Western District of Tennessee

Memphis, TN – The ringleader of a multimillion-dollar cocaine trafficking ring has been sentenced to federal prison. Twenty co-conspirators were previously sentenced for their roles in the criminal enterprise; one remains a fugitive. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

The defendants and their respective sentences:

• Derrick Hester, 43, of Memphis, TN: 114 months

• Marcus Brown, 38, of Somerville, TN: Time served

• David Arnold, 34, of Horn Lake, MI: 135 months

• Torey Jackson, 48, of Memphis, TN: 2 years supervised release

• Julius Anthony Weaver, 32, of Memphis, TN: 70 months

• Brian Wallace Stewart, 36, of Memphis, TN: 41 months

• Ahmad Omar Majid, 42, of Atoka, TN: 30 months

• Joseph Bernard Taylor, 40, of Memphis, TN: 51 months

• Marco Dewayne Reed, 37, of Memphis, TN: 37 months

• Toramine Lavorid McKinnie, 35, of Brownsville, TN: 63 months

• William Norman Bass III, 29, of Bartlett, TN: 151 months

• Jacques Terell Bledsoe, 30, of Memphis, TN: 24 months

• John Ivory Bridges, 33, of Jonesboro, AK: Time served

• Javier Lopez Cantu, 49, of McAllen, TX: 87 months

• Amos Turner Jr., 61, of Memphis, TN: 33 months

• Justin Anthony Clark, 36, of Whiteville, TN: 30 months

• Lance Jerome Gaston, 38, of Cordova, TN: 151 months

• Jeremiah Gamble, 32, of Memphis, TN: 151 months

• Alejandro Sanchez, 29, of Brownsville, TX: 78 months

• Jesus Arnoldo Solis, 44, of Brownsville, TX: 144 months

• Humphrey Brooks, 39, of Memphis, TN: 84 months

• Antonio Caldwell, 31, of Memphis, TN: Fugitive

According to information presented in court, Hester spearheaded a drug trafficking organization responsible for importing and distributing more than 100 kilograms of cocaine throughout West Tennessee and abroad.

Between 2012 and 2014, law enforcement conducted "Operation Cocaine Lover," an investigation into the drug trafficking organization. Officers conducted extensive physical surveillance, controlled drug purchases, and wiretaps on members within the organization.

During the investigation, law enforcement discovered that massive amounts of cocaine were being transported from Texas to Memphis on a regular basis by Hester and Arnold. The cocaine would then be provided to co-conspirators in varying quantities, including kilograms, half-kilos and ounces. The drugs were subsequently distributed throughout the district.

One of the defendants, Taylor, attempted to bribe a Drug Enforcement Administration (DEA) Task Force officer during a traffic stop to avoid arrest. The stop resulted in the recovery of multiple ounces of cocaine and $31,590 in drug proceeds. Taylor attempted to persuade the officer to take the drugs and money and let him and a co-conspirator go free.

In addition to distributing cocaine, defendants Hester and Arnold were also engaged in money laundering. Hester made large monetary deposits into accounts at SunTrust Bank and Bank of America through two companies he established to conceal his illicit activity.

Arnold obtained a $230,000 mortgage to purchase a house. He used drug proceeds to make payments on the house between late 2010 and 2013. The house was used to store drugs and conduct drug sales.

More than $370,000 in drug proceeds was seized during the investigation, along with multiple residential properties and vehicles.

Each defendant, excluding Caldwell, pleaded guilty to charges within the indictment.

Between September 2015 and September 2016, all of the defendants were sentenced. The sentences collectively amount to more than 120 years in federal prison.

This case was investigated by the DEA; IRS-Criminal Investigation; United States Marshals Service; the Memphis, Bartlett, Germantown and Collierville Police Departments; and the Shelby County and Tipton County Sheriff’s Offices.

Assistant U.S. Attorney Jerry Kitchen prosecuted this case on the government’s behalf.

Memphis, TN – Two Memphians have been sentenced for their roles in a tax fraud scheme that defrauded the government of more than $100,000. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee; Tracey D. Montaño, Special Agent in Charge of IRS-Criminal Investigation; and Tom Noyes, Inspector in Charge of the U.S. Postal Inspection Service – Charlotte Division announced the sentences today.

According to information presented in court, Kevin Travell Gray, 45, and Mary Payne Curtis, 54; both of Memphis, Tennessee; prepared fraudulent income tax returns between 2011 and 2015.

During the tax scheme, Curtis operated "Right Now Taxes," a tax preparation company in Memphis. Curtis conspired with Gray to use the company to prepare fraudulent income tax returns. The tax returns included false home-based business expenses, education credits and other material misrepresentations on clients’ tax returns. The fraudulent information was used to boost tax refund amounts.

As a result of the fraudulent returns prepared, the IRS approved numerous fraudulent refunds. The investigation revealed that more than $100,000 of false claims were filed during the scheme.

In May 2016, Gray and Curtis both pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to one count of willfully assisting in the preparation of fraudulent income tax returns.

In August 2016, Judge Fowlkes sentenced Curtis to nine months of home detention and ordered her to pay $105,555 in restitution.

On Tuesday, September 20th, U.S. District Court Judge Sheryl H. Lipman sentenced Gray to 33 months in federal prison and ordered him to pay $151,552 in restitution.

This case was investigated by IRS-Criminal Investigation and the U.S. Postal Inspection Service.

Assistant U.S. Attorney Stephen Hall prosecuted this case on the government’s behalf.

Jackson, TN – A Hardin County businessman has been indicted for participating in a conspiracy that defrauded three banks of more than $9 million. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the indictment today.

According to the indictment, Charles Ray Smith, of Hardin County, Tennessee, owned and operated Tennessee Material Corporation (TMC), an establishment that sold construction aggregates, primarily limestone, crushed stone, sand and gravel. Smith also owned and operated other businesses, including American Construction; American Cash and Loan; American Coal and Iron; and Louisiana Materials.

Between March 2009 and March 2012, Smith maintained a business checking account at Central Bank for TMC. He had additional bank accounts for TMC at various financial institutions, including First Metro Bank and Wayne County Bank.

Smith conspired with former Central Bank Chief Executive Officer (CEO) Christopher Brent Jerrolds, 54, of Savanah, Tennessee, to execute a scheme that defrauded Central Bank, Wayne County Bank, and First Metro Bank of more than $9 million. Jerrolds pleaded guilty to bank fraud in May 2016 for his role in the conspiracy.

Smith reportedly deposited insufficiently funded checks ("bad checks") into TMC’s account at Central Bank between March 2009 and October 2010. These bad checks were deposited into TMC’s account to cover overdraft balances. When a previously deposited bad check in TMC’s account was returned for insufficient funds, another bad check drawn on one of TMC’s other bank accounts was deposited to replace the previously deposited bad check(s). The deposited amounts and the frequency of deposits increased each month, and at times, multiple checks were deposited on a single occasion.

By October 18, 2010, Smith was responsible for depositing 161 bad checks into TMC’s account with a total transaction amount of approximately $116,169,218. Jerrolds allowed Smith to deposit the bad checks into TMC’s account at Central Bank. The deposit of the bad checks created false balances in TMC’s account. The fraudulent account balances enabled TMC to unlawfully take approximately $3.9 million belonging to Central Bank.

Furthermore, according to the indictment, between March 2010 and March 2012, Smith allegedly received from Jerrolds various Central Bank "letters of credit." The co-conspirators concealed the issuance of the letters of credit from Central Bank; did not enter the letters of credit into the books and records of Central Bank; and did not obtain approval from the Bank’s Board of Directors to issue the letters of credit.

One of the letters was worth $2 million, which Smith used as collateral to obtain a $2 million loan from Wayne County Bank. In obtaining the loan, Smith concealed from the bank his true financial condition and did not disclose that Central Bank’s board of directors did not authorize the letter of credit. Smith used a portion of the proceeds to the $2 million loan to cover some of the bad checks deposited into TMC’s account at Central Bank.

From March 2011 to March 2012, Smith presented additional letters of credit from Central Bank to Wayne County Bank, to replace the prior letters of credit that were expiring.

Between August 2009 to February 2012, Smith used his businesses to obtain multiple loans from First Metro Bank amounting to $1,783,660.44. Smith collateralized the loans with fraudulent letters of credit from Central Bank.

Wayne County Bank and First Metro Bank both made demands on the letters of credit after Smith defaulted on the loans.

On Monday, September 19, 2016, Smith was charged in a nine-count indictment, which includes one count of conspiracy to commit bank fraud and eight counts of bank fraud.

If convicted, Smith faces a sentence of up to five years in federal prison for conspiracy to commit bank fraud and up to 20 years on each count of bank fraud. Smith also faces a fine of up to $250,000 for each count in the indictment.

This case is being investigated by the Federal Deposit Insurance Corporation and the Federal Bureau of Investigation.

First Assistant U.S. Attorney Larry Laurenzi and Assistant U.S. Attorney Matt Wilson are prosecuting this case on the government’s behalf.

The charges and allegations in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

Jackson, TN – A former Selmer Police Department lieutenant has pleaded guilty to accessing child pornography on a hidden website. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.

According to information presented in court, Tony O. Miller, 36, of Finger, Tennessee, was a member of a website dedicated to sharing child pornography. Miller used special technology to access it regularly between early January and March 2015. The website could not be found using traditional search engines, like Google or Bing; members had to use special technology designed to conceal their identity in order to access it. Images of minor children engaging in sexual activity with adults were featured on the website. Some of the minors were under 12 years of age.

An undercover investigation conducted by the Federal Bureau of Investigation (FBI) identified users of a website set up for the purposes of sharing child pornography. Visitors to the website could view, download, and comment on other users' material, as well as upload their own. Miller was identified as one of the website’s users.

At the time of the aforementioned conduct, Miller was a lieutenant with the Selmer Police Department.

Miller admitted that he used the Internet and work-issued digital devices to access the website and view child pornography. He also admitted to using technology to try to hide his criminal activity.

On Thursday, September 15, 2016, Miller pleaded guilty before Chief U.S. District Judge J. Daniel Breen to one count of accessing with intent to view child pornography.

Miller is scheduled to be sentenced on Friday, December 16th.

He faces up to 20 years in federal prison and a fine of up to $250,000.

This case was investigated by the FBI, with assistance from the FBI Major Case Coordination Unit in Linthicum, Maryland, and the Selmer Police Department.

Assistant U.S. Attorney Debra Ireland is prosecuting this case on the government’s behalf.

Anyone who believes they may have information about this case or related activities is asked to contact the Memphis Child Exploitation Task Force at 901.747.4300.

This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."

Jackson, TN – A former truck driver has been sentenced to 190 months in federal prison for using an Internet messaging app to distribute and receive child pornography. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Seferino Saldivar, 42, of McKenzie, Tennessee, used Kik, an Internet messaging app, to moderate a chat room where sexually explicit images of female minors were shared. Saldivar also used social networking service Mocospace to find individuals with similar interests and motivate them to join the Kik chat room.

In June 2015, an undercover officer in Arizona using Kik entered the aforementioned chat room and observed several users exchange child pornography. Law enforcement submitted an administrative subpoena to Kik for the Internet Protocol (IP) address being used by one of the user’s in the chat room. They were notified that the user used a Samsung Galaxy phone to access the Internet through IP 70.194.100.255. The email address listed for the user was also provided to law enforcement.

After linking Saldivar to the particular user name, agents obtained his McKenzie, Tennessee address. A search warrant was subsequently executed on his residence. Saldivar admitted to law enforcement that he used Kik and moderated the chat room being investigated.

A forensic examination of Saldivar’s phone revealed approximately 50 images of child pornography and Kik chat messages.

Saldivar was employed as a truck driver during his criminal activity.

In May 2016, Saldivar pleaded guilty to one count of knowingly distributing child pornography before Chief U.S. District Judge J. Daniel Breen.

On Tuesday, September 14, Judge Breen sentenced Saldivar to 190 months in federal prison.

This case was investigated by the Memphis Child Exploitation Task Force. The collective is comprised of the Federal Bureau of Investigation; Homeland Security Investigations; Shelby County Sheriff's Department; Memphis Police Department; U.S. Postal Investigation Service; U.S. Marshals Service; and the U.S. Secret Service.

Assistant U.S. Attorney Debra Ireland prosecuted this case on the government’s behalf.

Anyone who believes they may have information about similar cases or related activities is asked to contact the Memphis Child Exploitation Task Force at 901.747.4300.

This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."

Memphis, TN – A Shelby County Sheriff's Office deputy has been arrested for attempting to extort thousands of dollars from an alleged drug dealer. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the criminal complaint today.

According to court documents, Jeremy Drewery, 41, of Arlington, Tennessee, demanded money from a confidential source after the source was arrested on drug charges. In exchange for the money, Drewery promised the source exemption from criminal charges. The source reported the extortion attempt to the Federal Bureau of Investigation (FBI). And the source subsequently made a series of payments to Drewery, all recorded by the FBI.

Drewery was assigned to the Shelby County Sheriff's Office’s Narcotics Task Force.

On Wednesday, September 7th, Drewery had his initial appearance in federal court before U.S. Magistrate Judge Diane K. Vescovo.

Drewery is charged with one count of Hobbs Act Extortion.

