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Friday 29 March 2024
New Jersey Man Sentenced for Fire Set in VergennesRead the Press Release
Burlington, Vermont – The United States Attorney’s Office for the District of Vermont announced that Eddy Santiago, Jr., 30, of Clifton, New Jersey was sentenced today in the United States District Court following his guilty plea to using extortionate means to collect and punish the nonrepayment of a debt. United States District Judge Christina Reiss sentenced Santiago to 49 months’ imprisonment to be followed by a three-year term of supervised release.
According to court records, Santiago was arrested by Vermont state law enforcement authorities on January 5, 2022, after he had set fire to a vehicle at a residence in the Booth Woods neighborhood of Vergennes earlier that morning. The fire destroyed two vehicles in the driveway and damaged the residence itself. Witnesses reported that Santiago had threatened to start a fire if the residents did not pay a large debt he thought they owed him for cocaine he had provided. Video cameras in nearby residences showed Santiago carrying a gas can and lighting the car on fire in the early morning hours of January 5, 2022; investigators also located gas station security camera footage showing Santiago filling a gas can in South Burlington approximately an hour before the fire and placing it in the front passenger seat of his vehicle. After Santiago was stopped and arrested, investigators found a partially filled gas can in the trunk of his vehicle.
Several law enforcement agencies participated in the investigation of Santiago, including the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); the Drug Enforcement Administration (DEA); the Vermont State Police; the Vergennes Police Department; and the Middlebury Police Department. United States Attorney Nikolas P. Kerest commended the mutually supportive efforts of the agencies in their proactive investigation of drug crimes and their reactive investigation of the arson.
Santiago was represented by Kevin Henry, Esq. Assistant U.S. Attorney Matthew Lasher represented the United States.
New Hampshire Man Sentenced to Prison and Ordered to Pay over $1.2 Million Following Conviction for Wire Fraud Related to Dog Training BusinessRead the Press Release
Montgomery, Alabama – Today, Acting United States Attorney Jonathan S. Ross announced that a federal judge sentenced 42-year-old Joseph Robert Merry, Jr., a resident of Plaistow, New Hampshire, to 51 months in prison for wire fraud.
According to his plea agreement and other court records, from 2017 to 2018, Merry engaged in a fraudulent scheme involving dog training businesses. During his plea hearing, Merry specifically admitted to convincing multiple individuals to invest in dog training businesses he reported to have started in Indiana, New Jersey, and Lee County, Alabama. In doing so, Merry made false claims about large prospective contracts.
To carry out his scheme, Merry occasionally pretended to be a potential customer. On one occasion, he falsely claimed to be a high ranking official of an energy company seeking to enter into a large contract with one of Merry’s dog training businesses. Through these falsities, Merry sought to gain the trust of his investors. Based on Merry’s misrepresentations, some of the investors spent additional money and made significant payments in anticipation of fulfilling the fictional contracts. In addition, numerous new employees moved to different states for jobs they expected to be have with one of these dog training businesses. However, the jobs never came. All the while, Merry used the proceeds of the investments for his own personal benefit.
During the March 27, 2024, sentencing hearing, the judge also ordered Merry to pay restitution in the amount of $1,271.790 to his victims, and to forfeit $1,515,000 in assets.
The Federal Bureau of Investigation and the Opelika Police Department investigated this case, which Assistant United States Attorney J. Patrick Lamb prosecuted.
Morristown Man Indicted for Unlawfully Possessing a FirearmRead the Press Release
Burlington, Vermont – The United States Attorney’s Office stated that Jordan Phelps, 34, of Morristown, Vermont, has been indicted for illegal possession of a firearm while being a user of controlled substances. He was arraigned on March 29, 2024, and United States Magistrate Judge Kevin J. Doyle ordered Phelps detained pending further proceedings.
According to court records, on March 11, 2024, Jordan Phelps called the Morristown Police Department on four occasions and threatened to go to the home of a sworn member of law enforcement. The threatening phone calls were recorded, and law enforcement investigated Phelps. On March 13, 2024, law enforcement executed a state search warrant at Phelps’ residence that led to the seizure of a loaded Marlin Model 336 .30-30 Caliber Rifle from Phelps’ bedroom. Further investigation into Phelps revealed that he was an unlawful user of controlled substances.
The United States Attorney’s Office emphasizes that an indictment contains allegations only and that Phelps is presumed innocent until and unless proven guilty. If convicted, Phelps faces a maximum possible penalty of 15 years in prison and fines of up to $250,000. The actual sentence, however, would be determined by the District Court with guidance from the advisory United States Sentencing Guidelines and the statutory sentencing factors.
United States Attorney Nikolas P. Kerest commended the investigatory efforts of the Morristown Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
The prosecutor is Assistant United States Attorney Zachary Stendig. Phelps is represented by Chandler Matson, Esq.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
Montgomery Man Sentenced to 15 Years in Federal Prison for Illegally Possessing Ammunition Used During Shooting at Gas StationRead the Press Release
Montgomery, Alabama – Today, Acting United States Attorney Jonathan S. Ross announced the sentencing of a Montgomery, Alabama man for unlawfully possessing ammunition after being convicted of a felony offense. On March 26, 2024, a federal judge sentenced 40-year-old Maricas Rondell Taylor, to 15 years in prison, followed by three years of supervised release. There is no parole in the federal system.
According to court records and evidence presented during his September 2023 trial, following a brief argument, Taylor shot at a Montgomery convenience store clerk. Law enforcement recovered shell casings from the store that the jury linked to those Taylor fired during the shooting. Taylor has a previous felony conviction and is prohibited by federal law from possessing a firearm or ammunition.
“Arguments that end with gunfire have become far too common,” said Acting United States Attorney Ross. “The defendant’s use of a firearm to settle a dispute not only put the clerk’s life at risk, but he also endangered everyone in the area. The 15-year sentence ordered by the judge was the maximum allowed by federal law, and was justified by Taylor’s complete disregard for the safety of others.”
This case was 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 make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Montgomery Police Department investigated this case, with Assistant United States Attorneys Brandon W. Bates and Michelle R. Turner prosecuting.
Mississippi Man and Destrehan Man Sentenced for Bank Fraud, Wire Fraud and Money Laundering ConspiraciesRead the Press Release
NEW ORLEANS – RYAN P. MULLEN, age 43 and a resident of Jayess, MS., and DUANE A. DUFRENE, age 56, of Destrehan, LA., were sentenced on March 20, 2024 and March 27, 2024 respectively by U.S. District Judge Jane Triche Milazzo for two separate cases involving conspiracy to commit bank fraud, conspiracy to commit wire fraud, and conspiracy to commit money laundering, announced U.S. Attorney Duane A. Evans. Judge Milazzo sentenced MULLEN to 160 months imprisonment for both cases and she sentenced DUFRENE to 24 months imprisonment for the same two cases.
According to court documents, MULLEN and DUFRENE used fictitious entities, falsified tax returns, fraudulent financial statements, and fraudulent appraisals to defraud the lending institutions so that MULLEN and DUFRENE could purchase a residence in Jayess, MS. (using a state bank in Mississippi), The Briars bed and breakfast in Natchez, MS. (using a Mississippi credit union) and two other Natchez hotels (using an out of state commercial lender). The sale of the Jayess, MS. residence was premised on false financial information provided by DUFRENE to MULLEN, who then gave it to the Mississippi bank. The sales of The Briars and the two hotels were premised upon not only false information prepared by DUFRENE and given to the financial institutions by MULLEN, but also on inflated appraisals stemming from side sales agreements between MULLEN and DUFRENE. After the sales of the bed and breakfast and hotel properties, MULLEN paid DUFRENE $90,000. MULLEN used the proceeds to buy at least 20, some already governmentally seized, high-end luxury cars, a number of which have been seized. The loss from their fraudulent purchasing and flipping schemes totals approximately $6.5 million.
In the second fraud scheme, MULLEN conspired with DUFRENE, DILLON ARCENEAUX, LANCE VALLO, GRANT MENARD, and ZEB SARTIN to use several shell Louisiana corporations, devoid of assets, to defraud a Georgia based merchant cash company. MULLEN and DUFRENE helped establish ARCENEAUX, VALLO, MENARD, and SARTIN as the owners of the existing shell corporations. MULLEN and DUFRENE then created fake vendor accounts for the corporations, and MULLEN, along with another person, created falsified bank records for the companies. MULLEN then used an alias and represented himself to be a broker for the shell companies he helped create.
Through the aid of another broker, MULLEN supplied the victim merchant cash advance company with the fake vendor accounts and false bank records in order to obtain funding. The victim cash advance company approved the advances and began to electronically wire ARCENEAUX, VALLO, MENARD, and SARTIN millions of dollars in advances. MULLEN, ARCENEAUX, VALLO, MENARD, and SARTIN conspired to launder a portion of the funds by paying DUFRENE a fee for preparing the fake vendor contracts. ARCENEAUX, VALLO, MENARD, and SARTIN then closed their non-existent businesses before fully repaying the victim merchant cash advance company, resulting in overall losses to the victim of approximately $6.4 million. MULLEN again used criminally derived proceeds to purchase a number of high-end vehicles, that he stored at his home in Jayess, Mississippi.
In addition to incarceration, Judge Milazzo ordered MULLEN to serve 3 years of supervised release and pay $6,401,385.96 in restitution for one case. She also ordered that restitution in the other case, would be determined at a future restitution hearing. In addition to incarceration, Judge Milazzo also ordered that DUFRENE serve 3 years of supervised release and pay $6,401,385.96 in restitution. Each defendant was also ordered to pay a mandatory special assessment fee of $200.
“The crimes committed by the two defendants lost legitimate lenders’ money by receiving loans for fraudulently overvalued properties and nonexistent businesses,” said Lisa Fontanette, Assistant Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “IRS Criminal Investigation special agents and their law enforcement partners will continue to investigate and bring to justice those who engage in financial fraud schemes.”
U.S. Attorney Evans commended the Federal Bureau of Investigation and IRS-Criminal Investigation, for their handling of the matter. The case is being prosecuted by Assistant United States Attorneys Edward J. Rivera of the Financial Crimes Unit and Andre J. Lagarde of the Public Integrity Unit.
Methamphetamine Trafficker Sentenced to Federal Prison Again, for More Than 17 YearsRead the Press Release
Tampa, FL – U.S. District Judge Steven Merryday has sentenced Raul Carbajal (34, Plant City) to 17 years and 6 months in federal prison for conspiracy to distribute and possession with the intent to distribute methamphetamine and cocaine. Carbajal entered a guilty plea on November 21, 2023.
According to court documents, Carbajal, who was previously convicted in federal court for conspiracy to possess with the intent to distribute methamphetamine, organized narcotics deals in the Plant City area, including three separate sales of approximately 1 kilogram of methamphetamine. Carbajal also admitted that he sold other narcotics, including cocaine.
Two of Carbajal’s co-conspirators were previously sentenced to federal prison. Uriel Rosales Carvajal was sentenced to 7 years and 3 months, and Ricardo Heras received 3 years’ imprisonment.
This case was investigated by the Drug Enforcement Administration and the Plant City Police Department as part of the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF. It was prosecuted by Assistant United States Attorney Michael R. Kenneth.
McAllen Instagrammer convicted of soliciting sexual images from young childrenRead the Press Release
McALLEN, Texas – A 23-year-old man has pleaded guilty to attempting to coerce and entice a minor, announced U.S. Attorney Alamdar S. Hamdani.
From January to February 2020, Israel Ruiz used Instagram to solicit explicit images from children as young as nine.
The investigation revealed he used several tactics to obtain the pornographic materials including contacting the minor victims via the social media platform. He also intimidated the minors by threatening to post other nude images of them or their friends online if additional images were not given to him.
U.S. District Judge Ricardo H. Hinojosa will impose sentencing July 19. At that time, Ruiz faces up to life in federal prison and a possible $250,000 maximum fine.
He has been and will remain in custody pending sentencing.
The FBI conducted the investigation.
Assistant U.S. Attorneys Cahal P. McColgan and Alexa D. Parcell prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
Massachusetts Man Indicted for Stealing Postage Stamps Using Fraudulent ChecksRead the Press Release
SYRACUSE, NEW YORK – William Soto, age 32, of Springfield, Massachusetts, was arraigned yesterday on a federal indictment charging him with twelve counts of theft of government property, United States Attorney Carla B. Freedman and Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS) announced.
According to the indictment, Soto used fraudulent checks to purchase more than $30,000 worth of United States Postal Service postage stamps over the course of two days in Oneida County, Oswego County, and Onondaga County in August 2023.
The charges filed against Soto carry a maximum sentence of 10 years in prison, a fine of up to $250,000, and a term of supervised release of up to three years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
The USPIS is investigating the case with the help of the Fulton Police Department and Special Assistant U.S. Attorney Paul Tuck is prosecuting the case.
Massachusetts Man Arrested on Federal Dogfighting ChargesRead the Press Release
A Massachusetts man was arrested today in Hanson, Massachusetts, for allegedly possessing dogs for participation in a dogfighting venture at his Massachusetts home.
According to the criminal indictment, John Murphy, 50, of Hanson, was charged on nine counts of possessing animals for use in an animal fighting venture, in violation of the federal Animal Welfare Act. At his home, Murphy possessed items associated with participation in a dogfighting venture. This included intravenous infusion equipment, syringes, anabolic steroids, a skin stapler, forceps, equipment and literature for training dogs including a slat mill and a flirt pole, break sticks used to separate fighting dogs and a breeding stand used to immobilize female dogs during breeding to prevent harm while mating.
