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17 May 2024
Vancouver, Washington man sentenced to two-and-a-half years in prison for illegally acquiring arsenal of guns, ammo and silencerRead the Press Release
Tacoma – A Brazilian National with multiple convictions for domestic violence assault, was sentenced today in U.S. District Court in Tacoma to 30 months in prison for federal felonies charging illegal possession of firearms, lying in connection with the purchase of firearms, falsely claiming U.S. citizenship, and unlawful possession of a firearm silencer, announced U.S. Attorney Tessa M. Gorman. Joao Ricardo DeBorba, 48, of Vancouver, Washington, has been detained at the Federal Detention Center at SeaTac since he was convicted at a bench trial in February 2024. He was sentenced today by Chief Judge David G. Estudillo.
According to records filed in the case, DeBorba entered the United States on a tourist visa in 1999. DeBorba overstayed the visa and falsified documents to work in the U.S. and to acquire firearms. In April 2019, while purchasing firearms in Portland and Lebanon, Oregon, and Lacey, Washington, DeBorba entered false information on government forms stating he was a U.S. citizen. Shortly after the first three gun purchases, DeBorba was arrested for drunken driving and was found to have a Glock pistol.
Despite that arrest, DeBorba continued to purchase firearms: a rifle in Gresham, Oregon, and a revolver in Vancouver, Washington, again providing false information about his citizenship on required forms.
In November 2019, DeBorba was arrested for domestic violence assault. DeBorba was served with a “No Contact” order and was instructed to surrender all of his firearms. On November 16, 2019, DeBorba was arrested for violating the no contact order and 20 firearms were seized from his residence.
In January 2022, DeBorba was convicted in a second case of domestic violence assault. He was again informed that he could not possess firearms.
When law enforcement served a search warrant at DeBorba’s residence, agents seized five firearms: three AR-15 style rifles with no serial numbers or manufacturers marks and two handguns – one without any serial number or manufacturers mark. The firearms, so-called “ghost guns,” appear to have been manufactured from parts ordered online.
In addition to the guns, DeBorba had a large amount of ammunition, a workbench with firearms parts and tools, firearms silencers, magazines, and various gun cases.
In asking the court for a five-year prison term, Assistant United States Attorney Max Shiner wrote to the court, “following his first reported domestic violence incident, DeBorba’s conduct only became more troubling. He increased his threatening conduct toward his wife. He threatened his roommates, who feared him because they knew he was accustomed to carrying a rifle with him. Despite having firearms seized from him, he replenished his cache of weapons and ammo, and began to obtain ghost guns as well as a firearm silencer, a highly restricted weapon under federal law.”
The case was investigated by the FBI, with assistance from the Vancouver Police Department, U.S. Immigration and Customs Enforcement (ICE), the Bureau of Alcohol, Firearms & Explosives (ATF), and the Social Security Office of Inspector General (SSA-OIG).
The case is being prosecuted by Assistant United States Attorney Max Shiner.
The case is US v. DeBorba CR22-5139-DGE
Utica Man Sentenced for his Role in Major Fentanyl ConspiracyRead the Press Release
UTICA, NEW YORK – Jose Morales, age 31, of Utica, was sentenced yesterday to serve 120-months in federal prison for conspiring to distribute fentanyl, and distribution and possession with intent to distribute fentanyl, announced United States Attorney Carla Freedman; Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division and Thomas Fattorusso, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation (IRS-CI), New York Field Office. Morales was also ordered to serve a 5-year term of supervised release following his sentence of imprisonment, pay a $200 special assessment and pay a $37,245 money judgment representing proceeds from the distribution of drugs.
As part of his previous guilty plea, Morales admitted that from May 2020 through October 2021, he acquired quantities of fentanyl from co-conspirators in the Rodriguez Drug Trafficking Organization (Rodriguez DTO), which he then re-distributed to others in the Utica, New York area. Morales admitted that during his participation in the conspiracy, the Rodriguez DTO distributed over 400 grams of fentanyl.
Morales was one of nine defendants charged in the Rodriguez DTO. Seven other defendants pled guilty and were previously sentenced:
- Ivan Rodriguez, Sr., the head of the Rodriguez DTO, pled guilty to one count of conspiring to distribute fentanyl and distribution of fentanyl and money laundering and was sentenced to 121 months incarceration.
- Eric Ares pled guilty to conspiring to distribute fentanyl and one count of possession with the intent to distribute fentanyl and was sentenced to 120 months incarceration.
- Ivan Rodriguez, Jr. pled guilty to conspiring to distribute fentanyl and was sentenced to 120 months incarceration.
- Jose Aponte pled guilty to conspiring to distribute fentanyl and one count of possession with the intent to distribute fentanyl and was sentenced to 40 months incarceration.
- Angel Calderon Ortiz pled guilty to conspiring distribute fentanyl and one count of possession with the intent to distribute fentanyl and was sentenced to 60 months incarceration.
- Edgar Tejada pled guilty to possession with the intent to distribute cocaine and possessing a firearm in furtherance of a drug trafficking crime, and was sentenced to 72 months incarceration.
- Harry Rodriguez pled guilty to two counts of possession with intent to distribute fentanyl, and was sentenced to 84 months incarceration.
On June 12, 2024, Bernabe Lopez, the last remaining defendant in the Rodriguez DTO, is scheduled to be sentenced in federal court in Utica. Lopez previously pled guilty to conspiring to distribute fentanyl, and distribution of fentanyl.
This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case is being investigated by the U.S. Drug Enforcement Administration (DEA), Internal Revenue Service-Criminal Investigations (IRS-CI), United States Homeland Security Investigations (HSI), United States Immigration and Customs Enforcement-Enforcement and Removal Operations (ICE-ERO), the New York State Police, the Oneida County Sheriff’s Office, the Oneida County District Attorney’s Office, the Utica Police Department, the Syracuse Police Department, the Rome Police Department, the Onondaga County Sheriff’s Office, the Onondaga County District Attorney’s Office, New York Army National Guard Counter Drug Program, the Yorkville Police Department, and the Whitesboro Police Department, and is being prosecuted by Assistant U.S. Attorney Tamara Thomson.
U.S. Attorney’s Office and law enforcement partners take action against money mules in order to disrupt transnational fraud schemes and educate the publicRead the Press Release
MIAMI – The U.S. Attorney’s Office for the Southern District of Florida, alongside its law enforcement partners to include FBI, U.S. Secret Service, and Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), are committed to educating the public regarding the Money Mule Initiative, an annual campaign to identify, disrupt, and criminally prosecute networks of individuals who transmit funds from fraud victims to international fraudsters. Fraudsters rely on money mules to facilitate a range of fraud schemes, including those that predominantly impact older Americans, such as lottery fraud, romance scams and grandparent scams as well as those that target businesses or government pandemic funds.
Law enforcement continues to take action to stop money mules responsible for facilitating a range of fraud schemes. Acts include criminal prosecutions designed to punish those intentionally assisting fraudsters and warning letters intended to advise those who may have been unknowingly recruited by fraudsters. In addition, the U.S. Attorney’s Office and our law enforcement partners continue to engage in outreach in order to educate the public about how fraudsters use money mules and how to avoid unknowingly assisting fraud by receiving and transferring money.
Many money mules begin as victims of romance or lottery scams and are unknowingly lured by fraudsters into transmitting fraud proceeds based on lies. Other money mules are recruited into what they initially believe to be legitimate work-at-home jobs.
“Our Office is committed to dismantling criminal networks, to include those designed to inflict financial harm upon older Americans,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “We will continue to work with our federal partners to disrupt money mule networks, educate consumers about scams, and prosecute criminals who defraud the public. Our goal is to keep money out of the hands of domestic and international fraudsters and in the pockets and bank accounts of the South Florida residents and visitors we serve.”
“Money mules help criminals launder illicit proceeds derived from online scams, financial frauds, drug trafficking, or other crimes to make it harder for law enforcement to accurately trace,” said Jeffrey B. Veltri, Special Agent in Charge, FBI Miami Field Office. “To be very clear, acting as a money mule is illegal. Go to FBI.GOV to learn more about this growing and pernicious problem.”
“The U.S. Secret Service remains dedicated to combatting financial crimes, including those involving money mules who unwittingly aid fraudsters in scams that target the elderly”, said Rafael Barros Special Agent in Charge of the U.S Secret Service, Miami Field Office. “By working closely with our law enforcement partners, we are committed to disrupting criminal networks and protecting the public from falling victim to these fraudulent schemes."
The U.S. Attorney’s Office for the Southern District of Florida has charged and will continue to charge defendants criminally for knowingly receiving and forwarding victim funds or otherwise laundering fraud proceeds. These cases include:
- Daphne De la Caridad Gonzalez, 23, of Miami, Florida, and Neovordo Gordon, 24, and Collins Oleh, 24, both of Pembroke Pines, Florida, were charged for their involvement in a money laundering conspiracy that spanned multiple continents and millions of dollars. According to court documents, federal agents began investigating a bank impersonation scheme in 2022. It is alleged that to facilitate the scheme a fraudster(s) would contact small business owners and impersonate their bank representatives to coerce them into giving sensitive bank account information. The fraudster(s) would then use the victim’s bank account information to log into the victim’s accounts and initiate wire transfers from the victim’s bank accounts into the accounts of various money launderers. According to allegations in the charging documents, Gonzalez, Gordon, and Oleh were among the money launderers that received fraud proceeds from the victim’s bank accounts. They would receive the funds themselves or assist others that they recruited in receiving the funds and withdrawing the money, keeping a portion and directing a portion back to the fraudster.
Gonzalez pled guilty and, on April 26, 2024, was sentenced to 46 months in prison for her role in the conspiracy, wherein she laundered between $1.5 million and $3.5 million dollars (Case No. 23-CR-20467). Gordon pled guilty on March 18, 2024, to laundering between $3.5 and $9.5 million dollars. He is scheduled to be sentenced on June 26, 2024 (Case No. 23-CR-20399).
Oleh is scheduled for trial on July 1, 2024 (Case No. 23-CR-20399). A criminal complaint and an indictment contain allegations. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
U.S. Secret Service and FDIC-OIG investigated the cases. Assistant U.S. Attorney Robert Moore and Michael Brenner are prosecuting the cases. Assistant U.S. Attorney Gabrielle Raemy Charest-Turken is handling asset forfeiture.
- Michael Gonzalez, 30, a Venezuelan national residing in Doral, Florida, was charged via superseding indictment with conspiring with two other men to commit money laundering (Case No. 20-CR-20515). According to Court records filed at the time of the co-conspirators’ guilty pleas, between 2018 and 2019 Gonzalez directed Jose Manuel Samame and Leonardo Villa Lazo to open bank accounts in South Florida in order to receive and withdraw hundreds of thousands of dollars sent by fraud victims around the country. The victims believed they were paying for goods and services they purchased via eBay, Booking.com, AirBNB, and other online marketplaces. Of course, the victims never actually received the goods and services, which included vintage automobiles, commercial vehicles, and short-term vacation rental homes.
According to Samame and Villa Lazo’s plea agreements, Gonzalez directed them to withdraw and transfer the victims’ money and to invite friends to participate in the scheme. Gonzalez assured Samame that the money came from a “fake website scam” and would “jump around,” thus ensuring the money mules would not get caught, according to the facts admitted by Samame during his guilty plea. In total, Gonzalez, Samame, and Villa Lazo, recruited at least four additional, high-school-age participants to receive, withdraw, and transfer the victims’ funds.
Samame, 25, and Villa Lazo, 24, each pled guilty on Feb. 10, 2021, to money laundering conspiracy charges. They received sentences of 18 and 13 months’ imprisonment, respectively, and were ordered to pay $127,646.00 in restitution to their victims.
Gonzalez is scheduled for trial on July 8, 2024. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
FBI Miami investigated the case. Assistant U.S. Attorney Christopher Browne is prosecuting it. Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture matters.
Consumers are encouraged to be on the lookout for signs someone is trying to recruit them to receive and transmit fraud proceeds. Do not agree to receive money or checks mailed to you or sent to your bank account for someone you have met over the phone or online. Do not open a bank or cryptocurrency account at someone else’s direction. Fraudsters will lie to persuade you to help them. They may falsely tell you that they are helping you get a lottery prize, initiate a purported romantic relationship and then tell you that they need money, or pretend to offer you a job, an opportunity to invest in a business venture, or the chance to help in a charitable effort.
If you or someone you know is age 60 or older and has experienced financial fraud, experienced professionals are standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Justice Department hotline, managed by the Office for Victims of Crime, can provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish, and other languages are available. The Federal Trade Commission also provides a hotline at 877-FTC-HELP and a website at www.ftccomplaintassistant.gov to receive consumer complaints.
More information about the Department’s efforts to help American seniors is available at its Elder Justice Initiative webpage. For more information about the Consumer Protection Branch and its enforcement efforts, visit www.justice.gov/civil/consumer-protection-branch. The Justice Department provides information about a variety of resources relating to elder fraud victimization through its Office for Victims of Crime, which are available at www.ovc.gov.
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.justice.gov/usao-sdfl.
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.
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Two additional South Florida residents plead guilty to health care fraud charges in diabetic test strip diversion schemeRead the Press Release
MIAMI – On May 10, two additional South Florida men pleaded guilty to conspiracy to commit health care fraud for their role in a diversion scheme involving the distribution of adulterated and misbranded diabetic test strips.
The scheme involved the acquisition of non-retail or international diabetic test strips (i.e., diabetic test strips intended by manufacturers for distribution only outside of the United States), for sale to licensed retail pharmacies as retail diabetic test strips to make a higher profit. The fraud scheme resulted in around $12 million in fraudulent proceeds.
Howard Neil Frank, 60, of Marco Island, Florida, owner of two diabetic test strip wholesale businesses, Wholesale Diabetic Supplies Inc and HMF Distributing Inc, and Perfecto Fermin Hallon, 77, of Miramar, Florida, former president of another diabetic test strip wholesale business, Medical Care Supplies Inc, acquired the diabetic test strips through illegal importations, theft, or by buying the diabetic test strips from patients who obtained prescriptions but chose to sell them rather than use them. The wholesale company owners then sold the adulterated and misbranded diabetic test strips to licensed retail pharmacies, some of which they also owned. These licensed retail pharmacies sold the adulterated and misbranded diabetic test strips to patients who did not know the real source of the diabetic test strips. In turn, these licensed retail pharmacies then submitted claims for reimbursement through private and government health benefit plans as retail diabetic test strips.
