District of Montana

GREAT FALLS – An East Helena man who admitted lying in a scheme to receive more than $1 million in Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) for coronavirus relief aid and using the money instead for personal benefit was sentenced on June 7 to 30 months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.

Trevor Gene Lanius-McLeod, 48, pleaded guilty in December 2021 to bank fraud and to engaging in monetary transactions in property derived from specified unlawful activity.

Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris also ordered $1,000,043.00 restitution, $125,000 of which will be paid jointly with co-defendant Kasey Wilson who was sentenced in March 2022.

“During a trying time in our country’s history, Lanius-McLeod stole money from a government program designed to keep businesses afloat and lined his own pockets to the detriment of truly needy businesses.  Today, we send a strong message that such fraud will not go unpunished in the District of Montana.  I want to thank Assistant U.S. Attorney Colin M. Rubich, IRS Criminal Investigation, the FBI and all of our law enforcement partners for their work on this case,” U.S. Attorney Laslovich said.

“The sentence handed down today is a direct reflection of the seriousness of Mr. Lanius-McLeod’s crimes,” said Andy Tsui, Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “Not only is Lanius-McLeod guilty of crimes against the federal government, but he also victimized individuals and businesses the Paycheck Protection Program was designed to protect. These actions will not be tolerated, and the judge’s ruling sends a clear message to others who try to defraud CARES Act programs that these crimes will not go unpunished.”

“Trevor Lanius-McLeod greedily robbed small businesses that depended on PPP funds to survive,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI. “His sentence should serve as a reminder that the FBI and our federal partners are vigilantly working to make sure federal assistance funds are used as intended, and that those who defraud such programs will be held accountable.”

The PPP program, which is part of the federal Coronavirus Aid, Relief and Economic Security (CARES) Act, provided emergency assistance to small businesses for job retention and certain other expenses.

In court documents, the government alleged that beginning in April 2020, Lanius-McLeod devised a scheme to fraudulently obtain money from the Paycheck Protection Program (PPP).  Lanius-McLeod applied for four PPP loans through Valley Bank of Helena.  In the applications, Lanius-McLeod made numerous false and material statements to obtain approximately $1,043,000 in fraudulent funds from the four loans.  Additionally, Lanius-McLeod applied for and received a PPP loan in the amount of $349,000 on behalf of Renovated Montana Properties LLP, an entity Lanius-McLeod controlled. 

Lanius-McLeod made numerous false statements on the PPP loan application. Without the false statements, Lanius-McLeod would not have qualified for a PPP loan. The defendant falsely stated that Renovated Montana Properties LLP had paid payroll taxes and had 25 employees. The company never paid payroll taxes and had no employees besides Lanius-McLeod.

The government further alleged that in a promissory note, the defendant agreed to use the funds for business-related expenses. None of the loan money was used for these purposes. Instead, the proceeds were spent on various personal expenses, including the mortgage on Lanius-McLeod’s personal residence.

Assistant U.S. Attorney Colin M. Rubich prosecuted the case, which was investigated by the IRS-Criminal Investigation and FBI, with assistance from the U.S. Treasury Inspector General for Tax Administration and U.S. Secret Service.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

GREAT FALLS  — A Great Falls woman who admitted to trafficking methamphetamine after law enforcement seized nearly four pounds of the drug from her vehicle was sentenced today to five and a half years in prison, to be followed by four years of supervised release, U.S. Attorney Jesse Laslovich said.

Lillian Marie Lapier, 45, pleaded guilty in February to a superseding information charging her with possession with intent to distribute meth.

Chief U.S. District Judge Brian M. Morris presided.

The government alleged in court documents that Lapier and co-defendant Rhonda Lapier met in 2021 with an out-of-state meth supplier, purchased several pounds of meth and brought it back to Montana. Upon return, Rhonda Lapier stopped at her Helena residence and unloaded nearly three pounds of meth, which was later seized. Lillian Lapier continued toward Great Falls, where law enforcement stopped her and recovered nearly four pounds of meth from her vehicle.

Lillian Lapier told law enforcement that she and Rhonda Lapier had left Las Vegas, Nevada, together after re-suppling with meth from a California-based supplier. Lillian Lapier also told officers she had been getting about two pounds of meth every week to a week and a half for the past three to four months. The approximately six pounds of meth seized is the equivalent of 21,744 doses. Rhonda Lapier was sentenced to more than five years in prison for conviction in the case. A third co-defendant, Ashley Nicole Rico, was sentenced to 54 months in prison for her conviction in the case.

Assistant U.S. Attorney Ethan R. Plaut prosecuted the case, which was investigated by the Russell Country Drug Task Force, the Missouri River Drug Task Force, FBI, Great Falls Police Department Cascade County Sheriff’s Office and Lewis and Clark County Sheriff’s Office.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

GREAT FALLS  — A Box Elder man who admitted to distributing methamphetamine and fentanyl pills on and around the Rocky Boy’s Indian Reservation was sentenced today to twelve and a half years in prison, to be followed by five years of supervised release, U.S. Attorney  Jesse Laslovich said.

Michael James Lamere, 39, pleaded guilty in March to possession with intent to distribute controlled substances.

Chief U.S. District Judge Brian M. Morris presided.

The government alleged in court documents that in late 2020, investigators received reports that Lamere was obtaining meth and other drugs in Washington and distributing them on and around the Rocky Boy’s Indian Reservation. Lamere also used others to wire money to his Washington supplier. In August 2021, law enforcement stopped Lamere, who had an active warrant and was on his way to the reservation. A search warrant was executed on his vehicle and law enforcement seized more than 300 fentanyl pills, meth and heroin. When interviewed, Lamere described picking up pounds of meth every few weeks in Washington and bringing it to Montana to sell for a profit. He also said he had stashed another half-pound of meth in Shelby, on his way to the reservation.

Assistant U.S. Attorney Ethan R. Plaut prosecuted the case, which was investigated by the FBI, Tri-Agency Task Force and Hill County Sheriff’s Office.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

BILLINGS — A Washington man who admitted to dealing methamphetamine and to illegal possession of a firearm after a traffic stop in Rosebud County was sentenced on June 2 to eight years in prison, to be followed by four years of supervised release, U.S. Attorney Jesse Laslovich said.

Andrew Rex Allenby, 35, of Richland, Washington, pleaded guilty in December 2021 to possession with intent to distribute meth and to prohibited person in possession of a firearm.

U.S. District Judge Susan P. Watters presided.

The government alleged in court documents that in September 2020, a Rosebud County Sheriff’s Office sergeant was patrolling along the interstate and made a traffic stop of Nissan Altima that was speeding. Allenby was the driver. The sergeant was familiar with both Allenby and his passenger because he had pulled over the passenger who was driving another car earlier in the day. The sergeant suspected there may be drugs in the car based on strange behaviors and other information. A K-9 was deployed and alerted on the car. The vehicle was seized and searched pursuant to a warrant. Law enforcement found 113 grams of meth, fentanyl pills and other drugs in a backpack belonging to Allenby. In the trunk, officers located a handgun that had been stolen in North Dakota. Allenby was prohibited from possessing firearms because of a felony conviction in Washington.

Assistant U.S. Attorney Colin M. Rubich prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Rosebud County Sheriff’s Office.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

 

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on June 2 was:

Zacheriah Paul Siek, 33, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Siek faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Siek was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-61.

William Leonard, 52, of Cheney, Washington, on charges of conspiracy to possess with intent to distribute methamphetamine and possession with intent to distribute meth. If convicted of the most serious crime, Leonard faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Leonard was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 21-38.

James Lawrence Archer, 44, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Archer faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Archer was released pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-58.

Appearing on May 31 was:

Tre Cy Kron, 29, of Miles City, on charges of prohibited person in possession of a firearm and ammunition. If convicted of the most serious crime, Kron faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Kron was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.

PACER case reference. 22-60.

Michael David Brumfield, 54, a transient, on charges of conspiracy to possess with intent to distribute meth, possession with intent to distribute meth and distribution of meth. If convicted of the most serious crime, Brumfield faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Brumfield was detained pending further proceedings. The Drug Enforcement Administration investigated the case. PACER case reference. 22-39.

Cecil Jerome Hatchett, 31, of Las Vegas, Nevada, on charges of conspiracy to transport a minor with intent to engage in prostitution and tampering with a witness, victim or informant. If convicted of the most serious crime, Hatchett faces a maximum of life in prison, a $250,000 fine and five years of supervised release. Hatchett was detained pending further proceedings. The FBI investigated the case. PACER case reference. 21-41.

Appearing in Great Falls before Chief U.S. District Judge Brian M. Morris and pleading not guilty on June 1 was:

Shaide Jo Demontiney, 19, no permanent residence, on charges of use of a firearm in relation to a crime of violence. If convicted of the most serious crime, Demontiney faces a mandatory minimum 10 years to life in prison, a $250,000 fine and five years of supervised release. Demontiney was detained pending further proceedings. The FBI and Rocky Boy’s Police Department investigated the case. PACER case reference. 22-33.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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MISSOULA – U.S. District Judge Dana L. Christensen swore in Jesse Laslovich today as the United States Attorney for the District of Montana. President Biden nominated Laslovich on Jan. 31, and the U.S. Senate confirmed him on May 17.

U.S. Attorney Laslovich leads all federal criminal prosecutions and civil litigation in the District of Montana. The district has offices in Helena, Great Falls, Missoula, Butte and Billings.

“I am honored to serve as United States Attorney for the District of Montana,” U.S. Attorney Laslovich said. “As the chief federal law enforcement officer, I look forward to working with communities across Montana and with our federal, state, local and tribal partners to improve public safety, seek justice and uphold civil rights for everyone. I am excited to join the U.S. Attorney’s Office and to work with the outstanding attorneys and support staff who have devoted their careers to public service.”

Prior to becoming the U.S. Attorney, Laslovich served as regional vice president for the SCL Health Montana-Wyoming region since 2017. From 2009 to 2016, Laslovich was chief legal counsel in the office of the Montana Commissioner of Securities and Insurance, where he prosecuted securities fraud cases. During 2011 and 2012, Laslovich also served as a special assistant U.S. attorney on securities cases in the U.S. Attorney’s Office for the District of Montana. From 2007 to 2008, Laslovich was the lead consumer protection attorney in the Montana Attorney General’s Office, in the Montana Department of Justice. Laslovich began his legal career at Datsopoulos, MacDonald & Lind, P.C. in Missoula and also taught as an adjunct professor at the University of Montana School of Law for two semesters.

