District of South Carolina

Contac Persont: Beth Drake (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that a Federal Grand Jury in Columbia, South Carolina, returned an Indictment(s) against the following:

Maryland Man Indicted for Wire Fraud
Charles  Brown, age 53, of Laurel, Maryland was charged in a 17-count indictment with Wire Fraud, a violation of Title 18, U. S. C. §1343. The indictment charges that, between in or about March of 2009, and continuing to in or about October 2012, Mr. Brown devised scheme to defraud the United States and to obtain money and property from the United States by means of materially false and fraudulent pretenses, representations, and promises. The indictment alleges that scheme involved The Service-Disabled Veteran-Owned Small Business  Concern  Procurement Program.

The maximum penalty Brown could receive is 20 years imprisonment and a maximum fine of $250,000.  The case was investigated by agents of the Veterans Administration OIG and is assigned to Assistant United States Attorney John Potterfield of the Columbia office for prosecution.

The United States Attorney stated that all charges in this Indictment are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

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Contact Person: Beth Drake (803) 929-3000

Columbia, South Carolina ----- Larry Flynn, a/k/a “L.W.,” age 39, of Richland County, South Carolina was charged by a Federal Grand Jury in a 2-count Indictment.  Larry Flynn was charged with Operation of an Illegal Gambling Business, a violation of Title 18, U. S. C. §1955 and Conspiracy to Commit Money Laundering, a violation of Title 18, U. S. C. §1956(h) for his operation of the gambling business “Magic Minutes.”  The maximum penalty Flynn could receive is 10 years imprisonment and a maximum fine of $250,000.  The case is a part of an on-going investigation by agents of the IRS Criminal Investigations, FBI, Homeland Security, SLED and the South Carolina Attorney General’s Office and is assigned to Assistant United States Attorneys Jim May and Jay Richardson of the Columbia office for prosecution.

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Contact Person: Winston Holliday (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated that Tracey Lee Rowell, age 41, of Latta, Bobby Lee Scott, age 29, of Dillon, Denise Locklear, 35, of Latta, and Lakisha Marie Clark, age 28, of Dillon, were sentenced today in federal court in Columbia, South Carolina, for participating in a Conspiracy to Distribute Oxycodone, a violation of 21 U.S.C. § 846.  Chief United States District Judge Terry L. Wooten of Columbia sentenced Rowell, the ringleader, to twenty years imprisonment; Scott to seventy months imprisonment; Locklear to 37 months imprisonment; and Clark to two years imprisonment.

Evidence presented at the change of plea hearing established that Rowell was the leader of a prescription forgery ring.  The drug of choice was Roxicodone, a brand name for Oxycodone, which is a highly addictive painkiller.  Rowell provided forged prescriptions to co-conspirators, who then had the prescriptions filled in pharmacies in South and North Carolina.  They would then provide the pills to Rowell, who used some and sold the rest.  Rowell also shared some of the pills with others in the conspiracy for their personal use.  The typical prescription was for 120 pills; the total conspiracy involved almost 42,000.  Each tablet had a street value of $20 to $25.

The case was investigated by the newly formed Tactical Diversion Squad of the Drug Enforcement Administration.  Assistant United States Attorney Winston Holliday of the Columbia office prosecuted the case.

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Contact Person: J.D. Rowell (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that Calvin James Hall age 43 of Irmo, South Carolina was sentenced today in federal court in Columbia, South Carolina to life in prison without the possibility of parole.  On July 25, 2013, a federal jury convicted Hall of being a member or associate of the Bloods Street gang as part of a conspiracy to commit racketeering (RICO Conspiracy).  As to the racketeering conspiracy charge the jury unanimously found that Hall agreed that the racketeering activity that would be or was committed included: (1) Distribution, Possession with Intent to Distribute, and Trafficking in controlled substances, in violation of SC Code Sections 44-53-370 and 44-53-375; (2) Distribution, Receipt, Concealment, Buying, Selling, and Otherwise Dealing in Controlled Substances, including Cocaine, Cocaine Base, Marijuana, and Other Controlled Substances, in violation of 21 U.S.C. §§ 841 and 846; (3) Recruiting, Enticing, or Transporting a Minor in Interstate Commerce or to Benefit Financially from Participation in a Venture which Recruits, Entices, or Transports Minors to Engage in Commercial Sex Acts, in violation of 18 U.S.C. § 1591; (4) Obstruction of Justice; and (5) Witness Tampering.  In addition to the above RICO conspiracy conviction, Hall was also convicted of six related federal violations involving conspiracy to traffic crack cocaine, use of a telephone in furtherance of drug trafficking, attempted armed robbery of a drug dealer, and related charges.  United States District Judge Joseph F. Anderson Jr. of Columbia sentenced to Hall to a statutory mandatory life sentence, without the possibility of parole.  Hall faced this sentence in part because of his two prior felony drug convictions. 

Hall was one of 39 members and associates of the Bloods street gang that were indicted and arrested in the summer and fall of 2012.  The investigation was the second wave of an FBI investigation that began in 2007 of the violent street gang.  As of the date of this release, all 39 defendants charged in the case have been convicted and all received sentences that included periods of incarceration in the Federal Bureau of Prisons.

During Calvin Hall’s trial, evidence was presented that the Bloods street gang was formed in 1998, when James Powell a/k/a Munchie, came to Columbia, South Carolina, from New York because he was on the run from the police for a shooting he committed. Powell began initiating young men in Columbia in 1998 or 1999 into the Gangsta Killa Blood (GKB) set of the Bloods and that set was operating in Columbia in 2011 when Hall and his coconspirators were arrested and charged.  Evidence at the trial demonstrated that the Bloods were involved in coordinated armed robberies of drug dealers, the posting of young women on the internet for prostitution, crack cocaine trafficking, financial crimes, and other criminal activity. 

Evidence during Hall’s trial established that on May 23, 2011, Hall, along with two codefendants and Blood Gang members Nicholas Jason Wright and Stewart Stroman, conspired to commit an armed robbery of a marijuana dealer in or around Lexington County, South Carolina.  Witnesses testified that after Stroman put Wright in contact with Hall, they along with three other conspirators went to the marijuana dealers house to rob him.  When Hall breached the front door armed with a pistol, he was shot in the stomach by a resident of the house.

