District of Nevada

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich for the District of Nevada has announced his resignation, effective at 11:59 p.m. on February 28, 2021.

“It’s been the honor of a lifetime to serve the District of Nevada, alongside our federal family, the committed public servants in our office, and our law enforcement partners,” said Trutanich. “The opportunity to serve here was more than I could have ever imagined, and I’ll leave knowing that the foundation is in place for our office’s continued success.”

Trutanich was sworn into office in January 2019, after unanimous confirmation by the U.S. Senate. He had been serving as the First Assistant Attorney General and Chief of Staff at the Office of Nevada’s Attorney General. Earlier in his career, Trutanich served as the Deputy Chief of the Violent and Organized Crime Section in the U.S. Attorney’s Office for the Central District of California.

During Trutanich’s tenure in the District of Nevada, the U.S. Attorney’s Office strived to prioritize public safety through targeted, impactful prosecutions and to promote ethics, diversity, and crime prevention. For example, through strong partnerships with local, state, and federal law enforcement partners, as well as close collaboration with communities, the U.S. Attorney’s Office has continued to make gains in combatting human trafficking and conducting proactive narcotics and criminal enterprise investigations. And over the past two years, the U.S. Attorney’s Office has placed a renewed emphasis on prosecuting crimes occurring on Indian reservations and colonies, particularly violence against Native American women.

In response to the challenges posed by the COVID-19 pandemic, the U.S. Attorney’s Office launched new initiatives last year such as Project Veronica, which focuses on prosecuting domestic violence offenders who illegally possess firearms. Similarly, prosecutors are holding accountable fraudsters seeking to exploit the public health crisis, including through unemployment benefits and CARES Act fraud.

In addition to overseeing the U.S. Attorney’s Office, Trutanich served on the Attorney General’s Advisory Committee, providing advice on policy and operational issues affecting the Department of Justice. Trutanich was the first U.S. Attorney from the District of Nevada to serve on the AGAC in nearly 25 years. Trutanich also served on a working group for the President’s Commission on Law Enforcement and the Administration of Justice. Further, in the wake of George Floyd’s death in Minnesota, Trutanich helped lead the Department of Justice’s nationwide efforts to reform Use of Force Policies, following a June 2020 Executive Order on Safe Policing for Safe Communities.

The District of Nevada, which encompasses the entire state of Nevada, is one of the largest of the 94 federal judicial districts. Trutanich recruited and onboarded more than 75 staff professionals and Assistant U.S. Attorneys, and established a new in-house training program. The U.S. Attorney’s Office is now composed of over 120 team members, responsible for conducting federal criminal prosecutions in the District and protecting the interests of the United States by pursuing and defending against claims in civil litigation.

###

 

LAS VEGAS, Nev. – Indian drug manufacturer Fresenius Kabi Oncology Limited (FKOL) has agreed to plead guilty to concealing and destroying records prior to a 2013 U.S. Food and Drug Administration (FDA) plant inspection and pay $50 million in fines and forfeiture, the Department of Justice announced today.

In a criminal information filed in federal court in the District of Nevada and unsealed today, the United States charged FKOL with violating the Federal Food, Drug and Cosmetic Act by failing to provide certain records to FDA investigators. As part of a criminal resolution, FKOL agreed to plead guilty to the misdemeanor offense, pay a criminal fine of $30 million, and forfeit an additional $20 million. FKOL also agreed to implement a compliance and ethics program designed to prevent, detect, and correct violations of U.S. law relating to FKOL’s manufacture of cancer drugs intended for terminally ill patients. 

“By hiding and deleting manufacturing records, FKOL sought to obstruct the FDA’s regulatory authority and prevent the FDA from doing its job of ensuring the purity and potency of drugs intended for U.S. consumers,” said Acting Assistant Attorney General Brian Boynton of the Justice Department’s Civil Division. “FKOL’s conduct put vulnerable patients at risk. The Department of Justice will continue to work with FDA to prosecute drug manufacturers who obstruct these inspections.” 

“Pharmaceutical companies that obstruct FDA inspections jeopardize patient safety,” said U.S. Attorney Nicholas A. Trutanich for the District of Nevada. “Maintaining the integrity of records and data is a critical part of drug manufacturing, and our office will continue prosecuting those that obstruct FDA inspections by destroying records or other means.”

“FDA inspections of pharmaceutical manufacturing facilities help ensure the strength, quality and purity of our medicines. Any attempt to obstruct or interfere with these inspections threatens the public health,” said Judy McMeekin, Pharm.D., Associate Commissioner for Regulatory Affairs of the FDA. “We will continue to aggressively investigate and present any such obstruction for prosecution.”

According to court documents, FKOL owned and operated a manufacturing plant in Kalyani, West Bengal, India, that manufactured active pharmaceutical ingredients (APIs) used in various cancer drug products distributed to the United States. The government alleges that prior to a January 2013 FDA inspection of the Kalyani facility, FKOL plant management directed employees to remove certain records from the premises and delete other records from computers that would have revealed FKOL was manufacturing drug ingredients in contravention of FDA requirements. Kalyani plant employees removed computers, hardcopy documents, and other materials from the premises and deleted spreadsheets that contained evidence of the plant’s violative practices.

This case is being prosecuted by Assistant Director Clint Narver and Trial Attorney Natalie Sanders of the Department of Justice’s Consumer Protection Branch, with assistance from Assistant U.S. Attorney Nicholas D. Dickinson of the U.S. Attorney’s Office for the District of Nevada. The FDA’s Office of Criminal Investigations, Los Angeles Field Office, investigated the case. The Central Bureau of Investigation in India provided invaluable assistance to U.S. authorities in the investigation of this matter.   

###

 

LAS VEGAS, Nev. – A man who held a handgun and a machete outside a business at the Henderson Executive Airport was charged Friday with unlawful possession of a firearm, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada and Special Agent in Charge Aaron C. Rouse of the FBI.

Etori Hughes, 45, of Las Vegas, was charged with one count of unlawful possession of a firearm. U.S. Magistrate Judge Daniel J. Albregts scheduled a preliminary hearing for February 19, 2021.

As alleged in the criminal complaint, on January 30, 2021, Henderson Police Department dispatch received a 911 call about a man — later identified as Hughes — in the parking lot of a business at Henderson Executive Airport, wearing a bulletproof vest and holding a handgun in one hand and a machete in the other. Police officers arrived at the business and placed Hughes in custody. During a search of Hughes’ vehicle, officers found a Glock 9mm handgun, 352 9mm rounds loaded into magazines, ninja swords, a smoke grenade, a knife, and other items. Hughes has a court order issued by the Orleans Parish in Louisiana that prohibits him from possessing a firearm.

Photograph of items recovered from Hughes’ vehicle

If convicted, Hughes faces a statutory maximum penalty of 10 years in prison, supervised release, and a fine of $250,000.

A criminal complaint is a formal accusation of criminal conduct for purposes of establishing probable cause, not evidence of guilt. Every defendant is presumed innocent unless and until proven guilty in a court of law.

The case was investigated by the FBI with assistance from the Henderson Police Department and Las Vegas Metropolitan Police Department.

###

 

 

LAS VEGAS, Nev. – An Arizona man pleaded guilty today to possession of multiple unemployment benefits debit cards — all in different names — and intending to fraudulently obtain nearly $223,000 in benefits to be paid to him, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent-in-Charge Quentin Heiden of the U.S. Department of Labor Office of Inspector General (DOL-OIG), Los Angeles Region.

Delashaun Dean, 32, of Tolleson, Arizona, pleaded guilty to one count of possession of counterfeit and unauthorized access devices. U.S. District Judge Andrew Gordon scheduled a sentencing hearing for May 11, 2021.

According to admissions made in connection with Dean’s guilty plea, between October 3 and October 5, 2020, the Las Vegas Metropolitan Police Department found 15 unemployment insurance benefits debit cards issued by the California Employment Development Department (EDD) on Dean and in his hotel room. The debit cards were all in different names, not in Dean’s name. In addition, law enforcement found a fake driver’s license and a spiral notebook with personal identifying information of multiple individuals, which was used to apply for unemployment insurance benefits. At least $222,930 in unemployment benefits were approved for the claims associated with the recovered EDD cards.

The statutory maximum sentence is 10 years in prison, supervised release, and a $250,000 fine.

The case was investigated by Department of Labor’s Office of Inspector General. Assistant U.S. Attorney Jim Fang is prosecuting the case.

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

###

 

 

RENO, Nev. – A former U.S. Postal Service mail carrier pleaded guilty today to stealing mail packages, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada and Acting Special Agent in Charge Jeffrey E. Krafels of the U.S. Postal Service Office of Inspector General (USPS OIG), Western Area Field Office.

Russell Francis Marks, 58, of Reno, pleaded guilty to one count of theft of mail by a postal employee. U.S. District Judge Robert C. Jones scheduled a sentencing hearing for May 3, 2021.

According to court documents and admissions made in court, between May 1 and November 24, 2017, Marks worked as a U.S. Postal Service City Letter Carrier at the Carson City post office. Marks admitted that he stole coins from five mail packages at the post office, and sold them to a coin dealer in Santa Rosa, California. Marks obtained $31,605 from selling the stolen coins. Postal customers filed missing mail complaints, which led to an investigation by the USPS OIG.

If convicted, the statutory maximum penalty faced by Marks is five years in prison, supervised release, and a $250,000 fine.

The case was investigated by the USPS OIG. Assistant U.S. Attorney Richard Casper of the District of Nevada and Special Assistant U.S. Attorney Jeremy Robbins of the USPS OIG are prosecuting the case.

Complaints for mail crimes involving employees can be submitted at: https://www.uspsoig.gov/.

###

 

A Nevada man was charged in an indictment Wednesday for his alleged participation in a scheme to defraud multiple financial institutions by filing bank loan applications that fraudulently sought more than $1.9 million dollars in forgivable loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. 

Nicholas L. McQuaid, Acting Assistant Attorney General of the Justice Department’s Criminal Division; Nicholas A. Trutanich, U.S. Attorney of the District of Nevada; Aaron C. Rouse, Special Agent in Charge of the FBI’s Las Vegas Field Office; and Weston King, Special Agent in Charge of the SBA Office of the Inspector General’s (OIG) Western Region Office made the announcement.

Jorge Abramovs, 40, of Las Vegas, was charged in an indictment filed in the District of Nevada with five counts of bank fraud, one count of making false statements to a bank, and five counts of money laundering. Abramovs had been charged initially with bank fraud in a criminal complaint and was arrested on Jan. 17, 2021. On Jan. 22, 2021, U.S. Magistrate Judge Cam Ferenbach ordered that Abramovs be detained pending trial.

The indictment alleges that Abramovs obtained nearly $2 million in Paycheck Protection Program (PPP) loans from seven different lenders by, among other things, submitting multiple loan applications in the names of three different businesses while falsely claiming to have numerous employees earning wages. The indictment further alleges that Abramovs used the PPP funds for personal (rather than business) purposes, including purchasing a Tesla, a Bentley, two condominiums, and paying his home mortgage.

The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding, and in December 2020, Congress authorized another $284 billion in additional funding.

The PPP allows qualifying small-businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses. 

A federal criminal indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.

The FBI and SBA-OIG investigated the case. Trial Attorney Joseph McFarlane of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Jessica Oliva of the U.S. Attorney’s Office for the District of Nevada are prosecuting the case.     

The Fraud Section leads the department’s prosecution of fraud schemes that exploit the PPP. In the nine months since the PPP began, Fraud Section attorneys have prosecuted more than 100 defendants in more than 70 criminal cases. The Fraud Section has also seized more than $60 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at:  https://www.justice.gov/criminal-fraud/ppp-fraud.

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

LAS VEGAS, Nev. – A Nevada man was charged in an indictment Wednesday for his alleged participation in a scheme to defraud multiple financial institutions by filing bank loan applications that fraudulently sought more than $1.9 million dollars in forgivable loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. 

Nicholas L. McQuaid, Acting Assistant Attorney General of the Justice Department’s Criminal Division; Nicholas A. Trutanich, U.S. Attorney of the District of Nevada; Aaron C. Rouse, Special Agent in Charge of the FBI’s Las Vegas Field Office; and Weston King, Special Agent in Charge of the SBA Office of the Inspector General’s (OIG) Western Region Office made the announcement.

Jorge Abramovs, 40, of Las Vegas, was charged in an indictment filed in the District of Nevada with five counts of bank fraud, one count of making false statements to a bank, and five counts of money laundering. Abramovs had been charged initially with bank fraud in a criminal complaint and was arrested on Jan. 17, 2021. On Jan. 22, 2021, U.S. Magistrate Judge Cam Ferenbach ordered that Abramovs be detained pending trial.

The indictment alleges that Abramovs obtained nearly $2 million in Paycheck Protection Program (PPP) loans from seven different lenders by, among other things, submitting multiple loan applications in the names of three different businesses while falsely claiming to have numerous employees earning wages. The indictment further alleges that Abramovs used the PPP funds for personal (rather than business) purposes, including purchasing a Tesla, a Bentley, two condominiums, and paying his home mortgage.

The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding, and in December 2020, Congress authorized another $284 billion in additional funding.

The PPP allows qualifying small-businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses. 

A federal criminal indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.

The FBI and SBA-OIG investigated the case. Trial Attorney Joseph McFarlane of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Jessica Oliva of the U.S. Attorney’s Office for the District of Nevada are prosecuting the case.     

The Fraud Section leads the department’s prosecution of fraud schemes that exploit the PPP. In the nine months since the PPP began, Fraud Section attorneys have prosecuted more than 100 defendants in more than 70 criminal cases. The Fraud Section has also seized more than $60 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at: https://www.justice.gov/criminal-fraud/ppp-fraud.

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

###

 

LAS VEGAS, Nev. – A Las Vegas resident was sentenced yesterday to 282 months in prison for committing two armed robberies at the same bank in Henderson and being a felon in possession of a firearm, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.

In April 2019, following a three-day trial, a jury convicted Anthony Delano Hylton Jr., 35, of two counts of armed bank robbery and two counts of use and carry of a firearm during and in relation to a crime of violence. He subsequently pleaded guilty in November 2020 to one count of felon in possession. In addition to the prison term, U.S. District Judge Howard D. McKibben sentenced Hylton to five years of supervised release.

According to evidence presented at trial, on October 7, 2016, Hylton entered a bank in Henderson, armed with a .45 caliber semi-automatic handgun. Once inside, he pointed the gun at customers and bank employees, and ordered everyone to get down on the ground. Hylton jumped over the teller counter and discharged the firearm into the floor, in close proximity to a teller who was crouched down on the ground. He then demanded money from bank employees while pointing his gun at them. Hylton fled the bank with approximately $69,565.