The United States also filed a civil complaint for forfeiture of 13 pit bull-type dogs seized by federal agents while executing a federal search warrant in June 2023 of Murphy’s residence and another residence in Townsend, Massachusetts. The dogs are currently in the custody of the U.S. Marshals Service (USMS) and are being cared for by a USMS contractor. The civil complaint also alleges that several of the seized dogs had scarring.
The civil forfeiture complaint further alleges that Murphy frequently communicated with other dogfighters via Facebook. Murphy also allegedly posted several dogfighting-related photos to his Facebook account, including a photo of a pit bull-type dog with scarring and discolorations on its head and leg consistent with that of dogfighting, as well as a photo of a pit bull-type dog restrained in a breeding stand. Additionally, in 2019, 2020 and 2021, Murphy allegedly posted videos that depicted pit bull-type dogs physically tethered to treadmill-like-devices commonly used to physically condition dogs in preparation for a dogfight.
To report animal fighting crimes, please contact your local law enforcement or the U.S. Department of Agriculture’s Office of Inspector General (USDA-OIG) complaint hotline at usdaoig.oversight.gov/hotline or 1-800-424-9121.
For each charge of possessing animals for use in an animal fighting venture, Murphy faces a maximum penalty of five years in prison, three years of supervised release and a fine of up to $250,000.
Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division (ENRD), Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts, Acting Special Agent in Charge Christopher P. Robinson of USDA-OIG’s Northeast Region, Interim Colonel John E. Mawn Jr. of the Massachusetts State Police and Director Joseph F. King of the Animal Rescue League of Boston’s Law Enforcement Division made the annoucement.
USDA-OIG investigated the case with valuable assistance from Homeland Security Investigations; U.S. Customs and Border Protection; the Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Coast Guard Investigative Service; USMS; Maine State Police; New Hampshire State Police; Massachusetts Office of the State Auditor; Rhode Island Society for the Prevention of Cruelty to Animals and police departments of Hanson, Boston and Acton, Massachusetts.
Trial Attorney Matthew T. Morris of ENRD’s Environmental Crimes Section and Assistant U.S. Attorneys Danial E. Bennett and Kaitlin J. Brown for the District of Massachusetts are prosecuting the criminal case. Senior Trial Attorney J. Brett Grosko and Trial Attorney Caitlyn F. Cook of ENRD’s Wildlife and Marine Resources Section and Asset Recovery Unit Chief Carol E. Head for the District of Massachusetts are pursuing the civil forfeiture case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. The United States must establish that the dogs are subject to forfeiture by a preponderance of the evidence.
Man Sentenced for Wire Fraud and Received Sentence Enhancement for Lying to the CourtRead the Press Release
Tulsa, Oklahoma – Today, U.S. District Judge Gregory K. Frizzell sentenced Malcolm Andre Jones, 32, of Broken Arrow, to 27 months imprisonment, followed by 3 years of supervised release for Wire Fraud. Judge Frizzell further ordered Jones to pay $20,665 in restitution.
According to the plea agreement, Jones admitted to submitting a false and fraudulent Paycheck Protection Program (PPP) loan application. Jones's application to the Small Business Association stated that he owned a landscaping business and that all loan proceeds would be used for that business. However, Jones did not own a landscaping business. He admitted to using the funds to pay bills and purchase a couch and an automobile. Jones used the funds and then had them forgiven.
After pleading guilty and while being on pretrial bond, Jones lied to probation officers, the government, and his attorney about significant matters during the presentence investigation. Jones submitted a forged college diploma, claiming he received a master’s degree in college. He stated that he was undergoing chemotherapy for kidney cancer and had more than $500k in debt. Jones went as far as lying about serving in the military. In court filings, Jones described deployments in detail and claimed he suffered from PTSD because a friend supposedly died in front of him. He presented fake military paperwork claiming he had been honorably discharged and received a Medal of Honor and Purple Heart, despite not having served in the military at all.
Jones received an enhanced sentence for obstruction of justice.
Jones was permitted to remain on bond and voluntarily surrender to the U.S. Bureau of Prisons.
The Office of Inspector General for the Board of Governors of the Federal Reserve System and Consumer Financial Protection Bureau, U.S. Small Business Administration, Treasury Inspector General for Tax Administration, and Department of Defense – Defense Criminal Investigative Service investigated the case. Assistant U.S. Attorneys Ammon Brisolara and Kristen Harrington prosecuted the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Justice Department in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The task force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866‑720‑5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Law Enforcement Partners Remind Drone Owners About 'No Drone Zone' in Airspace Surrounding the Francis Scott Key Bridge CollapseRead the Press Release
Baltimore, Maryland – Law enforcement will enforce local and federal laws regarding Unmanned Aircraft Systems (UAS), commonly known as drones, during the ongoing recovery and salvage operations underway on the Patapsco River and areas surrounding the Francis Scott Key Bridge collapse.
FBI Baltimore, in conjunction with the United States Attorney's Office - District of Maryland, and members of the Unified Command – Maryland State Police (MSP), Maryland Transportation Authority Police, the United States Coast Guard, the Maryland Department of the Environment and the Synergy Marine – are reminding the public that the airspace is a 'No Drone Zone' and they are committed to identifying, investigating, disrupting and prosecuting the careless or criminal use of drones in the area.“Drone operators need to know that we take seriously any incursion in the restricted airspace around the Francis Scott Key Bridge collapse. Such incursions threaten the safety of those involved in the investigation of the bridge collapse and the recovery of victims. We will investigate and prosecute anyone who violates the ‘no drone zone,” said U.S. Attorney Erek L. Barron.
“The FBI's message is simple: all drones are to stay away from the site of the Francis Scott Key Bridge collapse. This is to ensure the safety of all first responders and crews in the area as well as to not interfere with their work," said William J. DelBagno, Special Agent in Charge of the FBI's Baltimore Field Office. "You will be charged federally if you fly a drone in a restricted area. It is harmful to the recovery operations, and it is illegal.”
The Federal Aviation Administration (FAA) implemented a Temporary Flight Restriction (TFR) on March 26 after the Francis Scott Key Bridge collapse. The TFR extends for three nautical miles in radius, from the center of the bridge, and from the surface up to and including 1500 feet above ground level (AGL).
Law enforcement in the area is actively monitoring for illegal UAS/drone use and has responded to multiple drone incursions over the past few days.
There is a zero-tolerance policy regarding any UAS/drone use anywhere within the “No Drone Zone” established by the FAA. Anyone who attempts to fly a UAS/drone in any prohibited manner may be subject to arrest, prosecution, fines, and/or imprisonment.Information about all federal UAS/drone regulations can be found on the FAA website. The specific TFR can be found at: Key Bridge TFR.
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Kyle 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 Kyle, South Dakota, man convicted of Possession of Ammunition by a Prohibited Person. The sentencing took place on March 27, 2024.
Evan Brown Bull, 38, was sentenced to two years and nine months in federal prison and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Brown Bull was found guilty following a two-day jury trial in federal district court in Rapid City, South Dakota, in January of 2024.
The conviction stems from Brown Bull, a previously convicted felon, being found in possession of 11 rounds of Black Hills Ammunition brand, .380 AUTO caliber ammunition, 49 rounds of Blazer brand, 9x19mm Luger ammunition, and 49 rounds of PMC brand, .38 Special caliber ammunition. Because Brown Bull is a previously convicted felon, he is prohibited from possessing ammunition. The ammunition was found after Brown Bull came into contact with Rapid City law enforcement during a traffic stop in March of 2022.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Anna Lindrooth prosecuted the case.
Brown Bull was immediately remanded to the custody of the U.S. Marshals Service.
Jefferson City Man Pleads Guilty to $12 Million Bank Fraud SchemeRead the Press Release
JEFFERSON CITY, Mo. – A Jefferson City, Mo. man has pleaded guilty in federal court to a $12.4 million bank fraud scheme that included fraudulent Paycheck Protection Program (PPP) loans for four businesses.
Tod Ray Keilholz, 61, pleaded guilty before U.S. Magistrate Judge Sarah W. Hays on Thursday, March 28, to one count of bank fraud, one count of money laundering, and one count of aggravated identity theft.
Keilholz was the sole owner of TRK Construction, LLC, TRK Valpo, LLC, TL Builders, LLC, and Project Design, LLC.
By pleading guilty, Keilholz admitted that he engaged in a bank fraud scheme from Jan. 1, 2018, to Jan. 7, 2021.
Prior to the bank fraud scheme, Keilholz obtained three business loans totaling $3,526,771 from Hawthorn Bank between Aug. 31, 2017, and Sept. 21, 2018. One of these loans financed the purchase of property in Valparaiso, Indiana. As Keilholz’s businesses failed, these loans fell into default and sub-contractors sued him for unpaid invoices during 2019 and 2020. In February 2020, Hawthorn Bank initiated foreclosure proceedings. Keilholz delayed the foreclosure proceedings and paid off these loans and other past due debts with fraudulent PPP loans.
The CARES Act established several new temporary programs and provided for the expansion of others to address the COVID-19 pandemic. Among these programs, the PPP authorized forgivable loans, guaranteed by the Small Business Administration, to small businesses to retain workers and maintain payroll, make mortgage interest payments, lease payments, and utility payments.
Keilholz received a total of $12,430,932 in PPP loans for his four businesses. In each of those loan applications, Keilholz admitted, he failed to disclose his ownership in the other three businesses, and made materially false and fraudulent claims in the loan applications and supporting documentation. Keilholz falsely stated the businesses were in operation on Feb. 15, 2020, and eligible for PPP loans. He inflated the income of those businesses and claimed payrolls for employees who did not exist or no longer worked for him. Additionally, Keilholz applied for a $7,818,705 PPP loan for TRK Valpo but the loan was denied by the bank.
Keilholz received a $1,706,260 PPP loan for TRK Construction, a $3,618,815 PPP loan for TL Builders, a $3,903,857 PPP loan for Project Design, and a $3,202,000 PPP loan for TRK Valpo.
Keilholz admitted that he used PPP loan proceeds for unauthorized purposes other than legitimate payroll, lease and mortgage interest, and utilities as required by the PPP. Keilholz, through TRK Construction, had accrued substantial and delinquent indebtedness to a number of lenders, and all or part of these debts were satisfied by PPP loan proceeds.
The conviction for aggravated identity theft is related to Keilholz’s use of a former TRK Construction employee whose name and Social Security number were used without his knowledge or authoritization on wage reports in connection with a fraudulent PPP loan application for TRK Valpo.
Under the terms of his plea agreement, Keilholz must forfeit to the government any property involved in, or derived from the proceeds of his bank fraud scheme, including a money judgment of $12,430,932, two properties in Jefferson City, one property in Valparaiso, one property in La Porte, Ind., four vehicles (a 2020 Chevrolet Silverado, two 2021 Chevrolet Silverados, and a 2019 BMW X5), a 2020 John Deer ZTrak, a 2020 John Deere Tractor, a Kubota Compact Track Loader, a Gents 43mm IWC Schaffhausen Perpetual Chronograph wristwatch, two Gents stainless steel Rolex Sea-Dweller self-winding automatic diver’s watches, and a Gents Citizen Eco-Drive Radio-controlled world time self-winding automatic watch with sapphire crystal.
Under federal statutes, Keilholz is subject to a sentence of up to 40 years in federal prison without parole, plus a mandatory consecutive two-year sentence for aggravated identity theft. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Board of Governors of the Federal Reserve System, Consumer Financial Protection Bureau, Office of Inspector General; the Small Business Administration, Office of Inspector General; the Treasury Inspector General for Tax Administration; the FBI; and IRS-Criminal Investigation.
Iraqi Citizen Pleads Guilty to Lying to Federal OfficersRead the Press Release
ALBANY, NEW YORK – Israa Sultan, age 43, of New York, New York, pled guilty today to making a false statement to federal authorities.
United States Attorney Carla B. Freedman and Port Director Timothy Walker of the Alexandria Bay Port of Entry, U.S. Customs and Border Protection (CBP), made the announcement.
On December 8, 2023, Sultan—an Iraqi national lawfully present in the United States—attempted to cross from New York into Canada using a United States passport. Canadian authorities refused to grant entry to Sultan, and they turned her over to CBP. Sultan falsely told a CBP Officer that she was the person depicted in the passport. When CBP searched Sultan, they recovered approximately 20 grams of cocaine.
Sultan faces up to 5 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years, when she is sentenced on July 26, 2024. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
CBP investigated this case, which Assistant U.S. Attorney Jonathan S. Reiner is prosecuting.
Inmate Sentenced to 15 Years for Federal Carjacking During EscapeRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Preston Shawn Whittington, age 28, of Waurika, Oklahoma, was sentenced to a statutory maximum sentence of 180 months in prison for Carjacking.
The charges arose from investigations by the McAlester Police Department, the Davis Police Department, and the Federal Bureau of Investigation.
On May 31, 2023, Whittington pleaded guilty to the charge. According to investigators, Whittington was an inmate at the Jackie Brannon Correctional Center in McAlester, Oklahoma, serving a state sentence for kidnapping. On March 30, 2021, Whittington assaulted the victim, stole the victim’s vehicle, and escaped. During the assault, Whittington threatened to kill the victim. Officers with the Davis Police Department later spotted the victim’s vehicle at a local gas station with Whittington inside. Whittington led police on a high speed chase, exceeding speeds of 100 mph before crashing the victim’s vehicle and fleeing on foot. Whittington stole a second vehicle before being captured in Wichita Falls, Texas, one day after his escape from prison.
