District of Minnesota

MINNEAPOLIS – A Cottage Grove man has been charged in a four-count indictment with conspiracy to distribute methamphetamine, possession with intent to distribute methamphetamine, possession of a firearm as a felon, and possession of a firearm in furtherance of a drug trafficking crime, announced U.S. Attorney Andrew M. Luger.

According to court documents, on July 16, 2024, law enforcement executed a search warrant at the residence of Jonathan Henry Valencour, 44, in Cottage Grove. Law enforcement seized approximately 84.4 kilograms of methamphetamine from a large trash can in the garage of the residence. Law enforcement also seized a firearm with an attached silencer. Because Valencour has prior felony convictions in Hennepin and Washington Counties, he is prohibited under federal law from possessing firearms or ammunition at any time.

The indictment charges Valencour with conspiracy to distribute methamphetamine, possession with intent to distribute methamphetamine, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm as a felon. Valencour was arraigned yesterday in U.S. District Court before Magistrate Judge John F. Docherty. He has been ordered to remain in custody pending further proceedings.

This case is the result of an investigation conducted by the Drug Enforcement Administration, the Washington County Drug Task Force, and the Cottage Grove Police Department.

Assistant U.S. Attorney Thomas M. Hollenhorst is prosecuting the case.

An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – Three individuals living on the Red Lake Indian Reservation have been sentenced for felony child neglect and felony child endangerment, announced United States Attorney Andrew M. Luger.

According to court documents and evidence presented at trial, between February 2022 and January 2023, Robin John Roy, 55, Nicole Robyn Roy, 29, and Harrison Edwin Dudley Sr., 36, willfully deprived minor victims of necessary food, health care, and supervision despite their reasonable ability to make the necessary provisions, resulting in substantial harm to the minor victims’ physical, mental, and emotional health. Trial evidence established that one of the minor victims suffered from severe anemia as a result of malnourishment, and despite repeat efforts by health care providers to intervene in the child’s condition, the child nearly died as a result of the defendants’ collective failure to provide needed care. Trial evidence also established that both children suffered from prolonged lice infestations that progressed to life-threatening scalp infections. 

On February 16, 2024, following a six-day trial before U.S. District Judge Nancy E. Brasel, all three defendants were found guilty of felony child neglect. Nicole Roy and Dudley were also found guilty of felony child endangerment. All three defendants were sentenced on September 5, 2024, by Judge Brasel. Robin Roy received 24 months of probation, Nicole Roy received 12 months and a day in prison followed by three years of supervised release, and Dudley received four months in prison.

In handing down the sentences, Judge Brasel stated she had balanced the relative culpability and the relative nature and circumstances of each defendant. She emphasized that the neglect the children had suffered was “no less serious than an act of assault” because “the injuries that resulted were certainly life threatening,” the neglect went on for a long time, there were “relatively easy” steps the caretakers could have taken, and the caretakers nonetheless willfully failed to take action for the children’s basic needs. Judge Brasel remarked, “The children in this case, and all of the children like them, deserve better.”

This case is the result of an investigation conducted by the FBI.

Assistant U.S. Attorneys Lindsey E. Middlecamp and Rachel L. Kraker prosecuted the case.

MINNEAPOLIS – A Seattle woman has pleaded guilty to her role in providing a $120,000 bribe to a juror in the Feeding Our Future trial, announced United States Attorney Andrew M. Luger.

According to court documents, on April 22, 2024, seven defendants went to trial before U.S. District Judge Nancy E. Brasel for their roles in the Feeding Our Future fraud scheme. During the trial, Ladan Mohamed Ali, 31, and four others conspired with each other to provide a cash bribe to one of the jurors in exchange for the juror returning a not guilty verdict in the trial.

As part of the scheme, on May 17, 2025, Ali flew from Seattle to Minneapolis to meet with co-defendant Abdimajid Nur to discuss the plan to bribe Juror 52. Ali agreed to deliver the bribe money to Juror 52 in exchange for a $150,000 cash payment. On May 30, 2024, Ali again flew from Seattle to Minneapolis to carry out the bribery scheme. On May 31, 2024, at the direction of Nur, Ali attempted to follow Juror 52 home as she left a downtown Minneapolis parking ramp at the conclusion of the first day of closing arguments in the trial. Nur had previously provided Ali with a photo of Juror 52’s car and a map of the parking ramp.

According to court documents, although Ali had agreed to contact Juror 52 about the bribe, Ali was concerned that the plan would not work and that she would not get paid for her involvement in the bribery. Instead, Ali came up with an alternative plan to steal some or all of the bribe money. On June 1, 2024, Ali told Nur —falsely—that she had approached Juror 52 at a bar and that Juror 52 was interested in taking the bribe but wanted $500,000 in exchange for returning a not guilty verdict. Ali told Nur that Juror 52 wanted Ali to deliver the money at a specific time when Juror 52 would be home alone. In reality, Ali did not speak with Juror 52, and Juror 52 never agreed to accept a bribe.

Nevertheless, Nur believed Ali and told her that he would obtain the bribe money from co-defendants Abdiaziz Farah and Said Farah. On June 2, 2024, Ali met Nur in a parking lot in Bloomington to pick up the bribe money. Prior to the meeting, Ali purchased two Hallmark gift bags in which to deliver the bribe money. During the meeting, Nur handed Ali a cardboard box containing $200,000 in cash. Ali took the cash out of the box and put it into one of the Hallmark gift bags. Ali then drove to an area near Juror 52’s house to meet Abdulkarim Farah, who would accompany Ali to Juror 52’s house and video record her delivery of the bribe as proof that the bribe money was delivered and Juror 52’s acceptance of the bribe. Abdulkarim Farah insisted that he drive Ali to Juror 52’s house. This prevented Ali from stealing all of the bribe money. After Ali met up with Abdulkarim Farah, they stopped at a nearby store to purchase a screwdriver. Abdulkarim Farah used the screwdriver to remove the license plate from Ali’s rental car prior to delivering the bribe.

According to court documents, at approximately 8:50 p.m. on June 2, 2024, upon arriving at Juror 52’s house, Ali approached the house with the gift bag containing the bribe money, handed it to a relative of Juror 52 and explained that there would be more money if Juror 52 voted to acquit the defendants. Abdulkarim Farah remained in the car and took a video of Ali’s delivery of the bribe money. Ali received $200,000 in cash from Nur, all of which was intended to be used to bribe Juror 52. But Ali only delivered $120,000 to Juror 52’s relative and kept the remaining $80,000 cash for herself.

Ali pleaded guilty today in U.S. District Court before Judge David S. Doty to one count of bribery of a juror. A sentencing hearing will be scheduled at a later time.

This case is the result of an investigation conducted by the FBI with assistance from IRS – Criminal Investigations, the U.S. Postal Inspection Service, and the Minnesota Bureau of Criminal Apprehension.

Assistant U.S. Attorneys Joseph H. Thompson, Matthew Ebert, Harry Jacobs, and Daniel Bobier are prosecuting the case.

MINNEAPOLIS – A Minneapolis felon has pleaded guilty to possession with intent to distribute thousands of fentanyl pills, announced United States Attorney Andrew M. Luger. 

According to court documents, on January 8, 2023, Giorgio Javon d’Larente Baymon, 37, sold 860 M-30 fentanyl pills to an individual in Mankato for distribution in the area. On January, 21, 2023, he sold an additional 600 M-30 fentanyl pills to a second individual.

On May 2, 2023, Baymon rented a room at the Intercontinental Hotel in Saint Paul, where he hid a bag containing 8,500 M-30 fentanyl pills. Hotel staff found the bag of fentanyl pills while Baymon was away and alerted law enforcement. Officers waited at the hotel and attempted to arrest Baymon when he returned, however, he fled from law enforcement, pulled a fire alarm, and was eventually apprehended in the hotel basement.

Baymon pleaded guilty yesterday in U.S. District Court before Judge Ann D. Montgomery to one count of possession with intent to distribute fentanyl. A sentencing hearing will be scheduled at a later date.

This case is the result of an investigation conducted by the Minnesota River Valley Drug Task Force, the St. Paul Police Department, the Drug Enforcement Administration, and the Minnesota Bureau of Criminal Apprehension.

Assistant U.S. Attorneys William C. Mattessich and Matthew D. Forbes are prosecuting the case.

MINNEAPOLIS – A Minneapolis man has been charged in a four-count indictment with possession with intent to distribute fentanyl, possession of a firearm as a felon, possession of a machine gun, and carrying a firearm during and in relation to a drug trafficking crime, announced U.S. Attorney Andrew M. Luger.

According to court documents, on July 29, 2024, law enforcement obtained a search warrant for a white Nissan Rogue known to be driven by Tyrone Antwan Carter, Jr., 28. Law enforcement observed Carter’s vehicle in the parking lot of a business in north Minneapolis. Officers activated their emergency lights and moved their police vehicle to block Carter’s vehicle. Officers ordered Carter out of his vehicle, but Carter did not comply and accelerated past the police vehicle. Officers pursued and used a pursuit intervention technique (PIT) maneuver to stop the vehicle and prevent Carter from endangering pedestrians, law enforcement officers, and himself. After a brief struggle, officers removed Carter from the vehicle and placed him under arrest.

According to court documents, on the floorboard of the driver’s seat, officers recovered a fully loaded Glock 26 9mm pistol with an attached “switch” or “auto sear” and an extended magazine. In the trunk of the vehicle inside a black baby bag, officers found purple powder that had been pressed into a brick, along with hundreds of small plastic baggies and rubber gloves. Subsequent testing indicated that the powdered substance was fentanyl.

The indictment charges Carter with possession with intent to distribute fentanyl, possession of a firearm as a felon, possession of a machine gun, and carrying a firearm during and in relation to a drug trafficking crime. Carter has been ordered to remain in custody pending further proceedings.

This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Hennepin County Violent Offender Task Force, and the Minneapolis Police Department.

Assistant U.S. Attorney David Classen is prosecuting the case.

An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – A Mankato man has been indicted for using a messaging app to distribute and receive child pornography, announced U.S. Attorney Andrew M. Luger.

According to court documents, between October 14, 2023, through January 29, 2024, Daniel John Janke, 54, used Kik, a messaging and chat application, to send and receive images and videos containing child sexual abuse material.

The indictment charges Janke with one count of distribution of child pornography and three counts of receipt of child pornography. Janke made his initial appearance on August 29, 2024, in U.S. District Court before Magistrate Judge Tony N. Leung.

This case is the result of an investigation conducted by the FBI.

Assistant U.S. Attorney Emily A. Polachek is prosecuting the case.

An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – A Nebraska man has been indicted for two carjackings, announced U.S. Attorney Andrew M. Luger.

According to court documents, on June 16, 2024, Nathan Mathias Sughroue, 31, used violence and intimidation to steal a Hyundai Elantra from one victim. Later that same day, Sughroue used force and violence that resulted in serious bodily injury to steal a Nissan Murano from a second victim.  