Despite being shot in May of 2011, evidence at trial demonstrated that Hall continued to associate with the Bloods and in June of 2012, he was the beneficiary of a drug robbery committed by Wright and other Bloods gang members in Greenville, South Carolina.  Witnesses testified that Stroman coordinated a robbery in Greenville in which Wright, Kenneth Timmons and several other Bloods shot a drug dealer in the gut who refused to tell them where his cocaine was.  After the dealer was shot, the conspirators came back to Columbia, where Calvin Hall purchased a large quantity of the cocaine from his conspirators.  Witnesses testified that Hall provided one of the guns that was used in the Greenville robbery.

The investigation resulted in a number of Bloods gang leaders being sentenced to federal prison including Titus Will Bowman, a/k/a “T.I”; Torrean Antwan Sims, a/k/a Slim; and David Andrea Jenkins, a/k/a “Arma G.”  Bowman, a high level leader and shooter, was sentenced to 220 months incarceration by Judge Anderson on December 16, 2013.  Other notable sentences include Andre Cummings (108 months incarceration), Craig Xavier Alston (177 months incarceration), Nicholas Wright (180 months incarceration); Stewart Stroman (96 months incarceration); Nathaniel Farmer (151 months incarceration); Jarius Jones (108 months incarceration); Antwain Brisbon (200 months incarceration); Odel “Teazy” Martin (240 months incarceration); Joshua “Metro” Kitt (168 months incarceration); Hassaan R. Brown (115 months incarceration); Kenneth “Keno” Timmons (190 months incarceration) and Alex Russell Anderson (151 months incarceration).

U.S. Attorney Bill Nettles said, "Organized violent criminals who exploit our communities to fund their criminal enterprises are a focus of our Violent Crime and Narcotics Division. The work of the prosecutors, agents and good citizens that made this case is remarkable and will have a tangible impact on the quality of life in our neighborhoods."

"Dismantling violent gangs is a continuing priority for the FBI. This verdict is the direct result of joint efforts with our federal, state, and local law enforcement partners, and we will continue to work diligently with our colleagues to investigate and eradicate gangs and the violence they perpetrate. Together we are committed to restoring safety and security to our communities", said David A. Thomas, Special Agent in Charge, FBI.

This case was investigated by the Columbia Violent Gangs Task Force (CVGTF), led by agents with the Federal Bureau of Investigation.  The CVGTF is part of the FBI’s Safe Streets Task Force initiative. The CVGTF is an investigative and enforcement partnership between the FBI, Richland County Sheriff’s Department (RCSD), Columbia Police Department (CPD), South Carolina Law Enforcement The case was prosecuted by AUSA J.D. Rowell and AUSA William Witherspoon, out of the United States Attorney’s Office in Columbia, South Carolina.

Contact Person: Winston Holliday (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that former C.P.A. Joseph Glenn Folsom, Jr., age 61, of Camden, has been convicted of four counts of Interstate Transportation of Stolen Money, a violation of 18 U.S.C. § 2314, after a three-day trial in Columbia that concluded Wednesday.  United States District Judge Joseph F. Anderson, Jr., of Columbia presided over the trial and will sentence Folsom at a later date.

Evidence presented at the trial established that Glenn Folsom prepared the taxes for “E.F.” and her husband for thirty years.  E.F. requested Folsom to draft her will in December 2006.  He did so, naming himself as the executor.  When she died ten months later, Folsom used his power as executor to steal funds from the estate and buy classic cars, an airplane, and lake property for himself.  In all, he stole approximately $580,000.  

“The United States Attorney’s Office will continue to prosecute those who abuse the trust placed in them by our most vulnerable citizens, in this case, an elderly woman and her family.  We are grateful for a system of justice that holds Glenn Folsom and those like him accountable for their actions,” said Mr. Nettles.

David A. Thomas, Special Agent in Charge of the F.B.I., said, “We are pleased by the resolution of this matter.  This individual betrayed the confidence and trust placed in him, and the financial losses in this case were staggering. We will continue working with our partners to identify and stop those who line their own pockets at the expense of others.”

Mr. Nettles stated the maximum penalty for Interstate Transportation of Stolen Money is imprisonment for 10 years and/or a fine of $250,000.

The case was investigated by agents of the Federal Bureau of Investigation.  Assistant United States Attorney Winston Holliday of the Columbia office is prosecuting the case.

Contact Person: Stacey Haynes (803) 929-3000

Columbia, South Carolina ----- The United States Attorney’s Office stated today that the Fourth Circuit Court of Appeals issued a published opinion today affirming the federal conviction of FREDDIE GRANT, age 54, of Elgin, South Carolina.  The written opinion may be found at http://www.ca4.uscourts.gov/opinions/daily-opinions.  The Fourth Circuit Court of Appeals heard oral arguments on the case on March 26, 2014, before a special session of the court held at the University of South Carolina School of Law.  GRANT is currently serving a 212 months (17.6 years) imprisonment federal sentence for being a felon in possession of ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(e).  GRANT was convicted in January 2013, following a one-day trial in federal court in Columbia.  Senior United States District Judge Cameron McGowan Currie imposed the sentence on April 18, 2013, which will be followed by five (5) years of supervised release.

Contact Person: Stacey Haynes (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that a Federal Grand Jury in Columbia, South Carolina, returned Indictment(s) against the following: Columbia Man Charged with Trafficking Counterfeit Medications
Arthur Fleming Moler, age 51, of Gaston, was charged in a four count Indictment with Trafficking in Counterfeit Goods, Copyright Infringement, Smuggling and Theft of Government Funds, in violation of Title 18, United States Code, Sections 2320(a), 506(a)(1), 545 and 641 respectively. The maximum penalty he could receive is 20 years imprisonment and a fine of $2,000,000.  The case was investigated by Immigration and Customs Enforcement and the United States Postal Service and is assigned to Assistant United States Attorney T. DeWayne Pearson of the Columbia office for prosecution.

The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

Contact Person: Stacey Haynes (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that Charles Tarron Carter, age 28, of Columbia, South Carolina was sentenced today in federal court to 188 months (15.8 years) imprisonment, which will be followed by five (5) years of supervised release. The sentence stemmed from Carter’s earlier guilty plea to being a felon in possession of a firearm and ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(e).  Senior United States District Judge Cameron McGowan Currie imposed the sentence. 

Evidence presented at the earlier change of plea hearing established that on the afternoon of June 29, 2011, officers with the Columbia Police Department responded to a burglary alarm at a residence on Muller Avenue.  Officers found a door to the residence, as well as a door to an apartment in the back of the residence, ajar.  While checking for intruders, officers noticed crack cocaine and a Smith & Wesson .45 caliber handgun in plain view, along with items belonging to Carter, who utilized the rear apartment.

