Western District of North Carolina

CHARLOTTE, N.C. – U.S. Attorney Dena J. King announced today that her Office partnered with Charlotte-Mecklenburg Schools (CMS) to host a youth engagement summit for high school students, as part of the U.S. Attorney’s Office “United Against Hate” (UAH) initiative.

Approximately 150 students selected from Charlotte-Mecklenburg high schools attended the summit, which was held at Queens University Sports Complex and Conference Center. The goal of the summit was to provide instruction and information to students on identifying, reporting, and preventing hate crimes and other civil rights violations; encourage students to share their experiences and exchange ideas on how to promote a positive environment within their schools; and help students develop solutions for building inclusive and equitable schools for everyone. 

“Today, we empowered our students to think as future leaders in our communities. We challenged them to understand their role as agents for change. And we dared them to dream of building a society where hate has no place. I call upon all students to find their voice and speak out against hate wherever they see it – even when it’s not directed at them. I also urge students to reject hate and to join me in making inclusion and equality our common goal and our shared responsibility.”                                           

Dena J. King, United States Attorney

Over the course of the program, students were presented information by Alex Pyun, with Mecklenburg County Community Support Services; Haeley Robinson with Time Out Youth; John Coucelman with CMS; and Daniel Cervantes with the U.S. Attorney’s Office.

During the program’s interactive group sessions, students discussed their concerns about their schools’ current culture and brainstormed on ways to help support each other and their classmates in creating a better school experience. Students were also challenged to think about how they can best utilize the information they acquired to develop action plans to address the needs of their schools. 

Today’s summit was part of a series of planned outreach and educational events conducted by the U.S. Attorney’s Office as part of the Justice Department’s UAH initiative, a nationwide program created to combat the rise in unlawful acts of hate.

On May 27, 2021, U.S. Attorney General Merrick B. Garland issued a memorandum on improving the Justice Department’s efforts to combat unlawful acts of hate, and emphasized the need to actively engage in outreach and educational efforts centered around hate crimes.

In the Western District of North Carolina, the UAH initiative comprises a series of events focusing on community groups at risk of being targeted in hate crimes and incidents of hate. The goal is to give participants an opportunity to directly connect with federal prosecutors and law enforcement to increase community understanding of hate crimes and hate incidents; provide a mechanism for reporting potential hate crimes and civil rights violations; build trust between law enforcement and communities; and create and strengthen alliances with government partners and community groups to combat unlawful acts of hate.

In making today’s announcement, U.S. Attorney King thanked Queens University for hosting the summit and giving the students an opportunity to gather, and Pivotal Health Solutions for providing mental health resources for the students. U.S. Attorney King also thanked Charlotte-Mecklenburg Schools, Time Out Youth, and Mecklenburg County Community Support Services for their participation and support of this important initiative.

In the coming months, the U.S. Attorney’s Office will hold additional UAH events to engage with more communities throughout the Western District of North Carolina.

CHARLOTTE, N.C. – A federal jury has found a Charlotte business owner guilty of conspiracy, international transportation of stolen goods, and money laundering, for selling stolen and fraudulently obtained Apple iPhones (iPhones) and other electronic devices to overseas buyers, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Max O. Cogburn Jr. presided over the trial which ended late yesterday.

Jason Byrne, Special Agent in Charge of the United States Secret Service (USSS), Charlotte Field Office, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.

According to court documents, trial evidence, and witness testimony, Rami Mahmod Mhana, 46, was the owner of Wireless City Fashions, Inc. (Wireless City) and Protocol Business Group Inc. (Protocol), located at 441 Bradford Drive in Charlotte, as well as multiple Boost mobile stores in the Charlotte area. From at least May 2017 through October 2019, Mhana purchased thousands of brand new, current generation iPhones and other electronic devices, many of which were stolen and fraudulently obtained. Mhana then shipped the new iPhones to the United Arab Emirates (the U.A.E.) and the Hong Kong Special Administrative Region of the People’s Republic of China (Hong Kong).

Trial evidence established that Mhana obtained a significant portion of the stolen and fraudulently obtained devices from multiple local “boosters.” A booster is a person who steals or obtains through fraud goods and products and sells them for profit.  According to evidence presented at trial, Mhana’s store on Bradford Drive was known to local boosters as a place they could sell stolen devices for cash with no questions asked. Evidence at trial further established that Mhana provided his employees with a  pricelist of how much they should pay for certain new model iPhones and other electronic devices. Mhana would pay boosters significantly less than retail value of the devices. Over the course of the scheme, Mhana received more than $4.5 million in international wires from buyers of the devices in Dubai and Hong Kong.

Following the guilty verdict, Mhana was released on electronic monitoring. At sentencing, he faces a maximum statutory penalty of five years in prison and a fine of $250,000 for the conspiracy charge; up to 10 years in  prison and a $250,000 fine for each count of international transportation of stolen goods; and a maximum of 20 years in prison and a fine for each money laundering conviction.

This case was the result of the investigative efforts of CMPD and the Secret Service, which have established a fully integrated partnership to combat the most significant organized criminal groups operating in Charlotte. Through this partnership, this unit has successfully leveraged local and federal resources, personnel, expertise and authorities to identify and combat the criminals and criminal organizations that have the largest negative impact on the community.

Assistant U.S. Attorneys Michael E. Savage and William Bozin of the U.S. Attorney’s Office in Charlotte are prosecuting the case.

 

CHARLOTTE, N.C. – U.S. Attorney Dena J. King announced today that new positions for Assistant U.S. Attorneys and support personnel have been allocated to the U.S. Attorney’s Office for the Western District of North Carolina, to advance the Office’s work in promoting public safety, Department of Justice initiatives, and community engagement.

Districts were asked to submit requests for additional prosecutors and support personnel in areas they deemed needed additional resources. The funding for the new positions was provided by the FY2023 Consolidated Appropriations Act. The U.S. Attorney’s Office requested and received seven new positions to be allocated as follows:

• An Assistant U.S. Attorney dedicated to Civil-Civil Rights enforcement.
• An Assistant U.S. Attorney to support Indian Country cases.
• An Assistant U.S. Attorney and a support staff to focus on investigating and prosecuting Violent Crime/Domestic Terrorism cases.
• An Assistant U.S. Attorney and a Litigation Support Technologist dedicated to supporting the Justice Department’s work on E-litigation.
• An Investigative Specialist to support the investigation and prosecution of white collar crimes.

In making today’s announcement U.S. Attorney King said, “I am thankful my Office was allocated the additional resources. The much-needed prosecutor and support personnel positions will be used to address public safety challenges, implement solutions, and advance our engagement efforts in communities across the Western District and in Indian Country.”

Those interested in applying for one of the positions in the near future can do so through https://www.justice.gov/usao-wdnc/careers or through www.usajobs.gov.

A federal grand jury in Charlotte, North Carolina, returned an indictment today charging a man with filing false individual tax returns and attempting to obstruct an IRS audit and criminal investigation.   

According to the indictment, Vondie Brunty owned and operated West Star Management Inc. (WSM), a company that, from 2005 to April 2015, co-owned a coal brokerage business through which WSM received income on behalf of Brunty. Brunty allegedly caused WSM to surrender its ownership of the coal brokerage in approximately April 2015, but he allegedly continued to earn income through WSM by, among other things, hauling coal for the coal brokerage and selling timber rights to a lumber business.

The indictment alleges that, despite earning income, Brunty did not file personal tax returns for 2011 through 2013. During an IRS audit of the unfiled returns, Brunty allegedly made multiple false and misleading statements and did so again during an interview with IRS criminal investigators. The indictment further charges that, after learning of the criminal investigation, Brunty late-filed a 2014 tax return in January 2021 and a 2015 tax return in August 2021, both of which allegedly underreported his income.

Brunty faces a maximum penalty of three years in prison for obstructing the IRS and for each false return count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Dena J. King for the Western District of North Carolina made the announcement.

IRS-Criminal Investigation is investigating the case.

Trial Attorneys Ashley Stein and Alexander Effendi of the Justice Department’s Tax Division and Assistant U.S. Attorney Caryn Finley of the Western District of North Carolina are prosecuting the case.

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

CHARLOTTE, N.C. – In observance of National Police Week, the U.S. Attorney’s Office for the Western District of North Carolina recognizes the service and sacrifice of federal, state, local, and Tribal law enforcement and pays tribute to the officers who have fallen in the line of duty.

In 1962, President John F. 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 falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty.

“During National Police Week, we honor and remember the law enforcement officers who sacrificed their lives in the line of duty,” said U.S. Attorney Dena J. King. “We remember their bravery, their service, and their willingness to put themselves at harm’s way to protect the lives of others. We also pledge our support to our federal, state, local and Tribal law enforcement officers for their dedication and for serving our communities with honor, dignity, and excellence.”

This year, the names of 556 law enforcement officers killed in the line of duty were added to the National Law Enforcement Officers Memorial (NLEOMF) in Washington D.C., to include Master Trooper John Sumter Horton with the North Carolina Highway Patrol of Western North Carolina, who died on January 3, 2022. An additional 332 officers added to the Memorial died earlier in history but their names and stories of sacrifice had not been previously documented. There are currently 23,785 names engraved on the Memorial, representing law enforcement officers from all 50 states, the District of Columbia, territories, federal law enforcement, and military police agencies.

The names of the fallen officers added to the Memorial this year will be read on Saturday, May 13, 2023, at the 35th Annual Candlelight Vigil in Washington, D.C., starting at 8:00 p.m. EST. The Candlelight Vigil will be livestreamed on the NLEOMF YouTube channel at https://www.youtube.com/TheNLEOMF. The schedule of National Police Week events is available on NLEOMF’s website.

 

ASHEVILLE, N.C. – U.S. Attorney Dena J. King announced the winners of the 7th Annual “Do the Write 

Thing” (DtWT) writing challenge, during an award ceremony held this evening in Asheville. U.S. Attorney King serves as Chair of the DtWT Committee in Asheville.

The Do the Write Thing challenge is a program of the National Campaign to Stop Violence, which seeks to encourage middle school students to express the impact of violence in their lives through writing, and to empower students to become catalysts for positive change by sharing their ideas on ways to reduce youth violence. 

“The written word is a powerful medium for expression,” said U.S. Attorney King. “The Do the Write Thing essay challenge gives students an opportunity to use their writing skills to share their experiences, explore their thoughts and emotions, and convey the impact of violence in their young lives. It also encourages students to find solutions and ways they can help reduce violence in their communities. I congratulate the winners of the challenge, the finalists, and all the students who participated in the competition this year, and I extend a sincere thank you to the parents, guardians, teachers, and school administrators for supporting and encouraging students to express themselves through their essays.”

A total of 362 essays written by middle school students attending Asheville Middle School and Buncombe County Schools were submitted for consideration. Of the finalists recognized at this evening’s ceremony, Ace Wilkins, an 8th grader with Asheville Middle School, and Hannah-Grace Tweedie, an 8th grader with Cane Creek Middle School, were announced as this year’s overall contest winners and were designated as National DtWT Ambassadors. As National Ambassadors, Ace and Hannah-Grace, their parents/guardians and the teachers who submitted their essays will be invited to participate in the “Do the Write Thing Challenge National Recognition Week” in Washington, D.C. During this all-expense-paid trip, Ace and Hannah-Grace will have an opportunity to visit national monuments and have their works placed in the Library of Congress. 

During this evening’s ceremony, U.S. Attorney King recognized the Asheville Police Department, the Buncombe County Sheriff’s Office, the City of Asheville Fire Department, the Asheville Housing Authority, Our VOICE, SPARC Foundation, and United Way of Asheville and Buncombe County for partnering with the U.S. Attorney’s Office to form the DtWT committee. U.S. Attorney King also recognized the teachers, school administrators, counselors, parents, guardians, and caregivers for their dedication to this important endeavor, and thanked them for supporting the students’ efforts.

“My Office and the Justice Department are committed to implementing strategies to prevent and reduce crime in our communities. Engaging our schools and the community as critical partners is an important component to our overall success,” said U.S. Attorney King. “I am looking forward to our continued partnership with Buncombe County Schools and Asheville City Schools and I value their commitment to fostering a positive environment that helps students realize their full potential.”

U.S. Attorney King also participated in Monday’s Do the Write Thing ceremony in Charlotte, during which Aaliyah Williams-Camp from Eastway Middle School and Michael Tadi from Coulwood STEM Academy were announced as the winners of the essay competition in Charlotte.

For more information on the National “Do the Write Thing Challenge” program please visit http://www.dtwt.org.

CHARLOTTE, N.C. – The U.S. Attorney’s Office joined the Department of Justice, partners across the

federal government, and people throughout American Indian and Alaska Native communities, in recognizing May 5, 2023 as National Missing or Murdered Indigenous Persons Awareness Day (MMIP).

“Today, we honor and remember Native Americans who have fallen victims to violence or remain missing and pledge our commitment to their loved ones to solve missing or murdered Indigenous persons cases,” said U.S. Attorney Dena J. King. “We will also continue to work with our Tribal partners to increase public safety in Tribal communities and address the underlying causes of violence that disproportionately harm Native American women and children.”

The Department of Justice’s work to respond to the MMIP crisis is a whole-of-department effort that takes many forms. One year ago today, Deputy Attorney General Lisa Monaco joined Secretary of the Interior Deb Haaland to launch the Not Invisible Act Commission, a joint Commission established by the Not Invisible Act with an essential mission — to reduce violence against American Indians and Alaska Natives. In February, they welcomed the first in-person plenary meeting of the Not Invisible Act Commission.  Since then, the department’s representatives on the Commission—who are department leaders and subject matter experts—have participated in the Commission’s field hearings, which will continue through the summer. Later this year, the Commission will deliver recommendations for addressing the MMIP crisis to the Attorney General and the Secretary. In addition to supporting the Not Invisible Act Commission, the department remains steadfast in its commitment to addressing the MMIP crisis.

