Eastern District of Kentucky

A federal jury convicted two doctors today for their involvement in a scheme to commit health care fraud.

According to court documents and evidence presented at trial, Dr. William Lawrence Siefert, 69, of Dayton, Ohio, and Dr. Timothy Ehn, 50, of Union, Kentucky, orchestrated their health care fraud scheme through Northern Kentucky Center for Pain Relief, a pain clinic in Florence, Kentucky. Siefert, a medical doctor, was employed by the clinic, and Ehn, a chiropractor, was the clinic’s owner. Siefert and Ehn engaged in a scheme to bill Medicaid for millions of dollars in medically unnecessary urinalysis testing for their patients, which included urinalysis testing purportedly conducted on faulty machinery.

Siefert and Ehn were each convicted of health care fraud. Ehn was additionally convicted of conspiracy to commit health care fraud. Siefert and Ehn are both scheduled to be sentenced on Sept. 20. Siefert faces a maximum penalty of 10 years in prison. Ehn faces a maximum penalty of 10 years in prison on each of the health care fraud conspiracy and health care fraud counts. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, DEA Administrator Anne Milgram, Special Agent in Charge Tamala E. Miles of the Department of Health and Human Services Office of Inspector General (HHS-OIG), and Kentucky Attorney General Daniel Cameron made the announcement. 

The FBI, DEA, HHS-OIG, and Kentucky Medicaid Fraud Control Unit investigated the case.

Trial Attorneys Dermot Lynch, Lindsey Carson, and Assistant Chief Lauren Kootman of the Criminal Division’s Fraud Section are prosecuting the case.

The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past three years, ARPO has charged over 115 defendants collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 60 ARPO defendants have been convicted. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit.

LONDON, Ky. - A Woodbine, Ky., man, Daniel Scott Nantz, 33, entered a guilty plea on Thursday, before U.S. District Judge Robert E. Wier, to the intentional murder of a federal witness, Geri D. Johnson.              

According to the investigation and plea agreement, Nantz was engaged in methamphetamine trafficking throughout Whitley County from March of 2017 through March of 2019.  In the Spring of 2019, some of Nantz’s methamphetamine sources of supply and co-conspirators were indicted by a federal grand jury.  One of these co-conspirators was Johnson, who was pregnant, and with whom Nantz had a romantic relationship.

Prior to the murder, Nantz learned that Johnson had provided a statement to law enforcement and had been offered the opportunity to cooperate against him.  Nantz discussed the fact he was a target of the federal methamphetamine trafficking investigation with Johnson.  A handwritten note, written by Nantz, was recovered from the murder scene, which read “Funeral/fed’s pulled geri out asking questions.”  Nantz had grown increasingly concerned that he too would be indicted for methamphetamine trafficking and that Johnson would cooperate against him.  He also sent text massages to Johnson in the days leading up to the murder.  On March 13, 2019, Nantz texted Johnson “I’ll kill you [expletive].”  And on March 14, 2019, Nantz texted Johnson, “Your very dangerous for me. Very very dangerous.”

Then, on March 16, 2019, Johnson was home, with Nantz’s minor children, at Nantz’s trailer in Woodbine.  Nantz arrived, ordered his children into their bedroom, and followed Johnson outside the residence.  Nantz then shot the victim twice with a .38 revolver.  One round struck the victim in the back right shoulder and the other pierced the victim’s neck.  The autopsy revealed the round through the victim’s neck ultimately caused her to asphyxiate on her blood. 

After the shooting, Nantz drove Johnson to the hospital in Corbin, Kentucky, where she was pronounced dead.  Johnson’s daughter was born, via emergency Cesarean section, at seven months gestation.  The child died several days later, due to the damage she suffered from the loss of oxygen and blood caused by her mother’s injuries. 

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Shawn S. Morrow, Special Agent in Charge, ATF, Louisville Field Division; and Commissioner Phillip Burnett, Kentucky State Police, jointly announced the guilty plea.

The investigation was conducted by the ATF and KSP.  The United States was represented by Assistant U.S. Attorney Jenna E. Reed.    

Nantz is scheduled to be sentenced on July 17, 2023.  Nantz faces a mandatory minimum of Life in prison and a $250,000 fine. 

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

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After a six-day trial, a federal jury convicted former Bureau of Prisons Lieutenant Kevin Pearce, 38, on two counts of obstruction for writing false reports about the assaults of two federal inmates by corrections officers under Pearce’s command. The defendant is a former supervisor at U.S. Penitentiary Big Sandy in Inez, Kentucky. Two former officers, Samuel Patrick and Clinton Pauley previously pleaded guilty for their roles in the two assaults and testified for the government at trial.

The evidence at trial established that the defendant was the supervising lieutenant responding to an incident at Big Sandy in which his co-defendants, former officers Patrick and Pauley, assaulted an inmate by pepper spraying him in the face and kicking him in the head. Witnesses, including those who assaulted the inmates, testified that the inmate was not a threat and was compliant, and was assaulted for walking too slowly to his cell, rather than for any legitimate penological purpose. The defendant attempted to cover up the assault by writing a false report which untruthfully described the inmate as violent and omitted that the inmate had been kicked in the head while he was prone and unresisting. 

The evidence further established that, one month later, the defendant again covered up an unrelated assault also initiated by officers Patrick and Pauley. The victim of that assault was taken to the defendant’s office in order to request protection from other inmates. When the victim, who is white, revealed that he used to affiliate with Black gangs, the defendant’s fellow officers repeatedly struck him in the head and body while one of the officers referred to him as a “race traitor.” The defendant wrote a false report about the assault in which he claimed that the inmate agreed to go to his housing unit “without incident,” and, as the cover-up expanded, he supervised efforts to discredit the inmate by recruiting another officer who was not present to write a report which falsely corroborated the agreed-upon cover story.

“This defendant abused the trust given to him as a federal correctional officer and supervisor when he attempted to cover up the assaults of two inmates in his custody,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will vigorously prosecute correctional officers who abuse inmates, and this mission includes the prosecution of supervisory officials who enable civil rights violations by protecting abusive officers. We are committed to using our civil rights laws to ensure that the rights of all people, including those detained inside jails and prisons, are fully protected.”

“The defendant betrayed the public trust placed in him, abused his authority, enabled the violation of other’s rights, and did a grave disservice to all law enforcement,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “Instead of enforcing the law and protecting those in his care, he chose to cover up disgraceful abuses and to discredit those who faithfully discharge their public service. His conviction is the next step in the process of restoring the public’s trust.”

“Pearce lied in an attempt to cover up an egregious assault of an inmate by his fellow officers,” said Special Agent in Charge William J. Hannah of the Justice Department’s Office of the Inspector General (DOJ-OIG) Chicago Field Office. “This verdict sends a message that there is no room in the federal corrections system for civil rights violations nor any corrupt attempt to conceal such acts. Today, Pearce will be held accountable. I would like to thank the jury for their time, attention and careful consideration in this case.”

“While serving their sentence, inmates are entitled to equal protections under the law,” said Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office. “When a few correctional officers choose to violate those protections, either by physical abuse or by orchestrating a cover-up, the integrity of all officers is questioned. The FBI stands ready to bare all of its resources in order to bring to justice law enforcement officials who take advantage of their position of power.”

The maximum penalties for the false report offenses are 20 years of imprisonment. The sentencing is scheduled for July 5. 

Assistant Attorney General Clarke, U.S. Attorney Shier, Special Agent in Charge Hannah and Special Agent in Charge Cohen made the announcement. 

DOJ-OIG and the FBI the investigated the case. 

Assistant U.S. Attorney Zachary Dembo for the Eastern District of Kentucky and Trial Attorney Thomas Johnson of the Civil Rights Division’s Criminal Section are prosecuting the case. 

ASHLAND, Ky.— A Morehead, Ky., man, Johnathan Clay Davenport, 31, was sentenced to 540 months in federal prison on Wednesday, by U.S. District David Bunning, for production of child pornography and distribution of child pornography.

According to his plea agreement, law enforcement received information that a subject had distributed child abuse material on Kik Messenger, along with messages that indicated that he had been sexually abusing three minor children. Law enforcement located Davenport, and Davenport admitted he was responsible for distributing the image of child sexual abuse material and he also admitted that he was part of a group related to the sexual exploitation of children. Upon search, law enforcement found that Davenport had produced additional sexually explicit images of three minor children and attempted to produce images of a fourth minor victim, and he admitted to taking the explicit images in his home.

Davenport pleaded guilty in November 2022.  

Under federal law, Davenport must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for 15 years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jerry Templet, Special Agent in Charge of Homeland Security Investigations (HSI); and Col. Phillip Burnett, Commissioner, Kentucky State Police, jointly announced the sentence.

The investigation was conducted by the DHS-HSI and KSP. The United States was represented by Assistant U.S. Attorney Erin Roth.

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

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FRANKFORT, Ky.— A Lexington, Ky., man, Isaiah Wimberly, 30, was sentenced to 151 months in federal prison on Wednesday, by U.S. District Judge Gregory Van Tatenhove, for possession with intent to distribute 40 grams or more of fentanyl and possession of a firearm by a convicted felon.

According to his plea agreement, an arrest warrant was issued for Wimberly in September 2021.  Upon executing the warrant, after Wimberly had exited his vehicle, a search of the vehicle discovered two, loaded firearms.  A search of his residence then uncovered 90 grams of fentanyl, scales, and an unloaded firearm. Thereafter, in April 2022, law enforcement received information that Wimberly was selling narcotics at a local hotel.  Wimberly was arrested and law enforcement seized an additional 191 grams of fentanyl.  Wimberly admitted that he possessed the narcotics seized on both occasions and that he intended to distribute it.  Wimberly also admitted that he knew he was prohibited from possessing a firearm, due to prior felony convictions.  

Wimberly pleaded guilty in September 2022.  Wimberly was previously convicted, in June of 2019, of being a convicted felon in possession of a firearm and possession of a controlled substance in the first degree, in Fayette Circuit Court.

Under federal law, Wimberly must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for four years.

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF Louisville Field Division; Jodi Cohen, Special Agent in Charge, FBI Louisville Field Office; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentence.

The investigation was conducted by ATF, FBI, and the Lexington Police Department.  The United States was represented by Assistant U.S. Attorney Cindy Rieker.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

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LEXINGTON, Ky. - On Thursday, a federal grand jury sitting in Lexington returned an indictment charging 41-year-old Tiffany Williams, of Georgetown, Ky., with 31 counts of aiding and assisting in the preparation and presentation of false and fraudulent tax returns, statements, or other documents.

The indictment alleges that Williams owned a tax preparation business in Fayette County, Quality Tax Services.  It further alleges that, while operating that business from 2014 through April 2018, Williams prepared several fraudulent tax returns for presentation to the IRS.  According to the indictment, the returns were false and fraudulent because they represented that the taxpayers were entitled to claim certain tax deductions, when Williams knew the taxpayers were not entitled to claim the deductions.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky, and Bryant Jackson, Special Agent in Charge, IRS – Criminal Investigations, jointly announced the indictment.

The investigation was conducted by IRS - Criminal Investigations and the indictment was presented to the grand jury by Assistant U.S. Attorney Andrea Mattingly-Williams.

 Williams is scheduled to appear in court for her initial appearance on March 14, 2023.  She faces up to three years in prison and a $250,000 fine, on each count.  However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes. 

            Any indictment is an accusation only.  A defendant is presumed innocent and is entitled to a fair trial at which government must prove guilt beyond a reasonable doubt.

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LEXINGTON, Ky.— United Seating and Mobility, LLC, d/b/a Numotion (Numotion) has paid $7 million to resolve civil allegations that it made false statements in connection with claims for reimbursement it submitted to Kentucky Medicaid, two of Kentucky Medicaid’s Managed Care Organization contractors (MCOs), MO HealthNet (Missouri Medicaid), and D.C. Medicaid.