Three months later, on January 17, 2017, Hylton — armed with a revolver — entered the same bank in Henderson. He pointed the gun at customers and bank employees and, like the previous robbery, Hylton ordered everyone to the ground. He jumped over the counter and demanded money from bank employees at gunpoint. Hylton fled the bank with approximately $13,046.

Hylton has a prior conviction for battery with substantial bodily harm in Clark County, Nevada.

The case was investigated by the FBI and Henderson Police Department. Assistant U.S. Attorneys Lisa Cartier-Giroux and Peter S. Levitt prosecuted the case.

###

 

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich announced today that the District of Nevada collected $8,674,644.74 in criminal and civil actions in Fiscal Year (FY) 2020. Of this amount, $2,837,891.57 was collected in criminal actions and $5,836,753.17 was collected in civil actions.

“These significant collections reflect the dedication and commitment of our Financial Litigation Unit, Asset Forfeiture Unit, and other members of our Civil Division,” said U.S. Attorney Trutanich. “Throughout 2020, we continued to expand our coordination with law enforcement agencies and other collection partners, and we’re honored to be able to contribute these funds for (among other things) victim compensation and victim assistance.”

U.S. Attorneys’ Offices, along with the Department of Justice’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.  

Highlights of the District of Nevada’s FY 2020 collection efforts include:

• Trixa Belloso-Rivas was convicted of conspiracy to file fraudulent tax return information, and ordered to pay $2,000,100 in restitution. In coordination with the U.S. Probation Office, our office became aware that Belloso-Rivas would be receiving a personal injury settlement payment. Our Financial Litigation Unit successfully asserted its restitution judgment and lien against the settlement proceeds, and received over $320,000 towards the outstanding restitution amount. 
• Gareth Long was indicted and pleaded guilty to wire fraud and aggravated identity theft, having deposited unauthorized checks from more than 375,000 victims into his bank account. At sentencing, the Court ordered a criminal forfeiture money judgment of $11,224,404.31, of which $3,621,523.09 has been forfeited.

Further, the U.S. Attorney’s Office for the District of Nevada, working with partner agencies and divisions, collected $6,592,713.24 in asset forfeiture actions in FY 2020. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.

Overall, the Justice Department collected more than $15.9 billion in civil and criminal actions in FY 2020 ending Sept. 30, 2020. The $15,988,516,670 in collections represents more than five times the approximately $3.2 billion appropriated budget for the 94 U.S. Attorneys’ offices and the main litigating divisions of the Justice Department. The total includes all monies collected as a result of Justice Department-led enforcement actions and negotiated civil settlements. It includes more than $13.5 billion in payments made directly to the Justice Department, and more than $2.4 billion in indirect payments made to other federal agencies, states and other designated recipients.

###

 

A Las Vegas resident who participated in a fraudulent prize-notification scheme that bilked victims out of more than $9 million was sentenced today to federal prison, the Department of Justice announced.

U.S. District Judge Gloria M. Navarro sentenced Andrea Burrow, 50, to 36 months in prison, followed by 36 months of supervised release. Judge Navarro also ordered Burrow to forfeit $272,000. Burrow pleaded guilty in August 2020 to conspiracy to commit mail fraud based on her participation in a scheme that preyed upon hundreds of thousands of victims, many of whom were elderly and vulnerable, with fraudulent prize notices. The notices led victims to believe that they could claim a large cash prize if they paid a fee of $20 to $30. This was false; victims who paid the fees did not receive anything of value. 

Burrow is the first defendant to be sentenced in connection with the scheme. Three other individuals – Patti Kern, Edgar Del Rio, and Sean O’Connor – pleaded guilty to conspiracy to commit mail fraud in 2019. Following these guilty pleas, Burrow was indicted in November 2019 along with five codefendants: Mario Castro, Jose Salud Castro, Salvador Castro, Miguel Castro, and Jose Luis Mendez. The trial of the remaining five defendants, who are presumed innocent until proven guilty, is currently scheduled for June 7, 2021.

“The Department of Justice has substantially increased its focus and resources on combating schemes that defraud American seniors, prioritizing cases like this one,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Civil Division. “The Department of Justice takes every step possible to prosecute perpetrators of elder fraud scams so that it can deliver justice for victims.”  

“Our office will continue our efforts to dismantle schemes like this one, preying on the vulnerable and elderly,” said U.S. Attorney Nicholas A. Trutanich of the District of Nevada. “Whether they are operating in Nevada or elsewhere in the country, fraudsters will be apprehended and will face stiff consequences for their callous actions.”

“Criminals who target the elderly through heartless scam tactics via the U.S. Mail should know that Postal Inspectors are prepared to unravel their scheme, no matter how complex,” said Inspector in Charge Delany De Léon-Colón of the U.S. Postal Inspection Service’s Criminal Investigations Group. “This case highlights the importance of reporting these scams to authorities, so law enforcement agents like our Postal Inspectors can have the information necessary to help bring justice to hundreds of thousands of victims through these large, successful cases.”

The scheme operated from 2010 to February 2018, when postal inspectors executed multiple search warrants and the Department of Justice obtained a court order shutting down the fraudulent mail operation. The indictment and other court filings alleged that Mario Castro, Jose Salud Castro, Salvador Castro, Miguel Castro, Jose Luis Mendez, and Edgar Del Rio worked at the printing and mailing businesses that sent the fraudulent mail, and each shared the profits from the fraudulent prize notices with Patti Kern, who helped manage the scheme. Sean O’ Connor provided laser printing and data processing services to the scheme. Burrow opened victim return mail, sorted cash and other payments, and entered data from the victims’ responses into a database that the scheme used to target past victims with more fraudulent mail, according to the indictment.

The U.S. Postal Inspection Service investigated the case. The case is being prosecuted by Trial Attorneys Timothy Finley and Daniel Zytnick of the Department of Justice’s Consumer Protection Branch and Assistant U.S. Attorney Nicholas Dickinson of the District of Nevada.

Since President Trump signed the bipartisan Elder Abuse Prevention and Prosecution Act (EAPPA) into law, the Department of Justice has participated in hundreds of enforcement actions in criminal and civil cases that targeted or disproportionately affected seniors. In January 2020, the department designated “Preventing and Disrupting Transnational Elder Fraud” as an Agency Priority Goal, one of its top four priorities. In March 2020, the department announced the largest elder fraud enforcement action in American history, charging more than 400 defendants in a nationwide elder fraud sweep. The department has also conducted hundreds of trainings and outreach sessions across the country since the passage of the Act. 

The department’s extensive efforts to combat elder fraud seek to halt the billions of dollars seniors lose each year to fraud schemes, including those perpetrated by transnational criminal organizations. The best method for prevention, however, is sharing information about the various types of elder fraud schemes with relatives, friends, neighbors, and other seniors who can use that information to protect themselves.

If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 7 days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish and other languages are available.

For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch.

LAS VEGAS, Nev. - A Las Vegas resident who participated in a fraudulent prize-notification scheme that bilked victims out of more than $9 million was sentenced today to federal prison, the Department of Justice announced.

U.S. District Judge Gloria M. Navarro sentenced Andrea Burrow, 50, to 36 months in prison, followed by 36 months of supervised release. Judge Navarro also ordered Burrow to forfeit $272,000. Burrow pleaded guilty in August 2020 to conspiracy to commit mail fraud based on her participation in a scheme that preyed upon hundreds of thousands of victims, many of whom were elderly and vulnerable, with fraudulent prize notices. The notices led victims to believe that they could claim a large cash prize if they paid a fee of $20 to $30. This was false; victims who paid the fees did not receive anything of value. 

Burrow is the first defendant to be sentenced in connection with the scheme. Three other individuals – Patti Kern, Edgar Del Rio, and Sean O’Connor – pleaded guilty to conspiracy to commit mail fraud in 2019. Following these guilty pleas, Burrow was indicted in November 2019 along with five codefendants: Mario Castro, Jose Salud Castro, Salvador Castro, Miguel Castro, and Jose Luis Mendez. The trial of the remaining five defendants, who are presumed innocent until proven guilty, is currently scheduled for June 7, 2021.

“The Department of Justice has substantially increased its focus and resources on combating schemes that defraud American seniors, prioritizing cases like this one,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Civil Division. “The Department of Justice takes every step possible to prosecute perpetrators of elder fraud scams so that it can deliver justice for victims.”  

“Our office will continue our efforts to dismantle schemes like this one, preying on the vulnerable and elderly,” said U.S. Attorney Nicholas A. Trutanich of the District of Nevada. “Whether they are operating in Nevada or elsewhere in the country, fraudsters will be apprehended and will face stiff consequences for their callous actions.”

“Criminals who target the elderly through heartless scam tactics via the U.S. Mail should know that Postal Inspectors are prepared to unravel their scheme, no matter how complex,” said Inspector in Charge Delany De Léon-Colón of the U.S. Postal Inspection Service’s Criminal Investigations Group. “This case highlights the importance of reporting these scams to authorities, so law enforcement agents like our Postal Inspectors can have the information necessary to help bring justice to hundreds of thousands of victims through these large, successful cases.”

The scheme operated from 2010 to February 2018, when postal inspectors executed multiple search warrants and the Department of Justice obtained a court order shutting down the fraudulent mail operation. The indictment and other court filings alleged that Mario Castro, Jose Salud Castro, Salvador Castro, Miguel Castro, Jose Luis Mendez, and Edgar Del Rio worked at the printing and mailing businesses that sent the fraudulent mail, and each shared the profits from the fraudulent prize notices with Patti Kern, who helped manage the scheme. Sean O’ Connor provided laser printing and data processing services to the scheme. Burrow opened victim return mail, sorted cash and other payments, and entered data from the victims’ responses into a database that the scheme used to target past victims with more fraudulent mail, according to the indictment.

The U.S. Postal Inspection Service investigated the case. The case is being prosecuted by Trial Attorneys Timothy Finley and Daniel Zytnick of the Department of Justice’s Consumer Protection Branch and Assistant U.S. Attorney Nicholas Dickinson of the District of Nevada.

Since President Trump signed the bipartisan Elder Abuse Prevention and Prosecution Act (EAPPA) into law, the Department of Justice has participated in hundreds of enforcement actions in criminal and civil cases that targeted or disproportionately affected seniors. In January 2020, the department designated “Preventing and Disrupting Transnational Elder Fraud” as an Agency Priority Goal, one of its top four priorities. In March 2020, the department announced the largest elder fraud enforcement action in American history, charging more than 400 defendants in a nationwide elder fraud sweep. The department has also conducted hundreds of trainings and outreach sessions across the country since the passage of the Act. 

The department’s extensive efforts to combat elder fraud seek to halt the billions of dollars seniors lose each year to fraud schemes, including those perpetrated by transnational criminal organizations. The best method for prevention, however, is sharing information about the various types of elder fraud schemes with relatives, friends, neighbors, and other seniors who can use that information to protect themselves.

If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 7 days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish and other languages are available.

For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch.

###

 

LAS VEGAS, Nev. — Today, the U.S. Attorney’s Office held its annual Law Enforcement Awards ceremony recognizing federal, state, and local law enforcement partners who have gone above and beyond to support the Department of Justice’s mission. In the face of unprecedented challenges in 2020, law enforcement across Nevada continued putting themselves at risk to protect our communities.

“These awards honor and recognize law enforcement’s outstanding efforts to maintain safety across Nevada,” said U.S. Attorney Trutanich. “Each recipient has made a real, impactful difference in our communities.”

Officers and Agents. The U.S. Attorney’s Office recognized 33 individual members of federal, state and local law enforcement representing 12 agencies throughout Nevada. The award recipients were honored for their contributions and collaboration with the U.S. Attorney’s Office towards protecting national security, fighting public corruption, combatting gun and drug trafficking, preventing financial fraud crimes, and protecting public lands. The recipients came from the following agencies:

• Bureau of Alcohol, Tobacco, Firearms and Explosives
• Bureau of Land Management
• Drug Enforcement Administration
• Clark County Fire Department
• Federal Bureau of Investigation
• Homeland Security Investigations
• Las Vegas Metropolitan Police Department
• Mesquite Police Department
• National Park Service
• Reno Police Department
• Sparks Police Department
• U.S. Postal Inspection Service

Attorney General’s Award for Distinguished Service in Policing – Innovations in Community Policing. The U.S. Attorney’s Office had the honor of presenting the Attorney General’s Award for Distinguished Service in Policing – Innovations in Community Policing to six officers and detectives of the Las Vegas Metropolitan Police Department - Bolden Area Command. The recipients have strengthened community relations while serving as coaches for the Bolden Little League.

The Bolden Little League started with the idea of a free baseball league for children in the community, with police officers coaching the teams for an entire season. Play started in spring 2017, with five teams comprising 70 children between 8 and 10 years old. Since then, the age range has expanded – now allowing children from 6 to 12 – while remaining free for families. Through their efforts, the officers and detectives honored today have built trust and positive relationships with children and their parents. The neighborhoods surrounding the park posted a 76% reduction in violent crime from 2018 to 2019.

Project Safe Neighborhoods Award. For his outstanding work and contributions in support of the Department of Justice’s Project Safe Neighborhoods (PSN) initiative, the U.S. Attorney’s Office presented the PSN Achievement Award to Sheriff Joseph Lombardo of the Las Vegas Metropolitan Police Department. PSN is a critical piece of the Department’s crime reduction efforts, focusing on prosecuting individuals who most significantly drive violence in our communities. PSN also supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.

Under Sheriff Lombardo’s leadership, the Las Vegas Metropolitan Police Department continues to set the industry standard on best practices across the country. The Las Vegas Metropolitan Police Department’s Violent Crime Initiative was developed in fall 2017 and was first implemented in January 2018. Sheriff Lombardo’s vision in guiding the Las Vegas Metropolitan Police Department’s efforts have reduced violent crime in our communities by 20% from 2017 to 2019.

The U.S. Attorney’s Office thanks all of the recipients, their colleagues, their families, and agency leadership for their continued commitment to supporting the Department of Justice’s mission.

# # #

 

LAS VEGAS, Nev. – A pedophile was sentenced Monday to 20 years in prison for his role in establishing a child exploitation enterprise and luring children to an apartment for the purpose of producing child pornography, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.

John David Yoder, 49, of Desert Hot Springs, California, previously pleaded guilty to one count of child exploitation enterprise and one count of conspiracy to distribute child pornography. In addition to the prison term, U.S. District Judge Jennifer A. Dorsey sentenced Yoder to a lifetime term of supervised release.

According to court documents, in the spring of 2014, Yoder met co-defendants William Clyde Thompson, Eric Monsivais, and Noland Harper on a website dedicated to pedophilia. Thompson, Monsivais, and Harper conspired to contact at least six children at a skate park in Desert Hot Springs, for the purpose of sexually exploiting them. During the course of the conspiracy, Yoder provided obscene material to further the conspiracy. Thompson, Harper, and Monsivais used some of the children, including Yoder’s child, to recruit others to be part of a “team” Thompson claimed he wanted to sponsor, but with the intention of exploiting them. Yoder rented a house in Desert Hot Springs for the production of child pornography.

