District Not Recorded

The Department of Justice today announced an agreement with Denver, Colorado, to improve access to civic life for people with disabilities.  The agreement was reached under Project Civic Access (PCA), the Department’s initiative to ensure that cities, towns, and counties throughout the country comply with the Americans with Disabilities Act (ADA).   

Under the agreement, Denver will ensure that its services, programs, and activities are accessible to people with disabilities.  Based on surveys conducted by the United States as part of its investigation, the agreement requires Denver to remedy inaccessible features at courthouses, emergency shelters, libraries, parking lots, polling places, and parks to make these facilities accessible to persons with disabilities.  In addition, to improve communication with people with hearing disabilities, Denver will contract with sign language interpreters and use Relay Colorado and text-to-911 on calls.  Denver has also agreed to ensure that its emergency operations plan is accessible, to provide training to its employees on the ADA, and to survey certain facilities that were not already surveyed by the Department

“Denver has committed to ensuring all of its residents, including persons with disabilities, have access to county and city services and programs,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “We applaud Denver for taking this step.”

This agreement was reached under Title II of the ADA, which prohibits discrimination against individuals with disabilities by state and local governments.

For more information about the ADA, today’s agreement, the Project Civic Access initiative, or the ADA Best Practices Tool Kit for state and local governments, individuals may access the ADA Web page at http://www.ada.gov/civicac.htm or call the toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TTY).

Today Attorney General Jeff Sessions applauded the Chinese government for announcing that it would restrict two chemical precursors to fentanyl.

“Synthetic opioids are killing thousands of people in communities across this nation, and we know that many of these substances originated in China,” Attorney General Sessions said. “President Trump and I have repeatedly brought up this issue with the Chinese government, and we are working to restrict the flow of these drugs to our country.  I am pleased to see China taking steps that will protect not just their own people from this poison, but the American people, too. I hope that China will continue to take steps like this and eventually schedule all fentanyl analogues, just as the DEA is doing.”

In 2017, China scheduled a number of fentanyl-class substances, including carfentanil, furanyl fentanyl, valeryl fentanyl, acryl fentanyl, U-47700, MT-45, PMMA, and 4,4’ DMAR.  Last week, China’s Ministry of Public Security announced that, effective Feb. 1, NPP and 4ANPP, substances that can be used to make illicit fentanyl, would also be scheduled. 

U.S. Department of Justice and Chinese officials maintain frequent contact to collaborate and share data on the threat from fentanyl-class substances.  Information-sharing includes scientific data, trafficking trends, and sample exchanges. This dialogue has resulted in more effective methods for identifying deadly substances for government control.

Attorney General Sessions and Deputy Attorney General Rosenstein both requested China’s scheduling action in meetings with then-State Councilor Guo Shengkun of the Chinese Ministry of Public Security.  Deputy Attorney General Rosenstein met with then-State Councilor Guo in Beijing, China on Sept. 25, 2017 and the Attorney General met with him in Washington, D.C. on Oct. 3 and 4, 2017.  

In October, Deputy Attorney General Rosenstein announced the first-ever indictment of Chinese nationals for attempting to distribute massive quantities of synthetic opioids in two different regions of the United States.

It is estimated that, in 2016, more than 20,000 Americans were killed by overdoses of fentanyl or fentanyl analogues, making these the deadliest drugs in America.  According to the U.S.-China Commission, a majority of the fentanyl products in the United States originated in China.

The Department of Justice today issued a memo on federal marijuana enforcement policy announcing a return to the rule of law and the rescission of previous guidance documents. Since the passage of the Controlled Substances Act (CSA) in 1970, Congress has generally prohibited the cultivation, distribution, and possession of marijuana.

In the memorandum, Attorney General Jeff Sessions directs all U.S. Attorneys to enforce the laws enacted by Congress and to follow well-established principles when pursuing prosecutions related to marijuana activities. This return to the rule of law is also a return of trust and local control to federal prosecutors who know where and how to deploy Justice Department resources most effectively to reduce violent crime, stem the tide of the drug crisis, and dismantle criminal gangs.

"It is the mission of the Department of Justice to enforce the laws of the United States, and the previous issuance of guidance undermines the rule of law and the ability of our local, state, tribal, and federal law enforcement partners to carry out this mission," said Attorney General Jeff Sessions. "Therefore, today's memo on federal marijuana enforcement simply directs all U.S. Attorneys to use previously established prosecutorial principles that provide them all the necessary tools to disrupt criminal organizations, tackle the growing drug crisis, and thwart violent crime across our country."

Nigel Garrett, 21, was sentenced today to 15 years in prison for assaulting a man because of the victim’s sexual orientation, the Justice Department’s Civil Rights Division, the U.S. Attorney’s Office of the Eastern District of Texas, and U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives’ Dallas Division announced.

According to the plea agreement, Garrett admitted that he, Anthony Shelton, and Chancler Encalade used Grindr, a social media dating platform for gay men, to arrange to meet the victim at the victim’s home. Upon entering the victim’s home, the defendants restrained the victim with tape, physically assaulted the victim, and made derogatory statements to the victim for being gay. The defendants brandished a firearm during the home invasion, and they stole the victim’s property, including his motor vehicle.

A federal grand jury previously had returned an eighteen-count superseding indictment, against Garrett, Shelton, Encalade and Cameron Ajiduah, that included charges for hate crimes, kidnappings, carjackings, and the use of firearms to commit violent crimes. The indictment also charged the defendants with conspiring to cause bodily injury because of the victims’ sexual orientation during four home invasions in Plano, Frisco, and Aubrey, Texas, from January 17 to February 7, 2017. Anthony Shelton, Chancler Encalade, and Cameron Ajiduah subsequently pleaded guilty to hate crime charges from this indictment, and all three await sentencing.  

“Hate crimes are an attack on a fundamental principle of the United States to be free from fear of violence because of your sexual orientation, gender identity, race, color, religion, or national origin,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “The Department of Justice is committed to using every tool at its disposal to combat this type of violence.”

“Violence, in any form, is an affront to the American principles of freedom and safety that our communities are entitled to,” said Acting U.S. Attorney Brit Featherston. “The Department of Justice has made prosecution of violent crime a priority.  The Eastern District of Texas, in prosecuting this case and others like it, intends to demonstrate that this priority is something more than just a slogan.” 

The investigation is being conducted by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Plano Police Department, and the Frisco Police Department.  The case is being prosecuted by Assistant U.S. Attorney Tracey Batson of the U.S. Attorney’s Office for the Eastern District of Texas and Trial Attorney Saeed Mody of the Civil Rights Division.

A North Carolina convicted felon pleaded guilty today to mailing a threatening communication and retaliating against a federal official in the Western District of North Carolina.  

Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, Special Agent in Charge John A. Strong of the FBI’s Charlotte Field Office and U.S. Marshal Kelly M. Nesbit of the U.S. Marshals Service made the announcement.

George Victor Stokes, 41, mailed a letter threatening to kill a U.S. District Court Judge, the former U.S. Attorney for the Western District of North Carolina, and an Assistant U.S. Attorney for the Western District of North Carolina.  Specifically, according to the Indictment, Stokes threatened to “blow” the head off of a U.S. District Court Judge.  As a part of his guilty plea, Stokes admitted he sent the death threat as retaliation for the victims’ roles in the sentencing and prosecution of Stokes in a separate prior federal case.    

A sentencing date has not yet been set.

FBI Charlotte and the U.S. Marshals Service for the Western District of North Carolina investigated the case.  Trial Attorneys Matthew K. Hoff and Rachel E. Timm of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.  

The U.S. Department of Justice today announced the opening of the grant solicitation period for comprehensive funding to federally-recognized American Indian and Alaska Native tribal governments and tribal consortia to support public safety, victim services and crime prevention.

The Department’s Fiscal Year 2018 Coordinated Tribal Assistance Solicitation, or “CTAS,” posts today at https://www.justice.gov/tribal/open-solicitations. The solicitation contains details about available grants and describes how tribes, tribal consortia and Alaskan villages can apply for the funds.

The funding can be used to enhance law enforcement; bolster adult and juvenile justice systems; prevent and control juvenile delinquency; serve native victims of crimes such as child abuse, sexual assault, domestic violence, and elder abuse; and support other efforts to combat crime. 

“We’re proud to offer American Indian and Alaska Native communities opportunities to continue to improve public safety, better serve victims of crime, and strengthen criminal justice systems,” said Associate Attorney General Rachel Brand.  “CTAS projects support Native American women, ensure tribal self-determination, and further our shared goals of safe and secure communities for American Indian and Alaska Native peoples.”

Applications for CTAS are submitted online through the Department’s Grants Management System. Applicants must register with the Grants Management System prior to submitting an application. The application deadline is 9:00 p.m. EST, March 20, 2018.  

For the FY 2018 CTAS, applicants will submit a single application and select from any or all of the nine competitive grant programs referred to as “purpose areas.” This approach allows the Department’s grant-making components to consider the totality of a tribal nation’s overall public safety needs.  

The nine purpose areas are:

• Public Safety and Community Policing
• Comprehensive Tribal Justice Systems Strategic Planning
• Justice Systems and Alcohol and Substance Abuse
• Tribal Justice System Infrastructure Program
• Violence Against Women Tribal Governments Program
• Children’s Justice Act Partnerships for Indian Communities
• Comprehensive Tribal Victim Assistance Program
• Juvenile Justice Wellness Courts
• Tribal Youth Program

In an effort to provide guidance on the Fiscal Year 2018 CTAS, the Department is sponsoring a series of webinars to educate applicants on CTAS application requirements. For details, including how to register for these webinars, visit https://www.justice.gov/tribal/open-solicitations for the webinar schedule.

Additionally, tribes and tribal consortia may also be eligible for non-tribal federal grant programs and are encouraged to explore other funding opportunities, which may be found at DOJ’s Tribal Justice and Safety website at https://www.justice.gov/tribal/open-solicitations or the www.grants.gov website.

CTAS is administered by the Department’s Offices of Justice Programs, Community Oriented Policing Services, and Violence Against Women.

Today’s announcement is part of the DOJ’s ongoing initiative to increase engagement, coordination and action on public safety in tribal communities.

A former executive pleaded guilty today in the District of New Jersey for his role in a conspiracy to eliminate competition by rigging bids, allocating customers, and fixing the price for liquid aluminum sulfate sold to municipalities and pulp and paper companies in the United States. 

Brian C. Steppig, former director of sales and marketing for a water treatment chemicals manufacturer headquartered in Lafayette, Indiana, admitted to agreeing with competitors, from approximately 2005 until February 2011, not to compete for contracts for liquid aluminum sulfate, a coagulant used by municipalities to treat drinking and waste water, and by pulp and paper companies in their manufacturing processes.  

“Today’s result reflects the Antitrust Division’s ongoing efforts to hold accountable those who seek to corrupt the competitive process and cheat customers,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division.  “This offense was particularly egregious, counting among its victims cities and towns throughout the Southeastern United States that relied on the conspirators’ products to provide clean water to their residents.” 

“The FBI is thorough in ensuring that anyone intent on corrupting our free market system is brought to justice,” said Special Agent in Charge Timothy Gallagher of the FBI's Newark Division.  “Corruption and collusion at any level in our society is unacceptable as it has such a negative impact on the consumer.”

According to court documents, Steppig and his co-conspirators agreed not to pursue each other’s historical customers.  To carry out that agreement, Steppig and his co-conspirators discussed prices to be quoted to customers and submitted intentionally losing bids to favor the intended winner.

A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals.  The maximum fine for a Sherman Act charge may be increased to twice the gain derived from the crime or twice the loss suffered by the victims if either amount is greater than the statutory maximum fine.   

Including Steppig, two individuals and one company have pleaded guilty to charges arising out of this federal investigation of collusion in the liquid aluminum sulfate industry. 

The investigation was conducted by the Antitrust Division’s New York Office and the FBI’s New Jersey Office.  Anyone with information regarding price fixing, bid rigging or customer allocation in the liquid aluminum sulfate industry should contact the Antitrust Division’s New York Office at 212-335-8000, call the Antitrust Division’s Citizen Complaint Center at 1-888-647-3258 or visit www.justice.gov/atr/contact/newcase.htm. 

Attorney General Jeff Sessions today announced the appointment of 17 federal prosecutors as Interim United States Attorneys pursuant to 28 U.S.C. § 546.  In a number of United States Attorney’s Offices across the country, First Assistant United States Attorneys are currently serving as Acting United States Attorneys under the Vacancies Reform Act.  However, on Jan. 4, 2018, some of those Acting United States Attorneys will have served the maximum amount of time permitted under the Act.  The appointments announced by the Attorney General today fill these vacancies.

“United States Attorneys lead federal prosecutions across this country, taking deadly drugs and criminals off of our streets and protecting the safety of law-abiding people, as well as representing the United States in civil litigation.” said Attorney General Sessions.  “As a former U.S. Attorney myself, I have seen firsthand the impact that these prosecutors have and it is critical to have U.S. Attorneys in place during this time of rising violent crime, a staggering increase in homicides, and an unprecedented drug crisis."

“That is why, today, I am appointing 17 current and former federal prosecutors to serve as U.S. Attorneys on an interim basis. Each has excellent prosecution skills and the temperament necessary to succeed in this critical role—and they have already proven that with a number of accomplishments on behalf of the American people. I want to thank them for stepping up to take this difficult but noble job.  I also want to thank those First Assistant United States Attorneys who temporarily stepped up to lead their offices as Acting U.S. Attorneys and who are now returning to their roles as First Assistants.”

The Attorney General has appointed the following individuals to serve as Interim United States Attorneys: Shawn Anderson – Districts of Guam and the Northern Mariana Islands
Geoffrey Berman – Southern District of New York
Gregory Brooker – District of Minnesota
Craig Carpenito – District of New Jersey
Stephen Dambruch – District of Rhode Island
Richard Donoghue – Eastern District of New York
Dayle Elieson – District of Nevada
Duane Evans – Eastern District of Louisiana
Timothy Garrison – Western District of Missouri
Nick Hanna – Central District of California
Joseph Harrington – Eastern District of Washington
Grant Jaquith – Northern District of New York
Maria Chapa Lopez – Middle District of Florida
Kenji Price – District of Hawaii
Matthew Schneider – Eastern District of Michigan
Gretchen Shappert – District of the Virgin Islands
Alexander Van Hook – Western District of Louisiana

          CONCORD, N.H. - Edwin Ruiz, 30, of Derry, was sentenced in federal court to serve 90 months in prison for cocaine trafficking, Acting United States Attorney John J. Farley announced today.

          Court filings and statements made in court established that on December 1, 2016, Ruiz was driving a vehicle stopped by the Manchester Police Department. A search of the car resulted in the seizure of $8,264 and 799.8 grams of cocaine.

            Ruiz previously pleaded guilty to possessing cocaine with intent to distribute on September 19, 2017.  The cash seized from Ruiz was forfeited to the United States.

            “As we continue to fight against the deadly problems posed by opioids, the law enforcement community also remains committed to working together to stop the distribution of other dangerous illegal drugs,” said Acting U.S. Attorney Farley. “I commend the work of the law enforcement officers in this case.  Their efforts prevented a substantial quantity of cocaine from being distributed in the Granite State.”

          This matter was investigated by the Manchester Police Department and the Drug Enforcement Administration and was prosecuted by Assistant U.S. Attorney Georgiana L. Konesky.

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Keppel Offshore & Marine Ltd. (KOM), a Singapore-based company that operates shipyards and repairs and upgrades shipping vessels, and its wholly owned U.S. subsidiary, Keppel Offshore & Marine USA Inc. (KOM USA), have agreed to pay a combined total penalty of more than $422 million to resolve charges with authorities in the United States, Brazil and Singapore arising out of a decade-long scheme to pay millions of dollars in bribes to officials in Brazil.  KOM USA pleaded guilty today in connection with the resolution.  In addition, a guilty plea by a former senior member of KOM’s legal department was unsealed.

Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, Acting U.S. Attorney Bridget M. Rohde of the Eastern District of New York, and Assistant Director Stephen E. Richardson of the FBI’s Criminal Investigative Division made the announcement.

“Today’s resolution once again underscores the importance of the Department of Justice’s collaboration with foreign authorities to hold corrupt companies and individuals accountable for their crimes, while ensuring the fair and appropriate allocation of fines and penalties,” said Acting Assistant Attorney General Cronan.  “This case also represents the first coordinated FCPA resolution with Singapore and the most recent of several coordinated resolutions with Brazil.  The Criminal Division is committed to working with our international partners to ensure that honest, law abiding companies are able to compete on a level playing field across the globe.”

“The resolutions with KOM and its U.S. subsidiary are the result of a multinational effort to investigate and prosecute a corruption scheme that resulted in the payment by the defendant companies of over $50 million in bribes to Brazilian officials and in profits for the defendant companies of over $350 million from business corruptly obtained in Brazil,” said Acting U.S. Attorney Rohde.  “In an attempt to conceal their crimes, the defendants used the global financial system – including the United States banking system – to disguise the source and disbursement of the bribe payments by passing funds through a series of shell companies.  The United States, working with its law enforcement partners abroad, will continue to hold responsible those corporations and individuals who seek to enrich themselves through the corruption of government officials and legitimate governmental functions.”

“The resolution to this investigation shows to those around the world that the FBI and our law enforcement partners are dedicated to work together to bring justice to companies who play outside the rule of law,” said FBI Assistant Director Richardson.  “The FBI won’t stand by while individuals operate their business illegally using bribes.”

KOM entered into a deferred prosecution agreement with the Department in connection with a criminal information filed today in the Eastern District of New York charging the company with conspiracy to violate the anti-bribery provisions of the FCPA.  The case is assigned to U.S. District Judge Kiyo A. Matsumoto.  In addition, KOM USA pleaded guilty and was sentenced by Judge Matsumoto on a one-count criminal information charging the company with conspiracy to violate the anti-bribery provisions of the FCPA.  Pursuant to its agreement with the Department, KOM will pay a total criminal fine of $422,216,980, with a criminal penalty due to the United States of $105,554,245, including a $4,725,000 criminal fine paid by KOM USA.  As part of the deferred prosecution agreement, KOM also committed to implement rigorous internal controls and to cooperate fully with the Department’s ongoing investigation.

