Western District of New York

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Troy Gillon, Jr., 25, of Lockport, NY, pleaded guilty to possession with intent to distribute, and distribution of, oxymorphone, possession with intent to distribute THC and marijuana, and maintaining a drug-involved premises before U.S. District Judge Lawrence J. Vilardo. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine. 

Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that on three separate occasions between October 26 and November 29, 2016, the Drug Enforcement Administration conducted controlled purchases of oxymorphone from the defendant. On December 16, 2016, a federal search warrant was executed at the Gillon’s residence on Dysinger Road in Lockport. Agents recovered 95 vials and five mason jars containing marijuana, eight oxycodone tablets, 113 marijuana tablets, various marijuana chocolate chip cookies and gummy bears.  In addition to the drugs, two packages of clear plastic baggies for drug distribution, a drug ledger containing drug distribution transactions, three digital scales, six  cellular telephones, a Micro SD sim card, a 14-karat gold diamond bracelet, and $2,243.65 in U.S. currency. The money and bracelet were acquired as illegal drug sales proceeds. The drugs seized from the house were for distribution in the community and the defendant maintained his home as a drug premises.
           
The sentencing is the result of an investigation by immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Kevin Kelly.  

Sentencing is scheduled for February 7, 2018, at 9:00 a.m. before Judge Vilardo. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Maria A. English, 28, of Rochester, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to conspiracy to commit bank fraud. The charge carries a maximum penalty of 30 years in prison and a fine of $1,000,000. 

Assistant U.S. Attorney Tiffany H. Lee, who is handling the case, stated that between November 2012 and September 2013, English and co-conspirator, Michael Debardlabon, using the names, social security numbers and dates of birth of two different Florida residents, obtained financing to purchase used automobiles, including an Infinity, a Lexus and a BMW. The funding was obtained through financial institutions such as ESL and Ally Financial. The Florida residents never authorized the financial transactions to occur.  In addition, on one occasion, the personal information of a third Florida resident was used to open an American Express card and charge air fare for English.

Michael Debardlabon was convicted and sentenced.

The plea was the culmination of an investigation on the part of the United States Postal Inspection Service, under the direction of Special Agent-in-Charge Shelly Binkowski, Boston Division, and the Rochester Police Department, under the direction of Chief Michael Ciminelli.

Sentencing is scheduled for February 26, 2018, before Judge Wolford.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
ROCHESTER, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Johnny Blackshell, Jr., 23, Rochester, NY, pleaded guilty to Hobbs Act Robbery and brandishing a firearm in furtherance of a crime of violence before U.S. District Judge Charles J. Siragusa.  The charges carry a mandatory minimum penalty of seven years in prison, a maximum of life and a $250,000 fine. 
 
Assistant U.S. Attorneys Douglas E. Gregory and Brett Harvey, who are handling the case, stated that on August 10, 2015, at approximately 3:20 a.m., Blackshell and co-defendant Joseph Lowry entered the 7-Eleven convenience store located on Lake Avenue in Rochester intending to rob both cash and goods. After entering the store, the defendant and Lowry jumped over the service desk and ordered the employees to the ground. Blackshell then pointed a silver handgun at the victim’s head and instructed the victim to open the cash register. Lowry took $80 in United States currency from the cash register. In addition to the money, Blachshell and Lowry took an unknown quantity of Newport Cigarettes, tobacco, chewing gum, and numerous rolls of New York State scratch-off lottery tickets. The two then left the store and ran eastbound towards Lake Avenue.  Several of the stolen lottery tickets were later redeemed, and attempted to be redeemed, as winners.  Blackshell received monies for the winning lottery tickets. 

Blackshell was previously sentenced in state court to life in prison without parole for the murders of Johnny Johnson, Raekwon Manigault, and Jonah Barley during a mass shooting outside the Boys & Girls Club of Rochester on August 19, 2015.

The plea is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division, the Federal Bureau of Investigation, under the direction of Special Agent–in-Charge Adam S. Cohen, and the  Rochester Police Department, under the direction of Chief Michael Ciminelli. 

Joseph Lowry was previously convicted and sentenced to 128 months in prison.

Sentencing is scheduled for February 6, 2018, at 10:00 a.m. before Judge Siragusa.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Brian Patterson, 25, of Rochester, NY, was convicted after a jury trial of possession of a firearm with a defaced serial number. The charges carry a maximum penalty of five years in prison and a $250,000 fine.

Assistant U.S. Attorney Charles E. Moynihan, who handled the prosecution of the case, stated that on September 7, 2015, Rochester Police Department officers were in the area of Dewey Avenue and Emerson Street investigating multiple calls regarding a fight. An officer saw the defendant standing in front of a corner store speaking with other people wearing khaki pants, and carrying a backpack but he was not wearing a shirt. The officer received information that a person fitting this description may have been involved in the fight. The defendant crossed the intersection of Dewey Avenue and Emerson Street and walked quickly into the building at 513 Dewey Avenue after turning and looking in the direction of police officers. Officers followed the defendant inside and found him at the top of a set of stairs but he was not wearing the backpack. Rather, Patterson had discarded the backpack out of sight from the officers by placing it around the corner on a landing leading to another flight of stairs.

Officers looked in the backpack and found a loaded .22 caliber semiautomatic rifle, along with a sweatshirt, a t-shirt and a belt. The serial number on the rifle was defaced by a deep scratch. Further, the barrel had been sawed off and the rifle stock was removed.   

The trial verdict is the result of an investigation by Rochester Police Department, under the direction of Chief Michael Ciminelli, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent- in-Charge Ashan Benedict, New York Field Division.

Sentencing is scheduled for January 10, 2018, at 3:00 PM before Judge David G. Larimer, who presided over the trial of the case.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that Daniel Molina Rios a/k/a Ponce, 43, of Buffalo, NY, who was convicted of conspiracy to possess with intent to distribute and distribution of 100 grams or more of heroin, was sentenced to 201 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr. In addition, Jose Andujar, 40, of Buffalo, NY, was sentenced to 188 months in prison for his role in the conspiracy.

Assistant U.S. Attorney Meghan A. Tokash, who handled the case, stated that between March 2014 and June 2015, the defendants conspired with Orlando Rios, Luis Montanez, and others to distribute heroin on the West Side of Buffalo. Rios headed and Andujar managed a wide-scale drug trafficking organization providing day-to-day supervision to several street-level dealers who used a series of cellular telephones to conduct daily heroin sales.

During the conspiracy, the defendants made at least six trips to the New York City area to purchase large quantities of heroin from a source of supply. They purchased at least 300 grams of heroin on each trip. In addition, during the conspiracy, the Buffalo Police Department and New York State Police conducted 66 undercover heroin purchases from individuals subordinate to Rios in the organization.

Rios exercised ultimate decision making authority and had complete authority over five or more other participants, including at least 10 drug “runners” who were responsible for coordinating sales for incoming customers and who contacted the drug trafficking organization on a “runner” phone each day. The defendant also maintained a premise at 74 Fillmore Avenue in Buffalo for distributing heroin. A search of that residence on June 18, 2015, recovered six cell phones, packaging materials for heroin, and $14,293.00, in U.S. currency representing the proceeds from heroin distribution.

Andujar, who maintained a premise at 620 Grant Street, Rear Lower in Buffalo for distributing heroin, also exercised decision-making authority over participants in the drug trafficking conspiracy. A search of that residence on June 18, 2015, recovered heroin, drug ledgers, and six cellular phones.

A total of 14 defendants have been indicted in connection with this case, eight have been convicted. Charges are pending against the remaining defendants. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

The sentencings are the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Major David Krause and Lieutenant Kevin Reyes, CNET West Commander; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.   

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Thaddeus Grice, 38, of Rochester, NY, who was convicted of sex trafficking of a minor, was sentenced to 240 months in prison by U.S. District Judge Elizabeth A. Wolford.

Assistant U.S. Attorney Melissa Marangola, who is handling the case, stated that in November, 2013, the defendant recruited a 16 year-old minor victim to engage in commercial sex acts and used Backpage.com for advertisement purposes. Between November and December 2013, Grice rented rooms at hotels in Henrietta and Rochester, NY, for the minor victim to meet with customers.

During that same time period, the defendant also coerced an adult victim to engage in commercial sex acts. Grice met the adult victim, a self-described heroin addict, in Rochester and used heroin to coerce the victim to work for him as a prostitute. Again, the defendant placed ads for the adult victim on Backpage.com and would rent hotel rooms at various locations for the adult victim to with clients and engage in commercial sex acts.  On at least one occasion, Grice threatened the adult victim with use of force and on at least one other occasion, hit the adult victim when she wanted to stop prostituting for him.

“Today’s significant sentence demonstrates this Office’s commitment to protecting the victims of human trafficking, especially where, as here, such victims are, as a result of their age or addiction, among the most vulnerable among us,” said Acting U.S. Attorney James P. Kennedy, Jr.  “We will continue to do all that we can to remove from our society those who perceive frailty in the human condition as something to be exploited in order to make money.”

"This sentence ensures that this predator will no longer be a threat to the young people in our community," said Special Agent-in-Charge Kevin Kelly of HSI Buffalo. "HSI will continue to work with our partners to bring sex traffickers to justice, while ensuring the survivors get the support they need to rebuild their lives."
           