The investigation revealed that Carter is prohibited under federal law from possessing firearms and/or ammunition based upon his prior state convictions.  Carter has previously been convicted in state court for burglary 2nd degree of a dwelling (2 separate convictions) and possession with intent to distribute crack cocaine (2 separate convictions). The court determined that Carter was an armed career criminal subject to enhanced penalties on the firearm charge in light of his prior state convictions for violent felonies and serious drug offenses.

The case was investigated by the Columbia Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases.  Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.

Contact Person: Stacey Haynes (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that RICHARD ARMBRE WILLIAMS, age 42, of Columbia, South Carolina has entered a guilty plea in federal court to being a felon in possession of firearms and ammunition, in violation of Title 18, United States Code, Sections 922(g)(1), 924(a)(2), and 924(e).  Senior United States District Judge Margaret B. Seymour accepted the plea and will impose a sentence after she has reviewed the presentence report, which will be prepared by the U.S. Probation Office.

Evidence presented at the change of plea hearing established that at 7:18 pm on July 30, 2013, officers with the Columbia Police Department responded to the Fast Point Convenience Store on Fairfield Road, in reference to an alarm call.  Upon arriving at the scene, officers observed WILLIAMS on the side of the building with his hand tucked into his waistline underneath his shirt.  WILLIAMS, after making eye contact with officers, abruptly turned and ran.  Despite officers yelling for him to stop, WILLIAMS continued running and dropped two firearms to the ground before ultimately being stopped by officers.  Officers recovered the two firearms dropped by WILLIAMS, a Smith & Wesson .32 caliber revolver and a Glock 9mm pistol with rounds of 9mm ammunition, and also recovered a small amount of marijuana in two plastic baggies in WILLIAMS’ right pocket, along with two box cutter knives.

The investigation revealed that WILLIAMS is prohibited under federal law from possessing firearms and/or ammunition based upon his prior state convictions.  WILLIAMS has previously been convicted in state court for assault and battery with intent to kill (stemming from shooting in November 1990), assault & battery, voluntary manslaughter (stemming from a shooting in June 1990), possession with intent to distribute cocaine, possession of marijuana, and driving under suspension.

Mr. Nettles stated that WILLIAMS, who has three prior violent felony convictions, appears to be an armed career criminal subject to enhanced penalties under federal law.  If the district court determines that WILLIAMS is an armed career criminal, he faces a statutory mandatory minimum of fifteen (15) years imprisonment with a maximum of life, a fine of $250,000 and a term of supervised release of five (5) years to follow the term of imprisonment.

The case was investigated by the Columbia Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases.  Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.

Contact Person: Stacey Haynes (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that MARQUEL DAVON FOSTER, age 23, of Columbia, South Carolina has entered a guilty plea to making a false statement in the acquisition of firearms from a federal firearms licensee, in violation of Title 18, United States Code, Sections 922(a)(6) and 924(a)(2).  Senior United States District Judge Margaret B. Seymour accepted the plea and will impose a sentence after she has reviewed the presentence report, which will be prepared by the U.S. Probation Office.

Evidence presented at the change of plea hearing established that in January 2013, during the execution of a drug search warrant in Bridgeton, NJ, officers recovered a Masterpiece Arms .45 caliber pistol with a high capacity magazine.  A trace of the firearm revealed that it was purchased by FOSTER in Columbia, SC in on February 6, 2012.   Agents with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) determined that FOSTER had purchased two firearms on February 6, 2012, two firearms on February 8, 2012, and 2 additional firearms on March 7, 2012.  When agents approached FOSTER, he claimed that the Masterpiece Arms .45 caliber pistol with a high capacity magazine had been stolen a year earlier, but that he had the other five (5) firearms in his possession.  When agents asked to see those five (5) firearms, FOSTER admitted that he did not have them and that he had purchased them for an individual from New Jersey that he met at the gun store in exchange for money. FOSTER stated that the individual, who he knew only by a nickname, gave him money, and asked FOSTER to purchase the firearms for him since he was unable to legally purchase them because he was a felon.  FOSTER admitted to making a false statement on the forms to purchase the firearms and to purchasing a total of six (6) firearms for this individual in approximately a one month period.  The six (6) firearms were a Hi-Point .380 caliber pistol, a Masterpiece Arms .45 caliber pistol, a European American Arms, Corp. .357 caliber revolver, a Ruger 9mm pistol, a Taurus .40 caliber pistol, and a Masterpiece Arms 9mm pistol.   Only one of those firearms has been recovered as of this date.

Mr. Nettles stated that FOSTER faces a maximum of ten (10) years imprisonment, a fine of $250,000, and a term of supervised release of three (3) years to follow the term of imprisonment. 

The case was investigated by ATF and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases.  Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.

Contact Person: Jim May (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that  David Braswell was sentenced in federal court in Florence, South Carolina, for violation of the Clean Air Act, 42 U.S.C. § 7412.  United States District Judge R. Bryan Harwell of Florence sentenced Mr. Braswell to six months in prison, six months house arrest, three years supervised release and a $10,000.00 fine.

Evidence presented at the change of plea hearing in October established that the defendant ran CoolCote, a construction and renovation company in the Myrtle Beach area.  The defendant was contracted to remove and replace siding on a high rise beach front condominium complex in Myrtle Beach.  The defendant was made aware that the existing siding contained asbestos material and agreed to do the job for a lower price.  The defendant did not provide the proper protection to his employees or obtain the proper permits to allow for the removal of asbestos.  United States Bill Nettles stated: "The United States Attorney's Office is committed to protecting the citizens of South Carolina, our land, our water, and our air from contamination.  Our office will continue to prioritize the environmental work we do with both federal and state agencies, to ensure these cases are brought to the forefront.  I ask that you report any violations to the EPA at (800)241-1754 or http://www2.epa.gov/enforcement/report-environmental-violations." 

"The defendant was hired to renovate a beach-front condominium building which he knew contained asbestos in the exterior surface coating,” said Maureen O’Mara, Special Agent in Charge of EPA’s criminal enforcement program in South Carolina.  “Instead of removing the asbestos containing material legally and safely, he directed workers to pressure wash the material in violation of the work practice standards and as a result, contaminated a local beach and adjacent properties. Today’s sentence should serve notice that EPA and its partner agencies remain committed to protecting communities through tough enforcement of the nation’s environmental laws.”

The case was investigated by agents of the Environmental Protection Agency and South Carolina Department of Health and Environmental Control, Assistant United States Attorney Jim May of the Columbia office prosecuted the case.