To deceive auditors and inspectors, Frank and Hallon altered invoices, purchase orders and shipping records, counterfeited National Drug Code (NDC) numbers, bar codes and accompanying labeling, to appear like they had acquired the diabetic test strip from legitimate manufacturers.
Hallon’s sentencing hearing is scheduled for May 29 in West Palm Beach. He faces up to 10 years in prison.
Frank’s sentencing hearing is scheduled for Aug. 2 in West Palm Beach. He faces up to 10 years in prison.
To date, a total of four defendants have been indicted in connection with this scheme.
In 2021, Mohamed Mokbel, was charged with conspiracy to commit health care fraud. The trial is scheduled for October in West Palm Beach. Mokbel is also charged with health care fraud and money laundering in the Southern District of Texas. The trial is scheduled for August in Texas.
In 2022, Jason Grama, who pleaded guilty to conspiracy to commit health care fraud, was sentenced to three years supervised release and ordered to pay almost $300,000 in restitution.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Justin C. Fielder of the U.S. Food and Drug Administration, Office of Criminal Investigations (FDA - OCI), Miami Field Office, announced the guilty plea.
FDA - OCI Miami investigated the case. Assistant U.S. Attorney Laurence M. Bardfeld is prosecuting the case. Assistant U.S. Attorney Daren Grove 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 21-cr-60113.
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Two Rapid City Men, one Rapid City Woman, and one Colorado Woman Sentenced for ConspiracyRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that Eighth Circuit Court of Appeals Judge Jonathan A. Kobes, sitting in district court in Rapid City, South Dakota, and U.S. District Judge Karen E. Schreier have sentenced two Rapid City, South Dakota, men, one Rapid City, South Dakota, woman, and one Denver, Colorado, woman convicted of Conspiracy to Distribute a Controlled Substance.
Mark Bond, age 59, was sentenced by Eighth Circuit Judge Kobes on May 15, 2024, to 26 years and eight months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Todd Pape, age 61, was sentenced by Eighth Circuit Judge Kobes on May 15, 2024, to 25 years in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Teresa Goodroad, age 41, was sentenced on May 15, 2024, by Judge Schreier to 17 years and six months in federal prison, followed by five years of supervised release, $1,000 fine, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Kaylee Heppner, age 37, was sentenced on May 15, 2024, by Eighth Circuit Judge Kobes to five years in federal prison, followed by three years of supervised release, $1,000 fine, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Bond and Pape were indicted by a federal grand jury in the summer of 2022, and pleaded guilty on March 11, 2024.
Goodroad and Heppner were indicted by a federal grand jury in the fall of 2023, and pleaded guilty on March 15, 2024.
These convictions stemmed from activities involving the large scale distribution of methamphetamine in Rapid City, South Dakota, and on the Pine Ridge Reservation. Goodroad and her significant other, Richard Glover, who is set to be sentenced later this summer, were the source of supply for Bond and Pape in South Dakota. During the course of the conspiracy, Bond and Pape would make trips to Colorado to pick up pounds of methamphetamine from Goodroad and Glover. Other times Goodroad and Glover would deliver the drugs to Bond and Pape in South Dakota. Once the drugs were in South Dakota it would be further distributed by multiple individuals, including Heppner. Between 15 and 45 kilograms of methamphetamine was distributed during the course of this criminal enterprise.
Co-defendant Marlena Pond was previously sentenced to six years in custody. Six other co-defendants are pending sentencing later this summer.
This case was investigated by the Badlands Safe Trails Drug Enforcement Task Force, which is comprised of agents from the FBI, South Dakota Division of Criminal Investigation, Bureau of Indian Affairs Division of Drug Enforcement, Martin Police Department, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
All four were immediately remanded to the custody of the U.S. Marshals Service following their respective sentencings.
Two Foreign Nationals Arrested for Laundering at Least $73M Through Shell Companies Tied to Cryptocurrency Investment ScamsRead the Press Release
An indictment was unsealed in the Central District of California yesterday charging two Chinese nationals alleging they played leading roles in a scheme to launder proceeds from cryptocurrency investment scams.
Daren Li, 41, a dual citizen of China and St. Kitts and Nevis, and a resident of China, Cambodia, and the United Arab Emirates, was arrested on April 12 at Hartsfield-Jackson Atlanta International Airport and subsequently transported to the Central District of California. Yicheng Zhang, 38, a Chinese national and resident of Temple City, California, was arrested yesterday in Los Angeles.
“Cryptocurrency investment scams exploit the borderless nature of virtual currency and online communications to defraud victims,” said Deputy Attorney General Lisa Monaco. “While fraud in the crypto markets takes on many forms and hides in many far-off places, its perpetrators aren’t beyond the law’s reach. Today, we announce the arrests of two foreign nationals charged for leading a scheme to launder funds to the tune of at least $73 million tied to an international crypto investment scam. These arrests — made possible through the assistance of our international and U.S. partners — reflect the Justice Department’s ongoing commitment to disrupting the entire cybercrime ecosystem and stopping fraud across all financial markets.”
According to court documents, Li, Zhang, and other conspirators allegedly managed an international syndicate that laundered proceeds of cryptocurrency investment scams, which are also known as “pig butchering.” Victims of the schemes under investigation were fraudulently induced into transferring millions of dollars to U.S. bank accounts opened in the names of dozens of shell companies whose sole apparent purpose was to facilitate the laundering of fraud proceeds. A network of money launderers then facilitated the transfer of those funds to other domestic and international bank accounts and cryptocurrency platforms in a manner designed to conceal the source, nature, ownership, and control of the funds. The fraud scheme involved more than $73 million laundered through U.S. financial institutions to bank accounts in The Bahamas, and converted to the virtual asset USDT, or Tether. A cryptocurrency wallet involved in the scheme received more than $341 million in virtual assets.
“As alleged in the indictment, Li and Zhang helped launder millions of dollars obtained from victims of cryptocurrency investment scams,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Money laundering is critical to the success of these scams, allowing fraudsters to quickly move illicit proceeds and try to make them appear legitimate. The arrests announced today demonstrate the Criminal Division’s commitment to disrupting the sophisticated financial networks on which these scams depend and holding those involved accountable, no matter where they may be found.”
“Sophisticated financial scams such as these are a dangerous threat to the financial wellbeing of all Americans,” said U.S. Attorney Martin Estrada for the Central District of California. “While my office will continue to root out and punish these deceitful schemes, I encourage everyone to educate themselves on pig butchering and other kinds of financial fraud to protect their families against such predatory activity. Vigilance is key.”
Li and Zhang allegedly instructed co-conspirators in the laundering network to open bank accounts in the names of various shell companies. Once the victims sent funds to the shell companies, Li and Zhang monitored the lower-level co-conspirators who transferred the proceeds overseas to bank accounts at Deltec Bank in The Bahamas. One of the Deltec Bank accounts was operated with the financial assistance of Li. The funds were then allegedly converted into cryptocurrency and sent to virtual-asset wallets, including at least one controlled by Li. Zhang allegedly also directly received victim funds. Communications revealed extensive coordination to facilitate the international money laundering, including chats discussing the commission structure for the network, various shell companies used, victim information, and at least one video from a conspirator calling a U.S. financial institution.
“Complex financial fraud schemes such as pig butchering present a clear and present threat to the financial infrastructure of the United States as countless numbers of Americans continue to be victimized by this predatory activity,” said Assistant Director of Investigations Brian Lambert of the U.S. Secret Service. “In 2023, the Secret Service with our partners recovered more than $1.1 billion in financial fraud and we are on pace to exceed that number this year. A special thank you to the special agents, support teams, and our prosecutorial partners for their exceptional work in bringing this case to justice.”
Li and Zhang are both charged with conspiracy to commit money laundering and six substantive counts of international money laundering. If convicted, the defendants face a maximum penalty of 20 years in prison on each count.
The U.S. Secret Service’s Global Investigative Operations Center is investigating the case. The Homeland Security Investigations’ El Camino Real Financial Crimes Task Force, Customs and Border Protection’s National Targeting Center, Dominican Republic National Drug Directorate Sensitive Investigative Unit and Fugitive Task Force, U.S. Marshals Service, Drug Enforcement Administration, and the Justice Department’s Office of International Affairs provided assistance.
The National Cryptocurrency Enforcement Team (NCET) of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) and U.S. Attorney’s Office for the Central District of California are jointly prosecuting the case. CCIPS/NCET Trial Attorney and Assistant U.S. Attorney Maxwell Coll for the Central District of California, CCIPS/NCET Trial Attorney Stefanie Schwartz, and Assistant U.S. Attorney Nisha Chandran for the Central District of California are prosecuting the case.
NCET was established to combat the growing illicit use of cryptocurrencies and digital assets. Within the CCIPS, NCET conducts and supports investigations into individuals and entities that enable the use of digital assets to commit and facilitate a variety of crimes, with a particular focus on virtual currency exchanges, mixing and tumbling services, and infrastructure providers. NCET also sets strategic priorities regarding digital asset technologies, identifies areas for increased investigative and prosecutorial focus, and leads the Department’s efforts to collaborate with domestic and foreign government agencies as well as the private sector to aggressively investigate and prosecute crimes involving cryptocurrency and digital assets.
If you or someone you know is a victim of a cryptocurrency investment fraud, report it to IC3.gov. In your complaint, please reference “Pig Butchering PSA.” Include as much information as possible in your report, including names of investment platforms, cryptocurrency addresses and transaction hashes, bank account information, and names and contact information of suspected scammers. Maintain copies of all communications with scammers and records of financial transactions.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two Defendants Sentenced to Federal Prison for Multimillion-Dollar Fraud Scheme Targeting Senior CitizensRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that two defendants were sentenced for participating in an international fraud conspiracy that targeted senior citizens in several states, including Michigan. Jmyla Elaine Sha’Taria White, 29, of Thonotosassa, Florida, was sentenced to 97 months in federal prison, three years of supervised release, and ordered to pay $3,224,549 in restitution to victims of the conspiracy that she defrauded. McKhaela Katelynn McNamara, 28, of Flint, Michigan, was sentenced to 51 months in federal prison, three years of supervised release, and ordered to pay $693,073 in restitution to victims.
“Our seniors are being targeted by financial scammers at an alarming rate,” said U.S. Attorney Totten. “My office is committed to educating the public about financial schemes that inflict financial harm and defraud unsuspecting victims of their hard-earned money. We will continue working with our local, state, and federal partners to hold fraudsters accountable and secure a measure of justice for their victims.”
White and McNamara were two of seven defendants charged last year with conspiracy to commit wire fraud. Both pled guilty in January 2024. When imposing the sentences, U.S. District Judge Jane M. Beckering said, “This is one of the most reprehensible fraud schemes I have seen. This wasn’t just a theft of money. It was a theft of dignity, and a theft of security. This was a heinous crime that devastated people who worked hard their whole lives, and now their money is gone.”
The fraud scheme began when victims received a message on their computers warning that a virus had infected their devices. The messages urged the victims to call a number to get help. When the victims called the number provided, they got a response from someone claiming to work for a tech company, such as Microsoft or Apple. In truth, they were scammers located in India, who scared the victims into giving money to the conspiracy with a variety of different ruses.
In one version of the scam, victims were told that their bank accounts had been compromised and they needed to withdraw all their cash and give it to fake “federal agents” for safekeeping. In another version, victims were told that their computers had been infected by a virus and they needed to pay for technical support. In a third version, victims were told that they had been identified in a criminal investigation and needed to turn over money to clear their names. Regardless of which ruse was used, the result was the same: victims were convinced to give money to the scammers. Victims did this during in-person meetings with fake “federal agents,” by mailing boxes of cash to addresses provided by the scammers, by wire transfers to bank accounts controlled by the scammers, or through gift cards they purchased at the direction of the scammers.
According to court records, White and McNamara personally met with victims to collect packages of money from them, which they then passed on to higher-level members of the conspiracy. White also recruited others to join the conspiracy. A victim in West Michigan lost $398,000 to the conspiracy.
“The defendants participated in an elaborate fraud conspiracy that targeted mostly elderly victims, resulting in the loss of millions of dollars,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “Every day, fraudsters are becoming more clever and organized to steal citizens’ hard-earned money, so it is important to report these crimes to the FBI for help. If you believe you may have fallen victim to a scheme like this, you can file a report at ic3.gov or contact our office at 313-965-2323.”
The Justice Department, FBI, and U.S. Postal Inspection Service recently announced the completion of “The Money Mule Initiative,” a national campaign to identify, disrupt, and criminally prosecute complex fraud schemes. These schemes often rely on “money mules” – people who receive fraudulent proceeds, retain a portion, and forward the remainder to a co-conspirator – to facilitate schemes that often originate overseas. Many “advance fee” fraud schemes target older Americans and use various false stories designed to manipulate victims to mail, wire, or hand money to “money mules” located in the United States.
This case was investigated by the Federal Bureau of Investigations (FBI), Homeland Security Investigations (HSI) in New Orleans, Louisiana, and the Lake County Sheriff’s Office in Michigan. Assistant United States Attorney Clay Stiffler prosecuted the case.
The charges against the other members of the conspiracy who have not yet pled guilty are merely accusations, and a defendant is presumed innocent until and unless proven guilty in a court of law.
For more information on preventing elder fraud and help for victims, visit the Department of Justice’s Elder Justice Initiative website, which includes a list of Michigan-specific resources. The FBI Elder Fraud website also provides several resources, including the following tips to help seniors protect themselves:
- Recognize scam attempts and end all communication with the perpetrator.
- Search online for the contact information (name, email, phone number, addresses) and the proposed offer. Other people have likely posted information online about individuals and businesses trying to run scams.
- Resist the pressure to act quickly. Scammers create a sense of urgency to produce fear and lure victims into immediate action. Call the police immediately if you feel there is a danger to yourself or a loved one.
- Be cautious of unsolicited phone calls, text messages, mailings, and door-to-door services offers.
- Never give or send any personally identifiable information, money, jewelry, gift cards, checks, or wire information to unverified people or businesses.