If convicted, he faces up to 20 years in federal prison and a fine of up to $250,000.

This case is being investigated by the Tarnished Badge Task Force, which is comprised of investigators from the FBI, Memphis Police Department and the Shelby County Sheriff's Office.

Assistant U.S. Attorney Reagan M. Taylor is prosecuting this case on the government's behalf.

The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

Memphis, TN – A Dyersburg man has been sentenced to a decade in federal prison for exchanging multiple sexually explicit pictures of minors online. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Jonathan Lee, 21, of Dyersburg, Tennessee, used email, Dropbox, video chat rooms, and mobile messaging apps to exchange thousands of pornographic images of female minors. He also used the aforementioned platforms to meet teenagers. Lee attempted to persuade the teens to send him images of themselves engaged in sexual activity.

In April 2016, Lee pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to one count of distribution of child pornography.

On Wednesday, August 31, Judge Fowlkes sentenced Lee to 10 years in federal prison.

This case was investigated by the Memphis Child Exploitation Task Force. The collective is comprised of the Federal Bureau of Investigation; Homeland Security Investigations; Shelby County Sheriff's Department; Memphis Police Department; U.S. Postal Investigation Service; U.S. Marshals Service; and the U.S. Secret Service.

Assistant U.S. Attorney Debra Ireland prosecuted this case on the government’s behalf.

Anyone who believes they may have information about this case or related activities is asked to contact the Memphis Child Exploitation Task Force at 901.747.4300.

This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."

Memphis, TN – A former Millington reserve police officer has been sentenced to serve more than a quarter century in federal prison for producing child pornography of three female minors. The defendant also transported a minor across state lines with intent to engage in unlawful sexual activity. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

"Anyone who chooses to prey on the most vulnerable members of our society deserves to be behind bars," said U.S. Attorney Stanton. "As a former reserve police officer, Friar was sworn to serve and protect the citizens of our community from crime. But he broke that oath to satisfy his own abhorrent fetishes, and will spend the next 26 years in federal prison because of his egregious acts."

According to information presented in court, on July 13, 2015, a Shelby County Sheriff’s Office Deputy responded to a call at the Millington residence of Rickie Friar, 67. The call was made by Friar’s housekeeper, who had stopped by the defendant’s residence to do some chores. Friar was out of town at the time. While there, a female minor who accompanied the housekeeper opened Friar’s iPad and showed the housekeeper sexually explicit images of children who regularly spent time with Friar.

A forensic examination of Friar’s iPad, along with other electronic devices seized during a search of his residence revealed additional videos and images of female minors engaged in sexually explicit conduct. Friar is visible in some of the images and videos, and his voice can be heard in others. The videos and images were produced between July 2013 and May 2015. Two of the victims were under 12 years old at the time; one was under the age of 18 years old.

Hours after his housekeeper notified law enforcement of what had been seen on Friar’s iPad, Friar was located in Arkansas, returning from a trip to Oklahoma. He had a female minor with him. Law enforcement agents found receipts, dated a day or two earlier, for sex toys and lubricant in Friar’s vehicle.

In May 2016, Friar pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to:

• one count of knowingly transporting a minor under the age of 18 years old between the states of Tennessee and Oklahoma for the purpose of engaging in sexual activity;

• tw0 counts of attempting to and knowingly using a female minor under 12 years old to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct;

• one count of attempting to and knowingly using a female minor under the age of 18 years old to engage in sexually explicit conduct.

On Monday, August 29, 2016, Judge Fowlkes sentenced Friar to 312 months in federal prison.

This case was investigated by the Memphis Child Exploitation Task Force. The collective is comprised of the Federal Bureau of Investigation; Homeland Security Investigations; Shelby County Sheriff's Department; Memphis Police Department; U.S. Postal Investigation Service; U.S. Marshals Service; and the U.S. Secret Service.

Assistant U.S. Attorney Debra Ireland prosecuted this case on the government’s behalf.

Anyone who believes they may have information about this case or related activities is asked to contact the Memphis Child Exploitation Task Force at 901.747.4300.

This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."

Memphis, TN – Twelve defendants in a multi-state narcotics trafficking conspiracy have been collectively sentenced to 998 months in federal prison. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

According to information presented in court, between March 2014 and July 2015, the defendants conspired with each other to distribute large quantities of methamphetamine. The defendants utilized the United States Postal Service to ship the drugs from California to Memphis for distribution.

The defendants and their respective sentences:

• Dexter White, 27, of Memphis, TN: 216 months

• Travis Huston, 34, of Turrell, AR: 180 months

• Fred Wilson, 32, of Gates, TN: 120 months

• Johnnie Wilborn, 26, of Merced, CA: 78 months

• Carlos Lewis, 39, of Memphis, TN: 77 months

• Patrice Lee, 34, of Memphis, TN: 18 months

• Brittany Huston, 28, of Cordova, TN: 80 months

• Deontoe Huston, 33, of Turrell, AR: 41 months

• Larry Cassidy, Jr, 36, of Turrell, AR: 70 months

• Robert Earl Williams, 35, of Marion, AR: 60 months

• Phillip Sean Mosley, 31, of Turrell, AR: 40 months

• Janice White, 51, of Memphis, TN: 18 months

Law enforcement’s investigation into the criminal organization revealed that Dexter White and Travis Huston were the drug trafficking organization’s leaders. They recruited family members and friends for their illicit enterprise, including White’s girlfriend (Brittany Huston) and mother (Janice White) and Huston’s brother (Deontoe Huston).

Over the course of the conspiracy, Dexter White and Travis Huston shipped meth to Memphis from California. They teamed up with Wilborn, based in California, who helped the men expand their operation. And they later added Wilson to their criminal organization. Furthermore, Brittany Huston and Janice White helped the men launder the money acquired as drug proceeds.

In July 2015, all of the defendants were indicted on multiple charges, which included conspiracy to possess with the intent to distribute and to distribute meth and money laundering.

Each defendant pleaded guilty to charges within the indictment.

Between May and August 2016, they were all sentenced by U.S. District Judge Sheryl H. Lipman to federal imprisonment.

This case was investigated by the Drug Enforcement Administration.

Assistant U.S. Attorney Reagan M. Taylor prosecuted this case on the government’s behalf.

Memphis, TN – A couple has been collectively sentenced to more than 390 months in federal prison for robbing multiple businesses throughout Memphis. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

According to information presented in court, between May and June 2015, Julius Knight, 33; and Deidra Mason, 25; both of Memphis; participated in the armed robbery of multiple Family Dollar Stores, a Subway, Papa John’s, and Dollar General. Knight robbed two additional restaurants independently.

During the robberies, Knight would enter the businesses with a weapon and demand employees to remove money from the cash registers. In some of the robberies, Knight used various methods to disguise his identity, including wearing a red wig, skull cap, or baseball cap, as well as pantyhose over his face. Mason, his girlfriend at the time, served as his getaway driver.

Law enforcement discovered that the description of the person who robbed the aforementioned businesses were similar. Furthermore, a blue Ford Taurus was identified as the getaway car used in the robberies of a Family Dollar, Subway and Papa John’s.

On June 1, 2015, officers stopped a blue Ford Taurus that matched the description of the reported getaway vehicle. Mason was driving the car. After officers discovered her driver’s license was suspended, they arrested her. They later discovered Mason served as the getaway driver in the series of robberies.

Following Mason’s arrest, Knight executed two business robberies barefaced. On June 3, 2015, Knight robbed a Church’s Chicken on Chelsea Avenue. Five days later, he robbed another Church’s on Thomas Avenue. When officers responded to the June 8th robbery, Church’s employees informed them that Knight approached one of the employees from behind as they worked the drive-through window. He demanded money from the register before jumping over the counter and fleeing. There were customers at the drive-through window when the robbery took place who were able to see Knight’s face and weapon. Fingerprints were lifted from the store that matched Knight’s, and he was later located and arrested.

In April 2016, Mason pleaded guilty before U.S. District Judge Sheryl H. Lipman to six counts of aiding and abetting Knight during the robbery of a business engaged in interstate commerce.

In May 2016, Knight pleaded guilty before Judge Lipman to six counts of aiding and abetting Mason in the robbery of a business engaged in interstate commerce; one count of using a firearm during the robbery of a business engaged in interstate commerce; and two counts of robbing a business engaged in interstate commerce.

On Tuesday, August 2, Judge Lipman sentenced Mason to 63 months in federal prison.

On Thursday, August 25, Judge Lipman sentenced Knight to 336 months in federal prison.

This case was investigated by the FBI’s Safe Streets Task Force and the Memphis Police Department.

Assistant U.S. Attorneys Lorraine Craig and Dean DeCandia prosecuted this case on the government’s behalf.

Memphis, TN – A federal prisoner in Mississippi, along with a co-conspirator in West Tennessee, has been indicted for allegedly operating a tax fraud scheme. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the indictments today.

According to the indictment, between January and April of 2014, Henry Lamont Jones, 41; and Toni Chinwah, 45; both of Baton Rouge, Louisiana; operated a scheme in which they filed and attempted to file federal fraudulent income tax returns using stolen identity information. During the course of the scheme, Jones, who was an inmate at FCI Yazoo City, Mississippi, would obtain personal identifying information. Jones would secretly pass the information to Chinwah, who wasn’t incarcerated, during prison visiting hours. She would then prepare and file fraudulent federal income tax returns using the information in an attempt to obtain income tax refunds.

After becoming aware of the scheme, detectives with the Memphis Police Department Organized Crime Unit (MPD-OCU), working in an undercover capacity, made contact with the defendants. The defendants presumed that the officers were helping them in their scheme. Chinwah prepared income tax returns using controlled identity information provided by the undercover officers, which she believed to have been stolen, and electronically filed those returns with the expectation that the conspirators would receive federal income tax refunds.

On Tuesday, August 16, both Jones and Chinwah were indicted on one count of false claims conspiracy. Chinwah was also charged with four counts of attempted submission of false claims.

Each charge carries a penalty of up to 10 years in federal prison and a fine of up to $250,000.

This case is being investigated by MPD-OCU and IRS-Criminal Investigation.

Assistant U.S. Attorney Chris Cotten is prosecuting this case on the government’s behalf.

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

Memphis, TN – A club owner, Memphis Police officer and Shelby County Sheriff’s Office sergeant have all been indicted for their alleged roles in buying liquor, electronics and footwear they believed to be stolen. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee; Memphis Police Director Michael Rallings; and Shelby County Sheriff Bill Oldham announced the indictments today.

"Individuals who engage in criminal conduct and violate the public’s trust, including those who take an oath to protect and serve our community, will be held accountable for their actions," said U.S. Attorney Stanton. "No one is above the law."

The defendants include:

• Roy Hughes, 57, of Memphis, Tennessee

• Warren Jones, 63, of Memphis, Tennessee

• Torrance Taylor, 41, of Millington, Tennessee

Hughes is reportedly the owner of the Gentlemen’s Club on Thomas Street. Jones is a sergeant with the Shelby County Sheriff’s Office. And Taylor is an officer with the Memphis Police Department.

According to the indictment, between October 2015 and May 2016, Hughes unlawfully received cases of liquor and electronic devices, including Apple iPhones, a Samsung Galaxy Tablet, and a Samsung Gear watch, from an individual acting at the direction of federal law enforcement officers. Hughes allegedly knew the items, worth more than $1,000, were stolen. He also transported cases of liquor from Mississippi to Memphis for resale at the Gentlemen’s Club.

Taylor and Jones, both law enforcement officers, also bought property they believed was stolen from an individual acting at the direction of federal law enforcement officers.

"The alleged actions taken by these law enforcement officers are unacceptable and will not be tolerated," said Director Rallings. "As I have said many times, no one is above the law. This alleged unlawful behavior in no way should be a reflection on the officers who continue to work hard and diligently to serve and protect the citizens of Memphis."

"We continually work to seek out those in law enforcement who violate their oath of office and commit criminal acts," said Sheriff Oldham. "The Sheriff’s Office fully supports and participates with all of our law enforcement partners in this effort."

On Monday, August 22, all three defendants had their initial appearances before U.S. Magistrate Judge Diane K. Vescovo.

Hughes is charged with one count of knowingly receivingmore than $1,000 worth of cases of liquor and assorted electronics, including Apple iPhones, a Samsung Galaxy Tablet and a Samsung Gear watch, and believing the property was stolen based on the representations of a person acting at the direction of a federal law enforcement officer.

Hughes is also charged with one count of unlawfully transporting more than $5,000 worth of cases of liquor and Apple iPhones from Mississippi to Tennessee, believing the property was stolen based on representations of a person acting at the direction of a federal law enforcement officer.

Jones is charged with one count of knowingly receiving Samsung Galaxy Tablets and a DeWalt tool kit worth more than $1,000, and believing the property was stolen based on representations of a person acting at the direction of a federal law enforcement officer.

Taylor is charged with one count of receiving more than $1,000 worth of boots and shoes, and believing the property was stolen based on representations of a person acting at the direction of a federal law enforcement officer.

All of the aforementioned charges carry individual penalties of up to 10 years in federal prison and fines of up to $250,000.