Numotion is a national supplier of durable medical equipment (DME), such as hospital beds, manual wheelchairs, power wheelchairs and accessories, and gait trainers.  The investigation involved DME that was “manually priced” by Medicaid payors in Kentucky, Missouri, and D.C.  Those Medicaid programs reimbursed manually priced DME based on the cost Numotion actually paid the manufacturer for the equipment.  Specifically, in Kentucky, reimbursement is based on “a manufacturer’s actual charges” billed to Numotion, or the “invoice price;” in Missouri, reimbursement is based on the “actual invoice of cost;” and in D.C., reimbursement is based on “original documentation reflecting all discounts.”

In the Settlement Agreement, the United States alleged that Numotion did not disclose all discounts Numotion received from, or the cost Numotion actually paid to, DME manufacturers when submitting claims for manually priced DME to Kentucky Medicaid, two Kentucky Medicaid MCOs (Aetna Better Health of Kentucky and WellCare of Kentucky), MO HealthNet, and D.C. Medicaid.  Numotion’s failure to disclose all discounts, or the actual cost paid, resulted in these Medicaid programs paying Numotion higher reimbursements than it was entitled to receive.  The United States contended that the conduct violated the False Claims Act, 31 U.S.C. § 3729(a)(1)(B), a federal law that prohibits knowingly making or using a false statement material to a false claim for reimbursement. 

As part of the settlement, Numotion also entered into a 5-year Corporate Integrity Agreement (CIA) with the U.S. Department of Health and Human Services Office of Inspector General.  The CIA requires, among other things, that Numotion implement a centralized risk assessment program, as part of its compliance program, and hire an Independent Review Organization to complete annual reviews of some of its Medicare and Medicaid claims.

“By hiding or failing to disclose discounts, to receive higher reimbursement from Medicaid programs across the country, Numotion prioritized its financial incentives, to the detriment of these Medicaid programs,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “Whenever the valuable resources of government health care programs are improperly dissipated to those who are not entitled, it diminishes the ability of these programs to meet the needs of their beneficiaries.  We remain committed to doing our part to protect these programs from fraud, waste, and abuse and to preserve the taxpayer money that supports them.”

“When health care companies do not follow federal health care billing requirements, the integrity of those safety net programs can be undermined,” said Special Agent in Charge Tamala E. Miles of the U.S. Department of Health and Human Services Office of Inspector General.  “Working with our law enforcement partners, the dedicated work of OIG’s investigators and attorneys has again resulted in the recovery of taxpayer dollars and better protection against improper billing in the future.”

The settlement resolves a lawsuit originally brought by L. Richard Parkey, a former Numotion employee, under the qui tam, or whistleblower, provisions of the False Claims Act.  Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. As part of this resolution, Parkey will receive approximately $1.05 million of the settlement amount.

This case was investigated by the U.S. Department of Health and Human Services, Office of Inspector General.  Assistant United States Attorney Jennifer A. Williams handled the matter for the United States.

The case is United States ex rel. L. Richard Parkey v. United Seating and Mobility, LLC d/b/a Numotion, Case No. 3:17-cv-53-GFVT.  The claims resolved by the settlement are allegations only, and there has been no determination of liability.

 

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LEXINGTON, Ky.— Christopher “Rusty” Custer, 55, formerly of Winchester, Ky., but now residing in Conroe, Texas, was sentenced to 41 months in federal prison on Wednesday, by Chief U.S. Judge Danny C. Reeves, after pleading guilty to bank fraud.

 According to Custer’s plea agreement, he admitted to lying to Traditional Bank to obtain two loans, totaling more than $1.5 million, for the purchase of a home and property to be used for an equine business.  He also admitted to lying to victim P.H., to obtain a $75,000 personal loan.  Custer conceded that he provided the bank and P.H. with false personal financial statements, supported by falsely manipulated documentation from well-known financial institutions, suggesting he was worth more $6 million.  Actual records from these financial institutions showed at most a $100.00 closing balance in one account.  He also exaggerated the value of his personal assets, claiming to own roughly $300,000 in household goods and furniture, when seeking loans from Traditional Bank and P.H.; but he then admitted he owned roughly $20,000 worth of these same items in his bankruptcy filing.

After repaying P.H. and the foreclosure on the property he bought with the proceeds of the Traditional Bank loans, Custer still owes more than $500,000 in restitution.

Custer pleaded guilty on October 21, 2022.  

Under federal law, Custer must serve 85 percent of his prison sentence, upon his/her/their release from prison will be under the supervision of the U.S. Probation Office for five years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky, and Kathy Enstrom, Special Agent in Charge, Office of Inspector General, Federal Deposit Insurance Corporation, jointly announced the sentence.

The investigation was conducted by the FDIC Office of Inspector General.  The United States was represented by Assistant U.S. Attorneys Kathryn Dieruf and Kate Smith.

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LEXINGTON, Ky.— Tabb Textiles Co., Inc. (“Tabb”), and individuals affiliated with the company, have paid $344,516.80 to resolve allegations that Tabb improperly billed Federal Prison Industries, Inc. for fabric that was sourced overseas, in violation of contract requirements.

Federal Prison Industries, Inc., also known as “UNICOR,” is a corporation wholly owned by the United States that allows inmates of the Bureau of Prisons to obtain occupational skills and work experience prior to their release.  UNICOR’s operations include the manufacturing of apparel and other textile goods at twenty-three locations across the United States.  Through these operations, UNICOR also strives to support the domestic economy, acquiring its manufacturing supplies from American companies.

On April 1, 2016, UNICOR awarded Tabb a contract for the provision of domestic fabric for use in UNICOR’s textile operations.  Under the contract, Tabb supplied over six million yards of fabric to UNICOR.  Of these six million yards of fabric, approximately 200,000 yards of fabric came from a foreign source, an error that arose from Tabb intermingling foreign and domestic fabric after the bleaching process.

A qui tam complaint prompted the United States’s investigation.  A qui tam is a lawsuit under the False Claims Act that is brought by a private citizen on behalf of the United States, allowing the private citizen to share in the financial recovery.  Although the investigation demonstrated that Tabb purchased domestic fabric for the contract, an internal investigation by Tabb revealed the intermingling of foreign and domestic white fabric, causing UNICOR to accept delivery of foreign-sourced fabric.  Tabb cooperated with the United States’ inquiries, disclosing the results of its internal investigation and agreeing to compensate the United States for its error.  The private citizen who brought the qui tam suit will receive approximately $65,000 from the settlement.

The case was investigated by the U.S. Department of Justice, Office of Inspector General. Assistant United States Attorney Mary Melton represented for the United States.  The case is United States ex rel. Perlstein v. Tabb Textiles Co., Inc., et al., Case No. 21-cv-70-REW.  The claims resolved by the settlement are allegations only, and there has been no determination of liability.

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PIKEVILLE, Ky.— A Shelbiana, Ky., man, Justin Bryant, 38, was sentenced to life in federal prison on Tuesday, by U.S. District Judge Robert Wier, for distributing fentanyl and para-flurofentanyl that caused death of a victim, and for conspiring with others to distribute heroin, fentanyl, and para-fluorofentanyl.

Bryant was convicted by a federal jury in October 2022.  According to evidence at trial, on October 12, 2021, Bryant smuggled drugs into the Pike County Detention Center and distributed them.  The drugs contained fentanyl and para-fluorofentanyl, and their use resulted in the death of another individual in the jail.

At sentencing, Judge Wier made a finding that there was reliable evidence connecting Bryant to another overdose death in August of 2021.  The evidence also documented that, even after the overdose death of the victim on October 12, 2021, staff with the Pike County Detention Center and Pikeville Police Department prevented Bryant from bringing drugs into the jail on two additional occasions.  The conviction in this case is the most recent of 30 prior criminal convictions, which Bryant has received over the past 20 years.    

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA Louisville Field Division; and Mike Riddle, Chief of the Pikeville Police Department jointly announced the sentence.

The investigation was conducted by the DEA and the Pikeville Police Department.  The United States was represented by Assistant U.S. Attorney Andrew H. Trimble.

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LEXINGTON, Ky. - A Lexington investment advisor and attorney, Douglas Hawkins, of Richmond, Ky., was found guilty late Friday, by a federal jury sitting in Lexington, of investment advisor fraud, securities fraud, and two counts of mail fraud.

According to the evidence at trial, while operating as an investment advisor, Hawkins encouraged his clients to invest in securities, which were properties in Jackson, Mississippi.  Clients invested over $2 million in the properties.  Hawkins withheld vital information about the properties when advising his clients to invest, including that many were uninhabitable, rent collection was burdensome, and that the properties were often subject to theft and vandalism.  He also failed to inform his clients that their investment money would be used for purposes other than their properties, including paying other investors and buying a Harley Davidson for an employee.

Hawkins was indicted in October 2021.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Kyle Erhardt, Special Agent in Charge, United States Postal Inspection Service; and Justin Malcom Burse, Acting Commissioner, Kentucky Department of Financial Institutions, jointly announced the guilty verdict.

The investigation was conducted by the United States Postal Inspection Service and Kentucky Department of Financial Institutions.  The United States was represented in the case by Assistant U.S. Attorneys Andrea Mattingly-Williams and Will Moynahan. 

Hawkins is scheduled to appear for sentencing on April 24, 2023. He faces up to five years in prison on the investment advisor count; up to 20 years in prison on the securities fraud count, and up to 20 years in prison on each count of mail fraud.  However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal sentencing statutes before imposing a sentence.  Hawkins also faces potential fines and a judgment of restitution, as ordered by the Court.

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LEXINGTON, Ky.— A Lexington man, Michael Byrd, 34, was sentenced to 35 years in federal prison on Monday, by Chief U.S. District Judge Danny Reeves, for conspiracy to distribute fluorofentanyl, possession with intent to distribute 100 grams or more of fluorofentanyl, and possession with intent to distribute 10 grams or more of fluorofentanyl.

Byrd was charged in a second superseding indictment, along with Je’Von Byrd, 22, and Savannah Asberry, 27.  Byrd pleaded guilty to conspiring with others to distribute the drugs, from January 2021 to May 2022, in Fayette County.  During the investigation, large quantities of illegal drugs were seized, following searches of a vehicle and Lexington residence – as well as from items collected from a foot pursuit, where a police canine overdosed from exposure to drugs.  At his sentencing hearing, the Court determined that Byrd’s role in the conspiracy involved more than 4.6 kilograms of fluorofentanyl, as well as enhancements for firearm possession and maintaining a premises for drug distribution.  

Byrd had previously been convicted in Louisville, of first degree robbery, first degree burglary, kidnapping, wanton endangerment, and first degree fleeing or evading police, in 2008, and of being convicted felon in possession of a handgun, in 2017.

Byrd pleaded guilty to the charges in October 2022.  Asberry pleaded guilty and was sentenced in November 2022, to 120 months in prison, followed by five years of supervised release.  Je’Von Byrd has pleaded guilty and is scheduled to be sentenced on February 24, 2023.

Under federal law, Byrd must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for 10 years.

“In addition to his extensive and violent criminal history, the defendant was illegally dealing in massive amounts of fluorofentanyl, a powerful opioid analogue of fentanyl,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “This drug is particularly dangerous and frequently fatal – and he was responsible for more than four and half kilograms.  In this case, a police canine was exposed to it, overdosed, and needed veterinary care.  Clearly, the risk to the public from his conduct was enormous.  His sentence is certainly warranted and would not have been possible without the dedicated efforts of all our law enforcement partners.”

“Drug dealers with guns are criminals who pose an increased threat to the safety of our communities,” said ATF Acting Special Agent in Charge Robert Maynard of the Louisville Division. “The sentencing of Michael Byrd is another example of the ongoing efforts of ATF and the Lexington Police Department working together to make our communities safer for everyone.”

United States Attorney Shier; ATF Acting SAC Maynard; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentence.

