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Thursday 14 March 2024
Pierce Brosnan fined for foot travel in a thermal area in Yellowstone National ParkRead the Press Release
Pierce Brosnan, 70, of Malibu, California, was fined $500, and required to pay a $1,000 community service payment to the Yellowstone Forever Geological Fund, a $30 court processing fee, and a $10 special assessment. U.S. Magistrate Judge Stephanie A. Hambrick imposed the sentence on Mar. 14, in Mammoth, Wyoming.
Mr. Brosnan pleaded guilty to foot travel in a thermal area. According to court documents, on or about Nov. 1, 2023, Brosnan uploaded pictures to his Instagram page of himself standing on a Yellowstone National Park thermal feature at Mammoth Hot Springs. There are signs posted in the area that warn visitors of the dangers of thermal features and state that visitors must remain on the designated boardwalks and trails.
The United States Attorney’s Office asked the court to sentence Brosnan to 2 years’ probation and the maximum fine of $5,000.
The National Park Service (NPS) reminds Yellowstone visitors that the ground in thermal areas is fragile and thin, and scalding water is just below the surface. Therefore, trespassing on thermal features is dangerous and can harm delicate natural resources within the park. Additionally, the park was established primarily to protect these hydrothermal areas. NPS encourages visitors to exercise extreme caution around thermal features by staying on boardwalks and trails.
NPS also urges people to protect themselves and the fragile environment by taking the Yellowstone Pledge: act responsibly and safely and set a good example for others. If you see someone, in person or online, whose behavior might hurt them, others, or the park, tell a ranger. If you’re in the park, dial 911. Learn about safety in Yellowstone.
For additional information related to Yellowstone National Park, please contact the Public Affairs Office at 307-344-2015 or [email protected].
This crime was investigated by the National Park Service. The case was prosecuted by Assistant U.S. Attorney Ariel Calmes.
On the Second Day of Trial, Fake Doctor Pleads Guilty to Mail FraudRead the Press Release
SALT LAKE CITY, Utah – Before opening statements, Gordon Hunter Pedersen, 64, of Cedar Hills, Utah, pleaded guilty today to mail fraud and introduction of misbranded drugs into interstate commerce with intent to defraud and mislead. The case against Pedersen received national attention after he, acting as a doctor, promoted and sold silver products that falsely claimed could treat and cure diseases, including COVID-19.
In August 2023, Pedersen, a three-year fugitive, was arrested after he fled from law enforcement in 2020 and failed to appear on the indictment in this case. See prior news release here.
According to court documents, from 2012 through 2020, Pedersen lied to consumers about his education, qualifications, and about the palliative abilities of his silver products – “structured alkaline silver solution,” silver lozenges, silver probiotics, silver soap, silver mouthwash and silver gel. His fraudulent salesmanship generated thousands of dollars and his sales skyrocketed in 2020, when the COVID-19 pandemic began, and before approved vaccines were available. Mr. Pedersen distributed his Silver Products through his company My Doctor Suggests, LLC (MDS), where he was 25% owner and the company spokesman and primary marketer.
At the end of 2019 through May 2020, through YouTube videos and other advertising means, Mr. Pedersen claimed that his silver products would prevent, cure, and treat COVID-19. Via the internet, Pedersen, sold the “structured alkaline silver” solution, which he claimed, “resonates or vibrates, at a frequency that destroys the membrane of the virus, making the virus incapable of attaching to any healthy cell, or to infect you in anyway.” To further defraud, Pedersen falsely claimed on YouTube videos to be medical doctor. On January 30, 2020, Pedersen posted a video promotion on YouTube entitled “Coronavirus Best Solution! Hand Sanitizers! Structured Silver Gel from Dr. Gordon Pedersen.”
In April 2020, Pedersen shipped his silver products, via United States Postal Service, first class mail from American Fork, Utah to Kansas City, Kansas, therefore impacting interstate commerce.
Pedersen is scheduled to be sentenced May 29, 2024, at 2:00 p.m. in courtroom 8.1 at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City.
United States Attorney Trina A. Higgins of the District of Utah made the announcement.
Assistant United States Attorneys Jacob J. Strain and Brian Williams from the U.S. Attorney’s Office for the District of Utah are prosecuting the case with assistance from Trial Attorney Speare Hodges and Sarah Williams from the Department of Justice, Civil Division’ Consumer Protection Branch. James Smith from FDA’s Office of Chief Council is also assisting.
The case is being investigated jointly by the FDA’s Office of Criminal Investigation (FDA-OCI), Homeland Security Investigations (HSI), Federal Bureau of Investigation (FBI) Salt Lake City Field Office. Valuable assistance was also provided by the U.S. Marshals Service.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus and https://www.justice.gov/coronavirus/combatingfraud.
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 via the NCDF Web Complaint Form.
New Baltimore Pharmacist Sentenced to over 8 Years in Prison for Filling Fake PrescriptionsRead the Press Release
DETROIT –A New Baltimore resident was sentenced yesterday to 8 years and 4 months in federal prison following her convictions fo 26 drug-related crimes, including unlawful distribution of controlled substances and conspiracy to unlawfully distribute prescription drug-controlled substances, announced United States Attorney Dawn N. Ison.
Joining Ison in the announcement were Orville Greene, Special Agent in Charge of the Detroit Field Office of the Drug Enforcement Administration, and Mario M. Pinto, Special Agent-In-Charge, United States Department of Health and Human Services – Office of Inspector General.
Hasna Bashir Iwas, 62, the owner and operator of Beacon Pointe Pharmacy in Grosse Pointe Park, Michigan was sentenced by United States District Judge Laurie J. Michelson following a jury trial.
The convictions resulted from defendant’s operation of Beacon Pointe Pharmacy in Grosse Pointe Park during 2013-2018. The defendant regularly filled many prescriptions issued by a local doctor, Otis Crawford. Dr. Crawford was charged with unlawfully writing controlled substance prescriptions and pleaded guilty, but died before his sentencing. Pharmacist Iwas was held criminally responsible for distributing over 300,000 dosage units of controlled substances. The drugs had an estimated street value of $1.8 to $3.3 million. She personally received gross income of $781,546 from the illegal distribution of pills from her pharmacy. As part of her sentence, she was ordered to forfeit $781,546, which represents the proceeds of her drug dealing.
“My office will continue to devote resources to prosecuting healthcare professionals such as this defendant, who use their trusted roles as healthcare providers to deal drugs in our community,” said U.S. Attorney Ison.
The investigation was conducted by the Drug Enforcement Administration, the Department of Health and Human Services – Office of Inspector General, with assistance from the Detroit Police Department.
The case was prosecuted by Assistant United States Attorney Wayne F. Pratt, while forfeiture litigation was handled by Assistant United States Attorney Gjon Juncaj.
Nevada Man Sentenced to 27 Months in Prison and Ordered to Pay over $1.1 Million in Restitution for Tax FraudRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Carissa Messick, Acting Special Agent in Charge, IRS Criminal Investigation Phoenix Field Office, announced today that Victor Kearney was sentenced to 27 months in prison and ordered to pay $1,188,645.00 in restitution. A federal jury convicted Kearney, 59, of Zephyr Cove, Nevada, for filing false tax returns on March 10, 2023.
A federal grand jury indicted Kearney and his co-defendant Robert Fiser, 63, of Albuquerque, on August 29, 2019. According to the evidence at trial and other publicly available court records, from 1997 to 2013, Kearney received about $16 million in trust income as lifetime beneficiary of two testamentary trusts established after the death of his first wife, Mary Pat Abruzzo-Kearney. These trusts were shareholders in Alvarado Realty Company (“ARCO”).
At first, Kearney properly reported his trust income on tax returns prepared by a certified public accountant. Then ARCO restructured into a C corporation with subchapter S status. This meant corporate income, losses, deductions, and credits now passed to shareholders for tax purposes. Since the taxes Kearney owed to the government were no longer withheld by ARCO or the trusts, Kearney did not pay them. Instead, Kearney conspired with Fiser, an attorney specializing in tax law and the preparation of federal income tax returns, to submit knowingly false tax returns from 2007 through 2011 showing little or no trust income. As a result, Kearney owes the IRS $1,188,645.00.
Kearney came to the attention of the IRS in 2013 when he filed a lawsuit against his former brothers-in-laws, Benjamin and Louis Abruzzo. Kearney claimed that the Abruzzos mismanaged Mary Pat Abruzzo-Kearney’s trusts to Kearney’s financial disadvantage. During the litigation, District Judge Alan M. Malott heard evidence that prompted him to refer Kearney’s case to the IRS for further investigation. The state case was resolved in favor of the Abruzzos.
Upon his release from prison, Kearney will be subject to three years of supervised release.
Fiser pleaded guilty on July 11, 2022, to one count each of conspiracy and aiding and assisting in preparation of a false and fraudulent return.
IRS Criminal Investigation investigated this case with the assistance of the Office of the U.S. Trustee also assisted. Assistant United States Attorneys Sean J. Sullivan and Kimberly A. Brawley prosecuted the case.
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N.C. Man Admits to Traveling to Virginia to Have Sex with MinorRead the Press Release
CHARLOTTESVILLE, Va. – A North Carolina man, who lied about his age to a 14-year-old girl he met on Instagram before traveling to Virginia to have sex with her, pled guilty yesterday in U.S. District Court.
Rayvon Birden, 26, of Raleigh, North Carolina, pled guilty yesterday to one count of traveling in interstate commerce for the purpose of engaging in sexually illicit conduct. As part of his plea agreement, Birden and the government agreed to a sentencing range between 78 and 120 months in prison and that he will be required to register as a convicted sex offender upon his release.
According to court documents, Birden contacted the 14-year-old victim through Instagram direct messaging and represented himself as a 16-year-old named “Nolan.”
Birden and the victim exchanged phone numbers and began communicating via text messages and Facetime regularly. Over the course of their conversations, Birden masturbated in front of the victim and, on at least one occasion, asked for nude photographs of her, which the victim sent via text messaging.
Birden then drove from his home in North Carolina to meet the victim at a hotel near her Virginia home where they had sexual intercourse on multiple occasions, at least one of which Birden filmed.
United States Attorney Christopher R. Kavanaugh and Special Agent in Charge Derek W. Gordon of Homeland Security Investigations (HSI) Washington, D.C. made the announcement.
HSI- Harrisonburg, Virginia, in conjunction with the Albemarle County Police Department and the Southern Virginia Internet Crimes Against Children Task Force, is investigating the case.
Assistant U.S. Attorney Jordan E. McKay is prosecuting the case.
Muskogee Resident Sentenced to Life for MurderRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Robert William Rainford, age 51, of Muskogee, Oklahoma, was sentenced to life in prison for one count of First Degree Murder in Indian Country. Rainford also received a consecutive sentence of 10 years for using a firearm to commit the offense.
The charges arose from investigations by the Federal Bureau of Investigation and the Muskogee County Sheriff’s Office.
On May 5, 2023, Rainford was found guilty at trial by a federal jury. According to investigators, on December 12, 2021, Rainford intentionally shot his neighbor multiple times in the head and torso, killing him. Law enforcement officers responding to the 911 emergency call encountered a bloodied Rainford, who directed them where to find the weapon. The crime occurred in Muskogee County, within the boundaries of the Muscogee (Creek) Nation Reservation, in the Eastern District of Oklahoma.
The Honorable David C. Joseph, U.S. District Judge in the United States District Court for the Western District of Louisiana, sitting by assignment, presided over the hearing in Muskogee. Rainford was remanded into the custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorneys Kevin Gross and Ryan Bondura represented the United States.
Muskogee Resident Pleads Guilty to RobberyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Darrin Renay Kimble, a/k/a Darrin Latroy Kimble, a/k/a Darrin Renay Teague, age 58, of Muskogee, Oklahoma, entered a guilty plea to one count of Robbery in Indian Country.
At the plea hearing, Kimble admitted that on February 21, 2021, he took a television from the person and presence of the victim by force, violence, and intimidation. The crime occurred in Wagoner County, within the boundaries of the Muscogee (Creek) Nation Reservation, in the Eastern District of Oklahoma.
The charges arose from an investigation by the Coweta Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Gerald L. Jackson, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report. Kimble will remain in the custody of the United States Marshal Service pending sentencing.
Assistant United States Attorney Michael E. Robinson represented the United States.
Mooresburg Man Sentenced to 190 Months for Firearm OffenseRead the Press Release
GREENEVILLE, Tenn. – On March 14, 2024, George Wesley Short, 56, of Mooresburg, Tennessee, was sentenced to 190 months of imprisonment by the Honorable Clifton L. Corker, in the United States District Court for the Eastern District of Tennessee at Greeneville. During the sentencing proceeding, Judge Corker found Short to be an Armed Career Criminal based on his prior criminal history. Following his incarceration, Short will be on supervised release for five years. Judge Corker also ordered the forfeiture of the firearm seized during Short’s arrest.
Short pled guilty to a Superseding Indictment, which charged him with being a felon in possession of a firearm in violation of 18 U.S.C. § 922(g)(1). According to the stipulated facts, which were filed with the court, Short admitted that on December 29, 2021, a deputy with the Hawkins County Sheriff’s Department attempted a traffic stop on his vehicle; however, Short refused to stop and a vehicle pursuit ensued. After his vehicle broke down, Short attempted to flee on foot, but was apprehended. When law enforcement searched his vehicle, they located a firearm on the passenger-side floorboard of the vehicle. Short also admitted that he was previously convicted of a felony offense.
U.S. Attorney Francis M. Hamilton III of the Eastern District of Tennessee and Special Agent in Charge, Marcus S. Watson, of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) made the announcement.
The criminal indictment was the result of an investigation by the Hawkins County Sheriff’s Department and the ATF. This investigation was led by ATF Special Agent Bryan Williams.
Assistant United States Attorneys B. Todd Martin and Luke McLauren represented the United States.
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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Moldovan National Sentenced to Federal Prison for Operating Websites Involved in the Illicit Sale of Compromised Computer CredentialsRead the Press Release
Tampa, Florida – U.S. Senior District Judge James Moody, Jr. has sentenced Sandu Boris Diaconu (31, Moldova) to 42 months in federal prison for conspiracy to commit access device and computer fraud and possession of 15 or more unauthorized access devices. Diaconu pleaded guilty on December 1, 2023.