“The Justice Department is marshalling the full strength of its resources to confront the crisis of Missing or Murdered Indigenous Persons, which has devastated the lives of victims, their families, and entire Tribal communities,” said Attorney General Merrick B. Garland. “Addressing this crisis requires a whole-of-government approach, and we are grateful for the partnership of Tribal and other law enforcement agencies across the nation that are working alongside the Justice Department to help reduce crime and support victims in American Indian and Alaska Native communities.”

“Missing or Murdered Indigenous Persons Awareness Day calls on our nation to pause and honor the loved ones who have gone missing or who have been the victims of violent crime,” said Deputy Attorney General Lisa O. Monaco. “Acknowledging the many American Indian and Alaska Native people who have suffered, and continue to suffer, from the pain of a missing loved one or of violent crime serves as an important reminder of the urgency and importance of the department’s work to respond to the crisis of missing or murdered indigenous persons. The Justice Department—including our dedicated agents, analysts, and prosecutors—remains steadfast in our pledge to work as partners with Tribal governments in preventing and responding to the violence that has disproportionately harmed Tribal communities.”   

“The Justice Department is committed to using every resource at its disposal to combat the Missing or Murdered Indigenous Persons Crisis,” said Associate Attorney General Vanita Gupta. “In addition to our core law-enforcement work, we are providing grant funding and guidance to help Tribes develop response plans for missing-persons cases, partner effectively with local law enforcement, and provide resources for victims of crime.”

For additional information about the Department of Justice’s efforts to address the MMIP crisis, please visit the Missing or Murdered Indigenous Persons section of the Tribal Safety and Justice website. Click here for more information about reporting or identifying missing persons. 

 

 

CHARLOTTE, N.C. – A federal jury in Charlotte has convicted David Tatum, 41, a child psychiatrist in Charlotte, N.C., of sexual exploitation of a minor, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Robert M. DeWitt, Special Agent in Charge of Federal Bureau of Investigation (FBI) in North Carolina join U.S. Attorney King in making today’s announcement. 

According to filed court documents, trial evidence and witness testimony, between 2016 and 2021, Tatum possessed images and videos of child pornography. Trial evidence also established that in or about July 2016, Dr. Tatum secretly recorded a minor while the minor was undressing and showering. A forensic analysis of electronic devices revealed that the defendant produced the video of the minor and possessed it, along with other images and videos of child pornography. According to trial evidence, Dr. Tatum made similar surreptitious recordings of others, including of his patient during an outpatient visit who had just turned 18 years old five days before the recording. The jury convicted Dr. Tatum of one count production of child pornography, one count of transportation of child pornography, and one count of possession of child pornography.

Dr. Tatum is currently in federal custody. A sentencing date has not been set. The count of production of child pornography carries a minimum statutory sentence of 15 years and a maximum of 30 years in prison and a $250,000 fine. The charge of transportation of child pornography carries a minimum statutory sentence of 5 years and a maximum of 20 years in prison and a $250,000 fine. The charge of possession of child pornography carries a statutory penalty of no more than 10 years in prison and a $250,000 fine.

In making today’s announcement, U.S. Attorney King commended FBI for their investigation of the case.

Assistant United States Attorneys Daniel Cervantes and Mark Odulio of the U.S. Attorney’s Office in Charlotte, are prosecuting the case.

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

CHARLOTTE, N.C. – U.S. Attorney Dena J. King announced that two U.S. Attorney’s Office employees were among the 159 members of the Justice Department recognized by Attorney General Merrick B. Garland, Deputy Attorney General Lisa Monaco, and Executive Office for U.S. Attorneys (EOUSA) Director Monty Wilkinson at the 38th Director’s Awards Ceremony yesterday in Washington, D.C.

The Western District of North Carolina was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.

Fred Hudson was recognized for his exemplary work as the Western District’s Law Enforcement Coordinator (LEC). As an LEC, Mr. Hudson has spent years cultivating relationships with federal, state, and local law enforcement, coordinating law enforcement officer training, and assisting partner agencies with federal grant opportunities. For over 18 years, Mr. Hudson has also spearheaded the Office’s community outreach efforts by fostering relationships with community organizations, schools, service providers, and other important stakeholders, and organizing events and engagement opportunities that advance Department of Justice priorities.

Lia Bantavani was recognized for her work as the Office’s Public Information Officer. In that capacity, Ms. Bantavani handles the Office’s communications with the media and the public, drafts and disseminates press releases, responds to media inquiries and coordinates media interviews. In addition, Ms. Bantavani maintains the Offices’ website and social media accounts, and assists with amplifying the Office’s outreach efforts and Department of Justice initiatives through targeted campaigns that promote public safety.

“I am honored and delighted that Fred and Lia were recognized for their achievements and contributions to furthering the mission of the Justice Department. This well-deserved award speaks to their dedication, hard work and professionalism. Fred and Lia are dedicated public servants who embody our ongoing commitment to serve our communities and further the cause of justice,” said U.S. Attorney King.

EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.

CHARLOTTE, N.C. – Today, U.S. District Judge Frank D. Whitney sentenced Jamal Saymeh, 59, of Charlotte, N.C., to 12 months and one day in prison followed by two years of supervised release for violating the Clean Air Act, by fraudulently coding over 15,000 vehicles that would have otherwise failed the required State emissions inspection, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Judge Whitney also ordered Saymeh to pay a $1,202,288.50 fine and $82,026 in restitution to the State of North Carolina.

Michael Sparks, Special Agent in Charge of the Environmental Protection Agency’s Office of Inspector General (EPA-OIG), Charles Carfagno, Special Agent in Charge of the Environmental Protection Agency’s Criminal Investigation Division (EPA-CID), and Colonel Michael Oates of the North Carolina Department of Transportation License and Theft Bureau (NCDOT) join U.S. Attorney King in making today’s announcement.

Saymeh is the owner and operator of Friendly Auto Repair (FAR) shop, located in Charlotte. In addition to auto repairs, in 2017, FAR became licensed by the North Carolina Department of Transportation to perform emissions inspections. According to filed documents and court proceedings, between 2017 and 2022, Saymeh used his business to execute a scheme to violate the Clean Air Act by falsely changing the information of vehicles that would have otherwise failed the required State emissions testing, so that they were no longer required by the State’s registration system to have a passing emissions test.

According to court records, in some instances Saymeh executed the scheme by doing “county swaps,” meaning by falsifying in the system the county of registration for 11,568 vehicles from a county that required an emissions test to a county where no emissions testing was required. In other instances, Saymeh changed in the system the characterization of 3,622 trucks, from light duty trucks that require emissions inspections to heavy duty trucks that do not require such testing. During the relevant time period, court documents show that Saymeh falsified the information for at least 15,190 vehicles that would have otherwise failed their State emissions inspections.

In exchange for falsifying vehicle information, Saymeh received cash payments from customers that far exceeded what customers would have paid to have an emissions inspection. In addition, Saymeh paid the State of North Carolina only $0.85 per non-emissions/safety inspection, instead of the $6.25 per vehicle charge he should have paid for an inspection. 

“Vehicle emissions testing is required to protect the health and safety of our communities,” said U.S. Attorney King. “As part of my Office’s Environmental Justice Initiative, we will hold polluters accountable for their actions and protect communities harmed by environmental violations.”

“Today, Jamal Saymeh faced the consequences of knowingly and intentionally making false material statements affecting an EPA program,” said Special Agent in Charge Sparks. “Fraudulent activities like these harm our fellow Americans and diminish the public’s trust in EPA programs and operations. The EPA Office of Inspector General will continue to diligently protect both.”

“Mr. Saymeh was sentenced today for conspiring to violate the Clean Air Act and for fraudulent vehicle emissions testing,” said Special Agent in Charge Carfagno. “The defendant’s criminal activity intentionally increased air pollution in communities where these vehicles operate further exacerbating respiratory illnesses and environmental degradation. Today’s sentence serves as a reminder that EPA and our partners are steadfast in our commitment to protect human health and the environment.”

On December 14, 2022, Saymeh pleaded guilty to one count of conspiracy to defraud the Clean Air Act, and two counts of violating the Clean Air Act. Saymeh will be ordered to report to the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, U.S. Attorney King thanked the EPA-OIG, EPA-CID, and NC DOT for their coordination and investigation of the case.

Assistant United States Attorney Steven Kaufman, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

 

 

CHARLOTTE, N.C. – To commemorate National Crime Victims’ Rights Week (NCVRW),

the U.S. Attorney’s Office for the Western District of North Carolina hosted its annual Distinguished Victim Services Award ceremony, recognizing 11 recipients for their significant support, advocacy, and services to crime victims and their contributions to the cause of justice.

National Crime Victims’ Rights Week is April 23-29, 2023. The Justice Department’s Office for Victims of Crime (OVC) has selected this year’s NCVRW theme, “Survivor Voices: Elevate. Engage. Effect Change,” to emphasize the importance of engaging with victims of crime; learning from their lived experiences; amplifying their voices; and fostering an environment where they are heard, believed, and supported.

“National Crime Victims’ Rights Week is an opportunity to honor and recognize outstanding individuals and organizations for their efforts to advocate on behalf of crime victims, and for their exceptional commitment to the pursuit of justice for victims and their families,” said U.S. Attorney Dena J. King. “This year’s recipients were selected for their professionalism, their advocacy, their superior service to crime victims, and their unwavering commitment to making sure that crime victims, crime survivors and their families have equal access to the resources and services they are entitled to on their path to recovery.”

The 11 award recipients recognized for their work are:

Outstanding Law Enforcement Award

• Deputy David Coffman – Catawba County Sheriff’s Office
• Special Agent Timothy Kyle Thiel – Homeland Security Investigations

Outstanding Criminal Justice Professional Award

• Assistant U.S. Attorney William Bozin
• Assistant U.S. Attorney Lambert Guinn

Outstanding Support Staff Award

• Supervisory Legal Assistant Pamela Burgess
• Student Intern Marim Habib

Outstanding Victim Advocate Award

• Adelaide Auman – Charlotte Mecklenburg Police Department
• Migdalia Cortes – Charlotte Mecklenburg Police Department
• Present Age Ministries – Concord, North Carolina

Outstanding USAO Partner

• Tracey Bernstein – Holiday Inn City Center
• Demetria Brittingham - U.S. Marshals Service

In presenting the awards today, U.S. Attorney King thanked the recipients for their outstanding dedication and service in working with crime victims and noted the important role each honoree has played in delivering justice and providing victims with the support they need in the aftermath of crime.

Throughout the nation and in the Western District of North Carolina, victim advocacy organizations, community groups, and state, local, and Tribal agencies host rallies, candlelight vigils, and other events during NCVRW, to raise awareness of victims’ rights and services.

The Office for Victims of Crime leads communities in their annual observances of NCVRW. On Wednesday, April 26, 2023, a candlelight vigil will be held on the National Mall from 7:00 p.m. to 8:00 p.m. eastern time, to pay tribute to victims of crime and the many dedicated professionals and volunteers who advocate on their behalf. Attendees will also observe a moment of silence to honor all crime victims. Use this link to register for the event. For more information about how to support all victims of crime, visit OVC’s website at ovc.ojp.gov.

Additional information about the U.S. Attorney’s Office Victim/Witness Assistance Program can be found here.

CHARLOTTE, N.C. – The U.S. Attorney’s Office for the Western District of North Carolina joins the Justice Department, law enforcement agencies, service providers, allied

professionals and communities nationwide to commemorate National Crime Victims’ Rights Week (NCVRW) from April 23-29, 2023.

The Justice Department’s Office for Victims of Crime (OVC) has selected this year’s theme, “Survivor Voices: Elevate. Engage. Effect Change,” to emphasize the importance of engaging with victims of crime; learning from their lived experiences; amplifying their voices; and fostering an environment where they are heard, believed, and supported.

To commemorate NCVRW, the U.S. Attorney’s Office will host a Distinguished Victim Services Award ceremony on Wednesday, April 26, 2023, to recognize outstanding individuals for their significant support and service to crime victims and their contributions to the cause of justice. The award recipients were selected for their professionalism, compassion, and superior service to crime victims, their efforts to restore victims’ security and trust, their extraordinary efforts to advocate on behalf of crime victims, and their exceptional commitment to the pursuit of justice for the victims and their families.

The U.S. Attorney’s Office will also host a Victim Services Meetup on Thursday, April 27, 2023, for victim advocates. This meeting will focus on promoting networking and resource building among service providers working with federal and state prosecutors and law enforcement agencies within the 32 counties in Western North Carolina that the U.S. Attorney’s Office serves, to expand and strengthen the provision of services to victims of crime.

“Crime victims and crime survivors deserve our compassion, our attention, and our dedication,” said U.S. Attorney Dena J. King. “My Office stands with crime victims, survivors, and their families, and we reaffirm our collective mission to protect their rights, offer assistance, and provide access to resources centered on their individual needs at every step of the criminal justice process and beyond.”

Throughout the nation and in the Western District of North Carolina, victim advocacy organizations, community groups, and state, local, and Tribal agencies host rallies, candlelight vigils, and other events during NCVRW, to raise awareness of victims’ rights and services.

The Office for Victims of Crime leads communities in their annual observances of NCVRW. On Wednesday, April 26, 2023, a candlelight vigil will be held on the National Mall from 7:00 p.m. to 8:00 p.m. eastern time, to pay tribute to victims of crime and the many dedicated professionals and volunteers who advocate on their behalf. Attendees will also observe a moment of silence to honor all crime victims. Use this link to register for the event. For more information about how to support all victims of crime, visit OVC’s website at ovc.ojp.gov.

Additional information about the U.S. Attorney’s Office Victim/Witness Assistance Program can be found here.

CHARLOTTE, N.C. – A United States Postal Service employee appeared in federal court today on mail theft and related charges, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Demarkis Deon Houston, 30, of Charlotte, was arrested on Thursday, April 20, 2023. Houston is charged with mail destruction, theft of mail by a Postal Service employee, and possession of a stolen firearm.