In related proceedings, the company settled with the Ministério Público Federal (MPF) in Brazil and the Attorney General’s Chambers (AGC) in Singapore.  The United States will credit the amount the company pays to Brazil and Singapore under their respective agreements, with Brazil receiving $211,108,490, equal to 50 percent of the total criminal penalty, and Singapore receiving up to $105,554,245, equal to 25 percent of the total criminal penalty. 

The Department also unsealed charges today against a former senior member of KOM’s legal department, who pleaded guilty to one count of conspiracy to violate the FCPA on Aug. 29, 2017 in the Eastern District of New York.  He is awaiting sentencing. 

According to admissions and court documents, beginning by at least 2001 and continuing until at least 2014, KOM conspired to violate the FCPA by paying approximately $55 million in bribes to officials at the Brazilian state-owned oil company Petrobras and to the then-governing political party in Brazil, in order to win 13 contracts with Petrobras and another Brazilian entity.  KOM effectuated and concealed the bribe payments by paying outsized commissions to an intermediary, under the guise of legitimate consulting agreements, who then made payments for the benefit of the Brazilian officials and the Brazilian political party.

In reaching the resolutions with the Department, KOM and KOM USA received credit for their substantial cooperation with the Department’s investigation and for taking extensive remedial measures.  For example, KOM has terminated and otherwise disciplined employees involved in the criminal conduct, and it has implemented an enhanced system of compliance and internal controls to address and mitigate corruption risks.  Accordingly, the criminal penalty reflects a 25 percent reduction off the bottom of the applicable U.S. Sentencing Guidelines fine range.

The case is being investigated by the FBI’s International Corruption Squad in Houston.  Trial Attorneys Derek J. Ettinger and David M. Fuhr and Assistant Chief Christopher J. Cestaro of the Criminal Division’s Fraud Section, as well as Assistant U.S. Attorneys Alixandra Smith  and Patrick Hein of the Eastern District of New York, are prosecuting the case.

The MPF in Brazil and the AGC in Singapore provided significant assistance in this matter, as did the Criminal Division’s Office of International Affairs. 

The Criminal Division’s Fraud Section is responsible for investigating and prosecuting all FCPA matters.  Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.

The Department of Justice announced today that it has reached a settlement that will require Vulcan Materials Company to divest all of Aggregates USA, LLC’s active aggregate quarries, plants, and yards in the Knoxville, Tennessee, Tri-Cities, Tennessee, and Abingdon, Virginia areas in order for it to proceed with its proposed $900 million acquisition of Aggregates USA from SPO Partners. 

The Department’s Antitrust Division and Tennessee’s Attorney General filed a civil antitrust lawsuit in the U.S. District Court for the District of Columbia to block the proposed transaction.  At the same time, the department filed a proposed settlement that, if approved by the court, would resolve the department’s competitive concerns.

“Without relying on a regulatory behavioral decree, these divestitures will ensure that customers, and ultimately taxpayers, in Tennessee and Virginia continue to benefit from robust competition and competitive prices,” said Assistant Attorney General Makan Delrahim of the Antitrust Division.  “The acquisition, as originally proposed, would have eliminated one of the two suppliers of coarse aggregate in parts of east Tennessee and southwest Virginia.”    

According to the department’s complaint, Vulcan and Aggregates USA produce and sell coarse aggregate, a type of crushed stone, to customers such as the Tennessee and Virginia Departments of Transportation, highway construction contractors, and suppliers of asphalt concrete and ready mix concrete.  Coarse aggregate, an essential input in asphalt concrete and ready mix concrete, is used to build, pave, and repair roads and highways, and is used widely in other types of construction.  The complaint alleges that Vulcan and Aggregates USA are the only two producers of coarse aggregate in the Knoxville, Tennessee, Tri-Cities, Tennessee, and Abingdon, Virginia areas.  According to the complaint, the loss of competition between Vulcan and Aggregates USA would likely result in higher prices and poorer customer service for aggregate customers in those areas.

Under the terms of the proposed settlement, Vulcan must divest Aggregates USA’s 13 active quarries and yards, and four inactive quarries, in the Knoxville, Tennessee, Tri-Cities, Tennessee, and Abingdon, Virginia areas to Blue Water Industries, or an alternate acquirer approved by the United States.  The department said that the divestitures will remedy the acquisition’s anticompetitive effects by providing the acquirer with the quarries, including substantial reserves, and other assets necessary to compete in these local markets.

Vulcan, a New Jersey corporation headquartered in Birmingham, Alabama, is one of the largest producers of coarse aggregate and construction materials in the United States, with facilities in 20 states and the District of Columbia.  In 2016, Vulcan’s revenues were approximately $3.5 billion.

SPO Partners, a Delaware limited partnership headquartered in Mill Valley, California, invests in a wide range of industries, including industrial materials, media, telecommunications, energy, power, and real estate.  SPO has more than $7 billion in assets under management.  SPO acquired Aggregates USA in 2010.

Aggregates USA, a limited liability company headquartered in Birmingham, Alabama, produces and sells aggregate in Florida, Georgia, Tennessee, and Virginia.  In 2016, Aggregates USA’s revenues were approximately $124 million.  

As required by the Tunney Act, the proposed consent decree, along with the department’s competitive impact statement, will be published in the Federal Register.  Any person may submit written comments concerning the proposed settlement within 60 days of its publication to Maribeth Petrizzi, Chief, Defense, Industrials, and Aerospace Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street, N.W., Suite 8700, Washington, D.C. 20530.  At the conclusion of the 60-day comment period, the court may enter the final judgment upon a finding that it serves the public interest.

Attorney General Jeff Sessions today directed a review of the handling of Project Cassandra, a law enforcement initiative targeting Hezbollah’s drug trafficking and related operations in the United States and abroad, to evaluate allegations that certain matters were not properly prosecuted and to ensure all matters are appropriately handled.

“Protecting our citizens from terrorist organizations and combatting the devastating drug crisis gripping our nation are two of the Justice Department’s top priorities,” said Attorney General Sessions. “Operations designed to investigate and prosecute terrorist organizations that are also fueling that drug crisis must be paramount in this administration.  The DEA has worked tirelessly on this front. I am committed to giving our hard working and dedicated DEA agents all the tools that they need to allow them to shut down these drug rings.

“While I am hopeful that there were no barriers constructed by the last administration to allowing DEA agents to fully bring all appropriate cases under Project Cassandra, this is a significant issue for the protection of Americans. We will review these matters and give full support to investigations of violent drug trafficking organizations

“The Department of Justice is absolutely committed to investigating and prosecuting international drug trafficking organizations and with the assistance of our DEA and FBI agents we will leave no stone unturned as we work to making America safer.”

The Department of Justice announced today that TransDigm Group Incorporated will be required to divest two businesses it acquired from Takata Corporation. The divestitures will restore competition in markets for several types of restraint systems used on commercial airplanes.  TransDigm acquired the businesses—SCHROTH Safety Products GmbH and SCHROTH Safety Products LLC (collectively, “SCHROTH”)—from Takata in February 2017 in a $90 million transaction that, due to its structure, was not reportable under the Hart-Scott-Rodino Antitrust Improvements Act.

The Justice Department’s Antitrust Division filed a civil antitrust lawsuit in the U.S. District Court for the District of Columbia challenging the consummated acquisition. At the same time, it filed a proposed settlement that, if approved by the court, would resolve the Department’s competitive concerns.

“Today’s settlement, which requires TransDigm to divest the entire SCHROTH business, restores competition without relying on a regulatory behavioral decree,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division.  “TransDigm’s AmSafe subsidiary is the world’s largest supplier of restraint systems used on commercial airplanes and SCHROTH was its only meaningful competitor.”

According to the Department’s complaint, AmSafe and SCHROTH develop, manufacture, and sell a wide range of restraint systems used on commercial airplanes, including traditional two-point lapbelts, three-point shoulder belts, technical restraints, and more advanced “inflatable” restraint systems such as airbags.  The complaint alleges that prior to the acquisition, SCHROTH was a growing competitive threat to AmSafe that was challenging AmSafe on price and investing heavily in the research and development of new restraint technologies.  According to the complaint, the acquisition eliminated TransDigm’s most significant competitor, and the loss of competition between AmSafe and SCHROTH was likely to result in higher prices and reduced innovation.

Under the terms of the proposed settlement, TransDigm must divest the entirety of SCHROTH, including its facilities in Pompano Beach, Florida, and Arnsberg, Germany, to a consortium between Perusa Partners Fund 2, L.P. and SSP MEP Beteiligungs GmbH & Co. KG (MEP KG), or an alternate acquirer approved by the United States.  Pursuant to an agreement with the Antitrust Division, TransDigm held SCHROTH separate from AmSafe during the pendency of the Division’s investigation.

Perusa is a diversified German private equity fund that invests in mid-sized companies.  MEP KG is a German limited partnership owned by several members of the existing management team of SCHROTH, including executives who have extensive experience in the airplane restraint systems business.  The Department said that the divestiture will remedy the acquisition’s anticompetitive effects by quickly reestablishing SCHROTH as an independent competitor.  

TransDigm, a Delaware corporation headquartered in Cleveland, Ohio, is a leading global designer, manufacturer, and supplier of highly engineered airplane components.  In 2016, TransDigm’s global revenues were $3.1 billion.  TransDigm’s AmSafe subsidiary is a Delaware corporation headquartered in Phoenix, Arizona.  AmSafe had global revenues of approximately $198 million in 2016.

SCHROTH Safety Products GmbH (SSPG) is a German limited liability corporation based in Arnsberg, Germany. SCHROTH Safety Products LLC (SSPL) is a Delaware corporation based in Pompano Beach, Florida.  SSPG and SSPL collectively had approximately $37 million in revenue in fiscal year 2016.

As required by the Tunney Act, the proposed consent decree, along with the Department’s competitive impact statement, will be published in the Federal Register.  Any person may submit written comments concerning the proposed settlement within 60 days of its publication to Maribeth Petrizzi, Chief, Defense, Industrials, and Aerospace Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street, N.W., Suite 8700, Washington, D.C. 20530.  At the conclusion of the 60-day comment period, the court may enter the final judgment upon a finding that it serves the public interest.

The Department of Justice obtained more than $3.7 billion in settlements and judgments from civil cases involving fraud and false claims against the government in the fiscal year ending Sept. 30, 2017, Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division announced today.  Recoveries since 1986, when Congress substantially strengthened the civil False Claims Act, now total more than $56 billion.

“Every day, dedicated attorneys, investigators, analysts, and support staff at every level of the Justice Department are working to root out fraud and hold accountable those who violate the law and exploit critical government programs,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division.  “The recoveries announced today are a testament to the efforts of these valuable public servants and a message to those who do business with the government that fraud and dishonesty will not be tolerated.”

Of the $3.7 billion in settlements and judgments, $2.4 billion involved the health care industry, including drug companies, hospitals, pharmacies, laboratories, and physicians.  This is the eighth consecutive year that the department’s civil health care fraud settlements and judgments have exceeded $2 billion.  The recoveries included in the $2.4 billion reflect only federal losses.  In many of these cases, the department was instrumental in recovering additional millions of dollars for state Medicaid programs.

In addition to combatting health care fraud, the False Claims Act serves as the government’s primary civil remedy to redress false claims for government funds and property under government programs and contracts relating to such varied areas as defense and national security, food safety and inspection, federally insured loans and mortgages, highway funds, small business contracts, agricultural subsidies, disaster assistance, and import tariffs. 

Health Care Fraud

The department investigates and resolves matters involving a wide array of health care providers, goods and services.  The department’s health care fraud recoveries restore valuable assets to federally funded programs, such as Medicare, Medicaid, and TRICARE.  But just as important, the department’s vigorous pursuit of health care fraud prevents billions more in losses by deterring others who might otherwise try to cheat the system for their own gain.

The largest recoveries involving the health care industry this past year – over $900 million – came from the drug and medical device industry.  Shire Pharmaceuticals LLC paid $350 million to resolve allegations that Shire and the company it acquired in 2011, Advanced BioHealing (ABH), induced clinics and physicians to use or overuse its bioengineered human skin substitute by offering lavish dinners, drinks, entertainment and travel; medical equipment and supplies; unwarranted payments for purported speaking engagements and bogus case studies; and cash, credits and rebates.  In addition to these kickback allegations, the settlement also resolved allegations brought by relators that Shire and ABH unlawfully marketed the skin substitute for uses not approved by the FDA, made false statements to inflate the price of the product, and caused improper coding, verification, or certification of claims for the product and related services.  The settlement included $343.9 million in federal recoveries, and another $6.1 million in recoveries to state Medicaid programs.

In another important case, drug manufacturer Mylan Inc. paid approximately $465 million to resolve allegations that it underpaid rebates owed under the Medicaid Drug Rebate Program by erroneously classifying its patented, brand name drug EpiPen – which has no therapeutic equivalents or generic competition – as a generic drug to avoid its obligation to pay higher rebates.  Between 2010 and 2016, Mylan increased the price of EpiPen by approximately 400 percent yet paid only a fixed 13 percent rebate to Medicaid during the same period based on EpiPen’s misclassification as a generic drug.  Mylan paid approximately $231.7 million to the federal government and $213.9 million to state Medicaid programs. 

The department also reported substantial recoveries from other health care providers.  Life Care Centers of America Inc. and its owner agreed to pay $145 million to settle allegations that it caused skilled nursing facilities to submit false claims for rehabilitation therapy services that were not reasonable, necessary, or skilled.  This was the largest civil settlement with a skilled nursing facility chain in the history of the False Claims Act.  The government alleged that Life Care instituted corporate-wide policies and practices designed to place beneficiaries in the highest level of Medicare reimbursement – known as “Ultra High” – irrespective of the clinical needs of the patients, resulting in the provision of unreasonable and unnecessary therapy to many beneficiaries.  Life Care also allegedly sought to keep patients longer than necessary in order to continue billing for rehabilitation therapy.

In addition, eClinicalWorks (ECW) – a national electronic health records software vendor – and certain of its employees paid $155 million to resolve allegations that they falsely obtained certification for the company’s electronic health records software by concealing from its certifying entity that its software did not comply with the requirements for certification.  For example, rather than programming all the required standardized drug codes into its software, the company allegedly “hardcoded” into its software only the drug codes required for testing.  As a result of the deficiencies in its software, ECW allegedly caused physicians who used its software to submit false claims for federal incentive payments.  The United States also alleged that ECW paid unlawful kickbacks to certain customers in exchange for promoting its product.

 “While we encourage voluntary reporting of suspected federal violations through self-disclosures, compliance guidance, and corporate integrity agreements, the False Claims Act holds accountable those health care organizations unwilling to comply with law,” said Daniel R. Levinson, Inspector General of the U.S. Department of Health and Human Services.  “Large health care recoveries benefit vulnerable Medicare and Medicaid beneficiaries as well as the taxpayers who support these programs.”

Housing and Mortgage Fraud

The department reported settlements and judgments totaling over $543 million in the areas of housing and mortgage fraud this past fiscal year.  In September 2017, a unanimous jury in Houston, Texas, found that Allied Home Mortgage Capital Corporation and Allied Home Mortgage Corporation violated the False Claims Act and the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) and awarded the government over $296 million.  The court also entered judgment for over $25 million against Allied’s President and Chief Executive Officer (CEO).  At trial, the government presented evidence that Allied falsely certified that thousands of high risk, low quality loans were eligible for Federal Housing Administration (FHA) insurance and then submitted insurance claims to FHA when any of those loans defaulted.  The jury also heard evidence that, to evade oversight and disguise default rates, Allied Capital originated FHA-insured loans from more than one hundred “shadow” branch offices without the authorization of HUD.  In addition, the jury received evidence that Allied’s quality control department submitted falsified quality control reports to HUD auditors and falsely certified that Allied was in compliance with HUD quality control guidelines.  Allied has appealed the judgment. 

In addition to the judgment against Allied, the Department secured a settlement with PHH Mortgage for $65 million and Financial Freedom for $89 million.  PHH Mortgage admitted that it had originated and endorsed residential mortgages as eligible for federal insurance by the FHA that did not meet underwriting requirements intended to reduce the risk of default.  The government alleged that although internal reports identified high rates of underwriting deficiencies, PHH Mortgage failed to report such deficiencies to the authorities as required under the program to enable the agency to prevent continued program violations and mounting losses.  By originating and endorsing ineligible loans for FHA insurance, PHH Mortgage allegedly put borrowers at risk of losing their homes, and increased its mortgage profits at taxpayer expense while incurring little or no risk of its own.  The settlement with Financial Freedom concerned the servicing of reverse mortgage loans, which allow older people to access equity in their homes.  The United States alleged that Financial Freedom misrepresented its eligibility for certain insurance payments, thereby obtaining interest from FHA to which it was not entitled. 

Procurement Fraud

In fiscal year 2017, the department aggressively pursued a variety of procurement fraud matters.  For example, Agility Public Warehousing Co. KSC, a Kuwaiti company, as part of a global settlement, paid $95 million to resolve civil fraud claims and agreed to forgo administrative claims against the United States seeking $249 million in additional payments under its military food contracts, among other terms.  In its civil complaint, the United States alleged that Agility knowingly overcharged the Department of Defense for locally available fresh fruits and vegetables supplied to U.S. soldiers in Kuwait and Iraq by failing to disclose and pass through discounts and rebates it obtained from suppliers, as required by its contracts.

The department resolved two cases involving the alleged failure to follow applicable nuclear quality standards.  Bechtel National Inc., Bechtel Corp., URS Corp. (the predecessor in interest to AECOM Global II LLC) and URS Energy and Construction Inc. (now known as AECOM Energy and Construction Inc.) agreed to pay $125 million to resolve allegations that they charged the Department of Energy (DOE) for deficient nuclear quality materials, services, and testing, and improperly used federal contract funds to pay for a comprehensive, multi-year campaign to lobby Congress and other federal officials.  Energy & Process Corporation (E&P) agreed to pay $4.6 million to resolve allegations that it knowingly failed to perform required quality assurance procedures and supplied defective steel reinforcing bars (rebar) in connection with a contract to construct a DOE nuclear waste treatment facility.