- Make sure all computer anti-virus and security software and malware protections are up to date. Use reputable anti-virus software and firewalls.
- Disconnect from the internet and shut down your device if you see a pop-up message or locked screen. Pop-ups are regularly used by perpetrators to spread malicious software. Enable pop-up blockers to avoid accidentally clicking on a pop-up.
- Be careful what you download. Never open an email attachment from someone you don't know, and be wary of email attachments forwarded to you.
- Take precautions to protect your identity if a criminal gains access to your device or account. Immediately contact your financial institutions to place protections on your accounts, and monitor your accounts and personal information for suspicious activity.
If you or someone you know is age 60 or older and has experienced financial fraud, experienced professionals are standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Justice Department hotline, managed by the Office for Victims of Crime, can provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish, and other languages are available. The Federal Trade Commission also provides a hotline at 877-FTC-HELP and a website at www.ftccomplaintassistant.gov to receive consumer complaints.
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Tohatchi Man Charged with Second Degree Murder and Federal Firearms OffensesRead the Press Release
ALBUQUERQUE – A Tohatchi man was charged by criminal complaint with second degree murder and using, carrying and brandishing a firearm during and in relation to a crime of violence for the fatal shooting of Jane Doe on the Navajo Reservation.
Augustus Benallie, 51, an enrolled member of the Navajo Nation, appeared before a federal judge today and was detained pending a detention hearing, which is scheduled for May 20, 2024.
According to the criminal complaint, on May 12, 2024, the Navajo Police Department received an emergency call regarding a shooting near Tohatchi, New Mexico, within the Navajo Nation. EMS responded to the coordinates the caller provided and found Jane Doe inside a residence with an apparent gunshot wound.
Medical personnel attempted to transport Jane Doe to a staging location for medivac to a trauma center, but Jane Doe died enroute.
Benallie was arrested on May 13, 2024, after stabbing himself with a kitchen knife.
If convicted of the current charges, Benallie faces up to life in prison.
U.S. Attorney Alexander M.M. Uballez, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, made the announcement today.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department and the Navajo Department of Criminal Investigations. Assistant United States Attorney Mia Ulibarri-Rubin is prosecuting the case.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Three Juveniles Charged as Adults with Armed Carjacking, Armed Robbery, and Related ChargesRead the Press Release
WASHINGTON – Keiphone Bennett, 17, Kevin Edwards, 16, and Asia Clark, 17, of Washington, D.C., were presented in Superior Court on May 16, 2024, and charged as adults for their participation in a series of armed carjackings and robberies, which took place between April 29 and May 6, 2024, U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD) announced.
According to the government’s evidence, over the course of seven days, Bennett, Edwards, and Clark, together or separately, committed a series of four armed carjackings and robberies in the District of Columbia. The defendants were arrested on May 7, 2024, after police saw a car used in one of the offenses and attempted to stop it. Rather than stop, the defendants attempted to evade police for approximately thirty minutes. Police pursued the car through the District, Virginia, and Maryland, before police ultimately succeeded in stopping it in the area of Chesapeake Street and Overlook Avenue Southeast.
Bennett, Edwards, and Clark were charged and presented in D.C. Superior Court. Bennett was charged by complaint with four counts of armed carjacking, one count of armed robbery, and five counts of possession of a firearm during a crime of violence. Edwards was charged by complaint with two counts of armed carjacking, one count of armed robbery, and three counts of possession of a firearm during a crime of violence. Clark was charged by complaint with one count of armed carjacking, one count of armed robbery, and two counts of possession of a firearm during a crime of violence. The Court ordered the defendants held without bond pending a preliminary hearing scheduled for June 7, 2024.
This case is being investigated by the Metropolitan Police Department (MPD). It is being prosecuted by Assistant U.S. Attorneys Anthony Cocuzza and John Parron.
An arrest on a complaint is merely a formally charged allegation that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
The United States Attorney's Office for the Middle District of Tennessee Recognizes National Police WeekRead the Press Release
NASHVILLE – As part of National Police Week, United States Attorney Henry C. Leventis and the United States Attorney’s Office for the Middle District of Tennessee recognize the service and sacrifice of federal, state, local, and Tribal law enforcement. National Police Week is observed Saturday, May 11 through Friday, May 17, 2024.
“Members of law enforcement and their families make tremendous sacrifices and take considerable risks every day to serve and protect us,” said Henry C. Leventis, United States Attorney for the Middle District of Tennessee. “I was reminded again this morning, at the Tennessee State Troopers Memorial, that far too many law enforcement officers are asked to make the ultimate sacrifice in service to their communities. National Police Week is a time to remember and honor those law enforcement officers that we have lost and a time to renew our commitment to supporting those who continue to serve in this noble profession.”
“As our country recognizes National Police Week, the Justice Department joins families and communities in remembering the members of the law enforcement community who made the ultimate sacrifice protecting the public,” said Attorney General Merrick Garland. “Policing is difficult and dangerous, yet time and time again, law enforcement officers answer the call, showing up for their communities when they are needed the most. Their devotion to duty is matched only by that of their loved ones who make daily sacrifices to support them. The Justice Department is committed to doing everything in our power to help provide our law enforcement partners with the resources they need to carry out their noble work on behalf of the public.”
In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices. Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty.
Each year, during National Police Week, our nation celebrates the contributions of law enforcement from around the country, recognizing their hard work, dedication, loyalty and commitment to keeping our communities safe.
On Monday, May 13, the names of more than 280 officers killed in the line of duty in 2024 who have been added to the wall at the National Law Enforcement Officers Memorial were read during a Candlelight Vigil at 8:00 p.m. EDT. To view a recording of this event, visit https://nleomf.org/memorial/programs/national-police-week-2024/candlelight-vigil/.
To learn more about National Police Week and the virtual candlelight vigil, please visit www.policeweek.org.
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Staten Island Man Sentenced to 33 Months in Prison for $1.9 Million Baby Formula SchemeRead the Press Release
BROOKLYN, NY – Earlier today in federal court in Brooklyn, Vladislav Kotlyar was sentenced by United States District Judge William F. Kuntz II to 33 months in prison and ordered to pay approximately $738,000 in restitution and forfeit approximately $1 million for his role in a scheme to fraudulently obtain specialty baby formula. Kotlyar pleaded guilty to mail fraud in March 2023.
Breon Peace, United States Attorney for the Eastern District of New York, Nicole M. Argentieri, head of the Justice Department’s Criminal Division, and James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office, announced the sentence.
Kotlyar submitted and caused the submission of forged prescriptions and medical records for specialty baby formula that was paid for by health insurers. Kotlyar obtained prescriptions and medical records for infants who were prescribed baby formula and forged those records to obtain specialty baby formula. After receiving the specialty baby formula, Kotlyar fabricated issues with the shipments, including by impersonating the infants’ parents, to falsely claim that shipments were damaged or contained the incorrect formula to acquire additional formula at no additional cost. Kotlyar then sold the fraudulently obtained formula. A portion of Kotlyar’s scheme occurred during a national shortage of infant formula.
Trial Attorney Patrick J. Campbell of the Criminal Division’s Fraud Section prosecuted the case. Assistant United States Attorney Claire S. Kedeshian of the Eastern District of New York’s Asset Recovery Section is handling forfeiture matters.
The Defendant:
VLADISLAV KOTLYAR
Age: 45
Staten Island, New YorkE.D.N.Y. Docket No. 23-CR-75 (WFK)
Starkville man sentenced to 15 years in prison for distributing methamphetamineRead the Press Release
Oxford, MS – A Starkville man was sentenced today to 15 years in prison for drug trafficking.
According to court documents, Chad Boyd, aka Chadrick Robinson, 41, previously pled guilty to distribution of 50 grams or more of methamphetamine (actual), also known as “ice,” a Schedule II controlled substance. Boyd was sentenced Thursday by U.S. District Judge Michael P. Mills to 180 months in prison followed by 5 years of supervised release. Boyd was remanded to the custody of the U.S. Marshals following his sentencing hearing.
“Individuals who chose to spend their time selling meth and other illegal drugs in the Northern District of Mississippi should know that this office and our law enforcement partners will do all we can to see that they are removed from the community and sent to prison,” remarked U.S. Attorney Clay Joyner. “We hope that today’s sentence will serve as another reminder that the sale of illegal narcotics has detrimental and life-changing consequences for those who peddle the illicit substances and those who use them.”
“The sentencing of Mr. Chad Boyd, for the distribution of methamphetamine, underscores the positive impacts law enforcement has on the communities affected by the drug crisis,” said FBI SAC Robert A. Eikhoff. “Criminals like Mr. Boyd can expect the FBI and our federal, state, and local partners to remain steadfast in our resolve to remove offenders from the communities where they would otherwise bring the violence and the criminal activity inextricably linked to illegal drugs.”
This case was investigated by the FBI and the Starkville Police Department. The case was prosecuted by AUSA Robert Mims.
St. Charles Man Admits Buying Child Pornography OnlineRead the Press Release
ST. LOUIS – A man from St. Charles, Missouri on Friday admitted buying child sexual abuse material online.
Charles Lionel McGilberry, 41, pleaded guilty in U.S. District Court in St. Louis to one count of receiving child pornography and one count of possession of child pornography. He admitted making two separate purchases of child sexual abuse material on Aug. 28, 2022. Investigators later found 768 videos and 29 images containing child pornography in his Apple iCloud account and 152 videos and 2 images on his cell phone.
McGilberry is scheduled to be sentenced on October 23. He faces a mandatory minimum term of five years in prison. Each crime is punishable by up to 20 years in prison.
Homeland Security Investigations investigated the case. Assistant U.S. Attorney Nathan Chapman prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Springfield man sentenced to 100 years in prison for creating, distributing child pornography by documenting sexual abuse of childrenRead the Press Release
DAYTON, Ohio – A Springfield, Ohio, man was sentenced in U.S. District Court to 1,200 months in prison for producing and distributing videos depicting the sexual abuse of children.
Marcus Leon Davis, 34, was arrested on Oct. 25, 2023. His case was unsealed today.
Davis received the maximum sentence on each count as charged and will serve those sentences consecutively.
“Davis’s sexual abuse is among the most abhorrent acts that one can perpetrate against a child. If his behavior against the victims wasn’t bad enough, he chose to record his sexual abuse against them,” said U.S. Attorney Kenneth L. Parker. “By publishing videos of his sexual abuse against these victims, Davis ensured the abuse will never end. Each time one of those images or videos is shared, traded, downloaded and viewed the children are victimized again. This sentence will forever protect the community from future harm committed by Davis.”
"This sentencing was the result of an intensive investigation by the U.S. Secret Service and our law enforcement partners," said Yvonne DiCristoforo, Special Agent in Charge of the Secret Service's Cincinnati Field Office. "The Secret Service and our partners are working relentlessly so predators that exploit innocent children face justice for their heinous actions."
According to court documents, from January 2022 until October 2023, Davis sexually abused children and documented the abuse on video.
The defendant published the videos on a child pornography website. Investigators have now tracked the content to other users and websites.
Davis pleaded guilty in February 2024 to two counts of producing child pornography and two counts of distributing child pornography.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Yvonne DiCristoforo, Special Agent in Charge, United States Secret Service; and Springfield Police Chief Allison Elliott announced the sentence imposed on May 13 by U.S. District Judge Michael J. Newman. Assistant United States Attorneys Amy M. Smith and Elizabeth L. McCormick are representing the United States in this case.
U.S. Attorney Parker commended the investigation by the U.S. Secret Service, who worked with the Queensland Police Service, Australian Federal Police, Europol and U.S. Homeland Security Investigations to quickly identify and locate Davis based on the images of child sexual abuse he shared online.
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Southwest Georgia Man Convicted of Illegally Possessing a FirearmRead the Press Release
VALDOSTA, Ga. – A Moultrie, Georgia, resident previously convicted of armed robbery was found guilty by a federal jury this week of illegally possessing a firearm.
Maurice A. Ridley, 47, was found guilty of one count of illegal possession of a firearm by a convicted felon on May 14. The trial began on May 13 before U.S. District Judge W. Louis Sands at the federal courthouse in Valdosta. Ridley faces a maximum sentence of ten years in prison to be followed by three years of supervised release and a maximum $250,000 fine.
“It is illegal for convicted felons to possess firearms, and a repeat offender caught with a loaded gun will face federal prosecution,” said U.S. Attorney Peter D. Leary. “Law enforcement at every level and across the Middle District of Georgia is working to reduce violent crime and make our communities safer.”
“The FBI is proud to work with our local partners to prevent violence in our communities by removing repeat offenders illegally possessing firearms from the streets by any legal means necessary,” said Rich Bilson, Supervisory Senior Resident Agent of FBI Atlanta’s Valdosta Office. “We remain steadfast in reducing violent crime in Moultrie and throughout the state.”
“The Moultrie Police Department is pleased to once again to join with our federal partners to make our city streets a little safer. Project Safe Neighborhoods has been an overwhelming success, and we are extremely proud to contribute to that success with our own FBI Task Force Officer, Captain Steve Exum. We would like to thank everyone involved with this case and acknowledge their commitment to our great community,” said Moultrie Police Chief Chad L. Castleberry.
According to court documents and evidence presented at trial, Moultrie Police Department officers were patrolling a neighborhood on Feb. 21, 2020, and observed Ridley paying close attention to the marked police vehicles as they drove by him. Officers in an unmarked police vehicle observed Ridley toss a plastic bag of suspected narcotics in a yard. When officers in that unmarked car pulled up behind Ridley to speak with him, Ridley fled on foot. He was given verbal commands to stop, and he refused. A firearm fell from Ridley as he ran away. Ridley ran through the back yards of two private residences on Second Avenue Northwest. Other officers joined the chase and apprehended Ridley after a brief struggle on the ground. The firearm that fell from Ridley was a loaded semi-automatic handgun with an obliterated serial number. Ridley was convicted in 1996 for armed robbery in Colquitt County, Georgia, Superior Court for which he was sentenced to serve 20 years in prison. It is illegal for a convicted felon to possess a firearm.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities and measuring the results.
The case was investigated by the FBI and the Moultrie Police Department.
Assistant U.S. Attorney Sonja Profit is prosecuting the case for the Government.
