Northern District of Texas

AMARILLO, Texas — Michelle Renee Whitman, aka “Michelle Renee Weaver” and “Raven,” 46, of Amarillo, Texas, was sentenced today for printing counterfeit checks that were used at various stores and banks, announced John Parker, U.S. Attorney for the Northern District of Texas.

Whitman, was sentenced by U.S. District Judge Sidney A. Fitzwater to serve a total of 210 months in federal prison. Whitman pleaded guilty in June 2017 to two counts of uttering and possessing counterfeited securities of an organization. In addition, Judge Fitzwater ordered that Whitman pay $9,746.71 in restitution. She has been in custody since her arrest in April 2017.

According to plea documents filed, from September 24, 2014 through May 28, 2016, Whitman received account information for various entities and individuals that was obtained from vehicle burglaries or mail theft and used that information to create counterfeit checks using a check writing program. Whitman would also create false temporary identification cards for individuals cashing the counterfeit checks.

The Amarillo Police Department and United States Secret Service investigated the case. Assistant U.S. Attorney Anna Bell prosecuted.

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DALLAS — Francisco Javier Gonzalez, a/k/a “Javier Gonzalez,” 45, of Duncanville, Texas, appeared today before U.S. District Sam A. Lindsay and pleaded guilty to one count of mail fraud, announced U.S. Attorney John Parker of the Northern District of Texas.

Gonzalez faces a maximum statutory penalty of 20 years and a $250,000 fine. Restitution could also be ordered. He has been in custody since the time of his arrest in October 2016.

According to documents filed in the case, the DCCAC was a non-profit entity, accredited by HUD between October 1990 and mid- February 2016, to provide housing counseling. It was created in 1965 by the Dallas Commissioners Court to support the efforts of the Johnson administration to combat poverty. Gonzalez served as DCCAC’s Vice President and one of the directors. Gonzalez also leased space in the DCCAC offices for another entity, known as Residential Counseling FJ LLC.

According to the charging documents filed in the case, between 2009 through 2016 Gonzalez through his work at DCCAC, defrauded homeowners under the guise that he was assisting them with mortgage assistance. Gonzalez specifically sought out victims who were facing financial difficulty and who had contacted the DCCAC seeking mortgage loan and foreclosure prevention assistance. He also identified victims facing such financial distress by subscribing to the Foreclosure Listing Service, a/k/a Roddy List, which offers listings of foreclosure and pre-foreclosure homes, by county, through a review of public records. Once identified, Gonzalez would meet with these victims in the DCCAC offices and in the victims’ homes. He would explain a plan to reduce the victim’s mortgage payment and to prevent foreclosure; the plan often included a loan modification application. These applications often contained information that had been falsified by Gonzalez and were otherwise incomplete.

 

According to plea documents, on February 28, 2013, Gonzalez prepared and submitted a false and fraudulent Real Estate Settlement Procedures Act (RESPA) application to a bank in an effort to delay foreclosure and extract additional funds from victims. As a result of Gonzalez’s scheme to defraud homeowners, the Department of Housing and Urban Development and certain banks suffered a loss of $611,740.55.

HUD Office of Inspector General, FHFA Office of Inspector General, and the USPIS investigated the case. Assistant U.S. Attorney P.J. Meitl is in charge of the prosecution.

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LUBBOCK, Texas — Dewitt Donnell Bailey, 33, was sentenced on Friday, September 8, 2017, by Senior U.S. District Judge Sam R. Cummings to a 151 months in federal prison following his guilty plea in May 2017 to one count of possession with intent to distribute 28 grams or more of cocaine base, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Charlene Denise Davis, 47, Bailey’s half-sister, pleaded guilty in May 2017 to one count of possession with intent to distribute cocaine. Judge Cummings previously sentenced Davis to 41 months in federal prison. She is ordered to surrender to the Bureau of Prisons on October 6, 2017. Bailey has been in custody since the time of his arrest in March 2017.

 

According to documents filed in the case, on March 15, 2017—following an investigation that spanned several months—law enforcement executed three search warrants in Lubbock, Texas related to individuals involved in the distribution of cocaine and cocaine base. Bailey had access to, and control of, all three residences. Davis was a resident at one of the locations. Searches of the three residences revealed a total of approximately $10,000 in cash, approximately 160 grams of suspected cocaine base, and several digital scales.

 

The U.S. Immigrations and Customs (ICE) Homeland Security Investigations (HSI), Drug Enforcement Administration (DEA), and the Lubbock County Sheriff’s Office investigated the case.

 

Assistant U.S. Attorney Sean Long prosecuted.

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DALLAS — A federal grand jury in Dallas returned an indictment last week, charging Garland, Texas, residents, Tammy Boulyaphonh, aka “Tammy Doan” and “Tuyet Thi Doan” and Khamlor Boulyaphonh, with one count of conspiracy to defraud the United States and four counts of false statements on income tax returns, announced John Parker, U.S. Attorney for the Northern District of Texas.

Special Agents with Internal Revenue Service (IRS) Criminal Investigation (CI) and the Federal Bureau of Investigation arrested Tammy Boulyaphonh, 49, and Khamlor Boulyaphonh, 48, on those charges, and they made their initial appearance in federal court this week.