Contact: (202) 514-2007

Washington, DC ----- Fifteen individuals were arrested today in South Africa, Canada, California, Wisconsin and Indiana, pursuant to an eight-count federal indictment on fraud charges filed in the Southern District of Mississippi.  A total of 19 individuals were arrested across the United States and internationally on charges brought by federal prosecutors in Mississippi, South Carolina and Georgia. 

Acting Assistant Attorney General David A. O’Neil of the Justice Department’s Criminal Division, U.S. Attorney Gregory K. Davis for the Southern District of Mississippi, Raymond Parmer Jr., Special Agent in Charge of Immigration Customs Enforcement (ICE), Homeland Security Investigations (HSI) in New Orleans and Robert Wemyss, U.S. Postal Inspection Service Inspector in Charge made the announcement. 

Another individual was arrested today in New York on a related Southern District of Mississippi complaint.  Three defendants in South Carolina were arrested in Charleston, pursuant to a nine-count indictment, and the U.S. Attorney’s Office for the Northern District of Georgia has filed related criminal complaints in Atlanta against two additional defendants.  All of the indictments and complaints were unsealed yesterday.

The indictments allege the involvement of a West African transnational organized crime enterprise engaged in numerous complex financial fraud schemes over the internet.  This mass marketing fraud includes romance scams, re-shipping scams, fraudulent check scams and work-at-home scams, along with bank, financial and credit card account take-overs.

The investigation was initiated in October 2011, by HSI agents in Gulfport, Mississippi, after U.S. law enforcement officers were contacted by a female victim who was the victim of a sweetheart scam.  The victim received a package in the mail requesting that she reship the merchandise to an address in Pretoria, South Africa.  The investigation later revealed that the merchandise was purchased using stolen personal identity information and fraudulent credit card information of persons in the United States.  Investigators have identified hundreds of victims of this scam in the United States, resulting in the loss of millions of U.S. dollars. 

Today’s arrests were the result of an investigation led by the HSI Gulfport office in partnership with the U.S. Postal Inspection Service, South African Police Service, Toronto Police, HSI Cyber Crimes Center, Treasury Executive Office of Asset Forfeiture, HSI Ontario, HSI Charleston, Interpol South Africa, HSI Pretoria and HSI Atlanta. 

The Department of Justice Office of International Affairs assisted in the provisional arrests of ten defendants in Pretoria, South Africa.  Another defendant was arrested in Toronto, Canada, and the remaining defendants were arrested in the United States. 

The case in Mississippi will be prosecuted by Assistant U.S. Attorneys Annette Williams and Scott Gilbert, and will be scheduled for trial after extradition of the defendants to Mississippi.  The South Carolina prosecution will be handled by Department of Justice Organized Crime and Gang Section trial attorneys Leshia Lee-Dixon and Robert Tully.  The Georgia cases will be prosecuted by Assistant U.S. Attorney Shanya J. Dingle of the Northern District of Georgia.

An indictment is a formal charge against a defendant.  Under the law, an indictment is merely an accusation and a defendant is presumed innocent until proven guilty.  

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Contact Person: Beth Drake (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that a Federal Grand Jury in Charleston, South Carolina, returned Indictment(s) against the following: Aynor Man Indicted for Union Theft: Timothy Gamble, age 44, of Aynor, South Carolina, was charged in a 1-count Indictment with Theft of Union Funds, a violation of Title 29, U. S. C. §501(c).  The maximum penalty that Gamble could receive is 10 years imprisonment and a maximum fine of $250,000.  The case was investigated by agents of the Department of Labor and is assigned to Assistant United States Attorney Rhett DeHart of the Charleston office for prosecution.

Walterboro Man Indicted for Gun Charges: Rodney Faulkenberry, age 55, of Walterboro, South Carolina was charged in a 2-count Indictment with being a Felon in Possession of a Firearm and Possession of a Stolen Firearm, a violation of Title 18, U. S. C. § 922.  The maximum penalty that Faulkenberry could receive is 15 years imprisonment and a maximum fine of $250,000.  The case was investigated by agents of the Alcohol Tobacco and Firearms (ATF) and the Colleton County Sheriff’s Office and is assigned to Assistant United States Attorney Rhett DeHart of the Charleston office for prosecution.

The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

Contact Person: Bill Watkins (864) 282-2100

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that Tony Lee Holcombe, age 61, of Easley, South Carolina, pled guilty yesterday afternoon in federal court in Spartanburg, to theft of Government funds, a violation of Title 18, United States Code, Section 641.    United States District Judge Mary G. Lewis of Spartanburg accepted the plea and will impose sentence after she has reviewed the presentence report which will be prepared by the U.S. Probation Office.

In July 2010, the Department of Veterans Affairs (“VA”) awarded Holcombe disability pension benefits for a non-service related impairment.  Holcombe was declared permanently and totally disabled.  In the letter informing Holcombe of his pension, the VA instructed Holcombe to report immediately if his income, status, or net worth increased or changed. 

In September 2012, the VA received an anonymous complaint indicating that Holcombe was operating a construction business while receiving a disability pension.  Agents investigated and found Holcombe on a job site where Holcombe was remodeling a home for a client. Holcombe admitted owning R&T Exteriors with another individual.  He explained that “We mainly do siding, boxing, and metal roofs.”  Holcombe indicated that he was a “silent” partner in the business and grossed a substantial amount of money. 

Agents continued their investigation of Holcombe and talked to former employees, co-workers, and contractors who confirmed that Holcombe was working and receiving undisclosed income during the period he was receiving VA benefits for permanent and total disability.  

The VA has calculated the overpayment amount as $33,470.00. 

Mr. Nettles stated the maximum penalty Tony Lee Holcombe can receive is a fine of $250,000 and/or imprisonment for 10 years, plus a special assessment of $100.

The case was investigated by agents of the Department of Veterans Affairs, Office of the Inspector General.  Assistant United States Attorney Bill Watkins of the Greenville office handled the case.

Contact Person: Nancy Wicker (803) 929-3000

Charleston, South Carolina ----- The United States Attorney’s Office announced today that Edwin Donald Givens, age 50, of Columbia, South Carolina, pled guilty to an Information (copy attached) charging him with misprision of a felony in connection with a kickback scheme related to the 2011 South Carolina State University homecoming concert, in violation of Title 18, United States Code, Section 4.

United States District Judge David C. Norton of Charleston accepted the plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office. 