Over the course of six months, Thompson produced more than 20,000 images and videos depicting children. Yoder and his co-defendants conspired to exploit the children, produce child pornography, and distribute it. The defendants would distribute the child pornography via paid websites.

In February 2016, Yoder was convicted in Riverside, California, of four counts of lewd acts of a child under 14, two counts each of human trafficking of a child and procuring a child for sex, one count of conspiracy to commit child pornography, and one count of harboring a fugitive.

Co-defendant Thompson, 58, was sentenced to 29 years in prison and placed on a lifetime term of supervised release after pleading guilty to child exploitation enterprise, sexual exploitation of a child, conspiracy to produce child pornography, distribution of child pornography, conspiracy to distribute child pornography, and possession of child pornography.

The case was investigated by the FBI and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorneys Christopher Burton and Elham Roohani prosecuted the case.

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

###

 

LAS VEGAS, Nev. — A former branch manager of a bank in Las Vegas was sentenced today to two years and six months in prison after pleading guilty to fraudulently obtaining nearly $1.2 million in Social Security Administration (SSA) and Department of Veterans Affairs (VA) benefits, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada; Inspector General for the Social Security Administration Gail S. Ennis; and VA Inspector General Michael J. Missal.

“The Social Security Administration and Department of Veterans Affairs provide a lifeline to members of society who are eligible, and provide benefits to veterans who have served and sacrificed for their country,” said U.S. Attorney Trutanich. “Our office and our agency partners are committed to safeguarding these programs and prosecuting those who would abuse these essential services.”

“We must hold those in positions of trust accountable when they abuse that trust and misuse their authority for personal gain,” said Gail S. Ennis, Inspector General for the Social Security Administration. “We will continue to work with SSA and other agencies to identify unreported deaths and aggressively pursue those who misuse Social Security benefits after someone dies.”

“The VA Office of Inspector General tirelessly pursues allegations of fraud, waste, and abuse affecting VA programs,” said VA Inspector General Michael J. Missal. “This conduct was particularly disturbing as it involved an individual who abused his position of trust.”

Javier Montano, 57, of Las Vegas, pleaded guilty to one count of theft of government funds. In addition to the term of imprisonment, U.S. District Judge Jennifer Dorsey sentenced Montano to three years of supervised release and ordered him to pay $1,196,075.95 in restitution to the Social Security Administration and Department of Veterans Affairs.

According to court documents, in August 2015, Montano, who was the branch manager for a local bank, received information about two accounts within the bank with large balances and no activity:

• The first account (Account A) was held by a Las Vegas resident who was receiving SSA retirement benefits. The individual passed away in February 1997. The SSA was not notified about the individual’s death, and benefits continued to be paid into the account.
• The second account (Account B) was held by a Las Vegas resident who was receiving both SSA retirement benefits and VA benefits. The individual passed away in June 2011. Neither the SSA nor the VA was notified about the individual’s death, and benefits continued to accumulate in the account.

Through a bank computer, Montano ordered debit cards for both accounts, using them to withdraw cash — which he either spent or deposited into his personal bank account — and to make purchases for his personal use and benefit. In addition, Montano ordered and wrote checks (for his personal use) for Account B. Montano also used his authority as a branch manager to authorize a $35,000 cashier’s check from Account B. The vast majority of the funds were withdrawn in cash or spent on personal expenses, including the purchase of a luxury car.

In total, between August 2015 and June 2020, Montano fraudulently obtained: (a) approximately $436,686.80 in SSA benefits to which he was not entitled; and (b) approximately $757,985.88 in VA benefits to which he was not entitled.

This case was a joint investigation by the Social Security Administration, Office of Inspector General, and Department of Veterans Affairs, Office of Inspector General. Assistant U.S. Attorney Jessica Oliva prosecuted the case.

###

 

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich and Special Agent in Charge Aaron C. Rouse of the FBI announced today a federal human trafficking takedown in the District of Nevada. With this takedown, the District of Nevada closes out 2020 having filed more human trafficking cases than in any previous year.

Human trafficking — a crime that involves the use of force, fraud, or coercion to lure victims and force them into labor or commercial sexual exploitation — is a top priority area for the U.S. Attorney’s Office, the FBI, and their law enforcement and community partners. Every year, millions of women, men, and children are trafficked worldwide, including in Nevada.

“Combating sex trafficking is one of our prosecutors’ top enforcement priorities, and our office now has the pieces in place to stay at the forefront of this fight,” said U.S. Attorney Trutanich. “Heading into 2021, we remain committed to increasing investigations and prosecutions of traffickers, taking them off the streets and away from victims.”

“The FBI will always be vigilant in pursuing those who choose to prey on our most vulnerable, especially our children,” said Special Agent in Charge Rouse. “I would like to thank our law enforcement partners and their task force officers as part of the FBI's Child Exploitation Task Force for their commitment to making these arrests.”

This month, the U.S. Attorney’s Office brought five prosecutions related to human trafficking. Two of the five defendants were charged with federal sex trafficking offenses:

• On December 15, 2020, Kenton King, 25, of Las Vegas, was indicted on one count of coercion and enticement, one count of sexual exploitation of a child, one count of attempt sex trafficking, and one count of possession of child pornography. According to allegations in the indictment, King attempted to coerce and entice an underage victim to engage in numerous sexual offenses, including prostitution.

The case was investigated by the Henderson Police Department and the FBI. Assistant U.S. Attorney Supriya Prasad is prosecuting the  case.

• On December 3, 2020, Jeffrey Lofstead, 63, of Kings Beach, California, was indicted on one count of attempted sex trafficking of children. According to allegations in the indictment, on or about October 7, 2020, Lofstead attempted to recruit and solicit a child, who had not yet attained the age of 18 years, to engage in a commercial sex act.

The case was investigated by the FBI’s Northern Nevada Child Exploitation and Human Trafficking Task Force, which is comprised of federal, local, and state law enforcement. Assistant U.S. Attorney Peter Walkingshaw is prosecuting the case.

In addition to the sex trafficking cases above, the December 2020 takedown included three other individuals charged with federal firearm offenses who either had been previously convicted of pandering offenses or whose alleged offenses related to vice operations:

• On December 9, 2020, Tamarion Keandre Williams, of Las Vegas, was charged with one count of felon in possession of a firearm. As alleged in the criminal complaint, on November 21, 2020, Williams illegally possessed a .40 caliber semi-automatic pistol. At the time of the alleged offense, Williams was on probation due to convictions for pandering and battery with substantial bodily harm in Clark County.

The case was investigated by the FBI, the Nevada Division of Probation, and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Bianca Pucci is prosecuting the case.

• On December 29, 2020, Darryl Henderson, of Las Vegas, made his initial appearance in federal court on a felon in possession of a firearm charge. As alleged in the criminal complaint, beginning on August 12, 2020, and continuing until on or about September 8, Henderson illegally possessed a .22 caliber semi-automatic pistol. Henderson is prohibited from possessing firearms due to prior felony convictions in Clark County. He was also pending sentencing in Nevada state court after pleading guilty to attempt pandering, which is a felony.

The case was investigated by the FBI and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Bianca Pucci is prosecuting the case.

• On December 21, 2020, Adrian Anguiano, of Las Vegas, was charged with one count of felon in possession of a firearm. As alleged in the criminal complaint, on November 27, 2020, Anguiano illegally possessed a 9mm semi-automatic pistol. Two weeks earlier, on November 13, police officers had observed a female enter Anguiano’s truck in an area known for prostitution. When officers attempted to contact the vehicle’s occupants, the driver fled, ramming a police vehicle and nearly hitting an officer in the process. The female was thrown from the vehicle, fracturing her skull and rendering her unconscious. Subsequent investigation identified Anguiano as the vehicle’s driver. On November 27, Anguiano was arrested by local law enforcement as he left his residence. A protective sweep of the residence revealed a 9mm semi-automatic pistol in plain view in Anguiano’s bedroom. He subsequently admitted to being in possession of the firearm.

The case was investigated by the FBI and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Dan Cowhig is prosecuting the case.

Other federal sex trafficking charges that federal prosecutors filed in the District of Nevada in 2020 include:

• On October 6, 2020, Denzel Renyal Michael Loyd, 35, of Las Vegas, was charged in a 10-count indictment with four counts of coercion and enticement; three counts of sexual exploitation of a child; one count of transfer of obscene material to minor; one count of sex trafficking of children; and one count of possession of child pornography. As alleged, from February 5 to March 9, 2020, Loyd coerced and enticed four underage victims via Facebook to engage in prostitution for him. The indictment further alleges that Loyd sent obscene material to a victim, and that he possessed child pornography on his cell phone.

The case was investigated by the FBI and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Supriya Prasad is prosecuting the case.

• On June 3, 2020, Mario Alston, 42, of Las Vegas, was charged with one count of attempted sex trafficking of children.

The case was also investigated by the FBI and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Supriya Prasad is prosecuting the case.

A complaint and/or indictment merely alleges that crimes have been committed. Every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

In addition to prosecutions, the U.S. Attorney’s Office is committed to prevention and spreading awareness of human trafficking. This year, the U.S. Attorney’s Office co-hosted training events for attorneys, victim services providers, and the community. The Department of Justice provided non-profit service providers with a total of $998,714 from the Department of Justice’s Office of Justice Programs and its component, the Office for Victims of Crime, to provide safe, stable housing and appropriate services to survivors of human trafficking.

If you or someone you know is a victim of human trafficking, contact the Homeland Security Investigations’ Blue Campaign at 1-866-347-2423 or get help from the National Human Trafficking Hotline at 1-888-373-7888.

Report missing children or child pornography to the National Center for Missing and Exploited Children (NCMEC) at 1-800-THE-LOST (843-5678).

###

 

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich announced today that the District of Nevada has received funding from the Department of Justice to hire a dedicated prosecutor to combat CARES Act unemployment insurance fraud.

The District of Nevada has been allocated funding to hire an Assistant United States Attorney for a one-year term, who will focus on prosecuting cases involving fraudulent schemes to unlawfully obtain unemployment insurance (UI) benefits and related offenses through the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020.

“If fraudsters don’t understand it by now, they should quickly realize that our office is prioritizing the investigation and prosecution of those trying to exploit the unemployment system and harm Nevadans in need,” said U.S. Attorney Trutanich. “The additional resources from the Department of Justice will help us accomplish that goal for Nevada.”

The CARES Act allocated $270 billion for supplemental federal UI benefits. Additionally, President Trump directed that $44 billion in federal Disaster Relief Funds be used to provide supplemental UI benefits to eligible claimants. The substantial increase in funding for UI benefits spurred a dramatic spike in UI fraud across the country, resulting in the theft of federal funds intended to help those struggling with unemployment during the current pandemic and economic crisis. 

On October 15, 2020, the U.S. Attorney’s Office announced six federal criminal complaints charging ten defendants with crimes associated with unemployment insurance fraud. Since then, the Office has continued to investigate those who seek to steal taxpayer dollars meant for out-of-work Nevadans. For example, on December 21, an unlawfully-present alien, Alan Ray, was charged with federal crimes in connection with unemployment insurance fraud based on his possession of multiple unemployment debit cards not in his name. Ray, 33, of England, has been charged with one count of possession of counterfeit and unauthorized access devices and one count of aggravated identity theft.

According to allegations in the complaint, on October 27, 2020, a casino in Las Vegas reported the discovery of a package containing, among other things: 24 unemployment insurance benefits debit cards from Nevada Department of Employment, Training and Rehabilitation (DETR) and the California Employment Development Department (EDD), all in different names; two notebooks containing the personal identifying information (PII) of more than 80 individuals, including the PII of all 24 debits cards in the package; and four mailbox rental applications and associated mailbox keys. Ray attempted to ship the package to an address in Houston, Texas, and later attempted to retrieve the package from the casino. The complaint further alleges that Ray used multiple identities during the course of the investigation, represented himself as a U.S. citizen when he is not, and was previously deported in 2011. Investigation revealed that at least 60 unemployment insurance claims were filed with DETR and EDD using the PII contained in the notebooks, in an effort to obtain at least $1,149,250 in unemployment insurance benefits.

The case was investigated by the FBI with assistance from U.S. Department of Labor – Office of Inspector General. Assistant U.S. Attorney Jim Fang is prosecuting the case.

A complaint merely alleges that a crime has been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

Individuals who believe that someone is fraudulently using their identity to apply for unemployment benefits should file a complaint through the FBI’s Internet Crime Complaint Center (IC3) at www.ic3.gov and to DETR’s Fraud Report.

The public is encouraged to continue to report wrongdoing relating to the pandemic to the Department of Justice’s National Center for Disaster Fraud (NCDF) and to remain vigilant against bad actors looking to exploit this national emergency. To report a scam relating to COVID-19, you can report it without leaving your home by calling the NCDF Hotline at 1-866-720-5721 or via the NCDF Web Complaint Form, available at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

###

 

LAS VEGAS, Nevada – A Nevada man was arraigned on December 18, 2020 for fraudulently obtaining approximately $1,662,170 from the Paycheck Protection Program (PPP) loan and the Economic Injury Disaster Loan (EIDL) program.

U.S. Attorney Nicholas A. Trutanich of the District of Nevada, Special Agent in Charge Aaron C. Rouse of the FBI’s Las Vegas Field Office, Special Agent in Charge Tara Sullivan of the Internal Revenue Service-Criminal Investigation (IRS-CI), and Special Agent in Charge Weston King of the Small Business Administration’s Office of the Inspector General (SBA-OIG) made the announcement.

Bryan Robinson, 37, of Henderson, Nevada, is charged in an indictment in the District of Nevada, with two counts of wire fraud and one count of engaging in transactions in unlawful proceeds. He appeared on December 18 before U.S. Magistrate Judge Cam Ferenbach in Las Vegas.

The indictment alleges that Robinson perpetrated a scheme to submit a fraudulent EIDL application to the SBA and a fraudulent PPP loan application to a financial technology company. The SBA guarantees the loans for COVID-19 relief through the PPP under the Coronavirus Aid, Relief and Economic Security (CARES) Act. The CARES Act also authorizes the SBA to provide EIDL of up to $2 million to eligible small businesses experiencing financial disruption due to the COVID-19 pandemic.

According to the indictment, Robinson submitted two fraudulent applications in the name of ATeam LLC, which is a dance company, for: (1) a PPP loan for approximately $1,502,000; and (2) an EIDL for approximately $150,000. The loan applications represented that ATeam had 37 employees, significant payroll expenses, and substantial revenue. But ATeam in fact was a dance company and did not pay any wages.

Further, the indictment alleges that Robinson did not use the funds for payroll payments. Instead, he used the funds for personal expenses and transfers to other businesses.

The CARES Act is a federal law enacted on March 29, 2020. It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.

The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses.