According to the indictment, which was unsealed today, the defendants owned, operated, and controlled a chiropractic business that purported to provide medical care principally to patients injured in motor vehicle accidents. The chiropractic business operated under various corporate names, including Garland Rehab Center, LLC, Chiro Care LLC, and K Spinal Rehab Center LLC (collectively, “K-Spinal”). The majority of K-Spinal’s income came from payments received from insurance companies and payments received from attorneys who had received insurance claim settlement payments on behalf of K-Spinal’s patients. In addition to the chiropractic business, Khamlor owned, operated, and controlled K and B Custom Builders (KB), a home remolding and painting business from approximately 2005 to 2009.

The indictment alleges, for tax years 2010 through 2013, the defendants did not provide all of the 1099s they received from insurance companies and did not provide records concerning payments received from attorneys in connection with their patients’ insurance claims settlements to their tax preparer. Tammy diverted significant amounts of payments made by attorneys to her personal bank account and failed to report them as income of K-Spinal.

The indictment further alleges, for each tax year, the defendants falsely inflated the amount of K-Spinal’s business expenses, claiming, for example, to have paid several thousands of dollars to KB each year for remodeling K-Spinal’s offices.

A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. The conspiracy count, upon conviction, carries a maximum statutory penalty of five years in federal prison and a $250,000 fine. Each of the false statement counts carry a maximum statutory penalty of three years in federal prison and a $100,000 fine. Restitution may also be ordered.

Internal Revenue Service Criminal Investigation and the FBI are investigating. Assistant U.S. Attorney Douglas Brasher is in charge of the prosecution.

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LUBBOCK, Texas — Juan Carlos Marin-Cardona, 47, a citizen and national of Colombia, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 30 months in federal prison, which he will serve consecutively to the 70-month prison sentence imposed in 1993, for escaping from federal custody. The announcement was made today by U.S Attorney John Parker of the Northern District of Texas.

Through a diligent investigation by the United States Marshals Service (USMS), deputies located Marin-Cardona living in a foreign county under the name Alexander Rey Marin Cardona. In March 2017, USMS deputies were ultimately able to apprehend Marin-Cardona in Houston, Texas, at the airport. He has been in custody since his arrest.

According to plea documents filed in the case, on January 22, 1993, the United States District Court for the Southern District of Florida sentenced Juan Carlos Marin-Cardona to 70 months imprisonment for the felony offenses of importation of cocaine and possession with intent to distribute cocaine. Marin-Cardona was later transferred to federal custody at the Eden Detention Center in Eden, Texas.

 

On November 3, 1994, an Eden maintenance officer went to retrieve Marin-Cardona from the front of the institution but Marin-Cardona wasn’t there. The Eden Detention Center initiated a lockdown and emergency headcount. It was confirmed that Marin-Cardona was not in the Eden Detention Center and had left federal custody without permission. Marin-Cardona was placed on escape status.

 

The United States Marshal Service and the U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated the case. Assistant U.S. Attorney Jeffrey Haag prosecuted.

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DALLAS — A federal grand jury returned an indictment last week, unsealed today, charging a former LegacyTexas Bank employee with embezzlement. U.S. Attorney John Parker of the Northern District of Texas made today’s announcement.

The two-count indictment charges Susann Nelson, 54, of Greenville, Texas, with one count of bank theft, embezzlement, or misapplication and one count of fraud and false statements in bank entries, reports, and transactions. Nelson surrendered to federal authorities and made her initial appearance in federal court yesterday.

According to the indictment, between 1999 and 2015, Nelson was an employee of LegacyTexas Bank in Richardson, Texas. Starting sometime in 2006 and continuing until 2015, Nelson managed the central vault, where she maintained control over the amount of cash in the LegacyTexas Bank’s vault on a daily basis, including ordering cash from the Federal Reserve Bank and other financial institutions and documenting the receipt of cash into the bank’s books and records.

 

The indictment alleges, starting in January 2010 and continuing until February 10, 2015, Nelson embezzled cash from cash deposits from the Federal Reserve Bank and made false entries in the books and records of the bank in order to conceal the embezzled cash. Nelson also engaged in a scheme in which successive cash purchases were misapplied to prior cash purchases in order to hide the embezzlement of money.

 

A federal indictment is an accusation by a grand jury and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, counts carry a maximum statutory penalty of 30 years in federal prison and a $250,000 fine. Restitution may also be ordered.

The Federal Deposit Insurance Corporation Office of Inspector General and Federal Bureau of Investigation are investigating the case. Deputy Criminal Chief Assistant U.S. Attorney J. Nicholas Bunch is in charge of the prosecution.

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FORT WORTH, Texas — James VanBlaricum, 78, of Colleyville, Texas, was sentenced today before Senior U.S. District Judge Terry R. Means to 84 months in federal prison and ordered to pay $32,222,291 in restitution for participating in a Ponzi oil and gas fraud scheme, announced U.S. Attorney John Parker of the Northern District of Texas.

 

VanBlaricum, who operated Signal Oil and Gas Company (SOG) and Texas Energy Management, which later became Texas Energy Mutual (TEM), pleaded guilty in February 2017 to one count of mail fraud. He has been in custody since his arrest in mid-August 2016.