This case is being investigated by the Tarnished Badge Task Force, which is comprised of investigators from the Federal Bureau of Investigation, Memphis Police Department and Shelby County Sheriff’s Office.

Assistant U.S. Attorney Mark Erskine is prosecuting this case on the government’s behalf.

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

Memphis, TN – The owner of a grief counseling and psychotherapy services provider has pleaded guilty to defrauding TennCare of more than $300,000. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.

According to information presented in court, Vicky Fox, 53, of Memphis, Tennessee, owned and operated the Rainbow Center for Children and Adolescents. The establishment provided grief counseling and psychotherapy services to children and families in the Memphis area.

The Rainbow Center contracted with TennCare, the Tennessee-based program of Medicaid, from 2008 through 2013 and 2015. Under the contract, the Rainbow Center employed Licensed Clinical Social Workers (LCSWs) to provide counseling services. One of the LCSWs, Lillie Hughey, worked for the establishment until January 2012. After Hughey left the Rainbow Center, Fox used her former employee’s provider number and information to bill TennCare for counseling services that were never provided.

In August 2014, the Tennessee Bureau of Investigation (TBI) received a referral from the Bureau of TennCare, Program Integrity Unit (PIU) regarding a fraud investigation involving the Rainbow Center. The investigation revealed that Fox’s fraudulent claims scheme defrauded TennCare of more than $300,000.

On Friday, August 19, Fox pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to one count of health care fraud.

Fox is scheduled to be sentenced onNovember 18, 2016. She faces up to 10 years in federal prison and a fine of up to $250,000.

This case is being investigated by TBI and the Bureau of TennCare.

Assistant U.S. Attorney Damon Keith Griffin is prosecuting this case on the government’s behalf.

Memphis, TN – Two Memphis men have been collectively sentenced to more than 240 months in federal prison for conspiring to distribute large quantities of heroin, cocaine, marijuana and oxycodone. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

According to information presented in court, 40-year-old Freeman Monger and 45-year-old Jeffrey Ingram, both of Memphis, possessed with intent to distribute large quantities of heroin, cocaine, marijuana and oxycodone. Ingram also unlawfully possessed multiple handguns and rifles.

In April 2013, Shelby County Sheriff’s Office deputies conducted a traffic stop on Ingram and found a large quantity of cocaine in his vehicle. Deputies later executed a search warrant at Ingram’s residence, as well as storage units he maintained. Eleven handguns and two rifles were recovered from the storage units.

Over two years later, in August 2015, deputies executed a search warrant on a residence owned by Monger. Upon entering the residence, law enforcement located Monger and Ingram in separate parts of the house. A subsequent search of the residence yielded hundreds of grams of heroin, cocaine, marijuana, as well as 50 oxycodone pills. The residence was reportedly used to stash and distribute narcotics.

A search warrant was also conducted on Ingram’s residence in August 2015. Deputies recovered a Beretta 9mm pistol during the search.

In February 2016, both Ingram and Monger pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to multiple offenses.

Ingram pleaded guilty to two counts of possessing with the intent to distribute cocaine; individual counts of aiding and abetting a co-conspirator in possession with the intent to distribute multiple grams of heroin, cocaine, marijuana and oxycodone; felony possession of 13 firearms; felony possession of 12 firearms in furtherance of a drug trafficking crime; and felony possession of a Beretta 9mm pistol.

Monger pleaded guilty to aiding and abetting a co-conspirator in unlawful possession with the intent to distribute heroin, cocaine, marijuana and oxycodone.

In June 2016, Judge Fowlkes sentenced Monger to 78 months in federal prison.

On Thursday, August 18, Judge Fowlkes sentenced Ingram to 168 months in federal prison.

This case was investigated by the Shelby County Sheriff’s Office.

Assistant U.S. Attorney Lorraine Craig prosecuted this case on the government’s behalf.

Jackson, TN – A federal jury has found a Jackson man guilty of unlawfully possessing with intent to distribute more than 6,000 prescription pills. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty verdict today.

According to information presented in court, George Ward, 49, of Jackson, Tennessee, unlawfully possessed with intent to distribute large quantities of Morphine, Amphetamine, Zolpidem(Ambien), Hydrocodone, Methadone, Alprazolam(Xanax), and Hydromorphone.

In February 2013, the Jackson Police Department (JPD) Gang Enforcement Team and the Jackson-Madison County Narcotics Unit executed a search warrant at a house as part of an ongoing narcotics investigation involving the defendant. Ward was present at the location during the search warrant’s execution. Law enforcement agents determined that he was staying in the house’s guest bedroom. While searching the room, law enforcement discovered approximately 6,600 pills contained in several different bags. The seized pills included: 2,317 Morphine pills; 2,247 Amphetamine pills; 684 Zolpidem pills; 482 Hydrocodone pills; 456 Methadone pills; 260 Alprazolam pills; and 89 Hydromorphone pills.

The pills were packaged in numerous Ziploc bags, indicative of pills that are being distributed. There were also numerous pills in wholesale pharmacy bottles that individuals are prohibited from possessing, indicative of pills for resale. Drug ledgers were also seized in Ward’s room, which referenced certain strengths of the narcotics, pills with certain markings, as well as the number of pills and prices.

At the time of the search, Ward was on parole for a state conviction of possession of cocaine with intent to sell.

On Wednesday, August 17, a federal jury convicted Ward of seven counts of unlawful possession with intent to distribute prescription pills — individual counts for Morphine, Amphetamine, Zolpidem, Hydrocodone, Methadone, Alprazolam and Hydromorphone.

Five of the counts carry individual penalties of up to 30 years in federal prison and a fine of up to $2 million. Two of the counts carry individual penalties of up to 10 years in federal prison and a fine of up to $500,000.

This case is being investigated the Drug Enforcement Administration; the JPD Gang Enforcement Team; and the Jackson-Madison County Metro Narcotics Unit.

Assistant U.S. Attorney Beth Boswell is prosecuting this case on the government’s behalf.

Memphis, TN – A Florida woman has been charged in a 197-count indictment for allegedly defrauding TennCare and illegally using the identities of multiple individuals. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the indictment today.

According to the indictment, Daphne M. Chaisson, 45, of Orlando, Florida, owned a business that operated under two names – Creative Counseling, Inc. and Chaisson Creative Consulting, Inc. The business provided counseling services, which included different forms of psychiatric diagnostic evaluation and psychotherapy. These services were primarily provided to adolescents.

Between August 2009 and January 2014, Chaisson used her business to execute a scheme that billed TennCare, the Tennessee-based Medicaid program, for medical services that actually weren’t performed. Chaisson hired, or attempted to hire, licensed counselors to provide services to clients. However, Chaisson used the personal information of her counselors without their permission to obtain TennCare provider numbers and bill TennCare. In some cases, Chaisson used existing TennCare provider numbers to bill for counseling purportedly performed, without the knowledge or consent of the counselors. Chaisson also used the identity of minor patients, without their knowledge or consent, to bill for these purported services.

According to the indictment, many of the services Chaisson billed for were not performed. On several dates, Chaisson even billed for over twenty-four hours of counseling.

Additionally, during the course of the Tennessee Bureau of Investigation’s (TBI) investigation into Chaisson’s scheme, it was revealed that she knowingly sent several fictitious emails containing false documents to TBI agents.

On Thursday, August 11, 2016, Chaisson was indicted on multiple counts of healthcare fraud and aggravated identity theft. She was also charged with four counts of using false documents.

Each count of healthcare fraud carries a penalty of up to 10 years in federal prison; each count of aggravated identity theft carries a mandatory penalty of two years; and each count of using false documents carries a penalty of up to five years in federal prison.

This case is being investigated by the TBI.

Assistant U.S. Attorney Dean DeCandia is prosecuting this case on the government’s behalf.

The charges and allegations in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

Memphis, TN – A Memphis man who murdered a neighborhood associate has been sentenced to federal prison for felony firearm possession. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, on May 23, 2014, Marlon Boyd, 46, of Memphis, Tennessee, shot and killed Michael Richard following an argument. Boyd’s cousin was present during the shooting. Boyd threatened to kill his cousin, too, if he informed law enforcement of what he witnessed. The shooting reportedly occurred steps from Boyd’s cousin’s house in South Memphis.

Two days following the shooting, on May 25th, Memphis Police officers visited a South Memphis apartment to execute a search warrant on Boyd for first-degree murder. After officers knocked on the door and announced their presence, Boyd ran to a bedroom and hid. After several commands by police to surrender, Boyd came out of the apartment and was arrested. Officers subsequently searched the bedroom and recovered two loaded firearms: a Smith & Wesson .38 caliber revolver and a Ruger .357 caliber revolver.

On August 5, 2016, Boyd was convicted in state court of first-degree murder in the shooting death of Richard, among other charges.

In April 2016, Boyd was convicted in federal court of felony possession of two firearms.

On Friday, August 12, 2016, U.S. District Judge John T. Fowlkes Jr. sentenced Boyd to 120 months in federal prison.

Boyd’s federal sentence will be served consecutive to his sentence in state court. Boyd faces life without parole when he is sentenced in state court in September.

This case was investigated by the Project Safe Neighborhoods Task Force and Memphis Police Department’s Homicide Division.

Assistant U.S. Attorneys Marques Young and Dean DeCandia prosecuted this case on the government’s behalf.

 

Jackson, TN – A California man who shot a woman twice during an attempted bank robbery has pleaded guilty to multiple charges related to the incident. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.

According to information presented in court, Dominic Williams, 40, of Los Angeles, California, snuck into the carport of Pamela Janeice Frisbee on the morning of March 18, 2015. Frisbee, a manager of a BancorpSouth bank, was at her home in Humboldt, Tennessee, preparing to leave for her job. When she exited her house and walked to the carport to get into her car, Williams was hiding in front of the vehicle with a Glock .40 caliber pistol. He stood up and pointed the gun at Frisbee before asking her if "she wanted to die today?"

Williams forced Frisbee into the driver’s seat of her vehicle at gunpoint and demanded that she drive to BancorpSouth. Once at the bank, Williams forced her to open the doors — the establishment had not yet opened — and the two went inside. He had her disable an alarm, and demanded she obtain money from the tellers’ drawers. The victim responded there was no money in the drawers. Williams then demanded that she open vaults in the bank to obtain money. When the victim told him that she was unable to open the vaults, he fired multiple shots at her, striking her in the chest and arm. Frisbee subsequently fell to the ground and played dead. Williams then shot and kicked out the back windows of the bank and fled.

Independent witnesses and bank employees notified the Humboldt Police Department (HPD) of the incident. After arriving on the scene, HPD’s chief of police observed Williams stripping clothing off into a dumpster a block from the bank. The police chief was able to arrest him, and the Federal Bureau of Investigation (FBI) was notified.

After Frisbee was airlifted to a Memphis hospital, FBI investigators responded. Williams was advised of his Miranda rights which he agreed to waive. He provided a recorded statement, informing FBI agents of where he hid his firearm and admitted that he attempted to rob the BancorpSouth bank. FBI agents subsequently recovered the .40 caliber pistol used in the crime. And clothing consistent with witness descriptions of the robber were recovered, as well as a mask and a roll of duct tape.

Frisbee was able to testify in federal court that she was kidnapped, forced against her will, assaulted, and that a firearm was discharged inside the bank.

On Wednesday, August 10, 2016, Williams pleaded guilty before U.S. District Judge J. Daniel Breen to single counts of attempted bank robbery, possession of a firearm during a crime of violence, and felony possession of a firearm.

Williams is scheduled to be sentenced by Judge Breen on November 1o, 2016. He faces a minimum sentence of 25 years in federal prison.

This case is being investigated by the FBI; Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); and HPD.

Assistant U.S. Attorney Matthew Wilson is prosecuting this case on the government’s behalf.

Memphis, TN – A Germantown man has been sentenced to federal prison for obstructing IRS laws, and is ordered to pay more than $848,000 in restitution. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, John Ballard, 47, of Germantown, Tennessee, was a former securities/investment broker for NFP Securities. Ballard failed to file and pay income tax returns from 2000 to 2008. Ballard’s delinquency caused him to owe more than $848,000 in back taxes.

By falsely claiming to the Internal Revenue Service (IRS) that he was unemployed and unable to find employment, Ballard was able to avoid satisfying his tax obligations.

Despite owing the government, Ballard was paid approximately $522,140.79 in 2009 alone from his then-employer NFP Securities.

In April 2016, Ballard pleaded guilty before U.S. District Judge Sheryl H. Lipman to one count of obstruction of IRS laws.

On Tuesday, August 9, 2016, Judge Lipman sentenced Ballard to 18 months in federal prison. Following his release, Ballard will be required to serve three months at a halfway house. He has also been ordered to pay more than $848,000 in restitution to the IRS.

This case was investigated by IRS-Criminal Investigation.

Assistant U.S. Attorney Damon K. Griffin prosecuted this case on the government’s behalf.

Memphis, TN – Three men responsible for stealing eight rifles from a West Tennessee pawn shop have been collectively sentenced to 180 months in federal prison. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

The three defendants include:

• Dameion Cain, 36, of Memphis, Tennessee

• George McGhee, 25, of Memphis, Tennessee

• Denzel Jones, 21, of Memphis, Tennessee

According to information presented in court, in July 2014, the three defendants rode from Memphis to Mr. Cash Pawn Shop in Oakland, Tennessee. Upon arrival, the defendants broke into the establishment and stole eight .22 caliber rifles.