The sentencing is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jeffrey Tomasik, 34, of Hamburg, N.Y., who was convicted of mail fraud, was sentenced to two years probation by Chief U.S. District Judge Frank P. Geraci Jr. As part of his sentence, the judge also ordered the defendant to donate 200 books to a school in need in the City of buffalo. 

Assistant U.S. Attorney Elizabeth R. Moellering, who handled the case, stated that the defendant ran a used textbook scheme. Tomasik rented textbooks from Amazon and other companies and then sold the textbooks on eBay. When the rental contract on the textbooks expired, the defendant ignored collection notices. Tomasik also made it difficult for the companies to find him by using aliases. The defendant used at least 20 online accounts with different email addresses to perpetrate the fraud.

The defendant also entered into a sizeable contract to sell used textbooks to victims in California.  After receiving an approximately $50,000 down payment on the contract via PayPal, Tomasik allegedly sent a single textbook and removed his bank information from his PayPal account so that the victims could not recoup their money. 

The sentencing is the result of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski of the Boston Division.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Anthony Weber, 35, of Grand Island, NY, was arrested and charged by criminal complaint with enticement of a minor. The charge carries a minimum penalty of 10 years in prison, a maximum of life and a $250,000 fine.

Assistant U.S. Attorney Jonathan Cantil, who is handling the case, stated that according to the complaint, in April 2017, a 15 year-old girl (Victim) began communicating with the defendant via Facebook. The Victim responded to an advertisement seeking workers for a week-long cleanup effort that would pay $10.00/hour. Over the course of two days, the Victim and Weber discussed the Victim possibly working for the defendant over the summer and Victim advised she was still in high school.

In subsequent conversations, Weber offered the victim alcohol, marijuana, and crack cocaine. At one point, Weber advised the Victim that he wanted to "try u or 1 of ur friends." The Victim replied "wdym" (what do you mean), and the defendant wrote, "If need some lovin." The Victim replied that she just wanted some drugs and did not want to have sex. Weber replied “that’s no good.”

In September of 2017, the City of Tonawanda Police filed a report and alerted the FBI Child Exploitation Task Force (CETF). On September 20, 2017, the CETF searched the Victim's phone with her and her mother's consent. CETF officers also assumed the Victim's online identity and began communicating with Weber who asked multiple times for pictures of the Victim. On October 11, 2017, the two agreed to meet at the 7-Eleven store on Hinds Street in Tonawanda. Later that day, the defendant, driving a car also occupied by his minor son (in the back seat), approached an individual he believed to be the Victim. Weber was taken into custody a short time later.

The defendant made an initial appearance U.S. Magistrate Judge Michael J. Roemer and was released on bond.

The criminal complaint is the result of an investigation by the City of Tonawanda Police, under the direction of Chief William Strassburg, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen.

The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Dustin Walker, 24, of Dunkirk, NY, pleaded guilty to conspiracy to commit bank fraud before U.S. District Judge Lawrence J. Vilardo. The charge carries a maximum penalty of 30 years in prison and a $1,000,000 fine. 

Assistant U.S. Attorney’s Trini E. Ross and Stephanie O. Lamarque, who are handling the case, stated that between February 2016 and October 2016, the defendant worked with co-defendants Sergiy Bezrukov and Mark Farnham at companies with various names such as “Corporate Restructure,” and “Salamanca Payroll Services.” Walker was the Chief of Security for Corporate Restructure, Inc., which operated out of office space in Salamanca, NY and Buffalo NY. The defendant had an office at the Salamanca location and was responsible for conducting employees’ background checks, electronic inventory and monitoring the security cameras in the facility.

Walker, Bezrukov and Farnham, along with others, used a number of fraudulent companies to mail solicitations to small business owners (Victims) which fraudulently informed the Victims that one or more of the fraudulent companies could assist the Victims with restructuring debts they had with other lenders.

Between the summer of 2016 until October 27, 2016, the defendant:

• opened multiple bank accounts at a number of banks, including Citizens Bank, Bank of America, Northwest Savings Bank and First Niagara Bank; • made daily deposits into the bank accounts opened at the aforementioned banks; • made daily withdrawals from the bank accounts at the aforementioned banks; • opened post office boxes which were used to receive Victims mail and to use as the return addresses on solicitation letters; and
• took calls from Victims who were upset and had questions about their “loan restructure.”

When talking with Victims over the telephone, the defendant used aliases and provided the Victims with information that was not true or accurate about the status of the purported loan restructure. Walker continued to deposit Victims monies into the account of a shell company that never provided any services withdrew the deposited money from such account.         

Charges are pending against Sergiy Bezrukov and Mark Farnham. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.  
The plea is the result of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski of the Boston Division; the Internal Revenue Service, Criminal Investigations Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office; and Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Kevin Kelly.

Sentencing is scheduled for February 2, 2018, at 2:00 p.m. before Judge Vilardo. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Kevin Theil, 53, of Corning, NY, pleaded guilty to possession of child pornography before U.S. District Judge David G. Larimer. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine. 

Assistant U.S. Attorney Melissa M. Marangola, who is handling the case, stated that between 2013 and December 16, 2016, the defendant possessed more than 300 images of child pornography on an Apple MacBook Pro laptop. Theil received the images over the internet. Some of the images depicted prepubescent minors and violence.

In November, 2016, the Ithaca Police Department was alerted by a cooperating witness (CW) that she knew a man from Corning who had a sexual interest in children. The CW told officers that Theil showed her naked images of young girls, approximately seven or eight years old, on his iPad. In addition, the CW stated that Theil admitted to her that he had previously sexually abused his niece on multiple occasions when she was approximately 14 years old. The CW further stated that on another occasion, Theil asked her to facilitate a sexual encounter with a minor female.

On December 15, 2016, search warrants were executed at the defendant’s residence in Corning and at Theil’s lake house in Hammondsport, NY. Following the searches, a forensic examination of the defendant’s computer revealed 367 images of child pornography on Theil’s laptop.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen, the New York State Police, under the direction of Major Richard Allen, the Ithaca Police Department, under the direction of Chief Pete Tyler, the Steuben County Sheriff’s Department, under the direction of Sheriff James Allard, and the Albany Division of the FBI, under the direction of Special Agent-in-Charge Vadam Thomas.

Sentencing is scheduled for December 21, 2017, at 10:00 a.m. before Judge Larimer.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Damian Hicks-Bailey, 22, of Buffalo, NY, who was convicted of possession with intent to distribute, and distribution of, heroin, was sentenced to 96 months in prison by U.S. District Judge Richard J. Arcara.

Assistant U.S. Attorney Michael P. Felicetta, who is handling the case, stated that on July 1, 2015, the West Seneca, NY, Police Department responded to a 911 call from a woman screaming that her son was dead. Police officers responded and found an individual dead inside an apartment at 4175 Seneca Street. Officers recovered an uncapped hypodermic needle (next to the victim), a spoon with a dried white cotton ball/filter (next to the victim), and an empty plastic bag. The spoon and cotton ball later tested positive for heroin and the empty plastic bag contained the defendant’s DNA. The victim’s mother, who lived with her son, told officers she last spoke with her son the night before at approximately 9:30 p.m.

Officers subsequently reviewed a string of text messages on the victim’s cell phone during which he discussed purchasing drugs from an individual. The text messages led police to a 7-11 store on Seneca Street where surveillance images captured the defendant exchanging the drugs with the victim at around 1:30 a.m. on the day of his death.

The sentencing is the result of investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division and the West Seneca Police Department, under the direction of Chief Daniel Denz.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Brian Woodhams, 40, of Wayland, NY, who was convicted of making false statements to a federal agent, was sentenced to time served and one year supervised release by U.S. District Judge Lawrence J. Vilardo.

Assistant U.S. Attorney Mary C. Baumgarten, who handled the case, stated that since October of 2015, the defendant held a student pilot license issued by the Federal Aviation Administration (FAA).  Such license permitted Woodhams to fly an airplane with a flight instructor or by himself.  Under the license, if Woodhams flew with a passenger, then a flight instructor also had to be on board the airplane. 

On October 31, 2015, the defendant was involved in an accident while landing his Piper Cherokee 140 airplane at the Perry-Warsaw Airport in Perry, NY. The airplane veered to the right, and Woodhams over-corrected and hit the brakes, causing the nose of the plane to go into the ditch off the runway. At the time of the accident, there was a 15-year old boy on board as a passenger, but no flight instructor. 

On November 2, 2015, FAA Aviation Safety Inspectors viewed the defendant’s airplane at the Perry-Warsaw Airport. During a telephone conversation, Woodhams told inspectors that he had sustained a bloody nose and hurt his shin during the crash. The defendant also stated that he was the only occupant in the airplane at the time of the accident but that his son approached the aircraft immediately after the crash and slipped and fell as he climbed up the flap, hitting his nose and causing a bloody nose. 

Woodhams met with inspectors in person on November 4, 2015, and stated once again that he was the only occupant of the aircraft at the time of the accident and that his son arrived at the crash scene later. The defendant was told that a witness reported seeing his son in the aircraft but Woodhams again denied this fact. 

On November 10, 2015, the defendant submitted a Pilot/Operator Aircraft Accident/Incident Report to the National Transportation Safety Board (NTSB) and failed to report that there was a passenger on the plane who was injured during the accident.