The investigation was conducted by the ATF and Lexington Police Department.  The United States was represented by Assistant U.S. Attorney Cindy Rieker.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety – one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

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LEXINGTON, Ky. – A Houston woman, Shimea Maret McDonald, 24, has been indicted by a federal grand jury, on one count of conspiracy to commit money laundering, one count of providing fraudulent statements to a federally insured financial institution, and three counts of identity theft.  

As alleged in the federal indictment, McDonald conspired with others to engage in business email compromise scams.  More specifically, the conspirators targeted business or municipal entities, which had ongoing financial relationships with other vendors who were owed current of future payments by the entities.  The conspirators then impersonated the vendors in email communications with the targeted entities and requested wire payments to a new bank account, one opened in the name of Gretson Company LLC.  McDonald and her co-conspirators opened three bank accounts under Gretson Company LLC, which was a shell company established in Texas by managing member K.N., whose identity had been stolen.  McDonald and her co-conspirators would then attempt to withdraw the funds in a variety of payment methods, to quickly move the funds elsewhere.

The indictment further alleges that, in August 2022, the conspirators impersonated a nonprofit organization having business with the City of Lexington over email and convinced a City official to wire funds owed to the non-profit organization to a bank account at Truist Bank.  The City wired a total of $3,905,837.05 to the Gretson Company LLC bank account at Truist Bank.  Prior to the August 2022 wire transfer, McDonald, using the identity of K.N., had requested eight counter checks from Truist Bank, which would be funded from wires fraudulently received from the City.  Then, when the money was placed in the fraudulent account at Truist Bank, McDonald, using the identity of K.N., attempted to deposit a portion of these funds into another account in the name of Gretson Company LLC, at another financial institution.

Ultimately, Truist Bank and the City of Lexington were able to recover all the funds that were transmitted.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office; and Lawrence Weathers, Chief of the Lexington Police, jointly announced the indictment.

The investigation preceding the indictment was conducted by the FBI and Lexington Police.  The case is being prosecuted by Assistant U.S. Attorney Kate Dieruf.

McDonald will appear in Court on Tuesday, February 7 at 10 a.m. She faces up to 20 years on the count of wire fraud; she faces up to 30 years for the count of bank fraud; she faces up to two years, to run consecutively on each count of aggravated identity theft; and she faces judgments for restitution and forfeiture of the property attained through the fraud.  However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes. 

            Any indictment is an accusation only. A defendant is presumed innocent and is entitled to a fair trial at which government must prove guilt beyond a reasonable doubt.

             

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LEXINGTON, Ky.— The U.S. Attorney’s Office for the Eastern District of Kentucky, in partnership with the Justice Department’s Disability Rights Section, has secured an agreement. under Title II of the Americans with Disabilities Act (ADA), with the Kenton County Board of Elections to ensure that the Board’s polling places are accessible to individuals with disabilities.

The U.S. Attorney’s Office identified architectural barriers at numerous polling places after it reviewed the Kenton County Board’s voting program for compliance with the ADA. These barriers included inaccessible parking, ramps that were too steep, walkways that had steep cross slopes or had gaps and bumps in the path of travel, and voting machines that could not be accessed by voters with mobility disabilities.  The Office also identified instances where the Kenton County Board did not provide voters with disabilities privacy and independence while voting.

Under the ADA, state and local governmental entities that conduct elections may not select polling places that are inaccessible to individuals with disabilities for use during elections, and they must make reasonable modifications to ensure that voters with disabilities have equal opportunity to participate in voting programs.

Under the terms of the agreement, the Kenton County Board of Elections will begin remediating its voting program.  The Board will employ measures such as portable ramps, signage, and propped-open doors to ensure that its selected polling places are accessible to voters with disabilities.  In addition, the Board will train its poll workers and other elections staff on the requirements of the ADA and how to use temporary measures to ensure each polling place is accessible during elections.  The Board will also survey polling locations for accessibility and maintain the accessibility of each polling place it uses on election days.  When selecting future polling places, the Board will select locations that will be accessible during elections.

This settlement is part of the department’s ADA Voting Initiative, which focuses on protecting the voting rights of individuals with disabilities.  A hallmark of the ADA Voting Initiative is its collaboration with jurisdictions to increase accessibility at polling places.  Through this initiative, the Department of Justice has surveyed more than 2,500 polling places and increased polling place accessibility in more than 50 jurisdictions, including Jefferson County, Kentucky; Newton County, Arkansas; St. Louis, Missouri; Travis County, Texas; and Lackawanna County, Pennsylvania.

For more information about the ADA, please visit http://www.ada.gov or call the toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TTY). For information about the Eastern District of Kentucky’s civil rights enforcement efforts, please visit https://www.justice.gov/usao-edky/civil-rights

– END –

 

LEXINGTON, Ky.— A Richmond, Ky., man, Jacob Tyler Hensley, 28, was sentenced to 180 months in federal prison on Monday, by U.S. District Judge Karen Caldwell, for possession with intent to distribute 50 grams or more of methamphetamine and possession of a firearm in furtherance of drug trafficking.

According to Hensley’s plea agreement, on September 17, 2020, law enforcement conducted a search warrant on Hensley’s residence and recovered approximately 705 grams of methamphetamine that he admitted he intended to distribute to others.  The search of Hensley’s residence also uncovered a safe containing $8,008 in cash and a total of 16 firearms.  Hensley also admitted that possessed a firearm for protection of his drugs and drug proceeds.

Hensley pleaded guilty in October 2022.

Under federal law, Hensley must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for five years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA, Louisville Field Division; and Sheriff Mike Coyle, Madison County Sheriff’s Department, jointly announced the sentence.

The investigation was conducted by the DEA, Madison County High Intensity Drug Trafficking Area (HIDTA) Task Force, and Madison County Sheriff’s Office. The United States was represented by Assistant U.S. Attorney David Kiebler.

– END –

 

LEXINGTON, Ky.— A Lexington Antuan Lamont Jackson, Jr., 32, was sentenced to 120 months in federal prison on Monday, by U.S. District Judge Karen Caldwell, for conspiracy to distribute 400 grams of fentanyl, possession with intent to distribute 40 grams or more of fentanyl, and possession of a firearm in furtherance of drug trafficking.

According to Jackson’s plea agreement, on December 14, 2021, law enforcement conducted a traffic stop on his vehicle, recovering a 9-milimeter pistol and three wrapped baggies of fentanyl.  An additional search of Jackson’s residence found three additional firearms and 120 grams of fentanyl, digital scales, various drug trafficking paraphernalia, and $50,000 in cash.  Jackson admitted to conspiring to distribute 400 grams of fentanyl, possessing fentanyl with the intent to distribute, and possessing a firearm in furtherance of his drug trafficking.

Jackson pleaded guilty in October 2022.

Under federal law, Jackson must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for five years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA, Louisville Field Division; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentence.

The investigation was conducted by the DEA and Lexington Police Department.  The United States was represented by Assistant U.S. Attorney David Kiebler.

– END –

 

LEXINGTON, Ky.— A Lexington man, Justin Tyler Ainslie, 25, was sentenced to 480 months in federal prison on Thursday, by U.S. District Judge Karen Caldwell, for the production and distribution of child pornography.           

According to the Ainslie’s plea agreement, starting in June 2020, law enforcement received two cyber tips about an online user who had uploaded child sexual abuse material to social media platforms.  A search of Ainslie’s residence resulted in the seizure of multiple electronic devices that contained 11,524 images and 1,501 videos of child sexual abuse material. The production charge was based upon a review of Ainslie’s phone that revealed photos that Ainslie admitted to taking.  The photos depicted child sexual abuse material of minor females.

Ainslie was originally indicted in Eastern District of Kentucky (EDKY) for the distribution of child pornography charge and then charged in the Western District of Kentucky (WDKY) for production of child pornography.  Ainslie consented to a transfer of the WDKY charges to the EDKY for his guilty plea and sentencing.

Ainslie pleaded guilty in March 2022.

Under federal law, Ainslie must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for life.  Additionally, Ainslie will be required to pay $138,500 in restitution.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jerry Templet, Special Agent in Charge, Department of Homeland Security - Homeland Security Investigations; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentencing.

The investigation was conducted by the Department of Homeland Security - Homeland Security Investigations and Lexington Police Department.  The United States was represented by Assistant U.S. Attorney Erin Roth.

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

– END –

LEXINGTON, Ky. – A Lexington man, Keon Lamont Lee, 31, pleaded guilty on Wednesday, to distributing fentanyl resulting in an overdose death.  

According to his guilty plea, in February of 2021, Lee illegally provided fentanyl to someone, who overdosed and died. Lee had obtained two bags of controlled substances from his dealer – one contained cocaine, the other fentanyl.  Lee regularly sold cocaine to the victim.  Intending to distribute cocaine, Lee distributed fentanyl to the victim, who used the drugs, overdosed, and died.  Text messages from both the victim’s and Lee’s phones confirmed these events and Lee provided a confession to law enforcement.

Lee was indicted in March 2022

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA Louisville Field Division; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentence.

Lee is currently scheduled to be sentenced on April 28. He faces a sentence of 20 years to life in prison.  However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal sentencing statutes before imposing its sentence. 

The investigation was conducted by the DEA and Lexington Police Department.  The United States was represented by Assistant U.S. Attorneys David Kiebler and Todd Bradbury.

— END —

 

LEXINGTON, Ky. – A Lexington man, Maurice A. Taylor, 44, was sentenced on Thursday to 385 months in federal prison, by Chief U.S. District Judge Danny C. Reeves, for two counts of possession with intent to distribute cocaine (five kilograms and 500 grams) and one count of possession with intent to distribute 400 grams of fentanyl.

According to Taylor’s plea agreement, law enforcement was conducting an investigation into a residence that was being used to unload large shipments of illegal drugs.  On or about October 19, 2020, a trailer arrived at the residence and was pulled into the garage.  Shortly thereafter, Taylor had a woman come to the residence, where Taylor placed an item in her vehicle.  When she was stopped by police, she was in possession of approximately three kilograms of cocaine.  Inside the residence, police also found approximately 182 grams of a substance containing fentanyl.

Later, law enforcement was conducting a similar investigation, at a second residence, also involving the unloading of large shipments of drugs from a trailer.  On or about August 19, 2021, Taylor was followed to this second residence, where he waited for the resident to arrive.  Upon her arrival, they went into the residence and stayed for a few minutes.  Taylor then exited the residence with something under his shirt.  When he was apprehended, he was in possession of approximately one kilogram of cocaine and $18,166 in cash.  After his arrest, a search warrant was executed at the second residence, where law enforcement found an additional 7.9 kilograms of fentanyl.

Taylor pleaded guilty in July 2022.

“The defendant was dealing in massive amounts of illicit drugs, including more than eight kilograms of fentanyl, ” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “Fentanyl can be deadly in very small amounts – as little as two milligrams – meaning he had millions of potentially lethal doses of this incredibly dangerous drug.  For that reason, there can be little question that this investigation and arrest saved countless lives and dodged a massive impact on our community.  He unquestionably deserves the sentence imposed and I commend the dedicated work of all our law enforcement partners, whose efforts made this prosecution possible – and this community safer.”

"For years, Mr. Taylor has trafficked illicit drugs throughout the Lexington community wreaking havoc on countless families," said Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office. "Through steadfast collaboration with the Lexington Police Department, DEA, U.S. Attorney 's Office - EDKY, he will now spend the better part of the rest of his life incarcerated. Today's sentence should send a clear message to those dealing illegal drugs, you will be held accountable."

“Individuals who cause harm and misery in their community through the sale of illicit drugs should bear the full brunt of the justice system,” said J. Todd Scott, Special Agent in Charge, DEA Louisville Field Division.  “Mr. Taylor preyed on vulnerable people and he must now account for his misdeeds by spending decades housed in a federal prison.”