The indictment charges Sughroue with two counts of carjacking. Sughroue made his initial appearance in U.S. District Court on August 29, 2024, before Magistrate Judge Tony N. Leung. He was ordered to remain in federal custody pending further proceedings.

This case is the result of an investigation conducted by the Shakopee Police Department, Robbinsdale Police Department, Minneapolis Police Department, Minnesota State Patrol, and the FBI.

Assistant U.S. Attorney David M. Classen is prosecuting the case.

An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – A Minneapolis man has been sentenced to 235 months in prison followed by five years of supervised release for illegal possession of ammunition after engaging in multiple shootings, announced U.S. Attorney Andrew M. Luger.

According to court documents, on September 23, 2021, law enforcement received a report of a shooting near 16th Avenue and Lake Street East in Minneapolis. When officers arrived, they identified a victim who was shot in the leg by Saladean Walker Salean, 52. Officers recovered several discharged cartridge casings that came from the gun Salean used to shoot the victim. Between September 4, 2021, and September 29, 2021, Salean engaged in six other assaults and shootings, one resulting in death.

Because Salean has multiple prior felony convictions, including assault and illegal possession of firearms, he is prohibited under federal law from possessing firearms or ammunition at any time. 

On February 2, 2024, Salean pleaded guilty to possession of ammunition as an armed career criminal. He was sentenced yesterday in U.S. District Court by Judge Nancy E. Brasel.

This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Minneapolis Police Department.

Assistant U.S. Attorney Thomas M. Hollenhorst prosecuted the case.
 

MINNEAPOLIS – Two individuals have been indicted on drug trafficking conspiracy and firearm charges, announced U.S. Attorney Andrew M. Luger.

According to court documents, between June 1, 2024, and July 21, 2024, Donald Ray Sanderson, 41, and Lindsey Wade Stolpa, 29, knowingly and intentionally conspired with each other to distribute methamphetamine and fentanyl in the Rochester area. The defendants were allegedly found in possession of more than 14 kilograms of methamphetamine and over 200 fentanyl pills after Sanderson led law enforcement on a high-speed chase that led to a several-hour standoff on Interstate 35 in Faribault. Multiple agencies were involved in the standoff and Sanderson’s arrest.

In additional, on July 21, 2024, Sanderson was allegedly found to be in possession of a Taurus 9mm semiautomatic pistol. As alleged, he possessed the Taurus pistol in furtherance of his methamphetamine trafficking crimes.

Sanderson has multiple prior felony convictions including, but not limited to, making terroristic threats and is therefore prohibited under federal law from possessing firearms or ammunition at any time.

The indictment charges Sanderson and Stolpa each with conspiracy to distribute methamphetamine and fentanyl and a separate count of possession with intent to distribute methamphetamine and fentanyl. Sanderson is also charged with one count of possession of a firearm as a felon, one count of possession with intent to distribute methamphetamine, and one count of possession of a firearm in furtherance of a drug trafficking crime. They were previously charged by federal criminal complaint on July 23, 2024.

This case is the result of an investigation conducted by the Drug Enforcement Administration, the Southeast Minnesota Violent Crimes Enforcement Task Force, the Minnesota Bureau of Criminal Apprehension, the Minnesota State Patrol, the Rice County Sheriff’s Office, the Olmsted County Sheriff’s Office, the Steele County Sheriff’s Office, the Dakota County Sheriff’s Office, the South Central Drug Investigative Unit, the Faribault Police Department, the Apple Valley Police Department, the Rochester Police Department, the Lakeville Police Department, the Farmington Police Department, the South Saint Paul Police Department, the Inver Grove Heights Police Department, the Northfield Police Department, the Hastings Police Department, and the Mendota Heights Police Department.

Assistant U.S. Attorney Allen A. Slaughter is prosecuting the case.

An indictment is merely an allegation, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – Two individuals have been indicted on drug trafficking conspiracy and firearm charges, announced U.S. Attorney Andrew M. Luger.

According to court documents, between June 1, 2024, and July 21, 2024, Donald Ray Sanderson, 41, and Lindsey Wade Stolpa, 29, knowingly and intentionally conspired with each other to distribute methamphetamine and fentanyl in the Rochester area. The defendants were allegedly found in possession of more than 14 kilograms of methamphetamine and over 200 fentanyl pills after Sanderson led law enforcement on a high-speed chase that led to a several-hour standoff on Interstate 35 in Faribault. Multiple agencies were involved in the standoff and Sanderson’s arrest.

In additional, on July 21, 2024, Sanderson was allegedly found to be in possession of a Taurus 9mm semiautomatic pistol. As alleged, he possessed the Taurus pistol in furtherance of his methamphetamine trafficking crimes.

Sanderson has multiple prior felony convictions including, but not limited to, making terroristic threats and is therefore prohibited under federal law from possessing firearms or ammunition at any time.

The indictment charges Sanderson and Stolpa each with conspiracy to distribute methamphetamine and fentanyl and a separate count of possession with intent to distribute methamphetamine and fentanyl. Sanderson is also charged with one count of possession of a firearm as a felon, one count of possession with intent to distribute methamphetamine, and one count of possession of a firearm in furtherance of a drug trafficking crime. They were previously charged by federal criminal complaint on July 23, 2024.

This case is the result of an investigation conducted by the Drug Enforcement Administration, the Southeast Minnesota Violent Crimes Enforcement Task Force, the Minnesota Bureau of Criminal Apprehension, the Minnesota State Patrol, the Rice County Sheriff’s Office, the Olmsted County Sheriff’s Office, the Steele County Sheriff’s Office, the Dakota County Sheriff’s Office, the South Central Drug Investigative Unit, the Faribault Police Department, the Apple Valley Police Department, the Rochester Police Department, the Lakeville Police Department, the Farmington Police Department, the South Saint Paul Police Department, the Inver Grove Heights Police Department, the Northfield Police Department, the Hastings Police Department, and the Mendota Heights Police Department.

Assistant U.S. Attorney Allen A. Slaughter is prosecuting the case.

An indictment is merely an allegation, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – Anthony Eugene Moulder and Abdou-Rahmane Diallo have been sentenced to 120 months and 90 months in prison, respectively, for their roles in a $300 million nationwide telemarketing fraud scheme that targeted elderly and vulnerable victims, announced U.S. Attorney Andrew M. Luger.

According to court documents, Moulder, 63, of Fort Myers, Florida, owned and operated several Florida-based companies involved in fraudulent magazine sales, including Gulf Coast Readers Inc., ARCO Media Inc., KMK Magazines Inc., and Leisure Time Resources Inc. As part of the scheme, from 2008 through 2020, Moulder purchased lists that contained the information of consumers—many of whom were elderly and vulnerable—who were already receiving magazines through other companies. Moulder provided the lists to his sales teams and directed them to use deceptive sales scripts to induce victims into making large or repeat payments to Moulder’s companies for unwanted magazine subscriptions. Over the course of the scheme, Moulder and his companies defrauded thousands of victims across the United States out of approximately $86,589,272.

According to court documents, Diallo, 36, of Montreal, Quebec, was a co-owner and operator of Readers Services, a Canadian-based company that carried out a telemarking fraud scheme. From 2011 through 2020, Diallo and other participants of the fraud scheme targeted people who had previously been victimized by fraudulent magazine companies and were currently being billed by one or more fraudulent magazine companies on an ongoing basis—and used this vulnerability to victimize them all over again through promises of being able to cancel their unwanted magazine subscriptions. Diallo pretended to be from the “magazine cancellation department” and offered to pay off the victims’ “outstanding balance” and cancel their existing magazine subscriptions in exchange for a large, lump-sum payment. In reality, the victims did not owe Diallo or his company any money, and Diallo had no power or ability to cancel the victims’ existing magazine subscriptions or any outstanding balances. As a result of this “piggyback” fraud scheme, Diallo and other participants in the fraud scheme defrauded more than 20,000 victims—many of whom were elderly and vulnerable—across the United States out of approximately $30 million.

On January 13, 2023, Moulder pleaded guilty to one count of conspiracy to commit mail fraud. On March 4, 2024, Diallo pleaded guilty to two counts of wire fraud. Both men were sentenced yesterday in U.S. District Court by Judge John R. Tunheim.

This case is the result of an investigation conducted by the United States Postal Inspection Service and the FBI. Additional assistance was provided by Homeland Security Investigations, the Treasury Inspector General for Tax Administration (TIGTA), and the Minnesota Attorney General’s Office.

Assistant U.S. Attorneys Harry M. Jacobs and Garrett S. Fields prosecuted the cases.

ST. PAUL, Minn. – A Rochester man has been sentenced to 240 months followed by five years of supervised release for conspiracy to distribute methamphetamine, announced United States Attorney Andrew M. Luger. 

According to court documents, beginning in July 2022—shortly after he was released early from prison for prior controlled substance felonies—through December 2002, Panh Thavong, 51, was part of a conspiracy in which he would distribute methamphetamine in the greater Rochester area. After an investigation that was conducted over several months, law enforcement identified locations and vehicles that Thavong was using to facilitate his methamphetamine distribution along with one or more of his conspirators. On December 9, 2022, law enforcement executed search warrants at these locations and seized over 34 kilograms of methamphetamine: 3.5 kilograms from the stash house, 4.5 kilograms from the rental unit, and 26 kilograms from a conspiracy vehicle. As part of his guilty plea, Thavong admitted that the seized controlled substances were intended for distribution.

On July 20, 2023, Thavong pleaded guilty to one count of conspiracy to distribute methamphetamine. He was sentenced on August 23, 2024, in U.S. District Court by Judge Eric C. Tostrud.

This case is the result of an investigation conducted by the Drug Enforcement Administration, the Southeast Minnesota Violent Crime Task Force, the Minnesota Bureau of Criminal Apprehension, Olmsted County Sheriff’s Office, Fillmore County Sheriff’s Office, the Rochester Police Department, and the Red Wing Police Department.

Assistant U.S. Attorney Allen A. Slaughter prosecuted the case.

MINNEAPOLIS – Five members of the Red Lake Band of Chippewa Indians have been sentenced to prison for child abuse and neglect on the Red Lake Indian Reservation, announced U.S. Attorney Andrew M. Luger.

According to court documents, between January 1, 2021, and April 29, 2022, Trina Mae Johnson, 50, directed the torture, endangerment, neglect, and abuse of a child who was in Johnson’s legal custody through a foster care placement. Johnson was aided and abetted by Bertram Calvin Lussier, Jr., 43, and Johnson’s three sisters, Bobbi Jo Johnson (a/k/a Bobbi Jo Kingbird), 46, Ellie Mae Johnson, 48, and Patricia Ann Johnson, 40, who all regularly assumed responsibility for all or a portion of the care and supervision of the minor victim. The abuse included withholding food from the victim to the point of starvation, forcing the victim to stand in uncomfortable positions for long periods of time, and assaulting the victim in various ways. As a result of Johnson’s and her accomplices’ abuse, the victim suffered serious and substantial physical, mental and emotional harm.

