Middle District of Pennsylvania

WILKES-BARRE – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on May 9, 2019, Jared Andrew Novy, age 39, of Jim Thorpe, Pennsylvania, was sentenced to 360 months’ imprisonment by United States District Court Judge A. Richard Caputo for the production of child pornography.

According to United States Attorney David J. Freed, Novy pleaded guilty to production of child pornography in July 2018, and admitted that he produced multiple videos and images of minors engaged in sexually explicit conduct.  Novy previously pleaded guilty and was sentenced in Carbon County to state related sexual abuse crimes involving minors.

The charges stem from an investigation conducted by Homeland Security Investigations – Philadelphia Division.  Assistant United States Attorney Michelle Olshefski prosecuted the case.

In addition to the prison term, Judge Caputo ordered that Novy by supervised by a probation officer for ten years following his release from prison.  Novy will also be required to comply with the registration requirements of the Sexual Offender Registration and Notification Act (Adam Walsh Act) upon release from prison.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit  www.usdoj.gov/psc For more information about internet safety education, please visit  www.usdoj.gov/psc and click on the tab "resources."

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SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Kerry Wylie, age 27, of Wilkes-Barre, Pennsylvania, pleaded guilty on May 8, 2019, before Senior U.S. District Court Judge James M. Munley, to conspiracy to distribute and possess with intent to distribute alpha-pvp, commonly known as “bath salts.”  

According to United States Attorney David J. Freed, Wylie admitted to participating in the conspiracy between March 2014 and January 2016. The conspiracy involved the importation of alpha-pvp from suppliers in China, and the distribution of the drug to sub-distributors and customers in the Luzerne County area. Wylie admitted to being responsible for the possession with intent to distribute and distribution of approximately 1.5 kilograms of alpha-pvp.

Kerry Wylie was one of seven people indicted by a grand jury in August 2016. That indictment was the fourth indictment resulting from the lengthy investigation into “bath salts” trafficking conducted by Agents of the Department of Homeland Security, Agents of the Drug Enforcement Administration, United States Postal Inspectors, and members of the Pennsylvania State Police. In all, 18 people were charged as a result of the investigation, including a Texas-based couple who shipped “bath salts” to customers throughout the United States, including Pennsylvania.

Todd Morgans, of West Pittston, a major local supplier of “bath salts,” was previously sentenced to 135 months’ imprisonment. David Folweiler, a Luzerne County sub-distributor, was sentenced to 90 months’ imprisonment. One of the Texas-based suppliers, Treiu Thuy Duong, received a 70-month prison sentence. Alan Folweiler received a 63-month sentence. Frank Brennan was sentenced to 60 months’ imprisonment.

The investigation has resulted in the seizure and forfeiture of several firearms, thousands of dollars in cash, hundreds of silver coins, real property and bank accounts valued at more than $750,000.

Judge Munley ordered a pre-sentence investigation to be completed, and scheduled sentencing for August 9, 2019.  

Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.       

The maximum penalty under federal law for this offenses is 20 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Bruce Redmond, age 30, of Dallas, Pennsylvania, was indicted by a federal grand jury on May 7, 2019, for illegal possession of firearms and drug trafficking in Luzerne County.

According to United States Attorney David J. Freed, the indictment charges Redmond with unlawful possession of firearms and ammunition, possession of a stolen firearm, possession of an illegal “short-barreled” shotgun, false statements in connection with the purchase of firearms, possession with intent to distribute methamphetamine, and aiding and abetting the distribution of suboxone. 

This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Kingston Police Department, and the Pennsylvania State Police.  Assistant U.S. Attorney Robert J. O’Hara is prosecuting the case.

This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.  The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.

Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for the drug offenses is twenty years’ imprisonment, a term of supervised release following imprisonment, and a fine.  The maximum penalty for the firearms offenses is ten years’ imprisonment, a term of supervised release, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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The Hazleton City Police Department received a check in the amount of $295,787.11 today from Homeland Security Investigations Philadelphia office.

HARRISBURG – U.S. Attorney David J. Freed of the United States Attorney’s Office for the Middle District of Pennsylvania joined Special Agent in Charge of Homeland Security Investigations (HSI) Philadelphia, Marlon V. Miller, in presenting a check in the amount of $295,787.11 today to the Chief of Police for the Hazleton City Police Department, Jerry Speziale.

A HSI New York Darknet investigation identified Joshua Sweet, age 26, of Hazleton, Pennsylvania, as a prolific Darknet vendor who manufactured and distributed substantial quantities of narcotics including cocaine, alprazolam, fentanyl, and marijuana, on the Darknet. He laundered his illicit proceeds on the Darknet in an attempt to conceal his illegal activities from law enforcement. Over the course of the yearlong probe, HSI and the Hazelton City Police Department seized evidence including significant quantities of narcotics, equipment to make counterfeit pills, cash, and bitcoin as drug trafficking proceeds.

The U.S. Attorney’s Office for the Middle District of Pennsylvania in conjunction with HSI Philadelphia special agents, charged Sweet in a criminal complaint on May 16, 2018, with possession with intent to distribute controlled substances. 

“Homeland Security Investigations is proud to return a significant portion of the money seized in this case to the police department, where it will be put to good use improving the public safety for all citizens in this area," said Marlon V. Miller, special agent in charge of HSI Philadelphia. "We recognize the key role that our local law enforcement partners play in addressing the significant threat that narcotics pose on our communities. Sadly, the perils of narcotics trafficking do not just affect our big cities, they also having a significant impact on our smaller communities."

“While we can and will continue to focus on public safety, effective investigations allow us to also disrupt the business of crime by seizing ill-gotten gains,” said U.S. Attorney David J. Freed. “This presents the opportunity to share these assets with local partners and communities that have been negatively impacted by criminal activity. Because of the great work of HSI and Hazleton Police Department, the law-abiding citizens of Hazleton will benefit for years to come.” 

“The collaboration between us has unleashed the power of us all to accomplish what none can do alone,” said Jerry Speziale, Chief of Police for the Hazleton City Police Department.  “These funds will support future law enforcement endeavors and equipment so the taxpayer don’t shoulder the burden.”

The funds resulted from an investigation by HSI Philadelphia’s Cyber Crime Investigations Task Force (C2iTF), the Hazleton City Police Department, U.S. Postal Inspection Service, and the Pennsylvania State Police. Assistant United States Attorney Sean Camoni is prosecuting the case.

HSI’s asset forfeiture program exemplifies HSI’s efforts in the area of identification, seizure and forfeiture of assets that represent the proceeds of, and/or were used to facilitate federal violations under the investigative jurisdiction of HSI. The program adheres to the principal belief that the utilization of consistent and strategic application of asset forfeiture laws is necessary and vital in order to disrupt and dismantle the financial infrastructure of criminal enterprises and other national security threats. Asset forfeiture is an essential element of comprehensive and effective law enforcement as it deprives trans-national criminal organizations of their illicitly obtained assets. Accordingly, HSI brings to bear considerable authority, expertise and resources in the area of asset forfeiture. The forfeiture of assets can be and is utilized as a sanction in criminal, civil and administrative investigative activities.

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SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Derek Mountz, age 35, of Schuylkill Haven, Pennsylvania, was sentenced on May 6, 2019, to 105 months’ imprisonment followed by four years on supervised release, by Senior U.S. District Court Judge A. Richard Caputo, for participating in a drug trafficking conspiracy that distributed heroin and methamphetamine in the Schuylkill County area in 2016.

According to United States Attorney David J. Freed, Mountz previously pleaded guilty to conspiracy to distribute more than 100 grams of heroin and more than 50 grams of methamphetamine. One hundred grams of heroin is equivalent to approximately 4,000 retail bags of heroin.

The matter was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and local police in Schuylkill County. Assistant U.S. Attorney Francis P. Sempa prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.          

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HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that former Penn National horse trainer Murray Rojas, age 53, of Grantville, Pennsylvania, was sentenced on May 6, 2019, to 27 months’ imprisonment on each of her 14 felony convictions for misbranding prescription drugs on race day and conspiracy. The sentences were ordered to run concurrent to each other. Rojas was also sentenced to serve 2 years of supervised release and to pay a $5,000 fine.

According to United States Attorney David J. Freed, Rojas was convicted by a federal jury on June 30, 2017, of 14 felony counts of misbranding prescription drugs on race day and conspiracy. The crimes involved Rojas directing veterinarians to administer drugs to her horses on race day in violation of track rules and state law. The conspiracy took place between 2002 and 2014, and involved 58 races.  Rojas conspired with three veterinarians to have the drugs dispensed and administered to horses on the day they were entered to race.

As part of the conspiracy the veterinarians attempted to conceal this conduct by backdating invoices for the sale and administration of drugs to the horses on race day, as well as the submission of fraudulent veterinarian treatment reports to the Pennsylvania Horse Racing Commission.

The United States Attorney’s Office prosecuted several other individuals as part of this investigation in federal and state court, including:

• Danny Robertson, the official clocker, charged with wire fraud, sentenced to one year probation and ordered to pay a $2,500 fine;
• Craig Lytel, a racing official, charged with wire fraud, sentenced to four months in prison and ordered to pay a $1,000 fine;
• David Wells, owner and trainer, charged with rigging a publicly exhibited contest, sentenced on February 23, 2015, to three months’ imprisonment;
• Patricia Rogers, trainer, charged with rigging a publicly exhibited contest, received an ARD in Dauphin County Court of Common Pleas;
• Samuel Webb, trainer, charged with rigging a publicly exhibited contest, received an ARD in Dauphin County Court of Common Pleas;
• Renée Nodine, veterinarian, charged with misbranding and conspiracy, awaiting sentencing;
• Kevin Brophy, veterinarian, charged with misbranding and conspiracy, awaiting sentencing;
• Fernando Motta, veterinarian, charged with misbranding and conspiracy, awaiting sentencing; and
• Christopher Korte, veterinarian charged with misbranding and conspiracy, awaiting sentencing.

Judge Rambo ordered Rojas to report to a federal prison to be designated by the Bureau of Prisons on June 3, 2019. A decision whether Rojas will be allowed to remain on bail pending an appeal is under advisement by the court.

The case was investigated by the by the Federal Bureau of Investigation, the Pennsylvania Department of Agriculture’s Horse Racing Commission and the Food and Drug Administration, Office of Criminal Investigations. Assistant United States Attorney William A. Behe prosecuted the case.

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HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Robert T. Donelon, age 56, of York County, was sentenced on May 3, 2019, by Chief United States District Court Judge Christopher C. Conner to 96 months’ imprisonment followed by 10 years of supervised release for child exploitation offenses. Chief Judge Conner also ordered Donelon to pay $1,000 to each of the seven identifiable victims.

According to United States Attorney David J. Freed, Donelon pled guilty to the receipt and distribution of images of child pornography between December 2016 and January 2018, in York County. 

The case was investigated by the West York Borough Police Department and the Federal Bureau of Investigation.  Assistant United States Attorney James T. Clancy prosecuted the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit  www.usdoj.gov/psc For more information about internet safety education, please visit  www.usdoj.gov/psc and click on the tab "resources."

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HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Caesar A. Torres-Rodriguez, age 23, of Harrisburg, was sentenced on May 2, 2019, by Chief United States District Court Judge Christopher C. Conner to 100 months’ imprisonment followed by three years of supervised release for drug trafficking and firearm charges.

According to United States Attorney David J. Freed, Torres possessed a firearm in furtherance of trafficking heroin on April 30, 2016, in Dauphin County. 