“It takes all of us to keep our communities safe. I want to thank all of our federal partners who worked with the Lexington Police Department to apprehend and prosecute Mr. Taylor, said Chief Lawrence Weathers, Lexington Police Department. “Because of these efforts, we were able to stop an individual from supplying dangerous narcotics in our community.”

Under federal law, Taylor must serve 85 percent of his prison sentence.  He will be under the supervision of the U.S. Probation Office for eight years after his release from prison. 

United States Attorney Shier; FBI SAC Cohen; DEA SAC Scott; and Lexington Police Chief Weathers, jointly announced the sentencing.

The investigation was conducted by the FBI, DEA, and Lexington Police Department.  The United States was represented by Assistant U.S. Attorney Roger West.

This case was prosecuted as part of the Organized Crime and Drug Enforcement Task Force’s (OCDETF) Operation Synthetic Opioid Surge (SOS), a Department of Justice initiative designed to target trafficking of dangerous synthetic opioids.

— END —

ASHLAND, Ky.- An Ashland, Ky., man was convicted on Friday by a federal jury in Ashland for charges related to child pornography.

After one hour of deliberations, following a three-day trial, the jury convicted 70-year-old Adam Fonso Childers of distributing and possessing child pornography.

According to testimony at trial, Childers was identified as being in the top 10 list of individuals sharing child pornography in Kentucky via a peer-to-peer file sharing program.  An investigation was initiated and, between October 5-6, 2020, Childers was found to have distributed multiple files of child pornography using the peer-to-peer file sharing network. A search warrant was then obtained for Childers’ home. The search revealed that, over decades, Childers had acquired multiple forms of media found to contain child pornography. This media included magazines he acquired in the 1970s, binders of printed materials, multiple disks, seven external hard drives, and a desktop computer. In total, Childers possessed hundreds of thousands of images and videos of child pornography, include depictions of minors under the age of 12 engaged in sexually explicit activity.

Childers was indicted in March 2022.

“Not only did the defendant possess thousands of images of minors engaged in sexually explicit conduct, but he was also prolific in sharing them with others,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “Combatting this despicable conduct is a core priority for our office and is critical to protecting our communities’ vulnerable youth.  We commend the dedicated efforts of our law enforcements partners; without it, this prosecution would not have been possible.” 

"Children are one of the Commonwealth’s most precious resources, yet one of its most vulnerable. Every year, thousands of minors fall victim to online predators seeking to exploit their innocence," said Jodi Cohen, Special Agent in Charge, FBI Louisville Field Office. "Through dedicated work by FBI Louisville and our law enforcement partners, Mr. Childers’ conviction ensures that at least one predator will no longer cause irreparable harm to our society."

“Children are amongst the most valuable assets in our community, the Ashland Police Department will continue to proudly stand in defense of children and pursue those persons who foolishly attempt to exploit them,” said Chief W. Todd Kelley, Ashland Police Department.

U.S, Attorney Shier; FBI Special Agent in Charge Cohen; Col. Phillip Burnett, Commissioner, Kentucky State Police; and Chief W. Todd Kelley, Ashland Police Department, jointly announced the conviction.

The investigation was conducted by FBI, KSP, and the Ashland Police Department. The U.S. Attorney’s Office was represented in the case by Assistant U.S. Attorneys Erin Roth and Mary Melton.   

Childers will appear for sentencing on May 8, 2023. He faces a maximum of 20 years in prison on each count of conviction. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal sentencing statutes before imposing a sentence.

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

 

— END —

LEXINGTON, Ky. – A Georgetown, Ky., man, Ralph Tackett, 66, was sentenced to 33 months in federal prison on Monday, by Chief U.S. District Judge Danny C. Reeves, for wire fraud.

According to the agreed facts presented, Tackett was the treasurer of a church in Georgetown, who embezzled a total of $512,042.00, in part through the commission of wire fraud.  Tackett admitted, among other facts, that from December 2015 until July of 2019, he stole money directly from the church, by transferring funds to pay on his personal credit cards, by issuing checks which he deposited into his own personal and business accounts for his own benefit, and by unlawfully transferring money in other ways, to meet the demands of a third-party.  Throughout this time, Tackett concealed the true nature of the church’s expenditures from the church Pastor and Board members, by exploiting his position of trust and the access he wielded as the organization’s treasurer.  The church endured substantial financial hardship as a result of Tackett’s theft.   

As part of his sentence, Tackett was ordered to pay restitution in the amount of $532,807.46 to the church.  This amount includes the amount of money he embezzled directly, as well as the additional costs the church was found to have incurred as a direct result of Tackett’s crime.

Under federal law, Tackett must serve 85 percent of his prison sentence; and upon his release from prison, he will be under the supervision of the U.S. Probation Office for three years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky and Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office, jointly announced the sentence.

The investigation was conducted by the FBI.  The United States was represented by Assistant United States Attorney Tashena A. Fannin.

###

LEXINGTON, Ky. – A Romanian national was sentenced on Monday to 89 months in prison for his role in a transnational, multimillion-dollar scheme to defraud American victims. He is the 24th member of the organized criminal group to be sentenced, of the 28 who were charged.

Ionut-Razvan Sandu, 35, of Romania, pleaded guilty in April 2022 to conspiracy to commit a Racketeer Influenced and Corrupt Organizations Act (RICO) offense. Four other defendants pleaded guilty to this offense and were sentenced for their roles in the conspiracy between Nov. 16 and 18, 2022, including: Rafael-Liviu Cucu, 33, of Romania to 61 months; Alexandru-Catalin Calin, 40, of Romania, to 61 months; Ciprian-Ionut Filip, 37, of Romania to 70 months; and Gabriel Constantin Georgescu, 37, of Romania to 63 months.

“This highly organized and sophisticated syndicate stole directly from the pockets of hard-working Americans. The criminals then used digital currency to launder their ill-gotten gains,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Today’s result is proof that the Criminal Division and our law enforcement partners will never stop pursuing cybercriminals who target the American public—no matter where these criminals reside, and no matter what tools they use to hide.”

“Cybercrime is an increasingly prevalent means for criminals to prey on the public, causing victims, from across the United States, to lose millions of dollars,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “To continue to protect Americans against organized cybercrime, cooperation and coordination among law enforcement is essential. This case is the result of a massive, years-long effort by the U.S. Secret Service to coordinate the investigation of this crime and identify and apprehend the offenders. I commend the exceptional work done by all our law enforcement partners, and we are proud to have joined this cooperative effort to prosecute this significant cyber fraud scheme.”

“Financial crimes that take place in the cyber domain have a very real impact on everyday Americans and their families,” said Special Agent in Charge Robert Holman of the U.S. Secret Service Louisville Field Office. “The Secret Service remains committed to investigating such crimes, and we appreciate the continued support of our local, state, federal, and international law enforcement partners as we work together to bring those responsible to justice.”

According to plea documents, beginning as early as October 2014, Sandu and other members of the criminal organization collectively developed a process and offered a service by which co-conspirators based in the United States and abroad would launder the proceeds of online auction fraud.

According to court documents, Georgescu, Filip, and other co-conspirators posted false advertisements to popular online auction and sales websites, such as eBay, for goods that did not actually exist. Members of the conspiracy created fictitious online accounts to post these advertisements and communicate with victims, sometimes using the stolen identities of Americans to do so. The advertisements typically marketed the sale of used vehicles or similar goods and targeted working-class Americans.

Members of the conspiracy used several tactics to convince victims to send money for the advertised goods. For example, they impersonated a military member who needed to sell the advertised item before deployment. In furtherance of the scheme, the defendants delivered invoices to the victims bearing trademarks of reputable companies to make the transaction appear legitimate. The defendants also set up call centers to impersonate customer support, address questions, and alleviate concerns over the advertisements.

Once victims had sent payment, members of the conspiracy engaged in a complex money laundering scheme offered by Sandu and others wherein U.S.-based conspirators received victim funds, converted those funds to cryptocurrency, and transferred proceeds in the form of cryptocurrency to foreign-based money launderers. Those foreign-based money launderers, such as Cucu and Calin, would then work with other members of the conspiracy to convert the bitcoin back into fiat currency. Sandu was held responsible for laundering over $3.5 million worth of fraudulent proceeds. To date, law enforcement has identified over 900 victims of this scheme.

The investigation was conducted by the U.S. Secret Service, Kentucky State Police, Lexington Police Department, IRS Criminal Investigation and U.S. Postal Inspection Service, and supported by the Justice Department’s Organized Crime Drug Enforcement Task Force (OCDETF) and the International Organized Crime Intelligence and Operations Center (IOC-2). Assistance was provided by the Romanian National Police (Service for Combating Cybercrime), the Romanian Directorate for Investigating Organized Crime and Terrorism (Agency for Prosecuting Organized Crime), and the Supreme Prosecutor’s Office of Cassation of the Republic of Bulgaria. The Justice Department’s Office of International Affairs and Criminal Division’s Money Laundering and Asset Recovery Section provided significant support.

This case is being prosecuted by Senior Counsel Frank Lin of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Kathryn M. Dieruf of the U.S. Attorney’s Office for the Eastern District of Kentucky.

Individuals who believe they may be victims of the online auction fraud scheme described herein are encouraged to visit the following website to obtain more information: www.justice.gov/usao-edky/information-victims-large-cases.

— END —

PIKEVILLE, Ky. – A Pippa Passes, Ky., man, Tony Minor, 44, was sentenced on Tuesday to 298 months in federal prison, by U.S. District Judge Robert Wier, for possession with intent to distribute methamphetamine and fentanyl, and possession of a firearm in furtherance of drug trafficking.

According to Minor’s plea agreement, on February 10, 2022, law enforcement attempted to stop a vehicle in which Minor was an occupant.  Minor ran from law enforcement, who eventually apprehended him and found baggies, a scale, and over 100 grams of methamphetamine on his person.  Law enforcement then searched Minor’s residence and found additional drugs, including over 40 grams of fentanyl and a loaded firearm.  Minor possessed this firearm to protect himself from the dangers of drug trafficking and was not legally permitted to possess the firearm because he was a convicted felon.

Minor pleaded guilty to the current charges in August 2022.  Minor was previously convicted of a drug trafficking felony in the Knott County Circuit Court.

Under federal law, Minor must serve 85 percent of his prison sentence.  He will be under the supervision of the U.S. Probation Office for eight years after his release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI Louisville Field Office; and Sheriff Dale Richardson, Knott County Sheriff’s Office, jointly announced the sentence. 

The investigation was conducted by the FBI, KSP, and Knott County Sheriff’s Office.  The United States was represented by Assistant U.S. Attorney Andrew Trimble.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

— END —

A Romanian national was sentenced today to 89 months in prison for his role in a transnational, multimillion-dollar scheme to defraud American victims. He is the 24th member of the organized criminal group to be sentenced, of the 28 who were charged.

Ionut-Razvan Sandu, 35, of Romania, pleaded guilty in April 2022 to conspiracy to commit a Racketeer Influenced and Corrupt Organizations Act (RICO) offense. Four other defendants pleaded guilty to this offense and were sentenced for their roles in the conspiracy between Nov. 16 and 18, 2022, including: Rafael-Liviu Cucu, 33, of Romania to 61 months; Alexandru-Catalin Calin, 40, of Romania, to 61 months; Ciprian-Ionut Filip, 37, of Romania to 70 months; and Gabriel Constantin Georgescu, 37, of Romania to 63 months.

“This highly organized and sophisticated syndicate stole directly from the pockets of hard-working Americans. The criminals then used digital currency to launder their ill-gotten gains,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Today’s result is proof that the Criminal Division and our law enforcement partners will never stop pursuing cybercriminals who target the American public—no matter where these criminals reside, and no matter what tools they use to hide.”