As one of the youngest Montanans ever elected to the Montana Legislature, Laslovich first served in the House of Representatives from 2001 through 2004 and then in the Senate from 2005 to 2010, representing Anaconda-Deer Lodge, Granite, and Powell counties. 

Laslovich received his J.D. from the University of Montana School of Law in 2006 and his B.A., with high honors, from the University of Montana in 2003.

During his career, Laslovich has volunteered his time to non-profit organizations, including Aware, which serves people who have developmental and mental disabilities, and ExplorationWorks, which promotes the sciences to children, and he volunteers as a youth baseball and basketball coach. Laslovich also served on the professionalism committee for the State Bar of Montana.

U.S. Attorney Laslovich thanked former U.S. Attorney Leif M. Johnson, who has served as the interim U.S. Attorney since December 2020, for his leadership and dedicated service.  Johnson joined the office in 1995 as a career prosecutor and previously served as First Assistant U.S. Attorney under U.S. Attorney Kurt G. Alme, who left the office in December 2020 with the change in administration.  

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MISSOULA  — A Texas man who admitted to repeatedly groping a minor teenage girl who was sitting in the seat in front of him on a flight into Bozeman was sentenced today to 20 months in prison, to be followed by five years of supervised release, U.S. Attorney Leif M. Johnson said.

Vincent Harry Kopacek, 76, of Fredericksburg, Texas, pleaded guilty in February to an information charging him with abusive sexual contact.

U.S. District Judge Dana L. Christensen presided. Judge Christensen further ordered $363 restitution and a $5,000 special assessment under the Justice for Victims of Trafficking Act of 2015. Judge Christensen remanded Kopacek into custody.

In court documents, the government alleged that on July 8, 2021, Kopacek was on an evening flight from Austin, Texas, to Bozeman and had a window seat. The victim, identified as Jane Doe, who was 15, was seated in the row in front of Kopacek, and her seat was fully upright during the flight. While in flight, Kopacek reached his hand along the interior wall of the aircraft and around to the seat in front of him. The government further alleged that Kopacek started by touching Doe’s arm, them moved to her breasts, and even tried to touch her groin area. When the victim went to the airplane’s bathroom to try to stop the abusive sexual contact, Kopacek pretended to be sleeping. When Doe returned to her seat, Kopacek would start the harassment all over again.

Doe recorded the touching with her cellular phone, and, while on the aircraft, looked at Kopacek and took photos of him. Doe later described being scared and that the unwanted touching made her feel dirty, ashamed and disgusting. Investigators downloaded the images from Doe’s phone and confirmed Kopacek’s identity.

Assistant U.S. Attorney Cyndee L. Peterson prosecuted the case, which was investigated by the FBI, Gallatin County Sheriff’s Office and the Bozeman Yellowstone International Airport Public Safety Office.

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MISSOULA – A former U.S. Postal Service employee who admitted to stealing gift cards from the mail was sentenced today to two years of probation and ordered to pay $440 restitution, U.S. Attorney Leif M. Johnson said.

Lassana Diaby, 54, pleaded guilty in January to an indictment charging him with theft of mail by officer or employee, a felony.

U.S. District Judge Dana L. Christensen presided. Judge Christensen followed recommendations in a plea agreement and imposed a probationary sentence.

In court documents, the government alleged that on March 26, 2021, a U.S. Postal Service customer reported items were stolen from a birthday card that was sent to his locking mailbox in Missoula. The sender confirmed that she mailed the card on March 20, 2021 from Whitefish and that it contained a $200 gift card to Costco, two $100 gift cards to Amazon and $40 cash. An investigation determined that Diaby presented his Costco membership card and the gift card to complete a purchase at the Costco in Missoula. At the time, Diaby worked for the U.S. Postal Service as a mail processing clerk and completed night shifts on March 20 to 23, including working several hours in the manual letter sorting section.

Assistant U.S. Attorney Karla E. Painter prosecuted the case, which was investigated by the U.S. Postal Service Office of Inspector General.

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MISSOULA  — A Butte man who was on state supervision for felony convictions was sentenced today to 54 months in prison, to be followed by three years of supervised release, after he admitted to illegally possessing nine firearms, U.S. Attorney Leif M. Johnson said.

Richard Daniel White, 35, pleaded guilty in February to prohibited person in possession of firearms.

U.S. District Judge Dana L. Christensen presided.

The government alleged in court documents that in February 2020, White, a convicted felon on state supervision, possessed nine firearms and ammunition in his residence during a probation search. State probation officers conducted a search based on a positive urine analysis test for methamphetamine and information that White possessed stolen firearms. One of the semiautomatic firearms White possessed was capable of accepting a large capacity magazine, and there were several magazines capable of accepting more than 15 rounds of ammunition in his bedroom with the firearm. At the time of offense, White was on state supervision for three separate felony cases of criminal endangerment, criminal possession of dangerous drugs and attempted theft and criminal mischief.

The U.S. Attorney’s Office prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Montana Probation and Parole and the Butte Silver Bow Law Enforcement Agency.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on May 26 was:

Darwyna Caylynn Bullshows, 25, of Pryor, on charges of assault on a federal officer. If convicted of the most serious crime, Bullshows faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release. Bullshows was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-44.

Alex Valladares, 27, address unknown, on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute meth, possession of a firearm in furtherance of a drug trafficking crime, felon in possession of a firearm and possession of a stolen firearm. If convicted of the most serious crime, Valladares faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release on the drug charge and a mandatory minimum five years to life, consecutive to any other term, a $250,000 fine and five years of supervised release on the crime of possessing a firearm in furtherance of drug trafficking. Valladares was detained pending further proceedings. The Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-55.

Gregory Duane Hanson, 31, of Billings, on charges of conspiracy to possess with intent to distribute meth, possession with intent to distribute meth and distribution of meth. If convicted of the most serious crime, Hanson faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release. Hanson was detained pending further proceedings. The Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-59.

Darwin Dalton Sutherland, 28, a transient, on charges of prohibited person in possession of a firearm and possession of a stolen firearm. If convicted of the most serious crime, Sutherland faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Sutherland was detained pending further proceedings. The FBI and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-63.

Appearing on May 23 was:

James Robert Harrelson, 48, a transient, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances, and possession of firearm in furtherance of drug trafficking. If convicted of the most serious crime, Harrelson faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release on the drug charge and a mandatory minimum five years to life in prison, consecutive to any other term, a $250,000 fine and five years of supervised release on the firearm charge. Harrelson was detained pending further proceedings. The FBI’s Western Transnational Organized Crime Task Force and the Eastern Montana High Intensity Drug Trafficking Area Task Force investigated the case. PACER case reference. 22-54.

Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on May 25 was:

Chantel Marie Azure, 33, of Billings, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances and distribution of fentanyl. If convicted of the most serious crime, Azure faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release on the controlled substances charges. Azure was detained pending further proceedings. The Drug Enforcement Administration and Havre Police Department investigated the case. PACER case reference. 22-21.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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MISSOULA  — A Washington woman who was convicted by a jury of cyberstalking a Montana man and Montana public officials by hacking the man’s email and sending harassing and threatening communications was sentenced today to 52 months in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.

Kathy Ann Hendrickson, also known as Kathy Thorberg, 60, of Walla Walla, Washington, was convicted on Feb. 16 of cyberstalking following a three-day trial.

U.S. District Judge Donald W. Molloy presided.

In court documents and at trial, the government presented evidence that Hendrickson met the victim, identified as John Doe, on a dating website sometime in 2015 or 2016. The two communicated online and eventually met in person on several occasions at John Doe’s residence in Trout Creek. John Doe ended the relationship and then suspected Hendrickson of stealing his personal information. Hendrickson started harassing John Doe as early as May 2018 when, using an anonymous email account, sent him an email stating, “I’m going to bring you down.”

Hendrickson also hacked into John Doe’s account, using a password she stole from his address book, and sent threatening emails, including death threats, to herself and to Sanders County Commissioners and another county employee. Hendrickson also used John Doe’s email address to send a threatening email to then-Governor Steve Bullock in another attempt to subject John Doe to law enforcement scrutiny.

Court documents further alleged that Hendrickson not only used a fake email account to harass victims, but also used a burner phone. While Hendrickson’s real phone contained incriminating evidence, the burner phone was not recovered during the investigation.

Assistant U.S. Attorney Timothy J. Racicot prosecuted the case, which was investigated by the FBI.

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GREAT FALLS — Two men from Honduras appeared in court today on immigration-related charges after U.S. Border Patrol agents arrested them and detained others following a suspected illegal border crossing from Canada into Montana, near Sweetgrass, U.S. Attorney Leif M. Johnson said.

Jorge Orellana-Banegas, 23, and his uncle, Jose Eugenio Banegas-Torres, 38, both Honduran citizens, had initial appearances on criminal complaints accusing each of illegal transport of aliens and conspiracy to transport aliens.

A criminal complaint is only an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.

U.S. Magistrate Judge John T. Johnston presided. Both defendants were detained pending further proceedings.

The government alleged in court documents that at 11:45 p.m. on May 22, a group of eight individuals illegally crossed into the United States from Canada west of Sweetgrass. Border Patrol agents observed the group walk through an area known as “Buckley Coulee” and get into a 2021 Nissan Armada that was parked on Loop Road. An agent drove toward the vehicle to attempt an immigration stop and activated his lights and siren as the Nissan increased speed. The Nissan drove off the road and into Buckley Coulee and then went through a fence before stopping. All of the vehicle’s occupants got out and ran in multiple directions although an agent identified himself and gave commands in English and Spanish to stop. Agents chased the occupants on foot and caught five of the individuals. Agents searched the area for four outstanding individuals but did not find them.

Five of the individuals who were caught were transported to the Sweetgrass Border Patrol Station for processing. Four of the individuals claimed to be citizens of Mexico and one was a Honduran citizen.

