District of Maryland

Greenbelt, Maryland - U.S. District Judge Theodore Chuang sentenced Richard A. Brennan, age 43, of Clarksburg, Maryland, today to 42 months in prison, followed by three years of supervised release, for mail fraud, and for making a false statement on a tax return.  Judge Chuang entered a judgment ordering Brennan to pay a $150,000 fine, $2.9 million in restitution to the victims of the fraud and $297,087 in restitution to the Internal Revenue Service.  In addition, Judge Chuang ordered Brennan to perform 200 hours of community service.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Postal Inspector in Charge David G. Bowers of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge William P. McMullan of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Maryland Attorney General Brian E. Frosh.   

According to his plea agreement, until January 2009, Brennan was a licensed attorney in Maryland. In late 2005 or early 2006, Brennan established the Law Offices of Richard A. Brennan (LORAB) to perform debt settlement services. “Debt settlement” differs from “debt management” services, in that, in debt management, debtors continue to make payments on accounts on negotiated terms, while debt settlement involves allowing debt accounts to go delinquent and making a lump sum offer to settle the account.  While debt management services – and the fees that could be charged customers – were closely regulated in Maryland, debt settlement services were not.

The Maryland Attorney General’s Office and the Maryland Attorney Grievance Commission both received a high number of complaints from Brennan’s customers reporting that they were deceived by telemarketers who convinced them of the high probability of success by engaging Brennan and his debt settlement program, but who reported seeing little success in having their debts resolved.  When the clients complained to LORAB, their calls frequently went unreturned and they were typically told their payments would not be refunded as they constituted Brennan’s attorney fees.

In October 2007, Brennan agreed with the Maryland Attorney General’s Office to cease engaging in a number of business practices, including misuse and commingling of his clients’ funds.  Despite this, Brennan violated the agreement by continuing to recruit new clients without making the disclosures required under the agreement with the Attorney General’s office, and by omitting any mention of his restrictions under the agreement, which included a requirement that he maintain a surety bond in order to continue to provide debt settlement services.

To evade the restrictions in the agreement and to keep new clients from researching the large numbers of complaints posted online about his practices, Brennan changed his business entity name several times in quick succession, to include doing business for a few months as the Capital Law Group, then the Frederick Law Group and later as the Metro Law Group.  Brennan also instructed telemarketers working for him to deny the new entities’ relationship with Richard Brennan.

In January 2009, Brennan surrendered his license to practice law by signing a joint petition with the Attorney Grievance commission. In that document, Brennan admitted that he had used client trust money for purposes other than its intended use.  In June, 2009, Brennan appeared before the Circuit Court of Frederick County and acknowledged that he continued to debit funds from client bank accounts even after his surety bond had been revoked.  Brennan was ordered to pay a $2.58 million money judgment in restitution to clients from whom he collected money up until October 2007. The Court also briefly jailed Brennan for contempt after he failed to provide the Attorney General’s Office a list of clients or accounting for funds as he had promised.

Even after losing his license to practice and this judgment, Brennan continued to attempt to defraud debt clients.  On November 6, 2009, Brennan mailed an existing Frederick Law Group client a letter under the business entity name “International Debt Solutions.”  In that letter, Brennan acknowledged that Frederick Law Group’s “web site and call center have been closed” “[d]ue to unforeseen circumstances” and attempted to dissociate himself with that firm by claiming that that “[Frederick Law Group] has forwarded us your information.” Brennan asked the client to fill out a new representation agreement, power of attorney, and electronic funds transfer authorization, which the victim returned by mail to an address two houses away from Brennan’s.   

Brennan’s debt settlement fraud scheme caused the loss of approximately $2.9 million to his clients between October 18, 2007, and 2010, and involved more than 250 victims.

Brennan also admitted that he filed false tax returns in 2006 and 2007, underreporting his income in both years. For example, in 2007, Brennan reported an adjusted gross income of negative $576,273.10 when he had unreported business receipts that year of at least $9,229,802. Additionally, Brennan received a total of $5,387 in tax refunds based on his knowingly false returns submitted for 2006 and 2007.  Brennan filed no tax returns for the tax year 2008, despite receiving over $6 million into business bank accounts he controlled. The total approximate tax loss to the United States is $297,087.

Further, Brennan knowingly possessed unregistered machineguns and short-barreled rifles and also engaged in the unlicensed manufacture of the machineguns.  Specifically, in February 2011, a search warrant executed at Brennan’s home in Clarksburg, Maryland, yielded evidence that Brennan unlawfully converted 10 semiautomatic rifles into fully automatic weapons, and modified another rifle so that it had a barrel length of less than six inches.  Brennan failed to register those modified weapons, as required by law.

United States Attorney Rod J. Rosenstein praised U.S. Postal Inspection Service, ATF, IRS-Criminal Investigation, and the Maryland Attorney General’s Office for their work in the investigation and thanked the Maryland Attorney Grievance Commission for its assistance.  Mr. Rosenstein thanked Assistant United States Attorney Joseph R. Baldwin, who prosecuted the case.

Greenbelt, Maryland - U.S. District Judge Paul W. Grimm sentenced Alexsi Lopez, age 27, of Hyattsville, Maryland, today to 20 years in prison, followed by three years of supervised release, for conspiracy and the violent robbery of a Hyattsville brothel that resulted in a rape and murder.  A federal jury convicted Lopez of those crimes on April 9, 2015.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief Mark A. Magaw of the Prince George’s County Police Department.    

According to the evidence presented at his six day trial, Lopez was associated with the MS-13 gang and knew his co-defendant, Ramon Miguel Cerros-Cruz through MS-13.  Evidence showed that Lopez and Cerros-Cruz familiarized themselves with the location and operation of brothels in the Hyattsville-Langley Park area of Prince George’s County, then planned the robbery of a Hyattsville brothel apartment.  According to trial testimony, on February 28, 2007, Lopez and Cerros-Cruz entered the brothel apartment armed with knives, and using force and violence, demanded money from the people within the brothel and searched the apartment for cash and items of value. Witnesses testified that Lopez and Cerros-Cruz bound one of the brothel’s employees, raped another employee and murdered a third person who arrived at the brothel during the commission of the rape and robbery, stabbing him multiple times when he resisted the demands of the defendants.  DNA evidence placed Lopez and Cerros-Cruz at the scene.

Ramon Miguel Cerros-Cruz, age 25, of Silver Spring, Maryland previously pleaded guilty to the robbery conspiracy and was sentenced of 10 years in prison.

United States Attorney Rod J. Rosenstein praised HSI Baltimore and the Prince George’s County Police Department for their work in the investigation and thanked the Prince Georges County Department of Corrections and the Maryland Department of Public Safety and Correctional Services for their assistance.  Mr. Rosenstein thanked Assistant United States Attorneys William D. Moomau and Daniel C. Gardner, who prosecuted the case.

Baltimore, Maryland – Michael Theodore Bennett, age 46, of Baltimore, an employee at the Baltimore City Landfill, pleaded guilty today to conspiracy to steal from a program receiving federal funds, wire fraud and failure to file a tax return in connection with a scheme in which employees stole scrap metal from the Baltimore City Landfill for personal gain.

The plea agreement was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Robert H. Pearre, Jr., Inspector General, City of Baltimore Office of Inspector General; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

Baltimore City residents can deposit small amounts of trash and/or recyclables in dumpsters located near the main entrance of the Landfill, free of charge.  Individuals or companies commercially hauling trash that have registered their vehicles with the City must obtained Landfill permits, and must deposit their trash in an open area located farther within the Landfill.  Commercial haulers of trash must also pay a waste disposal fee of $67.50 per ton of trash deposited at the Landfill.

In addition to the revenue generated by the collection of disposal fees, Baltimore City’s waste management system generates revenue by collecting and selling recyclable scrap metal dumped at the City’s trash collection facilities, including household appliances, steel cables, copper wires, car parts, computer parts, door and window frames. The City awards contracts to private salvage companies to purchase and remove such scrap metal from its trash collection facilities.  

 DPW employees at the Landfill and other trash collection sites are required to segregate the recyclable scrap metal from general refuse and place it in separate bins provided by the salvage companies.  The companies regularly pick up the scrap metal, weigh it and send a tonnage report to the City.  Based on predetermined prices per ton, the City sends an invoice to the companies requesting payment for the value of the scrap metal the companies removed during a given period of time. Salvaging by employees, also referred to as “junking,” was strictly prohibited and employees were put on notice that any salvaging of metal constituted theft of City property.

From 2007 until May 2015, Bennett and other Landfill employees, including supervisor William Nemec, falsely represented to the DPW that they were performing the jobs for which they were hired when in fact, they used their paid positions during work hours to unlawfully collect and sell scrap metal for personal gain.  Bennett and other employees used part of the proceeds of the sale of the scrap metal to pay other DPW employees for their help locating, setting aside, collecting and loading the scrap metal onto their trucks.  Bennett and others paid cash to supervisors to look the other way and not report them of collecting and transporting the stolen scrap metal, including Nemec.  Bennett and others under Nemec’s supervision also relied on Nemec to authorize and submit false time and attendance records to conceal the junking scheme.  

Bennett and other employees at the Landfill used their personal cell phones to let each other know when and where recyclable scrap metals were being dumped at the Landfill and to coordinate their arrival at the private salvage yard.  After collecting and creating piles of the scrap metal at various locations, Bennett and others transported the scrap metal using their personal pick-up trucks to a private salvage company, frequently making multiple trips during a single, eight-hour work shift. The stolen scrap metal that they sold to the private salvage company for cash resulted in a loss of revenue to the City totaling hundreds of thousands of dollars.

Bennett prepared and submitted false time and attendance records, which claimed he had been working, when he was instead illegally collecting and selling the scrap metal, resulting in wages being paid to Bennett for work he did not perform.

Bennett also admitted that he failed to report approximately $479,468 of income for tax years 2011, through 2013, the majority of which was obtained from the illegal junking scheme.

The loss to the City of Baltimore as a result of the junking scheme was $400,000, and the tax loss to the government for Bennett’s failure to file tax returns was $126,273.  As part of his plea agreement, Bennett agreed to the entry of an order to pay restitution of $526,273, the total amount of the loss.

Bennett faces a maximum sentence of five years in prison for the conspiracy, 20 years in prison for wire fraud, and one year in prison for failure to file a tax return. U.S. District Judge Marvin J. Garbis has scheduled sentencing for December 21, 2015 at 10:00 a.m.

Former DPW employee Tamara Oliver Washington, age 55 and William Charles Nemec, Sr., age 55, both of Baltimore; and commercial haulers Mustafa Sharif, age 63, of Baltimore, and Adam Williams, Jr., age 52, of Randallstown, pleaded guilty to their participation in a related bribery scheme. Nemec also pleaded guilty to the “junking” scheme. Washington is scheduled to be sentenced on October 20, 2015, Williams on October 21 and Sharif on November 6, 2015.  Washington and Nemec have each agreed to the entry of an order to pay $6 million in restitution.  Sharif has agreed to forfeit and pay restitution of $500,000 and Williams has agreed to forfeit and pay restitution of $900,000.

United States Attorney Rod J. Rosenstein praised the FBI, IRS-CI, Baltimore Office of Inspector General and Maryland State Police for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Martin J. Clarke, who is prosecuting the case.

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Baraka Zuberi Chauka, age 39, of Barclay, Maryland today to 100 months in prison, followed by three years of supervised release for conspiring to distribute, and possession with intent to distribute, cocaine.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Queen Anne’s County Sheriff R. Gary Hofmann III.

According to evidence presented at his trial, as part of a cocaine trafficking investigation by the Queen Anne’s County Narcotics Task Force, law enforcement learned in March 2014 that Chauka routinely supplied powder cocaine to co-defendant Adrian Reed, who cooked the powder into cocaine base to sell to customers.  Chauka also sold powder cocaine and crack cocaine to his own customers.

Further investigation revealed that Chauka purchased powder cocaine from a supplier in the Philadelphia area.  On April 21, 2014, Maryland State Police stopped Chauka on his way back from meeting with his supplier in Philadelphia, and he was found to be in possession of approximately 125 grams of powder cocaine.  A subsequent search of Chauka’s residence revealed more cutting agents and a digital scale.

On April 30, 2014, shortly after he made bail from the state drug charges, law enforcement overheard calls between Chauka and Reed indicating that Chauka had immediately returned to drug distribution.  As a result of these calls, law enforcement executed a second search warrant of Chauka’s residence, this time revealing more cutting agents, a digital scale, and two boxes of 9mm ammunition.     

The investigation showed that Chauka trafficked approximately 232.5 grams of powder cocaine from March to April 2014.

Adrian Lamont Reed, age 39, of Chesterton, Maryland, previously pleaded guilty to his participation in the conspiracy and was sentenced to 70 months in prison.

United States Attorney Rod J. Rosenstein praised HSI Baltimore and Queen Anne’s County Sheriff’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Jason D. Medinger and Christopher J. Romano, who prosecuted the case.

Baltimore, Maryland – On September 1, 2015, U.S. District Judge Richard D. Bennett sentenced Brooke Renee Lunn, a/k/a “Brooke Thomas,” and “Brooke Renee,” age 48, of Baltimore, Maryland, to 12 years in prison followed by five years of supervised release for conspiracy to distribute and possession with intent to distribute five kilograms or more of cocaine, in connection with his participation in the Jenifer drug trafficking organization (Jenifer DTO).

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Chief James W. Johnson of the Baltimore County Police Department.

“This drug organization is a prime example of the complexities that DEA faces with today’s drug traffickers” stated Assistant Special Agent in Charge Don A. Hibbert.  “DEA deals with professional couriers, whose only job is to transport drugs and money without being detected by law enforcement.  This was accomplished in this case by sophisticated electronic traps, or hidden compartments, in the courier vehicles which resulted in more than 750 kilograms of cocaine being shipped from Houston for distribution in Baltimore. The destruction of this organization is a testament to the hard work and tenacity of the Special Agents and investigators that lived and breathed this case for 18 months.”

According to court documents and information provided at her plea and sentencing hearings, from September 2012 to October 2014, Lunn was the courier for the Jenifer DTO operating courier vehicles between Baltimore and Houston, Texas.  The Jenifer DTO obtained its cocaine from suppliers in or around Houston, and transported money hidden in secret compartments in “courier vehicles” from Baltimore to Houston.  The cocaine was then transported from Houston to Baltimore in the secret compartments in the courier vehicles.  On September 27, 2012, Lunn was operating a courier vehicle near Houston when the vehicle was stopped by the Texas State Police.  John Moore was a passenger in the vehicle.  Lunn consented to a search of the vehicle and law enforcement recovered approximately 30 kilograms of cocaine that were located in hidden compartments in the vehicle.  Both Lunn and Moore were arrested and charged by Texas authorities.  After being released on bond, Lunn and Moore returned to Maryland.  Subsequently, on October 20, 2012, Moore suffered a fatal gunshot wound to the back of the head.  Law enforcement agents believe that Moore’s homicide was the direct result of the cocaine seizure.

After Lunn and Moore’s arrest in Texas in September 2012, the Jenifer DTO began using car-carriers to transport its courier vehicles loaded with cocaine.  In July 2013, a Jenifer DTO courier vehicle, loaded on a car-carrier, was intercepted in Arkansas.  Law enforcement recovered approximately 23 kilograms of cocaine hidden in a secret compartment in the courier vehicle.  After that seizure, the Jenifer DTO returned to its previous method of using Lunn to drive the courier vehicles between Baltimore and Houston transporting cash and/or cocaine.