In August 2014, law enforcement officials were able to identify the three defendants as the culprits responsible for burglarizing the establishment.

In addition to participating in the aforementioned burglary, officials were also able to identify Cain as the person who unlawfully took a 5.56 caliber rifle and .223 caliber rifle from Big Daddy’s Pawn on Hickory Hill Road in July 2014.

In February 2015, Cain pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to one count of unlawfully taking a 5.56 caliber rifle and a .223 caliber rifle from a business; and one count of unlawfully possessing a 5.56 caliber rifle and a .223 caliber rifle.

In July 2015, Judge Fowlkes sentenced Cain to 120 months in federal prison.

In March 2015, Jones pleaded guilty to unlawfully taking eight .22 caliber rifles from a business.

In August 2015, Jones received time served and three years of supervised release.

In April 2016, McGhee pleaded guilty to unlawfully possessing multiple .22 caliber rifles.

On Friday, July 29, 2016, Judge Fowlkes sentenced McGhee to 60 months in federal prison.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).

Assistant U.S. Attorney Bayonle Osundare prosecuted this case on the government’s behalf.

Memphis, TN – Three men involved in a lucrative drug trafficking conspiracy have been collectively sentenced to more than 400 months in federal prison. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

The three defendants include:

• Gary Holmes, 38, of Memphis, Tennessee

• Brailon Adell, 31, of Memphis, Tennessee

• Jody Davenport, 44, of Houston, Texas

The three defendants participated in a conspiracy to transport multiple kilograms of cocaine from Houston, Texas to Memphis, Tennessee for distribution.

According to information presented in court, in January 2015, a traffic stop was conducted in Liberty County, Texas that resulted in the discovery of two kilograms of cocaine. The drugs were hidden in large food cans in the trunk of the vehicle. The drugs were worth approximately $67,000. Holmes was driving the vehicle, and had come to Houston to pick up the cocaine and transport it to Memphis for resale.

As a result of an investigation conducted following the traffic stop, law enforcement discovered that Holmes was responsible for transporting large quantities of cocaine from Houston to Memphis over a six-month period. Davenport was supplying the cocaine to Holmes, who in turn would transport it to Adell and others in the Memphis area.

Holmes and Davenport spearheaded the conspiracy. For more than six months, they conspired to transport approximately 70 kilograms of cocaine from Houston to Memphis for redistribution.

In October 2015, Holmes, Adell and Davenport all pleaded guilty before U.S. District Court Judge Jon P. McCalla to one count of conspiring to unlawfully possess with the intent to distribute and distribute more than 500 grams of cocaine.

In February 2016, Judge McCalla sentenced Adell to 60 months and Davenport to 235 months in federal prison.

On Friday, July 15, Judge McCalla sentenced Holmes to 108 months in federal prison.

This case was investigated by the Drug Enforcement Administration (DEA) and Homeland Security Special Agents in Memphis and Houston.

Assistant U.S. Attorney Jerry Kitchen prosecuted this case on the government’s behalf.

Memphis, TN – The former leader of notorious street gang FAM Mob has been sentenced to federal prison for violating the RICO Act. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, James Earl McCracken, 28, of Memphis, Tennessee, served as the head governor of FAM Mob. The street gang has a presence throughout the Northern section of Memphis and Shelby County, including Frayser, Northhaven, Raleigh and Millington. FAM Mob's hierarchy consists of a head governor, governors, CEOs, "big homies" and "little homies."

As head governor of FAM Mob, McCracken was responsible for calling membership meetings and enforcing violations of the gang's rules.

Alleged racketeering acts associated with FAM Mob include robberies, drug trafficking, and murder.

The RICO Act prohibits persons associated with a criminal enterprise from engaging in unlawful activities, such as robbery, murder, drug trafficking, and other crimes affecting interstate and foreign commerce.

One example of McCracken’s criminal activity took place in July 2011. Along with other members of FAM Mob, McCracken robbed a drug dealer who was trafficking narcotics manufactured outside of the district.

In November 2014, McCracken was indicted for violating the Hobbs Act, which makes it a federal crime to commit a robbery that interferes with interstate commerce.

Following McCracken’s 2014 indictment, Jarvis Lewis became the new head governor of FAM Mob. Lewis was later arrested for felony firearm possession, and convicted by a federal jury of the crime in November 2015. Lewis was sentenced to 120 months in federal prison in February 2016.

In December 2015, McCracken pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to one count of racketeering conspiracy.

In July 2016, Jude Fowlkes sentenced McCracken to 120 months in federal prison.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Multi-Agency Gang Unit.

Assistant U.S. Attorneys Kevin Whitmore and Reagan Taylor prosecuted this case on the government’s behalf.

Memphis, TN – A Memphis man has been sentenced to federal prison for defrauding multiple financial institutions of more than a quarter-million dollars. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Randall Meridith, 24, of Memphis, Tennessee, recruited individuals with existing bank accounts to allow him access to their accounts in exchange for cash payments. The criminal activity took place between January 2013 and May 2015.

In many instances, Meridith convinced the account holders that he was involved in a legitimate business operation, and that they could make money, if they allowed him to utilize their bank accounts for a limited time. After Meridith obtained the account holders’ bank cards and PIN numbers, he deposited (or had deposited on his behalf) more than $250,000 worth of stolen checks into numerous accounts at financial institutions in Shelby County and other areas. The financial institutions included USAA Federal Savings Bank, Bank of America, FedEx Employees Credit Association and Wright-Patt Credit Union. Shortly after the deposits were made, Meridith would withdraw the funds at ATMs, or made purchases using the bank cards before the financial institutions were alerted to the fraud.

One of Meridith’s many fraudulent transactions occurred on May 11, 2015, at an ATM on Nonconnah Boulevard. Meridith deposited a stolen check drawn on a USAA Federal Savings Bank account and payable to victim A.T. in the amount of $940 into the FedEx Credit Association account belonging to the victim. Meridith then quickly withdrew funds from the FedEx Credit account via ATMs, and used the bank card associated with the account to make purchases at Memphis Walmarts.

At Meridith’s sentencing, it was revealed that multiple victims went through a variety of financial challenges because of his scheme, including trouble making mortgage and car payments.

In December 2015, Meridith pleaded guilty before U.S. District Judge Sheryl H. Lipman to one count of bank fraud.

On Monday, July 18, 2016, Judge Lipman sentenced Meridith to 60 months in federal prison. Meridith was also ordered to pay more than $63,000 in restitution.

This case was investigated by the United States Postal Inspection Service and the Tennessee Highway Patrol Identity Crimes Unit.

Assistant U.S. Attorney Stephen Hall prosecuted this case on the government’s behalf.

Memphis, TN – A Memphis man has been sentenced to federal prison for distributing multiple images and videos of child pornography. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Julius Ford, 26, of Memphis, Tennessee, sent images and videos of children engaged in sexual conduct to others.

On September 4, 2014, Homeland Security Investigations (HSI) agents in Memphis received an investigative lead about an individual in the Memphis area using a flagged email account to send and receive emails containing child exploitation material. The investigation revealed that the IP address and login activity associated with the email account was registered to Ford at a residence in the Frayser area of Memphis.

On September 22, a covert investigator with the Memphis Child Exploitation Task Force contacted the flagged email account, which resulted in a series of emails sent from the account to the covert investigator. The emails contained child exploitation material, including videos depicting prepubescent children engaged in sexual acts with other minors and adults.

Law enforcement executed a search warrant at Ford’s residence on February 2, 2015. Agents seized a hard drive, two laptops, an iPhone, and a thumb drive. In total, forensic examinations conducted on these devices revealed that Ford possessed approximately 555 video files and 2,865 image files depicting sexually explicit conduct involving minors. Ford later admitted to being the user of the mail account and that he had used the account to trade child pornography. The defendant also admitted to sending emails from the account containing videos of child pornography to the covert investigator.

Ford served in the United States Army from 2008 to 2012. During the time of his criminal activity, Ford was active in the Army Reserves.

In March 2016, Ford pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to one count of distribution of child pornography.

On Wednesday, July 13, 2016, Ford was sentenced by Judge Fowlkes to 97 months in prison and 10 years of supervised release.

The case was investigated by the Memphis Child Exploitation Task Force. The collective is comprised of federal and local law enforcement agencies, including the Federal Bureau of Investigation; HSI; Shelby County Sheriff’s Department; Memphis Police Department; U.S. Postal Investigation Service; U.S. Marshals Service; and the U.S. Secret Service.

Assistant U.S. Attorney Kasey Weiland prosecuted this case on the government’s behalf.

This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."

Memphis, TN – A man who created child pornography and engaged in sexually explicit conduct with two prepubescent female minors has entered a plea to his criminal conduct. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the plea today.

According to information presented in court, Terrence Milam, 37, of Memphis, Tennessee, produced photographs and videos of himself sexually abusing two female minors between October 2013 and late January 2015. He used a smartphone to record the videos and take the images.

The abuse of the two victims came to light when a Memphis Police Department (MPD) officer on routine patrol discovered Milam and one of the children parked in a deserted school parking lot. When the officer approached the vehicle, he saw Milam struggling to put on his pants. Law enforcement obtained search warrants to review the contents of two cell phones found in the vehicle. This led to discovery of sexually explicit images and the identification of a second victim.

Milam’s abuse of the two children began when one of the victims was approximately nine years old and the other was 11.

On Tuesday, July 5, 2016, Milam entered an Alford plea before U.S. District Judge Samuel H. Mays to five counts of production of child pornography and one count of possession of child pornography.

Milam is scheduled to be sentenced by Judge Mays on October 6, 2016. He faces a minimum sentence of 15 years imprisonment and a maximum of 170 years.

Milam also faces charges of child rape in state court.

This case is being investigated by the FBI’s Child Exploitation Task Force and the MPD.

Assistant U.S. Attorney Deb Ireland is prosecuting this case on the government’s behalf.

Jackson, TN – Four Gibson County residents have been indicted for conspiring to distribute large quantities of highly pure methamphetamine throughout West Tennessee. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee; and Johnie Carter, Special Agent in Charge of the West Tennessee Drug Task Force, announced the indictment today.

The following defendants have been indicted and arrested on a five-count drug conspiracy involving more than 50 grams of meth.

• Lonnie Edward George, 53, of Trenton, Tennessee

• Brian Mayo, 32, of Trenton, Tennessee

• Keith Sims, 44, of Trenton, Tennessee

• Thomas Vinson, 57, of Trenton, Tennessee

According to the indictment, between August 2015 and May 2016, the defendants conspired with each other to distribute and possess with the intent to distribute large quantities of "ice," which is meth with a purity level greater than 80 percent. The defendants also distributed multiple grams of meth.

During the course of the investigation, law enforcement officers seized more than two pounds of ice, two firearms, 14 vehicles, and approximately $15,000 in drug proceeds from the defendants.

All four defendants have been charged with one count of conspiring to distribute 50 grams or more of actual meth (ice); and one count of aiding and abetting each other to distribute, attempt to distribute, possess with the intent to distribute and attempt to possess with the intent to distribute 50 grams or more of meth.

George is charged with an additional count of possession with intent to distribute 50 grams or more of meth.

Mayo is charged with an additional count of possession with intent to distribute five grams or more of meth; and one count of possession of a firearm in furtherance of a drug trafficking crime.

This case is being investigated by the 28th Judicial District Drug Task Force; Tennessee Bureau of Investigation (TBI); Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); and Gibson County Sheriff’s Department.

Assistant U.S. Attorney Vic Ivy is prosecuting this case on the government’s behalf.

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

Memphis, TN – A Collierville man has been sentenced for executing a scheme that defrauded two loan companies of approximately $121,000. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Preston E. Byrd, 45, of Collierville, Tennessee, was a real estate developer. Byrd owned multiple businesses, including Horizon Financial Group; Eagles Landing Development; Affordable Rental Housing of Shelby; and Y-Politic.

Between March and May 2014, Byrd fraudulently applied for business loans with two loan companies, Rapid Advance and Windset Capital. He made false statements and submitted false documents to the two companies. Following receipt of the loan proceeds, Byrd engaged in multiple transactions with the fraudulently obtained money.

When Rapid Advance and Windset Capital requested to visit and physically inspect the location of Byrd’s establishments, he had another individual obtain office space for him to use temporarily. Byrd falsely represented the rented space as the headquarters for his establishments.

In March 2016, a federal jury convicted Byrd of three counts of wire fraud and three counts of money laundering.

On Thursday, June 16, 2016, Chief U.S. District Judge Jon P. McCalla sentenced Byrd to 42 months in federal prison. Byrd was also ordered to pay restitution in the amount of $96,237.14, and to forfeit $166,245.14.

This case was investigated by the U.S. Secret Service Economic Crimes Task Force.

Assistant U.S. Attorney Carroll L. Andre III prosecuted this case on the government’s behalf.

Memphis, TN – Ten defendants in a multi-state narcotics trafficking conspiracy have been collectively sentenced to more than 590 months in federal prison. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

According to information presented in court, between August 2014 and June 2015, the defendants conspired with each other to distribute large quantities of oxycodone, methamphetamine, cocaine and marijuana. They utilized the United States Postal Service (USPS) to ship the drugs from Arizona and California to Memphis for distribution.

