Southern District of Ohio

CINCINNATI – A federal grand jury has charged Lorenzo Bratcher, 23, and Isaiah Buck, 21, both of Cincinnati, with conspiracy to commit robbery, robbery and use of a firearm during a crime of violence in an indictment returned in Cincinnati. Bratcher was also charged with possessing a firearm after being convicted of a felony offense.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Trevor Velinor, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Cincinnati Police Chief Eliot K. Isaac, Colerain Township Police Chief Mark Denney, Mount Healthy Police Chief Vincent L. Demasi and Norwood Police Chief William Kramer announced the charges.

 

The indictment alleges that between August 30 and September 6 the defendants committed nine robberies in Cincinnati. They include robberies at the United Dairy Farmers stores on Glenmore, Clifton, Hamilton and Woodford avenues and on Montgomery Road, as well as the Thornton’s Gas Station stores on West Galbraith and West North Bend roads.

 

Conspiracy to commit robbery is punishable by up to 20 years in prison. Use of a firearm during a crime of violence carries a potential sentence of seven years to life, or, in Bratcher’s case, a mandatory minimum of 25 years in prison up to life for a second offense. Possessing a firearm as a convicted felon is punishable by up to 10 years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by ATF and the local police departments, and Assistant United States Attorney Anthony Springer, who is prosecuting the case.

 

An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

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COLUMBUS, Ohio – Rick Kesterson, 37, of Glouster, Ohio was sentenced in U.S. District Court for unlawfully killing an Osprey in violation of the Migratory Bird Treaty Act. Under the Migratory Bird Treaty Act, it is unlawful to kill any migratory bird except as allowed by regulation.

 

Kesterson was sentenced to two years of probation. He was also ordered to pay $500 in restitution to the Ohio Department of Natural Resources, forfeit his hunting license, complete 52 hours of community service at Burr Oak State Park and be subject to random house inspections and drug testing.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and officials with the United States Fish and Wildlife Service, Office of Law Enforcement, and Ohio Department of Natural Resources (ODNR), Division of Wildlife and Franklin County Prosecutor Ron O’Brien announced the sentence handed down last week by U.S. District Judge Algenon L. Marbley.

 

According to court documents, Kesterson was observed striking an Osprey with a pipe after the Osprey was shot out of the air with a shotgun.

 

In April 2015, ODNR Division of Wildlife received a complaint on the Turn in a Poacher (TIP) hotline reporting the shooting of an Osprey. Eyewitnesses stated they were watching the bird with binoculars when they heard two shots and saw the Osprey fall from the air into a pond.

 

Kesterson was seen using a fishing line to retrieve the Osprey from the water. Kesterson then struck the Osprey with a stick or pipe and carried it down a dirt road into the woods.

 

Investigators found the Osprey partially submerged in a creek in the woods.

 

The following day, during the execution of a search warrant, investigators approached a residence belonging to Kesterson’s parents, in which Kesterson resides in the basement. Despite Kesterson’s mother telling authorities she was the only person home, investigators found Kesterson hiding in his bedroom, lying on the floor between two beds.

 

The residence was filled heavily with smoke that smelled like marijuana and it was later determined Kesterson saw the officers coming up the driveway and he attempted to burn a handful of marijuana in a wood burning stove with a propane torch. Investigators also found live marijuana plants, a large amount of marijuana drying and grow lights throughout the residence.

 

The Athens County Sheriff’s Office, Major Crimes Unit, obtained a separate search warrant for the narcotics and handled that aspect of this matter.

 

Kesterson was charged by criminal complaint in January 2017 and indicted by a federal grand jury in May 2017. He pleaded no contest to the charge today in federal court, and Judge Marbley found him guilty.

 

“This case came to fruition thanks to a call to 1-800-POACHER,” U.S Attorney Glassman said. “We encourage residents of the Southern District of Ohio to continue to report the illegal killing of wildlife so that we may hold individuals like Kesterson accountable for their actions.”

 

U.S. Attorney Glassman commended the cooperative investigation by U.S. Fish and Wildlife and Ohio Department of Natural Resources, as well as Assistant United States Attorney J. Michael Marous and Special Assistant United States Attorney Heather Robinson who represented the United States in this case. 

 

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COLUMBUS, Ohio – A federal grand jury has charged John E. Kelly, 62, of Columbus, with defrauding two employers out of approximately half a million dollars in an indictment returned here last week that was unsealed today.

 

Kelly was arrested yesterday in North Carolina by federal agents and will be transported to Columbus for future court proceedings.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS), Criminal Investigation, Angela L. Byers, Federal Bureau of Investigation (FBI), Cincinnati Division and Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service, announced the charges.

 

The indictment alleges that Kelly created and maintained a pair of sham business entities for the purpose of billing fake advertising invoices.

 

Beginning in February 2014, Kelly was employed as the Director of Driver Recruiting for CEVA Logistics, a supply chain company headquartered in Houston, Texas. The next year, he was employed in a similar role as Director of Fleet Recruitment for Container Port Group, Inc., headquartered in Cleveland. In both roles, Kelly was able to set up new advertising vendors for payment through his direct-report employees.

 

While employed at CEVA, Kelly allegedly had an employee add one of his fake businesses as an approved advertising vendor in CEVA’s accounting system. Kelly also allegedly created a fictitious alias – “Jess” – on behalf of the bogus advertising business.

 

“The indictment alleges that Kelly sent fraudulent advertising invoices from Jess’s email address to his own CEVA email address for advertising that did not exist,” U.S. Attorney Glassman said. “He’d then have CEVA mail the payment checks to a mailbox he established at a Pak Mail Store in Lewis Center.”

 

In total, Kelly allegedly created and submitted roughly 65 fraudulent advertising invoices to CEVA, tallying nearly $488,000.

 

Once employed at Container Port Group, it is alleged that Kelly continued the scheme by having an employee add a second sham business venture as an approved advertising vendor in the company’s accounting system.

 

He allegedly created a second alias – “Linda Rowe” – to communicate with himself and create fictitious advertising invoices.

 

Kelly allegedly created 13 false invoices through the scheme at Container Port Group and billed the business approximately $35,500. According to the indictment, he instructed his house cleaner to establish a pair of mailboxes on behalf of the second sham business at a UPS store in Delaware, Ohio. 

 

Kelly also allegedly attempted to conceal his true and accurate income from the IRS in calendar years 2014 and 2015. It is calculated that Kelly owes more than $155,000 in taxes.

 

Kelly is charged with eight counts of mail fraud, eight counts of money laundering and two counts of tax evasion. Mail fraud is a crime punishable by up to 20 years in prison; money laundering carries a potential maximum sentence of 10 years in prison and tax evasion is a crime punishable by up to five years in prison.

 

“John Kelly held very important positions in businesses that placed their trust in him, and he allegedly abused their trust by creating fake business and lining his own pockets with stolen advertising dollars,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.

 

U.S. Attorney Glassman commended the investigation of this case by IRS Criminal Investigation, the FBI and USPIS, as well as Assistant United States Attorney Noah Litton, who is prosecuting the case.

 

An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.

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CINCINNATI –James Denney, 30, of Cincinnati, was sentenced in U.S. District Court to 36 months in prison for aiding and abetting another individual in accessing child pornography.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Steve Francis, Special Agent in Charge, Homeland Security Investigations (HSI), announced the sentence handed down today by U.S. District Judge Susan J. Dlott.

 

Denney was charged by indictment in January for knowingly promoting a URL on the Dark Web containing child pornography.

 

According to investigators, Denney provided an undercover agent with web links to an online board featuring dozens of links to child pornography chat rooms, video/image board sites, as well as “community” support groups and online security advice for child pornographers.

 

Denney pleaded guilty in May. According to the Statement of Facts filed in support of his plea agreement, Denney used the Kik Messenger app to provide the undercover officer guidance on how to download and use a TOR web browser for the purpose of concealing online activities from law enforcement and others.

 

While communicating with the officer, Denney personally recommended sections of the online board including “Hurt Core” and “Toddler Videos.” Such images were of – among other things – toddlers and pre-teens being bound and raped by adults who represented themselves as parents of those children.

 

Denney was also sentenced today to eight years of supervised release, and he must also register as a sex offender and comply with state and federal laws regarding sex offenders.

 

U.S. Attorney Glassman commended the investigation of this case by HSI, and Assistant United States Attorney Karl P. Kadon, who is prosecuting the case.

 

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DAYTON – Zachery Van Meter, 21, of Brookville, Ohio, pleaded guilty in U.S. District Court to receiving child pornography.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Preble County Sheriff Michael L. Simpson and Perry Township Police Chief Bob Bowman announced the plea entered into before U.S. District Judge Thomas M. Rose.

 

According to court documents, Van Meter created a Kik messenger app account in July 2016. From that time until February 2017, Van Meter used Kik to receive images of child pornography from others and to communicate with others about the sexual exploitation of children.

 

During the course of these conversations, Van Meter took at least 15 photographs of clothed juveniles who were known to the defendant and sent these photographs to others in an effort to receive more child pornography files.

 

Van Meter received at least 30 sexually explicit photographs of children, including at least one that portrayed sadistic and/or masochistic conduct involving the binding of a child’s arms and legs by black material to a hook on the floor.

 

Receipt of child pornography is a federal crime punishable by a range of five to 20 years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, Preble County Sheriff’s Office and Perry Township Police Department, as well as Assistant United States Attorney Dominick S. Gerace, who is representing the United States in this case.

 

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Charges were unsealed today against two former executives of Rolls-Royce plc and its subsidiaries (Rolls-Royce), a former Rolls-Royce employee, a former intermediary for Rolls-Royce in Kazakhstan and an executive of an international engineering consulting firm – all for their alleged participation in a scheme to pay bribes to foreign government officials for the benefit of a U.S.-based Rolls-Royce subsidiary, including to secure a contract to supply equipment and services to power a gas pipeline from Central Asia to China.

Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, U.S. Attorney Benjamin C. Glassman of the Southern District of Ohio, Inspector in Charge Regina Faulkerson of the U.S. Postal Inspection Service’s Criminal Investigations Group, Assistant Director Stephen E. Richardson of the FBI’s Criminal Investigative Division and Assistant Director in Charge Andrew W. Vale of the FBI’s Washington Field Office made the announcement.

Petros Contoguris, 70, a citizen of Greece residing in Turkey, was charged by an indictment filed in the Southern District of Ohio on Oct. 12, and unsealed today, with one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA), one count of conspiracy to launder money, seven counts of violating the FCPA and 10 counts of money laundering.  Contoguris is believed to be outside of the United States.  James Finley, 66, a citizen of the United Kingdom residing in Taiwan, pleaded guilty on July 28, before Chief Judge Edmund A. Sargus Jr. of the Southern District of Ohio, to one count of conspiracy to violate the FCPA and one count of violating the FCPA.  Aloysius Johannes Jozef Zuurhout, 53, of the Netherlands; Andreas Kohler, 53, of Austria; and Keith Barnett, 48, of Houston, Texas, each pleaded guilty to one count of conspiracy to violate the FCPA before Chief Judge Sargus on June 13; June 6; and Dec. 20, 2016, respectively.

“The charges announced today against executives, employees, and third parties affiliated with Rolls-Royce, is another example of the Criminal Division’s commitment to holding individuals – and not just corporations – accountable for violating the FCPA,” said Acting Assistant Attorney General Blanco.  “Thanks to the coordinated efforts by our prosecutors and agents – working closely with their counterparts in Brazil and at the United Kingdom’s Serious Fraud Office, among others – these defendants, many of whom reside overseas, will face justice in this case, which represents another important step towards leveling the playing field for all ethical and honest businesses.”

 

“The charges unsealed today reflect the determination and ability of the United States to investigate and prosecute individuals who engage in foreign corrupt business practices, regardless of how sophisticated or far-flung the scheme may be,” said U.S. Attorney Glassman. “We can and will follow the evidence wherever it leads – from Columbus to Kazakhstan and beyond.”

 

“This type of sophisticated fraud scheme can cause immeasurable economic losses to competitive markets around the world,” said Inspector in Charge Faulkerson. “Anyone who engages in deceptive practices should know they will not go undetected and will be held accountable.  The U.S. Postal Inspection Service has an extensive history of successfully investigating complex fraud and corruption cases.  The collaborative investigative work conducted by Postal Inspectors and our domestic and international law enforcement partners illustrates our efforts to protect the United States and the international marketplace.”

 

“Today’s indictment and guilty pleas reveal that those associated with this corruption did knowingly conspire to break the law for their own personal gain,” said Assistant Director Richardson. “No one is above the law, so let today’s announcement be a warning to those who may try to perpetrate a similar scheme that the FBI will aggressively pursue those who attempt to bribe foreign officials for an unfair advantage in the global marketplace.”

 

“Today’s charges demonstrate the immense capabilities of the FBI’s Washington Field Office international corruption program and the global impact of the anti-corruption program,” said Assistant Director in Charge Vale. “The FBI is committed to holding accountable those who disrupt the level playing field to which companies in the United States and around the world are entitled.”

 

According to the indictment and informations unsealed today, Contoguris, the founder and chief executive officer of Gravitas & CIE. International Ltd. (Gravitas); Finley, a former senior executive in energy at Rolls-Royce; Barnett, a former regional director in energy at Rolls-Royce; Zuurhout, a former energy sales employee at Rolls-Royce; and Kohler, a managing director at an international engineering and consulting firm, and others, allegedly conspired to pay bribes to foreign officials in exchange for directing business to Rolls-Royce Energy Systems Inc. (RRESI).  RRESI was a U.S.-based indirect subsidiary of Rolls-Royce plc, the United Kingdom-based manufacturer and distributor of power systems for the aerospace, defense, marine and energy sectors.   