According to plea documents, VanBlaricum formed SOG and TEM, ostensibly for the purpose of investing in mineral leases, and oil and gas production and earning a profit from those investments. VanBlaricum ran the fraud scheme from approximately January 2007 to August 2016, from office locations in Grapevine, Texas and Bedford, Texas, as well as from his residence and home office located in Colleyville, Texas, where many of the acts and transactions alleged in the indictment took place. VanBlaricum raised millions of dollars from investors by various means, including selling securities in the form of joint ventures in “programs” offered by SOG and TEM.

VanBlaricum employed sales agents who worked on his behalf to raise money, by selling limited partnership interests in these “programs” offered by SOG and TEM. Both personally and through investors, VanBlaricum deceived investors and potential investors by representing that investors would earn an “assured” rate of return on their initial investment, and they would receive a full refund of their initial investment amount after a defined period of time. He also represented that he intended to use a certain percentage of investors’ money to purchase mineral leases, and oil and gas well projects, when in fact, he intended to spend a substantially smaller percentage on the leases and oil and gas well projects and use a substantial part of investors’ money for purposes they did not authorize or even know about, including paying purported investment returns to other investors, commissions to sales agents, and paying his personal expenses as well as personal expenses for family members, friends, and business associates.

VanBlaricum also represented that he had purchased certain assets, or was in the process of purchasing them, when in fact, he had not purchased the assets and was not in the process of purchasing them. He also represented that the oil and gas well projects were productive and profitable, when in fact, most were “dry holes,” produced oil for a short period of time, or had not been drilled.

When VanBlaricum made promises about the use of investor funds, he failed to state that he had made the same promises to other investors and then used those investors’ funds for purposes they did not authorize or even know about, including paying purported investment returns to other investors, commissions to sales agents, and payment of personal expenses for VanBlaricum and his family, friends, and business associates.

VanBlaricum, according to plea documents, identified himself to investors using a false name. VanBlaricum deposited investors’ funds into, and withdrew and expended investors’ funds, from accounts he controlled in the names of entities he controlled. He caused funds to be transferred to, withdrawn from, and deposited into various accounts to create the appearance of business operations and revenue that he knew did not exist. He also caused “lulling” payments to be paid to investors, ostensibly as returns on investment, when he knew the funds came from other investors rather than from business operations.

VanBlaricum secretly, and without authorization, took and spent money entrusted to him by investors for advertising; vacations and international travel; rent payments; automobile purchases; and payroll and commissions for employees and sales agents.

The U.S. Postal Inspection Service with assistance from U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) investigated, and additional assistance was provided by the Securities and Exchange Commission. Assistant U.S. Attorney Douglas A. Allen prosecuted.

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FORT WORTH — Marquis Konrad Streaty, 32, of Arlington, Texas, was sentenced today before U.S. District Judge Reed C. O’Connor to 180 months in federal prison for the attempted enticement of an individual Streaty believed to be a 13-year-old female, announced U.S. Attorney John Parker of the Northern District of Texas.

Streaty was convicted in May 2017, following a three-day jury trial, on one count of enticement of a child. He has been into custody since the trial verdict.

“Anyone who attempts to entice a child to engage in sexual activity commits a serious crime and will face serious consequences,” said U.S. Attorney Parker. “That’s the law and this office will enforce it.”

The government presented evidence at trial that on March 2, 2017, through March 9, 2017, Streaty attempted to persuade, induce, and entice a person who had not attained the age of eighteen years, to engage in sexual activity.

On March 2, 2017, Streaty posted an advertisement to an Internet message board website in a section that is commonly used to solicit sexual activity. Part of the advertisement stated, “Just a VERY, VERY discreet early 30’s attractive black male here just looking for a family with a kinky side.” A law enforcement special agent working in an undercover capacity replied to the message asking if Streaty “had any hangups with age.” The agent also stated “Ive got a stepdaughter who likes to play and might be up for a new friend.” Streaty replied “No I don't have any hung ups on age” and “I am interested.” The agent proceeds to tell Streaty “And she is 13, so I get it if that’s too young for you.” Streaty replied, “I am interested in meeting her and you.”

The undercover agent and Streaty continued to email and eventually begin to communicate via text messages. In these communications they discussed meeting during the purported minor’s spring break from school, what kind of sexually explicit acts would take place and the purported minor’s sexual preferences. In a later communication Streaty and the purported stepfather agreed to meet at a hotel located along Interstate 30 in Fort Worth, Texas. Streaty also agreed to split the cost of the hotel room with the stepfather.

On March 9, 2017 Streaty traveled from his residence in Arlington, Texas, to the hotel in Fort Worth, Texas. Upon Streaty’s arrival at the hotel, Streaty was intercepted by law enforcement and placed under arrest.

U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), with assistance from the Tarrant County Criminal District’s Office, Digital Forensic and Technical Services Division, investigated the case. Assistant U.S. Attorneys Nancy Larson and Megan Fahey prosecuted.

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DALLAS — Six individuals have been charged by three separate federal criminal complaints, unsealed today, stemming from their role in selling large quantities of methamphetamine in the Dallas and Desoto areas, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Specifically, the complaints charge Marco Gonzalez, 31, Alma Zoraida Borrayo-Villasenor, 32, Tomas Rodriguez, 37, Jose Trinidad Medina Tapia, 31, and Javier Guizar-Hernandez, 28, with possession with intent to distribute a controlled substance. Jose Negrete, 42, is charged with knowingly possess with intent to distribute methamphetamine. The six defendants made their initial appearances in federal court today before U.S. Magistrate Judge Renee Harris Tolivar.