On January 10, 2017, Woodhams was interviewed by a Special Agent of the U.S. Department of Transportation, Office of Inspector General, and FAA inspectors and stated once again that he was the only person on the plane at that time. When questioned concerning evidence developed during the FAA investigation that there was a passenger in the plane at the time of the crash, defendant denied that there was a passenger in the plane and he gave an alternative explanation that was untrue.

The sentencing is the result of an investigation by the Department of Transportation, Office of the Inspector General, under the direction of Special Agent-in-Charge Douglas Shoemaker and the Federal Aviation Administration, Rochester Flight Standards District Office, under the direction of Office Manager Carl Kohl. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Halima Mohamed, 35, of Buffalo, NY, who was convicted of theft of government funds, was sentenced to five months in prison and three years supervised release, to include five months home detention, by U.S. District Judge Lawrence J. Vilardo. In addition, the defendant was ordered to pay restitution totaling $130,188 to the U.S. Department of Health and Human Services and is prohibited from owning/operating a daycare facility for the duration of her sentence.  

Assistant U.S. Attorney Maura K. O’Donnell, who handled the case, stated that in February 2015, the defendant and her husband, Tariq Butt, opened Twinkle Stars Day Care Center in Buffalo. Between January 2016 and September 2016, Mohamed submitted hundreds of fraudulent claims to Erie County seeking reimbursement for daycare services purportedly provided by Twinkle Stars to children eligible for Child Care and Development Block Grant funds from the U.S. Department of Health and Human Services. The defendant knew that the children listed on the claims did not actually attend Twinkle Stars on the dates and times claimed, making the daycare ineligible for reimbursement. In total, between January 2016 and September 2016, Erie County paid Twinkle Stars approximately $130,188 for daycare services, which were never provided.

Tariq Butt has been convicted and is awaiting sentencing.

Today’s sentencing is the result of an investigation by the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent-in-Charge Scott Lampert, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Sean P. Doctor, 50, of Buffalo, NY, who was convicted of making a false statement under the Clean Air Act, was sentenced to one year probation and fined $2,000 by U.S. District Judge Richard J. Arcara.

Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that CEM, an environmental consulting company located at 1815 Love Road on Grand Island, provided consulting services to Doctor and his asbestos abatement company, S.D. Specialty Services, LLC. Pursuant to federal regulations, all owners or operators of an asbestos abatement project regulated under the Clean Air Act, must maintain a waste shipment manifest to include the name of the owner/operator; the name of the generator; and the date the asbestos was transported. The information enables the Environmental Protection Agency, which enforces the Clean Air Act and associated regulations, properly and timely to investigate suspected violations of the Clean Air Act. 

From December 2009, to January 2010, employees of S.D. Specialty performed asbestos abatement work at the Roosevelt Park Shelter in Buffalo, which was subject to regulations of the Clean Air Act. During the project, S.D. Specialty employees removed asbestos from the Roosevelt Park Shelter and transported the material to a waste container at CEM on Grand Island.

On March 11, 2010, Doctor and CEM executed an asbestos waste manifest which falsely indicated that asbestos had been transported to CEM from the Roosevelt Park Shelter on that date.  In truth and in fact, such asbestos had been transported to, and stored at, the Grand Island location prior to March 11, 2010. As such false statement was included in the shipping manifest created when a local waste disposal company retrieved the waste container at CEM on March 11, 2010, such false statement became part of a record required to be maintained under the Clean Air Act.

In addition, on April 28, 2011, an inspection of the Roosevelt Park Shelter revealed asbestos was improperly left behind by employees of S.D. Specialty.

CEM owner Raj Chopra and the company have both been convicted and are awaiting sentencing.

Today’s sentencing is the result of an investigation on the part of Special Agents of the U.S. Environmental Protection Agency - Criminal Investigation Division, under the direction of Special Agent-In-Charge Tyler Amon; and Investigators of the New York State Department of Environmental Conservation Police, BECI, under the direction of Captain Frank Lauricella.  Additional assistance was provided by the New York State Department of Labor, Asbestos Control Bureau.  

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Diane Cleversley, 68, of Williamsville, NY, who was convicted of theft of social security benefits, was sentenced to two years’ probation, to include one year home detention, by U.S. District Judge Richard J. Arcara.

Assistant U.S. Attorney Stephanie Lamarque, who handled the case, stated that the defendant failed to notify the Social Security Administration of her mother’s death in 2001.  As a result, social security checks continued to be issued and deposited into a joint savings account held by Cleversley and her mother. The defendant transferred funds from the joint savings account into her own checking account. Cleversley, a retired social worker, stole a total of $176,405 between July 2001 and February 2017. The government recovered $104,051 from the savings account and Cleversley has repaid the Social Security Administration restitution totaling $72,354.

The sentencing is the result of an investigation by the Office of the Inspector General of the Social Security Administration, under the direction of Special Agent-in-Charge John Grasso. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jennifer Courton, 30, of Buffalo, NY, pleaded guilty to conspiracy to possess with intent to distribute and to distribute fentanyl, before U.S. District Judge Richard J. Arcara. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.

Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that between July 2013 and May 2015, Brandon Coburn, a licensed nurse practitioner who was legally authorized to prescribe controlled substances, provided fraudulent prescriptions for fentanyl, oxycodone, oxymorphone, and amphetamine to nine co-defendants, including Courton. Those prescriptions were not used for legitimate medical purposes and instead were filled by the co-defendants and sold on the street in the Buffalo area. In addition to filling the illegal prescriptions, Courton also recruited other co-defendants to fill prescriptions written by Coburn.  In addition, some of the sales of the illegal narcotics were  made from Courton’s Vermont Street residence in Buffalo.  

To date, nine defendants charged in this investigation have been convicted. Charges are pending against Calvin Elston. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

Today’s plea is the result of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent-in-Charge, New York Field Division.

Courton is scheduled to be sentenced on February 21, 2018, at 1:00 p.m. before Judge Arcara.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Davor Goncin, 69, of Croatia, pleaded guilty to attempting to reenter the United States after a conviction for an aggravated felony, before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.

Assistant U.S. Attorney Stephanie Lamarque, who is handling the case, stated that on July 9, 2017, the defendant attempted to cross into the United States from Canada at the Rainbow Bridge.  Standard database checks revealed that Goncin was an aggravated felon.  In March 2013, the defendant was convicted of grand larceny in New York County and sentenced to 3-6 years in prison. After serving his sentence, the defendant was deported from the United States and banned for life.

The plea is the result of an investigation by United States Customs and Border Protection, under the direction of Director of Field Operations Rose Brophy, and the Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.

Sentencing is scheduled for February 16, 2018, at 1:00 p.m. before Judge Arcara.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
            BUFFALO, N.Y.—Acting U.S. James P. Kennedy, Jr. announced today that Matthew Smith, 31, of Buffalo, NY, who was convicted following a seven week jury trial of Racketeering Influenced Corrupt Organizations conspiracy, Murder in Aid of Racketeering and related offenses, was sentenced to life in prison plus five years by U.S. District Judge Richard J. Arcara.

            Assistant U.S. Attorney Joseph M. Tripi, who handled the prosecution of the case, stated that the defendant was a member of the 10th Street Gang which was responsible for multiple acts of violence and the trafficking of various controlled substances on Buffalo’s West Side. Specifically, Smith, directly or by helping his fellow gang members, participated in the murders of Brandon McDonald and Darinell Young and the attempted murders of six others.

            “Today’s sentence should send a message to those who view violence, drug dealing, and gang membership as the way to a better life,” said Acting U.S. Attorney Kennedy.   “That message—as we have witnessed first-hand on Buffalo’s West Side—is that a better life does indeed lay ahead for the law-abiding people who will remain in your community after you are arrested, tried, convicted, and permanently removed from it. I commend AUSA Tripi and the rest of his dedicated team who worked tirelessly for years to bring this highly impactful and successful prosecution. As a result of it, both the decent and law-abiding citizens of our City as well as the defendant will have the opportunity to live out their lives in precisely the type of community that each deserves.”

            The defendant was a member of the 10th Street Gang between 2000 and 2012 and participated in other acts of violence including assault, drug distribution and possession of firearms. Smith is one of 44 10th Street Gang members and associates charged and convicted in this case.     

            Today’s sentencing is the culmination of an investigation on the part of Special Agents of the FBI Safe Streets Task Force, under the direction of Special Agent-in-Charge Adam S. Cohen; the New York State Police, under the direction of Major Edward Kennedy; the Buffalo Police Department, under the direction of Commissioner Daniel Derenda; and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent in Charge Ashan Benedict, New York Field Division.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Michael Martin, 58, of Virginia Beach, Virginia, pleaded guilty to conspiracy to commit wire fraud before U.S. District Judge Elizabeth A. Wolford. The charge carries a maximum penalty of 20 years and a $250,000 fine.

Assistant U.S. Attorneys MaryEllen Kresse and Elizabeth R. Moellering, who are handling the case, stated that in March 2013, the defendant, operating as Capital Source Lending, LLC, agreed to work with co-defendant Christopher Venti, operating as Viewpoint Solutions Group and Secured Strategies LLC, on a fraudulent investment scheme involving multiple victims.