The Honorable Ronald A. White, Chief Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Whittington will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
First Assistant United States Attorney Shannon Henson represented the United States.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared recently before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty beyond a reasonable doubt:
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on March 26 was:
Brian Todd Olson, 37, of Helena, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Olson faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Olson was detained pending further proceedings. The Helena Police Department and Lewis and Clark County Sheriff’s Office conducted the investigation. PACER case reference. 24-04.
Appearing on March 22 was:
Terrence Derrell Milton, 34, of Spokane, Washington, on charges of conspiracy to possess with intent to distribute fentanyl, possession with intent to distribute fentanyl and distribution of fentanyl. If convicted of the most serious crime, Milton faces a mandatory minimum of five years to 40 years in prison, a $5 million fine and at least four years of supervised release. Milton was detained pending further proceedings. The FBI and Tri-Agency Task Force conducted the investigation. PACER case reference. 24-01.
Khalif Ali-Daquane Jackson, 36, of Decatur, Georgia, on charges of prohibited person in possession of a firearm and ammunition. If convicted of the most serious crime, Jackson faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Jackson was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Helena Police Department and Lewis and Clark County Sheriff’s Office conducted the investigation. PACER case reference. 24-04.
Brandon Lee Romero, 29, of Poplar, on charges of robbery, carjacking, transportation of stolen vehicle and assault with a dangerous weapon. If convicted of the most serious crime, Romero faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Romero was detained pending further proceedings. The Fort Peck Law Enforcement Services, Williston Police Department and Roosevelt County Sheriff’s Office conducted the investigation. PACER case reference. 24-10.
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto and pleading not guilty on March 28 was:
Joseph Patrick Mullaney, 46, of Butte, on charges of possession with intent to distribute methamphetamine. If convicted of the most serious charge, Mullaney faces a mandatory minimum of 10 years to life in prison, a $10 million fine and at least five years of supervised release. The FBI, Montana Division of Criminal Investigation, Montana Highway Patrol, U.S. Probation Office and Drug Enforcement Administration conducted the investigation. PACER case reference. 24-08.
Scott Gilbert Apgar, 41, of Libby, on charges of possession with intent to distribute controlled substances and distribution of controlled substances. If convicted of the most serious crime, Apgar faces a mandatory minimum of five years to 40 years in prison, a $5 million fine and at least four years of supervised release. Apgar was detained pending further proceedings. Homeland Security Investigations, Lincoln County Sheriff’s Office, Montana Highway Patrol and Drug Enforcement Administration conducted the investigation. PACER case reference. 24-19.
Gerry Alen Albus, 64, of Elmo, on charges of theft of government money and Social Security fraud. If convicted of the most serious crime, Albus faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Albus was released pending further proceedings. The Social Security Administration Office of Inspector General and Montana Division of Criminal Investigation conducted the investigation. PACER case reference. 24-18.
Teri Anne Bell, 57, of Columbia Falls, on charges of wire fraud. If convicted of the most serious crime, Bell faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release. Bell was released pending further proceedings. The FBI conducted the investigation. PACER case reference. 24-17
Appearing on March 25 was:
Jerry Leon Kamps, 63, of Dillon, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Kamps faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Kamps was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Beaverhead County Sheriff’s Office, Dillon Police Department and Montana Probation and Parole conducted the investigation. PACER case reference. 24-04.
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on March 21 was:
Jordale Thomas Redwolf, 36, a transient, on charges of assault with a dangerous weapon. If convicted of the most serious crime, Redwolf faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Redwolf was detained pending further proceedings. The FBI and Bureau of Indian Affairs conducted the investigation. PACER case reference. 24-29.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Indianapolis Cocaine Trafficker Sentenced to a Decade in Federal PrisonRead the Press Release
INDIANAPOLIS- Pierre Burnett III, 27, of Indianapolis, has been sentenced to ten years in federal prison after pleading guilty to possession with the intent to distribute cocaine.
According to court documents, on July 22, 2021, agents with the Drug Enforcement Administration (DEA) and detectives with the Metro Drug Task Force were conducting surveillance on a known drug house in Indianapolis. At approximately 3:45 p.m., Burnett exited the house with a black trash bag that contained rectangular, brick like objects and drove away in a red Dodge Ram.
At approximately 4:03 p.m., an Indiana State Police attempted to perform a traffic stop of Burnett. Burnett fled at a high rate of speed. After a brief chase northbound along River Road in Indianapolis, Burnett nearly struck multiple vehicles as he sped through intersections and the Trooper discontinued the pursuit.
Burnett drove to River Ridge Apartments in Indianapolis and discarded a black trash bag and orange backpack into nearby bushes. Officers later searched the bags and found them to contain approximately six kilograms of cocaine as well as $71,500 in banded cash.
DEA agents and Indiana State Police Troopers used a K9 officer to locate and arrest Burnett. On his person, the agents located $2,000 in banded cash and three grams of fentanyl in a baggie. Law enforcement officers also seized the red Dodge Ram and searched it, locating a loaded.45 caliber handgun in the driver’s side door.
“The federal prison sentence imposed against this armed drug dealer demonstrates that there will be serious consequences for those who traffic in deadly drugs with utter disregard for human life,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “Our federal prosecutors are committed to working closely with the DEA, Metro Drug Task Force, and Indiana State Police to take dealers off our streets because these poisons are ravaging our communities and loved ones.”
“The Indiana State Police will continue to engage with, and provide the necessary resources to its federal, county and local law enforcement partners in an effort to not only keep these dangerous and potentially deadly drugs out of our communities, but to also hold those responsible for transporting and trafficking them into those communities,” said Captain Ron Galaviz.
“The DEA remains committed to working hand in hand with our state and local partners to make our communities a safer place. Individuals like Mr. Burnett who are distributing multi-kilogram quantities of cocaine into our communities must be held accountable their actions,” said Assistant Special Agent in Charge J. Michael Gannon.
The Drug Enforcement Administration, Metro Drug Task Force, and Indiana State Police conducted this investigation together. This collaborative effort was essential to the outcome of the investigation. The sentence was imposed by U.S. District Court Judge Matthew P. Brookman. Judge Brookman also ordered that Burnett be supervised by the U.S. Probation Office for five years following his release from federal prison.
U.S. Attorney Myers thanked Assistant United States Attorney Jayson W. McGrath, who prosecuted this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Holyoke Man Pleads Guilty to Armed RobberyRead the Press Release
BOSTON – A Holyoke man pleaded guilty yesterday in federal court in Springfield in connection with a string of nine armed robberies of convenience stores across Western Massachusetts and firearms charges.
Alfredo Aldeco, 38, pleaded guilty to one count of interference with commerce by robbery, one count of using a firearm in relation to crime of violence and one count of being a felon in possession of a firearm and ammunition. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for May 30, 2024.
On Nov. 14, 2018, Aldeco and co-defendant Emilio Rivera robbed a clerk in a West Springfield convenience store at gunpoint. After forcibly taking cash and cigarettes from the clerk, Aldeco warned the clerk, “If you call the cops, I will come back and kill you.” The firearm used in the robbery was later found during a search of Rivera’s home – in a bedroom being occupied by Aldeco. At the time, Aldeco was prohibited from possessing a firearm or ammunition due to a prior felony conviction.
The November 2018 robbery was the last in a string of nine robberies that took place in Holyoke, Chicopee, Northampton, West Springfield and Agawam over the two-week period following Oct. 25, 2018. In each of the robberies, Aldeco held store clerks at gunpoint.
On July 6, 2023, Rivera was sentenced to six years in prison followed by three years of supervised release.
The charges of interference with commerce by robbery provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of using a firearm in relation to a crime of violence provides for a sentence of at least seven years and up to life in prison, up to five years of supervised release and a fine of up to $250,000. The charge of being a felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives made the announcement. Valuable assistance was provided by the Massachusetts State Police and the West Springfield, Holyoke, Agawam, Chicopee, Northampton and Springfield Police Departments. Assistant U.S. Attorney Deepika Bains Shukla, Chief of the Springfield Branch Office, is prosecuting the case.
Hanson Man Arrested on Federal Dogfighting ChargesRead the Press Release
BOSTON – A Hanson man was arrested today for allegedly possessing dogs at his Massachusetts home for participation in a dogfighting venture.
John Murphy, 50, was indicted on nine counts of possessing animals for use in an animal fighting venture, in violation of the federal Animal Welfare Act. Murphy will appear in federal court in Boston at 10:45 a.m. today.
According to the indictment, Murphy possessed numerous items associated with possessing dogs for participation in an animal fighting venture at his residence in Hanson, Mass., including: intravenous infusion equipment; syringes; antibiotics; injectable anabolic steroids; injectable corticosteroids; a skin stapler; forceps; equipment used to train dogs, including a treadmill, a slat mill, a carpet mill, and a flirt pole; dog training and fighting literature; a hanging digital scale used to weigh dogs for matches; written training regimens; break sticks, used to separate fighting dogs; and a breeding stand used to immobilize female dogs during breeding to prevent harm while mating.
The United States also filed a civil forfeiture complaint against 13 pit bull-type dogs, seized in June 2023 from Murphy’s residence and another residence in Townsend, Mass. As alleged in the civil forfeiture complaint, several of the seized dogs had evidence of scarring. The dogs are currently in the custody of the U.S. Marshals Service (USMS) being cared for by a USMS-contractor. Pursuant to the Animal Welfare Act, animals involved in violations of 7 U.S.C. § 2156 are subject to forfeiture to the United States.
At both locations where the dogs were seized, as alleged in the civil forfeiture complaint, the following items commonly associated with an illegal dogfighting operation were found: training equipment; veterinary supplies; dog fighting literature, DVDs, and/or CD-ROMs; kennels used to house dogs individually; and break sticks, which dogfighters use to force open a dog’s bite onto another dog’s body, specifically at the termination of a fight or while training.The civil forfeiture complaint also alleges that Murphy communicated with other dogfighters via Facebook where they discussed the results of dogfights, injuries sustained by fighting dogs, as well as breeding dogs. It is alleged that Murphy also belonged to private dogfighting Facebook groups used to share fight results, buy and sell fighting dogs and exchange information on training and conditioning fighting dogs, among other things.
It is further alleged that Murphy’s Facebook accounts contained a photo of a pit bull-type dog with scarring and discolorations on its head and leg consistent with that of dogfighting, a photo of a pit bull-type dog restrained in a breeding stand, and videos that depicted pit bull-type dogs physically tethered to treadmill-like-devices commonly used to physically condition dogs in preparation for a dogfight. One video allegedly depicted what appears to be live bait placed at the end of the mill to entice the pit bull-type dog to run faster and harder.To report animal fighting crimes, please contact your local law enforcement or the U.S. Department of Agriculture’s Office of Inspector General complaint hotline at: https://usdaoig.oversight.gov/hotline or 1-800-424-9121.
The charges of possessing animals for use in an animal fighting venture each provide for a sentence of up to five years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Christopher P. Robinson, Acting Special Agent in Charge of the U.S. Department of Agriculture – Office of Inspector General, Northeast Region; John E. Mawn Jr., Interim Colonel of the Massachusetts State Police; and Joseph F. King, Director of the Animal Rescue League of Boston – Law Enforcement Division made the announcement today. Valuable assistance was provided by Homeland Security Investigations; U.S. Customs and Border Protection; Bureau of Alcohol, Tobacco, Firearms & Explosives; U.S. Coast Guard Investigative Service; U.S. Marshals Service; Maine State Police; New Hampshire State Police; Massachusetts Office of the State Auditor; Rhode Island Society for the Prevention of Cruelty to Animals; and the Hanson, Boston, and Acton Police Departments. Assistant U.S. Attorneys Danial E. Bennett and Kaitlin J. Brown of the Worcester Branch Office and Trial Attorney Matthew T. Morris of the Justice Department's Environment and Natural Resources Division (ENRD), Environmental Crimes Section, are prosecuting the case. Carol E. Head, Chief of the Asset Recovery Unit for the District of Massachusetts, and Trial Attorney Caitlyn F. Cook of ENRD’s Wildlife and Marine Resources Section are prosecuting the civil forfeiture case.
The details contained in the charging documents and civil forfeiture complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. The United States must establish that the dogs are subject to forfeiture by a preponderance of the evidence.Gastonia Woman Pleads Guilty to Wire Fraud for COVID-19 SchemeRead the Press Release
CHARLOTTE, N.C. – A Gastonia, N.C., woman pleaded guilty today to wire fraud for fraudulently obtaining $125,317 in COVID-19 pandemic relief loans, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Kelly Bree Mosley, 48, entered her guilty plea before U.S. Magistrate Judge Susan C. Rodriguez.
Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI) in North Carolina joins U.S. Attorney King in making today’s announcement.
According to plea documents and today’s court hearing, between May 2020, and April 2021, Mosley used false information to apply for loans from the Economic Injury Disaster Loan (EIDL) Program and the Paycheck Protection Program (PPP). To obtain the loans, Mosley submitted applications on behalf of fictitious event planning businesses and in her own name that contained materially false information, including gross revenues, payroll expenses, number of employees, and operational costs and expenditures. Each time Mosley submitted an application, she certified under the penalty of perjury that the information was true and correct, and that Mosley would use the funds as directed by the EIDL and PPP programs. Based on the fraudulent applications, Mosley received approximately $125,317 in COVID-19 relief funds. Contrary to her claims, Mosley used the funds from the PPP and EIDL programs to pay her personal bills, invest in foreign currency, and to pay for plastic surgery, such as liposuction.