The indictment alleges that Contoguris, working with employees of an international engineering consulting firm (Technical Advisor), including Kohler, devised a scheme with Rolls-Royce executives and employees, including Zuurhout, Barnett and Finley, whereby Rolls-Royce would pay kickbacks to the Technical Advisor employees, and bribes to at least one foreign official, and disguise these payments as commissions to Contoguris’s company, Gravitas, in exchange for helping Rolls-Royce win contracts with Asia Gas Pipeline LLP (AGP). 

According to the indictment, AGP was created to build and connect a gas pipeline between Central Asia and China, and the Technical Advisor purported to provide independent engineering consulting advice and other services to AGP.  The indictment further alleges that after AGP awarded Rolls-Royce a contract in November 2009, worth approximately $145 million, Rolls-Royce made commission payments to Gravitas, and Contoguris then passed a portion of those commission payments onto the Technical Advisor employees knowing that they would share that money with a foreign official consistent with their corrupt agreement.

In pleading guilty, Finley, Barnett and Zuurhout admitted that they each participated in a conspiracy, going as far back as approximately 1999 and continuing into 2013, to engage commercial advisors who would use their commission payments from Rolls-Royce to bribe foreign officials in a number of countries to help Rolls-Royce secure an improper advantage and obtain and retain business with foreign governments and instrumentalities across the globe.

The charges announced today follow the announcement on Jan. 17, of a deferred prosecution agreement with Rolls-Royce plc and a more than $800 million total penalty as part of a global resolution to investigations by the Department of Justice and U.K. and Brazilian authorities related to the corrupt conduct.  The agreement acknowledged Rolls-Royce’s cooperation in this case, including with the Department’s investigation into individuals, and significant remedial measures.

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

The U.S. Postal Inspection Service and the FBI’s International Corruption Squad in Washington, D.C., investigated the case.  In 2015, the FBI formed International Corruption Squads across the country to address national and international implications of foreign corruption.  Trial Attorneys Kevin R. Gingras and Vanessa Snyder and Assistant Chief Ephraim Wernick of the Criminal Division’s Fraud Section, and Assistant U.S. Attorneys Michael J. Marous and Jessica Kim of the Southern District of Ohio are prosecuting the case. 

 

The Criminal Division’s Office of International Affairs provided significant assistance in this matter.  The United Kingdom’s Serious Fraud Office provided significant cooperation and assistance in this matter, as did law enforcement colleagues in Brazil, which both coordinated with the Department to reach simultaneous resolutions with Rolls-Royce.  The Department also thanks its law enforcement colleagues in Austria, Germany, the Netherlands, Singapore and Turkey.

 

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

COLUMBUS, Ohio – A federal grand jury has charged Michael (also known as Mickey) A. Prisley, 52, of Columbus, and Tawnya Writesel, also known as Tawnya Rutan, 38, of Columbus, with eight charges related to fraudulent tax claims and theft of government money in an indictment returned here Thursday and unsealed today.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Ryan L. Korner, Special Agent in Charge, Internal Revenue System (IRS) Criminal Investigation, Cincinnati Division, announced the charges.

 

The indictment alleges that Prisley and Writesel, along with others, conspired to submit false claims for income tax refunds.

 

Writesel would allegedly obtain the identification details of real people, including their names, social security numbers and dates of birth. Those individuals were then claimed as dependents, even though they were not actually dependents of the filers.

 

“Prisley allegedly received the tax refund checks into his bank accounts and then withdrew cash in order to pay his co-conspirators their shares,” U.S. Attorney Glassman said. “He received drugs and controlled substances in exchange for cashing the refund checks.”

 

It is also alleged that he provided others with false power of attorney forms so that his co-conspirators could cash fraudulently obtained tax refund checks without the listed taxpayer’s knowledge.

Prisley is a former assistant prosecuting attorney for Athens County.

 

“It is unfortunate that someone who was trusted to prosecute criminals is now on the other side of the table facing his own criminal allegations,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.

 

According to court documents, the defendants filed approximately 167 false and fictitious tax returns in order to obtain fraudulent refunds totaling roughly $901,500.

 

Co-defendants Amy K. France and Denard T. Nelson were also charged in relation to this case. France pleaded guilty in June 2016 to one count of conspiracy to submit false claims and one count of identity theft and was sentenced in January to 37 months in prison. France was also ordered to pay nearly $467,000 in restitution.

 

Nelson pleaded guilty in September 2015 to one count of identity theft and was sentenced in May 2016 to five years of probation. He was also ordered to pay more than $87,000 in restitution.

 

U.S. Attorney Glassman commended the investigation of this case by the IRS Criminal Investigation, and Assistant United States Attorney Jessica H. Kim, who is prosecuting the case.

 

An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.

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COLUMBUS, Ohio – Bobbie A. Holter, 53, of Racine, Ohio, was sentenced in U.S. District Court to 12 months in prison and six months of home confinement for theft by a bank employee.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the sentence handed down today by Chief U.S. District Judge Edmund A. Sargus, Jr.

 

According to court documents, Holter was an employee of The Citizens Bank of Logan in Athens, Ohio for approximately 10 years until her termination in February 2014. Holter served as Branch Manager and Teller Supervisor at the Walmart and Stimson Avenue branches.

 

A surprise audit was performed at the Walmart branch after a discrepancy in the ATM was discovered by a bank operations specialist. The audit showed that reports filed by Holter in the normal course of her duties prior to the audit did not match the amount of $20 bills dispensed by the ATM for various days.

 

Security footage for those days depicted Holter coming into the bank alone before the branch opened, removing the cash cassette from the ATM and then replacing it. Surveillance showed Holter conducting at least 24 such exchanges – each time alone, in the dark and before bank hours.

 

In total, a more thorough audit discovered 60 cash shortages totaling $318,400.

 

When she was interviewed by bank officials, Holter initially denied taking any money, but eventually said she was threatened and coerced into taking the money by a former supervisor who had sexually harassed and choked her. Further investigation by the FBI found no evidence to support this claim.

 

One week after being interviewed, Holter contacted bank officials and told them she found a bag of money at the end of her driveway. She met with the officials and turned over a bag containing $81,360 in $20 bills.

 

FBI forensic accountants conducted a financial analysis of Holter’s finances, taking into account all known sources of funds and known use of funds and determined her spending exceeded her income by nearly $150,000 for the period of time they examined.

 

Holter used money orders totaling nearly $43,000 to pay off her mortgage and deposited money orders into her bank accounts reportedly from the sale of puppies to individuals around the country. Research on the addresses of 15 of the puppy sales money orders revealed that 14 contained fictional addresses.

 

Holter pleaded guilty to one count of theft by a bank officer in April 2017. As part of her plea agreement, she has agreed to pay full restitution.

 

U.S. Attorney Glassman commended the investigation of this case by the bank officers and the FBI, as well as Assistant United States Attorney Jonathan J.C. Grey, who is representing the United States in this case.

 

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COLUMBUS, Ohio – A federal grand jury has charged Kevin R. Foster, 42, of Montclair, N.J. with charges related to a fraud scheme in a superseding indictment returned here today.

 

Foster was charged in an original, seven-count indictment in July 2016. This superseding indictment contains 10 counts – including additional wire fraud, money laundering and bankruptcy fraud charges – as well as a second victim.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the new charges.

 

This case stems from the prior prosecution of Thomas E. Jackson and Preston J. Harrison, who raised approximately $9 million from investors under false pretenses to start and market the sports beverage “OXYwater.” The two were convicted by a federal jury in March 2015 of multiple wire fraud, money laundering and tax fraud charges.

 

The charges against Foster allege that he, as the principal of his management/accounting firm, Foster & Firm, Inc., and as business manager for Shaffer Smith (“Ne-Yo”), induced Smith to invest $2 million into OXYwater under false representations.

 

Foster served as an officer or controller of Imperial Integrative Health Research & Development, LLC in Westerville, Ohio with Jackson and Harrison. Foster did not disclose that he served as a controller for the company or that he would earn commission based on investments.

 

Unbeknownst to Smith, Foster allegedly invested an additional $1.5 million of Smith’s money into the product without his consent and fraudulently took out $1.4 million in lines of credit under Smith’s name by forging his signature. It is alleged that Foster received approximately $250,000 in finder’s fees based on Smith’s investments into OXYwater and that Foster received additional money as a result of the unauthorized investments.

 

The superseding indictment also alleges that Foster defrauded a second celebrity client, Brian McKnight, as a way to secure money to help keep Imperial solvent.

 

“McKnight agreed to invest in the company, not knowing that Foster served as an officer/controller of Imperial,” U.S. Attorney Glassman said. “Foster allegedly withdrew more money from McKnight’s account than he had authorized, and failed to invest any of the money, but rather transferred it to one of Imperial’s business associates in order to help keep the business afloat.”

 

Foster also allegedly lied about disclosing the kickbacks during a deposition in Bankruptcy Court.

 

Foster was charged in the superseding indictment with four counts of wire fraud, five counts of money laundering and one count of bankruptcy fraud. Wire fraud is punishable by up to 20 years in prison, money laundering is punishable by up to 10 years in prison and bankruptcy fraud is punishable by up to five years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by the IRS Criminal Investigation and FBI, and Assistant United States Attorney Jessica H. Kim and Department of Justice Tax Division Trial Attorney Jason M. Scheff, who are prosecuting the case.

 

An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.

 

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COLUMBUS, Ohio – Sylvain Desjardins, 48, of Maribel, Canada, was sentenced in U.S. District Court to 96 months in prison and three years of supervised release for possessing 290 pounds of cocaine in a plane that went down near Athens, Ohio on March 29.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, announced the sentence handed down today by U.S. District Judge Algenon L. Marbley.

 

Law enforcement and other agencies involved in this case include: Homeland Security Investigations, U.S. Drug Enforcement Administration, Federal Aviation Administration, Ohio University Police Department, the Ohio University Airport, Athens County Sheriff’s Office, U.S. Customs and Border Protection Air and Marine Operations, Ohio National Guard Counter Drug Program, Ohio Bureau of Criminal Investigations, U.S. Homeland Security Investigations Attaché Office Montreal, Ohio High Intensity Drug Trafficking Area (HIDTA) Task Force, Royal Canadian Mounted Police, Canada Border Services Agency and Service de Police del la Ville de Montreal.

 

Desjardins and David Ayotte, 46, also of Maribel, Canada, pleaded guilty in May to one count of possession with intent to distribute more than five kilograms of cocaine.

 

Ayotte was sentenced to 63 months in prison and three years of supervised release on October 12.

 

According to the Statement of Facts filed in this case, on March 29, 2017, a U.S. Customs and Border Protection Air and Marine Operations center official in Riverside, Calif. detected an aircraft that departed from the Bahamas and was traveling to Windsor, Ontario, Canada but had diverted to Gordon K. Bush Airport at Ohio University.

 

The official contacted the Athens County Sheriff’s Office, who, along with agents from HSI, executed a search warrant on the plane upon arrival. While doing so, investigators discovered approximately 132 kilograms or 290 pounds of cocaine.

 

Desjardins was the pilot and Ayotte was his passenger. The two men intended on flying the cocaine to Canada to then distribute, but discovered that the plane was having mechanical issues.

 

U.S. Attorney Glassman commended the cooperative investigation of this case by law enforcement, as well as Deputy Criminal Chief Michael J. Hunter, who is representing the United States in this case.

 

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COLUMBUS, Ohio – Temesia A. Green, 44, of Columbus, pleaded guilty in U.S. District Court today to three drug and gun charges.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Trevor Velinor, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Columbus Police Chief Kim Jacobs announced the plea entered into before U.S. District Judge Algenon L. Marbley.

 

Green pleaded guilty to one count each of conspiracy to distribute one kilogram or more of heroin, possession of a firearm in furtherance of a drug trafficking crime and possession of a firearm by a convicted felon.

 

According to the Statement of Facts in this case, Green used her residence on Whitethorn Avenue in Columbus to sell heroin. She agreed with other individuals to bring heroin into the home and acquired firearms to protect the heroin and the proceeds from the sale of the drug.

 

Numerous regular customers would come to Green’s home to buy and use heroin, and Green also supplied individuals with the narcotic to sell outside the residence.

 

In January 2017, when Columbus Police officers executed a search warrant at the residence, they discovered five handguns, at least three of which were reported stolen. Green had two loaded handguns in her purse; her juvenile son had a loaded pistol and two other handguns were located in the home. They also found more than eight grams of heroin in the home.

 

Subsequent search warrants executed by ATF at the residence uncovered 92 pill capsules filled with heroin and fentanyl, 40 grams of marijuana, 40 oxycodone pills, 17 Xanax pills and eight additional loaded handguns. 

 

Green had previously been convicted in 1995 in Franklin County Common Pleas Court of attempted robbery.

 

Conspiracy to distribute one kilogram or more of heroin is a crime punishable by a range of 10 years to life in prison. Using a firearm in furtherance of a drug trafficking crime carries a potential sentence of five years to life in prison, to be served consecutively to other sentences. Possessing a firearm after being convicted with a felony is a crime punishable by up to 10 years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by ATF and Columbus Police, and Assistant United States Attorneys David M. DeVillers and Jessica W. Knight, who are representing the United States in this case.