On February 29, 2024, Trina Mae Johnson pleaded guilty to one count of child torture, one count of child neglect—deprivation of food and health care, one count of child endangerment and one count of assault on a minor with a dangerous weapon. She was sentenced yesterday in U.S. District Court by Judge Katherine M. Menendez to 216 months in prison followed by five years of supervised release.

On April 15, 2024, Bobbi Jo Johnson was convicted by a federal jury on one count of child neglect—deprivation of food and health care, and one count of child endangerment. She was sentenced yesterday by Judge Menendez to 72 months in prison followed by three years of supervised release.

Ellie Johnson, Patricia Johnson, and Lussier each pleaded guilty to one count of child endangerment. Ellie Johnson was sentenced to 48 months and three years of supervised release. Patricia Johnson was sentenced to 48 months and three years of supervised release. Lussier was sentenced to 24 months and two years of supervised release.

This case was investigated by the FBI and the Red Lake Tribal Police Department, with support from the Minnesota Bureau of Criminal Apprehension, the Beltrami County Sherriff’s Office, the Bemidji Police Department, and the Blackduck Police Department.

Assistant U.S. Attorneys Ruth S. Shnider and Evan B. Gilead prosecuted the case.

MINNEAPOLIS – A Washington man has been sentenced to 72 months in prison followed by five years of supervised release for possession with intent to distribute tens of thousands of fentanyl pills, announced U.S. Attorney Andrew M. Luger.

According to court documents, during the early morning hours of August 31, 2022, Bloomington police officers were investigating a report of suspected fraud at an area hotel. The officers encountered Marcus Trice, 38, of Lakewood, Washington, and placed him under arrest for his suspected involvement in the financial fraud scheme. Officers learned that Trice had flown to the Twin Cities that night from Seattle, Washington. During a subsequent search of Trice’s belongings, officers found eleven large vitamin bottles wrapped in clothing inside his suitcase. The vitamin bottles were filled with over 100,000 round blue “M-Box” or “M-30” fentanyl pills.

On January 25, 2024, Trice pleaded guilty to one count of possession with intent to distribute fentanyl. He was sentenced yesterday in U.S. District Court by Judge Michael J. Davis.

This case is the result of an investigation conducted by the Drug Enforcement Administration and the Bloomington Police Department.

Assistant U.S. Attorney Allen A. Slaughter prosecuted the case.

MINNEAPOLIS – A Ponsford man has been indicted for sexually abusing a minor on the White Earth Indian Reservation, announced U.S. Attorney Andrew M. Luger.

According to court documents, between October 1, 2023, and December 31, 2023, within the exterior boundaries of the White Earth Band of Ojibwe Indian Reservation, Joseph Schultz, 42, knowingly engaged in sexual acts with a minor under the age of 12.

The indictment charges Schultz with one count of aggravated sexual abuse and one count of abusive sexual contact. Schultz made his initial appearance today in U.S. District Court before Magistrate Judge Jon T. Huseby.

This case is the result of an investigation conducted by the FBI and the White Earth Tribal Police Department.

Assistant U.S. Attorneys Carla J. Baumel and Michael P. McBride are prosecuting the case.

An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – A White Earth man has been sentenced to 292 months in prison followed by 15 years of supervised release for producing and attempting to produce child pornography, announced United States Attorney Andrew M. Luger.

According to court documents, in December 2020, Ryan Edward Thompson, 34, a.k.a. “Ryan Edward Wayne Townsend,” knowingly used a minor in sexually explicit activity to produce pornography images.

Using her school-issued laptop to message the National Suicide Prevention Lifeline, the 13-year-old victim disclosed that the defendant began sleeping in her room at night and sexually abusing her. Law enforcement responded and later discovered photographs of a sexual nature had been taken with the victim’s own cell phone.

On February 1, 2024, a federal jury found Thompson guilty of two counts of production and attempted production of child pornography. He was sentenced yesterday in U.S. District Court by Judge John R. Tunheim.

This case is the result of an investigation conducted by the FBI, the Minnesota Bureau of Criminal Apprehension, and the Red Lake Department of Public Safety. The U.S. Attorney’s Office would also like to acknowledge the assistance of the White Earth Nation Indian Child Welfare Services, the Red Lake Nation Victim Services, Fosston Public Schools, Minneapolis Public Schools, and the Family Advocacy Center of Northern Minnesota. 

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

If you need suicide or mental health crisis support, or are worried about someone else, please call or text 988 or visit the 988 Suicide & Crisis Lifeline chat to connect with a trained crisis specialist.

Assistant U.S. Attorneys Mary S. Riverso and Laura M. Provinzino prosecuted the case.

MINNEAPOLIS – Intrepid U.S.A., Inc., headquartered in Dallas, Texas, and various wholly-owned subsidiaries (Intrepid) have agreed to pay $3,850,000 to resolve allegations that Intrepid violated the False Claims Act in connection with two lines of its business: first, that Intrepid knowingly submitted claims to Medicare for home healthcare services for patients who did not qualify for the Medicare home healthcare benefit or where services otherwise did not qualify for Medicare reimbursement; and second, that Intrepid knowingly submitted claims to Medicare for patients who did not qualify for the hospice benefit. The settlement is based on Intrepid’s ability to pay.

The United States alleged that between 2016 and 2021, 19 Intrepid home healthcare facilities submitted claims to Medicare for home healthcare services for patients who did not qualify or were not properly certified as eligible for the Medicare home healthcare benefit, where the services provided were not reasonable or medically necessary, where the services were provided by untrained staff, or where services were not performed. Separately, the United States alleged that between 2016 and 2021, three Intrepid hospice facilities admitted patients to hospice care who were ineligible for the Medicare hospice benefit because they were not terminally ill or continued providing services to patients who should have been discharged because they no longer met the requirements for the Medicare hospice benefit.

“Medicare’s hospice and home healthcare benefits provide critical services to vulnerable patient populations across the country,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “This settlement reflects our commitment to ensuring that these benefits are used to care for those who need them and not just to enrich those who seek to provide them.”

“The Medicare Program provides vital health insurance to the elderly and disabled population,” said U.S. Attorney Michael A. Bennett for the Western District of Kentucky. “Our office will vigorously pursue unscrupulous providers who choose to illegally and improperly bill the Medicare Program.”

“Businesses who engage in improper Medicare billing practices undercut the legitimate provision of healthcare services for patients in need,” said U.S. Attorney Andrew Luger for the District of Minnesota. “This settlement reinforces the importance of holding accountable health care providers who seek financial gain above quality patient care.”

“Home health is designed to increase health care access for our most vulnerable populations with mobility limitations, while hospice care aims to provide comfort and relief for the terminally ill. Exploiting these systems for financial gain is intolerable,” said Special Agent in Charge Tamala E. Miles of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Working with our law enforcement partners, we will continue to pursue health care providers who jeopardize the integrity of these services by prioritizing profit over medically necessary palliative care.”

The civil settlement resolves claims brought under the qui tam or whistleblower provisions of the False Claims Act in two different lawsuits. One qui tam action was brought by Jennifer Jones, a former travel nurse, and Pamela Joffe, a former Director of Quality Assessment Performance Improvement and New Business Development, for Intrepid. The qui tam case is captioned U.S. ex rel. Jones v. Intrepid USA Healthcare Inc., No. 19-sc-2973 (D. Minn.). The second qui tam action was brought by Marsha Rigney, a former Director of Clinical Excellence and Integrity, and Janet Watts, a former Regional Manager of Clinical Excellence, for Intrepid. This qui tam case is captioned U.S. ex rel. Rigney v. Intrepid U.S.A. Inc., No. 3:20-cv-95-RGJ (W.D. Ky.). Under the provisions of the False Claims Act, a private party can file an action on behalf of the United States and receive a portion of any recovery. Relators Jones and Joffe will receive $333,985 from the settlement proceeds, and Relators Rigney and Watts will receive $359,014 from the settlement proceeds.

The resolution of these matters was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, the U.S. Attorney’s Office for the Western District of Kentucky and the U.S. Attorney’s Office for the District of Minnesota. HHS-OIG assisted in the investigations.

The investigation and resolution of these matters illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS at 800-HHS-TIPS (800-447-8477).

Trial Attorney Anthony Gill of the Civil Division’s Commercial Litigation Branch, Fraud Section, Assistant U.S. Attorney Benjamin Schecter for the Western District of Kentucky and Assistant U.S. Attorney Kristen Rau for the District of Minnesota investigated the matter.

The claims resolved by the settlement are allegations only. There has been no determination of liability.

MINNEAPOLIS – A Mexican national has been indicted for unlawful reentry of a deported alien after committing an aggravated felony, announced U.S. Attorney Andrew M. Luger.

According to court documents, Jonathan Chavez-Galarza, 27, was found in the United States after having been previously deported following a Second-Degree Assault with a Dangerous Weapon conviction in Hennepin County on December 5, 2018.

The indictment charges Chavez-Galarza with one count of reentry of removed alien after an aggravated felony. Chavez-Galarza made his initial appearance on August 14, 2024, in U.S. District Court before Magistrate Judge Elizabeth Cowan Wright.

This case is the result of an investigation conducted by U.S. Immigration and Customs Enforcement (ICE) and the United States Marshals Service.

Assistant U.S. Attorney David Green is prosecuting the case.

An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

DULUTH, Minn. –  A federal jury found a Twin Cities man guilty of possessing a firearm as an armed career criminal, announced U.S. Attorney Andrew M. Luger.

According to the evidence presented at trial, on July 7, 2023, Mille Lacs Tribal Police Department officers were dispatched to a residence in Onamia in response to a 911-call concerning a suspected drug overdose.  Officers encountered Jeremy Jantile Burton, 36, lying unconscious on the floor of a bedroom in the residence, and began resuscitation efforts. After administering two doses of Narcan, the officers moved Burton from the floor of the bedroom to a nearby mattress and noticed a magazine of a handgun protruding from his shorts pocket. In order to secure the scene for EMS personnel, the officers recovered the handgun from Burton’s pocket, and also observed several items of drug paraphernalia in the bedroom. Burton was transported to the Onamia Hospital by ambulance and the officers obtained a search warrant. A subsequent search of the residence revealed several controlled substances including cocaine, methamphetamine and fentanyl, scales commonly used to weigh controlled substances, several items of drug paraphernalia, and 36 rounds of 9 mm ammunition. 

Because Burton has multiple prior felony convictions in Hennepin, Ramsey, and Mille Lacs counties, as well as in the state of Georgia, including aggravated robbery, drug, and firearm possession, he is prohibited under federal law from possessing firearms or ammunition at any time.