The EIDL program is designed to provide economic relief to small businesses that are currently experiencing a temporary loss of revenue. EIDL proceeds can be used to cover a wide array of working capital and normal operating expenses, such as continuation of health care benefits, rent, utilities, and fixed debt payments. If an applicant also obtains a loan under the PPP, then EIDL funds cannot be used for the same purpose as the PPP funds.   

A federal indictment complaint is merely an accusation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law. 

The FBI, IRS-CI, and SBA-OIG investigated the case. Trial Attorney Joseph McFarlane of the Department of Justice’s Criminal Division’s Fraud Section and Assistant U.S. Attorney Jessica Oliva of the U.S. Attorney’s Office for the District of Nevada are prosecuting the case.     

LAS VEGAS, Nev. – A Las Vegas resident has been arrested and charged for allegedly setting fire to the Foley Federal Building and U.S. Courthouse, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada, Special Agent in Charge Patrick Gorman of the Bureau of Alcohol, Tobacco, Firearms and Explosives (San Francisco Field Division), and U.S. Marshal Gary Schofield.

“Our office is heartened by the public’s help in identifying the defendant,” said U.S. Attorney Trutanich. “We’re likewise grateful for our law enforcement partners’ efforts to investigate this case, and we will continue working closely with them to hold accountable individuals who seek to damage or destroy public property, including symbols of justice such as federal courthouses.”

“ATF takes every act of violence, including arson, very seriously,” said Special Agent in Charge Gorman. “Arson poses a threat to the community, as the path of an intentionally set fire often leads to incredible destruction. We are thankful for the public response, which helped us identify the suspect.”

“Protecting the federal judiciary is a primary duty of the U.S. Marshals Service,” said Marshal Schofield. “We do so with the ongoing unified approach by law enforcement, as was demonstrated in this case.”

Marty Clark, 32, of Las Vegas, has been charged in a federal criminal complaint with one count of arson and one count of malicious damage to federal property. He made his initial appearance on December 18, 2020 before U.S. Magistrate Judge Cam Ferenbach, who scheduled a preliminary hearing before U.S. Magistrate Judge Elayna Youchah for January 4, 2021.

The criminal complaint alleges that, on November 7, 2020, Clark intentionally set fire to the Foley Federal Building and U.S. Courthouse, located in downtown Las Vegas. According to the complaint, at approximately 3:20 a.m., Clark poured gasoline on wood framing at the building’s front entrance and set fire to the framing.

After observing flames inside the courthouse lobby, a security officer exited the building and saw Clark outside carrying a gasoline can. The security officer ordered Clark to “stop,” and attempted to detain him. Clark refused, stating “it’s my right to protest.” The security officer then tried to stop Clark from fleeing the scene, which resulted in an altercation. During the altercation, Clark dropped the gasoline can he had been holding and his glasses flew off his face. Clark was able to get into his vehicle and drive away, abandoning the gasoline can and leaving his glasses. The security officer was able to take photographs of Clark and his vehicle as he drove off.

Clark was identified after law enforcement received a tip from the public, and a DNA match was identified based on a swab taken from the glasses Clark left at the courthouse. He was arrested on December 16, 2020. If convicted, Clark faces a statutory mandatory minimum sentence of five years in prison and a statutory maximum penalty of twenty years in prison.

A criminal complaint is a formal accusation of criminal conduct for purposes of establishing probable cause, not evidence of guilt. The defendant is presumed innocent unless and until proven guilty in a court of law.

The case was investigated by ATF, Las Vegas Fire and Rescue, U.S. Marshals Service, FBI, Federal Protective Service, and the Las Vegas Metropolitan Police Department All-Hazard Regional Multi-Agency Response Section. Assistant U.S. Attorneys Lisa Cartier-Giroux and Stephanie Ihler are prosecuting the case.

###

RENO, Nev. — A Nevada man was arrested on December 15, 2020, for allegedly murdering an indigenous woman on the Pyramid Lake Indian Reservation, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Aaron C. Rouse of the FBI.

Michael Burciaga, 33, was charged with second degree murder within Indian Country. Burciaga made his initial appearance before U.S. Magistrate Judge William G. Cobb, who scheduled a jury trial for February 22, 2021.

“Native Americans face particularly high rates of violence, including intimate partner violence. To increase public safety at tribal communities within Nevada, our office helped launch the MMIP Initiative last year,” said U.S. Attorney Trutanich. “Because combatting domestic violence is a top priority, our prosecutors were able to work with our law enforcement partners to take swift action here — filing preliminary charges within hours — and we have continued to coordinate in the investigation of this case.”

“The FBI stands strongly with our tribal partners in our joint commitment to hold those responsible to justice,” said Special Agent in Charge Rouse. “Violent crimes, such as this horrendous act, will never go unchallenged.”

According to allegations in the criminal complaint, Burciaga stabbed the victim with multiple knives during a domestic violence incident. Shortly after midnight on December 15, Pyramid Lake Police Department officers responded to an emergency call at a house in Nixon, Nevada. Officers located the victim — a registered member of the Pyramid Lake Paiute Tribe — in the master bathroom. Officers then located a man, later identified as Burciaga, outside the residence.

As alleged, officers observed a laceration on Burciaga’s hand and rendered first aid, during which Burciaga told officers in sum and substance: “I already know what happened, and I know what I did, which is why I slit my wrist.” After officers bandaged his hand, Burciaga was transported by ambulance to a hospital. While in transit, Burciaga told officers that the victim was pregnant with his child.

If convicted, Burciaga faces a statutory maximum sentenced of life imprisonment. The sentencing of a defendant will be determined by the Court based on the advisory Sentencing Guidelines and other statutory factors.

A complaint contains merely allegations, and every defendant is presumed innocent until and unless proven guilty in a court of law.

The FBI and Pyramid Lake Police Department are investigating the case, which is being prosecuted by Assistant U.S. Attorney Penelope Brady.

In November 2019, the Department of Justice launched the Missing and Murdered Indigenous Persons (MMIP) Initiative, a national strategy to address missing and murdered Native Americans. The MMIP Initiative includes the deployment of the FBI’s most advanced response capabilities when needed, improved data collection and analysis, and training to support local response efforts. The District of Nevada was one of the first 11 U.S. Attorney’s Offices nationwide where an MMIP Coordinator was assigned, working closely with federal, tribal, state and local agencies to develop common protocols and procedure for responding to reports of missing or murdered indigenous people.

RENO, Nev. – A Northern California resident had his initial appearance in federal court today following his arrest for attempted child sex trafficking, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada.

A federal grand jury returned an indictment charging Jeffrey Lofstead, 63, of Kings Beach, Placer County, California, with one count of attempted sex trafficking of children. He was arraigned before U.S. Magistrate Judge William G. Cobb, who scheduled a jury trial on February 8, 2021.

According to allegations made in the indictment, on or about October 7, 2020, Lofstead attempted to recruit and solicit a child, who had not yet attained 18 years, to engage in a commercial sex act.

If convicted, the statutory maximum penalty is life in prison.

An indictment merely alleges that a crime has been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

The case was investigated by the FBI’s Northern Nevada Child Exploitation and Human Trafficking Task Force, which includes the FBI; Reno Police Department; Washoe County Sheriff's Office; Nevada Attorney General's Office; Carson City Sheriff's Office; Douglas County Sheriff's Office; Nevada Highway Patrol; Nevada Department of Corrections; University of Nevada, Reno Police Department; and the Sparks Police Department. Assistant U.S. Attorney Peter Walkingshaw is prosecuting the case.

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

###

 

LAS VEGAS, Nev. – A Michigan woman was sentenced today to three years and five months in prison after pleading guilty to carrying out a scheme to defraud the U.S. Department of Veterans Affairs (VA) of more than $1.7 million in veterans benefits, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.

“The defendant orchestrated a million dollar scheme to defraud the VA and to deceive the elderly veterans and surviving spouses whose names she used,” said U.S. Attorney Trutanich. “As part of the Department of Justice’s Elder Justice Initiative, our office and our partners are committed to safeguarding our seniors and prosecuting those who take advantage of them.”

Claudia Ann Merrill, 62, of Farmington Hills, MI, pleaded guilty in January 2020 to one count of mail fraud. In addition to the prison term, U.S. District Judge James C. Mahan sentenced Merrill to three years of supervised release. Merrill agreed to pay a criminal forfeiture money judgment of $1,775,271.61 and was ordered to pay $1,755,412.79 in restitution to the U.S. Department of Veterans Affairs.

According to court documents, from January 1, 2014, through October 1, 2019, Merrill carried out a scheme to defraud the VA. Merrill approached elderly veterans and surviving spouses, and falsely told them they were eligible for VA benefits. Merrill offered to fill out applications for them, and she also convinced them to sign blank application forms and provide identification documents. Merrill then submitted false applications for Veteran’s Pension and Aid and Attendance benefits in the names of these beneficiaries. As part of the scheme, Merrill altered medical records so that the beneficiaries would appear to be eligible for the benefits.

Merrill fraudulently directed benefit payments into bank accounts she controlled, without informing the beneficiaries. When veterans or their surviving spouses reached out to the VA to inquire about their benefits, Merrill often ceased contact with them, leaving the elderly veteran or surviving spouse to unravel Merrill’s fraud. In one case, Merrill sued a veteran, demanding that he pay Merrill the proceeds of her fraudulent scheme. Through the scheme, Merrill defrauded the VA of $1,755,412 in benefit payments.

This case was a joint investigation by the U.S. Department of Veterans Affairs Office of Inspector General and the FBI. Assistant U.S. Attorney Jessica Oliva prosecuted the case.

###

 

LAS VEGAS, Nev. – A Las Vegas tax preparer pleaded guilty today in U.S. District Court to preparing and filing fraudulent tax returns on behalf of her clients (which caused a total tax loss of at least $1,500,000), announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada and Special Agent in Charge Tara Sullivan of the IRS-Criminal Investigation.

Baby Vasquez Beltran, 53, pleaded guilty to one count of aiding and assisting in the preparation and filing of a false tax return. U.S. District Judge Richard F. Boulware II scheduled a sentencing hearing for March 4, 2021.

According to court documents and admissions Beltran made in court, since at least 2008, she operated Speed Refund Tax Services, a tax return preparation business in Las Vegas. When preparing her clients’ tax returns, Beltran fraudulently claimed deductions to which her clients were not entitled. In total, for tax years 2012 through 2016, Beltran caused at least $1,500,000 in tax loss to the IRS.

The maximum statutory penalty faced by Beltran is three years in prison and a $250,000 fine.

The case was investigated by the IRS-CI. Assistant U.S. Attorney Tony Lopez is prosecuting the case.

###

 

LAS VEGAS, Nev. – A Mexican national, who had been previously lawfully deported seven times, was sentenced to more than four years in prison for illegally returning to the United States, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada.

Josue Garcia-Rodriguez, also known as “Juan Pablo Mungia-Garcia” and “Josue Garcia Chapo,” 25, of Mexico, was sentenced to 51 months in prison by U.S. District Judge James C. Mahan. In addition, the Court ordered the term of imprisonment to run consecutively to an eight month sentence for supervised release violations: illegally reentering the United States and arrest for drug and gun charges in Henderson, Nevada. Garcia-Rodriguez previously pleaded guilty to one count of being a deported alien found in the United States.

According to court documents, from June 2012 to December 2018, Garcia-Rodriguez — a two-time convicted felon — was deported seven times from the United States to Mexico. In June 2019, he illegally reentered and remained in the United States until he was arrested by law enforcement for a possession of a controlled substance with intent to sell.

The case was investigated by the U.S. Immigration and Customs Enforcement. Assistant U.S. Attorney Kimberly Frayn prosecuted the case.

###

 

LAS VEGAS, Nev. – A Las Vegas resident was charged today with possession of stolen mail — including two Clark County mail-in voter ballots and a Nevada Department of Employment, Training, and Rehabilitation (DETR) unemployment insurance benefits debit card — and possession of nearly two dozen debit and credit cards in other peoples’ names, announced U.S. Attorney Nicholas A. Trutanich.

Francisco Luis McArthur, 41, was charged with one count of possession of stolen mail and one count of possession of 15 or more unauthorized access devices.

“Theft of U.S. mail is a serious federal crime, particularly when it occurs just days before a general election,” said U.S. Attorney Trutanich. “Our office looks forward to continuing working closely with the U.S. Postal Inspection Service to investigate and prosecute mail theft.”

According to allegations contained in the criminal complaint, on November 2, 2020, McArthur had in his possession a box containing over 100 pieces of mail not in McArthur’s name,  including two Clark County Election Department Official Absentee Voter Ballots. In addition, McArthur also had in his possession:

• Seven credit and debit cards that had been fraudulently re-encoded with account numbers that did not match the number printed on the card;
• 16 credit and debit cards that were in the names of other people, including at least one debit card issued by DETR (the state agency that distributes unemployment insurance benefits);
• A card encoder; and
• Keys used to open United States Postal Service mailboxes. McArthur admitted that he used the keys to gain access to gated neighborhoods and community mailboxes. 

If convicted, the maximum statutory penalties are: (a) five years imprisonment and a $250,000 fine for possession of stolen mail; and (b) 10 years imprisonment and a $250,000 fine for possession of 15 or more unauthorized access devices.

A complaint contains merely allegations and the defendant is presumed innocent until and unless proven guilty in a court of law.

The case was investigated by the U.S. Postal Inspection Service.

###

LAS VEGAS, Nev. — A Las Vegas resident pleaded guilty today to robbing two U.S. Postal Service mail carriers of the mail they were delivering, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada.

Rodolfo Rafael Rodriguez-Silva, 20, pleaded guilty before U.S. District Judge Richard F. Boulware II, to two counts of robbery of mail, money, or property of the United States. A sentencing hearing has been scheduled on February 18, 2021.

According to court documents and admissions made in court by Rodriguez-Silva, on January 18, 2020, he and another individual — each wearing a ski mask — robbed a USPS mail carrier who was delivering mail. Rodriguez-Silva intimidated the mail carrier while the other person stole mail from the victim’s USPS vehicle. A few days later, on January 25, Rodriguez-Silva, who was masked, accosted another mail carrier and said: “I don’t want to hurt you, get to the side of the vehicle.” An individual with Rodriguez-Silva then stole mail from the USPS vehicle.

Rodriguez-Silva faces a statutory maximum penalty of 10 years in prison and a $250,000 for each count. The sentencing of a defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.

This case was the product of an investigation by the U.S. Postal Inspection Service. Assistant U.S. Attorneys Kimberly Frayn and Daniel Clarkson are prosecuting the case.

###

LAS VEGAS, Nev. — A Las Vegas man with prior felony convictions pleaded guilty today to unlawful possession of firearms, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Patrick Gorman for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).

“Domestic violence and firearms are too often a deadly combination,” said U.S. Attorney Trutanich. “One of our office’s top priorities in launching Project Veronica was to get guns out of the hands of domestic violence offenders.”