Between August 2013 and October 2014, Lunn made approximately 30 trips to Houston, Texas, on behalf of the Jenifer DTO, to deliver money and return to Baltimore with kilogram-quantity loads of cocaine, concealed in secret compartments in the Jenifer DTO’s courier vehicles.  All of the cocaine deliveries were made by Lunn for the Jenifer DTO while she was awaiting trial for the 30-kilogram seizure of cocaine in Texas.

During the early morning hours on October 9, 2014, Lunn arrived in Baltimore after departing Houston, Texas, operating one of the Jenifer DTO’s courier vehicles containing hidden compartments.  Later that day, law enforcement agents executed a search and seizure warrant on the courier vehicle operated by Lunn, and approximately 27 kilograms of cocaine were seized from inside of the hidden compartments contained within the courier vehicle.

Lunn admitted that she was a member and co-conspirator of the Jenifer DTO, which was responsible for trafficking no less than 750 kilograms of cocaine from Houston to Baltimore from August 2013 to October 2014.

Co-conspirators Thomas Simmons, age 48 of Hampton, Virginia, William Hegie, age 54, Kermit Clark, age 44, and Elroy Johnson, age 49, all of Baltimore, previously pleaded guilty to their participation in the conspiracy and were each sentenced to 10 years in prison.

United States Attorney Rod J. Rosenstein praised the DEA, IRS Criminal Investigation and Baltimore City and County Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney John W. Sippel, Jr., who prosecuted the case, and expressed his appreciation to the United States Attorney’s Offices for the Southern District of Texas and the Southern District of New York for their assistance in this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – Tonya Lucille Higgs, age 50, of Owings Mills, Maryland pleaded guilty today to misappropriation of postal funds.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Paul L. Bowman of the U.S. Postal Service, Office of Inspector General.

 According to Higgs’ plea agreement Higgs had been an employee of the United States Postal Service (USPS) since 1995. In March 2011, she was promoted to Lead Sales and Service Associate at the Owings Mills Post Office. Her job responsibilities included consolidating and verifying postal monies and daily financial reports.  From October 6, 2011 to May 10, 2014, Higgs fraudulently issued 272 Postal Service no-fee money orders, embezzling a total of approximately $92,147.76 from the USPS.  To conceal the scheme, Higgs entered these money orders into the Postal Service database as refunds, so Higgs would not be expected to collect any money from the “customer.” Higgs also wrote relatives, friends, neighbors and associates names on the no-fee money orders to cover up the scheme. The majority of fraudulent no-fee money orders were either made payable to Higgs or used to pay Higgs’ personal bills.  After learning of the suspiciously high number of no-fee money orders for refunds issued by Higgs, she was interviewed on May 15, 2014 by Special Agents of the USPS Office of Inspector General. Higgs admitted stealing postal funds through the issuance of no fee-money orders.  Higgs was placed on emergency leave in no-pay status at the conclusion of the interview and subsequently fired.

Higgs faces a maximum sentence of 10 years in prison for misappropriation of postal funds.   U.S. District Judge Ellen L. Hollander has scheduled sentencing for November 5, 2015 at 10:00 a.m.

United States Attorney Rod J. Rosenstein commended the U.S. Postal Service, Office of Inspector General, for its work in the investigation.  Mr. Rosenstein thanked Special Assistant U.S. Attorney David P. Kehoe and Assistant U.S. Attorney Rachel M. Yasser, who are prosecuting the case.

U.S. Conspirators Paid Over $2 Million to Influence Russian Nuclear Energy Official and to Secure Business with State-Owned Russian Nuclear Energy Company

A Russian official residing in Maryland pleaded guilty today to conspiracy to commit money laundering in connection with his role in arranging over $2 million in corrupt payments to influence the awarding of contracts with the Russian state-owned nuclear energy corporation.

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Rod J. Rosenstein of the District of Maryland, Deputy Inspector General John R. Hartman of the U.S. Department of Energy-Office of Inspector General (DOE-OIG) and Assistant Director in Charge Andrew G. McCabe of the FBI’s Washington, D.C., Field Office made the announcement.

Vadim Mikerin, 56, of Chevy Chase, Maryland, pleaded guilty before U.S. District Judge Theodore D. Chuang of the District of Maryland.  Sentencing is scheduled before Judge Chuang on Dec. 8, 2015.

According to court documents, Mikerin was the president of TENAM Corporation and a director of the Pan American Department of JSC Techsnabexport (TENEX).  TENAM, based in Bethesda, Maryland, is a wholly-owned subsidiary and the official representative of TENEX in the United States.  TENEX, based in Moscow, acts as the sole supplier and exporter of Russian Federation uranium and uranium enrichment services to nuclear power companies worldwide.  TENEX is a subsidiary of Russia’s State Atomic Energy Corporation.

In connection with the scheme, Daren Condrey, 50, of Glenwood, Maryland, pleaded guilty on June 17, 2015, to conspiring to violate the Foreign Corrupt Practices Act (FCPA) and conspiring to commit wire fraud, and will be sentenced on Nov. 2, 2015.  Boris Rubizhevsky, 64, of Closter, New Jersey, pleaded guilty on June 15, 2015, to conspiracy to commit money laundering and will be sentenced on Oct. 19, 2015.

According to court documents, between 2004 and October 2014, Mikerin conspired with Condrey, Rubizhevsky and others to transmit funds from Maryland and elsewhere in the United States to offshore shell company bank accounts located in Cyprus, Latvia and Switzerland.  Mikerin admitted the funds were transmitted with the intent to promote a corrupt payment scheme that violated the FCPA.  Specifically, he admitted that the corrupt payments were made by conspirators to influence Mikerin and to secure improper business advantages for U.S. companies that did business with TENEX.  Mikerin further admitted that he and others used consulting agreements and code words such as “lucky figure,” “LF,” “cake” and “remuneration” to disguise the corrupt payments. 

According to court documents, over the course of the scheme, Mikerin conspired with Condrey, Rubizhevsky and others to transfer approximately $2,126,622 from the United States to offshore shell company bank accounts.  As part of his plea agreement, Mikerin has agreed to the entry of a forfeiture money judgment in that amount.

The case was investigated by DOE-OIG and the FBI.  The case is being prosecuted by Trial Attorneys Christopher Cestaro, Ephraim Wernick and Derek Ettinger of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys David I. Salem and Michael T. Packard of the District of Maryland.

Mikerin Plea Agreement

Greenbelt, Maryland - Vadim Mikerin, age 56, a Russian official residing in Chevy Chase, Maryland, pleaded guilty today to conspiracy to commit money laundering in connection with his role in arranging over $2 million in corrupt payments to influence the awarding of contracts with the Russian state-owned nuclear energy corporation.         

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Attorney General Leslie R. Caldwell of the U.S. Department of Justice Criminal Division; John R. Hartman, Deputy Inspector General for Investigations, Office of Inspector General at the U.S. Department of Energy; and Assistant Director in Charge Andrew G. McCabe of the Federal Bureau of Investigation - Washington Field Office. 

According to court documents, Mikerin was the president of TENAM Corporation and a director of the Pan American Department of JSC Techsnabexport (TENEX).  TENAM, based in Bethesda, Maryland, is a wholly-owned subsidiary and the official representative of TENEX in the United States.  TENEX, based in Moscow, acts as the sole supplier and exporter of Russian Federation uranium and uranium enrichment services to nuclear power companies worldwide.  TENEX is a subsidiary of Russia’s State Atomic Energy Corporation.

In connection with the scheme, Daren Condrey, 50, of Glenwood, Maryland, pleaded guilty on June 17, 2015, to conspiring to violate the Foreign Corrupt Practices Act (FCPA) and conspiring to commit wire fraud, and will be sentenced on Nov. 2, 2015.  Boris Rubizhevsky, 64, of Closter, New Jersey, pleaded guilty on June 15, 2015, to conspiracy to commit money laundering and will be sentenced on Oct. 19, 2015.

According to court documents, between 2004 and October 2014, Mikerin conspired with Condrey, Rubizhevsky and others to transmit funds from Maryland and elsewhere in the United States to offshore shell company bank accounts located in Cyprus, Latvia and Switzerland.  Mikerin admitted the funds were transmitted with the intent to promote a corrupt payment scheme that violated the FCPA.  Specifically, he admitted that the corrupt payments were made by conspirators to influence Mikerin and to secure improper business advantages for U.S. companies that did business with TENEX.  Mikerin further admitted that he and others used consulting agreements and code words such as “lucky figure,” “LF,” “cake” and “remuneration” to disguise the corrupt payments.

According to court documents, over the course of the scheme, Mikerin conspired with Condrey, Rubizhevsky and others to transfer approximately $2,126,622 from the United States to offshore shell company bank accounts.  As part of his plea agreement, Mikerin has agreed to the entry of a forfeiture money judgment in that amount.

U.S. District Judge Theodore D. Chuang has scheduled sentencing for Mikerin on Dec. 8, 2015, at10:00 a.m. EDT.

United States Attorney Rod J. Rosenstein praised the DOE-OIG and FBI for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys David I. Salem and Michael T. Packard, and Trial Attorneys Christopher Cestaro, Ephraim Wernick, and Derek Ettinger of the U.S. Department of Justice Fraud Section, who are prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Jessica Lee Warner, age 39, of Baltimore, today to 30 months in prison, followed by three years of supervised release, for wire fraud and aggravated identity theft, in connection with a scheme to embezzle more than $179,000 from her employer.  Judge Grimm also entered an order requiring Warner to pay restitution of $179,647.16, the amount she stole from her employer.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge James Murray of the United States Secret Service - Washington Field Office; and Chief J. Thomas Manger of the Montgomery County Police Department.

According to her plea, Warner was the bookkeeper for a company located in Montgomery County, responsible for electronically submitting employee payroll information to a payroll processing service.  From 2007 to December 2012, Warner fraudulently used her position as a bookkeeper to increase her salary, and write checks from her employer’s bank accounts to herself and others, forging the signature of an individual who had signatory authority on the company’s checking accounts. Warner deposited the forged checks into her own bank account.

The Maryland Identity Theft Working Group has been working since 2006 to foster cooperation among local, state, federal, and institutional fraud investigators and to promote effective prosecution of identity theft schemes by both state and federal prosecutors. This case, as well as other cases brought by members of the Working Group, demonstrates the commitment of law enforcement agencies to work with financial institutions and businesses to address identity fraud, identify those who compromise personal identity information, and protect citizens from identity theft.

Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Since the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein commended the U.S. Secret Service and Montgomery County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Thomas P. Windom and Leah Jo Bressack, who prosecuted the case.

Baltimore, Maryland – Fourteen defendants arrested with illegal guns in Baltimore this summer will now face federal charges as a result of an alliance between local and federal officials. The names of the defendants will be disclosed when they are transferred from state custody to federal court next week.

Under an initiative by the Baltimore City Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Baltimore City State’s Attorney’s Office and the United States Attorney’s Office, prosecutors and police review cases of defendants arrested for firearms violations and evaluate whether the case should be considered for federal prosecution. Prosecutors evaluate each defendant’s criminal record, the circumstances of the arrest and other relevant information.

“If you have a criminal record and possess a gun, be prepared to spend many years in a federal prison far from home,” said U.S. Attorney Rod J. Rosenstein. “Police and prosecutors are working to identify armed criminals who deserve to be prosecuted in federal court.”

Any previously convicted criminal who possesses a gun faces a sentence of up to ten years in federal prison, even if the criminal did not use the gun. There is no probation or parole in the federal criminal justice system.

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

Baltimore, Maryland – Chief U.S. District Judge Catherine C. Blake, sentenced Deshawn Steven Yarborough, age 29, of Baltimore, Maryland, today to 12 years in prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute cocaine.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Interim Commissioner Kevin Davis of the Baltimore Police Department; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and Baltimore City State’s Attorney Marilyn J. Mosby.

According to his plea agreement, from December 2013 through April 2014, Yarborough was a member of a conspiracy to distribute cocaine, along with Tyrone Robert Bailey, Lamont George Thomas, and others.  As part of the conspiracy, Yarborough obtained kilograms of cocaine from a New York supplier.  Law enforcement intercepted drug related calls and text messages through court-ordered wiretaps on Yarborough’s phones.

For example on March 10, 2014, Yarborough was overheard talking to Bailey about Bailey’s plans to travel to New York that day with co-conspirator Lamont Thomas in order to obtain cocaine. Later that day, as Bailey returned from New York, Maryland State Police conducted a traffic stop of Bailey’s pick-up truck for speeding.  Lamont Thomas was driving the vehicle and Bailey was the front seat passenger.  After a K-9 alerted to the presence of narcotics, law enforcement located an electronically controlled false compartment in the seat back of the rear bench seat.  The compartment contained approximately 4.2 kilograms of cocaine.  Law enforcement recovered $1,600 in cash and multiple cell phones from Bailey.  One of the cell phones was the phone Bailey used to talk to Yarborough.

On March 11, 2014, investigators intercepted communications between Yarborough and his Baltimore-based customers, which indicated that Yarborough was waiting to be resupplied with drugs.  After Thomas and Bailey’s arrest by Maryland State Police, Yarborough attempted to contact Bailey on one of the telephones law enforcement had seized from Bailey at the time of his arrest.

Yarborough admitted that during his participation in the conspiracy he was responsible for the distribution of between five and 15 kilograms of cocaine

Tyrone Robert Bailey, age 28, and Lamont G. Thomas, age 34, both of Baltimore, pleaded guilty to their roles in the conspiracy and were each sentenced to 10 years in prison.

United States Attorney Rod J. Rosenstein commended the DEA, Baltimore Police Department, Maryland State Police, and Baltimore City State’s Attorney’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Christopher J. Romano, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge George L. Russell, III, sentenced Stephon Lowery, age 30, of Baltimore, today to 10 years in prison followed by four years of supervised release for conspiring to distribute and possess with intent to distribute cocaine base.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn J. Mosby.

According to his plea agreement, from no later than December 2013 through May 2014, Lowery and his co-defendants operated a street-level drug shop in the southwest area of Baltimore City that sold cocaine base daily to customers.  Multiple times a day, they ordered crack cocaine from suppliers, ranging in quantities up to 28 grams, which they then sold in user-quantity amounts to street level users.

Lowery admits that he and his conspirators distributed more than 112 grams of crack cocaine.

To date, seven co-defendants have pleaded guilty to their participation in the conspiracy.

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys David I. Sharfstein and Seema Mittal, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Navee Diaz, a/k/a India, age 40, of Owings Mills, Maryland today to 76 months in prison, followed by five years of supervised release, for bank fraud conspiracy and aggravated identity theft, arising from a scheme to use of stolen credit and debit card information to manufacture counterfeit credit cards used to buy merchandise and services. Judge Quarles also entered an order requiring Diaz to pay restitution of $126,318.99.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; Chief Gary Gardner of the Howard County Police Department; Interim Commissioner Kevin Davis of the Baltimore Police Department; Chief James W. Johnson of the Baltimore County Police Department; Chief Ross C. Buzzuro of the Ocean City Police Department; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Newport News Police Chief Richard W. Myers; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

According to her plea agreement, starting before January 1, 2011 and continuing through June 2014, Diaz conspired with co-defendants William Downey, Michael Crew and others to manufacture counterfeit debit and credit cards bearing stolen and unauthorized credit and debit card account numbers then use the counterfeit cards to purchase goods and services.  Diaz initially became involved in the scheme when her friend, Downey, introduced her to Crew, with whom she became romantically involved.  Crew had an embossing machine, and made credit cards using altered gift cards and the credit card and debit card numbers stolen from others. The stolen credit card account numbers were obtained from a variety of sources.  Once a valid number was obtained, Diaz and other co-conspirators would use those numbers to obtain other valid numbers, which they would confirm by calling customer service for the issuing financial institution. These numbers were used to manufacture counterfeit access devices bearing the stolen credit and debit card account numbers.