According to court documents, Diaconu developed, published online, and conspired with others to manage the operations of the E-Root Marketplace, a series of websites that operated for years and was used to sell access to compromised computers worldwide, including servers belonging to companies and individuals in the United States. The E-Root Marketplace operated across a widely distributed network and took steps to hide the identities of its administrators, buyers, and sellers. Buyers could search for compromised computer credentials on E-Root, such as usernames and passwords that would allow buyers to access remote computers for purposes of stealing private information or manipulating the contents of the remote computer. Buyers could search for credentials by desired criteria, such as price, geographic location, internet service provider, and operating system. The Marketplace also used Perfect Money, an online payment system, in order to help conceal buyers’ payments, and it offered its illicit cryptocurrency exchange service for the purpose of converting Bitcoin to Perfect Money and vice-versa. This exchange was also seized.
Based on evidence obtained during the investigation, authorities believe that more than 350,000 credentials were listed for sale on the Marketplace. The victims span the globe and all industries, as well as at least one local government agency in Tampa. Many victims were subject to ransomware attacks, and some of the stolen credentials listed on the Marketplace were linked to stolen identity tax fraud schemes.
Diaconu was arrested while attempting to leave the United Kingdom in May 2021, at the request of the United States, and extradited to the United States on October 13, 2023.
This U.S. investigation was led by the IRS – Criminal Investigation Cyber Crimes Unit (Washington, D.C) and the FBI – Tampa Division. Substantial assistance was provided by the IRS – Criminal Investigation (Tampa Field Office), the Department of Justice’s Office of International Affairs, IRS-CI and FBI International Operations at Mission UK, the United Kingdom’s National Extradition Unit, and the U.S. Marshals Service (Tampa Field Office). The criminal investigation was overseen at various stages of the prosecution by Assistant United States Attorneys Rachel Jones and Adam J. Duso. Asset forfeiture was handled by Assistant United States Attorney Suzanne Nebesky.
Middleburg Man Sentenced to 25 Years for Producing Child Sexual Abuse ImagesRead the Press Release
Jacksonville, Florida – Chief U.S. District Judge Timothy J. Corrigan has sentenced Sam David Harris, Jr. (38, Middleburg) to 25 years in federal prison for production of child sexual abuse images, to be followed by a lifetime of supervised release. The court also ordered Harris to pay $65,500 in restitution to the victims of his offenses. Harris pleaded guilty on September 21, 2023.
According to court documents, in February 2023, Homeland Security Investigations (HSI) began an investigation into a Cyber Tip received by the National Center for Missing and Exploited Children about child sexual abuse materials (CSAM) being uploaded to a particular site of an electronic services provider. This investigation led law enforcement to Harris and his residence.
On April 20, 2023, HSI Jacksonville special agents and task force officers executed a search warrant at Harris’s residence. During the search, a thumb drive was discovered concealed in the bottom portion of a small box located in the top drawer of a bedside nightstand. Also found in the top drawer was a prescription medicine container bearing Harris’s name. An onsite forensic preview of the thumb drive led to the discovery of numerous videos and images depicting child sexual abuse material (CSAM). Additional analysis of the thumb drive revealed more than 100 images that appeared to have been produced by Harris. Harris’s hand, arm, and forearm were visible in several of the files. One of the females in the images was subsequently identified as a child to whom Harris had access.
This case was investigated by the Northeast Florida INTECEPT Task Force, to include Homeland Security Investigations (HSI) Jacksonville, the Jacksonville Sheriff’s Office, the St. Johns County Sheriff’s Office, the Clay County Sheriff’s Office, and the Columbia County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Ashley Washington and former Assistant United States Attorney Kelly Karase.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Memphis Resident Sentenced for Conspiracy to Commit Federal Firearm OffensesRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Andria Victoria Dowdy, age 22, of Memphis, Tennessee, was sentenced to 42 months in prison for conspiring to violate federal firearms offenses, including unlawful possession of a silencer and unlawful possession of non-serialized firearm.
The charges arose from investigations by the Sequoyah County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
On June 1, 2023, Andria Victoria Dowdy and co-defendants Jemarcus Maquel Williams and Anfernee Deshon Sherrod each entered guilty pleas to one count of Conspiracy to violate federal firearms offenses. According to investigators, the trio conspired to obtain firearms in the State of Oklahoma. On December 29, 2021, Sequoyah County Sheriff’s deputies initiated a traffic stop on I-40 in Sequoyah County. Law enforcement ultimately discovered Dowdy, Williams, and Sherrod in possession of six firearms with large capacity magazines and an unserialized silencer. On February 21, 2024, Williams and Sherrod were sentenced to 60 months in prison for their role in the offenses.
The Honorable David C. Joseph, U.S. District Judge in the United States District Court for the Western District of Louisiana, sitting by assignment, presided over Dowdy’s sentencing hearing in Muskogee. Dowdy was remanded to the custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve her non-paroleable sentence of incarceration.
Assistant United States Attorney Edith Singer represented the United States.
Man Who Robbed Raleigh Sweepstakes Business Sentenced to 25 YearsRead the Press Release
WILMINGTON, N.C. – Joseph Plummer, age 36, of Raleigh was sentenced today to 300 months in prison and five years of supervised release, for brandishing a firearm while robbing a Raleigh sweepstakes parlor.
“Luck was not on the side of Mr. Plummer and his crew when they targeted this sweepstakes parlor,” said U.S. Attorney Michael Easley. “After disarming a security guard and holding employees at gun point, he is now facing the next 25 years behind bars. Police also recovered every penny of the stolen cash. When you gamble with crime the odds are never on your side.”
“I am grateful for the work of U.S. Attorney Michael Easley’s office and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) for their ongoing partnership in this case. This is another example of how collaboration with our federal, state, and local partners puts violent offenders behind bars. Plummer chose to conspire with others to terrorize and commit an armed robbery of a local business. This violence has no place in our community, and we will continue to vigorously investigate these incidents to ensure our Federal and state prosecutors have the necessary evidence to send these offenders to prison,” said Raleigh Police Chief Estella Patterson.
“ATF and our law enforcement partners remain committed to apprehending those who pose a threat to our communities,” said ATF Special Agent in Charge Bennie Mims. “Through a focused collaboration, we’ve recovered multiple firearms and removed a dangerous individual from our streets.”
According to court records and evidence presented in court, in the spring of 2021, Plummer arranged a robbery of the NGM City Sweepstakes where his then-girlfriend, Tawanna Godwin, worked. Plummer sought the assistance of Eric Lamonte Fair, whom he had previously met in federal prison, to plan a robbery of the business. During the early morning hours of July 27, 2021, Plummer drove Fair, Ky’sheke Hishad Sweat and Elij-wn Unique Oglesby to the business on N. Market Drive in Raleigh. Fair, Sweat and Oglesby entered the business with assistance provided by Godwin. Once inside, all three men disarmed the business’s security guard and held the employees at gunpoint while they collected money and other items, such as an employee’s cell phone, from the victims. Plummer then drove Fair, Sweat and Oglesby back to the residence he shared with Godwin.
Witnesses gave Raleigh Police a description of the vehicle seen leaving the scene. A vehicle matching the description was located at a townhome complex. While an officer was examining the car, Fair, Sweat, and Oglesby came out of the residence. The clothing they were wearing was similar to the clothing worn by the robbers on the surveillance footage from the NGM City Sweepstakes. The trio denied being involved in the robbery but admitted to having been in the car. Officers obtained a warrant to search the residence and found nearly $60,000 in cash in the washer/dryer, and five firearms, including the gun taken from the security guard.
Sweat, age 24, of Concord pled guilty to robbery of a business in interstate commerce and aiding and abetting and brandishing a firearm during and in relation to a crime of violence and aiding and abetting. On September 27, 2023, Sweat was sentenced to serve 130 months in prison.
Oglesby, age 25, of Salisbury, pled guilty to robbery of a business in interstate commerce and aiding and abetting and brandishing a firearm during and in relation to a crime of violence and aiding and abetting on February 8, 2023. On January 25, 2024, Oglesby was sentenced to serve 65 months in prison.
Fair, age 35, of Salisbury, pled guilty to robbery of a business in interstate commerce and aiding and abetting and brandishing a firearm during and in relation to a crime of violence and aiding and abetting on April 25, 2023. On March 13, 2024, Fair was sentenced to 96 months and 1 day in prison.
Godwin, age 46, of Raleigh pled guilty to robbery of a business in interstate commerce and aiding and abetting on December 12, 2023. Godwin’s sentencing is set for the May 21, 2024, term of court.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Raleigh Police Department investigated the case with the assistance of the ATF. Assistant U.S. Attorneys Sarah E. Nokes and Erin C. Blondel prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-CR-251-M.
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Malden Food Market Settles Allegations of Food Safety Law ViolationsRead the Press Release
BOSTON – A retail food market in Malden – operating under a consent decree for previous violations of federal law relating to the sale and transport of misbranded and uninspected meat food and poultry products – has entered into a settlement agreement with the government to resolve allegations that it violated the law for the third time in four years.
Under the terms of the settlement agreement, Kim Long Market Malden, LLC and its managers, Chien Hong Pham, Thomas Pham and Tien Manh Pham, will voluntarily close the business, pay civil penalties and restrict their future employment in the food retail business.
In 2019, the defendants entered into a consent decree with the United States Department of Agriculture (USDA) and admitted that they had purchased, offered for sale and sold meat food products that were not inspected by USDA and were misbranded in violation of the Federal Meat Inspection Act (FMIA). In addition, the defendants admitted that they failed to maintain appropriate business records concerning those meat products. The defendants also agreed to pay civil penalties and be subject to other restrictions if they violated the FMIA again.
Since entering into the consent decree, the defendants have violated the FMIA twice –in 2020 and again in January 2023 – by selling and offering to sell 217 pounds of uninspected and misbranded meat food products to retail customers.
The settlement agreement, which resolves the January 2023 allegations, requires the defendants immediately pay $65,000 in civil penalties and holds in abeyance an obligation to pay an additional $262,000 in civil penalties if the defendants close Kim Long Market; Chien Hong Pham and Thomas Pham agree to not work in the retail food business again; and Tien Manh Pham agrees to not own or manage a food retail business and report his employment with any food retail business for a period of five years.
“Consumers should be able to trust that their food is produced and sold under safe and sanitary conditions,” said Acting United States Attorney Joshua S. Levy. “This settlement agreement protects the public and holds the defendants accountable for their repeated failures to comply with the Federal Meat Inspection Act.”
“The work our personnel do every day is critical to protecting public health,” said Administrator Paul Kiecker of USDA’s Food Safety and Inspection Service. “We do not tolerate repeated violations of the laws and regulations in place to protect American families.”
Acting U.S. Attorney Levy and USDA FSIS Administrator Kiecker made the announcement today. Assistant U.S. Attorney Steven Sharobem of the Affirmative Civil Enforcement Unit handled the matter.
Leader of Drug Trafficking Organization Sentenced for International Cocaine Trafficking ConspiracyRead the Press Release
A leader of the Lorenzana drug trafficking organization was sentenced last week to 33 years in prison and ordered to forfeit $27 million for charges related to international drug trafficking.
According to court documents, beginning in or about 2008 and continuing to at least 2019, Marta Julia Lorenzana-Cordon, 47, from Zacapa, Guatemala, was a leader of the Lorenzana drug trafficking organization, one of the largest and most influential drug cartels in Guatemala, which was comprised primarily of family members. The organization transports tonnage quantities of cocaine from Colombia into Guatemala, where the cocaine is inventoried and stored on properties owned by the organization throughout Guatemala. Once processed, the organization works with the Sinaloa Cartel, among other organizations, to traffic cocaine into Mexico, through Central America, and eventually, into the United States.
Lorenzana-Cordon was extradited in December 2021 to the United States from Guatemala. She pleaded guilty on May 2, 2023, to conspiring to distribute five kilograms or more of cocaine, knowing and intending that it would be unlawfully imported to the United States.
Between 1996 continuing through 2019, the organization coordinated the transportation, storage, and distribution of multi-ton quantities of cocaine from Colombia to Central America and Mexico, for eventual distribution into the United States. Lorenzana-Cordon’s siblings, Eliu Elixander Lorenzana-Cordon, 53, and Waldemar Lorenzana-Cordon, 59, were convicted in March 2019 on international narcotics trafficking charges in the District of Columbia and sentenced to life in prison. Lorenzana-Cordon’s father, Waldemar Lorenzana-Lima Sr., who has since passed away, pleaded guilty in August 2014 to international narcotics trafficking charges in the District of Columbia and was sentenced to 23 years in prison.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division and Administrator Anne Milgram of the Drug Enforcement Administration (DEA) made the announcement.
This investigation is part of “Operation Slipknot,” which is supported by the Organized Crime Drug Enforcement Task Forces (OCDETF). The DEA’s 959/Bilateral Investigations Unit is investigating the case, with assistance from the DEA Guatemala City Country Office. The Justice Department thanks the Department of the Treasury’s Office of Foreign Assets Control for their support and contributions to the case.
The Justice Department’s Office of International Affairs provided significant assistance in securing the arrest and extradition of the defendants. The department appreciates the assistance provided by the government of Guatemala.
Trial Attorneys Imani Hutty and Douglas Meisel of the Criminal Division’s Narcotic and Dangerous Drug Section prosecuted the case.
Leader of Belle Glade Based Bank Fraud Conspiracy Sentenced to Federal PrisonRead the Press Release
MIAMI - Ja’kevious Ri’shaad Vickers, the leader of a bank fraud conspiracy, was sentenced today to federal prison.
Vickers, Gregory Bernard Ashley Jr., and Naim W. Kahook were involved in a bank fraud conspiracy involving stolen checks, theft of personal identifying information, and the production of fraudulent or fake checks.
Vickers was sentenced to 57 months imprisonment, to be followed by five years of supervised release, and was ordered to pay $269,611.19 in restitution by U.S. District Judge Donald M. Middlebrooks. Vickers previously pleaded guilty to conspiracy to commit bank fraud, bank fraud, and aggravated identity theft.