“ATF works diligently to prevent and reduce gun violence,” said Special Agent in Charge Gorman. “These collective efforts from ATF, the U.S. Attorney’s Office and our law enforcement partners are aimed at investigating crimes that significantly impact and harm members of the Las Vegas community. ATF will continue to work alongside our partners to ensure those who illegally possess firearms are held accountable.”

Akila Chappell-Hersh, 26, pleaded guilty to two counts of felon in possession of a firearm before U.S. District Judge Gloria M. Navarro, who scheduled a sentencing hearing on February 17, 2021. Chappell-Hersh was indicted by a grand jury in May 2020.

According to court documents, in November 2019, Las Vegas Metropolitan Police Department officers responded to a domestic violence incident at an apartment in Las Vegas. Officers learned that Chappell-Hersh had been arguing with his wife while holding a handgun. Law enforcement executed a search warrant and found a .40 caliber Sig Sauer P229 handgun under the mattress in a bedroom. Later, on May 7, 2020, Chappell-Hersh was found in possession of a .45 caliber Glock 30S handgun with a 26-round extended magazine.

Chappell-Hersh is prohibited from possessing a firearm due to prior felony convictions in Clark County, Nevada, for possession of a firearm by a prohibited person and possession of stolen property.

At sentencing, Chappell-Hersh faces a statutory maximum sentence of 10 years in prison and a $250,000 fine on each count of felon in possession of a firearm. The sentencing of a defendant is determined by the court based on the advisory Sentencing Guidelines and other statutory factors.

This case was investigated by ATF. Assistant U.S. Attorney Brett Ruff is prosecuting the case.

This case was brought as part of Project Veronica, an initiative that the Department of Justice and the U.S. Attorney’s Office for the District of Nevada launched in August 2020. Project Veronica brings together law enforcement agencies, tribes, victims of domestic violence, and local and state government within Nevada to curb domestic violence and sexual violence. Project Veronica is named in honor of a local victim of domestic violence named Veronica Caldwell. In 2015, Veronica lost her life at the hands of her husband, who also shot and killed Veronica’s daughter Yvonne and her daughter’s boyfriend.

This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the U.S. Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the ATF when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.

###

 

LAS VEGAS, Nev. – A Las Vegas resident who discussed setting fire to a synagogue with a white supremacist extremist group was sentenced today to two years in prison to be followed by three years of supervised release, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada and Special Agent in Charge Aaron C. Rouse of the FBI.

“Our office is committed to working closely with our law enforcement partners to disrupt and stop potential bias-motivated violence before it happens,” said U.S. Attorney Trutanich. “Here, law enforcement in Nevada identified the defendant’s threats of violence — which were motivated by hate and intended to intimidate our faith-based and LGBTQ communities — and took swift action to protect our communities and ensure justice.”

“The primary mission of the FBI is to protect the American public from a terrorist attack,” said Special Agent in Charge Rouse. “The FBI’s Las Vegas Joint Terrorism Task Force is committed to protecting our community and I could not be more proud of the proactive work they did in this case. This is a great example of the best result in law enforcement by stopping violence before it can start.”

Conor Climo, 24, of Las Vegas, was sentenced by U.S. District Judge James C. Mahan. Climo previously pleaded guilty to one count of possession of an unregistered firearm — specifically, the component parts of a destructive device. In addition to the term of imprisonment, the Court ordered special conditions of supervised release, including mental health treatment and computer monitoring.

According to court documents, Climo communicated with individuals who identified with the white supremacist extremist group Feuerkrieg Division, which is an offshoot of the U.S.-based white supremacist extremist group Atomwaffen Division. Feuerkrieg Division members share a common goal of challenging laws, social order, and the government via terrorism and other violent acts. The organization encourages attacks on the federal government, critical infrastructure, minorities, and members of the LGBTQ community.

As part of his guilty plea, Climo admitted that, during online conversations with Feuerkrieg Division members between May 2019 and July 15, 2019, he discussed setting fire to a Las Vegas synagogue, and making Molotov cocktails and improvised explosive devices. Climo further admitted that he discussed plans to attack the Anti-Defamation League. In addition, Climo conducted surveillance on a bar in Las Vegas that he believed catered to the LGBTQ community in preparation for a potential attack.

On August 8, 2019, the FBI-led Joint Terrorism Task Force (JTTF) executed a search warrant at Climo’s residence. During the search, law enforcement located components that could be readily assembled into a destructive device, strong oxidizing agents that can be used as fuels, and numerous hand drawn schematics to construct improvised explosive devices. Law enforcement also seized an AR-15 rifle and a bolt-action rifle from Climo’s bedroom.

The Department of Justice is committed to combating acts of violence motivated by hatred or bias, such as anti-Semitic and anti-LGBTQ acts, on multiple fronts and in a multi-faceted approach, using both criminal and civil statutes. Acts of violence motivated by hatred or bias violate the personal security of individuals, threaten the freedom of communities to pursue their faiths and ways of life, and disregard the common ties that bind our nation together.

This case was investigated by the JTTF, which includes law enforcement partners from local, state, and federal agencies. Assistant U.S. Attorney Nicholas Dickinson of the District of Nevada prosecuted the case, with assistance from the Civil Rights Division of the Department of Justice and the National Security Division.

This prosecution is part of the Department of Justice’s Disruption and Early Engagement Programs (DEEP), a national strategy to disrupt potential mass shootings and other rapidly mobilizing threats and the need to implement timely, effective and efficient responses.

###

LAS VEGAS, Nev. — A Las Vegas resident was sentenced Friday to two years in prison for making a straw purchase of ten FN M249S 5.56 caliber semi-automatic rifles, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada. The FN M249S rifle is a semi-automatic version of the FN M249 SAW machine gun used by the U.S. military.

Ethan Erhardt, 37, previously pleaded guilty to one count of illegal acquisition of a firearm. U.S. District Judge James C. Mahan presided over the hearing.

According to court documents, on February 16, 2019, Erhardt straw purchased firearms from a Federal Firearms Licensee in Henderson, Nevada, on behalf of another individual. Erhardt bought ten FN M249S 5.56 caliber semi-automatic rifles for approximately $88,000.00, using money provided by the other individual. At the time of purchase, Erhardt completed an ATF form representing that he was the actual buyer of the firearms — despite knowing that the rifles would actually be provided to the other individual, who in turn would then provide those firearms to a third party.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Daniel Clarkson prosecuted the case.

This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the ATF when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.

For more information about Project Guardian, visit https://www.justice.gov/opa/pr/attorney-general-william-p-barr-announces-launch-project-guardian-nationwide-strategic-plan.

###

LAS VEGAS, Nev. – A Las Vegas resident — charged in a 10-count indictment with coercing underage girls via Facebook to work as prostitutes for him — made his initial appearance in U.S. District Court today, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada.

“Our office is honored to support Nevada law enforcement’s continued efforts to crack down on human trafficking rings and bring traffickers to justice,” said U.S. Attorney Trutanich. “We remain committed to using all available tools to combat human trafficking and help survivors.”

In October 2020, a federal grand jury indicted Denzel Renyal Michael Loyd, 35, of Las Vegas, with four counts of coercion and enticement; three counts of sexual exploitation of a child; one count of transfer of obscene material to minor; one count of sex trafficking of children; and one count of possession of child pornography. Loyd appeared before U.S. Magistrate Judge Cam Ferenbach, who ordered him to be detained in federal custody pending a jury trial.

As alleged, from February 5, 2020 to March 9, 2020, Loyd coerced and enticed four underage victims via Facebook to engage in prostitution for him. The indictment further alleges that Loyd sent obscene material to a victim, and that he possessed child pornography on his cell phone.

The minimum statutory penalty for coercion and enticement is 10 years in prison; the minimum statutory penalty for sexual exploitation of children is 15 years in person, with a maximum statutory penalty of 30 years in prison; the minimum statutory penalty for sex trafficking of a child is 10 years in prison; the maximum statutory penalty for sending obscene material to a minor is 10 years in prison; and the maximum statutory penalty is 10 years in prison for possession of child pornography.

The charges resulted from an investigation by the FBI and Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Supriya Prasad is prosecuting the case.

An indictment merely alleges that crimes have been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

If you have information regarding possible child sexual exploitation, please make a report to the National Center for Missing and Exploited Children by calling the 24-hour hotline at 1-800-THE-LOST (1-800-843-5678) or by making a report at www.cybertipline.com.

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

###

LAS VEGAS, Nev. – Eight alleged associates of the Pomona Sur Lokotes drug trafficking organization have been arrested for their alleged roles in trafficking large quantities of methamphetamine from California and Mexico to Las Vegas, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada and Special Agent in Charge Aaron C. Rouse of the FBI.

A federal grand jury returned a 22-count indictment charging Luis Arellano, aka “Lewis Arellano” aka “Laughter,” 29; Jacqueline Martinez, 29; Ivan Salazar, aka “Evil,” 38; Domingo Montes Jr., aka “JR,” 34; Amelio Che Medina, 43; Anna Barrios, 32; and Victor Manuel Rodriguez, aka “Smokey,” 37, all of Las Vegas, for conspiracy to distribute methamphetamine, distribution of methamphetamine, and felon in possession of a firearm. A federal grand jury also returned a seven-count indictment charging Sergio Rios, aka “Gremlin,” 36, of Las Vegas, for distribution of methamphetamine.

According to court documents, law enforcement began investigating Arellano and other associates of the Pomona Sur Lokotes drug trafficking organization in December 2019. As alleged, Arellano and Martinez traveled to California to pick up methamphetamine and cocaine that they — along with the other defendants — then distributed in Las Vegas. Between September 13 and November 4, law enforcement arrested the defendants and, during the course of the operation, law enforcement seized: over 12 kilograms (approximately 26 pounds) of methamphetamine, 1.5 kilograms of cocaine, and nine firearms.

In addition to drug charges, Salazar and Medina are each charged with one count of felon in possession of a firearm. Salazar is alleged to have possessed a semi-automatic rifle after previously been convicted of felonies in Nevada. Medina is alleged to have possessed a 9mm handgun after previously been convicted of felonies in Utah. Under federal law, felony convictions prohibit an individual from possessing a firearm.

“This case exemplifies the targeted, impactful prosecutions that our office has been prioritizing to drive down crime rates and dismantle drug trafficking organizations,” said U.S. Attorney Trutanich. “We look forward to continuing to work closely with our law enforcement partners, including the Las Vegas Metropolitan Police Department and the FBI, to increase public safety and get illegal drugs out of our communities.”

“Today's announcement is a direct result of the hard work and dedication shared between local and federal authorities in our efforts to combat drug trafficking organizations who distribute methamphetamine and cocaine in our communities,” said Special Agent in Charge Rouse. “The FBI’s Safe Streets Gang Task Force will continue to pursue investigations into individuals and groups who have furthered the scourge of drugs in our neighborhoods."

If convicted, each defendant faces a statutory maximum sentence of lifetime imprisonment and a $10,000,000 fine.

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

The case was investigated by the FBI’s Safe Streets Gang Task Force and the Las Vegas Metropolitan Police Department.

The investigation is part of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.

###

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich today announced $1,957,208 in Department of Justice grants to fight and prevent violent crime in the District of Nevada. The grants, which have been awarded by the Department’s Office of Justice Programs, are part of more than $458 million in funding to support state, local, and tribal law enforcement efforts to combat violent crime in jurisdictions across the United States.

“One of the fundamental missions of government is to protect its citizens and safeguard the rule of law,” said Attorney General William P. Barr. “The Department of Justice will continue to meet this critical responsibility by doing everything within its power to help our state, local and tribal law enforcement and criminal justice partners fight crime and deliver justice on behalf of all Americans.”

The funding announced today continues the Trump Administration’s commitment to reducing crime and improving public safety. In the two years before President Trump took office, America had experienced a precipitous rise in crime, particularly in serious violent crime. The President elevated community safety to the top of his domestic agenda and crime rates have fallen steadily since. Recent data from the FBI and the Bureau of Justice Statistics for 2019 show a drop in crime and serious victimization for the third year in a row. However, a number of cities are experiencing conspicuous countertrends. Today’s grants will bolster crime-fighting efforts in those communities and in jurisdictions throughout the United States.

“Violence has become a tragic reality in too many of America’s communities,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “Working with officials across the Trump Administration and with thousands of state, local and tribal crime-fighters across the country, the Department of Justice is leading the response to this urgent challenge. OJP is pleased to make these resources available to support innovative, tested and diverse solutions to violent crime.”

“Driving down violent crime rates to improve public safety has been one of our office’s top priorities,” said U.S. Attorney Trutanich. “These funds will continue to make our Nevada communities even safer, as our law enforcement partners deploy the new resources provided by Office of Justice Programs.”

Of the more than $458 million awarded nationwide, OJP’s Bureau of Justice Assistance made 1,094 grants totaling more than $369 million to support a broad range of initiatives, including efforts in enforcement, prosecution, adjudication, detention and rehabilitation.

OJP’s Office of Juvenile Justice and Delinquency Prevention awarded more than $10 million across 24 jurisdictions to intervene in and suppress youth gang activity as well as $1 million to the Institute for Intergovernmental Research to continue operating the National Gang Center. OJP’s National Institute of Justice awarded $7.8 million to fund research and evaluation on the prevention and reduction of violent crime. OJP’s Bureau of Justice Statistics provided more than $69 million to strengthen the quality and accessibility of records within the National Instant Criminal Background Check System.

The following organizations received funding:

•           Clark County received $400,000

•           Nevada Department of Public Safety received $720,508

•           Nevada Department of Public Safety, Office of Criminal Justice Assistance received $836,700

For a complete list of individual grant programs, award amounts, and jurisdictions that will receive funding, click here. More information about OJP and its components can be found at www.ojp.gov.

# # #

 

LAS VEGAS, Nev. – Two Las Vegas residents made their initial court appearances in U.S. District Court on Friday for charges in connection with a multimillion dollar investment fraud scheme, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada and Special Agent in Charge Aaron C. Rouse of the FBI.

A federal grand jury returned a 14 count indictment on Tuesday, charging John Frank Thomas III, 75, and Thomas Joseph Becker, 72, both of Las Vegas, with one count of conspiracy to commit wire fraud and 13 counts of wire fraud. Thomas is also known as “John Frank,” “Johnathan West,” “John Frank Rodgers,” “John Marshall,” and “John Edwards.” Following their arrests on Friday, Thomas and Becker made their initial appearances before U.S. Magistrate Judge Nancy J. Koppe, who scheduled a jury trial for January 4, 2021.

“Nevada has earned a worldwide reputation as the gold standard in gaming integrity,” said U.S. Attorney Trutanich. “Our office will continue working with our law enforcement partners and the gaming industry, including the FBI, to maintain Nevada’s reputation — which reflects the efforts of hardworking Nevadans across our state — by investigating and prosecuting violations of the law, and by helping enhance compliance programs.”