CA Inc. agreed to pay $45 million to resolve allegations that it made false statements and claims in the negotiation and administration of a General Services Administration (GSA) contract for software licenses and maintenance services.  The settlement resolved allegations that CA provided false information to the GSA about the discounts it gave commercial customers for its software licenses and maintenance services during contract negotiations and failed to provide government customers with additional discounts when commercial discounts improved.

Other Fraud Recoveries

The number and variety of judgments and settlements announced during fiscal year 2017 illustrate the diversity of cases pursued by the department to root out fraud and false claims against the government wherever they may be found.

For example, SolarCity Corporation agreed to pay $29.5 million to resolve allegations that it submitted inflated claims to the U.S. Department of the Treasury pursuant to Section 1603 of the American Recovery and Reinvestment Act of 2009.  Under the Section 1603 Program, the Treasury paid a cash grant to construct or acquire qualified renewable solar energy systems.  The settlement resolved allegations that SolarCity falsely overstated the cost bases of its solar energy properties in claims for Section 1603 funds in order to receive inflated grant payments from the Treasury.  As part of the settlement, SolarCity and its affiliates also released all pending and future claims against the United States for additional Section 1603 payments.

Total Call Mobile LLC agreed to pay $30 million to resolve allegations that it defrauded the Lifeline Program, a federal government subsidy program that offers discounted mobile phone services to eligible low-income consumers.  Total Call and its co-defendants allegedly submitted false claims for federal payments by seeking reimbursement for tens of thousands of consumers who did not meet Lifeline Program eligibility requirements.  As part of the settlement, Total Call entered into a separate administrative agreement with the Federal Communications Commission and agreed to no longer participate in the Lifeline Program.

ADS Inc. and its subsidiaries agreed to pay $16 million to settle allegations that they violated the False Claims Act by knowingly conspiring with and causing purported small businesses to submit false claims for payment in connection with fraudulently obtained small business contracts.  The settlement also resolved allegations that ADS engaged in improper bid rigging relating to certain of the fraudulently obtained contracts.  The settlement with ADS ranked as one of the largest recoveries involving alleged fraud in connection with small business contracting eligibility.

Individual Accountability

The department continued to ensure individual accountability for corporate wrongdoing by pursuing False Claims Act and other civil remedies to redress fraud by individuals as well as corporations.

In some cases, individual owners and executives of private corporations agreed to be held jointly and severally liable for settlement payments with their corporations.  For example, Girish Navani, Rajesh Dharampuriya, and Mahesh Navani, three of the founders of eClinicalWorks, agreed to joint and several liability for the $155 million settlement discussed above.  In addition, three other eClinicalWorks employees – developer Jagan Vaithilingam and project managers Bryan Sequeira, and Robert Lynes – entered into separate settlement agreements to resolve liability for their alleged personal involvement in the conduct.  Forrest Preston, the owner of Life Care Centers of America, agreed to joint and several liability for the $145 million settlement discussed above, and Nicholas and Gregory Melehov, the owners of Medstar Ambulance Inc., agreed to be jointly and severally liable for a $12.7 million settlement with their company. 

The department also obtained more than $60 million in settlements and judgments with individuals under the False Claims Act that did not involve joint and several liability with the corporate entity.  For example, after 21st Century Oncology LLC paid $19.75 million to resolve allegations that it billed federal health care programs for medically unnecessary laboratory tests, the department secured separate settlements with various individual urologists, including a $3.8 million settlement with Dr. Meir Daller, resolving allegations that the physicians referred unnecessary tests to a laboratory owned and operated by 21st Century Oncology.  Other examples include Dr. Robert Windsor, a pain management physician who agreed to the entry of a $20 million consent judgment to resolve allegations that he billed federal health care programs for surgical monitoring services that he did not perform and for medically unnecessary diagnostic tests; Dr. Gary L. Marder, a physician and the owner and operator of the Allergy, Dermatology & Skin Cancer Centers in Port St. Lucie and Okeechobee, Florida, who agreed to the entry of an $18 million consent judgment in connection with the performance of radiation therapy services; Joseph Bogdan, the owner of AMI Monitoring Inc. (also known as Spectocor), who agreed to pay $1 million to resolve liability for his alleged involvement in billing Medicare for higher and more expensive levels of cardiac monitoring services than requested by the ordering physicians; and Siddhartha Pagidipati, the former CEO of Freedom Health, who agreed to pay $750,000 to resolve liability for his alleged involvement in an illegal scheme to maximize payment from the Medicare Advantage program.

Recoveries in Whistleblower Suits

Of the $3.7 billion in settlements and judgments reported by the government in fiscal year 2017, $3.4 billion related to lawsuits filed under the qui tam provisions of the False Claims Act.  During the same period, the government paid out $392 million to the individuals who exposed fraud and false claims by filing a qui tam complaint.

The number of lawsuits filed under the qui tam provisions of the Act has grown significantly since 1986, with 669 qui tam suits filed this past year – an average of more than 12 new cases every week.

“Because those who defraud the government often hide their misconduct from public view, whistleblowers are often essential to uncovering the truth,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division.  “The Department’s recoveries this past year continue to reflect the valuable role that private parties can play in the government’s effort to combat false claims concerning government contracts and programs.” 

In 1986, Senator Charles Grassley and Representative Howard Berman led the successful efforts in Congress to amend the False Claims Act to, among other things, encourage whistleblowers to come forward with allegations of fraud.  And in 2009, Senator Patrick J. Leahy, along with Senator Grassley and Representative Berman, championed the Fraud Enforcement and Recovery Act of 2009, which further strengthened the False Claims Act and its whistleblower provisions. 

Mr. Readler also expressed his deep appreciation for the many dedicated public servants who investigated and pursued these cases throughout the Department’s Civil Division and the U.S. Attorneys’ Offices, as well as the agency Offices of Inspector General, and the many federal and state agencies that contributed to the Department’s recoveries this past fiscal year.

“One of the honors of leading the Civil Division is the pleasure of working with the many passionate, dedicated, and talented Department of Justice employees,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division.  “These individuals have committed their careers to serving the American people and defending the interests of our great nation.  The accomplishments announced today are largely the result of their hard work and sacrifices.”

The government’s claims in the matters described above are allegations only; except where indicated, there has been no determination of liability.  The numbers contained in this press release may differ slightly from the original press releases due to accrued interest.

Reauthorizing Section 702 before it expires is vital to keeping the nation safe. Let us be clear: if Congress fails to act, vital intelligence collection on international terrorists and other foreign adversaries will be lost. The country will be less secure.

There is no substitute for Section 702. If Congress fails to reauthorize this authority, the Intelligence Community will lose valuable foreign intelligence information, and the resulting intelligence gaps will make it easier for terrorists, weapons proliferators, malicious cyber actors, and other foreign adversaries to plan attacks against our citizens and allies without detection. Section 702 has been instrumental in preventing attacks on the homeland and removing terrorists from the battlefield.

To be clear – Congress is not required to make any changes to Section 702. The Intelligence Community conducts and uses 702 collection in a manner that protects the privacy and civil liberties of individuals.  Every single court that has reviewed Section 702 and queries of its data has found it to be constitutional.  The Intelligence Community’s use of Section 702, which permits targeted surveillance only of foreign persons located outside the United States, is subject to extensive oversight and incorporates substantial protections to protect the privacy and civil liberties of individuals.  In short, we believe Congress got it right in 2008 when it passed Section 702 and in 2012 when Congress reauthorized it.  Nevertheless, the Intelligence Community continues to be open to reasonable reforms to Section 702 to further enhance the already-substantial privacy protections contained in the law, but we simply cannot support legislation that would impede the operational efficacy of this vital authority.

We also believe it is important that Congress reauthorize Section 702 before it expires on December 31, 2017.  Although the current Section 702 certifications do not expire until April 2018, the Intelligence Community would need to start winding down its Section 702 program well in advance of that date.  Winding down such a valuable program would force agencies to divert resources away from addressing foreign threats. Short-term extensions are not the long-term answer either, as they fail to provide certainty, and will create needless and wasteful operational complications. We urge Congress, therefore, to act quickly to reauthorize Section 702 in a manner that preserves the effectiveness of this critical national security law before it expires.

Jeff Sessions
Attorney General of the United States

Christopher Wray
Director, Federal Bureau of Investigation

Daniel R. Coats
Director of National Intelligence

Mike Pompeo
Director, Central Intelligence Agency

Admiral Michael S. Rogers
Director, National Security Agency

President Trump’s Executive Order on Enhancing Public Safety in the Interior of the United States requires the Department of Justice (DOJ) and the Department of Homeland Security (DHS) to collect relevant data and provide quarterly reports on data collection efforts. On Dec. 18, 2017, DOJ and DHS released the FY 2017 4th Quarter Alien Incarceration Report, complying with this order.[1]  The report found that more than one-in-five of all persons in Bureau of Prisons custody were foreign born, and that 94 percent of confirmed aliens in custody were unlawfully present.

"The American people deserve a lawful system of immigration that serves the national interest," Attorney General Sessions said. "But at the border and in communities across America, our citizens are being victimized by illegal aliens who commit crimes. Nearly 95 percent of confirmed aliens in our federal prisons are here illegally.  We know based on sentencing data that non-citizens commit a substantially disproportionate number of drug-related offenses, which contributes to our national drug abuse crisis. The simple fact is that any offense committed by a criminal alien is ultimately preventable. One victim is too many.  It's time for Congress to enact the President's immigration reform agenda so that we start welcoming the best and brightest while turning away drug dealers, gang members, and other criminals."

“While the administration is working diligently to remove dangerous criminal aliens from our streets, this report highlights the fact that more must be done,” said Secretary of Homeland Security Kirstjen Nielsen.  “We will continue to pursue President Trump’s immigration priorities, including securing the border, enhancing interior enforcement, and pursuing a merit-based immigration system, but Congress must act immediately to adopt obvious solutions to strengthen DHS and DOJ efforts to confront dangerous criminal aliens.” 

Section 16 of the Executive Order directs the Secretary of Homeland Security and the Attorney General to collect relevant data and provide quarterly reports regarding: (a) the immigration status of all aliens incarcerated under the supervision of the Federal Bureau of Prisons; (b) the immigration status of all aliens incarcerated as federal pretrial detainees under the supervision of the United States Marshals Service; and (c) the immigration status of all convicted aliens in state prisons and local detention centers throughout the United States. 

A total of 58,766 known or suspected aliens were in in DOJ custody at the end of FY 2017, including 39,455 persons in BOP custody and 19,311 in USMS custody. Of this total, 37,557 people had been confirmed by U.S. Immigration and Customs Enforcement (ICE) to be aliens (i.e., non-citizens and non-nationals), while 21,209 foreign-born people were still under investigation by ICE to determine alienage and/or removability

Among the 37,557 confirmed aliens, 35,334 people (94 percent) were unlawfully present. These numbers include a 92 percent unlawful rate among 24,476 confirmed aliens in BOP custody and a 97 percent unlawful rate among 13,081 confirmed aliens in USMS custody.

This report does not include data on the foreign-born or alien populations in state prisons and local jails because state and local facilities do not routinely provide DHS or DOJ with comprehensive information about their inmates and detainees—which account for approximately 90 percent of the total U.S. incarcerated population.

Information Regarding Immigration Status of Aliens Incarcerated Under the Supervision of the Federal Bureau of Prisons

The Department of Justice’s Bureau of Prisons (BOP) has an operational process for maintaining data regarding foreign-born inmates in its custody. On a quarterly basis, BOP supplies this information to U.S. Immigration and Customs Enforcement (ICE). ICE, in turn, analyzes that information to determine the immigration status of each inmate and provides that information back to BOP.

Out of the 185,507 inmates in BOP custody, 39,455 (21 percent) were reported by BOP as foreign-born. Further details regarding these 39,455 foreign-born inmates are as follows: 
   

• 20,240 (51 percent) were unauthorized aliens who are subject to a final order of removal;

• 14,979 (38 percent) remain under ICE investigation;

•  2,374 (6 percent) were unlawfully present and now in removal proceedings;

• 1,852 (less than 5 percent) were lawfully present aliens but are now in removal proceedings; and

• 10 were aliens who have been granted relief or protection from removal.

Information Regarding the Immigration Status of Aliens Incarcerated as Federal Pretrial Detainees

USMS identified 19,311 aliens and foreign-born inmates under ICE investigation detained at USMS facilities. Further details regarding these 19,311 foreign-born inmates are as follows:
 

• 11,459 (59 percent) were aliens who are subject to a final order of removal;

• 6,230 (32 percent) remain under ICE investigation;

•  1,261 (6.5 percent) were unlawfully present and now in removal proceedings;

•  358 (less than 2 percent) were lawfully present but are now in removal proceedings; and

• 3 were aliens who have been granted relief or protection from removal.

Immigration Status of All Convicted Aliens Incarcerated in State Prisons and Local Detention Centers Throughout the United States

The Departments continue to progress towards establishing data collection of the immigration status of convicted aliens incarcerated in state prisons and local detention centers through the Department of Justice’s Office of Justice Programs, Bureau of Justice Statistics and the Department of Homeland Security’s Office of Immigration Statistics.

[1] The FY 2017 2nd Quarter report is available at: https://www.justice.gov/opa/pr/pursuant-executive-order-public-safety-department-justice-releases-data-incarcerated-aliens-0. Data for the 3rd quarter of FY 2017 is available at: https://www.dhs.gov/news/2017/08/01/pursuant-executive-order-public-safety-departments-justice-and-homeland-security.

Today, Attorney General Jeff Sessions announced that, pursuant to Executive Order 13777 and his November memorandum prohibiting certain guidance documents, he is rescinding 25 such documents that were unnecessary, inconsistent with existing law, or otherwise improper.

In making the announcement, the Attorney General said: “Last month, I ended the longstanding abuse of issuing rules by simply publishing a letter or posting a web page. Congress has provided for a regulatory process in statute, and we are going to follow it. This is good government and prevents confusing the public with improper and wrong advice.”

“Therefore, any guidance that is outdated, used to circumvent the regulatory process, or that improperly goes beyond what is provided for in statutes or regulation should not be given effect. That is why today, we are ending 25 examples of improper or unnecessary guidance documents identified by our Regulatory Reform Task Force led by our Associate Attorney General Rachel Brand.  We will continue to look for other examples to rescind, and we will uphold the rule of law.”

In March, President Donald Trump issued Executive Order 13777, which calls for agencies to establish Regulatory Reform Task Forces, chaired by a Regulatory Reform Officer, to identify existing regulations for potential repeal, replacement, or modification. The Department of Justice Task Force, chaired by Associate Attorney General Rachel Brand, began its work in May.

On November 17, the Attorney General issued a memorandum prohibiting DOJ components from using guidance documents to circumvent the rulemaking process and directed Associate Attorney General Brand to work with components to identify guidance documents that should be repealed, replaced, or modified.

The Task Force has already identified 25 guidance documents for repeal and is continuing its review of existing guidance documents to repeal, replace, or modify.

The list of 25 guidance documents that DOJ has withdrawn in 2017 is as follows:

1. ATF Procedure 75-4. 
2. Industry Circular 75-10. 
3. ATF Ruling 85-3. 
4. Industry Circular 85-3. 
5. ATF Ruling 2001-1. 
6. ATF Ruling 2004-1.
7. Southwest Border Prosecution Initiative Guidelines (2013).  
8. Northern Border Prosecution Initiative Guidelines (2013).  
9. Juvenile Accountability Incentive Block Grants Program Guidance Manual (2007). 
10. Advisory for Recipients of Financial Assistance from the U.S. Department of Justice on Levying Fines and Fees on Juveniles (January 2017). 
11. Dear Colleague Letter on Enforcement of Fines and Fees (March 2016). 
12. ADA Myths and Facts (1995).
13. Common ADA Problems at Newly Constructed Lodging Facilities (November 1999).
14. Title II Highlights (last updated 2008).
15. Title III Highlights (last updated 2008).
16. Commonly Asked Questions About Service Animals in Places of Business (July 1996).
17. ADA Business Brief: Service Animals (April 2002). 
18. Prior Joint Statement of the Department of Justice and the Department of Housing and Urban Development Group Homes, Local Land Use, and the Fair Housing Act (August 18, 1999). 
19. Letter to Alain Baudry, Esq., with standards for conducting internal audit in a non-discriminatory fashion (December 4, 2009). 
20. Letter to Esmeralda Zendejas on how to determine whether lawful permanent residents are protected against citizenship status discrimination (May 30, 2012). 
21. Common ADA Errors and Omissions in New Construction and Alterations (June 1997). 
22. Common Questions: Readily Achievable Barrier Removal and Design Details: Van Accessible Parking Spaces (August 1996). 
23. Website guidance on bailing-out procedures under section 4(b) and section 5 of the Voting Rights Act (2004).  
24. Americans with Disabilities Act Questions and Answers (May 2002).
25. Statement of the Department of Justice on Application of the Integration Mandate of Title II of the Americans with Disabilities Act and Olmstead v. L.C. to State and Local Governments' Employment Service Systems for Individuals with Disabilities (October 31, 2016).

Two individuals who ran multimillion dollar prize promotion scams entered guilty pleas Dec. 12 in federal court in Las Vegas, Nevada, the Department of Justice announced.

Glen Burke, 57, of Las Vegas, pleaded guilty to contempt and conspiracy charges arising from his operation of two predatory schemes that defrauded thousands of victims, many of whom were elderly, out of more than $20 million.  Burke conducted those fraudulent campaigns in violation of a 1998 court order obtained by the Federal Trade Commission (FTC) permanently banning him from telemarketing and making misrepresentations to consumers.  A co-defendant, Michael Rossi, 52, also of Las Vegas, also pleaded guilty in connection with one of Burke’s schemes.

“The Department of Justice is determined to punish the perpetrators of fraudulent schemes that exploit consumers, especially those that target the elderly or vulnerable,” said Acting Assistant Attorney General Chad Readler of the Justice Department’s Civil Division.  “We will work with our partners at the FTC and the U.S. Postal Inspection Service to eradicate schemes that harm the elderly wherever we find them.”