“Cybercrime is an increasingly prevalent means for criminals to prey on the public, causing victims, from across the United States, to lose millions of dollars,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “To continue to protect Americans against organized cybercrime, cooperation and coordination among law enforcement is essential. This case is the result of a massive, years-long effort by the U.S. Secret Service to coordinate the investigation of this crime and identify and apprehend the offenders. I commend the exceptional work done by all our law enforcement partners, and we are proud to have joined this cooperative effort to prosecute this significant cyber fraud scheme.”

“Financial crimes that take place in the cyber domain have a very real impact on everyday Americans and their families,” said Special Agent in Charge Robert Holman of the U.S. Secret Service Louisville Field Office. “The Secret Service remains committed to investigating such crimes, and we appreciate the continued support of our local, state, federal, and international law enforcement partners as we work together to bring those responsible to justice.”

According to plea documents, beginning as early as October 2014, Sandu and other members of the criminal organization collectively developed a process and offered a service by which co-conspirators based in the United States and abroad would launder the proceeds of online auction fraud.

According to court documents, Georgescu, Filip, and other co-conspirators posted false advertisements to popular online auction and sales websites, such as eBay, for goods that did not actually exist. Members of the conspiracy created fictitious online accounts to post these advertisements and communicate with victims, sometimes using the stolen identities of Americans to do so. The advertisements typically marketed the sale of used vehicles or similar goods and targeted working-class Americans.

Members of the conspiracy used several tactics to convince victims to send money for the advertised goods. For example, they impersonated a military member who needed to sell the advertised item before deployment. In furtherance of the scheme, the defendants delivered invoices to the victims bearing trademarks of reputable companies to make the transaction appear legitimate. The defendants also set up call centers to impersonate customer support, address questions, and alleviate concerns over the advertisements.

Once victims had sent payment, members of the conspiracy engaged in a complex money laundering scheme offered by Sandu and others wherein U.S.-based conspirators received victim funds, converted those funds to cryptocurrency, and transferred proceeds in the form of cryptocurrency to foreign-based money launderers. Those foreign-based money launderers, such as Cucu and Calin, would then work with other members of the conspiracy to convert the bitcoin back into fiat currency. Sandu was held responsible for laundering over $3.5 million worth of fraudulent proceeds. To date, law enforcement has identified over 900 victims of this scheme.

The investigation was conducted by the U.S. Secret Service, Kentucky State Police, Lexington Police Department, IRS Criminal Investigation and U.S. Postal Inspection Service, and supported by the Justice Department’s Organized Crime Drug Enforcement Task Force (OCDETF) and the International Organized Crime Intelligence and Operations Center (IOC-2). Assistance was provided by the Romanian National Police (Service for Combating Cybercrime), the Romanian Directorate for Investigating Organized Crime and Terrorism (Agency for Prosecuting Organized Crime), and the Supreme Prosecutor’s Office of Cassation of the Republic of Bulgaria. The Justice Department’s Office of International Affairs and Criminal Division’s Money Laundering and Asset Recovery Section provided significant support.

This case is being prosecuted by Senior Counsel Frank Lin of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Kathryn M. Dieruf of the U.S. Attorney’s Office for the Eastern District of Kentucky.

Individuals who believe they may be victims of the online auction fraud scheme described herein are encouraged to visit the following website to obtain more information: www.justice.gov/usao-edky/information-victims-large-cases.

FRANKFORT, Ky. – A Paris, Ky., man, Jalen Jones, 26, was sentenced on Thursday to 97 months in federal prison, by U.S. District Judge Gregory VanTatenhove, for distribution of fentanyl, carrying a firearm during a drug trafficking crime, and possession of a firearm by a convicted felon.   

According to Jones’ plea agreement, on November 28, 2021, Jones was found in possession of 12.5 grams of fentanyl, following a traffic stop.  He was arrested but later released on bond conditions.  Following that release, law enforcement conduct three controlled purchases of fentanyl and firearms from Jones.  Jones admitted that he was prohibited from owning firearms, as he had been previously convicted of felony offenses.

Jones pleaded guilty to the current charges in October 2022.  Jones previously had been convicted of two counts of trafficking a controlled substance in April 2015, and wanton endangerment in April 2015.

Under federal law, Jones must serve 85 percent of his prison sentence.  He will be under the supervision of the U.S. Probation Office for six years after his release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF Louisville Field Division; and Chief Myron Thomas, Paris Police Department, jointly announced the sentence. 

The investigation was conducted by ATF, the Paris Police Department, and the Bluegrass Narcotics Task Force.  The United States was represented by Assistant U.S. Attorney Francisco Villalobos.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

— END —

COVINGTON, Ky.— A Covington man, Anthony Michaelis, 34, and an Alexandria, Ky., man, Blake Barnes, 23, were sentenced to 258 months and 60 months in federal prison, respectively, on Tuesday, by U.S. District Judge David Bunning, for possession of controlled substances, including fentanyl, methamphetamine, and cocaine, with intent to distribute them, and brandishing a firearm in furtherance of their drug trafficking.

According to Michaelis’ plea agreement, on January 16, 2022, individuals at a Circle K store in Dayton, Ky., approached police and told officers that two men, later identified as Michaelis and Barnes, had approached them at a gas pump and offered to sell them controlled substances.  During this encounter, Michaelis pulled out a handgun and pointed it at the group.  Law enforcement subsequently located Michaelis and Barnes and recovered the handgun.  Barnes was wearing a backpack that contained over 12 grams of fentanyl and over 3 grams of actual methamphetamine.  Officers located a bag of white powder containing over 23 grams of cocaine in the Michaelis’s pants pocket.  In 2021, Michaelis had previously been found with over 70 grams of cocaine and 346 grams of marijuana that he intended to distribute, as well as $5,320.00 in currency.  

Michaelis pleaded guilty to the charge in August 2022.  Barnes pleaded guilty in September 2022.  Michaelis has previous felony convictions for robbery, assaulting a police officer, and assaulting a prison inmate.

Under federal law, both must serve 85 percent of their prison sentences.  Upon their release from prison, Michaelis will be under the supervision of the U.S. Probation Office for six years, and Barnes will be under supervision for five years.           

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Division; Chief David Halfhill, Dayton Police Department; and Chief Brian Valeni, Covington Police Department, jointly announced the sentence.

The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Dayton Police Department; and the Covington Police Department.  The United States was represented by Assistant U.S. Attorney Tony Bracke.

– END –

LONDON, Ky.— A Flint, Michigan man, Charles Ray Edwards, 39, was sentenced to 105 years in federal prison on Tuesday, by U.S. District Judge Robert E. Wier, after being convicted of armed drug trafficking and attempted robbery.           

In July 2022, Edwards was convicted of heroin trafficking, fentanyl trafficking, conspiracy to distribute both substances, felon in possession of a firearm, use of a firearm in furtherance of the drug trafficking, and for his role in an attempted Hobbs Act robbery at a convenience store.  His trafficking and robbery offenses involved three shooting victims, including the death of a bystander in the convenience store.

According to testimony at trial, Edwards was dealing heroin and fentanyl in Southeastern Kentucky region.  As part of his drug trafficking crimes, Edwards wounded two individuals in a shooting incident in Knox County.  Then, during the attempted robbery, a bystander in the store was shot and killed.  Edwards has a prior felony conviction and was prohibited from possessing firearms.

“Charles Edwards was trafficking in dangerous drugs, attempted to hold up a store, was involved in multiple shootings – one resulting in the death of a bystander – and did all this with firearms he was prohibited from possessing,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “There is little question his conduct warrants the sentence imposed, and that our communities will now be safer for his incarceration.  We will prioritize the prosecution of those who engage in such reckless and destructive violence and continue to do our part to protect our communities.  We hope this will provide some sense of justice to the victims and are grateful for the critical efforts of our law enforcement partners.”

“ATF’s core mission is to protect the public from violent criminals like Charles Edwards,” said ATF Special Agent in Charge R. Shawn Morrow of the Louisville Field Division.  “Armed drug trafficking and violence go hand in hand.  Today, Edwards was held accountable for his actions because of the hard work of our ATF London Office, Kentucky State Police, Williamsburg Police Department, and the U.S. Attorney’s Office. This investigation demonstrates our continued commitment to stopping violent criminals and the drug traffickers that plague our Eastern Kentucky communities.”

United States Attorney Shier; ATF SAC Morrow; Colonel Phillip Burnett Jr., Commissioner, Kentucky State Police; and Chief Jason Caddell, Williamsburg Police Department, jointly announced the sentence.

The investigation was conducted by the ATF, KSP, and Williamsburg Police Department.  The United States was represented in the case by Assistant U.S. Attorneys Jenna Reed and Jason Parman.  

This case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  The PSN program involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

– END –

LEXINGTON, Ky.— A Nicholasville, Ky., man, Noah James Grimes, 30, was sentenced to 20 years in federal prison on Monday, by U.S. District Judge Karen C. Caldwell, after pleading guilty to enticing a minor to engage in sexually explicit conduct outside the United States, with the purpose of producing a visual depiction of that conduct.

According to Grime’s guilty plea, a minor victim from Ontario, Canada, told their parent that someone had taken sexually explicit pictures of them at daycare.  That person had been talking on a video chat with Grimes around the time the pictures were taken.  Law enforcement discovered that the person who had taken the sexually explicit photos of the minor had been asked to do so by Grimes and had previously sent pictures of herself to Grimes, when she was a minor.  A search warrant of Grimes phones revealed more than a hundred images of minor males, under the age of 12.  Grimes admitted to knowingly persuading someone to produce sexually explicit images outside the United States and having those images sent to him.

Grimes pleaded guilty to the charge in January 2022.

Under federal law, Grimes must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for life.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office; Chief Frank Bergen, Hamilton Police Department, Ontario, Canada; and Chief Bryan MacCulloch, Niagara Regional Police Service, Ontario, Canada, jointly announced the sentence.

The investigation was conducted by the FBI, the Hamilton Police Department and Niagara Regional Police Service.  The United States was represented by Assistant U.S. Attorney David Marye.

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

– END –

LEXINGTON, Ky. — A Lexington man, Ramon Camacho Zepeda, 54, was sentenced to life in in federal prison, on Friday, by U.S. District Judge Karen Caldwell, after previously being convicted of conspiracy to commit kidnapping and interstate transportation of stolen automobiles.

According to evidence presented at trial, the charges stemmed from the kidnappings of two individuals, identified in court records as J.O. and M.A.T.O.  Both victims were killed during the commission of the kidnappings.  Their bodies were discovered in the trunk of a Volkswagen Jetta, on September 11, 2017, at 430 Blue Sky Parkway, in Lexington.  That location was an automotive repair business owned by J.O.  Two vehicles belonging to J.O. were stolen during the offenses and transported to Wilkes-Barre, Pennsylvania.  Evidence presented at trial revealed that Camacho Zepeda and Diaz Barraza were distributing kilogram quantities of cocaine and heroin in Lexington, and that J.O. had incurred a debt to them, based on his involvement in the drug trafficking.  Testimony by a pathologist from the Kentucky Medical Examiner’s Office established that J.O.’s cause of death was attributed to “chop wounds” to the head and asphyxiation.  The second victim, M.A.T.O., died from asphyxiation.

Zepeda, Rosario Diaz Barraza, 32, of Phoenix, and John Carlos Betancourt, 27, of Penuelas, Puerto Rico, were convicted at trial in April 2022.  Diaz Barraza was sentenced in September 2022 to 35 years in prison, followed by five years of supervised release.  Betancourt was sentenced in July 2022 to 84 months in prison, followed by three years of supervised release.

Additionally, Serrano-Jimenez pled guilty as charged to conspiracy to commit kidnapping in the case.  On October 6, 2022, he received 168 months in prison, followed by five years of supervised release. Finally, Jose Felix Tlatenchi, of Wilkes- Barre, pled guilty to an information as an accessory after the fact to the kidnapping. He was sentenced to 120 months and a term of SR

Under federal law, Zepeda must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for five years.