Victims who were interested in obtaining funding were solicited by Christopher Venti, and others. The solicitations involved false promises of, among other things, access to “blocked” bank accounts that purportedly contained the funds victims sought. Victims were required to make advance payments into escrow in order to establish the “blocked” bank accounts in their names. Victims were falsely and fraudulently told that the “blocked” bank accounts would contain 10 times the amount of funds placed in escrow, and would be accessible to the victims in approximately 30 days. The advance payments were to be released from escrow by the victim upon the victim’s confirmation that the “blocked” bank account had been established in the victim’s name.

Victims were given letters on bank letterhead that purported to confirm the existence of the “blocked” bank accounts. In reality, the defendant Martin, Venti, and others knew that the bank letters were fraudulent, and that the confirmation process established in the escrow agreements signed by the victims, was fraudulent. Pre-arranged numbers victims were instructed to call directed them to others involved in the scheme who falsely represented to victims that they worked at the respective bank and that they could confirm the existence of the claimed “blocked” bank account.

Defendant Martin and Venti attempted to obtain $1,240,000 from six individuals, two of whom sent the defendant and Venti a total of $300,000. Martin also admitted his involvement in two other fraudulent schemes, both involving false representations that Martin could obtain funding for the victims through the alleged “monetizing” of a bank instrument.  None of the defendant’s victims received the funds promised by the defendant.
Christopher Venti has been convicted for his involvement in this and other investment fraud schemes and is awaiting sentencing. 

Today’s plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen. 

Sentencing is scheduled for February 27, 2018, at 4:00 p.m., before Judge Wolford.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Randy Rance, 56, of Tonawanda, NY, was arrested and charged by criminal complaint with distribution and possession of child pornography. The charges carry a minimum penalty of five years in prison, a maximum of 20 years and a $250,000 fine.

Assistant U.S. Attorney Stephanie Lamarque, who is handling the case, stated that according to the complaint, in December 2016, the defendant distributed child pornography to an undercover investigator. In January 2017, the Town of Tonawanda Police Department seized Rance’s computer. Forensic examination determined that the defendant was in possession of hundreds of thousands of images of child pornography, some of which depicted prepubescent children less than 12 years of age.

The criminal complaint is the result of an investigation by the Town of Tonawanda Police Department under the direction of Chief Jerome Uschold, and the Federal Bureau of Investigation under the direction of Special Agent-in-Charge Adam S. Cohen.

The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Mohammed Akram, 29, of Rochester, NY, pleaded guilty to two counts of misbranding food before U.S. District Judge Elizabeth A. Wolford. The charges carry a maximum penalty of six years in prison and a $250,000 fine.  

Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that between November 2014 and April 2015, the defendant managed Best in the West, a convenience store located at 670 Jay Street in Rochester. On April 14, 2015, search warrants were executed at that location and at the apartment above the store, where Akram lived. Officers recovered $67,847 in United States currency and approximately 1,900 packets of suspected synthetic cannabinoids.

The defendant traveled to New York City to purchase and transport bulk quantities of 3-5 ounce packages containing green vegetable matter to Rochester. The packages were labeled “G-20,” “Bizarro,” “Mardi Gras,” “G10 Potporri,” “Mr. Happy,” “WTF,” “VooDoo,” “Remarkable Herbs,” “MR SIN,” “Scooby Snax,” and “Mad Hatter.” The green vegetable matter was laced with chemicals that were not authorized by law for human consumption.  The defendant, who claimed the packages were potpourri, offered the various packages of green vegetable matter for retail sale in the convenience store knowing that customers intended to ingest the green vegetable matter.

The plea is the culmination of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, New York, New York Field Division, and the New York State Police, under the direction of Major Richard Allen.

Sentencing is scheduled for January 29, 2017, before Judge Wolford.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Chaoyi Le, 28, of Shanghai, China, who was convicted of Lacey Act False Labeling, was sentenced to time served and fined $5,000 by Chief U.S. District Judge Frank P. Geraci, Jr. The defendant was also ordered to pay restitution totaling $3,518.75 to the U.S. Fish and Wildlife Service.

Assistant U.S. Attorneys Aaron J. Mango, Craig R. Gestring, and Melissa M. Marangola, who handled the case, stated that on April 22, 2014, the defendant sent seven ball pythons from Amherst, NY, to Shanghai, China through the U.S. Mail using the fictitious name “Ben Fan.” Le submitted a form falsely declaring that the package contained “Belts, Candy and Chocolate” with a value of $80. At the time the package was shipped, the ball pythons had an approximate value of $3,300. 

The package was recovered by the United States Fish and Wildlife Service (USFWS), and inspected on May 3, 2014. In addition to the seven live ball pythons, the package also contained cloth bags typically used to hold snakes, hand warmers which are typically used in shipping reptiles, and insulation material. Written on one of the cloth bags were trade names for ball pythons: “Enchi Ghost,” “Pastel Enchi Ghost,” and “Butter Enchi,” all common trade names for ball pythons color morphs. After discovering the pythons, the USFWS contracted with a wildlife expert to care temporarily for the pythons.

Le was stopped by Canadian border officials attempting to enter Canada on April 22, 2014, at which time three live albino western hog-nosed snakes were found hidden in his socks. The total value of the hog-nosed snakes was approximately $500. 

“As a result of this prosecution, those who engage in the black market trafficking of wildlife and exotic animals should consider themselves warned that they will not be permitted to slither out of responsibility for their wrongdoing,” said Acting U.S. Attorney James P. Kennedy, Jr. “Working with our law enforcement partners both at home and abroad, we will vigorously enforce those laws which seek to protect all forms of wildlife from those who threaten them through their illicit trafficking activities." 

“As this investigation shows, wildlife trafficking has no boundaries,” said Ed Grace, Acting Chief of Law Enforcement for the U.S. Fish and Wildlife Service. “International wildlife trafficking requires law enforcement across the globe to work together to catch and prosecute those who profit at the expense of imperiled wildlife. I would like to congratulate our special agents, and Canadian counterparts, who exposed a complicated transnational reptile smuggling scheme and brought this man to justice.”

The sentencing is the result of an investigation by the U.S. Fish and Wildlife Service, under the direction of Honora Gordon, Special Agent-in-Charge, Northeast Region; the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski of the Boston Division; and Investigators with Environment and Climate Change Canada, Wildlife Enforcement Division.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jerry Brown, 62, of Buffalo, NY, pleaded guilty to possession of a firearm in furtherance of drug trafficking and possession of a firearm with a defaced serial number before U.S. District Judge Richard J. Arcara. The charges carry a mandatory minimum penalty of five years in prison, a maximum of life, and a $250,000 fine. 

Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that on January 12, 2012, law enforcement officers observed the defendant and co-defendant, Guy Lightfoot, conduct a suspicious transaction outside of 1953 Falls Street in Niagara Falls, NY. Brown, who was in his vehicle when officers approached, attempted to flee which led to a car chase. When officers located the defendant’s vehicle, it was vacant. A search of the vehicle uncovered four rounds of 9mm ammunition and a quantity of cocaine and heroin. Officers then searched the surrounding area and located a 9mm, semi-automatic handgun bearing a defaced serial number, on a roof top in close proximity to the vehicle.  The defendant was located and arrested. The serial number on the firearm was restored using magnetic particle and chemical techniques. Investigation determined it was stolen from a private residence in Niagara Falls.

Guy Lightfoot was convicted of being a felon in possession of firearms and ammunition and sentenced to 24 months in prison.

The plea is the result of an investigation by the Niagara Falls Police Department, under the direction of Chief Bryan DalPorto, and Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in Charge Kevin Kelly.

Sentencing is scheduled for February 12, 2018, before Judge Arcara.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jeffrey Graham, 32 of Lackawanna, NY, pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, 280 grams or more of crack cocaine, before Senior U.S. District Judge William M. Skretny. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.

Assistant U.S. Attorney Michael P. Felicetta, who is handling the case, stated that between early 2014, and December 5, 2014, Graham conspired with several co-defendants to purchase and sell various amounts of crack cocaine from and to one another and to further distribute the crack cocaine on to various customers of theirs. Many of the transactions among the defendant, several co-defendants, and their customers occurred at or within 1,000 feet of the Gates Housing Projects in Lackawanna, NY owned by the Lackawanna Municipal Housing Authority. Graham maintained a premises to distribute crack cocaine in the housing projects.

In addition, on November 28, 2014, the defendant obtained 149 grams of crack cocaine, which was discovered later that day by Buffalo Police during a traffic stop of a vehicle in which Graham was a passenger. The cocaine base was discovered in the glove compartment directly in front of where the defendant had been sitting.

A total of 18 defendants were charged in this case, 11 have been convicted.

The plea is the culmination of an investigation by the Lackawanna Police Department, under the direction of Chief James Michel, the Federal Bureau of Investigation’s Safe Street’s Task Force, under the direction of Special Agent-in-Charge Adam S. Cohen, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.

Sentencing is scheduled for January 31, 2018, at 11:00 a.m. before Judge Skretny.                

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Travis Beckley, 63, of Miami, FL, who was convicted of attempt to possess with intent to distribute 50 kilograms or more of marijuana, was sentenced to 24 months in prison by U.S. District Judge Richard J. Arcara.

Assistant U.S. Attorney Wei Xiang, who handled the case, stated that on August 10, 2016, the defendant attempted to receive a shipment of approximately 145 pounds of high-grade marijuana. The marijuana was in individual bags, each weighing approximately one pound, all of which were packed into four barrels in three wooden crates. These crates were shipped from the State of Nevada to a storage locker located in Erie County, NY. Beckley traveled from Miami to Western New York, signed for the marijuana load, and was immediately arrested by law enforcement officers.