 

Borrayo-Villasenor, Rodriguez, Tapia, Guizar-Hernandez are all citizens of Mexico and were in the United States illegally when the offenses charged occurred.

 

According to the affidavits filed with the federal complaints, the defendants were involved in a large-scale methamphetamine trafficking organization that involved the recrystallization and distribution of large quantities of methamphetamine and the distribution of heroin, cocaine and marijuana.

 

A search warrant executed at a residence in Desoto revealed multiple kilograms of methamphetamine and a significant amount, at lease thirty gallons, of liquid methamphetamine. The residence in Desoto was used as a laboratory for the recrystallization of methamphetamine.

 

A search warrant executed at a residence in Dallas revealed two pounds of heroin, multiple kilograms of methamphetamine, multiple gallons of liquid methamphetamine and approximately $5,000 in cash. This residence was also used as a laboratory for the recrystallization of methamphetamine.

 

A federal complaint is a written statement of the essential facts of the offense charged, and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The U.S. Attorney’s office has 30 days to present the matter to a grand jury for indictment. The penalty for the offense charged in the criminal complaints is a maximum penalty of life in federal prison and a $10 million fine.

 

The Drug Enforcement Administration investigated the case with assistance from the Ellis County Sheriff's Office, Garland Police Department, Waxahachie Police Department, Dallas Police Department, Internal Revenue Service, and Texas Comptroller’s Office.

 

Assistant U.S. Attorney P.J. Meitl is prosecuting.

 

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FORT WORTH — Twenty-eight defendants in the North Texas area have been charged in a federal criminal complaint, partially unsealed today, with felony offenses stemming from their role in a methamphetamine, cocaine, and heroin conspiracy that operated in the Dallas/Fort Worth area, announced U.S. Attorney John Parker of the Northern District of Texas.

Twenty-five defendants were arrested yesterday in an operation led by the Federal Bureau of Investigation and made appearances in federal court today before U.S. Magistrate Judge Jeffrey L. Cureton. Three defendants are fugitives.

The complaint charges each of the following defendants with one count of conspiracy to possess with the intent to distribute a controlled substance:

   Efrain Rangel Arias, aka “Pollo,” 43

   Alcadio Caballero De La Torre, aka “Coochi,” 35

   Jennifer Louann Cherry, 40

   Jose Soto-Silva, aka “Feo,” 30

   Luis Soto-Silva, aka “Pecas” and “Tucan,” 29

   Fernando Obregon, aka “Pri,” 23

   Isidro Molina, aka “Chileno,” 23

   Encarnacion Hurtado-Cruz, aka “Pancho,” 55

   Alejandro Hernandez, aka “Alejandro Rodriguez,” 19

   Juan Martinez-Fiscal, 27

   Efrain Sifuentes, 25

   Adan Barrientos, 20

   Luis Varela, 21

   Edgar Graciano, aka “Firulais,” 24

   Israel Enriquez, 25

   Maelena Rodriguez, aka “China”

   Daniel Marentes, 26

   Gloria Jaimes, 53

   Miguel Robles, 35

   Eduardo Grimaldo, aka “Lalo,” 29

   Daton Degnide, 30

   Mounib Shalash, 38

   Gerson Ortiz-Barrera, 21

   Richard Moilna, 25

   Alexis Hernandez-Escobar, 36

A criminal complaint is a written statement of the essential facts of the offense charged and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The government has 30 days to present the matter to a grand jury for indictment. The maximum statutory penalty for the offenses as charged is 40 years in federal prison and a $5,000,000 fine.

The Federal Bureau of Investigation is conducting the investigation with assistance from DEA, ATF, U.S. Marshals Service, Arlington Police Department, Fort Worth Police Department, Dallas Police Department, Dallas County Sherriff’s Clean Air Task Force, Grand Prairie Police Department, Denton County Sherriff’s Office, Texas Department of Criminal Justice Office of Inspector General, the Texas Department of Public Safety, ICE ERO, and Tarrant County Combined Narcotics Enforcement Team.

Assistant U.S. Attorney Shawn Smith is in charge of the prosecution.

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DALLAS – An indictment returned by a federal grand jury in Dallas this week charges three former executives of the Federal Home Loan Bank of Dallas (“FHLB-Dallas”), Terence C. Smith, Nancy B. Parker, and Michael J. Sims, with various charges related to defrauding FHLB-Dallas by seeking reimbursement for personal travel and gifts, announced John Parker, U.S. Attorney for the Northern District of Texas.

The indictment charges Smith, 60, who was the President and Chief Executive Officer of the FHLB-Dallas from 2000 to September 2013; Parker, 64, who was the Chief Information Officer of the FHLB-Dallas from 1999 to November 2013; and Sims, 51, who was the Chief Financial Officer of the FHLB-Dallas from 2005 to May 2014, with one count of conspiring to make false statements to a Federal Home Loan Bank. Smith is also charged with eleven substantive counts of making false statements to the FHLB-Dallas related to travel, Parker is charged with six substantive counts of making false statements, and Sims is charged with three substantive counts of making false statements.