Evidence presented at the plea hearing established that GIVENS had actual  knowledge of the commission of a federal felony offense involving the solicitation, receipt and payment of kickbacks by others involved with the concert, and that he failed to disclose such knowledge and took affirmative steps to conceal such information from federal law enforcement agents investigating the scheme, both prior to and during a November 14, 2011, interview with agents of the Federal Bureau of Investigation.

The maximum penalty GIVENS can receive is three (3) years imprisonment and a $250,000 fine, plus a special assessment of $100.

The case was investigated by agents of the Federal Bureau of Investigation (FBI), the South Carolina Law Enforcement Division (SLED), the Department of Housing and Urban Development (HUD), the Office of Inspector General (HUD-OIG), and the Internal Revenue Service (IRS-CI).  This case and its companion cases are being prosecuted by Assistant United States Attorneys Nancy C. Wicker, Jane B. Taylor, DeWayne Pearson and J.D. Rowell.

PDF - Givens Information

Contact Person: Beth Drake (803) 929-3000

Charleston, South Carolina ----- William N. Nettles, the United States Attorney for the District of South Carolina; Harry S. Sommers, the Special Agent in Charge of the Atlanta Division of the Drug Enforcement Administration (“DEA”); Brock Nicholson, the Special Agent in Charge of Homeland Security Investigations (“HSI”) in Atlanta; Mark Keel, the Chief of the South Carolina Law Enforcement Division (“SLED”); and L. C. Knight, the Sheriff of Dorchester County, announce the arrests of defendants in a drug distribution conspiracy indictment involving a cocaine trafficking network operating between Mexico and South Carolina.

According to the federal indictment unsealed in Charleston, SC today, Jose Alfredo Sierra-Reynoso of Saint Matthews, SC, Michael Clark, a/k/a “Bizzy B” of Holly Hill, SC, Lonnell McFadden, a/k/a “June” of Holly Hill, SC, Marion Jerome Mack, a/k/a “Jigga” of Holly Hill, SC, Adryenne R. Johnson of Lexington, SC, Allen Washington, a/k/a “Dirty” of Holly Hill, SC, and Harold Robinson of Holly Hill, SC were charged by a grand jury with conspiring to distribute more than five kilograms of cocaine in South Carolina.  The indictment alleges the conspiracy began in or around July 2011.

The indictment is the culmination of an Organized Crime Drug Enforcement Task Force investigation conducted by DEA Charleston Task Force, the Dorchester/Summerville Metro Narcotics Unit, HSI Border Enforcement Security Team, and SLED.

In today’s enforcement operation, over 75 law enforcement officers executed arrest warrants and served search warrants in several South Carolina counties.  Law enforcement agencies conducting the takedown operation include DEA, Dorchester/Summerville Metro Narcotics Unit, HSI, SLED, United States Marshals Service, Federal Bureau of Investigation (FBI), South Carolina Highway Patrol, Alcohol, Tobacco & Firearms (ATF), Lexington County Sheriff’s Office, Calhoun County Sheriff’s Office, and Orangeburg County Sheriff’s Office.

“Today’s operation is a testament to the effectiveness of the OCDETF program in dismantling drug trafficking organizations, from their South Carolina base up to their sources of supply,” said United States Attorney Bill Nettles of the District of South Carolina.

"International and interstate drug dealers should take heed that federal, state, and local law enforcement in South Carolina is well organized, cooperative and effective," said Special Agent in Charge Harry Sommers of the DEA Atlanta Field Division. “This investigation is an excellent example of how South Carolina’s law enforcement community bands together to dismantle criminal networks.” 

“Dismantling sophisticated transnational criminal organizations takes a lot of teamwork and a lot of effort,” said Special Agent in Charge Brock D. Nicholson, Homeland Security Investigations (HSI) Atlanta. “HSI is a strong supporter of the DEA’s Organized Crime Drug Enforcement Task Force and we are proud to have played a role in this investigation.”

“Criminals think they can avoid the law by running across county or state lines and even national borders. This collaborative effort among law enforcement agencies from every branch of government shows clearly there’s no place to hide for those who would do harm to our citizens.” said Chief Mark Keel of the South Carolina Law Enforcement Division.

“Cooperation and collaboration is the key to good, quality law enforcement and this case is prime example of how many agencies working toward a common goal can have far reaching success.  The streets and citizens of Dorchester County are safer as a result of this partnership.” said Sheriff L. C. Knight of the Dorchester County Sheriff’s Office.

The DEA Charleston Task Force is comprised of Special Agents and Task Force Officers from DEA, Berkeley County Sheriff’s Office, Charleston County Sheriff’s Office, Charleston Police Department, Dorchester County Sheriff’s Office, Hampton County Sheriff’s Office, North Charleston Police Department, Mount Pleasant Police Department, South Carolina Highway Patrol, South Carolina Law Enforcement Division, and Summerville Police Department.

Prosecution of the investigation is led by Assistant United States Attorney Nick Bianchi of the United States Attorney’s Office in Charleston, SC. 

The charges contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

Contact Person: Chuvalo J. Truesdell (404) 893-7124

Contact Person: Rhett DeHart (843) 727-4381

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that Eugene Jones, age 60, was sentenced in federal court in Charleston, South Carolina, for Conspiracy to Transport Stolen Goods in Interstate Commerce, a violation of 18  U.S.C. §§ 371 and 2314.  United States District Judge David C. Norton of Charleston sentenced Jones to 36 months imprisonment and 3 years supervised release.

Evidence presented in this case establ ished that from at least 2007 through 2012, Eugene Jones led a conspiracy to transport stolen goods in interstate commerce via the Internet.  It was part of the conspiracy thatJones owned and operated Patriot Pawn in North Charleston, S.C.  Jonesrecruited dozens of persons to steal merchandise from retail stores including Lowes, Target, Wal-Mart, Home Depot, Belk, K-Mart, Bed Bath and Beyond, and Best Buy.  Jones suggested to his co-conspirators to steal specific merchandise, including computer software, calculators, tool kits, electronic devices, and kitchen appliances. 

After stealing goods from area stores,the co-conspiratorstook the stolen goods to Patriot Pawn, where Jones and his employeesbought the stolen goods for far less than retail value, knowing the goods were stolen or obtained by fraud.  Jones,with the assistance ofothers, sold the stolen goods on eBay, an Internet auction and shopping site.

Jones sold the stolen goods in transported in interstate commerce from South Carolina to buyers in other States, including Texas, Florida, Pennsylvania, Minnesota, and California.  During the conspiracy, approximately $1 million in stolen goods were sold on eBay and transported in interstate commerce, and Jones divided these illegal proceeds between himself and his co-conspirators.