The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, and the Hamburg Police Department, under the direction of Chief Gregory Wickett.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, NY—Acting U.S. Attorney James P. Kennedy, Jr. announced today that John Kidd, 34, of Buffalo, NY, was arrested and charged by criminal complaint with possession with intent to distribute cocaine. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.

Assistant U.S. Attorney Meghan Tokash, who is handling the case, stated that according to the complaint, the defendant was on federal supervised release since April 25, 2017, after serving 70 months in prison for his February 2013 conviction on charges of possession with intent to distribute, and distribution of, cocaine and crack cocaine, and being a felon in possession of a firearm.

Suspecting that Kidd was involved once again in drug trafficking activities, on October 24, 2017, U.S. Probation Officers and the Drug Enforcement Administration searched the defendant’s residence and found multiple violations of Kidd’s conditions of release. Probation officers recovered two pounds of marijuana, three ounces of cocaine, a digital scale, drug packaging materials, and other drug paraphernalia. Officers and agents also found over $402,000.00 in US currency from drug proceeds, the amount of which reflects over 11 kilograms of cocaine.  In addition, shotgun shells were also found in the residence.

Kidd made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and was ordered detained. 

The defendant has a violation of supervised release hearing before U.S. District Judge Richard J. Arcara on November 22, 2017, at 9:00 a.m.

The criminal complaint is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division, and the U.S. Probation, under the direction of Chief Probation Officer Anthony San Giacomo.
 
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that the Catholic Health System, Inc. has agreed to pay $6,000,000 to resolve allegations that its subsidiary, Home & Community Based Care (formerly known as "Continuing Care"), violated the False Claims Act by submitting false claims to government health care programs.

Assistant U.S. Attorney Kathleen A. Lynch, who handled the case, stated that between January 1, 2007, and December 31, 2014, Catholic Health submitted or caused to be submitted, false claims to Medicare for rehabilitation therapy services. The services were provided by Catholic Health at long and short-term skilled nursing care and post-acute care facilities including Father Baker Manor, St. Francis Williamsville, and the McAuley Residence.

The services were administered to beneficiaries at levels that were unreasonable, not medically necessary, and unsupported by the medical records. Specifically, Catholic Health submitted false claims for payment related to Ultra High Resource Utilization Group (“RUG”) levels during the relevant time at these facilities. 

“A healthcare system that is infected with dishonesty is susceptible to one of the worst afflictions known to mankind—human greed,” said Acting U.S. Attorney James P. Kennedy, Jr. “Today’s settlement demonstrates our unwavering commitment to eradicating this cancer from our federal health care programs.”

“When health care companies charge federal government health programs for medically unnecessary services just to boost profits, taxpayers are victimized and the health care industry’s reputation takes a hit,” said Health and Human Services, Office of Inspector General, Office of Investigations Special Agent-in-Charge Scott J. Lampert.  “Our agency will continue to hold companies accountable for such greed-fueled schemes.”

Catholic Health System, Inc. was named as a defendant in a qui tam, or whistleblower, lawsuit brought under the False Claims Act, which permits private citizens to bring lawsuits on behalf of the United States and receive a portion of the proceeds of any settlement or judgment awarded against a defendant.

As part of the False Claims Act settlement agreement and in exchange for a release of OIG’s permissive exclusion authority, Catholic Health has agreed to enter into a five-year corporate integrity agreement with OIG.

The settlement is the result of an investigation by the Department of Health and Human Services, Office of Inspector General, Office of Investigations, under the direction of Special Agent-in-Charge Scott Lampert.

The claims resolved by these settlements are allegations only, and there have been no determinations of liability. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy Jr. announced today that Donte Lee, 44, of Buffalo, N.Y., who was convicted by a federal jury of being a felon in possession of a firearm and possession of marijuana, was sentenced to 54 months in prison by U.S. District Judge Richard J. Arcara.

Assistant U.S. Attorneys Michael J. Adler and Paul C. Parisi, who handled the prosecution of the case, stated that on November 3, 2015, members of the U.S. Marshals Fugitive Task Force turned onto Sherman Street off Genesee Street to execute an arrest warrant when they observed a large group of people scattering in all directions. Following a chase first on foot and then in a vehicle, Lee eventually attempted to drive through a vacant lot between Sherman Street and Fox Street where his vehicle crashed into a fence. The defendant got out of his vehicle and attempted to escape again on foot before he was ultimately arrested. Subsequently, officers recovered a 9mm pistol loaded with approximately 18 rounds of 9mm ammunition.   

Since 1992, the defendant has been convicted of three separate felonies in state and local courts and is prohibited from legally possessing a gun.

The sentencing is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Daniel Derenda, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jeremy Jorge, 21, of Buffalo, NY, was arrested and charged by criminal complaint with possession with intent to distribute and distribution of heroin, fentanyl, butyryl fentanyl, furanyl fentanyl, and U-47700. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.

Assistant U.S. Attorney Wei Xiang, who is handling the case, stated that according to the complaint, between December 2016 and October 2017, the defendant sold opioids on multiple occasions in the Buffalo area during controlled purchases by the Drug Enforcement Administration. In total, the DEA obtained several thousand dollars worth of opioids from Jorge. Variations of the drugs contained combinations of heroin, fentanyl, butyryl fentanyl, furanyl fentanyl, and U-47700.

The defendant made an initial appearance this afternoon before U.S. Magistrate Judge  Michael J. Roemer and is being held pending a detention hearing on October 31, 2017.

The criminal complaint is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.

The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
ROCHESTER, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Allan Watson, 36, of Rochester, NY, who was convicted of possession of a firearm in furtherance of a drug trafficking crime, was sentenced to 25 years in prison by U.S. District Judge Elizabeth A. Wolford. The defendant was also ordered to forfeit two firearms and rounds of ammunition seized at the time of his arrest.

Assistant U.S. Attorney Robert A. Marangola, who handled the case, stated that shortly after midnight on July 14, 2016, Rochester Police Department officers responded to a motor vehicle crash near the intersection of Hollenbeck Street and Belfour Drive in Rochester. During the crash investigation, officers directed Watson out of an SUV and, after a brief struggle with police, he was taken into custody. At that time, defendant had a loaded 9mm pistol, crack cocaine, and heroin packaged for street sale, as well as over $3,899 in cash.

The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief Michael Ciminelli, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, and the United States Marshal Service, under the direction of Charles Salina.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y. – Acting U.S. Attorney James P. Kennedy, Jr. announced today that Dashawn Abrams, 27, of Denver, CO, and Damarcus Hennings, 26, of Buffalo, NY, were sentenced to 51 months in prison and 78 months in prison respectively by U.S. District Elizabeth A. Wolford. Abrams was convicted of conspiracy to possess with intent to distribute, and to distribute, marijuana, and money laundering. Hennings was convicted of conspiracy to possess with intent to distribute, and to distribute, marijuana and possession of a firearm in furtherance of a drug trafficking crime.   

Assistant U.S. Attorney Laura A. Higgins, who handled the case, stated that between April 2015, and September 2015, the defendants conspired with Shaquata Hennings, Arthur Clark, Shahana Beaver, and Janice Humphrey, to ship, receive, and distribute more than 50 packages containing marijuana sent from Denver, Colorado, to Buffalo, New York. The defendants also conspired to send the cash proceeds from resulting marijuana sales back to their marijuana source of supply in Denver.

Shaquata Hennings, Shahana Beaver, Janice Humphrey and Arthur Clark have all been convicted.

The sentencings are the result of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent-in-Charge, New York Field Division.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jesus Rojas, 32, of Tonawanda, NY, was arrested and charged by criminal complaint with possession with intent to distribute, and distribution of, cocaine. The charge carries a maximum penalty of 20 years in prison, and a $1,000,000 fine.

Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that according to the complaint, between October 27, 2016, and October 12, 2017, the defendant sold cocaine to a confidential source working with law enforcement officers on four separate occasions. On October 23, 2017, officers executed a search warrant at Rojas’s residence on Military Road in Tonawanda and seized a quantity of marijuana.

The defendant made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and was released on conditions.

The complaint is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.

The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that Jeffrey Mills, 48, of Buffalo, NY, pleaded guilty to obstruction of justice before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of life in prison, and a $250,000 fine.

Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that on May 21, 2015, the defendant provided information to his parole officer, law enforcement officers and a prosecutor regarding two homicides and a robbery/kidnapping. Mills stated that he saw his cousin, Thamud Eldridge, run from the area where Sam Jones, Jr., aka Smokey, was murdered. The night Smokey was killed, Mills said that he was riding a bicycle on Bissell Avenue when he heard gunshots. The defendant then saw his cousin Eldridge run through the “cut” from Goodyear Avenue to Bissell Avenue, and get into a vehicle that was driven by Kevin Allen and depart the area. Mills also stated that he spoke with an individual who was also on Bissell Avenue and saw Eldridge toss a gun to the individual after the shooting and heard Eldridge ask that individual to “put that joint up,” meaning to hide the firearm. After the murder, the defendant said Eldridge left Buffalo and traveled to Atlanta, Georgia. After returning to Buffalo, Mills said Eldridge told him that he intended to rob Smokey and “everything went wrong,” meaning the defendant killed Smokey. The defendant also gave information about other criminal activity committed by Eldridge. At the conclusion of the interview, the prosecutor told the defendant that he would be called as a witness in the trial against his cousin Thamud Eldridge.