The indictment alleges that starting as early as January 2008 and continuing through November 2013, Smith, Parker, and Sims, submitted or caused to be submitted a series of fraudulent reimbursement requests for travel they identified as business-related but was in fact personal, which caused the bank to pay approximately $780,000. The defendants incurred these expenses in connection with first class airfare, limousine services, concerts, vineyard tours, luxury hotel rooms, lavish meals, and expensive liquor and wine during more than 30 trips they took to Las Vegas, Nevada, Amelia Island, Florida, Coronado, California, San Diego, California, and others locations. In each instance, the defendants falsely stated that purpose of their travel was attending various conferences, planning meetings, strategy meetings, and ops meetings, when in fact they did not attend any conference, or conduct any legitimate planning, strategy, or ops meetings. Despite taking numerous trips that served no legitimate business purpose, the indictment alleges that the defendants further defrauded FHLB-D by requesting payment of more than $450,000 for unused vacation time.

The indictment also charges Parker separately with conspiring to embezzle from FHLB-Dallas in connection with a scheme she executed to have the bank pay for Christmas gifts for Smith. Parker is also charged with three substantive counts of embezzlement related to the Christmas gifts.

The indictment alleges from at least December 2005 and continuing through December 2012, Parker conspired with a former contractor who later became an employee of FHLB-Dallas to submit an inflated contractor invoice, fictitious check requests, and a fictitious purchase order to the bank to acquire Christmas gifts for Smith using the bank’s funds. Parker’s actions caused FHLB-Dallas to pay more than $17,000 for the gifts, which included a wine sommelier computer and video/photography equipment.

FHLB-Dallas is a government sponsored enterprise and part of the Federal Home Loan Bank System. The Federal Home Loan Bank System was created to support mortgage lending and related community investment. The System is currently composed of 11 regional Federal Home Loan Banks and more than 7,300 member financial institutions. FHLB-Dallas is a cooperative association that consists of financial institutions from the five-state district of Arkansas, Louisiana, Mississippi, New Mexico, and Texas that have purchased stock in FHLB-Dallas. Member institutions have access to funding for housing finance, community lending, and asset-liability management. FHLB-Dallas helped its member institutions provide credit and financial services to families, farms, and businesses across its district.

An indictment is merely an allegation and defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. However, if convicted, each count of making a false statement carries a maximum statutory penalty of 30 years in federal prison and a $1 million fine. Each count of conspiracy to make a false statement carries a maximum statutory penalty of five years in federal prison and a $250,000 fine. Restitution may also be ordered. The indictment also includes a forfeiture allegation that would require the defendants, upon conviction, to forfeit any property that constitutes or was derived from proceeds traceable to the offense.

The Federal Housing Finance Agency Office of Inspector General led the investigation. Assistant U.S. Attorneys Douglas Brasher and Errin Martin are in charge of the prosecution.

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LUBBOCK — Two defendants were sentenced today by U.S. District Judge Sam R. Cummings for their role in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.

Saul Blanco-Gallegos, 37, of Grand Prairie, and Juan Rodriguez Galindo, aka “Johnny,” 43, of Amarillo, both pleaded guilty to their roles in the conspiracy and were sentenced to 108 months and 130 months in federal prison, respectively.

Last week, Judge Cummings sentenced the following defendants, who all pleaded guilty in April 2017 to their roles in the conspiracy, to the following:

Isaias Perez-Benito, 32, of Amarillo, 210 months

Corina Villalpando, 51, of Plainview, 188 months

Dusty Lee Stowers, 30, of Friona, 108

Mona Lesa Thomas, aka “Lisa,” 52, of Lubbock, 46 months

 

According to plea documents filed in the case, agents with the Drug Enforcement Administration and Texas Department of Public Safety conducted an investigation into a methamphetamine distribution conspiracy involving suspects in Amarillo, Plainview, Lubbock, and several other cities in the Texas Panhandle.

 

Through the use of various investigative techniques – including multiple undercover purchases and residential search warrants – agents were ultimately able to seize a total of approximately 10 pounds of methamphetamine, nine firearms, and nearly $20,000 in cash.

 

The Drug Enforcement Administration, Texas Department of Public Safety, Friona Police Department, and Plainview Police Department investigated the case.

Assistant U.S. Attorney Sean Long prosecuted.

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DALLAS — A Nigerian citizen in the U.S. on a student visa was sentenced today before U.S. District Judge Ed Kinkeade to 46 months in federal prison and ordered to pay $615,555.12 in restitution for his role in what has become known as a “Business Email Compromise” (BEC) scheme, announced U.S. Attorney John Parker of the Northern District of Texas.

Amechi Colvis Amuegbunam, 30, of Lagos, Nigeria, pleaded guilty in March 2017 to one count of conspiracy to commit wire fraud. He has been in custody since the time of his arrest in August 2015.

According to plea documents in the case, from November 2013 through August 2015, Amuegbunam and other individuals, sent fraudulent emails to companies in the Northern District of Texas and elsewhere, containing misrepresentations that caused the companies to wire transfer funds as instructed on a pdf document that was attached to the email.

The investigation of this particular scheme began when two companies in the Dallas/Fort Worth area reported to the FBI Dallas office that they had received targeted spear phishing emails. These emails appeared to be a forwarded message, allegedly from a top executive at the company, sent to an employee in the company’s accounting department who had authority to make financial transfers for the company. Although the emails appeared to be coming from a company executive, the messages were actually coming from a false email account fraudulently created to look like a legitimate company email account. A fraudulent domain name was used that contained one small difference from the true company’s email address – such as transposed letters. After complying with the spear-phishing email instructions to transfer funds, the companies became victims of the BEC scheme. The investigation traced the creation of some of the pdfs to Amuegbunam.