“This sentence brings to close the prosecution of a horrific crime,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “Unfortunately, in addition to the severe damage of abuse and addition, the illegal drug trade often brings with it dramatic violence.  Here, two people brutally lost their lives, and the sentences imposed are unquestionably warranted.  Bringing those responsible for this awful crime to justice involved tireless, dedicated, and remarkable work, by both our trial team and our law enforcement partners, across several states.  Those who continue to engage in this dangerous trade should know that we are committed and will continue to use all the resources available to us to combat it.”

“This case perfectly illustrates the brutal nature of drug trafficking; two individuals suffered a violent end because they got mixed up with the wrong crowd,” said Special Agent in Charge J. Todd Scott, head of the Drug Enforcement Administration’s Louisville Division.  “Lexington is a safer community today, with one more violent offender sentenced to prison for committing these barbaric acts.”

United States Attorney Shier; DEA Special Agent in Charge Scott; Colonel Phillip Burnett, Commissioner, Kentucky State Police; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentencing.

The lengthy investigation was conducted primarily by the Lexington Police Department, the Drug Enforcement Administration, and the Kentucky State Police.  Multiple additional law enforcement agencies also provided valuable assistance, including the Wilkes-Barre, Pennsylvania Police Department, the Reading, Pennsylvania Police Department, the Pennsylvania State Police, the New York City Police Department, the Harlingen, Texas Police Department, and the U.S. Department of Homeland Security Investigations.  The United States was represented in the case by Assistant U.S. Attorneys Todd Bradbury and Francisco Villalobos.             

-END-

LONDON, Ky. – A Williamsburg, Ky., woman, Jennifer Lee West, 60, was sentenced Tuesday to 4 months in federal prison, by U.S. District Judge Robert Wier, for committing Social Security fraud.

According to court documents, in December 2005, West requested to be the representative payee for a “Lorene Bryant,” who was receiving SSI benefits through the Social Security Administration.  However, that person did not exist; this was actually a false alternative identity of the defendant’s mother.  The defendant, with knowledge that this was not a real person, was fraudulently approved as the representative payee and falsely represented herself to be the child of the false identity.  From 2006 through 2020, the Defendant perpetuated the fraud, by annually completing false Representative Payee Reports.  The total loss of taxpayer funds from the fraud was $117,615.

West was also ordered to pay $117,615 in restitution.

Following her release from prison, West will be under the supervision of the U.S. Probation Office for two years.  Her supervised release conditions also include two months of home detention and 40 hours of community service per year.

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky, and Marvin D. Mauldin, Resident Agent-in-Charge, SSA Office of the Inspector General, jointly announced the sentence. 

The investigation was conducted by SSA-OIG.  The United States was represented by Special Assistant U.S. Attorney James Chapman.

— END —

ASHLAND, Ky. – A Catlettsburg, Ky., man, Jonathan Lee Smithers, 41, was sentenced to life in federal prison on Monday, before U.S. District Judge David Bunning, following his conviction for kidnapping.           

In his guilty plea agreement, Smithers admitted that, on May 1, 2022, he physically abused a victim with whom he had been in a romantic relationship. Then, under threat of force and using a firearm, he made the victim accompany him to a store, where he brandished the weapon, assaulted her with the weapon, and confined her inside the vehicle.  Smithers then drove her to the Flatwoods area.  After again confining her inside the vehicle, Smithers stopped the vehicle and forced her to exit.  Thereafter, still armed, he forced her to accompany him on foot, requiring her to climb fences, trespass on private property, and navigate random routes around the area for several hours.  She was eventually able to escape and hide from Smithers, and law enforcement found her collapsed at a gas station.

After the victim’s escape, Smithers remained in the area on foot.  Local law enforcement responded and Smithers was spotted coming out of the woods.  When approached by law enforcement, Smithers shot the responding officer in the throat. The wounded officer survived life-threatening injuries.

“Not only did he use a firearm to abduct, terrify, and assault someone he was in a relationship with, he shot and seriously wounded a law enforcement officer responding to the scene,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “Fortunately, through the dedicated work of our law enforcement partners, he must now pay the costs of his astonishing conduct.  Protecting our communities from violence is one of our highest priorities and we assume this sentence will serve as an example of the considerable consequences that can face those who engage in such stark acts of violence.”

“Today’s sentence ensures that an incredibly violent offender has been removed from the streets and will no longer be a threat to society.  Mr. Smithers not only tragically kidnapped his trusted partner and led her on a series of terrorizing demands, but he then seriously wounded a local police officer,” said Special Agent in Charge Jodi Cohen of the FBI’s Louisville Field Office.  “FBI Louisville is grateful to our federal, state, and local law enforcement partners for their dedication to keeping our communities safe and will continue to work tirelessly to protect our citizens from violent criminals.”

United States Attorney Shier; Special Agent in Charge Cohen; Colonel Phillip Burnett, Commissioner of the Kentucky State Police; Chief Todd Kelley, Ashland Police Department; and Chief David Smith, Flatwoods Police Department, jointly announced the sentence.

The investigation was conducted by the FBI, KSP, Ashland Police Department, and Flatwoods Police Department.  The United States was represented by Assistant U.S. Attorney Erin Roth.

— END —

ASHLAND, Ky. – An Ashland man, Thomas Bentley, 38, was sentenced on Friday to 108 months in federal prison, by U.S. District Judge David Bunning, for possession with intent to distribute 40 grams of more of fentanyl and being a felon in possession of a firearm.           

According to his plea agreement, on March 18, 2022, law enforcement responded to trespassing call from a store in Cannonsburg, Ky., and when they arrived at the scene, they found Bentley, in his car in the parking lot.  Bentley was found with 53.8 grams of a heroin and fentanyl mixture, drug paraphernalia, $2,826 in cash, and a loaded firearm.  Bentley admitted that he had previously been convicted of a felony and was prohibited from possessing a firearm.

Bentley had been convicted of possession of heroin, in February 2021.  Bentley pleaded guilty to the current charge in August 2022.

 Under federal law, Bentley must serve 85 percent of his prison sentence.  He will be under the supervision of the U.S. Probation Office for four years after his release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA, Louisville Field Division; and Sheriff Bobby Jack Woods, Boyd County Sherriff’s Office, jointly announced the sentence. 

The investigation was conducted by the DEA and Boyd County Sherriff’s Office.  The United States was represented by Assistant U.S. Attorney Emily Greenfield.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

— END —

          LEXINGTON, Ky. – An Irvine, Ky., man, Farrell Marcum, 58, was sentenced on Friday to 71 months in federal prison, by Chief U.S. District Judge Danny Reeves, for possession of a firearm as a convicted felon.

According to his plea agreement, on March 29, 2021, law enforcement received a call from a local hospital that a man had been shot.  It was later discovered that the man had been shot at Marcum’s residence, where Marcum told him to get off his property and then shot the man while he was leaving the property in his car.  At the residence, law enforcement found Marcum in possession of the firearm.  Marcum admitted that he knew he was a convicted felon and was prohibited from possessing a firearm.

Marcum was previously convicted of being a felon in possession of a firearm and possession of a stolen firearm.  Marcum pleaded guilty to the current charge in August 2022.

Under federal law, Marcum must serve 85 percent of his prison sentence.  He will be under the supervision of the U.S. Probation Office for three years after his release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF Louisville Field Division; and Sheriff Christ Flynn, Estill County Sherriff’s Office, jointly announced the sentence. 

The investigation was conducted by ATF and the Estill County Sherriff’s Office.  The United States was represented by Assistant U.S. Attorney Emily Greenfield.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

— END —

Two members of the Aryan Circle were sentenced this week for crimes they committed as part of their roles in the white supremacy prison gang.

William Glenn Chunn, aka Big Head, 40, of Conroe, Texas, was sentenced yesterday to life imprisonment for Racketeer Influenced and Corrupt Organizations (RICO) violations stemming from his leadership in the organization. On Nov. 26, 2021, he was convicted by a jury in the Eastern District of Texas of racketeering conspiracy for an attempted murder he ordered relating to a violent stabbing. On Oct. 3, he was also convicted by a jury in the Southern District of Mississippi of Violent Crime in Aid of Racketeering (VICAR) Attempted Murder and is awaiting sentencing in that case.

According to court documents and evidence presented at trial, Aryan Circle is a race-based and violent prison gang with hundreds of members operating throughout the country, both inside and outside of prisons. The Aryan Circle enforces its rules and promotes discipline among its members, prospects, and associates through threats, intimidation, and acts of violence including, but not limited to, acts involving assault and murder. Members are required to follow the orders of higher-ranking members without question.

Evidence presented at trial demonstrated that Chunn is one of the highest-ranking Aryan Circle leaders in the nation. He used his leadership role to order violent stabbings against rival gang members and other victims, as well as to seek out and retaliate against those he believed were cooperating with law enforcement.

In another case, Mitchell Farkas, aka Lifter, 52, of Baton Rouge, Louisiana, was sentenced on Dec. 5 to 30 years in prison for VICAR Attempted Murder and related charges stemming from his role in a separate violent prison stabbing he committed on behalf of the Aryan Circle. On Aug. 10, he was convicted by a jury in the Eastern District of Kentucky. Evidence presented at trial demonstrated that Farkas, along with another Aryan Circle member, stabbed an inmate at USP Big Sandy in Martin County, Kentucky, who the Aryan Circle believed had violated gang rules. As a result, the victim permanently lost vision in one eye.  

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Brit Featherston for the Eastern District of Texas, and U.S. Attorney Carlton S. Shier, IV for the Eastern District of Kentucky made the announcement.

The cases were investigated by the following agencies: the ATF; DEA; BOP; Texas Department of Public Safety; Houston Police Department-Gang Division; Montgomery County (TX) Precinct One Constable’s Office; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; Texas Department of Criminal Justice; New Jersey Department of Corrections-Special Investigations Division; Indiana State Police; Fort Smith (AR) Police Department; Arkansas Department of Corrections; Arnold (MO) Police Department; Jefferson County (MO) Sheriff’s Department; St. Louis Metropolitan Police Department; St. Louis County Police Department; Indiana Department of Corrections; Carrollton (TX) Police Department; Montgomery County (TX) Sheriff’s Office; Travis County (TX) Sheriff’s Office; Tarrant County (TX) Sheriff’s Office; Evangeline Parish (LA) Sheriff’s Office; Smith County (TX) Sheriff’s Office; McCurtain County (OK) Sheriff’s Office; Montgomery County (TX) District Attorney’s Office; Liberty County (TX) District Attorney’s Office; Harris County (TX) District Attorney’s Office; Mercer County (NJ) Prosecutor’s Office; Evangeline Parish (LA) District Attorney’s Office; and the Sebastian County (AR) District Attorney’s Office. The Organized Crime Drug Enforcement Task Forces provided valuable assistance.

Trial Attorney Rebecca Dunnan of the Criminal Division’s Organized Crime and Gang Section, Assistant U.S. Attorney Christopher Rapp for the Eastern District of Texas, and Assistant U.S. Attorney Gregory Rosenberg for the Eastern District of Kentucky prosecuted the cases.

LEXINGTON, Ky. — The United States Attorney’s Office for the Eastern District of Kentucky announced that Pikeville Medical Center (“PMC”) has agreed to pay the United States $4,394,600 in civil penalties, to resolve allegations that its violations of the Controlled Substances Act’s (“CSA”) recordkeeping provisions resulted in significant diversion of dangerous opioids from its pharmacy.  The settlement is one of the nation’s largest relating to CSA recordkeeping violations involving allegations of drug diversion at a hospital. The settlement is the third-largest civil penalty ever obtained from a hospital system under the CSA.

As a registrant with the U.S. Drug Enforcement Administration (“DEA”), PMC had certain recordkeeping obligations, which included maintaining complete and accurate records of each controlled substance received, dispensed, and disposed.  DEA has the authority to inspect the records of registrants like PMC, to verify that their records are complete, accurate, and in compliance with the CSA.