Jeff Krafels, Special Agent in Charge of the United States Postal Service, Office of the Inspector General (USPS-OIG) for the Mid-Atlantic Area Field Office (MAAFO), which oversees Charlotte, and Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, join U.S. Attorney King in making today’s announcement.

According to allegations in the indictment, on August 31, 2022, Houston unlawfully opened and destroyed mail entrusted to him. The indictment also alleges that on September 19, 2022, Houston removed from mail entrusted in his care a 9mm firearm, which was intended to be delivered by a carrier of the Postal Service. The indictment further alleges that on October 10, 2022, Houston possessed a stolen firearm.

Houston was released on bond following his initial appearance before U.S. Magistrate Judge Susan C. Rodriguez.

The charge of destruction of mail and theft of mail by a postal employee each carry a maximum sentence of five years in prison. The possession of a stolen firearm offense carries a statutory maximum penalty of 10 years in prison.

The charges against Houston are allegations. The defendant is presumed innocent until proven guilty beyond reasonable doubt in a court of law.

In making today’s announcement U.S. Attorney King thanked USPS-OIG and ATF for their investigation of the case.

Assistant U.S. Attorney Regina H. Pack of the U.S. Attorney’s Office in Charlotte is prosecuting the case.

 

 

CHARLESTON, S.C. – Brandon Lloyd Daniels, 31, of North Charleston, South Carolina, was sentenced today to 50 years in prison followed by five years of supervised release for the 2018 armed robbery of the Tavern and Table restaurant in Mount Pleasant, S.C., announced Dena J. King, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Bruce Howe Hendricks presided over the sentencing hearing.

Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in North Carolina and South Carolina, and Chief Mark Arnold of the Mount Pleasant Police Department join U.S. Attorney King in making today’s announcement.

According to filed court documents, evidence presented at trial, and witness testimony, on the evening of April 4, 2018, officers with the Mount Pleasant Police Department responded to reports of a robbery and shooting at the Tavern and Table restaurant, located at 100 Church Street in Mount Pleasant. Trial evidence established that around 11:30 p.m., shortly after the restaurant closed for the evening, Daniels entered the restaurant through the back door wearing a face covering and went into the restaurant’s office, where several employees were gathered. Daniels pointed his firearm at the employees and demanded money. According to trial evidence, Daniels aimed his firearm at the restaurant’s assistant manager and shot him in the lower back. The victim sustained serious, permanent injuries from the gunshot. 

Following the shooting, the employees complied with Daniels’ demands and handed him several of the restaurant’s cash drawers. As Daniels fled the scene, he fired two more shots inside the restaurant in the direction of another employee.

In July 2022, a federal jury convicted Daniels of Hobbs Act robbery, discharging a firearm during and in relation to the robbery, and felon in possession of ammunition.

In October 2021, following a bench trial before Judge Hendricks, Daniels was convicted of possession of a sawed-off shotgun and possession of a firearm and ammunition by a felon. The convictions stemmed from investigators’ discovery of a sawed-off shotgun in Daniels’ bedroom during the execution of a search warrant in connection with the Tavern and Table robbery.

Daniels is in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In announcing today’s sentence, Judge Hendricks described the shooting as “vicious,” and said that “This offense involved a tragic robbery, shooting, and maiming of an innocent man tantamount to attempted murder.” She also noted that “it is a miracle the victim did not die,” and that the “amount of physical damage to the victim is unparalleled.”

U.S. Attorney King commended the ATF and the Mount Pleasant Police Department for their investigation of the case and thanked the FBI for their substantial assistance.

Assistant U.S. Attorneys Taylor Stout, Regina Pack, and Erik Lindahl, of the U.S. Attorney’s Office for the Western District of North Carolina in Charlotte, prosecuted the case.

ASHEVILLE, N.C. – Megan Emily Tate, 29, of Sylva, N.C., was sentenced today to 20 years in prison followed by five years of supervised release, for distributing a substance that contained fentanyl and caused two overdoses, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees North Carolina, and Sheriff Doug Farmer of the Jackson County Sheriff’s Office join U.S. Attorney King in making today’s announcement.

“Fentanyl is a highly potent substance that can quickly cause accidental drug poisoning. In many instances, victims do not know they are ingesting a potentially deadly drug until it’s too late,” said U.S. Attorney King. “The surge in fentanyl distribution is affecting families and communities everywhere. Law enforcement agencies at the federal, state, and local level are committed to dismantling fentanyl networks and holding accountable those who engage in the distribution of this dangerous drug.”

“Fentanyl is extremely dangerous and leaves behind a trail of devastation. Ms. Tate obviously had total disregard for the safety of others,” said Special Agent in Charge Murphy.

According to filed court documents and today’s sentencing hearing, in April 2021, deputies with the Jackson County Sheriff’s Office arrested Tate for suspected distribution of fentanyl. While Tate was in custody at the Jackson County Detention Center, she supplied two inmates with fentanyl, causing them to overdose. As a result, both overdose victims were transported to the hospital and one victim was placed on a ventilator. Both victims later recovered from their drug overdose. According to court documents, over the course of the investigation into the drug overdose incidents, law enforcement determined that Tate had supplied each victim with a substance that contained fentanyl, which Tate had concealed and later retrieved from her body cavity while in the detention center.

According to the DEA, fentanyl is a synthetic opioid that is 50 times more potent than heroin and 100 times more potent than morphine. Fentanyl remains the deadliest drug threat in the United States. According to the CDC, more than 100,000 people in the United States died of drug overdoses and drug poisonings in the 12-month period ending in January 2022. Sixty-seven percent of those deaths involved synthetic opioids like fentanyl. Some of these deaths were attributed to fentanyl mixed with other illicit drugs like cocaine, methamphetamine, and heroin, with many users unaware they were actually taking fentanyl.

On January 30, 2023, Tate pleaded guilty to distribution of a mixture of substance containing fentanyl. She is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, U.S. Attorney King thanked the DEA’s Asheville Post of Duty and the Jackson County Sheriff’s Office for their investigation of this case.

Assistant U.S. Attorney Thomas Kent of the U.S. Attorney’s Office in Charlotte prosecuted the case.      

CHARLOTTE, N.C. – Michael Separ, 40, of Charlotte, was sentenced to 10 years in prison today followed by five years of supervised release for trafficking methamphetamine, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

According to filed documents and today’s sentencing hearing, in July 2021, an investigation began into Separ’s drug distribution activities. On July 28, 2021, CMPD officers pulled over Separ’s vehicle for a traffic violation. Over the course of the traffic stop, Separ attempted to flee the scene. Following that incident, court documents show that officers conducted a search of Separ’s vehicle, seizing more than half a kilogram of methamphetamine, nearly half a kilogram of cocaine, almost a kilogram of marijuana, and four firearms and ammunition. On July 29, 2021, a search warrant was executed at Separ’s residence, and law enforcement seized more drugs, two additional firearms, and ammunition.

On November 16, 2022, Separ pleaded guilty to possession with intent to distribute methamphetamine. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

 

In making today’s announcement, U.S. Attorney King credited an investigation led by the Western District’s Organized Crime Drug Enforcement Task Force (OCDETF), the Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Charlotte Mecklenburg Police Department for their investigative efforts.

OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/ocdetf.

Assistant United States Attorney Alfredo De La Rosa, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

ASHEVILLE, N.C. – An Asheville methamphetamine trafficker and pill distributor was sentenced to 151 months in prison today, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. John Paul Roberts, 40, was also ordered to serve five years of supervised release after he completes his prison term. U.S. District Judge Martin Reidinger imposed today’s sentence.

Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, join U.S. Attorney King in making today’s announcement.

According to court documents and today’s hearing, in January 2020, an investigation began into Roberts’ drug distribution activities, after law enforcement determined that Roberts and an associate were mailing pills containing methamphetamine via the U.S. Mail to customers throughout the United States. The investigation eventually revealed that Roberts and his associate used the Dark Web to obtain the methamphetamine. Roberts then mixed the methamphetamine with other ingredients and used pill presses to manufacture thousands of pills, which he and his associate falsely marketed and sold on the Dark Web as Adderall®. Over the course of the investigation, law enforcement documented that Roberts and his associate manufactured and sold thousands of pills containing methamphetamine and mailed pills to customers in 19 states. Court records show that Roberts and his associate also sold methamphetamine in wholesale quantities to local drug traffickers, with a combined street value of more than $1 million. 

On December 5, 2022, Roberts pleaded guilty to conspiracy to possess with intent to distribute 50 grams or more of actual methamphetamine and 500 grams or more of a mixture containing methamphetamine. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, U.S. Attorney King thanked HSI and USPIS for their investigation of this case.

Assistant U.S. Attorney Thomas Kent of the U.S. Attorney’s Office in Charlotte prosecuted the case.      

CHARLOTTE, N.C. – The owner of a Greensboro, N.C. area clinic has been indicted for his alleged involvement in a health care fraud scheme that defrauded the North Carolina Medicaid Program (Medicaid) of more than $4.7 million, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. The 10-count indictment charges Aljihad Shabazz, 44, of Kernersville, N.C., with health care fraud conspiracy, health care fraud, money laundering conspiracy, and money laundering.

Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, Donald “Trey” Eakins, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), and North Carolina Attorney General Josh Stein, who oversees the North Carolina Medicaid Division (MID), join U.S. Attorney King in making today’s announcement.

The federal indictment alleges that Shabazz owned and operated Reign & Inspirations, LLC (R&I), a clinic that purportedly provided outpatient behavioral services in Greensboro and surrounding areas. According to allegations contained in the indictment, between 2017 and 2020, Shabazz allegedly conspired with other individuals to carry out an extensive health care fraud scheme involving the fraudulent submissions of fake reimbursement claims to Medicaid, for services that were never provided to Medicaid beneficiaries. Shabazz allegedly obtained the personal identifying information (PII) of Medicaid beneficiaries through community outreach programs, including football and mentoring programs, and misused the beneficiaries’ PII to create and submit hundreds of fraudulent reimbursement claims and to receive payment for services that were never in fact provided by R&I. During the relevant time period, Shabazz and his co-conspirators allegedly used the beneficiaries’ PII to submit more than 1,500 fraudulent reimbursement claims to Medicaid, some of which claimed that R&I provided services that exceeded 24 hours in a single day.

The indictment also alleges that the reimbursement payments made by Medicaid were deposited in bank accounts under Shabazz’s control. Shabazz used a portion of the fraudulent proceeds to pay kickbacks to his co-conspirators and to cover personal expenses, including to pay for personal travel, luxury items, and timeshares, and to make cash withdrawals, among other things.

“Health care fraud hurts individuals who rely on government-funded programs to cover legitimate patient care needs. Working with our law enforcement partners we will investigate and hold accountable health care fraud cheats and safeguard taxpayer dollars,” said U.S. Attorney King.

“This desire for money, along with the power and material items it buys, allegedly drove the defendant to perpetrate crimes against our healthcare system,” said Special Agent in Charge Eakins. “Thanks to the financial expertise and diligence of IRS-CI special agents and our law enforcement partners, we will continue to uncover these schemes and pursue individuals who allegedly operate counter to laws protecting the federal healthcare programs.”

"This health care provider allegedly used people's personal data to steal millions in Medicaid dollars, said Attorney General Stein. "I want to thank the U.S. Attorney's Office and the FBI for working with our Medicaid Investigations Division to hold accountable providers who cheat taxpayers."

A summons has been issued and Shabazz will appear in federal court for his initial appearance. The health care fraud conspiracy and health care fraud offenses carry a maximum penalty of 10 years in prison per count. The money laundering conspiracy and money laundering offenses carry a maximum penalty of 20 years in prison per count.

The charges against Shabazz are allegations. The defendant is presumed innocent until proven guilty beyond reasonable doubt in a court of law.

The FBI, IRS-CI, and the North Carolina Medicaid Division investigated the case.

Assistant U.S. Attorneys Cassye Cole and Mike Savage and Special Assistant U.S. Attorney Jermaine Sellers with the U.S. Attorney’s Office in Charlotte are prosecuting the case.

CHARLOTTE, N.C. – A federal grand jury in Charlotte returned a criminal indictment charging Tressa Nichole Baucom, 30, of Charlotte, and Jennings Peter Keziah, also known as Christian Thomas Carpenter, 35, of Stanley, N.C., with mail theft and wire fraud, for stealing thousands of pieces of mail in North Carolina and South Carolina, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, joins U.S. Attorney King in making today’s announcement.

According to allegations contained in the indictment, from October to December 2021, Baucom and Keziah executed a mail theft scheme that targeted residential mailboxes in Charlotte and Gastonia, N.C., and York County, S.C. Over the course of the scheme, Baucom and Keziah allegedly stole more than 3,700 pieces of mail, including credit cards, checks, gift cards, driver’s licenses, bank statements and a passport. The indictment alleges that Baucom and Keziah used the stolen credit cards for personal expenditures, including to make purchases at Walmart, Academy Sports & Outdoors, Quick Trip, and Best Buy. The indictment further alleges that Baucom and Keziah also possessed a stolen United States Postal Service key.

Baucom and Keziah are each charged with one count of conspiracy to possess stolen mail and three counts of possession of stolen mail, which carry a maximum sentence of five years in prison per count, and one count of wire fraud, which carries a maximum sentence of 20 years in prison.

The charges against Baucom and Keziah are allegations. The defendants are presumed innocent until proven guilty beyond reasonable doubt in a court of law.

In making today’s announcement U.S. Attorney King commended the USPIS for its investigation of the case.

Assistant U.S. Attorney Cassye Cole of the U.S. Attorney’s Office in Charlotte is prosecuting the case.

ASHEVILLE, N.C. – Today, United States District Judge Martin Reidinger sentenced Daniel Ryan Robinson, 43, of Arden, N.C., to 151 months in prison followed by five years of supervised release for dealing methamphetamine and fentanyl, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. 

Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Sheriff Lowell S. Griffin of the Henderson County Sheriff’s Office join U.S. Attorney King in making today’s announcement.

According to court filings and court proceedings, on October 31, 2022, Robinson pleaded guilty to possession with intent to distribute fentanyl and methamphetamine. Court records show that, between August 2019 and November 2019, Robinson was found to be in possession of more than 280 grams of methamphetamine and 35 grams of fentanyl. Over the course of the investigation, law enforcement also recovered from Robinson’s residence and vehicle two firearms and ammunition. In 2013, Robinson was convicted of conspiracy to possess with intent to distribute heroin.

Robinson is currently in federal custody and will be transferred to the custody of the federal Bureau of Prison upon designation of a federal facility.

In making today’s announcement, U.S. Attorney King thanked the ATF and the Henderson County Sheriff’s Office for their investigation of the case.  The U.S. Attorney’s Office in Asheville handled the prosecution.

ASHEVILLE, N.C. – Rebecca Lynn Barker, 50, of Sylva, N.C., was sentenced today to 188 months in prison followed by five years of supervised release on drug conspiracy charges, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

According to filed documents and today’s sentencing hearing, between April 2019 and August 2021, federal, state, and local law enforcement determined that Barker was part of a drug conspiracy that trafficked methamphetamine in Haywood, Buncombe, and Jackson Counties as well as Georgia. Over the course of the investigation, law enforcement used controlled buys, seizures, and the execution of search warrants to determine that the drug conspirators were responsible for trafficking more than 36 kilograms of methampehetamine in Western North Carolina. Law enforcement also seized thousands of dollars in drug proceeds and nine firearms. Court records show that Barker was responsible for distributing more than 230 grams of actual methamphatamine and over 3,100 grams of methamphetamine mixture. Law enforcement also seized from Barker a handgun and a shotgun, and more than $7,200 in cash.

On August 4, 2022, Barker pleaded guilty to conspiracy to possess with intent to distribute 50 grams or more of actual methamphetamine and 500 grams or more of a mixture containig methamphetamine. She is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

Barker’s co-defendants were previously sentenced as follows:

Robert Allan Burnette was sentenced to 120 months in prison and five years of supervised release.

Angela Vance Carver was sentenced to 70 months in prison and five years of supervised release.

Derek Michal Cluff was sentenced to 30 months in prison and four years of supervised release.

Marcus Brandon Cobaugh was sentenced to 60 months in prison and four years of supervised release.

Lindsay Nicole Cobb was sentenced to 135 months in prison and five years of supervised release.

David Hunter Creson was sentenced to 70 months in prison and three years of supervised release.

William Joseph Craig was sentenced to 179 months in prison and ten years of supervised release.

Arthur Shane Douville, was sentenced to 188 months in prison and three years of supervised release.

Jaime Gamez, was sentenced to 151 months in prison and five years of supervised release.

Justin Caroll Gibson was sentenced to 151 months in prison and five years of supervised release.

Jane Ivison Gill was sentenced to 78 months in prison and five years of supervised release.

Roberty Illerma Ibarra was sentenced to 70 months in prison and five years of supervised release.

Elizabeth Gabrielle Mann was sentenced to 84 months in prison and four years of supervised release.

Jose Andress Martinez was sentenced to 130 months in prison and five years of supervised release.

Keith Allen McMahan was sentenced to 120 months in prison and five years of supervised release.

Nicholas Ray Miller was sentenced to 188 months in prison and five years of supervised release.

Ryan Warren Muster was sentenced to 132 months in prison and five years of supervised release.

Kelly Woodrow Ross was sentenced to time served and three years of supervised release.

Richard Anthony Swanger was sentenced to 63 months in prison and three years of supervised release.

Christy Helen Trull was sentenced to 57 months in prison and five years of supervised release.

Michael Kevin Vanlandingham was sentenced to 12 months of probation.

In making today’s announcement, U.S. Attorney King credited an investigation led by the Western District’s Organized Crime Drug Enforcement Task Force (OCDETF), and thanked United States Drug Enforcement Administration, the Haywood County Sheriff’s Office, the Buncombe County Anti-Crime Task Force, the Buncombe County Sheriff’s Office, the Waynesville Police Department, the Canton Police Department, the Maggie Valley Police Department, the North Carolina State Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives for their investigative efforts.

OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/ocdetf.

Assistant United States Attorney Thomas Kent, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

CHARLOTTE, N.C. – Federal officials with the U.S. Attorneys’ Offices in the Middle and Western Districts of North Carolina and the FBI met with the family of Ms. Shanquella Robinson and family representatives today to offer their condolences and present the findings of the federal investigation into the death of Ms. Robinson.

The investigation into the circumstances surrounding the death of Ms. Robinson has been a priority for federal prosecutors and the FBI.

The FBI has worked diligently to conduct a detailed and thorough investigation of the evidence available in this case. In coordination with Ms. Robinson’s family, an autopsy was conducted in the United States by the Medical Examiner’s Office in Mecklenburg County.

As in every case under consideration for federal prosecution, the government must prove, beyond a reasonable doubt, that a federal crime was committed. Based on the results of the autopsy and after a careful deliberation and review of the investigative materials by both U.S. Attorneys’ Offices, federal prosecutors informed Ms. Robinson’s family today that the available evidence does not support a federal prosecution.

The death of Ms. Robinson has been incredibly difficult for her family and the community. As a matter of policy, federal officials generally do not issue public statements concerning the status of an investigation. However, given the circumstances of Ms. Robinson’s death and the public concern surrounding this investigation, it is important to reassure the public that experienced federal agents and seasoned prosecutors extensively reviewed the available evidence and have concluded that federal charges cannot be pursued.

As in any case, the government is prepared to review and examine new information related to the investigation should it become available.

CHARLOTTE, N.C. – MedCare Clinic & Pharmacy, LLC (MedCare), located in Indian Trail, North Carolina, has agreed to pay $213,677.00 to resolve allegations that it violated the False Claims Act by knowingly billing federal health care programs for medications that were never dispensed.

The United States alleged that, from Jan. 1, 2016 through Dec. 31, 2019, MedCare billed both Medicare Part D and North Carolina Medicaid for two hundred prescription medications that MedCare never distributed to beneficiaries. According to the government’s allegations, inventory records showed that MedCare did not buy enough of these medications to fill all of the prescriptions billed to these health care programs.

“Pharmacies may bill only for medications that they actually sell,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Our office will continue to pursue entities that knowingly and unjustly enrich themselves at the taxpayers’ expense.”

“When pharmacies bill government programs for prescriptions that are not disbursed to patients, taxpayer dollars are wasted and finite resources are diverted from beneficiaries in need,” said the U.S. Attorney Dena J. King for the Western District of North Carolina. “Our office will continue to work with our state and federal partners to investigate and hold accountable those who seek to profit from fraud on federal health care programs.”

The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by former MedCare employees Brittanie Henry and Zilphia Adcock. Under those provisions, a private party may file an action on behalf of the United States and receive a portion of any recovery. Henry and Adcock will receive $53,419.43 as their share of the settlement. The qui tam case is captioned U.S. ex rel. Henry v. Pharmacy Holdings, et al., No. 3:20-cv-61 (W.D.N.C.). 

The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Western District of North Carolina, with assistance from the Medicaid Investigations Division of the North Carolina Attorney General’s Office, and the Office of Inspector General of the United States Department of Health and Human Services.

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

Senior Trial Counsel Jennifer Cihon, Assistant U.S. Attorney Caroline McLean, and Investigator Cathleen Hollowell investigated the cause.

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

 

CHARLOTTE, N.C. – Nachiket Banwari, 34, of Charlotte, was indicted by a federal grand jury for conspiracy to commit mail fraud, wire fraud, and money laundering, for his involvement in an international multi-million dollar tech support fraud scam, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. The federal indictment was unsealed today, following Banwari’s initial appearance in federal court.

Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, joins U.S. Attorney King in making today’s announcement.

According to allegations in the indictment, Banwari was part of a conspiracy with other individuals that carried out an international internet technical support fraud scam, through his management of Capstone Technologies LLC (Capstone), a company headquartered in Charlotte that claimed to provide computer-related services to its customers. Capstone allegedly conducted business using several different aliases, including Authenza Solutions LLC, MS-Squad Technologies, MS-Squad.com, MS Infotech, United Technologies, and Reventus Technologies.

According to allegations in the indictment, fraudulent internet pop-up “ads” were a central part of the conspiracy’s tech support scam. It is alleged that the fraudulent pop-ups suddenly appeared on victims’ computers freezing their screens and containing misrepresentations designed to trick the victims into believing their computer needed technical support to fix a problem, prompting victims to contact Capstone at a number shown on the pop-ups. When victims called Capstone’s India-based call center for assistance, the indictment alleges that victims were tricked into purchasing unnecessary technical support services from Capstone. The indictment further alleges that the conspirators defrauded thousands of victims throughout the United States, some of whom were elderly, of more than $7 million.

According to allegations in the indictment, Banwari agreed to obtain payment-processing services in his name on behalf of Capstone, in order to process victims’ payments to the conspirators, and laundered the proceeds domestically and internationally to bank accounts located in India. For his participation in the scheme, Banwari allegedly received three percent of the Capstone revenue.

The indictment also contains a notice of forfeiture, which gives notice that the defendant must forfeit to the United States all of the property, currency and monetary instruments involved in the offenses charged in the indictment. The government will pursue a forfeiture money judgment in the amount of at least $211,000, which the government contends constitutes the proceeds of the violations alleged in the charging document.

Banwari remains in federal custody. The mail fraud and wire fraud conspiracy charge and the money laundering conspiracy charge each carry a maximum prison term of 20 years.

The charges against Banwari are allegations. The defendant is innocent until proven guilty beyond reasonable doubt in a court of law.

The FBI conducted the investigation.

Assistant U.S. Attorney Matthew Warren of the U.S. Attorney’s Office in Charlotte is prosecuting the case.

 

 

CHARLOTTE, N.C. – United States District Judge Kenneth D. Bell sentenced Mac Wayne Billings, 49, of Raleigh, N.C. to 41 months in prison for defrauding investors in his company Alpha Finance Company (ALPHA) of at least $1.3 million, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. 

Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, joins U.S. Attorney King in making today’s announcement.

On June 21, 2022, Billings was indicted by a grand jury in Charlotte for securities fraud. On September 13, 2022, Billings pleaded guilty and admitted that from 2016 through 2019, he made false representations to ALPHA investors concerning the use of their money and deliberately withheld important information about ALPHA’s business. Billings incorporated ALPHA on October 22, 2008, and opened its first office in Sparta, N.C. ALPHA made small loans—usually less than $7,000—to consumers, secured by used vehicles and other property that could be repossessed. Billings financed ALPHA with loans from local community residents that Billings promised to pay back with interest. At least 19 residents of Alleghany, Wilkes and Surry Counties, invested over $3.6 million in ALPHA “notes.”  

Billings admitted that in 2016 he knew ALPHA was operating at loss, but was still soliciting new investors and telling existing investors that ALPHA was “doing well.” Billings used investment statements, emails and meetings to mislead and deceive victim-investors into believing that ALPHA was a profitable company and that the victims’ investments were safe.  Billings also admitted that he failed to disclose material information to investors concerning ALPHA’s financial and business troubles, including that he had sold or mortgaged most of ALPHA’s assets to hard money lenders. Based on the fraudulent information provided by Billings, many of the victim-investors renewed and/or made additional investments with ALPHA, causing them to incur further financial losses.  

As part of Billings sentence, Billings was ordered to pay approximately $3.5 million in restitution to investors who lost their retirement savings when ALPHA was closed by the North Carolina Commissioner of Banks (NCCOB) in June 2019. 

On March 23, 2023, the North Carolina Board of Certified Public Accountant (CPA) Examiners revoked Billings’ CPA certification.

In making today’s announcement, U.S. Attorney King commended the FBI for their investigation of the case and thanked the Securities and Exchange Commission, the North Carolina Commissioner of Banks, and the North Carolina Attorney General’s Office for their cooperation.

Assistant U.S. Attorney Michael E. Savage of the U.S. Attorney’s Office in   Charlotte prosecuted the case.

CHARLOTTE, N.C. – Two North Carolina family members, Lal H. Mahtani, 58, of Statesville and Vivek Ramesh Mahtani, 41, of Cornelius were sentenced yesterday in federal court before Judge Kenneth D. Bell for conspiring to transport fraudulently obtained and stolen new Apple iPhones and other electronic devices to buyers in other states and overseas, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. 

Lal Mahtani received a sentence of 36 months followed by three years of supervised release.   His nephew, Vivek Mahtani, received a sentence of 18 months, also followed by three years of supervised release. 

Jason Byrnes, Special Agent in Charge of the United States Secret Service (USSS), Charlotte Field Office, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.

According to documents filed in the case, from 2018 through February 2020, the defendants worked together in a scheme to purchase new iPhones and other electronic devices from individuals who had obtained the devices through fraudulent means, often from wireless stores.  The defendants purchased the new iPhones, which were frequently in their sealed packaging at prices substantially below their retail value. Many of the fraudulently obtained devices were purchased by Lal Mahtani at New York Styles, his retail store in Statesville. 

The defendants transported the fraudulently obtained devices using a shipping company to other states, including California, Texas, New York, and Georgia, as well as overseas destinations, such as Hong Kong. Vivek Mahtani also sold many of the devices to Cellport, a Charlotte-based business owned and operated by Hamzeh Alasfar and Tayseer Alkhayyat. Alasfar and Alkhayyat pleaded guilty in Charlotte last month to related charges before Judge Bell. 

According to filed documents, the defendants shipped more than 1,700 pounds of fraudulently obtained devices, resulting in financial losses that exceeded $1.5 million. 

This case was the result of the investigative efforts of CMPD and the Secret Service, which have established a fully integrated partnership to combat the most significant organized criminal groups operating in Charlotte. Through this partnership, this unit has successfully leveraged local and federal resources, personnel, expertise and authorities to identify and combat the criminals and criminal organizations that have the largest negative impact on the community.