 

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COLUMBUS, Ohio – E. Stanley Hoff, 68, of Westerville, pleaded guilty in U.S. District Court today to one count of threatening to assault and murder a United States official.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and the United States Capitol Police announced the plea entered into before U.S. District Judge Michael H. Watson.

 

Hoff was indicted by a federal grand jury in July, and, according to court documents, threatened to assault and murder U.S Representative Steve Stivers and a member of Stivers’ family. Hoff left a threatening voice mail on Rep. Stivers’ Hilliard office phone.

 

Hoff was arrested on June 21, when he was charged by a criminal complaint. He is being held without bond.

 

Threatening to assault and murder a United States official is a crime punishable by up to 10 years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by the U.S. Capitol Police and Assistant United States Attorneys Kevin Kelley and Noah Litton, who are prosecuting the case.

 

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DAYTON – Aaron Brown, 34, of Dayton, was sentenced in U.S. District Court to 197 months in prison for conspiracy to distribute more than five kilograms of cocaine.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), announced the sentence handed down by U.S. District Judge Timothy S. Black.

 

According to the Statement of Facts in this case, Brown recruited at least two individuals to assist him with trafficking cocaine by having the individuals drive from Dayton to Los Angeles, Calif. with cash. Brown would fly to Los Angeles and meet the individuals to obtain the cash. He then used the money to purchase cocaine and would conceal it in the vehicles of the individuals, who would then drive it back to Dayton.

 

Brown and the co-conspirators would meet up again in Dayton in order for Brown to obtain the cocaine and distribute it to local customers in the Dayton area.

 

Brown pleaded guilty in February 2016 to one count of conspiracy to distribute more than five kilograms of cocaine.

 

U.S. Attorney Glassman commended the cooperative investigation by the DEA, including DEA Las Vegas and Flagstaff, Nevada Highway Patrol and Navajo County Sheriff’s Office in Ariz., as well as Assistant United States Attorney Sheila G. Lafferty, who is representing the United States in this case. 

 

# # #

COLUMBUS, Ohio – Citlaly Casillas, 22, of Columbus, pleaded guilty today in U.S. District Court to conspiracy to commit kidnapping following a failed drug transaction.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), Gahanna Police Chief Dennis Murphy and Westerville Police Chief Joseph Morbitzer announced the plea offered before U.S. Magistrate Judge Norah McCann King.

 

According to the Statement of Facts in this case, Casillas and co-defendant William Hernandez Castillo conspired to kidnap an individual from April 4 through April 7.

 

In March, the individual told Casillas that an associate of his wanted to buy one kilogram of cocaine. Casillas and Hernandez agreed and intended to sell the cocaine for more than $30,000.

 

When the time came to complete the transaction on April 4, the associate took the cocaine without paying.

 

Hernandez then called the owner of the drugs, who was in Mexico, to discuss how to respond. The owner of the drugs told Hernandez to hold the individual responsible for his associate. The owner said if he did not receive the drugs or the money, he would send enforcers to deal with the individual and his family.

 

Following the phone call, Hernandez told the individual that he had to come with Hernandez and Casillas.

 

From April 4 through April 7, Hernandez and Casillas seized, confined and kidnapped the victim for ransom at their Columbus residence. Hernandez told the victim that people from Mexico would harm his family if the drug owner did not receive the drugs or money.

 

“During his confinement, Casillas told the victim stories of a 2015 fatal shooting at La Michoacana market in Columbus in order to scare him and keep him from leaving the residence,” U.S. Attorney Glassman said. “She joked that Hernandez would cut off one of the victim’s fingers if he left.”

 

After contacting his girlfriend and mother, the victim was driven by Hernandez on April 7 to a location in Columbus, where they believed ransom money was waiting. When the victim arrived at the drop location, law enforcement secured him.

 

Casillas was arrested during the execution of a search warrant at her residence on April 17. Hernandez was arrested the same day, and the two have remained in custody since.

 

Conspiracy to commit kidnapping is a crime punishable by up to five years in prison.

 

Hernandez has also signed a plea agreement agreeing to plead guilty to conspiracy to commit kidnapping. His hearing to formally plead guilty has not yet been scheduled.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, DEA, Gahanna Police and Westerville Police, as well as Assistant United States Attorney Peter K. Glenn-Applegate, who is representing the United States in this case.

 

# # #

COLUMBUS, Ohio – Jason E. Hoar, 32, of Reynoldsburg and Pickerington, was sentenced in U.S. District Court to 204 months in prison and 20 years of supervised release for producing child pornography.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Westerville Police Chief Joseph Morbitzer and other members of the FBI’s Child Exploitation Task Force announced the sentence handed down today by Chief U.S. District Judge Edmund A. Sargus, Jr.

 

Hoar had admitted that he created child pornography and, in August 2016, communicated with an undercover detective via Kik messenger.

 

The undercover officer had posted online bulletin messages on specific social media forums that are frequented by individuals who have a sexual interest in children. Hoar sent the detective explicit photos of minor females to whom he had access.

 

This information was subsequently sent to the FBI in Columbus and a task force officer there reached out to Hoar in an undercover capacity providing information about an undercover profile on social media.

 

Hoar responded to the task force officer and again provided details of his sexual interests in babies and children.

 

Hoar told the officer that “girls shower pics” were some of his “favs” and that he had discussed “installing a hidden camera.” Hoar recorded prepubescent females in the bathtub, whom were unaware of the video recording, and sent it to the undercover officer.

 

Hoar told undercover officers that letting ‘guys jack off to pics’ of children he photographed was ‘sorta harmless.’

 

“In no way is this behavior harmless,” U.S. Attorney Glassman said. “Producing child pornography creates trauma for victims that they often have to relive for the rest of their lives as images of their abuse are shared time and again.”

 

Hoar pleaded guilty in April to one count of production of child pornography.

 

U.S. Attorney Glassman commended the cooperative investigation by the FBI’s Child Exploitation Task Force, as well as Assistant United States Attorneys Heather A. Hill and Jonathan J.C. Grey, who are representing the United States in this case. 

 

# # #

CINCINNATI – U.S. Attorney Benjamin C. Glassman and Cincinnati Police Chief Eliot K. Isaac united with middle school students this morning in taking a stand against violence.

 

The law enforcement officials joined a sixth grade class at Ethel M. Taylor Academy in signing a voluntary pledge promising that they will never take a gun to school, will never resolve a dispute with a gun and will use their influence to prevent friends from using guns to resolve disputes.

 

In coordination with the Department of Justice’s Project Safe Neighborhoods program, the Student Pledge Against Gun Violence is a national program that recognizes the role that young people, through their own decisions, can play in reducing gun violence. This campaign against youth gun violence culminates each October in a Day of National Concern about Young People and Gun Violence. Students from around the country join together in pledging to do their part to end gun violence. More than 10 million students nationwide have signed the pledge since its inception in 1996.

 

2017 marks the inaugural year for the initiative in the Southern District of Ohio, and U.S. Attorney Glassman has invited schools throughout the entire District to participate.

 

“The pledge is right: individual choices and actions, when multiplied by young people throughout the Southern District of Ohio and across the country, will make a difference,” Glassman said. “I’m proud to partner with Cincinnati Public Schools and the Cincinnati Police Department in working to prevent violence. Most of all, I’m proud of the students who took the pledge today and who will honor it going forward. They are the key to a better future for all of us.”

 

“I was truly inspired from our time with these amazing sixth graders in taking the pledge to make their communities, their city, and their country a safe place,” said Cincinnati Police Chief Eliot Isaac. “Fighting gun violence is of one of Cincinnati Police Department’s highest priorities and we are working strategically with our local and federal partners as well as Cincinnati Public Schools to end the senseless violence in our City.  One the best ways we can start to do that is by working with and educating our youth on the effects of violence.”

 

If your school would like to participate in the pledge, contact Jennifer Thornton at jennifer.thornton@usdoj.gov.

# # #

I remember prosecuting a gun case not long after becoming a federal prosecutor in 2005 and thinking about how, at some point, the individual across the courtroom had decided that violence was the best way to settle a dispute. He illegally used a gun to address a personal problem, just like he had seen so many others around him do throughout his life.

 

It’s my job, as the chief federal law enforcement official for my district, to help decrease violent crime. We do that, in part, by vigorously prosecuting illegal, habitual gun possession and use to the fullest extent of the law. Removing people who cause violence from our streets makes everyone safer. I believe in that work, and I, along with my Assistant United States Attorneys, will continue to pursue that work wholeheartedly.

 

Facing an offender across a courtroom, however, means that we’ve already lost in so many ways.

 

It means the defendant’s community has already been terrorized by violence. It means the defendant has given up opportunities to thrive and to meet his potential in a productive way. It means families will be split apart as a loved one serves years—possibly the rest of his life—in federal prison.

 

Making our communities safe requires more than robust enforcement after crimes have already been committed. We must—as law enforcement officials and especially as members of the community—care about preventing and deterring violent crime as much as we care about reacting to it.

 

That is why I’m asking educators, parents, and, most importantly, students all over Southern Ohio to take a stand with me on October 18 against gun violence.

 

October 18 marks the 21st annual Day of National Concern about Young People and Gun Violence. Since 1996, more than 10 million students have signed a pledge committing to non-violence.

 

The pledge is pretty straightforward. Never use a gun to settle a dispute. Influence your friends to do the same.

 

Individual choices and actions, when multiplied by those of young people throughout our state and the nation, will make a difference. Together, by honoring this pledge, more young people can grow up in safety.

 

I don’t want to face any more young people in the courtroom who, at some point, decided that violence was the best way to handle a dispute and picked up a gun.

 

# # #

COLUMBUS, Ohio – Frederick A. McShan, 37, of Steubenville, Ohio, was sentenced in U.S. Distirct Court to 288 months in prison for his role in running a Steubenville-area heroin-trafficking ring.

 

McShan and his brother, David McShan, 39, were each convicted following a weeklong jury trial in March.

 

Specifically, Frederick McShan was convicted of one count of conspiracy to possess with intent to distribute more than one kilogram of heroin, 12 counts of possession with intent to distribute heroin and one count of conspiracy to commit money laundering. David McShan was also convicted of one count of conspiracy to possess with intent to distribute more than one kilogram of heroin and one count of possession with intent to distribute heroin.

 

David McShan was sentenced on August 31 to 74 months in prison and eight years of supervised release.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), Jefferson County Prosecutor Jane M. Hanlin and members of the Jefferson County Drug Task Force and the Hancock-Brooke-Weirton Drug Task Force announced the sentence handed down today by Chief U.S. District Judge Edmund A. Sargus, Jr.

 

According to court documents and testimony, the McShan brothers helped lead a drug organization that was responsible for street-level heroin sales in Steubenville, Ohio, including in the Market Street apartment public housing area, Weirton, W.Va., Wheeling, W.Va. and Bellaire, Ohio.

 

A yearlong investigation in this case by local, state and federal law enforcement culminated in the seizure of eight firearms, three vehicles and approximately $110,000 of narcotics proceeds.

 

Seven co-defendants in this case have pleaded guilty and been sentenced. They include:

 

Donae F. Grier, 38, of Irving, Texas, who was sentenced to 60 months in prison;

Christopher J. Bishop, 32, of Weirton, W.Va., who was sentenced to 120 months in prison;

Kerris D. Moncrease, 32, of Weirton, W.Va., who was sentenced to 42 months in prison;

Perrier D. Coleman, 21, of Steubenville, Ohio, who was sentenced to 15 months in prison;

Terrence L. Smith, 27, of Steubenville, Ohio, who was sentenced to 87 months in prison;

Michael K. Greathouse, 25, of Steubenville, Ohio, who was sentenced to 100 months in prison and

Erica L. Jury, 37, of Steubenville, Ohio, who was sentenced to time served.

                                                                       

U.S. Attorney Glassman commended the cooperative efforts of law enforcement, as well as Deputy Criminal Chief Michael Hunter, and Special Assistant United States Attorney Jane M. Hanlin who are prosecuting the case.

 

#  #  #

COLUMBUS, Ohio – Lerenzo M. White, aka “Justice” and “Justin,” 31, of Columbus, was sentenced in U.S. District Court to 180 months in prison and release supervision for life for sex trafficking women through force, fraud or coercion.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ohio Attorney General Mike DeWine and members of the Central Ohio Human Trafficking Task Force, including Steve Francis, Special Agent in Charge, Homeland Security Investigations (HSI), Franklin County Prosecutor Ron O’Brien, Columbus Police Chief Kim Jacobs and Franklin County Sheriff Dallas Baldwin announced the sentence handed down today by U.S. District Judge Algenon L. Marbley.

 

White pleaded guilty in May to one count of sex trafficking by force, fraud or coercion.

 

According to the Statement of Facts in this case, undercover officers conducted a prostitution sting operation at a Crowne Plaza Hotel in Columbus on June 4, 2014. While conducting the operation, officers observed White drop off two females at the hotel for the purpose of exchanging sexual acts for money.

 

In August of 2015, one of the females made a report of domestic violence against White to the Columbus Division of Police. She stated she had worked for White since the spring of 2014 and was beaten and choked on the few occasions she had indicated she did not want to engage in prostitution. White frequently beat her for other reasons, she was fearful of White, and White maintained all the money that she made.

 

White used Backpage.com to create prostitution advertisements of the victim. Further investigation of his activity on the website confirmed numerous other adult females had worked as prostitutes for White.

 

Three of those females stated White had been physically violent towards them. An additional female stated she stayed with White and worked for him for several months because she was addicted to heroin and White provided her with the drug; however, White would not permit her to obtain any heroin until she had made a certain “quota” through prostitution activities.