Crew sold the counterfeit credit cards and recruited others, including Diaz, to go out and make purchases on Crew’s instructions. Ultimately, Diaz began to provide cards to others and to take and fulfill orders for items to be purchased with the counterfeit cards.  Diaz recruited others into the scheme, obtained cards as needed from Crew and co-defendant Jason Evans, and even manufactured cards herself.  She exchanged dozens of text messages each day taking orders, arranging for cards and workers, and conducting other business of the conspiracy.  Diaz went out shopping with the cards on a daily basis, with and without other workers in the scheme.

During her participation in the conspiracy, Diaz and her co-conspirators obtained or attempted to obtain extensions of credit from financial institutions of between $200,000 and $400,000, using the financial account numbers of real people.  More than 250 individuals and institutions were defrauded by the scheme.

Michael Crew, age 55, of Owings Mills, and Jason Evans, age 32, of Millsboro, Delaware previously pleaded guilty to the same charges and were sentenced to nine years in prison and four years in prison, respectively, and were each ordered to pay restitution of $126,318.99.  William Downey, age 43, of Gwynn Oak, Maryland, his brother, Stanley Downey, age 49, formerly of New York, also pleaded guilty to their roles in the conspiracy and are scheduled to be sentenced on October 7, 2015, and October 27, 2015, respectively, both at 1:00 p.m.  The Downey brothers remain detained pending sentencing.

The Maryland Identity Theft Working Group has been working since 2006 to foster cooperation among local, state, federal, and institutional fraud investigators and to promote effective prosecution of identity theft schemes by both state and federal prosecutors. This case, as well as other cases brought by members of the Working Group, demonstrates the commitment of law enforcement agencies to work with financial institutions and businesses to address identity fraud, identify those who compromise personal identity information, and protect citizens from identity theft.

Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Since the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein commended the U.S. Secret Service; Howard County, Baltimore City, Baltimore County, Howard County, Ocean City and Newport News Police Departments, HSI Baltimore and Maryland State Police for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Tamera L. Fine, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Joshua Scott Schellhase, age 31, of Leonardtown, Maryland today to six years in prison followed by three years of supervised release for distribution of heroin.  A close friend of Schellhase died as a result of using the heroin distributed by Schellhase.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; and St. Mary’s County Sheriff Tim Cameron.

According to his plea agreement, during 2012 Schellhase was close friends with an individual with whom Schellhase used heroin or other opiates on a daily basis.  Schellhase and the individual would provide heroin to each other as they were able to obtain it.

On October 11, 2012, the individual contacted Schellhase by text message and Schellhase agreed to give the individual some heroin that Schellhase had recently purchased.  During the early evening, Schellhase drove to a residence in Calloway, Maryland.  The individual came out of the house and Schellhase gave the individual a small amount of heroin and two cigarettes.  The individual went back into the house, went into the bathroom and ingested the heroin he had received from Schellhase.  About 15 minutes later, the individual’s girlfriend knocked on the bathroom door, but received no response.  She opened the door and discovered the individual slumped over and non-responsive.  Emergency medical personnel were called and attempted to revive the individual, but the individual died.

The cause of death was determined to be morphine intoxication.  The victim died as a result of ingesting the heroin provided by Schellhase.

United States Attorney Rod J. Rosenstein praised the DEA and St. Mary’s County Sheriff’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Deborah A. Johnston and Leah J. Bressack, who prosecuted the case.

Baltimore, Maryland – Former Army police officer and sergeant at the Aberdeen Proving Ground (APG), Gregory Lamont McNeill, age 45, of Baltimore, pleaded guilty today to concealing and retaining stolen federal government property.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Joshua Adams, Assistant Special Agent in Charge of the U.S. Army Criminal Investigation Command, Aberdeen Proving Ground; Joel Holdford, Chief of Police, Department of the Army (DA) Police, Aberdeen Proving Ground; and Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation.

 From December 2002 to February 2015, McNeill was a police officer and sergeant for the DA Police on APG. McNeill patrolled APG during non-business hours.  At times he would find buildings unlocked.  McNeill would sometimes enter the building to determine whether anyone was working.  Many times, no one was working during these non-business hours and the building occupants simply forgot to secure the building.

According to his plea agreement, from at least September 2011 to August 2014, during these building checks, McNeill took items of government property for his own personal use, or for the use of his family members, including laptops, iPad, iPod, camera and accessories, and other electronic equipment. McNeill would place the stolen item in a bag which he transferred from his police vehicle to his personal vehicle at the end of his shift before returning home.

In the months following the theft, four of the five stolen Apple electronic items were linked to iTunes accounts that belonged to McNeill or a member of his family.

On February 5, 2015, agents interviewed McNeill at the APG, while other agents searched his home with the consent of his wife.  The agents seized numerous stolen items from his residence.  McNeill was unaware of the ongoing search and during his interview, he denied stealing any government property and claimed, for example, that his family did not use Apple products.

During the scheme, McNeill stole approximately $35,000 worth of property belonging to the U.S. Army.

McNeill faces a maximum sentence of 10 years in prison.  U.S. District Judge James K. Bredar has scheduled sentencing for November 23, 2015 at 2:00 p.m.

United States Attorney Rod J. Rosenstein commended the Department of the Army Police on Aberdeen Proving Ground; U.S. Army Criminal Investigation Command, and FBI for their work in the investigation.  Mr. Rosenstein praised the Defense Criminal Investigative Service – Mid Atlantic for their assistance in the investigation, and thanked Assistant U.S. Attorney Jefferson M. Gray, who is prosecuting the case.

Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Valentina Elebesunu, age 50, of Temple Hills, Maryland to 105 months in prison followed by three years of supervised release for conspiring to commit, and committing, an armed robbery of an armored truck.  Judge Hazel also entered an order that Elebesunu pay restitution of $272,956.17.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; and Chief Mark A. Magaw of the Prince George’s County Police Department. 

Elebesunu was the branch manager at a Bank of America located at 3413 Kenilworth Avenue in Hyattsville, Maryland.  According to evidence presented at the five day trial, between mid-November and November 21, 2012, Elebesunu conspired with Damione Lewis – a security guard at the bank, Delacey Brown, Taurian Miller, Adriane Baldwin and Barrington Turner to rob an armored truck that serviced the bank branch.  Elebesunu had provided Lewis with inside information about the amount of funds scheduled to be picked up by the armored truck.  Lewis then provided that information to the other co-conspirators.

On November 21, 2012, an armored car employee picked up $272,956.17 from the bank. Elebesunu and Lewis were working their respective jobs at the bank at the time.  Elebesunu’s co-conspirators were in vans outside the bank.   As the employee was taking the money from the bank to the armored truck, Elebesunu’s co-conspirators brandished firearms at the employee, took the money bags to their vans and drove away.  The robbery proceeds were later divided between Elebesunu and her co-conspirators.

Damione Lewis, age 36, of New Carrolton, Maryland; Delacey Kinte Brown, age 38, of Landover, Maryland; and Taurian Devon Miller, age 31, and Adrian Baldwin, age 29, both of Washington, DC; and Barrington Turner, age 35, of Forestville, Maryland; have all pleaded guilty to their roles in the robbery.  Lewis is scheduled to be sentenced on September 2, 2015.  The remaining four defendants were sentenced to between 51 and 96 months in prison.

United States Attorney Rod J. Rosenstein praised the FBI, Prince George’s County Police Department and other members of the Cross Border Task Force for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys William D. Moomau and Bryan E. Foreman, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Paul Chance, age 28, of Baltimore, today to 182 years in prison for conspiring to commit robbery, three counts of robbery, four counts of possessing and brandishing a firearm in furtherance of robbery, and being a felon in possession of a firearm.  Judge Russell also entered an order that Chance pay restitution of $19,011.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Baltimore County State’s Attorney Scott Shellenberger; Interim Commissioner Kevin Davis of the Baltimore Police Department; Baltimore City State’s Attorney Marilyn Mosby; Anne Arundel County Police Chief Tim Altomare; and Anne Arundel County State’s Attorney Wes Adams.

“Paul Chance will spend the rest of his life in federal prison, and many other Baltimore criminals who are caught with a gun will join him,” said U.S. Attorney Rod J. Rosenstein. “The defendant’s first adult conviction was for armed robbery at age 18, and he only stopped committing armed robberies when he was behind bars.”

According to evidence presented during his six day trial, on March 29, 2013, Chance and co-defendant Sharmaine Diggs brandished semi-automatic handguns at the owner of the Ashland Café on York Road in Cockeysville, Maryland.  They forced the owner inside his business and bound his hands with duct tape.  They threatened to shoot him if he did not provide money, and pistol-whipped him.  The defendants took $4,000 and a .45 caliber weapon that was in the kitchen safe, and another $15,000 from a downstairs safe.  The robbers then forced the owner into the walk-in freezer, and left.

According to trial testimony, Chance, armed with a firearm, also robbed the following businesses: Pizza Hut on Annapolis Road in Severn, Maryland on April 7, 2013; the Hobbit Liquor Store on Bowleys Lane in Baltimore on April 26, 2013; and attempted to rob the Olive Garden on Perry Hall Boulevard in Baltimore on April 29, 2013.  The jury also found that on April 19, 2013, Chance possessed a semi-automatic rifle and a pump action shotgun.  Because of a prior felony conviction, Chance was prohibited from possessing a firearm.

Sharmaine Christopher Diggs, age 35, of Baltimore, previously pleaded guilty to his participation in the March 29, 2013 robbery, as well as an additional, subsequent attempt to rob the same cafe.  Judge Russell sentenced Diggs to 20 years in prison and entered an order that Diggs pay restitution of $19,000.

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore City, Baltimore County and Anne Arundel County Police Departments and Baltimore City, Baltimore County and Anne Arundel County State’s Attorney’s Offices for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys Bonnie S. Greenberg and Patricia C. McLane, who prosecuted the case.

Greenbelt, Maryland – Peter Wisniewski, age 52, of Huntingtown, Maryland, a physician in a Calvert County medical group, pleaded guilty today to three counts of possession of a controlled substance. Wisniewski admitted that he wrote prescriptions in the names of three of his patients for Oxycodone and Adderall that he then kept for his own use.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; and Calvert County Sheriff Mike Evans.

According to his plea agreement, between March 2012 and April 2015, Wisniewski wrote prescriptions for Oxycodone and Adderall in the names of three elderly patients but kept the drugs for himself.  Wisniewski caused the pharmacy to fill the prescriptions, and he picked up the prescriptions without the knowledge or authorization of the patients in whose names he had written the prescriptions.  Wisniewski falsely represented to the pharmacy that as the prescribing physician he was collecting the prescriptions in order to deliver them to his elderly patients.

To conceal the scheme, Wisniewski created false entries in the medical files of the three patients in whose names he was writing the prescriptions.  During the scheme Wisniewski obtained more than 8,000 Oxycodone pills written in the names of those three patients.

The determination of what sentence to impose will be made by the sentencing judge, subject to a maximum of three years in prison. In light of the facts of the case, which will be more fully explained at sentencing, the government agreed to recommend a sentence of three years of probation and a fine of at least $40,000, which will be due on the date of Wisniewski’s sentencing. In addition, Wisniewski will voluntarily surrender his DEA controlled substances license and will not practice medicine for at least two years.  The decision whether to allow Wisniewski to practice medicine at all in the future must be made by the state medical board. U.S. District Judge Paul W. Grimm has scheduled sentencing for October 23, 2015 at 1:00 p.m.

United States Attorney Rod J. Rosenstein commended the Department of Health and Human Services Office of Inspector General and the Calvert County Sheriff’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Leah J. Bressack and Lindsay Eyler Kaplan, who are prosecuting the case.

Greenbelt, Maryland – Marden Gonzalez, age 20, of Hyattsville, Maryland, pleaded guilty today to carjacking and to being a felon in possession of a firearm.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Larry M. Brownlee, Sr. of the Maryland National Capital Park Police, Prince George’s County Division; and Chief Mark A. Magaw of the Prince George’s County Police Department.

According to Gonzalez=s plea agreement, on February 17, 2015, at 1:00 p.m. Gonzalez approached the victim, who was stopped at a red light at the intersection of East-West Highway and Ager Road in Hyattsville.  Gonzalez pointed a loaded .380 caliber pistol at the victim and demanded the victim’s car.  The victim got out of the car and Gonzalez got in and drove away in the victim’s car.

A few minutes later, a Maryland Park Police officer spotted the stolen car at the intersection of Queens Chapel and Chillum Roads in Hyattsville.  Park Police and Prince George’s County Police officers pursued Gonzalez through snowy streets.  After sideswiping several parked cars, Gonzalez crashed the victim’s car headfirst into a parked car.  The law enforcement vehicles pursuing Gonzalez slid in the snow when they attempted to brake, resulting in a crash.  Three officers were injured and one was taken to a hospital.  Gonzalez bailed out of the victim’s car and ran away, still carrying the loaded pistol.  Officers located and arrested Gonzalez in the semi-enclosed back porch of a nearby house, and recovered the gun.

Gonzalez had previously been convicted of a felony and as a result, was prohibited from possessing a firearm or ammunition.

Gonzalez faces a maximum of 15 years in prison for carjacking and a maximum of 10 years in prison for being a felon in possession of a firearm.  U.S. District Judge Deborah K. Chasanow has scheduled sentencing for November 16, 2015, at 1:00 p.m.

United States Attorney Rod J. Rosenstein commended the HSI Baltimore, Maryland National Capital Park Police and the Prince George’s County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys Lindsay Eyler Kaplan and William D. Moomau, who are prosecuting the case.

Greenbelt, Maryland – Former National Institute of Standards and Technology (NIST) police officer Christopher Bartley, age 41, of Gaithersburg, Maryland, pleaded guilty today to attempting to manufacture methamphetamine in a laboratory room on the NIST campus on Saturday, July 18, 2015, which resulted in an explosion.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; and Chief J. Thomas Manger of the Montgomery County Police Department.

"Methamphetamine is unsafe to produce and unsafe to use," said U.S. Attorney Rod J. Rosenstein. "Mr. Bartley damaged government property and jeopardized the health and safety of NIST employees by mixing dangerous chemicals."

 According to his plea agreement, on July 18, 2015, Bartley reported to work at NIST where he worked as a lieutenant with the NIST police force.  In the evening, Bartley entered a room inside a NIST building in order to use equipment to manufacture methamphetamine under a chemical fume hood.  While attempting to manufacture methamphetamine, Bartley caused an explosion that blew four of the room’s windows out of their frames. The shatterproof windows were found at distances ranging from 22 to 33 feet from the building. Bartley suffered burns on his head and arm.

The explosion caused the temperature in the room to rise to 180 degrees, activating a silent heat alarm.  When firefighters entered the building shortly thereafter, they saw Bartley leaving the room with burns on his arm, as well as singed eyebrows and hair.  Before leaving the building, Bartley collected remnants of items from the scene of the explosion and later threw the items in a dumpster near the building.  He then drove to another NIST building where he discarded additional items in the trash related to his attempt to manufacture methamphetamine.