Ashley Jr. and Kahook each previously pleaded guilty to conspiracy to commit bank fraud. Ashley Jr. and Kahook were sentenced to seven months and two months prison, respectively. Ashley was further ordered to pay $30,986.91 in restitution.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Jeffrey B. Veltri of FBI, Miami Field Office, Sheriff Ric Bradshaw of the Palm Beach County Sheriff’s Office (PBSO), Chief David E. England of the Jupiter Police Department, and Special Agent in Charge Javan Wilson of the U.S. Department of the Treasury Office of Inspector General (TIG) made the announcement.
The FBI Miami, West Palm Beach Resident Agency, PBSO, Jupiter Police Department, and TIG investigated the case. Assistant U.S. Attorney Marton Gyires prosecuted the case. Assistant U.S. Attorney Jorge Roberto Delgado 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 23-cr-80185.
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Leader of “Pure Armenian Blood” Sentenced to Six Years in Prison for Racketeering and Multimillion-Dollar FraudRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that NAREK MARUTYAN and SARO MOURADIAN, a/k/a “Paul Mouradian,” were sentenced today to six years and 10 months in prison, respectively, for their participation in a multi-year, coast-to-coast credit card fraud scheme run by a racketeering enterprise referred to as “Pure Armenian Blood” or “P.A.B.” MARUTYAN, a leader of the P.A.B., previously pled guilty to participating in a racketeering conspiracy on June 12, 2023, before U.S. Magistrate Judge Ona T. Wang, and MOURADIAN, who owned and operated a Florida-based business that was used by the P.A.B. to run sham credit card charges, previously pled guilty to participating in a conspiracy to commit access device fraud on August 17, 2023, before U.S. Magistrate Judge Katherine H. Parker. U.S. District Judge Victor Marrero imposed today’s sentences.
U.S. Attorney Damian Williams said: “Pure Armenian Blood’s members enriched themselves and their criminal associates for almost a decade through fraudulent schemes that involved stealing others’ identities and spending millions of dollars of other people’s money as though there were no consequences. As a leader of the sophisticated, organized criminal enterprise, Narek Marutyan orchestrated these schemes and reaped the ill-gotten gains. He now faces years in prison for his crime. This prosecution reaffirms our unwavering commitment to combating organized crime in all its forms.”
According to the Indictment, public filings, and statements made during court proceedings:
Pure Armenian Blood was an organized criminal group operating under the direction and protection of an unindicted co-conspirator (“CC-1”), a “vor v zakone” or “vor,” which are Russian phrases translated roughly as “Thief-in-Law” or “Thief,” and which refer to an order of elite criminals from the former Soviet Union who receive tribute from other criminals, offer protection, and use their recognized status as a vor to adjudicate disputes among lower-level criminals. Members and associates of Pure Armenian Blood operated under the direction and protection of CC-1, a vor of Armenian descent previously based in Los Angeles before being deported in or about 2018. Pure Armenian Blood operated through groups of individuals, often with overlapping members or associates, dedicated to criminal aims, particularly identity theft, access device fraud, and credit card fraud, among others. While Pure Armenian Blood exploited victims and the financial system in New York City, it had operations in various locations throughout the U.S. and abroad, including through the use of purportedly legitimate business entities operating under the control and in conjunction with members of P.A.B. at various points throughout the conspiracy.
As a leader of the P.A.B. in New York, MARUTYAN orchestrated P.A.B’s various illicit activities, including the use of stolen personal identifying information, fraudulently opening and exhausting lines of credit, making purchases at collusive businesses with counterfeit credit cards or credit cards that were fraudulently opened, selling goods purchased with those lines of credit for profit, and the falsification of documents to “clean” the credit of account holders in whose names the lines of credit were opened.
As the owner and operator of two of the collusive businesses used by the P.A.B. to facilitate the credit card fraud scheme, MOURADIAN used credit cards that had been fraudulently obtained to run sham charges for which no legitimate goods or services were provided in exchange. He also provided personal identifying information of individuals that he knew to P.A.B. members, who used that information to fraudulently obtain additional credit cards that were used in furtherance of the fraud scheme.
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In addition to his prison term, MARUTYAN, 33, of Brooklyn, New York, was ordered to pay restitution of $4,258.999.79 and forfeiture of $4,258.999.79. MOURADIAN, 40, of Hollywood, Florida, was ordered to pay restitution of $517,502.00 and forfeiture of $50,190.00. In addition to MARUTYAN and MOURADIAN, five other co-defendants have pled guilty and been sentenced, and one other co-defendant has pled guilty but has not yet been sentenced, as set forth below.
Mr. Williams praised the outstanding work of the New York Field Office of the Federal Bureau of Investigation’s Eurasian Organized Crime Squad, as well as the FBI’s New Jersey, Los Angeles, and Miami offices, Homeland Security Investigations, the New York City Police Department, the United States Postal Inspection Service, and United States Customs and Border Protection.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The prosecution of this case is being handled by the Office’s Illicit Finance & Money Laundering Unit. Assistant U.S. Attorney Emily Deininger is in charge of the prosecution.
DEFENDANT
CHARGE OF CONVICTION
SENTENCE
Narek Marutyan
Racketeering Conspiracy
6 Years
Albert Marutyan
Racketeering Conspiracy
51 Months
Davit Yeghoyan
Racketeering Conspiracy
45 Months
Mikayel Yeghoyan
Racketeering Conspiracy
41 Months
Saro Mouradian
Access Device Fraud
10 Months
Zaven Yerkaryan
Access Device Fraud
Pending
Vahe Hovhannisyan
Travel Act Money Laundering
364 Days
Gohar Illangyozyan
Making False Statements to Law Enforcement
Time Served
Last Conspirator Sentenced in Firearms and Drug Trafficking Conspiracy CaseRead the Press Release
United States Attorney Susan Lehr announced that Alexis Bernal Lopez, 24, of Omaha, Nebraska, was sentenced on March 14, 2024, in federal court in Omaha for his participation in a firearms conspiracy in the furtherance of drug trafficking. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Bernal Lopez to 30 months’ imprisonment on the firearms charge and 60 months’ imprisonment on the use of the firearm in the furtherance of drug trafficking charge for a total of 90 months. There is no parole in the federal system. After Bernal Lopez’s release from prison, he will begin a 3-year term of supervised release.
Codefendant Rodolfo Falcon owned a house that was the central location for the distribution of marijuana, marijuana derivatives, and cocaine. Falcon rented that house out to several younger drug dealers including Kenneth Blair, Alexis Bernal-Lopez, and Keland Strong. The Federal Bureau of Investigation Safe Streets Task Force performed a search of the residence and recovered cocaine, marijuana, currency, drug paraphernalia, and several firearms. Falcon, who has a distinctive tattoo on his hand, was seen in photos posing with firearms. One of the firearms shown in the picture was recovered from the residence. Agents also located a stolen firearm and AR15 rifle.
At the time of the search, Blair was in the basement of the residence along with two apparent narcotics customers. Drugs and cash were also recovered from that location. Strong was located in an upstairs room that contained numerous firearms. Falcon lived on the main level of the home where agents recovered cash, cocaine. and personal identification documents. Evidence of significant marijuana distribution such as wrappers for large quantities of marijuana were also recovered. This, along with text messages between the group members revealed that the home was being used as a narcotics distribution hub and that Majok Bethow, Bernal-Lopez, Strong, and Blair all worked together to sell drugs, particularly marijuana to ‘serves’ (their code word for narcotics purchasers) and would drive each other to sales and work together to get the right types of THC cartridges and marijuana to customers.
On September 28, 2023, Bethow pleaded guilty to firearms conspiracy in the furtherance of drug trafficking and was sentenced on January 11, 2024, to 24 months’ imprisonment to run concurrently with a federal case charging him with possessing a machinegun.
On September 28, 2023, Blair pleaded guilty to firearms conspiracy and was sentenced December 21, 2023 to 21 months’ imprisonment.
On October 27, 2023, Falcon pleaded guilty to firearms conspiracy and possession of a firearm in furtherance of drug trafficking. He was sentenced on January 19, 2024 to 24 months’ imprisonment.
On November 17, 2023, Strong pleaded guilty to firearms conspiracy and possession of a firearm in furtherance of drug trafficking. He was sentenced on February 8, 2024 to 72 months’ imprisonment.
This case was investigated by the Federal Bureau of Investigation.
Las Vegas Man Sentenced to Prison for COVID-19 Relief Loan Scheme Committed While on Supervised ReleaseRead the Press Release
LAS VEGAS – A Las Vegas man was sentenced today by United States District Judge Cristina D. Silva to two and a half years in prison to be followed by three years of supervised release for devising a scheme to fraudulently obtain more than $550,000 in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) loan applications that the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents, at the time of the fraud scheme, Arian Anthony Bailey, 34, was serving a term of federal supervised release for felony drug and gun convictions. While on release, Bailey devised a scheme to defraud the SBA. As part of the scheme, Bailey submitted on behalf of businesses – including a home health services business – that did not exist loan applications that contained false information, including: (a) false revenue amounts for non-existent companies, and (b) false certifications that Bailey would spend the loan money on business expenses, such as payroll costs, interest on mortgages, rent, and utilities. He also provided fraudulent documentation in support of his loan applications. The loss caused by Bailey’s scheme was $46,731.39.
In addition to the prison term, Bailey was ordered to pay restitution in the amount of $46,731.39.
United States Attorney Jason M. Frierson for the District of Nevada, Special Agent in Charge Spencer L. Evans for the FBI, Western Region Special Agent in Charge Weston King for the Small Business Administration, Office of Inspector General (SBA OIG), and Special Agent in Charge Jon W. Ellwanger for the Western Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and the Consumer Financial Protection Bureau (FRB-CFPB OIG) made the announcement.
The case was investigated by the FBI, the SBA OIG, and the FRB-CFPB OIG. Assistant United States Attorney Kimberly Frayn prosecuted the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Kennewick Drug Trafficker Sentenced to Prison for Possessing More Than a Dozen WeaponsRead the Press Release
Richland, Washington - Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that Kyle Keith Trapp age 61, of Kennewick, Washington, was sentenced after pleading guilty to one count of Felon in Possession of a Firearm and Possession with Intent to Distribute Heroin. United States District Judge Mary K. Dimke imposed a sentence of 78 months imprisonment to be followed by 3 years of supervised release.
According to court documents and information presented at the sentencing hearing, on January 7, 2023, an assault victim arrived at a hospital in the Tri-Cities, bleeding and missing several teeth. He told law enforcement several individuals had beaten him and accused him of stealing drugs from Trapp.
Law enforcement obtained and executed a search warrant for Trapp’s residence. Investigators located 18 firearms including 5 shotguns, 8 rifles, and 5 handguns. Two of the weapons had unknown serial numbers, a third was a privately manufactured firearm or “ghost gun”. Officers located a quantity of ammunition and miscellaneous gun parts. Investigators also located approximately 300 grams of suspected heroin and substances used to mix with heroin for the purpose of distribution, 9 grams of suspected methamphetamine and various drug paraphernalia.
Trapp told detectives the assault and kidnapping happened at his residence, but he did not contact police because he had guns and drugs at his house. He also admitted to distributing heroin and trading guns for drugs. Furthermore, he told detectives he knew he was prohibited from possessing guns because of his prior felony.
“This case is an example of the culture of violence and dangerous behavior which surrounds drug distribution. Mr. Trapp had drugs, and more than a dozen illegal firearms, including a ghost gun, stashed at his house,” stated U.S. Attorney Waldref. “My office will continue to target violent offenders who threaten the safety of our communities.”
“Mr. Trapp knew he was barred from possessing firearms but demonstrated his complete disregard for the law and safety of his community.” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field office. “In addition to illegally possessing numerous weapons, he was distributing dangerous drugs into the community. I commend the work of our investigators and partners, whose hard work brought justice through putting this violent offender back in prison.”
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Rebecca Perez.
Kanawha County Man Pleads Guilty to Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Arthur Ray Elkins, 59, of Chesapeake, pleaded guilty today to distribution of 50 grams or more of a mixture and substance containing methamphetamine.
According to court documents and statements made in court, on March 6, 2023, Elkins sold 55.5 grams of methamphetamine to a confidential informant in Chesapeake.
Elkins is scheduled to be sentenced on July 11, 2024, and faces a mandatory minimum of five years and up to 40 years in prison, at least four years of supervised release, and a $5 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA) and the U.S. Route 119 Drug Task Force.
United States District Judge Irene C. Berger presided over the hearing. Assistant United States Attorney Samuel D. Marsh is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:24-cr-15.
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Justice Department and Federal Trade Commission File Comment with U.S. Copyright Office Supporting Renewal and Expansion of Exemptions Facilitating Consumers’ and Businesses’ Right to Repair Their Own ProductsRead the Press Release
The Justice Department’s Antitrust Division and Federal Trade Commission (FTC) have submitted a comment to the U.S. Copyright Office to advocate for regulations that would facilitate consumers’ and businesses’ right to repair their own products.
The Justice Department and FTC submitted the comment as the Copyright Office considers whether to recommend that the Librarian of Congress renew and expand temporary exemptions to the Digital Millennium Copyright Act’s (DMCA) prohibition against the circumvention of technology protection measures that control access to copyrighted content.
In their comment, the Justice Department and FTC said that renewing and expanding repair-related exemptions would promote competition in markets for replacement parts, repair and maintenance services, as well as facilitate competition in markets for repairable products. Promoting competition in repair markets benefits consumers and businesses by making it easier and cheaper to fix things they own. Expanding repair exemptions can also remove barriers that limit the ability of independent service providers — including small businesses and entrepreneurs — to provide repair services.
Manufacturers use technology protection measures to protect copyrighted works from theft and infringing uses, but these software locks can also be used to prevent non-infringing third-party repair, according to the Justice Department and FTC comment. For example, such measures can restrict access to computer maintenance hardware and software programs, leaving only original equipment manufacturers able to do maintenance and repair work. In their comment, the Justice Department and FTC say that by limiting access to the data and software needed for independent repair and maintenance, these technology protection measures can be used to squash competition for replacement parts, repair and maintenance, which ultimately limits consumers’ and businesses’ choices and raises costs.