Mosley is currently released on bond. The wire fraud charge carries a maximum sentence of 20 years in prison. A federal district court judge will determine Mosley’s sentence at a later time, after taking into account the U.S. Sentencing Guidelines and other statutory factors.
The FBI investigated the case.
Assistant U.S. Attorney Matthew Warren of the U.S. Attorney’s Office in Charlotte is prosecuting the case.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866‑720‑5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Fugitive Cuban national extradited from Spain and sentenced to 36 months’ imprisonment for health care fraud conspiracyRead the Press Release
MIAMI – A Miami federal district judge sentenced a longtime fugitive and Cuban national, Ariel Nuñez-Finalet, to 36 months in prison followed by three years of supervised release for his role in a massive 18-defendant conspiracy to commit health care fraud and wire fraud through various south Florida pharmacies. The judge also ordered Nuñez-Finalet to pay $1,910,222 in restitution.
From January 2011 to September 2014, Nuñez-Finalet was involved with a network of pharmacies that submitted more than 16 million dollars in successful, fraudulent claims to Medicare for medications that were medically unnecessary and not provided to patients. Nuñez-Finalet conspired with two leaders of the conspiracy who are still fugitives, Pedro Torres and Antonio Hevia, and others to defraud Medicare. Nuñez-Finalet served as the legal owner and registered agent of a fraudulent pharmacy, Lily & Rosy Pharmacy Discount Corp, and furthered the fraud at multiple other pharmacies. Nuñez-Finalet cashed checks and withdrew cash—typically just below the legal reporting limit of $10,000—to provide patient recruiters with funds they needed for illegal kickbacks. Those kickbacks were used to obtain Medicare beneficiary information necessary for co-conspirators to submit fraudulent claims. For just two of the fraudulent pharmacies at which Nuñez-Finalet committed fraud, he caused Medicare to pay over $1.9 million in fraudulent claims for prescription drugs, of which the Government traced over $500,000 to Nuñez-Finalet personally.
When Nuñez-Finalet and his co-conspirators were indicted in April 2016, Nuñez-Finalet had already fled to Cuba, where he lived for years until moving to Mexico in 2022. On March 21, 2023, Nuñez-Finalet flew to Spain, where he was arrested upon arrival pursuant to an Interpol Red Notice. The United States Attorney’s Office for the Southern District of Florida worked closely with the United States Department of Justice’s (DOJ) Office of International Affairs to submit a formal request for Nuñez-Finalet’s extradition to the United States, which was granted by the Government of Spain. On November 21, 2023, Nuñez-Finalet was surrendered to United States authorities and returned to Miami to face charges for the health care fraud conspiracy, after which he pleaded guilty to conspiracy to commit health care fraud and wire fraud.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Special Agent in Charge Jeffrey B. Veltri of the Federal Bureau of Investigation (FBI), Miami Field Office; and Special Agent in Charge Stephen Mahmood of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Miami Region, made the announcement.
FBI Miami and HHS-OIG Miami investigated the case. The FBI Legal Attaché office in Madrid, Spain and the DOJ’s Office of International Affairs provided substantial assistance in securing the extradition of Nuñez-Finalet. Assistant U.S. Attorney Joseph Egozi and DOJ Senior Litigation Counsel Jim Hayes of the Fraud Section prosecuted the case. Assistant U.S. Attorney Mitchell Hyman handled asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 16-cr-20267.
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Fort Wayne Man Convicted at Trial of Drug Trafficking and Firearm OffensesRead the Press Release
FORT WAYNE – Kendrick D. Bates, 39 years old, of Fort Wayne, Indiana, was found guilty of three drug trafficking offenses and one firearm offense late last night following a four-day jury trial, presided over by United States District Court Chief Judge Holly A. Brady, announced United States Attorney Clifford D. Johnson.
A sentencing hearing has been scheduled for July 11, 2024, at 10:30 a.m. Any specific sentence to be imposed will be determined by the District Court Judge after consideration of federal statutes and the United States Sentencing Guidelines.
This case was investigated by the Federal Bureau of Investigation’s Fort Wayne Safe Streets Gang Task Force and the Fort Wayne Police Department, with assistance from the Indiana State Police, the Allen County Sheriff’s Department, the Drug Enforcement Administration’s North Central Laboratory, the Fort Wayne Police Laboratory, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the United States Marshals Service. The case was prosecuted by Assistant United States Attorneys Anthony W. Geller and Teresa L Ashcraft.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
This case was also 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.
Former Postal Employee Sentenced for Embezzling U.S. MailRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that COI MORRIS (“MORRIS”), age 25, of New Orleans, La., was sentenced today by U.S. District Judge Sarah S. Vance, for stealing items from the mail he was entrusted to handle as a postal employee.
According to court documents, MORRIS was employed by the United States Postal Service as a mail handler at the processing center in New Orleans when he was apprehended stealing items from the mail.
MORRIS was sentenced to three years of probation and ordered to pay restitution. MORRIS was also ordered to pay a mandatory special assessment fee of one hundred dollars.
U.S. Attorney Evans praised the work of the United States Postal Service, Office of the Inspector General in investigating this matter. Assistant United States Attorney Richard R. Pickens, II of the Financial Crimes Unit is in charge of the prosecution.
Former NYPD Officer Sentenced to 70 Months in Prison for Assisting Gang Leader’s Flight from the U.S. After Committing A MurderRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that GINA MESTRE, a former New York City Police (“NYPD”) Officer, was sentenced to 70 months in prison in connection with her involvement in obstructing a federal grand jury investigation into the Shooting Boys gang and serving as an accessory after the fact to a murder committed by a member of the gang. MESTRE pled guilty to the charge on December 7, 2023, in Manhattan federal court before U.S. District Judge Denise L. Cote, who imposed today’s sentence.
U.S. Attorney Damian Williams said: “Gina Mestre betrayed and abused the trust placed in her by the NYPD and the people of New York. She swore to protect the public from criminal activity, but instead participated in significant crimes of her own by passing confidential information to a gang leader and helping him evade capture for the murder of a rival gang member. For violating her oath to the citizens of New York City and her fellow police officers, Mestre has been sentenced to spend more than five years in federal prison.”
According to the allegations in the Indictment and other documents filed in federal court and based on statements made in public court proceedings:
MESTRE was an NYPD Officer assigned to the 52nd Precinct’s Public Safety Unit. In the summer of 2020, a major focus of both the precinct and the Public Safety Unit was the reduction of gun violence in the area. Much of that violence was attributed to members of the Shooting Boys, a violent street gang based in the University Heights section of the Bronx.
In or about June 2020, MESTRE began communicating with Andrew Done, a/k/a “Caballo,” the leader of the Shooting Boys. MESTRE and Done communicated through secret social media accounts and phone numbers and eventually began an intimate relationship, during which MESTRE provided Done and other gang members with confidential, non-public law enforcement information about the federal grand jury investigation into the Shooting Boys.
MESTRE warned Done, and other gang members, that federal investigators were preparing to bring a federal indictment against the Shooting Boys. MESTRE also warned Done about impending law enforcement operations, which enabled Done and other gang members to dispose of weapons and conceal other criminal activity before law enforcement arrived on scene. In addition, MESTRE disclosed the identity of a cooperating witness who provided information about the gang to law enforcement. Armed with this information, Done and other Shooting Boys assaulted the witness to prevent the witness from further cooperation and to send a clear message within the gang that the punishment for cooperation would be severe.
On or about November 5, 2020, Done shot and killed a rival gang member (“Victim-1”) as Victim-1 sat in his car on Cromwell Avenue in the Bronx. NYPD Detectives investigating the murder recovered security camera video (the “Video”) capturing Done’s commission of the murder. Several members of the 52nd Precinct, including MESTRE, were tasked with identifying the shooter in the video. In fact, MESTRE was ultimately one of several officers who actually identified Done as the perpetrator.
Despite identifying Done as the shooter and ostensibly participating in the NYPD’s efforts to apprehend him, MESTRE sent Done a copy of the Video to his phone and secretly communicated with Done the day of the murder and in the weeks afterwards. Specifically, MESTRE warned Done about law enforcement’s efforts to capture him, allowing Done to eventually flee from the United States.
In March 2022, 10 members of the Shooting Boys were charged in a 15-count indictment with various federal crimes, including racketeering conspiracy and murder. Done was charged with the murder of Victim-1 and was apprehended in the Dominican Republic several months later.
On November 17, 2022, Done pled guilty to racketeering conspiracy and admitted to his role in the murder of Victim-1. On February 22, 2023, Done was sentenced to 35 years in prison.
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In addition to the prison term, MESTRE, 33, of Mohegan Lakes, New York, was sentenced to two years of supervised release.
Mr. Williams praised the outstanding investigative work of the NYPD’s Internal Affairs Bureau, Group 25, and the Special Agents of the U.S. Attorney’s Office for the Southern District of New York.
The case is being prosecuted by the Office’s Violent & Organized Crime Unit. Assistant U.S. Attorneys Dominic A. Gentile and James Ligtenberg are in charge of the prosecution.
Former Healthcare Executive Director Indicted for Mail FraudRead the Press Release
SYRACUSE, NEW YORK – Kevin Harrington, age 50, of Oneonta, New York, was arraigned yesterday on a federal indictment charging him with two counts of mail fraud, United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI) announced.
According to the indictment, Harrington was formally the executive director at First Community Care of Bassett, LLC (an affiliate of the Bassett Healthcare Network). During the course of his employment, Harrington submitted fraudulent expense reports seeking reimbursement for the purchase of continuous positive airway pressure (CPAP) machines. As part of the scheme, Harrington provided invoices to his employer that falsely claimed he had paid thousands of dollars for medical equipment when no such equipment was ever purchased. Unaware that the invoices were fraudulent, First Community Care of Bassett issued and mailed checks to Harrington for reimbursement.
The charges filed against Harrington carry a maximum sentence of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to three years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
The FBI is investigating the case and Special Assistant U.S. Attorney Paul Tuck is prosecuting the case.
Former Fugitive Sentenced to Six Years for Role in 2012 Drug Trafficking ConspiracyRead the Press Release
TUCSON, Ariz. – Oliver Jaramillo Brown, 34, of Tucson, was sentenced on Monday by United States District Judge Scott H. Rash to six years in prison, followed by five years of supervised release. Brown pleaded guilty to Conspiracy to Possess with Intent to Distribute Cocaine and Methamphetamine on June 27, 2023.
Brown was involved in a Nogales, Sonora-based drug trafficking conspiracy that used Tucson as a staging ground for distribution into the United States. Brown played numerous roles in the organization, including escorting loads of drugs driven into the United States by other conspirators, escorting loads of drugs to destinations in the United States, loading and unloading drugs from these vehicles, and assisting at a location where drugs were being stashed. Over the course of the government investigation, the United States seized more than 140 kilograms of cocaine, more than 60 kilograms of “ice” methamphetamine, over $1 million in bulk cash, and two firearms. On March 10, 2012, Brown fled to Mexico while the government was making arrests of the United States-based members of the conspiracy. Brown lived in Mexico for more than a decade before he attempted to return to the United States in late 2022 and was apprehended on the fugitive warrant in this case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Homeland Security Investigations, the Drug Enforcement Administration, and the Federal Bureau of Investigation conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-14-1026-03-TUC-SHR
RELEASE NUMBER: 2024-043_BrownFormer City of Miami police officer pleads guilty to attempted cocaine trafficking and attempted Hobbs Act extortion chargesRead the Press Release
MIAMI – On March 27, a former police officer with the City of Miami Police Department (MPD) pleaded guilty to attempted Hobbs Act extortion under color of official right and attempted possession with intent to distribute cocaine. The charges arose from the use of his police position and authority, and MPD-issued vehicle and equipment to conduct two illegal traffic stops to steal what he believed were drug proceeds and seven kilograms of cocaine from the drivers.
Frenel Cenat, 41, who at the time of the crimes had been a police officer with the MPD since 2008, was using an MPD unmarked Black Ford Explorer as a “take home” vehicle. As an MPD police officer, Cenat was prohibited from engaging in any act of extortion or unlawful means of obtaining anything of value using his official position. In addition, Cenat was required to uphold the laws of the State of Florida and the United States, and he was not permitted to allow, facilitate, or assist individuals in breaking those laws, nor was he authorized to accept payments or things of value in exchange for allowing, facilitating, or assisting them in breaking state or federal laws.
A confidential human source (CHS) stated to law enforcement that they had been told by a mutual friend that Cenat had previously conducted traffic stops of individuals known to have engaged in drug transactions for the purpose of stealing the drugs and/or money those individuals were transporting. On Oct. 16, 2023, the friend introduced Cenat to the CHS at a meeting in Broward County, during which the three of them discussed an opportunity for Cenat to use his police officer position to stop an individual immediately following a drug transaction and steal approximately $50,000 in drug proceeds that the individual would have in their vehicle. Cenat indicated that he conducts the traffic stops outside of his jurisdiction and while off duty.
On Nov. 1, 2023, the friend, the CHS and Cenat planned for a traffic stop rip-off for Nov. 3, 2023. They discussed that the driver to be stopped would have approximately $50,000 in cash from the purported drug transaction, and Cenat requested the time and location of the deal, as well as detailed information about the driver.Cenat stated he would use this information when he conducted the traffic stop to scare the individual into believing they were being investigated and watched for some time so that the driver would be more likely to comply with his request for the money.