Sixteen Individuals Charged for Their Roles in Drug Trafficking OrganizationRead the Press Release
NEWARK, N.J. – Nine people have been arrested for their alleged roles in a drug trafficking organization that distributed fentanyl, heroin, cocaine, and methamphetamine in Newark, U.S. Attorney Philip R. Sellinger announced today.
Jaquan Beard, 25, Joseph Feliciano, 40, Carlos Lopez, 50, George Lopez, 49, Tyree Malone, 36, and David Quinones, 29, all of Newark; Wilberto Cotto, 41, Reinaldo Cruz, 44, Steven Garcia, 48, Adolphus Hunter, 48, Jermaine Jones, 37, and Nelson Valentin, 37, all of Elizabeth, New Jersey; Joel Hernandez, 28, of Parlin, New Jersey; Jonathan Arce, 36, of Belleville, New Jersey; and Jose Correa, 53, of Yardley, Pennsylvania, are each charged by complaint with one count of conspiracy to distribute methamphetamine, cocaine, fentanyl, and heroin. George Lopez is also charged with one count of possession with intent to distribute methamphetamine and cocaine, one count of possession of firearms in furtherance of a drug trafficking crime, and one count of illegal possession of firearms and ammunition.
Reynaldo Cruz, 27, of Elizabeth, is charged by complaint with one count of possession with intent to distribute controlled substances and one count of conspiracy to use and carry a firearm during and in relation to a drug trafficking crime.
Reynaldo Cruz and Quinones are scheduled to appear today before U.S. Magistrate Judge Leda Dunn Wettre in Newark federal court. Arce, Cotto, Reinaldo Cruz, Feliciano, Hernandez, Hunter, and Carlos Lopez appeared before U.S. Magistrate Judge Michael A. Hammer in Newark federal court on May 16, 2024, and were detained. Jones, George Lopez, and Valentin are detained on state charges. Beard, Correa, Garcia, and Malone are at large.
According to documents filed in this case and statements made in court:
Reinaldo Cruz, Feliciano, Hernandez, and Quinones distributed controlled substances on behalf of the drug trafficking organization (DTO) in and around Essex and Union counties, New Jersey, from several specific distribution locations. Beard, Correa, Cotto, Garcia, Hunter, Jones, Carlos Lopez, Malone, and Valentin, in turn, received controlled substances, often from one of these locations, and distributed them on behalf of the DTO. Arce served as a source of supply of controlled substances for the DTO. The investigation has also revealed that George Lopez provided advice and connections regarding sources of supply of controlled substances from jail while he received cash from the DTO. Many of the defendants are members and associates of the Latin Kings street gang, and some members are known to possess firearms in connection with the DTO’s activities. The investigation has revealed that the DTO distributed in excess of 50 grams of methamphetamine, 5 kilograms of cocaine, 40 grams of fentanyl, and 100 grams of heroin.
The methamphetamine and cocaine conspiracy count carries a mandatory minimum penalty of 10 years in prison, maximum potential penalty of life in prison, and a $10 million fine. The fentanyl and heroin conspiracy and methamphetamine and cocaine possession counts each carries a mandatory minimum penalty five years in prison, maximum potential penalty of 40 years in prison, and a $5 million fine. The possession with intent to distribute controlled substances count carries a maximum potential penalty of 20 years in prison and a $1 million fine. The possession of firearms in furtherance of a drug trafficking crime count carries a mandatory minimum penalty of five years in prison, which must run consecutively to any other sentence imposed. The conspiracy to use and carry a firearm during and in relation to a drug trafficking crime count carries a maximum potential penalty of 20 years in prison and a $250,000 fine. The illegal possession of firearms and ammunition count carries a maximum potential penalty of 15 years in prison and a $250,000 fine.
U.S. Attorney Sellinger credited special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Cheryl Ortiz in Newark; the Union County Prosecutor’s Office, under the direction of Prosecutor William A. Daniel and Chief Harvey A. Barnwell; and the Elizabeth Police Department, under the direction of Police Director Earl Graves and Chief Giacomo Sacca, with the investigation leading to the charges. He also thanked the Union County Police Department, under the direction of Chief Martin Mogensen; the Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Field Division, under the direction of Acting Special Agent in Charge Ross A. Marchetti; Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge William S. Walker; the Essex County Sherriff’s Department, under the direction of Sheriff Armando B. Fontoura; the Hudson County Department of Corrections, under the direction of Director Becky Scott; the Cranford Police Department, under the direction of Chief Ryan Greco; the Bloomfield Police Department, under the direction of Chief George Ricci; the New Jersey State Police SWAT Team, under the direction of Col. Patrick J. Callahan: the Newark Police Department, under the direction of Public Safety Director Fritz Fragé and Chief Emmanuel Miranda; the Hudson County Regional SWAT Team, under the direction of Prosecutor Esther Suarez; and the U.S. Marshals Services, under the direction of Special Agent in Charge Juan Mattos Jr.
The government is represented by Assistant U.S. Attorneys John Mezzanotte of the Organized Crime and Gangs Unit and Eli Jacobs of the General Crimes Unit of the U.S. Attorney’s Office.
The charges and allegations contained in the complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
reynaldocruz.complaint.pdf arceetal.complaint.pdfSix Defendants Indicted on Federal Fraud Charge for Allegedly Staging Robberies to Apply for Immigration VisasRead the Press Release
CHICAGO — Six individuals conspired to stage armed robberies in Chicago and the suburbs so that the purported victims could apply for U.S. immigration visas reserved for certain crime victims, according to an indictment unsealed in federal court in Chicago.
PARTH NAYI and KEWON YOUNG allegedly organized and participated in staged armed robberies at restaurants, coffee shops, liquor stores, and gas stations in Chicago and the suburbs of Lombard, Elmwood Park, St. Charles, Hickory Hills, River Grove, Lake Villa, and South Holland, as well as restaurants in Rayne, La., and Belvidere, Tenn. The indictment alleges that BHIKHABHAI PATEL, NILESH PATEL, RAVINABEN PATEL, and RAJNIKUMAR PATEL arranged with Nayi to be “victims” of the staged robberies so that they could submit applications for U nonimmigrant status (“U-visa”), which is set aside for victims of certain crimes who have suffered mental or physical abuse and are helpful to law enforcement or government officials in an investigation or prosecution.
The indictment alleges that individuals paid Nayi thousands of dollars to participate in the scam. During the staged robberies, individuals acting as robbers brandished what appeared to be firearms, approached the purported victims, and demanded money and property, the indictment states. Afterwards, some of the purported victims submitted forms to local law enforcement to obtain certification that they were victims of a qualifying crime and had been or would be helpful in the investigation, the indictment states. Upon receiving certification, some of the purported victims then submitted fraudulent U-visa applications to U.S. Citizenship and Immigration Services predicated upon their alleged status as a robbery victim.
Nayi, 26, of Woodridge, Ill., Young, 31, of Mansfield, Ohio, Bhikhabhai Patel, 51, of Elizabethtown, Ky., Nilesh Patel, 32, of Jackson, Tenn., Ravinaben Patel, 23, of Racine, Wis., and Rajnikumar Patel, 32, of Jacksonville, Fla., are charged with conspiracy to commit visa fraud. Ravinaben Patel is also charged with an individual count of making a false statement in a visa application. The conspiracy charge is punishable by a maximum sentence of five years in federal prison, while the false statement charge against Ravinaben Patel is punishable by up to ten years.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Sean Fitzgerald, Special Agent-in-Charge of Homeland Security Investigations in Chicago. The government is represented by Assistant U.S. Attorneys Matthew D. Moyer and Saqib M. Hussain.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Nayi et al indictmentSioux City Man Sent to Federal Prison for Receiving and Possessing Child PornographyRead the Press Release
A man who was convicted by a jury for receiving and possessing child pornography was sentenced, May 16, 2024, to 16 years in federal prison.
Anthony Michael Tucker age 35, from Sioux City, Iowa, received the prison term after a jury verdict finding him guilty of Receipt of Child Pornography and Possession of Child Pornography.
Evidence at trial showed that in January 2022, the National Center for Missing and Exploited Children received a Cybertip from Google that accounts belonging to Tucker contained over 85 images and seven videos of child sexual abuse material. The images and videos included depictions of sadistic or masochistic conduct as well as prepubescent children and toddlers. During trial, jurors watched a video-recorded interview of Tucker speaking with an Iowa DCI agent where he admitted he was responsible for the content on the Google account and stated, “there’s more that I run across…those are just the ones I kept.” In 2010, Tucker was previously convicted for Lascivious Acts with a Child. Tucker, then 21, had sexual intercourse with a 13-year-old female.
Tucker was sentenced in Sioux City by United States District Court Judge Leonard T. Strand. Tucker was sentenced to 192 months’ imprisonment. He was ordered to pay $3,000 in restitution to the victims of the offense. He was also ordered to pay $1,200 in additional fines and assessments. Tucker must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
Tucker is being held in the United States Marshal’s custody until he can be transported to a federal prison.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
The case was investigated by the Iowa Department of Public Safety, Division of Criminal Investigation, Cyber Crime Bureau and prosecuted by Assistant United States Attorney Kraig R. Hamit.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-CR-4045.
Follow us on Twitter @USAO_NDIA.
Singapore Resident Sentenced to 57 Months in Prison for Soliciting Millions of Dollars in Pre-IPO Stock SchemeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that SHAMOON RAFIQ, a/k/a “Shamoon Omer Rafiq,” a/k/a “Omar Rafiq,” a/k/a “Omer Rafiq,” was sentenced today by U.S. District Judge Victor Marrero to 57 months in prison for engaging in a scheme in which RAFIQ solicited millions of dollars of investors’ money by falsely representing that he was offering investments in shares of stock in privately held companies that had not yet conducted an initial public offering (“pre-IPO stock”), even though he did not actually have those shares to offer, by impersonating senior officials of a reputable family office investment firm and by engaging in other acts of deception. RAFIQ previously pled guilty to conspiracy to commit securities fraud and wire fraud before U.S. Magistrate Judge Sarah L. Cave.
U.S. Attorney Damian Williams said: “Today’s sentence demonstrates that stiff penalties await anyone who seeks to cheat and swindle American investors, and that running an investment scheme from halfway around the world will not shield fraudsters from being pursued by this Office and our law enforcement partners.”
According to the charging documents and other filings and statements made in court:
RAFIQ was born in the Netherlands and resided in Singapore. RAFIQ was convicted in 2004 in the U.S. District Court for the Eastern District of New York for carrying out a wire fraud scheme in which he purported to sell pre-IPO stock in a privately held company that had not yet conducted its initial public offering when, in fact, RAFIQ did not own or have access to such stock. After serving a 41-month federal prison sentence for that crime, RAFIQ was deported from the U.S. and eventually relocated to Singapore.
In or about 2020, RAFIQ engaged in a new scheme from Singapore to defraud victims into paying him millions of dollars for alleged investment interests in various pre-IPO stocks that he did not actually own or control.
In connection with his new fraud scheme, RAFIQ fraudulently impersonated two senior officials (“Victim-1” and “Victim-2”) of a prominent family office investment firm (“FamCap”) that manages and invests assets of members of a prominent billionaire family. In July 2020, RAFIQ caused the creation of a fake FamCap website, which automatically routed users to the official FamCap website, and the creation of fake FamCap email addresses for Victim-1 and Victim-2 that closely resemble, but are slightly different from, their genuine FamCap email addresses. The fake FamCap website and email addresses for Victim-1 and Victim-2 were created without their or FamCap’s consent. The fake email addresses also included the names of Victim-1 and Victim-2 without their authorization.
In July 2020, RAFIQ began soliciting millions of dollars from investment firms in New York and elsewhere based on false claims that in exchange for their funds, he would sell them investment interests in a purported special purpose investment vehicle called “[Fam] Capital Technology Fund, LLC” that was supposedly managed by FamCap and allegedly owned pre-IPO stock in Airbnb, Inc., among other companies. For example, as part of this fraudulent scheme, RAFIQ deceived an investment firm based in New York, New York (the “New York Firm”), and one of the firm’s foreign institutional clients (the “Foreign Client”) into making agreements under which the Foreign Client wired about $9 million in mid-August 2020 into an escrow account in New York for anticipated release to a bank account in Singapore to pay RAFIQ for his purported sale of investment interests in the LLC.
In soliciting this $9 million investment, RAFIQ made a variety of false representations, including the following:
- RAFIQ falsely claimed that the LLC was managed by FamCap. In fact, the LLC never existed.
- RAFIQ falsely claimed that the LLC owned pre-IPO shares of Airbnb, Inc. In fact, the LLC did not own and could not have owned such stock because the LLC never existed.
- RAFIQ falsely claimed that Victim-1 and Victim-2 had approved of his sale of his alleged interests in the LLC. In fact, Victim-1 and Victim-2 do not know RAFIQ and have confirmed that FamCap was never involved in or approved of any such transaction.
During and to further the goals of this fraudulent scheme, RAFIQ also caused the creation and transmission of emails from the fake FamCap email addresses, fake contracts, and deal documents purporting to have been signed by Victim-1 or Victim-2 on behalf of FamCap that neither of them approved. In August 2020, during the course of email communications with the New York Firm and Foreign Client concerning RAFIQ’s alleged sale to them of his purported interests in the alleged FamCap-managed LLC that supposedly held Airbnb, Inc. shares, RAFIQ copied into the email chain the fake FamCap email addresses to create the false impression that FamCap was involved in and approved of the alleged transaction.
Also pursuant to the fraudulent scheme, RAFIQ solicited over $1 million from an investment group located in California (the “California Group”) in late 2020 by yet again purporting to be a representative of FamCap offering pre-IPO stock for sale. As a result, the California Group wired RAFIQ a total of approximately $1,002,615 in November and December 2020.
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In addition to his prison term, RAFIQ, 50, a resident of Singapore and a citizen of the Netherlands, was ordered to pay restitution and forfeiture in the amount of $1,002,615.
Mr. Williams praised the investigative work of Homeland Security Investigations, the U.S. Postal Inspection Service, the New York City Police Department, and the New York City Sheriff’s Office, and he also thanked the U.S. Securities and Exchange Commission, which conducted a separate parallel investigation, for its assistance, and the Department of Justice’s Office of International Affairs, Interpol, Singapore Police Force, and the Attorney-General’s Chambers of Singapore for their assistance in the extradition of the defendant.