The Justice Department has actively opposed repair restrictions that limit the ability of consumers and businesses to repair their own products. In a recently filed statement of interest in In re Deere & Co. Repair Services Litigation, 3:22-cv-50188 (N.D. Ill., 2023), the Antitrust Division stated clearly that “federal antitrust laws have long protected competition in aftermarkets,” such as markets for replacement parts and repair services by independent dealers.[1] The division has also brought cases to protect competition in markets for repair services or component parts, engaged in competition advocacy and provided technical assistance to Congress on proposed legislation that would promote the right to repair.
In their joint comment, the Justice Department and FTC expressed support for renewing, expanding and adding some specific DMCA exemptions. The agencies support renewing the current exemption related to computer programs that control devices designed primarily for use by consumers for diagnosis, maintenance or repair of the device and expanding it to include commercial and industrial equipment. In addition, they also support renewing an exemption related to the repair of motor vehicles and granting a new exemption to allow vehicle owners or independent repair shops to access, store and share vehicle operational data.
[1] Statement of Interest of the United States at 8, In re: Deere & Company Repair Services Antitrust Litigation, No. 3:22-cv-5018 (N.D.Ill. 2023). The district court recently denied the defendant’s motion for judgment on the pleadings, in part, citing the Division’s statement. The court’s reasoning acknowledged that the defendant plausibly has market power in the equipment market, and the difficulty of lifecycle pricing can support a repair aftermarket for purposes of determining harm to competition. Memorandum Opinion and Order at 39-49, In re: Deere & Company Repair Services Antitrust Litigation, No. 3:22-cv-5018 (N.D.Ill. 2023).
Jury finds Dayton men guilty on all counts in case involving murder of DEA task force officerRead the Press Release
DAYTON, Ohio – A federal jury has convicted two Dayton men on all counts in a case involving the 2019 death of Dayton Police Detective and DEA Task Force Officer Jorge DelRio.
Nathan Goddard, 44, was found guilty of murder. He and Cahke Cortner, 44, were also found guilty of multiple narcotics and firearms crimes. Goddard was found guilty of seven total counts and Cortner of four.
The verdict was announced today following a trial that began on Feb. 26 before U.S. District Judge Michael J. Newman.
“Task Force Officer Jorge DelRio dedicated his life to protecting the great people of Dayton and DEA will be forever grateful that his passion for narcotics enforcement led him to us,” said DEA Administrator Anne Milgram. “TFO DelRio was a mentor and coach to many in law enforcement, and so much more at home as a husband, a father, and a friend. Our hearts are heavy tonight after reliving the events of November 7, 2019, but more determined than ever to continue our mission of keeping Americans safe in his honor. We will never forget his sacrifice.”
“We stand with the DelRio family and our law enforcement partners, and we recognize that DEA Task Force Officer Jorge DelRio sacrificed his life to protect this community. We will never forget his ultimate sacrifice,” said U.S. Attorney Kenneth L. Parker. “This case is a reminder that, as public servants, law enforcement officers do a dangerous job every day. Today’s guilty verdicts should also serve as a reminder to perpetrators of violent crime that we see these matters through to the end and we will hold you accountable.”
“The Dayton Police Department is pleased to see that the jury has found Nathan Goddard and Cahke Cortner guilty in the tragic shooting of Detective Jorge DelRio,” said Dayton Police Chief Kamran Afzal. “This verdict marks a significant step towards closure for Detective DelRio's loved ones, our department, and our community. We extend our gratitude to the U.S. Attorney's Office for their diligent efforts throughout this case. It is imperative that those who inflict harm in our community are held accountable, and we anticipate that the sentencing will reflect this principle.”
“Today’s verdict clearly illustrates the resolve of the federal government, state and local law enforcement, to hold accountable anyone who chooses to undermine the rule of law. It also brings some semblance of closure to the DelRio family,” said DEA Detroit Special Agent in Charge Orville O. Greene. “TFO Jorge DelRio made the ultimate sacrifice serving Dayton, a city to which he dedicated more than 30 years of his life as a law enforcement professional. TFO DelRio’s courage and dedication to the City of Dayton, the State of Ohio and the country will never be forgotten.”
“While we all continue to mourn the death of Detective Jorge DelRio, this verdict is an important step forward, holding accountable those who are responsible for his death,” stated FBI Cincinnati Acting Special Agent in Charge Cheryl Mimura. “Detective DelRio is a hero who gave his life protecting the community and he will never be forgotten.”
“These individuals are responsible for the death of Detective Jorge DelRio, who was working to keep our community safe from dangerous drug traffickers,” stated Daryl S. McCormick, Special Agent in Charge of ATF’s Columbus Field Division. “As a Dayton Police Detective and DEA Task Force Officer, Det. DelRio was a selfless hero who gave his all, and ultimately his life, to protect the citizens of this nation. ATF is honored to have played a role in holding to account those responsible for Det. DelRio’s sacrifice. I hope this verdict brings some measure of closure to the family of Det. DelRio and sends a message to criminals that law enforcement will be relentless in our pursuit of justice.”
According to court documents and trial testimony, on Nov. 4, 2019, Goddard murdered Det. DelRio while Det. DelRio and others were executing a federal search warrant at 1454 Ruskin Road in Dayton.
During the execution of the search warrant, Det. DelRio and other officials announced themselves and entered the home at approximately 6:50pm. Det. DelRio descended the stairway to the basement of the residence, immediately came under gunfire from the basement, and was struck and killed.
As the government proved beyond a reasonable doubt at trial, from 2018 until November 2019, Goddard and Cortner participated in a narcotics conspiracy involving kilograms of fentanyl, cocaine and marijuana. The defendants kept firearms – including handguns fitted with laser sights – to protect the illegal drugs and their illicit proceeds.
In the residence they used, officials discovered 10 kilograms of fentanyl and cocaine, 50 to 60 pounds of marijuana, and more than $55,000 in cash.
Goddard and Cortner were originally charged in this case on Nov. 6, 2019, and were charged by superseding indictment in July 2022.
Goddard was convicted of murdering a federal law enforcement officer who was engaged in the performance of official duties, which is punishable by up to life in prison. He was also convicted of three counts of federal narcotics crimes (10 years up to life in prison), one count of intentionally killing someone while engaged in a drug crime (20 years up to life in prison), one count of discharging a firearm resulting in murder (10 years up to life in prison) and during a drug trafficking crime (10 years up to life in prison), and illegally possessing a firearm as a convicted felon (up to 10 years in prison).
Cortner was convicted of two counts of federal narcotics crimes (10 years up to life in prison), one count of participating in a drug trafficking crime that caused death (20 years up to life in prison), and one count of using a firearm during a drug trafficking crime.
Their co-defendant Lionel Combs III, 45, pleaded guilty just before the start of trial to maintaining a drug premises, a crime punishable by up to 20 years in prison.
Congress sets the minimum and maximum statutory sentences. Sentencing of the defendants will be determined by the Court at future hearings based on the advisory sentencing guidelines and other statutory factors.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Dayton Police Chief Kamran Afzal; Orville O. Greene, Special Agent in Charge, Drug Enforcement Administration (DEA); Cheryl Mimura, Acting Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); and Montgomery County Prosecutor Mat Heck, Jr. announced today’s verdict. U.S. Attorney Parker recognized the critical assistance of the Criminal Interdiction Team of Central Oklahoma (CITCO).
Deputy Criminal Chief Brent G. Tabacchi, Assistant United States Attorneys Amy M. Smith and Christina E. Mahy, and Special Assistant United States Attorney Erin Claypoole from the Montgomery County Prosecutor’s Office are representing the United States in this case.
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Jury Finds Lexington Couple Guilty of Fraudulently Obtaining COVID Relief LoansRead the Press Release
LEXINGTON, Ky. – Two Lexington residents, Kelly Harris, 64, and Neal Harris, 57, were found guilty on Thursday, by a federal jury sitting in Lexington, following a four-day trial, of eight counts of wire fraud, for obtaining Economic Injury Disaster Loans loans under false pretenses.
According to the evidence at trial, from May 5, 2020 through July 25, 2020, the Harrises submitted materially false applications to the Small Business Administration (SBA), to obtain Economic Injury Disaster Loans (EIDL), for five businesses they claimed were impacted by the COVID-19 pandemic. They obtained $357,600 in disaster relief funds from the SBA for three of the businesses. A local bank detected the fraud in August 2020 and returned the funds remaining in the business accounts.
“The pandemic had a destructive effect on countless businesses, which prompted Congress to appropriate public funds to help them stay open,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky. “When such funds get dissipated through fraud, that has two results: a theft of public funds and a shortcoming in the funds available to help those businesses who were supposed to receive it. The diligence and dedication of the bank and our law enforcement partners realized this result, and will hold these defendants accountable for their disgraceful conduct.”
United States Attorney Shier; Lesley Allison, Special Agent in Charge, United States Postal Inspection Service, Pittsburgh Field Division; and Kelly K. Moening, Special Agent in Charge, Treasury Inspector General for Tax Administration, Great Lakes Field Division, jointly announced the jury’s verdict.
The investigation was conducted by the USPIS and Treasury Inspector General for Tax Administration. This case is being prosecuted on behalf of the United States by Assistant U.S. Attorney Kate Smith.
The Harrises are scheduled to appear for sentencing on July 1, 2024. They each face up to 20 years in prison. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal sentencing statutes before imposing a sentence. The Harris’ also face potential fines, a forfeiture money judgment, and a judgment of restitution, as ordered by the Court.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Joint Operation Targets Las Cruces Based Drug Trafficking OrganizationRead the Press Release
ALBUQUERQUE, N.M. – Today, Alexander M.M. Uballez, United States Attorney for the District of New Mexico, Raul Bujanda, Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, and Chief Jeremy Story, Las Cruces Police Department, announced the results of a coordinated enforcement operation in Las Cruces.
According to the search warrant affidavit, the FBI and the Las Cruces/Dona Ana County Metro Narcotics Agency were investigating the distribution of methamphetamine out of the Desert Lodge Motel on West Picacho Avenue in Las Cruces. In February and March of 2024, agents orchestrated controlled buys at the motel.
On March 12th, agents executed the search warrant and seized fentanyl, methamphetamine and a firearm from the motel.
The federal search was conducted in conjunction with five other New Mexico state search warrants executed by the Las Cruces Police Department. As a result of the operation, six individuals were arrested on state charges.
“We stand with our local partners to confront drug trafficking at every level,” said U.S. Attorney Uballez. “Through strong partnerships and close collaboration, we will bring justice and peace to our streets.”
"Collaborative law enforcement efforts will continue to identify and disrupt drug trafficking organizations bringing violence to our streets," said FBI Special Agent in Charge Raul Bujanda. “Investigations like this prove the essential value of strong law enforcement partnerships and working together to meet a common goal.”
“This operation is a visible reminder of the amazing work that is being done between local, state, and federal agencies every day to address the violence and crime in our communities,” said LCPD Chief Jeremy Story. “These efforts make a difference in our city, and we will continue to work together to make Las Cruces and New Mexico safer.”
The Las Cruces Resident Agency of the FBI Albuquerque Field Office investigated this case in collaboration with the Las Cruces Police Department. Assistant U.S. Attorney Maria Armijo is assisting with the investigation.
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Inmate Sentenced to Prison for Possessing Weapon at FCI BeckleyRead the Press Release
BECKLEY, W.Va. – Dana Stewart, 30, an inmate at the Federal Correctional Institution (FCI) Beckley, was sentenced today to one year and eight months in prison, to be followed by three years of supervised release, for possession of a weapon by an inmate at a federal prison.
According to court documents and statements made in court, on September 30, 2022, Stewart struck another inmate with a handcrafted weapon, a lock attached to a sock. FCI Beckley staff witnessed the incident and recovered the weapon afterward. Stewart admitted to possessing a prohibited item that was designed and intended to be used as a weapon.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Prisons.
United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Timothy D. Boggess 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-55.
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Inmate Sentenced to Prison for Possessing Weapon at FCI BeckleyRead the Press Release
BECKLEY, W.Va. – Dana Stewart, 30, an inmate at the Federal Correctional Institution (FCI) Beckley, was sentenced today to one year and eight months in prison, to be followed by three years of supervised release, for possession of a weapon by an inmate at a federal prison.
According to court documents and statements made in court, on September 30, 2022, Stewart struck another inmate with a handcrafted weapon, a lock attached to a sock. FCI Beckley staff witnessed the incident and recovered the weapon afterward. Stewart admitted to possessing a prohibited item that was designed and intended to be used as a weapon.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Prisons.
United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Timothy D. Boggess 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-55.
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Hyattsville Man Pleads Guilty to Possession with Intent to Distribute Fentanyl and Cocaine and to Being a Felon in Possession of a Firearm and AmmunitionRead the Press Release
Greenbelt, Maryland – Garrison Thomas, age 41, of Hyattsville, Maryland, pleaded guilty today to possession with intent to distribute controlled substances and for being a felon in possession of a firearm and ammunition.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) Baltimore Field Division; and Chief Malik Aziz of the Prince George’s County Police Department (“PGPD”).
According to his guilty plea, on December 27, 2022, Thomas was the passenger in a vehicle that was stopped by PGPD officers for having expired Virginia registration tags. As officers approached the vehicle, they detected the odor of marijuana emanating from the vehicle and asked the driver and Thomas to exit the vehicle. Thomas was asked to put his hands on top of the car and as an officer attempted to pat him down a struggle ensued. During the struggle, Thomas shed his coat and ran from the scene, followed by PGPD officers. Another office picked up Thomas’ coat and recovered a 9mm pistol loaded with approximately 12 rounds of 9mm ammunition from the coat.
Thomas was apprehended and arrested. In the car, law enforcement located a magazine loaded with 10 rounds of 9mm ammunition in the vehicle and a digital scale with suspected cocaine residue. A search of Thomas recovered approximately $328 in cash, approximately 1.138 grams of para-fluorofentanyl; an open plastic bag corner containing approximately 4.840 grams of crack cocaine; two knotted plastic bag corners containing approximately 2.906 grams of powder cocaine, and approximately .545 grams of loose powder and crack cocaine.
Thomas admitted that the firearm, ammunition, magazine and cash constituted proceeds of his drug trafficking activity, or were used or intended to be used, to facilitate Thomas’s drug offense. Further, Thomas knew that he had been convicted of a felony and was prohibited from possessing a firearm and ammunition.