On January 6, 2016, the defendant met with the prosecutor and two law enforcement for pretrial preparation at which time he again recounted hearing gunshots and seeing his cousin Eldridge run through the “cut” from Goodyear Avenue to Bissell Avenue the night Smokey was killed.  At the conclusion of the pretrial preparation, the prosecutor once again told Mills he would be called as a trial witness.

On February 3, 2016, the prosecution called the defendant as a witness in United States v. Eldridge, et al. As U.S. Marshals Service deputies escorted Mills into the courtroom, the defendant walked by his cousin Eldridge and winked his eye at Eldridge and then sat on the witness stand. Mills refused to be sworn and told the Court that, “it wasn’t going to happen.”  The Judge cautioned the defendant about criminal contempt and Mills was assigned counsel. 

The following day, on February 4, 2016, the defendant took the stand again and agreed to take the oath. The prosecutor questioned Mills regarding the murder of Smokey but the defendant stated he could not remember. When confronted with information he previously gave, Mills testified falsely and feigned memory loss by repeatedly stating that he said he did not recall, did not remember and that he had no recollection of that day. The defendant willfully answered questions this way to impede the due administration of justice. 

The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict; and the New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci.

Sentencing is scheduled for February 7, 2018, at 1:00 p.m. before Judge Arcara.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Camp Street Gang member Tramell McGee, 34, of Buffalo, NY, who was convicted of possession with intent to distribute, and distribution of cocaine, was sentenced to 36 months in prison by U.S. District Judge Lawrence J. Vilardo.

Assistant U.S. Attorney Patricia Astorga, who handled the case, stated that the defendant was a member of the Camp Street Gang, which operates in the Camp Street area of the City of Buffalo and is believed to be responsible for the distribution of illegal narcotics including cocaine. Tramell McGee distributed cocaine between November 2015 and March 2016. During the investigation, the defendant sold cocaine to a confidential source working with the Federal Bureau of Investigation on four separate occasions. Each sale included 62 grams of cocaine for $2,500.  

The sentencing is the result of an investigation by the Federal Bureau of Investigation Safe Streets Task Force, under the direction of Special Agent-in-Charge Adam S. Cohen.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Shawn Peterkin, 40, formerly of South Carolina, who pleaded guilty to failing to update his sex offender registration status, was sentenced to time served (approximately 19 months) by U.S. District Judge Charles J. Siragusa.

Assistant U.S. Attorney Tiffany H. Lee, who handled the case, stated that Peterkin was convicted in 2011 in North Carolina of Taking Indecent Liberties with a Child and was required to register as a sex offender. In October 2014, the defendant relocated to South Carolina and completed the necessary registration offender. However, in June 2015, Peterkin failed to update his registration and South Carolina authorities issued a warrant for his arrest in November 2015. The U.S. Marshal’s Service found the defendant residing in Rochester, NY, in February 2016. When confronted, the defendant admitted to being wanted in South Carolina for failure to register as a sex offender as well as failing to register with any authorities in the State of New York.

The sentencing is the culmination of an investigation on the part of the United States Marshal’s Service, under the direction of United States Marshal Charles Salina.

CONTACT:      Barbara Burns

PHONE:         (716) 843-5817

FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Ramzi Shairi, 39, of Lackawanna, NY, pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, 100 kilograms or more of marijuana before U.S. District Judge Lawrence J. Vilardo. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 40 years and a $5,000,000 fine. 

Assistant U.S. Attorney Paul C. Parisi, who is handling the case, stated that between August 2012 and May 2013, the defendant conspired with others to distribute marijuana. During that time, Shairi, or another person at Shairi’s direction, rented vehicles in Western New York which were driven with large amounts of United States currency packed in the trunk to Denver, Colorado. In Denver, the money would be exchanged for quantities of marijuana, usually 50 or more pounds wrapped in one-pound vacuum-sealed bags which were placed in the vehicles to be driven back to Western New York. The marijuana would then be stored at a local apartment until the defendant, or others at the defendant’s direction, sold it.

On the morning of May 26, 2013, a gray Volkswagen bearing Illinois plates and a white Ford Fusion bearing New Jersey plates were travelling in tandem westbound on I-80, near Lincoln, Nebraska. A Nebraska state trooper conducted a traffic stop on the Volkswagen. A search of the trunk revealed three gift-wrapped packages containing $155,675 in U.S. currency. Meanwhile, the defendant, who was traveling in the Ford Fusion, continued driving. Vehicle rental records showed that an associate of the defendant rented the Ford Fusion on May 24, 2013, in Rochester, NY and turned it in on the evening of May 27, 2013, in Birmingham, Alabama.

The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division with assistance provided by the Nebraska State Police. 

Sentencing is scheduled for February 6, 2018, at 9:30 a.m. before Judge Vilardo. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

Buffalo, N.Y. – Acting U.S. Attorney James P. Kennedy, Jr. announced today that Dorothy Sellari, 61, of Williamsville, NY, pleaded guilty to theft of government property before U.S. District Court Judge Richard J. Arcara. The charge carries a maximum penalty of one year in prison and a fine of up to $100,000.

Assistant U.S. Attorney Brendan T. Cullinane, who is handling the case, stated that on July 10, 2015, the defendant was employed as a licensed practical nurse (LPN) at the Veterans Affairs Medical Center in Buffalo. Sellari unlawfully took, for her own use, a dose of hydromorphone (Dilaudid) prescribed for a patient. A VA Inspector General’s investigation determined that the defendant had previously taken and used “waste” amounts of medication prescribed for VA patients.

The plea is the result of an investigation by the United States Department of Veterans Affairs, Office of Inspector General, Criminal Investigations Division, under the direction of Donna L. Neves.

Sentencing is scheduled for February 5, 2018, at 9:00 a.m. before Judge Arcara.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Michael Kornaker, 46, of Jacksonville, NY, pleaded guilty to mail fraud and tax evasion before U.S. District Judge Richard J. Arcara. The charges carry a maximum sentence of 20 years in prison, and a $250,000 fine.

Assistant U.S. Attorney Trini E. Ross, who is handling the case, stated that between June 2014 and April 9, 2016, the defendant devised a scheme to defraud companies which were holding unclaimed funds. The funds were advertised on a website belonging to the California State Controller’s Office.

Specifically, Kornaker sent documentation of entitlement to unclaimed funds to the victim companies using false and fraudulent identities, including the name “Vinnie Sciarrino,” and entities, including “Insurance Marketing Resources.” Any funds received from victim companies were deposited into bank accounts maintained by the defendant.

In addition, between June 11, 2015, and November 9, 2015, Kornaker made a claim for unclaimed property held by Jackson National Life Insurance Company using the names Vinnie Sciarrino and Insurance Marketing Resources.

As part of the scheme to defraud, the defendant identified at least 113 companies and submitted fraudulent documentation to change the entity’s mailing address to addresses under his control in the Western District of New York. As a result, the defendant was paid in excess of $415,000 in funds to which he was not entitled.

In addition, for the tax years 2014 and 2015, Kornaker filed forms which substantially understated the amount of income he received by $416,786.73. The defendant claimed that his taxable income for those years was the sum of $43,554, and that the amount of tax due was $8,532. Kornaker’s actual taxable income was $509,986 and the amount of tax due was $165,065.

The plea is the result of an investigation by the United States Postal Service Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski; the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge James D. Robnett; and the New York State Department of Financial Services, Criminal Investigations Unit, under the direction of Superintendent Maria T. Vullo.

Sentencing is scheduled for February 7, 2018, at 12:30 p.m. before Judge Arcara.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that a federal jury has convicted Christopher Eberhardt, 34, of Ovid, NY, of distribution, receipt, and possession of child pornography. The charges carry a minimum sentence of five years in prison, a maximum of 20 years, and a $250,000 fine.

Assistant U.S. Attorneys Kyle Rossi and Craig Gestring, who handled the prosecution of the case, stated that Eberhardt was part of a network of more than 70 individuals engaged in the trade of child pornography. The network was first discovered by Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations (HSI) working in Hartford, Connecticut. Agents from the Buffalo, New York Field Office of HSI uncovered a digital trail, which led to the arrest the defendant.  In total, Eberhardt was found to be in possession of more than 2,000 images and 132 videos of child pornography. He was also found to have distributed child pornography to other individuals.  

The trial verdict is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the New York State Police, under the direction of Major Richard Allen. 

Sentencing is scheduled for January 23, 2017, at 2:15 p.m. before U.S. District Judge Charles J. Siragusa, who presided over the trial of the case.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Mark Gonzalez, 22, of Buffalo, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, heroin, was sentenced to time served (24 months) by U.S. District Judge Richard J. Arcara.

Assistant U.S. Attorney Meghan A. Tokash, who handled the case, stated that between July 2014, and September 28, 2015, the defendant became active in a heroin distribution organization headed by Daniel Molina-Rios. Gonzalez handled a phone provided to him by the organization to sell heroin. On five occasions, the defendant sold 28 bags of heroin to undercover officers. On each occasion, the undercover officer and Gonzalez would make contact by telephone to arrange a controlled purchase of heroin. The defendant utilized the phone provided to him by the drug trafficking organization.  Gonzalez was intercepted by law enforcement utilizing a phone to sell heroin to other individuals as well, during this time period.