Following a three-day trial before Chief Judge Patrick J. Schiltz in U.S. District Court in Duluth, a jury found Burton guilty on Friday of possession of a firearm as an armed career criminal. A sentencing hearing will be scheduled at a later date.

This case is the result of an investigation conducted by the Mille Lacs Tribal Police Department, the Minnesota Bureau of Criminal Apprehension, the FBI, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.

Assistant U.S. Attorneys Andrew Dunne and Michael P. McBride represented the United States at trial.

ST PAUL, Minn. – A Waite Park man has been sentenced to 78 months in prison, five years of supervised release, and was ordered to pay $8,210 in restitution for the 2021 robbery of a St. Cloud bank, announced U.S. Attorney Andrew M. Luger.

According to court documents, on May 6, 2021, Ray Reco McNeary, 39, entered a Wells Fargo Bank in St. Cloud and alleged that there was fraud on his bank account. After the bank manager was unable to locate any accounts belonging to McNeary, McNeary became enraged and demanded that $60,000 in cash be taken from the vault and placed in a bank bag. The bank manager activated the silent panic alarm, notifying law enforcement of a problem at the bank.

According to court documents, upon arrival, St. Cloud police officers learned that five employees of the bank were being held hostage by McNeary. Multiple times throughout the incident, McNeary held a pair of scissors against the bank manager’s neck and back. FBI hostage negotiators spoke with McNeary repeatedly during what turned out to be an eight-hour standoff. During the course of negotiations, four of the employees were allowed to leave the bank. The standoff ended at approximately 10:24 p.m. when the bank manager fled the bank and law enforcement moved in to arrest McNeary.

On March 29, 2024, McNeary pleaded guilty to one count of armed bank robbery. He was sentenced today in U.S. District Court before Judge Jeffrey M. Bryan.

This case is the result of an investigation conducted by the St. Cloud Police Department and the FBI.

Assistant U.S. Attorney David P. Steinkamp prosecuted the case.

ST. PAUL, Minn. – A Minneapolis man has been sentenced to 63 months in prison followed by three years of supervised release for illegally possessing machineguns, announced U.S. Attorney Andrew M. Luger.

According to court documents, on February 8, 2023, law enforcement observed a silver Mazda CX9 commit multiple traffic violations and attempted a traffic stop. The vehicle fled at a high rate of speed, abruptly stopped to allow three occupants to flee on foot, and then drove away. Antanie Syre Alonzo Johnson, 21, was one of the individuals that fled on foot. Law enforcement quickly located Johnson running through an adjacent parking lot. He ultimately surrendered and informed officers that he was armed. Law enforcement subsequently recovered two firearms, a stolen 9 mm Glock and a 9 mm “ghost gun” or a “privately made firearm” (PMF). Both weapons were fully loaded with extended magazines and equipped with “switches” that allowed the firearms to be fired as fully automatic weapons with the single pull of the trigger.

On November 8, 2023—after obtaining presentence release—law enforcement observed Johnson engaging in what appeared to be hand-to-hand drug transactions. The officers attempted to engage Johnson, who fled on foot through a covered parking garage. A witness in the parking garage indicated Johnson had dropped something while he ran. Law enforcement recovered a loaded 9 mm Glock equipped with a “switch.” In a subsequent search of Johnson’s backpack, agents also discovered 100 grams of marijuana, a digital scale, and cash.

On April 25, 2024, Johnson pleaded guilty to his unlawful possession of machineguns on both occasions. U.S. District Court Judge Eric C. Tostrud sentenced Johnson yesterday to a guidelines sentence and specifically admonished him for squandering the rare opportunity that presentence release had provided.

This case is the result of an investigation conducted by the Minneapolis Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.

Assistant U.S. Attorney Jordan L. Sing prosecuted the case.

MINNEAPOLIS – A Minneapolis man has been charged with producing child pornography, announced U.S. Attorney Andrew M. Luger.

According to court documents, between June 17, 2024, and June 18, 2024, Eric Phillip Allen, 39, of Minneapolis, used a minor to produce sexually explicit images. Allen also faces charges in Hennepin County related to these same allegations.

The federal complaint charges Allen with one count of production of child pornography. Allen made his initial appearance today in U.S. District Court before Magistrate Judge David T. Schultz. He was ordered to remain in custody pending a formal detention hearing on Tuesday, August 20, 2024, before Magistrate Judge Elizabeth Cowan Wright.

Investigators believe there may be other victims relevant to this investigation. If your minor dependent(s) have been in contact with Eric Phillip Allen, please contact the Minnesota BCA’s Tip Line at 1-877-996-6222 or email bca.tips@state.mn.us.

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

This case is the result of an investigation conducted by the Minnesota Bureau of Criminal Apprehension.

Assistant U.S. Attorneys Melinda A. Williams and Thomas Calhoun-Lopez are prosecuting the case.

A complaint is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – A Minneapolis felon has been sentenced to 100 months in prison followed by 48 months of supervised release for possession with intent to distribute controlled substances, announced United States Attorney Andrew M. Luger. 

According to court documents, on September 27, 2022, law enforcement received a tip that Keith Haywood, 52, possessed a gun and was selling narcotics. Officers obtained a warrant and conducted a search of Haywood’s residence in North Minneapolis. At his Minneapolis residence, they discovered 230 grams of heroin, over 100 grams of cocaine, a semi-automatic pistol, and $25,000 in cash. A subsequent search of Haywood’s person and vehicle revealed another firearm, approximately 29 grams of a fentanyl/heroin mixture, and 10 grams of cocaine in the console of his car.  

On April 5, 2024, Haywood pleaded guilty to one count of possession with intent to distribute a controlled substance. He was sentenced today in U.S. District Court by Judge R. Tunheim. In announcing the sentence, Judge Tunheim observed that Haywood’s “crime was serious, and the fact that fentanyl was involved made it especially dangerous.”

This case was the result of an investigation conducted by the Minneapolis Police Department, Homeland Security Investigations, and the Minnesota Bureau of Criminal Apprehension.

Assistant U.S. Attorneys David Green and Lindsey E. Middlecamp prosecuted the case.

MINNEAPOLIS – A Portland man has been sentenced to 180 months in prison followed by 10 years of supervised release for producing child sexual abuse material and sextorting a minor victim, announced United States Attorney Andrew M. Luger. 

According to court documents, in May 2022, Aaron Eugene Bjarnason, 25, of Portland, Oregon, used his Instagram account to message Minor Victim 1 and asked if she was “open to sugar daddies.” Bjarnason offered to pay the minor for sexually explicit images and videos and shared a screenshot of his purported bank account to prove he could provide payment. On several occasions, Bjarnason directed Minor Victim 1 to send him specific sexually explicit images and videos. Bjarnason became increasingly forceful in his demands and threatened Minor Victim 1 that he would share the images and videos with her father and her peers if she did not continue to comply with his demands.

On April 2, 2024, Bjarnason pleaded guilty to one count of production of child pornography. He was sentenced today in U.S. District Court by Judge John R. Tunheim.

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

This case is the result of an investigation conducted by the Carver County Sheriff’s Office and the FBI.

Assistant U.S. Attorney Evan B. Gilead prosecuted the case.

MINNEAPOLIS – A Moorhead man has pleaded guilty to his role in a methamphetamine distribution conspiracy, announced United States Attorney Andrew M. Luger.  

According to court documents, beginning in April 2023 through February 23, 2024, Jamie Richard White, 46, knowingly and willingly entered into an arrangement in which he would acquire over 500 grams of methamphetamine with the intent to distribute it. On October 26, 2023, law enforcement executed a search warrant at his residence as part of investigating the alleged restraint of a woman in his basement. In his home, law enforcement found over 400 grams of powder fentanyl laced with the veterinary tranquilizer xylazine. Text messages on White’s cell phone confirmed that he planned to distribute the fentanyl/xylazine mixture. White was arrested, charged with several state crimes, taken into custody, and released on bond in December 2023. 

While his state charges were pending, White continued to conspire to possess and distribute methamphetamine. On February 25, 2024, the U.S. Postal Inspection Service intercepted a parcel bound for an address in the Fargo-Moorhead area containing nine pounds of methamphetamine. Agents removed the methamphetamine and conducted a controlled delivery at the intended delivery address. Once delivered, law enforcement observed White’s co-conspirators retrieve and open the package and then leave. Shortly thereafter, law enforcement stopped the co-defendants and found one of them in possession of three additional pounds of methamphetamine. Law enforcement separately stopped White and found him in possession of an additional 125 grams of methamphetamine, digital scales, and other miscellaneous drug distribution materials. The investigation comprises the largest combined seizure of methamphetamine in Clay County, Minnesota.

White pleaded guilty yesterday in U.S. District Court before Judge Nancy E. Brasel to one count of conspiracy to distribute methamphetamine. Because he has multiple prior felonies, White is subject to a 15-year mandatory minimum prison term. A sentencing hearing will be scheduled at a later date.

This case is the result of an investigation conducted by the U.S. Postal Inspection Service, the Drug Enforcement Administration, the Clay County Sheriff’s Office, the Moorhead Police Department, and other supporting agencies. 
Assistant U.S. Attorney Lauren O. Roso is prosecuting the case.
 

ST. PAUL, Minn. – A Rochester man has been indicted on firearm and drug trafficking charges, announced U.S. Attorney Andrew M. Luger.

According to court documents, on or about April 28, 2024, Liban Abdikadar Abdullahi, 29, knowingly possessed a 9mm Glock model 43 semiautomatic pistol. Abdullahi also possessed with the intent to distribute fentanyl and carried the Glock pistol to further his drug trafficking crime.

Because Abdullahi has prior felony convictions, he is prohibited under federal law from possessing firearms or ammunition at any time.

The indictment charges Abdullahi with one count of possessing a firearm as a felon, one count of possession with intent to distribute fentanyl, and one count of carrying a firearm in furtherance of a drug trafficking crime. Abdullahi made his initial appearance today in U.S. District Court before Magistrate Judge John F. Docherty.

This case is the result of an investigation conducted by the Rochester Police Department, the FBI, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.

Assistant U.S. Attorney Evan B. Gilead is prosecuting the case.

An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

ST. PAUL, Minn. – Following a ten-day trial, a federal jury convicted an Eden Prairie man of fraudulently applying for more than $2.1 million in COVID-19 relief funds and then spending the fraud proceeds on himself, announced U.S. Attorney Andrew M. Luger.

As proven at trial, between March and May 2020, Harold Bennie Kaeding, 75, applied for at least $2,182,625 in loans through the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loan (EIDL) Program. Kaeding used the name of his own close family members to submit the loan applications in the names of six different purported corporate entities.  But these entities filed no tax returns and did not report the payment of wages to a single employee for calendar years 2019 and 2020. Kaeding instead fabricated tax documents, manufactured bank statements, and submitted other records to ensure the applications appeared legitimate.  These false statements to lenders included the number of employees a given entity employed, the amount of average monthly payroll expenses, and false statements about the intended use of the loan proceeds.