Thomas faces a maximum sentence of 20 years in federal prison for possession with intent to distribute controlled substances and a maximum sentence of 15 years in federal prison for being a felon in possession of a firearm and ammunition. U.S. District Judge Deborah K. Chasanow has scheduled sentencing for July 19, 2024 at 2:00 p.m.
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.
United States Attorney Erek L. Barron commended the ATF and PGPD for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Dawn M. Ellison and Kelly O. Hayes, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psn and https://www.justice.gov/usao-md/community-outreach.
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Human Smuggling Investigation Results in Seizure of over $1 Million and 90 Months in Prison for RingleaderRead the Press Release
TUCSON, Ariz. – Martin Garcia-Velazquez, 42, of San Antonio, Michoacan, Mexico, was sentenced last week by United States District Judge Scott H. Rash to 90 months in federal prison, followed by 36 months of supervised release, for his leadership role in a criminal conspiracy to transport and harbor at least 1,000 undocumented noncitizens over several years. Judge Rash also ordered Garcia-Velazquez to pay a $5,000 mandatory special assessment in compliance with the Justice for Victims of Trafficking Act of 2015 (JVTA), bipartisan legislation aimed at increasing services for survivors of human trafficking and strengthening law enforcement. Garcia-Velazquez pleaded guilty on September 20, 2023, to Conspiracy to Transport and Harbor Illegal Aliens for Profit.
Garcia-Velazquez, also known as Jorge Espino-Garcia and by the nickname “Tucan,” admitted that he organized the transportation of undocumented noncitizens from the Mexico border to houses in and around Phoenix.
As a result of their multi-year investigation, HSI agents seized and forfeited from organization members over $1 million; five firearms, including an SKS 7.62 x 39mm semi-automatic rifle, with accompanying magazines and ammunition; and five vehicles.
Garcia-Velazquez’s co-conspirators were previously sentenced. Jesus Torres-Aguilera pleaded guilty to Conspiracy to Transport and Harbor Illegal Aliens for Profit and Conspiracy to Launder Monetary Instruments. Judge Rash sentenced him on October 24, 2023, to a prison term of time served, equivalent to approximately 23 months, to be followed by 36 months of supervised release. Judge Rash also ordered Torres-Aguilera to pay the $5,000 mandatory special assessment in compliance with the JVTA. Elmer Rene Del Cid Santos pleaded guilty to Conspiracy to Transport and Harbor Illegal Aliens for Profit. Judge Rash also sentenced him on October 24, 2023, to 18 months in prison, followed by 36 months of supervised release. A third individual, Angelico Roa-Joachin, pleaded guilty to Conspiracy to Transport and Harbor Illegal Aliens for Profit and Reentry of a Removed Alien. United States District Judge Jennifer G. Zipps sentenced Roa-Joachin to 78 months in prison.
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.
This prosecution also resulted from the coordinated efforts of Joint Task Force Alpha (JTFA). The U.S. Attorney’s Office for the District of Arizona is part of JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security, to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The Task Force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime.
Homeland Security Investigations - Douglas conducted the investigation in this case with assistance from the Homeland Security Investigations offices in Charlotte, North Carolina, Huntsville, Alabama, and Atlanta, Georgia; Customs and Border Protection’s United States Border Patrol; the Drug Enforcement Administration in Sierra Vista; the Georgia Bureau of Investigation, the Clayton County Police Department, and the Fulton County Sheriff’s Office. Assistant U.S. Attorney, Michael R. Lizano, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-21-02715-SHR-LCK
RELEASE NUMBER: 2024-031_Garcia-Velazquez# # #
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.Gun-Toting Cooler-Crawler Sentenced to 28 Years and 1 Day after Robbing Several Walgreens in Metro DetroitRead the Press Release
DETROIT – A Detroit resident was sentenced to 28 years and 1 day in federal prison following his convictions for the armed robberies and attempted armed robbery of five Walgreens in Wayne, Oakland, and Macomb Counties in 2018 and 2019, United States Attorney Dawn N. Ison announced today.
Ison was joined in the announcement by Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan.
Mario Keeream Jackson, age 35, of Detroit, was convicted by a jury in May 2023 of four counts of Hobbs Act Robbery, one count of Attempt-Hobbs Act Robbery, one count of Robbery of a DEA Licensed Premises, and five firearms counts. Jackson, who at the time of the robberies was on parole with the Michigan Department of Corrections for a prior firearm conviction, used a semi-automatic handgun with an extended magazine to rob Walgreens located in Oak Park, Dearborn Heights, Royal Oak, and Warren. During the robberies, Jackson stole over $18,000 in cash and over 5000 prescription opioid pills. Jackson attempted to rob a fifth Walgreens in Southfield, but the employees were able to escape the store before Jackson could access the store safe. During all the robberies, Jackson gained access to the back area of the stores by crawling through the coolers located in the stores. In total, Jackson held nine Walgreens employees at gunpoint during the robberies. Jackson was arrested on May 2, 2019, when law enforcement executed a search warrant at Jackson’s girlfriend’s residence in Detroit where Jackson was living. During the search, agents recovered the firearm Jackson used to commit the robberies.
“This defendant wreaked havoc in our community for more than five months, committing a string of armed robberies against innocent victims. Keeping our communities safe from this type of violence is at the core of DOJ’s mission,” said U.S. Attorney Ison.
"I would like to thank the members of our Oakland County Gang and Violent Crime Task Force for their hard work and our partners for their collaborative efforts in this case,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “This sentence serves as a warning to violent criminals and demonstrates the FBI’s and its law enforcement partners’ dedication to ensuring safer communities.”
This prosecution is a part of the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) program. PSN is the centerpiece of the Justice Department’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through the PSN program a broad spectrum of law enforcement and community stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs to reduce violence crime and gun violence, and to make our local neighborhoods safer for everyone.
The case was investigated by special agents and task force officers of the Federal Bureau of Investigation’s Oakland County Gang and Violent Crime Task Force. Assisting in the investigation were special agents from the Bureau of Alcohol, Tobacco, Firearms, and Explosives and officers from the Oak Park, Dearborn Heights, Southfield, Royal Oak, and Warren Police Departments.
Grand Jury Indicts District Teen for Armed Carjacking and Other OffensesRead the Press Release
WASHINGTON – Alvin Halmon-Daniels, now 18, of Washington, D.C., was indicted by a Superior Court grand jury for armed carjacking and other charges related to a June 16, 2023 offense in Northeast Washington, D.C., announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith of the Metropolitan Police Department (MPD). On March 13, the grand jury returned an indictment charging the defendant, who was 17-years-old at the time of the carjacking, as an adult under Title 16.
In addition to armed carjacking, Halmon-Daniels is charged with robbery while armed, and two counts of possession of a firearm during a crime of violence. According to documents filed in court, at approximately 11:20 am on June 16, an unidentified co-conspirator drove his car in front of the complainant’s sedan in the 200 block of 13th Street NE. Halmon-Daniels got out of the co-conspirator’s car, armed with a handgun, and ordered the complainant to leave her property and get out of her car. Halmon-Daniels then drove off with the complainant’s vehicle and property, with his co-conspirator following in the suspect vehicle. MPD officers responded immediately, and tracked the carjacked vehicle to Southeast D.C., where it had crashed, and apprehended Halmon-Daniels nearby. The victim subsequently identified Halmon-Daniels as the gunman. At the time of his arrest on June 16th, Halmon-Daniels still had some of the victim’s property in his pockets.
The Court released the defendant after the preliminary hearing.
This case is being investigated by the Metropolitan Police Department. It is being prosecuted by Assistant U.S. Attorney John Parron of the U.S. Attorney’s Office for the District of Columbia.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Four U.S. Postal Service Employees Indicted and Arrested for Delay of Election MailRead the Press Release
SAN JUAN, Puerto Rico – On March 7, 2024, a federal grand jury in the District of Puerto Rico returned four indictments charging four U.S. Postal Service (USPS) employees assigned to the 65th Infantry Postal Office in San Juan, Puerto Rico with delay of mail in violation of Title 18, United States Code, Section 1703(a), announced W. Stephen Muldrow, United States Attorney for the District of Puerto Rico.
The USPS is responsible for transporting and delivering absentee and early voter ballots in Puerto Rico, which is recognized by the USPS as election mail. In September 2022, the Puerto Rico State Elections Commission (“Commission”) conducted a Special Election for the San Juan, Puerto Rico District 1 Senate vacancy. As part of the Commission’s services provided for the Special Election, in August 2022, the Administrative Board of Absent Voting and Early Voting (“Junta Administrativa de Voto Ausente y Voto Adelantado” (“JAVAA”)) mailed ballots to certain eligible voters in Puerto Rico, via USPS certified mail service.
Four individual mail carriers, employed by the USPS, delayed and did not deliver a total of forty pieces of election mail from the September 2022 Special Election to domiciled active voters in San Juan. More specifically:
- On August 5, 2022, Christian Benny Díaz-Nieves, a postal Carrier Technician, unlawfully delayed and did not deliver twenty-two pieces of election mail;
- On August 6, 2022, Jonathan David Javier-Pinango, a postal City Carrier Assistant 1, unlawfully delayed and did not deliver twelve pieces of election mail;
- On August 5, 2022, Michael Negrón-Cabrera, a postal City Carrier Assistant 1, unlawfully delayed and did not deliver one piece of election mail; and
- From August 5, 2022 through August 15, 2022, María De Lourdes Martínez-Garriga, a postal City Carrier, unlawfully delayed and did not deliver five pieces of election mail.
Each USPS employee was charged separately with unlawful delay of mail and has not been charged with participating in a conspiracy or a scheme to impact the Special Election. The U.S. Postal Service Office of Inspector General (USPS-OIG) is investigating the case with the Federal Bureau of Investigation (FBI), consistent with the mission to ensure efficiency, accountability, and integrity in the U.S. Postal Service.
“Our democracy depends on the right of eligible voters to cast a ballot and to have that ballot counted. If voters do not receive their ballots, they cannot execute one of our fundamental rights as United States citizens, the right to vote,” said United States Attorney Muldrow. “The U.S. Attorney’s Office along with our law enforcement partners will continue to protect this fundamental pillar of our society.”
“Voting allows individuals to have a say in the decisions that affect their lives and communities, and it is a powerful tool for promoting social change. Without the right to vote, marginalized groups may be further excluded from the political process, perpetuating inequality and injustice, which is why equal access is crucial and why we have this option to receive the ballot by mail,” said Joseph González, Special Agent in Charge of the FBI’s San Juan Field Office. “Public officials across all government agencies must understand that they are held to a higher standard. The people depend on us, and those unwilling to execute their duties only hurt the communities we are meant to serve. I want to thank the Puerto Rico State Elections Commission for quickly reporting this and our valued colleagues at the US Postal Service OIG, who never hesitate to do the right thing.”
The defendants are scheduled for their initial court appearances today before U.S. Magistrate Judge Giselle López-Soler of the U.S. District Court for the District of Puerto Rico. If convicted, they face a maximum penalty of five years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorney Michele Colón and Special Assistant U.S. Attorney Tania Salas-De Jesús from the USPS-OIG are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Former Social Security Administration Employee Indicted and Arrested for $1.8 Million Theft of Social Security FundsRead the Press Release
SAN JUAN, Puerto Rico – On March 6, 2024, a federal grand jury in the District of Puerto Rico returned a 17-count indictment charging Myrna Faria, a.k.a. Myrna Oliveras-Santiago, with theft of government funds in violation of 18 U.S.C. § 641, mail fraud in violation of 18 U.S.C. § 1341, misuse of Social Security numbers in violation of 41 U.S.C. § 408(a)(8), and aggravated identity theft in violation of 18 U.S.C. § 1028A, announced W. Stephen Muldrow, United States Attorney for the District of Puerto Rico.
According to court documents, Faria was employed by the Social Security Administration (SSA) from approximately 1991 through 2019 as a “Social Insurance Specialist” and “Claims Specialist” working in the Workload Support Unit in San Juan, Puerto Rico. From March 2012 through March 2024, Faria embezzled and stole SSA funds, namely Retirement Insurance Benefits, Survivors Insurance Benefits and Auxiliary Benefit payments, to which she knew she was not entitled. In total, Faria stole approximately $1,812,455.10.
Faria utilized her position within SSA to submit false claims on behalf of others, using the identity of individuals she believed to be deceased. She then approved those false claims and submitted her own bank and address information to fraudulently receive the corresponding SSA beneficiary proceeds. Faria proceeded to withdraw, transfer, and spend the money from the accounts that fraudulently obtained the SSA funds. Over the span of twelve years, Faria submitted and approved 13 fraudulent claims. A total of 10 fraudulent claims were still active and receiving funds as of the date of the Indictment.
“It is especially egregious when individuals that hold positions of public trust engage in criminal activity,” said W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. “The defendant charged in this case allegedly abused the trust placed in her by the Social Security Administration and the public. The U.S. Attorney’s Office will continue to work with all law enforcement agencies to safeguard the integrity of federal government institutions and to bring corrupt officials to justice.”
“Ms. Faria exploited her position with the Social Security Administration for her own personal gain stealing over $1.8 million. Evidence obtained in this investigation revealed that Ms. Faria fabricated retirement insurance benefits, divorced or widowed survivors, and auxiliary claims for 13 individuals who were deceased, or who she expected to be deceased. Ms. Faria then caused the fraudulent benefit payments to be made by SSA and directed all SSA payments to herself,” said Sharon MacDermott, Special Agent in Charge for the Social Security Administration, Office of the Inspector General. “We will continue to work with SSA to identify fraudulent benefits payments. I want to thank the FBI and the U.S. Postal Inspection Service for its efforts in this investigation and the U.S. Attorney’s Office for prosecuting this case.”
“The subject in this case used her position as an employee of the Social Security Administration to create false benefits claims using social security numbers for deceased individuals, as well as other tactics, and in doing so, she stole almost 2 million dollars. Even after she retired, she continued to enrich herself illegally. This is embarrassing and despicable conduct by a public official, someone called to serve the people, not take from them,” said Joseph González, Special Agent in Charge of the FBI San Juan Field Office. “No one is above the law, and even if you think you can get away with it, we will find out sooner or later, and you will face consequences. I want to thank our colleagues from the Social Security Administration’s OIG, who did a fantastic job analyzing an enormous amount of data to detect this scheme, and the US Postal Inspector’s Service for assisting with this investigation.”