On Nov. 2 and 3, 2023, Cenat and the CHS engaged in numerous communications leading up to the traffic stop. On November 3, at a hotel parking lot in Miami Gardens, Florida, Cenat initiated these communications directly with the CHS. Cenat, in his MPD-issued unmarked vehicle, observed two drivers engage in a staged drug transaction in a parking lot. These drivers were actually FBI undercover employees. One of the drivers was given a backpack containing $52,000 in cash. Cenat followed that driver out of the parking lot and turned on his lights and sirens to conduct a traffic stop. During this stop, Cenat was dressed in black tactical gear, and had his MPD-issued firearm and taser visible in their holsters. Cenat introduced himself as “Officer Martez” and told one of the drivers that he had witnessed the drug transaction. Cenat gave the driver the choice of giving up the backpack containing the cash or going to jail. The driver gave Cenat the backpack containing the cash.
On Nov. 7, 2023, Cenat called the CHS and asked if he knew of a deal where Cenat could do another stop and get something like seven or ten kilograms of cocaine. Following up on the Cenat’s request, on Nov. 12, 2023, the CHS called Cenat about an upcoming deal in Deerfield Beach, Florida, on Nov. 16, 2023. The CHS told Cenat that the driver he would be stopping would have approximately six or seven kilograms of cocaine and at least $30,000 USD from a purported drug transaction.
On Nov. 16, 2023, Cenat called the CHS to tell him that he was at the parking lot in his MPD-issued vehicle where the deal was to take place. Then, the CHS messaged Cenat a description of the individual’s vehicle for the traffic stop. Two undercover FBI employees then engaged in a staged drug transaction in the parking lot. Cenat followed one of them out of the parking lot and turned on the lights of his MPD-issued vehicle to conduct a traffic stop. Cenat was dressed in black tactical gear, including his MPD-issued tactical vest with body armor in place, and had his MPD-issued firearm and taser visible in their holsters. Cenat introduced himself as “Officer Martez” with “Broward County Sheriff’s Office – Narcotics Unit” and told the driver that he had witnessed the drug transaction. Cenat went to the bed of the driver’s truck and took a duffle bag containing seven kilograms of fake cocaine and $80,000 and brought it back to his own MPD vehicle. Cenat then returned to the driver-side window of the vehicle and used the information received from the CHS to create the impression that he was under investigation. Cenat asked the driver “you want to go home tonight or spend 30 years in… federal prison?” The driver told Cenat that he wanted to go home. Cenat then told the driver that he now worked for him and had to answer when he was called. Having obtained the fake cocaine and cash from the driver, Cenat let him go.
Cenat left with the duffle bag containing the fake cocaine and cash and shortly thereafter was arrested by law enforcement officers. The duffle bag, the seven kilograms of fake cocaine and the $80,000 in cash from the traffic stop were found in Cenat’s unmarked MPD-issued vehicle. In addition, $2,000 in $100 bills from the Nov. 3, 2023, traffic stop rip-off were also found in his vehicle.
The sentencing hearing is scheduled for June 13, at 9:30 a.m., before Senior U.S. District Judge James I. Cohn in Fort Lauderdale. Cenat faces a minimum mandatory sentence of 10 years in federal prison and a maximum sentence of up to life in prison.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Jeffrey B. Veltri of FBI, Miami Field Office, and Chief of Police Manuel A. Morales of MPD announced the guilty plea.
FBI’s West Palm Beach Resident Agency and FBI’s Miami Area Corruption Task Force, which includes task force officers from MPD’s Internal Affairs Section, investigated the case. Assistant U.S. Attorney Edward N. Stamm is prosecuting it. Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 24-cr-60016.
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Firearms Smuggler Pleads Guilty to International Money Laundering and Smuggling Firearms from the United States into MexicoRead the Press Release
TUCSON, Ariz. – Jesus Angel Vasquez Balganon, 33, of Mexico, pleaded guilty on March 14, 2024, to Smuggling Goods from the United States and International Money Laundering. Vasquez Balganon is scheduled to be sentenced on May 23, 2024, by United States District Judge Jennifer G. Zipps.
Vasquez Balganon admitted that, between March of 2018 and January of 2021, and on April 6, 2021, he attempted to export and did export numerous firearms, some of which were recovered in Mexico. He also attempted to export and did export weapons components, ammunition, and accessories.
On April 6, 2021, Vasquez Balganon was arrested at the Nogales, Arizona Port of Entry attempting to smuggle high-capacity magazines that were concealed in his vehicle into Mexico. Customs and Border Protection officers found a shopping bag in the vehicle containing nine 30-round AR-15 5.56 caliber high-capacity magazines. Vasquez Balganon stated he knew about the magazines and knew he was prohibited from taking them into Mexico. Vasquez Balganon also stated that he expected to be paid $100 to transport the magazines from the United States into Mexico.
Further investigation revealed that, prior to his apprehension and arrest on April 6, 2021, Vasquez Balganon had attempted to export or exported 67 firearms, including a machinegun, an AK-103 style firearm, a Century Arms WASR rifle, and an FN SCAR 17 rifle, as well as 20,000 rounds of ammunition and ammunition links and 208 magazines. Some of the firearms were recovered in Mexico.
All the firearms, weapons components, ammunition, magazines, and accessories are designated on the United States Commerce Control List as prohibited by law for export from the United States into Mexico without a valid license. Vasquez Balganon did not possess a lawful export license or any other lawful authority to export these items from the United States into Mexico.
Vasquez Balganon also admitted that, from February of 2019 to March of 2021, in Arizona and elsewhere, he transferred $20,680 from a U.S. bank to a bank in Mexico with the knowledge and intent that these funds were to be obtained in cash in Mexico and used for the smuggling of firearms and weapons components, ammunition, and accessories that were illegally exported from the United States into Mexico.
A conviction for Smuggling Goods from the United States carries a maximum penalty of 10 years in prison and a fine of up to $250,000.
A conviction for International Money Laundering carries a maximum penalty of 20 years in prison and a fine of up to $250,000.
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 make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorneys’ Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
Homeland Security Investigations conducted the investigation in this case. Assistant United States Attorney Raquel Arellano, District of Arizona, Tucson, is handling the prosecution.
CASE NUMBER: CR-21-02908-TUC-JGZ-BGM
RELEASE NUMBER: 2024-042_Vasquez Balganon# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.Felony Threats and Stalking Result in Six Year Prison Term for District ManRead the Press Release
WASHINGTON – Eddie Tibbs, 34, of Washington, DC, was sentenced today to 73 months in prison for stalking, felony threats, felony destruction of property, misdemeanor destruction of property, and a civil protection order violation, announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
In addition to the prison sentence, Superior Court Judge Erik Christian ordered Tibbs to serve three years of supervised release and a $500 payment to the fund established by the Victims of Violent Crime Compensation Act.
Tibbs pleaded guilty on January 30, 2024.
According to the government’s evidence, Tibbs and the victim are former romantic partners, whose relationship ended in 2020. For over a year, the defendant proceeded to stalk, threaten, and intimidate the victim after their relationship broke up. From 2021 until early 2023, the defendant engaged in criminal conduct which included calling the victim’s phone several times and leaving voicemails insisting on speaking with her. Tibbs also threw rocks through the victim’s bedroom window, vandalized her car, showed up at her job unannounced, and threatened her and her family’s life, through phone calls and texts messages from real and fake phone numbers and emails. Tibbs’ dangerous conduct persisted, even after the victim obtained a civil protection order and was forced to move from her residence.
In announcing the sentence, U.S. Attorney Graves and Chief Smith commended the work of those who investigated the case from the Metropolitan Police Department. They also expressed appreciation for the efforts of all of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Molly K. Smith and Richard Kelley of the Domestic Violence Unit, who investigated and prosecuted the case.
Felon Who Possessed Ghost Gun Sentenced to PrisonRead the Press Release
A man who possessed a ghost gun, a rifle, and high-capacity magazines was sentenced on March 28, 2024, to more than one year in federal prison.
John Wayne Brooks, age 62, from Marion, Iowa, received the prison term after a November 21, 2023 guilty plea to one count of possession of a firearm by a prohibited person.
Information from a plea agreement and sentencing showed that Marion police officers executed a search warrant at Brooks’s residence on January 25, 2022. Officers found a Polymer80 Inc. PF94c, 9mm caliber pistol without a serial number, a type of firearm known as a “ghost gun,” under a pillow on Brooks’s bed. They also found a 9mm fifty-round drum magazine, two 9mm thirty-round magazines, and a Smith & Wesson M&P 15-22, .22 caliber rifle in Brooks’s bedroom. Brooks was convicted of a felony narcotics offense in Illinois in 1999.
Brooks was sentenced in Cedar Rapids by United States District Court Judge Leonard T. Strand. Brooks was sentenced to 18 months’ imprisonment. He must also serve a two-year term of supervised release after the prison term. There is no parole in the federal system.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Brooks is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Kyndra Lundquist and investigated by the Marion Police Department and the Cedar Rapids Safe Streets Task Force. The task force is composed of representatives from the Federal Bureau of Investigation, the Cedar Rapids Police Department, and the Marion Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-CR-53.
Follow us on Twitter @USAO_NDIA.
Federal Prisoner Pleads Guilty in Connection to Escaping from Halfway HouseRead the Press Release
CONCORD – A former New York man pleaded guilty today in federal court to escaping from the Hampshire House Residential Reentry Center in Manchester, U.S. Attorney Jane E. Young announces.
Michael Villanueva, 43, pleaded guilty to escaping from federal custody. U.S. District Court Paul J. Barbadoro scheduled sentencing for June 26, 2024.
Villanueva was previously sentenced to 10 years of imprisonment by the District of Vermont for conspiracy to distribute controlled substances, namely heroin and cocaine. In June 2023, he was transferred by the Bureau of Prisons from the federal facility in Allenwood, Pennsylvania to the Hampshire House. At the Hampshire House, he was placed on house arrest and wore an electronic GPS monitoring ankle bracelet.
On January 10, 2024, Villanueva was told to report to the Hampshire House after authorities found inappropriate messages in his phone. That evening, at 6:41 pm, the Bureau of Prisons received an alert that Villanueva’s GPS monitoring ankle bracelet had been tampered with. Villanueva did not return to the Hampshire House. He was at large for three weeks before being apprehended in the Manchester area.
The charging statute provides a sentence of no greater than 5 years in prison, 3 years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
The U.S. Marshals Service led the investigation. Assistant U.S. Attorney Alexander S. Chen is prosecuting the case.
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Federal Jury Convicts Oklahoma City Man of Mail Theft and Witness TamperingRead the Press Release
OKLAHOMA CITY – A federal jury has convicted DONALD EUGENE COOKS, 49, of Oklahoma City, of conspiracy to commit mail theft, possession of stolen mail, and witness tampering, announced U.S. Attorney Robert J. Troester.
On October 3, 2023, a federal grand jury returned a four-count Second Superseding Indictment against Cooks, charging him with conspiracy to commit mail theft, two counts of being in possession of stolen mail, and witness tampering. On March 28, 2024, after a three-day trial, a federal jury found Cooks guilty on all counts.
According to evidence presented at trial, in July of 2022, Cooks and co-defendant IRVIN HERBERT SAWYER, 40, of Norman, conspired together to steal mail from an Oklahoma City Post Office. At the time, Sawyer was employed as a rural carrier associate, and knew the access code to enter the Post Office, which he shared with Cooks. The jury heard testimony that on July 19, 2022, on at least two occasions, Cooks entered the Post Office after hours using the code given by Sawyer. On the first occasion he successfully stole mail, which he took back to his motel room. Returning for more, Cooks and another person attempted to steal a large amount of mail, which they loaded into the bed of Cooks’ truck. However, while still loading the mail, the alarm was tripped and the Oklahoma City Police arrived before the mail could be taken from the parking lot. Cooks fled the scene but was soon detained and arrested. The investigation quickly led to Cooks’ motel, where Oklahoma City Police found several items of stolen mail in his room and empty mail packaging in the dumpster. The jury heard further testimony that in July of 2023, while in jail, Cooks had a message passed to a government witness attempting to intimidate the witness and keep them from testifying at his trial.
Following his conviction, Cooks faces up to 35 years in federal prison, and fines totaling up to $1,000,000, at sentencing. Sentencing will be set in approximately 90 days.
On July 18, 2023, Sawyer pleaded guilty to conspiring with Cooks to commit mail theft. Sawyer faces up to five years in federal prison and a fine of up to $250,000.
This case is the result of an investigation by the United States Postal Inspection Service and the Oklahoma City Police Department. Assistant U.S. Attorneys Bow Bottomly and Charles Brown prosecuted the case.
Reference is made to public filings for additional information.
Federal Jury Convicts Kissimmee Man of Attempting to Entice A Child to Engage in Sexual ActivityRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that a jury has found Damien Suhr (41, Kissimmee) guilty of attempted enticement of a minor to engage in sexual activity. Suhr faces a minimum mandatory penalty of 10 years, up to life, in federal prison. His sentencing hearing is scheduled for June 26, 2024. Suhr was indicted on June 28, 2023.
According to evidence presented at trial, on May 27, 2023, the FBI was involved in an operation with the Osceola County Sheriff’s Office. As part of this operation, a profile was created by the FBI on a dating application (app). “Jack” and Suhr began exchanging messages on the dating app, then quickly switched to exchanging text messages in which “Jack” made clear to Suhr that he was 14 years old. For two weeks, Suhr spoke to “Jack” about engaging in sex with him. Suhr explained in detail the sexual acts he wanted to perform on and with “Jack.” Additionally, he directed “Jack” to delete his text messages with Suhr to avoid detection by his mother or law enforcement. Suhr chose a location at a gas station that was convenient for him to meet “Jack” and sent messages to “Jack,” requesting that he wear a specific type of underwear to the meeting.