 

“White forced women to engage in prostitution through physical force or controlling them with drugs,” U.S. Attorney Glassman said. “He controlled where they lived, where they went, and their contact with the outside world. If one escaped, he would find another to victimize. We must remember that adult women can be victims, too, and bring to justice abusers like White, who exploit victims for their own gain.”

 

“HSI has a vast investigative portfolio of crimes, but the trafficking of women is among the most sinister and must be met with swift action by law enforcement,” said Special Agent in Charge Steve Francis. “HSI along with our partners will continue to aggressively investigate cases such as these to identify and rescue its innocent victims.”

 

“This case proves just how serious state, federal, and local authorities are about putting a stop to human trafficking in Ohio,” said Attorney General DeWine. “The investigation found that this defendant forced women into the sex trade against their will.  This is modern day slavery, and those who commit this heinous crime will be held accountable.”

 

U.S. Attorney Glassman by the Central Ohio Human Trafficking Task Force, which is part of the Ohio Attorney General’s Ohio Organized Crime Investigations Commission, and includes authorities from U.S. Homeland Security Investigations, Columbus Division of Police, the Franklin County Sheriff’s Office, the Franklin County Prosecutor’s Office, the Delaware County Prosecutor's Office, the Delaware County Sheriff’s Office and Powel Police Department, as well as Assistant U.S. Attorney Heather A. Hill and Special Assistant U.S. Attorney Jennifer M. Rausch, Director of the Franklin County Special Victims Unit, who are prosecuting the case.

 

# # #

COLUMBUS, Ohio – David Ayotte, 46, of Maribel, Canada, was sentenced in U.S. District Court to 63 months in prison and three years of supervised release for possession with intent to distribute more than five kilograms of cocaine.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, announced the filing of the plea documents today.

 

Law enforcement and other agencies involved in this case include: Homeland Security Investigations, U.S. Drug Enforcement Administration, Federal Aviation Administration, Ohio University Police Department, the Ohio University Airport, Athens County Sheriff’s Office, U.S. Customs and Border Protection Air and Marine Operations, Ohio National Guard Counter Drug Program, Ohio Bureau of Criminal Investigations, U.S. Homeland Security Investigations Attaché Office Montreal, Ohio High Intensity Drug Trafficking Area (HIDTA) Task Force, Royal Canadian Mounted Police, Canada Border Services Agency and Service de Police del la Ville de Montreal.

 

Ayotte and Sylvain Desjardins, 48, also of Maribel, Canada, pleaded guilty in May 2017 to one count of possession with intent to distribute more than five kilograms of cocaine.

 

According to the Statement of Facts filed in this case, on March 29, 2017, a U.S. Customs and Border Protection Air and Marine Operations center official in Riverside, Calif. detected an aircraft that departed from the Bahamas and was traveling to Windsor, Ontario, Canada but had diverted to Gordon K. Bush Airport at Ohio University.

 

The official contacted the Athens County Sheriff’s Office, who, along with agents from HSI, executed a search warrant on the plane upon arrival. While doing so, investigators discovered approximately 132 kilograms or 290 pounds of cocaine.

 

Desjardins was the pilot and Ayotte was his passenger. The two men intended on flying the cocaine to Canada to then distribute, but discovered that the plane was having mechanical issues.

 

U.S. Attorney Glassman commended the cooperative investigation of this case by law enforcement, as well as Deputy Criminal Chief Michael J. Hunter, who is representing the United States in this case.

 

# # #

COLUMBUS, Ohio – A federal grand jury has charged 13 individuals with conspiracy to commit bank fraud and bank fraud in an 18-count superseding indictment returned here today.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service and Monica S. Weyler, Special Agent in Charge, U.S. Postal Service Office of Inspector General, announced the superseding indictment.

 

The superseding indictment alleges that beginning in September 2016 and continuing until August 2017, the defendants conspired to unlawfully negotiate checks and money orders stolen from the United States mail.

 

Those charged include:

Name

Age

City of Residence

Za Darrick J. Brooks

24

Columbus

Thomas P. Williams, Jr.

23

Pickerington

Charlee D. Mitchell

26

Dayton

Jordan L. McCorvey

24

Columbus

Neshaun M. T. Walls

22

Columbus

Milahn M. Wright

23

Columbus

Jamicia R. Gordon

22

Columbus

Courtney N. Bruce

23

Columbus

Donte L. Rippey-Young

23

Gahanna

Joshua O. Saunders

24

Columbus

Chevez M. Stanley

26

Columbus

Terry T. Reynolds

20

Columbus    

Justin L. Brooks

25

Columbus

 

At least four of the defendants – Williams, Gordon, Bruce and Rippey-Young – were at one time employed by the United States Postal Service.

 

According to the superseding indictment, co-conspirators used Postal Service property to illegally access blue collection boxes in the greater metropolitan Columbus area.

 

Williams, Gordon and Bruce allegedly gave or sold Postal Service property in order to steal the checks and money orders and to aid and abet the other defendants in doing the same. Co-conspirators then allegedly cashed the stolen checks and money orders at ATMs and through bank mobile deposit apps.

 

Part of the conspiracy also allegedly involved creating counterfeit checks from the stolen checks.

 

Some of the defendants used social media, including Twitter and Facebook, to solicit individuals with bank accounts to participate in the conspiracy and permit the deposit of stolen checks into their bank accounts in exchange for money.

 

“It is estimated that the defendants caused a loss of at least $150,000 to financial institutions,” U.S. Attorney Glassman said.

 

Conspiracy to commit bank fraud and bank fraud are each crimes punishable by up to 30 years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by the U.S. Postal Inspection Service and Office of Inspector General, and Assistant United States Attorney Jonathan J.C. Grey, who is prosecuting the case.

 

An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

# # #

DAYTON – Eric Lamont Bates, 20, of Indianapolis, pleaded guilty in U.S. District Court yesterday to one count of aiding and abetting the robbery of a pharmacy in Middletown, Ohio and possessing with the intent to distribute morphine and oxycodone.

 

Bates is one of 11 total defendants in three current federal pharmacy robbery indictments in Dayton. He faces up to 20 years imprisonment for each crime.

 

Benjamin C. Glassman, U.S. Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division and Middletown Police Chief Rodney Muterspaw announced the plea entered into today before U.S. District Judge Walter H. Rice.

 

In May, a federal grand jury returned indictments charging individuals with robbing two Middletown pharmacies and stealing prescription drugs including morphine, oxycodone and hydrocodone for the purpose of selling the drugs on the street.

 

The grand jury charged two Dayton men, Calvin Cavonte Tribble and Savon Anthony Davis, with attempted robbery of a pharmacy in Middletown on April 18, 2017 and robbing the pharmacy on April 19.

 

In a separate indictment, the grand jury alleged that two Indianapolis men, Bates and Yasar Jamal Burnett, conspired to rob another Middletown pharmacy of morphine and oxycodone on April 29, 2017. Burnett also recently pleaded guilty to the same charges as Bates.

 

In July, a 10-count superseding indictment added six defendants who also allegedly conspired to rob pharmacies between March and June 2017 in Fairfield, Middletown, Franklin, Hamilton, Westerville, Trotwood, Dayton, Oakwood, Kettering, Beavercreek, Moraine, Vandalia, Union Township and Cincinnati.

 

It was part of the alleged conspiracy that defendants would approach the pharmacy counter at CVS, Walgreens, Rite Aid and Best Pharmacy locations as if to turn in a prescription to be filled. In actuality, the slip of paper included a note that this was an armed robbery and the pharmacist would be harmed if they did not comply. The note demanded pharmacy employees to fill two bags with a list of controlled substances identified by name, amount and prescription dosage.

 

Those charged in the superseding indictment include Martez Henderson, Tiwonne Montgomery, Kenneth Evans, Jr., Brandon Freeman, David Harris and Jamar Warren.

 

In September, Jamie Deandre Williams was charged in a five-count indictment for allegedly robbing CVS pharmacies in Beavercreek, Sidney, Moraine, Cincinnati and Dayton between February and June 2017.

 

U.S. Attorney Glassman commended the cooperative investigation of this case by the Middletown Police and the FBI, as well as Assistant U.S. Attorneys Amy M. Smith and Brent Tabacchi, who are representing the United States in the case.

 

# # #

Today, United States Attorney General Jeff Sessions announced the reinvigoration of “Project Safe Neighborhoods,” one of the Department’s signature programs to reduce violent crime.

 

In the Southern District of Ohio, U.S. Attorney Benjamin C. Glassman and Franklin County Prosecutor Ron O’Brien announced a partnership to enhance an anti-violence initiative in Columbus.

 

The strategy includes a committed focus from federal, state and local law enforcement agencies to work collaboratively to identify those individuals who consistently use firearms to commit crimes, who habitually possess illegal firearms, and who present a clear threat to the safety of the community.

 

The same initiative was implemented in Cincinnati in February 2016 and has resulted in prosecuting more than 50 habitual offenders with federal gun charges.

 

“Over the last year and a half, the Southern District of Ohio has been on the cutting edge in developing a comprehensive, proactive approach to reducing violent crime,” said U.S. Attorney Glassman. “The Department’s reinvigoration of Project Safe Neighborhoods should provide us with additional support to strengthen our efforts.”

 

In Franklin County, Assistant Prosecutor Jason Manning was sworn in today as a federal Special Assistant United States Attorney, in order to increase the capacity for federal gun and violence cases and to further the collaboration between federal and county authorities in effectively prosecuting the most violent offenders.

 

“I am grateful for the partnership with Franklin County Prosecutor Ron O’Brien,” Glassman said. “Working closely together with our state and local partners is crucial to effective reduction of violent crime in our communities in the Southern District of Ohio.”

 

Federally, possession of a firearm by a convicted felon can result in a prison sentence of up to 10 years in prison. Offenders who possess a firearm after having been convicted of three violent felonies, moreover, face between 15 years and life in prison.

 

# # #

DAYTON – The government unsealed an indictment today in which a federal grand jury has charged seven defendants, including a corrections officer, with conspiracy to distribute methamphetamine.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Ohio Attorney General Mike DeWine, Col. Paul A. Pride, Superintendent, Ohio State Highway Patrol, Gary Mohr, Director, Ohio Department of Rehabilitation and Correction and members of the Warren County Drug Task Force announced the indictment returned last week.

 

The indictment charges James Barlage, Jr., 31, of Chillicothe, Mario Evans, 40, formerly of Dayton, Edward E. Bellman, 45, formerly of Miamisburg, Moses M. Stevens, 53, formerly of Xenia, Jon Christopher Birt, 50, of Dayton, Jamie L. Naegele, 47, of Brookville and Anthony Scott Blankenship, 32, of Columbus, with conspiracy to distribute methamphetamine.

 

Barlage and Blankenship are also charged with one count each of possession with intent to distribute methamphetamine.

 

The indictment alleges that Barlage was employed as a corrections officer at Chillicothe Correctional Institute (CCI) in June and July 2017. At the same time, Evans, Bellman and Stevens were inmates at the prison.

According to the indictment, it was the object of the conspiracy to deliver methamphetamine to CCI for distribution within the prison.

 

Birt, an alleged methamphetamine distributor for the Dayton area, would obtain the drugs from his suppliers and he and Naegele would arrange for the delivery of the methamphetamine to the prison.

 

On at least one occasion, Barlage received the drugs from Birt for the purpose of redistributing within CCI.

 

“The defendants allegedly used at least one unauthorized cell phone within the prison to coordinate payment for the drugs and exchange of the drugs for transportation to CCI,” U.S. Attorney Glassman said. “They also allegedly used Western Union to transfer funds for the drugs.”

 

The indictment was returned September 28. Birt, Barlage, and Naegle have been arrested and have made their initial appearances. Arrest warrants have been issued for the remaining defendants. 

 

Conspiracy to distribute and possession with the intent to distribute methamphetamine are each crimes punishable by up to 20 years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, Ohio Bureau of Criminal Investigation (BCI), Ohio Department of Rehabilitation and Correction, Ohio State Highway Patrol and Warren County Drug Task Force, as well as Assistant United States Attorneys Dominick S. Gerace and Amy M. Smith, who are prosecuting the case.

 

An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

# # #

CINCINNATI – Omar Israel-Griffin, 27, of Cincinnati, also known as Deuce, was sentenced in U.S. District Court to 235 months in prison for dealing fentanyl and heroin that resulted in at least one death.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA) and members of the Hamilton County Heroin Drug Task Force announced the sentence handed down yesterday by U.S. District Judge Michael R. Barrett.

 

According to the Statement of Facts in this case, law enforcement agents began the investigation into a drug overdose death on November 19, 2015, after a man was found dead in his Anderson Township home.

 

The investigation revealed that Israel-Griffin had been the supplier of a fentanyl and heroin mix and an autopsy confirmed that the drugs sold by Israel-Griffin caused the death.

 

Israel-Griffin pleaded guilty in April 2017 to one count of distribution of a controlled substance. The defendant then moved to withdraw the plea, which was summarily denied by Judge Barrett. Israel-Griffin was also sentenced to eight years of supervised release.

 

“Dealers must recognize that they perpetuate tragedy when they distribute narcotics like fentanyl and heroin,” U.S. Attorney Glassman said. “They are playing a direct role in the deaths of others.”

 

U.S. Attorney Glassman commended the cooperative investigation by the DEA and Hamilton County Heroin Drug Task Force, as well as Assistant United States Attorney Timothy D. Oakley, who is representing the United States in this case. 