“The men and women of the FBI work hard every day to identify and apprehend those responsible for taking advantage of trusting citizens who were swindled out of their investments," said Special Agent in Charge Rouse.

According to allegations in the indictment, from September 2010 to August 2019, Thomas and Becker maintained — and advertised to investors as supposed investment funds — the following entities: Sports Psychometrics; Vegas Basketball Club; Vegas Football Club; Einstein Sports Advisory; Quantum Sports Advisory; Wellington Sports Club; and Welscorp, Inc. Thomas and Becker made false representations to investors that they would use their sports betting skills and strategy to make sports bets with the investors’ money:

• For example, Thomas and Becker told investors that their “‘special insights’ and ahead-of-the-curve strategies… can generate an Average-Profit-Per-Bet of +140% per $100 bet… and possibly as high as +180% or plus $180 per $100 bet. In essence, unlimited riches.”
• Similarly, they advertised a “perfect investment opportunity,” offering “quick access to funds – funds that can be withdrawn by wire or transfer in only one day” and “exceptionally high yield – we achieved a +10.75% ROI per betting day during 2014 Football Season.”

Thomas and Becker also allegedly misrepresented to investors that their accounts were multiplying in value due to successful sports betting, when in fact no such betting occurred. And when investors tried to cash out their investments, Thomas and Becker ignored their calls and emails, and made various excuses for why they could not distribute the money, ranging from purported medical reasons to issues with banks and sportsbooks. To the extent any investors were paid out, those payments came from money deposited by other investors, rather than successful sports bets.

Thomas and Becker induced more than 600 individuals to deposit money —from less than $10,000 to over $500,000 — into their purported investment funds, for a total of at least $29 million. The estimated loss amount to investors is alleged to be at least $9 million dollars. Thomas and Becker spent investors’ funds on personal expenses, including dining, housing, home improvement, and transportation.

The statutory penalty per count for conspiracy to commit wire fraud and wire fraud is 20 years in prison, as well as a fine of either $250,000 or twice the gross gain or gross loss resulting from the offense.

An indictment merely alleges that crimes have been committed. Every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case was investigated by the FBI. Assistant U.S. Attorney Simon F. Kung is prosecuting the case.

###

LAS VEGAS, Nev. – A Boulder City resident made his initial appearance in federal court yesterday for allegedly assaulting his significant other at the Lake Mead National Recreation Area, announced U.S. Attorney Nicholas A. Trutanich of the District of Nevada.

Michael David Thompson, 66, of Boulder City, is charged with one count of felony assault resulting in substantial bodily injury to a spouse or intimate partner. U.S. Magistrate Judge Nancy Koppe ordered Thompson to be detained in federal custody pending a jury trial scheduled to begin on December 1, 2020.

“There is no place whatsoever in our communities for violence against a spouse or intimate partner,” said U.S. Attorney Trutanich. “Following the launch of Project Veronica, our office has been making a renewed push to hold domestic violence offenders accountable — particularly during the pandemic, when many victims are isolated with abusers.”

According to court documents, in September 2020, at the Boulder Beach Campground within the Lake Mead National Recreation Area, Thompson allegedly struck the victim and placed his hands around her neck, causing her to yell and state “he is going to kill me.” The victim’s nose and orbital bone around an eye were fractured. National Park Service Rangers responded and observed facial bruising, two black eyes, lacerations to both lips, and additional bruising on the victim’s body.

Thompson faces a statutory maximum sentence of five years in prison and a $250,000 fine. He also faces a period of supervised release, restitution, and monetary penalties.

An indictment merely alleges that crimes have been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case was investigated by the National Park Service.

###

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich today announced awards of $2,463,568 in Department of Justice grants to fight drug abuse and addiction in the District of Nevada. The grants were awarded by the Department’s Office of Justice Programs (OJP) and are part of more than $341 million going to communities nationwide.

“The addiction crisis has taken an enormous toll on America’s families and communities, eroding public health, threatening public safety and claiming tens of thousands of lives year after year,” said Attorney General William P. Barr. “Through comprehensive measures taken by this administration, we have been able to curtail the opioid epidemic, but new and powerful drugs are presenting exceptional challenges that we must be prepared to meet. The Justice Department’s substantial investments in enforcement, response, and treatment will help us overcome these challenges and work towards freeing Americans from abuse and addiction.”

Illegal drugs and illicit drug use have claimed the lives of nearly 400,000 Americans since the turn of the century. Powerful synthetic opioids like fentanyl are exacting an enormous toll on families and communities, and an emergence in the use of methamphetamines and other psychostimulants is drawing drug traffickers and driving up overdose rates. Three years ago, President Trump declared a Public Health Emergency and initiated a whole-of-government approach dedicated to ending this national tragedy. The Department of Justice has invested unprecedented levels of funding in combating the addiction crisis. The awards announced today build on those earlier investments.

“If we hope to defeat an enemy as powerful, persistent and adaptable as illicit drugs, we must be at least as determined and versatile, focusing our ingenuity and resources on curbing abuse and fighting addiction,” said OJP’s Principal Deputy Assistant Attorney General Katharine T. Sullivan. “These grants will enable criminal justice officials and substance abuse, mental health and other medical professionals to pool their assets and bring the full weight of our public safety and treatment systems down on this epidemic that has already caused so much harm.”

“During the pandemic and corresponding restrictions, Nevada has seen an increase in drug overdose deaths,” said U.S. Attorney Trutanich. “By providing these additional grants, the Department of Justice is reinforcing its commitment to end opioid abuse and addiction. We are grateful to the Office of Justice Programs for its support in the fight to end the opioid epidemic, both in Nevada and across the country.”

Funding is made available through OJP’s Bureau of Justice Assistance, National Institute of Justice, Office for Victims of Crime and Office of Juvenile Justice and Delinquency Prevention.

The following organizations received funding:

• Reno Municipal Court received $899,839
• Justice Court, Las Vegas Township received $180,450
• Nevada State Board of Pharmacy received $781,761
• Nevada Department of Public Safety received $339,089
• Reno Municipal Court Community Court received $183,042
• Justice Court, Las Vegas Township received $79,387

For a complete list of individual grant programs, award amounts, and jurisdictions that will receive funding, click here. More information about OJP and its components can be found at www.ojp.gov.

The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years

###

 

LAS VEGAS, Nev. – Two brothers made their initial appearances in federal court on Friday for allegedly transporting 100 pounds of methamphetamine from Los Angeles to Las Vegas, announced U.S. Attorney Nicholas A. Trutanich.

Huy Ngoc Tran, aka “Tony,” 37, and Sinh Van Tran, aka “Paul,” 34, both of Riverside, California, are charged with one count of possession with intent to distribute a controlled substance – methamphetamine. Both defendants appeared before U.S. Magistrate Judge Daniel J. Albregts, who scheduled a preliminary hearing on October 30, 2020.

As alleged in the criminal complaint, on October 14, 2020, Huy Ngoc Tran and Sinh Van Tran were arrested in the parking lot of a Las Vegas hotel and casino after delivering 100 pounds of methamphetamine for $300,000. The brothers had also agreed to deliver an AR-15 type rifle and a shotgun.

During the search of the brothers’ vehicle, in addition to methamphetamine, law enforcement found an AR-15 style rifle, a Norinco SKS rifle with a sling and bayonet, a scoped Ruger Mini-14, and a double barrel 12 gauge shotgun.

Huy Ngoc Tran and Sinh Van Tran each face a maximum statutory penalty of life imprisonment and a $10,000,000 fine.

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

The case is the product of a joint investigation by the FBI, North Las Vegas Police Department, the Nevada Highway Patrol, and the Nevada Gaming and Control Board.

###

 

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich announced today that Assistant U.S. Attorney (AUSA) Jamie Mickelson will lead the efforts of their Office in connection with the Justice Department’s nationwide Election Day Program for the upcoming November 3, 2020 general election. AUSA Mickelson has been appointed to serve as the District Election Officer (DEO) for the District of Nevada and, in that capacity, is responsible for overseeing the District’s handling of complaints of election fraud and voting rights concerns in consultation with Justice Department Headquarters in Washington.

U.S. Attorney Trutanich said: “Every citizen must be able to vote without interference or discrimination and to have that vote counted without it being stolen because of fraud. The Department of Justice will always act appropriately to protect the integrity of the election process.”

The Department of Justice has an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open through election day.

Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters, and provides that they can vote free from acts that intimidate or harass them. For example, actions of persons designed to interrupt or intimidate voters at polling places by questioning or challenging them, or by photographing or videotaping them, under the pretext that these are actions to uncover illegal voting may violate federal voting rights law. Further, federal law protects the right of voters to mark their own ballot or to be assisted by a person of their choice (where voters need assistance because of disability or illiteracy).

The franchise is the cornerstone of American democracy. We all must ensure that those who are entitled to the franchise exercise it if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of election fraud or voting rights concerns during the voting period that ends on November 3, 2020, and to ensure that such complaints are directed to the appropriate authorities, U.S. Attorney Trutanich stated that AUSA/DEO Mickelson will be on duty in this District while the polls are open. She can be reached by the public at (702) 388-6336.

In addition, the FBI will have special agents available in each field office and resident agency throughout the country to receive allegations of election fraud and other election abuses on election day. The local FBI field office can be reached by the public at (702) 385-1281.

Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division in Washington, DC by phone at 800-253-3931 or by complaint form at https://civilrights.justice.gov/ .

Please note, however, in the case of a crime of violence or intimidation, please call 911 immediately and before contacting federal authorities. State and local police have primary jurisdiction over polling places, and almost always have faster reaction capacity in an emergency.

U.S. Attorney Trutanich said, “Ensuring free and fair elections depends in large part on the cooperation of the American electorate. It is imperative that those who have specific information about discrimination or election fraud make that information available to the U.S. Attorney’s Office, the FBI, or the Civil Rights Division.”

###

 

LAS VEGAS, Nev. – Ten individuals have been charged in the District of Nevada for their alleged roles in unemployment insurance fraud schemes, including charges for conspiracy, mail fraud, identity theft, and unlawful possession and use of fraudulently obtained unemployment debit cards.

U.S. Attorney Nicholas A. Trutanich of the District of Nevada; Special Agent-in-Charge Quentin Heiden of the U.S. Department of Labor Office of Inspector General (DOL-OIG), Los Angeles Region; Executive Special Agent-in-Charge John D. Masters of the U.S. Postal Service Office of Inspector General (USPS-OIG), Office of Investigations, Western Area Field Office; Special Agent-in-Charge Brian Spellacy of the U.S. Secret Service, Las Vegas Field Office; and Special Agent-in-Charge Aaron C. Rouse of the FBI, Las Vegas Field Office made the announcement.

“On behalf of the U.S. Attorney’s Office, we’re grateful for our law enforcement partners’ hard work and coordination in bringing to justice those who have taken unemployment funds —intended to help Nevadans who lost their jobs due to the pandemic — for their own illegal gain,” said U.S. Attorney Trutanich. “We will continue devoting the resources and skills to investigating and stopping fraudsters from stealing taxpayer dollars meant for out-of-work Nevadans.”

“These charges demonstrate the Office of Inspector General’s commitment to combating fraud against the Unemployment Insurance program, which has become increasingly prevalent amid the pandemic. We will continue to work with our law enforcement and state workforce agency partners to pursue individuals who seek to undermine the integrity of the Unemployment Insurance program,” said Quentin Heiden, Special Agent-in-Charge, Los Angeles Region, U.S. Department of Labor Office of Inspector General.

“Today’s indictment of Ms. Jasmine Black sends a clear message that Mail Fraud, Identity Theft, and Obstruction of U.S. Mail, committed by a Postal Service employee, carries very serious consequences. The public we serve can rest assured that the Postal Service OIG, U.S. Attorney’s Office, and our partner law enforcement agencies remain committed to safeguarding the integrity of the U.S. Mail and ensuring the accountability and integrity of U.S. Postal Service employees,” said John Masters, Executive Special Agent-in-Charge, U.S. Postal Service Office of Inspector General (USPS-OIG), Office of Investigations, Western Area Field Office.

“The US Secret Service will continue to work with law enforcement and private partners to prioritize the investigative work required to combat a new wave of COVID-19 related fraud,” said Brian Spellacy, Special Agent-in-Charge, U.S. Secret Service, Las Vegas Field Office.

"Unfortunately the victims of these crimes are the unemployed citizens who are relying on these benefits to take care of their families; feeding them and keeping a roof over their heads. The FBI will continue working with our law enforcement partners to stop those who gain financially at the expense of taxpayers," said Aaron C. Rouse, Special Agent-in-Charge, FBI, Las Vegas Field Office.

According to the six federal criminal complaints announced today:

• Jasmine-Royshell Kanisha Black  (32, of Las Vegas, Nevada) is charged with one count of conspiracy to commit mail fraud, one count of aggravated identity theft, and one count of obstruction of mail. As alleged in the complaint, Black was employed as a U.S. Postal Service mail carrier and assisted Vincent Okoye — previously charged in a federal indictment — with his scheme to fraudulently obtain unemployment benefits from the Nevada Department of Employment, Training & Rehabilitation (DETR) and the Arizona Department of Employment Services (DES). Black used her position as a mail carrier to help Okoye find straw addresses to which fraudulently obtained debit cards could be sent. She then intercepted and delivered those cards to Okoye in person. Debit cards recovered from a search of Okoye’s residence, car, and person had been approved for at least $460,000 in benefits by DETR and DES.
• Delashaun Dean  (31, of Austin, Texas) is charged with one count of possession of counterfeit and unauthorized access devices and one count of identity theft. As alleged in the complaint, on October 3 and 5, 2020, Dean possessed at least 15 California Employment Development Department (EDD) debit cards containing unemployment insurance benefits issued in other people’s names. The debit cards in Dean’s possession had been approved for at least $220,000 in benefits by EDD.
• Kenneth Greenland  (39, of Northridge, California) Brittany Griesel (37, of Santa Cruz, California), and Paul Naeger (37, of Spring, Texas) are each charged with one count of conspiracy to effect illegal transactions with access devices and one count of aggravated identity theft. In addition, Greenland and Griesel are charged with one count of illegal transactions with access devices. As alleged in the complaint, during a traffic stop in Las Vegas on August 8, 2020, law enforcement officers recovered eight EDD debit cards in other peoples’ names and $45,000 in cash in a car driven by Greenland in which Griesel was a passenger. According to bank records, Greenland and Griesel used those EDD debit cards at ATMs in Las Vegas and California, while Naeger used one of the debit cards found in the car to make calls while he was incarcerated in Texas. The debit cards recovered during the traffic stop had been approved for at least $250,000 in benefits by EDD.
• Joseph Holmes  (21, of Fort Lauderdale, Florida) and Emelio Rochester (24, of Tallahassee, Florida) are each charged with one count of conspiracy to possess counterfeit and unauthorized access devices and one count of aggravated identity theft. As alleged in the complaint, during a traffic stop in Las Vegas on September 28, 2020, Holmes and Rochester possessed at least 17 EDD debit cards issued in the names of other people. During a search of a car Rochester was driving in which Holmes was a passenger, officers recovered almost $90,000 in cash. The debit cards recovered during the traffic stop had been approved for at least $385,000 in benefits by EDD.
• Antwine D. Hunter  (33, of Las Vegas, Nevada) is charged with one count of mail fraud and one count of aggravated identity theft. As alleged in the complaint, on September 28, 2020, while executing a search warrant at Hunter’s residence, law enforcement officers recovered at least eight DETR debit cards and at least 15 identification cards in other people’s names. The debit cards recovered during the search had been approved for at least $215,000 in benefits by DETR.
• Keheir Jordan Parker  (24, of Victorville, California) and Robert Barber (24, of Lawrenceville, Georgia) are each charged with one count of conspiracy to effectuate illegal transaction with an access device and one count of aggravated identity theft. As alleged in the complaint, during a traffic stop in Las Vegas on September 11, 2020, law enforcement officers recovered 12 EDD debit cards issued in other peoples’ names, along with ATM receipts showing use of the debit cards in Las Vegas and California to make withdrawals totaling $6,400. Officers also located more than $10,000 in cash on Parker, on Barber, and in the car. The debit cards recovered during the traffic stop had been approved for at least $150,000 in benefits by EDD.