The defendants and their respective sentences:

• Eddie Caswell aka "Geezy", 35, of Memphis, Tennessee: 200 months

• Armando Penunuri aka "Migo," 29, of Los Angeles, California: 120 months

• Taderrio Johnson aka "Pee-Wee", 29, of Los Angeles, California: 57 months

• Marcus Moore aka "Corry Moore," 33, of Memphis, Tennessee: 18 months

• Martavious Taylor aka "Snap," 32, of Memphis, Tennessee: 60 months

• Tavious Jones aka "Threat" and "No Face, No Case," 23, of Memphis, Tennessee: 57 months

• Brandon Heard, 27, of Memphis, Tennessee: 12 months

• Taquita James, 33, of Memphis, Tennessee: time served

• Brittany Junious aka "Brittany Caswell," 23, of Memphis, Tennessee: 12 months

• Frederick Burton, 52, of Memphis, Tennessee: 60 months

Law enforcement’s investigation into the criminal organization revealed Caswell was the drug trafficking organization’s leader. He recruited family members for his illicit enterprise, including his wife (James) and nephew (Heard).

Initially, Caswell shipped marijuana from Arizona to Memphis. He then expanded his operation after teaming up with Penunuri and Johnson, who served as sources of supply of methamphetamine and prescription pills in California. In February 2015, agents intercepted a package containing more than four kilograms of meth, which Caswell had shipped from California to Memphis.

Over the course of the conspiracy, one of the defendants, Burton, worked as a U.S. Postal Service mail carrier. In collaboration with Caswell, Burton arranged to have express mail packages containing drugs mailed to addresses on his mail route. In exchange for cash, Burton would divert those packages to members of the drug trafficking organization. Law enforcement investigators captured surveillance on over two dozen instances which showed Burton diverting packages to persons off of his assigned postal route. A conservative estimate revealed that Burton distributed over 800 kilograms of marijuana and oxycodone.

In May 2015, all of the defendants were indicted on a multi-count indictment, which charged them with conspiracy to possess with the intent to distribute and to distribute multiple narcotics.

All 10 defendants pleaded guilty to charges within the indictment in February 2016.

In May 2016, they all were sentenced by U.S. District Judge Sheryl Lipman to federal imprisonment, excluding Taquita James, who received time served.

This case was investigated by the Drug Enforcement Administration (DEA), U.S. Postal Inspector, and the U.S. Postal Service Office of Inspector General.

Assistant U.S. Attorney Reagan M. Taylor prosecuted this case on the government’s behalf.

Jackson, TN – Ten residents of the Jackson area have been indicted for conspiring to distribute large quantities of highly pure methamphetamine throughout West Tennessee. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the indictment today.

On Thursday, May 26, 2016, nine of the defendants were taken into custody. One defendant remains a fugitive. Federal, state and local law enforcement agencies participated in the early morning round-up.

The following defendants have been indicted on conspiracy to distribute and possess with the intent to distribute more than 500 grams of meth, among other charges:

• David Burruss, 72, of Bolivar, Tennessee

• Rodney Richardson, 48, of Grand Junction, Tennessee

• Deon Brown, Sr., 48, of Grand Junction, Tennessee

• James Walker Carroll, 35, of Savannah, Tennessee

• David Bryan, 29, of Jackson, Tennessee

• Thomas Rodgers, 38, of Lexington, Tennessee

• Nancy Hubanks, 65, of Savannah, Tennessee

• Matthew Ludoff, 33, of Jackson, Tennessee

• Jason Stanfill, 37, of Jackson, Tennessee

• Mary Vandiver, 42, of Jackson, Tennessee (fugitive)

According to the indictment, between late August 2014 and March 2016, the defendants conspired with each other to distribute and possess with the intent to distribute large quantities of "ice," which is meth with a purity level greater than 80 percent. The defendants also distributed multiple grams of meth.

During the course of a nearly two-year investigation, law enforcement officers seized more than 3,500 grams of ice, over 800 grams of meth, three firearms, two vehicles, and approximately $64,000 in drug proceeds from the defendants.

All 10 defendants have been charged with one count of conspiring to distribute 50 grams or more of actual methamphetamine (ice), and one count of aiding and abetting each other to distribute, attempt to distribute, possess with the intent to distribute and attempt to possess with the intent to distribute 50 grams or more of ice.

The defendants have also been charged with conspiring to distribute and possess with the intent to distribute 500 grams or more of meth. And aiding and abetting each other to distribute, attempt to distribute, possess with the intent to distribute and attempt to possess with the intent to distribute 500 grams or more of meth.

• Burruss, Hubanks, and Brown have each been charged with two additional counts of distributing, attempting to distribute, possession with intent to distribute, and attempting to possess with the intent to distribute 50 grams or more of meth.

• Stanfill and Vandiver have been charged with three additional counts of distributing, attempting to distribute, possession with intent to distribute, and attempting to possess with the intent to distribute 50 grams or more of meth.

• Richardson, Carroll III, Bryan and Ludoff have each been charged with an additional count of distributing, attempting to distribute, possession with intent to distribute, and attempting to possess with intent to distribute 50 grams or more of meth.

• And Rodgers has been charged with three additional counts of distributing, attempting to distribute, possession with intent to distribute, and attempting to possess with the intent to distribute five grams or more of meth.

The defendants face mandatory minimum sentences of 10 years imprisonment if convicted of the conspiracy and/or aiding and abetting charges. They also face fines of up to $10 million.

The additional distribution charges carry mandatory minimum sentences of between five and 20 years imprisonment and fines exceeding $1 million.

This case is being investigated by the Drug Enforcement Administration; Tennessee Bureau of Investigation; Jackson-Madison County Metro Narcotics Unit; 24th Judicial District Drug Task Force; Hardin County Sheriff's Department; and the United States Postal Inspector Service.

Assistant U.S. Attorney Beth Boswell is prosecuting this case on the government’s behalf.

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

Memphis, TN –Methodist University Hospital, in order to resolve allegations that it violated the Americans with Disabilities Act, has agreed to improve its procedures regarding effective communication to people who are deaf or have hearing disabilities. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the settlement today.

"Protecting citizens by ensuring full compliance with the Americans with Disabilities Act remains a priority for the U.S. Attorney’s Office," said U.S. Attorney Stanton. "We appreciate the cooperation of Methodist Healthcare in quickly resolving this matter and recognizing the importance of communicating effectively with its hearing impaired patients."

The Americans with Disabilities Act requires businesses serving the public to provide the means for effective communication with hearing impaired persons. Depending on the length and complexity of the communication, providing the means for effective communication can range from exchanging written notes to using a sign language interpreter.

The United States’ investigation revealed that a hearing impaired person presented herself to the emergency room (ER) and initially wrote notes to explain why she was there. However, emergency room personnel did not follow through by initiating a request for an interpreter and actually thought the patient had left the ER when she did not respond to her name being called. Even after this mistake was discovered, an interpreter never arrived at the hospital to assist the patient. In all, the patient spent nine hours in the Methodist University ER.

Under the Settlement Agreement with Methodist Healthcare, the hospital will improve its procedures for identifying and tracking the needs of hearing impaired patients and its procedures for using interpreters. Methodist will also pay damages to the person who filed the complaint in the amount of $8,000.

Assistant U.S. Attorney Gary A. Vanasek investigated the complaint and negotiated the Settlement Agreement.

Memphis, TN – After a five-day trial, a federal jury convicted a man of conspiring to distribute multiple kilograms of cocaine and launder large sums of drug proceeds. Prior to the trial, the defendant pleaded guilty to partaking in a dog fighting enterprise. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty verdict today.

According to information presented in court, Daniel Scott Sr., aka Old School, 51, of Memphis, Tennessee, conspired with several others to distribute and did distribute more than five kilograms of cocaine between March 2014 and May 2015. Scott also conspired with others to launder hundreds of thousands of dollars obtained from trafficking cocaine.

Over the same time period, Scott conspired with others to locate and develop various properties to serve as the staging area for housing and training American Pit Bull Terriers and hosting dog fighting gambling shows. Additionally, pit bulls were purchased, trained and bred for participation in the dog fight gambling shows.

On Monday, May 9, 2016, Scott pleaded guilty to one count of conspiracy to engage in dog fighting before U.S. District Judge John T. Fowlkes Jr.

On Friday, May 13, 2016, a federal jury convicted Scott of one count of conspiring with others to possess with the intent to distribute and distribute more than five kilos of cocaine; and one count of conspiring with the intent to launder and launder drug trafficking proceeds.

• On the drug conspiracy charge, Scott faces a minimum sentence of 10 years imprisonment and a fine of up to $10 million.

• On the money laundering charge, he faces up to 20 years imprisonment and a fine of up to $500,000.

• On the dog fighting conspiracy charge, he faces up to five years imprisonment and a fine of up to $500,000.

Scott is scheduled to be sentenced by Judge Fowlkes on Friday, August 5, 2016.

This case is being investigated by the FBI’s Safe Streets Task Force. The collective is comprised of federal, state and local law enforcement personnel.

Assistant U.S. Attorneys Sam Stringfellow and Michelle Parks are prosecuting this case on the government’s behalf.

Memphis, TN – A Collierville businessman has pleaded guilty in federal court to a one count information charging him with conspiracy to fraudulently obtain work visa permits. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee announced the guilty plea today.

According to the information presented in court, Ramesh Basa, age 51, of Collierville, Tennessee owned and operated Comspark International, a Memphis based corporation working in the area of software development and information technology. Starting sometime in 2009, Basa began obtaining fraudulent H1B visas. An H1B Visa is a visa that allows a foreign national with a special skill to lawfully enter and work in the United States. Part of the application packet is a document commonly referred to as an "End Client Letter." The End Client Letter sets out the nature of the employment offer, the potential employee’s name and a number of other facts.

The information states that Basa, and others working for him, created false End Client Letters in order to obtain H1B Visas. These fraudulent visas allowed the foreign national beneficiaries to be present, and legally work in the United States. Basa and his company then hired them out to other companies. Basa profited in several ways from the scheme, including the fact that he got a percentage of the salary of every individual hired out.

Basa faces a sentence of up to five years imprisonment, a fine of not more than $250,000 and a period of up to three years of supervised release. Pursuant to a plea agreement he will also forfeit property worth $500,000. Basa is scheduled to be sentenced by Judge Sheryl Lipman on August 12, 2016.

This case was investigated by the Diplomatic Security Service of the Department of State, Immigration and Customs Enforcement of the Department of Homeland Security and the Department of Labor. The government’s case is being prosecuted by Assistant U.S. Attorney Fred Godwin.

Memphis, TN – A U.S. Postal Service mail carrier has been sentenced for conspiring to distribute oxycodone and marijuana through the mail. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to the information presented in court, Frederick Burton, 52, of Memphis, had been employed as a mail carrier since 2001. Between late 2013 and the spring of 2014, Burton arranged with the leaders of a drug trafficking organization to have express mail packages containing controlled substances mailed to addresses on his mail route. In exchange for cash, Burton would divert those packages to members of the drug trafficking organization. Law enforcement investigators captured surveillance on over two dozen instances which showed Burton diverting packages to persons off of his assigned postal route. A conservative estimate revealed that Burton distributed over 800 kilograms of marijuana and oxycodone.

In February 2016, Burton pleaded guilty to one count of conspiracy to possess with intent to distribute and to distribute oxycodone, and one count of conspiracy to possess with intent to distribute and to distribute marijuana.

On Wednesday, May 11, 2016, Burton was sentenced by U.S. District Judge Sheryl Lipman to five years imprisonment. In sentencing Burton, Judge Lipman noted the abuse of a position of public trust, considering Burton’s long career with the Postal Service. Burton is currently on leave without pay from the Postal Service.

This case was investigated by the Drug Enforcement Administration, U.S. Postal Inspectors, and the U.S. Postal Service Office of the Inspector General.

Assistant U.S. Attorney Reagan Taylor prosecuted this case on the government’s behalf.

Jackson, TN – A former Savanah, Tennessee bank CEO has pleaded guilty in federal court to a one count information charging him with conspiracy to commit bank fraud. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee announced the guilty plea today.

According to the information presented in court, Christopher Brent Jerrolds, age 54, of Savanah, Tennessee was Central Bank’s Chief Executive Officer (CEO) and President until his termination from the bank in 2012. Jerrolds became the President and CEO of Central Bank in 1996 and a member of the Bank’s Board of Directors in 1998. According to the information, beginning in 2009 and continuing until March 2012, Jerrolds, acting in his capacity as President and CEO of Central Bank, gave preferential treatment to Tennessee Materials Corporation. As a result of the criminal conspiracy, Central Bank, Wayne County Bank, and First Metro Bank lost more than $9,000,000.

The information states that from March 31, 2009 until October 18, 2010, Jerrolds allowed TMC to deposit insufficiently funded checks ("bad checks") into TMC’s account at Central Bank. These "bad checks" were deposited into TMC’s account to cover overdraft balances in TMC’s account. When a previously deposited "bad check" in TMC’s account was returned for insufficient funds, another "bad check" drawn on one of TMC’s other bank accounts was deposited to replace the previously deposited "bad check(s)." The deposited amounts and the frequency of deposits increased each month, and at times, multiple checks were deposited on a single occasion.