Assistant U.S. Attorney William T. Bozin of the U.S. Attorney’s Office in Charlotte is prosecuting the case.

CHARLOTTE, N.C. – Brian Wittke, 51, a previously convicted sex offender who shared child pornography online and produced child pornography of two children under age two, was sentenced to life in prison today, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Wittke, of Wilkes County, was also ordered to serve a lifetime of supervised release and will be required to register as a sex offender should he ever be released from prison.

Robert Schurmeier, Director of the North Carolina State Bureau of Investigation (SBI) and Chief Andy LeBeau of the Boone Police Department join U.S. Attorney King in making today’s announcement.

“Brian Wittke is a repeat sex predator who caused two young children unimaginable harm,” said U.S. Attorney King. “Protecting children from sexual abuse and exploitation is a priority for my office. Our Special Prosecutions Unit is dedicated to removing predators like Wittke from the community and working with victims to ensure they have a voice in the criminal justice system.”

According to filed court documents and today’s sentencing hearing, between March 29, 2017, and July 28, 2020, Wittke engaged in sexually explicit conduct with two children for the purpose of producing child pornography videos. The criminal investigation began when an undercover detective with the Boone Police Department downloaded child pornography videos that Wittke shared online. The downloads led to law enforcement officers executing a search warrant at Wittke’s residence where the officers seized a thumb drive. A forensic examination of the thumb drive revealed the presence of 57 child pornography videos, five of which depicted Wittke engaging in sexual conduct with two children under age two. In 2001, Wittke was convicted in Wilkes County of two counts of Taking Indecent Liberties with a Child.

On October 6, 2022, Wittke pleaded guilty to production of child pornography. He is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

The Boone Police Department and North Carolina State Bureau of Investigation handled the investigation.

Assistant United States Attorney Kimlani Ford of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

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

 

CHARLOTTE, N.C. – United States Attorney Dena J. King will host a meeting of the U.S Attorney General’s Advisory Committee’s Subcommittee on Native American Issues from April 4 to April 6, 2023, in Cherokee, North Carolina.

U.S. Attorney King serves as Chair of the NAIS, the longest standing subcommittee of the Attorney General’s Advisory Committee (AGAC). The NAIS consists of 18 U.S. Attorneys from across the United States, serving in districts that include Indian Country or one or more federally recognized Tribes within their jurisdiction.

The NAIS focuses exclusively on Indian Country matters, and it is tasked with advising the AGAC and Department of Justice leadership and components with developing and implementing comprehensive federal efforts and initiatives related to Indian Country and making policy recommendations on issues affecting American Indian and Alaska Native communities.

“As Chair of the NAIS, I am honored to host our subcommittee meeting in the Western District of North Carolina,” said U.S. Attorney King. “The NAIS meeting is an important opportunity for United States Attorneys, Justice Department officials, Tribal liaisons, law enforcement, and representatives of federal agencies to discuss a range of topics that are critical to the health and safety of American Indian and Alaska Native communities, share best practices, and hold important discussions on enhancing our partnerships with our Tribal counterparts.”

The agenda for the NAIS meeting includes multiple panel discussions with experts on Indian Country matters, on the topics of crime deterrence and intervention, criminal legal and legislative updates, federal response to missing or murdered indigenous people, drug enforcement and substance use disorder prevention efforts, reentry courts, assistance and provision of services to victims of crime, outreach and education initiatives, and implementation or enhancement of programs related to community safety and public health and wellness.

Participants will travel to the Museum of the Cherokee Indian for a guided tour on Cherokee Indian history, culture, and artifacts, followed by a visit to Cherokee High School for a panel discussion with student leaders and school administrators on topics of concern to young people, including juvenile crime prevention, bullying, mental health, equity in the criminal justice system, and building trust with law enforcement.

The meeting will conclude with an in-depth discussion of NAIS members centered on existing and emerging public safety issues in Tribal communities, policy recommendations to the AGAC, and federal funding opportunities to support the Justice Department’s initiatives in Indian Country.

“U.S. Attorneys’ Offices play an integral role in implementing the Justice Department’s policies and strategies to address the public safety concerns of Tribal communities,” said U.S. Attorney King. “The NAIS meeting is an opportunity for U.S. Attorneys to discuss ongoing efforts in our respective districts to combat crime in Indian Country, share best practice, identify areas of improvement, and advance engagement and collaboration with Tribal leadership to achieve these goals.”

In addition to U.S. Attorney King, the U.S. Attorneys of the following districts are attending the NAIS meeting: District of Alaska, District of Arizona, District of Connecticut, District of Maine, District of Massachusetts, District of Montana, District of Nevada, District of North Dakota, District of South Dakota, District of Utah, District of Wyoming, Northern District of California, Northern District of Indiana, Northern District of Oklahoma, Eastern District of Michigan, Eastern District of Oklahoma, Eastern District of Washington, Southern District of Mississippi, Western District of Louisiana, Western District of Oklahoma, and Western District of Washington. Other Department of Justice leaders and component agencies will be attending the NAIS meeting as well.

CHARLOTTE, N.C. – Today, U.S. Attorney Dena J. King joined professionals in the criminal justice field for a panel discussion at Johnson C. Smith University (JCSU) on the topic of “Diversifying the Criminal Justice Landscape.”

The event was organized by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), in collaboration with JCSU’s Criminology Program and the College of Arts, as part of ATF’s “Law Enforcement Leaders of America,” or LELA initiative, which aims to advance diversity in the criminal justice profession.

U.S. Attorney King has supported the LELA initiative from its inception and has participated on multiple LELA events held on college campuses of Historically Black Colleges and Universities (HBCUs) in North Carolina, including at Livingstone College, Winston Salem State University, and at North Carolina Central University, U.S. Attorney King’s alma mater.

“I am pleased and honored to be a part of this important initiative, centered on promoting diversity in the criminal justice field. These events are a remarkable opportunity to engage directly with undergraduate students and spark their interest in careers they may not have explored up to this point,” said U.S. Attorney King. “Looking back to when I was in college, there were limited opportunities for minority students to be exposed to and learn about professional opportunities in this field. I am excited be a part of the LELA program and I am looking forward to participating in future events.”

U.S. Attorney King was joined in this panel discussion by criminal justice professionals representing federal, state and local government agencies, who shared valuable perspectives on career paths, job preparation, obstacles, and lessons learned. College students who attended the event also received information on a broad range of topics related to career options, internship opportunities, and practical tips, such as preparing for a job interview. Following the panel discussion, students had an opportunity to ask questions and network with the panelists.

CHARLOTTE, N.C. – A Charlotte man who used Snapchat to coerce a minor to share child pornography was sentenced to 17.5 years in prison today, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Sean Matthew Burney, 28, was also ordered to serve a lifetime of supervised release and will be required to register as a sex offender after he is released from prison.

Robert M. DeWitt, Special Agent in Charge of the FBI in North Carolina, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.

According to filed court documents and today’s sentencing hearing, between February 21 and February 24, 2021, Burney used Snapchat to coerce a minor male victim to create and share videos and images that contained child pornography. The criminal investigation began once the minor victim’s mother contacted CMPD to report that her 14-year-old son was being blackmailed via Snapchat and was forced to send the blackmailer images and videos of the minor engaging in sexually explicit conduct.

According to court records, Burney represented himself as a female via Snapchat and contacted the victim. When the victim sent the sexually explicit images to Burney, the victim was under the impression that he was communicating with a female. Court records show that from that point on, Burney demanded additional child pornography from the victim, and threatened to post the victim’s sexually explicit images and videos on social media if the victim did not comply. Burney continued to ask the victim for additional child pornography, knowing the victim was 14 years old.

According to court documents, when the victim didn’t respond to Burney, the defendant posted on Snapchat the victim’s account name and a caption to contact him if people wanted videos.

Over the course of the investigation, law enforcement determined that the suspect Snapchat account belonged to Burney. A search warrant for the minor victim’s and Burney’s Snapchat accounts was executed. During a forensic analysis of material seized pursuant to the search warrants, law enforcement located the child pornography.

On October 19, 2022, Burney pleaded guilty to distribution of child pornography. He is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In announcing today’s sentence, U.S. District Judge Frank D. Whitney said that Burney’s predatory actions not only targeted a minor, but sought to take over his free will.

The FBI and CMPD handled the investigation.

Assistant United States Attorney Stephanie Spaugh, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

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

ASHEVILLE, N.C. – Arthur Shane Douville, 33, of Canton, N.C., was sentenced to 188 months in prison today followed by three years of supervised release for distributing methamphetamine, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

According to documents filed with the court and today’s sentencing hearing, law enforcement investigating methamphetamine trafficking rings operating in Haywood, Jackson and Buncombe Counties identified Douville as a wholesale methamphetamine trafficker who supplied local drug distributors. Court records show that in May 2020, Douville was driving through Haywood County, after he had travelled to Georgia to buy methamphetamine. Law enforcement stopped Douville’s vehicle, and over the course of the traffic stop they seized nearly two ounces of methamphetamine hidden in a false vehicle compartment. Court records show that the methamphetamine seized was part of a larger eight-ounce quantity obtained in Georgia, some of which Douville had already distributed. Douville had made a similar trip one week earlier, obtaining four ounces of methamphetamine at that time.

At today’s sentencing hearing, U.S. District Judge Martin Reidinger enhanced Douville’s sentence after he found that the defendant had attempted to obstruct justice and derail his prosecution by producing forged letters and fake messages supposedly written and sent by a co-defendant, in which the co-defendant allegedly admitted that the seized methamphetamine belonged to him and not Douville.

On October 26, 2022, Douville pleaded guilty to possession with intent to distribute methamphetamine. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

U.S. Attorney King credited today’s sentence to an investigation led by the Western District’s Organized Crime Drug Enforcement Task Force (OCDETF) and thanked the Drug Enforcement Administration and the Haywood County Sheriff’s Office for their investigative efforts.

OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

Assistant United States Attorney Thomas Kent, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

ASHEVILLE, N.C. – Today, U.S. District Judge Martin Reidinger sentenced Jorge Luis Perez, 36, of Wimauma, Florida, to 260 months in prison followed by five years of supervised release on drug and gun charges, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

According to court documents and court proceedings, between May and July 2020, Perez distributed methamphetamine, heroin and fentanyl in Jackson and Swain Counties. Law enforcement conducting an investigation into drug trafficking networks operating in Western North Carolina learned of Perez’s drug trafficking activities in the area. Court records show that Perez obtained his drugs from drug distributors in Mexico by way of Georgia. Perez then distributed the drugs in North Carolina, Georgia and Florida. According to court records, on May 21, 2020, law enforcement conducted a traffic stop of Perez’s vehicle in Sylva, North Carolina. Over the course of the stop, law enforcement recovered a distribution quantity of methamphetamine, a firearm, and $10,384 in U.S. currency. Perez falsely claimed that he won the money at Harrah’s Cherokee Casino.

According to court records, on July 13, 2020, law enforcement stopped Perez’s vehicle for a traffic violation. In the vehicle, law enforcement found a larger distribution quantity of methamphetamine and a set of digital scales. Later the same day, a search warrant was executed at Perez’s camper. Law enforcement seized from the camper two firearms, more methamphetamine, a money counter, and several AR-15 magazines and ammunition. Law enforcement also found several wire transfer receipts indicating that Perez was wiring money to Mexico, under false names and addresses. In the camper, Perez also had a shrine dedicated to Santa Muerte, who has been adopted by drug traffickers as a folk “patron saint.”

Perez was arrested in Florida on January 5, 2022, on charges arising from his criminal conduct in North Carolina. Perez was in possession of another distribution quantity of methamphetamine at the time. During the course of the trial, several more ounces of methamphetamine and a kilogram of heroin were attributed to Perez. 

A federal jury convicted Perez on November 9, 2022, of possession with intent to distribute methamphetamine, possession of a firearm in furtherance of a drug trafficking crime, and possession with intent to distribute at least 50 grams of “actual” methamphetamine.

At today’s sentencing hearing, the Court enhanced Perez’s sentence, after the Court found that Perez obstructed justice on a number of occasions. First, Perez filed a petition falsely claiming that the $10,384 seized by law enforcement was the result of several days of winnings at the Casino. Then again during his federal trial, Perez lied under oath that he was a tomato farmer and had never been involved in drug trafficking activities. Perez also lied about owning the camper and claimed that he had not lived in the camper for over a year. Over the course of the trial, Perez lied again about the source of the $10,384 seized by law enforcement.

Perez is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

U.S. Attorney King credited today’s sentence to the investigative efforts of the Asheville, North Carolina and Tampa, Florida Offices of the Drug Enforcement Administration; the Jackson County, Swain County, and Transylvania County Sheriff’s Offices in North Carolina; and the Hillsborough County Sheriff’s Office in Florida.

Assistant United States Attorney Thomas Kent, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

 

CHARLOTTE, N.C. – Today, U.S. District Judge Frank D. Whitney sentenced Travon Roary, 37, of Charlotte, to 120 months in prison followed by three years of supervised release for committing two armed robberies, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Robert M. DeWitt, Special Agent in Charge of the FBI in North Carolina, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department (CMPD), join U.S. Attorney King in making today’s announcement.

According to court documents and court proceedings, on November 24, 2021, CMPD officers responded to a 911 call for an armed robbery at Bowl 77 Arcade located at 2301 Westinghouse Blvd. in Charlotte. The arcade employee told the officers that an individual later identified as Roary had pointed a firearm at her and proceeded to take cash from the store’s registers.

According to filed court documents and proceedings, a few days later, on November 28, 2021, CMPD officers responded to a 911 call for an armed robbery at Z’s Tobacco & Vape store located at 8424 Old Statesville Road in Charlotte. The store employee told officers that two men had walked into the store. One of them, later identified as Roary, asked the store clerk if he could buy a cigarette. Court records show that Roary then came behind the counter, pulled out a black handgun, and pointed it at the victim as the victim was trying to walk away. Roary told the victim not to run or Roary would shoot him. Roary forced the victim back to the cash register, where Roary and his armed co-conspirator took money and fled.