A total of five of these defendants are in custody, three of which are currently in state custody at Clark County Detention Center on state charges. Two other defendants have made arrangements through their attorneys to self-surrender tomorrow morning. Black, Greenland, and Griesel are expected to make their initial court appearances in U.S. District Court in Las Vegas on October 16, 2020, all before U.S. Magistrate Judge Daniel J. Albregts. Naeger made his initial court appearance today in U.S. District Court in the Southern District of Texas. Dean, Rochester, and Hunter are currently in custody at Clark County Detention Center and will make their initial appearances in U.S. District Court in Las Vegas at a date to be determined later.

The minimum statutory penalty for aggravated identity theft is two years in prison. The maximum statutory penalty for mail fraud is 20 years in prison; for possession of counterfeit and unauthorized access devices, 10 years in prison; for illegal transactions with an access device, 15 years in prison; and for obstruction of mail, five years in prison. The maximum fine for each of these charges is $250,000. The minimum and maximum statutory sentences are prescribed by Congress and are provided here for informational purposes only.

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

These cases are the products of investigations by the DOL-OIG, USPS-OIG, and U.S. Secret Service, with assistance from the Las Vegas Metropolitan Police Department, the FBI, the U.S. Postal Inspection Service, and the Nevada Attorney General’s Office. These cases are being prosecuted by Assistant U.S. Attorney Jim Fang.

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

For information about COVID-19 fraud, visit the Department of Justice’s website at https://www.justice.gov/coronavirus and the National Unemployment Fraud Consumer Protection Guide at /media/1093226/dl?inline for prevention tips.

###

 

 

LAS VEGAS, Nev. – An American citizen was charged in two indictments unsealed this week for his alleged participation in an investment fraud scheme in which he allegedly misappropriated $6.1 million in investor-funds, manufactured evidence to mislead an investigation by the Securities and Exchange Commission (SEC) and concealed the proceeds of his fraudulent scheme from the IRS.

Mykalai Kontilai, aka Michael Contile, 51, formerly of Las Vegas, Nevada and New York, New York, was charged by sealed grand jury indictment on June 3, 2020, in the District of Nevada with one count of securities fraud, six counts of wire fraud, six counts of laundering of money instruments, one count of money transaction in property derived from specified unlawful activity, and four counts of willful failure to file tax returns.  Kontilai was also charged by sealed grand jury indictment on March 10, 2020, in the District of Colorado with one count of conspiracy to obstruct proceedings, two counts of obstruction of proceedings, one count of tampering with documents, and two counts of false statements.  Arrest warrants have been issued, however, Kontilai is believed to have traveled to Russia to avoid prosecution.  The FBI has also released a

“Wanted” poster to facilitate his arrest.

The

District of Nevada indictment alleges that from 2012 through 2018, Kontilai lured investors into giving him money to start an e-commerce auction business.  The indictment further alleges Kontilai falsely told investors that he invested millions of dollars of his own money in the business and was not taking “a dime of salary.”  According to the filing, Kontilai led bank officials to believe that money he withdrew was for business purposes when in fact it was for himself.  On one occasion alone he allegedly withdrew $770,000 in cash from a company bank account, not to purchase inventory for the company, but for his personal use.  He also allegedly used investor funds to purchase a Cadillac with the vanity tag, “MYKALAI,” and to pay for private school tuition and rent on luxury homes throughout the country.  Kontilai is also charged with failing to file tax returns for tax years 2015 through 2018 when he was engaged in this scheme.

The

District of Colorado indictment alleges that Kontilai covered up his theft by providing false testimony, and altering and manufacturing documents in an SEC investigation.  Among other things, Kontilai is alleged to have tampered with a bank statement to substantiate his testimony that he loaned the company five million dollars and was justified in taking investor money to pay himself back.  The altered bank statement showed the company’s account with a balance of $4,999,065, when the actual balance at the time was $935.

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

This case was investigated by the Las Vegas Field Offices of the FBI and IRS Criminal Investigation Division with assistance from the Washington and New York Field Offices of the FBI.  Trial Attorney Emily Scruggs of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Tony Lopez of the U.S. Attorney’s Office for the District of Nevada are prosecuting the case.  The U.S. Attorney’s Office for the District of Colorado, the Justice Department’s Tax Division, and the Justice Department’s Office of International Affairs also provided assistance.

The Fraud Section plays a pivotal role in the Department of Justice’s fight against white collar crime around the country.

Individuals who believe that they may be a victim in this case should contact the FBI’s Las Vegas Field Office.

###

 

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich today announced $1,617,954 in Department of Justice grants to improve services for crime victims in the District of Nevada. The grants, awarded by the Department’s Office of Justice Programs, are part of over $144 million distributed to enhance the district's response to victims of crime throughout the United States.

“The Department of Justice is steadfast in its commitment to protecting public safety and bringing justice to those who have been victimized,” said Attorney General William P. Barr. “The investments we are making today will support service providers as they work to secure the legal rights of victims and put survivors of criminal acts on the road to recovery.”

“These grants will help keep survivors safe and provide additional resources for victim service providers in Nevada,” said U.S. Attorney Trutanich. “We appreciate the Department of Justice’s continued determination to assist victims and their families.”

“As lockdowns and lawlessness fuel crime in America’s homes and communities, more people are vulnerable to victimization and those who have been victimized face new hurdles,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “The Office of Justice Programs is committed to giving our victim service partners the tools they need to better serve their clients and protect victims’ rights.”

The awards made to organizations in the District of Nevada will advance the use of technology, improve community preparedness and law enforcement training and provide emergency and transitional shelter to assist victims of crime. Programs will also support victims of child abuse and fund research projects related to perpetrators and victims of elder abuse. Approximately $64.3 million was awarded under Office for Victims of Crime grant programs; over $54.1 million was awarded under Office of Juvenile Justice and Delinquency Prevention programs; over $19.9 million was awarded under Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering, and Tracking grant programs; and nearly $5.7 million was awarded under two National Institute of Justice grant programs.

The following organizations received funding:

Awardee

Award Amount

Washoe County Sheriff’s Office

$397,309

State of Nevada Division of Child and Family Services

$334,389

Shoshone-Paiute Tribes of the Duck Valley Indian Reservation

$390,575

Nevada Department of Public Safety

$345,681

Te-Moak Tribe of Western Shoshone

$150,000

More information about OJP and its components can be found at www.ojp.gov.

# # #

 

LAS VEGAS, Nev. – Today, the Department of Justice announced it has charged more than 14,200 defendants with firearms-related crimes during Fiscal Year (FY) 2020, despite the challenges of COVID 19 and its impact on the criminal justice process.

These cases have been a Department priority since November 2019 when Attorney General William P. Barr announced his commitment to investigating, prosecuting, and combatting gun crimes as a critical part of the Department’s anti-violent crime strategy. These firearms-related charges are the result of the critical law enforcement partnership between United States Attorneys’ Offices and the Bureau of Alcohol, Tobacco, Firearms and Explosives, led by Acting Director Regina Lombardo, who has made firearms-related investigations a priority.

“The number one priority of government is to keep its citizens safe,” said Attorney General Barr. “By preventing firearms from falling into the hands of individuals who are prohibited from having them, we can stop violent crime before it happens. Violating federal firearms laws is a serious crime and offenders face serious consequences.  The Department of Justice is committed to investigating and prosecuting individuals, who illegally buy, sell, use, or possess firearms. Reducing gun violence requires a coordinated effort, and we could not have charged more than 14,000 individuals with firearms-related crimes without the hard work of the dedicated law enforcement professionals at the ATF, our U.S. Attorneys’ Offices across the country, and especially all of our state and local law enforcement partners.”

“Protecting the public from violent crime involving firearms is at the core of ATF’s mission,” commented ATF Acting Director Regina Lombardo. “Every day the men and women of ATF pursue and investigate those who use firearms to commit violent crimes in our communities, many of whom are prohibited from possessing firearms from previous convictions. ATF, in collaboration with the U.S. Attorneys’ Offices across the nation, is committed to bringing these offenders to justice for their egregious and violent criminal acts.”

“Project Guardian — along with Project Safe Neighborhoods and our recent initiative, Project Veronica — is a cornerstone of our office’s violent crime reduction strategy,” said U.S. Attorney Trutanich. “To reduce gun violence in Nevada, we will continue prosecuting those who use firearms during a drug trafficking or violent crime offense; felons, domestic abusers, and others prohibited from possessing firearms and ammunition; and those who knowingly buy guns for prohibited persons.”

“Protecting the public is at the forefront of ATF’s mission,” said Special Agent in Charge Patrick Gorman, San Francisco Field Division, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). “In November 2019, the United States Attorney General announced the launch of the Project Guardian initiative. The initiative focuses on ATF’s central role to combat gun violence. Project Guardian leverages three long-standing pillars of ATF’s comprehensive violent crime reduction strategy, which are the close collaboration between ATF, the U.S. Attorney’s Offices and our law enforcement partners, as well as vigorous prosecution of federal firearms laws and the robust use of crime gun intelligence. Since the start of the Project Guardian initiative, the San Francisco Field Division has worked diligently with our partners to reduce gun violence in our local communities and will continue to advocate the comprehensive use of our National Integrated Ballistic Information Network (NIBIN), firearm tracing and Crime Gun Intelligence Centers by our local, state, and federal partners. We will also continue to deploy our investigative resources strategically and stay intensely focused on our core mission of investigating violent criminals and the firearm traffickers and straw purchasers that arm them.”

Of the more than 14,200 cases charged, over 130 cases have been brought by the District of Nevada, announced U.S. Attorney Trutanich.

Under federal law, it is illegal to possess a firearm if you fall into one of nine prohibited categories including being a felon, illegal alien, or unlawful user of a controlled substance. Further, it is unlawful to possess a firearm in furtherance of a drug trafficking offense or violent crime. It is also illegal to purchase – or even to attempt to illegally purchase - firearms if the buyer is a prohibited person or illegally purchasing a firearm on behalf of others. Lying on ATF Form 4473, which is used to lawfully purchase a firearm, is also a federal offense. The Department is committed to prosecuting these firearms offenses as well as using all modern technologies available to law enforcement such as the National Integrated Ballistic Information Network, known as NIBIN, to promote gun crime intelligence. Keeping illegal firearms out of the hands of violent criminals will continue to be a priority of the Department of Justice and we will use all appropriate, available means to keep the law-abiding people of this country safe from gun crime. 

For more information on the lawful purchasing of firearms, please see: https://www.atf.gov/qa-category/atf-form-4473.     

###

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich today announced a Department of Justice grant of nearly $500,000 to reduce recidivism among adults and juvenile offenders returning to their communities in Nevada after confinement. The grant, awarded by the Department’s Office of Justice Programs, is part of more than $92 million in funding to support reentry efforts throughout the United States.

This award represents the President’s and the Department of Justice’s commitment to assisting people in America’s prisons and detention facilities who have earned the opportunity to take their places back in society.

“Former offenders are ultimately responsible for their own successes and failures, but our criminal and juvenile justice systems have an important role to play in preparing them for the obstacles that lie before them,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “I’m very pleased to make these resources available to help them get back on their feet and contribute to the prosperity of their communities and the betterment of our nation.”

“This grant will help offenders successfully reenter our Nevada communities,” said U.S. Attorney Trutanich. “We appreciate the Department’s Office of Justice Programs’ commitment to reducing recidivism and helping individuals break out of the cycle of repeated offenses, both in Nevada and across the country.”

The reentry and recidivism reduction grants awarded will help communities develop and implement comprehensive strategies to address the challenges posed by reentry and recidivism; support reentry services for detained juveniles and incarcerated parents with children under the age of 18; and support research and evaluation programs to advance understanding about reoffending.

Through the Bureau of Justice Assistance’s Adult Reentry and Employment Strategic Planning Program, more than $4.7 million has been awarded to 11 recipients to develop a strategic plan for integrating correctional and employment programming. In Nevada, the Department of Corrections received $499,835 in grant funds.

For a complete list of individual grant programs, award amounts, and jurisdictions that will receive funding, visit: https://www.ojp.gov/sites/g/files/xyckuh241/files/media/document/reentryfactsheet.pdf. More information about OJP and its components can be found at www.ojp.gov.

###

 

LAS VEGAS Nev. — A man made his initial appearance in federal court today for impersonating a law enforcement officer during a May 2020 protest relating to the death of George Floyd, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Patrick Gorman of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).

Zachary Sanns, 28, of New Jersey, is charged with one count of false personation of an officer or employee of the United States. U.S. Magistrate Judge Cam Ferenbach scheduled a jury trial before U.S. District Judge James C. Mahan on November 30, 2020.

According to court documents, during a protest in downtown Las Vegas on May 30, 2020, Sanns — who is not a sworn law enforcement officer — wore: (a) a tactical vest with magazine pouches and tactical patches identifying him as a federal law enforcement officer; (b) a ballistic helmet with night-vision goggles; (c) a gun belt with a pistol with an extended magazine; and (d) a Taser. In addition, Sanns had an AR-15 style rifle with an optic magnifier.

Throughout the course of the evening, the protest became boisterous, including towards officers. Sanns pretended to be a Special Agent of the Department of Homeland Security Investigations, an employee of the State Department, and a Department of Defense contractor. Further, Sanns falsely stated that he was a federal law enforcement officer and a federal agent, and sought to assist the Las Vegas Metropolitan Police Department’s response to civil unrest.

Sanns faces a statutory maximum sentence of three years in prison and a $250,000 fine. He also faces a period of supervised release, restitution, and monetary penalties.