Burke pleaded guilty to contempt for violating the court order prohibiting him from making misrepresentations to consumers.  That charge stemmed from Burke running a mass-mailing operation that misled consumers into believing that they had won large cash prizes, often millions of dollars. Burke specifically mailed consumers solicitations that used fake names and, in many cases, looked like they came from law firms or financial institutions, advising consumers to pay a fee – usually $20 to $30 –to claim their promised winnings.  Once consumers paid, however, Burke never sent any consumer a promised prize. 

Burke, along with Rossi, also pleaded guilty to conspiracy to commit mail and wire fraud for running a fraudulent telemarketing operation.  Telemarketers working for Burke and Rossi falsely told victims that they had won one of five valuable prizes, typically: a Chevy Camaro; a Boston Whaler boat; a diamond-and-sapphire bracelet; $3,000 cash; or a cruise that could be exchanged for $2,300.  To claim the prize, consumers were told to pay hundreds, or in some cases thousands, of dollars.  Once they paid, victims received a nearly worthless piece of costume jewelry or nothing at all. 

Sentencing is scheduled on March 12, 2018.  Under the contempt statute, Burke could be sentenced to any term of imprisonment and fine.  Under the conspiracy statute, Burke and Rossi face a potential maximum sentence of 20 years in prison and a $250,000 fine.  The court has the discretion to impose a lower sentence.

Principal Deputy Assistant Attorney General Readler commended the investigative efforts of the U.S. Postal Inspection Service and thanked the FTC for its valuable assistance.  The case was prosecuted by Trial Attorneys Timothy Finley and Daniel Zytnick of the Consumer Protection Branch of the Department of Justice’s Civil Division and Assistant U.S. Attorney Nicholas Dickinson of the District of Nevada. 

The Department of Justice today announced a new $7 million award under the Office of Community Oriented Policing Services’ (COPS Office) Collaborative Reform Initiative for Technical Assistance.  The award is to the International Association of Chiefs of Police (IACP), a nonprofit membership organization with 30,000 members in more than 150 countries that serves all ranks at the state, local, territorial, tribal, campus, and federal levels. IACP will be partnering with other prominent law enforcement stakeholder associations to create the Collaborative Reform Initiative Technical Assistance Center (CRI-TAC). 

“This award embodies a field-driven vision for the Collaborative Reform Initiative and incorporates changes that I know are critically important to law enforcement,” said Attorney General Jeff Sessions.  “Today’s announcement is part of a course correction that ensures that the Department’s Collaborative Reform Initiative will provide technical assistance to law enforcement agencies based on their own needs, not those dictated by the federal government.”

For the first time, police chiefs, unions and other law enforcement organizations will come together to provide tailored technical assistance to local policing agencies.   While the award will go to IACP, there is a historic and unprecedented coalition represented by the law enforcement associations formally involved in the project:

• Federal Bureau of Investigation National Academy Associates (FBINAA)
• Fraternal Order of Police (FOP)  
• International Association of Campus Law Enforcement Administrators (IACLEA)
• International Association of Directors of Law Enforcement Standards and Training (IADLEST)
• Major Cities Chiefs Association (MCCA) 
• National Association of Women Law Enforcement Executives (NAWLEE)
• National Tactical Officers Association (NTOA)

“The IACP and the Fraternal Order of Police, along with six leading law enforcement leadership and labor organizations, will bring together our collective experience, subject matter expertise, and unparalleled reach in the field to build and deliver comprehensive technical assistance, informed by cutting-edge innovation and promising practices, that embraces a collaborative, supportive approach to serving law enforcement and the communities they are sworn to protect,” said IACP President Louis M. Dekmar, Chief of the LaGrange, Georgia, Police Department.

“The FOP is very pleased to partner with the IACP and the U.S. Department of Justice on the Collaborative Reform Initiative,” said Chuck Canterbury, National President of the Fraternal Order of Police.  “Our members have a great deal of knowledge and experience from their own work in our streets and communities.  Together, we can put this information and training to work to benefit all of our colleagues around the nation.”

“The Major Cities Chiefs Association has been very engaged in the discussion with the Department of Justice on revamping the entire collaborative reform process,” said Montgomery County, Maryland Police Chief Tom Manger. We look forward to a meaningful continued role in implementing this vision alongside colleagues from many other law enforcement groups.”

This partnership brings together the nation’s public safety leaders and will touch nearly every sector of the law enforcement field.  Through the combined membership of over 420,000, the CRI-TAC will provide subject matter expertise; share resources and training materials for use in technical assistance delivery; and contribute to outreach, marketing, and membership engagement. Today’s award follows an earlier announcement from the COPS Office regarding significant changes to the Collaborative Reform Initiative to provide technical assistance and support “by the field, for the field.”

The Collaborative Reform Initiative provides critical and tailored technical assistance resources to state, local, territorial, and tribal law enforcement agencies on a wide variety of topics. Through the program, agencies receive technical assistance from leading experts in a range of public safety, crime reduction, and community policing topics. Law enforcement agencies that are interested in receiving technical assistance through the Collaborative Reform Initiative should visit the COPS Office website at https://cops.usdoj.gov/collaborativereform.

The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.

The United States and the Commonwealth of Pennsylvania have settled a federal court case against ArcelorMittal Monessen LLC (AMM), involving alleged Clean Air Act violations at AMM’s coke (purified coal) plant in Monessen, Pennsylvania. 

The proposed consent decree, filed in U.S. District Court in Pittsburgh, resolves a joint federal-state complaint against AMM, which is a subsidiary of ArcelorMittal, the world’s largest steel making company. 

Under the settlement, AMM will pay a $1.5 million penalty divided equally between the U.S. and Pennsylvania, and implement an estimated $2 million in air pollution controls to limit particulate and sulfur compound emissions. 

“This settlement will reduce harmful air pollutants, benefiting the health and environment of residents around the Monessen coke plant,” said Acting Assistant Attorney General Jeffrey H. Wood for the Environment and Natural Resources Division of the Department of Justice. “The Department of Justice will continue to work with the EPA and other federal and state agencies to ensure that companies comply with the Clean Air Act.” 

“This settlement demonstrates how EPA can work with our state partners to implement the Clean Air Act to reduce harmful air pollutants in communities,” said EPA Mid-Atlantic Regional Administrator Cosmo Servidio. “Because of the Act, Americans breathe less pollution and face lower risks of premature death and other serious health effects.”

“Through aggressive enforcement of the Clean Air Act, the Department of Justice, EPA, and the Commonwealth of Pennsylvania have brought relief to the residents of Monessen and the surrounding communities,” said Acting United States Attorney Soo C. Song for the Western District of Pennsylvania. “In addition to paying a significant civil penalty, AMM will invest in pollution-control measures designed to bring the company back into compliance with the Clean Air Act.”

The complaint alleges Clean Air Act violations based on inspections by the U.S. Environmental Protection Agency and the Pennsylvania Department of Environmental Protection, as well as follow-up requests for information. The alleged violations include excessive emissions of particulate matter from industrial operations. 

Particulate matter emissions include microscopic solids or liquid droplets that can cause serious health problems when inhaled, particularly impacting children, the elderly, and those suffering from respiratory problems. 

The proposed consent decree, available for review at https://www.justice.gov/enrd/consent-decrees, is subject to a 30-day public comment period and final court approval.

The United States and the Commonwealth of Pennsylvania have settled a federal court case against ArcelorMittal Monessen LLC (AMM), involving alleged Clean Air Act violations at AMM’s coke (purified coal) plant in Monessen, Pennsylvania. 

The proposed consent decree, filed in U.S. District Court in Pittsburgh, resolves a joint federal-state complaint against AMM, which is a subsidiary of ArcelorMittal, the world’s largest steel making company. 

Under the settlement, AMM will pay a $1.5 million penalty divided equally between the U.S. and Pennsylvania, and implement an estimated $2 million in air pollution controls to limit particulate and sulfur compound emissions. 

“This settlement will reduce harmful air pollutants, benefiting the health and environment of residents around the Monessen coke plant,” said Acting Assistant Attorney General Jeffrey H. Wood for the Environment and Natural Resources Division of the Department of Justice. “The Department of Justice will continue to work with the EPA and other federal and state agencies to ensure that companies comply with the Clean Air Act.” 

“This settlement demonstrates how EPA can work with our state partners to implement the Clean Air Act to reduce harmful air pollutants in communities,” said EPA Mid-Atlantic Regional Administrator Cosmo Servidio. “Because of the Act, Americans breathe less pollution and face lower risks of premature death and other serious health effects.”

“Through aggressive enforcement of the Clean Air Act, the Department of Justice, EPA, and the Commonwealth of Pennsylvania have brought relief to the residents of Monessen and the surrounding communities,” said Acting United States Attorney Soo C. Song for the Western District of Pennsylvania. “In addition to paying a significant civil penalty, AMM will invest in pollution-control measures designed to bring the company back into compliance with the Clean Air Act.”

The complaint alleges Clean Air Act violations based on inspections by the U.S. Environmental Protection Agency and the Pennsylvania Department of Environmental Protection, as well as follow-up requests for information. The alleged violations include excessive emissions of particulate matter from industrial operations. 

Particulate matter emissions include microscopic solids or liquid droplets that can cause serious health problems when inhaled, particularly impacting children, the elderly, and those suffering from respiratory problems. 

The proposed consent decree, available for review at https://www.justice.gov/enrd/consent-decrees , is subject to a 30-day public comment period and final court approval.

The Department of Justice welcomed representatives of the Tribal Nations Leadership Council (TNLC) to the department Monday and Tuesday for a series of discussions on how the United States and Tribal Nations can best work together to strengthen public safety and the government-to-government relationship. 

On Tuesday, the TNLC met with Deputy Attorney General Rod Rosenstein, Associate Attorney General Rachel Brand, and Office of Tribal Justice Director Tracy Toulou, capping a two-day conference on a wide range of issues facing Indian Country.

“It is an honor to welcome the Tribal Nations Leadership Council, and to discuss ways to improve the lives of American Indians and Alaska Natives,” said Deputy Attorney General Rod Rosenstein.  “We are working to support them and reduce the violent crime and drug abuse that is devastating communities across our nation.”

During a two-day conference on Monday and Tuesday, the Council covered a range of issues, including drug trafficking, prosecution and treatment, cooperation across jurisdictions, data collection and access to data, violence against women, civil rights and hate crimes.  The group met with the U.S. Attorney from the District of Montana and representatives from the Office of Tribal Justice, Executive Office on U.S. Attorneys, Office on Violence Against Women, the Civil Rights Division, the Office of Justice Programs, the Environment and Natural Resources Division, the Office of Community Oriented Policing Services, the Drug Enforcement Administration, and the Federal Bureau of Investigation. The Bureau of Indian Affairs’ Office of Justice Services also participated in several sessions.

The TNLC is composed of tribal leaders representing American Indian tribes and Alaska Native villages from regions around the country.  The TNLC was created in 2010 and meets periodically to confer with top officials in the department and discuss issues of mutual concern. 

Acting Assistant Attorney General for National Security Dana J. Boente, U.S. Attorney David J. Freed for the Middle District of Pennsylvania and Special Agent in Charge Michael Harpster of the FBI’s Philadelphia Division announced today that Jalil Ibn Ameer Aziz,  21, a U.S. citizen and resident of Harrisburg, Pennsylvania, was sentenced to 160 months of imprisonment and 12 of years of supervised release by Chief United States District Court Judge Christopher C. Conner for conspiracy to provide material support and resources to a designated foreign terrorist organization and transmitting a communication containing a threat to injure.  Chief Judge Conner also ordered Aziz to pay $6,635.79 in restitution to the service members he threatened.

According to court documents, from July 2014 to December 2015, Aziz engaged in a concerted and prolonged effort to support the Islamic State of Iraq and al-Sham (“ISIL” or “ISIS”), by knowingly conspiring to provide material support, including personnel and services, to ISIS.  Aziz was steadfast and outspoken in his support for ISIS.  Aziz pledged his allegiance to the leader of ISIS and used at least 72 different Twitter accounts to advocate violence against the United States and its citizens, to disseminate ISIS propaganda, and to espouse pro-ISIS views. 

On at least three occasions, Aziz used his Twitter accounts and other electronic communication services to assist persons seeking to travel to and fight for ISIL.  In one instance, Aziz acted as an intermediary between a person in Turkey and several well-known members of ISIS.  Aziz passed location information, including maps and a telephone number, between the person in Turkey and the ISIS member. 

Aziz also used one of his Twitter accounts to threaten approximately 100 U.S. service members.  He disseminated a “kill list” that contained the names, addresses, photographs and military branches of the service members.  A well-known ISIS member compiled the list, which commanded ISIS supporters to “kill the [service members] in their own lands, behead them in their own homes, stab them to death as they walk their street thinking that they are safe.”

A court-authorized search of a tactical/military style backpack located in Aziz’s closet identified five loaded M4-style high-capacity magazines, a modified straight edge knife, a thumb drive, medication, flashlights, a toothbrush, sunflower seeds, a lighter, nail clippers, fingerless gloves, a pocket watch and a black balaclava, which is a type of mask frequently worn by ISIS fighters and supporters.

On December 22, 2015, Aziz was charged in an indictment with conspiring and attempting to provide material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization.  A superseding indictment was returned on May 18, 2016, which added solicitation to commit a crime of violence and transmitting a communication containing a threat to injure.  On January 30, 2017, Aziz pled guilty to conspiracy to provide material support and resources to a designated foreign terrorist organization and transmitting a communication containing a threat to injure.

“Jalil Ibn Ameer Aziz conspired to provide material support to ISIS by aiding individuals in their pursuit of traveling overseas to join the designated foreign terrorist organization and by using social media to propagate ISIS’s threats to injure U.S. service members,” said Acting Assistant Attorney General Boente. “The National Security Division’s highest priority is counterterrorism, and we will remain vigilant in our efforts to hold accountable those who seek to provide material support to foreign terrorist organizations and threaten members of our military.”

United States Attorney David J. Freed said, “We in law enforcement know that the fight against terrorism is not limited to far-away battlefields.  This sentence should serves as ample notice that we will cede the security of our community to no one.  The outstanding work of the investigators and attorneys in this case has brought to justice an individual who provided real, material support to terrorist groups and who attempted to spread hate and destruction in our community and abroad.  We will remain ever vigilant to protect the security of our citizens.”

"Mr. Aziz shared ISIL propaganda via social media, helping the terrorists' twisted worldview spread further, faster," said Michael Harpster, Special Agent in Charge of the FBI's Philadelphia Division. "Spewing violent jihadist beliefs, this young man – an American citizen – called for the murder of U.S. service members, and aided other radicalized individuals seeking to travel and take up arms alongside ISIL fighters. The dangers he posed are clear, and chilling. FBI Philadelphia's Joint Terrorism Task Force will never stop working to detect and disrupt the activities of terrorists and those who assist them."    

The case was investigated by the Federal Bureau of Investigation’s Joint Terrorism Task Force (JTTF), which includes the Pentagon Force Protection Agency and the Pennsylvania State Police, with assistance from the Harrisburg Bureau of Police.  Assistant United States Attorney Daryl F. Bloom and Trial Attorneys Robert Sander and Adam L. Small of the National Security Division’s Counterterrorism Section prosecuted the case.

The Departments of Justice and the Interior joined with the New York State Office of the Attorney General (NYSOAG) and Department of Environmental Conservation (NYSDEC) today to announce a proposed settlement with Honeywell International Inc. (Honeywell) and Onondaga County related to contamination of Onondaga Lake, portions of its tributaries, and surrounding wetlands and uplands. 

The proposal would resolve claims brought under the federal Superfund law for damages to natural resources stemming from releases of mercury and other hazardous substances from facilities owned and operated by Honeywell (formerly Allied-Signal) and Onondaga County at the Onondaga Lake Superfund Site in Syracuse, New York.  

As part of its operations over many years, Honeywell contributed hazardous substances that resulted in the contamination of Onondaga Lake, portions of its tributaries, and surrounding wetlands and uplands.  Hazardous substances from Onondaga County’s operations made their way into Onondaga Lake as well.  Federal Superfund law seeks to make the environment and public whole for injuries to natural resources and ecological and recreational services resulting from releases of hazardous substances to the environment.

The proposed settlement requires Honeywell to implement and maintain 20 restoration projects to restore and protect wildlife habitat and water quality, and increase recreational opportunities at Onondaga Lake.  Honeywell will also pay over $6 million allocated to restoration and preservation programs overseen by the federal and state trustees, Department of Interior, and the Commissioner of Environmental Conservation acting through NYSDEC.

Onondaga County will operate, repair, maintain, and monitor five of these restoration projects located on or adjacent to County parklands for 25 years.  The settlement terms are outlined in a proposed consent decree filed in federal court in Syracuse, New York today.  The total value of this proposed settlement is $26 million.

“This settlement will help restore the precious natural resources of the Onondaga Lake watershed, bringing lasting benefits for future generations of Central New Yorkers to enjoy,” said Acting Assistant Attorney General Jeff Wood for the Department of Justice Environment and Natural Resources Division.  “This joint action with the Department of Interior and the State of New York is yet another testament to the value and effectiveness of cooperative federalism, and I am grateful to all of our partners for the efforts that brought us this resolution.”

“With this proposed settlement, the communities of Onondaga Lake are one step closer to reclaiming this resource for the people and wildlife that live here,” said New York Field Supervisor David Stilwell for the U.S. Fish and Wildlife Service.  “These funds would support both habitat restoration and protection for the benefit of fish and wildlife, as well as improved opportunities for people to enjoy Onondaga Lake and all that it could offer.  We look forward to continuing collaboration with the state, county, Honeywell, and surrounding communities.”

“This settlement marks a critical step toward returning Onondaga Lake to the community that surrounds it – requiring the investment of millions to restore and protect water quality, wildlife, and recreation,” said Bureau Chief Lem Srolovic for the Environmental Protection Bureau of the Office of the New York Attorney General.  “We encourage members of the community to review the settlement during the comment period, and look forward to continuing to work in partnership to ensure the restoration of this remarkable natural resource.”