 

###

WASHINGTON – The Department of Justice announced Friday $58.8 million will be designated to strengthen drug court programs and address the opioid epidemic nationwide. United States Attorney Benjamin C. Glassman announced this includes $2.9 million in grant awards for the Southern District of Ohio.

 

Specifically, the Supreme Court of Ohio will be awarded $1 million for Data-driven Responses to Prescription Drug Misuse and approximately $700,000 for the Family Drug Court Statewide System Reform Implementation Program.

 

Approximately $400,000 in Comprehensive Opioid Abuse Program funding each will be awarded to Franklin County and Hamilton County.

 

The Ohio State Board of Pharmacy will receive approximately $400,000 for the Harold Rogers Prescription Drug Monitoring Program Implementation and Enhancement Projects.

 

“The opioid-abuse crisis – both across the country and especially in this district – is one of the most significant public-safety and public-health issues of our lifetime,” U.S. Attorney Glassman said. “The Department of Justice recognizes that enforcement alone cannot solve the problem. Prevention and treatment are equally important in making our communities safer, and that is what this funding focuses on.”

 

In total nationwide, about $24 million in federal grants will be awarded to 50 cities, counties and public health departments to provide financial and technical assistance to state, local and tribal governments to create comprehensive diversion and alternatives to incarceration programs for those impacted by the opioid epidemic.

 

These funds, awarded under the Office of Justice Programs’ Bureau of Justice Assistance’s Comprehensive Opioid Abuse Program, also included funds from the Harold Rogers Prescription Drug Monitoring Program. This program helps regulatory, law enforcement, and public health agencies address prescription drug and opioid misuse; reduce crime; and save lives.

An additional $3.1 million will be awarded by the National Institute of Justice for research and evaluation on drugs and crime. The research priorities are heroin and other opioids and synthetic drugs.

The Department is also awarding more than $22.2 million to 53 jurisdictions to support the implementation and enhancement of adult drug courts and Veterans Treatment Courts, which serve as “one-stop-shops” to link veterans with services, benefits and program providers.

Specific sites and funds awarded can be found online at: https://go.usa.gov/xRJWE.

The Department is also awarding more than $9.5 million under several Office of Juvenile Justice and Delinquency Prevention grant programs, including the Juvenile Drug Treatment Court Grant Program and the Family Drug Court Statewide System Reform Implementation Program. These programs helps jurisdictions build effective family drug treatment courts.

Specific sites and funds awarded can be found online at: https://go.usa.gov/xRJDf.

# # #

DAYTON, Ohio – Robert Steven Jones, 29, of Anna, Ohio, pleaded guilty to 11 charges involving the sexual exploitation of minors, including an infant and a seven-year-old girl.

Specifically, he pleaded guilty to eight counts of production of child pornography, two counts of coercion and enticement of a minor and commission of a felony offense involving a minor while being registered as a sex offender.

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the plea entered into today before Senior U.S. District Judge Thomas M. Rose.

According to the Statement of Facts in this case, while living in Illinois in 2013, Jones recorded himself masturbating and committing other sexual acts on and with a seven-month-old infant. The nearly five-minute video also depicts Jones engaging in acts of physical violence with the baby – including slapping, punching, shaking, restraining and suffocating the infant.

In the same week, Jones recorded a second video, this one approximately 10 minutes in length. This video further depicts Jones holding the baby up to the camera while smothering and choking the infant to such an extent that the baby slowly became limp and turned a blueish color, apparently unconscious.

After making comments such as “You want to see a baby pass the f*** out?” Jones then throws the baby.

In June 2014, Jones moved to Ohio, residing in Sidney, Piqua and later Anna.

Jones engaged in prohibited sexual acts on at least two occasions in July 2015 with a seven-year-old female at his residence in Ohio, and produced two videos of the conduct on his cell phone.

In August 2015, law enforcement officers discovered the videos on Jones’s cell phone while executing a search warrant at his home.

Also according to the Statement of Facts, Jones met with and/or communicated with at least nine other victims, aged 13 years to 16 years, for the purpose of engaging in prohibited sexual acts and creating child pornography. This included victims living in other states such as New York and Tennessee.

Jones faces at least 10 years up to life in prison for each coercion and enticement charge. Production of child pornography carries a mandatory minimum sentence of 15 years and a potential maximum sentence of 30 years in prison. Committing a felony offense involving a minor while being required to register as a sex offender carries a mandatory 10-year sentence, to run consecutive to any other sentence.

Jones was arrested on November 4, 2015 by criminal complaint and he has remained in custody since. He was indicted by a federal grand jury in February 2016.

This case resulted from the national FBI investigation “Operation Pacifier” which involved the takedown of a “dark web” site dedicated to child pornography. Using a court-approved Network Investigative Technique to pierce through the anonymity provided by the Tor network, agents uncovered IP addresses and other information that helped locate and identify users. Investigators sent more than 1,000 leads to FBI field offices in every state in the country and thousands more to oversees partners.

 

As a result of the investigation, at least 350 U.S.-based individuals have been arrested, 25 producers of child pornography have been prosecuted, 51 alleged hands-on abusers have been prosecuted and 55 American children who were subjected to sexual abuse have been successfully identified or rescued.

 

“This case is another example of law enforcement adapting to technological advances on the dark web in order to find offenders and bring them to justice,” U.S. Attorney Glassman said.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, as well as First Assistant United States Attorney Vipal J. Patel and Assistant United States Attorneys Amy M. Smith and Andrew J. Hunt, who are prosecuting the case.

# # #

DAYTON – Ronald Scott Gibson, 46, of West Manchester, Ohio, was sentenced in U.S. District Court to 200 months in prison for distributing child pornography after having been convicted of a prior related state sex offense.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the sentence handed down today by U.S. District Judge Walter H. Rice.

 

According to court documents, Gibson’s illegal activity was discovered when the Swiss Federal Criminal Police conducted an investigation to identify those possessing and sharing child pornography through an online file sharing program.

 

In March 2016, Gibson provided one of the Swiss undercover officers with the password to his shared folder on the network so that the officer could gain access to child pornography.

 

During the course of the investigation, agents discovered more than 4,000 images and 13 videos of child pornography, including images of adults molesting and sexually abusing prepubescent children.

 

Investigators also discovered online chat messages in which Gibson said he liked toddlers the most.

 

Gibson was previously convicted of Gross Sexual Imposition in Preble County Common Pleas Court in 1998 and pleaded guilty in this case in December 2016 to one count of distributing child pornography.

 

“The images and videos that Gibson shared were created for an international criminal market that is engaged in the business of destroying the lives of children,” U.S. Attorney Glassman said. “Gibson was an active and willing participant in that market, and that serious offense warrants the sentence he received today.”

 

U.S. Attorney Glassman commended the investigation of this case by the FBI and Assistant United States Attorneys Dominick S. Gerace and Andrew J. Hunt, who are representing the United States in this case.

 

# # #

CINCINNATI – A federal grand jury has charged five Middletown residents with the strong-armed robbery of a diamond/jewelry merchant in Monroeville, Pa. on April 2, 2016.

 

Amit Patel (also known as Alex Patel), 48, Mimi Chang, 40, Andrea Mullins, 35, Deanna Williams (also known as Dee Dee Williams), 36, and Danny Ray Horne, 37, were each charged in the indictment. Three defendants appeared in federal court this afternoon for initial appearances and two defendants are currently in state custody.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the indictment returned September 6.

 

The indictment charges the defendants with one count of conspiring, beginning on or about March 30, to commit a Hobbs Act robbery. The Hobbs Act is a federal law prohibiting interference with interstate commerce and violating the law is punishable by up to 20 years in prison.

 

The FBI began the investigation after the victim filed a police report with the Monroeville Police Department following the robbery.

 

“The government is seeking forfeiture in this case of more than $1 million, which represents the total amount of proceeds the defendants obtained as a result of the offense,” U.S. Attorney Glassman said.

 

U.S. Attorney Glassman commended the investigation by the FBI in Cincinnati and Pittsburgh and the Monroeville Police Department, as well as Assistant United States Attorney Timothy D. Oakley, who is prosecuting the case.

 

An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

# # #

COLUMBUS, Ohio – Edward I. Campbell, 41, of Reynoldsburg, Ohio, pleaded guilty in U.S. District Court today to charges related to a $1.4 million investment fraud scheme that defrauded at least 44 individuals. Specifically, he pleaded guilty to one count of money laundering and one count of wire fraud.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the plea entered into today before U.S. District Judge Michael H. Watson.

 

According to court documents, between July 2011 and June 2013 Campbell operated an investment business known as Rosewood Consulting LLC in Baltimore, Ohio. Campbell told victims their contributions would be invested through Rosewood Consulting into two types of investment programs: historical bonds issued by China and the exchange of Bougainville Kina – currency from the autonomous region of Bougainville, Papua New Guinea – into U.S. dollars.

 

Campbell represented that he had access to a trading platform in which he could monetize gold-backed bonds issued by China in 1913 for a very high return. Campbell offered to sell the historical bonds to investors for $10,000 to $15,000 each for a promised return on investment of anywhere from $50,000 to upwards of possibly $10 million per bond within 10 to 60 days.

 

Campbell also offered to exchange the Bougainville Kina, which he allegedly possessed, into U.S. dollars if the investors hired him for a $100,000 fee. The investors were supposed to receive a return of $1.5 million or more within 10 to 120 days.

 

Campbell told investors that their investments were refundable if the returns were not paid within the provided timeframes. In addition, he told investors that he had prior success with these investment programs, was a former Navy SEAL, once worked in an investment house, had traveled internationally closing deals and he had nearly 600 investors.

 

The investigation revealed that none of the investors received the returns on their investments that Campbell had promised. Only a few of the 44 investors have been refunded the money they paid for his services and those refunds were paid for with other investors’ funds.

 

Campbell usually depleted the funds he received from investors shortly after receiving them, by using the funds for personal expenses, including the purchase of two automobiles and expenses at hotels and restaurants.

 

As part of his plea agreement, Campbell has agreed to pay $1,408,854 in restitution.

 

Money laundering in this case is punishable by up to 20 years in prison and wire fraud is punishable by up to 10 years in prison.

 

“A person who creates a web of financial lies will soon be caught up in it. Edward Campbell offered higher rates of return than normal to his clients and unfortunately these were false promises,” said Ryan L. Korner, Special Agent in Charge, IRS, Criminal Investigation, Cincinnati Field Office.

 

U.S. Attorney Glassman commended the investigation of this case by the IRS and FBI, as well as Assistant United States Attorney Jessica H. Kim, who is representing the United States in this case.

 

# # #

COLUMBUS, Ohio – Four defendants are being transported to Columbus, Ohio today for federal prosecution in the Southern District of Ohio after being charged with conspiracy to possess with intent to distribute approximately 720 kilograms of cocaine. The more than 1,584 pounds of cocaine has an approximate street value of $25 million in total.

 

The defendants were apprehended in August near the Galapagos Islands, making this the first case in which the Southern District of Ohio is seeking to prosecute defendants captured in international waters.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA) and Commandant of the U.S. Coast Guard, Adm. Paul Zukunft, made the announcement.

 

According to the affidavit filed in support of the criminal complaint in this case, Ecuadorian nationals Hernan Emilio Caldas-Estupinan, Oscar Alipio Chila-Mendez, Carlos Alfredo Escobar-Estupinan and Mexican national Jesus Antonio Ramos-Chirino were detected in a dual engine speed boat on August 18 northwest of the Galapagos Islands in the Pacific Ocean.

 

The United States Coast Guard cutter James was dispatched to interdict the vessel in international waters and conduct a Right of Visit boarding. The watercraft had no flag flown, no registration documents, no registration number, homeport or name on the hull of the vessel, no identification of a sailing master and no claim of nationality for the vessel.

 

As part of its interdiction efforts, the James launched a helicopter and two patrol craft to approach the boat. When the defendants detected the helicopter and patrol craft, they began to jettison numerous packages from the vessel while attempting to flee from the helicopter.

 

The Coast Guard helicopter fired warning shots in an attempt to halt the flight, and when those warning shots went unheeded, the helicopter employed disabling fire. Once the vessel had been disabled, one of the patrol craft launched from the James took control of the vessel.

 

Coast Guard personnel collected the 25 packages that had been thrown from the boat and discovered that they contained approximately 720 kilograms of cocaine.

 

The cocaine seized in this case will be included in 50,690 pounds of cocaine and heroin worth more than $679 million from narcotics cases in six federal districts nationwide that is being offloaded by the Coast Guard today in San Diego, Calif. United States Attorney General Jeff Sessions will announce the series of drug removals with the Coast Guard at noon today.

 

U.S. Attorney Glassman commended the investigation of this case by the DEA and United States Coast Guard, as well as Assistant United States Attorneys David DeVillers and Jonathan Grey, who are prosecuting the case.

A criminal complaint merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

# # #

COLUMBUS, Ohio – A United States District Court jury convicted John Anderson Rankin, 54, of Circleville, Ohio, of 17 tax-related charges.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio and Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, Cincinnati Field Office announced the verdict reached yesterday afternoon following a two-week trial before Chief U.S. District Judge Edmund A. Sargus, Jr.

 

A federal grand jury indicted Rankin in July 2015 with seven counts of failing to account for and pay over employment taxes to the Internal Revenue Service (IRS), six counts of willfully filing false federal individual income tax returns with the IRS, three counts of willfully filing false federal corporate income tax returns with the IRS and one count of obstructing and impeding the due administration of the IRS.