As a result of his material falsehoods and omissions, Kaeding initially received approximately $1,642,670 in fraud proceeds before some banks detected irregularities and clawed back some of the money. This left Kaeding with $658,490 in fraud proceeds, which he transferred to bank accounts—often opened in the names of close family members—that he controlled.  Kaeding then used his fraud proceeds to, among other things, get his personal residence out of impending foreclosure, purchase an SUV, and stockpile more than $80,000 in cash.  In early 2021, Kaeding fled to Colombia in an apparent attempt to evade prosecution. Law enforcement eventually located Kaeding and successfully deported him back to the United States to face prosecution. 

Following a ten-day trial before Judge Eric C. Tostrud in U.S. District Court, a jury found Kaeding guilty on August 2, 2024, of three counts of wire fraud, three counts of aggravated identity theft, and one count of money laundering. A sentencing hearing will take place at a later date.

This case is the result of an investigation conducted by the FBI and IRS.

Assistant U.S. Attorneys Jordan L. Sing and Robert M. Lewis tried the case.

MINNEAPOLIS – Fifteen individuals have been charged in a Mexico-based drug trafficking conspiracy that distributed methamphetamine, cocaine, and fentanyl throughout the Twin Cities and surrounding areas, announced U.S. Attorney Andrew M. Luger.

“Every year, thousands of Minnesotans die from illicit drugs trafficked into our communities, including methamphetamine, fentanyl, and other synthetic opioids,” said U.S. Attorney Luger. “Today’s indictment disrupts one of the most sophisticated and significant drug trafficking organizations we have prosecuted in my tenure as U.S. Attorney, and I am grateful to the DEA and FBI for their hard work bringing this operation to justice. The Department of Justice would also like to recognize the Mexican authorities for their assistance on this case.”

“While many people look for ways to improve and grow their communities, Clinton Ward aligned himself with two Mexican cartels thinking only of the profits lining his pocket,” Drug Enforcement Administration Omaha Division Special Agent in Charge Steven T. Bell said. “Ward’s organization left a trail of destruction in its wake. This investigation and today’s arrests are the result of exceptional teamwork. Never underestimate the unified strength of state, local and federal law enforcement agencies.”

"Drugs trafficked into our communities fuel violent crime and endanger the safety and well-being of our neighborhoods," said Special Agent in Charge Alvin M. Winston Sr. of FBI Minneapolis. "Thanks to the strong partnership between local, state, and federal agencies, today's arrests have disrupted a significant drug trafficking network. The FBI remains committed to protecting our communities and bringing those who threaten them to justice."

According to court documents, on January 4, 2019, Clinton James Ward was arrested in the parking lot of a motel in Vadnais Heights with more than eight pounds of methamphetamine. At the time, Ward was selling methamphetamine from his hotel room to various customers. Within weeks of his arrest, Ward fled to Jalisco, Mexico, where he met up with Mexican and American drug traffickers who all had ties to the Sinaloa Cartel and the Jalisco New Generation Cartel (CJNG).

According to court documents, from January 2019 until his arrest in March 2024, Ward established and operated his own cartel-sourced Mexican-based drug trafficking organization that distributed thousands of pounds of methamphetamine to Minnesota through a network of drug traffickers. Using an existing cartel pipeline, Ward would transport large drug loads into the United States through various means including concealing shipments in semi-trailers crossing the border at various locations. The shipments were later broken down into smaller quantities and transported into Minnesota via private vehicles and semi-trailers.

Over the course of the investigation, more than 50 defendants with connections to Ward have been charged with methamphetamine trafficking and other drug trafficking offenses. In total, law enforcement has seized more than 1,600 pounds of methamphetamine, four kilograms of cocaine, two kilograms of fentanyl, 30,000 counterfeit fentanyl pills, 45 firearms, and more than $2.5 million in drug proceeds.

On March 11, 2024, Ward was taken into custody by Mexican authorities and returned to the United States to face prosecution.

The following thirteen members and associates of the Ward drug trafficking organization are in custody and have been charged in a federal superseding indictment:

• Clinton James Ward, 45, is charged with conspiracy to distribute methamphetamine, engaging in a continuing criminal enterprise, possession with intent to distribute methamphetamine, and distribution of methamphetamine.

• Shawnette Lynn Andreasen, 46, is charged with conspiracy to distribute methamphetamine, distribution of methamphetamine, and possession with intent to distribute methamphetamine and cocaine.

• Jonathon Beau Bailey, 33, is charged with conspiracy to distribute methamphetamine, distribution of methamphetamine, and possession with intent to distribute cocaine.

• Vin Chanry, 37, is charged with conspiracy to distribute methamphetamine, distribution of methamphetamine, and possession with intent to distribute methamphetamine.

• Perry John Coyle, 65, is charged with conspiracy to distribute methamphetamine and distribution of methamphetamine.

• James Joseph Graczyk, 51, is charged with conspiracy to distribute methamphetamine, distribution of methamphetamine, and possession with intent to distribute methamphetamine and cocaine.

• Benjamin DeWayne Johnson, 40, is charged with conspiracy to distribute methamphetamine, distribution of methamphetamine, and possession with intent to distribute methamphetamine and cocaine.

• Joseph Allen Pappenfus, 41, is charged with conspiracy to distribute methamphetamine and possession with intent to distribute methamphetamine.

• Breezie Lynn Pena, 46, is charged with conspiracy to distribute methamphetamine and distribution of methamphetamine.

• Aaron Michael Teadt, 47, is charged with conspiracy to distribute methamphetamine and distribution of methamphetamine.

• Jimmy Thithavong, 38, is charged with conspiracy to distribute methamphetamine and distribution of methamphetamine.

• Peter Charles Watkins, 45, is charged with conspiracy to distribute methamphetamine and distribution of methamphetamine.

• Nicole Marie Williams, 41, is charged with conspiracy to distribute methamphetamine and distribution of methamphetamine.

All defendants made their initial appearances in U.S. District Court before Magistrate Judge John F. Docherty.

This case is the result of an investigation conducted by the DEA, FBI, Minnesota Bureau of Criminal Apprehension, Minnesota Department of Corrections, Minnesota State Patrol, St. Paul Police Department, Mounds View Police Department, Hennepin County Sheriff’s Office, Ramsey County Sheriff’s Office, Washington County Sheriff’s Office, Wright County Sheriff’s Office, and the U.S. Marshals Service.

Assistant U.S. Attorney Thomas M. Hollenhorst is prosecuting the case.

An indictment is merely an allegation and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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ST. PAUL, Minn. – Two Bemidji individuals have been indicted for conspiring to distribute fentanyl in and around the Red Lake Indian Reservation, announced U.S. Attorney Andrew M. Luger.

According to court documents, between October 2023 and November 2023, Derek Jon Paddy, 28, and Robyn Lea Lussier, 20, conspired to distribute fentanyl throughout the state of Minnesota. On November 2, 2023, Paddy and Lussier were found in possession of over 40 grams of fentanyl. 

Paddy and Lussier made their initial appearances in U.S. District Court before Magistrate Judge John F. Docherty on August 2, 2024. They are both charged with one count of conspiracy to distribute fentanyl and one count of possession with intent to distribute fentanyl.

This case is the result of an investigation conducted by the FBI and the Red Lake Police Department.

Assistant U.S. Attorney Lauren O. Roso is prosecuting the case.

An indictment is merely an allegation, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

ST. PAUL, Minn. – A Minnetonka man has been indicted for the production and receipt of child sexual abuse material and coercing and enticing minors to engage in sexually explicit conduct, announced U.S. Attorney Andrew M. Luger.

According to court documents, on multiple occasions between approximately October 2014 and March 2024, Dorian Christopher Barrs, 32, used Snapchat, text messaging, and social media to engage minor girls in sexually focused conversations. Additionally, while in his position of trust as a volleyball coach, Barrs coerced and persuaded minor girls to engage in sexual activity with him and produce and send him sexually explicit material. Further, Barrs produced child sexual abuse material in which he is depicted engaging in sexual activity with minors. Efforts to identify additional minor victims reflected in records are ongoing. Some of the minor victims Barrs solicited for sexually explicit material or sexual contact have self-identified in records as being as young as 13 years old.

Law enforcement is still working to identify and confirm the identity of many of the minor victims involved. If you believe you or your minor dependent(s) have been victimized by Dorian Barrs, please contact the FBI Tip Line at 1-800-CALL-FBI (1-800-225-5324) or tips.fbi.gov.

The indictment charges Barrs with four counts of production of child pornography, one count of receipt of child pornography, and four counts of coercion and enticement of a minor. Barrs made his initial appearance yesterday in U.S. District Court before Magistrate Judge John F. Docherty.

This case is the result of an investigation conducted by the Carver County Sheriff’s Office, with assistance from the Minnetonka Police Department, Maple Grove Police Department, and the FBI Child Exploitation and Human Trafficking Task Force. It was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. 

Assistant U.S. Attorney Hillary A. Taylor is prosecuting the case.

An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – A Brainerd man has pleaded guilty to possession with intent to distribute thousands of fentanyl pills, announced United States Attorney Andrew M. Luger. 

According to court documents, on August 1, 2023, law enforcement executed a search warrant at a storage unit in Brainerd that belonged to Dazaughn Ellis West, 28. Inside the unit, officers found between 13,000 and 15,000 pressed fentanyl pills, weighing approximately 2.8 pounds. Law enforcement also executed a search warrant at West’s home in Brainerd, where they found an additional 150 grams of fentanyl pills, a loaded semi-automatic pistol, a .22 caliber rifle, and distributable quantities of cocaine.

West pleaded guilty yesterday in U.S. District Court before Judge John R. Tunheim to one count of possession with intent to distribute fentanyl. West’s co-defendant, Devaughn Ellis West, is scheduled to plead guilty on August 19, 2024. Sentencing hearings will be scheduled at a later date.

This case is the result of an investigation conducted by the Drug Enforcement Administration, Crow Wing County Sheriff’s Office, Brainerd Police Department, and the Lakes Area Drug Investigative Division (LADID).

Assistant U.S. Attorney Lauren O. Roso is prosecuting the case.

MINNEAPOLIS – A Texas man has pleaded guilty to an armed carjacking, announced United States Attorney Andrew M. Luger. 

According to his plea agreement and court documents, on June 30, 2023, Sean Ryan Kincaid, 29, approached an individual who was waiting in their vehicle in a parking lot near River Road in Dakota County. Kincaid opened the passenger door of the vehicle, climbed inside, and told the victim he was stealing the car while brandishing a firearm in his waistband. The victim fled the vehicle and Kincaid climbed into the driver’s seat and drove away. A bystander called 911 and officers from multiple agencies were dispatched to the area to find Kincaid. When officers located him, Kincaid ignored police commands and attempted to lose the officers by driving over 100 miles per hour on the interstate and driving onto incoming lanes of traffic. Officers were able to eventually stop Kincaid with stop sticks and took him into custody. Officers found a Heritage Rough Rider .22 caliber revolver with an obliterated serial number in Kincaid’s waistband. 