 “This proposed agreement is another significant step in the remarkable restoration of Onondaga Lake,” said Commissioner Basil Seggos of the New York State Department of Environmental Conservation.  “DEC looks forward to the successful implementation of these projects and working with the community on the development of additional restoration work available under the settlement.  The input from the public on the recovery of Onondaga Lake has been invaluable, and implementation of this restoration plan will return this unique natural resource to the surrounding community for use and enjoyment that has been unavailable for decades.” 

This past August, the trustees, through U.S. Fish and Wildlife Service and the State of New York, issued a final restoration plan and environmental assessment plan outlining these 20 restoration projects to restore the Lake and wildlife habitat and improve recreational resources.  This plan also included responses to oral and written comments received from the public on the draft plan during a 90-day public comment period, which included four public meetings and one public hearing held throughout Syracuse during the spring 2017.

Since 2008, Honeywell and the trustees have worked together to assess and identify potential restoration projects to benefit natural resources affected by releases of mercury and other hazardous substances.  Some of the damaged natural resources include fish, birds, reptiles, amphibians, and mammals.  Recreational fishing opportunities were also impacted by mercury contamination.

Today’s proposed settlement, lodged with the U.S. District Court for the Northern District of New York, is subject to a 30-day public comment period to begin following notification in the Federal Register.  The settlement is subject to final approval by the court.  To view the proposed consent decree, visit the department’s website: www.justice.gov/enrd/Consent_Decrees.html.

More information about the Onondaga Lake Natural Resource Damage Assessment is online at https://www.fws.gov/northeast/nyfo/ec/onondaga.htm.

Attorney General Sessions today announced that the Department of Justice has created a new senior level position - Director of Opioid Enforcement and Prevention Efforts (“Director”). The Director will be responsible for assisting the Attorney General, Deputy Attorney General, and Department components in formulating and implementing Department initiatives, policies, grants, and programs relating to opioids, and coordinating these efforts with law enforcement.

In announcing the position, Attorney General Sessions made the following statement: "With one American dying of a drug overdose every nine minutes, we need all hands on deck," Attorney General Sessions said. "That's why President Trump has made ending the drug epidemic a top priority.  This Department of Justice embraces that goal, and we have taken a number of steps this year to do our part.  We have indicted hundreds of defendants for drug related healthcare fraud, sent more prosecutors to where they're needed most, and we've taken on the gangs and cartels.  Today we take the next step: creating a senior level official position at the Department to focus entirely on this issue. This Department will continue to follow the President's lead, and I am confident that we can and will turn the tide of the drug crisis."

An Everett man was sentenced today to 28 years in prison for conspiring with others to provide material support to the Islamic State of Iraq and al-Sham (ISIS) and kill persons in the United States. 

David Daoud Wright, a/k/a Dawud Sharif Abdul Khaliq, a/k/a Dawud Sharif Abdul Khaliq, 28, of Everett, Mass., was sentenced by U.S. District Court Judge William G. Young to 28 years in prison.  In October 2017, Wright was convicted by a federal jury of conspiracy to provide material support to ISIS, conspiracy to commit acts of terrorism transcending national boundaries, conspiracy to obstruct justice, and obstruction of justice.

“David Wright conspired with others to commit violent attacks here in the United States at the direction of ISIS,” said Acting Assistant Attorney General Boente.  “This successful prosecution demonstrates that the Department of Justice will not waver in its commitment to bring justice to those who provide support and encourage violence on behalf of ruthless terrorist organizations.”

“Mr. Wright plotted to kill innocent Americans on behalf of ISIS,” said Acting United States Attorney William D. Weinreb.  “Despite the fact that he was born in Massachusetts, Mr. Wright turned against his country and joined a radical terrorist organization. He became a soldier of ISIS and recruited U.S. citizens to commit attacks within the United States aimed at killing civilians and police officers.  Today’s sentence affirms our commitment to protecting the public and prosecuting those who pledge alliance to our enemies.” 
 
“Today's sentencing of David Wright finally holds him accountable for betraying his country, obstructing justice, and conspiring to support a brutally violent terrorist organization,” said Harold H. Shaw, Special Agent in Charge of the FBI Boston Field Division. “The spread of the ISIS ideology and it’s savagery against innocents around the world, was found right here at home, by an extremely unpredictable and dangerous person who radicalized to support an imprudent call to jihad. Through the dogged efforts of the FBI and our partners within the Massachusetts and Rhode Island Joint Terrorism Task Forces, who tirelessly work day-in and day-out to identify and thwart those who pose a serious threat, we clearly showed Mr. Wright was a soldier of ISIS, and a very real threat to national security and public safety.  This case truly highlights the importance of law enforcement collaboration here and around the world, and I'm grateful for the dedication of those committed to keeping the Commonwealth safe.” 

Beginning in at least February 2015, Wright began discussing ISIS’ call to kill non-believers in the United States with his uncle, Usaamah Abdullah Rahim, and co-defendant Nicholas Alexander Rovinski. Specifically, Wright created a “martyrdom” operation cell in Massachusetts.  In April 2015, he created a Twitter page for the “Lions of America” and published a document entitled, Internal Conquest, on the internet in which Wright called on the “Lions of Allah” to kill Americans. 

Wright also plotted with Rahim and Rovinski to behead U.S. citizens at the direction of ISIS, and identified a New York woman as the first beheading target. Rahim purchased three knives for this plot.  In addition, Wright knew Rahim was communicating with an ISIS member in Syria, Junaid Hussain, who provided Rahim with an encrypted document containing details about the intended victim. In August 2015, Hussain was killed in an airstrike in Raqqah, Syria.

In preparation for their attack, Wright conducted extensive research on weapons, knives, machetes, bombing making components, and methods to subdue their victims. Wright also conducted research on “how to start a secret militia in the United States.”   

On June 2, 2015, Rahim was shot and killed after he attacked law enforcement officers in a Roslindale, Mass., parking lot. Two hours before Rahim attacked the police, Wright had encouraged and motivated Rahim to pursue martyrdom by attacking the “boys in blue.”  Within minutes of learning of his Uncle’s death from a family member, Wright deleted data from his laptop computer by restoring it to factory settings and deleted call logs on his cellphone that showed that he had spoken to Rahim that morning.

In September 2016, Rovinski pleaded guilty to conspiring to provide material support to ISIS and conspiring to commit acts of terrorism transcending national boundaries, and will be sentenced tomorrow. 

Acting U.S. Attorney Weinreb, Acting AAG Boente and FBI SAC Shaw made the announcement today. This investigation was conducted by the Boston Joint Terrorism Task Force (JTTF); Boston Police Department; Massachusetts State Police; Everett Police Department; U.S. Customs and Border Protection; and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Boston. The Suffolk District Attorney’s Office; Rhode Island State Police; Warwick, R.I. Police Department; and police in the United Kingdom also provided valuable assistance. The case was prosecuted by Assistant U.S. Attorney B. Stephanie Siegmann of the District of Massachusetts’s National Security Unit and Trial Attorney Gregory R. Gonzalez of the National Security Division’s Counterterrorism Section.

Investigative specialists from INTERPOL Washington―the U.S. National Central Bureau―and some 100 officials from 70 INTERPOL member countries met December 5th to 8th in Montego Bay, Jamaica, to review high priority fugitive and cold cases and to share best practices among the experts. The event, known as the 7th Global Operational Symposium, was hosted by the Jamaica Constabulary Force and INTERPOL’s Fugitive Investigative Support unit.  The symposium featured several speakers during the first two days, while the last two days were focused on a detailed review of cases.

During the case reviews, three INTERPOL Washington representatives participated in more than 40 case study reviews.  During this time, they explained how the United States processes Red Notices, and answered questions from other countries’ representatives.  Participants learned that the United States does not make arrests solely on the basis of a Red Notice. In order to arrest a person in the United States, the U.S. Constitution requires an American court to issue a warrant based upon probable cause. Therefore, the United States treats foreign-issued Red Notices as “look out” requests for the subject of the notice. INTERPOL Washington enters the information about the Red Notice subjects into appropriate U.S. law enforcement databases.

In many other countries, INTERPOL personnel and national police are authorized to arrest pursuant to a Red Notice.  The INTERPOL Washington staff found it very helpful to learn about how other governments’ execute the INTERPOL mission. They were also better able to understand some of the challenges facing other INTERPOL member countries, such as lack of technical infrastructure, limited internet access, and cumbersome bureaucratic hurdles for approval of routine actions.

One of INTERPOL Washington’s Supervisory Investigative Analysts represented the agency at the 5th INTERPOL Global Trafficking in Human Beings and Smuggling of Migrants Conference held in Doha, Qatar, December 6-7, 2017. According to INTERPOL, the conference focused on the essential role both the public and private sector play in preventing, detecting, reporting, disrupting and ultimately prosecuting those responsible for crimes which have no borders, and no limits. Michele Ford-Stepney was among 300 experts from law enforcement, public and private sectors, and non-governmental and international organizations from more than 90 countries. The conference addressed key human trafficking and people smuggling issues, including:

· Poly-criminality and new trends in migrant smuggling

· Reframing responses to trafficking in humans

· And international cooperation with non-governmental organizations and the private sector.

Representatives from Immigration and Customs Enforcement-Homeland Security Investigations (ICE-HSI) and the Department of Justice Human Trafficking Prosecution Unit gave presentations on topics related to Human Trafficking and Human Smuggling in the United States. Key themes among the presenters were the need for dedicated resources, global cooperation, and initial and ongoing assistance for victims.

Prior to the conference, Ford-Stepney attended the INTERPOL Specialized Operations Network (ISON) Against People Smuggling Workshop.  Several countries presented information on operational cases and initiatives, and provided an overview of case law, procedures, and best practices within their respective countries.

A real estate investor was sentenced to serve 16 months in jail for his role in a bid rigging conspiracy and bank fraud scheme involving public foreclosure auctions in Georgia, the Department of Justice announced yesterday.

Douglas L. Purdy was charged on Feb. 3, 2016, in an indictment returned by a federal grand jury in the Northern District of Georgia.  Purdy was convicted following a two-week trial on June 16, 2017, of bid rigging and two counts of bank fraud at Forsyth County, Georgia, foreclosure auctions.  The Honorable Richard W. Story sentenced Purdy to serve 16 months in prison, serve three years supervised release, and pay $100,979.86 in restitution to victims.

“Yesterday’s sentencing is yet another example of the Antitrust Division’s commitment to aggressively prosecute bid rigging schemes that subvert competition,” said Assistant Attorney General Makan Delrahim of the Department of Justice Antitrust Division.  “Including yesterday’s sentencing, a total of 20 individuals have been sentenced to terms of incarceration for bid rigging and fraud at public foreclosure auctions in the Northern District of Georgia.”

The evidence at trial showed that Purdy and his co-conspirators agreed not to compete for residential real estate at foreclosure auctions in Forsyth County and defrauded lender banks and homeowners.  Among other methods, the conspirators held secret “second auctions” of properties, dividing among themselves the auction proceeds that should have gone to pay off debts against the properties and, in some cases, to homeowners.

In addition to Purdy’s conviction, 22 real estate investors have pleaded guilty to similar charges as a result of the Department’s ongoing antitrust investigations into bid rigging and fraud at public foreclosure auctions in the Atlanta area.

The Antitrust Division’s Washington Criminal II Section and the FBI’s Atlanta Division conducted the investigation, with assistance from the U.S. Attorney’s Office of the Northern District of Georgia.  Anyone with information concerning bid rigging or fraud related to real estate foreclosure auctions should contact the Washington Criminal II Section of the Antitrust Division at 202-598-4000 or https://www.justice.gov/atr/report-violations.

Mario Ramirez-Trevino, also known as “Mario Pelon” and “X-20,” the alleged former leader of the Mexican Gulf Cartel, was extradited to the United States from Mexico to face drug conspiracy charges, announced Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and Chief of Operations Anthony D. Williams of the Drug Enforcement Administration (DEA).

Ramirez-Trevino, made his initial appearance today before U.S. Magistrate Judge Deborah A. Robinson in the District of Columbia, after being extradited to the United States on Dec. 18.  Ramirez-Trevino was ordered detained in federal custody pending trial.  Ramirez-Trevino had been in the custody of Mexican authorities pending extradition since his arrest on Aug. 17, 2013.

Ramirez-Trevino was charged, along with 25 other defendants, in a three-count superseding indictment returned on May 9, 2013.  He is charged with conspiracy to manufacture and distribute five kilograms or more of cocaine and 1,000 kilograms or more of marijuana for importation into the United States.  He is also charged with two counts of attempted distribution of five kilograms or more of cocaine for importation into the United States for his involvement in

a shipment of approximately 10 tons of cocaine, seized by Mexican authorities in October 2007, and a 2,400 kilogram shipment of cocaine seized by the Panamanian authorities in November 2007.  

“The Gulf Cartel is one of the most violent and brutal drug trafficking organizations, posing a threat to the citizens of both the United States and Mexico,” said Acting Assistant Attorney General John P. Cronan.  “This significant extradition is the result of our strong law enforcement relationship with the Government of Mexico, and the Department of Justice’s continuing efforts to combat international narcotics trafficking.” 

“The extradition of Mario Ramirez-Trevino is another demonstration of the outstanding partnership we have with the Government of Mexico,” said Chief Williams.  “We appreciate and recognize the significant efforts of our Mexican partners in the pursuit of justice and the dismantlement of drug trafficking organizations and their command elements.”    

On Dec. 6 and 7, Attorney General Jeff Sessions participated in the “Trilateral Summit Against Transnational Organized Crime” where representatives from Colombia, Mexico and the United States renewed their existing commitment to international judicial cooperation to deepen joint strategies in the fight against transnational organized crime.  Additonally, last week, Attorney General Sessions joined Secretary of State Rex Tillerson and Homeland Security Secretary Kirstjen Nielsen, in meeting with the Mexican Secretary of Foreign Affairs Luis Videgaray Caso, Mexican Interior Secretary Miguel Angel Osorio Chong,  and Acting Mexican Attorney General Elias Beltran for the second U.S.-Mexico Strategic Dialogue on Disrupting Transnational Criminal Organizations. The dialogue covered strategic approaches to disrupt the multi-billion dollar business model of those who profit from illicit drug trafficking and threaten our national security.

According to statements made in court, Ramirez-Trevino was allegedly the former leader of the Gulf Cartel when it worked in close partnership with Los Zetas, collectively known as “The Company.”  The Company worked independently and with other drug trafficking organizations to finance, purchase, transport, and distribute cocaine and marijuana destined for the United States.  The Company imported cocaine from Colombia and elsewhere into Mexico, where it was stored until its eventual importation into the United States.  The Company also sourced marijuana from the mountainous regions in Mexico for importation into the United States.  To accomplish its drug trafficking objectives, the Company relied on acts of violence and enlisted a group of former military officials known as “Los Zetas” to carry out those acts of violence.  Ramirez-Trevino was actively involved in overseeing The Company’s drug trafficking activities in Mexico.

On April 15, 2009, under the Foreign Narcotics Kingpin Designation Act, the President identified Los Zetas as a Significant Foreign Narcotics Trafficker.  On July 20, 2009, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) also identified the leadership of Los Zetas, Heriberto Lazcano-Lazcano and Miguel Angel Trevino Morales, as Significant Foreign Narcotics Traffickers.  Both men are named as co-defendants in the indictment charging Ramirez-Trevino.  On March 24, 2010, OFAC also named Ramirez-Trevino as a derivative Specially Designated Narcotics Trafficker pursuant to the Foreign Narcotics Kingpin Designation Act. 

The Department expresses its gratitude and appreciation to the Government of Mexico for its cooperation and assistance in the apprehension and extradition of Ramirez-Trevino.

The charges in the indictment are merely allegations, and all defendants are presumed innocent unless proven guilty beyond a reasonable doubt in a court of law.

The investigation was led by the DEA’s Houston Field Division and the DEA Bilateral Investigation Unit.  The case is being prosecuted by trial attorneys from the Criminal Division’s Narcotic and Dangerous Drug Section.  The Criminal Division’s Office of International Affairs provided significant assistance in the extradition.

The Justice Department announced today that it has reached a settlement agreement with Crop Production Services Inc. (Crop Production), an agricultural company headquartered in Loveland, Colorado.  The settlement resolves a lawsuit the Justice Department filed against the company on Sept. 28, 2017, alleging that the company discriminated against U.S. citizens because of a preference for foreign visa workers, in violation of the Immigration and Nationality Act (INA).   

The Department’s lawsuit alleged that in 2016, Crop Production discriminated against at least three United States citizens by refusing to employ them as seasonal technicians at its El Campo, Texas location because the company preferred to employ temporary foreign workers under the H-2A visa program.  According to the Department’s complaint, Crop Production imposed more burdensome requirements on U.S. citizens than it did on H-2A visa workers to discourage U.S. citizens from working at the facility.  For instance, the complaint alleges that although U.S. citizens had to complete a background check and a drug test before being permitted to start work, H-2A visa workers were allowed to begin working without completing them and, in some cases, never completed them.  The complaint also alleged that Crop Production refused to consider a limited-English proficient U.S. citizen for employment yet hired H-2A visa workers with limited-English proficiency.  Ultimately, all of Crop Production’s 15 available seasonal technician jobs in 2016 went to H-2A visa workers instead of U.S. workers. 

Under the INA, it is unlawful for employers to intentionally discriminate against U.S. workers because of their citizenship status or to otherwise favor the employment of temporary foreign visa workers over available, qualified U.S. workers.  In addition, the H-2A visa program allows employers to hire foreign visa workers only if there is not a sufficient number of qualified and available U.S. workers to fill the jobs. 

The settlement agreement requires Crop Production to pay civil penalties of $10,500.00 to the United States, undergo department-provided training on the anti-discrimination provision of the INA, and comply with departmental monitoring and reporting requirements.  In a separate agreement with workers represented by Texas RioGrande Legal Aid, Crop Production agreed to pay $18,738.75 in lost wages to affected U.S. workers.   

“There will be zero tolerance for companies that violate the Immigration and Nationality Act by hiring foreign visa holders over U.S. workers,” said Acting Assistant Attorney General John Gore of the Civil Rights Division.  “The Division’s Protecting U.S. Workers Initiative is committed to fighting discriminatory hiring practices that prevent qualified U.S. workers from obtaining jobs, and we commend Texas RioGrande Legal Aid for bringing this matter to our attention.” 