The next day, a Border Patrol agent responded to a call of a suspicious person walking and hitch hiking south of Sunburst and located Orellana, who was transported to the Sweetgrass Station.

The government further alleged that an investigation determined Orellana was the driver and that his uncle, Banegas-Torres, was the smuggling guide. In all, six suspects were transported to the Sweetgrass Border Patrol Station for processing. Three other suspects in the crossing have not been located.

The U.S. Attorney’s Office is prosecuting the case, which was investigated by the U.S. Border Patrol.

PACER case reference. 22-mj-37 and 22-mj-38.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

 

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MISSOULA  — A Missoula woman was sentenced today to five years and three months in prison, to be followed by five years of supervised release, for trafficking a large amount of methamphetamine in the community, U.S. Attorney Leif M. Johnson said.

Jasmine Lori Snyder, 40, pleaded guilty in February to possession with intent to distribute meth.

U.S. District Judge Donald W. Molloy presided.

In court documents, the government alleged that Snyder possessed and intended to distribute 5.8 kilograms, which is approximately 12.7 pounds, of meth. On Nov. 30, 2021, a controlled delivery of two U.S. Postal Service parcels, previously determined to contain more than 500 grams of meth, was conducted at a residence in Missoula. Witnesses indicated that the packages belonged to Snyder. A confidential informant also regularly purchased meth directly from Snyder from August to October 2021. Twelve pounds of meth is the equivalent of approximately 46,000 doses.

Assistant U.S. Attorney Tara J. Elliott prosecuted the case, which was investigated by the FBI’s Montana Regional Violent Crime Task Force.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto and pleading not guilty on May 20 was:

Devin Farley, 40, of Missoula, on charges of conspiracy to distribute methamphetamine, possession with intent to distribute meth, distribution of meth and possession of a firearm in furtherance of a drug trafficking crime. If convicted of the most serious crime, Farley faces a mandatory minimum of 10 years to life in prison, a $10 million fine and at least five years of supervised release on the conspiracy and drug possession charges and a mandatory minimum five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the firearm charge. Farley was detained pending further proceedings. The Drug Enforcement Administration, Missoula County Sheriff’s Office and Missoula Police Department investigated the case. PACER case reference. 22-23.

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on May 19 was:

Darnell Lee Not Afraid, 37, of Pryor, on charges of assault on federal officer and possession of firearm during a crime of violence. If convicted of the most serious crime, Not Afraid faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release on the assault charge and a mandatory minimum five years to life in prison, a $250,000 fine and five years of supervised release on the firearms charge. Not Afraid was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-44.

Appearing on May 16 was:

Brian Keith Maston, 52, unknown address, on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute meth, possession of a firearm in furtherance of a drug trafficking crime and illegal possession of a machine gun. If convicted of the most serious crime, Maston faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release on the drug charges and a mandatory minimum 30 years to life in prison, consecutive to any other term of imprisonment, a $250,000 fine and five years of supervised release for the charge of possession of a machine gun in furtherance of a drug trafficking crime. Maston was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Drug Enforcement Administration investigated the case. PACER case reference. 22-53.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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BILLINGS  — A Billings man who admitted his role in promoting commercial sex and his involvement in a drug trafficking conspiracy, which included brandishing a firearm during an assault over a botched drug deal, was sentenced today to 10 years and one month in prison, to be followed by five years of supervised release, U.S. Attorney Leif M. Johnson said.

Mario Juan Drake, 33, pleaded guilty in August 2021 to a second superseding information charging him with conspiracy to possess with intent to distribute cocaine and ecstasy, possession of a firearm in furtherance of a drug trafficking offense and two counts of use of a facility in interstate commerce in aid of racketeering.

U.S. District Judge Susan P. Watters presided.

In court documents, the government alleged that in 2019, Drake, co-defendant D’Javon King and others conspired to distribute illegal narcotics, including cocaine and ecstasy. On April 24, 2019, during an attempted drug deal of ecstasy at a Billings motel, a struggle ensued between a buyer and two distributors. The buyer assaulted one of the distributors and left the scene. In response, Drake, King and others arranged a meeting with the buyer during which they assaulted the individual while holding firearms. Drake brandished a firearm during the assault and later he, King and others informed the two distributors that they had retaliated against the buyer for the failed drug deal. King was sentenced to eight years and nine months in prison following his conviction in the case.

The government further alleged that in April and May 2019, two women, identified as Jane Doe 3 and Jane Doe 5, were both engaged in commercial sex with Drake and also were intimately involved with him. Drake used his cell phone to assist with commercial sex calls for both Does by receiving and posting photos of the Does for advertisements, setting pricing for calls and communicating with sex customers for both Does. Drake accompanied the Does to hotels, used a timer during the calls and entered the room if the calls went past the timer.

The U.S. Attorney’s Office, including Assistant U.S. Attorneys Zeno B. Baucus and Benjamin D. Hargrove, prosecuted the case, which was investigated by the FBI.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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GREAT FALLS — A Poplar woman suspected of assaulting a toddler on the Fort Peck Indian Reservation admitted to charges this week, U.S. Attorney Leif M. Johnson said today.

Shelby Loves Him, 23, pleaded guilty on May 16 to an indictment charging her with assault resulting in serious bodily injury and felony child abuse. Loves Him faces a maximum of 10 years in prison, a $250,000 fine, and three years of supervised release.

Chief U.S. District Judge Brian M. Morris presided. The court will determine a sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for Aug. 24. Loves Him was detained pending further proceedings.

Court documents filed by the government alleged that Loves Him had been caring for the victim, a toddler, identified as John Doe, since approximately August 2021 when on Dec. 8, 2021, law enforcement officers were contacted about John Doe being unresponsive at the Poplar Community Hospital. The officers observed bruising and scratches on John Doe’s head, arms and legs. When questioned about events leading to John Doe arriving at the hospital, Loves Him told officers that she had struck John Doe multiple times in the week leading up to an incident on Dec. 8, 2021, when she assaulted and choked the victim until he lost consciousness. John Doe was flown to Salt Lake City, Utah, for emergency life-saving surgery and care. John Doe continues to suffer significant impairment from the injuries he sustained.

Assistant U.S. Attorney Wendy A. Johnson is prosecuting the case, which was investigated by the FBI, Montana Highway Patrol and Fort Peck Tribes Police Department.

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BILLINGS  — A Crow Agency felon who illegally possessed a loaded semi-automatic rifle and led law enforcement officers on a high-speed pursuit on the Crow Indian Reservation was sentenced on May 18 to five years in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.

Brian Pretty Weasel, 34, pleaded guilty in November 2021 to prohibited person in possession of a firearm.

U.S. District Judge Susan P. Watters presided.

The government alleged in court documents that in October 2018, Pretty Weasel was convicted of a federal felony of being a prohibited person in possession of a firearm. In May 2021, a U.S. Marshals Service deputy and other law enforcement officers attempted to stop Pretty Weasel on a warrant in Billings. Pretty Weasel fled officers in a SUV that had been reported stolen and sped from Billings onto the Crow Reservation. Bureau of Indian Affairs officers joined the pursuit, which reached speeds exceeding 100 mph. An officer saw a passenger hand a rifle to Pretty Weasel, the driver. Pretty Weasel ultimately crashed into another vehicle in Pryor, fled on foot from the SUV and was caught by officers. Officers located a loaded, semi-automatic rifle that Pretty Weasel had dropped near the SUV. The firearm had been reported stolen in 2018.

Assistant U.S. Attorney Jeanne Torske prosecuted the case, which was investigated by the BIA, U.S. Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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MISSOULA — A Kalispell couple accused in a scheme to steal mail in Lincoln and Flathead counties and of using personal information found in the stolen mail to shop at numerous businesses admitted to charges, U.S. Attorney Leif M. Johnson said today.

Jennifer Don Smith, 37, pleaded guilty today to wire fraud and aggravated identity theft. Co-defendant Michael Thomas Kullberg, 34, Smith’s husband, pleaded guilty to theft of mail, wire fraud and aggravated identity theft on May12. Smith and Kullberg face a maximum of 20 years in prison, a $250,000 fine and three years of supervised release on the wire fraud count and a mandatory two years in prison, consecutive to any other punishment, a $250,000 fine and one year of supervised release on the aggravated identity theft count.

U.S. District Judge Susan P. Watters presided at Smith’s hearing. U.S. District Judge Donald W. Molloy presided at Kullberg’s hearing. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for Sept. 7 for both Smith and Kullberg. Both Smith and Kullberg were detained pending further proceedings.

The government alleged in court documents that on March 21 and 27, 2020, hundreds of residents throughout Eureka had their mail stolen. Over the next few days, discarded mail was recovered in roadways, ditches and other public areas. On April 4, 2020, law enforcement received many new reports of mail stolen from the Marion, Kila and Libby areas and again subsequently recovered large amounts of mail dumped along the roadway. Dozens of residents reported the loss of packages, letters, bills, outgoing checks and personal identifying information.

The government further alleged that on April 6, 2020, John Doe 1 reported that Bank of America had contacted him regarding a slew of charges on a new credit card it had mailed him in Eureka. Doe 1 never received the card. Bank of America provided a list of transactions showing the card had been used 14 times from March 22 to April 6 at various businesses in Eureka and Kalispell. Some of the sales were declined, but seven were approved and totaled $815 in unauthorized charges. In addition, the Town Pump in Eureka provided surveillance images from March 22, 2020 for one of the fraudulent transactions, which depicted Kullberg tendering the card. Other images from April 6, 2020, showed Smith using the stolen card. Pictures provided by Stein’s Eureka Market showed Smith twice attempting to purchase items with Doe 1’s card.

Kullberg, the government alleged, had recently been released from custody on a felony conviction and was wearing a GPS tracking device. The Lincoln County Sheriff’s Office obtained location data and determined Kullberg travelled along the same routes where the mail was stolen during the nights of March 21, 27 and April 4, 2020. The data further indicated Kullberg was at the Eureka Town Pump when Doe 1’s card was used and at Stein’s Eureka Market when Smith tendered the card.  Kullberg also was at other locations in Kalispell, including ExxonMobil, Home Depot, Target and Albertsons when the card was presented.