The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Major David Krause and Lieutenant Kevin Reyes, CNET West Commander; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Colette Arne, 66, of Lockport, NY, pleaded guilty to possession with intent to distribute, and distribution of oxymorphone, a Schedule II controlled substance before Senior U.S. District Judge William M. Skretny. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.

  Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that between January, 2012 and January 6, 2014, the defendant sold oxymorphone to a confidential source working with law enforcement officers on two separate occasions at the defendant’s Applewood Drive residence. Following the second sale, Arne’s residence was searched with her consent. Officers recovered $20,200 in cash and empty prescription pill bottles. The prescriptions were issued to the defendant and her now-deceased husband.

The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division

Sentencing is scheduled for January 25, 2018, at 9:00 a.m. before Judge Skretny.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy Jr. announced today that Tina Brown, 42, of Bronx, NY, pleaded guilty to conspiracy to commit wire and mail fraud affecting a financial institution, before U.S. District Judge Frank P. Geraci, Jr. The charges carry a maximum penalty of 30 years in prison and a $1,000,000 fine.

Assistant U.S. Attorneys Elizabeth Moellering and Kathleen A. Lynch, who are handling the case, stated that between about June 2008 and February 2009, the defendant conspired with others to devise a scheme to commit mortgage fraud and obtain eight loans for unqualified borrowers for homes in the Bronx.

As part of the scheme, Brown used a relative to purchase a property located at 4087 Edson Avenue in the Bronx. The defendant falsely verified that the purchaser worked for her own company in order to fraudulently inflate the purchaser’s income so that she would qualify for a mortgage for that property. Brown knew that these false loan documents were submitted to The Funding Source, a mortgage bank, in order to secure a loan insured by the Federal Housing Administration. Based on that false application and supporting documentation, the loan was approved. The Funding Source sold the loan on the secondary market to M &T Bank, which wired funds from New York through the State of Ohio to purchase the loan.

The defendant and her co-conspirators arranged for additional fraudulent loans to be approved. These fraudulent transactions caused losses of approximately $1,752,994 affecting M&T Bank and other financial institutions including SunTrust Bank and Citibank.

Co-defendants Gregory Gibbons, a mortgage broker, Alagi Samba, a realtor, and Daniel Badu, have also been convicted on similar charges.
 
The plea is the result of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski, Boston Division, the Department of Housing and Urban Development, under the direction of Special Agent in Charge Brad Geary, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen.

Sentencing is scheduled for January 16, 2018, at 1:30 p.m. before Judge Frank P. Geraci.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that Harvey Peake, 61, of Canada, pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, 500 grams or more of cocaine before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 40 years, and a fine of $5,000,000.

Assistant U.S. Attorney Patricia Astorga, who is handling the case, stated that in 2013, Peake recruited co-defendant John Lambert to assist in the transporting of illegal narcotics for distribution. On October 3, 2016, Peake and Lambert traveled to the Seneca Buffalo Creek Casino in downtown Buffalo to hand off 10 kilograms of cocaine. The two men met briefly with a third individual in the casino and then walked towards the parking garage where Peake’s vehicle was parked. Lambert got into the driver’s seat and tapped the brake lights to signal their location to the third individual. Peake then opened the trunk of and removed a suitcase. The third individual pulled up next to the vehicle and Peake attempted to give the suitcase to the individual. Peake and Lambert were then arrested. Law enforcement officers seized the suitcase, which contained approximately 10 kilograms of cocaine.

Lambert has been convicted and is awaiting sentencing.

The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.

Sentencing is scheduled for February 8, 2018 before Judge Geraci.  

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-U.S. Acting Attorney James P. Kennedy, Jr. announced today that Panagiota Loukisas, 57, of North York, Ontario, Canada, pleaded guilty to bank fraud before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a maximum penalty of 30 years in prison and a $1,000,000 fine.

Assistant U.S. Attorney Elizabeth R. Moellering, who is handling the case, stated that in November 2014, the defendant opened accounts at five banks in Niagara Falls, NY. Loukisas deposited checks drawn on a Canadian bank account held by her company, PM Global Consulting Services, into these five accounts. The defendant then withdrew significant sums of money from the Niagara Falls bank accounts before the checks were returned to the banks for insufficient funds. Loukisas is accused of fraudulently depositing non-sufficient fund checks valued at more than $83,000 and withdrawing more than $52,000 from the accounts before the scheme was discovered.

The plea is the culmination of an investigation by Special Agents of the Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.

Sentencing is scheduled for January 16, 2018 at 11:30 a.m. before Judge Geraci

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Justin Vazquez, 30, of Buffalo, NY, who was convicted by a federal jury of damaging government property, was sentenced to 10 months in prison by Chief U.S. District Judge Frank P. Geraci. 

Assistant U.S. Attorney Michael J. Adler, who handled the case, stated that on October 20, 2016, during a status conference prior to trial on a firearm’s charge, Vazquez carved a vulgar obscenity into a wooden table in the courtroom of Chief Judge Geraci.  

In May of 2017, the defendant was convicted of the firearm charge and sentenced to 72 months in prison. Today’s 10 months sentence will be served consecutive to that sentence.

Today’s sentencing is the result of an investigation by the U.S. Marshal’s Service, under the direction of Marshal Charles Salina.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Christian Delgado, 27, of Rochester, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to possession with intent to distribute cocaine and possession of a firearm and ammunition by a convicted felon. The charges carry a maximum penalty of 20 years in prison and a fine of $1,000,000 or both. 

            Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that Delgado was arrested following the execution of a search warrant on September 13, 2016, at 734 Jay Street in Rochester. Upon entry, investigators detained the defendant, who was located on a bed in an open living area. Officers found three other people throughout the house.

            During the search, officers found a loaded Charter Arms .38 special caliber revolver inside a laundry basket in the front bedroom. Officers also found $365 cash on the nightstand in the front bedroom, along with heroin on a shelf in the bedroom and near the doorway. Inside a backpack found in the front bedroom, officers found cocaine and approximately two ounces of marijuana. Additional cocaine was discovered in the open living area near the bed on which the defendant was laying. Drug trafficking paraphernalia in the house as well. 

The plea is the result of an investigation by the Greater Rochester Area Narcotics Enforcement Team (“GRANET”), under the direction of Rochester Police Department Lieutenant David Gebhardt, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict.

Sentencing is scheduled for January 22, 2018, at 10:00 a.m. before Judge Wolford.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y. -- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Claude Taylor, 38, of Rochester, NY, pleaded guilty, before U.S. District Judge Elizabeth A. Wolford, to robbing the Lexington Federal Credit Union at 1275 Lexington Avenue in Rochester. The charge carries a maximum penalty of 20 years in prison, a fine of $250,000, or both.

Assistant U.S. Charles E. Moynihan, who is handling the prosecution of the case, stated that on May 5, 2016, Taylor entered the Lexington Federal Credit Union, waited in line and then passed a hand written note to a bank teller. The note, which was written on an envelope, demanded that the teller turn over $5,000. The defendant yelled, ordering the teller to “do it fast.”  Taylor also ordered a neighboring teller not to interfere. The bank teller turned over money, and Taylor ran from the bank. Subsequent investigation identified the defendant, and on May 22, 2017, Taylor was arrested by law enforcement officers. 

The plea is the culmination of an investigation on the part of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen; the United States Marshal’s Service, under the direction of Charles Salina; and the Rochester Police Department, under the direction of Chief Michael Ciminelli.
 
Sentencing is scheduled for January 22, 2017, at 10:30 a.m. before Judge Wolford.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Matthew Nix, 37, of Rochester, NY, and Earl McCoy, 36, of Brooklyn, NY, who carried out a series of violent home invasions in the Rochester, NY area, were sentenced to 155 years and 135 years in prison respectively by U.S. District Judge Elizabeth A. Wolford. The defendants were convicted following a federal jury trial of conspiracy to commit Hobbs Act robbery; attempted Hobbs Act robbery; Hobbs Act robbery; carrying and brandishing firearms during crime of violence; narcotics conspiracy; carrying firearms during drug trafficking crime; and possessing firearms as convicted felon.  

Assistant U.S. Attorneys Robert A. Marangola and Everardo A. Rodriguez, who handled the prosecution of the case, stated that the defendants were the leaders of a group of criminals who engaged in armed home invasions of individuals they believed were drug dealers, as well as a jewelry wholesaler in the Town of Greece. The group included Jecovious Barnes, Jessica Moscicki as well as McCoy’s younger brothers Clarence Lambert and Gary Lambert. All four have been convicted. Nix and McCoy identified and obtained information about victims and locations, brought accomplices to the locations, supplied firearms to accomplices, and distributed property stolen from home invasions. McCoy and other accomplices entered the locations brandishing firearms. They restrained the victims at gunpoint, and in some instances, bound them with plastic zip-ties and pistol-whipped them, demanding drugs and money. The defendants ransacked the residences, flipping over beds, yanking out drawers looking for large quantities of drugs and cash. They stole drugs, cash, cell phones, and even guns from locations. Nix, McCoy and their co-defendants also perpetrated the home invasion at the home of a jewelry wholesaler, stealing $200,000 in luxury watches, diamonds and cash. Specifically:

• On September 15, 2014, at a residence in Rochester, Clarence Lambert, Earl McCoy and Matthew Nix stole property from two victims against their will. Lambert and McCoy broke open a locked screen door to the residence, brandished firearms, and demanded money and drugs from the victims, who they mistakenly believed were drug dealers. The victims were zip-tied at gunpoint, and one was pistol-whipped while the defendants searched the residence. After finding no money or drugs, Lambert and McCoy stole a cell phone and fled the residence and the victims called the police.