The charge stemmed from an investigation conducted by the Harrisburg Police Department, assisted by the Bureau of Alcohol, Tobacco, and Firearms.  Assistant United States Attorney James T. Clancy prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.

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HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on April 30, 2019, United States District Court Judge Yvette Kane sentenced Jacob Charles LaFrance, age 29, of Thurmont, Maryland, to 41 months’ imprisonment followed by three years of supervised release.  LaFrance was also ordered to pay $6,114 in restitution.

According to United States Attorney David J. Freed, LaFrance committed the armed robberies of the following banks:

• PNC Bank in Fairfield, Adams County, on April 25, 2018, stole $4,266; and
• M&T Bank in Blue Ridge Summit, Franklin County, on May 3, 2018, stole $1,848. 

The case was investigated by the Federal Bureau of Investigation with the assistance of the Frederick County (MD) Sheriff’s Office, the Carroll Valley Borough Police, and the Washington Township Police Department.  Assistant United States Attorney James T. Clancy prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

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SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Marquese Whitted, age 33, of Orwigsburg, Pennsylvania, was sentenced to 96 months’ imprisonment followed by four years on supervised release by Senior U.S. District Court Judge A. Richard Caputo, for participating in a drug trafficking conspiracy that distributed heroin and methamphetamine in the Schuylkill County area in 2016.

According to United States Attorney David J. Freed, Whitted previously pleaded guilty to conspiracy to distribute more than 100 grams of heroin and more than 50 grams of methamphetamine. At today’s sentencing hearing, the Court found that Whitted was responsible for 100 grams of heroin (which is equivalent to 4,000 retail bags), and more than 400 grams of methamphetamine. The Court also found that Whitted had created a substantial risk of death or serious bodily injury when he used his vehicle to ram a police van and attempted to ram another police van while attempting to flee from police in October 2016. 

The matter was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and local police in Schuylkill County. Assistant U.S. Attorney Francis P. Sempa prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.

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WILKES-BARRE - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Steven Silva-Lugo, age 32, of Henryville, Monroe County, was sentenced on April 26, 2019, by Senior U.S. District Court Judge A. Richard Caputo to forty-five months’ imprisonment and three years on supervised release for his role in a Monroe County-based cocaine trafficking conspiracy.

According to United States Attorney David J. Freed, Silva-Lugo previously pleaded guilty to conspiring with others to distribute between 280 grams and 840 grams of crack cocaine, as well as between 3.5 kilograms and 5 kilograms of powder cocaine, in the Monroe County area between May and July 2015.  Silva-Lugo was one of eleven individuals indicted by a grand jury in July 2015 and charged with conspiring to distribute powder cocaine, crack cocaine and/or heroin in the Monroe County area. 

The case was investigated by the Drug Enforcement Administration (DEA) and the Pocono Mountain Regional Police Department.  Assistant United States Attorney Robert J. O’Hara prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.  The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.

This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.         

This prosecution is also part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF).  OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.

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SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Rodney Williams, age 36, of Wilkes-Barre, pleaded guilty on April 26, 2019, before Senior U.S. District Court Judge A. Richard Caputo, to distributing fentanyl to another person that resulted in the death of that person.   

According to United States Attorney David J. Freed, Williams admitted to supplying fentanyl to a drug customer on or about December 17, 2017, and the customer subsequently died as a result of ingesting the fentanyl in Kingston, Pennsylvania. Police found the deceased’s body on December 19, 2017.

Judge Caputo ordered a presentence investigation to be completed and scheduled sentencing for July 17, 2019.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Kingston Police. Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.         

The maximum penalty under federal law for this offenses is life imprisonment, a term of supervised release following imprisonment, and a fine. There is also a mandatory minimum sentence of 20 years’ imprisonment. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Juan Elvis Monsanto, age 59, of Hazleton, a citizen of the Dominican Republic, pleaded guilty on April 25, 2019, before U.S. District Court Judge Robert D. Mariani, to possession with intent to distribute cocaine and more than 50 grams of methamphetamine.   

According to United States Attorney David J. Freed, Monsanto admitted to committing the crime in February 2016, in Hazleton. Agents of the Drug Enforcement Administration (DEA) and Hazleton Police executed a search warrant at Monsanto’s residence and seized 453 grams of methamphetamine and 150 grams of cocaine.

Judge Mariani ordered a pre-sentence investigation to be completed and sentencing will be scheduled at a later date. Monsanto is detained in prison pending sentencing. Monsanto agreed not to oppose deportation and removal from the United States following his prison sentence.

The case is being investigated by the Drug Enforcement Administration and Hazleton Police. Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.        

The maximum penalty under federal law for this offenses is 40 years’ imprisonment, a term of supervised release following imprisonment, and a fine. There is also a mandatory minimum sentence of five years’ imprisonment. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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The United States Attorney’s Office for the Middle District of Pennsylvania announced that James Hocker, age 49, was sentenced on April 26, 2019, by United States District Court Judge Matthew W. Brann to 204 months’ imprisonment and three years of supervised release for committing securities fraud.  Judge Brann also ordered Hocker to pay restitution to the victims in the amount of $1,495,782.62.

According to U.S. Attorney David J. Freed, Hocker, an insurance agent, defrauded approximately thirty-eight investors of more than $1.4 million from 2009 to 2018.  Hocker told victims that he would invest their money in funds with guaranteed returns of up to thirty percent, but instead used the money for personal expenses. Many of the victims were elderly and liquidated their retirement accounts and insurance products in order to invest with Hocker.

The matter was investigated by the United States Securities and Exchange Commission’s Enforcement Division and the Federal Bureau of Investigation. Assistant United States Attorney Alisan V. Martin prosecuted the case.

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SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Douglas Sickler, age 38, of Hanover Township, Pennsylvania, was sentenced on April 25, 2019, by United States District Judge Robert D. Mariani to 63 months of imprisonment and three years of supervised release, for an armed bank robbery.

According to United States Attorney David J. Freed, Sickler and his co-defendant, Shawn Cavanaugh, robbed the PNC Bank in Avoca, Pennsylvania on June 21, 2017, while brandishing pellet guns.  Sickler and Cavanaugh were arrested on June 22, 2017, and have remained in custody since.  Sickler pleaded guilty to the offense on September 14, 2017.  In addition to the sentence of imprisonment, Judge Mariani ordered that Sickler pay $909 to the victim of his crime.

Sickler’s co-defendant, Shawn Cavanaugh, also pleaded guilty and is awaiting sentencing.

The matter was investigated by the Federal Bureau of Investigation and the Kingston Police Department.  The case was prosecuted by Assistant United States Attorneys Phillip J. Caraballo and Robert J. O’Hara.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

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SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on April 24, 2019, United States District Court Judge James M. Munley sentenced Theodore O. Wing, age 52, of Hazleton, Pennsylvania, to 63 months’ imprisonment and a two-year term of supervised release, for aiding and abetting false statements in the purchase of firearms.

According to United States Attorney David J. Freed, Wing’s daughter, Jasmine Wing,  purchased five firearms while making false representations that she was the actual buyer, when in fact Theodore Wing and his co-conspirators selected, paid for, and took possession of the firearms.  The firearms were purchased from Bob’s Sporting Goods in Hazleton, PA, and from Dave’s Gun Shop in Drums, PA, between September 19, 2014 and March 19, 2015.  The firearms were:

1. a Glock 19 9mm;
2. a Glock 23 .40 caliber;
3. a Taurus PT745Pro .45acp;
4. an Extar EXP556 5.56; and
5. a CAI/Romarm Micro Draco 7.62x39 (a semiautomatic firearm that is capable of accepting a large capacity magazine).

Two of the firearms subsequently were recovered in law enforcement operations, including one that had been used in a shooting in Hazleton, Pennsylvania, in February 2015.  In pronouncing the sentence, Judge Munley highlighted Theodore Wing’s lengthy criminal history, willingness to involve his own daughter in this offense, and his attempts to persuade his daughter to lie to investigating law enforcement officials.  Theodore Wing has remained in custody pursuant to this matter and an unrelated state sentence for a narcotics trafficking conviction.

The United States previously filed a criminal information and plea agreement with Jasmine Wing, who was charged with making false statements in the course of purchasing six firearms (including the five charged against Theodore Wing).  Jasmine Wing pleaded guilty on August 9, 2017, and is awaiting sentencing.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives.  The case was prosecuted by Assistant U.S. Attorney Phillip J. Caraballo.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

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SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on April 23, 2019, United States District Court Judge James M. Munley sentenced John Jacob Hasay, age 22, of Benton, Pennsylvania, to 24 months’ imprisonment and a two-year term of supervised release, for the illegal possession of a machinegun.

According to United States Attorney David J. Freed, Hasay came to the attention of federal law enforcement after he posted content in online forums espousing racist and anti-Semitic statements, and threatened to commit a hate crime.  Investigators determined that Hasay obtained an auto-sear, which is a device used to convert semi-automatic handguns to fully automatic capabilities, by smuggling it through U.S. Customs from Russia, disguised as a motorcycle part.

During the execution of a search warrant at Hasay’s residence, federal agents recovered several illegal firearms and associated components and ammunition.  Those firearms and items were forfeited at Hasay’s sentencing, and included:

1. Glock 19 9mm bearing an auto sear;
2. CAA Model G3, Micro Roni pistol carbine conversion bearing a scope;
3. IWI Model MP Uzi bearing a shortened barrel (a semiautomatic firearm that is capable of accepting a large capacity magazine);
4. GSG Model 522 bearing a shortened barrel and a Black and Brown optic (a semiautomatic firearm that is capable of accepting a large capacity magazine);
5. Charter Arms Model AR-7 Explorer bearing a shortened barrel (a semiautomatic firearm that is capable of accepting a large capacity magazine);
6. Mossberg Model 500A bearing a shortened barrel;
7. I.O. Inc. Sporter bearing a suppressor (a semiautomatic firearm that is capable of accepting a large capacity magazine); and
8. Two suppressors.

Hasay has remained in detention since his arrest on August 23, 2018.

The case was investigated by the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.  The case was prosecuted by Assistant U.S. Attorney Phillip J. Caraballo.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

# # #

HARRISBURG – Following a 14-day jury trial in Harrisburg, Pennsylvania, Ben T. Wootton, of Enola, Pennsylvania, and Race A. Miner, of Buena Vista, Colorado, were found guilty of one count of conspiracy to make false statements to the Environmental Protection Agency (EPA), six counts of making false statements to the EPA, one count of conspiracy to defraud the Internal Revenue Service (IRS), and one count of aiding and assisting in the filing of a false claim with the IRS, announced U.S. Attorney David J. Freed for the Middle District of Pennsylvania, Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Environmental and Natural Resources Division (ENRD), Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division, EPA Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine, and IRS-CI Special Agent in Charge Kelly Jackson. The jury also found the corporation, Keystone Biofuels Inc. (Keystone), guilty of conspiring to make false statements to the EPA and six counts of making false statements to the EPA. 

According to the evidence presented at trial, Wootton and Miner co-owned and operated Keystone, originally in Shiremanstown, Pennsylvania, and later in Camp Hill, Pennsylvania. Keystone purported to be a producer and seller of biodiesel, a type of renewable fuel. From August 2009 through September 2013, Wootton and Miner participated in a conspiracy to fraudulently generate renewable fuel credits, identified by renewable identification numbers (RINs) on Keystone fuel and, through January 2012, to fraudulently claim tax refunds based on the Biodiesel Mixture Tax Credit, a federal excise tax credit for persons or businesses who mix biodiesel with petroleum and use or sell the mixture as a fuel.