Law enforcement later searched the trash near those two buildings and seized a coffee grinder with white powder residue, rubber gloves, a funnel, a soda bottle containing white powder with a rubber tube coming out the top, coffee filters, burnt and melted plastic, a bottle of Drano crystals, a gas mask and protective safety glasses.

Law enforcement agents searched Bartley’s vehicle and recovered a book that contained Bartley’s handwritten notes of ingredients and equipment needed to manufacture methamphetamine, including tubing, a funnel, coffee filters, Coleman camp fuel and lye.

At 1:27 a.m. on July 19, 2015, Bartley sent an email to his supervisor titled “tonight’s explosion” in which he admitted he had attempted to manufacture methamphetamine.  A few hours later, Bartley also admitted to a law enforcement agent that he had been trying to manufacture methamphetamine at the time the explosion occurred.

The total amount of methamphetamine involved in the offense was less than five grams.

Bartley faces a maximum sentence of 20 years in prison.  U.S. District Judge George J. Hazel has scheduled sentencing for November 19, 2015 at 9:30 a.m.  Bartley is not in custody.

United States Attorney Rod J. Rosenstein commended the FBI, DEA and Montgomery County Police Department for their work in the investigation, and praised NIST for their assistance in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Leah Jo Bressack and Mara Zusman Greenberg, who are prosecuting the case.

Greenbelt, Maryland – Theresa Darlene Snead, age 56, of Suitland, Maryland pleaded guilty today to theft of government property in connection with a scheme to steal over $115,000 in social security benefits.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Michael McGill of the Social Security Administration - Office of Inspector General, Philadelphia Field Division.

According to Snead’s plea agreement, between May 1986 and her death on January 10, 2003, Individual A received monthly retirement benefits from the Social Security Administration (SSA).  At the time of her death, Individual A was living with Snead.  Individual A’s death was not reported to SSA.  Between January 2003 and March 2014, when the benefits were terminated, SSA continued to mail Individual A’s monthly benefits check to Snead’s address in Suitland.

Snead admitted that after Individual A’s death she cashed the SSA checks at a local liquor store, using an identification card bearing Individual A’s name, but Snead’s photograph.  Snead signed the back of each check in Individual A’s name. SSA paid a total of $115,388 in retirement benefits after Individual A’s death.  Snead admitted that she knew she was not entitled to these benefits.

Snead and the government have agreed that if the Court accepts the plea agreement Snead will be sentenced to 18 months in prison.  U.S. District Judge Deborah K. Chasanow has scheduled sentencing for November 10, 2015 at 2:30 p.m.

United States Attorney Rod J. Rosenstein commended the SSA Office of Inspector General for its work in the investigation.  Mr. Rosenstein thanked Special Assistant U.S. Attorney Lauren Perry and Assistant U. S. Attorney Lindsay Eyler Kaplan, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Egwolo Wilfred Otete, age 31, of formerly of Jacksonville, Florida and Beltsville, Maryland today, to 61 months in federal prison, followed by two years of supervised release, for check and credit card fraud schemes with over 250 victims and losses of more than $468,000.  Otete has already served nearly 41 months in Florida state prison in connection with the schemes. Judge Bennett also ordered Otete to pay restitution of $468,534.42, the amount of the victims’ actual losses.  Otete was ordered to be surrendered to immigration authorities for deportation after the service of his federal sentence.   

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; Chief J. Thomas Manger of the Montgomery County Police Department; and Chief James W. Johnson of the Baltimore County Police Department.                      

According to his plea agreement, from September 3, 2010 through March 1, 2011, Otete conspired with co-defendants Jimoh Babatunde Aderomilehin, Olaniyi Olalekan Akintuyi, Moyosore Fakeye, Obinna Stanley Okpala, and others, to execute a scheme to defraud financial institutions by depositing counterfeit checks into accounts at financial institutions and withdrawing the funds before the checks were returned as fraudulent.

Shortly after Otete arrived in the United States to attend college, he met Oluwaseun Sanya at a nightclub.  Soon, Otete became deeply involved in both the check fraud scheme and a counterfeit credit card scheme, and moved in with Sanya.  Their apartment became a central point where counterfeit checks and credit cards were produced and distributed, and fraud proceeds delivered.

In the counterfeit check scheme, Otete and others recruited students and others to allow the group to use their bank accounts to deposit counterfeit checks.  Otete also recruited bank employees to obtain account and personal information about bank customers, which he and Sanya used to create the counterfeit checks to be deposited into the students’ compromised accounts.  Once counterfeit checks were deposited, funds were withdrawn before the counterfeit checks could be identified as fraudulent and the deposits reversed.  Otete also conducted transactions himself.  Finally, Otete and Sanya received a substantial share of the proceeds after paying the students, the corrupt bank employees, and the costs of producing the checks.

In addition to the check fraud scheme, from October 2010 through November 2012, Otete conspired with co-defendants Aderomilehin, Fakeye, Akintuyi, Okpala, Hannah Moekay Konteh and others to execute a second scheme by obtaining stolen credit card numbers from individuals who worked in local businesses and “skimmed” credit cards.  The skimmed numbers were used to re-encode credit cards the defendants already had.  Otete and Sanya both had equipment to re-encode the credit cards and did so regularly.  Sometimes they were paid for the cards, and sometimes they received a percentage of the funds which were obtained by using the re-encoded cards.  Sometimes Otete directed co-defendants as to what to purchase.  In some cases, Otete, Sanya, or others involved in the conspiracy identified complicit tellers or cashiers to use for transactions.  Individuals traveled to North Carolina, Pennsylvania, Georgia and other locations to conduct transactions.  Eventually, Otete taught others, such as Fakeye and Aderomilehin, how to manufacture the counterfeit credit cards and they obtained their own equipment.

In March 2011, Otete was arrested.  A search warrant was subsequently executed at the apartment shared by Otete and Sanya.  Sanya had disposed of his own equipment, but had left Otete’s equipment to be discovered.  When he was released, Otete went to live with a friend of Sanya’s in Florida, and resumed credit card fraud as a way to pay his expenses.  On several occasions he arranged for co-defendant Hannah Konteh to visit him and assist by conducting fraudulent transactions.  Within months, Otete was arrested and detained for this conduct.  He was subsequently convicted and served a sentence of nearly 41 months for the Florida conduct.  Upon his release, he was transferred to Maryland for this case.

Otete and his co-conspirators attempted to obtain between $400,000 and $1 million as a result of the two fraud conspiracies, using the identities of more than 250 victims.

Oluwaseun Sanya, age 28, of Beltsville, Maryland; Jimoh Babatunde Aderomilehin, age 24, of Randallstown, Maryland;; Olaniyi Olalekan Akintuyi, age 25, of Baltimore; Moyosore Fakeye, age 27, of Baltimore; Obinna Stanley Okpala, age 24, of Baltimore; and Hannah Moekay Konteh, age 26, of Clinton, Maryland; Brianna Janet Turner, age 25, of Upper Marlboro, Maryland; Brittnee Ashanya Bellamy Handon, age 24, of Baltimore; and Nazrat Zaman, age 24, of Baltimore, previously pleaded guilty and were sentenced.  Sanya was sentenced to 212 months in prison; Turner was sentenced to 65 months in prison; Konteh and Handon were each sentenced to four years in prison; Aderomilehin, Akintuyi, Fakeye, and Okpala were each sentenced to three years in prison; and Zaman was sentenced to six months.

Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein thanked the U.S. Secret Service and the Montgomery County and Baltimore County Police Departments for their work in the investigation.  Mr. Rosenstein praised Assistant U.S. Attorney Tamara L. Fine, who prosecuted the case.

Baltimore, Maryland – Department of Defense contractor PoleZero Corporation, owned by Dover Corporation since 2007, has agreed to pay the United States $2,800,000 to resolve allegations under the False Claims Act that the company caused false claims to be submitted to the Department of Air Force for communications equipment.

The settlement was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robert Craig of the Defense Criminal Investigative Service (DCIS) - Mid-Atlantic Field Office; Brigadier General Keith M. Givens, Commander of the Air Force Office of Special Investigations; Special Agent in Charge Darrell Gilliard of the Naval Criminal Investigative Service (NCIS), Washington Field Office.

Pole Zero is a subcontractor that provided radiofrequency filters (RF filters) and integrated co-site equipment (ICE) to the United States Air Force for use in its E-3 AWACS Aircraft program.  The settlement agreement resolves allegations that from 2004-2013 Pole Zero knowingly provided RF filters and ICE equipment that failed to meet contractual specifications.  PoleZero denies the allegations.

“Defense contractors are expected to ensure that the equipment they provide meets the expectations of the contract.  The military needs to be able to depend on the quality of the products it purchases," said United States Attorney for the District of Maryland Rod J. Rosenstein.

“Getting what you pay for is something we all should expect,” said Robert Craig, Special Agent in Charge for the DCIS, Mid-Atlantic Field Office.  “DCIS and its law enforcement partners remain steadfast in expecting contractors to adhere to agreements made with the government when providing products and services.”

The civil settlement resolves a lawsuit filed under the whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and obtain a portion of the government's recovery.  The civil lawsuit was filed in the District of Maryland (United States ex rel. Stoneham v. PoleZero Corporation, PoleZero Acquisition, Inc. and Dover Corporation, WDQ 12-392).  As part of today’s resolution, the Relator will receive $504,000 from the settlement.

The settlement was a result of an investigation by the U.S. Attorney's Office for the District of Maryland, U.S. Department of Justice, DCIS, Air Force Office of Special Investigations, and NCIS.  Mr. Rosenstein commended the Defense Contract Audit Agency for their assistance in the investigation.  The investigation was handled by Assistant U.S. Attorneys Thomas H. Barnard and Thomas F. Corcoran and Senior Trial Counsel Dan Spiro from the Department of Justice.

Baltimore, Maryland - U.S. District Judge J. Frederick Motz sentenced Sharon Harrison, age 48, of Rosedale, Maryland, today to three years in prison followed by three years of supervised release for embezzling from four non-profit organizations for which she worked.  Judge Motz also entered an order that Harrison pay restitution of $1,306,797.70, the total amount that she embezzled.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Special Agent in Charge Cary A. Rubenstein of the Housing and Urban Development Office of Inspector General; and Robert H. Pearre, Jr., Inspector General, City of Baltimore Office of Inspector General.

“Non-profit organizations that receive federal funds have a legal duty to use them for the intended purpose,” said U.S. Attorney Rod J. Rosenstein.  “Sharon Harrison helped herself to federal funds intended to provide services for disadvantaged children and homeless families in Baltimore.”

According to her plea agreement, Harrison was a bookkeeper or fiscal manager for the following non-profit groups, all of which received federal funds to assist in their mission:

Health, Education, Advocacy, Life Inc. (HEAL) from 2005 to March 2011;

Between Friends, Inc. from September 2008 to November 2011;

Jobs, Housing & Recovery, Inc. (JHR) from May 20, 2013 to February 12, 2014; and

Reservoir Hill Improvement Council (RHIC) from December 2012 to February 2014.

HEAL and JHR provided services for the homeless in Baltimore City.  Between Friends assisted disadvantaged children to find foster homes and provided services to the children and their foster families.  RHIC developed and implemented solutions to needs arising at the Reservoir Hill Community in Baltimore.

Over the course of her employment at these non-profits, Harrison embezzled over $1.3 million. Specifically, Harrison admitted that she embezzled: $226,888.34 from HEAL; $784,781.17 from Between Friends; $161,750.14 from JHR; and $133,178.04 from RHIC.

United States Attorney Rod J. Rosenstein praised the FBI, HUD-OIG and Baltimore Office of Inspector General for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Leo J. Wise, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Peter J. Messitte sentenced Paul Milton Laney, age 60, of Silver Spring, Maryland today to 78 months in prison followed by three years of supervised release for committing two bank robberies within three days.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; and Chief J. Thomas Manger of the Montgomery County Police Department.

 According to his plea agreement, on February 18, 2014, Laney entered a bank in the 13000 block of Georgia Avenue in Silver Spring and demanded money from a teller.  When the teller did not immediately comply, Laney leapt up onto the counter and stuffed $2,920 from the register into a plastic bag.  As Laney was leaving, a bank employee attempted to stop him.  Laney stated, “If you take another step closer, I’ll blow your head off.”  The employee stepped away and Laney left the bank.

On February 21, 2014, Laney entered a bank in the 8700 block of Georgia Avenue in Silver Spring and demanded money from a teller.  The teller was slow to put money in a bag.  Laney leaned over the counter revealing a large kitchen knife inside his jacket and threated to kill the teller.  The teller handed Laney approximately $999 from the register, and Laney left the bank.

United States Attorney Rod J. Rosenstein commended the FBI and Montgomery County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Daniel C. Gardner, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Eric Johnson, age 38, of Baltimore, today to 12 years in prison followed by five years of supervised release for conspiracy to distribute and possess with intent to distribute heroin.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William P. McMullan of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore City State’s Attorney Marilyn Mosby; and Interim Baltimore Police Commissioner Kevin Davis.

According to his plea agreement, between January and June 2014, Johnson conspired with co-defendants Ronald Ross, Keith Gilliam, Sara Jones, Nicholas Jones and others to distribute heroin in Baltimore City. The defendants obtained bulk quantities of heroin and packaged the heroin for retail distribution.  The prepackaged heroin was provided daily to Johnson and his co- defendants who sold the drugs to customers at an open-air drug shop in the vicinity of Baltimore and Bentalou Streets.

Johnson and his co-conspirators distributed between 100 and 400 grams of heroin.

Ronald Ross, age 27, and Keith Gilliam, age 21, both of Baltimore, were previously sentenced to 10 years in prison and five years in prison, respectively.  Nicholas Jones, age 23, of Baltimore, has pleaded guilty and is scheduled to be sentenced on August 31, 2015.

United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation.  Mr. Rosenstein thanked Special Assistant United States Attorney Matthew Hoff, a cross-designated Baltimore Assistant State’s Attorney assigned to Exile cases, who prosecuted the case.

Greenbelt, Maryland – Marlene Biggs, age 53, of Bowie, Maryland today admitted to unlawfully converting funds obtained from her government credit cards to her personal use.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and John L. Phillips, Assistant Inspector General for Investigations, U.S. Department of the Treasury - Office of Inspector General.

 Biggs was a management analyst with the Department of Treasury.  She retired in 2013.  According to her plea agreement, from October 2010 to January 2013, Biggs charged approximately $142,000 in 62 separate transactions to two Treasury-issued purchase cards for purported purchases of office supplies and equipment from a government vendor.  In fact, no supplies and equipment were purchased in a majority of these transactions and instead, the vendor sent approximately $108,000 in 60 installments to Biggs’ personal bank account, and retained the balance.

In May 2014, an agent from the Treasury’s OIG office spoke to the vendor’s owner, who admitted to an agreement with Biggs in which he would charge government credit cards used by Biggs and then send approximately 75% of the charged amount back to Biggs’ personal bank account.  When interviewed in July 2014, Biggs initially denied that she personally benefited from the funds she obtained from the vendor under this scheme. In fact, however, Biggs converted at least $100,000 in government funds to her personal use.

The total loss attributable to Biggs is between $120,000 and $200,000.