On December 8, 2022, Roary pleaded to two counts of robbery affecting interstate commerce, also referred to as Hobbs Act robbery. Roary has previous state convictions for conspiracy to commit armed robbery, second-degree kidnapping, second-degree burglary, and assault by strangulation.

Roary is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

U.S. Attorney King credited today’s sentence to the investigative efforts of the FBI and CMPD.  

Assistant United States Attorney David Kelly of the U.S. Attorney’s Office in Charlotte prosecuted the case.

CHARLOTTE, N.C. – Tijan Mboob, a/k/a “TJ,” a/k/a “Teejay McBoob,” a/k/a “Sheikhtijan,” 58, of Charlotte, appeared in federal court today on tax fraud charges, announced Dena J. King U.S. Attorney for the Western District of North Carolina. Mboob was arrested on Thursday, after a federal grand jury returned a 20-count criminal indictment charging him with aiding and assisting in the preparation and filing of false tax returns over a five-year span.

Donald “Trey” Eakins, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI) joins U.S. Attorney King in making today’s announcement.

“With tax season upon us, I urge taxpayers to exercise caution and use tax preparers who are qualified and authorized to prepare and file tax returns,” said U.S. Attorney King. “Federal prosecutors and IRS criminal investigators work closely to uncover tax fraud and identify fraudulent tax preparers who violate our tax laws and compromise the integrity of our tax system.”

“As we approach the April 15 tax deadline, those who consider preparing false tax returns should be aware of the extremely negative consequences as evidenced today,” said Special Agent in Charge Eakins. “It is important for people to have confidence that when they pay their taxes, their neighbors and co-workers are doing the same. Today's indictment emphasizes that the Internal Revenue Service and U.S. Attorney’s office will continue their aggressive pursuit of those who would attempt to defraud America's tax system."

According to allegations in the indictment, beginning in at least 2014 through 2021, Mboob prepared or caused to be prepared hundreds of fraudulent tax returns that were submitted to the IRS. The indictment alleges that Mboob was a “ghost preparer,” who failed to identify himself as a paid tax preparer on tax returns he prepared or submitted as required by the IRS, despite receiving payment from clients for his tax services. The indictment further alleges that Mboob prepared income tax returns for clients that included fabricated and fraudulent items, including false filing status, false American Opportunity and education credits, false itemized deductions and false reforestation credits, among others. Mboob’s alleged inclusion of the fabricated and fraudulent items resulted in the reduction of his clients’ tax liabilities and inflated refunds totaling more than $4.7 million. The indictment also alleges that Mboob refused to assist clients who received correspondence from the IRS questioning items on their tax returns that Mboob had prepared and filed.

As alleged in the indictment, Mboob also failed to report any preparation fees he earned as income for tax years 2017 and 2020 and did not file any tax returns for tax years 2018 and 2019.

Following his initial appearance in federal court, Mboob was released on bond. Each charge of aiding and assisting in the preparation and filing of false tax returns carries a maximum prison term of three years and a $250,000 fine.

The charges against Mboob are allegations. The defendant is innocent until proven guilty beyond reasonable doubt in a court of law.

In making today’s announcement U.S. Attorney King thanked IRS-CI for their investigation of the case.

Assistant U.S. Attorneys Cassye Cole and Graham Billings of the U.S. Attorney’s Office in Charlotte are prosecuting the case.

* * *

This week, the IRS began its annual Dirty Dozen Tax Scams campaign, which lists the worst of the worst tax schemes that taxpayers may encounter and typically peak during filing season. To learn more about the Dirty Dozen scams and for help with recognizing and avoiding abusive tax schemes, the IRS offers educational material at IRS.gov. Suspected tax fraud can be reported to the IRS using Form 3949-A found on the IRS.gov website. If you have been financially impacted by a tax return preparer’s misconduct or improper tax preparation practices you can file a complaint here.

                                               

 

 

CHARLOTTE, N.C. – Milton Antonio Hasty, a/k/a “Montana,” 31, of Salisbury, N.C., was sentenced to 21 years in prison followed by a lifetime of supervised release today for sex trafficking of a minor, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Robert M. DeWitt, Special Agent in Charge of the FBI in North Carolina, Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.

"For over five months, Hasty caused an underage girl to engage in commercial sex acts for his own profit. He trafficked the young victim across four states and made her engage in sexual activity even when she was sick, exhausted, and hungry. Hasty’s lengthy sentence reflects the appalling nature of his crime,” said U.S. Attorney King.

“One of the most important missions in the FBI is to protect our children,” said Special Agent in Charge DeWitt. “That is one of the many reasons the FBI devotes a significant amount of resources to help sex trafficking victims recover from the trauma they suffer at the hands of ruthless people like Hasty. Today’s sentence is a stark warning, there is a harsh punishment for those who choose to sacrifice another person’s civil rights and freedom for their own profit.”

According to court documents and today’s sentencing hearing, from January 22, 2019, to June 5, 2019, Hasty sex trafficked an underage female, knowing the victim was a minor, for his financial benefit. Court documents show that Hasty met the victim through a mutual female acquaintance. Upon meeting the victim, Hasty took photographs of the victim, posted escort advertisements online, booked hotel rooms, and arranged the victim’s sexual encounters with customers. For over five months, Hasty and the minor victim traveled to various cities throughout North Carolina, South Carolina, Florida, and Georgia, where the victim engaged in commercial sex acts. Hasty set up sexual encounters for the minor victim twenty-four hours a day and seven-days a week. Hasty kept almost all of the money the victim earned from these commercial sexual encounters.

On October 13, 2021, Hasty pleaded guilty to sex trafficking of a minor.  He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

U.S. Attorney King praised the FBI, HSI, and CMPD for their investigation of the case and said, “Sex trafficking cases are some of the most important and difficult federal prosecutions that my office handles. I commend the investigative work of our law enforcement partners in this case, which led to Hasty’s substantial prison term.”

Assistant U.S. Attorney Erik Lindahl of the U.S. Attorney’s Office in Charlotte prosecuted the case.                                                                  

CHARLOTTE, N.C. – Sampson Pearson, 45, of Charlotte, was sentenced today to seven years in prison followed by two years of supervised release for defrauding his clients of more than a million dollars, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. A federal jury previously convicted Pearson of wire fraud, tax fraud, and aggravated identity theft.

Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service (USPIS), which oversees Charlotte, and Donald “Trey” Eakins, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), join U.S. Attorney King in making today’s announcement.

According to filed court documents, trial evidence, and witness testimony, from 2004 to 2016, Pearson was a representative for a financial services firm identified in court documents as Company A. In that capacity, Pearson offered and sold life insurance products and annuities as an independent contractor for Company A in Charlotte. As trial evidence established, Pearson used his position to defraud at least 10 victims and Company A of more than $1.1 million through a fraudulent loan and disbursement scheme. Pearson executed the scheme by submitting falsified loan applications and requests for disbursements in the victims’ names without their knowledge and approval. Company A authorized the loans and disbursements based on the fraudulent documents submitted by Pearson. Pearson also directed Company A to deposit the fraudulently-obtained funds into an account controlled by the defendant. Pearson used the funds to pay for personal expenses and to fund his lifestyle. Evidence at trial showed that more than half of all the money the defendant had deposited into his bank account between 2011 and 2016 was money he stole from his victims. Evidence also established that Pearson made Ponzi-type payments to some of his victims to further perpetuate his fraud.

According to court records, Pearson also committed tax fraud for tax years 2013 through 2016, by filing fraudulent tax returns with the IRS that did not reflect the additional personal income.

At today’s sentencing hearing, U.S. District Judge Max O. Cogburn Jr. noted that “deterrence is very important in financial cases.”

In making today’s announcement U.S. Attorney King thanked USPIS and IRS-CI for their investigation of the case. 

Assistant U.S. Attorneys Cassye Cole, Graham Billings and Maria Vento handled the prosecution.

 

CHARLOTTE, N.C. – Dominique Malik Daniels, 23, of Charlotte, was sentenced today to 48 months in prison followed by two years of supervised release for unlawful possession of a stolen firearm, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.

"Stolen firearms pose a significant threat to the safety of our community, particularly when they end up in the hands of prohibited persons," said U.S. Attorney King. "Working with our law enforcement counterparts at the federal, state, and local level, we will continue to join forces to protect our communities and remove illegal firearms from our streets."

"Recovering stolen firearms from prohibited individuals is a critical step toward improving public safety," said Special Agent in Charge Mims. "ATF and our law enforcement partners are committed to locating those offenders who threaten our communities and recovering the firearms used to commit their crimes."

According to documents filed in this case and court proceedings, on December 31, 2020, CMPD officers were dispatched to a 7-Eleven on North Graham Street in Charlotte, after a store clerk alerted law enforcement that two individuals, one of whom was later identified as Daniels, were loitering in the parking lot. Officers responding to the service call interviewed the store clerk who told CMPD officers that he believed Daniels was armed. The officers approached Daniels and recovered from his jacket a 9 mm handgun and a Glock magazine. Over the course of the investigation, law enforcement determined that the firearm had been stolen out of Randolph County in North Carolina. Court records show that Daniels was previously convicted of multiple state offenses and he is prohibited from possessing a firearm. Court records show that Daniels was previously convicted of multiple state offenses and he is prohibited from possessing a firearm. On December 9, 2021, Daniels pleaded guilty to possession of a firearm by a convicted felon. 

* * *

In an unrelated case, on Wednesday, March 22, 2023, U.S. District Judge Max O. Cogburn Jr. sentenced Dejawn Jermaine King, 26, of Charlotte, to 37 months in prison followed by two years of supervised release for illegally possessing a stolen firearm. According to court documents filed in this case, on January 6, 2022, CMPD officers were dispatched to Statesville Road and Sunset Road, where they encountered King passed out at the wheel. After waking up, King began to reach into the vehicle’s center console. Officers were able to remove King from the vehicle and observed a firearm on the driver’s seat. During the investigation, law enforcement determined the firearm had been reported stolen out of Stokes County in North Carolina. King has a prior state conviction and he is prohibited from possessing a firearm. King pleaded guilty on June 22, 2022, to possession of a firearm by a felon.

Daniels and King are in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement U.S. Attorney King thanked the ATF and CMPD for their investigation of both cases.

Assistant U.S. Attorney Caryn Finley of the U.S. Attorney’s Office in Charlotte was in charge of both prosecutions.

* * *

In July 2022, the U.S. Attorney’s Office for the Western District of North Carolina launched Think Again, an informational campaign to educate the public on how to prevent illegal firearms from getting into the wrong hands. The U.S. Attorney’s Office partnered with the ATF in this initiative, in a joint effort to reduce gun-induced violence and to increase reporting of illegal firearms. The campaign encourages the public to submit an anonymous tip about illegal firearms and other criminal activity to the ATF by calling 1-888-ATF-TIPS (1-888-283-8477), via text at 63975, or online at WWW.ATF.GOV/ATF-TIPS.

For additional information about our Think Again initiative, please visit our website. You can view our Think Again Public Service Announcements here.

CHARLOTTE, N.C. – A Belmont, N.C. woman, with two prior federal embezzlement convictions, was sentenced to 57 months in prison today for executing back-to-back fraud schemes, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Lisa Buza Hill, a/k/a Lisa Rollins-Hill, 43, will also have to serve three years under court supervision after she is released from prison.

Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI) in North Carolina, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department (CMPD), join U.S. Attorney King in making today’s announcement.

According to court documents and court proceedings, in October 2012, Hill (at the time Rollins-Hill), was convicted of federal wire fraud for stealing more than $800,000 from her then-employer, a motorcycle company headquartered in Kings Mountain, N.C. At the time, Hill was ordered to serve a five-month probationary term followed by three years of supervised release and to pay $807,506.39 in restitution to the victim company.

In July 2020, the U.S. Attorney’s Office filed new charges against Hill, for embezzling funds from a Charlotte-based company where Hill worked as a Controller. According to court documents filed in this case, from September 2019 to February 2020, and while still paying restitution for the 2012 embezzlement scheme, Hill misused her access to her employer’s financial system, including her authority to issue company checks, and defrauded the company by fraudulently issuing herself approximately 15 company checks totaling over $22,000. During this time, Hill also made false statements to the U.S. Attorney’s Office’s attempts to collect court-ordered restitution owed by Hill in connection with her 2012 conviction.

In June 2021, while Hill’s criminal charges for the fraudulent check scheme were still pending, a federal bill of information was also filed against Hill, charging her with embezzling more than $550,000 from her latest employer, a development company located in Rock Hill, S.C., identified in court documents as R.W. According to court documents, from May 2020 to January 2021, Hill was employed by R.W. as the Chief Financial Officer (CFO). In that position, Hill had access to the company’s bank accounts, and her duties included the ability to make payments on behalf of the company. As court documents show, Hill misused her position and access to the company’s financial records to make unauthorized payments to herself, including to make transfers from R.W.’s accounts to pay for Hill’s personal expenses. In total, Hill transferred more than $550,000 in unauthorized funds from R.W. for her personal benefit. As Hill previously admitted in court, she used the embezzled funds to make payments for a BMW vehicle, to pay for a trip to Disney World, to make mortgage payments and to settle misuse of funds allegations from previous employers.  

According to court filings and statements made during the sentencing hearing, some of the funds embezzled from R.W. were also used to make settlement payments to two additional prior employers.  

In announcing today’s sentence, U.S. District Judge Max O. Cogburn Jr. emphasized the defendant’s “brazenness in continuing to steal from people while still on bond,” and noted the importance of “specific deterrence.”

 Hill is in federal custody. She will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

 The FBI and CMPD investigated Hill. Assistant U.S. Attorney Jenny G. Sugar of the U.S. Attorney’s Office in Charlotte prosecuted the cases.