In settlement documents, the Government contends that over a two-year period, PMC violated multiple provisions of the CSA relating to recordkeeping, including by failing to maintain complete and accurate inventories and dispensing records for Schedule II controlled substances.  The Government alleges that as a result of these failures, a PMC pharmacy technician was able to divert more than 60,000 dosage units of oxycodone, hydrocodone, and methadone from PMC’s narcotics vault and Pyxis MedStations, from January 1, 2016, through September 7, 2018.  The controlled substances diverted from PMC ultimately were distributed by the pharmacy technician’s husband to the community.  Both the PMC pharmacy technician and her husband have pled guilty to violating 21 U.S.C. § 846, conspiracy to distribute Schedule II controlled substances, in the matter of United States v. Perry et al., 7:20-cr-12. 

“As the opioid crisis continues to plague communities in Kentucky, hospitals like PMC have a responsibility and critical role to play.  They must ensure that controlled substances are carefully tracked and protected against theft and loss, so that these drugs are not diverted for illegal uses,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky.  “My office will continue to seek appropriate civil penalties from healthcare providers who are careless with their recordkeeping and fail to provide effective safeguards against drug diversion.”

“All DEA registrants, to include hospitals and healthcare providers, are obligated to adhere to the strict record-keeping requirements outlined in the Controlled Substances Act; failure to do so often leads to the diversion of controlled substances,” said Special Agent in Charge Todd Scott, head of the Drug Enforcement Administration’s Louisville Division.  “The size of this fine shows how serious this situation is.  Hopefully, Pikeville Medical Center will do a better job in the future with their record keeping and the resulting harm inflicted on the community can be reversed.”

As part of the settlement, PMC has entered into a three-year Memorandum of Agreement with DEA, which prescribes the hospital’s drug-handling responsibilities going forward. These steps include: 

• Permitting DEA personnel to enter its registered location at any time during regular business hours without an administrative inspection warrant, and without prior notification to PMC, to verify compliance with the Memorandum of Agreement;
• Conducting an inventory of select controlled substances every six months and providing the results to DEA;
• Investigating and documenting any concerns about diversion, employee theft, or significant loss of controlled substances;
• Reporting suspicious controlled substance incidents to DEA on a quarterly basis; and
• Providing mandatory training on federal laws and regulations pertaining to controlled substances for all employees and contract personnel who have access to controlled substances.

PMC cooperated with the DEA’s investigation and self-reported the diversion.  As recognized in the Memorandum of Agreement, PMC took substantial steps to address its deficiencies in its handling of controlled substances before the settlement was entered.

A main objective of the CSA is controlling illegitimate traffic in controlled substances.  To prevent the diversion of controlled substances, the CSA regulates persons and entities that manufacture, distribute, and dispense controlled substances.  The Government’s investigation and resolution of this matter illustrates its continued emphasis on combating the prescription opioid crisis by ensuring that opioids are not diverted.  Anyone with concerns about prescription drug diversion can report them to the DEA, by submitting a tip at https://www.dea.gov/submit-tip.

The case was investigated by the Drug Enforcement Administration’s London Resident Office Diversion Group, with assistance from the Kentucky Board of Pharmacy, and handled by the U.S. Attorney’s Office’s Affirmative Civil Enforcement section, including Assistant U.S. Attorneys Meghan Stubblebine and Mary Melton.  The claims resolved by the settlement are allegations only, and there has been no determination of liability.

-END-

FRANFORT, Ky. — A Florida company, Modern Therapy, LLC, was sentenced on Friday to pay a $2.5 million fine by U.S. District Judge Gregory VanTatenhove for the unlawful distribution of anabolic steroids.

Modern Therapy operated out of Hallandale Beach, Florida.  According to its plea agreement, it marketed anabolic steroids, human growth hormone, and related products to customers over the Internet.  Anabolic steroids are a Schedule III controlled substance and may only be issued pursuant to a valid prescription for a legitimate medical purpose.  Modern Therapy paid physicians for use of their electronic signatures, which were applied to anabolic steroid prescriptions for customers the doctors never examined.  Modern Therapy sold and shipped steroids, HGH, and related products to customers across the country, including numerous Kentucky customers.  According to Modern Therapy’s plea agreement, between January 1, 2014 and February 1, 2020, the company received more than $25 million in customer payments for these illegally distributed products. 

Modern Therapy pleaded guilty to a conspiracy to unlawfully distribute controlled sustances in June 2022.  In addition to the $2.5 million fine, the sentence includes an $11 million forfeiture money judgment.  In a parallel civil forfeiture case, Modern Therapy agreed to forfeit three Florida residential properties purchased with proceeds of its crime, and $125,589 in currency seized from its bank accounts.\

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; and George Scavdis, Special Agent in Charge, Metro Washington Field Office, U.S. Food and Drug Administration - Office of Criminal Investigations (FDA-OCI), jointly announced the sentence.

This investigation was conducted by FDA-OCI, with substantial assistance from the Kentucky State Police - Drug Enforcement/Special Investigations (DESI - East); the West Virginia State Police; the Harrison County Sheriff’s Office; the Broward County (Florida) Sheriff’s Office - Money Laundering Task Force; the Kentucky Cabinet for Health & Family Services - Office of Inspector General - Drug Enforcement & Professional Practices Branch, and the Florida Department of Health - Bureau of Enforcement.  The United States was represented by Assistant U.S. Attorney Paul McCaffrey.

-END-

LONDON, Ky. – A Nashville, Tenn., man, Marlon Jermaine Johnson, 39, was sentenced Tuesday to 25 years in federal prison, by U.S. District Judge Claria Horn Boom, for possession with intent to distribute 500 grams or more of methamphetamine, possession of a firearm in furtherance of drug trafficking, and possession of a firearm as a convicted felon.           

According to evidence at trial, on November 18, 2019, Johnson led law enforcement officers with the Knox County Sheriff’s Department on a high-speed chase, through residential streets in Corbin, before crashing into a gate and a parked car.  Johnson then fled on foot, into a cemetery, where he was ultimately apprehended.  During a search of his vehicle, law enforcement located more than a kilogram of methamphetamine and a loaded firearm.

Johnson was convicted in July 2022.

Under federal law, Johnson must serve 85 percent of his prison sentence.  He will be under the supervision of the U.S. Probation Office for five years after his release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA Louisville Field Division; and Sheriff Mike Smith, Knox County Sherriff’s Office, jointly announced the sentence. 

The investigation was conducted by the Drug Enforcement Administration, the Knox County Sheriff’s Office, and Operation UNITE.  The United States was represented by Assistant U.S. Attorney Andrew Trimble.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

— END —

LEXINGTON, Ky. – A Lexington man, Shaan Ti Diyali, 37, was sentenced on Monday to six months in federal prison, by U.S. District Judge Karen Caldwell, for wire fraud.

Evidence presented at trial established that Diyali’s personal information was used to apply for an Economic Injury Disaster Loan (EIDL) for an insurance business via an online portal.  Diyali received an EIDL of $49,000.  Once he received the funds, Diyali placed the funds in Robinhood, a stock exchange.  Ultimately, Diyali lost all of the money he received from the EIDL.  The evidence further established that the insurance business never conducted any business and never made income, rendering the income that was stated in the EIDL application false. 

Diyali testified that he had no intent to defraud the United States, that a friend, whom he trusted, told him that the money was “free money,” and that his friend used Diyali’s personal information to apply for the loan. However, Diyali also admitted that he actually received the funds into his personal bank account and placed the funds into his Robinhood account. 

Diyali was convicted in August 2022.

Under federal law, Diyali must serve 85 percent of his prison sentence.  He will also be under the supervision of the U.S. Probation Office for two years after his release from prison.  Diyali is also required to pay restitution to the United States. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; and Jodi Cohen, Special Agent in Charge, FBI Louisville Field Office; and Daniel Cameron, Kentucky Attorney General, jointly announced the sentences.

The investigation was conducted by the FBI, the Kentucky Attorney General’s Office, and the United States Small Business Administration.  The United States was represented by Assistant U.S. Attorneys Ken Taylor and Andrea Mattingly Williams. 

— END —

COVINGTON, Ky – A Mason, Ohio, woman, Amanda Baker, 38, was sentenced on Tuesday to 168 months in prison, by U.S. District Judge David Bunning, for conspiracy to distribute 50 grams or more of methamphetamine.

According to her plea agreement, Baker was involved in a conspiracy that distributed multiple kilograms of crystal methamphetamine in Northern Kentucky and Southern Ohio.  Law enforcement seized almost two kilograms of crystal methamphetamine from Baker and a co-conspirator, Jeremy Anderson, on April 26, 2021, at a hotel in Covington, Kentucky. 

Baker pleaded guilty in August 2022.

Anderson was sentenced to 138 months in prison on August 16, 2022. 

Under federal law, each Defendant must serve 85 percent of their prison sentence.  Both will also be under the supervision of the U.S. Probation Office for five years after their release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Keith Martin, Special Agent in Charge, DEA Detroit Field Division; Scott Hardcorn, Director of the Northern Kentucky Drug Strike Force; and Brian Valenti, Chief of the Covington Police Department, jointly announced the sentences.

The investigation was conducted by the Drug Enforcement Administration, the Northern Kentucky Drug Strike Force, and the Covington Police Department.  The United States was represented by Assistant U.S. Attorney Tony Bracke.

— END —

COVINGTON, Ky. – A Cincinnati man, Tamar Pope, 36, was sentenced Tuesday to 262 months in federal prison, by U.S. District Judge David Bunning, for conspiracy to distribute 50 grams or more of methamphetamine and 400 grams or more of fentanyl, as well as aiding and abetting the distribution of 50 grams of methamphetamine.                

According to his plea agreement, Pope supplied more than 30 pounds of crystal methamphetamine and 15 pounds of fentanyl to a conspiracy that distributed these substances in Northern Kentucky and Southern Ohio.  Law enforcement seized significant amounts of methamphetamine from various conspiracy members in Kentucky and Ohio during the investigation. 

Pope has four previous convictions for drug trafficking and had been released from prison in 2019.   

Pope pleaded guilty to the current charges in June 2022.

Five other defendants have already been sentenced for their roles in the conspiracy.  Robert Pflug was sentenced to 144 months; Holly McHenry was sentenced to 180 months; Thomas Powers was sentenced to 48 months; Travis Lelesch was sentenced to 84 months; and Allie Skirvin was sentenced to 202 months.            

Under federal law, each Defendant must serve 85 percent of their prison sentence.  Pope will be under the supervision of the U.S. Probation Office for five years after his release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Keith Martin, Special Agent in Charge, DEA Detroit Field Division; Bryan Allen, Chief of the Villa Hills Police Department; and Christopher Fangman, Chief of the Newport Police Department, jointly announced the sentences. 

The investigation was conducted by the Drug Enforcement Administration, the Villa Hills Police Department, and the Newport Police Department.  The United States was represented by Assistant U.S. Attorney Tony Bracke.

— END —

LONDON, Ky.— An Albany, Ky., man, Jeremy Lynch, 42, was sentenced to 180 months in federal prison on Tuesday, by U.S. District Judge Claria Horn Boom, for conspiracy to distribute 500 grams or more of methamphetamine.

According to Lynch’s plea agreement, on February 25, 2019, law enforcement searched a hotel room occupied by Lynch, finding approximately one pound of methamphetamine.  Additionally, law enforcement searched a vehicle being used by Lynch, finding another pound of methamphetamine.  Lynch admitted that he was in possession of the methamphetamine and intended to distribute it to others in the Wayne County area.

Lynch had previously been convicted of a serious drug felony, manufacturing methamphetamine, in Jefferson County Circuit Court.  Lynch pleaded guilty to the current charge in July 2022.

Under federal law, Lynch must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for 10 years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA, Louisville Field Division; Chief Joey Hoover, Monticello Police Department; and Director Wayne Conn, Lake Cumberland Drug Task Force, jointly announced the sentence.