This case is being handled by this Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Jared Lenow is in charge of the prosecution.
Rochester man pleads guilty to civil disorder and assaulting federal officersRead the Press Release
ROCHESTER, N.Y. - U.S. Attorney Trini E. Ross announced today that JohnMichael Santiago, 24, of Rochester, NY, pleaded guilty before U.S. District Judge Frank P. Geraci to civil disorder and assaulting a federal officer. The charges carry a maximum penalty of 20 years in prison and a fine of $250,000.
Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that on September 4, 2020, following the release of information by the Rochester Police Department (RPD) regarding the death of Daniel Prude, a group of protesters damaged property and turned over tables at two restaurants in Rochester, causing numerous patrons to leave. During the evening of September 5, 2020, Santiago was part of a group of approximately 1,500 protesters that gathered at Broad Street and Exchange Boulevard, about a block north of RPD headquarters, where they blocked all lanes of traffic on nearby streets. Over the next few hours, some protesters hurled rocks, bottles, lit fireworks, and other objects at police officers in the area. Some also shined flashlights and pointed lasers at officers. Protesters were repeatedly asked to move onto the sidewalks and leave the area or be subject to arrest. Many disregarded the requests, remained in the streets, and continued to block traffic. Santiago threw an ignited firework in the direction of a line of uniformed RPD officers, which detonated in the immediate vicinity of the officers. Santiago was not arrested that night, but was later interviewed by law enforcement about the incident. Santiago admitted that he attended the protests, brought fireworks to the protests, and threw an ignited mortar-style firework at police officers.
While in custody at the Livingston County Jail, after being charged with civil disorder, Santiago assaulted two corrections officers, throwing a hard plastic cup at one, and striking the other in the face with his fist. Officers began to wrestle Santiago to secure him, during which one officer suffered contusions and a concussion, and a second suffered a back injury.
The plea is the result of an investigation by the Rochester Police Department, under the direction of Chief David Smith, the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, and the United States Marshall’s Service, under the direction of Marshal Charles Salina.
Sentencing is scheduled for September 3, 2024, at 3:30 p.m. before Judge Geraci.
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Richmond man pleads guilty to armed robberyRead the Press Release
RICHMOND, Va. – A Richmond man pleaded guilty today after discharging a firearm as he robbed a convenience store.
According to court documents, on July 3, 2023, Darryl Nathaniel Cole, 59, entered a 7-Eleven on Mechanicsville Turnpike and attempted to purchase tobacco products. When another customer entered the store, Cole briefly left and returned minutes later. Attempting the purchase again, Cole swiped his own debit card in the point-of-sale machine, but his account had insufficient funds for the transaction.
Cole then produced a handgun from his waistband and pointed the gun at the store clerk. Cole demanded and took money from the register as he continued to point the handgun at the clerk. As Cole began to leave the store, the clerk took a hammer from a drawer near the cash register and moved toward the back of the store, away from the front door. When the clerk was near a gap in the counter, Cole fired one shot from his handgun in the clerk’s direction, which struck a nearby coffeemaker. Cole then fled from the store with the stolen money.
Cole is scheduled to be sentenced on Sept. 26. He faces a mandatory minimum of 10 years and up to life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jason Miyares, Attorney General of Virginia; Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office; Rick Edwards, Chief of Richmond Police; and Eric D. English, Chief of Henrico County Police Division, made the announcement after Senior U.S. District Judge John A. Gibney Jr. accepted the plea.
Special Assistant U.S. Attorney Ellen Hubbard, an Assistant Attorney General with the Virginia Attorney General’s Office, and Assistant U.S. Attorney Olivia L. Norman 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. 3:24-cr-33.
Puerto Rico Legislator and her Husband Sentenced for Theft, Bribery, and Kickback SchemeRead the Press Release
WASHINGTON – A Puerto Rico legislator and her husband were sentenced today for engaging in a multi-year theft, bribery, and kickback conspiracy scheme to fraudulently inflate the salary of a legislative assistant in exchange for a portion of the assistant’s inflated salary.
María Milagros Charbonier-Laureano, also known as Tata, a member of the Puerto Rico House of Representatives, was sentenced to eight years in prison. Her husband, Orlando Montes-Rivera, was sentenced to four years and nine months in prison.
According to court documents and evidence presented at trial, from early 2017 until July 2020, Charbonier-Laureano, her husband, and her assistant, Frances Acevedo-Ceballos, executed a scheme to defraud the Commonwealth of Puerto Rico by engaging in a theft, bribery, and kickback scheme. Over the course of the scheme, Charbonier-Laureano inflated Acevedo-Ceballos’ salary from $800 on a bi-weekly, after-tax basis to nearly $2,900. Out of every inflated paycheck, it was agreed that Acevedo-Ceballos would keep a portion and kick back approximately $1,500 to Charbonier-Laureano and Montes-Rivera.
After learning of the investigation into illegal activities in her office and of a warrant that had been obtained for one of her phones, Charbonier-Laureano proceeded to delete certain data on the phone. In particular, Charbonier-Laureano deleted nearly all call log entries, WhatsApp messages, and iMessages associated with the phone.
The jury convicted Charbonier-Laureano and Montes-Rivera in January of one count of conspiracy; two counts of theft, bribery, and kickbacks concerning programs receiving federal funds; six counts of honest services wire fraud; and two counts of money laundering. The jury also convicted Charbonier-Laureano of obstruction of justice for destroying data on her cell phone.
Acevedo-Ceballos, who pleaded guilty to bribery concerning programs receiving federal funds, was sentenced in February to three years and one month in prison.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico; and Special Agent in Charge Joseph Gonzalez of the FBI San Juan Field Office made the announcement.
The FBI investigated the case.
Trial Attorneys Jonathan E. Jacobson and Kathryn E. Fifield of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney María L. Montañez Concepción for the District of Puerto Rico prosecuted the case.
Puerto Rico Legislator and Her Husband Sentenced for Theft, Bribery, and Kickback SchemeRead the Press Release
A Puerto Rico legislator and her husband were sentenced today for engaging in a multi-year theft, bribery, and kickback conspiracy scheme to fraudulently inflate the salary of a legislative assistant in exchange for a portion of the assistant’s inflated salary.
María Milagros Charbonier-Laureano, also known as Tata, a member of the Puerto Rico House of Representatives, was sentenced to eight years in prison. Her husband, Orlando Montes-Rivera, was sentenced to four years and nine months in prison.
According to court documents and evidence presented at trial, from early 2017 until July 2020, Charbonier-Laureano, her husband, and her assistant, Frances Acevedo-Ceballos, executed a scheme to defraud the Commonwealth of Puerto Rico by engaging in a theft, bribery, and kickback scheme. Over the course of the scheme, Charbonier-Laureano inflated Acevedo-Ceballos’ salary from $800 on a bi-weekly, after-tax basis to nearly $2,900. Out of every inflated paycheck, it was agreed that Acevedo-Ceballos would keep a portion and kick back approximately $1,500 to Charbonier-Laureano and Montes-Rivera.
After learning of the investigation into illegal activities in her office and of a warrant that had been obtained for one of her phones, Charbonier-Laureano proceeded to delete certain data on the phone. In particular, Charbonier-Laureano deleted nearly all call log entries, WhatsApp messages, and iMessages associated with the phone.
The jury convicted Charbonier-Laureano and Montes-Rivera in January of one count of conspiracy; two counts of theft, bribery, and kickbacks concerning programs receiving federal funds; six counts of honest services wire fraud; and two counts of money laundering. The jury also convicted Charbonier-Laureano of obstruction of justice for destroying data on her cell phone.
Acevedo-Ceballos, who pleaded guilty to bribery concerning programs receiving federal funds, was sentenced in February to three years and one month in prison.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico; and Special Agent in Charge Joseph Gonzalez of the FBI San Juan Field Office made the announcement.
The FBI San Juan Field Office investigated the case.
Trial Attorneys Jonathan E. Jacobson and Kathryn E. Fifield of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney María L. Montañez Concepción for the District of Puerto Rico prosecuted the case.
Previously convicted Richmond drug trafficker sentenced for third timeRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced yesterday to 15 years and eight months in prison for possession with intent to distribute cocaine and fentanyl and being a felon in possession of a firearm and ammunition.
According to court documents, on Sept. 27, 2022, an individual acting under the direction of law enforcement made contact with Jeremy Jermaine Blue, 35. They arranged to meet for Blue to deliver a kilogram of cocaine. As Blue drove to the prearranged meeting location to deliver the cocaine, law enforcement performed a stop on the vehicle before the exchange. After a drug-detecting K-9 alerted to the scent of narcotics in the car, law enforcement located the cocaine, as well as 48 grams of fentanyl and a loaded 9mm semiautomatic handgun.
Blue was convicted in 2009 of possession with intent to distribute cocaine. One month after Blue was released from supervised probation in July 2013, he possessed heroin with intent to distribute and was convicted in 2014. As a previously convicted felon, Blue cannot legally possess a firearm or ammunition.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jason Miyares, Attorney General of Virginia; and Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck.
Assistant U.S. Attorney Angela Mastandrea and Special Assistant U.S. Attorney Ellen Hubbard, an Assistant Attorney General with the Virginia Attorney General’s Office, prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:23-cr-40.
Portland, Oregon man arrested after traveling to Seattle for sex with childrenRead the Press Release
Seattle – A 56-year-old Portland, Oregon, man appeared in Federal Court today, following a six-week investigation by Homeland Security Investigations and the Seattle Internet Crimes Against Children Task Force, announced U.S. Attorney Tessa M. Gorman. Marc David McCool was arrested May 16, 2024, when he arrived at a Seattle area hotel, allegedly intending to sexually abuse fictitious 7 and 11-year-old children. When arrested McCool had various items reflective of his sexual interest in abusing children: condoms, baby oil, rope, and stuffed animals.
According to records filed in the case, McCool responded to an ad posted on social media by an undercover law enforcement agent. Over more than six weeks of “chats” via the Kik Messenger App, McCool allegedly described his sexual interest in children, his sexual abuse of other victims, and the types of “trophies” he kept from those prior criminal sexual acts. Ultimately, McCool made arrangements to travel to Seattle allegedly believing he would sexually abuse two young children. He was arrested after he traveled by train and a rideshare to the meet location.
McCool is charged with attempted enticement of a minor and travel with the intent to engage in a sexual act with a minor.
Attempted enticement of a minor is punishable by no less than 10 years to lifetime imprisonment. Traveling with the intent to engage in a sexual act with a minor is punishable by up to 30 years imprisonment.
The charges contained in the complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by Homeland Security Investigation as part of the Seattle Police Department Internet Crimes against Children Task Force (ICAC).
The case is being prosecuted by Assistant United States Attorney Cecelia Gregson.
U.S. v McCool MJ24-297
Parmelee Man Sentenced for Assault and Prohibited Person in Possession of a FirearmRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that Chief Judge Roberto A. Lange, U.S. District Court, has sentenced a Parmelee, South Dakota, man convicted of Assault of an Intimate Partner by Strangulation and Prohibited Person in Possession of a Firearm. The sentencing took place on May 15, 2024.
Tanner Barron, age 32, was sentenced to two years and six months in federal prison, followed by three years of supervised release, and ordered to pay a $200 special assessment to the Federal Crime Victims Fund.
Barron was indicted by a federal grand jury in November of 2023. He pleaded guilty on February 29, 2024.
In the evening of September 30, 2022, Barron and the mother of his children had a verbal argument about their relationship. The disagreement continued into the next day and became physical when Barron threw the victim down. Barron then placed his hands on the victim’s neck and applied pressure, sufficient to leave a bruise and cause her voice to be hoarse. Officers from the Rosebud Sioux Tribe Law Enforcement Services responded to the scene, but Barron was no longer present. Officers located Barron in his vehicle at a gas station in Rosebud on October 2, 2022. A search of his person revealed a pipe used to ingest methamphetamine. A pistol was found on the front floorboard of Barron’s vehicle. As a regular user of methamphetamine, Barron was prohibited from possessing a firearm. The offenses occurred within the Rosebud Reservation.
This matter was prosecuted by the U.S. Attorney’s Office because the Major Crimes Act, a federal statute, mandates that certain violent crimes alleged to have occurred in Indian Country be prosecuted in Federal court as opposed to State court.
Further, 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 Rosebud Sioux Tribe Law Enforcement Services and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Abby Roesler prosecuted the case.
Barron was immediately remanded to the custody of the U.S. Marshals Service.
Owner of Construction Companies Pleads Guilty to Tax and Mail FraudRead the Press Release
BOSTON – A Hopkinton man pleaded guilty this week to defrauding the Internal Revenue Service (IRS) and Travelers Insurance Company in relation to wages he paid to employees of his two construction companies.
Dariusz Pietron, 51, pleaded guilty on May 15, 2024 to three counts of failure to collect and pay over employment taxes to the IRS and one count of mail fraud relating to underpaid workers’ compensation insurance premiums. U.S. District Judge Indira Talwani scheduled sentencing for Aug. 28, 2024.
Between 2012 and October 2018, Pietron owned and operated TJM Construction, Inc. (TJM) and Point Construction, Inc. (Point). Pietron failed to report his employees’ wages to the IRS, failed to withhold required employment taxes and failed to pay employment taxes to the IRS. Pietron also failed to disclose to Travelers Insurance Company the actual wages he paid to employees, which resulted in him paying less in workers’ compensation insurance premiums than what he would have otherwise owed. As part of the scheme, Pietron recruited and paid two employees to establish three shell companies – companies that would make it appear as if TJM and Point’s employees were subcontractors to whom Pietron had no tax obligations. Pietron thereby failed to pay more than $1.1 million in employment taxes and defrauded Travelers of approximately $244,000.
The charge of failure to pay over taxes provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of mail fraud provides for a sentence of up to 20 years in prison, at least three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Pietron has also agreed to pay restitution to the IRS and Travelers Insurance and to forfeit $244,000. 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; Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service Criminal Investigation, Boston Field Office; and Katherine Mulligan, Chief of Investigations for the Insurance Fraud Bureau of Massachusetts made the announcement today. Assistant United States Attorney Victor A. Wild of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Oglala Man Sentenced to Fifteen Years in Federal PrisonRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that Eighth Circuit Court of Appeals Judge Jonathan A. Kobes, sitting in district court in Rapid City, South Dakota, has sentenced an Oglala, South Dakota, man convicted of one count of Enticement of a Minor Using the Internet and two counts of Commercial Sex Trafficking. The sentencing took place on May 14, 2024.