In May 2020, law enforcement received a report that John Doe 2 and Jane Doe 1 had a joint credit card from Citibank stolen from their mailbox in Eureka. Kullberg’s GPS coordinates reflect that he was in that area on March 27, 2020. The Citibank card was used on March 28, 2020 at multiple Kalispell locations, including Target, Home Depot, Walmart, Lowes, Conoco, Harbor Freight and the Dollar Tree. Kullberg’s GPS data reflects he was at each of those businesses on March 28. The total amount of unauthorized charges was $1,352.

Kullberg later denied to law enforcement that he stole any mail or used anyone else’s credit card without permission. When asked why his GPS placed him at the scene of the thefts when they occurred, Kullberg explained he was driving around fighting with Smith in his car.

Assistant U.S. Attorney Karla E. Painter is prosecuting the case, which was investigated by the Lincoln County Sheriff’s Office, Eureka Police Department, Montana Probation and parole and U.S. Postal Inspection Service.

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GREAT FALLS  — A Wolf Point woman who admitted to trafficking methamphetamine in the community and around the Fort Peck Indian Reservation was sentenced today to five years in prison, to be followed by four years of supervised release, U.S. Attorney Leif M. Johnson said.

Marlina Nannett Martinez, 24, pleaded guilty in January to possession with intent to distribute meth.

Chief U.S. District Judge Brian M. Morris presided.

Court documents filed by the government alleged that Martinez distributed meth and fentanyl pills. When law enforcement searched her residence in October 2020, they found an out-of-state fentanyl supplier, approximately 15 grams of meth that Martinez tried to conceal, a rifle, and fentanyl pills sitting in the open on a table. There was a young child in the residence. Individuals reported to law enforcement in interviews that they had bought illegal pills and meth from Martinez.

Assistant U.S. Attorney Ethan R. Plaut prosecuted the case, which was investigated by the FBI, Bureau of Indian Affairs, Fort Peck Law Enforcement Services and Roosevelt County Sheriff’s Office.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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GREAT FALLS  — A Great Falls woman who admitted to distributing methamphetamine and fentanyl to an individual, who then died of a drug overdose, was sentenced today to 12 years in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.

Brandie Rae Fulbright, 40, pleaded guilty in January to distribution of controlled substances resulting in death.

Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris also ordered $815 restitution.

In court documents, the government alleged that on Aug. 23, 2020, Great Falls police officers were dispatched to a camper trailer where they found a man, identified as John Doe, deceased on a bed. Co-defendant Kent Fox was on the scene. Fox was friends with John Doe, had last seen him two days earlier and had gone to check on him.

The government further alleged that Fulbright, with Fox’s assistance, conducted a drug deal with John Doe two days earlier. As part of the deal, John Doe traded a stolen AR-15 semiautomatic rifle for meth and fentanyl from Fulbright. Fulbright then gave the rifle to Fox, and Fox returned Doe to his camper. A short time later, John Doe died from an overdose of meth and fentanyl that Fulbright had provided. Fox previously was sentenced to 14 years in prison for his conviction in the case.

Assistant U.S. Attorney Jeffrey K. Starnes prosecuted the case, which was investigated by the FBI and Great Falls Police Department.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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GREAT FALLS  — A Shelby man who admitted to distributing large amounts of methamphetamine in the Shelby and Cutbank areas was sentenced today to five years in prison to be followed by five years of supervised release, U.S. Attorney Leif M. Johnson said.

Joseph John Lequin, 65, pleaded guilty in February to possession with intent to distribute meth.

Chief U.S. District Judge Brian M. Morris presided.

The government alleged in court documents that Lequin distributed a large amount of meth in rural Montana while on felony state probation. In January 2021, probation officers and drug investigators went to Lequin’s residence for a probation check and found him in a motor home on the property. A search of the motor home recovered multiple bags of meth. In March 2021, an individual was arrested with meth that the individual reported he had purchased from Lequin.  Two subsequent probation searches of Lequin’s residence resulted in the recovery of meth. Lequin was arrested in December 2021 after a large bag of meth, determined to contain approximately 118 grams of meth, was found in his bedroom during the third probation search. Lequin admitted the meth was his and that he had planned to sell it.

Assistant U.S. Attorney Ethan R. Plaut prosecuted the case, which was investigated by the FBI.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

 

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MISSOULA — A Butte nurse suspected of illegally obtaining opiates from four health care facilities in three communities appeared for arraignment on an indictment today, U.S. Attorney Leif M. Johnson said.

Shantyl Marie Giacoletto, 30, pleaded not guilty to four counts of unlawfully obtaining controlled substances. If convicted of the most serious crime, Giacoletto faces a maximum of four years in prison, a $250,000 fine and one year of supervised release.

U.S. Magistrate Judge Kathleen L. DeSoto presided. Giacoletto was detained pending further proceedings.

The indictment alleges that Giacoletto unlawfully obtained oxycodone from Community Hospital of Anaconda from March 2021 to June 2021; unlawfully obtained oxycodone and hydrocodone from Copper Ridge Health and Rehab in Butte from August 2021 to November 2021; unlawfully obtained oxycodone and hydrocodone from Continental Care and Rehabilitation in Butte in October 2021; and unlawfully obtained oxycodone, hydrocodone and morphine from The Ivy in Deer Lodge in November 2021.

An indictment is merely an accusation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt.

Assistant U.S. Attorney Karla E. Painter is prosecuting the case, which was investigated by the Drug Enforcement Administration and the Anaconda Police Department.

PACER case reference. 22-19.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on May 10 was:

Isaiah Morsette, 31, of Box Elder, on charges of aggravated sexual abuse. If convicted of the most serious crime, Morsette faces a mandatory minimum of 30 years to life in prison, a $250,000 fine and five years of supervised release. Morsette was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-09.

Crystal Lynn Jackson, aka Crystal Lynn Barber, 38, of Great Falls, and John Brendan Daily, 51, of Great Falls, on charges of conspiracy to commit wire fraud, wire fraud and aggravated identity theft. If convicted of the most serious crime, the defendants face a maximum of 20 years in prison, a $250,000 fine and three years of supervised release on the fraud counts and a mandatory minimum two years in prison consecutive to any other punishment, a $250,000 fine and one year of supervised release on the aggravated identity theft count. The defendants were released pending further proceedings. The FBI and Great Falls Police Department investigated the case. PACER case reference. 22-22.

John Charles Garces, 56, of Great Falls, on charges of felon in possession of a firearm. If convicted of the most serious crime, Graces faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Garces was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Great Falls Police Department and Cascade County Sheriff’s Office investigated the case. PACER case reference. 22-23.

Matthew Phillip Hamper, 42, of Clancy, on charges of possession with intent to distribute methamphetamine, distribution of meth, felon in possession of firearms and ammunition and possession of an unregistered firearm. If convicted of the most serious crime, Hamper faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Hamper was detained pending further proceedings. The Missouri River Drug Task Force, Bureau of Alcohol, Tobacco, Firearms and Explosives, Jefferson County Sheriff’s Office and Montana Division of Criminal Investigation investigated the case. PACER case reference. 22-03.

Appearing in Helena before U.S. Magistrate Judge John T. Johnston and pleading not guilty on May 10 was:

Tyrell Andrew LaRoque, 34, of Hays, on charges of assault with a dangerous weapon. If convicted of the most serious crime, LaRoque faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. LaRoque was released pending further proceedings. The FBI investigated the case. PACER case reference. 22-24.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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GREAT FALLS — A Michigan man suspected of working with other Detroit-area individuals to distribute fentanyl on the Rocky Boy’s Indian Reservation admitted to a trafficking crime today, said U.S. Attorney Leif M. Johnson,

Brandon Lamar Louis James, 22, of Southfield, Michigan, pleaded guilty to possession with intent to distribute controlled substances. James faces a maximum of 20 years in prison, a $1 million fine and at least three years of supervised release.

Chief U.S. District Judge Brian M. Morris presided. Sentencing was set for Aug. 25. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. James was released pending further proceedings.

The government alleged in court documents that in June 2021, the FBI was investigating a number of individuals from the Detroit area who were suspected to be distributing fentanyl on and around the Rocky Boy’s Indian Reservation. The FBI executed a search warrant at the residence of John and Jane Doe, on the reservation. Jane Doe was home and was detained, but John Doe was not present. Jane Doe told the officers that there was another individual in a bedroom. The door to the bedroom was locked and nobody responded to repeated commands to open it. Officers breached the door and found and detained James. During a search of the residence, officers found an Aleve brand pill bottle containing a suspected mixture of Aleve pills and fentanyl pills. A Drug Enforcement Administration analysis found that 258 pills were legitimate Aleve pills and that 179 pills were found to contain fentanyl.

John Doe and Jane Doe both described helping multiple out-of-state fentanyl suppliers who traveled to the reservation to distribute drugs. They identified a particular individual who was from Detroit and had met him more than a year prior. The Detroit individual frequently contacted them to pick up or house other individuals, who would travel to Montana with fentanyl pills and distribute them on the reservation. James had been one of those individuals they had transported and housed at the request of the Detroit individual.

Assistant U.S. Attorney Ethan R. Plaut is prosecuting the case, which was investigated by the FBI, Tri-Agency Task Force, Russell Country High Intensity Drug Trafficking Area Task Force, Bureau of Indian Affairs and Chippewa Cree Law Enforcement Services.

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GREAT FALLS — A Havre man who admitted to supplying large quantities of methamphetamine to individuals on the Rocky Boy’s Indian Reservation was sentenced today to 68 months in prison, to be followed by five years of supervised release, U.S. Attorney Leif M. Johnson said.

Clayton Cree Morsette, 24, pleaded guilty in April 2021 to possession with intent to distribute meth.

Chief U.S. District Judge Brian M. Morris presided.

The government alleged in court documents that in 2019, law enforcement officers learned that Kristina Russette, of Spokane, Washington, who was charged and convicted in a related case, and her boyfriend, Morsette, worked together to distribute meth from the Spokane area to the Rocky Boy’s Reservation. In addition, in May 2020, Russette was driving a vehicle stopped in Washington for traffic violations. Morsette was a passenger. During a search of the vehicle, officers found multiple bags containing approximately 1.6 pounds of meth. Morsette told an officer that he and Russette had picked up the drugs in Spokane and that some of it was destined for Montana.