“The defendants in this case participated in a criminal scheme that struck directly at the heart of a government program that was created to benefit both honest business owners and the community at large by encouraging the development and use of clean bio-diesel fuel,” said U.S. Attorney David J. Freed.  “Instead, the defendants defrauded their fellow citizens to the tune of more than $4 million. Working with our partners, we will not rest in pursuing cases that target our shared financial resources.”

“These defendants are guilty of premeditated fraud, pure and simple,” said Assistant Attorney General Clark.  “They directly stole money from the federal fisc and they masqueraded as benefactors of the environment.  We are grateful for the cooperation of our partners in the Tax Division and U.S. Attorney’s Office in putting an end to this scheme.”

“Abuse of biodiesel fuel credits harms law abiding renewable fuel producers and the United States government,” said Principal Deputy Assistant Attorney General Zuckerman. “The Tax Division along with its partners at United States Attorney’s Offices, ENRD, IRS-CI, and EPA will vigorously prosecute those who fraudulently claim biodiesel fuel credits and violate the criminal law.”

“Today’s guilty verdict is a victory for the American taxpayer,” said IRS-CI Special Agent in Charge Kelly Jackson.  “IRS Criminal Investigation will pursue anyone who burns the biodiesel industry by enriching themselves through tax credits they are not entitled to.”

“Today’s guilty verdict demonstrates the severe consequences for anyone who tries to make a profit by defrauding the RINS market,” said EPA Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine. “EPA and its federal partners worked together to protect the integrity of the Renewable Fuels Standard program by uncovering and prosecuting the defendants’ criminal activities.”

As part of the conspiracy, Wootton and Miner caused inflated fuel amounts to be reported to the IRS. The inflated fuel numbers supported their fraudulent claims for tax refunds on fuel Keystone was not producing. To account for the inflated fuel amounts, Wootton and Miner created false books and records and engaged in a series of sham financial transactions intended to mirror the false books and records. In addition, Miner doctored fuel samples and test results to fraudulently claim tax refunds and RINs on fuel that did not meet the requisite quality standards to qualify for the tax refunds and RINs. It is estimated that over $10 million was generated from the fraudulent RIN sales, and the total tax loss to the government resulting from the defendants’ conduct is approximately $4,149,983.41.

Wootton and Miner face a statutory maximum sentence of five years in prison on each conspiracy count, each false statement to the EPA count, and three years in prison on the count of filing a false tax claim with the IRS, as well as periods of supervised release, restitution, and monetary penalties.

U.S. Attorney Freed, Assistant Attorney General Clark, and Principal Deputy Assistant Attorney General Zuckerman thanked agents of IRS-Criminal Investigation and EPA Criminal Investigation Division, who conducted the investigation, and Senior Litigation Counsel Howard P. Stewart of the Justice Department’s Environmental and Natural Resources Division, Trial Attorneys Mark Kotila, Kimberly Ang, and Michael Vasiliadis of the Justice Department’s Tax Division, Assistant U.S. Attorney Geoffrey MacArthur, and Special Assistant U.S. Attorney David Lastra, who prosecuted the case.

# # #

Following a 14-day jury trial in Harrisburg, Pennsylvania, Ben T. Wootton, of Enola, Pennsylvania, and Race A. Miner, of Buena Vista, Colorado, were found guilty of one count of conspiracy to make false statements to the Environmental Protection Agency (EPA), six counts of making false statements to the EPA, one count of conspiracy to defraud the Internal Revenue Service (IRS), and one count of aiding and assisting in the filing of a false claim with the IRS, announced Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Environmental and Natural Resources Division (ENRD), Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division, U.S. Attorney David J. Freed for the Middle District of Pennsylvania, EPA Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine, and IRS-CI Special Agent in Charge Kelly Jackson. The jury also found the corporation, Keystone Biofuels Inc. (Keystone), guilty of conspiring to make false statements to the EPA and six counts of making false statements to the EPA. 

According to the evidence presented at trial, Wootton and Miner co-owned and operated Keystone, originally in Shiremanstown, Pennsylvania, and later in Camp Hill, Pennsylvania. Keystone purported to be a producer and seller of biodiesel, a type of renewable fuel. From August 2009 through September 2013, Wootton and Miner participated in a conspiracy to fraudulently generate renewable fuel credits, identified by renewable identification numbers (RINs) on Keystone fuel and, through January 2012, to fraudulently claim tax refunds based on the Biodiesel Mixture Tax Credit, a federal excise tax credit for persons or businesses who mix biodiesel with petroleum and use or sell the mixture as a fuel.

“These defendants are guilty of premeditated fraud, pure and simple,” said Assistant Attorney General Clark.  “They directly stole money from the federal fisc and they masqueraded as benefactors of the environment.  We are grateful for the cooperation of our partners in the Tax Division and U.S. Attorney’s Office in putting an end to this scheme.”

 “Abuse of biodiesel fuel credits harms law abiding renewable fuel producers and the United States government,” said Principal Deputy Assistant Attorney General Zuckerman. “The Tax Division along with its partners at United States Attorney’s Offices, ENRD, IRS-CI, and EPA will vigorously prosecute those who fraudulently claim biodiesel fuel credits and violate the criminal law.”

“The defendants in this case participated in a criminal scheme that struck directly at the heart of a government program that was created to benefit both honest business owners and the community at large by encouraging the development and use of clean bio-diesel fuel,” said U.S. Attorney David J. Freed.  “Instead, the defendants defrauded their fellow citizens to the tune of more than 4 million dollars. Working with our partners, we will not rest in pursuing cases that target our shared financial resources.”

“Today’s guilty verdict is a victory for the American taxpayer,” said IRS-CI Special Agent in Charge Kelly Jackson.  “IRS Criminal Investigation will pursue anyone who burns the biodiesel industry by enriching themselves through tax credits they are not entitled to.”

“Today’s guilty verdict demonstrates the severe consequences for anyone who tries to make a profit by defrauding the RINS market,” said EPA Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine. “EPA and its federal partners worked together to protect the integrity of the Renewable Fuels Standard program by uncovering and prosecuting the defendants’ criminal activities.”

According to evidence presented at trial, as part of the conspiracy, Wootton and Miner caused inflated fuel amounts to be reported to the IRS. The inflated fuel numbers supported their fraudulent claims for tax refunds on fuel Keystone was not producing. To account for the inflated fuel amounts, Wootton and Miner created false books and records and engaged in a series of sham financial transactions intended to mirror the false books and records. In addition, Miner doctored fuel samples and test results to fraudulently claim tax refunds and RINs on fuel that did not meet the requisite quality standards to qualify for the tax refunds and RINs. It is estimated that over $10 million was generated from the fraudulent RIN sales, and the total tax loss to the government resulting from the defendants’ conduct is approximately $4,149,983.41.

Wootton and Miner face a statutory maximum sentence of five years in prison on each conspiracy count, each false statement to the EPA count, and three years in prison on the count of filing a false tax claim with the IRS, as well as periods of supervised release, restitution, and monetary penalties.

Assistant Attorney General Clark, Principal Deputy Assistant Attorney General Zuckerman, and U.S. Attorney Freed thanked agents of IRS-Criminal Investigation and EPA Criminal Investigation Division, who conducted the investigation, and Senior Litigation Counsel Howard P. Stewart of the Justice Department’s Environmental and Natural Resources Division, Trial Attorneys Mark Kotila, Kimberly Ang, and Michael Vasiliadis of the Justice Department’s Tax Division, Assistant U.S. Attorney Geoffrey MacArthur, and Special Assistant U.S. Attorney David Lastra, who prosecuted the case.

HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Steven R. Iseman, age 46, of York, Pennsylvania, was indicted on April 17, 2019, by a federal grand jury for the exploitation of minors.

According to United States Attorney David J. Freed, the indictment alleges that between 2015 and September 2018, in York County, Iseman used a minor to produce child pornography, received and distributed child pornography, and possessed child pornography involving minors under the age of 12.  The three-count indictment also includes a notice of the Government’s intent to forfeit all images of child pornography and the electronic devices associated with those images.

This case was investigated by the U.S. Department of Homeland Security Investigations with assistance from the Pennsylvania State Police and other members of the Inter-agency Child Exploitation Task Force in Central Pennsylvania.  Assistant United States Attorney James T. Clancy is prosecuting the case. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.  For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court. 

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for the production of child pornography offense is 30 years’ imprisonment, a term of supervised release following imprisonment, and a $250,000 fine.   That charge carries a mandatory minimum term of imprisonment of 15 years.  The maximum penalty for receipt and distribution of child pornography is 20 years’ imprisonment and a $250,000 fine.  That charge carries a mandatory minimum term of imprisonment of 5 years.  The maximum penalty for possession of child pornography involving minors under 12 years old is 20 years’ imprisonment and a $250,000 fine.  Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that nine previously deported aliens were indicted separately on April 17, 2019, by a federal grand jury for illegal reentry into the United States. These matters arose in counties throughout the District including Dauphin, Franklin, Lackawanna, and York.

According to United States Attorney David J. Freed, Victor Espanol-Ahuacatitan, age 35, of Mexico, was previously deported from the United States to Mexico in April 2013.  He is alleged to have illegally reentered the United States sometime after April 2013, and was found in the United States in Harrisburg, Dauphin County, Pennsylvania after eluding examination or inspection by immigration officers.

Diego Us-Tum, age 29, of Guatemala, was previously deported from the United States to Guatemala in October 2006.  He is alleged to have illegally reentered the United States sometime after October 2006 and was found in the United States in Greencastle, Franklin County, Pennsylvania after eluding examination or inspection by immigration officers.

Marvin Marroquin Garcia-Gomez, age 22, of Guatemala, was previously deported from the United States to Guatemala in February 2015.  He is alleged to have illegally reentered the United States sometime after February 2015 and was found in the United States in Greencastle, Franklin County, Pennsylvania after eluding examination or inspection by immigration officers.

Victor Alfonso Morales-Sanchez, age 28, of Guatemala, was previously deported from the United States to Guatemala in March 2017.  He is alleged to have illegally reentered the United States sometime after March 2017 and was found in the United States in Greencastle, Franklin County, Pennsylvania after eluding examination or inspection by immigration officers.

Manuel Alejandro Velasco-Rosales, age 32, of Mexico, was previously deported from the United States to Mexico in September 2011.  He is alleged to have illegally reentered the United States sometime after September 2011 and was found in the United States in Franklin County, Pennsylvania after eluding examination or inspection by immigration officers.

Virgilio Orellana-Rivas, age 40, of Honduras, was previously deported from the United States to Honduras in November 2000.  He is alleged to have illegally reentered the United States again sometime after November 2000 and was found in the United States in Franklin County, Pennsylvania after eluding examination or inspection by immigration officers.

Serafin Mendoza-Torres, age 27, of Mexico, was previously deported from the United States to Mexico in July 2016.  He is alleged to have illegally reentered the United States sometime after July 2016 and was found in the United States in Dallastown, York County, Pennsylvania after eluding examination or inspection by immigration officers.

Javier Hernandez-Zuniga, age 42, of Mexico, was previously deported from the United States to Mexico in December 2009.  He is alleged to have illegally reentered the United States sometime after December 2009 and was found in the United States in Dallastown, York County, Pennsylvania after eluding examination or inspection by immigration officers.