The settlement is part of the Division’s Protecting U.S. Workers Initiative, an initiative aimed at targeting, investigating, and bringing enforcement actions against companies that discriminate against U.S. workers in favor of foreign visa workers.

The Division’s Immigrant and Employee Rights Section (IER), formerly known as the Office of Special Counsel for Immigration-Related Unfair Employment Practices, is responsible for enforcing the anti-discrimination provision of the INA.  The statute prohibits, among other things, citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; retaliation; and intimidation.    

For more information about protections against employment discrimination under immigration laws, call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar; email IER@usdoj.gov; or visit IER’s English and Spanish websites. 

Applicants or employees who believe they were subjected to: different documentary requirements based on their citizenship, immigration status, or national origin; or discrimination based on their citizenship, immigration status or national origin in hiring, firing, or recruitment or referral, should contact IER’s worker hotline for assistance.

The Department of Justice announced today that it has reached a settlement with Parker-Hannifin Corporation.  The settlement requires Parker-Hannifin to divest the Facet filtration business, including the aviation fuel filtration assets that it acquired from CLARCOR Inc. on Feb. 28, 2017.

The Department’s Antitrust Division filed suit on Sept. 26, 2017, because the acquisition eliminated competition in the development, manufacture, and sale of qualified filtration products necessary for the proper filtration of aviation fuel used in commercial and military aircraft.  It has now filed a proposed settlement in U.S. District Court for the District of Delaware that, if approved by the court, would resolve the lawsuit, restore competition in the markets for aviation fuel filtration systems and elements, and address the Department’s competitive concerns.

“This agreement to fully divest the Facet filtration business restores the competition in the aviation fuel filtration markets that the underlying merger eliminated,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division.  “Once the divestiture is completed, the acquirer will be in the same competitive position that CLARCOR enjoyed before the transaction, and the Facet brand of aviation fuel filtration products will be able to once again compete in the free market with Parker-Hannifin.  This divestiture avoids the difficulties of a regulatory behavioral decree, relying instead on competition in the free market to protect American consumers and our military.”

Parker-Hannifin and the Antitrust Division agreed to the divestiture as well as provisions designed to promote compliance and make the enforcement of this consent decree as effective as possible on behalf of consumers and the military.

Prior to its delivery into commercial or military aircraft, aviation fuel must be properly filtered at multiple stages to ensure the removal of water droplets and particulate contaminants.  Failure to filter aviation fuel properly creates unacceptable safety risks and can result in potentially catastrophic consequences.  To address these safety concerns, aviation fuel filtration systems and elements are subject to specific industry standards, mandated by the U.S. airline industry.  Only those aviation fuel filtration products qualified by the Energy Institute (EI) may be used to filter aviation fuel for use in U.S. commercial and military planes.

Prior to the acquisition, Parker-Hannifin and CLARCOR were the only two manufacturers of EI-qualified aviation fuel filtration systems and elements in the United States and were engaged in vigorous head-to-head competition, which was eliminated following the transaction.  On Sept. 26, 2017, the Department filed an antitrust lawsuit against Parker-Hannifin and its subsidiary, CLARCOR, alleging that Parker-Hannifin’s $4.3 billion acquisition of CLARCOR created an effective monopoly in the markets for EI-qualified aviation fuel filtration systems and elements sold to U.S. customers.  The Department alleged in its complaint that Parker-Hannifin’s acquisition of CLARCOR’s aviation fuel filtration assets would result in increased prices, decreased services and product innovation, and slower delivery of these critical safety products.  Shortly after the filing of its complaint, the Division reached an agreement with Parker-Hannifin to preserve and maintain the aviation fuel filtration assets of both Parker-Hannifin and CLARCOR during the pendency of the action.

Parker-Hannifin Corporation is an Ohio corporation headquartered in Cleveland, Ohio.  It is a diversified manufacturer of filtration systems, and motion and control technologies for the mobile, industrial and aerospace markets with operations worldwide.  In 2017, Parker-Hannifin’s sales revenues were approximately $12 billion.  Parker-Hannifin sells its aviation fuel filtration products under the Velcon brand.

CLARCOR Inc. was a Delaware corporation headquartered in Franklin, Tennessee.  CLARCOR was a leading provider of filtration systems for diversified industrial markets with net sales of approximately $1.6 billion in 2016.  CLARCOR manufactured and sold aviation fuel filtration products under the Facet brand.

The proposed settlement, along with the Department’s competitive impact statement will be published in the Federal Register, as required by the Antitrust Procedures and Penalties Act.  Any person may submit written comments regarding the proposed final judgment within 60 days of its publication to Maribeth Petrizzi, Chief, Defense, Industrials, and Aerospace Section, Antitrust Division, U.S. Department of Justice, 450 5th Street, N.W., Suite 8700, Washington, D.C. 20530.  At the conclusion of the 60-day comment period, the court may enter the Final Judgment upon a finding that it serves the public interest.

The Justice Department announced today that it has filed a lawsuit alleging that female tenants in residential rental properties in Wichita, Kansas, were subjected to egregious sexual harassment and retaliation in violation of the federal Fair Housing Act.  The department’s complaint names four individuals as defendants:  Thong Cao, who manages the rental properties and does business as Cao Properties and Rentals; Mai Cao; Van Le; and Tong Nguyen.  Each of the defendants owns or previously owned one or more of the properties where the illegal conduct occurred.

Today’s lawsuit, filed in the U.S. District Court for the District of Kansas, arose from two complaints that former tenants filed with the U.S. Department of Housing and Urban Development (HUD).  The lawsuit alleges that Thong Cao sexually harassed female residents at the rental properties from at least 2010 to 2014.  According to the complaint, Thong Cao engaged in harassment that included, among other things, making unwelcome sexual advances and comments, engaging in unwanted sexual touching, and evicting tenants who refused to engage in sexual conduct with him. 

“No woman should have to endure sexual harassment in order to remain in her home,” said Acting Assistant Attorney General John Gore of the Justice Department’s Civil Rights Division. “Sexual harassment in housing is unacceptable and illegal, and landlords should be on notice that the Justice Department will continue to vigorously enforce the Fair Housing Act to combat this type of discrimination and to obtain relief for its victims.”

“Property owners and managers who use their position to seek sexual favors are not only violating a woman’s housing rights, they are creating an atmosphere of fear and intimidation,” said Anna María Farías, HUD’s Assistant Secretary for Fair Housing and Equal Opportunity. “HUD will continue to work with the Justice Department to take action to ensure that individuals that provide housing meet their obligation to comply with federal fair housing laws.”

In October, the Justice Department’s Civil Rights Division announced the Sex Harassment Initiative (SHI). The initiative specifically seeks to increase the Department’s efforts to protect individuals from harassment by landlords, property managers, maintenance workers, security guards, and other employees and representatives of rental property owners.

The Justice Department has filed or settled six sexual harassment cases since January 20, 2017, and has recovered over $1 million for victims of sexual harassment in housing.

Today’s lawsuit seeks monetary damages to compensate the victims, civil penalties and a court order barring future discrimination.  The complaint contains allegations of unlawful conduct.  The allegations must be proven in federal court.

The federal Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status.  More information about the Civil Rights Division and the laws it enforces is available at http://www.justice.gov/crt.  Individuals who believe that they may have been victims of sexual harassment or other types of housing discrimination at rental dwellings owned or operated by Thong Cao, or who have other information that may be relevant to this case, can contact the Housing Discrimination Tip Line:

• English language:  Call 1-800-896-7743, then press 1 to continue in English and select mailbox 994 to leave a message; or
• Spanish language:  Call 1-800-896-7743, then press 2 to continue in Spanish and select mailbox 3 to leave a message.

Individuals can also report sexual harassment and other forms of housing discrimination by e-mailing the Justice Department at fairhousing@usdoj.gov.

A federal jury convicted a former police officer today of attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization, and obstruction of justice.

“Nicholas Young swore an oath to protect and defend, and instead violated the public’s trust by attempting to support ISIS,” said Dana J. Boente, Assistant Attorney General for the Justice Department’s National Security Division and U.S. Attorney for the Eastern District of Virginia. “I want to thank the FBI’s Washington Field Office, the Metro Transit Police, and the trial team for their tireless work and dedication to this case.”

According to court records and evidence presented at trial, Nicholas Young, 38, of Fairfax, was formerly employed as a police officer with the Metro Transit Police Department. In late July 2016, Young attempted to provide material support and resources to ISIS by purchasing and sending gift card codes that he believed would allow ISIS recruiters to securely communicate with potential ISIS recruits.

Between Dec. 3, 2015, and Dec. 5, 2015, Young attempted to obstruct and impede an official proceeding. In specific, Young believed an associate of his, who was actually an FBI confidential human source (CHS), had successfully joined ISIS in late 2014. During an FBI interview, Young was told the FBI was investigating the attempt of his associate (the CHS) to join ISIS. Nevertheless, in an attempt to thwart the prosecution of the CHS and himself, Young attempted to deceive investigators as to the destination and purpose of the CHS’s travel. 

Additionally, in November 2014, Young attempted to obstruct, influence, and impede an official proceeding of the Grand Jury by sending a text message to the CHS’ cell phone in order to make it falsely appear to the FBI that the CHS had left the United States to go on vacation in Turkey. In actuality, Young believed the CHS had gone to Turkey and then to Syria in order to join and fight for ISIS.

Young faces a maximum penalty of 60 years in prison when sentenced on Feb. 23, 2018. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.

Dana J. Boente, Acting Assistant Attorney General for the National Security Division and U.S. Attorney for the Eastern District of Virginia, and Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the verdict. The case is being prosecuted by Assistant U.S. Attorneys Gordon D. Kromberg and John T. Gibbs, Special Assistant U.S. Attorney Evan Turgeon, and Trial Attorney David P. Cora of the National Security Division.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-cr-265.

Omar Faraj Saeed Al Hardan, the 25-year-old refugee who was born in Iraq and resided in Houston, has been ordered to federal prison for 16 years following his conviction of attempting to provide material support or resources to a designated foreign terrorist organization. He pleaded guilty Oct. 17, 2016.

Acting U.S. Attorney Abe Martinez, Acting Assistant Attorney General for National Security Dana Boente, Special Agent in Charge Perrye K. Turner of the FBI’s Houston Division and Special Agent in Charge Mark Dawson of Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) in Houston made the announcement.

“Any person who provides material support to a foreign terrorist organization will be investigated and prosecuted to the fullest extent of the law,” said Martinez. “Al Hardan’s actions were treacherous and completely antithetical to the freedoms we as U.S. citizens value. The sentence imposed today reflects the Department of Justice’s resolve to seek out and punish all violators who would give aid and comfort to international terrorists.”

Today, U.S. District Judge Lynn Hughes, who accepted the guilty plea, handed Al Hardan a 192-month sentence. He will also be on supervised release for the rest of his life.

At the time of his plea, Al Hardan had admitted he attempted to provide material support – specifically himself – to the Islamic State of Iraq and the Levant (ISIL). Al Hardan entered the United States as a refugee on or about Nov. 2, 2009. Prior to entering the country, Al Hardan was in at least two refugee camps in Jordan and Iraq. After being admitted into the U.S. as an Iraqi refugee, he was granted legal permanent residence status on or about Aug. 22, 2011, and had resided in Houston.

In 2013, federal agents began investigating Al Hardan who had been communicating with a California man whom he understood  was associated with the Al-Nusrah Front. In those communications, the individual had told Al Hardan that he had previously traveled to Syria to fight for Al-Nusrah and discussed plans to return to Syria with Al Hardan to fight for Al-Nusrah.

Beginning in June 2014 and continuing through 2015, Al Hardan also developed a relationship with a Confidential Human Source (CHS). During that time, they discussed traveling overseas to support ISIL in fighting jihad and various ways to assist ISIL. Al Hardan also said he wanted to be trained in building remote transmitter/receiver detonators for improvised explosive devices, wanted to learn to use cell phones as the remote detonators and wanted to build remote detonators for ISIL. Al Hardan indicated he taught himself how to make remote detonators by accessing online training videos and other resources he found online and showed the CHS a circuit board he built to be used as a transmitter for a detonator. 

On Nov. 5, 2014, Al Hardan took an oath of loyalty to ISIL. Two days later, Al Hardan and the CHS participated in approximately one hour of tactical weapons training with an AK-47 that Al Hardan indicated he wanted.  

During the investigation, Al Hardan had also posted many statements on social media in support of ISIL. One of those included a photo of a Humvee with an ISIL flag. Above the photo, Al Hardan posted, “ISIS yesterday in Iraq, today in Syria and Allah willing, tomorrow in Jerusalem.” He also made numerous statements about his plans to travel to Syria and fight alongside ISIL and become a martyr. In one instance he said “I want to blow myself up. I want to travel with the Mujahidin. I want to travel to be with those who are against America. I am against America.”

Upon his arrest in January 2016, investigators discovered training CDs on how to build remote detonators, electronic circuitry components, tools used to build circuitry, multiple cell phones (that had not been activated), a prayer list for committing Jihad and becoming a martyr and the ISIL flag. 

Al Hardan has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

The FBI’s Joint Terrorism Task Force and HSI conducted the investigation with the assistance of the Houston Police Department. Assistant U.S. Attorneys Ted Imperato, Carolyn Ferko and S. Mark McIntyre prosecuted the case.

Today Attorney General Jeff Sessions issued the following statement on President Trump’s National Security Strategy:   "President Trump has put America first,” Attorney General Sessions said. “The very first pillar of his national security strategy is to protect our homeland--to protect the American people from terrorism, from violent crime, from deadly drugs, and from any other threat we face. And he has taken action to do that by stopping immigration of people we can't vet, holding cities and counties accountable that intentionally undermine federal law enforcement, and putting a bullseye on gangs like MS-13. This year alone, the Justice Department has secured convictions of more than 1,000 gang members across America and arrested hundreds of members of MS-13. Under President Trump's leadership, we are making America safe again."

Jamal Marshall was sentenced to six months imprisonment and six months home confinement today following a hearing in federal district court in Houston, Texas, for making false statements to law enforcement agents regarding the illegal harvest of snapper in the Gulf of Mexico.  A second fisherman, Jacob Brown, was previously sentenced on November 29, 2017, to 2 months imprisonment and 4 months home confinement.  The sentences were announced by Acting Assistant Attorney General Jeffrey H. Wood for the Justice Department’s Environment and Natural Resources Division and the National Oceanic and Atmospheric Administration Fisheries Office for Law Enforcement.

In August 2017, Marshall and Brown pleaded guilty to making false statements to agents with the Coast Guard Investigative Service and the National Oceanic and Atmospheric Administration – Office of Law Enforcement.  According to court documents filed at the time of the plea, the two illegally harvested more than 1,900 pounds of fish, including 642 snapper, weighing approximately 1,846 pounds.  The two subsequently lied to law enforcement agents regarding the possession of these fish in order to hide their illegal harvest from Texas waters.

“This case highlights the superb partnership between Texas Parks and Wildlife, NOAA's Office of Law Enforcement, and the Coast Guard here in southeast Texas,” said Capt. Kevin Oditt, Commander of the Coast Guard Sector Houston/Galveston. “As a team, we work together to enforce laws that ensure the sustainability of our fisheries. In protecting our living marine resources, we also protect the livelihoods of commercial fishermen and the ability of recreational anglers to enjoy the sport for generations to come.”

“I am extremely proud of the combined effort by the USCG, NOAA, and Texas Game Wardens who work tirelessly day and night to protect of our natural resources in the Gulf of Mexico,” said Col. Grahame Jones of the Texas Parks and Wildlife's Law Enforcement Division.

Reef fish, such as red snapper and vermilion snapper, provide significant economic benefits to the state of Texas from both commercial and recreational fishing.  Red snapper, the most popular reef fish in the Gulf of Mexico, are a top predator in the Gulf ecosystem, prized among recreational fishermen, and a valued offering at restaurants.  Unsustainable catch rates have led to declines in the populations of these two fish. At their lowest point, vermilion snapper stocks were estimated to be at 20 percent of their historical abundance, and red snapper stocks were estimated to be at only three percent.

The case was investigated by the National Oceanic and Atmospheric Administration – Office of Law Enforcement, the Coast Guard Investigative Service, and the Texas Parks and Wildlife Department.

The last indicted member of the Cowboys gang, a violent street gang that originated in “Eastside” area of Walterboro, South Carolina, was sentenced today to 20 years in prison in federal court in Charleston, South Carolina.

Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division; Special Agent in Charge C.J. Hyman of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Charlotte, North Carolina Field Division; Solicitor Duffie Stone of the 14th Judicial Circuit; Solicitor David Pascoe of the First Circuit; Sheriff R.A. Strickland of the Colleton County, South Carolina Sheriff’s Office; Chief Wade Marvin of the Walterboro, South Carolina Police Department; Sheriff Al Cannon Jr. of the Charleston County, South Carolina Sheriff’s Office; Sheriff L. C. Knight of the Dorchester County, South Carolina Sheriff’s Office; Chief Jon Rogers of the Summerville, South Carolina Police Department; Director Jerry Adger of the South Carolina Department of Probation, Parole and Pardon Services; and Chief Mark Keel of the South Carolina Law Enforcement Division made the announcement.

Dashawn Trevell Brown, aka TOB and Shawny, 24, of Walterboro, South Carolina, was sentenced to 240 months in prison by U.S. District Court Judge David C. Norton.  Judge Norton sentenced Brown to three years of supervised release following his prison sentence, and restitution for victims injured as a result of his criminal activity. 

According to the plea agreement, Brown was a member of the Cowboys gang, a violent street gang that originated in the “Eastside” area of Walterboro, South Carolina.  Members of the Cowboys show their allegiance by wearing red, white, and blue clothing, and carrying rags in these colors, including depictions of the American flag.  Further, members of the Cowboys greet each other and show their membership in the gang using a set of hand-signs intended to evoke the shape of a “b.”  This hand sign also shows an affiliation with the “Bloods” gang.  Members of the Cowboys also show allegiance to the gang by having the words “Cowboy(s)” or “GMC” tattooed to some part of their body.  The Cowboys gang was also, for a time, aligned with another violent street gang called the “Wildboys,” that originated out of the Green Pond area of Walterboro.  In addition to sharing a common interest in posting threats, firearms, large amounts of cash, and what purported to be narcotics on Facebook and YouTube, Cowboys and Wildboys shared common enemies.  These shared interests resulted in shootings, aimed at rival gang members, which left innocent by-standers seriously injured.