Kincaid pleaded guilty today in U.S. District Court before Judge Katherine M. Menendez to one count of carjacking. A sentencing hearing will be scheduled at a later date.

This case is the result of an investigation conducted by the Inver Grove Heights Police Department, the Mendota Heights Police Department, the Minnesota State Patrol, and the FBI.

Assistant U.S. Attorney Evan B. Gilead is prosecuting the case.

ST. PAUL, Minn. – Obuatawan Leon Holt, aka “Bone,” was sentenced to 46 months in prison followed by three years of supervised release for possessing firearms as a felon, announced United States Attorney Andrew M. Luger.

According to court documents, on November 16, 2021, approximately three months after Holt’s prior term of federal supervised release expired, officers with the Minneapolis Police Department searched the Holt’s residence in connection with a firearms investigation. Holt, 48, who is a known member and associate of the Minneapolis Bloods street gang, was found in possession of four firearms: two Smith & Wesson semi-automatic pistols, one CZ Arms semi-automatic pistol, and one Rock Armory semi-automatic pistol. Because Holt has multiple prior felony convictions, including a federal drug trafficking conviction, he is prohibited under federal law from possessing firearms or ammunition at any time.

On February 29, 2024, Holt pleaded guilty to one count of possession of a firearm as a felon. He was sentenced yesterday in U.S. District Court by Judge Susan Richard Nelson.

This case is the result of an investigation conducted by the FBI, U.S. Postal Inspection Service, Minnesota Department of Corrections, and the Minneapolis Police Department.

Assistant U.S. Attorneys Esther Soria Mignanelli and Kristian C. Weir prosecuted the case.

ST. PAUL, Minn. – A Blooming Prairie man has pleaded guilty to sexually exploiting children outside the United States, announced U.S. Attorney Andrew M. Luger.

According to court documents, between April 2022 and September 2022, Steven John Sokel, 61, was engaged in the production of child pornography. He was also found to be in possession of sexually explicit images and videos of minors.

Sokel pleaded guilty today in U.S. District Court before Judge Eric T. Tostrud to one count of sexual exploitation of children. A sentencing hearing will be scheduled at a later date.

This case is the result of an investigation conducted by Homeland Security Investigations and U.S. Customs and Border Protection.

Assistant U.S. Attorney Campbell Warner is prosecuting the case.

MINNEAPOLIS – Precision Lens and the estate of its former principal, Paul Ehlen, have agreed to pay the United States $12 million to resolve a case involving kickback payments to ophthalmic surgeons in violation of the False Claims Act and the Anti-Kickback Statute.

On February 27, 2023, a federal civil jury found that Precision Lens violated the False Claims Act and the Anti-Kickback Statute by paying kickbacks to ophthalmic surgeons to induce their use of Precision Lens products in cataract surgeries reimbursed by Medicare. Precision Lens provided kickbacks to physicians in the form of travel and entertainment, including high-end ski trips, fishing, golfing, hunting, sporting, and entertainment vacations, often at exclusive destinations. For many of the trips, physicians were transported to luxury vacation destinations on private jets, including trips to New York City to see a Broadway musical, the College Football National Championship Game in Miami, Florida, and the Masters Tournament in Augusta, Georgia. Precision Lens sold frequent flyer miles to its physician customers at a significant discount, enabling the physicians to take personal and business trips at well below fair market value.

The jury found that Precision Lens’s conduct resulted in $43,694,641.71 in fraudulent claims submitted to Medicare. By operation of the statute, the court entered a $487,048,705.13 judgment against the company and its owner, which included treble damages and civil penalties under the False Claims Act. Following post-trial motions, the court reduced the judgment to $216,675,248.55. After the United States conducted a review of the defendants’ financial position and ability to satisfy the judgment, the parties entered into a settlement agreement which requires Precision Lens and the estate to immediately pay $12 million to resolve the United States’s claims.

With this resolution, the United States has collected nearly $27 million as a result of the misconduct alleged in this case. The United States previously announced a $12 million settlement of related allegations with Sightpath Medical, Inc. and TLC Vision Corporation and their former CEO, James Tiffany. Dr. Jitendra Swarup also resolved claims that he had accepted kickbacks in a settlement agreement of more than $2.9 million.

The civil settlement arises from a case brought under the qui tam or whistleblower provisions of the False Claims Act by Kipp Fesenmaier. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of a recovery. The qui tam case is captioned United States of America, et al., ex rel. Fesenmaier v. The Cameron-Ehlen Group, Inc., d/b/a Precision Lens, et al., Case No. 13-cv-3003.

The resolution obtained in this case was the result of a coordinated effort between the U.S. Attorney’s Office for the District of Minnesota, the Office of Inspector General of the U.S. Department of Health and Human Services, and the Federal Bureau of Investigation. Assistant U.S. Attorneys Bahram Samie and Andrew Tweeten represented the government at trial and settlement.

MINNEAPOLIS – A Mankato man has pleaded guilty to possession of a firearm as a felon after firing at police officers during a violent home invasion, announced United States Attorney Andrew M. Luger. 

According to court documents, on January 14, 2024, a woman called 911 to report that a man had broken into her apartment in south Minneapolis. The woman and her two children fled the apartment after the man, identified as Kamau Evans, 32, shattered a window and entered the woman’s bedroom. Evans then went to a second residence in north Minneapolis and broke into the home by shattering a sliding glass door. Once inside, Evans assaulted several of the residents.

According to court documents, officers of the Minneapolis Police Department arrived at the residence and were able to pull one of the victims out of the house to safety. Officers entered the home behind a ballistic shield and as they were walking upstairs, Evans appeared in the stairwell and fired a shot down the stairs in direction of the officers. Evans then leaped out of a bathroom window and tried to escape through the backyard but was apprehended and arrested. Officers recovered an SCCY model CPX-1 9mm semiautomatic pistol on the side of the garage where Evans was apprehended.

Because Evans has prior felony convictions, he is prohibited under federal law from possessing firearms or ammunition at any time.
    
Evans pleaded guilty yesterday in U.S. District Court before Chief Judge Patrick J. Schiltz to one count of possession of a firearm as an armed career criminal. A sentencing hearing will be scheduled at a later time.

This case is the result of an investigation conducted by the FBI and the Minneapolis Police Department. 

Assistant U.S. Attorneys Kristian Weir and Thomas Calhoun-Lopez and are prosecuting the case.

MINNEAPOLIS – A Golden Valley man has pleaded guilty to possession with intent to distribute more than 2,000 fentanyl pills, announced United States Attorney Andrew M. Luger.

According to court documents, on February 1, 2024, Mason Harris Rosenblatt, 33, was the sole occupant of a hotel room in St. Louis Park when law enforcement executed a search warrant on the hotel room. As a result of the search, law enforcement seized 2,027 M-30 fentanyl pills that were in Rosenblatt’s possession.                                      

Rosenblatt pleaded guilty today in U.S. District Court before Judge David S. Doty to one count of possession with intent to distribute fentanyl. A sentencing hearing will be scheduled at a later time.

This case is the result of an investigation conducted by Homeland Security Investigations and the St. Louis Park Police Department.

Assistant U.S. Attorneys Garrett S. Fields and Syngen Kanassatega are prosecuting the case.

DULUTH, Minn. – A Carlton man has been sentenced to 300 months in prison followed by 15 years of supervised release for the production and attempted production of child pornography, announced United States Attorney Andrew M. Luger.

According to court documents, between 2015 and 2022, Stephen Jeremiah Hansen, 30, engaged in a pattern of sexually abusing children, including at least six children between the ages of two and 12 years old. The abuse included removing the children’s clothing, touching their genitals, and capturing videos and photos of it on his cell phone. In total, at least 250 images of child pornography were discovered in Hansen’s possession, some of which he created and some of which were downloaded from the internet.

On September 26, 2023, Hansen pleaded guilty to one count of production and attempted production of child pornography. He was sentenced in U.S. District Court by Judge Jerry W. Blackwell on July 23, 2024.

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

This case is the result of an investigation led by the FBI, the Carlton County Sheriff’s Office, and the St. Paul Police Department.

Assistant U.S. Attorney Ruth S. Shnider prosecuted the case.

MINNEAPOLIS – A Shakopee man has pleaded guilty to his role in providing a $120,000 bribe to a juror in the Feeding Our Future trial, announced United States Attorney Andrew M. Luger.

According to court documents, on April 22, 2024, seven defendants went to trial before U.S. District Judge Nancy E. Brasel for their roles in the Feeding Our Future fraud scheme. During the trial, Abdimajid Mohamed Nur, 23, and four others conspired with each other to provide a cash bribe to one of the jurors in exchange for the juror returning a not guilty verdict in the trial.

As part of the scheme, Nur and his co-defendants decided to target Juror 52 because she was the youngest juror and they believed her to be the only juror of color. Nur and his co-defendants conducted online research to obtain Juror 52’s personal information, including her home address and information about her background and family members. They conducted surveillance of Juror 52 to confirm her home address and obtain information about Juror 52’s daily habits. Nur recruited his co-defendant, Ladan Ali, to deliver the bribe money to Juror 52. During the trial and at Nur’s direction, Ali flew from Seattle to Minneapolis to meet with Nur and discuss the plan to bribe Juror 52. Ali agreed to deliver the bribe money to Juror 52 in exchange for a $150,000 cash payment.

According to court documents, on May 30, 2024, Ali flew from Seattle to Minneapolis to carry out the bribery scheme. On May 31, 2024, at the direction of Nur, Ali attempted to follow Juror 52 home as she left a downtown Minneapolis parking ramp at the conclusion of the first day of closing arguments in the trial. Nur had previously provided Ali with a photo of Juror 52’s car and a map of the parking ramp.

According to court documents, on June 1, 2024, Ali told Nur —falsely—that she had approached Juror 52 at a bar and that Juror 52 was interested in taking the bribe but wanted $500,000 in exchange for returning a not guilty verdict. Ali told Nur that Juror 52 wanted Ali to deliver the money at a specific time when Juror 52 would be home alone. In reality, Ali did not speak with Juror 52, and Juror 52 never agreed to accept a bribe. Nevertheless, Nur believed Ali and relayed the information to another co-defendant, Abdiaziz Farah, who said that he would obtain the bribe money. On June 2, 2024, Abdiaziz Farah instructed Nur to meet him at Said Farah’s business, Bushra Wholesalers, to pick up the bribe money. When Nur arrived, Said Farah brought him a cardboard box containing $200,000 in cash to bribe Juror 52. Later that day, Nur met Ali in a parking lot in Bloomington and gave her the cardboard box containing the $200,000 in cash. Ali took the cash out of the box and put it into a Hallmark gift bag. Nur then instructed Ali to meet Abdulkarim Farah at a location near Juror 52’s house. Nur understood that Abdulkarim Farah would accompany Ali to Juror 52’s house and video record her delivery of the bribe as proof that the bribe money was delivered and Juror 52’s acceptance of the bribe.