Multiple individuals told law enforcement that Morsette was a longtime supplier of large quantities of meth to persons on and around the reservation and described him as working with Russette. Russette previously was sentenced to 124 months in prison.

Assistant U.S. Attorney Ethan R. Plaut prosecuted the case, which was investigated by the FBI, Chippewa Cree Law Enforcement Services, Tri-Agency Drug Task Force, Bureau of Indian Affairs, Kalispel Tribe Public Safety Department in Washington and the Airway Heights Police Department in Washington.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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BILLINGS — A Billings man who admitted trafficking methamphetamine after a officers found the drug during a traffic stop near Big Timber was sentenced today to 10 years in prison, to be followed by four years of supervised release, U.S. Attorney Leif M. Johnson said.

Melvin Louis Weasel Boy, 47, pleaded guilty in September to possession with intent to distribute controlled substances.

U.S. District Judge Susan P. Watters presided.

The government alleged in court documents that in November 2019, a Montana Highway Patrol trooper made a traffic stop on Interstate 90 near Big Timber of a Cadillac Escalade that matched the description of a stolen vehicle and had mismatched license plates. The officer arrested Weasel Boy, the driver, for driving a stolen vehicle. During a search of Weasel Boy, law enforcement found a plastic bag containing about two ounces of meth. The government further alleged that when Weasel Boy was subsequently arrested in February 2021 for violations of pretrial release, law enforcement found a stolen, loaded gun, with an extended, loaded magazine, and meth in the car he was driving.

Assistant U.S. Attorney Jeanne Torske prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, Drug Enforcement Administration and the Montana Highway Patrol.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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BILLINGS— In honor of National Police Week, United States Attorney Leif  M. Johnson recognizes the service and sacrifice of federal, state, local, and tribal law enforcement. This year, the week is observed Wednesday, May 11 through Tuesday, May 17, 2022.

“This week, we gather to pay tribute to the law enforcement officers who sacrificed their lives in service to our country,” said Attorney General Merrick B. Garland. “We remember the courage with which they worked and lived. And we recommit ourselves to the mission to which they dedicated their lives. On behalf of a grateful Justice Department and a grateful nation, I extend my sincerest thanks and gratitude to the entire law enforcement community.”

“Every day in communities across Montana, law enforcement officers risk their own lives to make ours safer,” said U.S. Attorney Johnson. “This week, we pay tribute to the men and women in law enforcement for their brave and selfless service, and we honor and remember those we’ve lost in the line of duty for their dedication to ensuring justice and preserving the peace.”  

In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices.  Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty. Based on data submitted to and analyzed by the National Law Enforcement Officer Memorial Fund (NLEOMF), 472 law enforcement officers died nationwide in the line of duty in 2021.  Of that number, 319 succumbed to COVID-19.

Additionally, according to 2021 statistics reported by the FBI through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program, 73 law enforcement officers who died in the line of duty in 2021 were killed as a result of felonious acts, whereas 56 died in accidents.  Deaths resulting from felonious acts increased in 2021, rising more than 58% from the previous year. In 2021, unprovoked attacks[1] were the cause of 24 deaths, significantly outpacing all other line of duty deaths resulting from felony acts and reaching the highest annual total in over 30 years of reporting. Additional LEOKA statistics can be found on FBI’s Crime Data Explorer website for the LEOKA program. 

The names of the 619 fallen officers added this year to the wall at the National Law Enforcement Officer Memorial will be read on Friday, May 13, 2022, during a Candlelight Vigil in Washington, D.C., starting at 8:00 p.m. ET. Those who wish to view the vigil live online can watch on the NLEOMF YouTube channel found at https://www.youtube.com/TheNLEOMF. The schedule of National Police Week events is available on NLEOMF’s website.

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[1] An unprovoked attack is defined as an attack on an officer not prompted by official contact at the time of the incident between the officer and the offender.  Source:  Federal Bureau of Investigation (FBI) through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program.

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BILLINGS  — A Lame Deer man who admitted to trafficking methamphetamine was sentenced today to two years in prison to be followed by four years of supervised release, U.S. Attorney Leif M. Johnson said.

Laymond Perry Brien, 38, pleaded guilty in December 2021 to possession with intent to distribute meth.

U.S. District Judge Susan P. Watters presided.

The government alleged in court documents that in October 2020, Bureau of Indian Affairs patrol officers responded to a tip of an intoxicated driver in a Saturn near Busby, on the Northern Cheyenne Indian Reservation. Officers initiated a traffic stop, but the car fled and led law enforcement on a high-speed chase through Lame Deer, with the car going 72 mph in a 25-mph zone. The car eventually got stuck on a muddy back road, and the driver and Brien, who was a passenger, attempted to flee on foot. Officers caught Brien, and in a search of him, found baggies of meth and a digital scale. Officers also found a 9mm semi-automatic pistol with an obliterated serial number under the passenger seat, where Brien had been sitting.

Assistant U.S. Attorney Jeanne Torske prosecuted the case, which was investigated by the BIA.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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MISSOULA — A Missoula woman today admitted to trafficking methamphetamine and fentanyl after law enforcement seized more than seven pounds of meth, fentanyl and firearms during the investigation, U.S. Attorney Leif M. Johnson said.

Savannah Shoshana Smith, 37, pleaded guilty to possession with intent to distribute meth and fentanyl and to drug user and addict in possession of firearms and ammunition. Smith faces a mandatory minimum of five years to life in prison, a $5 million fine and at least four years of supervised release on the drug charge and a maximum of 10 years in prison, a $250,000 fine and three years of supervised release on the firearms charge.

U.S. Magistrate Judge Kathleen L. DeSoto presided. Sentencing was set for Aug. 24 before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Smith was released pending further proceedings.

In court documents, the government alleged that law enforcement served a search warrant on the residence of Smith and co-defendant Carlos Aguirre on Oct. 6, 2021. Officers also conducted a traffic stop of Aguirre to execute a search warrant on the car and found a quarter pound of meth packaged for sale and a 9mm handgun that Aguirre had removed from his body when he was stopped. Inside the residence, officers found approximately 6.9 pounds of meth and fentanyl pills. Seven pounds of meth is the equivalent of about 25,368 doses. Law enforcement also found 20 firearms throughout the residence. Records showed that Smith purchased 22 firearms between February 2020 and August 2021. Smith told officers that Aguirre would give her meth and she would trade the meth for opiate pills. Smith admitted she was addicted to opioids. Aguirre previously pleaded guilty to possession with intent to distribute meth and fentanyl and to possession of a firearm in furtherance of a drug trafficking crime and is pending sentencing.

Assistant U.S. Attorney Jennifer S. Clark is prosecuting the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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MISSOULA — A Butte woman today admitted she diverted drugs while working as a nurse at a Butte hospital, U.S. Attorney Leif M. Johnson said.

Nichole Lynn Zinda, 37, pleaded guilty to unlawfully obtaining a controlled substance as charged in an indictment. Zinda faces a maximum of four years in prison, a $250,000 fine and three years of supervised release.

U.S. Magistrate Judge Kathleen L. DeSoto presided. Sentencing was set for Aug. 24 before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Zinda was released pending further proceedings.

The government alleged in court documents that a hospital in Butte notified the Drug Enforcement Administration that Zinda, a registered nurse working on the post-operation floor, was discovered diverting hydromorphone cartridges in September 2020. The hospital reviewed Zinda’s records, which showed an abnormally high number of transactions by Zinda regarding oxycodone and hydromorphone as compared to other nurses working on the same floor. Zinda was pretending to “waste” or dispose of the hydromorphone or was giving it to patients but then cancelling the orders in the system. Zinda was placed on administrative leave on Oct. 2, 2020 after providing a urine analysis and was terminated four days later after the test was positive for hydromorphone as well as oxycodone/oxymorphone.  Zinda told investigators that she took hydromorphone from the hospital to prevent her from getting sick when she didn’t have any pills. When she diverted the drugs, she would store them in her pocket.

The U.S. Attorney’s Office is prosecuting the case, which was investigated by the DEA, Montana Division of Criminal Investigation and St. James Hospital.

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GREAT FALLS  — A Box Elder man who admitted to intimidating and threatening a witness who would testify against him regarding his involvement in a kidnapping and attempted murder on the Rocky Boy’s Indian Reservation was sentenced today to 78 months in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.

Leon Houle, 37, pleaded guilty in January to witness tampering as charged in a superseding information.

Chief U.S. District Judge Brian M. Morris presided.

The government alleged in court documents that on March 17, 2019, by Houle’s command, Dakota Houle, Houle’s brother, shot the victim, identified as John Doe, in the back as the victim attempted to run from his would-be killers. The Houle brothers, along with two women, lured John Doe to a residence where they planned to rob him of methamphetamine and kill him. The Houle brothers beat John Doe with weapons when he arrived, robbed him at gunpoint, forced him to remove his shoes and told him they were taking him to the mountains to kill him. The brothers forced John Doe into his own car as pleaded for his life. Leon Houle drove the vehicle, with John Doe in the front passenger seat and Dakota Houle directly behind the victim in the rear passenger seat with a shotgun in his hand. When the vehicle slowed near a cattle guard, John Doe jumped out of the moving car and tried to run through the snow. The government further alleged that Leon Houle told Dakota Houle to “Shoot him!” Dakota Houle shot the victim in the back of the head. Believing John Doe was dead, the Houle brothers and others fled on foot. John Doe survived and suffered severe and permanent injuries. Leon Houle continues to deny involvement in the kidnapping and shooting of John Doe.

Leon Houle was indicted on five felony charges related to the shooting. While in custody on the charges, Leon Houle made statements to another person, identified as John Doe II, about the crimes and then contacted various individuals in an attempt to influence or prevent John Doe II’s testimony. The government further alleged that after pleading guilty in January, Leon Houle continued to threaten and harass witnesses by making threatening gestures, including throat-cutting and trigger-pulling gestures, to the witnesses.

Dakota Houle previously was sentenced to more than 14 years in prison for conviction on assault with intent to commit murder and other crimes in the case.