According to the factual resume, the scheme involved at least ten victims totaling a loss of approximately $3,700,000.

The FBI investigated and Assistant U.S. Attorney C.S. Heath prosecuted. In May 2017, the FBI issued a Public Service Announcement about the BEC scheme. https://www.ic3.gov/media/2017/170504.aspx

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DALLAS — Gerson Gonzalez Tovar, 25, who was living in Mesquite, Texas, was sentenced this afternoon before U.S. District Judge Ed Kinkeade after pleading guilty in March 2017 to one count of production of child pornography, announced John Parker, United States Attorney for the Northern District of Texas.

Judge Kinkeade sentenced Tovar to 204 months in federal prison, to be followed by 10 years of supervised release. He has been in custody since his arrest in May 2016.

According to documents filed in the case and facts presented at the sentencing hearing, in 2014 Tovar contacted a 15-year-old girl using Facebook. Tovar knew that the girl was 15 years old. During the victim girl’s summer break in 2014, Tovar drove to her house, convinced her to get into the car he was driving, and engaged in sexually explicit conduct with her. Tovar met with the girl again on April 9, 2015. On this date, Tovar picked up the victim from her school and again engaged in sexually explicit conduct. Tovar, using his phone, filmed the girl engaging in sexually explicit conduct with him and directed the girl to send him child pornography of herself. He messaged the girl asking her how many times she would let him have sex with her when he went to her school.

In addition to the 15-year-old victim, Tovar met with a 13-year-old girl on more than one occasion and attempted to engage in sexually explicit conduct with the 13-year-old.

The matter was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

The Federal Bureau of Investigation and the Dallas Police Department investigated. Assistant U.S. Attorney Jamie L. Hoxie was in charge of the prosecution.

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AMARILLO — Following a four-day jury trial before U.S. District Judge Sidney A. Fitzwater, a federal jury has convicted Moises Jimenez, 39, on felony drug and firearm offenses, announced U.S. Attorney John Parker of the Northern District of Texas.

Jimenez was convicted yesterday on one count of distribution and possession with intent to distribute cocaine, one count of distribution and possession with intent to distribute 500 grams or more of methamphetamine, and one count of possession of a firearm in furtherance of a drug trafficking crime. Jimenez faces a mandatory sentence of life in federal prison. Sentencing is scheduled for December 4, 2017.

The government presented evidence at trial that on January 20, 2015, the Amarillo Police Department executed a search warrant at Moises Jimenez’s apartment. A search of the apartment yielded one kilogram of methamphetamine, almost 300 grams of cocaine, a Lorcin, .25 caliber pistol, approximately $22,000 in cash, and drug trafficking paraphernalia. During post-arrest interviews with a detective of the Amarillo Police Department, Jimenez admitted to possessing the controlled substances and firearm. He also admitted that he had delivered 50 pounds of methamphetamine less than a week before officers executed the search warrant. A search of Jimenez’s cell phones yielded text messages consistent with drug trafficking. Further, recorded telephone calls made by Jimenez while he was in jail corroborated his involvement in drug trafficking.

 

The Amarillo Police Department investigated the case with the assistance of the Drug Enforcement Administration. Assistant U.S. Attorneys Russell Lorfing and Sean Long prosecuted the case.

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FORT WORTH, Texas — Matthew Anthony Keller, 25, of Watauga, Texas, was sentenced this morning before Senior U.S. District Judge Terry R. Means to 240 months in federal prison on a federal child pornography charge, announced U.S. Attorney John Parker of the Northern District of Texas.

Keller, who, according to police reports, taught at Southwest High School in Fort Worth, Texas, pleaded guilty to one count of production of child pornography in October 2016. He has been in custody since the time of his arrest in July 2016.

“I’m always deeply disturbed by those who produce child pornography, said U.S. Attorney Parker, but it’s particularly appalling when the child is victimized by a teacher, someone in a trusted position.”

 

According to documents filed in the case, on August 6, 2014, Keller persuaded a minor victim to produce and send a nude, sexually explicit video to him. Keller met the minor victim, who first advised him he was 18-years-old and then later admitted he was 13-years-old, on a website. Two years later, the parents of the then 15-year-old male (MV1) notified a police department in Macomb County, Michigan, that they had discovered a relationship between their son and Keller. The parent advised that Keller was a 24-year-old high school teacher who exchanged nude photos and videos with MV1 for approximately 18 months.

The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Tarrant County District Attorney’s Office, the Macomb County Sheriff’s Office, and the Eastpointe, Michigan Police Department investigated. Assistant U.S. Attorney A. Saleem prosecuted.

# # #

DALLAS — A 42-year-old illegal alien from Honduras, Elmer Franky Ortiz, who was living in Carrollton, Texas, pleaded guilty in April 2017 to one count of receipt of a visual depiction of a minor engaged in sexually explicit conduct. He was sentenced yesterday by U.S. District Judge Sam A. Lindsay to 204 months in federal prison, announced U.S. Attorney John Parker of the Northern District of Texas.