 

According to court documents and testimony, Rankin operated a number of Circleville-based businesses, including Connectivity Systems, Inc., a mainframe software company that provides internet protocol development and servicing. Rankin Enterprises, LLC was a shell corporation that included the Circleville Movie House, Screening Room, J.R. Hooks Café and Tootles Pumpkin Inn. Rankin also owned the Tuscan Table, an Italian restaurant in downtown Circleville.

 

Between June 2008 and April 2011 Rankin, conducting business as Rankin Enterprises and Tuscan Table, failed to account for and pay over to the IRS all federal income and FICA taxes.

 

Rankin also filed false Amended U.S. Individual Income Tax Returns with the IRS for the 2005, 2006, 2007, 2008 and 2009 income tax years. He claimed a corrected adjusted gross income amount of a negative $1.7 million, when in actuality his corrected adjusted gross income was more than $8.9 million.

 

In 2010, Rankin filed a false individual income tax return that reported an adjusted gross income of nearly $27,000, when his actual gross income was nearly $1.6 million.

 

In addition, Rankin filed false U.S. Corporation Income Tax Returns with the IRS for Connectivity Systems Incorporated for the 2008, 2009 and 2010 income tax years. These false forms claimed a fraudulent accelerated Research & Development Credit in the amount of $1.7 million against the corporate taxes due and owing of Connectivity Systems Incorporated.

 

Lastly, between January 2005 and July 2015 Rankin made false and misleading statements to agents of the IRS and concealed information from agents of the IRS.

 

“Rankin not only failed to pay his personal taxes, but he also failed to pay the Social Security and Medicare taxes of his employees, cheating his own workers for his personal benefit,” U.S. Attorney Glassman said.

 

“The conviction of Rankin proves that if you think you can outsmart the IRS, you will fail,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “IRS Criminal Investigation and the U.S. Attorney’s Office make a formidable team when it comes to bringing individuals to justice in tax fraud cases.”

 

Failing to account for and pay over employment taxes to the IRS carries a maximum penalty of five years in prison and a fine of up to $250,000. Willfully filing a false individual and corporate federal income tax return with the IRS and obstructing and impeding the due administration of the IRS carries a maximum penalty of three years in prison and a fine of up to $250,000.

 

U.S. Attorney Glassman commended the investigation of this case by IRS-Criminal Investigation, as well as Assistant United States Attorneys Daniel A. Brown and Noah R. Litton, who are representing the United States in this case.

 

# # #

COLUMBUS, Ohio – Gregory R. Lee, 52, of Columbus, pleaded guilty today in U.S. District Court today to production of child pornography.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Franklin County Prosecutor Ron O’Brien, Westerville Police Chief Joseph Morbitzer, Dublin Police Chief Heinz von Eckartsberg and other members of the FBI’s Child Exploitation Task Force announced the plea entered into before U.S. District Judge Michael H. Watson.

 

According to the Statement of Facts in this case, the parents of a teenage female contacted Dublin Police in May 2017 after discovering information in the teenager’s personal journal regarding sexual activity with Lee, who had been her high school teacher at Dublin Scioto High School.

 

While being interviewed by law enforcement, the victim told authorities that she and Lee engaged in oral sex on numerous occasions in Lee’s classroom and in his vehicle. She said Lee also instructed her to create and exchange nude photographs through her phone.

 

A forensic examination of Lee’s electronic devices uncovered approximately 234 images of the victim, at least 49 of which depicted the minor in various stages of nudity. The victim confirmed that Lee had taken some of the nude pictures of her that were found on his devices.

 

The forensic examination also revealed nude images of another female that was believed to be a former student of Lee’s. The former student confirmed that she took the photographs with her cell phone when she was 17 years old and sent them to Lee.

 

Production of child pornography in this case carries a potential term of imprisonment of 15 to 30 years, as well as at least five years of supervised release. The federal plea agreement takes into account Lee’s sexual contact with the victim, for which an indictment is pending in Franklin County Common Pleas Court, and requires Lee to plead guilty to that indictment as well.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, Dublin Police and Task Force Officers, as well as Assistant United States Attorney Heather A. Hill and Special Assistant United States Attorney Jennifer M. Rausch, Director, Franklin County Special Victim’s Unit, who are representing the United States in this case.

 

# # #

COLUMBUS, Ohio – Riyad Altallaa, 52, and Muna Alnoubani, 50, both of Hilliard, were each sentenced in U.S. District Court today for conspiracy to commit health care fraud. Altallaa was sentenced to 48 months in prison and Alnoubani was sentenced to 36 months of probation.

 

The case was charged in 2016 as part of an unprecedented nationwide sweep led by the Medicare Fraud Strike Force in 36 federal districts, resulting in criminal and civil charges against 300 individuals, including 61 doctors, nurses and other medical professionals, for their alleged participation in health care fraud schemes involving approximately $900 million in false billings.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Lamont Pugh, Special Agent in Charge, Department of Health and Human Services Office of Inspector General (HHS-OIG), Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Ohio Attorney General Mike DeWine and Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, announced the sentences handed down today by Chief U.S. District Judge Edmund A. Sargus, Jr.

 

According to court documents, Altallaa and Alnoubani were owners of Columbus Home Health Care Services, LLC. The couple executed a fraud scheme in order to minimize expenses and maximize profits by fabricating aide training records to avoid the time and expense of training and to give the appearance that aides had completed the required training and were prepared to provide home health services to Medicare and Medicaid beneficiaries.

 

The defendants also had aides and nurses submit blank time sheets and nursing notes that the defendants completed with falsely inflated hours of service.

 

Finally, they had aides and nurses “split” their shifts on their timesheets and nursing notes to make it appear that services were provided in multiple shifts rather than one shift. Under Medicaid’s reimbursement policy, the initial hour of each shift is reimbursed at a rate that is approximately double the rate of subsequent hours.

 

The couple used the fraud money to build a luxurious, $1 million home in Hilliard. As part of their plea agreements, they will forfeit that home. Each of the defendants pleaded guilty in June 2016 to one count of conspiracy to commit health care fraud.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, HHS-OIG Ohio Attorney General’s Medicaid Fraud Control Unit and IRS Criminal Investigation, as well as Assistant United States Attorney Kenneth Affeldt and Special Assistant United States Attorney Maritsa Flaherty, who are representing the United States in this case.

 

# # #

COLUMBUS, Ohio – David McShan, 39, of Steubenville, Ohio, was sentenced in U.S. District Court to 74 months in prison and eight years of supervised release for his role in running a Steubenville-area heroin-trafficking ring.

 

McShan and his brother, Frederick A. McShan, 37, were each convicted following a weeklong jury trial in March.

 

Specifically, Frederick McShan was convicted of one count of conspiracy to possess with intent to distribute more than one kilogram of heroin, 12 counts of possession with intent to distribute heroin and one count of conspiracy to commit money laundering. David McShan was also convicted of one count of conspiracy to possess with intent to distribute more than one kilogram of heroin and one count of possession with intent to distribute heroin.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), Jefferson County Prosecutor Jane M. Hanlin and members of the Jefferson County Drug Task Force and the Hancock-Brooke-Weirton Drug Task Force announced the sentence handed down today by Chief U.S. District Judge Edmund A. Sargus, Jr.

 

According to court documents and testimony, the McShan brothers helped lead a drug organization that was responsible for street-level heroin sales in Steubenville, Ohio, including in the Market Street apartment public housing area, Weirton, W.Va., Wheeling, W.Va. and Bellaire, Ohio.

 

A yearlong investigation in this case by local, state and federal law enforcement culminated in the seizure of eight firearms, three vehicles and approximately $110,000 of narcotics proceeds.

 

Seven co-defendants in this case have pleaded guilty and been sentenced. They include:

 

Donae F. Grier, 38, of Irving, Texas, who was sentenced to 60 months in prison;

Christopher J. Bishop, 32, of Weirton, W.Va., who was sentenced to 120 months in prison;

Kerris D. Moncrease, 32, of Weirton, W.Va., who was sentenced to 42 months in prison;

Perrier D. Coleman, 21, of Steubenville, Ohio, who was sentenced to 15 months in prison;

Terrence L. Smith, 27, of Steubenville, Ohio, who was sentenced to 87 months in prison;

Michael K. Greathouse, 25, of Steubenville, Ohio, who was sentenced to 100 months in prison and

Erica L. Jury, 37, of Steubenville, Ohio, who was sentenced to time served.

 

Frederick McShan is scheduled for sentencing on October 12 at 1:30pm.

 

U.S. Attorney Glassman commended the cooperative efforts of law enforcement, as well as Deputy Criminal Chief Michael Hunter, and Special Assistant United States Attorney Jane M. Hanlin who are prosecuting the case.

 

# # #

DAYTON – David Kirkwood, 61, and Beverly Kirkwood, 50, of Dayton, pleaded guilty in U.S. District Court to health care fraud. David Kirkwood also pleaded guilty to one count of unlawful drug trafficking.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ohio Attorney General Mike DeWine, Lamont Pugh III, Special Agent in Charge, U.S. Department of Health & Human Services Office of Inspector General (HHS-OIG) Chicago Region and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA) announced the pleas entered into before U.S. District Judge Water H. Rice.

 

According to the facts outlined in the plea agreements, David Kirkwood owned and operated Kirkwood Family Practice in Dayton beginning in 1986.

 

David Kirkwood distributed nearly 4,000 units of Oxycodone outside the scope of medical practice and not for a legitimate medical purpose. All of these units were paid for by Medicare or Medicaid.

 

The doctor often used the same billing code for his customers regardless of the service performed, and would accept health care insurance payments for examinations that were not medically appropriate or sufficient for the billing codes submitted. Those bills were submitted on behalf of the practice and with the assistance of Beverly Kirkwood.

 

According to the indictment, David Kirkwood saw up to 100 patients per day, charging $100 per office visit. The government has sought to seize approximately $2.5 million in proceeds from the conspiracy.

 

“When a doctor distributes Oxycodone without a legitimate medical purpose and outside the scope of medical practice, that’s not just bad practice. It’s unlawful drug trafficking,” U.S. Attorney Glassman said. “In pleading guilty, David Kirkwood admitted that he was distributing opioids and other controlled substances as a drug dealer, not as a doctor.”

 

“The investigation found that this doctor took advantage of those suffering from addiction in the Dayton area for personal gain,” said Attorney General DeWine. “The pills never should have been prescribed because they served no legitimate medical purpose, and I applaud the work of state, federal, and local authorities to hold him accountable for his actions.”

 

As part of David Kirkwood’s plea, he has agreed to pay restitution in the amount of nearly $160,000, which represents the loss to Medicare and Medicaid.

 

Both David and Beverly are scheduled for sentencing before Judge Rice on December 6.

 

U.S. Attorney Glassman commended the investigation of this case by the Ohio Attorney General’s Medicaid Fraud Control Unit, HHS-OIG and DEA, as well as Special Assistant United States Attorney Maritsa Flaherty and Assistant United States Attorney Timothy Oakley.

 

# # #

COLUMBUS, Ohio – Joshua D. Chapman-Sexton, 31, of Buckeye Lake, Ohio, was sentenced in U.S. District Court to 292 months in prison and a lifetime of supervised release for receiving and possessing child pornography while on supervised release.

 

Chapman-Sexton was convicted of all counts charged following a four-day trial in February. He had been previously convicted of similar federal charges in 2010 and had been released from prison after serving his sentence.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Westerville Police Chief Joe Morbitzer, Buckeye Lake Police Chief Jimmy Hanzey and members of the FBI’s Child Exploitation Task Force announced the sentence handed down Friday by U.S. District Judge Algenon L. Marbley.

 

According to court documents and testimony, a thumb drive and PlayStation gaming console taken from Chapman-Sexton's home contained more than 700 images of children engaged in sexual activity and evidence of online searches for child pornography and other sites related to sexual activity with children.

 

Despite the defendant’s claim that he had been set up and the child pornography was planted on the device when it was stolen on February 28, 2016, forensic evidence revealed that the child pornography had been downloaded continuously from July 2014 until February 27, 2016.

 

Chapman-Sexton was indicted by a federal grand jury of two counts of receipt of child pornography and one count of possession of child pornography in July 2016.

 

“Only a few months into his term of supervised release for his possession of child pornography conviction, the defendant began searching for child pornography again,” U.S. Attorney Glassman said. “Some of the files that he accessed and saved to a thumb drive were identical to the videos he had possessed on his computer in 2010. Many others depicted prepubescent boys suffering unimaginable sexual abuse. The circumstances of Chapman-Sexton’s offenses clearly demonstrate the need to protect the public through the significant period of imprisonment received today.”

 

U.S. Attorney Glassman commended the investigation by the FBI’s Child Exploitation Task Force, as well as Assistant United States Attorneys Heather A. Hill and Jessica W. Knight, who represented the United States in this case.

# # #

COLUMBUS, Ohio – John Charles Fortner, 39, of Chillicothe, was arrested yesterday afternoon when he met up with an undercover officer who he believed would connect him to children in order to engage in sexual conduct.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Franklin County Sheriff Dallas Baldwin, Westerville Police Chief Joseph Morbitzer and other members of the FBI’s Child Exploitation Task Force and the Franklin County Internet Crimes Against Children (ICAC) announced the arrest.

 

Fortner was charged by criminal complaint with attempted coercion or enticement of a minor for unlawful sexual activity, distribution of child pornography and commission of a felony offense involving a minor while required to register as a sex offender.