Mauro Camacho-Lopez, age 41, of Mexico, was previously deported from the United States to Mexico in April 2007.  He is alleged to have illegally reentered the United States sometime after April 2007 and was found in the United States in Scranton, Lackawanna County, Pennsylvania after eluding examination or inspection by immigration officers.

These cases were investigated by U.S. Immigration and Customs Enforcement and Removal Operations (ERO).  Assistant United States Attorney Joanne Hoffman is prosecuting the cases.

Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

Defendants face a maximum penalty of two years of imprisonment, a term of supervised release following imprisonment, and a fine.  Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Robert L. Hayes, Sr., age 74, of Harrisburg, Pennsylvania, was indicted on April 17, 2019, by a federal grand jury on child pornography charges.

According to United States Attorney David J. Freed, the indictment alleges that Hayes possessed images of prepubescent minors under the age of 12 years old on October 16, 2018 and November 20, 2018, in Harrisburg, Pennsylvania.  Hayes was on federal Supervised Release after pleading guilty to a similar federal child exploitation case in 2007. 

The case was investigated by the U.S. Postal Inspection Service and the U.S. Probation Office. Assistant U.S. Attorney Meredith Taylor is prosecuting the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit  www.usdoj.gov/psc For more information about internet safety education, please visit  www.usdoj.gov/psc and click on the tab "resources."

Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

If convicted of this second offense, Hayes faces a mandatory minimum 10 years imprisonment.  The maximum penalty under federal law for this offense is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Shelly A. Dreyer-Aurila, age 53, of New Bloomfield,  Pennsylvania, was indicted on April 17, 2019, by a federal grand jury for embezzlement of funds involving federal programs.

According to United States Attorney David J. Freed, the indictment alleges that between 2010 and 2017, Dreyer-Aurila, Executive Director of the Perry County Family Center, a 501(c)(3) charitable organization in New Bloomfield, Pennsylvania, knowingly embezzled and converted to her own personal use more than $220,000 under the care and control of the Center.  The Center annually receives more than $10,000 in federal grants from the U.S. Department of Health and Human Services through the Pennsylvania Department of Health and Human Services to fund programs such as its Maternal, Infant & Early Childhood Home Visiting program and its Child Abuse Prevention program. 

The case was investigated by the Pennsylvania Department of State, Bureau of Enforcement and Investigation, Charitable Investigation Unit.  Assistant U.S. Attorney James T. Clancy is prosecuting the case.

Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for this offense is 10 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jerry Defazio, age 40, of Archbald, Pennsylvania, a former contract employee with the Lackawanna County Prison, was sentenced to 14 months’ imprisonment followed by two years’ supervised release by Senior U.S. District Court Judge A. Richard Caputo, for providing and attempting to provide prohibited objects, including illegal drugs, to inmates at the Lackawanna County Prison.

According to United States Attorney David J. Freed, Defazio previously pleaded guilty to providing and attempting to provide contraband in prison. Defazio admitted that between November 2015 and April 2016, while working at the prison, he provided and attempted to provide Oxycontin pills (oxycodone), suboxone, and tobacco to inmates on several occasions and received payments ranging from $50 to $600 for smuggling the drugs and tobacco into the prison.

To date, three people have been charged in connection with the investigation. Deanna Tallo previously pleaded guilty to providing contraband in prison, and Thomas Coss pleaded guilty to obtaining and possessing contraband in prison. Both are awaiting sentencing.

The investigation was conducted by the Federal Bureau of Investigation and the Pennsylvania State Police. Assistant U.S. Attorney Francis P. Sempa prosecuted the case.

# # #

SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jeffrey J. Steigelman III, age 26, of Chester County, Pennsyvlania, was charged on April 16, 2019, in a criminal information with fleeing from National Park Service Rangers.

According to United States Attorney David J. Freed, Steigelman fled from Rangers in the Delaware Valley Water Gap Recreation Area on October 21, 2018, in an automobile.  After a lengthy high-speed chase, he was ultimately apprehended in Port Jervis, New York.

The investigation was conducted by the National Park Service Rangers and other state and local law enforcement officials.  Assistant United States Attorney Phillip J. Caraballo is prosecuting the case. 

Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for the charge is a two-year term of imprisonment, a term of supervised release following imprisonment, and a fine.  Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.                  

# # #

HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jason Ehrhart, age 48, of Thompsontown, Pennsylvania, was sentenced to 19 months’ imprisonment on April 15, 2019, by Chief United States District Court Judge Christopher C. Conner for defrauding a disabled Veteran, the Veteran’s Administration, and the Social Security Administration.  Chief Judge Conner also ordered Jason Ehrhart to pay $316,360 in restitution to his nephew, Aaron Ehrhart. 

According to United States Attorney David J. Freed, Jason Ehrhart pleaded guilty on November 20, 2018, to a criminal information charging him with one count of health care fraud. Jason’s former wife, Laurie Ehrhart, age 48, of Newport, Pennsylvania, pleaded guilty on December 7, 2018, to one count of health care fraud and is scheduled to be sentenced on June 6, 2019.

In 1985 while serving in the U.S. Army, a veteran who was a former resident of Perry County, Pennsylvania, was diagnosed with multiple sclerosis.  In 1998, the veteran began receiving disability benefits from the Department of Veterans Affairs (VA) and in 2006 began receiving disability benefits from the Social Security Administration (SSA). The veteran was eventually hospitalized on a permanent basis at the VA hospital in Lebanon, Pennsylvania in November of 2004. 

In August 2006, the veteran was deemed by the VA to be incompetent to handle his own financial affairs.  As a result, on October 2, 2006, Jason Ehrhart applied to serve as the veteran’s VA Fiduciary and Legal Custodian.  Under the terms of a Fiduciary Agreement, Jason Ehrhart agreed to use all of the veteran’s VA disability benefits exclusively for the veteran’s benefit. The agreement warned him that the funds were not for his personal use. The Fiduciary Agreement also required Jason Ehrhart to submit an annual accounting to the VA with respect to the amount of money spent on the veteran’s behalf.

While Jason Ehrhart served as the veteran’s VA Fiduciary and Legal Custodian, all of the veteran’s VA benefits, plus most of his Social Security disability checks, were deposited into a checking account Jason opened at The Orrstown Bank. Altogether, $476,260 in federal benefits ($422,828 in VA disability, $48,187 in Social Security disability, and $5,244 in VA clothing allowance) were deposited into the account between January 2009 and August 2016.

At least $316,360 of the $476,260 was misappropriated by Jason and Laurie Ehrhart and converted to their own use between October 2006 and August 2016.  Checks totaling $218,832 ($96,202 payable to Jason Ehrhart and $122,630 payable to Laurie Ehrhart), were drawn against the account.  Of the $218,832, $157,742 was deposited into Jason and Laurie Ehrhart’s joint checking account at the Juniata Valley Bank (JVB) and at least $23,496 was converted to cash.  Thereafter, the funds in the joint JVB account were employed by Jason and Laurie Ehrhart to pay their personal expenses. 

Another $7,174 in checks were made payable to Jason and Laurie Ehrhart’s two minor children.  Jason Ehrhart instructed the children to take the checks to the bank, cash them, and to surrender the cash to him.

Another $19,890 in checks were made payable to another couple who were Jason and Laurie Ehrhart’s best friends.  Jason Ehrhart regularly treated the couple and their children to dinners out and at least two, all-expense paid vacations to Disney World in Florida, purchased two automobiles for the family, and paid for the wife’s dental work.

To conceal his embezzlements, Jason Ehrhart submitted eight false annual accountings to the VA in which he falsely claimed he spent $402,408 on the veteran’s behalf between October 2006 and October 2015.  The itemized expenditures in the accountings were grossly inflated. For example, Jason Ehrhart claimed he paid the mortgage on the veteran’s residence ($1,631 per month) plus the veteran’s share of the mortgage on his mother’s residence ($881) after she died in May 2011.  However, the lenders against both properties obtained judgments and they were eventually foreclosed and sold.

Jason Ehrhart also falsely claimed in the annual accountings that he spent thousands on miscellaneous expenditures for the veteran, including storage unit rentals, vehicle maintenance bills, state and local taxes, life and auto insurance, and credit card bills.  However, in 2016 the veteran’s specially equipped wheelchair van, for which Jason Ehrhart claimed he spent approximately $32,395 for vehicle maintenance, was found broken down and abandoned along a Perry County roadside.

The veteran died at the Lebanon VA Hospital on July 30, 2018. 

The Department of Veteran Affairs, the Office of Inspector General, the Pennsylvania State Police, and the Social Security Administration’s Office of Inspector General investigated the case.  Assistant United States Attorney Kim Douglas Daniel prosecuted the case.

# # #

HARRISBURG—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Belinda Dietrich, age 62, of  Marysville, Pennsylvania, pleaded guilty on April 15, 2019, before U.S. District Court Judge Sylvia H. Rambo to one count of unlawful distribution of a controlled substance and one count of false statements in health care matters.

According to United States Attorney David J. Freed, Dietrich, a former receptionist for a solo dental practitioner in Harrisburg, admitted to forging the signature of her employer on a blank prescription form on February 13, 2017, for oxycodone pills for her mother, a Medicare beneficiary, who was not a patient of the dentist. Dietrich then had the prescription filled at a Harrisburg area pharmacy and received 24 oxycodone pills, who then converted the drugs to her own use. The pharmacy billed the cost of the oxycodone pills to Medicare, which paid the claim.

The guilty plea proceeding revealed that Dietrich’s forgeries were not limited to just one prescription.  The government informed the court that between February 17, 2016 and August 2017, Dietrich forged 164 prescriptions for oxycodone and hydrocodone for herself, her family and her friends, who then filled the prescriptions at local pharmacies and shared the controlled substances among themselves.  All together, more than 5,022 oxycodone and hydrocodone pill were obtained in this manner. 

Judge Rambo ordered a presentence report to be prepared pending sentencing, which will be scheduled at a later date.

The case was investigated by the Harrisburg Offices of the Drug Enforcement Administration, Diversion Division and the Office of Inspector General (OIG) for the U.S. Department of Health and Human Services. Assistant U.S. Attorney Kim Douglas Daniel is prosecuting the case.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.         

The maximum penalty under federal law for distribution of a controlled substance is 20 years’ imprisonment, a term of supervised release following imprisonment, and a $1 million fine. The maximum penalty for false statements in health care matters is five years’ imprisonment, a term of supervised release following imprisonment, and a $250,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

HARRISBURG - With the deadline for filing income tax returns rapidly approaching, the U.S. Attorney’s Office for the Middle District of Pennsylvania, and the Philadelphia Field Office, IRS Criminal Investigation Division, jointly announced a warning to those who are thinking about breaking the law by committing tax crimes including listing recent tax fraud prosecutions and sentences.

“Individuals who fail to file tax returns in a timely manner are taking advantage of the honest taxpayers who finance the government’s operations, and subject themselves to criminal prosecution,” said U.S. Attorney David J. Freed.  “We will continue to pursue those who fail to meet the obligations of paying their fair share.”

"As we approach the end of filing season, taxpayers are reminded that preparing and filing false tax returns will result in extremely negative consequences,” said Guy Ficco, Special Agent in Charge of the Philadelphia Field Office. “Whether you prepare your own tax return or utilize the services of a tax return preparer, remember, you the taxpayer are ultimately responsible for the accuracy of your tax return.”