An indictment merely alleges that crimes have been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is the product of an investigation by the ATF. Assistant U.S. Attorney Christopher Burton is prosecuting the case.

###

 

LAS VEGAS, Nev. — An Arizona resident pleaded guilty yesterday to sexually assaulting a woman on the Fort Mohave Indian Reservation in Laughlin, announced United States Attorney Nicholas A. Trutanich for the District of Nevada.

Richard Hernandez, 25, of Fort Mohave, Ariz., pleaded guilty before U.S. District Judge Richard Boulware II to one count of aggravated sexual abuse. A sentencing hearing has been scheduled on January 14, 2021.

“Native American women have experienced unacceptably high rates of violence, including sexual assaults and physical attacks,” said U.S. Attorney Trutanich. “Our office will continue supporting and working closely with our tribal partners to bring perpetrators to justice, and increase public safety at all tribal communities within our district.”

According to court documents and admissions made in court by Hernandez, on or about September 24, 2018, he hit a woman with his fists to coerce her to engage in a sexual act with him. As a result of the assault, the victim suffered multiple facial abrasions and contusions, ear pain, bleeding to the head, and loss of consciousness with a concussion, all of which required medical treatment at a hospital.

Hernandez faces a maximum statutory penalty of life in prison and a $250,000 fine. The sentencing of a defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.

This case was the product of an investigation by the FBI and Fort Mohave Tribal Police Department. Assistant U.S. Attorneys Bianca Pucci and Penelope Brady are prosecuting the case.

###

 

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich today announced $886,256 in Department of Justice grants to develop and improve systems to register and track sex offenders in the District of Nevada. Awarded by the Department’s Office of Justice Programs, these grants help states, U.S. territories, and tribal communities register and track sex offenders and enable them to meet the requirements of the Sex Offender Registration and Notification Act (SORNA). Funds will also help maintain the Dru Sjodin National Sex Offender Public Website.

“Citizens are better protected from sexual violence when jurisdictions follow SORNA’s standards,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “The Office of Justice Programs is committed to giving state, territory and tribal officials the resources they need to register and track sex offenders and prevent known threats in one community from posing new dangers to others.”

“These new grants will improve public safety in our district and across the country, helping law enforcement track sex offenders as they move into and out of Nevada,” said U.S. Attorney Trutanich. “Our office and our law enforcement partners are grateful to the Office of Justice Programs for continuing to provide resources for us to better serve our communities.”

OJP’s Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering and Tracking (SMART Office) is awarding approximately $16 million to jurisdictions across the country to develop and enhance programs designed to implement the provisions of SORNA. The SMART Office is awarding almost $800,000 to provide training and technical assistance to jurisdictions implementing SORNA standards. The U.S. Center for SafeSport will receive the $2.3 million Keep Young Athletes Safe grant to continue developing a comprehensive training and prevention program to prevent abuse in the athletic programs of the U.S. Olympic & Paralympic Committee and related sports organizations. The SMART Office will award nearly $1 million to the Institute for Intergovernmental Research to support maintenance, operations and technological improvements for the Dru Sjodin National Sex Offender Public Website, NSOPW.gov, which links state, territorial and tribal public registry websites and allows the public to search for registered sex offenders on a national scale.

“Our mission at the SMART Office is to help our state, tribal and territorial partners register and provide notification to the public of sex offenders within their jurisdictions,” said Kendel Ehrlich, Director of the SMART Office. “We will continue to provide both law enforcement and the public with the tools they need to better inform and protect their communities and themselves.”

The following organizations received funding:

•           Nevada Department of Public Safety received $345,681

•           Shoshone-Paiute Tribes of the Duck Valley Indian Reservation received $390,575

•           Te-Moak Tribe of Western Shoshone received $150,000

More information about OJP and its components can be found at www.ojp.gov.

# # #

 

RENO, Nev. — An alleged member of a bank robbery crew, who was wanted by law enforcement for a bank robbery in Carson City, made his initial appearance yesterday in Reno federal court, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.

Antron Dwayne Mouton, 29, of Houston, Texas, is alleged to be a member of a bank robbery crew that traveled to Nevada to rob ATMs. He was indicted by a grand jury in June 2020, with one count of conspiracy to commit bank robbery and one count of bank robbery. Mouton absconded from authorities and remained a fugitive until his arrest on July 31, 2020 in Sealy, Texas, by the FBI’s Criminal Apprehension Team.

According to the indictment, on July 29, 2019, Mouton and two co-conspirators drove behind a worker who was servicing an ATM in Carson City. They intimidated and ordered the worker to move away from the ATM. Mouton and his co-conspirators then stole the money in the ATM and drove away.

Mouton faces a statutory maximum sentence of 20 years in prison and a $250,000 fine. He also faces a period of supervised release and restitution.

An indictment merely alleges that crimes have been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is the product of an investigation by the FBI and Carson City Sheriff’s Office. Assistant U.S. Attorney Megan Rachow is prosecuting the case.

###

A Las Vegas, Nevada, man was sentenced to 70 months in prison for conspiracy to commit mail and wire fraud, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman, U.S. Attorney Nicholas A. Trutanich for the District of Nevada, and Internal Revenue Service-Criminal Investigation Special Agent in Charge Tara Sullivan.

On Aug. 22, 2018, a federal jury in Las Vegas found Terry Williamson guilty of conspiracy to commit mail and wire fraud, in violation of 18 U.S.C. § 1349.

The evidence at trial proved that Williamson played a leading role in a mail and wire fraud conspiracy from January 2009 through April 2011. As part of the scheme, Williamson’s co-conspirators filed false tax returns with the IRS to fraudulently obtain tax refunds. They used the names and social security numbers of deceased taxpayers in order to facilitate the fraud.

To handle the fraudulently obtained refund checks, Williamson opened a bank account using the business name Refund and Rebates Management Inc. (Refund and Rebates). After Williamson or his compatriots deposited the refund checks into the Refund and Rebates bank account, Williamson transferred large amounts of cash to his personal account and to the accounts of his co-conspirators, and used the remaining funds in the account for his own personal enrichment, including a $60,000 fully loaded pick-up truck. More than 480 fraudulent tax refund checks totaling almost $2 million were deposited into Williamson’s account.

In addition to the term of imprisonment imposed, U.S. District Judge Miranda Du ordered Williamson to serve one year of supervised release.

Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Trutanich commended special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorney Sarah Kiewlicz of the Tax Division and AUSA John Mulcahy (former Tax Division Trial Attorney), who prosecuted the case.

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

LAS VEGAS, Nev. – A Las Vegas, Nevada, man was sentenced to 70 months in prison for conspiracy to commit mail and wire fraud, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman, U.S. Attorney Nicholas A. Trutanich for the District of Nevada, and Internal Revenue Service-Criminal Investigation Special Agent in Charge Tara Sullivan.

On Aug. 22, 2018, a federal jury in Las Vegas found Terry Williamson guilty of conspiracy to commit mail and wire fraud, in violation of 18 U.S.C. § 1349.

The evidence at trial proved that Williamson played a leading role in a mail and wire fraud conspiracy from January 2009 through April 2011. As part of the scheme, Williamson’s co-conspirators filed false tax returns with the IRS to fraudulently obtain tax refunds. They used the names and social security numbers of deceased taxpayers in order to facilitate the fraud.

To handle the fraudulently obtained refund checks, Williamson opened a bank account using the business name Refund and Rebates Management Inc. (Refund and Rebates). After Williamson or his compatriots deposited the refund checks into the Refund and Rebates bank account, Williamson transferred large amounts of cash to his personal account and to the accounts of his co-conspirators, and used the remaining funds in the account for his own personal enrichment, including a $60,000 fully loaded pick-up truck. More than 480 fraudulent tax refund checks totaling almost $2 million were deposited into Williamson’s account.

In addition to the term of imprisonment imposed, U.S. District Judge Miranda Du ordered Williamson to serve one year of supervised release.

Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Trutanich commended special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorney Sarah Kiewlicz of the Tax Division and AUSA John Mulcahy (former Tax Division Trial Attorney), who prosecuted the case.

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

###

 

LAS VEGAS, Nev. — A Las Vegas resident who admitted to receiving and distributing child pornography over Kik Messenger with other users was sentenced today by U.S. District Judge James C. Mahan to eight years in federal prison to be followed by lifetime supervised release, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.

Dustin Randall, 25, pleaded guilty in December 2019 to one count of receipt of child pornography and one count of distribution of child pornography. In addition to the terms of imprisonment and supervised release, Randall will be required to register as a sex offender and comply with all requirements under the Sex Offender Registration and Notification Act, as well as follow applicable registration requirements imposed by state law.

According to court documents, between June 10 and 12, 2017, Randall — using Kik user account “dustinwr31” — traded numerous child pornography files with another Kik user, “funnseeker24.” Funnseeker24 sent Randall five cloud storage links containing hundreds of images and videos of child pornography, and Randall sent Funnseeker24 two links containing over a hundred files of child pornography.

The charges resulted from an investigation by the FBI's Internet Crimes Against Children Task Force and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorneys Bianca Pucci and Christopher Burton prosecuted the case.

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

###

LAS VEGAS, Nev. – Today, the Department of Justice announced it has charged more than 500 domestic violence cases involving firearms during Fiscal Year (FY) 2020. A Department priority since 2019 when Attorney General William P. Barr created the Department of Justice’s first ever-Domestic Violence Working Group, these charges are the result of the critical law enforcement partnership between United States Attorneys’ Offices and the Bureau of Alcohol, Tobacco, Firearms and Explosives, led by Acting Director Regina Lombardo, who has made domestic violence firearms-related investigations a priority.

“Keeping firearms out of the hands of dangerous criminal offenders is one of the Department of Justice’s top priorities,” said Attorney General Barr. “This is especially important when it comes to individuals with prior domestic violence convictions. The statistics are clear that when domestic violence offenders have access to guns, their partners and their families are at much greater risk of falling victim to gun violence. In fact, in some communities across America, roughly half of the homicides are related to domestic violence. The Department of Justice is committed to keeping guns out of the hands of those who are prohibited from having them, and we will continue investigating and prosecuting all domestic violence firearms related crimes.”

“According to the CDC, data suggests that about one in six homicide victims are killed by an intimate partner,” said ATF Acting Director Lombardo. “Nearly half of female homicide victims in the U.S. are killed by a current or former male intimate partner. ATF is committed to aggressively pursuing prohibited possession of firearms due to domestic violence convictions and certain protective orders. It is another way we prevent violent gun crime within our communities.”

Over the past year, the U.S. Attorney’s Office for the District of Nevada has charged 32 firearms cases related to domestic violence, announced U.S. Attorney Nicholas A. Trutanich. Those cases encompass matters where federal firearms charges arose from the defendant’s arrest during a domestic violence incident, cases where the defendant previously had been convicted of a domestic violence offense and/or was subject to a domestic violence protective order, and matters in which the charging document references domestic violence in the defendant’s criminal history.

“With appreciation for additional resources provided by the Department of Justice, our office is making a renewed push to prosecute domestic violence offenders who illegally possess guns,” said U.S. Attorney Trutanich. “I am honored to represent the District of Nevada on the Domestic Violence Working Group, and prioritize these critical cases through Project Veronica. Along with our law enforcement partners, our combined efforts are targeted to preventing domestic violence fatalities, as well as holding accountable individuals who are prohibited from possessing firearms.”

Under federal law, individuals with domestic violence misdemeanor and felony convictions, as well as individuals subject to domestic violence protective orders, are prohibited from possessing firearms. The data shows that offenders with domestic violence in their past pose a high risk of homicide. In fact, domestic violence abusers with a gun in the home are five times more likely to kill their partners.

The Working Group, chaired by U.S. Attorney Erin Nealy Cox, of the Northern District of Texas, disseminates legal guidance on keeping guns out of the hands of domestic violence abusers using three federal statutes:

• 18 USC § 922 (g)(1), felon in possession of a firearm
• 18 USC § 922 (g)(9), possession of a firearm by a prohibited person (misdemeanor crime of domestic violence)  
• 18 USC § 922 (g)(8), possession of a firearm while subject to a domestic violence protective order

Based on the Working Group’s guidance, in FY 2020, U.S. Attorneys’ Offices nationwide brought 337 domestic violence felon-in-possession charges, 54 possession while subject to a protective order charges, and 142 possession by a prohibited person charges.

For more information on domestic violence or to get help, visit the National Domestic Violence Hotline website or call 1-800-799-SAFE (7233).

###

LAS VEGAS, Nev. – U.S. Attorney Nicholas A. Trutanich and Special Inspector General for Pandemic Recovery Brian D. Miller announced today that the U.S. Attorney’s Office for the District of Nevada has entered into a Memorandum of Understanding (MOU) with the Office of the Special Inspector General for Pandemic Recovery (SIGPR).

“This partnership with SIGPR will help our district continue to carry out the critical work of stopping those who would take advantage of the $2.2 trillion CARES Act,” said U.S. Attorney Trutanich. “We look forward to working closely with SIGPR to, among other things, prosecute fraudsters who are preying on vulnerable individuals during these difficult times and hold accountable fraudulent profiteers.”

“This relationship is a critical step in protecting taxpayer dollars,” said Special Inspector General for Pandemic Recovery Brian D. Miller. “We join U.S. Attorney Nicholas Trutanich and his team to fight fraud, waste, and abuse involving taxpayer dollars appropriated by Congress in response to the pandemic. We will hold accountable and bring to justice those who improperly take or use such money, which is meant to support the Nation’s economic health and recovery.”

The purpose and mission of the MOU is to develop a cooperative effort to investigate and prosecute matters involving the making, purchase, management, and sale of loans, loan guarantees, and other investments made by the Secretary of the Treasury under the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020, and the management by the Secretary of the Treasury of any program established under the CARES Act, in order to achieve just results while using all criminal and civil resources efficiently.

The MOU outlines four objectives: (1) To provide a coordinated response to CARES Act funding fraud, with an emphasis on organized criminal activity, as well as criminal and civil fraud affecting federal money, vulnerable victims, and fraud recidivists; (2) To facilitate legal process, case intake, and swift prosecution of CARES Act-related fraud; (3) To link and associate isolated CARES Act-related complaints with larger schemes and related unlawful activity; and (4) To deter future CARES Act funding fraud through an enhanced awareness of successful criminal prosecution and civil enforcement against individuals and companies involved in CARES-related financial fraud.

Two Assistant U.S. Attorneys — one from the Criminal Division and one from the Civil Division — will serve as liaisons to the partnership between SIGPR and the U.S. Attorney’s Office. These AUSAs will be direct points of contact for case-related inquiries from SIGPR.

The MOU also calls for the U.S. Attorney’s Office to create a streamlined, accelerated process for SIGPR investigations to obtain needed preliminary legal process, including grand jury subpoenas and court orders, subpoenas, and civil investigative demands.

###