By October 18, 2010, Jerrolds was responsible for accepting and approving TMC’s deposit of 161 "bad checks" with a total transaction amount of $116,169,218. The deposit of the "bad checks" created "false balances" in TMC’s account which enabled TMC to use funds in TMC’s checking account that belonged to Central Bank. The fraudulent account balances created by the deposit of the "bad checks" enabled TMC to take approximately $3.9 million dollars belonging to Central Bank, without the knowledge or approval of the Central Bank’s Board of Directors.

The information further states that on July 11, 2011, Jerrolds made a $1,079,338 advance to TMC without the knowledge and approval of the Bank’s Board of Directors. During the same time, Jerrolds released to TMC $500,000 that Central Bank held as security on a prior loan to TMC. Jerrolds released the monies to TMC despite the fact that TMC made no payments on the loan and without the approval of the Bank’s Board of Directors.

The information further provides that in 2011 and 2012 Jerrolds issued to TMC Letters of Credit in the amount of $2,000,000 and $1,783,000. Jerrolds, among other things, concealed the issuance of the Letters of Credit from Central Bank, did not enter the Letters of Credit into the books and records of Central Bank, and did not obtain approval from the Bank’s Board of Directors to issue the Letters of Credit. The borrower used the Letters of Credit as collateral to obtain a $2,000,000 dollar loan from Wayne County Bank and a $1,783,000 loan from First Metro Bank. Wayne County Bank and First Metro Bank made a demand on the Letters of Credit after the borrower defaulted on the loans.

Jerrolds faces a sentence of up to five years imprisonment, a fine of not more than $250,000 and a period of up to three years of supervised release. The Court can also order Jerrolds to pay restitution to Central Bank, Wayne County Bank and First Metro Bank. Jerrolds is scheduled to be sentenced by Judge Breen in Jackson, Tennessee on August 11, 2016.

This case was investigated by the Federal Deposit Insurance Corporaton and the Federal Bureau of Investigation. The government’s case is being prosecuted by First Assistant U.S. Attorney Larry Laurenzi .

Memphis, TN – A former Millington reserve police officer has pleaded guilty to producing child pornography of three female minors and transporting a minor across state lines with intent to engage in unlawful sexual activity. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.

According to information presented in court, on July 13, 2015, a Shelby County Sheriff’s Office Deputy responded to a call at the Millington residence of Rickie Friar, 67. The call was made by Friar’s housekeeper, who had stopped by the defendant’s residence to do some chores. Friar was out of town at the time. While there, a female minor who accompanied the housekeeper opened Friar’s iPad and showed the housekeeper sexually explicit images of children who regularly spent time with Friar.

A forensic examination of Friar’s iPad, along with other electronic devices seized during a search of his residence revealed additional videos and images of female minors engaged in sexually explicit conduct. Friar is visible in some of the images and videos, and his voice can be heard in others. The videos and images were produced between July 2013 and May 2015. Two of the victims were under 12 years old at the time; one was under the age of 18 years old.

Hours after his housekeeper notified law enforcement of what had been seen on Friar’s iPad, Friar was located in Arkansas, returning from a trip to Oklahoma. He had a female minor with him. Law enforcement agents found receipts, dated a day or two earlier, for sex toys and lubricant in Friar’s vehicle.

On Wednesday, May 4, 2016, Friar pleaded guilty before U.S. District Judge John T. Fowlkes Jr. to:

• one count of knowingly transporting a minor under the age of 18 years old between the states of Tennessee and Oklahoma for the purpose of engaging in sexual activity; • two counts of attempting to and knowingly using a female minor under 12 years old to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct; • one count of attempting to and knowingly using a female minor under the age of 18 years old to engage in sexually explicit conduct.

When sentenced for the aforementioned charges, Friar faces a mandatory minimum sentence of 15 years imprisonment and a maximum of life. He also faces a fine of up to $1 million.

Friar is scheduled to be sentenced by Judge Fowlkes on Thursday, August 11, 2016.

This case is being investigated by the Memphis Child Exploitation Task Force. The collective is comprised of the Federal Bureau of Investigation; Homeland Security Investigations; Shelby County Sheriff's Department; Memphis Police Department; U.S. Postal Investigation Service; U.S. Marshals Service; and the U.S. Secret Service.

Assistant U.S. Attorney Debra Ireland is prosecuting this case on the government’s behalf.

Anyone who believes they may have information about this case or related activities is asked to contact the Memphis Child Exploitation Task Force at 901.747.4300.

This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."

Memphis, TN – Sixteen alleged members of the Gangster Disciples, a nationwide violent criminal organization, have been indicted for allegedly conspiring to participate in a racketeering enterprise. Dozens of alleged Gangster Disciples members have also been arrested in Atlanta, Georgia, on a separate indictment. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee; and Gerard J. Cocuzzo, Acting Special Agent in Charge of the FBI’s Memphis Field Office, announced the indictment today.

All 16 defendants were taken into custody today. Federal, state and local law enforcement agencies participated in the early morning round-up.

"As the indictment alleges, the Gangster Disciples flooded communities throughout the southeast and beyond with large amounts of drugs and ruthlessly used fear, intimidation, and even murder to promote and protect their nationwide criminal enterprise," said U.S. Attorney Stanton. "We will continue to work with our law enforcement partners to eliminate the terror gang members inflict upon our communities. And we will exhaust every available resource, including the federal RICO statute, to bring them to justice. Dismantling violent gangs at the highest levels remains a priority for the U.S. Attorney’s Office."

According to the indictment, the defendants named in the RICO conspiracy and conspiracy to distribute charges committed attempted murders; robberies; assaults; distribution of large quantities of heroin; cocaine and marijuana; firearms trafficking; kidnappings; intimidation of witnesses and victims; extortion; obstruction of justice; and other offenses in furtherance of the Gangster Disciples enterprise and to raise funds for the gang.

The Gangster Disciples were organized into different positions, including board members and governor-of-governors who each controlled geographic regions; governors, assistant governors, chief enforcers, and chief of security for each state or regions within the state where the Gangster Disciples were active; and coordinators and leaders within each local group. To enforce discipline among Gangster Disciples and adherence to the criminal organization’s rules and structure, members and associates were routinely fined, beaten and even murdered for failing to follow the gang’s rules.

According to the indictment, the Gangster Disciples has a highly-organized structure with a nationwide reach. In addition to Tennessee, the gang reportedly operates in more than 35 states.

"The coordinated arrests of Gangster Disciples around the country today should send a message to all those intent on victimizing our communities through acts of violence and racketeering," said Acting Special Agent in Charge Cocuzzo. "The FBI is constantly working in Memphis, in Tennessee, around the country, and globally, along with our federal, state, and local partners, to mitigate the threat of violent gangs. We will relentlessly pursue those who terrorize our neighborhoods, whether in urban or rural areas; and today's law enforcement actions demonstrate our commitment to this fight."

The following defendants have been indicted on RICO conspiracy charges in West Tennessee. They have also been charged with conspiracy to distribute and possess with the intent to distribute five kilos of cocaine; 280 grams of cocaine base; and 1,000 kilos of marijuana:

• Byron Montrail Purdy, a/k/a "Lil B" or "Ghetto," 37, of Jackson, Tennessee. Purdy held the rank of Governor of Tennessee;

• Derrick Kennedy Crumpton, a/k/a "38," 32, of Memphis, Tennessee. Crumpton held the rank of Assistant Governor of Tennessee;

• Demarcus Deon Crawford a/k/a "Trip," 32, of Jackson, Tennessee. Crawford held the rank of Chief of Security of Tennessee;

• Henry Curtis Cooper, a/k/a "Big Hen," 36, of Memphis, Tennessee. Cooper held the rank of Chief Enforcer for Tennessee;

• Rico Terrell Hassis, a/k/a "Big Brim," 43, of Memphis, Tennessee. Hassis held the rank of Enforcer of Memphis;

• Shamar Anthony James, a/k/a "Lionheart," 37, of Memphis, Tennessee. James held the rank of Governor of a region in Memphis;

• Demario Demont Sprouse, a/k/a "Taco," 35, of Memphis, Tennessee. Sprouse held the rank of Chief of Security of a region in Memphis;

• Robert Elliott Jones, a/k/a "Lil Rob" or "Mac Rob," 36, of Memphis, Tennessee. Jones held the rank of Governor of a region in Memphis;

• Denton Suggs, a/k/a "Denny Mo" or "Diddy Mo,"40, of Memphis, Tennessee. Suggs held the rank of Chief of Security in a section of Memphis;

• Santiago Megale Shaw, a/k/a "Mac-T," 23, of Jackson, Tennessee. Shaw was a member of the Security Team or Blackout Squad in Jackson;

• Tarius Montez Taylor, a/k/a "T," 26, of Jackson, Tennessee. Taylor was a member of the Security Team or Blackout Squad in Jackson;

• Tommy Earl Champion, Jr., a/k/a "Duct Tape," 27, of Jackson, Tennessee. Champion held the rank of Chief of Security of Jackson;

• Cory DeWayne Bowers, a/k/a "Bear Wayne," 32, of Jackson, was associated with the Gangster Disciples and acted as a member of the Security Team in Jackson;

• Gerald Eugene Hampton, a/k/a "G30," 30, of Jackson, Tennessee. Hampton was a member of the Security Team or Blackout Squad in Jackson;

• Daniel Lee Cole, a/k/a "D-Money," 37, of Jackson, Tennessee. Cole acted as Assistant Governor and Assistant Education Coordinator for the Gangster Disciples in Jackson; and

• Tommy Lee Wilkins (Holloway), a/k/a "Tommy Gunz," 28, of Memphis, Tennessee. Wilkins was a member of the Security Team in Memphis.

The RICO conspiracy charge in this case carries a maximum sentence of life in prison and a fine up to $250,000. The conspiracy to distribute and possess with the intent to distribute charge carries a minimum sentence of 10 years and a maximum of life imprisonment, and a fine up to $10 million.

Five of the defendants — Crawford, Shaw, Champion, Taylor, and Bowers — are charged with seven counts of attempted murder in aid of racketeering. They are also charged with seven counts of using a firearm during the commission of those offenses. Those crimes carry a maximum sentence of 10 years imprisonment for each offense, and a fine up to $250,000.

This case is being investigated by the Multi-Agency Gang Unit, which is comprised of the Federal Bureau of Investigation; the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Memphis Police Department; and the Shelby County Sheriff’s Office. Other agencies contributing to the investigation include the Drug Enforcement Administration; Tennessee Bureau of Investigation (TBI); the 28th District West Tennessee Drug Task Force; the 25th Judicial District Attorney General’s Office; the Jackson Police Department Gang Enforcement Team; the police departments of Bartlett, Tennessee; Germantown, Tennessee; Columbia, Tennessee; and West Memphis, Arkansas; and the Sheriff’s Offices for Tipton, Desoto, Madison, and Fayette Counties.

This case is being prosecuted by Assistant U.S. Attorneys Jerry Kitchen, Samuel Stringfellow, Beth Boswell, and Michelle Parks. David N. Karpel, trial attorney for the U.S. Department of Justice, Criminal Division’s Organized Crime and Gang Section, is also assisting with this case’s prosecution.

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

Jackson, TN – Ten individuals have been indicted on federal drug charges for their alleged roles in a conspiracy to distribute large quantities of highly pure methamphetamine. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the indictment today.

According to the indictment, between February 2015 and early April 2016, the defendants conspired with each other to unlawfully distribute multiple grams of "ice," which is meth that boasts a purity greater than 80 percent. A yearlong investigation revealed that the drugs were allegedly being transported from Phoenix, Arizona to West Tennessee for distribution. More than $146,000 was seized during the investigation, along with 54 firearms, and more than five kilos of ice.

On Thursday, April 28, 2016, nine of the defendants were arrested and taken into federal custody — one remains a fugitive. The round-up was conducted by the Federal Bureau of Investigation (FBI); Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); 24th Judicial Drug Task Force; Tennessee Highway Patrol; Decatur County Sheriff’s Department; Lexington Police Department; Jackson Police Department; and the Henderson County Sheriff’s Department.

The defendants include:

   • Franklin Shane Rushing, 46, of Decaturville, Tennessee
   • Shannon Lee Baxin, 44, of Savannah, Tennessee
   • Guadalupe Lopez Hernandez, 39, of Phoenix, Arizona
   • Francisco Javier Suarez, 39, of Phoenix, Arizona (fugitive)
   • Reyna Rosario Reyes, 28, of Phoenix, Arizona
   • Terry Wayne Morton, 51, of Murfreesboro, Tennessee
   • Randle Hugh Bushart, 52, of Friendship, Tennessee
   • Amanda Jane Ivey, 44, of Lexington, Tennessee
   • Joe Thomas Daniel, 31, of Reagan, Tennessee
   • Freddie Joe Dailey, 56, of Parsons/Scotts Hill, Tennessee

Hernandez, Suarez, Reyes, Baxin, Rushing, Morton, Bushart, Ivey, and Dailey have been charged with one count of conspiracy to distribute 50 grams or more of meth; and one count of aiding and abetting each other to distribute, attempt to distribute, possess with the intent to distribute, and attempt to possess with the intent to distribute 50 grams or more of meth.

