, of Fresno, pleaded guilty today to possessing methamphetamine with intent to distribute and being felon in possession of a firearm and ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Dec. 24, 2023, Feldmann knowingly possessed an MKII hand grenade with a M204A2 Fuze in his car. The grenade was seized by police and destroyed. Feldmann also possessed methamphetamine and several boxes of .223 caliber ammunition. In 2017, Feldmann was convicted in Kings County of possession of a controlled substance for sale and is prohibited from possessing a firearm or ammunition.
This case is the product of an investigation by the Fresno Police Department and the Drug Enforcement Administration. Assistant U.S. Attorneys Justin J. Gilio and Cody S. Chapple are prosecuting the case.
Feldmann is scheduled to be sentenced by U.S. District Judge Jennifer L. Thurston on Oct. 15, 2024. Feldman faces a mandatory minimum of five years to a maximum of 40 years in prison and a fine of up to $5 million for possession of methamphetamine with intent to distribute, and a maximum of 15 years in prison and a $250,000 fine for being a felon in possession of a firearm and ammunition. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
Four Defendants Sentenced to a Combined 74 Years in Federal Prison for Child Exploitation OffensesRead the Press Release
FAYETTEVILLE – Four Northwest Arkansas people were recently sentenced to federal prison for child exploitation offenses. The Honorable Timothy L. Brooks presided over the sentencing hearings, which was held in the U.S. District Court in Fayetteville.
On May 9, 2024, Darlina Maree Jasso, age 33 of Berryville, Arkansas, was sentenced to 120 months without the possibility of parole after being convicted of Transporting a Minor across State Lines to Engage in Sexual Activity. According to court documents, in May of 2022, an officer with the Carroll County Sheriff’s Department contacted the Federal Bureau of Investigations after it was discovered that Jasso had transported a 15-year-old female from the state of Missouri to her Berryville residence, with the intent that she and her boyfriend engage in sexual activity with the minor. Law enforcement ultimately discovered a surveillance video on Jasso’s phone capturing sexual activity between the two adults and the minor. Law enforcement likewise found text message communications on the phone between the boyfriend and Jasso in which they detailed their plan to bring the minor down from her home in Missouri and the sexual conduct they intended to engage in with the minor.
On May 21, 2024, Charles Merchant, Age 32 of Berryville, Arkansas, was sentenced to 100 months in federal prison without the possibility for parole after being convicted of Transporting Child Pornography. Per court documents, in August of 2022, agents and task force officers with the Homeland Security Investigations received information that Merchant had uploaded images of child sexual abuse material to the social media platform KIK. Federal law enforced subsequently executed a search warrant at Merchant’s residence and discovered multiple images of child pornography.
On May 23, 2024, Aaron Hudson, known also as Sophie Anne Hudson, age 32 of Fayetteville, Arkansas, was sentenced to 72 months in federal prison without the possibility for parole after being convicted of Possession of Child Pornography. Per court documents, in December of 2021, agents and task force officers with the Homeland Security Investigations received information that an individual had uploaded images of a child sexual abuse material to a website known to law enforcement as a platform for viewing and trading child pornography. During the resulting investigation, federal law enforced executed a search warrant at Hudson’s Rogers residence and discovered multiple images of child pornography along with multiple child size dolls used for sexual activity.
On May 24, 2024, Nathan Scott Wright, age 38 of Rogers, Arkansas, was sentenced to 600 months in federal prison without the possibility for parole after being convicted of both Sexual Exploitation of a Minor via the Production of Child Pornography and Transporting Child Pornography. Per court documents, in October of 2022, agents and task force officers with the FBI received information that Wright had uploaded images to Google servers of him sexually abusing an approximately 4-year-old female. Officers of the Benton County Sheriff’s Department and the FBI subsequently executed a search warrant at Wright’s Rogers residence and discovered multiple images of child pornography, including those depicting WRIGHT sexually abusing at least one minor. At sentencing, the United States presented the Court with evidence that Wright took images of himself sexually abusing a second minor.
U.S. Attorney Clay Fowlkes of the Western District of Arkansas made the announcement.
The Federal Bureau of Investigation, Homeland Security Investigations, the Internet Crimes Against Children Taskforce, the Benton County Sheriff’s Office, and the Carroll County Sheriff’s Office investigated the cases.
Assistant U.S. Attorney Tyler Williams prosecuted these cases on behalf of the United States.
These cases were prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.