Over the last year, the U.S. Attorney’s Office has prosecuted and convicted numerous individuals for filing false federal tax returns and committing tax evasion. Defendants have received substantial sentences for tax fraud, ranging from several years in prison to home confinement. Restitution is mandatory and often includes substantial interest and penalties.  For example, the following individuals were charged and/or sentenced for tax fraud recently:

FILING FALSE TAX RETURNS AND TAX EVASION

• Jeremy Baney, age 48, an inmate at SCI Smithfield, Huntingdon, Pennsylvania, pleaded guilty on May 2, 2018, to aiding and assisting in making false statements to the IRS.  Baney admitted to being involved in a prison tax scheme from November 17, 2009 through February 25, 2012.  Baney obtained names and social security numbers of inmates to file false tax returns or would send that information to a former inmate who would then prepare and file the fraudulent 1040EZ tax returns with fictitious wages and holdings in order to get a tax refund.  The government is alleging that Baney attempted to receive tax refunds totaling $236,407, to which he was not entitled to receive.  Baney is awaiting sentencing.
• Atef Hussein, age 48, of Hagerstown, Maryland, former owner/operator of the Fairground Diner in Carlisle, Pennsylvania, was sentenced on May 30, 2018, to one year and one day imprisonment and ordered to pay restitution in the amount of $139,293, for income tax evasion.  Hussein understated income and taxes due, resulting in false income tax returns for tax years 2011 through 2015, causing a tax loss of approximately $139,293.
• Hiteshkumar Patel, age 52, of South Abington Township, Pennsylvania, was sentenced on August 9, 2018, to serve 234 months’ imprisonment and ordered to pay restitution in the amount of $896,112, for conspiracy to commit wire and mail fraud, as well as aggravated identity theft in November 2017.  The investigation revealed that beginning in or about August 2015 through May 2016, Patel was involved in a multi-faceted international conspiracy and devised a scheme to defraud that included individuals who falsely represented themselves as Internal Revenue Service (IRS) agents, as well as individuals associated with an illegitimate online loan business. Individuals who falsely claimed to represent the Internal Revenue Service (IRS) contacted unsuspecting victims throughout the United States.  The victims were told that they had to immediately make a monetary payment in order to satisfy outstanding IRS tax debt and/or IRS penalty fees.  Victims were told that there would be severe consequences if they did not immediately comply, such as federal agents knocking on their door, notification to employers, garnishment of wages, and even arrest. Victims of the online loan fraud scheme were instructed that in order to receive the proceeds of their online loan application, they had to first make monetary payments associated with the processing of the application, such as fees for expediting the loan and insurance.   Some victims of the loan fraud scheme were also told that outstanding IRS debt had to be satisfied before their loan application could be processed. All of the victims were instructed to remit monetary payments to a number of different individuals via the U.S. Mail, Western Union, MoneyGram, and/or RIA (Walmart to Walmart).  The monetary payments were received by Patel, or by members of the unlawful telemarketing organization and unindicted co-conspirators.  The investigation identified 634 individuals directly tied to Patel’s criminal conduct from across the country.  The victims collectively sustained a loss of nearly $900,000.
• Diane M. Fabian, age 67, of Middletown, Pennsylvania, pleaded guilty to tax evasion charges on August 14, 2018.  Fabian admitted that from 2011 through 2015, she filed tax returns that understated her income resulting in a total tax due and owing to the United States of $45,100. Fabian is awaiting sentencing.
• James W. Pilsner, age 60, of Harrisburg, Pennsylvania, the former Vice President of Rite Aid, pleaded guilty on October 1, 2018, to vendor kick-back and tax evasion charges. In March 2014, Pilsner filed an income tax return with the IRS that did not report his receipt of $411,500 in kick-back money during 2013, thereby avoiding approximately $157,648, in federal income taxes.  Pilsner paid $300,000 towards his tax restitution obligation for the period 2013-2017 of approximately $592,000, and agreed to pay the balance at sentencing.
• Al T. Hughes, age 60, of Scranton, Pennsylvania, was charged in a superseding indictment on January 30, 2018, and pleaded guilty on February 7, 2019, to tax evasion. Hughes admitted to diverting approximately $892,000 in corporate receipts to his personal benefit, and failed to report the diverted receipts as income on his federal tax returns.  The resulting tax loss to the United States is approximately $231,000.  Hughes also admitted that he began diverting corporate receipts in 2009 and continued through 2014, and that he cashed hundreds of customer checks, intended for payment of funeral home services, at various financial institutions, including a check cashing service in Scranton.  Hughes diverted corporate receipts from four area funeral homes, including the Thomas J. Hughes Funeral Home, the Eagan-Hughes Funeral Home, the McGoff-Hughes Funeral Home, and the Davies & Jones Funeral Chapel. Sentencing is currently scheduled for June 7, 2019.
• James Famularo, age 61, of Swiftwater, Pennsylvania, Famularo was sentenced on April 2, 2019, to six months’ imprisonment to be followed by six months home detention and ordered to pay restitution to the IRS of $196,119, for income tax evasion spanning tax years 2012 through 2015.  Famularo failed to report a total of $646,663.40 in income between tax years 2012 and 2015, and filed false Form 1040 Individual Income Tax Returns for each of tax years 2012, 2013, 2014 and 2015 resulting in a loss of $196,119 to the IRS. 

STOLEN IDENTITY REFUND FRAUD

In addition to prosecuting tax evaders and fraudulent tax return preparers, the IRS and the U.S. Attorney’s Office are continuing to investigate and prosecute individuals who steal the identities of taxpayers and file fraudulent tax returns.

• Julio Polanco Suarez, age 41, of Allentown, Pennsylvania, was charged on April 10, 2018, with conspiring to defraud the government between March 1, 2009 – September 20, 2016; theft of government money; and aggravated identity theft on September 20, 2016, in Luzerne County.  The indictment alleged that Suarez’s coconspirators stole individuals’ identities, used them to prepare and file false tax returns, and obtained the refund checks issued by the U.S. Treasury pursuant to those false tax returns.  Suarez took possession of the refund checks, forged names and social security numbers on them, and cashed them at check cashing businesses in the Middle District of Pennsylvania.  Suarez and his coconspirators are charged with cashing $522,613.80 in fraudulently obtained Treasury checks, and attempting to cash an additional $41,401.57 worth of checks. Suarez has signed a plea agreement and is awaiting his plea hearing.

Federal penalties for each count of conviction of tax crimes range from a maximum of one year in prison and a $100,000 fine for failure to file a tax return, false withholding exemptions, and delivering or disclosing false tax documents, to a maximum of 10 years in prison and a $250,000 fine for conspiracy to defraud with respect to false refund claims. Other penalties include a mandatory term of two years in prison and a $250,000 fine for aggravated identity theft charges, three years in prison and a $250,000 fine for obstructing or impeding an investigation and filing or preparing a false tax return, and a maximum of five years in prison and a $250,000 fine for tax evasion, failure to pay taxes, conspiracy to commit a tax offense or conspiracy to defraud.

TAX SCAM WARNING

The U.S. Attorney’s Office and the IRS remind tax payers to exercise caution during tax season to protect themselves against tax schemes ranging from identity theft to return preparer fraud. Illegal scams can lead to significant penalties and interest and possible criminal prosecution. IRS Criminal Investigation works closely with the Department of Justice to shutdown scams and to prosecute the criminals behind them.  The IRS would like to warn taxpayers of a quickly growing scam involving a phone scam whereby criminals fake calls from the Taxpayer Advocate Service (TAS), an independent organization within the IRS.

Similar to other IRS impersonation scams, thieves make unsolicited phone calls to their intended victims fraudulently claiming to be from the IRS. In this most recent scam variation, callers “spoof” the telephone number of the IRS Taxpayer Advocate Service office in Houston or Brooklyn. Calls may be ‘robo-calls’ that request a call back. Once the taxpayer returns the call, the con artist requests personal information, including Social Security number or individual taxpayer identification number (ITIN).

TAS can help protect your taxpayer rights. TAS can help if you need assistance resolving an IRS problem, if your problem is causing financial difficulty, or if you believe an IRS system or procedure isn’t working as it should. TAS does not initiate calls to taxpayers “out of the blue.” Typically, a taxpayer would contact TAS for help first, and only then would TAS reach out to the taxpayer.

In other variations of the IRS impersonation phone scam, fraudsters demand immediate payment of taxes by a prepaid debit card or wire transfer. The callers are often hostile and abusive. Alternately, scammers may tell would-be victims that they are entitled to a large refund but must first provide personal information. Other characteristics of these scams include:

• Scammers use fake names and IRS badge numbers to identify themselves.
• Scammers may know the last four digits of the taxpayer’s Social Security number.
• Scammers spoof caller ID to make the phone number appear as if the IRS or another local law enforcement agency is calling.
• Scammers may send bogus IRS emails to victims to support their bogus calls.
• Victims hear background noise of other calls to mimic a call site.
• After threatening victims with jail time or with, driver’s license or other professional license revocation, scammers hang up. Others soon call back pretending to be from local law enforcement agencies or the Department of Motor Vehicles, and caller ID again supports their claim.

Here are some things the scammers often do, but the IRS will not do. Taxpayers should remember that any one of these is a tell-tale sign of a scam.

The IRS will never: 

• Call to demand immediate payment using a specific payment method such as a prepaid debit card, gift card or wire transfer. Generally, the IRS will first mail a bill to any taxpayer who owes taxes.
• Threaten to immediately bring in local police or other law-enforcement groups to have the taxpayer arrested for not paying.
• Demand that taxes be paid without giving taxpayers the opportunity to question or appeal the amount owed.
• Ask for credit or debit card numbers over the phone.
• Call about an unexpected refund.

For taxpayers who don’t owe taxes or don’t think they do: 

• Please report IRS or Treasury-related fraudulent calls to phishing@irs.gov (Subject: IRS Phone Scam).
• Do not give out any information. Hang up immediately. The longer the con artist is engaged; the more opportunity he/she believes exists, potentially prompting more calls.
• Contact TIGTA to report the call. Use their IRS Impersonation Scam Reporting web page. Alternatively, call 800-366-4484.
• Report it to the Federal Trade Commission. Use the “FTC Complaint Assistant” on FTC.gov. Please add "IRS Telephone Scam" in the notes.

For those who owe taxes or think they do: 

• Call the IRS at 800-829-1040. IRS workers can help.
• View tax account online. Taxpayers can see their past 24 months of payment history, payoff amount and balance of each tax year owed. 

Stay alert to scams that use the IRS or other legitimate companies and agencies as a lure. Tax scams can happen any time of year, not just at tax time. For more information visit Tax Scams and Consumer Alerts on IRS.gov. 

# # #

SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that on April 11, 2019, United States District Court Judge A. Richard Caputo sentenced Warren Williams, age 25, of East Stroudsburg, Pennsylvania, to 46 months’ imprisonment for drug trafficking.

According to United States Attorney David J. Freed, Williams distributed over 100 grams of heroin (100 grams of heroin equates to approximately 4,000 individual doses) over a five-month period starting in January 2016, in Monroe County, Pennsylvania.         

The case was investigated by the Federal Bureau of Investigation, the Stroud Area Regional Police Department, and the Pennsylvania State Police. Assistant U.S. Attorney Sean A. Camoni.

This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.

This case is also part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

# # #

SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Dory L. Sater, age 44, of Drexel Hill, Pennsylvania, was indicted on April 2, 2019, by a federal grand jury for attempted bank fraud and aggravated identity theft charges. The indictment was unsealed today following Sater’s arrest and initial appearance.