The investigation was conducted by the DEA, Monticello Police Department, and Lake Cumberland Drug Task Force.  The United States was represented by Assistant U.S. Attorney Andrew Trimble.

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LONDON, Ky.— A Somerset, Ky., man, Mark A. Bauer, 35, was sentenced to 120 months in federal prison on Tuesday, by U.S. District Judge Claria Horn Boom, for conspiracy to distribute 500 grams or more of methamphetamine.

According to Bauer’s plea agreement, he developed a relationship with multiple suppliers of methamphetamine, and he regularly obtained multi-ounce quantities for the purpose of distributing it to others in the area.  On January 5, 2020, law enforcement served an arrest warrant on Bauer, finding multiple bags of methamphetamine on his person.

Bauer pleaded guilty in July 2022.

Under federal law, Bauer must serve 85 percent of his prison sentence.  Upon his release from prison, he will be under the supervision of the U.S. Probation Office for three years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office; Chief William Hunt, Somerset Police Department; and Sheriff Greg Speck, Pulaski County Sheriff’s Office, jointly announced the sentence.

The investigation was conducted by FBI, Somerset Police Department, and the Pulaski County Sheriff’s Office.  The United States was represented by Assistant U.S. Attorney Andrew Trimble.

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LEXINGTON, Ky.— A Danville, Ky., man, Casey Scott Armstrong, 47, was sentenced to 360 months in federal prison on Monday, by U.S. District Judge Karen Caldwell, for production of child pornography.

Armstrong’s plea agreement confirms that, in March 2021, Armstrong began sharing methamphetamine with a minor female and, in May 2021, Armstrong began engaging in sexual acts with the same minor, later producing two videos of himself engaging in sex with the minor.  The plea agreement also confirms that Armstrong gave methamphetamine and engaged in sex with another minor female in August 2021.  

Armstrong pleaded guilty in August 2022.

Under federal law, Armstrong must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for life.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI, Louisville Filed Office; and Chief Tony Gray, Danville Police Department jointly announced the sentence.

The investigation was conducted by the FBI and Danville Police Department. The United States was represented by Assistant U.S. Attorneys Erin Roth and Mary Melton.

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

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LEXINGTON, Ky. – United States Attorney Carlton S. Shier, IV, announced Tuesday that an agreement has been reached with the Lexington-Fayette Urban County Government’s Department of Community Corrections, to ensure that people who take medication to treat opioid use disorder (OUD) can remain on their medication while in custody at Fayette County Detention Center (FCDC), as required by the Americans with Disabilities Act (ADA).

The agreement resolves a U.S. Attorney’s Office ADA compliance review of FCDC, in which it was determined that, as a matter of policy, the facility did not provide most individuals with OUD with methadone and buprenorphine, medications that treat OUD. The settlement agreement requires FCDC to revise its policies to provide access to all three forms of medications to people with OUD and ensure that decisions about treatment are based on an individualized determination by qualified medical personnel.

“Eastern Kentucky has long been on the front lines of the opioid epidemic and our office remains committed to a comprehensive approach to fighting this public health crisis, including enforcement of the ADA’s requirements safeguarding treatment,” said U.S. Attorney Shier. “Access to medications that treat opioid use disorder saves lives, and we commend the Lexington-Fayette Urban County Government’s Department of Community Corrections for working collaboratively with our office to implement a policy that ensures access to this important treatment for the people in its custody.”

OUD is considered a disability under the ADA, which requires that jails and prisons maintain the medications of individuals in treatment for their OUD. Methadone and buprenorphine (including brand names Subutex and Suboxone) are approved by the Food and Drug Administration to treat OUD. According to the U.S. National Institute on Drug Abuse (NIDA), methadone and buprenorphine help diminish the effects of physical dependency on opioids. When taken as prescribed, these medications are safe and effective.

This matter was handled by Assistant U.S. Attorney Carrie Pond, as part of an ongoing effort by the U.S. Attorney’s Office to enforce the ADA, seeking to eliminate discriminatory barriers to treatment for OUD. It is the Department of Justice’s twenty-eighth agreement resolving allegations of ADA violations arising from OUD treatment and the U.S. Attorney’s Office’s second this year.

To find out more about the ADA or this settlement agreement, access the Department’s ADA website at http://www.ada.gov. For more information on the Office’s civil rights efforts or to report a potential violation of the ADA or other federal civil rights laws, please visit http://www.justice.gov/usao-edky/civil-rights

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LEXINGTON, Ky. – A Beattyville, Ky., man, Byron Wathen, 47, was sentenced in federal court on Tuesday, to ten years in prison, by U.S. District Judge Karen Caldwell, for possession with the intent to distribute 50 grams or more of methamphetamine.

According to his plea agreement, on March 11, 2022, law enforcement found Wathen passed out, laying on his steering wheel at a car wash.  During the incident, law enforcement located a pill pocket that contained a crystal substance and, elsewhere in his vehicle, a black bag containing 70 grams of methamphetamine, scales, and $6,613 in cash.

Wathen pleaded guilty in August 2022.

Under federal law, Wathen must serve 85 percent of his prison sentence.  Upon his release, his three-year term of supervision by the U.S. Probation Office will commence.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA, Louisville Field Division; and Grant Faulkner, Chief of Police, Stanton Police Department, jointly announced the sentence.

The investigation was conducted by the DEA and the Stanton Police Department. The United States was represented by Assistant U.S. Attorney Emily Greenfield.

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LEXINGTON, Ky. – Eyron Smith, 31, of Lexington, was sentenced in federal court on Monday, to 100 months in prison, by Chief U.S. District Judge Danny C. Reeves for possession with intent to distribute 40 grams or more of fentanyl and possession of a firearm by a convicted felon.

According to his plea agreement, on November 5, 2021, law enforcement executed a search warrant on Smith’s residence and vehicle and found him in possession of a loaded pistol and bags of heroin and fentanyl. Smith admitted that he possessed the drugs, and that he was a convicted felon and could not posses a firearm.

Smith pleaded guilty to the current charges in July 2022. Smith was previously convicted of complicity to wit reckless homicide in November 2016.

Under federal law, Smith must serve 85 percent of his prison sentence.  Upon his release, he will be under supervision by the U.S. Probation Office for five years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Office; Lawrence Weathers, Chief of the Lexington Police Department; and Todd Justice, Chief of the Nicholasville Police Department, jointly announced the sentence.

The investigation was conducted by ATF, Lexington Police Department, and Nicholasville Police Department. The United States was represented by Assistant U.S. Attorney Cynthia Rieker.

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COVINGTON, Ky. – A Bellevue, Ky., man, Perrin George March V, 27, was sentenced in federal court on Tuesday, to 32 months in prison, by U.S. District Judge David Bunning, for illegal possession of a firearm.

According to March’s plea agreement, law enforcement executed a federal search warrant at his residence and found a fully loaded AK-47 pistol, ammunition, and large capacity magazines.  March admitted that he knew he was currently subject to a domestic violence order and was prohibited from possessing a firearm or ammunition.  

March pleaded guilty in July 2022.

Under federal law, March must serve 85 percent of his prison sentence.  Upon his release, his three-year term of supervision by the U.S. Probation Office will commence.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office, jointly announced the sentence.

The investigation was conducted by the FBI. The United States was represented by Assistant U.S. Attorney Emily Greenfield.

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FRANKFORT, Ky.— A Lawrenceburg, Ky., man, David Allen Kiper, 34, was sentenced to 276 months in federal prison on Tuesday, by U.S. District Judge Gregory VanTatenhove, for the production of child sexual abuse material.

According to Kiper’s plea agreement, on March 31, 2021, law enforcement received a referral from the Australian Federal Police, in reference to a subject posting on a Russian website associated with the sexual exploitation of children. In an interview, Kiper admitted to using the Russian website to download sexually explicit images of children from the internet.  Kiper further admitted that he had multiple sexually explicit images of children on his phone and to having a sexual interest in children.  Kiper also admitted to producing a video of himself sexually abusing a three-year old minor.

Kiper pleaded guilty in August 2022.

Under federal law, Kiper must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for life.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jerry Templet, Special Agent in Charge, Department of Homeland Security - Homeland Security Investigations; and Col. Phillip Burnett, Commissioner, Kentucky State Police, jointly announced the sentence.

The investigation was conducted by the Department of Homeland Security - Homeland Security Investigations and KSP. The United States was represented by Assistant U.S. Attorney Erin Roth.

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

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LEXINGTON, Ky.—Carlton S. Shier, IV, the United States Attorney for the Eastern District of Kentucky, announced on Tuesday a new initiative to address environmental justice and public health concerns. U.S. Attorney Shier has designated two Assistant United States Attorneys, Emily Greenfield and Carrie Pond, as Environmental Justice Coordinators to coordinate the U.S. Attorney’s Office’s efforts to address those concerns. Members of the public may visit the website at https://www.justice.gov/usao-edky/environmental-justice for information on where to report environmental violations or public health issues, and how to report such concerns to the Environmental Justice Coordinators.

The Office’s reporting procedures are part of the Department of Justice’s Comprehensive Environmental Justice Enforcement Strategy, which seeks to advance environmental justice through timely and effective remedies for environmental violations and injuries to natural resources in “underserved communities that have been historically marginalized and overburdened, including low-income communities, communities of color, and Tribal and Indigenous communities.” 

The Department of Justice enforces the Nation’s civil and criminal environmental laws, including the Clean Air Act, Clean Water Act, and hazardous waste laws.  An intentional decision to violate these laws may be a federal crime. For example, intentionally discharging pollutants into a river without a permit, or bypassing a required pollution control device, is a criminal act that carries the possibility of incarceration and monetary fines. The Department also protects natural resources and handles cases relating to tribal rights and resources. 

The district’s Environmental Justice Coordinators also will lead efforts to remedy environmental violations and contaminations by pursuing actions under the civil rights laws, worker safety and consumer protection statutes, and the False Claims Act. For example, a federal contractor who violates a contractual provision mandating the proper disposal of hazardous waste may be subject to liability under the False Claims Act; a landlord who leases a home without disclosing known information about lead-based paint may violate federal lead disclosure rules.

The Office will continue to partner and coordinate with the Environmental Protection Agency, law enforcement partners, local communities, and agencies across federal, state, and local governments to better serve the needs of disadvantaged communities and the mission of environmental justice throughout the Eastern District of Kentucky. To find out more information about Environmental Justice, learn about additional points of contact for federal agencies, or to contact our Coordinators, visit https://www.justice.gov/usao-edky/environmental-justice.

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LEXINGTON, Ky. – Jason L. Cates, 38, was sentenced in federal court on Monday to five years in prison by Chief U.S. District Judge Danny C. Reeves for conspiring to transport stolen sports cards and other sports merchandise across state lines. 

According to his plea agreement, from August 19, 2021, to October 14, 2021, Cates burglarized multiple sports cards businesses in Kentucky, Tennessee, Michigan, and Georgia, taking thousands of dollars of sports cards and other merchandise and transporting it across state lines back to his home in Knoxville, Tennessee.  He then sold the cards to buyers he found online and kept the proceeds for his own financial benefit.

In addition to his prison sentence, Cates was also ordered to pay $289,266 in restitution and $50,000 as part of a forfeiture money judgment. 

Under federal law, Cates must serve 85 percent of his prison sentence.  Upon his release, his three-year term of supervision by the U.S. Probation Office will commence.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, Federal Bureau of Investigation (FBI), Louisville Field Office; Paul Noel, Chief of the Knoxville Police Department; Frank McCann, Chief of the Cartersville, Georgia Police Department; and Lawrence Weathers, Chief of the Lexington Police Department, jointly announced the sentence.

The investigation was conducted by the FBI, the Knoxville Police Department, the Cartersville Police Department and the Lexington Police Department.  The United States was represented by Assistant U.S. Attorney Will Moynahan.

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