Gordon Weston, age 58, was sentenced to 15 years in federal prison, followed by five years of supervised release on each count of conviction, and ordered to pay a total of $300 in special assessments to the Federal Crime Victims Fund for the three convictions. The prison sentences and periods of supervision shall be served concurrently.
Weston was indicted for the charges by a federal grand jury in September of 2021. He was found guilty following a federal jury trial in Rapid City in January of 2024.
Weston was employed as the Activities Coordinator at the Emergency Youth Shelter in Pine Ridge, South Dakota, from 2009 to 2021. During his employment he met several females at the shelter, one of which was the charged victim in the case. The victim was a vulnerable child who had been removed from her household due to neglect, violence, and drug and alcohol abuse. After the victim was released from the shelter, Weston contacted her through social media and solicited her for sexual intercourse in exchange for money. Weston engaged in two acts of Commercial Sex Trafficking on two separate occasions. Through the investigation, it was revealed that Weston had victimized at least one other female.
This matter was prosecuted by the U.S. Attorney’s Office because the Major Crimes Act, a federal statute, mandates that certain violent crimes alleged to have occurred in Indian country be prosecuted in federal court as opposed to State court.
This case was investigated by the FBI. Assistant U.S. Attorneys Megan Poppen and Jeff Clapper prosecuted the case.
Weston was immediately remanded to the custody of the U.S. Marshals Service.
Nurse Sentenced to Federal Prison for Stealing Pain Medication from Patients and Fined $20,000Read the Press Release
A Carroll County registered nurse who stole controlled substances from patients and falsified medical records at a life care center where she was employed was sentenced today to 7 months in federal prison and ordered to pay a $20,000 fine.
Cassandra Lynne Vonnahme, age 32, from Arcadia, Iowa, pled guilty to one count of acquiring a controlled substance by means of misrepresentation, fraud, deception, and subterfuge, and one count of false statements relating to health care matters on November 30, 2023.
Vonnahme admitted that between November 2020 and December 2020, she diverted controlled substances and falsified related medical records. The controlled substances Vonnahme stole and the records she falsified pertained to actual patients. Evidence at sentencing also revealed that Vonnahme burglarized 5-6 homes after losing her job as a nurse for stealing patient’s medication. Vonnahme was later convicted of impersonating a public official after another burglary in Carroll County in 2021, where she pretended to be a county assessor in order to gain entry into a stranger’s home and then stole controlled substances.
Vonnahme was sentenced in Sioux City by United States District Court Judge Leonard T. Strand to 7 months’ imprisonment and fined $20,000. She must also serve a 2-year term of supervised release after the prison term. There is no parole in the federal system. Vonnahme was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be set.
The case is being investigated by the Iowa Department of Inspections & Appeals, Medicaid Fraud Control Unit and is being prosecuted by Assistant United States Attorney Ron Timmons.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-4019.
Follow us on Twitter @USAO_NDIA.
Newport Man Charged with Illegal Re-entry into United States and Failing to Register as a Sex OffenderRead the Press Release
PROVIDENCE, RI – A Guatemalan national, deported after his 2014 conviction in 2014 in Rhode Island state court on charges of second degree sexual assault, a conviction that required him to register as a sex offender, has been charged in federal court with illegally re-entering the United States after deportation and failing to register as a sex offender, announced United States Attorney Zachary Cunha.
According to charging documents, after being deported following his 2014 conviction, it is alleged that Nelson Yocute, 34, returned to the United States illegally, and had been living and working in Newport for the last nine years. It is also alleged that Yocute failed to comply with his obligation to register as a sex offender, as mandated by his 2014 state court sentence.
Mr. Yocute made an initial appearance in US district court on May 14th, 2024, and was ordered detained in federal custody. A federal criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The case is being prosecuted by Assistant United States Attorney Denise M. Barton.
The matter was investigated by the Newport Police Department, with the assistance of Homeland Security Investigations and the United States Marshals Service.
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New Underwood Man Sentenced to Federal PrisonRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a New Underwood, South Dakota, man convicted of Receipt of Child Pornography. The sentencing took place on May 14, 2024.
Matthew Bowman, 35, was sentenced to five years and ten months in federal prison, followed by five years supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund. Bowman will also be required to register as a sex offender under the Sex Offender Registration and Notification Act.
Bowman was indicted for Receipt of Child Pornography and Possession of Child Pornography by a federal grand jury in November of 2023. He pleaded guilty on January 24, 2024.
The charge stems from Bowman receiving child pornography between September of 2020 and July of 2022. Investigators found images depicting child sex abuse, and some of the images depicted children appearing as young as four to six years old. Bowman’s child pornography collection was reported to law enforcement through a cybertip from Google Drive and Google Photos.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the Internet Crimes Against Children Taskforce, South Dakota Division of Criminal Investigation, Homeland Security Investigations, Pennington County Sheriff’s Office, and the Rapid City Police Department. Assistant U.S. Attorney Anna Lindrooth prosecuted the case.
Bowman was immediately remanded to the custody of the U.S. Marshals Service.
New Orleans Man Sentenced for Firearms ViolationRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that XAVIER DUHON, a resident of New Orleans, was sentenced on May 14, 2024, by U.S. District Judge Greg Gerard Guidry, to 87 months imprisonment after previously pleading guilty to unlawful possession of a machine gun, in violation of Title 18, United States Code, Sections 922(o) and 924(a)(2). Judge Guidry also ordered that DUHON be placed on supervised release for 3 years following release from imprisonment and pay a mandatory $100 special assessment fee.
According to court records, on March 23, 2023, following a traffic collision, DUHON fired upon another vehicle while crossing the Crescent City Connection bridge, east bank bound. Law enforcement officers attempted to stop DUHON’s vehicle, but DUHON led officers on both a vehicle and foot, pursuit. DUHON was arrested shortly thereafter in the 900 block of Magazine Street. As officers reviewed surveillance video and retraced DUHON’s flight path, they recovered two pistols, a Glock Model 17, 9-millimeter pistol and a Glock Model 23, .40 caliber pistol, each equipped with a machinegun conversion device.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the New Orleans Police Department. This case was prosecuted by Assistant U.S. Attorney Sarah Dawkins of the Violent Crime Unit.
Naschitti Man Sentenced for Kidnapping and Killing Gallup ManRead the Press Release
ALBUQUERQUE – A federal judge handed down a 30-year prison sentence to a Naschitti man who pleaded guilty to conspiring to kidnap a victim who was lured to a location in Gallup under the false pretense of a meeting a female. The victim was then beaten and stabbed to death.
There is no parole in the federal system.
According to publicly available court records, on September 16, 2021, Elias Viola, 32 years old, and his then-girlfriend, Shannon Etsitty, devised a plan to lure John Doe to a location under the guise of a meetup with Etsitty. Viola sent a text message from Etsitty’s phone propositioning John Doe, who agreed to meet.
Etsitty picked John Doe up from his residence and drove Doe to a location where Viola and a third man attacked Doe in the vehicle, beating Doe with baseball bat and stabbing him with a screwdriver. The group then hid John Doe’s body under nearby brush before returning hours later to move Doe to a field near Etsitty’s mother’s house.
On September 23, 2021, after a weeklong community search, John Doe’s body was found by an unrelated civilian. The Office of the Medical Investigator determined John Doe’s manner of death was homicide caused by multiple injuries.
Investigators reviewed John Doe’s text messages and determined Etsitty was the last person with whom Doe communicated. They also determined that shortly after those communications, she and Viola were involved in single-vehicle crash near John Doe’s apartment. However, the crash site was several miles from the location John Doe’s body was found. Investigators returned to the crash site and found one of Doe’s black shoes, which matched one found near Doe’s body.
Police executed search warrants for Etsitty and Viola’s cellphone and Facebook records. After reviewing messages and confirming Viola was in the area where John Doe’s missing shoe was found, police tried to find the vehicle involved in the crash. On November 16, 2021, the FBI located the car in a tow yard.
On November 30, 2021, the FBI executed a search warrant on the vehicle. The backseat was missing and the front-passenger seat, trunk, and the area beneath the backseat showed signs of blood staining. On April 1, 2022, FBI agents executed a search warrant at Viola’s home. Inside, agents located the missing backseat from the vehicle. Through forensic testing, agents determined blood on the backseat matched John Doe.
When Viola was interviewed by agents, he admitted to attacking John Doe. Viola pleaded guilty to conspiracy to commit kidnapping on September 18, 2023.
Upon his release from prison, Viola will be subject to five years of supervised release.
Etsitty also pled guilty to conspiring to kidnap John Doe. Her sentencing has not yet occurred.
U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, made the announcement today.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department and the Navajo Department of Criminal Investigations, the Gallup Police Department and the McKinley County Sheriff’s Office. Assistant U.S. Attorney Zachary Jones is prosecuting the case.
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Mt. Lebanon Resident Pleads Guilty to Sexual Exploitation of a MinorRead the Press Release
PITTSBURGH, Pa. - A former resident of Mt. Lebanon, Pennsylvania, pleaded guilty in federal court on May 15, 2024, to charges related to the sexual exploitation of children, United States Attorney Eric G. Olshan announced today.
Andrew Kalyl Foxx, a/k/a James Andrew Liles, a/k/a Andrew James Liles, 42, pleaded guilty to two counts before United States District Judge J. Nicholas Ranjan.
In connection with the guilty plea, the Court was advised that, on or about March 3, 2023, the defendant attempted to and did employ, use, persuade, induce, entice, and coerce a minor to engage in sexually explicit conduct for the purpose of producing a video of such conduct. On March 9, 2023, the defendant did knowingly possess this video file depicting child sexual exploitation.
Judge Ranjan scheduled sentencing for August 6, 2024. The law provides for a total sentence of up to 30 years in prison, a fine of up to $250,000.00, 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.
Pending sentencing, the Court continued Foxx’s detention.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, FBI-Pittsburgh Child Exploitation and Human Trafficking Task Force, Allegheny County Police Department, and Mt. Lebanon Police Department conducted the investigation that led to the prosecution of Foxx.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Mississippi Man Sentenced After Pleading Guilty to Interstate Travel for the Purpose of Engaging in Illicit Sexual Conduct with Fourteen-Year-Old GirlRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that ERIC SCOTT ALFORD, age 38, a resident of Clinton, Mississippi, was sentenced today by United States District Judge Barry W. Ashe to 46 months in prison followed by 5 years of supervised release, after previously pleading guilty to interstate travel with intent to engage in illicit sexual conduct, in violation of Title 18, United States Code, Section 2423(b). Judge Ashe further required ALFORD to comply with sex offender registration requirements and to pay $5,100 in assessments.
According to court documents, on about July 26, 2023, ALFORD, an adult male, contacted an undercover law enforcement officer purporting to be an adult female with a fourteen-year-old daughter (FA1) on a social network and messaging application designed for individuals interested in various “kink,” “fetish,” and alternative sexual practices. ALFORD asked what “kinks” FA1 had. On multiple occasions, over the next several days, in his correspondence with FA1, ALFORD expressed a desire and intent to engage in various forms of sexual contact with FA1 and her fourteen-year-old daughter, both individually and collectively, including by providing graphic descriptions of the sexual acts. ALFORD also frequently discussed and planned face-to-face meetings with FA1 and her daughter to engage in sexual acts with each of them, including suggesting that they travel to ALFORD’s residence. Separately, ALFORD communicated via an instant messaging application directly with who he believed to be FA1’s minor daughter. During that conversation, ALFORD again described sexual acts he intended to perform on and with FA1 and the child, individually and collectively.
On August 2, 2023, ALFORD told FA1’s minor daughter that he was traveling to Hammond, Louisiana that evening to engage first in sex acts with FA1 and then to engage in sex acts with both FA1 and her daughter. That evening, ALFORD drove from Flowood, Mississippi to Hammond, Louisiana, in furtherance of his intent to engage in sexual acts with FA1 and her minor daughter.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
U.S. Attorney Evans praised the work of the United States Department of Homeland Security - Homeland Security Investigations and the Louisiana Bureau of Investigations in investigating this matter. Assistant United States Attorney Jordan Ginsberg, Chief of the Public Integrity Unit, was in charge of the prosecution.
Minneapolis Man Sentenced to 25 Years in Prison for Producing Child Pornography over Social MediaRead the Press Release
ST. PAUL, Minn. – A Minneapolis man has been sentenced to 300 months in prison followed by 15 years of supervised release for coercing minors to produce child pornography over social media, announced U.S. Attorney Andrew M. Luger.
According to court documents, in 2019, Nelson Thomas Harner, 41, admitted to connecting with multiple minors on Instagram and Facebook and coercing them to engage in sexual activity for the purposes of producing child pornography. Harner also possessed numerous images and videos depicting child sexual abuse material.
On July 11, 2023, Harner pleaded guilty to one count of coercion and enticement. He was sentenced on May 15, 2024, in U.S. District Court by Judge Eric C. Tostrud.
This case is the result of an investigation conducted by the U.S. Marshals Service and the Minnesota Bureau of Criminal Apprehension.
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. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Assistant U.S. Attorney Esther Soria Mignanelli prosecuted the case.
Michigan Man Charged in 29-Count Indictment for Allegedly Defrauding Northampton Company of Nearly $1 MillionRead the Press Release
BOSTON – A Michigan man has been indicted by a federal grand jury in Springfield, Mass. in connection with an alleged scheme to defraud a Northampton construction company of nearly $1 million.
Jonathan McCormack, 39, of Lapeer, Mich., was indicted on 17 counts of wire fraud and 12 counts of engaging in monetary transactions in criminally derived property of a value greater than $10,000. He will appear in federal court in Springfield at a later date.
According to the indictment, McCormack was employed as a project supervisor for BluRoc, LLC., a construction company based in Northampton, Mass. McCormack also owned and operated JDM Site Services, LLC (JDM), a Michigan-based company that heavy rented equipment to BluRoc.