 

According to the affidavit attached to the criminal complaint, Fortner responded to an undercover task force officer’s advertisement seeking “open minded” individuals interested in “taboo fetishes.” The officer’s persona was that of a mother with three children, ages 12, eight and five.

 

Fortner told the persona he had wanted to engage in sexual activities with kids for a while and persisted in asking what sexual activities he could engage in with the children, and suggested that he and the persona meet soon.

 

Via Kik messenger, Fortner also sent the undercover officer a webpage link to child pornography and a screen shot from a video of a seven-to-nine-year-old female being sexually abused.

 

Upon asking for further contacts of parents with children open to sexual intercourse, the undercover officer provided Fortner with a second undercover officer’s phone number. Fortner reached out to that second officer and requested to engage in sexual intercourse with the officer’s fictitious 13-year-old daughter.

 

Fortner was convicted in 2013 and sentenced to prison in Montgomery County, Texas for possession of child pornography. The previous year, he had been convicted and sentenced to prison in Belmont County, Ohio for importuning and unlawful sexual conduct with a minor, for which he is still currently on parole. Commission of a felony offense involving a minor while required to register as a sex offender calls for an additional 10 years in prison consecutive to any other sentence imposed.

 

Fortner is currently registered as a Tier III sex offender in Ross County.

 

In this case, due to the prior convictions of the defendant, attempted coercion or enticement of a minor for unlawful sexual activity is a crime punishable by a range of 10 years to life in prison and distribution of child pornography carries a potential sentence of 15 to 40 years in prison.

 

U.S. Attorney Glassman commended the cooperative investigation by the FBI’s Child Exploitation Task Force and the Franklin County ICAC, as well as Assistant United States Attorney Heather A. Hill, who is representing the United States in this case.

 

###

COLUMBUS, Ohio – Brian P. Miller, 38, of Woodsfield, Ohio, was sentenced in U.S. District Court to 200 months in prison and 20 years of supervised release for receiving child pornography.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI) and members of the FBI’s Child Exploitation Task Force announced the sentence handed down yesterday by U.S. District Judge Michael H. Watson.

 

Miller pleaded guilty in November 2016, at which time he also admitted searching for, downloading and sharing hundreds of child pornography files between October 2014 and March 2016.

 

When law enforcement conducted a search warrant in March 2016 at Miller’s residence, a forensic examination of his computer revealed a video depicting the sexual abuse of a 12-month-old infant. Several other files that the defendant possessed showed a three-to-four-year-old girl being raped with a metal object.

 

“These files showed real children suffering real and horrendous abuse, and the defendant’s actions in downloading, viewing, and making the files available to others immeasurably exacerbated the psychological damage they have to endure,” U.S. Attorney Glassman said. “Downloading child pornography is not a victimless crime and will land you in federal prison.”

 

U.S. Attorney Glassman commended the cooperative investigation by the FBI’s Child Exploitation Task Force, as well as Assistant United States Attorney Heather A. Hill, who is representing the United States in this case.

 

###

COLUMBUS, Ohio – U.S. Attorney Benjamin C. Glassman announced that prior fugitive Jose Manuel Romero-Parada, 22, formerly of Indianapolis, Ind. and also known as Russo, was apprehended by the FBI at approximately 11:30am today in New Jersey.

 

Romero-Parada was one of 15 individuals recently indicted in the Southern District of Ohio for allegedly conspiring to extort and launder money in support of the transnational gang MS-13.

 

One of the 15 defendants charged, Nelson Alexander Flores, 46, also known as Mula, remains a fugitive.

 

Glassman commended the efforts of federal law enforcement and encouraged the continued support of the community in sharing information relevant to this case.

 

Individuals are asked to call the anonymous FBI hotline at 614-849-1765.

 

# # #

COLUMBUS, Ohio – Thirteen individuals alleged to be members and associates of MS-13 were arrested in Central Ohio and Indiana this morning.

 

A federal grand jury charged 10 individuals with conspiracy to commit extortion, conspiracy to commit money laundering, and use of a firearm during a crime of violence in an indictment returned here on July 27. Five other individuals were arrested and charged in criminal complaints with federal immigration-related crimes. Two of the 15 remain fugitives.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Rebecca Adducci, Detroit Field Office Director, U.S. Immigration and Customs Enforcement (ICE) Enforcement and Removal Operations, Franklin County Sheriff Dallas Baldwin and Columbus Police Chief Kim Jacobs announced the indictment that was unsealed following the arrests today.

 

MS-13, formally La Mara Salvatrucha, is a multi-national criminal organization composed primarily of immigrants or descendants of immigrants from El Salvador, Guatemala and Honduras. The organization’s leadership is based in El Salvador, where many of the gang’s high-ranking members are imprisoned.

 

In 2012, the United States government designated MS-13 as a “transnational criminal organization.” It is the first and only street gang to receive that designation. MS-13 has become one of the largest and most violent criminal organizations in the United States, with more than 10,000 members and associates operating in at least 40 states, including Ohio. In Ohio and elsewhere in the United States, MS-13 is organized into “cliques,” which are smaller groups of MS-13 members and associates acting under the larger mantle of the organization and operating in a specific region, city or part of a city.

 

1. indictment alleges that 10 defendants – members and associates of the Columbus clique of MS-13 – conspired to commit extortion through the use of threatened or actual force, violence or fear to intimidate their victims into paying money to the defendants and their co-conspirators. Many of the proceeds were sent, usually by wire transfer and often through intermediaries, to MS-13 members and associates in El Salvador and elsewhere. The money was then used to promote and facilitate the criminal activities of MS-13 in El Salvador and the United States.

 

As part of the alleged conspiracy, the defendants and their co-conspirators unlawfully obtained extortion proceeds to be used to, among other things, buy items that MS-13 uses to engage in criminal activity, such as cellular phones, narcotics and weapons; provide financial support and information to MS-13 members, including those incarcerated in El Salvador and the United States, as well as those who have been deported; and aid families of deceased MS-13 members.

 

The 10 defendants charged in the indictment are:

Name

Also Known As

Age

City

Jose Martin Neftali Aguilar-Rivera

Momia, Pelon

32

Columbus, Ohio/ Indianapolis, Ind.

Pedro Alfonso Osorio-Flores

Smokey

38

Columbus, Ohio

Juan Jose Jiminez-Montufar

Chele Trece

33

Columbus, Ohio

Isaias Alvarado

Cabo

44

Columbus, Ohio

Cruz Alberto-Arbarngas

Cruzito

30

Columbus, Ohio

*Jose Manuel Romero-Parada

Russo

22

Fugitive – Indianapolis, Ind.

Jose Salinas-Enriquez

Martillo

32

Dayton, Ohio

Jorge Cazares

Veneno

37

Columbus, Ohio

Jose Ramiro Aparicio-Olivares

Flaco

42

Columbus, Ohio

*Nelson Alexander Flores

Mula

46

Fugitive – whereabouts unknown

 

Conspiracy to commit extortion and conspiracy to commit money laundering are each crimes punishable by up to 20 years in prison. Brandishing a firearm in relation to a crime of violence carries a sentence of at least seven years in prison, consecutive to any other sentence imposed in the case.

 

The five defendants charged with immigration offenses in criminal complaints are:

Name

Also Known As

Age

City

Antonio Galdamez-Figueroa

Pinochio

29

Columbus, Ohio

Juan Pablo Flores-Castro

Duende

29

Columbus, Ohio

Jorge Alberto Landaverde

Grenas

33

Columbus, Ohio

Juan Jose Alvarenga-Alberto

Sailen

27

Columbus, Ohio

Marvin Otero-Serrano

Vaca

31

Columbus, Ohio

 

Illegally re-entering the United States after having been previously deported is a crime punishable by up to two years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, ICE, Columbus, Police and Franklin County Sheriff’s Office, and the assistance of the Ohio Bureau of Criminal Investigation (BCI) and Homeland Security Investigations (HSI), as well as Assistant United States Attorneys Brian J. Martinez and Jessica H. Kim, who are prosecuting the case.

 

If you are a victim of the alleged crimes, or have additional information about MS-13, please call the FBI hotline at 614-849-1765. Callers can remain anonymous.

 

An indictment or criminal complaint merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

# # #

COLUMBUS, Ohio – A federal grand jury has charged a father, mother and daughter in a 33-count indictment returned here on June 22 that alleges the family members conspired to and actually laundered nearly $3 million.

 

Parents Mitch G. Stevenson, 53, and Patricia Stevenson, 57, and their daughter Candace G. Stevenson, 30, all of Mason, Ohio, were charged with conspiring to launder money and money laundering.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, announced the indictment that was unsealed yesterday.

 

The indictment alleges that in 2009 two life-insurance policies were fraudulently purchased insuring another relative for a combined $2.9 million.

 

The policy applications falsely stated that the relative had never been diagnosed with diabetes, high blood pressure or ulcers, among other conditions, and that the relative had not had any medication in the 12 months before the application was prepared. The defendants reported the person’s weight as 170 pounds, when in actuality the person’s true weight was approximately 375 to 400 pounds.

 

As part of the application process for the life insurance, a medical examination was required.

 

“In early February 2009, an unknown individual in Sugar Land, Texas, who met the description in the applications, represented herself as the relative at the examination and was weighed at 176 pounds,” said U.S. Attorney Glassman. “Three weeks earlier, the actual relative was weighed in a Cincinnati emergency room at 387 pounds.”

 

In early 2011, amendments were made to the owners and beneficiaries of the two policies to name Patricia and Candace Stevenson. One year later, the relative died and West Coast Life Insurance Company issued a $1.5 million check to Patricia Stevenson and a $1.4 million check to Candace Stevenson.

 

The defendants then engaged in a complex sequence of transactions allegedly designed to conceal and disguise the nature, location, source, ownership or control of the proceeds of the life-insurance fraud.

 

They also purchased a 2012 Bentley GT Convertible for approximately $247,000 and used approximately $284,000 as a down payment on a land contract on a home in Mason, Ohio. Other transactions included approximately $16,000 to World of Decor and nearly $33,000 to Facet Jewelry.

 

Money laundering conspiracy is a crime punishable by up to 20 years in prison and money laundering carries a potential maximum sentence of 10 years in prison.

 

U.S. Attorney Glassman commended the investigation of this case by the IRS Criminal Investigation, and Assistant United States Attorney Peter K. Glenn-Applegate, who is prosecuting the case.

 

An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

# # #

COLUMBUS, Ohio – A federal grand jury has charged William E. Young, 54, of Columbus, with one count of cyberstalking in an indictment returned here today.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, announced the indictment.

 

The indictment alleges that Young used the mail and the Internet to attempt to cause substantial emotional distress and evoke fear of serious bodily injury or death.

 

According to an affidavit filed in support of a criminal complaint in this case, Young was arrested in October 1999 for menacing by stalking a female in Delaware County, Ohio. It is alleged that he has continuously harassed and stalked one of his arresting officers since the time of his arrest and conviction.

 

The affidavit details that over the course of more than 17 years, Young created four webpages and sent multiple letters claiming the victim is a “pedophile” and “corrupt cop.” Young allegedly mailed letters on numerous occasions to the victim’s wife and family, neighbors, physician, barber, church and church pastor and pastor’s wife, as well as to Ohio Wesleyan College, Delaware City Hall, the Delaware Chamber of Commerce, the Delaware City Mayor, Delaware City Council members, the Delaware Police Department, the Delaware County Sheriff’s Office, the Delaware County Jail, the Arapahoe County Prosecutor’s Office and other local community businesses.

 

“Letters varied in length from three to 92 pages, and often included court records related to the 1999 conviction and documents related to civil lawsuits that Young filed against the victim and a fellow officer,” U.S. Attorney Glassman said.

 

In a May 2010 interview with agents of the Ohio Bureau of Criminal Investigation (BCI), Young stated he wanted the victim fired and wanted him to “eat his gun.”

 

In September 2015, Young allegedly mailed a 62-page letter to the victim’s spouse which stated: “I’ll force his hand if the powers that be make the mistake of coming after me again. Then I’ll take everyone down who had a hand in what was done to me one by one.”

 

Over the last decade, Young has filed multiple state and federal civil lawsuits against the victim and another arresting officer from Young’s 1999 arrest, and the Delaware Police Department, alleging various claims of corruption and fraud.

 

Young was arrested by FBI agents on Tuesday and is scheduled to return to court at 11am tomorrow for a detention hearing before U.S. Magistrate Judge Elizabeth Preston-Deavers.

 

Cyberstalking is a federal crime punishable by up to five years in prison and a fine of up to $250,000.

 

U.S. Attorney Glassman commended the investigation of this case by the FBI, and Assistant United States Attorney Jessica H. Kim, who is prosecuting the case.

 

An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.

# # #

COLUMBUS, Ohio – Richard R. Edwards, 28, of Columbus, pleaded guilty in U.S. District Court to distributing heroin and fentanyl that resulted in the death or serious bodily injury of another.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Steve Francis, Special Agent in Charge, Homeland Security Investigations (HSI), Franklin County Prosecutor Ron O’Brien, Franklin County Sheriff Dallas Baldwin and other members of the Sheriff’s Office’s Heroin Overdose Prevention & Education (HOPE) Task Force announced the plea entered into today before U.S. Magistrate Judge Elizabeth A. Preston-Deavers.

 

In the statement of facts filed as part of the plea agreement in this case, Edwards admitted that his distribution of heroin and fentanyl led to a non-fatal overdose of a Columbus man in August of 2106, and a fatal overdose of a Columbus woman in December of 2016.