According to United States Attorney David J. Freed, the indictment alleges that from August 3, 2017 and continuing to on or about March 21, 2018, in Luzerne County, Sater executed a scheme to defraud Fidelity Bank by filing a fraudulent satisfaction piece for a $50,000 mortgage.  The indictment also alleges that in doing so, Sater used another person’s means of identification.

The case was investigated by the Federal Bureau of Investigation.  Assistant U.S. Attorney Phillip J. Caraballo is prosecuting the case.

Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for the most serious offense is 30 years of imprisonment, a term of supervised release following imprisonment, and a fine.  The aggravated identity theft charge carries a mandatory, consecutive two-year term of imprisonment. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Corbin Kauffman, age 30, of Lehighton, Pennsylvania, was charged by a criminal complaint on April 1, 2019, with interstate transmission of threats to injure the person of another.

According to United States Attorney David J. Freed, the complaint alleges that Kauffman posted threatening images and messages on a website called Minds.com on March 7, 2019.  It further alleges that Kauffman used various aliases online to post hundreds of anti-semitic, anti-black, and anti-Muslim messages, images, and videos.  Several of these posts included threats to various religious and racial groups, and one included a digitally created image of Kauffman aiming an AR-15 rifle at a congregation of praying Jewish men.  Other posts allegedly expressed a desire to commit genocide and “hate crimes,” and called for or depicted images of the killing of Jewish people, black people, and Muslim people.

Kauffman also posted pictures of acts of vandalism he committed, including anti-semitic graffiti at a public park, and the defacement of a display case at the Chabad Jewish Center in Ocean City, Maryland with white supremacist and anti-semitic stickers. 

“Pennsylvanians know all too well how dangerous these kinds of white supremacist threats can be,” said U.S. Attorney Freed.  “The last thing we want is to see another tragedy like we saw at Tree of Life Synagogue in Pittsburgh, or at Al Noor Mosque in Christchurch, or at Emmanual African Methodist Episcopal Church in Charleston.  We don’t know what might have happened, but we take these threats seriously, and I commend the FBI for their vigilance and quick action in this case.”

“If someone makes violent threats, we’re going to take them at their word and investigate accordingly,” said Michael T. Harpster, Special Agent in Charge of the FBI’s Philadelphia Division. “While the FBI does not and will not police ideology, we stand ready to intervene whenever threatening language crosses the line into illegal activity. As always, protecting the public is our highest priority.”

The case is being investigated by the U.S. Federal Bureau of Investigation. Assistant U.S. Attorney Sean A. Camoni is prosecuting the case.

Indictments and Criminal Informations are only allegations.  All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for this offense is five years of imprisonment for each violation, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on April 5, 2019, United States District Court Judge A. Richard Caputo sentenced Mario M. Valentine, age 35, of Shenandoah, Pennsylvania, to 64 months’ imprisonment and three years of supervised release, for money laundering and identity theft.

According to United States Attorney David J. Freed, from approximately January 2013 through May 2015, Valentine and his co-defendant, Carrie Aker, laundered over $218,000 of credit card fraud proceeds by using forged credit cards to purchase gift cards and other items, and then selling those items or converting them into cash.  Valentine and Aker were charged with committing nearly $270,000 worth of credit card fraud, using forged credit cards that they created.  Valentine also was convicted of using other individuals’ stolen identities during the course of his fraud.  The defendants admitted to continuing their fraudulent activities, even after being confronted by law enforcement officials.

During Valentine’s sentencing, Judge Caputo determined that Valentine had lied under oath at an evidentiary hearing, warranting an enhanced sentencing guidelines calculation for his obstructive conduct.  Judge Caputo emphasized the serious nature and extent of the offense, labeling it a “21st century crime.”  Judge Caputo ordered Valentine to pay $269,575.35 in restitution to the victims of his crimes.

Valentine’s co-defendant, Carrie Aker, has pleaded guilty and is awaiting sentencing.

The investigation was conducted by the Federal Bureau of Investigation and the Pennsylvania State Police.  Assistant United States Attorney Phillip J. Caraballo prosecuted the case.

# # #

HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania joins with the Justice Department to raise public awareness of victims’ rights in observance of National Crime Victims’ Rights Week, April 7-13, 2019.

Every year, millions of Americans are affected by crime. According to the most recent Bureau of Justice Statistic’s National Crime Victimization Survey, U.S. residents age 12 or older experienced 3.1 million violent victimizations and U.S. households experienced an estimated 13.3 million property crimes in 2017.

“Victims of crime deserve justice. This Department works every day to help them recover and to find, prosecute, and convict those who have done them harm,” said Attorney General William P. Barr. “During this National Crime Victims’ Rights Week, we pause to remember the millions of Americans who have been victims of crime and we thank public servants who have served them in especially heroic ways. This week the men and women of the Department recommit ourselves once again to ensuring that crime victims continue to have a voice in our legal system, to securing justice for them, and to preventing other Americans from suffering what they have endured."

“There is no greater honor for a prosecutor than to stand up and speak on behalf of victims of crime, or for those who can no longer speak for themselves,” said U.S. Attorney David J. Freed.  “Far too often, the focus in our criminal justice system is on the accused and voices of victims go unheard.  It is our duty to make sure that never happens.  In the past few days, I have again had the opportunity to spend time with family members of opioid overdose victims, a group that remains far too large in the Middle District.  Their grace in the face of tragedy and their commitment to helping save others from a similar fate continues to provide motivation for our team.  We are proud to stand with and for victims of crime.”

Each year in April, the Department of Justice and United States Attorneys’ offices observe National Crime Victims’ Rights Week nationwide by taking time to honor victims of crime and those who advocate on their behalf. In addition, the Justice Department and U.S. Attorneys’ offices organize events to honor the victims and advocates, as well as bring awareness to services available to victims of crime. This year’s observance takes place April 7-13, with the theme: Honoring Our Past. Creating Hope for the Future.

The U.S. Department of Justice will host the Office for Victims of Crime’s annual National Crime Victims’ Service Awards Ceremony in Washington, D.C. on April 12, 2019, to honor outstanding individuals and programs that serve victims of crime.

The Department of Justice’s Office for Victims of Crime, within the Office of Justice Programs, leads communities across the country in observing National Crime Victims’ Rights Week each year. President Ronald Reagan proclaimed the first National Crime Victims’ Rights Week in 1981 to bring greater sensitivity to the needs and rights of victims of crime.

The Office of Justice Programs provides innovative leadership to federal, state, local, and tribal justice systems, by disseminating state-of-the art knowledge and practices across America, and providing grants for the implementation of these crime-fighting strategies. Because most of the responsibility for crime control and prevention falls to law enforcement officers in states, cities, and neighborhoods, the federal government can be effective in these areas only to the extent that it can enter into partnerships with these officers. More information about the Office of Justice Programs and its components can be found at www.ojp.gov. More information about Crime Victim’s Rights Week can be found at https://ovc.ncjrs.gov/ncvrw/. You may also contact the U.S. Attorney’s Middle District of Pennsylvania’s Victim Witness Program at (717) 221-4482.

# # #

WILKES-BARRE - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Andrew Perez, age 31, formerly of Allentown, pleaded guilty on April 8, 2019, before U.S. District Court Senior Judge A. Richard Caputo to conspiracy to distribute heroin.

According to United States Attorney David J. Freed, Perez admitted to participating in a conspiracy to distribute between 700 grams and one kilogram of heroin (which is equivalent to 28,000 to 40,000 individual doses of heroin), as well as additional amounts of  crack cocaine, in the Monroe County area between May and July 2015.  Perez was one of eleven individuals indicted by a grand jury in July 2015 and charged with conspiring to distribute heroin, powder cocaine and crack cocaine in the Monroe County area.

Judge Caputo ordered a presentence report to be completed.  Sentencing will be scheduled at a later date. 

The investigation was conducted by the Drug Enforcement Administration (DEA) and the Pocono Mountain Regional Police Department.  Assistant United States Attorney Robert J. O’Hara is prosecuting the case.

This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.       

This case is also part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.  The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.

This prosecution is also part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF).  OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The charge carries a mandatory minimum sentence of five years in prison.  The maximum penalty under federal law is up to forty years in prison, a term of supervised release following imprisonment, and a fine.  Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that two United States Penitentiary, (“USP”) Lewisburg inmates were indicted separately by a federal grand jury on March 28, 2019, for possession of a weapon while in prison.

According to United States Attorney David J. Freed, Jermaine Ray, age 36, was found in possession of a homemade sharpened piece of plastic with a metal tip, commonly referred to as a “shank” that was designed to be a weapon on August 22, 2018.  

Tony C. Knott, age 36, was found in possession of a homemade sharpened piece of plastic with a metal tip, commonly referred to as a “shank” that was designed to be a weapon on August 24, 2018.

The charges in both cases stem from an investigation by officers at USP Lewisburg and the Federal Bureau of Investigation.  Assistant United States Attorney Geoffrey MacArthur and Special Assistant United States Attorney Michael P. Figgsganter are prosecuting the case.

Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The defendant is facing a maximum of ten years of incarceration and a $250,000 fine.   Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Adam Poeth, age 33, of Shamokin, Pennsylvania was sentenced on March 28, 2019, by United States District Matthew W. Brann to 48 months’ imprisonment followed by a 4-year term of supervised release for conspiring to sell 100 grams or more of heroin, which is equivalent to approximately 4,000 individual doses of heroin.

According to United States Attorney David J. Freed, in August 2018, Poeth pled guilty to conspiring with others to distribute heroin.  Co-defendant, Chad Snyder was sentenced to time-served followed by a 3-year term of supervised release on February 8, 2019.  The final co-defendant, Frank Galasso, age 65, of Sunbury, Pennsylvania, is awaiting trial.

The investigation was conducted by the Berwick Police Department, the Pennsylvania State Police, and the Federal Bureau of Investigation.  Assistant U.S. Attorney Alisan V. Martin prosecuted the case.

This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.

This case was also brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

# # #

WILLIAMSPORT – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Rodrequis Council, age 33, of North Carolina, was sentenced to 108 months in prison followed by four years of supervised release on March 29, 2019, by U.S. District Court Judge Matthew W. Brann. 

According to United States Attorney David J. Freed, Council previously pleaded guilty to aiding and abetting the armed bank robbery of the SPE Federal Credit Union in State College on August 22, 2017.

Marquis Buckley, age 41, of Virginia, pled guilty to committing the armed bank robbery on July 3, 2018, in the Eastern District of Virginia, where he also faced charges related to two other bank robberies in Virginia.  Buckley was sentenced to 184 months in prison followed by five years of supervised release for his participation in the three robberies on October 3, 2018. 

The matter was investigated by Ferguson Township Police Department, Penn State University Police, and the Federal Bureau of Investigation.  Assistant U.S. Attorney Alisan V. Martin prosecuted the case.

This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

# # #

WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Nicholas Stanley, age  40, of Dalton, Pennsylvania, owner of Nick Stanley Paving, Inc., was indicted on April 2, 2019, for tax evasion and structuring transactions to evade a reporting requirement.

According to United States Attorney David J. Freed, the indictment alleges that Stanley took affirmative steps to evade the payment of taxes while owing $1,062,312.10 for tax years 2005 to 2011. 

The case was investigated by the Internal Revenue Service, Criminal Investigation Division.  Assistant U.S. Attorney Alisan V. Martin is prosecuting the case.