The case was investigated by agents of the Secret Service and the North Charleston Police Departure.  Assistant United States Attorney Rhett DeHart of the Charleston office prosecuted the case.

Contact Person: Anne Frate (803) 929-3000

Columbia, South Carolina ----- U.S. Attorney Bill Nettles, announced today that 22 federal, state and local leaders have entered into an alliance to identify and protect drug endangered children in the State of South Carolina.

The South Carolina Alliance for Drug Endangered children includes professionals – various law enforcement agencies, social services specialists, child advocates, prosecutors, physicians, fire fighters, and local community groups – who are striving for an effective way to identify and protect those children removed from drug environments, who are in danger of physical, mental and emotional abuse, as well as, exposure to the use of firearms, violence or other dangerous items associated with drug manufacturing and distribution.  

“Drug Endangered Children are at greater risk of death, developmental problems, supervisory, educational and emotional neglect, as well as physical and sexual abuse.  It is the goal of the DEC Alliance to coordinate the response to these children’s needs in order to break the cycle of drug and child abuse,” said Bill Nettles.

“Children discovered in drug environments have critical physical, behavioral and mental health needs that if not properly addressed will have long-term impact in their lives.  These guidelines address timely and proper intervention,” said Dr. Olga Rosa, of the U.S.C School of Medicine.

Importantly, these guidelines do not require additional funding in order to be successful.  This interdisciplinary model utilizes existing social infrastructure and creates the framework needed for each agency to not work within their own silo, but to instead work together toward a common goal; happy, healthy, protected children.

U.S. Attorney Bill Nettles said, “This is yet another progressive program instituted by our office assembling a broad based coalition to make the citizens of SC safer and healthier and break the circle of violence.  We thank everyone who has participated in this process.  I am proud of the results.”

The following agencies have endorsed the State Guidelines and were integral to their completion:  For Law Enforcement and Prosecution:       The U.S. Attorney’s Office – Bill Nettles, U.S. Attorney
S.C. Attorney General – Alan Wilson, Attorney General
S.C. Law Enforcement Division – Chief Mark Keel
S.C. Sheriff’s Association – Jeff Moore, Executive Director
S.C. Department of Public Safety – Leroy Smith, Director
S.C. Police Chief’s Association – Terrence Green, Chief
S.C. Commission on Prosecution Coordination – David Ross, Executive Director
S.C. Solicitor’s Association – Chrissy Adams, President

For Child Protection and Victim Services:   S.C. Department of Social Services – Lillian Koller, Director
S.C. Crime Victims’ Council – Laura Hudson, Director
S.C. State Office of Victim Assistance – Dr. Larry Barker, Director
S.C. Network of Children’s Advocacy Centers – Kim Hamm, Executive Director
U.S.C. School of Law, Children’s Law Center – Harry Davis, Director

Medical Response and Treatment
U.S.C. School of Medicine – Olga Rosa, M.D. FAAP, Director
S.C. Children’s Advocacy Medical Response System - Olga Rosa, M.D. FAAP, Director
S.C. Chapter of the American Academy of Pediatrics – Deborah Greenhouse, M.D., President
S.C. Department of Alcohol and Other Drug Abuse Services – Robert “Bob” Toomey, Director
The Medical University of South Carolina

Fire/HAZMAT, and Emergency Response
S.C. State Association of Fire Chiefs – Chief Tracy Wallace, President
S.C. Department of Health and Environmental Control – Catherine Templeton, Director
S.C. EMS Association – Derek Kinney, President
S.C. Firefighter’s Association – Joe Palmer, Executive Director

Contact Person: Bill Day (803) 929-3000

Columbia, South Carolina ----- United States Attorney Bill Nettles stated today that William J. Rivers,III, age 48, of Darlington, South Carolina, was sentenced  in federal court in Florence by Chief United States District Judge Terry L. Wooten to 60 months and ordered to pay $2,702,060.00 in restitution, for violations of mail fraud, a violation of Title 18, United States Code, Section 1341. 

Evidence presented at the change of plea hearing established that clients of Schurlknight & Rivers, P.A., a personal injury law firm in Florence, South Carolina, complained to the South Carolina Bar Association that they had been defrauded by William J. Rivers, III, and his partner, John L. Schurlknight.  During the resulting investigation by the Disciplinary Counsel of the South Carolina Supreme Court, an investigator scheduled an appointment with John L. Schurlknight. However, on the day of the meeting with Schurlknight, he committed suicide.  Investigation revealed that between October 2006 and November 2012, more than one hundred clients of the firm were defrauded of more than $3,300,000.00.  Twenty six of the victims were directly attributable to actions by Rivers.  Rivers defrauded his clients by forging their names on releases to settle personal injury cases and lying to his clients telling them the cases had not been settled.  The money was then kept by the law firm.  In addition to keeping the settlement monies of his clients, Rivers also failed to pay medical providers with the settlement proceeds, leaving the clients owing hundreds of thousands of dollars for the medical treatment they had received.

The case was investigated by the agents of the Federal Bureau of Investigation. Assistant United States Attorney William E. Day, II, of the Columbia office handled the case.

Contact Person: James Leventis (803) 929-3000

Columbia, South Carolina ----- The Lane Construction Corporation and McAfee Design and Distributing Co., Inc. have agreed to pay the United States a total of $400,000 to resolve allegations that these companies submitted false claims under the Department of Transportation’s Disadvantaged Business Enterprise (DBE) program, the United States Attorney Bill Nettles announced today. 

Lane Construction is the successor in interest to Rea Contracting LLC, a former Charlotte-based civil construction contractor, and is a national civil construction contractor that, amongst other things, contracts with federal and state governments to construct and improve highways in the eastern and southern United States.  McAfee Design is a Georgia-based highway heavy contracting company that is qualified as a DBE subcontractor.

The settlement resolves allegations that Rea Contracting falsely claimed that McAfee Design, a certified DBE, had performed demolition and concrete work that was to be performed by a DBE when it knew or should have known that McAfee Design actually subcontracted the work to non-DBE contractors.  These allegations involved a federally-funded highway construction project in Colleton County, South Carolina.  All qualifying bids were required to designate a percentage of work that would be performed by a DBE.  The Disadvantaged Business Enterprise program was designed to provide women and minority contractors, who have faced historical barriers to entry in the construction industry, with fair opportunities to compete for federally-funded work.