CHARLOTTE, N.C. – Today, U.S. District Judge Robert J. Conrad Jr. sentenced Brandon Grunwald, 47, of Mint Hill, N.C., to 360 months in prison for sexual exploitation of a minor, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Upon release from custody, Grunwaldt will also be placed on supervised release for 20 years and will be required to register with the Sex Offender Registry Board in any state or jurisdiction where he works or resides.

Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Joseph Hatley of the Mint Hill Police Department join U.S. Attorney King in making today’s announcement.

According to filed court documents, trial evidence, and today’s sentencing hearing, between February 16 and October 31, 2020, Grunwaldt secretly recorded a minor on five different occasions while the minor was undressing and showering. The Mint Hill Police Department initiated an investigation into Grunwaldt after the minor reported discovering a cell phone hidden in the bathroom recording the minor while using the shower. Over the course of the investigation, law enforcement seized Grunwaldt’s cell phones and other electronic devices. A forensic analysis of the devices by Homeland Security Investigations revealed that Grunwaldt created and possessed five videos that depicted the minor using the shower and undressing. Law enforcement also determined that Grunwaldt frequently visited a website with pornographic videos similar to those he made. On February 15, 2022, a federal jury convicted Grunwaldt of five counts of production of child pornography and one count of possession of child pornography.

In announcing today’s sentence, Judge Conrad said that Grunwaldt’ s offense involved some of the most vile and disturbing conduct he has seen.

Grunwaldt is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, U.S. Attorney King commended HSI and the Mint Hill Police Department for their investigation of the case.

Assistant United States Attorney Stephanie Spaugh, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

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

 

 

CHARLOTTE, N.C. – Lance Richardson Pagan, 52, of Gastonia, N.C., was sentenced to 25 years in prison today, followed by six years of supervised release for drug and gun offenses, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Trent Conrad of the Gastonia Police Department (GPD) join U.S. Attorney King in making today’s announcement.

According to filed court documents and evidence presented at trial, law enforcement learned that Pagan was trafficking narcotics in Gaston County. At the time, Pagan was on supervised release for a previous federal drug conviction for which he was sentenced to seven years in prison. On January 12, 2022, law enforcement executed a search warrant at Pagan’s residence and seized a trafficking amount of cocaine and cocaine base, and three firearms. Due to Pagan’s prior convictions, he is prohibited from possessing a firearm or ammunition.

A federal jury convicted Pagan of possession with intent to distribute cocaine base and cocaine and possession of firearm by convicted felon. Pagan is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons.

U.S. Attorney King credited today’s sentence to investigations led by the Western District’s Organized Crime Drug Enforcement Task Forces (OCDETF), which have resulted in the conviction of more than 70 individuals, and the seizure of over 567 kilograms of cocaine, more than six kilograms of cocaine base, more than 17 kilograms of methamphetamine, more than four kilograms of heroin, over 30 kilograms of fentanyl, 127 firearms, and more $437,000 in cash and other property.

OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

In making today’s announcement, U.S. Attorney King thanked the FBI and GPD.  Assistant U.S. Attorney Steven R. Kaufman, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

 

CHARLOTTE, N.C. – A federal jury in Charlotte convicted Gregory Maxwell Palmer, 48, a naturalized citizen of Jamaica, of naturalization fraud, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Frank D. Whitney presided over the two-day trial which ended yesterday evening.

Sean Ervin, Field Office Director of U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations Division (ICE-ERO) joins U.S. Attorney King in making today’s announcement.

“Palmer used lies and deceit to cheat his way into an American citizenship,” said U.S. Attorney King. “Today’s guilty verdict holds Palmer accountable for his actions and sends a warning message to those who attempt to compromise the integrity of our naturalization process and violate our country’s immigration laws: You will not go unpunished.”

“Palmer’s attempts to exploit our nation’s immigration system have been discovered and now he faces the consequences of his actions,” said Director Ervin. “ERO and its law enforcement partners will continue to target those who seek to violate the sanctity of the U.S. immigration system.”

According to filed documents, evidence presented at trial, and witness testimony, in 2008, while Palmer was residing in Gastonia, N.C., he sexually abused a minor. Palmer later obtained his U.S. citizenship fraudulently by providing materially false information on his citizenship application. Trial evidence established that, during the naturalization process, Palmer lied about his criminal history, and failed to admit that prior to applying for citizenship, he had knowingly committed sexual acts with a child.

According to trial evidence, on May 5, 2011, Palmer submitted an application for naturalization to U.S. Citizenship and Immigration Services (CIS). Palmer lied on the application form by responding “No” to the question “Have you ever committed a crime or offense for which you were not arrested?” Palmer signed the form under penalty of perjury, and certified that his answers were true and correct. On October 5, 2011, Palmer appeared at the CIS office in Charlotte for a naturalization interview. During the interview, Palmer swore under oath that his responses on the naturalization application were true and that he had never committed a crime for which he had not been arrested. On October 20, 2011, Palmer participated in a naturalization ceremony at the CIS office in Charlotte and was granted U.S. citizenship.

According to court records, on June 6, 2013, in the Gaston County Superior Court, Palmer pleaded guilty to attempted statutory rape and was ordered to serve between 157 and 198 months in prison. Palmer admitted to having committed the crime on June 17, 2008, by taking advantage of a position of trust with a minor victim. Palmer was not arrested for the crime until after he became a naturalized citizen. Court documents show that while Palmer was going through the naturalization process, immigration officials were not aware of his criminal actions.

Palmer is currently serving a state prison sentence. The maximum penalty for unlawful procurement of citizenship is 10 years in prison and a $250,000 fine. A sentencing date has not been set.

In making today’s announcement, U.S. Attorney King thanked ICE-ERO for their investigation of the case and credited Operation False Haven, which led to Palmer’s conviction. False Haven is an ongoing ERO initiative purpose-built to identify individuals who fraudulently obtained U.S. citizenship. 

Assistant U.S. Attorneys Kenneth Smith and Katherine Armstrong of the U.S. Attorney’s Office in Charlotte are in charge of the prosecution.

Two North Carolina men were sentenced today for violations of the Animal Welfare Act for engaging in dog fighting and related criminal conduct. 

Laddie Dwayne McMillian, 47, will serve 16 months in prison and Derrick Twitty, 48, will serve six months in prison. Both defendants will serve two years of supervised release following the completion of their sentences and are prohibited from possessing any dogs during the term of supervision, including through a third party.

According to court documents, McMillian conspired to breed, train and fight dogs for nearly 15 years. He openly boasted of owning and operating “mass destruction kennels,” a fighting dog breeding operation. On Jan. 27, 2020, McMillian shared a video of his “yard,” showcasing 13 dogs. He also shared videos of his dogs engaged in fights. In one video, which lasts four minutes and 57 seconds, two dogs are seen fighting in a typical fighting pit. By the end of the video, the dogs’ faces and ears are bleeding and raw.

In early 2020, Twitty joined the fighting and breeding operations, and together, the two trained and bred dogs for dog fights, scheduled “roll” fights, and tended to their dog’s injuries. A “roll” is a fight between two dogs for a short period of time, testing the dogs’ fighting abilities and is an “animal fighting venture.”

“Slick Rick” was their prize fighter. Born in January 2018, McMillian trained and subjected Slick Rick to fights, over and over again. He died in January 2022, a few weeks after McMillian sponsored him in a dog fight. 

“The life and death of this dog reflects the defendants’ extraordinary cruelty, abuse, and mistreatment of animals for entertainment – criminal conduct that our division has and will continue to aggressively prosecute,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division.

“The defendants in this case treated dogs like a commodity, bred and trained to fight, often to death, for the amusement of spectators taking part in this cruel activity,” said U.S. Attorney Dena J. King for the Western District of North Carolina. “Dogfighting is an illegal blood sport that subjects animals to incredible pain and suffering. It is also a federal crime and one that has the full attention of my office and our law enforcement counterparts.”

“The barbaric practice of pitting animals against each other in a fight to the death has no place in this country,” said Acting Special Agent in Charge Salina Walker of the Department of Agriculture Office of Inspector General (USDA-OIG). “The outstanding work of our federal, state, and local law enforcement partners who investigated this case and the prosecutors of the Department of Justice made it possible to bring this individual of a major animal fighting venture to justice. USDA-OIG has made animal fighting a high priority in order to demonstrate that these inhumane acts of cruelty to animals will not be tolerated.”

The USDA-OIG and North Carolina’s Polk County Sheriff’s Office investigated the case.

Senior Trial Attorney Banumathi Rangarajan and Trial Attorney William J. Shapiro of the Environment and Natural Resources Division’s Environmental Crimes Section and Deputy Criminal Chief Don Gast for the Western District of North Carolina prosecuted the case.

ASHEVILLE, N.C.  – Two North Carolina men were sentenced today for violations of the Animal Welfare Act for engaging in dog fighting and related criminal conduct, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Laddie Dwayne McMillian, 47, will serve 16 months in prison and Derrick Twitty, 48, will serve six months in prison. Both defendants will serve two years of supervised release following the completion of their sentences and are prohibited from possessing any dogs during the term of supervision, including through a third party.

According to court documents, McMillian conspired to breed, train, and fight dogs for nearly 15 years. He openly boasted of owning and operating “mass destruction kennels,” a fighting dog breeding operation. On Jan. 27, 2020, McMillian shared a video of his “yard,” showcasing 13 dogs. He also shared videos of his dogs engaged in fights. In one video, which lasts four minutes and 57 seconds, two dogs are seen fighting in a typical fighting pit. By the end of the video, the dogs’ faces and ears are bleeding and raw.

In early 2020, Twitty joined the fighting and breeding operations, and together, the two trained and bred dogs for dog fights, scheduled “roll” fights, and tended to their dog’s injuries. A “roll” is a fight between two dogs for a short period of time, testing the dogs’ fighting abilities and is an “animal fighting venture.”

“Slick Rick” was their prize fighter. Born in January 2018, McMillian trained and subjected Slick Rick to fights, over and over again. He died in January 2022, a few weeks after McMillian sponsored him in a dog fight. 

“The life and death of this dog reflects the defendants’ extraordinary cruelty, abuse, and mistreatment of animals for entertainment – criminal conduct that our division has and will continue to aggressively prosecute,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division.

“The defendants in this case treated dogs like a commodity, bred and trained to fight, often to death, for the amusement of spectators taking part in this cruel activity,” said U.S. Attorney King. “Dogfighting is an illegal blood sport that subjects animals to incredible pain and suffering. It is also a federal crime and one that has the full attention of my office and our law enforcement counterparts.”

“The barbaric practice of pitting animals against each other in a fight to the death has no place in this country,” said Acting Special Agent in Charge Salina Walker of the U.S. Department of Agriculture Office of Inspector General (USDA-OIG). “The outstanding work of our federal, state, and local law enforcement partners who investigated this case and the prosecutors of the Department of Justice made it possible to bring this individual of a major animal fighting venture to justice. USDA-OIG has made animal fighting a high priority in order to demonstrate that these inhumane acts of cruelty to animals will not be tolerated.”

The USDA-OIG and North Carolina’s Polk County Sheriff’s Office investigated the case.

Senior Trial Attorney Banumathi Rangarajan and Trial Attorney William J. Shapiro of the Environment and Natural Resources Division’s Environmental Crimes Section and Assistant U.S. Attorney Don Gast of the U.S. Attorney’s Office in Asheville prosecuted the case.

CHARLOTTE, N.C. – Two Charlotte business owners, Hamzeh Jamal Alasfar, 31, and Tayseer Issam Alkhayyat, 35, both of Charlotte, pleaded guilty today in federal court before Judge Kenneth D. Bell to charges related to selling and shipping fraudulently obtained and stolen new Apple iPhones to an international buyer, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.

Jason Byrnes, Special Agent in Charge of the United States Secret Service, Charlotte Field Office, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.

According to the factual basis filed in the case, as early as 2013 and continuing through at least 2019, Alasfar and Alkhayyat engaged in a scheme to purchase stolen and fraudulently obtained new Apple iPhones and other electronic devices, and sell and ship the devices to buyers located in other states and foreign countries, including the United Arab Emirates and Hong Kong.

Filed court documents show that Alasfar and Alkhayyat owned multiple businesses located in Charlotte, including Cellport International Inc. (Cellport) and D Town Wireless (D Town), which were used in the scheme. Between January 2019 and January 2020, the defendants sold and shipped through Cellport more than 20,000 new iPhones for more than $20 million. 

Alasfar and Alkhayyat each pleaded guilty to one count of interstate and foreign transportation of stolen property, which carries a maximum prison sentence of 10 years and a $250,000 fine per count. Alasfar and Alkhayyat remain on release pending their sentencing hearings, which will be scheduled in federal court in Charlotte.

This case was the result of the investigative efforts of CMPD and the Secret Service, which have established a fully integrated partnership to combat organized criminal groups operating in Charlotte. Through this partnership, this unit has successfully leveraged local and federal resources, personnel, expertise and authorities to identify and combat the criminals and criminal organizations that have the largest negative impact on the community.

Assistant U.S. Attorneys William T. Bozin and Michael E. Savage of the U.S. Attorney’s Office in Charlotte are prosecuting the case.

STATESVILLE, N.C. – Vincent Deritis, 33, of Hickory, N.C., was sentenced today to 50 years in prison and a lifetime of supervised release for the sexual exploitation of a minor and possession of child sexual abuse material (CSAM), announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Deritis was also ordered to register as a sex offender after he is released from prison.

Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Reed Baer of the Hickory Police Department join U.S. Attorney King in making today’s announcement.