According to documents filed in the case, the Garland Police Department was alerted that Ortiz had received a video of a minor female between the ages of four and six years old engaging in sexually explicit conduct. An investigation conducted by Garland Police, Carrollton Police, and U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) found that Ortiz possessed 141 videos of child pornography on his home computer and that he had shared some of these videos on the internet with others.

 

The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

The ICE HSI, Garland Police Department, and Carrollton Police Department investigated. Assistant U.S. Attorney Shane Read prosecuted.

 

# # #

FORT WORTH, Texas — Scott Edward Grigsby, aka “Skinny Pup,” 44, of White Settlement, Texas, was sentenced last week by U.S. District Judge John McBryde to 240 months in federal prison for his role in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.

Grigsby pleaded guilty in May 2017 to one count of conspiracy to possess with intent to distribute a controlled substance. Grigsby has been in custody since his arrest in April 2017.

According to documents filed in the case, in 2015 and 2016, Grigsby, a member of the street/prison gang Aryan Circle, received methamphetamine on multiple occasions from various sources of supply in the Fort Worth area. Grigsby then distributed the methamphetamine to others, including officers working in an undercover capacity.

 

The Bureau of Alcohol, Tobacco, Firearms and Explosives and Department of Public Safety investigated. Assistant U.S. Attorney Shawn Smith prosecuted.

# # #

DALLAS — Andria Victoria Booker, a/k/a Andria Victoria Crosby, 37, most recently from Charlottesville, North Carolina, was sentenced this morning before U.S. District Judge Sidney A. Fitzwater to serve 12 months in federal prison for making false statements to obtain federal employees’ compensation, announced U.S. Attorney John Parker of the Northern District of Texas.

Booker pleaded guilty in January 2017 to one count of false statement or fraud to obtain federal employees ‘compensation and agreed to pay $41,395 in restitution to the U.S. Department of Labor Office of Workers’ Compensation Programs (OWCP). Judge Fitzwater ordered Booker to report to the Bureau of Prisons on October 3, 2017.

 

“Federal benefits programs are enacted in order to protect government employees should they suffer legitimate work injuries. Unfortunately there are those who choose to take advantage of the system and file fraudulent claims,” said Special Agent in Charge Maximo Eamiguel, of the U.S. Postal Service Office of Inspector General Southern Area Field Office. “The sentence imposed today should be a testament to the USPS-OIG’s determination in investigating these cases and bringing these criminals to justice. Fraud against the Office of Workers’ Compensation Programs and the United States Postal Service will not be tolerated and we will use all resources necessary to complete these investigations.”

 

According to documents filed in her case, in March 2012, Booker claimed she was injured by a dog bite on her finger through a residential mail slot while she was working for the U.S. Postal Service. OWCP accepted her injury claim and began paying her disability benefits.

As part of the OWCP benefits program, a claimant must annually truthfully complete Form EN-1032 that requires a claimant to report employment, self-employment activities, volunteer activities, or any activities that may affect the claimant’s eligibility for payments. Form EN-1032 encompasses all activities for the 15-month period preceding the date of the claimant’s signature.

According to plea documents filed in her case, Booker admits that she did not immediately report to OWCP her employment or employment activity, and she concealed the fact that she was working when she signed and dated Form EN-1032 in September 2014. Booker admits that she worked as a personal trainer at I.T. Fitness in Grand Prairie, Texas, and elsewhere, including forming her own personal training business while she was receiving disability compensation benefits from the OWCP and had stated she did not work. Booker further admitted that she did not report any of her volunteer activities to the OWCP, as she was required to do, when she regularly volunteered for her son’s football program as team representative.

The case was investigated by the U.S. Postal Service Office of Inspector General. Special Assistant U.S. Attorney Jennifer Bray prosecuted.

# # #

DALLAS – Myrna S. Parcon, a/k/a “Merna Parcon,” 62, of Dallas and Ransome N. Etindi, 57, of Waxahachie, Texas, were sentenced yesterday by U.S. District Judge Jane Boyle for their role in a nearly $60 million Medicare fraud scheme, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Parcon and Etindi each pleaded guilty to conspiracy to commit health care fraud. Judge Boyle sentenced Parcon to 120 months in prison and ordered her to pay $51,497,930.87 in restitution. Judge Boyle sentenced Etindi to 30 months in prison and ordered him to pay $18,309.171.21 in restitution. They are scheduled to surrender to the Bureau of Prisons on September 20, 2017.

Co-defendant Noble U. Ezukanma, 57, of Fort Worth, Texas, was convicted, following a five-day trial, in March 2017 of one count of conspiracy to commit health care fraud and six counts of health care fraud and is awaiting sentencing. Co-defendants Oliva A. Padilla, 57, of Garland, Texas and Ben P. Gaines, 55, of Plano, Texas, have pleaded guilty to their role in the scheme and are awaiting sentencing. Lita S. Dejesus, 70, of Allen, Texas, also pleaded guilty and was sentenced to 24 months in federal prison and ordered to pay $4,193,655.78 in restitution.

 

According to their pleas, Ezukanma, Parcon, and Dejesus owned/operated US Physician Home Visits (USPHV), a/k/a “Healthcare Liaison Professionals, Inc.” located on Viceroy Drive in Dallas. Parcon was the owner/manager and Ezukanma was a licensed medical doctor who had an ownership interest in USPHV. Both Ezukanma and Etindi provided their Medicare number to the company to use to submit Medicare claims. Dejesus served in various roles at USPHV, including overseeing Medicare billing.