Biggs faces a maximum sentence of 10 years in prison for theft and conversion of government funds. Biggs has agreed to the entry of an order to pay restitution of at least $142,000 and forfeit at least $108,000.   U.S. District Judge George J. Hazel has scheduled sentencing for November 24, 2015 at 9:30 a.m.

United States Attorney Rod J. Rosenstein commended the U.S. Department of the Treasury – OIG for its work in the investigation and thanked Special Assistant U.S. Attorney Nicholas J. Patterson, of the U.S. Department of Justice, and Assistant U.S. Attorney Joseph R. Baldwin, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Gary Coleman, a/k/a “Short,” age 44, of Baltimore, today to nine years in prison, followed by five years of supervised release, in connection with a bribery and drug conspiracy in which he bribed letter carriers to divert packages of marijuana sent through the mail and deliver the packages to Coleman and other co-conspirators.  Judge Motz also ordered Coleman to forfeit $14,700.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Postal Inspector in Charge David G. Bowers of the U.S. Postal Inspection Service - Washington Division; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City Sheriff John Anderson.

“Today’s sentencing confirms that anyone using the U.S. mail to distribute marijuana or any other illegal narcotics will be brought to justice and held accountable,” said David Bowers, Acting Inspector in Charge, U.S. Postal Inspection Service-Washington Division. “We’re grateful to our law enforcement partners who helped with this investigation and look forward to their continued support to protect America’s postal system from criminal activity.”         

According to his plea agreement, Coleman and others conspired with letter carriers Antoinette McDaniels and Hilary Gainey, paying them bribes in exchange for diverting packages containing marijuana and delivering those packages to Coleman and other co-conspirators.

Specifically, Coleman admitted that in February 2014 and April 2014, he was introduced to Antoinette McDaniels and Hilary Gainey, respectively, while they were employed by the U.S. Postal Service as letter carriers.  A co-conspirator told Coleman that McDaniels and Gainey would divert specific packages sent through the U.S. mail that contained marijuana, and deliver those packages to co-conspirators, in exchange for a bribe of $100 per parcel. Coleman, McDaniels and Gainey agreed to this arrangement and Coleman paid them up to $100 for each parcel diverted and delivered to him or a co-conspirator.  According to court documents the packages were sent via the U.S. mail from Arizona, California, Florida, and elsewhere, to addresses along McDaniels’ route in Baltimore and Gainey’s route in Columbia, Maryland.

According to their plea agreements, Gainey and McDaniels delivered approximately 100 packages and 30 packages, respectively, to Coleman and other co-conspirators. Gainey was paid a total of $10,000 by the co-conspirators and McDaniels was paid a total of $4,700 by the co-conspirators. Coleman admitted that during his participation in the conspiracy, between 100 and 400 kilograms of marijuana were distributed.

McDaniels and Gainey previously pleaded guilty to their roles in the conspiracy. They each face a maximum sentence of five years in prison for the bribery conspiracy and two years in prison for bribery.  McDaniels faces a maximum of 20 years in prison and Gainey faces a mandatory five years and up to 40 years in prison, for conspiracy to distribute and possess with intent to distribute marijuana. U.S. District Judge J. Frederick Motz has scheduled sentencing for McDaniels on August 28, 2015, and for Gainey on August 21, 2015.

United States Attorney Rod J. Rosenstein praised the U.S. Postal Inspection Service, DEA, Maryland State Police, Baltimore City Police Department and Baltimore City Sheriff’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Jason D. Medinger, who is prosecuting the case.

Baltimore, Maryland – Gerald Lee Banks, age 40, of Baltimore, pleaded guilty today to conspiracy to commit sex trafficking by force, fraud and coercion.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief James W. Johnson of the Baltimore County Police Department.

According to Banks’ plea agreement, from September through May 2013, Banks conspired with Travis Lamont Foote, a/k/a “Cash,” to commit sex trafficking by force fraud and coercion.

For example, in September 2012, Jane Doe 1, an 18 year old woman living in Florida, had dropped out of high school and was trying to get back into school or find employment. Foote contacted Jane Doe 1 on Facebook, using a female online identity he created, “Cash Treasure,” and told Jane Doe 1 that “she” knew someone who would be able to assist her.  Foote then reached out to Jane Doe 1, as a friend of “Cash Treasure,” and lured her to Baltimore stating that he could help Jane Doe 1 to get back into high school and get a diploma. After Jane Doe 1 agreed, Foote paid for an airline ticket for Jane Doe 1 to fly from Florida to Baltimore sometime in September.

Banks and Foote met Jane Doe 1 at the airport and drove her to a motel in Catonsville, where they had rented four rooms, three of which were occupied by other females.  It was then that Jane Doe 1 learned that Banks and Foote were running a prostitution business and that they expected Jane Doe 1 to work for them.  At first Jane Doe 1 refused, but eventually she began having sex with men for money, with all of the proceeds going to Banks and Foote.

During this time of the conspiracy, Banks and Foote used internet websites to advertise the women who worked for them, including Jane Doe 1, as available for prostitution. All of the proceeds were paid to Banks and Foote.  On November 14, 2012, an undercover detective from the Baltimore County Police Department Vice Unit scheduled a “date” with one of the prostitutes advertised by Banks and Foote.  The undercover detective met the woman at the agreed upon time and place and she was arrested.  Jane Doe 1 was also arrested and officers located and attempted to arrest Foote but he struggled and ran away.

On May 16, 2013, a Baltimore County Police officer conducted a traffic stop of a vehicle being operated by Banks, with Foote and an 18 year old female, Jane Doe 2, as passengers in the car.  Banks, Foote and Jane Doe 2 were arrested when officers recovered a plastic bag containing 16 smaller bags of crack cocaine.  Jane Doe 2 was listed in police records as a possible runaway and investigation showed that Jane Doe 2 began working as a prostitute for Banks and Foote in April 2013.  As a result of internet advertisements placed by Banks and Foote, Jane Doe 2 had approximately 100 “dates” with men to engage in commercial sex acts and all of the proceeds were paid to Banks.  Jane Doe 2 told law enforcement that earlier in May 2013, Foote beat and choked her when she tried to leave the motel after refusing a request from one of the men.  Banks stopped Foote from choking her, but was aware that Foote physically forced Jane Doe 2 back to the hotel room.

Shortly after his arrest on May 16, 2013, Banks made bail and was released.  Banks did not attend further court proceedings and an arrest warrant was issued in October 2013.  On January 9, 2014, federal charges were filed against Banks, who evaded authorities until his arrest in October 2014.

Banks faces a maximum sentenced of life in prison, and will also be required to register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).  U.S. District Judge James K. Bredar has scheduled sentencing for November 18, 2015, at 3:00 p.m.  Banks remains detained.

Travis Lamont Foote, a/k/a “Cash,” age 31, of Baltimore, previously pleaded guilty to his role in the sex trafficking conspiracy and was sentenced to 12 years in prison.

This case was investigated by the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders.  Members include federal, state and local law enforcement, as well as victim service providers and local community members.  For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.

Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.

United States Attorney Rod J. Rosenstein commended HSI Baltimore and the Baltimore County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who is prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Joel Varela Linares, age 25, of Washington, D.C., to 13 years in prison, followed by five years of supervised release, for conspiring to commit the robbery of a person he believed to be a drug dealer, for using and brandishing a firearm during a crime of violence, and for conspiring to possess with intent to distribute more than a kilogram of heroin.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief Mark A. Magaw of the Prince George’s County Police Department.

According to his plea agreement, on April 11, 2014, Linares and his co-conspirators Shawn Delonte Allen and Evan Anthony Peek-Austin, entered the victim’s residence and awaited his arrival.  As the victim arrived home, Allen approached the victim from behind and forced him at gunpoint into the residence.  After zip-tying the victim’s hands, Linares, Austin, and Allen questioned the victim about the location of drugs and drug proceeds.  The robbers thought the victim was in possession of heroin imported from Guatemala or proceeds from heroin sales. Linares, Austin, and Allen each had a handgun and threatened to kill the victim if he did not produce the drugs or drug proceeds.  While questioning the victim, Allen brandished his gun.  When the victim claimed that he did not have drugs or drug proceeds, Linares placed a knife to the victim’s neck and Allen struck the victim in the head with a handgun. Allen also heated a metal spoon and placed the hot spoon on the victim’s wrists, demanding the victim tell them the location of the drugs and money.

Linares and his co-conspirators move the victim to the basement where Austin secured the victim’s feet with plastic zip ties. Allen again heated a metal spoon and placed the hot spoon on the victim’s hands and face, while Linares, Austin, and Allen continued to demand that the victim tell them the location of the drugs and money.   The victim finally told Linares and his co-conspirators that his American friend had the drugs and money and the robbers allowed the victim to call his friend, who was, in fact, a Special Agent with Homeland Security Investigations.  The victim arranged to meet with the agent and told Austin and his co-conspirators that his friend would have approximately 10 kilograms of heroin.

Linares and Allen instructed the victim to drive them to the meeting location in Beltsville, Maryland.  Linares told the victim that Austin would remain at the victim’s home to wait for the victim’s family and that Austin would harm the victim’s family if the victim did not comply with their instructions.  Austin later met up with Linares, Allen, and the victim at the meeting location.  Once the HSI agent arrived, the victim met the agent and told him that Linares and his co-conspirators were going to kill him.  As the HSI agent and the victim left, Allen got out of the car and brandished his gun.  Linares entered another vehicle and pursued the agent’s car until he was stopped by Prince George’s County Police officers.  Meanwhile, Austin and Allen fled the meeting location in a Honda Prelude and were pursued by law enforcement.  They eventually ran away and Allen was subsequently apprehended by police.  Austin approached two people in a pick-up truck, brandished his gun and carjacked the truck.  Austin drove away in the truck, but was shortly trapped in the area by a gate. Austin then got out of the truck and ran.  Austin was later caught by police.

A subsequent search of the Honda Prelude, which was registered to Austin, recovered $5,000 in cash, a black ski mask, black hat, black pellet gun, black single strap backpack containing zip ties and white gloves, and a wallet containing Austin’s identification documents.

Shawn Delonte Allen, age 40, of Waldorf, Maryland and Evan Anthony Peek-Austin, age 39, of Landover, Maryland previously pleaded guilty to their roles in the robbery.  Allen was sentenced to 150 months in prison and Peek-Austin was sentenced to 11 years in prison.

United States Attorney Rod J. Rosenstein praised HSI Baltimore and the Prince George’s County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Kelly O. Hayes and Daniel C. Gardner, who prosecuted the case.

Baltimore, Maryland – Rolf Ramelmeier, age 78, of Sykesville, Maryland pleaded guilty today to mail fraud and money laundering in connection with a scheme to defraud Northrop Grumman Corporation of more than $11 million.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation.

According to Ramelmeier’s plea agreement, he owned and operated JADM. Inc., which was in the business of selling or brokering natural gas sales, out of his residence.  Ramelmeier exercised complete control and authority over the company.  JADM’s sole client for many years was the Northrop Grumman Corporation.  JADM supplied natural gas to several Northrop Grumman Corporation facilities that were located in Linthicum, Maryland. Ramelmeier obtained the gas from a supplier, such as UGI Energy Services (UGI) or Potomac Electric Power Company (PEPCO) and Baltimore Gas and Electric Company (BG&E) transported the gas from UGI or PEPCO to the Northrop Grumman facilities.  JADM would then issue monthly invoices to Northrop Grumman which specified the units, known as “decatherms,” of gas delivered and the cost per decatherm.  In turn, Northrop Grumman would issue payment to JADM on the invoices.

Ramelmeier admitted that beginning in at least 2003 and continuing until December 2013, he engaged in a scheme to defraud Northrop Grumman by overcharging for the amount of natural gas delivered to the Linthicum facilities.  Ramelmeier executed and concealed this scheme by, among other things, falsifying invoices and other documents and by using a false corporate identity and bank accounts that he maintained in the names of shell entities.

Specifically, Ramelmeier represented himself as a gas broker and led the UGI or PEPCO personnel to believe that their company was entering into a sales contract directly with Northrop Grumman when, in fact, Northrop Grumman had no knowledge of these agreements.  Under the agreements, UGI and PEPCO were required to submit their invoices to Northrop Grumman by mailing them to a post office box in Roanoke Rapids, North Carolina and by e-mailing a copy of each invoice to Ramelmeier at JADM. In fact, Northrop Grumman had no such post office box.  Rather, at Ramelmeier’s direction, an associate opened that post office box using the name “Northrup Sensors.”  The associate regularly retrieved the mail from the post office box, including the invoices from PEPCO and UGI, and forwarded that mail to Ramelmeier. Ramelmeier created invoices on JADM letterhead which charged the real Northrop Grumman for more than the amount of natural gas that UGI or PEPCO had invoiced.  Northrop Grumman then paid JADM on the inflated JADM invoices, first by check and then, in more recent years, by wire transfer to JADM’s bank account.

Ramelmeier transferred those Northrop Grumman payments from the JADM account into a bank account that he held in the name of Consolidated Fuel Atlantic (Consolidated), a shell company with no assets or business. Ramelmeier then transferred all or most of the funds out of the Consolidated bank account and into an account Ramelmeier had opened in the name of Northrop Group Sensor Division (NGS Div.) with an address at the post office box in Roanoke Rapids. Ramelmeier used NGS Div. checks to pay UGI or PEPCO for the amount of their original invoices, deceiving those companies into believing that they were being paid by Northrop Grumman.  Ramelmeier kept the difference between the original amount invoiced by UGI and PEPCO and the amount that Northrop Grumman paid based on JADM’s inflated invoice, for his own personal use and benefit.

As a result of the fraudulent scheme Ramelmeier caused Northrop Grumman to pay him at least $11,238,519 for natural gas that was never actually provided. 

In December 2013, Northrop Grumman noticed some unusual charges by JADM for natural gas purportedly used at one of the Linthicum locations, which Ramelmeier falsely claimed was a JADM billing error. Ramelmeier offered to credit Northrop Grumman for the overcharge.  Suspicious of Ramelmeier’s explanation, Northrop Grumman hired a consulting firm to conduct an analysis to determine if there had been any other overcharges. The consulting firm compared the amount of gas delivered, per JADM’s invoices, to the amount of gas delivered, per BG&E’s records.  That analysis revealed that JADM routinely charged Northrop Grumman and specifically, that between 2003 and 2013 JADM overcharged Northrop Grumman by $11,238,519.

On May 16, 2014, Northrop Grumman representatives confronted Ramelmeier about the $11 million in overcharges.  Ramelmeier falsely claimed, among other things that the billing errors occurred because corrupt employees doing the billing for JADM had engaged in embezzlement, when in fact, JADM had no employees; and that he could not provide Northrop Grumman with his billing records because his company computer files were corrupted.

On May 19, 2014, the first business day following his confrontation with the Northrop Grumman representatives, Ramelemeier used $82,626.54 of the fraud proceeds to pay off the entire mortgage balance on his residence, and the next day the post office box in Roanoke Rapids was closed.

Ramelmeier faces a maximum sentence of 20 years in prison each for mail fraud and for money laundering.  U.S. District Judge J. Frederick Motz has scheduled sentencing for November 2, 2015 at 10:00 a.m.

United States Attorney Rod J. Rosenstein commended the FBI for its work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Kathleen O. Gavin, who is prosecuting the case.