 “The District of South Carolina continues to devote significant resources to pursuing claims under the False Claims Act, and this settlement is yet another in a long string of successes,” said U.S. Attorney for the District of South Carolina William Nettles.

This civil settlement resolves a lawsuit filed under the qui tam, or whistleblower, provision of the False Claims Act, which allows private citizens with knowledge of false claims to bring civil actions on behalf of the government and to share in any recovery.  The relator’s share in this case is $80,000.  The qui tam lawsuit was filed in the District of South Carolina and is captioned United States ex rel. Michael S. Johnson and Greg Smith v. Rea Contracting LLC a/k/a Lane Carolinas Corporation, McAfee Design and Distributing Co., Inc., et al., Case Number 3:12-cv-3651.  The claims resolved by this settlement are allegations only and there has been no determination of liability.

The settlement with Lane Construction and McAfee Design was the result of a coordinated effort among the United States Attorney’s Office for the District of South Carolina, the U.S. Department of Transportation Office of Inspector General, and the South Carolina Department of Transportation.

Contact Person: Lance Crick (864) 282-2100

• Grade 1-2 winner: Wesley Hallman; Edisto Primary School, Cordova, S.C.
• Grade 3-5 winner: Kylie Johnson; Kingston Elementary School, Conway, S.C.
• Grade 6-8 winner: Vibriyogn Epuri; William J. Clark Middle School, Orangeburg, S.C.
• Grade 9-12 and OVERALL WINNER: Marcus Epps; Cane Bay High School, Summerville, S.C.

The winners were chosen from 210 entries from 29 schools across South Carolina.  Each division winner received a $50.00 award, with the overall winner receiving an additional $50.00 award.  Six other students from across the state also received Honorable Mention ribbons. 

The statewide contest gives South Carolina students an opportunity to tell the entire state how they prevent gun violence in their school.  The theme of the contest was APreventing Gun Violence in Your School.@ The contest was open to students in all South Carolina schools.

The winning entries were selected by AThe Insiders,@ a select group of students from the South Carolina Department of Juvenile Justice, who travel throughout the state, encouraging troubled children and promoting community awareness of the prevalence and consequences of juvenile crime.  The U.S. Attorney's Office coordinated with the South Carolina Law Enforcement Officers= Association Foundation (SCLEOA) to provide the cash awards to the winners.

Project Sentry, which is part of the district=s Project Safe Neighborhoods/Project CeaseFire program, is a vital step in strengthening our ability to prevent gun crimes among our young people and to ensure a safe learning atmosphere for our children.  For more information on the Project Sentry program and for pictures of past winning logos, visit http://www.justice.gov/usao/sc/programs/logowinners.html.

Contact Person: Rhett DeHart (843) 727-4381

Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Angel Masdeu, age 52, of Estill, SC was sentencedin federal court in Charleston, South Carolina, for aggravated identify theft, a violation of Title 18, United States Code, Section 1028A.  United States District Judge Richard M. Gergel of Charleston sentenced Masdeu to 24 months imprisonment and one year of supervised release.

Evidence presented in this case established that Masdeu stole the identifying information of individuals, and using this stolen identifying information, he filed fraudulent tax returns that claimed false tax refunds.  After a thorough investigation, the IRS determined that Masdeu’s identify theft caused more than $260,000 in loss to the United States Treasury due to fraudulent tax refunds.

“Investigating refund fraud and identity theft is a top priority of IRS Criminal Investigation,” said IRS-CI Special Agent in Charge Thomas J. Holloman III.  “Stealing identities and filing false tax returns is a serious crime that hurts innocent taxpayers.  Today’s sentencing should serve as a strong warning to those considering similar conduct.  Law enforcement and the US Attorney’s Office will vigorously pursue these crimes and will hold those accountable who would defraud the government.” 

The case was investigated by agents of the IRS-Criminal Investigative Division.  Assistant United States Attorney Rhett DeHart of the Charleston office prosecuted the case.

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Contact Person: Bill Nettles (803) 929-3000

WASHINGTON ---- The former Executive Director of International Adoption Guides Inc. (IAG), an adoption agency, pleaded guilty yesterday to making false and fraudulent statements to the Council on Accreditation with respect to IAG’s accreditation.  

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney Bill Nettles of the District of South Carolina made the announcement.

Mary Mooney, 57, of Belmont, North Carolina, admitted as part of her guilty plea that she made false statements to the Council on Accreditation (COA), which granted IAG accreditation to provide adoption services in certain countries.  IAG marketed itself as a COA-accredited adoption services provider and numerous clients relied on IAG’s accreditation to confirm that IAG’s adoption services were ethical and in compliance with U.S. and foreign law.  Mooney admitted that in support of IAG’s application for accreditation she made several false representations, including: falsely stating that IAG was in substantial compliance with the relevant regulations; intentionally failing to list her co-defendant, Alisa Bivens, as one of IAG’s employees providing adoption services; and intentionally failing to disclose that James Harding, another co-defendant, was the functional director and head of the company.  All of these false and fraudulent statements were material to COA’s decision to accredit IAG to conduct intercountry adoptions for purposes of the Hague Convention on the Protection of Children and Cooperation in Respect of Intercountry Adoptions.  Without that accreditation, IAG would not have been legally permitted to facilitate intercountry adoptions from any country that was a party to that convention and numerous families would have never retained IAG to provide adoption services.

Mooney is the third defendant to plead guilty as a result of this investigation.  Mooney pleaded guilty before Senior U.S. District Court Judge Sol Blatt Jr. of the District of South Carolina.  A sentencing hearing will be scheduled at a later date.

This ongoing investigation is being conducted by the Bureau of Diplomatic Security.  The department appreciates the assistance of the Office of Children’s Issues at the U.S. Department of State.  The case is being prosecuted by Trial Attorney John W. Borchert of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Jamie Lea Schoen of the District of South Carolina.

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15-049

DO NOT REPLY TO THIS MESSAGE.  IF YOU HAVE QUESTIONS, PLEASE USE THE CONTACTS IN THE MESSAGE OR CALL THE OFFICE OF PUBLIC AFFAIRS AT 202-514-2007.

Contact Person: Bill Nettles (803) 929-3000

Dr. Baron S. Nason, Robert T. Hamilton and Nason Medical

Settle Allegations of Fraud for $1,021,778.26

    
The investigation began with the filing of whistleblower lawsuits, called qui tams, under the False Claims Act.  The suits were filed by former employees of Nason Medical. The False Claims Act allows the government to recover actual damages and penalties of three times the actual damages and up to $11,000 per false claim.  This settlement includes repayment of actual damages and penalties. 