The Social Security Administration Office of Inspector General, the Federal Bureau of Investigation, and the US Postal Inspection Service are investigating the case with the assistance from the Puerto Rico Police Bureau.
If convicted, the defendant faces the following maximum penalties: 10 years of imprisonment for Theft of Government Property; 20 years of imprisonment for Mail Fraud; 5 years of imprisonment for misuse of Social Security numbers; and a mandatory consecutive sentence of at least two years for the aggravated identity theft charges. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Special Assistant U.S. Attorney Vanessa D. Bonano-Rodríguez is prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Former Santa Cruz Resident Convicted of Threatening Two FBI AgentsRead the Press Release
SAN JOSE – A federal jury has convicted Brian Broderick of threatening two FBI agents following a one week-trial before the Hon. Edward J. Davila, United States District Judge, announced United States Attorney Ismail J. Ramsey and Federal Bureau of Investigation (FBI) Special Agent in Charge Robert K. Tripp. The jury convicted the defendant on one count of transmitting a communication containing a threat to injure, in violation of 18 U.S.C. § 875(c), rendering its verdict on March 8, 2024.
The evidence at trial showed that Broderick, 32, formerly of Santa Cruz, California, contacted the FBI a number of times in 2021 and 2022 to report several matters, including allegations concerning his former employer. On May 10, 2022, an FBI special agent sent Broderick an email to follow up on his reports. Beginning on that date, and lasting through June 1, 2022, Broderick sent a series of escalating and derogatory emails to multiple FBI agents, including the special agent who had responded to Broderick’s previous reports. On June 1, 2022, Broderick sent an email telling two FBI agents he was “literally hunting” the “idiot traitor” FBI agent who had initially reached out to him. Broderick went on to warn the FBI: “You act on this in . . . 24 hours, or I go beyond taking your livelihood.” On the same day, the defendant posted on his YouTube channel a video he filmed of himself surveilling a local FBI office.
Judge Davila scheduled a sentencing hearing for June 24, 2024. Broderick faces a maximum sentence of five years in prison. However, his sentence will be imposed only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Kenneth Chambers and Thomas Colthurst are prosecuting the case with the assistance of Laurie Worthen, Elise Etter, Kay Konopaske, and Kathleen Turner. This prosecution is the result of an investigation by the FBI.
Former Pearl Police Officer Pleads Guilty to Civil Rights OffenseRead the Press Release
Jackson, Miss. – A former police officer with the Pearl, Mississippi Police Department, pleaded guilty today to one count of acting under color of law to deprive a person of his civil rights.
According to court documents and information presented in court, Michael Christian Green, 26, while on duty as a certified law enforcement officer with the Pearl Police Department, forced an arrestee in custody to lick urine from the floor of a holding cell within the police department.
Green pleaded guilty to Deprivation of Civil Rights Under Color of Law in violation of Title 18 United States Code Section 242. He is scheduled to be sentenced on June 12, 2024, and faces a maximum penalty of 12 months in prison. A federal magistrate judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and Acting Special Agent in Charge Maher Dimachkie of the FBI’s Jackson Field Office made the announcement.
This case was investigated by the Jackson Division of the FBI.
Assistant U.S. Attorney Samuel Goff is prosecuting the case.
If you or someone you know has been the victim of abuse by a law enforcement officer, call the FBI hotline at 1-800-CALL-FBI, email tips.fbi.gov or call the FBI Jackson Field Office at 601-948-5000
Former Kentucky Federal Corrections Lieutenant Sentenced for Violating the Civil Rights of an Inmate and Writing False ReportsRead the Press Release
PIKEVILLE, Ky. – A former Federal Bureau of Prisons (FBOP) lieutenant, Ryan O. Elliott, 47, was sentenced today to one year and one day in prison and one year of supervised release after pleading guilty to assaulting one inmate and writing a false report about the assault of a second inmate in an unrelated incident.
Two other former corrections officers at U.S. Penitentiary Big Sandy in Kentucky – Samuel Patrick, 41, and Clinton Pauley, 42 – previously pleaded guilty to related offenses and were sentenced to 36 and 40 months in prison, respectively. Another prison official, former Lieutenant Kevin Pearce, 39, was convicted of related offenses after a six-day trial and was sentenced to 66 months in prison.
“While he was a lieutenant in a federal prison, this defendant violently assaulted an inmate and then worked with other officers to cover up the assault of a second inmate,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Supervisors should lead by example — not abuse their authority by using excessive force against inmates entrusted to their care and by helping colleagues conceal misconduct. The Justice Department will vigorously pursue law enforcement officers at the local, state or federal level who commit, condone or enable violations of constitutional rights.”
“Not only did Elliott have a profound responsibility to protect people in his custody and care, he had an even greater one — to ensure that those under his supervision also protected them,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “He fell well short on both counts. Instead of honoring his obligations, he acquiesced in the abuse by his subordinates and then tried to cover it up. He now faces the consequences of this betrayal of the public trust placed in him.”
“Rather than perform his supervisory responsibilities and ensure that FBOP staff complied with the law, former Lieutenant Elliot joined with other FBOP staff to assault an inmate and to lie about a separate FBOP staff assault of an inmate,” said Special Agent in Charge William J. Hannah of the Justice Department’s Office of the Inspector General (DOJ-OIG) Midwest Region. “Today’s sentencing sends an important message to FBOP supervisors that they will be held to account for such egregious acts.”
According to court documents and evidence introduced at the trial of Pearce, Elliott, who at that time held the rank of lieutenant, joined Pauley and other officers in assaulting one inmate and, in a separate incident, wrote false reports about the assault of another inmate. On March 26, 2021, Elliott was present when an inmate was taken to a room with no cameras following a non-violent violation of prison rules. When another officer began to assault the inmate, Elliott assisted by tackling the inmate to the ground and punching him in the body. Elliott continued to assault the inmate, and Pauley joined. On or about April 30, 2021, Elliott was asked by Pearce to help cover up an assault against another inmate who had been beaten by Pauley and Patrick. Elliott, who had not been present for that assault, agreed to help Pearce cover up the assault by writing a false report claiming that he had been there and had seen no assault.
DOJ-OIG and the FBI Louisville Field Office investigated the case.
Trial Attorneys Thomas Johnson and Tara Allison of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Zachary Dembo for the Eastern District of Kentucky prosecuted the case.
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Former Kentucky Federal Corrections Lieutenant Sentenced for Violating the Civil Rights of an Inmate and Writing False ReportsRead the Press Release
A former Federal Bureau of Prisons (FBOP) lieutenant, Ryan O. Elliott, 47, was sentenced today to one year and one day in prison and one year of supervised release after pleading guilty to assaulting one inmate and writing a false report about the assault of a second inmate in an unrelated incident.
Two other former corrections officers at U.S. Penitentiary Big Sandy in Kentucky – Samuel Patrick, 41, and Clinton Pauley, 42 – previously pleaded guilty to related offenses and were sentenced to 36 and 40 months in prison, respectively. Another prison official, former Lieutenant Kevin Pearce, 39, was convicted of related offenses after a six-day trial and was sentenced to 66 months in prison.
“While he was a lieutenant in a federal prison, this defendant violently assaulted an inmate and then worked with other officers to cover up the assault of a second inmate,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Supervisors should lead by example — not abuse their authority by using excessive force against inmates entrusted to their care and by helping colleagues conceal misconduct. The Justice Department will vigorously pursue law enforcement officers at the local, state or federal level who commit, condone or enable violations of constitutional rights.”
“Not only did Elliot have a profound responsibility to protect people in his custody and care, he had an even greater one — to ensure that those under his supervision also protected them,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “He fell well short on both counts. Instead of honoring his obligations, he acquiesced in the abuse by his subordinates and then tried to cover it up. He now faces the consequences of this betrayal of the public trust placed in him.”
“Rather than perform his supervisory responsibilities and ensure that FBOP staff complied with the law, former Lieutenant Elliot joined with other FBOP staff to assault an inmate and to lie about a separate FBOP staff assault of an inmate,” said Special Agent in Charge William J. Hannah of the Justice Department’s Office of the Inspector General (DOJ-OIG) Midwest Region. “Today’s sentencing sends an important message to FBOP supervisors that they will be held to account for such egregious acts.”
“Our commitment to protecting citizens’ civil rights does not end at the gates of a prison. There is simply no place in our justice system for law enforcement officers, especially supervisors, who are willing to assault those under their protection and then cover up their misdeeds,” said Special Agent in Charge Michael E. Stansbury of the FBI Louisville Field Office. “Our society trusts law enforcement to provide equal protection for the incarcerated. Breaching that trust has consequences, and FBI Louisville and its partners will work to hold those accountable who choose to abuse the power afforded them.”
According to court documents and evidence introduced at the trial of Pearce, Elliott, who at that time held the rank of lieutenant, joined Pauley and other officers in assaulting one inmate and, in a separate incident, wrote false reports about the assault of another inmate. On March 26, 2021, Elliott was present when an inmate was taken to a room with no cameras following a non-violent violation of prison rules. When another officer began to assault the inmate, Elliott assisted by tackling the inmate to the ground and punching him in the body. Elliott continued to assault the inmate, and Pauley joined. On or about April 30, 2021, Elliott was asked by Pearce to help cover up an assault against another inmate who had been beaten by Pauley and Patrick. Elliott, who had not been present for that assault, agreed to help Pearce cover up the assault by writing a false report claiming that he had been there and had seen no assault.
DOJ-OIG and the FBI Louisville Field Office investigated the case.
Trial Attorneys Thomas Johnson and Tara Allison of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Zachary Dembo for the Eastern District of Kentucky prosecuted the case.
Former Connecticut Resident Pleads Guilty to Tax EvasionRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Harry T. Chavis, Jr., Special Agent in Charge of IRS Criminal Investigation in New England, today announced that DANNY D. BEEMAN, 66, of Beverly Hills, Florida, and a former resident of Connecticut, waived his right to be indicted and pleaded guilty yesterday before U.S. District Judge Victor A. Bolden in New Haven to tax evasion.
According to court documents and statements made in court, Beeman claimed to be the originator and developer of computer software technology capable of compressing electronically-stored data. In 2012, Beeman and other individuals formed a Connecticut company, identified in court documents as “Company-A,” to allow Beeman to develop the compression software. From 2013 to 2017, Company-A paid Beeman approximately $316,000 to develop the software. During this time, Beeman submitted fake invoices to Company-A seeking reimbursement for purchases of computer-related equipment that he never purchased. Beeman obtained approximately $2 million from Company-A through these fake invoices.
In total, from 2013 to 2017, Beeman received approximately $2.3 million from Company-A, all of which was taxable income. Beeman also had long-term capital gains income of approximately $1.5 million resulting from the sale of shares in Company-A. However, Beeman never filed tax returns for any of those years, resulting in a tax loss to the Internal Revenue Service of approximately $1,054,032.
Beeman faces a maximum term of imprisonment of 5 years. A sentencing date has not been scheduled.
Beeman is released pending sentencing.
This matter is being investigated by the Internal Revenue Service, Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Neeraj N. Patel.
Former Bethel Park Police Lieutenant Sentenced for Transporting Illegal Alien Within the United StatesRead the Press Release
PITTSBURGH, Pa. - A resident of Bethel Park, Pennsylvania, was sentenced in federal court on March 13, 2024, to three years of probation, a $2,000 fine, and 50 hours of community service following his conviction of transporting an illegal alien within the United States, United States Attorney Eric G. Olshan announced today.
United States District Judge Robert J. Colville imposed the sentence on Blake Thomas Babin, 60.
According to information presented to the Court in connection with Babin’s guilty plea, from October 20, 2022, through December 30, 2022, Babin—at the time, a lieutenant with the Bethel Park Police Department—provided funding to an 18-year-old Venezuelan female living in Colombia for her transportation from Colombia to the border between Mexico and the United States, so that she could cross illegally into the United States. After two unsuccessful attempts, the female was able to get through the border somewhere near El Paso, Texas, where Babin was waiting to transport her to Phoenix and then to Pittsburgh. Babin admitted that he met the female in Colombia, where she was working as a prostitute. Text exchanges between the two, obtained during the investigation, revealed, in part, that Babin helped smuggle the female into the United States and then transported her knowing that she illegally entered the country because he “loved her” and wanted her to help him “keep his house.”
“Blake Babin betrayed his sworn oath to uphold the law when he paid for a Venezuelan teenager’s transportation to the United States border, knowing that she would then attempt to enter the country illegally so that they could carry on a romantic relationship,” U.S. Attorney Olshan said. “When police officers violate federal criminal law, this office will work in partnership with federal, state, and local law enforcement to hold them accountable.”
Assistant United States Attorney Carolyn J. Bloch prosecuted this case on behalf of the government.
United States Attorney Olshan commended the Federal Bureau of Investigation, assisted by the Amtrak Police Department’s Pittsburgh Field Office and U.S. Customs and Border Protection, for the investigation leading to the successful prosecution of Babin.
Florida Man Arrested for $77 Million Tender Offer FraudRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and James Smith, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today the unsealing of an Indictment charging JONATHAN MOYNAHAN LARMORE with tender offer fraud and securities fraud in connection with LARMORE’s announcement of a fake tender offer to manipulate the stock price of WeWork, Inc. (“WeWork”). LARMORE is alleged to have announced a false $77 million tender offer for WeWork stock, news of which immediately led investors to buy WeWork stock at fraudulently inflated prices during after-hours trading, in an effort to drive up the value of his WeWork call options and shares. LARMORE was arrested this morning and will be presented in federal court later today in the Middle District of Florida. The case is assigned to U.S. District Judge Paul A. Engelmayer.
U.S. Attorney Damian Williams said: “Jonathan Moynahan Larmore's alleged actions strike at the heart of market integrity and investor confidence. By allegedly orchestrating a deceptive scheme involving a counterfeit tender offer, he purportedly preyed upon investors, artificially inflating the value of WeWork stock for personal enrichment. The charges leveled against Larmore highlight the profound implications of his alleged fraudulent conduct, emphasizing the imperative of accountability and transparency in our financial systems.”