Hernandez, Suarez, and Reyes are also charged with an additional count of distributing, attempting to distribute, possessing with intent to distribute, and attempting to possess with intent to distribute 50 grams or more of meth.

Dailey is charged with three additional counts of possessing with the intent to distribute, and attempting to possess with intent to distribute 50 grams of meth.

Rushing is also charged with two counts of distributing, attempting to distribute, possessing with the intent to distribute, and attempting to possess with intent to distribute meth; and one count of possessing a firearm in furtherance of a drug trafficking crime.

Bushart is also charged with one count of possessing with the intent to deliver, and attempting to possess with intent to deliver 50 grams or more of meth.

Ivey is also charged with two counts of distributing, attempting to distribute, possessing with the intent to distribute, and attempting to possess with intent to distribute meth.

Morton is also charged with one count of possessing with intent to distribute and attempting to possess with intent to distribute meth; and two counts of felony possession of a firearm.

Daniel is being charged with three counts of possessing with the intent to distribute, and attempting to possess with intent to distribute meth; one count of possessing a firearm in furtherance of a drug trafficking crime; and one count of felony possession of a firearm.

The conspiracy, aiding and abetting, possession and distribution of 50 grams or more of meth charges hold individual penalties of no less than 10 years imprisonment and a fine of up to $10 million.

The distribution, possession with the intent to distribute, and attempt to possess and distribute meth holds a penalty of up to 20 years imprisonment and a fine of up to $1 million.

Possession of a firearm in furtherance of a drug trafficking crime holds a penalty of no less than five years imprisonment consecutive to any other term of imprisonment and a fine of up to $250,000.

Felony possession of a firearm holds a penalty of up to 10 years imprisonment and a fine of up to $250,000.

This case is being investigated the Federal Bureau of Investigation (FBI); Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); 24th Judicial Drug Task Force; Lexington Police Department; Henderson County Sheriff's Department; Decatur County Sheriff's Department; Dyersburg Police Department; and the Jackson Police Department. The agencies are being assisted by the sheriff’s departments for Rutherford County and Crockett County.

Assistant U.S. Attorney Beth Boswell is prosecuting this case on the government’s behalf.

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

Memphis, TN – A married couple has been sentenced to federal prison for crimes they committed in connection to the fatal shooting of an off-duty Memphis Police officer. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

According to information presented in court, Lorenzo Clark, 36, of Memphis, unlawfully possessed a Glock 9mm pistol on Sunday, October 11, 2015. The firearm was used by the defendant in the fatal shooting of 31-year-old Terence Olridge, an officer with the Memphis Police Department (MPD). Olridge was off duty at the time of the shooting.

Last October, MPD officers responded to a shooting call at Lorenzo Clark’s Cordova residence. Officers later recovered the Glock 9mm used in the shooting from the defendant. Lorenzo Clark admitted to possessing the Glock 9mm prior to and during the shooting with Olridge. Officers also recovered a shotgun, a high-powered rifle, more than 390 rounds of ammunition and a bulletproof vest during their search of the residence.

In January 2016, Lorenzo Clark pled guilty before U.S. District Judge Sheryl H. Lipman to one count of felony firearm possession.

On Friday, April 15, 2016, Judge Lipman sentenced Clark to 51 months in federal prison. The sentence was above his guideline range due to the additional firearms and ammunition law enforcement recovered from his home.

Lorenzo Clark’s wife, Natalie Clark, 37, of Memphis, was also charged in the October indictment for providing all three aforementioned firearms to Lorenzo Clark despite knowing he had been convicted of a felony.

In January 2015, Natalie Clark pled guilty before Judge Lipman to one count of disposing of a firearm to a felon.

On Friday, Judge Lipman sentenced her to one year and one day in federal prison.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), along with the MPD.

Assistant U.S. Attorney Marques Young prosecuted this case on the government’s behalf.

Memphis, TN – An Ohio man who unlawfully possessed a firearm at St. Jude Children’s Research Hospital has been sentenced to federal prison. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Aaron Cauley, 30, of Montgomery County, Ohio, threatened the mother of his child with a firearm inside of St. Jude.

In March 2015, Memphis police officers responded to an aggravated assault call at St. Jude. The defendant had allegedly threatened the life of his child’s mother while they were inside of a patient room.

Cauley and his child’s mother were engaged in a heated argument when he pointed a pistol and threatened to kill her. Afraid for her life, the victim alerted St. Jude security of the occurrence. Security subsequently notified Memphis police officers, who arrived on the scene and detained Cauley. Officers also located a knife in the defendant’s pants pocket while searching him.

Security discovered a green backpack hidden under some children’s clothing in the patient room where the alleged incident occurred. A Sig Sauer 9mm pistol and multiple rounds of ammunition were found in the backpack.

In December 2015, Cauley pleaded guilty before U.S. District Judge Samuel H. Mays Jr. to one count of felony possession of a firearm.

On Thursday, April 14, 2016, Judge Mays sentenced Cauley to 100 months in federal prison.

This case was investigated by the Memphis Police Department on behalf of the Project Safe Neighborhoods (PSN) Task Force. The PSN Task Force is a collective comprised of personnel from the Memphis Police Department; Shelby County Sheriff’s Office; and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The PSN Task Force works in a unified effort against gun crime, targeting repeat offenders who continually plague the greater Shelby County area.

Assistant U.S. Attorney Dean DeCandia prosecuted this case on the government’s behalf.

Memphis, TN – A woman has been sentenced to federal prison for defrauding a disabled couple of more than $500,000 in less than a year. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Martha Bizzell, 41, of Crump, Tennessee, served as the guardian for an elderly and disabled couple between November 2011 and July 2012.

In November 2011, James Robertson, then 81, of Peoria, Illinois, was severely beaten in a home invasion at his residence. He lived at the home with his wife, Helen, who suffered from dementia. Although James Robertson survived the attack, he was no longer able to live on his own and care for his wife.

At the time of the home invasion, the estate of the Robertsons was valued at approximately $1.5 million. The couple had more than 50 rental properties in Illinois; approximately $585,000 in Caterpillar Inc. stock; approximately $638,000 in other investment accounts; and approximately $83,000 in credit union accounts.

Shortly after the home invasion, Bizzell, a distant relative of James Robertson, was appointed as temporary guardian of the Robertsons’ estate by order of Peoria County Probate Court. She was made the couple’s plenary guardian in January 2012, and subsequently moved them to Crump, Tennessee.

Bizzell executed her scheme in several ways: Property was donated or deeded to others; stock investments were liquidated; funds were transferred from the Robertsons’ accounts to Bizzell’s personal account; and funds were transferred to two guardianship accounts Bizzell established for the Robertsons in her name.

In December 2011, the defendant had checks mailed from Bank of New York, Mellon — located in Jersey City, New Jersey — to a post office box she used in Savannah, Tennessee.

Bizzell used the Robertsons’ finances to purchase two automobiles and several properties in her name, one of which was rented to a tenant. Bizzell also purchased a commercial property in Savannah, Tennessee. The property was turned into a frozen yogurt shop called Happy Katz. The defendant’s teenage daughter ran the establishment.

In July 2015, Bizzell pleaded guilty before U.S. District Judge Samuel H. Mays Jr. to one count of executing a scheme to defraud and obtain money and property by means of false and fraudulent pretenses.

On Friday, April 8, 2016, Judge Mays sentenced Bizzell to 41 months in federal prison. She was also ordered to pay $587,207.57 in restitution.

The case was investigated by the U.S. Postal Inspection Service and the Federal Bureau of Investigation.

Assistant U.S. Attorney Debra Ireland prosecuted this case on the government’s behalf.

Memphis, TN – A former federal correctional officer and an inmate have both been sentenced for attempting to smuggle marijuana into a federal prison. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

According to the indictment, Keair Kemp, 33, of Horn Lake, Mississippi, was employed as a correctional officer at Federal Correctional Institution (FCI) Memphis. Travonte Johnson, 34, of Millington, Tennessee, was an inmate at FCI Memphis.

Between mid-2015 and August 2015, Kemp and Johnson developed a scheme to smuggle marijuana into FCI Memphis. In exchange for cash, Kemp agreed to unlawfully carry marijuana into the prison and deliver it to Johnson, thus violating his official duties as a correctional officer.

In December 2015, Kemp pleaded guilty before U.S. District Judge Sheryl H. Lipman to one count of accepting a bribe in return for smuggling marijuana into a federal prison.

In January 2016, Johnson pleaded guilty to one count of offering a bribe to a public official to smuggle marijuana into a federal correctional institution.

On Friday, April 8, 2016, Kemp was sentenced by Judge Lipman to 12 months and one day imprisonment.

On Monday, April 11, 2016, Johnson was sentenced by Judge Lipman to 30 months imprisonment.

This case was investigated by the Federal Bureau of Investigation, U.S. Department of Justice Office of Inspector General, and the Federal Bureau of Prisons.

Assistant U.S. Attorney Mark Erskine prosecuted this case on the government’s behalf.

Memphis, TN – After a three-day trial, a federal jury found a man guilty of trafficking a minor for sex. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty verdict today.

According to information presented in court, between May and June 2014, Harold Davis, 27, of Memphis, met a female teenage runaway. Davis obtained a cellphone and a wig for the teen and subsequently put her image on Backpage.com to advertise her for commercial sexual encounters.

The defendant’s activity was discovered when a Shelby County Sheriff’s Deputy stopped Davis’ vehicle for a traffic violation. He noticed the female minor in the backseat of the vehicle. The deputy also observed an unusually large amount of condoms and female hygiene products in the car.

The Federal Bureau of Investigation’s (FBI) Human Trafficking Task Force furthered the investigation into Davis, linking the Backpage ads to Davis through his phone number and email accounts.

On Tuesday, April 5, 2016, a federal jury convicted Davis on one count of sex trafficking a minor and one count of using the internet to conduct an unlawful activity.

Davis is scheduled to be sentenced by U.S. District Judge Samuel H. Mays Jr. on Thursday, July 14, 2016. He faces a mandatory minimum ten-year sentence and up to life in prison.

This case was investigated by the FBI and Shelby County Sheriff’s Department.

Assistant U.S. Attorneys Debra Ireland and Kasey Weiland are prosecuting this case on the government’s behalf.

Memphis, TN – The last two defendants of a drug ring responsible for transporting heroin from Texas to Memphis for mass distribution have pleaded guilty. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the pleas today.

According to information presented in court, in November 2013, members of the Memphis Police Department Organized Crime Unit began investigating members of a drug trafficking organization who were selling large quantities of heroin in the Memphis and Shelby County area.

Abel Gamez, Sr. and Abel Gamez, Jr. were identified as two of the organization’s heroin sources of supply in Texas. The defendants reportedly had people transport heroin from Texas to Memphis via Greyhound.

In January 2015, Organized Crime Unit personnel set up random searches at the Memphis bus station. A narcotics-detection K-9 alerted on Liza Torress, who, along with her son, Arthur Olague, was a passenger on the bus. A search of Torress revealed 350 grams of heroin.

In September 2015, a federal grand jury returned a two-count superseding indictment against the aforementioned defendants, along with multiple others.

According to the indictment, between November 2013 and April 2015, Reginald Brewer aka "Blue," Clarence Carter, Cedric Caruthers aka "Jomo," Tremayne Jackson aka "Bookie," LaCedric Ruffin aka "Ced," and Anthony Wilbourn aka "Dale" conspired to possess with the intent to distribute less than 100 grams of heroin.

The indictment further alleges that Gamez, Sr., Gamez, Jr., Olague, Torres, and Larry Woodley aka "Coffee" conspired to possess with the intent to distribute 100 grams or

more of heroin. During the same time period, Carter and Woodley conspired to possess with the intent to distribute 500 grams or more of cocaine.

In December 2015, Carter, Wilbourn, Ruffin, Torress, Woodley, Olague, Brewer, and Caruthers all pleaded guilty to their charges in the indictment. In early March 2016, Gamez Sr. pleaded guilty to his charges.

On Wednesday, March 23, 2016, Gamez Jr. pleaded guilty to his charges in the indictment.

On Thursday, March 24, 2016, Jackson pleaded guilty to his charges in the indictment.

This case is being investigated by the Memphis Drug Enforcement Administration and the Memphis Police Department Organized Crime Unit.

Special Assistant U.S. Attorney Sam Stringfellow, and Assistant U.S. Attorneys Jerry Kitchen and Michelle Kimbril-Parks are prosecuting this case on the government’s behalf.

Memphis, TN – The last two defendants of a drug ring responsible for transporting heroin from Texas to Memphis for mass distribution have pleaded guilty. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the pleas today.

According to information presented in court, in November 2013, members of the Memphis Police Department Organized Crime Unit began investigating members of a drug trafficking organization who were selling large quantities of heroin in the Memphis and Shelby County area.

Abel Gamez, Sr. and Abel Gamez, Jr. were identified as two of the organization’s heroin sources of supply in Texas. The defendants reportedly had people transport heroin from Texas to Memphis via Greyhound.