Criminal Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for each offense charged is five years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Edward Gonzalez, age 30, of Hazelton, Pennsylvania, was indicted by a federal grand jury on April 2, 2019, for drug trafficking and firearms charges.

According to United States Attorney David J. Freed, the indictment alleges that Gonzalez possessed with the intent to distribute over 500 grams of cocaine and a quantity of marijuana on November 30, 2018, in Hazelton, Pennsylvania.  The indictment also alleges that Gonzalez possessed a .40 caliber Smith & Wesson handgun in furtherance of drug trafficking.

The case is being investigated by the U.S. Drug Enforcement Administration (DEA) and the Pennsylvania State Police. Assistant U.S. Attorney Sean A. Camoni is prosecuting the case.

This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.

Indictments are only allegations.  All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum total penalty under federal law for these offenses is life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

# # #

WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Samuel Serrano, age 24, a prisoner at the United States Penitentiary, (“USP”) Allenwood, was indicted on March 28, 2019, by a federal grand jury for possession of a controlled substance.  

According to United States Attorney David J. Freed, Serrano was found in possession of ADB-FUBINACA, a synthetic form of marihuana, during a search conducted on April 12, 2017. 

The charges stem from an investigation by officers at USP Allenwood and agents of the Federal Bureau of Investigation.  Assistant United States Attorney Geoffrey MacArthur is prosecuting the case.

Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The defendant is facing a maximum of ten years of incarceration and a $250,000 fine.   Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that James Famularo, age 61, of Swiftwater, Pennsylvania, was sentenced on April 2, 2019, by United States District Court Judge James M. Munley to six months’ imprisonment to be followed by six months home detention, as well as a two-year term of supervised release, for income tax evasion spanning tax years 2012 through 2015. 

According to United States Attorney David J. Freed, Famularo failed to report a total of $646,663.40 in income between tax years 2012 and 2015, and filed false Form 1040 Individual Income Tax Returns for each of tax years 2012, 2013, 2014 and 2015 resulting in a loss of $196,119 to the IRS.  On November 26, 2018, Famularo pleaded guilty to a felony count of Income Tax Evasion that covered all four years of misconduct.

Judge Munley also ordered Famularo to pay restitution to the IRS of $196,119.

The case was investigated by the Internal Revenue Service’s Criminal Investigation.  Assistant U.S. Attorneys Phillip J. Caraballo and Jeffery St. John prosecuted the case.

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SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Demetrius Catching, age 28, formerly of Lexington, Kentucky, and currently inmate at FCI Allenwood,  pleaded guilty on April 2, 2019, before U.S. District Court Judge Robert D. Mariani to assault on a correctional officer.

According to United States Attorney David J. Freed, Catching admitted to punching a correctional officer during an altercation on March 7, 2016.

Judge Mariani ordered a presentence investigation report to be completed.  Sentencing will be scheduled at a later date.          

The matter was investigated by the Federal Bureau of Investigation (FBI) and the Bureau of Prisons Special Investigative Service.  Assistant United States Attorney Robert J. O’Hara is prosecuting the case.         

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law is up to eight years in prison, a term of supervised release following imprisonment, and a fine.  Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Fuhai Li, age 54, of Milford, Pennsylvania, was sentenced to 330 months’ imprisonment followed by six years supervised release on April 3, 2019, by United States District Court Judge A. Richard Caputo for unlawfully prescribing oxycodone and other opioids to 23 former patients, including a Honesdale woman who died as a result of using the pills. 

According to United States Attorney David J. Freed, Li was convicted by a jury on June 5, 2018 for drug distribution resulting in death, money laundering and tax evasion.  Li unlawfully prescribed oxycodone to a pregnant woman outside the usual course of medical practice and not for a legitimate medical purpose. That woman gave birth to an opioid-dependent baby 11 days after Li prescribed her 120 oxycodone 30 milligram tablets. A neo-natal specialist testified that the baby spent ten days in intensive care withdrawing from the oxycodone prescribed to his mother by Li.

During the five-week trial before Senior U.S. District Court Judge A. Richard Caputo, prosecutors from the U.S. Attorney’s Office presented the testimony of 19 former patients and three former employees of Li, eight pharmacists, three other physicians, an expert on pain management, the medical records for 39 former patients of Li, and the testimony of federal law enforcement agents and investigators from the Drug Enforcement Administration (DEA) and its Diversion Division, and Internal Revenue Service (IRS) special agents.

Li owned and operated the Neurology and Pain Management Center in Milford, Pike County, Pennsylvania.  Li was a physician licensed by the Commonwealth of Pennsylvania and authorized to prescribe Schedule II controlled substances for legitimate medical purposes and in the usual course of professional practice.

Li repeatedly prescribed oxycodone and other opioids outside the usual course of medical practice and not for a legitimate medical purpose.

Former patients testified that Li repeatedly prescribed them high doses of oxycodone and other opioids every month over several years without performing medical examinations and without verifying their prior medical treatment.   

Evidence was presented that Li repeatedly falsified patient medical records and made material omissions in those records in an effort to legitimize the unlawful prescriptions.

Prosecutors presented evidence that between August 2011 and January 2015, Li wrote 26,985 prescriptions for Schedule II controlled substances, 99.37% of which were written for opioids.  This included 18,115 prescriptions for oxycodone, of which 12,129 were written for oxycodone 30 milligrams, the highest dosage available in short acting oxycodone.  Other opioids frequently prescribed by Li included methadone, OxyContin, hydrocodone and hydromorphone. 

Former patients testified that they became dependent and addicted to opioids as a result of Li’s prescriptions. Evidence also established that Li prescribed high dose opioids to patients who he knew had recently completed drug rehabilitation and detoxification programs, resulting in those patients becoming addicted again to opioid pain medication.

Several former patients testified that they earned money by selling drugs prescribed for them by Li and used part of the money to buy heroin to support their own addiction.  Some of those former patients also subsequently sold heroin on the streets of Pennsylvania and New Jersey.

One former female patient testified that she had sex with Li on almost every visit to his office during a four-year time period. Li prescribed that patient high doses of various opioids for approximately four years. Two additional former female patients testified to inappropriate sexual conduct by Li during office visits.

The jury also convicted Li of using two medical offices for the purpose of unlawfully prescribing opioids.  Li’s first medical office was located at 104 Bennett Avenue in Milford, and the second office was located at 200 3rd Street in Milford. 

DEA agents and investigators executed search warrants at Li’s Milford office and his residences in Milford and East Stroudsburg on January 29, 2015. Agents seized electronic medical records from Li’s office, and seized more than $1 million in cash, which was hidden under beds and in closets in his residences. Evidence at trial showed that many of Li’s patients paid cash for visits, drug screens, office tests, and injections.

The money laundering convictions related to Li’s use of criminal proceeds to pay off the mortgage on his East Stroudsburg residence on November 19, 2012, and to purchase his 200 3rd Street, Milford office on August 29, 2013. Li had $385,572.05 wired from a bank account funded in part by criminal proceeds to pay off the mortgage on the East Stroudsburg residence. He subsequently withdrew $158,699.30 from a bank account funded in part by criminal proceeds to purchase the Milford office. 

Li was also convicted of tax evasion for the tax years 2011, 2012, and 2013. An IRS agent testified that Li underreported his taxable income for those years by more than $800,000.

The jury’s verdict also included the forfeiture to the United States of $1,030,960 in cash that was seized from Li’s two residences; $1,036,079.36 seized from various bank accounts; real property located at 200 3rd Street, Milford (Li’s medical office); and real property located at 4005 Milford Landing Drive, Milford.  Judge Caputo signed a Preliminary Order of Forfeiture for these identified assets at the sentencing. 

The four-year long investigation in this case was conducted by the Drug Enforcement Administration (DEA) and its Diversion Division, the Internal Revenue Service’s Criminal Investigation Division, and the Pike County District Attorney’s Office. Assistant U.S. Attorneys Michelle Olshefski, Francis P. Sempa and Evan Gotlob prosecuted the case.

This case was prosecuted as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin and other opioids. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin and opioid traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit opioid trafficking offenses.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone.  Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

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HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that United States District Court Judge Sylvia H. Rambo sentenced Hakeem James Hughes, age 30, of Stowe, Pennsylvania, to 216 months’ imprisonment followed by 15 years of supervised release for child exploitation offenses.

According to United States Attorney David J. Freed, Hughes previously pleaded guilty to using minors to produce child pornography.  Hughes coerced and persuaded minors to engage in sexual acts with him, often providing them phones and electronic games in exchange, and video recorded the encounters.

This case was investigated by the U.S. Department of Homeland Security, Homeland Security Investigations, Child Exploitation/Human Trafficking Group.  Assistant United States Attorney James T. Clancy prosecuted the case. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit  www.usdoj.gov/psc and click on the tab "resources."

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HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania, Cumberland County District Attorney M.L. “Skip” Ebert, and Dauphin County District Attorney Francis T. Chardo announced that a federal grand jury in Harrisburg indicted seven individuals on March 13, 2019, for conspiracy and possession with the intent to distribute heroin and fentanyl and distribution of heroin and fentanyl resulting in death.

According to United States Attorney David J. Freed, the indictment alleges that the drug trafficking conspiracy entailed kilogram quantities of heroin and fentanyl for offenses that took place between January 2015 and March 13, 2019, in Dauphin and Cumberland Counties.  The following defendants were charged:

[1]       Adrian Ortiz-Diaz, a/k/a “Nelsito,” age 23, of Harrisburg, PA, is charged with one count of conspiracy to distribute and possess with intent to distribute fentanyl and more than 100 grams of heroin; one count of distribution of fentanyl; two counts of distribution of heroin; one count of distribution of heroin and fentanyl resulting in death and serious bodily injuries of G.C., C.K., E.H.;

[2]        Luis Jose Alicea-Solis, a/ka “Luisito,” age 24, of Harrisburg, is charged with one count of conspiracy to distribute and possess with intent to distribute heroin and fentanyl; one count of distribution of heroin and fentanyl resulting in death and serious bodily injuries of G.C., C.K., and E.H.; one count of possession with intent to distribute heroin;

[3]        Efrain Correa Lopez, age 22, of Harrisburg, is charged with one count of conspiracy to distribute and possess with intent to distribute heroin and fentanyl; one count of distribution of heroin and fentanyl resulting in death and serious bodily injuries of G.C., C.K., and E.H.;

[4]        Julio Landro-Cartagen, a/k/a “Fobo,” age 40, of Harrisburg, is charged with one count of conspiracy to distribute and possess with intent to distribute heroin and fentanyl; one count of distribution of fentanyl; one count of distribution of heroin;

[5]        Jeremmy Trillo-Gelpi, age 23, of Harrisburg, is charged with one count of conspiracy to distribute and possess with intent to distribute fentanyl and more than 100 grams of heroin;

[6]        Joan Trinta, a/k/a “Marie,” age 33, of  Harrisburg, is charged with one count of conspiracy to distribute and possess with intent to distribute fentanyl and more than 100 grams of heroin; and

[7]        Jonathan Trinta, a/k/a “Jungee,” age 23, of Harrisburg, is charged with one count of conspiracy to distribute and possess with intent to distribute fentanyl and more than 100 grams of heroin.