FBI Assistant Director in Charge James Smith said: “Jonathan Larmore allegedly drafted a fraudulent press release announcing a fictitious tender offer to inflate WeWork stock prices, after personally investing in the company through call options. Thankfully, Larmore was unable to widely distribute the press release before the end of the trading day, which failed to increase the share price in time and caused Larmore’s options to expire rather than making him millions. As alleged, even though his scheme did not net him his desired profits, Larmore’s conduct artificially impacted the market and caused harm to other shareholders. This indictment reaffirms the FBI’s commitment to protecting our nation’s economic integrity by holding responsible those who manipulate the system for financial gain.”
As alleged in the Indictment:[1]
In or about the fall of 2023, LARMORE perpetrated a scheme to use a false and fraudulent tender offer to manipulate the stock price of WeWork, a co-working space company that was, at all relevant times, headquartered in New York, New York, and publicly traded on the New York Stock Exchange.
LARMORE executed his scheme in three steps. First, on or about October 6, 2023, LARMORE created Cole Capital Funds LLC (“Cole Capital”), a purported a real estate investment firm that was, in fact, merely a sham company. Second, on or about November 1, 2023, and November 2, 2023, LARMORE spent more than $775,000 buying tens of thousands of cheap, short-dated, out-of-the-money WeWork call options (the vast majority of which were set to expire on November 3, 2023 at 4:00 p.m. EDT) and hundreds of thousands of shares of WeWork common stock — the latter primarily because two of LARMORE’s brokerage firms did not authorize him to trade options, but did authorize him to buy equities. Third, on or about November 3, 2023, LARMORE caused a press release to be published announcing that Cole Capital proposed to acquire 51% of all outstanding shares owned by minority shareholders of WeWork at a more-than-700% premium in an all-cash offer worth more than $77 million. At the time, WeWork was on the verge of bankruptcy.
In fact, neither LARMORE nor Cole Capital had the intent or ability to execute the announced tender offer. Instead, LARMORE intended for news of the tender offer to fraudulently inflate WeWork’s share price and, thereby, to increase the value of LARMORE’s newly acquired WeWork call options and shares.
On or about November 3, 2023, at approximately 5:12 p.m. EDT, the press release about Cole Capital’s purported tender offer was published. Within approximately one minute of publication, in after-hours trading, WeWork’s share price quickly increased more than 70% from $.85 to $1.45, and continued to rise until 5:31 p.m. EDT, when the stock reached its high of $2.14, which was a more-than-150% increase over the stock price prior to the publication of the press release.
The WeWork call options LARMORE purchased could have made LARMORE millions of dollars if the news of LARMORE’s fraudulent tender offer had caused WeWork’s share price to increase significantly prior to the expiration of LARMORE’s options. Unfortunately for LARMORE, he mistimed how long it would take to properly format his press release and have it published. As a result of these delays, LARMORE’s fraudulent press release was not published—and WeWork’s share price did not accordingly rise—until approximately 5:12 p.m. EDT on or about November 3, 2023, which was about an hour after the vast majority of LARMORE’s WeWork call options had expired worthless at 4:00 p.m. EDT that day.
On the following Monday, November 6, 2023, WeWork filed for Chapter 11 bankruptcy protection. On or about November 10, 2023, the small number of remaining WeWork options LARMORE had purchased expired out of the money and worthless.
* * *
LARMORE, 51, of Punta Gorda, Florida, is charged with one count of tender offer fraud and one count of securities fraud, each of which carries a maximum sentence of 20 years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the outstanding work of the FBI. Mr. Williams also thanked the U.S. Securities and Exchange Commission, which filed a civil action against LARMORE on November 28, 2023, for its assistance and cooperation in the investigation.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Justin V. Rodriguez and Alex Rossmiller are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Financial analyst pleads guilty to $1.3M embezzlement schemeRead the Press Release
RICHMOND, Va. – A New York man pleaded guilty today to conspiracy to commit wire fraud for his part in embezzling over $1.3 million from his employer.
According to court documents, beginning in 2019, Luis Lee, 38, was the Senior Financial Analyst for a health services provider headquartered in Fredericksburg, Virginia. The company operates counseling and therapy programs, a foster care program, and programs focused on autism and intellectual and developmental disabilities. Lee was promoted to Treasury Manager in October 2022. As Senior Financial Analyst and Treasury Manager, Lee was responsible for monitoring the company’s bank accounts and payment processing, ensuring quality standards with third-party vendors, conducting risk and cash flow forecasting, and working with internal and external auditors, among other responsibilities.
In March 2020, Lee and a co-conspirator, the Chief Financial Officer (CFO) of the company, set up a fake vendor called JKemp Consulting LLC, and Lee opened a business checking account for JKemp. The CFO drafted a fraudulent engagement letter purporting to reflect an agreement between JKemp and the company to pay JKemp $100,000 per month in exchange for “various strategic and consulting services.” Beginning on March 26, 2020, the CFO drafted and submitted 12 fraudulent JKemp invoices for a total of $1,140,000, all of which his employees processed for payment in accordance with his instructions. Lee processed payments for some of the invoices, which he knew were fraudulent. Lee and the CFO divided the proceeds between themselves.
Lee and the CFO also bilked the company for $177,962 through a scheme to take advantage of a tuition reimbursement benefit. The company allowed employees to seek reimbursement for certain approved educational expenses for a maximum reimbursement of $5,250 per year. Between November 2020 and December 2022, the CFO drafted false documentation showing Lee’s purported enrollment in Hofstra University’s Master of Business Administration program. Though Lee was never enrolled in the program, Lee and the CFO caused the company to process the maximum reimbursement in 2020, 2021, and 2022. In November 2022, a final fraudulent reimbursement of $162,212 was processed.
Finally, in April 2022, the CFO directed an employee in his department to “pay out [Lee’s] entire vacation balance on the next payroll.” The employee processed the payment as directed, paying Lee approximately $6,000. The company’s policies authorized neither the directive to pay out Lee’s unused vacation hours nor Lee’s receipt of the funds.
In total, the conspirators misappropriated approximately $1,323,962 from the company.
Lee is scheduled to be sentenced on July 26. He faces a maximum penalty of 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after Senior U.S. District Judge Henry E. Hudson accepted the plea.
Assistant U.S. Attorneys Robert Day and Thomas A. Garnett are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3: 24-cr-30.
Federal Halfway House and Its President Sentenced for Wire Fraud and Making False StatementsRead the Press Release
ABINGDON, Va. – The former president and director of Secor Inc., a federal halfway house that contracted with the Federal Bureau of Prisons (BOP) to house inmates, was sentenced last week to 15 months in federal prison for making false statements and wire fraud. Secor, Inc. was sentenced to one year of probation.
Matthew Castle, 35, of Lebanon, Virginia, and Secor, Inc., through its counsel, pled guilty in November 2023 to one count of making materially false statements in a matter within the jurisdiction of the executive, legislative, or judicial branch of the United States, and one count of wire fraud.
Secor will serve a term of probation of one to five years. Additionally, Castle and Secor paid $208,105 in restitution, forfeited $40,000, and paid an additional $30,000 in fines.
“This sentence serves as another example to those doing business with the United States – if you commit fraud, you will be held accountable,” United States Attorney Christopher R. Kavanaugh said today. “As one of the first cases investigated internally by the United States Attorney’s Office and our financial fraud investigator, this marks the beginning of a new era for corporate criminal enforcement in the Western District of Virginia.”
According to court documents, Secor was a residential reentry center, commonly referred to as a “halfway house,” for inmates from the BOP who were nearing the end of their federal prison sentences.
In 2018, Secor entered into a contract with the BOP that allowed some of the offenders under the care of Secor to be assigned to “home confinement,” meaning those offenders resided at an approved residence not owned by Secor. BOP paid Secor one type of daily rate for offenders who resided at Secor’s facilities and a different monetary daily rate for those on home confinement.
Under the terms of the contract, Secor was required to outfit home confinement offenders with GPS monitoring equipment so the offenders’ whereabouts could be determined at all times. In addition, Secor personnel were required to personally visit each offender’s residence on at least a monthly basis to ensure the offender was living at the offender’s assigned residence, in a safe environment, and in accordance with applicable rules.
In fact, Secor did not outfit many of the home confinement offenders with GPS monitoring and did not conduct home visits as required. Nonetheless, Castle routinely completed documentation certifying that he had conducted such visits, and in an effort to make it appear that such visits had occurred when they had not, he would make notations such as “things were going well,” and the offender “had no questions or concerns to address at the time.”
Each month, Castle submitted fraudulent invoices to BOP for payment, and BOP issued payments based on their representations that Castle and Secor were providing home confinement services in accordance with the contract.
The case was investigated by the U.S. Attorney’s Office’s new Financial Fraud Investigator with assistance from the Russell County Sheriff’s Office and the Bureau of Prisons.
Assistant U.S. Attorneys Whit Pierce and Randy Ramseyer prosecuted the case.
Federal Grand Jury Indicts 6 Individuals on Drug and Gun ChargesRead the Press Release
FRESNO, Calif. — A federal grand jury returned a 12-count indictment, which was recently unsealed, charging Fresno residents Jose Duenas, 32, Hector Duenas, 26, Anthony Varela, 43, and Eduardo Mendoza Sanchez, 33, as well as a Los Angeles resident Adolfo Santa Cruz Alvarez, 22, and Mexican national Francisco Santa Cruz Alvarez, 26, with trafficking fentanyl, methamphetamine, cocaine, and illegally possessing firearms, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in July 2023, law enforcement officers executed a search warrant at Hector Duenas’s residence in Fresno and seized a loaded firearm as well as over 5.5 pounds of methamphetamine, almost a pound of fentanyl, and 7 ounces of cocaine. Several months later, in September 2023, officers stopped two cars traveling in tandem occupied by Hector’s brother, Jose Duenas as well as two of his associates, Varela, and Mendoza Sanchez. From the two cars, the officers seized a loaded firearm and over 40 pounds of methamphetamine. Then, in January 2024, Adolfo Alvarez and Francisco Alvarez possessed more than 1 pound of cocaine with intent to distribute it to Jose Duenas. And in February 2024, Jose Duenas and Hector Duenas trafficked 14 ounces of fentanyl and more than a pound of methamphetamine. Additionally, they illegally possessed several firearms in furtherance of their drug trafficking crimes.
This case is the product of an investigation by the Fentanyl Overdose Response Team (FORT) (a multi-agency team composed of Homeland Security Investigations, the Drug Enforcement Administration, and the Fresno and Clovis Police Departments), the U.S. Postal Inspection Service, and IRS Criminal Investigation with assistance from the Madera County Sheriff’s Office and the Fresno County Sheriff’s Office. Assistant U.S. Attorney Justin J. Gilio is prosecuting the case.
If convicted, the defendants face a range of penalties and fines including maximums of 20 years, 40 years, and life in prison as well as fines between $250,000 and $10 million. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Operation Synthetic Opioid Surge (S.O.S.) a program designed to reduce the supply of deadly synthetic opioids in high impact areas as well as identifying wholesale distribution networks and international and domestic suppliers. In July 2018, the Justice Department announced the creation of S.O.S., which is being implemented in the Eastern District of California and nine other federal districts.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about Organized Crime Drug Enforcement Task Forces, please visit Justice.gov/OCDETF.
Federal Court Permanently Enjoins Texas Return Preparer and Orders Disgorgement of Illicit Gains from Tax Return Preparation FeesRead the Press Release
The U.S. District Court for the Northern District of Texas permanently enjoined a Dallas-area tax return preparer today from preparing federal tax returns for others and from owning, operating or franchising any tax return preparation business, among other related prohibitions. The court also ordered the tax return preparer, Ashley Diondria Fisher, to pay almost $200,000 to the United States in ill-gotten tax preparation fees. Fisher consented to entry of the permanent injunction and disgorgement order against her.
The complaint alleged that Fisher operated a tax preparation business under the brand names Integrity Tax Services and Integrity Tax Returns, which filed tax returns claiming false business income or losses on Form 1040 Schedule C, false household help income and fabricated education credits. The complaint also alleged that the IRS previously suspended nine of Fisher’s Electronic Filing Identification Numbers (EFINs), which the IRS assigns to firms that have applied for and meet the requirements to file tax returns electronically. After the IRS suspended nine of Fisher’s EFINs, she allegedly used her aunt’s identity to apply for and use EFINs in her aunt’s name, and subsequently used EFINs in the names of others.
According to the IRS, anyone who is paid to prepare or assists in preparing federal tax returns is legally required to have a valid Preparer Tax Identification Number (PTIN) and paid preparers must sign and include their PTIN on returns. Not signing a return, commonly known as “ghost preparation,” is often a red flag that a preparer is attempting to avoid detection by the IRS. The complaint alleged Fisher operated as a ghost preparer.
The IRS estimates the harm caused by Fisher exceeds $3 million for tax years 2014 through 2019 alone.
The district court previously entered a preliminary injunction barring Fisher from preparing returns for others and has now made that disallowance permanent in today’s order. The terms of agreed order require that Fisher send notice of the injunction to each customer for whom she prepared federal tax returns and post a copy of the injunction in places where she conducts business, including social media accounts and websites. Fisher also agreed to disgorge $195,468.59 in illicitly received tax preparation fees to the United States.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Attorneys from the Tax Division handled 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 warns taxpayers to avoid ghost preparers and lists other improper acts that tax preparers engage in to take advantage of their unsuspecting customers.
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.
Permanent Injunction - Fisher - Entered.pdfDanville Man Pleads Guilty to Federal Robbery, Firearm ChargesRead the Press Release
ROANOKE, Virginia – A Danville man who fired a handgun during the robbery of a gas station in December 2022 pled guilty this week to federal robbery and firearm charges.
Isaac Graham, 42, pleaded guilty to Hobbs Act robbery and discharging a firearm during a crime of violence. He faces a mandatory minimum penalty of 10 years and a maximum penalty of life imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
According to court documents, Graham robbed a Danville convenience store at gunpoint in December 2022. Graham entered the store with a handgun, fired a round into the floor, and demanded money from the store clerk. Graham fled with approximately $1,400 from the store. He was arrested a short time later by the Danville Police Department.