In January 2015, Organized Crime Unit personnel set up random searches at the Memphis bus station. A narcotics-detection K-9 alerted on Liza Torress, who, along with her son, Arthur Olague, was a passenger on the bus. A search of Torress revealed 350 grams of heroin.

In September 2015, a federal grand jury returned a two-count superseding indictment against the aforementioned defendants, along with multiple others.

According to the indictment, between November 2013 and April 2015, Reginald Brewer aka "Blue," Clarence Carter, Cedric Caruthers aka "Jomo," Tremayne Jackson aka "Bookie," LaCedric Ruffin aka "Ced," and Anthony Wilbourn aka "Dale" conspired to possess with the intent to distribute less than 100 grams of heroin.

The indictment further alleges that Gamez, Sr., Gamez, Jr., Olague, Torres, and Larry Woodley aka "Coffee" conspired to possess with the intent to distribute 100 grams or

more of heroin. During the same time period, Carter and Woodley conspired to possess with the intent to distribute 500 grams or more of cocaine.

In December 2015, Carter, Wilbourn, Ruffin, Torress, Woodley, Olague, Brewer, and Caruthers all pleaded guilty to their charges in the indictment. In early March 2016, Gamez Sr. pleaded guilty to his charges.

On Wednesday, March 23, 2016, Gamez Jr. pleaded guilty to his charges in the indictment.

On Thursday, March 24, 2016, Jackson pleaded guilty to his charges in the indictment.

This case is being investigated by the Memphis Drug Enforcement Administration and the Memphis Police Department Organized Crime Unit.

Special Assistant U.S. Attorney Sam Stringfellow, and Assistant U.S. Attorneys Jerry Kitchen and Michelle Kimbril-Parks are prosecuting this case on the government’s behalf.

Memphis, TN – The mastermind of a salvage yard scandal that defrauded a metal company of more than $750,000 has been sentenced. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Nick Wright, 44, of Halls, Tennessee, owned and operated Wright’s Auto Parts and Metals, a salvage yard business based in Gates, Tennessee.

In May 2011, Wright contracted with a metal company, Apex, to remove scrap metals from its Springdale, Arkansas facility. Each month, Wright mailed an invoice to Apex that described the type of metal, the total weight of each load, and the weight multiplied by the contract price per pound. Each invoice was accompanied by a check which represented Wright’s payment to Apex for the metal removed by Wright.

Between June 2013 and February 2014, Wright falsified the weights of scrap metal and sent invoices via mail with checks for the falsified amount. He reportedly defrauded Apex of more than $750,000.

In December 2015, Wright pled guilty before U.S. District Judge Samuel H. Mays to one count of mail fraud.

Wright was sentenced by Judge Mays to 36 months imprisonment on Thursday, March 24, 2016. The defendant also consented to forfeiture in the amount of more than $400,000.

This case was investigated by the Federal Bureau of Investigation (FBI); Tennessee Highway Patrol; and the 25th District Attorney General’s Office.

Special Assistant U.S. Attorney Samuel Stringfellow prosecuted this case on the government’s behalf.

Memphis, TN – A former State of Tennessee probation officer has pleaded guilty in a tax fraud scheme that defrauded the government of more than $50,000. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the plea today.

According to information presented in court, between January 2011 and April 2014, LaShear Poole, 41, of Memphis, operated Five Star Tax Professionals, a tax preparation business. Poole, a probation officer at the time, used the business’ Professional Tax Identification Number (PTIN) and Electronic Filing Identification Number (EFIN) to file federal income tax returns.

On at least 15 occasions for the tax years 2011–2013, the defendant prepared, and caused to be filed with the Internal Revenue Service (IRS), federal income tax returns containing false and fraudulent misrepresentations. The majority of these misrepresentations pertained to the filing of false IRS Schedule C forms, which claimed income from businesses that either did not exist or were not actively engaged in business during the tax year as claimed.

Poole filed the fraudulent tax returns by means of wire communication. As a result of the scheme, she obtained more than $50,000 in tax refunds.

On Tuesday, March 22, 2016, Poole pled guilty before U.S. District Judge Sheryl H. Lipman to one count of conspiracy to violate the False Claims Act.

Poole is scheduled to be sentenced on Friday, June 24, 2016 at 10:30 a.m.

She faces up to 10 years imprisonment and a fine of up to $250,000.

This case is being investigated by IRS-Criminal Investigation.

Assistant U.S. Attorney Christopher E. Cotten is prosecuting this case on the government’s behalf.

Memphis, TN – Two former FedEx employees and a New York co-conspirator who partook in a shipping theft scheme that defrauded FedEx and wireless carriers of more than $1.7 million have pleaded guilty. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the pleas today.

The three defendants are Akeem Gowdy, 23; and Tavaris Mickens, 23; both of Memphis, Tennessee; and Juan Royal, 24, of New York City, New York.

In October 2015, the three defendants, along with two other co-conspirators — Christopher T. Crawford, 31, of Memphis; and Jordan West, 27, of New York City — were indicted for engaging in a conspiracy to commit interstate shipping theft of wireless mobile devices from both Verizon and AT&T. The mobile devices were being shipped throughout the United States by FedEx.

Gowdy, Mickens and Crawford were employed with FedEx during the scheme’s duration. They used fraudulent FedEx corporate shipping labels to over-label boxes of wireless devices. These boxes were diverted to other known and unknown co-conspirators in New York City and other cities through interstate commerce. Each box of merchandise contained thousands of dollars worth of Verizon and/or AT&T wireless mobile devices.

As part of the fraud, Crawford and West sent $10,000 in U.S. currency via FedEx to one another. In mid-2013, Crawford also contacted a FedEx vendor call center in Tucson, Arizona to set up a fraudulent corporate shipping meter account via his wireless mobile telephone.

Each of the defendants knew the wireless devices were stolen when they engaged in acts to perpetrate the crime. Ultimately, the interstate shipping theft scheme defrauded FedEx and the wireless carriers of more than $1.7 million.

On Thursday, March 17, 2016, Royal, Gowdy and Mickens each pled guilty before U.S. District Judge John T. Fowlkes Jr. to one count of interstate shipping theft.

All three defendants are scheduled to be sentenced on Friday, July 8, 2016. Each defendant faces up to 10 years when sentenced. They also face individual fines of up to $250,000.

The case is being investigated by the United States Secret Service, Federal Bureau of Investigations, and Memphis Cargo Theft Task Force.

Assistant U.S. Attorney Damon K. Griffin is prosecuting this case on the government’s behalf.

Jackson, TN – A repeat offender has been collectively sentenced to 204 months in federal prison for two separate crimes. Markia D. Patton, 30, of Paris, Tennessee has been sentenced to 190 months for possession of an assault rifle while attempting to traffic marijuana. Patton received an additional sentence of 14 months for conspiring to distribute marijuana in the Obion County Jail while incarcerated on the aforementioned case. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentences today.

According to information presented in court, Patton unlawfully possessed with the intent to distribute more than three pounds of marijuana. He also illegally possessed a semi-automatic SKS assault rifle.

On September 24, 2012, the Henry County Metro Crime Unit responded to a 911 call involving an armed suspect behind some houses in the Wynn Street section of Paris, Tennessee. When officers arrived, they located the defendant behind the houses. Witnesses on the scene identified Patton as the armed suspect.

While searching the area, officers located a semi-automatic assault rifle wrapped in a coat lying in the weeds beside the back of one of the homes. Over 3.5 pounds of marijuana packaged for resale in four separate baggies were located close to the assault rifle. Law enforcement also searched Patton’s vehicle, finding a set of digital scales used to weigh narcotics and a box of sandwich bags, which are commonly used to package illegal narcotics for resale. The Tennessee Bureau of Investigation (TBI) Nashville Crime Laboratory found Patton’s fingerprints on the bags. The TBI Lab also confirmed Patton’s DNA was on items in a pocket of the jacket that concealed the assault rifle.

On Thursday, February 18, 2016, Patton was sentenced by Chief U.S. District Judge J. Daniel Breen to 130 months for felony possession of a firearm in furtherance of a drug trafficking crime and another 60 months for possession with intent to distribute less than 50 kilograms of marijuana.

Patton was sentenced to an additional 14 months on Friday, March 18, 2016 for conspiracy to distribute and possess with intent to distribute marijuana in the Obion County Jail. He pled guilty to the charge in February 2016.

According to court information, Patton, incarcerated on the aforementioned case at the time, conspired with his girlfriend, 25-year-old Shalyndrea Williams, and a then-correctional officer, 35-year-old Cara Bing, to smuggle and distribute marijuana inside of the jail. From February to June 2015, Patton had Williams bring marijuana into the jail. From there, Bing would retrieve the marijuana, smuggle it inside the jail, and distribute it to Patton.

TBI agents were informed that Patton was having marijuana brought into the jail. Surveillance was set up on the entrance to the women’s restroom in the lobby of the facility. In June 2015, agents discovered more than 30 grams of marijuana in the trash can of the restroom. Williams was allegedly directed by Patton to bring the drugs into the restroom.

Williams dropped off drugs and tobacco in the facility’s women’s restroom on at least six occasions for Patton. Bing was paid several hundred dollars to retrieve and deliver the smuggled drugs to Patton.

Both Williams and Bing have pleaded guilty to one count of conspiracy to distribute and possess with the intent to distribute marijuana.

Williams is scheduled to be sentenced on Thursday, April 14, 2016. Bing is scheduled to be sentenced on Tuesday, June 14, 2016. The defendants face individual sentences of up to five years and a fine of up to $250,000.

The first case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); TBI; Henry County Sheriff's Department; Henry County Metro Crime Unit; and the Paris Police Department.

The second case was investigated by TBI, Obion County Sheriff’s Department, and the 27th Judicial District Drug Task Force.

Assistant U.S. Attorney Beth C. Boswell prosecuted these cases on the government’s behalf.

Memphis, TN – A woman who defrauded the government of $80,000 by utilizing her deceased boyfriend’s retirement insurance benefits for personal expenses has pleaded guilty to theft of government money. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the plea today.

According to information presented in court, Marcia Daniels, 58, of Memphis, Tennessee, continued to receive her boyfriend’s retirement insurance benefits subsequent to his death.

James Henry Johnson died on June 2, 2011. Daniels was listed as the informant on Johnson’s death certificate. At the time of his death, Johnson was receiving approximately $1,800 in Title II Retirement Insurance Benefits (RIB) via monthly checks mailed to a P.O. Box in Memphis. The checks continued to be deposited into Johnson’s First South Credit Union account after his death.

Bank tellers identified Daniels as the one who deposited Johnson’s checks. Bank records reflect that between July 1, 2011 and March 3, 2015, approximately $80,000 of Social Security Administration (SSA) checks were deposited and cash withdrawals were made from ATMs in Memphis and at several casinos in Tunica, Mississippi. The checks were endorsed with an "X" for Johnson’s signature (his signature card on file with the bank reflected X as his signature), with Marcia Daniels signed beneath the X.

On Wednesday, March 16, 2016, Daniels pled guilty before U.S. District Judge Samuel H. Mays Jr. to one count of theft of government funds.

Daniels is scheduled to be sentenced on Thursday, June 16, 2016. She faces up to 10 years imprisonment.

This case is being investigated by SSA – Office of the Inspector General.

Assistant U.S. Attorney Stephen Hall is prosecuting this case on the government’s behalf.

Memphis, TN – A Memphis man has pleaded guilty to distributing multiple images and videos of child pornography. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the plea today.

According to information presented in court, Julius Ford, 26, of Memphis, sent images and videos of children engaged in sexual conduct to others.

On September 4, 2014, Homeland Security Investigations (HSI) agents in Memphis received an investigative lead about an individual in the Memphis area using a flagged email account to send and receive emails containing child exploitation material. The investigation revealed that the IP address and login activity associated with the email account was registered to Ford at a residence in the Frayser area of Memphis.

On September 22, a covert investigator with the Memphis Child Exploitation Task Force contacted the flagged email account, which resulted in a series of emails sent from the account to the covert investigator. The emails contained child exploitation material, including videos depicting prepubescent children engaged in sexual acts with other minors and adults.

Law enforcement executed a search warrant at Ford’s residence on February 2, 2015. Agents seized a hard drive, two laptops, an iPhone, and a thumb drive. Forensic analysis of these devices revealed approximately 1807 images and 277 videos of child pornography. Ford later admitted to being the user of the mail account and that he had used the account to trade child pornography. The defendant also admitted to sending emails from the account containing videos of child pornography to the covert investigator.

On Wednesday, March 16, 2016, Ford pled guilty before U.S. District Judge John T. Fowlkes Jr. to one count of distribution of child pornography.

Ford is scheduled to be sentenced on Thursday, July 7, 2016. He faces a minimum sentence of five years and a maximum of 20 years imprisonment.

This case is being investigated by the Memphis Child Exploitation Task Force. The collective is comprised of federal and local law enforcement agencies, including the Federal Bureau of Investigation; HSI; Shelby County Sheriff’s Department; Memphis Police Department; U.S. Postal Investigation Service; U.S. Marshals Service; and the U.S. Secret Service.

Assistant U.S. Attorney Kasey Weiland is prosecuting this case on the government’s behalf.

This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."