Brown was sentenced for his role in four shootings committed on behalf of his membership as a Cowboys.  On May 12, 2011, after an encounter with an individual believed to be a member of a rival gang, Brown fired shots at the victim.  The shooting occurred because of an on-going dispute between the Cowboys and the rival gang.  Brown was identified by witnesses to the shooting.  As a result of this, a retaliatory shooting occurred on May 14, 2011, during which, another innocent bystsander was shot and seriously injured.  Brown was also identified as having fired shots during this incident.

Second, Brown was sentenced for his role in a June 30, 2013 shooting in the Druid Hills areas of Walterboro.  Brown, who was in a vehicle occupied by two other members of the Cowboys, participated in a drive-by shooting of individuals believed to be members of a rival gang.  Brown, who fired shots resulting in injuries to the victim’s arm, days later encountered the victim and told him, “I should have killed you.”

Third, Brown was sentenced for his role in the July 14, 2013 shooting at the Starlite Lounge in St. George.  Brown, and other members of the Cowboys, attended a party at the lounge while dressed in Cowboys colors, including displays of red, white, and blue bandanas.  While members of the Cowboys were on stage, members of the Cowboys exchanged words with a patron.  After they believed they were disrespected by the patron, members of the Cowboys left the club and waited outside.  As individuals began to leave the club, Brown and at least four other members of the Cowboys fired guns toward those coming out of the club.  As a result of the shooting, at least three victims were shot and injured. 

Lastly, Brown was sentenced for his role in a Nov. 6, 2015 attempted murder.  Brown, along with co-defendants Khiry Broughton and Quintin Fishburne, attended a drag race outside of Walterboro.  After bets were placed, Broughton questioned the results of the race and demanded the winnings, which were held by one of the race drivers.  Broughton decided to rob the winner of the race and in so doing retrieved a backpack containing firearms from Fishburne’s vehicle.  Broughton provided the firearms to Brown and other members of the Cowboys.  After the winner refused to provide the money, the winner and another innocent bystander were shot and severely injured.  After the shooting occurred, Fishburne, who transported Brown and Broughton, drove Brown and Broughton from the scene to avoid apprehension by the police.

Khiry Broughton, Clyde Naquan Hampton, Matthew Rashuan Jones, William Lamont Cox, Bryant Jameek Davis, Zaquann Ernest Hampton, Christopher Sean Brown, and Quintin Fishburne were all sentenced in November for their roles in criminal activity related to the Cowboys.

In August, Attorney General Jeff Sessions delivered remarks to the 2017 Gangs Across the Carolinas Training Symposium in Winston-Salem, North Carolina.  Since the beginning of this year, the Department of Justice has secured more than 1,260 convictions against gang members.

The case was investigated by the ATF Charleston, in partnership with the Walterboro Police Department; Colleton County Sheriff’s Office; Charleston County Sheriff’s Office; Dorchester County Sheriff’s Office; Summerville Police Department; Fourteenth Judicial Circuit Solicitor’s Office; First Judicial Circuit Solicitor’s Office; South Carolina Department of Probation, Parole and Pardon Services; and the South Carolina Law Enforcement Division.

The case was prosecuted by Trial Attorney Leshia Lee-Dixon of the Criminal Division’s Organized Crime and Gang Section and Special Assistant U.S. Attorney Tameaka A. Legette from the Fourteenth Judicial Circuit Solicitor’s Office, Bluffton, South Carolina.

Recent studies have concluded that the international trade in counterfeit and pirated goods are a multi-billion dollar industry globally that continues to grow.  Trademark counterfeiting, copyright piracy and other forms of intellectual property rights (IPR) infringements are found in virtually every industry sector, and in many instances result in significant risks to the health and safety of consumers worldwide as well as harm to the global economy. 

In order to combat this international problem, the State Department’s Bureau of International Narcotics and Law Enforcement Affairs and Department of Justice’s (DOJ) Criminal Division have worked to increase the speed and flexibility with which the U.S. government can develop international capacity, coordination, and partnerships, and provide training and technical assistance to law enforcement counterparts overseas.  By placing Intellectual Property Law Enforcement Coordinators (IPLECs) in critical regions to address the growing transnational intellectual property crime problem, the United States has been able to work globally to increase the protection of intellectual property rights in a carefully tailored and efficient manner.    

The IPLEC program was created in 2006, with the first IPLEC stationed in Bangkok, Thailand.  The program now has grown to a network of five prosecutors, posted in Abuja, Nigeria; Bucharest, Romania; São Paulo, Brazil; Bangkok, Thailand and Hong Kong S.A.R.  The network is designed to ensure that experienced U.S. prosecutors are located in high-impact regions to enhance the capacity of individual countries to investigate and prosecute IP crimes, and to develop regional networks to more effectively deter and detect IP crimes. 

In announcing those efforts, Acting Assistant Attorney General John P. Cronan of the Criminal Division said, “Intellectual property rights form the foundation of American innovation and protect the American public from products that pose risks to health and safety.  The protection of these rights requires robust international cooperation and coordination.  The IPLEC network is dedicated to developing the capacity of our foreign partners to combat intellectual property violations and building relationships critical for that cooperation.  Our strategically placed coordinators draw upon their subject matter expertise to help ensure that property holders’ rights are enforced across the globe, and that the American people are protected from harmful products entering the marketplace.”

“Combating intellectual property theft requires unprecedented real time international cooperation,” said Acting Principal Deputy Assistant Secretary of State for the Bureau of International Narcotics and Law Enforcement Affairs Richard Glenn. “The IPLEC Network is designed to meet this challenge.”

The Network works to:

• Assess the capacity of law enforcement authorities throughout the region to enforce intellectual property rights;
• Mentor and  deliver training to investigators and prosecutors, designed to enhance the capacity of foreign justice sector personnel to enforce IPR;
• Assist in developing or strengthening institutions dedicated to enforcing IPR;
• Monitor regional trends in IPR protection and computer crimes; and
• Provide expert assistance in support of the United States’ IPR policies and initiatives in the region.

The IPLECs already have assisted our international partners in achieving concrete results in critical regions. Just this fall an IPLEC-mentored team of Brazilian law enforcement officials launched a series of significant enforcement actions on a U.S. Trade Representative-designated Notorious Market in São Paulo, seizing approximately 880 tons of counterfeit and contraband goods worth approximately $138 million, which ultimately resulted in the market’s closure.

Within DOJ’s Criminal Division, the Computer Crime and Intellectual Property Section (CCIPS) and the Office of Overseas Prosecutorial Development Assistance and Training (OPDAT) have partnered to support this global network of IPR experts whose efforts have helped foreign partners successfully prosecute many key cases, including seizing and forfeiting millions of dollars, and coordinating on numerous transnational investigations with their U.S. counterparts—particularly in some of DOJ’s longest running programs in South America and Eastern Europe.  To learn more about CCIPS and OPDAT, please visit https://www.justice.gov/criminal-ccips and https://www.justice.gov/criminal-opdat.

Today Attorney General Jeff Sessions announced the Department of Justice’s new steps in combating violent crime. The Department has selected 27 locations to receive aid in the fight against violent crime.  Those locations will receive a total of 40 Assistant U.S. Attorneys, and new violent crime task forces will be launched in Charlotte, NC, and Pittsburgh, PA. The new violent crime task forces will focus on the proliferation of violent crime in the counties adjacent to Pittsburgh and Charlotte.

"Led by our 94 United States Attorney’s Offices, Project Safe Neighborhoods(PSN) task forces are hitting the streets across America to apprehend and bring violent criminals to justice.  I have asked Congress for additional PSN funding next year because I believe nothing will be more effective at reducing violent crime" said Attorney General Sessions. "Under this program, I am asking a great deal of our United States Attorneys.  I am both empowering them and holding them accountable for results.  To put them in the best position to impact and reduce violent crime, it is my privilege to announce today that through a re-allocation of resources, we will be enlisting and deploying 40 additional violent crime prosecutors across the United States."

More information on the locations of those 40 Assistant United States Attorneys and violent crime task forces is below:

AUSA Breakdown by District

Northern District of Alabama - 1
Eastern District of Arkansas - 1
Northern District of California - 2
Southern District of California - 1
District of Connecticut - 1
District of Columbia - 1
Central District of Illinois - 1
Northern District of Illinois - 3
Southern District of Indiana - 1
Eastern District of Louisiana - 1
District of Maryland - 3
Western District of Michigan - 1
Eastern District of Missouri - 2
Western District of Missouri - 1
District of Nevada - 2
District of New Mexico - 1
Eastern District of New York - 2
Western District of New York - 1
Northern District of Ohio - 2
Eastern District of Pennsylvania - 1
Middle District of Tennessee - 2
Western District of Tennessee - 2
Eastern District of Texas - 1
Northern District of Texas - 1
Southern District of Texas - 2
Western District of Texas - 1
Eastern District of Wisconsin - 2

Summary of the Charlotte Violent Crime Task Force (CE VCTF) for the Western and Middle Districts of North Carolina

The CE VCTF is focused on the investigation of violent crime in the greater Charlotte metropolitan area, to include Mecklenburg, Gaston, Cleveland, Cabarrus, Union, Stanly, Anson and Montgomery Counties.  The Task Force will be assigned to the FBI Charlotte Division Headquarters.  The CE VCTF will focus on the significant proliferation of violent crime.  Gang-related crime is already being addressed by the FBI’s Charlotte Division Safe Streets Task Force, and the new Task Force will concentrate on other violent criminal activity.  Violent crime rates in Charlotte-Mecklenburg, Gaston, and Anson County exceed the national average.  The CE VCTF will focus on crime exercising a significant impact on these communities.  The CE VCTF will be staffed with local law enforcement as well as federal agents.      

Summary of the Pittsburgh Violent Crime Task Force (PG VCTF) for the Western District of Pennsylvania

The PG VCTF will focus on the proliferation of violent crime in the counties including and adjacent to Pittsburgh—Allegheny, Armstrong, Beaver, Butler, Clarion, Lawrence, and Mercer.  The Task Force will be assigned to the FBI Pittsburgh Division Headquarters.  Pittsburgh’s violent crime rating is significantly higher than the national median.  With the exception of the city of Pittsburgh, each of the counties in the area of the proposed Task Force has a violent crime per capita rate that is higher than the city of Philadelphia as calculated based on 2015 FBI crime statistics.  Despite the fact that violent crime has declined in several categories, the overall trend reflects a disturbing increase in violent crime.  The PG VCTF will focus on violent crimes that impact public safety.  The PG VCTF will enable law enforcement to work more strategically and to address violent crime with data-driven strategies.  Staffing of the proposed Task Force will include federal law enforcement and representatives from local law enforcement agencies. 

Yarann Im was sentenced to six months imprisonment and three years of supervised release and Thomas Choi was sentenced to six months in prison with a fine of $25,000 today for trafficking juvenile American eels (also called “elvers” or “glass eels”) in violation of the Lacey Act, following a hearing in federal district court in Portland, Maine. The sentence was announced by Acting Assistant Attorney General Jeffrey H. Wood for the Justice Department’s Environment and Natural Resources Division.

In October 2016, Im pleaded guilty to violating the Lacey Act by purchasing elvers in interstate commerce that had been harvested illegally in Virginia, North Carolina, and Massachusetts. Court documents indicate that Im trafficked at least 480 pounds of elvers, which is almost one-million individual eels, and worth more than $500,000. Im subsequently sold these elvers to international buyers and exported them from the United States.

This sentencing follows the entry of a guilty plea on December 12, 2017, by Albert Cray in federal district court in Portland, Maine, to trafficking elvers in violation of the Lacey Act. As part of his guilty plea, Cray admitted to illegally transporting or selling elvers in interstate commerce, which had been harvested illegally in New Jersey. According to the statement of facts filed with the plea agreement, Cray was a fisherman from Maine, who travelled to locations near Millville, New Jersey, to illegally harvest elvers. Cray then sold the elvers to a dealer from Maryland, who exported them from the United States to buyers in Asia. In 2013, Cray trafficked approximately $253,518 worth of illegally-harvested elvers.

“The poaching and illegal selling of American eels negatively impacts not only the species but also the economies of our East Coast states and the livelihood of local U.S. fishermen who legally harvest these eels,” said Edward Grace, Acting Chief of Law Enforcement for the U.S. Fish and Wildlife Service. “These recent court actions should serve as a warning to those who illegally profit from our country’s natural resources. You will be caught and held accountable.”

Eels are highly valued in East Asia for human consumption. Historically, Japanese and European eels were harvested to meet this demand; however, overfishing has led to a decline in these populations. As a result, harvesters have turned to the American eel to fill the void.

American eels spawn in the Sargasso Sea, an area of the North Atlantic Ocean bounded on all sides by ocean currents. They then travel as larvae from the Sargasso to the coastal waters of the eastern United States, where they enter a juvenile or elver stage, swim upriver, and grow to adulthood in fresh water. Elvers are exported for aquaculture in East Asia, where they are raised to adult size and sold for food. Harvesters and exporters of American eels in the United States can sell elvers to East Asia for more than $2,000 per pound.

Because of the threat of overfishing, Atlantic Coast states have cooperatively prohibited elver harvesting in all but two states: Maine and South Carolina. Maine and South Carolina heavily regulate elver fisheries, requiring that individuals be licensed and report all quantities of harvested eels to state authorities. Other Atlantic coast states, including Virginia, have commercial fisheries for adult or “yellow” eels.

This case was the result of “Operation Broken Glass,” a multi-jurisdiction U.S. Fish and Wildlife Service investigation into the illegal trafficking of American eels. To date, the investigation has resulted in guilty pleas for 19 individuals whose combined conduct resulted in the illegal trafficking of more than $5.25 million worth of elvers.

Operation Broken Glass was conducted by the U.S. Fish and Wildlife Service and the Justice Department’s Environmental Crimes Section in collaboration with the Maine Marine Patrol, South Carolina Department of Natural Resources Law Enforcement Division, New Jersey Division of Fish and Wildlife Bureau of Law Enforcement, Connecticut Department of Energy and Environmental Protection Conservation Police, Virginia Marine Resources Commission Police, USFWS Refuge Law Enforcement, National Oceanic and Atmospheric Administration Office of Law Enforcement, Massachusetts Environmental Police, Rhode Island Department of Environmental Management Division of Law Enforcement, New York State Environmental Conservation Police, New Hampshire Fish and Game Division of Law Enforcement, Maryland Natural Resources Police, North Carolina Wildlife Resource Commission Division of Law Enforcement, Florida Fish and Wildlife Conservation Commission, Yarmouth, Massachusetts Division of Natural Resources, North Myrtle Beach, South Carolina Police Department and the Atlantic States Marine Fisheries Commission.

The government is represented by Environmental Crimes Section Trial Attorneys Cassandra Barnum and Shane Waller.

A federal jury found two Los Angeles, California-area managers of foreclosure rescue companies guilty today for their roles in a foreclosure rescue scheme.

Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, Assistant Director in Charge Paul D. Delacourt of the FBI’s Los Angeles Division, Special Agent in Charge R. Damon Rowe of Internal Revenue Service Criminal Investigation’s (IRS-CI) Los Angeles Field Office, Deputy Inspector General for Investigations Rene Febles of the Federal Housing Finance Agency-Office of Inspector General (FHFA-OIG), and Sheriff Jim McDonnell of the Los Angeles County Sheriff’s Department made the announcement.

Jamie Matsuba, 33, and her father, Thomas Matsuba, 67, both of Chatsworth, California, were convicted after a one-week trial of one count of conspiracy to commit wire fraud, making false statements to federally insured banks and committing identity theft.  In addition, both defendants were convicted of one count of making false statements to federally insured banks.  Sentencing has been scheduled for May 14, 2018 at 10 a.m., before U.S. District Judge R. Gary Klausner of the Central District of California, who presided over the trial. 

According to evidence presented at trial, from January 2005 to August 2014, Jamie Matsuba, Thomas Matsuba and others engaged in a scheme to defraud financially distressed homeowners by offering to prevent foreclosure on their properties through short sales.  Instead, the conspirators rented out the properties to third parties, did not pay the mortgages on the properties, and submitted false and fraudulent documents to mortgage lenders and servicers to delay foreclosure.  The evidence further established that the conspirators obtained mortgages in the names of stolen identities.  In addition, the defendants used additional tactics, including filing bankruptcy in the names of distressed homeowners without their knowledge and fabricating liens on the distressed properties, the evidence showed.

Three other defendants have been charged in this matter.  Defendant Dorothy Matsuba, 66, of Chatsworth, who is the mother of Jamie Matsuba and wife of Thomas Matsuba, and her daughter, Jane Matsuba-Garcia, 41, of Camarillo, California, previously pleaded guilty and are awaiting sentencing.  Defendant Young Park of Los Angeles, California, is a fugitive.  In addition, in related cases, Jason Hong, 36, of Chatsworth, and Ryu Goeku, 47, of Canoga Park, California, previously pleaded guilty and are awaiting sentencing.   

This case was investigated by the FBI, IRS-CI, FHFA-OIG and the Los Angeles County Sheriff’s Department.  Trial Attorney Niall M. O’Donnell, Senior Litigation Counsel David A. Bybee and Trial Attorney Jennifer L. Farer of the Criminal Division’s Fraud Section are prosecuting the case.  Senior Trial Attorney Nicholas Acker previously worked on the investigation.

Individuals who believe that they may be a victim in this case should visit the Fraud Section’s Victim Witness website for more information.

A federal grand jury sitting in the Eastern District of New York returned an indictment yesterday, which was unsealed today, charging the owner of a wholesale food distributor with obstructing the internal revenue laws, aiding and assisting in the filing of false tax returns, and structuring currency transactions, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.