Baltimore, Maryland – William Charles Nemec, Sr., age 55, of Baltimore, pleaded guilty today to conspiracy and solicitation of bribes in connection with a scheme in which Department of Public Works (DPW) employees sought and accepted cash payments from commercial haulers in return for allowing the commercial haulers to deposit trash at the Quarantine Road Landfill without paying the required disposal fees.  Nemec also admitted to participating in a scheme in which employees stole scrap metal from the Landfill for personal gain.

The plea agreement was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Robert H. Pearre, Jr., Inspector General, City of Baltimore Office of Inspector General; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

Baltimore City residents can deposit small amounts of trash and/or recyclables in dumpsters located near the main entrance of the Landfill, free of charge.  Individuals or companies commercially hauling trash that have registered their vehicles with the City and obtained Landfill permits, as well as Baltimore City residents with larger loads, must deposit their trash in an open area located farther within the Landfill.  Commercial haulers of trash that meet certain vehicle weight limitations must, in addition to purchasing a Landfill permit, pay a waste disposal fee of $67.50 per ton of trash deposited at the Landfill.

DPW employees assigned as scale house operators weigh each truck as it enters the Landfill, which is recorded on a computerized point-of-sale system.  To activate the system and record a particular transaction, DPW employees must enter the tag number of the truck and a corresponding billing code.  The scale house operators reweigh each truck as it leaves the Landfill.  The net weight of the deposited trash and the required disposal fee is then calculated and printed on a receipt that is handed to the driver.

Bribery Scheme

According to his plea agreement, Nemec started working in 1984 for the DPW as a scale house cashier at the Cold Spring Lane Landfill. Back then, weight tickets were handwritten, and Nemec and other cashiers would regularly accept bribes from small and large haulers in lieu of charging disposal fees and then split the bribe money among all the cashiers.  That same year, Nemec was transferred to the Quarantine Road Landfill (Landfill) where he engaged in the same type of bribery scheme.  Except for short periods of time over the years since 1984, and despite the comings and goings of new scale house employees and supervisors at the Landfill, Nemec and other scale house operators continued to execute the bribery scheme until Nemec’s arrest on May 12, 2015, and even after he was promoted to a supervisory position at the Landfill in 2006.      

Beginning around 2002, Nemec executed the bribery scheme in tandem with two scale house operators, including Tamara Washington.  Nemec and the scale house operators accepted $100 bribe payments from large haulers for each truckload of trash dumped at the Landfill, which saved the haulers many hundreds of dollars per trip to the Landfill.  Nemec and others concealed the bribery scheme by not entering a truck’s registration number into the computerized scale system, which meant the transaction was not recorded.  Consequently, the transaction would not appear on the scale house’s daily logs and the commercial hauler would not be billed for using the Landfill on that particular occasion.

To maintain the pretense that the trucks had been weighed and the disposal fee paid, Nemec and others would hand the truck drivers fake or blank receipts when they crossed the outbound scale.  In return, the commercial haulers either paid the $100 bribe through the outbound window at the scale house or met with Nemec or another scale house operator at an off-site location to pay a week’s worth of bribes or more.  The commercial haulers always paid the $100 bribes in cash.

By paying the $100 bribes in lieu of the disposal fees, these haulers saved their businesses thousands of dollars each month, which, in turn, cost the City of Baltimore more than $6 million in revenue. For example, from July 1, 2014 through May 1, 2015 alone, Nemec, while working as a supervisor at the Landfill, accepted on his own behalf, and on behalf of other DPW employees involved in the scheme, more than $15,000 in bribe payments from a commercial hauler in return for not charging the hauler or his company the required waste disposal fees, which totaled approximately $55,000 during that period of time.

Nemec has agreed to pay restitution of $6 million.

Illegal Junking Scheme

In addition to the revenue generated by the collection of disposal fees, Baltimore City’s waste management system generates revenue by collecting and selling recyclable scrap metal dumped at the City’s trash collection facilities, including household appliances, steel cables, copper wires, car parts, computer parts, door and window frames. The City awards contracts to private salvage companies to purchase and remove such scrap metal from its trash collection facilities.

DPW employees at the Landfill and other trash collection sites are required to segregate the recyclable scrap metal from general refuse and place it in separate bins provided by the salvage companies.  The companies regularly pick up the scrap metal, weigh it and send a tonnage report to the City.  Based on predetermined prices per ton, the City sends an invoice to the companies requesting payment for the value of the scrap metal the companies removed during a given period of time. Salvaging by employees, also referred to as “junking,” was strictly prohibited and employees were put on notice that any salvaging of metal constituted theft of City property.

From 2005 until May 2015, Nemec and other Landfill employees falsely represented to the DPW that they were performing the jobs for which they were hired when in fact, they used their paid positions during work hours to unlawfully collect and sell scrap metal for personal gain.  Employees under Nemec’s supervision paid him cash to conceal the illegal junking that occurred daily at the Landfill.

Nemec knew that laborers at the Landfill used their personal cell phones to let each other know when and where recyclable scrap metals were being dumped at the Landfill.  After collecting and creating piles of the scrap metal at various locations, the laborers would transport the scrap metal using their personal pick-up trucks to a private salvage company, frequently making multiple trips during a single, eight-hour work shift.  The stolen scrap metal that they sold to the private salvage company for cash resulted in a loss of revenue to the City totaling hundreds of thousands of dollars.

For the years 2011 and 2012, two laborers paid Nemec approximately $20 every day to allow them and others to collect and transport the stolen scrap metal.  In addition to not reporting the daily trips to the salvage company to sell the stolen metal, which some days could take a total of 3 - 4 hours, Nemec would authorize and submit false time and attendance records to conceal the scheme, so that the laborers were able to be paid for work they did not perform while stealing the metal.

Nemec faces a maximum sentence of five years in prison for the conspiracy and 10 years in prison for bribery. U.S. District Judge Marvin J. Garbis has scheduled sentencing for November 17, 2015 at 9:30 a.m.

Former DPW employee Tamara Oliver Washington, age 55; and commercial haulers Mustafa Sharif, age 63, of Baltimore, and Adam Williams, Jr., age 52, of Randallstown, pleaded guilty in July 2015 to their participation in the bribery scheme.  Washington is scheduled to be sentenced on October 20, 2015, Williams on October 21 and Sharif on November 6, 2015.  Washington has agreed to pay restitution of $6 million.  Sharif has agreed to forfeit and pay restitution of $500,000 and Williams has agreed to forfeit and pay restitution of $900,000.

United States Attorney Rod J. Rosenstein praised the FBI, IRS-CI, Baltimore Office of Inspector General and Maryland State Police for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Martin J. Clarke, who is prosecuting the case.

Baltimore, Maryland – A federal grand jury has indicted Noel Eric Anshel, age 48, of Owings Mills, Maryland for selling stolen goods and fraudulently obtained gift cards on eBay.  The indictment was returned on August 11, 2015 and unsealed today.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Chief Gary Gardner of the Howard County Police Department.   

According to the one count indictment, Anshel operated Hilltop Cellular, a pawnshop located at 5450 Reisterstown Road in Baltimore.  From no later than September 1, 2013 to April 1, 2015, Anshel paid cash to “boosters,” a common term for shoplifters, in exchange for items that he knew to be stolen property. This stolen property included faucets, garbage disposal units, drills, saws, digital cameras and televisions sets. Anshel allegedly sold the stolen property over eBay, often for less than the wholesale price for the items.

The indictment further alleges that boosters would also steal items from a store and return the stolen items to another location of the same chain in order to receive store credit in the form of gift cards. Anshel bought these cards knowing that the gift cards had been obtained by fraud. He then sold the gift cards over eBay.

The indictment seeks forfeiture of $1 million, the proceeds of the fraud scheme.

Anshel faces a maximum sentence of 10 years in prison for transporting stolen goods.  An initial appearance was held this afternoon in U.S. District Court in Baltimore. Anshel was released under the supervision of U.S. Pretrial Services.

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

United States Attorney Rod J. Rosenstein praised the U.S. Secret Service and the Baltimore City Police Department and Howard County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Aaron S. J. Zelinsky, who is prosecuting the case.

Baltimore, Maryland – Jeong Joon Moon, a/k/a Patrick Moon, age 47, of Germantown, Maryland, pleaded guilty today to charges arising from a scheme to defraud financial institutions who loaned money to small businesses.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Small Business Administration (SBA) Inspector General Peggy E. Gustafson; Acting Postal Inspector in Charge David G. Bowers of the U.S. Postal Inspection Service - Washington Division; Assistant Director in Charge Andrew G. McCabe of the Federal Bureau of Investigation - Washington Field Office; and Acting Inspector General Fred W. Gibson, Jr. of the Federal Deposit Insurance Corporation.

Moon owned and operated JM Capital Solutions, Inc. and RNB Consulting, Inc., which were loan brokerage firms with offices located in Annandale and Springfield, Virginia. These firms specialized in securing loans for individuals interested in purchasing or refinancing small businesses in Maryland, Virginia, the District of Columbia and elsewhere.

Moon encouraged prospective borrowers to apply for business loans through the SBA’s Section 7(a) program, which authorizes SBA to help small businesses obtain financing by guaranteeing 75 to 90 percent of qualified loans made by commercial lenders. Small business owners are required to invest a certain amount of their own money into the business before they can qualify for the loan.  Moon compiled and submitted to lenders the documentation necessary to substantiate the borrowers’ equity injection and ability to repay loans guaranteed by SBA, as well as documentation needed for other commercial loans.

According to his agreement to plead guilty to the indictment, from 2006 to April 2014, Moon and others defrauded financial institutions by submitting false copies of the borrowers’ monthly bank statements to reflect more money than was actually in the borrowers’ bank accounts.  Moon and others also prepared and submitted false tax returns for the borrowers which inflated the borrowers’ income. The financial institutions relied on the false information to lend funds to the borrowers, which resulted in loan broker commissions being paid to JM Capital and RNB Consulting.

On July 12 and 15, 2013, Moon altered, destroyed or concealed documents relating to six loans guaranteed by SBA for six small businesses, intending to impede the federal investigation of such loans.

Moon has agreed to forfeit $14,708,000, the amount of fraudulently obtained loans.

Moon faces a maximum sentence of 30 years in prison for conspiracy to commit bank fraud, and for each of the 18 counts of bank fraud; and 20 years in prison on each of six counts for destruction of records in a federal investigation.  U.S. District Judge William D. Quarles, Jr. scheduled sentencing for November 24, 2015 at 1:00 p.m.

Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein praised the SBA - OIG, U.S. Postal Inspection Service, FBI and FDIC - OIG for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys Leo J. Wise and Marty Clarke, who are prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Wilmer Argueta, a/k/a “Chengo,” age 23, of Hyattsville, Maryland, today to 188 months in prison followed by five years of supervised release for conspiracy to participate in a racketeering enterprise known as La Mara Salvatrucha, or MS-13.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Mark A. Magaw of the Prince George’s County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Chief J. Thomas Manger of the Montgomery County Police Department; Chief Alan Goldberg of the Takoma Park Police Department; and Montgomery County State’s Attorney John McCarthy.

MS-13 is a national and international gang composed primarily of immigrants or descendants from El Salvador.  Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Prince George’s County and Montgomery County, Maryland.  MS-13 members are required to commit acts of violence both to maintain membership and discipline within the gang and against rival gangs.

According to his plea agreement, from 2009 until at least 2012, Argueta was a member and leader of the Peajes Locos Salvatrucha clique of MS-13.  He and members of the Peajes and other MS-13 cliques committed crimes to further the interests of the gang, including murder, assault, robbery, extortion by threat of violence, obstruction of justice, witness tampering and witness retaliation.

On January 3, 2010, Argueta and other MS-13 members attempted to kidnap and assault two individuals with weapons because Argueta and his co-conspirators believed one of the individuals was associating with a rival gang.  After the individuals fled in different directions, several MS-13 members caught one of the victims and sexually assaulted her as retribution for associating with a rival gang.

In addition on January 13, 2011, Argueta attended a Peajes clique meeting during which another MS-13 member criticized members of the clique for not committing enough violent crimes and encouraging clique members to target rival gang members with acts of violence.  After the meeting, Argueta and other MS-13 members strangled and stabbed an individual whom the clique members believed to be a member of a rival gang.  Although the MS-13 members left the victim for dead, he survived.

Argueta also admitted that between March and November 2011, he and other members of the Peajes clique extorted a former MS-13 associate under the threat of a “greenlight” (an order to kill).  Argueta ordered other MS-13 associates to relay the death threats to the victim, and he contacted the victim himself on multiple occasions to arrange extortion payments.

Between September and November 2011, Argueta conspired to kill an individual who had been assaulted by Argueta and other MS-13 members and who had agreed to testify as a witness against Argueta in state court.  Specifically, Argueta admitted that, while incarcerated in the Prince George’s County Corrections Facility, he ordered the “greenlight” by contacting a co-conspirator who then relayed the instruction to other MS-13 members.  On Nov. 15, 2011, three MS-13 members drove to the victim/witness’ home, and one of the co-conspirators shot at the victim from a moving vehicle, striking the victim in the chest.  The victim survived.

To date, five of the 14 defendants charged in this case have pleaded guilty to participating in the racketeering conspiracy.

United States Attorney Rod J. Rosenstein commended HSI Baltimore, the Prince George’s County and Montgomery County Police Departments, the Prince George’s County and Montgomery County State’s Attorney’s Offices, and the Takoma Park Police Department for their work in the investigation. Mr. Rosenstein also recognized the Prince George’s County Sheriff’s Office, HSI Baltimore’s Operation Community Shield Task Force and the Maryland Department of Corrections Intelligence Unit for their assistance. Mr. Rosenstein thanked Assistant United States Attorneys William D. Moomau, Lindsay Eyler Kaplan, and Trial Attorney Kevin L. Rosenberg with the Justice Department Criminal Division’s Organized Crime and Gang Section, who prosecuted this case.

Participated in Assault, Kidnapping and Attempted Murder of a State’s Witness

A Maryland gang member was sentenced to 188 months in prison today for conspiring to participate in a racketeering enterprise known as La Mara Salvatrucha, or MS-13.

The sentence was announced by Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division; U.S. Attorney Rod J. Rosenstein of the District of Maryland; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI); Chief Mark A. Magaw of the Prince George’s County, Maryland Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Chief J. Thomas Manger of the Montgomery County, Maryland, Police Department; Chief Alan Goldberg of the Takoma Park, Maryland, Police Department; and Montgomery County State’s Attorney John McCarthy.

Wilmer Argueta, aka Chengo, 23, of Hyattsville, Maryland, pleaded guilty on April 20, 2015, before U.S. District Judge Roger W. Titus of the District of Maryland to one count of Racketeer Influenced and Corrupt Organizations Act (RICO) conspiracy.

According to the stipulated facts agreed to in connection with Argueta’s guilty plea, MS-13 is an international criminal organization and one of the largest street gangs in the United States with branches or “cliques” operating throughout Prince George’s and Montgomery Counties in Maryland.  Both to maintain membership in the gang and to enforce internal discipline, members are required to engage in acts of intimidation and violence, including against members of rival gangs.

In connection with his plea, Argueta admitted that from 2009 until at least 2012, he was a member and leader of the Peajes Locos Salvatrucha clique of MS-13, and that he and members of the Peajes and other MS-13 cliques committed crimes to further the interests of the gang, including murder, assault, robbery, extortion by threat of violence, obstruction of justice, witness tampering and witness retaliation.