Assistant U.S. Attorneys Jared C. Cobell and Lori Harper Suek prosecuted the case, which was investigated by the FBI and Chippewa Cree Law Enforcement Services.

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MISSOULA — A Missoula man today admitted to drug trafficking and firearm crimes after law enforcement seized more than seven pounds of meth from his residence and vehicle, fentanyl and a handgun, U.S. Attorney Leif M. Johnson said.

Carlos Guatimea Aguirre, 35, pleaded guilty to possession with intent to distribute meth and fentanyl and to possession of a firearm in furtherance of a drug trafficking crime. Aguirre faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release on the drug crime and a mandatory minimum five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the firearm crime.

U.S. Magistrate Judge Kathleen L. DeSoto presided. A sentencing date was set for Aug. 24 before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Aguirre was released pending further proceedings.

In court documents, the government alleged that from about September 2020 until October 2021, Aguirre and a co-defendant, were trafficking meth and fentanyl. Law enforcement conducted a traffic stop of Aguirre to execute a search warrant on the car. Aguirre removed a pouch from his chest as he got out of the car and placed it inside the vehicle. A subsequent search determined that the pouch contained a Glock 9mm handgun. Law enforcement also located a quarter pound of meth that was packaged for sale inside the car. Officers also served a search warrant on  Aguirre’s residence and located 6.9 pounds of meth and fentanyl pills. Seven pounds of meth is the equivalent of about 25,368 doses. The investigation showed that Aguirre made 34 wire transfers from August 2019 to September 2021 to addresses in Billings; Fresno, California; Las Vegas, Nevada; and Albuquerque, New Mexico, totaling approximately $22,000, and that he traveled multiple times to Fresno and Sacramento, California, and to Spokane, Washington.

Assistant U.S. Attorney Jennifer S. Clark is prosecuting the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

 

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on May 5 was:

Shaydel Alissa Spang, 25, of Lame Deer, on charges of strangulation. If convicted of the most serious crime, Spang faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Spang was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-49.

Appearing on May 2 was:

William Paul Jefferson, 36, of Lodge Grass, on charges of conspiracy to possess with intent to distribute methamphetamine and possession with intent to distribute meth. If convicted of the most serious crime, Jefferson faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Jefferson was detained pending further proceedings. The Eastern Montana High Intensity Drug Trafficking Area Task Force investigated the case. PACER case reference. 22-42.

Charles Antonio Gray, 46, of Everett, Washington, on charges of conspiracy to possess with intent to distribute meth and possession with intent to distribute meth. If convicted of the most serious crime, Gray faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Gray was detained pending further proceedings. The Drug Enforcement Administration investigated the case. PACER case reference. 22-16.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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MISSOULA — A Kalispell woman suspected of operating a money mule business to collect money from various wire fraud schemes occurring in the United States and then sending the funds overseas in return for a commission appeared today for arraignment on conspiracy and money laundering charges, U.S. Attorney Leif M. Johnson said.

Theresa Anne Chabot, 57, pleaded not guilty to a 30-count indictment charging her with unlicensed money transmitting business, conspiracy to commit money laundering, 17 counts of money laundering-promotion and 11 counts of money laundering-spending. If convicted of the most serious crime, Chabot faces a maximum of 20 years in prison, a $500,000 fine and three years of supervised release.

U.S. Magistrate Judge Kathleen L. DeSoto presided. Judge DeSoto released Chabot pending further proceedings.

The indictment alleges that from about May 2016 until about February 2021, Chabot conspired with others and through her business, Avalanche Creek, LLC, an unregistered money transmitting business, to operate as a money mule related to various wire fraud schemes occurring in the United States. The wire fraud schemes included advance pay schemes, internet-enabled frauds, investment schemes, romance schemes, lottery and sweepstakes frauds and COVID-19 funding fraud. A money mule is a person who transfers illegally acquired money for other individuals. Money mules often receive a commission for providing their services.

The indictment further alleges that during the scheme, Chabot opened more than 50 bank accounts, collected the proceeds from the wire fraud schemes and then transmitted the money overseas. Banks closed numerous accounts after reviewing the activity, and at least 15 banks directly informed Chabot the accounts were being closed because of fraud, in violation of bank policies and other identified misuse. Despite repeated account closures, Chabot opened new bank accounts that enabled her to receive proceeds from fraud schemes with victims located in the United States. Chabot received a fee, which in many instances totaled approximately 10 percent of the fraudulent proceeds deposited into her bank accounts. Chabot would then forward the remaining funds overseas, including to Dubai, in the United Arab Emirates.

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

Assistant U.S. Attorney Ryan G. Weldon is prosecuting the case, which was investigated by the FBI and IRS Criminal Investigations.

PACER case reference. 22-18.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

 

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MISSOULA — A Belgrade woman on May 3 admitted to allegations that she embezzled what the government calculated to be more than $800,000 from her employer while working as an accountant and controller, U.S. Attorney Leif M. Johnson said today.

Renae Swanson, 59, pleaded guilty to wire fraud. Swanson faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.

U.S. Magistrate Judge Kathleen L. DeSoto presided. Sentencing was set for Aug. 23 before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Swanson was released pending further proceedings.

The government alleged in court documents that Swanson was an accountant and controller for Williams Plumbing & Heating. Swanson’s duties included uploading electronic payroll files to the bank for funding and processing payroll transactions to the company’s employees. From about December 2012 until May 2019, Swanson fraudulently altered that process, resulting in her increasing the amount of money she received from Williams Plumbing & Heating, none of which was authorized. The government calculated that Swanson embezzled approximately $805,013.

Assistant U.S. Attorney Ryan G. Weldon is prosecuting the case, which was investigated by the FBI.

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on April 28 was:

Nicholas James Real Bird, 28, of Billings, on charges of possession with intent to distribute methamphetamine and prohibited person in possession of a firearm. If convicted of the most serious crime, Real Bird faces a maximum of 20 years in prison, a $1 million fine and at least three years of supervised release. Real Bird was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-46.

Appearing on April 27 was:

Cole Michael Graves, 22, of Billings, on charges of prohibited person in possession of a firearm and receipt of a firearm while under indictment. If convicted of the most serious crime, Graves faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Graves was released pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-41.

Appearing on April 26 was:

Nathaniel Jay Reed, 35, of Hardin, on charges of failure to register as a sex offender. If convicted of the most serious crime, Reed faces a maximum of 10 years in prison, a $250,000 fine and at least five years of supervised release. Reed was detained pending further proceedings. The U.S. Marshals Service investigated the case. PACER case reference. 22-47.

Daniel Thomas Whitby, 36, of Billings, on charges of prohibited person in possession of a firearm and ammunition. If convicted of the most serious crime, Whitby faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Whitby was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-50.

Makyla Shayd Fetter, 27, of Harlem, and Taliah Jeneane Ramirez, 22, of Billings, on charges of robbery affecting commerce, possession of firearm during a crime of violence and possession of a firearm in a school zone. If convicted of the most serious crime, Fetter and Ramirez face a maximum of 20 years in prison, a $250,000 fine and three years of supervised release on the robbery charge and a mandatory minimum 10 years to life in prison, consecutive to any other crime, on the charge of possessing a firearm during a crime of violence. Fetter and Ramirez were detained pending further proceedings. The FBI investigated the case.  PACER case reference. 22-40.

Keaton Trey Souza, 20, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Souza faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Souza was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-48.

Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on April 26 was:

Marco Antonio Cruz-Soriano, 38, of Honduras, on charges of illegal reentry of removed alien. If convicted of the most serious crime Cruz-Soriano faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. The U.S. Border Patrol and Toole County Sheriff’s Office investigated the case. PACER case reference. 22-26.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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BILLINGS  — A Lodge Grass man who admitted to dealing methamphetamine from his home on the Crow Indian Reservation after individuals confirmed to Drug Enforcement Administration agents that he had been trafficking meth for a number of years was sentenced today to five years in prison, to be followed by five years of supervised release, U.S. Attorney Leif M. Johnson said.

Robert Roswald Redfield, 48, pleaded guilty in September 2021 to conspiracy to possess with intent to distribute meth.

U.S. District Judge Susan P. Watters presided. Judge Watters also ordered the forfeiture of approximately 146 firearms and about $30,000 in cash seized from Redfield’s residence.

In court documents, the government alleged that in February 2020, law enforcement with Big Horn County, with assistance of the Bureau of Indian Affairs, had information that a state escapee from the Three Rivers detention facility in Hardin was hiding out in the home of Redfield and co-defendant Krystal Firebear. Officers did not find the fugitive, but saw in plain view drugs, money and guns. After obtaining a tribal search warrant, officers seized more than 90 firearms, eight grams of meth and more than $30,000 in cash. DEA agents interviewed a number of individuals who confirmed that Redfield was a meth distributor and had been for a number of years. While executing another search warrant at Redfield’s residence about a year later, agents seized about 15 grams of meth and 56 guns. Previously, Firebear was sentenced to probation for conviction in the case of being an unlawful drug user in possession of a firearm.

Assistant U.S. Attorney Lori Harper Suek prosecuted the case, which was investigated by the DEA and the Bureau of Alcohol, Tobacco, Firearms and Explosives.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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MISSOULA  — A Missoula nurse who admitted to diverting fentanyl and hydromorphone from Community Medical Center for her own use was sentenced today to two years of probation and fined $2,000, U.S. Attorney Leif M. Johnson said.

Mary Schmidt Monahan, 61, pleaded guilty in January to unlawfully obtaining controlled substances by fraud, deception, and subterfuge.

U.S. District Judge Dana L. Christensen presided.

In court documents, the government alleged that from July 2020 until about February 2021, Monahan, who is a nurse at Community Medical Center in Missoula, diverted fentanyl and hydromorphone. In January 2021, a coworker noticed Monahan acting suspiciously and observed Monahan with her back to a patient filling syringes with two drug vials. Monahan put something in her jacket pocket, pulled up her right arm sleeve to her elbow, stepped into the corner of the curtain, then returned and wiped her arm with an alcohol pad and raised it for about a minute. Shortly afterward, Monahan asked the coworker to witness her disposal of the medications Dilaudid and fentanyl. In February 2021, another coworker saw Monahan doing something with her hands before placing a vial into her scrub’s pocket. The coworker noted that Monahan was acting in an anxious manner and reported the incident. Monahan’s supervisors confronted her, and she admitted to stealing narcotics and using them. A search of Monahan’s bag revealed unmarked syringes, some of which were used, and some contained liquid, and wrappers from used alcohol swabs. Monahan provided a urine sample, which tested positive for fentanyl.