On June 9, 2023, Suhr went to the gas station to meet with “Jack.” Suhr was met and arrested by law enforcement officers. Evidence presented at trial showed that Suhr had previously exchanged messages with other online users about his desire to have sexual encounters with minors as young as 12 years old.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Kaley Austin-Aronson and Dana Hill.
This is another case 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.
Federal Court Permanently Bars Michigan Women and Her Businesses Based on Fraudulent Conduct and Orders them to Disgorge Nearly $690,000Read the Press Release
A federal court in Detroit, has permanently barred Annetta Powell and her seven tax preparation-related businesses, Alliance Tax Services Inc., Nationwide Tax Services Inc., Tax Expert Stores Inc., United Tax Services Inc., Top Financial Specialists Inc., United Financial Team Corporation and Speedy Tax Stores Corporation, from preparing federal tax returns for others and from owning or operating a tax return preparation business. The court also ordered the defendants to disgorge $689,797.91 to the United States, representing the ill-gotten gains that the defendants received for preparing certain categories of fraudulently prepared returns from 2019 through 2021.
The order and the judgment of permanent injunction follow a twelve-day trial held from November 2023 to January 2024. The order, signed by U.S. District Judge Mark A. Goldsmith for the Eastern District of Michigan, notes that the “Defendants’ preparation of fraudulent returns was widespread” and that “all of Powell’s stores and many preparers routinely violated IRS rules and regulations.” According to the court’s order, Powell, through her several companies, operated up to five tax preparation stores in Detroit, Pontiac, and Flint, first under the name “The Tax Experts” and then, since 2021, under the name “Speedy Tax Stores.” The court found that the “harm caused by Defendants’ fraudulent tax preparation scheme was severe and widespread, occurring across five stores for nearly a decade.” The court concluded that the Defendants “prepared too many fraudulent tax returns with similar issues … for the pattern to have been random.”
In reaching its conclusion, the court noted that Powell refused to cooperate with the IRS investigation and took active steps to “thwart [the investigation] by altering customers’ files and returns and manipulating the use of an Electronic Filing Identification Number (EFIN), which is a number assigned to a taxpayer that the IRS uses to monitor the returns preparers submit. Powell could not obtain an EFIN because of her criminal record so her stores used EFIN numbers under someone else’s name. This misconduct, along with other past fraudulent conduct, led the court to determine that Powell “would likely find new ways to prepare fraudulent returns” if she were not permanently barred from doing so.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
IRS investigated the case.
Trial Attorneys Bradley Sarnell, Elizabeth Kirby, Daniel Applegate, Thelma Lizama, Eric Ashby II and Steven Shashy of the Justice Department’s Tax Division prosecuted the case.
Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS also offers guidance on the credentials and qualifications that taxpayers should seek from their return preparer.
In the past decade, the Justice Department’s Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Fayette County Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
BECKLEY, W.Va. – Harland Lee Todd, 34, of Mount Hope, was sentenced today to one year and one day in prison, to be followed by three years of supervised release, for possession with the intent to distribute a quantity of cocaine.
According to court documents and statements made in court, on June 2, 2022, law enforcement officers executed a search warrant at Todd’s residence and seized 163 grams of cocaine, a Glock Model 30 .45-caliber pistol, a Mossberg model 702 .22-caliber rifle, a Remington model 870 12-gauge shotgun, 16 ammunition magazines, 634 rounds of ammunition and $2,468. Todd admitted that he possessed the cocaine and intended to distribute it, in addition to the 111 grams of cocaine that he had sold on five separate occasions.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Central West Virginia Task Force.
United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Alexander A. Redmon prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:23-cr-124.
Drug Conspiracies Spanning from about May 2020 to about May 2023 that Involved over 35 Kilograms of Methamphetamine and other drugs from Mexico, Nevada, Arizona, and California to Northwest Iowa have been DismantledRead the Press Release
12 persons were federally indicted in the Northern District of Iowa, 11 of whom were convicted by plea or trial and sentenced, namely:
Jeffrey Linn (Cherokee, IA), 34 months’ imprisonment
Dustin Martinez (Sutherland, IA), 87 months’ imprisonment
Jason Werner (Cherokee, IA), 28 months’ imprisonment
Lauretta Payce (Fontana, CA), 64 months’ imprisonment
Christina Gianopoulos-Rohrer (Henderson, NV), 47 months’ imprisonment
James Conlan (Las Vegas, NV), 100 months’ imprisonment
Andrea Romo (Gardena, CA), 240 months’ imprisonment
Carl Thompson (Larrabee, IA), 45 months’ imprisonment
Craig Miller (Cherokee, IA), 36 months’ imprisonment
Lenora Jennings (Las Vegas, NV), 3 years’ probation
Sabrina Bradley (Pahrump, NV), 42 months’ imprisonment
Jerilynn Wilson (Las Vegas, NV), Acquitted
Two persons were charged and convicted in Nevada State District Court, namely:
Robert Randall (Encino, CA) and Robert Allen (Sylmar, CA). Two persons have been charged in Kansas State District Court, namely: Ricky Lincoln (Tucson, AZ) and Keven Jones (Tucson, AZ). Two remaining federal targets of these conspiracies continue to be investigated.
Over the course of the multi-jurisdictional investigation, various law enforcement agencies seized 46 pounds methamphetamine, ½ pound fentanyl (pills), ½ pound heroin and a firearm. Various defendants in the conspiracy, namely Martinez, Gianoplous-Rohrer, Payce, Thompson, Werner, Linn, Bradley, and Conlan also admitted to their involvement in the distribution of at least 30 more pounds of methamphetamine over about the same conspiracy time frame.
In the Northern District of Iowa, the case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the Iowa Division of Narcotics Enforcement and USAO for NDIA assisted by the; Tri-State DEA Drug Task Force, USPIS, Cherokee Police Department, Iowa Great Lakes Drug Task Force, FBI Las Vegas, Southern Nevada High Impact Narcotics Task Force, Colorado State Patrol, Wisconsin Division of Criminal Investigation HSI and USMS.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file numbers are 22-4066; 22-4049; 21-4032; and 22-4002. Follow us on Twitter @USAO_NDIA.
District Men Plead Guilty to Shooting Father and Minor Son in December 2018Read the Press Release
WASHINGTON – Jamal Matthews, Darnell Savoy, and Stefon Freshley, of Washington, D.C., pleaded guilty to the December 28, 2018 shooting of a father and son in the Clay Terrace neighborhood of Northeast, Washington, D.C., announced U.S. Attorney Matthew M. Graves and Pamela Smith, Chief of the Metropolitan Police Department, and FBI Special Agent in Charge David J. Scott of the Washington Field Office. The Honorable Michael O’Keefe scheduled sentencing for June 23, 2024.
According to the government’s evidence, the victims were in their SUV standing along the curb in the 200 block of 54th Street, Northeast, waiting for a friend to arrive so they could leave to attend a WWE wrestling event. As the victims waited, Matthews saw the SUV and mistook it for the same vehicle that shot at him and his cousin three days earlier. Matthews emerged from the Christmas Day shooting physically unharmed, but his cousin was killed.
Upon seeing the victims’ SUV, defendant Matthews immediately called another individual, who then called Freshley. Moments after speaking with that individual, Freshley and Savoy, who were a few blocks away, entered Savoy’s Nissan Altima and drove towards Matthews. Savoy was driving and Freshley was in the front passenger seat when they picked up Matthews at the corner of 54th and Clay Streets Northeast. Matthews got into the back seat of the Nissan Altima. Savoy drove into the 200 block of 54th Street Northeast. As they drove towards and past the victims’ vehicle, Matthews fired approximately 30 shots at the SUV. The minor victim was shot nine times, including in the head, abdomen, chest, and back. The adult victim sustained gunshot wounds to his leg and hand.
This case was investigated by the Metropolitan Police Department, FBI and the United States Attorney’s Office. It is being prosecuted by Assistant United States Attorneys Kimberley Nielsen and Sharon Donovan.
District Man Sentenced to 12 Months and One Day in Prison for Felony Second-Degree Theft for Stealing Multiple Packages after Multiple Prior Theft ConvictionsRead the Press Release
WASHINGTON – Dayvon Baker, 34, of Washington, D.C., was sentenced today to 12 months and one day in prison to be followed by three years of supervised release for one count of felony second-degree theft. The announcement was made by U.S. Attorney Matthew M. Graves and Chief Pamela Smith of the Metropolitan Police Department (MPD).
On February 9, 2024, Baker pleaded guilty to one count of felony second-degree theft. At today’s sentencing, Superior Court Judge Lynn Leibovitz sentenced Baker to 12 months and one day in prison.
According to the government’s evidence, on November 17, 2023, the defendant went up to residences in Northwest Washington, D.C. and stole packages that been delivered to residents’ front doors. Baker was indicted on December 20, 2023, on three counts of felony second degree theft. Baker had multiple prior theft convictions, not from the same occasion, and was therefore subject to enhanced penalties for his alleged theft, including a mandatory minimum sentence of one year in prison.
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 Assistant U.S. Attorney Lauren Gaskin, who investigated and prosecuted the case.
District Man Pleads Guilty to Second-Degree Murder for Stabbing of a Man in NorthwestRead the Press Release
WASHINGTON – Joseph Melton, 55, of Washington, DC, pleaded guilty on March 25, 2024, to second degree murder while armed and assault with a dangerous weapon (knife) for stabbing a man, on January 14, 2020, announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD). Superior Court Judge Michael O’Keefe scheduled a sentencing hearing for June 14, 2024.
According to the government’s evidence, around 9:10 a.m. on January 14, 2020, Melton approached his first victim in the 1800 block of Connecticut Ave. NW. The victim was approached by Melton, on foot, whom he recognized from college, thirty years ago, but did not know the defendant’s name. As they encountered each other, Melton stated, “do you want me to kill you in a church,” to which the victim asked who he was, and at which point, the defendant pulled out a knife from his pants pocket and attempted to stab him. He was able to escape that attack and Melton fled the scene.
Later that same day, at approximately 12:33 p.m., another victim encountered Melton in the 800 block of Vermont Ave., NW. This time Melton stabbed the victim in a vicious attack. When officers arrived at the scene, the victim was able to provide the name of his attacker before he lost consciousness. He was transported to a local hospital and has since recovered from his injuries.
At 2:33 p.m., officers were dispatched to the 2400 block of Virginia Ave., NW, where a man, the same victim who had been attacked by Melton earlier this day, was found suffering from multiple stab wounds to his body. The victim was transported to the hospital, where he was later pronounced dead.
This case was investigated by the Homicide Branch of the Metropolitan Police Department. It is being prosecuted by Assistant U.S. Attorney Michael Liebman.
DC Man Sentenced for Illegally Possessing a ‘Ghost Gun’ While Trafficking Cocaine and FentanylRead the Press Release
WASHINGTON – Ahmad Robertson, 32, of Washington, D.C., was sentenced today to 66 months in prison for possession of an illegal “ghost gun” in furtherance of drug trafficking. The announcement was made by U.S. Attorney Matthew M. Graves, Special Agent in Charge Derek W. Gordon, of Homeland Security Investigations -Washington Field Office (HSI-DC), Acting Inspector in Charge Ajay Lall of the U.S. Postal Inspection Service - Washington Division (USPIS), and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Robertson pleaded guilty on November 7, 2023, to one count of possession of a firearm in furtherance of a drug trafficking crime. In addition to the 66 month prison sentence, U.S. District Court Judge Carl J. Nichols ordered Robertson to serve 48 months of supervised release. Robertson has been in custody since June 1, 2023.
According to court documents, on June 1, 2023, officers from the U.S. Marshals Capital Area Regional Fugitive Task Force (CARFTF), HSI, USPIS, MPD, and other law enforcement agencies executed a search warrant on Robertson’s home and vehicle on the 100 block of Xenia Street, SE. Officers ordered the occupants to come out of the residence. After 15 minutes, Robertson exited the premises and police took him into custody. Officers searched Robertson and discovered two baggies of white powder in his pants pockets, which was later determined to be cocaine. Officers then searched Robertson’s vehicle and discovered a digital scale and a “ghost gun,” a privately manufactured AR-style pistol with no serial number, loaded with 28 rounds of 5.56 caliber ammunition.
When officers searched Robertson’s home, they recovered two additional firearms, extended magazines, assorted rounds of ammunition of various calibers, drug paraphernalia including additional digital scales, a blender with fentanyl residue, and fentanyl.
This investigation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
This case was investigated by HSI, USPIS, and MPD. It is being prosecuted by Assistant U.S. Attorney Will Hart of the Violence Reduction and Trafficking Offenses Section and Trial Attorney Gaelin Bernstein of the Department of Justice’s Criminal Division. Valuable assistance was provided by former Special Assistant U.S. Attorney Jordan Leiter.
Coventry Man Sentenced to 2 Years in Prison for Fraudulently Obtaining COVID-19 Relief FundsRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that JOHN MATAVA, 60, of Coventry, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 24 months of imprisonment, followed by three years of supervised release, for offenses related to his receipt of COVID-19 relief funds.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act provided emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses for job retention and certain other expenses through the Paycheck Protection Program (PPP). In April 2020, Congress authorized more than $300 billion in additional PPP funding. The PPP allowed qualifying small businesses and other organizations to receive unsecured loans at an interest rate of 1%. PPP loan proceeds were to be used by businesses on payroll costs, interest on mortgages, rent and utilities. The PPP allowed the interest and principal to be forgiven if businesses spent the proceeds on these expenses within a certain period of time of receipt and used at least a certain percentage of the amount to be forgiven for payroll.