Argueta admitted that on Jan. 3, 2010, he and other MS-13 members attempted to kidnap and assault two individuals with various weapons because Argueta and his co-conspirators believed one of the individuals was associating with a rival gang.  After the individuals fled in different directions, several MS-13 members caught one of the victims and sexually assaulted her as retribution for associating with a rival gang.

In addition, according to the plea agreement, on Jan. 13, 2011, Argueta attended a Peajes clique meeting during which another MS-13 member criticized members of the clique for not committing enough violent crimes and encouraging clique members to target rival gang members with acts of violence.  After the meeting, Argueta and other MS-13 members strangled and stabbed an individual whom the clique members believed to be a member of a rival gang.  Although the MS-13 members left the victim for dead, he survived.

Argueta also admitted that between March and November 2011, he and other members of the Peajes clique extorted a former MS-13 associate under the threat of a “greenlight” (an order to kill).  Argueta admitted that he ordered other MS-13 associates to relay the death threats to the victim, and he contacted the victim himself on multiple occasions to arrange extortion payments.

According to admissions made in connection with his plea, between September and November 2011, Argueta conspired to kill an individual who had been assaulted by Argueta and other MS-13 members and who had agreed to testify as a witness against Argueta in state court.  Specifically, Argueta admitted that, while incarcerated in the Prince George’s County Corrections Facility, he ordered the “greenlight” by contacting a co-conspirator who then relayed the instruction to other MS-13 members.  On Nov. 15, 2011, three MS-13 members drove to the victim/witness’ home, and one of the co-conspirators shot at the victim from a moving vehicle, striking the victim in the chest.  The victim survived.

To date, five of the 14 defendants charged in this case have pleaded guilty to participating in the racketeering conspiracy.

The case is being investigated by HSI Baltimore, the Prince George’s County and Montgomery County Police Departments, the Prince George’s County State’s Attorney’s Office, the Takoma Park Police Department and the Montgomery County State’s Attorney’s Office.  The Prince George’s County Sheriff’s Office, HSI Baltimore’s Operation Community Shield Task Force and the Maryland Department of Corrections Intelligence Unit also provided assistance.

The case is being prosecuted by Trial Attorney Kevin L. Rosenberg of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys William D. Moomau and Lindsay Eyler Kaplan of the District of Maryland.

Greenbelt, Maryland – Lamelle Marquez Malone, age 35, of Las Vegas, Nevada, formerly of Columbia, Maryland, pleaded guilty today to conspiring to steal prescription drugs from a military hospital and to interstate transportation of stolen property.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robert Craig of the Defense Criminal Investigative Service - Mid‑Atlantic Field Office; and Special Agent in Charge Antoinette V. Henry of the U.S. Food & Drug Administration, Office of Criminal Investigations.

Malone admitted that from April 8, 2011 through August 2012, he conspired with Roger Gurdon, and others to steal Somatropin, a form of human growth hormone, from the pharmacy located at the former Walter Reed Medical Center in Washington, D.C.  Malone and his co-conspirators re-sold the stolen pharmaceuticals for profit.

Gurdon was a pharmacy technician at Walter Reed.  Between January 2008 and the fall of 2011, Gurdon stole Somatropin from Walter Reed and sold it to a co-conspirator. When Gurdon traveled out of the country in April 2011, he arranged for the co-conspirator to obtain Somatropin from Malone, who was an enlisted member of the Army and worked as a pharmacy specialist at Walter Reed.  Malone distributed stolen Somatropin to the co-conspirator from April until August 2011, when Walter Reed was closed. Malone paid a pharmacy technician at Walter Reed to order the Somatropin which Malone stole, and paid the non-commissioned officer who was in charge of the pharmacy to ignore the fact that Malone was stealing Somatropin. Malone transported the stolen Somatropin from Walter Reed to his home in Columbia, and to College Park, Maryland to distribute the Somatropin to the co-conspirator.

During the period that Malone was involved in the conspiracy, the government contends that he and his co-conspirators stole over $2 million worth of Somatropin from the Walter Reed pharmacy.  Gurdon admitted that the total loss to the United States over the course of the entire conspiracy was at least $4,467,000.

U.S. District Judge Paul W. Grimm has scheduled sentencing for Malone on November 24, 2015 at 9:30 a.m.

Roger Gurdon, age 43, of Waldorf, Maryland, pleaded guilty to his role in the conspiracy and was sentenced to 78 months in prison, and was ordered to pay restitution of $4,467,000.  Another conspirator, Issa Wasco Koroma, age 63, of Springdale, Maryland was sentenced to five years in prison for conspiring to steal prescription drugs from two federal military hospitals.

United States Attorney Rod J. Rosenstein praised the DCIS and FDA-OCI for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Mara Zusman Greenberg, who is prosecuting the case.

Baltimore, Maryland – A federal grand jury today indicted Jeff V. Hare, age 53, of Berlin, Maryland, on charges of armed bank robbery, carjacking and brandishing a firearm during a crime of violence.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Worcester County Sheriff Reggie T. Mason, Sr.; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and Worcester County State’s Attorney Beau Oglesby.      

According to the three-count indictment, on March 13, 2015, Hare entered the BB&T branch located at 11000 block of Racetrack Road in Berlin, wearing a ski mask and brandishing a handgun.

Hare told the bank tellers present in the bank’s lobby that he had a gun and he was robbing the bank, demanding that the tellers give him only fifty and one hundred dollar bills, and that they not give him any dye packs. Hare moved through the lobby from employee to employee pointing the handgun at the employees and demanding money. Hare also demanded each teller give him their car keys and purse, but each teller told Hare they did not have them available. Hare stole approximately $2,850 in cash from the bank.

The indictment alleges that after robbing the tellers in the lobby, Hare found a bank employee who had locked herself in a back room of the bank. Hare forced open the locked door, pointed his handgun at the employee and demanded her car keys and her purse. The employee gave Hare her purse, which contained cash and personal effects, and the keys to her car, a 2007 Kia Spectra, which was parked in the bank’s parking lot. Hare exited the bank and fled in the stolen 2007 Kia Spectra, which he abandoned at a nearby business.

Hare faces a maximum sentence of 25 years in prison for armed bank robbery; a maximum of 15 years in prison for carjacking; and a mandatory minimum of seven years and up to life in prison for brandishing a firearm during a crime of violence.  An initial appearance has not yet been scheduled for U.S. District Court in Baltimore. Hare remains detained on related state charges.

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

United States Attorney Rod J. Rosenstein praised the FBI, Worcester County Sheriff’s Office, Maryland State Police and the Worcester County State’s Attorney’s Office for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant United States Attorney Zachary A. Myers, who is prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Sam Rafic Ghanem, age 45, of Springfield, Virginia, today to 18 months in prison followed by three years of supervised release for attempting to illegally export firearms parts and accessories to Lebanon, and for smuggling goods from the United States.  Judge Titus also ordered Ghanem to pay a fine of $70,734.24.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; and Special Agent in Charge Clark E. Settles of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.

Ghanem, a naturalized U.S. citizen born in Lebanon, owned and operated Washington Movers International, also known as Washington Movers, Inc., a freight forwarding business located in District Heights, Maryland.

According to evidence presented at his five day trial, beginning October 3, 2013, Ghanem sought to export guns and accessories to Lebanon through his shipping company that were provided to him by an FBI source.  Ghanem knew that the weapons and accessories were designated as defense articles and required an export license, which Ghanem never sought or obtained.  In addition, those items were prohibited from export to Lebanon.  Specifically, Ghanem attempted to export seven 9mm semi-automatic pistols; three .40 caliber semi-automatic pistols; 10 AR-15 .223 caliber semi-automatic rifles; and 18 advanced combat optic gun sights.

According to trial evidence, on November 21, 2013, Ghanem told the source to pay him $3,000 for the cost of purchasing salvaged vehicles which would be used to export the firearms and accessories.  Ghanem texted the source his bank account number and at the direction of law enforcement, the source deposited $3,000 into Ghanem’s account.  Ghanem purchased the salvaged vehicles and arranged for them to be cut up.  Ghanem concealed the weapons and other items within the doors and cut-up parts of the salvaged vehicles, which were then loaded into a shipping container.  Ghanem advised the source that the shipping container would be loaded with the remaining car parts and transported to the Port of Baltimore for shipment to Lebanon on December 23, 2013.  Ghanem was subsequently arrested.

United States Attorney Rod J. Rosenstein commended the FBI and Homeland Security Investigations Washington, D.C., for their work in the investigation and thanked U.S. Customs and Border Protection for its assistance.  Mr. Rosenstein thanked Assistant U.S. Attorneys Christine Manuelian and Joseph R. Baldwin, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Deverey Hasani-Jarod Kelley, age 25, of Glen Burnie, Maryland, today to five years in prison followed by three years of supervised release for the armed carjacking of a woman who was in labor and on her way to the hospital.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Annapolis Police Chief Michael A. Pristoop; and Anne Arundel County State’s Attorney Wes Adams.

 According to his plea agreement, on March 2, 2014, Kelley and co-defendant Cornell Robinson pointed guns at two individuals on Copeland Street in Annapolis, Maryland, as they were getting into their car.  The victims were planning to go to the hospital because the woman was in labor. The male victim managed to flee and called the police. Robinson and Kelley forced the woman at gunpoint to a residential building nearby, demanding money.  The woman repeatedly told them that she was in labor and did not have the key to the residence.  When it became clear that she could not get into the residence, Robinson took her car key and left in the victim’s car.

Officers from the Annapolis Police Department arrived and pursued the stolen car into Eastport. Kelley threw out a loaded handgun at the corner of Tyler Avenue and Hilltop Lane, which was recovered by police. Robinson and Kelly got out of the car on Tyler Avenue and ran away, but were arrested nearby. Police also recovered a shotgun from a neighbor’s yard.

A federal jury convicted Cornell Louis Robinson, age 45, of Washington, D.C., on July 29, 2015. Robinson faces a maximum sentence of 15 years in prison for carjacking; life in prison for possession and brandishing a firearm in furtherance of a crime of violence; and 10 years in prison for possession of a firearm and ammunition by a felon.  Judge Motz scheduled sentencing for Robinson on November 13, 2015, at 10:30 a.m.  Robinson remains detained.

United States Attorney Rod J. Rosenstein commended the FBI, Annapolis Police Department, and Anne Arundel County State’s Attorney’s Office for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant U.S. Attorneys Bonnie S. Greenberg and Patricia C. McLane, who prosecuted the case.

Baltimore, Maryland – Darryl Norris, age 36, of Baltimore, pleaded guilty today to robbing a video game store, and admitted to six other robberies.

The plea agreement was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Interim Commissioner Kevin Davis of the Baltimore Police Department; Baltimore County State’s Attorney Scott Shellenberger; and Baltimore City State’s Attorney Marilyn J. Mosby.

According to his plea agreement, on September 24, 2014, Norris and two co-conspirators entered the Game Stop at 8067 Liberty Road in Baltimore, pointing fake guns which appeared to be real weapons at an employee. The robbers demanded that the employee open the register, from which they took money.  The robbers forced the employee to show them a safe and game systems, and then bound him with zip ties. The robbers took the employee’s cell phone as well as $7,833.79 in cash and merchandise.

Norris admitted to committing six other robberies with co-conspirators from August 26 to September 27, 2014, using a similar modus operandi: Rainbow Clothing on Maiden Choice Lane in Baltimore; Cappy Cleaners on Belair Road in Baltimore; The Summit at Owings Mills, in Owings Mills, Maryland; Royal Farms on Wilkens Avenue and another Royal Farms on Keswick Road, both in Baltimore; and 7-Eleven on Pleasant Plains Road in Towson, Maryland.  The total loss from these robberies was $5,650.36.

Norris and the government have agreed that if the Court accepts the plea agreement, Norris will be sentenced to 108 months in prison.  U.S. District Judge George L. Russell III has scheduled sentencing for October 16, 2015 at 9:30 a.m.

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County and City Police Departments and Baltimore County and City State’s Attorney’s Offices for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Bonnie S. Greenberg, who is prosecuting the case.

Greenbelt, Maryland – Nicholas Edward Seskar, Sr., age 41, of Lusby, Maryland, pleaded guilty today to attempting to induce a minor to engage in sex.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); St. Mary’s County Sheriff Tim Cameron; and St. Mary’s County State’s Attorney Richard Fritz.

In 2006, Seskar admitted to having sex with a 15 year old when he was 30 years old.  He pleaded guilty in the Circuit Court for St. Mary’s County to one count of sex offense in the third degree and was sentenced.

According to his plea agreement, from March 23 to April 2, 2015, Seskar communicated on Facebook with an individual named “Tiffany” who he believed was 15 years old.  “Tiffany” was in fact an undercover law enforcement officer with the St. Mary’s County Sheriff’s Office.  Over time, his Facebook conversations became extremely graphic regarding the sexual acts he wanted to perform on “Tiffany.”  Seskar told the undercover police officer that he wanted to meet to have sex, and that he had slept with a 15 year old when he was 30 years old.

On April 2, 2015, Seskar arrived at a pre-arranged meeting place and was arrested by officers with the St. Mary’s County Sheriff’s Office.

As part of his plea agreement, Seskar must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).

Seskar and the government have agreed that if the Court accepts the plea agreement, Seskar will be sentenced to 15 years in prison.  U.S. District Judge Paul W. Grimm has scheduled sentencing for November 18, 2015 at 2:30 p.m.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.

United States Attorney Rod J. Rosenstein commended the St. Mary’s County Sheriff’s Office, HSI Baltimore and St. Mary’s County State’s Attorney’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Kristi O’Malley and Special Assistant U.S. Attorney Jennifer Wine of the U.S. Department of Justice, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Thomas Simmons, age 38, of Hampton, Virginia, today to 10 years in prison followed by five years of supervised release for conspiracy to distribute and possession with intent to distribute five kilograms or more of cocaine, in connection with his participation in the Jenifer drug trafficking organization (Jenifer DTO).

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Special Agent in Charge Shawn R. Ellerman of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Chief James W. Johnson of the Baltimore County Police Department.

According to his plea agreement, from September 2012 to October 2014, the Jenifer DTO supplied Simmons and others with kilogram-quantities of cocaine for distribution in and around the Baltimore-Washington metropolitan areas.  The Jenifer DTO obtained its cocaine from suppliers in or around Houston, Texas.  The Jenifer DTO transported money hidden in secret compartments in “courier vehicles” from Baltimore to Houston.  The cocaine was then transported from Houston to Baltimore in the secret compartments in the courier vehicles.  In September 2012 and July 2013, courier vehicles for the Jenifer DTO were intercepted in Chambers County, Texas and in Arkansas.  The vehicles contained approximately 30 kilograms and 23 kilograms, respectively, of cocaine hidden in secret compartments.  Between August 2013 and October 2014, approximately 30 shipments of cocaine were made to the Jenifer DTO.

Since June 2013, members of the Jenifer DTO made approximately 16 trips to Woodbridge, Virginia, to deliver kilograms of cocaine to Simmons.  For example, on June 16, 2014, a co-defendant met Simmons in Woodbridge, Virginia to deliver four kilograms of cocaine.  During a court-authorized wiretap law enforcement intercepted phone calls between Simmons and other members of the Jenifer DTO discussing and arranging deliveries of cocaine to Simmons.  On June 24, 2014, during an intercepted phone call a co-conspirator advised Simmons that he would deliver “a deuce,” or two kilograms of cocaine, to Simmons.  On June 25, 2014, law enforcement agents observed Simmons and the co-conspirator meet in Woodbridge, Virginia, and exchange a black bag.  The two men left the area and Simmons was covertly followed by the Virginia State Police.  Simmons was stopped by the Virginia State Police and a K-9 unit arrived at the scene to scan Simmons’s vehicle.  The K-9 alerted to the presence of narcotics in the vehicle and the vehicle was searched.  During the search law enforcement officers located a hidden compartment in the rear cargo area of Simmons’s vehicle that contained two kilograms of cocaine in a black bag and scented dryer sheets.