According to the indictment, Jose Cerritos resided in Brentwood, New York, and owned La Centro American Corp. (La Centro), a wholesale food distributor in Bayshore that sold to retail customers in the New York metropolitan area.  The indictment alleges that Cerritos caused the filing of false individual and corporate income tax returns for 2011 and 2012 that did not report all of his income or all of La Centro’s gross receipts.  Cerritos allegedly did not deposit all of La Centro’s receipts into its business bank accounts and did not inform his tax return preparer of the cash receipts that were not deposited into the business bank accounts.  The indictment further alleges that Cerritos attempted to structure La Centro’s cash receipts in amounts less than $10,000 on the same or consecutive days, to evade bank-reporting requirements, and that he did so in a pattern of illegal activity involving more than $100,000 within a 12-month period.

The indictment also charges that in 2012 the Internal Revenue Service (IRS) seized funds from La Centro’s bank accounts due to the alleged structuring activity.  According to the indictment, the United States then filed a civil action to forfeit the funds.  Cerritos appeared as a claimant in the lawsuit.  During the discovery phase of the litigation, he and the other claimants allegedly provided documents to the United States purporting to be sales reports for La Centro for 2011 and 2012, but which allegedly omitted millions of dollars of La Centro’s gross receipts.

An indictment is not a finding of guilt.  Individuals charged in indictments are presumed innocent until proven guilty beyond a reasonable doubt.

If convicted, Cerritos faces a statutory maximum sentence of three years in prison for each count of obstructing the internal revenue laws and aiding and assisting in the filing of false tax returns and ten years in prison for structuring.  He also faces a period of supervised release, restitution and monetary penalties.

Acting Deputy Assistant Attorney General Goldberg thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Trial Attorneys Sarah Ranney and Mark Kotila of the Tax Division, who are prosecuting the case.

Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.

          SHAWN N. ANDERSON, Acting United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant JULIAN ROBLES, age 40, from Agat, was sentenced in District Court to a term of 20 years imprisonment for Conspiracy to Distribute Methamphetamine, in violation of 21 U.S.C. §§ 841(a)(1) and 846; Conspiracy to Launder the Proceeds of the Unlawful Distribution of Controlled Substances, in violation of 18 U.S.C. §§ 1956(h) and 1956(a)(1)(A)(i); and Felon in Possession of Firearms and Ammunition, in violation of 18 U.S.C. § 922(g).  The Court also ordered ten years of supervised release following defendant’s term of imprisonment and payment of a mandatory $300 assessment fee.  Robles was subject to federal sentencing enhancements due to prior convictions for Robbery in Hawaii and Possession of a Scheduled II Controlled Substance in Guam.  Additionally, defendants convicted of a federal drug offense may no longer qualify for certain federal benefits.  

          Acting U.S. Attorney Anderson stated, “The primary goal of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF) Program has been to identify, investigate, and prosecute the transnational, national, and regional criminal organizations most responsible for the illegal drug supply in the United States, the diversion of pharmaceutical drugs, and the violence associated with the drug trade.  As this complex drug investigation revealed, Guam is not immune from this type of organized activity.  Armed drug traffickers pose an exceptionally grave danger to our communities.  The possession of one round of ammunition can expose a prohibited person to substantial federal penalties.  The public can expect our federal and local law enforcement partnership to continue to focus its resources and expertise to combat this criminal activity.”

          This OCDETF case involved federal agents and local law enforcement officers of the Drug Enforcement Administration, U.S. Postal Inspection Service , Internal Revenue Service-Criminal Investigations, U.S. Department of Homeland Security, Homeland Security Investigations, Guam Police Department, Guam Customs and Quarantine Agency, Bureau of Alcohol, Tobacco, Firearms & Explosives, U.S. Coast Guard Criminal Investigative Service, U.S. Marshals Service, and the Judiciary of Guam Probation Division.  The case was prosecuted by Assistant U.S. Attorney Stephen F. Leon Guerrero and former Assistant U.S. Attorney Clyde Lemons Jr.

This year’s Atlantic hurricane season devastated vast swaths of the southern United States and nations of the Caribbean. Of the 17 named storms of the season, three—Harvey, Irma, and Maria—combined to make 2017 one of the most dangerous and costly ever. In response to a government–wide call for volunteers, INTERPOL Washington Information Technology (IT) Specialist Chris Gorham answered.

The sheer number and ferocity of the storms and their trails of devastation led the Federal Emergency Management Agency (FEMA) to open its Surge Capacity Force to Federal employees outside of the Department of Homeland Security, including the Department of Justice. The surge force supplements FEMA’s first responders, by providing extra personnel when disasters overwhelm FEMA resources. The volunteers work in tours of duty not to exceed 45 days.  In 2017, surge force volunteers deployed to Texas, Florida, and the Caribbean, including Puerto Rico and the U.S. Virgin Islands.

On Friday, September 29th, Gorham received his notice to activate as a volunteer. By Sunday, he was in Anniston, Alabama, at FEMA’s training facility known as the Center for Domestic Preparedness.  This state-of-the-art facility provides training to state, local, and tribal emergency response providers. Gorham spent the next three weeks in training with, and ultimately providing training to, other U.S. Government volunteers.

Hurricane Maria had devastated Puerto Rico on September 20th. As an IT specialist, Gorham was assigned to the IT team to support the stand-up of FEMA Disaster Recovery Centers (DRCs). DRCs serve homeowners, renters and business owners who sustained damage as a result of Hurricane Maria. The team left Alabama for a mission to setup DRCs around the island.

The team arrived in a country still reeling. By mid-October, internet connectivity and electrical power remained scarce. Accommodations for the volunteers were also sparse as was air conditioning, food, and clean drinking water.  According to Gorham, “For the first few weeks, we slept on cots in the back of the San Juan Convention Center, before moving to one of the U.S. military ships docked in San Juan, and ultimately to a small hotel. The days were long—10-12 hours per day, 7 days per week was normal. Our conditions were difficult but nothing like the conditions for the local people.  We knew our hardship would end in 45 days.”

From their base in San Juan, Gorham and his team traveled across the devastated island, using washed-out roads littered with fallen power lines, shredded traffic signs, and debris torn from lost homes and businesses.  Without internet connectivity, GPS mapping systems didn’t work consistently making travel to remote areas difficult and tedious. For example, Humacao, a city located on the eastern coast of the island, is normally about a one-hour drive from San Juan.  During the time that Gorham was there, the trip took more than three hours. Visiting up to three locations per day in each town, the team used stadiums, gymnasiums, and other large buildings to provide IT support for the newly established DRCs. At times they found themselves helping to distribute basics such as food and water to people waiting in 95-degree heat for sustenance.

During Gorham’s time in Puerto Rico, he participated in the opening of more than 70 DRCs. “The opportunity to volunteer to help fellow Americans was truly a privilege.  I had a chance to get out of my usual routine and expand my perspective. Working in small teams under adverse conditions was challenging but rewarding. I know my work helped people who have lost everything begin the recovery process,“ Gorham reflected.

          SHAWN N. ANDERSON, Acting United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant SHAWN JOHNSON, age 30, was sentenced in District Court today to a term of 71 months imprisonment for Possession with Intent to Distribute Methamphetamine, in violation of 21 U.S.C. § 841.  Johnson had previously pled guilty to the offense on May 15, 2017. The Court also ordered three years of supervised release following his term of imprisonment and payment of a mandatory $100 assessment fee. Additionally, defendants convicted of a federal drug offense may no longer qualify for certain federal benefits.

          On March 10, 2015, law enforcement officers arrested Johnson pursuant to an arrest warrant for a Superior Court of Guam probation violation.  At the time, Johnson was serving a probation sentence for felony possession of a controlled substance. Upon receiving consent to enter a residence, officers found Johnson in his bedroom. Officers also discovered 26 grams of pure methamphetamine, numerous Ziploc baggies, two digital scales, and other drug paraphernalia.

          The investigation was conducted by the Drug Enforcement Administration, United States Marshals Service, Bureau of Alcohol, Tobacco, Firearms, and Explosives, Guam Customs & Quarantine Agency, and the Superior Court of Guam Probation and Marshals.

The Justice Department today announced the filing of a complaint in the U.S. District Court for the District of Maryland against Bridges Consulting, Inc. (Bridges), a government contractor based in Annapolis Junction, Maryland.  The complaint alleges that Bridges violated the employment rights of  Lieutenant Commander Bobby L. Lindsay (Lindsay), a reservist in the United States Coast Guard, under the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA). 

According to the complaint, filed by the United States on Lindsay’s behalf, Bridges violated Lt. Commander Lindsay’s USERRA rights under 38 U.S.C. §§ 4311, 4312 & 4313 by failing to promptly reemploy him upon his return from deployment, by terminating his employment, and by retaliating against him because he complained when funds were withdrawn from his Bridges retirement account. 

Lt. Commander Lindsay, who has served more than 30 years in the Armed Forces, was a senior manager for Bridges, where he had worked since 2012.  Lindsay deployed for a scheduled three-month tour of duty with the Coast Guard in June 2014; in July 2014, Lindsay found out that Bridges’ contributions to his retirement account had been abruptly withdrawn.  After receiving no explanation from the company, Lindsay complained to federal entities, which notified Bridges of his complaint.  In September 2014, Lindsay indicated to Bridges that he expected to return to work at the conclusion of his deployment.  In turn, Bridges informed Lindsay that he was no longer an employee and that security would be called if he returned to work.  Lindsay has since applied to multiple positions at Bridges, but has not been re-hired.

“This lawsuit is another example of the Department of Justice’s unwavering commitment to protecting the employment rights of the members of our armed forces,” said Acting Assistant Attorney General John M. Gore of the Civil Rights Division.  “The men and women of our reserve forces deserve the peace of mind that their civilian employment will be there when they return from serving our country.”

The lawsuit filed by the United States seeks damages equal to the amount of Lindsay’s lost wages and benefits, as well as liquidated damages resulting from Bridges’ willful failure to comply with USERRA.

Congress enacted USERRA to reduce employment disadvantages faced by non-career service members; to provide prompt reemployment for returning service members; to minimize disruption to the lives of those performing military service, their employers and others; and to prohibit discrimination and retaliation against those who serve in the uniformed services. 

This case stems from a referral by the U.S. Department of Labor (DOL) following an investigation by DOL’s Veterans’ Employment and Training Service.  The litigation is being handled by the Department of Justice’s Civil Rights Division.

The United States and the State of Wisconsin today announced three settlements totaling in excess of $4.5 million with Tecumseh Products Co., Thomas Industries, Inc., and Wisconsin Public Service Corp. to resolve claims for natural resource damages at the Sheboygan River & Harbor Superfund Site brought under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), also known as the Superfund Law.  The Sheboygan River Site encompasses the lower 14 river miles of the Sheboygan River, from Sheboygan Falls downstream to and including the Sheboygan Harbor in Lake Michigan, as well as adjoining floodplain areas.

According to the complaint, filed simultaneously with the settlement today in the Eastern District of Wisconsin, the three companies are liable for historic industrial discharges of polychlorinated biphenyls (PCBs) and/or polycyclic aromatic hydrocarbons (PAHs) at the Sheboygan River Site.  PCBs and PAHs were identified in river sediments at different locations throughout the Site in sufficient concentrations to cause injury to many types of natural resources, including invertebrates, fish, amphibians, birds, and mammals.  In addition, PCB and PAH-contaminated natural resources resulted in the loss of recreational fishing services.

“The restoration work enabled by this settlement will make significant contributions to the environment in the area of the Sheboygan River and nearby Lake Michigan,” said Acting Assistant Attorney General Jeffrey H. Wood of the Department of Justice’s Environment and Natural Resources Division. “We are particularly pleased to have been able to work alongside the State of Wisconsin, the U.S. Department of Interior, and the National Oceanic and Atmospheric Administration to achieve this positive outcome.” 

Under CERCLA, federal and state natural resource trustees have authority to seek compensation for natural resources harmed by hazardous industrial waste and by-products discharged into the Sheboygan River.  The natural resource trustees include the U.S. Department of the Interior, acting through the U.S. Fish and Wildlife Service; the U.S. Department of Commerce, acting through the National Oceanic and Atmospheric Administration; and the Wisconsin Department of Natural Resources. The proposed settlements require payment of $1,295,500 to Sheboygan County as partial reimbursement for costs it incurred in acquiring the Amsterdam Dunes restoration project area for preservation and include $2,532,500 to be used on preservation and restoration activities consistent with a proposed Restoration Plan/Environmental Assessment that is also being made available for public review and comment today.  Of the possible alternatives, the draft Restoration Plan recommends preservation and implementation of restoration activities at the Willow Creek and Amsterdam Dunes project properties.  The remainder of the settlement funds will reimburse trustee agencies for their work at the site.

The three Defendants previously paid approximately $32 million to clean up the Sheboygan River and Harbor Superfund site under prior agreements with the U.S Environmental Protection Agency.  Additional millions of dollars were invested by the federal government through the Great Lakes Restoration Initiative along with state, city and county funds to further speed river restoration and restore navigation to the Sheboygan River.

“The Sheboygan River and its wetlands provide important habitats for migratory birds and fish, and support hunting and fishing activities for local residents,” said Charlie Wooley, Deputy Midwest Regional Director for the U.S. Fish and Wildlife Service. “Today’s settlement means we can help natural resources affected by PCBs and other contaminants, and at the same time, benefit local communities. We look forward to working with local conservation organizations to protect and restore important habitat.”

The former Schuchardt farm property, approximately 140 acres within the City of Sheboygan, will be protected to create the Willow Creek Preserve.  Willow Creek is a unique natural feature within an urban environment, supporting a diverse habitat mix along it and the Sheboygan River.  Conservation of Willow Creek has been identified as a high priority for maintaining and improving fish and wildlife populations and habitat in the Sheboygan River area.  Under the Preferred Alternative, settlement funds would be used to transfer the 140 acres from the City to the Glacial Lakes Conservancy, a private, non-profit land conservation organization in the Sheboygan area, and for habitat restoration and recreational fishing enhancements.

“We are excited to continue the restoration work with our partners in the City of Sheboygan and Sheboygan County on this incredible resource.  The projects that will be implemented will provide additional benefits to the local community and this wonderful river and coastal area.” said Patrick Stevens, Administrator of the Environmental Management Division at the Wisconsin Department of Natural Resources.

Amsterdam Dunes consists of 184 acres abutting Lake Michigan within the Sheboygan River Basin, just north of the Ozaukee-Sheboygan County line.  Amsterdam Dunes is a place of unique coastal habitats and wildlife, and consists of remnants of natural lands and waters that have largely disappeared from Wisconsin’s landscape.  The Trustees have worked with Sheboygan County to identify potential restoration options within Amsterdam Dunes, including restoration of wetland hydrology, stream habitat improvements, invasive species management, and conversion of agricultural land to more ecologically valuable habitat.

“We're pleased to contribute NOAA's expertise to these projects in Sheboygan County that preserve approximately 324 acres of important ecological habitat and support more recreational opportunities and public access,” said W. Russell Callender, assistant NOAA administrator for the National Ocean Service. 

The consent decree is subject to a 30-day public comment period and final approval by the court.  A copy of the consent decree is available on the Department of Justice web site at www.usdoj.gov/enrd/Consent_Decrees.html.

The draft Restoration Plan/Environmental Assessment is also subject to a 30 day public comment period and is available for review at https://www.fws.gov/midwest/es/ec/nrda/SheboyganHarbor or at the Mead Public Library.

Netcracker Technology Corp. (NTC), a global software company serving the telecommunications industry, has agreed to  implement enhanced security protocols for software development, implementation, and its other services to clients, many of whom are part of the United States’s critical communications infrastructure, announced Dana Boente, Acting Assistant Attorney General of the Justice Department’s National Security Division and U.S. Attorney for the Eastern District of Virginia.  NTC is headquartered in Waltham, Massachusetts, and is a wholly owned subsidiary of NEC Corp.

The enhanced security protocols are designed to increase information security by regulating remote access to U.S. company networks and transfers of sensitive data.  The protocols are being implemented as part of a Non-Prosecution Agreement, which resolves a criminal investigation described in a statement of facts, both of which are accessible here and here.

"We are pleased Netcracker has agreed to invest in enhanced security protocols that will reduce the risk of unauthorized access to its clients’ sensitive data,” said Acting Assistant Attorney General Boente.   “As threats to our critical infrastructure increase, especially from abroad, these protocols serve as a model for the kind of security that U.S. critical infrastructure should expect from the firms they use to develop, install, and maintain technology in their networks.”

Netcracker, like most major software companies, develops software in many countries.  Netcracker worked as a subcontractor on two federal government contracts with the Defense Information Systems Agency (DISA), a combat support agency of the U.S. Department of Defense, and performed some product-support work from locations outside the United States, including Russia.  The government determined in its investigation that various factors had resulted in an unacceptable degradation of the level of security DISA had intended to achieve.  Netcracker denied wrongdoing and worked with the government to develop enhanced security protocols.

Under the agreement, Netcracker will make the enhanced security plan available to other members of the industry. 

This case was investigated by the General Services Administration, Office of Inspector General; the FBI’s Washington Field Office; and the Department of Defense, Office of the Inspector General.  Senior Trial Attorney Heather Schmidt and former Trial Attorney Wade Weems of the Counterintelligence and Export Control Section of the Department of Justice’s National Security Division handled this case with Assistant U.S. Attorneys Whitney Russell and Jay Prabhu of the U.S. Attorney’s Office of the Eastern District of Virginia.

Today Attorney General Jeff Sessions issued the following statement on the attempted terrorist attack in New York City:

“The President is exactly correct about the changes we need to our immigration system. We have now seen two terrorist attacks in New York City in less than two months that were carried out by people who came here as the result of our failed immigration policies that do not serve the national interest—the diversity lottery and chain migration. The 20-year-old son of the sister of a U.S. citizen should not get priority to come to this country ahead of someone who is high-skilled, well educated, has learned English, and is likely to assimilate and flourish here.

“It is a failure of logic and sound policy not to adopt a merit-based immigration system. The President has asked Congress to work with him on ending the diversity lottery and chain migration. He has proposed switching to a merit-based system of immigration similar to the Canadian and Australian systems.  That means welcoming the best and the brightest and turning away not only terrorists but gang members, fraudsters, drunk drivers, and child abusers.  Such a merit-based system would make us safer and welcome individuals who would be best able to assimilate and flourish in our country.”