Assistant U.S. Attorney Karla E. Painter prosecuted the case, which was investigated by the Drug Enforcement Administration with assistance from the Missoula Police Department.

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MISSOULA  — A Missoula man who admitted to illegally possessing firearms after law enforcement recovered a high-capacity AR-15 rifle and ammunition from his vehicle and nine other firearms and a pipe bomb from his residence was sentenced today to 46 months in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.

Paul Joseph Richter, 58, pleaded guilty in February to prohibited person in possession of firearms and ammunition.

U.S. District Judge Donald W. Molloy presided.

In court documents, the government alleged that in November 2021, the Bureau of Alcohol, Tobacco, Firearms and Explosives in Missoula received an anonymous tip that Richter was a felon in possession of firearms. Richter had a federal felony conviction in Montana for felon in possession of a firearm. Agents saw Richter carry what appeared to be a rifle into his residence and then later leave and drive to the Veteran’s Administration clinic. While Richter was in the clinic, agents looked in the windows of Richter’s vehicle and saw an AR-type rifle on the front passenger floorboard. Agents detained Richter when he left the clinic. Richter told agents he had eight guns and approximately 5,000 rounds of ammunition at his residence. Richter also said he had recently completed federal supervision and didn’t believe in the idea his firearm rights should be taken away. He told agents that he thought he would never “get called on it again. Any normal person would be done but not me.”

Agents executed search warrants on Richter’s residence and vehicle and recovered an AR-15 rifle in close proximity to three magazines that were capable of holding more than 15 rounds for the gun, 25 rounds of .223 ammunition and other ammunition from the vehicle.  From Richter’s residence, agents recovered nine firearms, assorted ammunition, a suspected PVC pipe bomb and a suspected smoke grenade.

Assistant U.S. Attorney Jennifer S. Clark prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

        

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BILLINGS – The U.S. Attorney’s Office for the District of Montana joins the Drug Enforcement Administration in support of the National Prescription Drug Take Back Day on Saturday, April 30. The biannual event will be from 10 a.m. to 2 p.m. at sites across Montana. The event is an effort to rid homes of potentially dangerous, expired, unused and unwanted prescription drugs.

This initiative addresses a vital public safety and public health issue. Medicines that languish in homes are highly susceptible to diversion, misuse and abuse. Rates of prescription drug abuse in the United States are alarmingly high, as are the number of accidental poisonings and overdoses from these drugs.

“A majority of people who abuse prescription medications get them from family, friends or the medicine cabinet. The DEA’s Take Back Day is an important step to help reduce the epidemic of opioid deaths, overdoses and addiction by getting rid of unneeded and expired prescriptions. I encourage Montanans to help protect their families, friends and community by dropping off unused prescription drugs at collection sites across the state,” U.S. Attorney Leif M. Johnson said.

“We are facing a drug overdose epidemic that reaches every corner of America.  Prescription medications often end up in the wrong hands, fueling an epidemic that kills more Americans than car accidents,” said DEA Montana Resident Agent in Charge Stacy Zinn-Brittain. “The power to make a difference starts at home, beginning with disposing of the unused, unwanted or expired medications that people keep in their homes.”

More than 30 sheriff’s offices, police departments and federal agencies across Montana are participating in Take Back Day. Information about collection sites and more information about event is available here: https://takebackday.dea.gov/

During the last Take Back Day held on Oct. 23, 2021, 4,276 law enforcement participants at 4,982 collection sites brought in a total weight of 744,082 pounds, or 372 tons, of drugs. This brings the total weight collected to 15.2 million pounds, or more than 7,634 tons, of prescription drugs collected in the history of the program. Collection results may include materials other than prescription drugs.

During the Oct. 23, 2021 event, Montanans turned in 2,352 pounds of prescription drugs at 42 collection sites. Forty-one law enforcement agencies participated.

In addition to DEA’s National Drug Take Back Day on April 30, prescription drugs can be disposed of any day throughout the year at any of the 11,000 authorized collectors. For more information on collection sites, visit: https://apps2.deadiversion.usdoj.gov/pubdispsearch/spring/main?execution=e1s1

For more information about the disposal of prescription drugs or about the April 30 Take Back Day event, go to www.DEATakeBack.com.

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MISSOULA  — A Columbia Falls man suspected of robbing a Columbia Falls pharmacy of drugs at gunpoint appeared in court today for an initial appearance on a criminal complaint, U.S. Attorney Leif M. Johnson said.

The criminal complaint accuses Grant Alan West, 37, with a Hobbs Act robbery. If convicted of the most serious crime, West faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.

A criminal complaint is only an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.

U.S. Magistrate Judge Kathleen L. DeSoto presided. West was detained pending further proceedings. 

Court documents allege that on April 13, Columbia Falls Police Department officers responded to a report of an armed robbery at the Logan Health Pharmacy inside the Super 1 Grocery Store. Three victims reported that shortly before closing for the day, a man wearing a beanie, sunglasses and a mask entered the pharmacy, brandished a handgun and said, “Percocet 10.” One of the victims grabbed a bottle of Percocet and put it in a tote bag the man carried. The three victims went into a bathroom and the man directed them to wait several minutes before they came out. When they came out of the bathroom, the victims called police and reported the robbery. An investigation led to West as the suspect, and he was arrested later that night.

Assistant U.S. Attorney Tara J. Elliott is prosecuting the case, which was investigated by the FBI and Columbia Falls Police Department.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

PACER case reference. 22-34.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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MISSOULA  — A Belgrade man who admitted to trafficking methamphetamine with others in the community after investigators found nearly a half-pound of the drug during a vehicle stop was sentenced today to 54 months in prison, to be followed by five years of supervised release, U.S. Attorney Leif M. Johnson said.

Max Dudley Stilson, 57, pleaded guilty in September 2021 to possession with intent to distribute meth.

U.S. District Judge Dana L. Christensen presided.

In court documents, the government alleged that during an investigation of Stilson for distributing meth by the Missouri River Drug Task Force, an individual purchased a total of one and one-half ounces of meth from Stilson on two occasions. On the second buy, Stilson said he was going to meet another person to get more drugs. Investigators observed Stilson meet with co-defendant Arthur Kane. In addition, in November 2020, task force officers learned Stilson was traveling to Billings with a large amount of meth. A Montana Highway Patrol trooper stopped Stilson’s vehicle and investigators found almost a half- pound of meth. The vehicle was registered to another co-defendant Jared Williams. Another witness told investigators that he had purchased ounce quantities totaling one pound of meth over a four-month period from Stilson. Stilson admitted that he and Williams worked together to distribute drugs. Williams was sentenced to eight years in prison for conviction in the case, while Kane was sentenced to five years and a fourth co-defendant, Marty McDonald, was sentenced to four years in prison for conviction in the case.

Assistant U.S. Attorney Jennifer S. Clark prosecuted the case, which was investigated by the Missouri River Drug Task Force and the Montana Highway Patrol.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on April 20 was:

Adam Alexander Williams, 33, of Auburn, Washington, on charges of interference with flight crew members and attendants. If convicted of the most serious crime, Williams faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release. Williams was released pending further proceedings. The FBI investigated the case. PACER case reference. 22-33.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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BILLINGS  — A Virginia equipment company owner who admitted to defrauding Signal Peak Energy, LLC, which operates a coal mine near Roundup, of nearly $250,000 in an equipment purchase scheme was sentenced today to four years of probation, fined $50,000 and ordered to pay restitution, U.S. Attorney Leif M. Johnson said.

Robert Wayne Ramsey, 56, of Bluefield, Virginia, pleaded guilty in November 2021 to wire fraud.

U.S. District Judge Susan P. Watters presided. Judge Watters ordered Ramsey to pay $246,268 restitution.

In court documents filed in the case, the government alleged that in March 2017, Larry J. Price, Signal Peak’s former vice president of surface operations, also owned Three Solutions, LLC. It was generally known that Signal Peak purchased significant materials through Three Solutions. Ramsey’s company, Peters Equipment Company (PEC), was doing work at Signal Peak and bidding on additional jobs. Ramsey understood that Price had the final say in awarding many of the Signal Peak jobs.

The government further alleged that in March 2017, Price asked Ramsey for help with a business transaction for Signal Peak. Price told Ramsey that Signal Peak needed to purchase equipment manufactured by a third-party distributor with whom Signal Peak’s upper management was unwilling to do business because of a dispute. Price asked if Ramsey, through PEC, would buy the equipment and sell it to Signal Peak in return for a $250,000 markup.

Price later told Ramsey that PEC should not buy the equipment and instead pay Price’s company, Three Solutions, for the price of the equipment while billing Signal Peak for the amount, plus the markup. Ramsey knew Price was using PEC as an intermediary to disguise the source of the equipment. Ramsey understood that he was deceiving certain Signal Peak managers about the source of the equipment and that the managers did not know PEC was being paid an additional $246,134 to serve as an intermediary. Ramsey also knew that Signal Peak would pay $246,134 more for the equipment as a result of making the purchase through PEC.

Price was sentenced in October 2020 to five years in prison for conviction on multiple crimes stemming from a broad corruption investigation into mine management and operations.

Assistant U.S. Attorneys Colin M. Rubich, Zeno B. Baucus and Timothy Tatarka prosecuted the case, which was investigated by the FBI, IRS and Environmental Protection Agency.

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BILLINGS — A Billings man suspected of breaking into the Drug Enforcement Administration’s garage and entering his impounded vehicle from which agents had seized approximately 10 pounds of methamphetamine admitted to a trafficking crime today, U.S. Attorney Leif M. Johnson said.

Anthony Jacob Johnson, 43, pleaded guilty to possession with intent to distribute meth. Johnson faces a mandatory minimum of 10 years to life in prison, a $10 million fine and at least five years of supervised release.