Simmons admitted that he was a member and co-conspirator of the Jenifer DTO, which was responsible for trafficking no less than 750 kilograms of cocaine from Houston to Baltimore from August 2013 to October 2014.

Co-conspirators William Hegie, age 54, Kermit Clark, age 44, and Elroy Johnson, age 49, all of Baltimore, previously pleaded guilty to their participation in the conspiracy and were each sentenced to 10 years in prison.

United States Attorney Rod J. Rosenstein praised the DEA, IRS Criminal Investigation and Baltimore City and County Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney John W. Sippel, Jr., who prosecuted the case, and expressed his appreciation to the United States Attorney’s Offices for the Southern District of Texas and the Southern District of New York for their assistance in this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – Antwan Travers, age 45, of Baltimore, Maryland, pleaded guilty today to charges arising from his participation in a conspiracy to commit three armed robberies of commercial establishments.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Interim Commissioner Kevin Davis of the Baltimore Police Department; Baltimore County State’s Attorney Scott Shellenberger; and Baltimore City State’s Attorney Marilyn J. Mosby.

According to Travers’ plea agreement, in March 2014, Travers and co-defendant Darryl Green planned to commit an armed robbery at a pharmacy located in the 6600 block of Security Boulevard in Baltimore. According to his plea agreement, on March 19, 2014, Travers drove Green to the store and waited outside as the getaway driver.  Green entered the store and asked an employee about medication for pink eye.  At the time, the employee was holding her two-month old baby.  The employee’s husband was also in the store. Green pointed a long-barreled BB pistol at the employee and her baby and said, “I’m going to kill the baby.”  He then ordered the employee to move towards the cash register.  The employee and her husband activated a loud panic alarm, and Green fled the store.  Travers drove Green away from the pharmacy.

Travers also admitted that he and Green attempted to rob a grocery store on March 27, 2014.  Travers drove Green to the supermarket. Green entered the store and asked a store employee about purchasing a Keno card.  Green then pointed a handgun at the employee and demanded money from the register.  Green said, “You better make it quick or I’m going to shoot you.”  Travers drove away before Green could escape.  Green attempted to run away, but he was quickly caught by members of the Baltimore County Police Department.  Officers found the gun that Green had used during the robbery, a loaded .380 caliber handgun with an obliterated serial number, near the location where Green was arrested.  Officers also found the stolen money, about $5,000, in a plastic bag.

Travers also admitted that he was the getaway driver in the February 16, 2014 robbery of a store in the 6600 block of Security Boulevard.  In that robbery, Travers drove an unknown male to the store. The man brandished a firearm and demanded that the store employee empty the cash register and the safe.  The man stole approximately $6,000.

Travers and the government have agreed that if the Court accepts the plea agreement, Travers will be sentenced to between 15 and 20 years in prison.  U.S. District Judge Richard D. Bennett has scheduled sentencing for November 16, 2015 at 3:00 p.m.

Darryl Green, age 48, of Baltimore, previously pleaded guilty to his role in the robberies and is scheduled to be sentenced on September 14, 2015 at 3:00 p.m.

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department, Baltimore City Police Department and the Baltimore City and Baltimore County State’s Attorney’s Offices for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Bonnie S. Greenberg and Joshua Ferrentino, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Ryan C. Anton, age 42, of Elverson, Pennsylvania, today to seven years in prison followed by 10 years of supervised release for travel with intent to engage in illicit sexual conduct. Judge Bennett ordered that upon his release from prison, Anton must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Ivan Arvelo of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Interim Commissioner Kevin Davis of the Baltimore Police Department.

According to his plea agreement, in July, 2014, as part of an investigation of individuals who were targeting minors online for sexual exploitation, an undercover Baltimore City Police detective placed an ad on the internet.  On July 23, 2014, Anton initiated text messaging with the undercover detective.  Anton believed that the detective was a 14 year old, hearing-impaired girl named Heidi who was in the 10th grade.  After a series of exchanges of sexually-explicit text messages over a period of weeks, including the solicitation of pornographic images from “Heidi,” Anton relayed that he was on a bus to Baltimore, provided the bus number and attempted to convince “Heidi” to board the bus.

Baltimore City Police detectives assisted by HSI agents boarded the bus and arrested Anton.  Anton admitted that the plan was for “Heidi” to get on the bus with him to travel to Washington, D.C. where he had booked a hotel room to have sex.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.

United States Attorney Rod J. Rosenstein commended the HSI Baltimore and Baltimore Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Rachel M. Yasser and Aaron S. J. Zelinsky, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Lateef Fisher, age 37, of Greencastle, Pennsylvania, today to 13 years in prison followed by five years of supervised release for conspiring to distribute and possess with intent to distribute a kilogram or more of heroin or 28 grams or more of cocaine base in Hagerstown, Maryland, and the surrounding counties in Maryland, Pennsylvania, and West Virginia.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Special Agent in Charge Shawn R. Ellerman of the Drug Enforcement Administration, Baltimore District Office; Hagerstown Police Chief Mark Holtzman; and Washington County Sheriff Douglas W. Mullendore.

According to evidence presented at his seven day trial, Fisher sold heroin to an individual who agreed to cooperate with law enforcement.  On February 19, 2014, law enforcement arrested Fisher after he parked his car in a lot in Hagerstown, Maryland, and seized two plastic bags of heroin.

Law enforcement made controlled purchases of heroin using confidential informants on five occasions from March 19 to July 23, 2014.  These purchases totaled over 28 grams of heroin.  In addition, from May to September 2014, two customers purchased approximately one kilogram of heroin from Fisher. Other customers purchased over 600 grams of heroin in July and August, 2014.

On September 4, 2014, law enforcement executed search warrants at Fisher’s residence and a storage unit he rented, seizing 709.5 grams of heroin, 40 grams of crack cocaine, 10 handguns, ammunition, $240,000, a press designed to compress kilogram packages of narcotics, vacuum sealers, digital scales and plastic baggies.

United States Attorney Rod J. Rosenstein commended the DEA, Hagerstown Police Department, Washington County Sheriff’s Office, and the Washington County Narcotics Task Force for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys Seema Mittal and Evan T. Shea, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – A federal grand jury indicted James J. Stanley, age 28, of Rising Sun, Maryland, today for the attempted sexual exploitation of a minor and for distribution of child pornography.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Ivan Arvelo of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Chief F.D. “Chip” Peterson, Jr. of the Rising Sun Police Department; and Cecil County State’s Attorney Ellis Rollins.

According to the two-count indictment, Stanley used a website that hosts anonymous, randomized, one-to-one video and text chat. The website allows users to seek chat partners without creating an account or providing any identifying information, and markets itself as an opportunity for users to “Talk to strangers!” The website allows users to engage in text-based chat sessions with or without accompanying video from the user’s webcam.

The indictment alleges that on October 20, 2014, while Stanley was participating in a video chat session on the website he used his webcam to display an image documenting the sexual abuse of a prepubescent girl.

The indictment also alleges that Stanley placed a digital recording device in a shower that he knew would be used by a minor female (Girl1), with the intent to create video recordings of Girl 1 engaged in sexually explicit conduct.  Between November 14, 2014 and January 14, 2015, Stanley allegedly saved a video file to his computer that depicted Girl 1 taking a shower.  Girl 1’s genital area is not visible in the video.

Stanley faces a minimum mandatory sentence of 15 years in prison and a maximum of 30 years in prison for the attempted sexual exploitation of a child; and a minimum mandatory sentence of five years and a maximum of 20 years in prison for distribution of child pornography, each followed by up to lifetime of supervised release.   An initial appearance has not yet been scheduled for Stanley, who is currently detained on related state charges.

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.             

United States Attorney Rod J. Rosenstein commended the HSI Baltimore, the Maryland State Police, Rising Sun Police Department, and the Cecil County State’s Attorney’s Office for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant U.S. Attorney Zachary A. Myers, who is prosecuting the case.

Greenbelt, Maryland – A federal grand jury has indicted Vinnie Lysander Taylor, a/k/a “T,” age 44, of Wilmington, North Carolina, Pennsylvania and Georgia, on charges of receiving and selling industrial grade silicone, but representing to customers that it was medical grade silicone.  The indictment was returned on August 3, 2015.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Antoinette V. Henry of the U.S. Food & Drug Administration, Office of Criminal Investigations’ Metro Washington Field Office; Chief Mark A. Magaw of the Prince George’s County Police Department; and Prince George’s County State’s Attorney Angela D. Alsobrooks.          

According to the nine-count indictment, the only injectable silicone products approved or cleared for marketing by Food and Drug Administration (FDA) were ophthalmic devices for the treatment of eye injuries, such as, for example, detached retinas.  These products were regulated by FDA as prescription medical devices.

The indictment alleges that Taylor obtained food grade liquid silicone from a company in Pennsylvania, which was produced and intended to be used as a lubricant and release agent in, among other things, food processing, food treatment, and food transportation and shipment. Taylor traveled to Prince George’s County, Maryland, and elsewhere, and in exchange for money, injected the food grade silicone into the buttocks of customers who wanted larger or fuller buttocks. When used in this fashion, liquid silicone is a medical device subject to regulation by the FDA.

According to the indictment, from approximately September 30, 2008 through December 2, 2014, Taylor placed approximately 180 orders for gallon jugs of liquid silicone with the company that produced the food grade liquid silicone. Taylor stored the liquid silicone in plastic bottles that were not labeled nor approved by the FDA for that purpose.  Therefore, the liquid silicone was adulterated and misbranded.

The indictment alleges that Taylor, who was not a licensed medical practitioner, falsely represented to customers and victims to whom he administered liquid silicone injections that the procedure was safe.  In addition, Taylor falsely told customers that he used medical grade silicone, when in fact the silicone was not medical grade silicone. Between September 2013 and September 2014, Taylor allegedly injected seven women in Prince George’s County with food grade liquid silicone in exchange for pay. 

Taylor faces a maximum sentence of three years in prison for each of nine counts of receipt of a misbranded and adulterated device for delivery for pay with intent to defraud or mislead.  An initial appearance has not yet been scheduled for Taylor.  Taylor is currently detained on related state charges

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

United States Attorney Rod J. Rosenstein praised the FDA Office of Criminal Investigations’ Metro Washington Field Office, the Prince George’s County Police Department, and the Prince George’s County State’s Attorney’s Office for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant United States Attorney Deborah A. Johnston and William D. Moomau, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Elroy Johnson, age 49, of Baltimore, today to 10 years in prison, followed by five years of supervised release, for conspiracy to distribute and possession with intent to distribute five kilograms or more of cocaine, in connection with his participation in the Jenifer drug trafficking organization (Jenifer DTO).

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Special Agent in Charge Shawn R. Ellerman of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Chief James W. Johnson of the Baltimore County Police Department.

According to his plea agreement, from September 2012 to October 2014, the Jenifer DTO supplied Johnson and others with kilogram-quantities of cocaine for distribution in and around the Baltimore-Washington metropolitan areas.  The Jenifer DTO obtained its cocaine from suppliers in or around Houston, Texas.  The Jenifer DTO transported money hidden in secret compartments in “courier vehicles” from Baltimore to Houston.  The cocaine was then transported from Houston to Baltimore hidden in the secret compartments in the Jenifer DTO’s courier vehicles.  In September 2012 and July 2013, courier vehicles for the Jenifer DTO were intercepted in Chambers County, Texas and in Arkansas.  The vehicles contained approximately 30 kilograms and 23 kilograms, respectively, of cocaine hidden in a secret compartment.   Between August 2013 and October 2014, approximately 30 shipments of cocaine were made to the Jenifer DTO.

In August and September 2014, agents saw Johnson meet with members of the Jenifer DTO to exchange money and obtain cocaine.  On October 9, 2014, approximately 123 grams of cocaine was seized from Johnson’s residence.  On that same day, approximately 27 kilograms of cocaine were seized from one of the Jenifer DTO’s courier vehicles.

Johnson admitted that he was a member and co-conspirator of the Jenifer DTO, which was responsible for trafficking no less than 750 kilograms of cocaine from Houston to Baltimore from August 2013 to October 2014.

William Hegie, age 54, and Kermit Clark, age 44, both of Baltimore, previously pleaded guilty to their participation in the conspiracy and were each sentenced to 10 years in prison.

United States Attorney Rod J. Rosenstein praised the DEA, IRS Criminal Investigation and Baltimore City and County Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney John W. Sippel, Jr., who prosecuted the case, and expressed his appreciation to the United States Attorney’s Offices for the Southern District of Texas and the Southern District of New York for their assistance in this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – Cecil Scott Wiggins, age 49, of Annapolis, Maryland, pleaded guilty today to being a felon in possession of a firearm.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William P. McMullan of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Annapolis Police Chief Michael A. Pristoop; Anne Arundel County Police Chief Tim Altomare; and Anne Arundel County State’s Attorney Wes Adams.

Annapolis Police Chief Michael Pristoop stated, “Violent crime in Annapolis is at a historic low due in part to the outstanding federal and local partnerships we enjoy. This is another clear example and I thank our law enforcement partners for their work in this case.”

According to Wiggins’ plea agreement, on December 19, 2014, Annapolis Police Department (APD) officers were called to the1300 block of Tyler Avenue in Annapolis for reports of shots fired.  When officers arrived, the victim stated that her boyfriend, Cecil Scott Wiggins, fired a shot into her home.  At the time Wiggins fired the shot, the victim and her fourteen-year old son were attempting to prevent Wiggins from getting inside the home. The shot hit the ceiling of the kitchen, without going through the upstairs floor or causing any injuries.           

APD and the Anne Arundel County Police Department eventually located Wiggins at his mother’s home in Annapolis.  APD personnel spoke to Wiggins’ mother, who gave consent to search her residence, and signed a consent form.  In the basement where Wiggins resided, APD recovered a .22 caliber spent shell casing on the floor near the couch, and a silver/black .22 caliber revolver in the nearby laundry room.  The revolver had black tape and multicolored rubber bands around the handle, and was loaded with one round of .22 caliber ammunition that matched the type of shell casing found on the floor.

Wiggins was arrested and transported to APD headquarters.  Wiggins acknowledged he had a gun when he went to the victim’s home.  He claimed that he accidentally pulled the trigger when he stuck his arm through the open door and the door closed on his arm. 

Wiggins had previous felony convictions which prohibited him from possessing firearms or ammunition.

Wiggins and the government have agreed that if the Court accepts the plea agreement Wiggins will be sentenced to between 37 and 66 months in prison.  U.S. District Judge Richard D. Bennett has scheduled sentencing for September 17, 2015, at 3:00 p.m.

United States Attorney Rod J. Rosenstein commended the ATF, Annapolis and Anne Arundel County Police Departments and Anne Arundel County State’s Attorney’s Office for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant United States Attorney Bonnie S. Greenberg and Special Assistant U.S. Attorney Shelly S. Glenn, who are prosecuting the case.