It is alleged that between January 2019 through January 2021, McCormack devised a scheme to defraud BluRoc by various means, including submitting materially false JDM invoices for purported equipment usage and by diverting BluRoc labor, equipment and materials for his own personal use and benefit.
To further this scheme, McCormack allegedly entered fraudulent employee time and JDM equipment usage data in BluRoc’s tracking system that overstated both the number of hours the employees, including himself, were working on BluRoc projects as well as the number of hours JDM equipment was actually used. McCormack also allegedly emailed false JDM invoices to BluRoc personnel for inflated amounts that substantially overstated the number of hours the equipment was actually used. It is further alleged that McCormack deposited payments received for these false invoices into a JDM bank account and used the proceeds for his own personal use and benefit – including to purchase and renovate a luxury hunting lodge; make improvements to his personal residence; purchase recreational vehicles including snowmobiles; and repay a loan to his uncle.
Lastly, McCormack allegedly directed BluRoc workers to conduct work at the luxury hunting lodge he purchased, including clearing an area between the lodge and an adjacent property owned by his uncle; laying timber mats that McCormack had stolen from a BluRoc worksite; and haying and seeding the area with material that he had also stolen from a BluRoc worksite. McCormack then allegedly electronically approved the workers’ time and equipment usage in BluRoc’s tracking system – so that BluRoc, rather than McCormack, paid for their work.
In addition to the charges, the indictment seeks forfeiture of $920,716, the hunting lodge and six Polaris recreational vehicles.
The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of $250,000. The charge of engaging in monetary transactions in criminally derived property of a value greater than $10,000 provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorneys Neil Desroches and Steven H. Breslow of the Springfield Branch Office are prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Meth Dealer Sentenced in Federal CourtRead the Press Release
MOBILE, AL – A Theodore, Alabama, man was sentenced to 90 months in prison for conspiracy to possess with intent to distribute methamphetamine.
According to court documents, Jason Duane Reynolds, 44, was involved with several others in a large-scale conspiracy in which significant amounts of methamphetamine were distributed in Mississippi and Alabama. Reynolds was stopped in a vehicle by Mobile County Sheriff’s deputies in April of 2022 and methamphetamine was found in his vehicle. Information obtained during an ensuing investigation established that Reynolds was connected with conspirators on whom local and federal investigators had already identified as methamphetamine targets. Reynolds was held accountable for approximately 224 grams of methamphetamine actual that was distributed during the conspiracy, while other conspirators were involved with multiple kilograms of the substance.
United States District Court Judge Kristi K. Dubose imposed the 90-month sentence, and ordered that Reynolds serve 5 years of supervised release upon completion of his imprisonment. Drug abuse testing and treatment was ordered as a special condition of Reynolds’ supervision. The judge did not impose a fine, but ordered that Reynolds pay $100 in special mandatory assessments.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Mobile County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Mobile Police Department, the Drug Enforcement Administration and Homeland Security Investigations investigated the case. Assistant U.S. Attorney Gloria A. Bedwell prosecuted the case on behalf of the United States.
The investigation was part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs and transnational criminal organization 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.
McKees Rocks Felon Pleads Guilty to Drug Trafficking and Firearms CrimesRead the Press Release
PITTSBURGH, Pa. – A resident of McKees Rocks, Pennsylvania, pleaded guilty in federal court to federal drug and firearms charges, United States Attorney Eric G. Olshan announced today.
Reginald Bernard Blunt, 32, pleaded guilty before Senior United States District Judge Nora Barry Fischer to possession with intent to distribute 50 grams or more of a mixture containing methamphetamine and fentanyl, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a convicted felon.
In connection with the guilty plea, the Court was advised that an investigation by the Federal Bureau of Investigation and Pennsylvania State Police between August 2022 and June 2023 into a drug trafficking organization operating in McKees Rocks revealed that Blunt was a member of the organization and lived at a residence where firearms and controlled substances were being stored. On June 14, 2023, law enforcement executed a federal search warrant upon that residence and recovered from Blunt’s bedroom a backpack containing two prescription pill bottles bearing Blunt’s name, a loaded handgun containing 17 rounds of ammunition, and a “Glock switch” that, when attached to the handgun, would render the firearm fully automatic. Law enforcement also recovered from the residence approximately 60 grams of a fentanyl and methamphetamine mixture, 20 grams of fentanyl, and approximately 1,000 rounds of ammunition, in addition to seizing $4,300.
The firearm recovered by law enforcement was determined to be the same one that Blunt—who has previous felony drug trafficking and firearms convictions—had used just before law enforcement responded to a call at Blunt’s residence nearly one month earlier, where it was reported that two individuals were fighting and that one of the individuals possessed a gun. Traffic camera footage of this May 16, 2023, incident obtained by investigators in preparation for the federal search warrant revealed Blunt repeatedly pointing a firearm at an adult male who was accompanied by a child, with the adult carrying the child while ducking behind a vehicle to avoid Blunt as he pointed the firearm. The footage further recorded Blunt permitting the adult to place the child in the vehicle before Blunt brought the individual back to his residence, where, on the porch, the two males began exchanging punches. Federal law prohibits possession of a firearm or ammunition by a convicted felon.
Judge Fischer scheduled sentencing for August 15, 2024. The maximum penalty for the drug trafficking crime is at least five years and up to 40 years in prison, a fine of up to $5 million, or both. The maximum penalty for possessing a firearm in furtherance of a drug trafficking crime is a term of imprisonment of at least five years and up to life, which must be served consecutively to the sentence imposed on the drug trafficking crime, a fine of up to $250,000, or both. The maximum penalty for possession of a firearm by a convicted felon is up to 15 years in prison, a fine of up to $250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history of the defendant.
Pending sentencing, Judge Fischer ordered Blunt remanded to the custody of the U.S. Marshals Service.
Assistant United States Attorney Brendan J. McKenna is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and Pennsylvania State Police conducted the investigation that led to the prosecution of Blunt.
Man Sentenced to 24 Years in Prison for Shooting Two Men, Killing One and Severely Wounding the OtherRead the Press Release
WASHINGTON – DeJuan Bell, 47, of Washington, D.C., was sentenced today to a total of 24 years in prison for the December 2021 murder of Davon Childs and the shooting of another individual. The announcement was made by U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Bell pleaded guilty on March 1, 2024. On May 17, 2024, Superior Court Judge Marisa J. Demeo sentenced Bell to 24 years in prison, with five years of supervised release for second degree murder while armed to run concurrently with the sentence of 12 years in prison for aggravated assault while armed and five years of supervised release for that charge.
According to the government’s evidence, with which Bell agreed, on the evening of December 10, 2021, at approximately 10:00 p.m., in the second floor hallway of an apartment building located in the 2300 block of 4th Street NE, Bell intentionally fired a 9mm semi-automatic handgun at least seven times in the direction of two unarmed people, striking both and killing one of them.
In announcing the sentence, U.S. Attorney Graves and Chief Smith commended the work of those investigating the case from the Metropolitan Police Department. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Lauren Douglas and former Paralegal Debra Forte. Finally, they commended the work of Assistant U.S. Attorneys Erin DeRiso and Sarah Santiago, who investigated and prosecuted the case.
Man Sentenced to 13 Years in Prison for Shooting Teenager in the FaceRead the Press Release
WASHINGTON – Delmar Whitley, also known as Damar Whitley, 47, of Washington, D.C., was sentenced to a total period of 13 years in prison for shooting a 17-year-old teen in the face and back, announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
The Honorable Marisa J. Demeo of D.C. Superior Court sentenced Whitley on May 17, 2024, to 13 years for assault with intent to kill while armed and five years for possession of a firearm during a crime of violence. Whitley entered his guilty plea on March 15, 2024.
According to the government’s evidence, with which Whitley agreed, on the morning of August 31, 2022, Whitley returned home to his apartment building in the 4700 block of Alabama Avenue SE. While walking through the common area of the building, Whitley exchanged words with the first victim, a 17-year-old who was visiting the building before he and his classmates were to go to school. After that exchange, Whitley went inside his apartment briefly, came back out armed with a firearm, and shot the teenaged victim in the face. Whitley then chased that victim outside and shot him a second time, hitting him in the back.
Video footage showed that Whitley also pointed the gun at another teen who had been with the victim and was also trying to get away. Whitley fled the scene immediately after the shooting. Police arrested him on September 22, 2022, and Whitley has been detained since that date.
In announcing the sentence, U.S. Attorney Graves and Chief Smith commended the work of those investigating the case from the Metropolitan Police Department. Finally, they commended the work of Assistant U.S. Attorneys Sarah Prins and Michael Roberts, who investigated and prosecuted the case.
Man Sentenced for $1.9M Baby Formula SchemeRead the Press Release
A New York man was sentenced today to two years and nine months in prison and ordered to pay approximately $738,000 in restitution and forfeit approximately $1 million for his role in a scheme to fraudulently obtain specialty baby formula.
According to court documents, Vladislav Kotlyar, 45, of Staten Island, submitted and caused the submission of forged prescriptions and medical records for specialty baby formula that was paid for by health insurers. Kotlyar obtained prescriptions and medical records for infants who were prescribed baby formula and forged those records with respect to the type and amount of formula prescribed to obtain high volumes of expensive specialty baby formula. After receiving the specialty baby formula, Kotlyar fabricated issues with the shipments, including by impersonating the infants’ fathers, to falsely claim that shipments were damaged or contained the incorrect formula to acquire additional formula at no additional cost. Kotlyar then sold the fraudulently obtained formula. A portion of Kotlyar’s scheme occurred during a national shortage of infant formula.
Kotlyar previously pleaded guilty in March 2023 to mail fraud.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Breon Peace for the Eastern District of New York; Assistant Director Michael Nordwall of the FBI’s Criminal Investigative Division; and Assistant Director in Charge James Smith of the FBI New York Field Office made the announcement.
The FBI New York Field Office investigated the case.
Trial Attorney Patrick J. Campbell of the Criminal Division’s Fraud Section prosecuted the case. Assistant U.S. Attorney Claire S. Kedeshian for the Eastern District of New York assisted with forfeiture.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, currently comprised of nine strike forces operating in 27 federal districts, has charged more than 5,400 defendants who collectively have billed federal health care programs and private insurers more than $27 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Department of Health and Human Services Office of Inspector General, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
Madison County Man Sentenced to 10 Years in Federal Prison for Distribution and Possession of Child PornographyRead the Press Release
SYRACUSE, NEW YORK – Thomas Collins, age 36, of Chittenango, New York, was sentenced yesterday to serve 10-years in federal prison for distributing and possessing numerous images and videos of child pornography announced United States Attorney Carla B. Freedman, Matthew Scarpino, Special Agent in Charge of United States Homeland Security Investigations (HSI), Buffalo Field Office, and New York State Police (NYSP) Superintendent Steven G. James.
As part of his prior guilty plea, Collins admitted that on several occasions in April of 2023, he distributed images and videos of child pornography to two undercover law enforcement officers via the same social networking application. Collins also admitted that on the day of his arrest, May 18, 2023, he possessed numerous images and videos of child pornography on several of his electronic devices.
United States District Judge David N. Hurd also sentenced Collins to serve a 10-year term of supervised release following his release from prison, at which time Collins will be required to register as a sex offender.
The case was investigated by United States Homeland Security Investigations (HSI), the New York State Police Internet Crimes Against Children Task Force, and the New York State Police Troop D Computer Crime Unit. Assistant U.S. Attorney Adrian LaRochelle prosecuted the case as a 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). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Lynchburg Man Arrested on Federal Firearms ChargeRead the Press Release
LYNCHBURG, Va. – A Lynchburg, Virginia man, implicated in a series of incidents involving the illegal possession of a firearm, was arrested on a federal criminal complaint charging him with a federal gun crime.
Brandon Cole Webber, 27, was taken into federal custody this week and charged with one count of being a convicted felon in possession of a firearm.
According to court documents, on May 5, 2022, law enforcement officers were flagged down by a citizen on Fifth Street in Lynchburg after the citizen reported seeing a man fall out of a moving vehicle then shoot a firearm in the direction of the same departing vehicle. The citizen told police the man who shot at the vehicle- ultimately identified as Webber- then ran toward the Family Dollar on Federal Street in downtown Lynchburg.
Two other individuals driving past the incident witnessed Webber fall out of the vehicle. Webber asked the witnesses for a ride and attempted to enter their vehicle as law enforcement arrived on scene. Police officers searched the vehicle and found a loaded 9 mm handgun, a white bag containing suspected methamphetamine, and a wallet belonging to an unidentified individual in the back seat where Webber had been sitting.
In addition to the May 2022 incident, court documents filed today documents Webber’s involved in several other incidents.
On November 29, 2023, members of the Lynchburg Fire Department responded to an overdose at the Lynchburg Grand Hotel. First responders observed a man- later identified as Weber- lying face down on the bathroom floor of room 627. Firefighters observed needles and a glass pipe in the room. When Lynchburg Police arrived, Webber fled the scene, running from officers before being apprehended outside of the hotel. Later in the evening, officers searched room 627and recovered a bag containing suspected methamphetamine and a loaded Glock 38 handgun.
On November 30, 2023, Webber was charged with violating various state firearm statues. However, after receiving treatment for his overdose at a local hospital, law enforcement was unable to locate Webber.
Law enforcement believes Webber fled Lynchburg with the help of Subject-1, a former City of Lynchburg Community Corrections and Pretrial Services Agency Officer. Webber and Subject-1 began a romantic relationship in August 2023 and Subject-1 had been allegedly providing Webber with non-public sensitive information. For example, on five separate occasions in December 2023, Subject-1’s credentials were used to view a search warrant executed at the Lynchburg Grand Hotel on November 29, 2023 in relation to Webber’s overdose incident.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division made the announcement.
The Federal Bureau of Investigation and the City of Lynchburg Police Department are investigating the case.
Assistant U.S. Attorney Vito Iaia is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Local woman sent to prison for decades-long use of stolen identityRead the Press Release
LAREDO, Texas – A 53-year-old woman has been sentenced for passport fraud and aggravated identity theft, announced U.S. Attorney Alamdar S. Hamdani.
Elizabeth Ann Berbel pleaded guilty Aug. 28, 2023.