 

Edwards was arrested in March and has remained in custody since.

 

Distribution of heroin in this case is punishable by up to 20 years in prison.

 

“We will continue to work with all of our law enforcement partners through initiatives like the HOPE Task Force to bring the available federal tools and resources to bear on the narcotics traffickers who are causing so many deaths and overdoses in our Southern Ohio communities,” U.S. Attorney Glassman said.

 

“A fatal dose of fentanyl can fit inside the tip a finger nail, making it the deadliest chemical substance that we have to contend within the law enforcement community,” said Special Agent in Charge Francis. “Today’s guilty plea demonstrates our unrelenting resolve to bring to justice those responsible for distributing this lethal poison in our communities.”

 

“This is the first case investigated by the Franklin County HOPE Task Force to be adjudicated at the Federal Level since its inception in January of 2016,” said Sheriff Baldwin. “The HOPE Task Force is a Franklin County Sheriff’s Office led initiative which investigates Fatal and Non-Fatal overdose incidents with the combined objectives of incarcerating those responsible for the sale of deadly and dangerous opiates which cause death and/or serious physical harm, and linking survivors of Non-Fatal overdoses with Healthcare, Treatment, and Recovery programs overseen and administrated by Southeast Healthcare Inc.”

 

“This case is another example of the collaborative effort between all agencies working together in the prosecution of criminals selling drugs on the streets that are killing people,” Prosecutor O’Brien said. “We will continue to stand united against this kind of criminal conduct that continues to destroy lives on a daily basis.”

 

U.S. Attorney Glassman commended the investigation of this case by HSI and HOPE Task Force officers. Deputy Criminal Chief Michael J. Hunter is representing the United States in this case.

 

Established in 2016, the Heroin Overdose Prevention & Education Task Force was created as a restructuring of the Franklin County Drug Task Force. Experienced narcotics and homicide detectives working on the HOPE Task Force are treating opiate overdose scenes as crime scenes; investigating the source of the supply that caused the overdose. This case represents the first federal prosecution of a “death-resulting” case in Columbus that stemmed from a joint investigation with the HOPE Task Force.

 

# # #

COLUMBUS, Ohio – Justin M. Nickell, 36, of Galloway, Ohio, pleaded guilty in U.S. District Court to one count of distribution of child pornography.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Westerville Police Chief Joseph Morbitzer, Franklin County Sheriff Dallas Baldwin and other members of the Franklin County Internet Crimes Against Children (ICAC) Task Force announced the plea entered into before U.S. District Chief Judge Edmund A. Sargus, Jr.

 

According to the Statement of Facts in this case, Nickell communicated with an undercover task force officer posing online as a single mother of three children. The officer advertised that he was looking to chat with “open minded, taboo men” and Nickell responded.

 

During conversation on the Kik Messenger App, Nickell routinely made comments indicating that he wished to engage in sexual activity with the undercover persona’s three fictitious children. He also told the officer he secretly recorded a 12-year-old girl in his household getting out of the shower and drying off, and would then masturbate to the video afterwards. Nickell sent a screen shot from one of the videos to the officer. Nickell admitted to hiding his phone in a container in the bathroom under some clothing and also to recording her outside of the bathroom by placing his phone under the door.

 

On more than one occasion, Nickell sent nude photos of the 12-year-old girl to the undercover officer.

 

Nickell was indicted by a federal grand jury on March 23.

 

As part of his plea agreement, all parties have recommended a term of incarceration between 150 and 180 months. Chief Judge Sargus will consider that recommendation at a future sentencing hearing.

 

U.S. Attorney Glassman commended the investigation of this case by the Franklin County ICAC and Assistant United States Attorneys Heather A. Hill and Jessica H. Kim, who are representing the United States in this case.

 

# # #

DAYTON – Connie Apostelos, also known as Connie Coleman, 51, formerly of Springboro, Ohio, was sentenced in U.S. District Court today to 30 months in prison for charges related to a $70 million Ponzi scheme that defrauded nearly 500 victims.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio; Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, Cincinnati Field Office; Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI); Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service; James Vanderberg, Special Agent in Charge, U.S. Department of Labor Office of Inspector General; Joe Rivers, Regional Director of the U.S. Department of Labor Employee Benefits Security Administration; and Brian Peters, Enforcement Attorney, Ohio Department of Commerce Division of Securities, announced the sentence handed down today by U.S. District Judge Thomas M. Rose.

 

Apostelos and her husband, William Apostelos, were indicted in October 2015. According to court documents, beginning in 2009, and continuing for at least five years, the couple and others orchestrated a Ponzi scheme in the Dayton area in which nearly 480 investors lost more than $20 million collectively. They received $70 million in investment funds in total.

 

Connie Apostelos pleaded guilty to one count of money laundering in April.

 

Connie Apostelos operated and oversaw multiple companies in the Dayton area, including Coleman Capital, Inc. and Silver Bridle Racing, LLC. These companies were operated through improper use of investor funds to William Apostelos’ companies.

 

William Apostelos also operated and oversaw multiple purported investment and asset management companies in the Dayton area, including WMA Enterprises, LLC, Midwest Green Resources, LLC and Roan Capital. He falsely reported that he held a degree in mathematics and was a registered securities broker.

 

The couple recruited investors from 37 states to invest in WMA and Midwest Green, telling the investors that their money would be used for acquiring stocks or securities, purchasing real estate or land, providing loans to business and buying gold and silver.

 

Rather than investing the money, the couple used it to pay for personal luxuries. According to court documents, the couple was spending $35,000 per month on Connie’s horse racing company and $400 per month on Victoria’s Secret lingerie.

 

When the defendants became late on interest payments to the victims, they advised that their bank account had been hacked, a bank mistakenly failed to wire payment and/or the deal the victim had invested in was temporarily on hold.

 

The government has seized two racehorses, vehicles, jewelry, artwork and cash totaling approximately $650,000 from the couple.

 

William Apostelos pleaded guilty to conspiracy to commit mail and wire fraud and theft or embezzlement from an employee benefit plan and was sentenced in June to 180 months in prison.

 

Steven Scudder, 62, of Centerville, an attorney who served as trustee of the WMA Trust, pleaded guilty in U.S. District Court in January to wire fraud, admitting that he used his position as an attorney to facilitate the fraudulent investment scheme. He was sentenced in June to 14 months in prison.

 

“Connie Apostelos used the money of hard working investors to pay for her extravagant personal expenses and is being held accountable for her actions,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “Now, approximately 500 investors are in financial peril that could last a lifetime.”

 

U.S. Attorney Glassman commended the investigation of this case by law enforcement, and Assistant United States Attorney Brent G. Tabacchi, who is prosecuting the case.

 

# # #

CINCINNATI – Luis Caseres-Duarte, 26, of Norcross, Ga., was sentenced in U.S. District Court to 21 months in prison for participating in what is known as the “Craigslist car” scheme, a fraud scheme that caused numerous people to send money for cars that were never delivered.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, and West Chester Police Chief Joel Herzog, announced the sentence handed down today by U.S. District Judge Timothy S. Black.

 

According to court documents, the scheme involved members of a conspiracy (many of whom were overseas) placing ads on Craiglist and other sites to sell vehicles for attractive prices. The cars were listed for sale using a fake name or fake business name from whom buyers were instructed to wire money to a purported “broker.” Caseres-Duarte and others would then use fraudulent identification documents to pose as the broker and withdraw the wired funds. Once funds were withdrawn, the money would be split between members of the conspiracy. No actual vehicles were ever provided for the purchases.

 

Caseres-Duarte was identified as part of this scheme during a traffic stop near West Chester, Ohio, shortly after he obtained one of the wire payments at a Walmart. Officers discovered more than $2,000 in cash on his person and when given consent to search Casertes-Duarte’s cell phone, observed text messages identifying transactions of more than $20,000.

 

Investigators then discovered more than $33,000 in cash in hotel rooms used by the defendant in Cincinnati, as well as documentation noting wires for more than $160,000 to individuals in Hungary.

 

Caseres-Duarte pleaded guilty in March 2017 to one count of conspiracy to commit wire fraud.As part of his sentence, he was also ordered to serve 50 hours of community service, serve three years of supervised release, and pay more than $200,000 in restitution to the buyer victims of the scheme.

 

A second co-defendant in the case, Javier Martinez-Melo, faced charges for this scheme in both Ohio and Tennessee. Martinez-Melo was sentenced in May 2017 by a federal court in Tennessee and received a total sentence of 57 months.

 

U.S. Attorney Glassman commended the cooperative investigation by the West Chester Police Department and the FBI, as well as Assistant United States Attorney Timothy S. Mangan, who is representing the United States in this case.

 

###

DAYTON, Ohio – Mollie Parsons, 47, of Middletown, Ohio, was sentenced in U.S. District Court to 36 months in prison for healthcare fraud related to the death of a severely physically disabled minor.

 

She was previously sentenced by the state to serve 10 years in prison for her role in the death of her minor patient, and her federal sentence will be served consecutive to her state one. She is also banned from working for any governmental entity in the healthcare field for life.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Lamont Pugh, Special Agent in Charge, Health and Human Services Office of Inspector General (HHS-OIG), announced the sentence handed down today by U.S. District Judge Walter H. Rice.

 

According to the Statement of Facts in this case, Parsons was employed as a home healthcare nurse for a minor with severe physical impairments from at least 2009 until March 2011. Parsons was paid through Medicaid to provide daily nursing services, including but not limited to, wound care, personal hygiene maintenance and feeding assistance. The child under her care was unable to communicate, completely paralyzed and dependent upon feeding tubes.

 

Rather than working her eight-hour shift and providing the nursing services, Parsons was frequently absent from the home for extended periods of time. To conceal her neglect, the defendant submitted false claims to Medicaid to receive fraudulent payments for private duty nurse services.

 

Parsons pleaded guilty in the federal case in January 2016 to two counts of healthcare fraud.

 

“Parsons’ actions directly undermined the purpose for which Medicaid compensated her – providing medical care to a severely disabled child – as she deprived a child with cerebral palsy of the most basic medical care and comfort,” U.S. Attorney Glassman said. “The state prosecution served as the primary mechanism to address and punish the child victim’s death, but could not address the fraud against Medicaid. This federal prosecution therefore provides accountability for her fraudulent conduct as it relates to Medicaid.”

 

U.S. Attorney Glassman commended the cooperative investigation by HHS-OIG, as well as Assistant United States Attorney Brent G. Tabacchi and Deputy Criminal Chief Laura I. Clemmens, who are representing the United States in this case.

 

###

CINCINNATI – A federal grand jury has charged seven defendants in armed bank robbery cases in two separate indictments returned in Cincinnati.

 

Malcolm Lorenzo Jones, 20, of Cincinnati, remains at large.

 

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, Cincinnati Police Chief Eliot K. Isaac, Colerain Police Chief Mark Denney, Green Township Police Chief James Vetter and Springfield Township Police Chief Robert Browder announced the indictments returned this week.

 

One indictment alleges that Keila D. Spurling, 26, Miguel Chiles, 27, and Sierra L. Leary, 23, all of Cincinnati, were involved in the armed robbery of Main Source Bank on Cheviot Road in Cincinnati on May 26 and Quincy Chiles, 21, also of Cincinnati, joined the trio in the armed robbery of the Wes Banco Bank on Winton Road in Springfield Township on June 6.

 

The second indictment, which is a superseding indictment, alleges that Nelson Jones, 25, and Hope Tolbert, 20, both of Cincinnati, were involved in the armed bank robbery of North Side Bank and Trust on Gregory Street in Cincinnati on May 13 and Nelson Jones and Malcolm Lorenzo Jones, 20, also of Cincinnati were involved in the armed bank robbery of Key Bank on Springdale Road in Colerain Township on May 22.

 

U.S. Attorney Glassman commended the investigation of these cases by the FBI and local police departments, as well as Assistant United States Attorney Anthony Springer who is prosecuting these cases.

 

An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.

 

If you have information on the whereabouts of Malcolm Lorenzo Jones, please call FBI at 513-421-4310 and/or Crime Stoppers at 513-352-3040.

 

# # #

COLUMBUS, Ohio – Oscar Collado-Rivera, 32, of New Albany, Ohio, was sentenced in U.S. District Court to 200 months in prison for conspiring with others to distribute more than 150 kilograms of cocaine.

 

A U.S. District Court jury convicted Collado-Rivera in November 2016 after a three-day trial for his role in the conspiracy, which involved at least $4 million in drugs and U.S. currency over a six-month period in 2015.

 

U.S. Attorney Benjamin C. Glassman of the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, U.S. Drug Enforcement Administration (DEA), Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, and agencies in a state and local task force announced the sentence handed down today by U.S. District Judge Michael H. Watson.

 

Evidence presented during the trial established that Collado-Rivera and others were responsible for arranging large shipments of cocaine from Mexico and Texas into the Columbus area.

 

The jury convicted Collado-Rivera of one count of conspiracy to possess with intent to distribute more than five kilograms of cocaine. Task Force officers arrested Collado-Rivera in December 2015 based on a federal criminal complaint. He has been in custody since his arrest.

 

Glassman commended Franklin County Sheriff Dallas Baldwin’s Office, the Ohio State Highway Patrol, and the investigators with police departments in Pickerington, Upper Arlington and Westerville who conducted the investigation, as well as Deputy Criminal Chief Michael Hunter and Appellate Chief Mary Beth Young, who represent the United States in prosecuting the case.

 

# # #