According to court documents, later that night, Nur received the video of Ali delivering the bribe money from Abdulkarim Farah via an encrypted messaging app. Nur later deleted the video in order to conceal his involvement in the bribery scheme. Nur also deleted the encrypted messaging app and other evidence of the scheme from his phone.

Nur pleaded guilty today in U.S. District Court before Judge David S. Doty to one count of bribery of a juror. A sentencing hearing will be scheduled at a later time.

This case is the result of an investigation conducted by the FBI with assistance from IRS – Criminal Investigations, the U.S. Postal Inspection Service, and the Minnesota Bureau of Criminal Apprehension.

Assistant U.S. Attorneys Joseph H. Thompson, Matthew Ebert, Harry Jacobs, Chelsea Walcker, and Daniel Bobier are prosecuting the case.

MINNEAPOLIS – A Minneapolis man has pleaded guilty for maliciously using explosives to damage a Minneapolis hair salon, announced United States Attorney Andrew M. Luger.  

According to court documents, on November 20, 2022, at approximately 2:49 AM, a homemade explosive device detonated at a hair salon located in Minneapolis, causing damage to the exterior and interior of the business. A Ring video camera recording from the salon showed an adult male, later identified as Michael Allen Francisco, 59, placing the explosive device on the window of the salon. Francisco fled the area in a vehicle after the device detonated.

Almost a year later, on November 6, 2023, video footage captured Francisco vandalizing the same hair salon. Francisco threw a landscaping rock through the window of the salon, causing the window to break, before fleeing the scene. Investigators were able to collect DNA and other evidence that connected Francisco to both incidents. On March 28, 2024, officers and agents executed a search warrant at Francisco’s residence. Law enforcement recovered the jacket Francisco was wearing on November 6, 2023, during the brick incident; multiple explosive components including suspected energetic powders and fuses; a .32 caliber revolver, with ammunition; and methamphetamine. 

Francisco pleaded guilty today in U.S. District Court before Judge Ann D. Montgomery to one count of malicious use of explosive materials to damage and destroy, by means of fire and explosives, a Minneapolis-based property engaged in interstate commerce by means of an explosive device. 

This case is the result of an investigation conducted by the FBI, the Minneapolis Police Department, and the Minnesota Bureau of Criminal Apprehension. 

Assistant U.S. Attorney Bradley M. Endicott is prosecuting the case.

MINNEAPOLIS – A Milwaukee man has pleaded guilty to the attempted armed carjacking of an elderly victim, announced United States Attorney Andrew M. Luger. 

According to court documents, on September 1, 2023, William Jones, 32, attempted to carjack an elderly victim at gunpoint in south Minneapolis. Jones, and a co-conspirator who served as the get-away driver, drove to a market near the intersection of Chicago and Franklin Avenues. Jones approached the 79-year-old victim, who was sitting in the driver’s seat of his vehicle, placed a gun against the victim’s head and demanded the keys. The victim grabbed Jones’s gun and as the two wrestled over the gun, Jones discharged the gun, injuring the victim’s finger. The victim ran away after being injured and Jones took the victim’s keys and cell phone. Jones tried to start the victim’s vehicle but, unbeknownst to Jones, the keys he had taken from the victim did not include the key to the vehicle. Jones fled the scene in the get-away vehicle that was parked across the street. Jones discarded his gun and the victim’s cell phone in an alley several blocks away. 

Jones pleaded guilty today in U.S. District Court before Judge David S. Doty to one count of attempted carjacking. A sentencing hearing will be scheduled at a later time.

This case is the result of an investigation conducted by the FBI And the Minneapolis Police Department.
Assistant U.S. Attorney Michael P. McBride is prosecuting the case.

MINNEAPOLIS – A Red Lake man has been sentenced to five years in prison followed by two years of supervised release for child neglect following the death of a child on the reservation, announced U.S. Attorney Andrew M. Luger.

According to court documents, between January 1, 2022, and December 25, 2022, Julius Fineday, Sr., 42, willfully deprived Minor A of necessary food, health care, and other basic needs, despite being reasonably able to make the necessary provisions. The neglect ultimately caused the death of Minor A. 

Fineday pleaded guilty to one count of felony child neglect causing the death of a child on March 25, 2024. He was sentenced today in U.S. District Court by Chief Judge Patrick J. Schlitz. His co-defendant, Sharon Rosebear, was convicted of felony child neglect following an April 2024 jury trial and is awaiting sentencing. 

According to court documents, Minor A’s cause of death was determined to be the combined effects of malnutrition, and Group A Streptococcal infection, resulting from neglect. In sentencing Fineday, Chief Judge Schiltz emphasized that Fineday neglected Minor A in “nearly every way” a caretaker can neglect a child, noting that Fineday had deprived Minor A of necessary nutrition, had failed to address Minor A’s head lice, had kept Minor A from attending school where she would have received nutritious meals the school provided, and had failed to take the child to the doctor for three years other than for COVID vaccinations for which the household received cash incentives. 

Chief Judge Schiltz also highlighted that the starvation of the child was not due to a lack of resources or inadequate food in the house, but instead, a lack of care, noting that Minor A was “not just thin, but skeletal” at the time of her death. 

In issuing the sentence, the Court noted the severity of the neglect warranted an upward variance from the applicable sentencing guidelines, though the Court did acknowledge that Fineday’s demonstration of sincere remorse by pleading guilty in advance of trial and without a plea agreement was a significant mitigating factor which weighed against an even longer sentence. Chief Judge Schiltz also emphasized that the sentence of 60 months should signal to all those caring for children that “neglecting or abusing a child will result in negative consequences not only for the child, but also the responsible adult.” He expressed hope that others faced with a child whose basic needs are not being met will consider the risk of such consequences and, at a minimum, “pick up the phone” to seek help.  

This case is the result of an investigation conducted by the FBI and the Red Lake Tribal Police Department.

Assistant U.S. Attorneys Lindsey E. Middlecamp and Rachel L. Kraker prosecuted the case.
 

ST. PAUL, Minn. – A Stockton woman has been indicted for mail fraud, wire fraud, and money laundering after defrauding business owners of nearly $1 million through a multi-year sophisticated fraud scheme, announced U.S. Attorney Andrew M. Luger.

According to court documents, Tammy Schultz Wadsworth, 62, is the founder and owner of the Pain, Injury and Brain Centers of America (“PIBCOA”), a national franchise organization headquartered at Wadsworth’s residence, that purports to provide a microcurrent therapy called A.I. Myoneurvascular Therapy, to treat virtually any disease or condition, including Lupus, Crohn’s Disease, Depression, Infertility, Parkinson’s Disease, Alzheimer’s, Multiple Sclerosis, and Autism. Wadsworth trained franchise participants on use of PIBCOA’s equipment and treatment and claimed that the devices could treat the specific diseases themselves, and not merely the underlying conditions.  Wadsworth also promised the franchise owners a “great source of revenue” in return for their franchise investments. In reliance on Wadsworth’s representations, the franchise owners paid Wadsworth approximately $60,000 to $250,000 each to open PIBCOA franchises.

As alleged, from May 2017 through January 2024, Wadsworth trained franchise participants on the use of the Myoneurvascular Therapy equipment and treatment, while claiming the devices treated the specific diseases themselves. On the contrary, the treatment was not only unsuccessful in treating the diseases as promised by Wadsworth, it caused additional injuries such as burns, scars, and severe nausea to the patients and franchise owners.

In total, Wadsworth knowingly and willfully obtained $950,579.88 from PIBCOA franchise owners, and then attempted to conceal her scheme by laundering significant portions of the money she fraudulently obtained.

The indictment charges Wadsworth with one count of mail fraud, one count of wire fraud, and one count of money laundering. She made her initial appearance today in U.S. District Court before Magistrate Judge David T. Schultz.

This case is the result of an investigation conducted by the U.S. Food and Drug Administration – Criminal Investigations with assistance from the Winona County Sheriff’s Office.

Assistant U.S. Attorney Chelsea A. Walcker is prosecuting the case.

An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – A Virginia man has been indicted for using social media to contact and coerce a minor to create sexually explicit material, announced U.S. Attorney Andrew M. Luger.

According to court documents, between November 2023 and February 2024, Raymond Jung Woo Choi, 41, of Centreville, Virginia, used Instagram and other social media apps to engage in sexually-focused conversations with a 13–14-year-old girl. Choi, using the alias “Jason Lee,” knowingly enticed and coerced the minor victim to send him sexually explicit images and videos on Instagram. Choi also groomed and enticed the minor victim by providing gifts, which he sent via Amazon or mailed directly via the U.S. Postal Service.

According to court documents, on February 17, 2024, Choi flew from Virginia to Minnesota to attempt to meet the minor victim in person. Because of family and law enforcement intervention, Choi was unsuccessful in his meeting attempt and flew back to Virginia.

On July 13, 2024, Choi was arrested in Fairfax City, Virginia. On July 15, 2024, Choi made his initial appearance in U.S. District Court in the Eastern District of Virginia before Magistrate Judge Lindsey R. Vaala. On July 17, 2024, Choi was ordered detained and will remain in custody pending further proceedings in the District of Minnesota. The indictment charges Choi with one count of production of child pornography, one count of receipt of child pornography, and one count of coercion and enticement of a minor.

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

This case is the result of an investigation conducted by the Anoka County Sheriff’s Office and U.S. Postal Inspection Service.

Assistant U.S. Attorney Hillary A. Taylor is prosecuting the case.

An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

ST. PAUL, Minn. – Three Twin Cities men have been sentenced to prison for operating a social media-based machinegun distribution ring, announced United States Attorney Andrew M. Luger.

According to court documents, in March 2023, law enforcement learned of a Snapchat group called “BLICCS&STICCS3.” Members Rafael Carter Wesley, 19, Kyrees Darius Johnson, 22, and Avont Akira Drayton, 21, used the group to facilitate the trafficking of machineguns, firearms, and controlled substances in the Twin Cities and outlying areas. Law enforcement obtained screenshots and videos of several individuals in the group selling, promoting, and operating machinegun conversion devices (MCDs, also commonly referred to as “switches” or “auto sears”) that convert a semi-automatic firearm—either a pistol or a rifle—into a fully automatic machinegun. These devices are classified as machineguns and are regulated under the National Firearms Act (NFA).