U.S. Magistrate Judge Timothy J. Cavan presided. A sentencing date will be set before  U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Johnson was detained pending further proceedings.

The government alleged in court documents that in January 2021, Montana Division of Criminal Investigation agents began investigating co-defendant, Stacie Thein, for meth distribution. Thein has pleaded not guilty to charges. The investigation led to Johnson as Thein’s source. Agents determined that Johnson traveled to Colorado in March and again in April 2021. Upon Johnson’s return to Montana, a Montana Highway Patrol trooper conducted a traffic stop of Johnson’s vehicle. A search warrant was served on the vehicle, and agents located 10 vacuumed sealed bricks of meth. The bricks totaled approximately 10.39 pounds of meth, which is the equivalent of about 37,653 doses. The next day, the DEA discovered a large hole in a garage door at its facility. Evidence showed that Johnson had gone to the facility the night before, cut a large hole in the garage and entered his seized vehicle while it was in DEA’s custody. Johnson admitted to agents that he was distributing large amounts of meth he obtained from a source in Denver, Colorado.

Assistant U.S. Attorney Julie R. Patten is prosecuting the case, which was investigated by the DEA and Montana Division of Criminal Investigation.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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MISSOULA  — A Flathead Valley construction company owner who admitted to defrauding numerous customers was sentenced today to 70 months in prison, to be followed by three years of supervised release, and was ordered to pay $543,859 restitution, U.S. Attorney Leif M. Johnson said.

Craig Mark Draper, 55, of Las Vegas, Nevada, pleaded guilty in December 2021 to wire fraud.

U.S. District Judge Donald W. Molloy presided. Judge Molloy ordered Draper remanded to the custody of the U.S. Marshal’s Service. In addition, Judge Molloy dismissed nine other wire fraud counts and two money laundering counts under the terms of a plea agreement reached by the parties.

The government alleged in court documents that Draper took money from customers for construction materials and failed to obtain the materials and complete the projects. The case involved 25 victims, including customers, vendors and former employees, some of whom suffered significant financial hardships as a result of Draper’s actions.

The government alleged that Draper moved to the Flathead Valley in 2017 and formed a company called ADI Builders. Draper started bidding on a variety of jobs, including the construction of pole barns, shops and residential remodels.

In several instances, Draper provided invoices to customers for specific expenses associated with their projects. Draper admitted that he sent an invoice to a customer for $59,002, which included $8,000 in charges for siding. The customer wired $59,002 to Draper. The customer never received siding from Draper and eventually paid the vendor directly for the siding included in Draper’s invoice. Draper used some of the wired money for personal expenses unrelated to the customer’s project, including paying a company in Iowa for trophies for the winners of car races, paying an outfitter in Utah, making cash withdrawals and paying $9,500 to the Salish and Kootenai Tribes to lease their racetrack.

Assistant U.S. Attorney Timothy J. Racicot prosecuted the case, which was investigated by the FBI.

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The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on April 12 was:

Jasper Ryan Rattler, 19, of Browning, on charges of assault resulting in substantial bodily injury. If convicted of the most serious crime, Rattler faces a maximum of five years in prison, a $250,000 fine and three years of supervised release. Rattler was detained pending further proceedings. The FBI and Blackfeet Law Enforcement Services investigated the case. PACER case reference. 22-4.

Michael Lee Roope, 42, of Helena, on charges of prohibited person in possession of a firearm and ammunition. If convicted of the most serious crime, Roope faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Roope was detained pending further proceedings. The Lewis and Clark County Sheriff’s Office, Montana Probation and Parole and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-2.

Romeiro Mased Williams, aka Rico, 30, of Detroit, Michigan, on charges of conspiracy to possess with intent to distribute controlled substances and possession with intent to distribute controlled substances. If convicted of the most serious crime, Williams faces a maximum of 20 years in prison, a $1 million fine and three years of supervised release. Williams was released pending further proceedings. The FBI, Tri-Agency Task Force, Russell Country High Intensity Drug Trafficking Area Task Force and Bureau of Indian Affairs investigated the case. PACER case reference. 21-72.

Megan Kaszha Yellow Owl, 32, of Lodge Grass, on charges of arson. If convicted of the most serious crime, Yellow Owl faces a maximum of life in prison, a $250,000 fine and five years of supervised release. Yellow Owl was released pending further proceedings. The FBI investigated the case. PACER case reference. 22-14.

Lyndon Blaine Walsh, 54, of Kalispell, on charges of possession of unregistered firearm silencer and felon in possession of a firearm. If convicted of the most serious crime, Walsh faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Walsh was released pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Fort Belknap Law Enforcement investigated the case. PACER case reference. 22-18.

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on April 14 was:

Calob Scott Fairburn, 35, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Fairburn faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Fairburn was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-30.

Christopher James Ortiz, 30, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Ortiz faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Ortiz was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-32.

Baily Kathleen Lind, 28, a transient, on charges of bank fraud and aggravated identity theft. If convicted of the most serious crime, Lind faces a maximum of 30 years in prison, a $250,000 fine and five years of supervised release on the bank fraud crime and a mandatory minimum two years in prison, consecutive to any other punishment, a $250,000 fine and one year of supervised release on the aggravated identity theft crime. Lind was detained pending further proceedings. Homeland Security Investigations and the Billings Police Department investigated the case. PACER case reference. 22-31.

The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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GREAT FALLS  — A Great Falls man who admitted to distributing methamphetamine in the community was sentenced today to four years in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.

Mark Edwin Abresch, 63, pleaded guilty in October 2021 to possession with intent to distribute meth.

Chief U.S. District Judge Brian M. Morris presided.

In court documents, the government alleged that Abresch distributed meth in the Great Falls community between September 2020 and April 2021. In a two-week period from the end of March to the beginning of April 2021, Abresch distributed more than 89 grams of meth in four controlled buys.

Assistant U.S. Attorneys Jessica A. Betley and Kalah A. Paisley prosecuted the case, which was investigated by the FBI and Great Falls Police Department.

This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.

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BILLINGS  — A Shepherd man who owns the Feedlot Steakhouse in Shepherd was sentenced today to three years of probation, ordered to pay restitution and forfeited vintage vehicles he admitted to buying with approximately $75,000 in a COVID-19 relief loan from the Small Business Administration (SBA) instead of using the money to help his business,  U.S. Attorney Leif M. Johnson said.

Michael Eugene Bolte, 70, pleaded guilty in November 2021 to theft of government money, property or records, a misdemeanor, as charged in a superseding information.

U.S. District Judge Susan P. Watters presided. Judge Watters ordered $76,989 restitution to the SBA. In addition, the government previously seized and Bolte forfeited four vintage automobiles purchased with the funds: a 1916 Studebaker, a 1929 Franklin, a 1939 Ford Deluxe, and a 1941 Ford Super Deluxe.

The government alleged in court documents that on April 1, 2020, Bolte applied to the SBA for a business loan under the Economic Injury Disaster Loan (EIDL) program, authorized by the Coronavirus Aid, Relief and Economic Security Act. On May 24, 2020, Bolte signed a loan agreement for $74,800 and expressly acknowledged the EIDL loan would be used solely as working capital for his business. Bolte’s intent at the time of signing for the loan was to buy vintage automobiles as an investment, and not as working capital for his business. Eleven days after receiving the loan, Bolte wrote a check for $75,000 for the purchase of four vintage vehicles. The SBA would not have approved or funded Bolte’s loan had it known Bolte’s intended and actual use of the funds.

Assistant U.S. Attorney Michael A. Kakuk prosecuted the case, which was investigated by the IRS Criminal Investigation, with assistance from the SBA Office of Inspector General and the U.S. Attorney’s Office.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form

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MISSOULA — A Philipsburg woman accused of lying about her living arrangements and assets in order to receive more Social Security Administration (SSA) benefits and other federal aid than she was entitled to receive admitted to charges today, U.S. Attorney Leif M. Johnson said.

Virginia Kathleen Pearson, 56, pleaded guilty to false statements to a government agency as charged in an indictment. Pearson faces a maximum of five years in prison, a $250,000 fine and three years of supervised release.

A plea agreement reached in the case calls for the government to seek dismissal of remaining counts of health care fraud, theft of government money and Social Security fraud at sentencing if the court accepts the agreement. Pearson also agrees to be responsible for full restitution of approximately $142,542.

U.S. Magistrate Judge Kathleen L. DeSoto presided. A sentencing date was set for Sept. 1 before U.S. District Judge Donald W. Molloy. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other sentencing factors. Pearson was released on conditions pending further proceedings.

The government alleged in court documents that in 2006, Pearson applied for Social Security Income (SSI) from the SSA and was approved for benefits in 2008. For an initial assessment, Pearson reported that her husband lived with her in Philipsburg, and she started receiving SSA payments in a reduced amount because of her husband’s income. In September 2008, Pearson reported that her husband had left her household. SSA recalculated Pearson’s SSI and she began receiving substantially larger payments. From November 2008 until about December 2020, Pearson received Cost of Living Adjustment letters notifying her that her payments would increase and of her obligation to report changes to her household composition and income. Pearson also began receiving Supplemental Nutrition Assistance Program funds and Medicaid based on her representations that her husband did not live with her or provide her with financial assistance.

The government further alleged that in August 2019, Pearson’s husband applied for Social Security retirement benefits, reported he was married to Pearson and lived at the same residence with her since 2000. An investigation found that Pearson said she lived alone, paid a monthly rent and signed a form stating that her husband lived at an address in Anaconda. The investigation found that Pearson and her husband jointly owned the Philipsburg residence, and that rent should not have been deducted from Pearson’s resources. Pearson also did not disclose additional bank accounts and vehicles in her and her husband’s name and possession.

Pearson initially denied her husband lived at her house but later admitted he stayed there about 50 percent of the time. Pearson also admitted she knew she had to report changes in her household to SSA. Pearson’s misrepresentations resulted in an overpayment of SSI in the amount of $101,136, SNAP funds totaling $23,203 and Medicaid reimbursement of $18,203.

Assistant U.S. Attorney Karla E. Painter is prosecuting the case, which was investigated by the Social Security Administration Office of the Inspector General and Montana Department of Public Health and Human Services.

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