The PPP was overseen by the Small Business Administration, which has authority over all PPP loans. Individual PPP loans, however, were issued by private approved lenders, such as Celtic Bank, which received and processed PPP applications and supporting documentation, and then made loans using the lenders’ own funds, which were guaranteed by the SBA.
According to court documents and statements made in court, in April 2020, Matava applied to Celtic Bank for a $100,000 PPP loan for J.M. Builders LLC. The application submission included several false representations, including that J.M. Builders LLC had eight employees and an average monthly payroll of $40,000; that the monies would be used for payroll, lease, mortgage, interest, and utilities; and that the business owner was not subject to pending formal criminal charges. At the time of the PPP loan application, there were no records of payroll or employees with the Connecticut Department of Labor for J.M. Builders LLC, and Matava was subject to criminal charges in two pending cases related to arrests in 2017 and 2018.
On April 22, 2020, Celtic Bank disbursed $100,000 to a bank account for J.M. Builders LLC on which Matava was the signatory. The account was opened on April 21, 2020, and had a balance of $0 immediately prior to the loan funds being disbursed. Between April 2020 and January 2021, Matava used the funds primarily for personal expenditures, including $3,498 to pay a dog breeder, $4,777 for payments to an RV superstore in Connecticut, and legal fees, including a $2,000 retainer, for four court cases in Rockville, Connecticut.
In January 2021, Matava sought $100,000 in additional PPP funds from Celtic Bank, and included with the application several additional false statements and fraudulent tax documents. Celtic Bank denied the application.
Judge Dooley ordered Matava to pay restitution of $100,000.
Matava was arrested on January 7, 2023. On January 2, 2024, he pleaded guilty to one count of wire fraud affecting a financial institution and one count of making an illegal monetary transaction.
Matava is released on a $60,000 bond, in home detention. He is required to report to prison on May 13.
This matter was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation. The case was prosecuted by Assistant U.S. Attorneys Christopher W. Schmeisser and Sean P. Mahard.
Individuals with information about allegations of fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721, or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Columbia Man Sentenced to Federal Prison for the Fourth Time for Possession of Child Sexual Abuse MaterialsRead the Press Release
COLUMBIA, S.C. — David Elliott Paulsen, 62, of Columbia, was sentenced to 14 years in federal prison after pleading guilty to possession of child sexual abuse materials.*
Evidence presented to the court showed that in May 2023, Paulsen entered a residential reentry center to complete the remaining period of his incarceration from a 2014 conviction of possession of child sex abuse materials. Shortly thereafter, on July 13, 2023, Paulsen was found to be in possession of a contraband phone that contained over 1,200 images and at least one video of child sex abuse materials involving prepubescent girls and the sexual abuse of toddlers.
Paulsen has three prior federal convictions for possession of child sex abuse materials as well as one prior conviction for failure to register as a sex offender.
United States District Court Judge Joseph Anderson sentenced Paulsen to 168 months in prison to be followed by a lifetime court-ordered supervision. There is no parole in the federal system.
The case was investigated by the FBI Columbia Field Office. Assistant U.S. Attorney Elle E. Klein is prosecuting the case.
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* The term “child pornography” is currently used in federal statutes and is defined as any visual depiction of sexually explicit conduct involving a person less than 18 years old. While this phrase still appears in federal law, “child sexual abuse material” is preferred, as it better reflects the abuse that is depicted in the images and videos and the resulting trauma to the child
Coconspirator in Agent’s ‘Secret Probation’ Fraud Scheme Sentenced to 70 Months in PrisonRead the Press Release
The coconspirator in retired FBI agent William Stone’s scheme to con a local mother out of more than $700,000 by convincing her she was on “secret federal probation" was sentenced Thursday to nearly six years in federal prison, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Joseph Eventino DeLeon, 63, was indicted in December 2021. In February 2024, after 12 days of trial, a jury convicted him and Mr. Stone of conspiracy to commit wire fraud. (Mr. Stone was also convicted of five counts of wire fraud, one count of engaging in monetary transactions in property derived from unlawful activity, and one count of false impersonation of a federal officer.) Mr. DeLeon was sentenced to 70 months in federal prison by U.S. District Judge Ada Brown, who ordered him to pay $765,320.37 in restitution to his victim.
According to evidence presented at trial, Mr. Stone convinced his victim, C.T., that she was under “secret probation” for federal drug crimes in “Judge Anderson’s court in Austin, Texas.”
He and Mr. DeLeon told the victim that the fictious federal judge had appointed the two of them to administer the conditions of her six year “secret probation.” They required her to text them written reports of her daily activities, and to compensate them for their supervisory services, as well as any expenses they incurred. Copies of the five and six figure checks she wrote them were admitted into evidence at trial. Over the course of eleven months, C.T. gave Mr. Stone more than $700,000 and Mr. DeLeon more than $50,000.
Mr. Stone and Mr. DeLeon insisted that C.T. was prohibited from disclosing her probation status to anyone, and would risk imprisonment and loss of her children if she did not comply with the terms of her probation.
When C.T. began to question the situation, Mr. Stone assured her everything he’d done was “legit.”
In order to further convince her the probation was real, the defendants monitored her cell phone communications, conducted physical surveillance of her, stated they had discussed C.T.’s probation with a psychiatrist, enlisted another person to impersonate the U.S. Drug Enforcement Administration “Intelligence Center” in a message inquiring about C.T., and even placed spoof calls between Mr. Stone, C.T., and the fictitious Judge Anderson.
They urged her to distance herself from her family, claiming her family members wanted to take her inheritance away from her, and persuaded her to transfer her inherited assets out of a trust and into an account under her own name. At one point, they claimed Judge Anderson would discharge C.T.’s probation if C.T. agreed to marry Mr. Stone. Mr. DeLeon even carried a weapon in C.T.’s home while purportedly providing “protective services” for her.
Mr. Stone was previously sentenced to 87 months in federal prison and taken into custody when sentenced, as was Mr. DeLeon.
The Texas Rangers and the U.S. Department of Justice Office of Inspector General conducted the investigation. Mr. Stone retired from the Federal Bureau of Investigation in October 2015. The Bureau provided valuable assistance during the trial. Assistant U.S. Attorneys Jenna Rudoff, Donna Strittmatter Max, and Marcus Busch prosecuted the case with the support of Executive Assistant U.S. Attorney Katherine Miller and Appellate Assistant U.S. Attorney Lindsey Pryor. Assistant U.S. Attorney Dimitri Rocha is handling the forfeiture.
Ciudadano Peruano Extraditado Por Dirigir Un Centro De Atención Telefónica Desde El Que Amenazaban Y Estafaban A Consumidores De Habla Hispana En Los Estados UnidosRead the Press Release
El Departamento de Justicia y el Servicio de Inspección Postal de los Estados Unidos dieron a conocer hoy que un residente de Lima, Perú, fue extraditado a los Estados Unidos y compareció por primera vez en el tribunal federal de Miami, en el día de la fecha, donde se lo acusó de dirigir un vasto complot dedicado a extorsiones y estafas.
José Alejandro Zuñiga Cano, 40 años, ciudadano de Lima, Perú, enfrentará cargos federales. Zuñiga fue detenido el 26 de febrero de 2023 por las autoridades peruanas en virtud de un pedido de extradición de los Estados Unidos. Desde entonces, permanece detenido en Perú.
De acuerdo con la acusación formal, el acusado administró y dirigió centros de atención telefónica en Perú desde enero de 2014 hasta febrero de 2019. Supuestamente, el demandado y sus cómplices en Perú hacían llamadas telefónicas vía internet para contactar personas de habla hispana en los Estados Unidos. Desde los centros de atención telefónica, se engañaba a las víctimas diciéndoles que habían ganado sorteos de productos gratuitos, que incluían tablets con cursos de inglés. Muchos consumidores manifestaban su interés por recibir los productos gratuitos. En llamadas sucesivas, se les informaba a las víctimas que debían realizar pagos cuantiosos para recibir los productos. Cuando las víctimas se oponían, quienes llamaban los engañaban diciéndoles que habían incurrido en una conducta ilegal por no haber pagado o recibido los productos.
“La División de Protección al Consumidor del Departamento de Justicia se compromete a perseguir y enjuiciar a los delincuentes internacionales responsables de estafar a consumidores vulnerables en los Estados Unidos, en cualquier lugar donde se encuentren. Agradezco a la República del Perú, y a la Policía Nacional del Perú, por su colaboración para extraditar a esta persona a fin de que enfrente cargos aquí en los Estados Unidos”, declaró el fiscal general principal adjunto, Brian M. Boynton, jefe de la División Civil del Departamento de Justicia. “El Departamento de Justicia y la policía de los Estados Unidos seguirán trabajando en estrecha colaboración con sus socios de las fuerzas de seguridad en todo el mundo para enjuiciar a los delincuentes que intentan estafar a víctimas estadounidenses desde el extranjero”.
“La colaboración entre países mejora los esfuerzos para fortalecer el estado de derecho. El Servicio de Inspección Postal de los Estados Unidos agradece a la República del Perú y a nuestros colegas de las fuerzas de seguridad que actuaron con determinación para desmantelar este complot dedicado a estafar consumidores estadounidenses a través del correo postal de los Estados Unidos y por vía telefónica. Juntos, enviamos un mensaje contundente, a nivel mundial, de que la justicia no tiene fronteras”, declaró Juan A. Vargas, Inspector encargado del Servicio de Inspección Postal de los Estados Unidos, División Miami.
De acuerdo con la acusación formal, el acusado y sus cómplices fingían ser abogados, funcionarios judiciales, oficiales de policía y representantes de un supuesto “tribunal de delitos menores”. El acusado y sus cómplices engañaban a las víctimas diciéndoles que tenían una obligación contractual de pagar y recibir los productos y que habían causado problemas legales para ellos mismos y para terceros supuestamente por no haber cumplido esa obligación. La acusación formal establece que quienes hacían las llamadas también amenazaban a las víctimas, de manera fraudulenta, con juicios, detenciones, calificaciones negativas en sus informes crediticios o consecuencias por su condición de inmigrantes si no pagaban de inmediato los productos supuestamente entregados y los aranceles de cancelación. De acuerdo con la acusación formal, muchas víctimas terminaron pagando debido a estas amenazas infundadas.
En algunos casos, el acusado y sus cómplices revictimizaban a las mismas víctimas mediante una organización fraudulenta relacionada de “restitución de productos”. De acuerdo con la acusación formal, el acusado y sus cómplices hacían nuevas llamadas a víctimas que ya habían pagado y, fingiendo ser abogados de un tribunal de los Estados Unidos, declaraban falsamente que las víctimas tenían derecho a pagos de restitución que compensarían las pérdidas sufridas a manos del acusado y sus cómplices en la primera parte de la conspiración. El acusado y sus cómplices engañaban a estas víctimas diciéndoles que debían pagar un porcentaje de la restitución a un abogado que supuestamente había iniciado una causa judicial y que había logrado la restitución del producto en nombre de la víctima. En realidad, no existía ningún abogado, ninguna orden de restitución y no se devolvía ningún monto a las víctimas que realizaban estos pagos adicionales.
En noviembre de 2021, se presentó una acusación penal federal sobre 7 delitos contra el acusado en el Tribunal de Distrito de los Estados Unidos para el Distrito Sur de Florida, que fue refrendada con la extradición del acusado a los Estados Unidos. El acusado enfrenta cargos de conspiración, fraude electrónico y extorsión. La acusación formal solo alega que se cometieron delitos. Si es condenado, Zuñiga enfrenta una pena máxima de 20 años de prisión. Un juez del tribunal federal de Distrito dictará sentencia después de considerar las Directrices para la Imposición de Condenas de los Estados Unidos y otros factores establecidos por ley.
Todos los acusados se presumen inocentes hasta que se demuestre lo contrario más allá de una duda razonable.
La fiscalía de la causa está a cargo del abogado sénior y coordinador de juicios penales internacionales, Phil Toomajian y de la abogada Carolyn Rice de la División de Protección al Consumidor del Departamento de Justicia. El Servicio de Inspección Postal de los Estados Unidos investigó el caso. Asimismo, colaboraron intensamente la Oficina de Asuntos Internacionales de la División Penal, la Fiscalía de los Estados Unidos para el Distrito Sur de Florida, el Servicio de Seguridad Diplomática del Departamento de Estado, el Servicio de jefes de policía de los Estados Unidos, la Policía Nacional del Perú y la Fiscalía del Procurador General del Perú.