• On September 18, 2014, Nix and McCoy brought Clarence Lambert and Jecovious Barnes to another residence in Rochester of what they believed to be a drug dealer. Nix and McCoy expected to find a stash of illegal pills and cash inside the residence. Lambert and Barnes stormed inside the location brandishing handguns and restrained the two victims at gunpoint, demanded money and drugs, and searched the residence. After finding no stash of money or drugs, Lambert and Barnes stole two cell phones and then left with Nix and McCoy, who were waiting outside. 

• On the morning of September 23, 2014, Nix and McCoy drove Clarence Lambert, Jecovious Barnes, and Jessica Moscicki another Rochester residence to break in and steal marijuana, heroin, cocaine, and cash. Lambert and Barnes, carrying a firearm, broke into the unoccupied residence and stole cash, marijuana, firearms and other items from inside.   

• On October 7, 2014, Nix and McCoy and their accomplices went to the home of a jeweler in the Town of Greece. The jeweler’s business involved buying and selling and luxury watches, all of which were made outside the United States. While Nix and McCoy waited nearby, their accomplices stormed the residence, carrying and brandishing at least one firearm and other weapons. They threatened to kill the jeweler and his wife and demanded money and access to the safe. The victims were pistol-whipped and sustained serious injuries. The men stole luxury watches, diamonds, jewelry and cash worth over $200,000 in total, including numerous men’s and ladies’ Rolex watches.  After fleeing the residence, the accomplices met Nix and McCoy and gave them the stolen property. Nix and McCoy paid their accomplices in cash and stolen watches. 

“There is a legal maxim which states that, ‘A man’s home is his castle,’” noted Acting U.S. Attorney Kennedy. “With today’s sentencings comes a corollary to that maxim, ‘If you violate the sanctity of the castle, then you will spend a long time in, if not the dungeon, federal prison.’ Thanks to the tremendous cooperative work done by our federal, state, and local partners, the citizens of Rochester and Monroe County, will hopefully rest a little easier knowing that these individuals won’t be around to break into their homes anytime soon.”

Today’s sentencings are the culmination of an investigation on the part of the Greece Police Department, under the direction of Chief Patrick Phelan; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Ashan Benedict; Special Agent-in-Charge, New York Field Division; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen; the New York State Police, under the direction of Major Richard Allen; and the Rochester Police Department under the direction of Chief Michael Ciminelli.

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

ROCHESTER, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jamar Thomas, 30, of Rochester, NY, who was convicted of conspiracy to encourage or induce an alien for private or commercial gain to reside in the United States in violation of law, was sentenced to one year in prison by U.S. District Judge David G. Larimer.

Assistant U.S. Attorney Craig R. Gestring, who is handling the case, stated that in October 2015, Homeland Security Investigations (HSI) received information from a confidential informant regarding an ongoing marriage fraud scheme involving Jamar Thomas and United States citizen (USC) females, based in Rochester.

Subsequent investigation determined that the defendant told a Confidential Informant, who was not a United States citizen, but a native and citizen of Nigeria, that he could arrange fraudulent marriages between non-citizen males and United States citizen females known to him. Thomas said non-citizen males could pay $5,000 to marry his female co¬conspirators in order to gain legal status in the United States.

Between November 2015, and September 2016, the defendant met with undercover federal agents and/or confidential informants in Rochester to discuss their sham marriage. Thomas introduced the undercover agents or confidential informants to his co-conspirators and they provided their name, address, date of birth, and telephone numbers so that the undercover agents or confidential informants could file the necessary immigration forms.

During these meetings, the defendant and the undercover agents or confidential informants discussed specific details of the sham marriage process and the ceremony. On at least two occasions, women working for Thomas got married at a Town Clerk's Office within the Western District of New York. On one occasion, the defendant was physically present and acted as a "witness" to one such wedding. However, unknown to Thomas, the Town Clerk who performed the ceremonies was actually an undercover law enforcement agent. Following the weddings, false immigration forms were prepared and mailed in support of applications to adjust the citizenship status of the new "spouses."

On at least one occasion, women working for the defendant accompanied the undercover agent to Buffalo and participated in an immigration interview with United States Citizenship and Immigration Services.

The undercover agents or confidential informants paid money directly to Thomas and his female co-conspirators for their roles in the sham marriages.

Also charged and convicted in this case:

• Khaaliqa Kegler-sentenced to three years probation to include six months home confinement; • Chimere Brooks-sentenced to two years probation; and
• Nadia Thomas-awaiting sentencing.

“Fittingly, defendant Thomas was sentenced on the same day and in the same federal courthouse in which over 50 individuals participated in a naturalization ceremony during which they became lawful U.S. citizens,” said Acting U.S. Attorney Kennedy. “The folks who participated in that Naturalization ceremony followed the rule of law and, in so doing, demonstrated a basic understanding of and respect for the fundamental idea that in America, with rights come responsibilities. By acting responsibly and following the rules, those individuals commendably walked out of the courthouse that day with all of the rights and privileges that come with citizenship to the United States. These fraudsters, on the other hand, who sought to circumvent the rule of law and essentially to sell the privilege of citizenship to our great Nation to the highest bidder, also left the courthouse with exactly what they deserved—federal criminal convictions and sentences which include terms of probation or imprisonment.”

“Marriage fraud undermines our nation’s legitimate immigration system and creates a potential vulnerability for law-abiding citizens,” said Kevin Kelly, Special Agent-in- Charge of HSI Buffalo. “Anyone who engages in marriage fraud is taking an illegal shortcut to U.S. citizenship. HSI will continue to aggressively investigate this type of criminal activity.”

The convictions in this case are the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, Child Exploitation Unit, under the direction of Special Agent-in-Charge Kevin Kelly. 

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. — Acting U.S. Attorney James P. Kennedy, Jr. announced today that following back-to-back jury trials completed in federal court in Buffalo late last week,  two members of the Schuele Boys Gang, Aaron Hicks and Roderick Arrington, both of Buffalo, NY, were convicted of crimes arising out of their involvement with that gang. On September 25, 2017, Schuele Boys Gang member Roderick Arrington was convicted on multiple counts including RICO conspiracy, murder in aid of racketeering, and attempted murder in aid of racketeering. Arrington shot and killed Quincy Balance on August 30, 2012. While Arrington was originally charged together with Hicks, Hicks’s case was severed from Arrington’s, and following Arrington’s trial, another jury heard Hicks’s case and convicted him of the charge of conspiracy to distribute marijuana. Marcel Worthy, a third Schuele Boys Gang member charged with Arrington and Hicks, was also recently convicted, upon his plea of guilty, for his role in the death of 16-year-old Kevin Gray in December 2006.  

In both cases, the trials were conducted and the convictions obtained by Assistant U.S. Attorneys Paul Parisi and Wei Xiang. While the jury in Arrington’s trial acquitted him of several counts with which he was charged and the jury in Hicks’s trial acquitted Hicks of one and was unable to reach a verdict on another of the counts against him, Arrington, like Worthy, is facing a maximum possible sentence of life in prison, while Hicks is facing 10 years in prison.

The Schuele Boys Gang, which operated in the Schuele Street area of the East Side of Buffalo, was responsible for multiple acts of violence and the distribution of illegal narcotics including cocaine, crack cocaine, and marijuana. Hicks, Arrington and Worthy are three of 28 Schuele Boys Gang members and associates arrested in this case. To date, 27 of the 28 defendants arrested have been convicted.

Additionally, convicted by guilty plea was one of the gang’s major cocaine and marijuana suppliers, Julio Contreras of Mission, TX. Contreras sent millions of dollars’ worth of drugs to Buffalo, and firearms and ammunition to Mexico.  On November 6, 2011, Drug Enforcement Administration agents arrested Schuele Boys member Letorrance Travis and two representatives/couriers of Contreras. Agents recovered approximately 24 kilograms of cocaine that had been delivered to or were destined for the Schuele Boys enterprise.  Agents also seized approximately $170,000 in U.S. currency from 34 Crossman Avenue in Buffalo. These funds were proceeds of the Schuele Boys’ cocaine trafficking.  Contreras and Travis were both convicted of racketeering conspiracy and face a maximum possible sentence of life in prison.

The verdicts are the culmination of an investigation on the part of the FBI Safe Streets Task Force, under the direction of Special Agent-in-Charge Adam S. Cohen; the Buffalo Police Department, under the direction of Commissioner Daniel Derenda; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; and the New York State Police, under the direction of Major Edward Kennedy. Additional assistance was provided by the Erie County District Attorney’s Office, the Edinboro University Police Department in Pennsylvania, the West Tennessee Judicial Drug Task Force, the City of McAllen, Texas Police Department, HSI Harlingen, Texas, and the FBI offices in Houston, Texas and Jackson, Mississippi.