The case was investigated by the Drug Enforcement Administration, the Pennsylvania State Police, the United States Postal Inspection Service, the Internal Revenue Service, Criminal Investigation, the Dauphin and Cumberland County Drug Taskforces, the Office of Attorney General, Bureau of Narcotics Investigations, the Mechanicsburg Police Department and the Elizabethtown Police Department. Assistant U.S. Attorney Daryl F. Bloom is prosecuting the case.

This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF).  OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.

This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.  Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.

Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty under federal law for defendants range from 20 years to life imprisonment. (see attached) Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs.  For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced a settlement with Harrisburg Millworks LLC, the owner of The Millworks, Harrisburg, Pennsylvania.  The agreement was reached under Title III of the Americans with Disabilities Act (“ADA”).

According to United States Attorney David J. Freed, the United States Department of Justice received a complaint that The Millworks was not accessible to individuals in wheelchairs.  After an investigation with the owner’s complete cooperation, the United States Attorney’s Office found architectural barriers to access and violations of the relevant ADA Standards in The Millworks. 

Under the terms of the agreement, The Millworks has agreed to remove those architectural barriers in their seating areas and lavatories.  Any future alteration to The Millworks must also comply with federal disability law.  The Millworks further agreed to pay a civil penalty of $6,000 to the United States for this ADA violation. 

“Restaurants must ensure that their construction and operation comply with all requirements of the ADA, and that they provide equal access for all people,” said U.S. Attorney David J. Freed. “The Millworks quickly and cooperatively worked to address the ADA violations discovered during our investigation, which will enable all prospective patrons to dine at its establishment.”

Federal law requires public accommodations, including restaurants, to provide individuals with disabilities equal access to facilities. The ADA authorizes the U.S. Department of Justice and the U.S. Attorney’s Office to undertake investigations and periodic reviews of covered establishments. For more information on the ADA, visit www.ADA.gov.

This case was handled by Assistant United States Attorney Michael J. Butler.

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HARRISBURG – As we close Women’s History Month, United States Attorney David J. Freed and the United States Attorney’s Office for the Middle District of Pennsylvania honor the outstanding service and contributions of our female Assistant United States Attorneys. 

Hired in 1979, Barbara Kosik Whitaker was the first female AUSA in the Middle District. The daughter of District Judge Edwin M. Kosik, Barbara graduated from Juniata College and the Dickinson School of Law. Barbara served the office faithfully until losing a hard-fought battle against breast cancer in 2011. 

U.S. Attorney Freed also recognizes Sally A. Lied as our second female AUSA in the Middle District. Ms. Lied began her extensive career by serving on the Indiana staff of Robert F. Kennedy's presidential campaign in 1968. She then entered the Indiana University School of Law and obtained her JD in 1974. In 1975, Ms. Lied was the Assistant Deputy Secretary of Education for Pennsylvania, the first woman to hold that position.  She was later promoted in 1978 to Deputy Attorney General. Ms. Lied joined the office in 1982, and served 20 years, retiring from federal service in 2000.  

Sally A. Lied (left) and Barbara Kosik Whitaker (right) with colleagues.    

As of March 2019, there are nine female AUSAs serving in the U.S. Attorney’s Office for the Middle District of Pennsylvania.  In the past few years, the Middle District welcomed five new and exceptional women lawyers to the office:

• A National Association of Women Lawyers Recognition Award recipient, Tamara Haken, joined the office last Fall following her established career as an Assistant Enforcement Counsel for the Pennsylvania Gaming Control Board, a legal advisor for CURE International, Inc. and as an Adjunct Professor in the Business Law Department for Harrisburg Area Community College;
• Joanne Hoffman began her federal career almost 11 years ago in our office as a Paralegal Specialist.  Ms. Hoffman attended Widener Law School’s evening degree program and was promoted in November 2018 to AUSA.  Ms. Hoffman handles criminal prosecution of illegal reentry and defense of civil immigration detention cases;
• A University of Pennsylvania graduate, Alisan Martin served as an Assistant District Attorney in Philadelphia prosecuting drug crimes and violent felonies before returning to her hometown of Williamsport to serve as an AUSA in 2017;
• An alum of Rutgers University, Shana Priore began her career clerking for the Honorable Alexander H. Carver, III of the Superior Court of New Jersey. Ms. Priore then served as a Deputy Attorney General in New Jersey before joining our office in 2017;
• Jenny Roberts, a graduate of Villanova School of law, joined the office in 2016 after a 12-year career as an Assistant District Attorney in Blair and Luzerne Counties.  Ms. Roberts serves as the Coordinator of the Financial Unit and the Asset Forfeiture Unit.

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Harrisburg – The United States Attorney’s Office for the Middle District of Pennsylvania announced that U.S. Attorney David J. Freed presented awards on Friday, March 22, 2019, to members of law enforcement agencies for their outstanding efforts in fighting crime.

“Cooperation among federal, state and local law enforcement is a key component in our mission to reduce crime and protect law-abiding citizens throughout the Middle District of Pennsylvania,” said U.S. Attorney Freed.  “We are pleased and proud to recognize our colleagues who stand out for their bravery, dedication and service.”

The award recipients are being honored for their exceptional heroism, distinguished service, and outstanding contributions to cooperative law enforcement. Those honored at Friday’s ceremony included:

Nine members of the U.S. Marshals Taskforce received the Exceptional Heroism Award for their involvement in a shootout with a fugitive, which Deputy U.S. Marshal Christopher Hill was killed in the line of duty.  Included in receiving this award was the family of U.S. Deputy Marshal Christopher Hill.

Three law enforcement members are receiving the Lifetime Service Award which recognized their many years of exemplary service to their agency:   

• One Special Agent with the Drug Enforcement Agency (DEA);
• Task Force Officer of the PA State Police assigned to the FBI; and
• Wyoming County District Attorney’s Office Chief Detective David A. Ide.

Lebanon County First Assistant District Attorney Nichole Eisenhart received an Award For Outstanding Trial Advocacy by a Special Assistant United States Attorney for her contributions in connection with a large drug case in Lebanon County that resulted in numerous convictions and seizures of firearms and drugs.

Three law enforcement members received an Award For Outstanding Contributions to Cooperative Law Enforcement for significantly increasing cooperation among law enforcement agencies:

• York City Police Department Chief of Police Troy Bankert;
• Luzerne County District Attorney Stefanie J. Salavantis;
• Postal Inspector with the U.S. Postal Inspection Service

The following individuals received an Award For Distinguished Service for their exceptional work in complex investigations:

• DEA Special Agent Michael Neff;
• Federal Bureau of Investigation Special Agents Bruce Doupe, Gary Leone, and Larry Whitehead;
• Task Force Officer working with the FBI Hugh Earhart;
• Pennsylvania Department of Agriculture employees Walt Remmert, Charles “J.R.” Anderson, and George Minner; and
• Fairview Township Police Department Sergeant Mike Bennage.

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SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Coreon House, age 21, and Rashad Coleman, age 25, both of Indianapolis, Indiana, pleaded guilty on March 20, 2019, before United States District Court Senior Judge James M. Munley to armed robbery of a CVS Pharmacy in Scranton.

According to United States Attorney David J. Freed, House and Coleman admitted to the armed robbery of a pharmacy and brandishing a firearm in furtherance of a crime of violence, filed as a result of the armed robbery of the CVS Pharmacy, located on Moosic Street in Scranton, which occurred on May 21, 2018.  House, Coleman and a third individual, Nicola Dunlap, age 21, also of Indianapolis, traveled from Indianapolis to the CVS Pharmacy in Scranton.  Upon entering the pharmacy, House pointed a firearm at a CVS employee while Coleman acted as a lookout and Dunlap acted as a getaway driver.  House and Coleman proceeded to take numerous bottles of pills from the pharmacy, including oxycodone, morphine and xanax.  All three were apprehended a short time later after police stopped the vehicle in which they were traveling.  All three were indicted by a grand jury on July 10, 2018. 

Judge Munley ordered that presentence investigations be completed for House and Coleman.  The charges against Dunlap are still pending.

The investigation was conducted by the Federal Bureau of Investigation, the Scranton Police Department and the Pennsylvania State Police. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.        

This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.  The Department of Justice reinvigorated PSN in 2017, as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

The maximum penalty for the charge of armed robbery of a pharmacy under federal law is 25 years of imprisonment, a term of supervised release following imprisonment, and a $250,000 fine. The charge of brandishing a firearm in furtherance of a crime of violence carries a mandatory minimum sentence of seven years, consecutive to any other sentence. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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HARRISBURG - The United States Attorney’s Office for the Middle, Eastern, and Western Districts of Pennsylvania announced that the Pennsylvania Department of Education (PDE) has agreed to resolve a federal civil rights investigation into Pennsylvania’s system of alternative education programs, known as Alternative Education for Disruptive Youth (AEDY).  Under Pennsylvania law, students in grades 6 through 12 can be referred to these programs for temporary placements when they meet certain statutory criteria.  These programs are separate from students’ usual general education programs, and do not typically offer the same access to the instructional programs or activities.

According to United States Attorney David J. Freed, the United States Department of Justice received complaints that AEDY programs discriminated against students based on disability and failed to provide appropriate services to students who are learning English.  In response, the Department of Justice partnered with United States Attorney’s Offices for the Middle, Eastern, and Western District of Pennsylvania to investigate PDE’s approval and oversight of these programs across Pennsylvania.

The investigation was conducted under Title II of the Americans with Disabilities Act, which prohibits state and local government entities, including schools, from discriminating based on disability.  In addition, the Equal Educational Opportunities Act of 1974 prohibits a state from denying equal educational opportunity based on national origin by failing to take appropriate action to overcome language barriers that impede equal participation by its students in an instructional program.

Under the settlement agreement, PDE will ensure that students with disabilities receive individual assessments to determine whether their behavior results from a disability before they are placed in AEDY.  The agreement also requires PDE to monitor whether students with disabilities in AEDY programs are timely transferred back to their home schools, guarantee that local educational agencies attempt appropriate interventions before referring students with disabilities to AEDY, and ensure that students are not placed in AEDY solely on the basis of disability. 

In addition, the agreement will require Pennsylvania to ensure that local educational agencies establish a service plan for English learning (EL) students in AEDY to ensure that they receive appropriate language assistance services.  PDE will also improve its process for receiving and responding to complaints from parents or others regarding AEDY programs, and revise its non-discrimination policies and data monitoring practices to comply with the EEOA and the ADA.

“Pennsylvania must ensure that children with disabilities are not placed in an alternative disciplinary program simply because they have a disability,” said United States Attorney Freed.  “We applaud the Commonwealth of Pennsylvania for implementing numerous changes to its AEDY Programs already, which, coupled with this agreement, will improve the education of children with disabilities and give all children the opportunity to learn English in AEDY Programs.” 

“Federal law does not allow schools to discipline students because of their disability, or to deprive them of an opportunity to learn English,” said United States Attorney William M. McSwain when announcing the resolution for the Eastern District of Pennsylvania. “This agreement protects their civil rights, and comes with laudable cooperation by the Commonwealth of Pennsylvania.”

“All students should be provided an opportunity to succeed and are entitled to learn in an educational environment free from discrimination,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “We commend PDE’s cooperation throughout our investigation and for its commitment to ensure that students with disabilities and English learners are not prevented from learning opportunities afforded to other students. All students should receive the lawfully-required help they need to participate equally in schools.”

This case was handled by Assistant United States Attorneys Michael J. Butler, MDPA, Michael S. Macko, EDPA, and Jennifer Andrade, WDPA, working jointly with the Department of Justice’s Education and Opportunities Section of the Civil Rights Division.

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