Berbel is also known as Ana Elizabeth Gomez-Garcia, Ana Elizabeth Gomez Garcia, Ana Elizabeth Gomez, Anna Elizabeth Gomez Garcia, Anna Elizabeth Gomez, Elizabeth Berbel, Elizabeth Ann Gomez, Tina Gomez-Manns and Anna Gomez.
U.S. District Judge Keith Ellison has now ordered Berbel to serve six and 24 months for the passport fraud and aggravated identity theft convictions, respectively. They will run consecutively for a total 30-month-term of imprisonment. Berbel was also ordered to pay $3,083.43 in restitution. During the hearing, the court heard testimony from the victim who described the trauma she has experienced as a result of Berbel’s conduct as well as the negative impact the use of her identity has had on her life and career.
On March 22, 2019, Berbel applied for a passport in Laredo. Part of the application required her to include the names of her parents, her place of birth and her Social Security number. At the time of the plea, Berbel admitted she included information that actually belonged to another person.
Berbel had been using the victim’s Social Security number and other information as early as 2001.
The investigation further revealed that in August 2005, law enforcement had stopped at Berbel at the Laredo Port of Entry. At that time, she was carrying multiple forms of identification including a Social Security card with the victim’s number. At the time, Berbel admitted she was not the person on the identification documents and that she was in fact Ana Elizabeth Gomez Garcia, a citizen and national of Mexico. She also acknowledged having other identification documents hidden in her car. Berbel claimed she waited a week or two before returning to the United States by using these other documents.
Authorities were also able to locate and identify several of Berbel’s biological family members. The investigation confirmed her true identity and not the one she had been assuming by using the victim’s information.
She will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Department of State conducted the investigation with assistance from the Social Security Administration and the Texas Department of Public Safety.
Assistant U.S. Attorney Brian Bajew prosecuted the case.
Lead Couple Sentenced to Federal PrisonRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that a Lead, South Dakota husband and wife convicted of Conspiracy to Defraud the United States have been sentenced to prison. The couple must also pay $211,564.17 in restitution.
On May 15, 2024, U.S. Circuit Judge Jonathan A. Kobes sentenced Tami Lee Stokes, 52, to 15 months in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
On May 16, 2024, U.S. District Judge Karen E. Schreier sentenced Jason Lee Stokes, 48, to 18 months in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
The Stokes were indicted by a federal grand jury in October of 2023 for Theft of Government Funds, Conspiracy to Defraud the United States, and False Statement. They both pleaded guilty to Conspiracy to Defraud the United States on March 8, 2024. The conviction stems from the Stokes’ scheme to fraudulently obtain benefits from the Social Security Administration (“SSA”).
In December of 2012, Jason Stokes submitted an application for Social Security Title II Disability Insurance Benefits, claiming he was unable to work because of illness. He qualified for benefits. Thereafter, Jason and his wife, Tami Stokes, repeatedly reported false and fraudulent information to the SSA about the nature and extent of Jason’s alleged disability.
From 2013 to 2023, Jason and Tami filed written reports and attended doctors’ appointments claiming Jason needed a wheelchair, could not physically function without constant assistance, and was unable to work. At doctors’ appointments, Jason acted as though he was suffering the symptoms falsely reported in the Stokes’ written reports. The Stokes also sought and obtained benefits on behalf of a minor dependent child. In reality, Jason was healthy and continued to work as a self-employed construction contractor, putting his LLC in his wife’s name to hide his employability.
Throughout the time period of the fraud, the Stokes obtained $166,458.00 in Title II benefits for Jason’s falsified disability, and $43,042.00 in Title II benefits on behalf of their minor child, resulting in a total payout of approximately $209,500.00. During this time period, the Stokes purchased three snowmobiles, two vehicles, a trailer, and a motorcycle. They obtained numerous hunting licenses, took month-long international vacations, and enjoyed various outdoor activities including helicoptering and boating.
Ultimately, their ten years of fraud was uncovered in 2022 when a doctor at a required consultative exam noted Jason’s muscle tone and other bodily functions did not match his purported levels of impairment. Investigators surveilled the Stokes engaging in their daily routine and observed them shopping, traveling to Mexico to go scuba-diving, going to restaurants, and driving. These activities completely contradicted the Stokes’ representation to the SSA that Jason couldn’t leave the home and needed assistance in essentially every aspect of his life.
When sentencing Tami Stokes on May 15, 2024, to fifteen months in federal prison, U.S. Circuit Judge Jonathan A. Kobes stated that Tami took “full advantage of the fraud on the United States” and lived “the high life on the taxpayers’ dime.” At Jason Stokes’ sentencing on May 16, 2024, U.S. District Judge Karen E. Schreier told Jason, “Most of the people in South Dakota are honest, hardworking people. The scheme you were involved in here was not that at all.” Judge Schreier outlined the “outright lies” that the Stokes fed the SSA, including that Jason could not shave or brush his teeth, meanwhile the Stokes used “government money to purchase [various vehicles] and other items.” Judge Schreier sentenced Jason to eighteen months in federal prison, citing Jason’s conduct as more egregious than Tami’s because of the fact he actually pretended to be totally disabled.
This case was investigated by the Office of the Inspector General – Social Security Administration. Assistant U.S. Attorney Anna Lindrooth prosecuted the case.
The Stokes were remanded to the custody of the U.S. Marshals Service.
Laredo resident sent to prison for impersonating licensed nurseRead the Press Release
LAREDO, Texas - A 36-year-old woman has been sentenced for her conviction of false statements in a health care matter, announced U.S. Attorney Alamdar S. Hamdani.
Nora Nely Avila pleaded guilty Jan. 3, 2021.
U.S. District Judge Keith P. Ellison has now ordered Avila to serve 18 months in federal prison to be immediately followed by three years of supervised release.
At the hearing, the court heard evidence that Avila incorrectly took out stitches from a patient’s wound, leading to an infection. In addition to the prison sentence, Judge Ellison entered a money judgement against Avila for $52,241.66.
Avila admitted that from January 2017 through December 2019, she impersonated a nurse and performed unlicensed work at multiple hospitals and home health companies in the Laredo area.
From 2017 until 2019, Avila stole the identity of a licensed nurse and repeatedly and fraudulently presented the license and credentials of this licensed nurse at federally-funded Medicare and Medicaid providers throughout Laredo.
At other home health agencies, Avila falsified patient records and failed to show up to work which left patients without needed care. Avila also obtained employment as nurse trainer in the federal-funded Job Corps program and was assigned to train future nurses.
Previously released on bond, Avila was permitted to remain on bond and to surrender at a later date.
FBI, Department of Health and Human Services – Office of the Inspector General (OIG), Department of Labor – OIG, Homeland Security Investigations and the Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Assistant U.S. Attorney Kathryn Olson prosecuted the case.
Impersonation Scam Using US Attorney’s Office InformationRead the Press Release
United States Attorney Susan Lehr announced that the U.S. Attorney’s Office, District of Nebraska has become aware of an Impersonation Scam using Ms. Lehr’s name, image, and title to attempt to defraud victims via email. On May 15, 2024, the U.S. Attorney’s Office received several calls from concerned citizens regarding emails they received purporting to be from United States Attorney Lehr. U.S. Attorney’s Office personnel quickly determined this was a scam and directed callers to report the scam to the FBI Tip Line www.ic3.gov and FTC Fraud Line https://reportfraud.ftc.gov/. None of the callers suffered a financial loss related to the scam.
If you receive an email demanding payment to the US Attorney’s Office, do not open any attachments, or respond providing any personal information. Please submit a report to the FBI at www.ic3.gov and https://reportfraud.ftc.gov/.
According to Ms. Lehr, “the only time the U.S. Attorney’s Office is involved in the collection of money is for restitution purposes in a criminal case after a judicial finding.”
“Scammers are experts at manipulation; they carry out various phone or email scams with unsuspecting victims. In this case they posed as a United States government official. We are grateful to the citizens who brought this our attention and that no one suffered any loss in this scheme. I would encourage the public to continue to exercise their due diligence when solicited for funds by emails or phone to report any suspicious activity to law enforcement.”
You can find additional information related to some common scams below.
How To Avoid a Government Impersonation Scam. Scammers pretend to be from government agencies like the FTC, Social Security Administration, and IRS — or say they’re calling about your Medicare benefits. They contact you and say that, if you don’t pay or give them your personal information, something bad will happen. Or maybe you’ll miss out on some government benefit. But it’s a scam. Learn the signs and avoid the scam.
Here are some other examples of government impersonation scams:
Scammers impersonate “the national consumer protection agency.” They might say they’re from the non-existent National Sweepstakes Bureau or another made-up agency. If you’re in doubt, check out the list of real federal agencies at usa.gov.
Scammers impersonate your local sheriff’s office or a court official. They might say there’s a warrant out for your arrest and that you’ll go to jail if you don’t pay immediately. Or that they’re from the local court and you need to pay a penalty for missing jury duty. This is most likely a scam. But if you’re worried, look up the real number for the government agency or office the caller mentioned. Then contact them directly to get the real story.
Scammers impersonate representatives of immigration authorities. They might say they’re calling from the United States Citizenship and Immigration Service (USCIS) or another agency, there’s a problem with an immigration application or petition, and you have to pay them to solve that issue. This is a scam. If you’re concerned, contact USCIS directly. Also read Avoid Immigration Scams and Get Real Help.
Source: https://consumer.ftc.gov/articles/how-avoid-government-impersonation-scam
Home Builder Pleads Guilty to Tax ConspiracyRead the Press Release
A former Massachusetts home builder pleaded guilty yesterday to conspiring to defraud the United States and creating false documents to help one of his clients obtain a mortgage.
According to court documents and statements made in court, Kent Pecoy owned and operated Kent Pecoy & Sons, Construction Inc., a West Springfield-based commercial and luxury home construction company.
From 2009 through 2016, Pecoy conspired with others to conceal income from the IRS by dealing in cash. Specifically, Pecoy received $1,116,900 in cash payments from Kevin Kennedy, who was sentenced to prison last month for tax crimes, for the purchase and construction of custom-built homes in East Longmeadow and on Cape Cod. Pecoy did not deposit most of the cash into the businesses’ bank accounts, but rather distributed the cash directly to vendors and subcontractors. For example, Pecoy used approximately $135,700 of that cash to pay subcontractors under the table for work performed at the Cape Cod home. Pecoy also created and maintained separate ledgers documenting Kennedy’s cash payments, created and maintained false contracts and cover sheets and created false entries in the company’s accounting system to conceal the cash payments.
For the payments Pecoy did deposit, he deposited the cash in amounts less than $10,000 to avoid the filing of currency transaction reports.
For the East Longmeadow home, in January 2010, Kennedy and Pecoy created two contracts, one with the agreed-upon purchase price and one with a deflated purchase price. The latter contract listed a purchase price that was $160,000 lower than the contract price, which was the amount Kennedy had paid to Pecoy in cash as a down payment for the home. Kennedy then submitted the deflated home purchase contract to the bank to induce it to provide him a mortgage for part of the East Longmeadow home.
In total, Pecoy caused a loss to the IRS of more than $250,000.
Pecoy also obstructed the IRS after it opened an investigation. The IRS served a grand jury subpoena on Pecoy, to which he responded. However, when IRS special agents executed a search warrant at Pecoy’s construction business, they found dozens of documents responsive to the subpoena that Pecoy had not turned over to the government even though he was legally required to have done so.
Pecoy is scheduled to be sentenced on Aug. 20. He faces a maximum penalty of five years in prison for conspiring to defraud the United States and 30 years in prison for making a false statement to a bank. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts made the announcement.
IRS Criminal Investigation is investigating the case.
Assistant Chief Eric B. Powers of the Tax Division and Assistant U.S. Attorney Neil Desroches for the District of Massachusetts are prosecuting the case.
Guatemalan extradited to the Eastern District of Texas to face international drug trafficking chargesRead the Press Release
SHERMAN – A Guatemalan man has been extradited to the United States to face international drug trafficking charges in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs.
According to information presented in court, the Los Pochos drug trafficking organization (DTO), based in Guatemala and Mexico, supplies multi-ton quantities of cocaine to multiple high-level Guatemala- and Mexico-based heads of cocaine trafficking cells. The Los Pochos DTO supplies vast quantities of cocaine to Sinaloa Cartel leaders who have an existing transportation infrastructure to receive, consolidate, and transport the cocaine to markets in the United States.
Juan Jose Morales Cifuentes, 33, also known as Pancho, a leader of the Los Pochos DTO since 2019, is a Guatemala-based cocaine distributor and transportation coordinator associated with the Sinaloa Cartel and the son-in-law of deceased significant foreign narcotics trafficker Erik Salvador Suñiga Rodriguez. Morales Cifuentes is notorious for using violence to resolve conflicts and has engaged in executions of former associates in furtherance of the Los Pochos DTO’s narcotics trafficking activities. Mexican traffickers pay taxes to Morales Cifuentes to store their narcotics in the Guatemalan border towns of Tecun Uman and San Marcos. The organization purchases approximately 4,000 kilograms of cocaine monthly, totaling approximately 48,000 kilograms yearly, and is responsible for supplying multiple high-level Guatemalan and Mexican drug traffickers, including Mexico-based cartel leaders. Morales Cifuentes was extradited from Guatemala to the United States on May 16, 2024.
On June 15, 2023, a grand jury in the U.S. District Court for the Eastern District of Texas charged Morales Cifuentes with multiple crimes, including conspiracy to manufacture and distribute cocaine, intending, knowing, and having reasonable cause to believe it would be unlawfully imported to the United States.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case is being investigated by the North Texas Organized Crime Drug Enforcement Task Force (“OCDETF”) Strike Force Group Two; the U.S. Drug Enforcement Administration’s Dallas Division; the DEA’s Guatemala City Country Office and the DEA’s San Jose (Costa Rica) Country Office; the FBI’s Dallas Field Office; the Homeland Security Investigation’s Dallas and Guatemala Field Offices; the U.S. Marshals Service’s Dallas Field Office; and Customs and Border Patrol’s San Diego Field Office.
The Justice Department’s Office of International Affairs provided significant assistance in securing the defendant’s arrest and extradition to the United States. This individual is being prosecuted by Assistant U.S. Attorney Wes Wynne.
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