U.S. Attorney Christopher R. Kavanaugh of the Western District of Virginia and Craig B. Kailimai, Special Agent in Charge of the Washington Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Danville Police Department investigated the case.
Former Special Assistant U.S. Attorney J. Parker Gochenour and Assistant U.S. Attorney Lee Brett prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Convicted sex offender sentenced for child pornographyRead the Press Release
NEWPORT NEWS, Va. – A Newport News man with two previous convictions for sexual offenses involving minors was sentenced today to 20 years in prison for receipt of child pornography.
According to court documents, on Feb. 12, 2022, a person contacted Newport News Police to report sexually inappropriate messages between a minor and Eric Alan Starling, 45, on Snapchat. On March 8, 2022, an FBI task force officer contacted a probation officer and confirmed Starling’s identity and his status as a registered sex offender. A search of Starling’s Snapchat account confirmed that Starling was engaging in sexually inappropriate chats in which he openly admitted to being a sex offender and discussing with the minor how this could be a problem given their relative ages. Starling also had conversations with an underage individual that included talking about having sex with that individual and sending sexually inappropriate photos of himself.
On June 28, 2023, a federal search warrant was executed on Starling’s residence. Nine electronic devices were seized. After being caught, Starling admitted that he was in possession of “all kinds” of pornography. Forensic analysis of his devices showed images of child sex abuse material.
Starling was convicted on state charges in Virginia in 2006 and 2009. In 2006, Starling was found guilty of using a computer to solicit a minor. In 2009, Starling was found guilty of aggravated sexual battery of a child, taking indecent liberties with children, and sexually explicit material with a minor.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office, and Steve R. Drew, Chief of Newport News Police, made the announcement after sentencing by Chief U.S. District Judge Mark S. Davis.
Assistant U.S. Attorneys Devon Heath and Lisa McKeel prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:23-cr-52.
Convicted Felon Sentenced to 42 Months in Federal Prison for His Role in a Straw Purchasing Conspiracy and Illegal Possession of FirearmsRead the Press Release
CONCORD – A convicted felon was sentenced today in federal court for conspiring with straw purchasers to buy him firearms, U.S. Attorney Jane E. Young announces.
Mario Marques, 25, was sentenced by U.S. District Court Joseph Laplante to 42 months in prison and three years of supervised release. On December 4, 2023, Marques pleaded guilty to conspiring to make false statements during the acquisition of firearms, and to being a felon in possession of a firearm.
“The defendant as a felon was prohibited from possessing guns. Yet, he was undeterred by the law in his criminal pursuit as he recruited others to purchase guns for him,” said U.S. Attorney Jane E. Young. “The firearms Marques illegally possessed and sold were recovered during investigations of drug trafficking and shooting crimes. His customers included juveniles, gang members, and criminals. As evident from today’s sentence, the U.S. Attorney’s Office and our law enforcement partners will continue to target those that perpetuate violence in our communities.”
"Far too often, the firearms that law enforcement officers seize during the commission of violent crimes, originate from straw purchasers,” said James M. Ferguson Special Agent in charge of ATF’s Boston Field Division. “In order to combat gun violence, we need to attack it at its source, which is straw purchasing. Mr. Marques' sentence ensures our entire community that they are a bit safer knowing he will be serving time in prison for his crimes. This is a great outcome, thank you to our partners at the U.S. Attorney’s Office.”
Between September 30 and November 20, 2021, Marques solicited straw purchasers to obtain firearms for him from multiple federally licensed firearms dealers in New Hampshire. Marques is a convicted felon and is legally prohibited from purchasing firearms himself. In obtaining the firearms, Marques selected the guns in advance for the straw purchasers to buy for him. On several occasions, Marques accompanied a straw purchaser to a firearms dealership, where the straw purchaser lied on the forms required to purchase the guns by saying he was buying the guns for himself, when he was really buying them for Marques.
Among other guns, Marques possessed a Springfield Armory Model XD .40 caliber semiautomatic pistol purchased in New Hampshire during the course of the conspiracy. Law enforcement officers recovered the Springfield Armory pistol on June 3, 2022 during investigation of a separate crime in Brockton, Massachusetts. Marques sold this firearm, as well as other firearms that straw purchasers bought for him, to other individuals, including gang members, who used the guns in connection with crimes.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) led the investigation. Assistant U.S. Attorney Aaron Gingrande prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Connecticut U.S. Attorney’s Office and DEA New England Release PSA Warning of Fentanyl and Counterfeit PillsRead the Press Release
The U.S. Attorney’s Office for the District of Connecticut and the New England Field Division of the Drug Enforcement Administration have released a public service announcement asking Connecticut residents to remain vigilant during this ongoing opioid abuse epidemic, and issuing a warning about the increasing percentage of fentanyl now found in counterfeit prescription pills that are illegally trafficked in the U.S.
“Overdose deaths due to fentanyl intoxication have become a devastating part of the fabric of Connecticut and our nation,” said U.S. Attorney Vanessa Roberts Avery. “While there are indications that annual overdose death rates are no longer rising and may have leveled off, or slightly decreased, far too many people continue to die accidentally by consuming fentanyl and counterfeit pills that contain it. While our office, the DEA, and our other federal, state, and local partners continue to work to dismantle drug trafficking rings and stem the flow of these deadly drugs, we ask the public to remain vigilant and continue to spread awareness to family and friends. We hope this public service announcement is viewed widely and the message in it absorbed by all. One pill can kill you, and there are resources available to help us end this scourge.”
“Last year, the DEA seized thousands of pounds of fentanyl powder and more than 79 million fentanyl-laced pills across the U.S.,” said David Lanzoni, Assistant Special Agent in Charge of the Drug Enforcement Administration, New England. “But as drug poisoning is now the leading cause of death of Americans between the ages of 18 and 45, we clearly have more work to do. Everyone needs to know that nearly all of the pills sold on the street are counterfeit, and approximately seven out of ten them contain a potentially lethal dose of fentanyl. Please watch this public service announcement and help spread these astonishing numbers.”
The public service announcement is available at these links:
- https://youtu.be/TvFf6Sy0q5M (YouTube)
- https://twitter.com/USAO_CT/status/1768287229619720230 (X/Twitter)
- https://www.facebook.com/usaoct/posts/pfbid028KVay6XfoVHDNPdPMxdyiHmdKV8vr4LcwVfss3VWi8apKyExM3rFVjaQnk8oLeTCl (Facebook)
Additional resources on fentanyl and fentanyl pills, as well as prevention and treatment, are available at www.dea.gov/onepill.
To learn more about the U.S. Attorney’s Office’s fentanyl awareness and drug prevention program for students, please visit: www.justice.gov/usao-ct/heat.
Information about the DEA New England Division can be found at: www.dea.gov/divisions/new-england.
The U.S. Attorney’s Office is charged with enforcing federal criminal laws in Connecticut and representing the federal government in civil litigation. The Office is composed of approximately 68 Assistant U.S. Attorneys and 57 staff members at offices in New Haven, Bridgeport and Hartford. For more information about the U.S. Attorney’s Office for the District of Connecticut, please visit www.justice.gov/ct.
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Cincinnati Man Sentenced for Brandishing a Weapon on Frontier Airlines FlightRead the Press Release
ATLANTA - William Allen Liebisch, 43, of Cincinnati, Ohio, has been sentenced to 30 months in prison for interfering with the performance of the duties of a flight crew. Liebisch carried a box cutter on an airplane en route to Tampa, Florida, and told a fellow passenger that he wanted to stab someone aboard the flight, causing the pilot to make an emergency landing in Atlanta.
“The flying public deserves to travel in peace without fear that a fellow passenger will create a violent disturbance,” said U.S. Attorney Ryan K. Buchanan. “Liebisch’s conduct created panic among the flight crew and his fellow travelers. His prosecution and sentence hopefully provide a message of deterrence to others.”
“We would like to thank the passengers who took action to prevent the violence Liebisch threatened in the air. No one should face harm while flying,” said FBI Atlanta Special Agent in Charge Keri Farley. “The FBI and our law enforcement partners will do everything we can to prevent violence, intimidation, and threats of violence that endanger passenger and flight crew safety on commercial flights.”
“Safety is paramount to everyone aboard commercial aircraft, including flight crew at their workplace,” said Joseph Harris, Special Agent-in-Charge, Department of Transportation Office of Inspector General, Southern Region. “As illustrated by today’s sentencing, we will continue working diligently with our law enforcement and prosecutorial partners to hold accountable unruly passengers who disrupt airline operations.”
According to U.S. Attorney Buchanan, the charge and other information presented in court: on November 11, 2022, William Allen Liebisch arrived at the Cincinnati airport with a ticket for Frontier Airlines Flight 1761, which was traveling from Cincinnati to Tampa. Liebisch entered the TSA security checkpoint where TSA officers confiscated a box cutter within his possession that the officials mistakenly believed they had disabled by removing the blade.
But once the flight departed, Liebisch inserted a spare blade that was stored in the handle of the box cutter. A passenger saw Liebisch use the box cutter to clean his nails. Another passenger reported to flight attendants that Liebisch said that he was going to stab someone. This information was passed on to the captain and the other flight attendants. Because there were no law enforcement officers on the flight, one attendant asked two male passengers to assist in keeping Liebisch confined in his seat. One passenger stood in the back nearby while the other took the seat of the passenger who made the report to the flight attendants. Both men and a flight attendant tried to keep Liebisch calm and under control for the remainder of the flight.
In the meantime, the captain made the decision to make an emergency landing at the nearest airport, which was Hartsfield-Jackson Atlanta International Airport. Once the plane landed, the passengers were instructed to deplane immediately and to leave their belongings on the plane. Atlanta Police Department (APD) officers had positioned themselves at the gate and, in effort to maintain calm, chose not to board the plane, but instead to wait for Liebisch to exit.
As the final remaining passengers neared the exit of the plane, Liebisch charged forward towards a flight attendant while wielding the box cutter. A passenger then tackled Liebisch from behind as the APD officers rushed on the plane to subdue and arrest him. Liebisch’s disturbance on the flight, his arrest, and TSA’s baggage re-inspection protocols forced Frontier Airlines to delay the flight to Tampa until the following morning, due to safety regulations that limit the number of hours a flight crew may be on duty in one day.
Liebisch has been sentenced to 30 months in prison, followed by three years of supervised release. Liebisch was convicted of the charge on December 14, 2023, after he pleaded guilty.
This case was investigated by the Federal Bureau of Investigation and the Department of Transportation.
Assistant United States Attorney Paul R. Jones prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6280. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Chippewa Falls Man Sentenced to 11 Years for Methamphetamine Trafficking and Possessing Firearms as a FelonRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Brandon Herman, 42, Chippewa Falls, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to 11 years in federal prison for possessing 500 grams or more of methamphetamine intended for distribution and possessing firearms as a felon. Herman pleaded guilty to these charges on December 5, 2023.
On May 25, 2023, law enforcement executed a search warrant at the defendant’s rural residence in the Town of Lafayette in Chippewa County, Wisconsin, where they found numerous handguns and a rifle. Herman is prohibited from possessing firearms due to his previous felony convictions for possessing, manufacturing, and delivering controlled substances and possessing a firearm after a felony conviction.
During the search of Herman’s residence, law enforcement also found $19,438 in U.S. currency, more than 7 kilograms of marijuana, and more than 1 kilogram of methamphetamine inside a safe.
At the sentencing hearing, Judge Peterson noted Herman’s dramatic disregard for the law and substantial criminal history. Judge Peterson told Herman that he posed an ongoing danger to the community because he continued to commit dangerous drug and gun crimes.
The charges against Herman were the result of an investigation conducted by the Chippewa County Sheriff’s Office, Eau Claire County Sheriff’s Office, West Central Drug Task Force, St. Paul (Minnesota) Police Department, Drug Enforcement Administration, and Bureau of Alcohol, Tobacco, Firearms and Explosives. The prosecution of the case has been handled by Assistant U.S. Attorney Kathryn Ginsberg.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition and violent and drug crimes that involve the use of firearms.
Cartersville Sex Offender Sentenced for Possessing Child PornographyRead the Press Release
ROME, Ga. - Jerry Joseph Southern, a convicted sex offender, was sentenced today to ten years of imprisonment for possessing thousands of digital images and videos depicting the rape and sexual abuse of children, including prepubescent minors under the age of 12.
“This office remains committed to working with our state and local partners to identify and prosecute individuals who commit heinous crimes against minors,” said U.S. Attorney Ryan K. Buchanan. “Southern’s sentence of imprisonment reflects the seriousness of his recidivist conduct and the need to prevent him from facilitating the exploitation of more children.”
“Stopping those like Southern that victimize children by viewing and sharing these horrific images of children is one of our highest priorities,” said Acting Special Agent in charge Anthony J. Patrone who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “Thanks to the great work done by our agents, along with our state, local and federal partners, we were able to remove a serious threat from our community and we will continue to pursue those who commit these evil acts.”
According to U.S. Attorney Buchanan, the charge and other information presented in court: in July 2023, after receiving information that someone was using a cellular telephone associated with Southern to share videos and images of child sexual abuse, federal agents and local law enforcement officers executed a search warrant at Southern’s Cartersville home. During the search, agents found a cellular phone that Southern had hidden in an air vent. A search of the device revealed that Southern received, collected, and distributed a vast quantity of child sex abuse materials.
In 2013, Southern had been convicted of multiple counts of sexual exploitation of a child in state court after he pleaded guilty to the offenses. He was placed on probation and required to register as a sex offender after serving a prison term. But he repeatedly violated the terms of his probation, resulting in additional terms of incarceration in 2014, 2019, and 2020.
Southern has been sentenced to ten years in prison, followed by a lifetime of supervised release, and ordered to pay restitution in the amount of $28,500.00. Southern pleaded guilty to possession of a visual depiction of a minor engaged in sexually explicit conduct on December 19, 2023.
This case was investigated by Homeland Security Investigations, the Bartow County Sheriff’s Office, and the Georgia Bureau of Investigation, with assistance from the Murray County, Georgia Sheriff's Office and National Center for Missing and Exploited Children.
Assistant United States Attorneys Calvin A. Leipold, III and Theodore S. Hertzberg prosecuted the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state, and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6280. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.