El Departamento de Justicia continúa investigando y acusando formalmente a sospechosos en otras causas similares que incluyen amenazas contra residentes de habla hispana de los Estados Unidos. Si usted o alguien que conoce tiene más de 60 años y sufrió una estafa económica, cuenta con la asistencia de profesionales expertos en la Línea gratuita nacional de atención para adultos mayores: 1-833-FRAUD-11 (1-833-372-8311). Esta línea gratuita del Departamento de Justicia de los Estados Unidos, administrada por la Oficina de Asistencia para Víctimas de Delitos, brinda ayuda personalizada a las personas que llaman mediante la evaluación de las necesidades de la víctima y la identificación de los próximos pasos correspondientes. Los administradores del caso identifican los organismos en los que corresponde hacer la denuncia, proporcionan información a quienes llaman para ayudarlos a presentar la denuncia, ponen en contacto a las personas que llaman directamente con los organismos correspondientes y ofrecen recursos y derivaciones, caso por caso. El primer paso es presentar la denuncia. Denunciar puede ayudar a las autoridades a identificar a quienes cometen delitos y denunciar determinadas pérdidas económicas por estafa lo antes posible puede aumentar la probabilidad de recuperar lo perdido. La línea gratuita está disponible de lunes a viernes de 10:00 a. m. a 6:00 p. m. hora del este de los Estados Unidos, en inglés, español y en otros idiomas.
Para obtener más información acerca de las gestiones del Departamento para ayudar a los adultos mayores estadounidenses, visite su página web de la Iniciativa de Justicia para los Adultos Mayores. Para obtener más información acerca de la División de Protección al Consumidor y sus gestiones para la aplicación de la ley, visite su sitio web en https://www.justice.gov/civil/consumer-protection-branch. Los consumidores pueden presentar sus reclamaciones ante la Comisión Federal de Comercio (FTC) en https://reportfraud.ftc.gov/ o por teléfono llamando al 877-FTC-HELP. El Departamento de Justicia ofrece varios recursos relacionados con la victimización de personas mayores por estafas a través de su Oficina de Asistencia a las Víctimas de Delitos, a la que se puede acceder en https://www.ovc.gov.
Para obtener más información sobre la División de Protección al Consumidor y sus medidas de lucha contra el fraude, visite su sitio web en www.justice.gov/civil/consumer-protection-branch.Chilton County Man Convicted of Illegally Possessing a Firearm Used in a ShootingRead the Press Release
Montgomery, Alabama – On March 27, 2024, a federal jury convicted 57-year-old Alvin Lee McCary, a resident of Chilton County, Alabama, for possession of a firearm by a convicted felon, announced Acting United States Attorney Jonathan S. Ross.
According to court records and evidence presented during McCary’s trial, on July 22, 2020, law enforcement responded to a Clanton residence following reports of a shooting. Deputies arrived at the scene and found that the shooting victim had multiple gunshot wounds, including one on his face. According to the victim and witnesses, following an argument, McCary had shot the victim and then fled. Deputies found shotgun shell casings at the scene. Law enforcement officers found McCary at his Chilton County residence but did not immediately locate a shotgun. A few days later, investigators discovered a shotgun and ammunition at the bottom of a well. The well was located in a wooded area behind the McCary’s residence. McCary has previous felony convictions and is prohibited by federal law from possessing a firearm or ammunition.
Following this conviction, McCary faces a sentence of up to 10 years in federal prison with no parole. A sentencing hearing will be scheduled in the coming months. At that hearing, a federal district court judge will determine McCary’s sentence after considering the United States Sentencing Guidelines and other statutory factors. If the judge determines that the Armed Career Criminal Act of 1984 qualifies in McCary’s case, McCary will face a sentence of 15 years to life in prison.
This case was prosecuted as 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 make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Chilton County Sheriff’s Office investigated this case, which Assistant United States Attorneys Mark E. Andreu and Ashley J. Avera prosecuted.
Charlotte Man Charged with Falsely Impersonating A Federal OfficerRead the Press Release
CHARLOTTE, N.C. – A newly-unsealed criminal indictment charges William Mohr Eubank, 37, of Charlotte, with multiple counts of falsely impersonating a federal officer, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. The indictment was returned on March 19, 2024, and was unsealed upon Eubank’s initial court appearance.
Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Kyle Burns, Acting Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina join U.S. Attorney King in making today’s announcement.
According to allegations in the indictment, between 2021 and 2024, Eubank falsely claimed to be a federal law enforcement officer on multiple occasions. Specifically, in April 14, 2021, Eubank purported to be a U.S. Department of Justice law enforcement officer working on a Joint Counterterrorism Task Force in order to obtain a 2018 Chevrolet Tahoe outfitted with law enforcement emergency lights, siren, console, and partition push bar. The indictment further alleges that, on May 19, 2021, Eubank falsely claimed to be the Deputy Director of the Community Emergency Response Team for the U.S. Department of Homeland Security (DHS), and made false statements to the Charlotte Mecklenburg Police Department (CMPD) in order to obtain CMPD radio codes for his handheld radio and his “DHS-issued” Chevrolet Tahoe. The indictment also alleges that, on January 21, 2024, Eubank pretended to be a Special Agent with Homeland Security Investigations and made false statements to Sugar Mountain police officers about working with and for various federal law enforcement agencies.
The charges contained in the indictment are allegations and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Eubank had his initial appearance today in U.S. District Court in Charlotte. U.S. Magistrate Judge Susan C. Rodriguez ordered that Eubank remain in custody until his detention hearing.
U.S. Attorney King thanked the FBI and HSI for their investigation of the case and the North Carolina State Highway Patrol, the Charlotte-Mecklenburg Police Department, the Gaston County Police Department, the Sugar Mountain Police Department, the Avery County Sheriff’s Office, and the Union County Sheriff’s Office for their invaluable assistance.
Assistant U.S. Attorney Kenneth Smith of the U.S. Attorney’s Office in Charlotte is prosecuting the case.
California Man Sentenced for Attempting to Illegally Export Firearms and Night Vision Rifle Scopes to the Sultanate of OmanRead the Press Release
Fares Abdo Al Eyani, 41, of Oakland, California, was sentenced to 12 months and a day in prison, followed by three years of supervised release, for conspiring to export defense articles and attempting to export defense articles.
“Mr. Al Eyani admitted to conspiring to smuggle restricted arms, ammunition, and other defense material to a foreign country and has now been held to account,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The unlawful trafficking of U.S. weapons overseas represents a threat to public safety and national security and will be met with the full force of the Justice Department.”
“Enforcing the nation’s export laws is an important objective for my office,” said U.S Attorney Ismail J. Ramsey for the Northern District of California, “Because controlling our ports prevents the proliferation of weapons, protects our national security, furthers our foreign policy, and maintains our business competitiveness.”
“The illicit export of weapons overseas will not be tolerated by the FBI and anyone attempting to do so will be held accountable,” said Executive Assistant Director Larissa L. Knapp of the FBI’s National Security Branch. “Our office, along with our federal law enforcement partners, are committed to protecting our U.S. technology and citizens from anyone who tries to evade our laws and threaten our national security.”
“The sentencing of El Anayi for attempting to illegally export firearms and night vision rifle scopes to The Sultanate of Oman underscores the serious ramifications for international arms trafficking,” said Special Agent in Charge Tatum King of Homeland Security Investigations (HSI) San Francisco. “Such actions not only pose significant risks to national security but also contribute to destabilizing regions and potentially fueling conflicts. It's crucial for law enforcement agencies to remain vigilant and prosecute individuals involved in such activities to prevent the illicit proliferation of weapons and technology. This case highlights the importance of international cooperation in combating arms trafficking and enforcing export control regulations. Justice has been served with the hard work and dedication of HSI, and partner organizations FBI, U.S. Customs and Border Protection (CBP) Office of Field Operations San Francisco, the U.S. Attorney’s Office for the Northern District of California and the Justice Department’s National Security Division.”
According to court documents, Al Eyani acquired no less than four firearms with magazines and ammunition, and at least 44 rifle scopes, monoculars, and goggles with night vision capabilities in 2019. In November 2019, Al Eyani attempted to send the firearms to the Sultanate of Oman in shipping containers departing from the Port of Oakland. He concealed the firearms by disassembling them, wrapping them in aluminum foil, and then secreting them within automobiles inside the shipping container. Then, in December 2019, Al Eyani attempted to export the 44 rifle scopes, monoculars, and goggles to the Sultanate of Oman in two shipping containers departing from the Port of Oakland. Law enforcement searched the containers and seized the firearms, magazines, and ammunition, as well as the 44 rifle scopes, monoculars, and goggles with night vision capabilities, thereby thwarting Al Eyani’s unlawful scheme.
The commercial export of arms, ammunitions, implements of war and defense articles and services from the United States is governed by the Arms Export Control Act (AECA) and its attendant regulations, the International Trafficking in Arms Regulations (ITAR). The AECA authorizes the President, among other things, to control the export of “defense articles” deemed critical to the national security and foreign policy interests of the United States. The AECA also authorizes the President to designate goods as “defense articles,” require licenses for the export of such articles, and promulgate regulations for the export of such articles. By executive order, the President has delegated this authority to the U.S. Department of State, Bureau of Political-Military Affairs, Directorate of Defense Trade Controls (DDTC). Accordingly, the DDTC has promulgated regulations under the AECA, known as the ITAR. The ITAR defines a “defense article” as any item on the United States Munitions List (USML). Persons desiring to export items on the USML from the United States to a place overseas must first register with the DDTC and obtain individual export licenses prior to any shipment abroad.
Court documents establish that the items Al Eyani attempted to export — four firearms, magazines, ammunition, and night-vision rifle scopes — were defense articles prohibited from export without a license by the AECA and the ITAR. Al Eyani did not have a license to export the defense articles.
In a separate sentencing, Al Eyani’s wife, Saba Mohsen Dhaifallah, 42, also of Oakland, was sentenced to three years of probation for making false statements to FBI special agents during the investigation of this matter.
The FBI, HSI, and CBP investigated the case.
The U.S. Attorney’s Office for the Northern District of California’s National Security and Cybercrime Section is prosecuting the case in consultation with the National Security Division’s Counterintelligence and Export Control Section.
California Man Pleads Guilty to Methamphetamine Distribution ConspiracyRead the Press Release
NEW ORLEANS, LOUISIANA – DANIEL STEPHEN WRAY, a/k/a “Danny,” a/k/a “Tubs,” a/k/a “El Gordo,” age 35, a resident of Chula Vista, California, pleaded guilty on March 27, 2024 to conspiring to distribute and possess with intent to distribute, 500 grams or more of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 846, announced U.S. Attorney Duane A. Evans.
According to court documents, on October 6, 2021, at the direction of WRAY, WALTER ALVAREZ TIRADO, a drug courier, traveled from Kentucky and bound for New Orleans to deliver fifty pounds of methamphetamine. Law enforcement conducted a traffic stop of TIRADO’s vehicle in Pearl River, La. Following the stop, officers searched TIRADO’s luggage, and discovered fifty pounds of methamphetamine.
WRAY faces a statutory mandatory minimum sentence of ten years, up to life imprisonment, a fine of up to $10,000,000, at least five years of supervised release following any term of imprisonment, and a $100 mansatory special assessment fee.
This case was investigated by the Drug Enforcement Administration and the Louisiana State Police. The prosecution is being handled by Assistant United States Attorney J. Benjamin Myers of the Financial Crimes Unit.
Boston Man Sentenced to Seven Years in Prison for Fentanyl Trafficking and Cocaine ConspiracyRead the Press Release
BOSTON – A Boston man was sentenced yesterday in connection with drug trafficking activities involving fentanyl and cocaine.
Jovani Santiago, 32, was sentenced by U.S. District Court Judge Richard G. Stearns to seven years in prison and five years of supervised release. In March 2021, Santiago pleaded guilty to one count of distribution of and possession with intent to distribute 400 grams or more of fentanyl and one count of conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine.
In August 2020, Santiago sold approximately 500 grams of fentanyl to a cooperating witness in a Roxbury apartment. During a subsequent search of Santiago’s residence, a Sig Sauer 9mm handgun and ammunition were seized. The investigation also determined that Santiago conspired with others to distribute seven kilograms of cocaine for $250,000 in Massachusetts and New York.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement. Special assistance was provided by the Drug Enforcement Administration, New York Field Division and the U.S. Attorney’s Office for the Southern District of New York. Assistant U.S. Attorney Stephen W. Hassink of the Narcotics & Money Laundering Unit prosecuted the case.
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.
Billings man admits payroll check scheme to defraud Crow TribeRead the Press Release
BILLINGS — A Billings man on Thursday admitted to a scheme in which he defrauded the Crow Tribe by receiving checks from the tribe’s payroll account, forging the payees and having the payees cash the checks, U.S. Attorney Jesse Laslovich said today.
The defendant, Jonathan Cleve Brien, 43, pleaded guilty to two counts of wire fraud. Brien faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.
U.S. Magistrate Judge Timothy J. Cavan presided. A sentencing date will be set before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Brien was detained pending further proceedings.
The government alleged in court documents that in May 2019, Brien received checks from the Crow Tribe payroll account. Brien forged the payees on the checks and had those people cash the checks at various entities. A cooperator involved in methamphetamine in Billings admitted to law enforcement to being involved a check fraud scheme and that Brien informed the cooperator that he had access to a Crow Tribe account, which allegedly contained millions of dollars. On two occasions, the Brien brought the cooperator a signed Crow Tribe payroll check made payable to them in the amount of approximately $900. The cooperator deposited one of the checks into a personal bank account but withdrew most of the money as cash and split the money with Brien. The cooperator subsequently cashed the second check at a bank and again gave most of the cash to Brien. When interviewed, Brien initially denied knowledge of the checks, then admitted to receiving the Crow Tribe payroll checks and giving them to various people who were involved with him in using meth. He made the checks for about $900 because he thought tribe’s payroll account would have $900 in it and that it would be less suspicious if he kept the amount under $1,000.
The U.S. Attorney’s Office is prosecuting the case. The Department of Interior, Office of Inspector General conducted the investigation.
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