According to filed court documents, evidence presented at trial and today’s sentencing hearing, between October 2018 and March 2019, Deritis created child pornography of an unknowing minor victim on three occasions. On April 3, 2019, law enforcement executed a search warrant at Deritis’ residence. A forensic analysis of electronic devices seized from the defendant’s home and files in his cloud storage account revealed that Deritis possessed images and videos of the minor victim naked while getting in or out of the shower, photos of the minor’s genitalia, and thousands of images of child pornography Deritis had downloaded from the internet. On June 22, 2022, a federal jury convicted Deritis of three counts of production of child pornography and one count of possession of child pornography.

“Deritis is a child predator who caused a minor victim substantial harm,” said U.S. Attorney King. “Protecting children and holding perpetrators accountable is a priority for my office. Federal prosecutors work hand-in-hand with our law enforcement partners to investigate and prosecute child exploitation cases, and our victim assistance unit ensures that victims and their families receive the support and assistance they need throughout the court process and beyond.”

“This sentence sends the message that those who seek to exploit our most vulnerable population, will face accountability for their predatory ways,” said HSI Special Agent in Charge Martinez. “We will continue to work tirelessly with our law enforcement and community partners to protect the children in our communities.”

Deritis is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, U.S. Attorney King commended HSI and the Hickory Police Department for their investigation of the case.

Assistant United States Attorney Nick J. Miller, of the U.S. Attorney’s Office in Charlotte prosecuted the case.

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

CHARLOTTE, N.C. – Today, U.S. Attorney Dena J. King, along with members of the U.S. Attorney’s Office Civil Rights Team and federal and local law enforcement partners, met with representatives of the Sikh community.

Today’s meeting was the first of a series of planned outreach and educational events to be conducted by the U.S. Attorney’s Office as part of the Justice Department’s “United Against Hate” (UAH) initiative. In September 2022, the Justice Department announced the launching of UAH, a nationwide program created to combat the rise in unlawful acts of hate.

In the Western District of North Carolina, the UAH initiative will include a series of events focusing on community groups at risk of being targeted in hate crimes and incidents of hate. Each event will give participants an opportunity to directly connect with federal prosecutors and law enforcement to increase community understanding of hate crimes and hate incidents; provide a mechanism for reporting potential hate crimes and civil rights violations; build trust between law enforcement and communities; and create and strengthen alliances with government partners and community groups to combat unlawful acts of hate.

“People in communities across the Western District have the right to live their lives free from fear, violence, and intimidation. This fundamental right is guaranteed and protected by the Constitution. Unfortunately, certain groups are frequent targets of acts of hate and abuse,” said U.S. Attorney King. “The purpose of this initiative is to protect our communities, educate members on their rights and the relevant law, provide an avenue for reporting hate crimes and incidents of hate, and increase trust in our criminal justice system. I am looking forward to attending the outreach events, participating in a productive dialogue with community members, and working collaboratively to combat hate crimes.”

Today’s event, which was held at the Gurdwara Khalsa Darbar, the Sikh faith center in Charlotte, featured a presentation by Assistant U.S. Attorneys with experience in prosecuting hate crimes and civil rights violations, and law enforcement representatives with the FBI, and the Charlotte Mecklenburg Police Department. In addition to law enforcement, representatives from the Justice Department’s Community Relations Service were also in attendance. The presenters facilitated a discussion with representatives of the Sikh community centered on hate crimes, including defining hate crimes versus hate incidents; the importance of reporting acts of hate to law enforcement; providing options for responding to hate incidents when situations do not constitute federal or state crimes; and distinguishing unlawful conduct from protected First Amendment activity, with a focus on identifying protected speech versus speech that advocates violence or encourages people to commit hate crimes.

“The Sikh community of Charlotte greatly values the relationship it has built with the U.S. Attorney’s Office, going back to 2008. With the Office’s help, we have always been able to reach out to federal law enforcement for assistance with any challenge our community faces, whether it is school bullying, diversity training at the airport, security of the Gurdwara, or civil rights matters. Today, the U.S. Attorney’s Office continues to play a pivotal role in shaping and nurturing this relationship. Our community is grateful for everything this Office has done for us,” said Pushpinder Garcha, a representative of the United Sikhs. 

The U.S. Attorney’s Office will hold additional UAH events in the upcoming months to engage with communities throughout the Western District.

On May 27, 2021, U.S. Attorney General Merrick B. Garland issued a memorandum on improving the Justice Department’s efforts to combat unlawful acts of hate, and emphasized the need to actively engage in outreach and educational efforts centered around hate crimes.

 

A federal grand jury in Charlotte returned an indictment yesterday charging a North Carolina man with masterminding and directing a massive scheme to deceive state insurance regulators and defraud thousands of policyholders and others in connection with insurance companies he controlled.

According to court documents, from no later than 2016 through at least 2019, Greg E. Lindberg, 53, of Durham, and others allegedly agreed to defraud various insurance companies, other third parties, and ultimately, thousands of insurance policyholders. Lindberg allegedly deceived the North Carolina Department of Insurance and other regulators, evaded regulatory requirements meant to protect policyholders, concealed the true financial condition of his insurance companies, and improperly used insurance company funds for his personal benefit. In particular, the indictment alleges that Lindberg personally benefitted from the fraud in part by using insurance company funds to finance his lavish lifestyle, including the purchase and refinancing of personal real estate and “forgiving” more than $125 million in loans from his affiliated companies to himself.

“Policyholders rely on insurance company owners to follow the rules so that the benefits they deserve and depend on will be available when needed,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “In this alleged $2 billion scheme, the defendant defrauded regulators and policyholders alike, causing substantial financial harm to thousands of victims. As this prosecution demonstrates, no matter how complex the scheme, the department will hold accountable corporate executives whose crimes leave policyholders holding the bag while lining their own pockets.”

The charged conduct allegedly caused substantial financial hardship to the victims. Lindberg allegedly caused the insurance companies to engage in investments of nearly $2 billion as part of his scheme, most of which remained outstanding as of September 2022. Since 2019, multiple insurance companies controlled by Lindberg have been placed into rehabilitation or liquidation.

“The indictment reveals a carefully orchestrated scheme that relied on a web of complex financial investments and transactions designed to evade regulators, disguise the financial health of Lindberg’s insurance companies, and conceal the alleged purpose of the scheme: Lindberg’s personal gain,” said U.S. Attorney Dena J. King for the Western District of North Carolina. “My office will continue to work with our law enforcement partners to investigate and prosecute financial wrongdoing and hold perpetrators accountable for their actions.”

“People buy insurance products to provide comfort and security. However, this indictment alleges this was a sophisticated and intricate scheme designed for one reason, to benefit Lindberg,” said Acting Special Agent in Charge Michael C. Scherck of the FBI Charlotte Field Office. “The FBI is unwavering in our efforts to hold those accountable who commit federal financial crimes.”

Lindberg is charged with one count of conspiracy to commit crimes in connection with insurance business, wire fraud, and investment adviser fraud; one count of wire fraud; four counts of false insurance business statements presented to regulators; six counts of false entries about the financial condition or solvency of an insurance business; and one count of money laundering conspiracy. If convicted, he faces a maximum penalty of 20 years in prison on each of the top counts.

In December 2022, one of Lindberg’s top executives, Christopher Herwig, pleaded guilty in a related case to conspiring with Lindberg and others to commit wire fraud, investment advisor fraud, and money laundering, as well as to the making of false statements in the business of insurance.

Separately, Lindberg remains under indictment and is awaiting retrial in a case in which he faces several charges stemming from alleged attempts to bribe the Commissioner of the North Carolina Department of Insurance.

The FBI Charlotte Field Office is investigating the case.

Assistant U.S. Attorney Daniel Ryan for the Western District of North Carolina and Trial Attorney Lyndie Freeman of the Criminal Division’s Fraud Section are prosecuting the case.

If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at victimassistance.fraud@usdoj.gov. You are also encouraged to visit our webpage for this case at https://www.justice.gov/criminal-vns/case/united-states-v-greg-e-lindberg.

CHARLOTTE, N.C. – A federal grand jury in Charlotte returned an indictment charging a North Carolina man with masterminding and directing a massive scheme to deceive state insurance regulators and defraud thousands of policyholders and others in connection with insurance companies he controlled.

According to court documents, from no later than 2016 through at least 2019, Greg E. Lindberg, 53, of Durham, and others allegedly agreed to defraud various insurance companies, other third parties, and ultimately, thousands of insurance policyholders. Lindberg allegedly deceived the North Carolina Department of Insurance and other regulators, evaded regulatory requirements meant to protect policyholders, concealed the true financial condition of his insurance companies, and improperly used insurance company funds for his personal benefit. In particular, the indictment alleges that Lindberg personally benefitted from the fraud in part by using insurance company funds to finance his lavish lifestyle, including the purchase and refinancing of personal real estate and “forgiving” more than $125 million in loans from his affiliated companies to himself.

“Policyholders rely on insurance company owners to follow the rules so that the benefits they deserve and depend on will be available when needed,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “In this alleged $2 billion scheme, the defendant defrauded regulators and policyholders alike, causing substantial financial harm to thousands of victims. As this prosecution demonstrates, no matter how complex the scheme, the department will hold accountable corporate executives whose crimes leave policyholders holding the bag while lining their own pockets.”

“The indictment reveals a carefully orchestrated scheme that relied on a web of complex financial investments and transactions designed to evade regulators, disguise the financial health of Lindberg’s insurance companies, and conceal the alleged purpose of the scheme: Lindberg’s personal gain,” said U.S. Attorney Dena J. King for the Western District of North Carolina. “My office will continue to work with our law enforcement partners to investigate and prosecute financial wrongdoing and hold perpetrators accountable for their actions.”

“People buy insurance products to provide comfort and security. However, this indictment alleges this was a sophisticated and intricate scheme designed for one reason, to benefit Lindberg,” said Acting Special Agent in Charge Michael C. Scherck of the FBI Charlotte Field Office. “The FBI is unwavering in our efforts to hold those accountable who commit federal financial crimes.”

The charged conduct allegedly caused substantial financial hardship to the victims. Lindberg allegedly caused the insurance companies to engage in investments of nearly $2 billion as part of his scheme, most of which remained outstanding as of September 2022. Since 2019, multiple insurance companies controlled by Lindberg have been placed into rehabilitation or liquidation.

Lindberg is charged with one count of conspiracy to commit crimes in connection with insurance business, wire fraud, and investment adviser fraud; one count of wire fraud; four counts of false insurance business statements presented to regulators; six counts of false entries about the financial condition or solvency of an insurance business; and one count of money laundering conspiracy. If convicted, he faces a maximum penalty of 20 years in prison on each of the top counts.

In December 2022, one of Lindberg’s top executives, Christopher Herwig, pleaded guilty in a related case to conspiring with Lindberg and others to commit wire fraud, investment advisor fraud, and money laundering, as well as to the making of false statements in the business of insurance.

Separately, Lindberg remains under indictment and is awaiting retrial in a case in which he faces several charges stemming from alleged attempts to bribe the Commissioner of the North Carolina Department of Insurance.

The FBI Charlotte Field Office is investigating the case.

Assistant U.S. Attorney Daniel Ryan for the Western District of North Carolina and Trial Attorney Lyndie Freeman of the Criminal Division’s Fraud Section are prosecuting the case.

If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at victimassistance.fraud@usdoj.gov. You are also encouraged to visit our webpage for this case at www.justice.gov/criminal-vns/case/united-states-v-greg-lindberg.

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

 

 

CHARLOTTE, N.C. – Today, U.S. District Judge Frank D. Whitney sentenced Brandon Eugene Massey, 38, of Blacksburg, S.C., to 151 months in prison, for conspiracy to distribute and to possess with intent to distribute methamphetamine, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Judge Whitney also imposed five years of supervised release following incarceration.

According to filed documents and information introduced at the sentencing hearing, between 2019 and 2020, Massey was responsible for trafficking one and a half kilograms of methamphetamine, including 150 grams of ultra-high purity methamphetamine, that was seized from his co-conspirators. Court documents show that Massey was responsible for supplying the methamphetamine to individuals who then distributed it in Gaston and Mecklenburg Counties and elsewhere. According to court records, prior to being sentenced, Massey fled from prosecution and was arrested in Myrtle Beach, S.C.

This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation, which to date has led to the federal prosecution of more than 60 individuals for drug trafficking. Law enforcement have also seized more than 49 kilograms of methamphetamine, 29 kilograms of fentanyl, 27 kilograms of cocaine, 3.5 kilograms of heroin, 70 firearms, more than $385,000 in cash, and over $800,000 in other property. 

OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/ocdetf.

In making today’s announcement, U.S. Attorney King commended the Drug Enforcement Administration, Homeland Security Investigations, the Charlotte Mecklenburg Police Department, the Gastonia Police Department, and the Huntersville Police Department for their coordination and investigation of the case.

Assistant United States Attorney Steven R. Kaufman, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

CHARLOTTE, N.C. – U.S. Attorney Dena J. King announced today that Benjamin Padua Jr., 57, of Huntersville, N.C., was sentenced to 30 months in prison for embezzling hundreds of thousands of dollars from his employer following the company owner’s death. Padua was also ordered to serve three years under court supervision after he is released from prison and to pay $729,914.32 in restitution.

Michael C. Scherck, Acting Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, joins U.S. Attorney King in making today’s announcement.

According to filed documents and today’s sentencing hearing, from September 2019 to February 2021, Padua abused his senior finance position with his employer, identified in court documents as Trucking Company, and used falsified documents and improper accounting entries to embezzle hundreds of thousands of dollars. Court documents show that, following the Trucking Company owner’s death in October 2019, Padua forged the owner’s signature on a fake employment agreement Padua created and backdated to prior to the owner’s death. The fraudulent employment agreement purported to increase Padua’s compensation significantly through higher wages, bonuses, and life insurance benefits. After he created the fake employment agreement, Padua received substantial compensation from the Trucking Company, to which he was not entitled.

Padua previously pleaded guilty to wire fraud. He will be ordered to report to the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, U.S. Attorney King thanked the FBI in Charlotte for their investigation of the case.

Assistant United States Attorney Daniel Ryan, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.