The False Claims Act allows individuals to file lawsuits with allegations that fraud has been committed against the federal government on behalf of the government.  Whistleblowers, referred to as Relators in the False Claims Act, are entitled to share in any recovery received by the government.  In this case, the two relators collectively will receive 18% of the funds of the settlement, or $183,920.08, plus they are entitled to their costs and attorney fees.  One whistleblower claimed he was terminated for his actions taken to stop the fraudulent billing.  If that is true, he is entitled to recover for his personal damages as well.   

Mr. Nettles said, ?Health care fraud is a very high priority in this office.  We have shifted our office resources by trebling the number of attorneys dedicated to address civil fraud cases.  This case is particularly egregious because it involves allegations of profiting by exposing patients to unnecessary radiation in the CT scans.?

“Being a health care provider in Federal health care programs such as Medicare and Medicaid is a privilege, not a right. When health care providers order medically unnecessary procedures such as CT scans and submit other improper claims just to boost profits, they threaten both the health of their patients and the financial integrity of the Medicare and Medicaid programs,” said Derrick L. Jackson, Special Agent in Charge at the U.S. Department of Health and Human Services, Office of Inspector General (OIG). ​“In an effort to ensure Nason Medical’s egregious billing history is not its future, the company agreed to a rigorous 5-year Corporate Integrity Agreement (CIA) we crafted to hold them accountable.” 

Under this CIA, except for X-rays, Nason Medical also agreed to remove all its imaging equipment (including CT scans) and to provide medical services only appropriate for an Urgent Care Center.  To that end, Nason Medical may not present or advertise itself out as providing any medical services for emergencies.  Nason Medical is required to take down its Emergency signage and to stop advertising for emergency services.  And, to ensure its compliance with federal healthcare programs and this CIA, Nason Medical, among other requirements, must engage the services of an independent monitor, chosen by OIG.
This case was investigated by agents from U.S. Health and Human Resources Office of Inspector General, Defense Criminal Investigative Service and the Federal Bureau Investigation.  

If you suspect Medicare or Medicaid fraud please report it by phone at 1-800-447-8477 (1-800-HHS-TIPS), or E-Mail at HHSTips@oig.hhs.gov.

Contact Person: Beth Drake (803) 929-3000

Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that a Federal Grand Jury in Greenville, South Carolina, returned Indictment(s) against the following: Anderson County Resident Indicted for Possession of Child Pornograph
David D. Survilas, age 46, of Walhalla, South Carolina, was charged in a 1-count Indictment with possession of child pornography.  The maximum penalty Survilas could receive is not more than twenty (20) years imprisonment and a fine of $250,000.00.  This case was investigated by U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) special agents and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution. 

Foreign Nationals Charged with Illegal Re-entry
Jorge Hernandez-Morales, Nestor Perez-Antonio, Gerson David Ordonez-Irias, Ramon Alvarez-Ornelas, and Francisco Martinez-Sebastian were each charged in Indictments with illegal re-entry to the United States, a violation of Title 8, United States Code, Section 1326.  The maximum penalty each could receive, depending on their prior criminal history, is two to twenty years imprisonment. These cases were investigated by U.S. Immigration and Customs Enforcement (ICE) agents and are assigned to Assistant United States Attorney Max Cauthen of the Greenville office for prosecution.

Individual Indicted for Failure to Register as a Sex Offender
Paul Edward Philson, Jr., was charged in a 1-count Indictment with failure to register as a sex offender, a violation of Title 18, United States Code, Section 2250.  The maximum penalty Philson could receive is ten years imprisonment.  The case was investigated by agents of the United States Marshals Service and is assigned to Assistant United States Attorney Max Cauthen of the Greenville office for prosecution.

The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

Contact Person: Beth Drake (803) 929-3000

Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that a Federal Grand Jury in Columbia, South Carolina, returned Indictment(s) against the following: Florence Woman Indicted for Bank Fraud
Tamara Leigh Taylor, of Florence, South Carolina was charged with Bank Fraud in a 1-count indictment. The maximum penalty Taylor could receive is 30 years.  The case was investigated by agents of the Secret Service and is assigned to Assistant United States Attorney William E. Day, II of the Columbia office for prosecution.

The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

Contact Person: Beth Drake (803) 929-3000

Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that SANDRA BURTON, age 49, of Abbeville, South Carolina , was sentenced today in federal court in Spartanburg on ten counts of preparing materially false federal income tax returns, each a violation of Title 26, United States Code, Section 7206(2).  United States District Judge Mary G. Lewis ordered BURTON to serve 21 months in a federal prison and to pay restitution of $355, 529.00 to the Internal Revenue Service.  In addition, she was ordered to pay a special assessment of $1,000.00 and to serve one year of supervised release after being released from prison.

At BURTON’s guilty plea hearing on December 13, 2012, the Government offered facts showing that during the years 2006 through 2008 BURTON operated a tax return preparation service in Abbeville.  The majority of her clients were W-2 wage earners.

As a result of an unusually large number of returns prepared by BURTON claiming educational credits and IRA contributions, in 2008, an IRS undercover agent sought to have a return prepared based solely on a W-2. The return prepared by BURTON for the undercover agent included an IRA deduction and an education credit thus giving the undercover Ataxpayer@ a refund to which the agent otherwise would not have been entitled.

Thereafter, a search warrant was issued for BURTON's tax service which was searched by the IRS. In addition to evidence seized during the execution of the search warrant, BURTON admitted that she had given taxpayers deductions to which they were not entitled.  The other nine counts to which BURTON plead guilty involved similar materially false credits and deductions in returns prepared by her. 

United States Attorney Bill Nettles noted that, “Although we believe that the vast majority of tax preparers, like tax payers, are truthful and honest in their work product, calculations, and submissions, this office will continue to investigate and vigorously prosecute those who violate the law.”    Mr. Nettles also urged tax payers to heed the advice of IRS Criminal Investigation Special Agent in Charge Jeannie A. Hammett who has said:  “If you choose to have your tax returns prepared by a return preparer, it is important to understand that you are ultimately responsible for all of the information on the tax return.  Dishonest return preparers use a variety of methods to formulate fraudulent and illegal deductions to reduce taxable income. And if the return is bad, it is the taxpayer whose name is on the return that will be responsible for paying the additional taxes, penalties and interest.”

The case was investigated by agents of the Internal Revenue Service, Criminal Investigation.  Assistant United States Attorney William C. Lucius of the Greenville office handled the case.

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