According to court documents, on March 20, 2023, an undercover law enforcement officer began monitoring the group. The undercover officer posted a picture of a prop firearm to the BLICCS&STICCS3 group. Shortly thereafter, Wesley reached out to the undercover officer and asked if he wanted to trade the firearm for what is commonly referred to as a Glock “switch” or a “button.” On or about March 26, 2023, the undercover officer continued conversations with Wesley on Snapchat about potentially purchasing Glock “switches.” Wesley indicated “switches” would cost $700 for two or $900 for three. The undercover officer agreed to purchase three switches for $900 and indicated he would pay an extra $100 if Wesley drove up to St. Cloud to deliver the switches. On March 27, 2023, Wesley met the undercover officer in St. Cloud and sold him three switches for $1,000.

On April 4, 2023, a second transaction was arranged through Wesley with a St. Paul meeting location. Johnson also arrived at the transaction with three switches, which Johnson and Wesley sold to the undercover officer for $900.  At the time, Johnson had four prior felony convictions, which rendered him prohibited from possessing any firearms or ammunition.  During the investigation, Johnson was observed by law enforcement posting images of large quantities of guns and MCDs to the Snapchat group and offering them for sale.  Johnson also posted images and messages that showed him to be trafficking in controlled substances, including blue fentanyl pills.

On April 13, 2023, undercover officers met with Wesley in Minneapolis to purchase an unserialized Glock 17 for $700. Following the transaction, the undercover officers asked Wesley to install the switch previously purchased from Wesley onto the Glock 17. Wesley agreed and installed the switch.

That same day, Wesley separately coordinated a meeting during which undercover officers met with Drayton, another member of the BLICCS&STICCS3 Snapchat group, to purchase a 3D-printed drop-in MCD for an AR-style rifle for $550. During the transaction, Drayton showed the undercover officers a video on his phone of Drayton shooting a firearm with a drop-in MCD inserted. Drayton commented to the undercover officers that the drop-in made the firearm shoot “way too [expletive] fast.” On May 11, 2023, an undercover officer directly arranged to meet with Drayton at a location in Eagan to purchase two drop-in MCDs for $800. However, when Drayton arrived at the meeting location, he stated that he had only had one MCD and sold it to the undercover officer for $400. On June 9, 2023, undercover officers again met with Drayton and purchased a Glock pistol and a “switch” for $1,300.

According to court documents, between March and June 2023, undercover law enforcement officers conducted approximately six controlled buys with multiple members of the BLICCS&STICCS3 group.

All three defendants pleaded guilty to one count of unlawful possession of machineguns. Johnson was sentenced yesterday in U.S. District Court by Judge Donovan W. Frank to 95 months in prison followed by three years of supervised release. On July 10, 2024, Wesley was sentenced to 14 months in prison followed by three years of supervised release. On April 23, 2024, Drayton was sentenced to 24 months in prison followed by three years of supervised release.

This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Central Minnesota Violent Offender Task Force, the St. Paul Police Department, the Minneapolis Police Department, and the Dakota County Drug Task Force.

Assistant U.S. Attorneys Ruth S. Shnider and Jordan L. Sing prosecuted the case.

MINNEAPOLIS – A St. Paul man has pleaded guilty to the armed robbery of a St. Paul tobacco store, announced U.S. Attorney Andrew M. Luger.

According to court documents, on February 3, 2024, Derrick Lamont Powell, 33, walked into a tobacco store in St. Paul, pointed a handgun at the clerk, and said, “this is a stickup.” Powell pointed a semi-automatic handgun at the clerk, counted to five, and demanded cash and cigarettes from the clerk. Powell then fled the store with $810 in cash and several packs of cigarettes.

Powell pleaded guilty today in U.S. District Court before Judge Ann D. Montgomery to one count of Hobbs Act Robbery.

This case is the result of an investigation conducted by the FBI and the St. Paul Police Department.

Assistant U.S. Attorney David M. Classen is prosecuting the case.

MINNEAPOLIS – Two medical services company executives have been sentenced to prison and ordered to pay restitution to their victims for orchestrating a massive fraud scheme, announced U.S. Attorney Andrew M. Luger.

According to court documents, Khemwattie Singh, 53, was the chief executive officer of Global Medical Services, LLC and Minnesota International Medicine. Neeraj Chepuri, 55, was the chief medical officer of Global Medical Services. Global Medical Services was a Minnesota-based company that purported to provide accessible healthcare solutions and services worldwide. Minnesota International Medicine was an assumed name for a Minnesota-based medical concierge company that was acquired by Global Medical Services in June 2018. 

Between June and October 2018, Singh, Chepuri, and others devised a fraud scheme by entering into factoring contracts with a Florida-based investment company to purchase the accounts receivable of Global Medical Services and Minnesota International Medicine for more than $2.6 million. Factoring is a form of short-term financing in which a business sells its accounts receivable to a third-party at a discount.

According to court documents, Singh and Chepuri defrauded the investment company by failing to pay over the receivables as they were collected and falsely represented that no funds had been received. Instead, Singh and Chepuri pocketed the money and wired more than $5 million overseas.

In addition, Singh was responsible for complying with all federal tax laws pertaining to Global Medical Services, LLC and Minnesota International Medicine as the chief executive officer, including the requirement that the business would withhold federal income taxes and Social Security and Medicare (“FICA”) taxes from employees’ pay and report and pay over the withheld amounts to the Internal Revenue Service. Beginning in approximately 2018, Singh willfully failed to file quarterly payroll tax returns or pay over the withheld amounts and the employer’s contribution to FICA. 

On December 29, 2023, Singh pleaded guilty to one count of wire fraud and one count of willful failure to account for and pay over payroll taxes for withholding federal taxes from employee payroll. She was sentenced yesterday in U.S. District Court by Chief Judge Patrick J. Schiltz to 27 months for the factoring fraud scheme and 12 months for the tax fraud, to be served concurrently. She was also ordered to pay $3,957,364.62 in restitution to her victims. 

Chepuri pleaded guilty to one count of wire fraud on December 29, 2023. He was sentenced today by Chief Judge Schiltz to 21 months in prison, one year of supervised release, and ordered to pay full restitution in the amount of $3,265,363.14. 

This case is the result of an investigation conducted by the FBI, the Minnesota Commerce Fraud Bureau, and the IRS - Criminal Investigation.

Assistant U.S. Attorneys Chelsea A. Walcker and Robert M. Lewis prosecuted the case.
 

MINNEAPOLIS – A Sauk Centre man has been sentenced to 235 months in prison followed by 10 years of supervised release for coercing minors to produce sexually explicit images, announced United States Attorney Andrew M. Luger.

According to court documents, Shawn Norbert Kulzer, 32, began chatting with a minor victim on Snapchat on or about January 2, 2023. Over the course of their conversation, Kulzer learned that the minor victim was under the age of 18, yet still pressured them to send nude photographs. In his plea agreement, Kulzer also admitted that he used and enticed a second minor victim to produce and send sexually explicit images over Snapchat. While on pretrial release for these charges, Kulzer obtained another cell phone and engaged in the same behavior with at least six additional victims.    

On March 14, 2024, Kulzer pleaded guilty in U.S. District Court before Judge Nancy E. Brasel to one count of production and attempted production of child pornography.  At sentencing, Judge Brasel noted that Kulzer’s offense is “the nightmare that every parent thinks of when they think of online behavior involving their children.” 

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

This case is the result of an investigation led by the FBI, the Stearns County Sheriff’s Office, and the Sauk Centre Police Department.

Assistant U.S. Attorney Emily Polachek prosecuted the case.

MINNEAPOLIS – An Eden Prairie man has been charged with arson after setting fire to a townhome with four children inside, announced United States Attorney Andrew M. Luger. 

According to court documents, on May 31, 2024, at 11:27 a.m., the Eden Prairie Fire Department responded to a fire in a townhome. When the fire started, there were five people in the house, including one adult man and four children. When emergency responders arrived, they met the adult male occupant and three children outside, but the fourth child, a nine-month-old baby (Minor A), was still in the burning house. Eden Prairie firefighters entered the residence and located Minor A, who survived the fire but needed to be transported by ambulance to the hospital.

After the fire, ATF investigators and Eden Prairie police officers learned that Minor A’s mother lived in the burned home and Abdirahman Abdi Abdullahi, 23, was on probation for violating a restraining order that prohibited him from contacting Minor A’s mother. Investigators also learned that two days before the fire, Abdullahi sent a threatening message to Minor A’s mother stating, “when I see u I’m smoke u.” Law enforcement obtained surveillance footage from a nearby business that showed Abdullahi shortly before the fire carrying a red gas can through a line of bushes towards the townhome. Minutes later, the footage showed Abdullahi emerge from the bushes with the gas can and return to his vehicle. Investigators determined that Abdullahi’s vehicle was a rental and were able to trace the rental agreement. Investigators also obtained surveillance footage from a nearby gas station that showed Abdullahi arrive in the rental vehicle and fill the red gas can with gasoline. Law enforcement located and arrested Abdullahi. At the time of his arrest, officers found clothing items that matched Abdullahi’s clothing in the surveillance footage.

The complaint charges Abdullahi with one count of arson causing injury. Abdullahi made his initial appearance on July 1, 2024, in U.S. District Court before Magistrate Judge Tony N. Leung. He was ordered to remain in custody pending a formal detention hearing scheduled for July 8, 2024.

This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Eden Prairie Police Department.

Assistant U.S. Attorney William C. Mattessich is prosecuting the case.

A complaint is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

MINNEAPOLIS – Tareen Dermatology, P.A., Dr. Mohiba Tareen, and Basir Tareen, CEO (collectively, the “Defendants”) have agreed to pay the Unites States $1.63 million to resolve allegations that they violated the False Claims Act by submitting false claims to Medicare and other government payors for dermatology services and treatment. 

The settlement resolves allegations that the Defendants caused false claims to be submitted to Medicare and VA-administered programs in connection with Mohs surgeries, services billed as though performed under the supervision of Dr. Tareen on days she was not physically present in the clinic, office visits for which Defendants inappropriately waived beneficiary co-pays, and the use of certain skin grafts in circumstances in which their usage was not justified as billed.

The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Carrie Cremin and Susanne Polzin. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of a recovery. The qui tam case is captioned United States of America, et al., ex rel. Carrie Cremin and Susanne Polzin v. Tareen Dermatology P.A., Dr. Mohiba Tareen, and Dr. Basir Tareen, Case No. 19-cv-2457.

The investigation and resolution of this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to HHS at 800-HHS-TIPS (800-447-8477).

The resolution obtained in this matter was the result of a coordinated effort between the U.S. Attorney’s Office for the District of Minnesota, the Office of Inspector General of the U.S. Department of Health and Human Services, and the U.S. Department of Veterans Affairs. Assistant U.S. Attorney Kristen E. Rau handled the matter.

The claims resolved by the settlement are allegations only. There has been no determination of liability.