 

Gaines formed A Good Homehealth (A Good), a/k/a “Be Good Healthcare, Inc.,” which was located in the same office as USPHV. Parcon, who owned and operated A Good, purchased the company through a “straw” buyer; both Gaines and Parcon concealed Parcon’s ownership. Parcon and Padilla formed Essence Home Health (Essence), a/k/a “Primary Angel, Inc.,” located on Midway Road in Addison, Texas. While the three companies appeared to be set up as three separate entities, the companies worked as one; the same employees often worked for all three companies and were often paid by all three companies.

 

According to the factual resumes for each defendant, from January 1, 2009 to approximately June 9, 2013, Ezukanma and Etindi certified 94% of the Medicare beneficiaries receiving home health services from A Good, and 65% of the Medicare beneficiaries receiving home health services from Essence. Had Medicare known of the true ownership and improper relationship between the three companies, Medicare would not have allowed these companies to enroll in the program and bill for services.

 

USPHV submitted billing under both Dr. Ezukanma’s and Dr. Etindi’s Medicare provider number, regardless of who actually performed the service. They billed at an alarming rate, generally billing for only the most comprehensive physician exam, and always adding a prolonged service code. USPHV submitted claims to Medicare for physician visits of 90 minutes or more, when most visits took only 15 to 20 minutes. Most all of USPHV patients came from home health companies soliciting certifications and recertifications for home health. More than 97% of USPHV Medicare patients received home health care, whether they needed it or not. The false certifications caused Medicare to pay more than $40 million for fraudulent home health services.

 

The case was investigated by the U.S. Department of Health and Human Services – Office of Inspector General, the FBI, the and the Texas Attorney General’s Medicaid Fraud Control Unit and were brought as part of the Medicare Fraud Strike.

 

Assistant U.S. Attorney Katherine Pfeifle prosecuted.

 

# # #

DALLAS — Latonya Lanette Carson, 43, of Dallas, Texas and Smith Olsola Akin, 34, of Plano, Texas were sentenced this afternoon for their role in a scheme to steal personal identifying information, use it to fraudulently obtain income tax refunds, and then launder those funds, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Following a four-day trial in October 2016 before Chief U.S. District Judge Barbara M. G. Lynn, a federal jury convicted Carson of one count of conspiracy to commit theft of public funds, access device fraud and wire fraud; three counts of aggravated identity theft; one count of conspiracy to commit money laundering; four counts of money laundering; and four counts of wire fraud. Judge Lynn sentenced Carson to 120 months in federal prison.

 

Akin pleaded guilty to one count of conspiracy to commit money laundering in May 2016. Judge Lynn sentenced Akin to 135 months in federal prison.

 

Three additional defendants were charged in the scheme. Segun Edomwonyi, a/k/a “Benny O. Prince,” and Titalayo Idowu Olukoya remain fugitives. Charges were dismissed against Ricardo Garth Solomon.

According to evidence presented at Carson’s trial, beginning in 2013, Carson and Akin, along with other coconspirators, were involved in a scheme in which they filed false tax returns using stolen identities, some of which belonged to incarcerated individuals. The coconspirators converted the tax refunds from debit/Green Dot cards, using shell company bank accounts, into cash and cashier’s checks used to purchase vehicles that they then shipped to Nigeria.

Between May 2013 and May 2014, the defendants and their conspirators paid $1,184,950 from these accounts to purchase used cars from wholesale dealer auctions in Dallas County, and between January 2012 and January 2015, the defendants and their conspirators exported approximately 279 used cars to Nigeria.

 

The FBI, IRS Criminal Investigation, and U.S Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated. The case was prosecuted by Assistant U.S. Attorneys Christopher Stokes and Camille Sparks.

 

# # #

DALLAS — Following a three-day trial before U.S. District Judge David C. Godbey, a federal jury has convicted Hugh Michael Glenn, 47, of Dallas, Texas, of two child pornography offenses. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.

Specifically, this morning, the jury convicted Glenn of one count of transporting and shipping child pornography and one count of accessing with intent to view child pornography. Glenn faces a maximum statutory penalty of 20 years in federal prison for the access count, 40 years in federal prison for the transportation count, and a $250,000 fine. Glenn will remain in custody pending sentencing, which is set for November 20, 2017.

The government presented evidence at trial that on August 1, 2016, Glenn transported child pornography by uploading an image of child pornography using Chatstep. Law enforcement obtained Glenn’s laptop computer, which contained the transported image and over 2,000 other images of child pornography. Glenn confessed to law enforcement that he had gone to chatrooms and viewed child pornography on the Internet.

 

In 2003, Glenn was convicted in the United States District Court for the Eastern District of Texas for transporting child pornography. In that case, he was sentenced to ninety-seven months of imprisonment.

 

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

 

The Federal Bureau of Investigation and the Dallas Police Department investigated this case. Assistant U.S. Attorneys Camille Sparks and Jamie L. Hoxie are in charge of the prosecution.

 

# # #

DALLAS — Joshua William Jackson, 29, was sentenced today by U.S. District Judge Sam A. Lindsay to 156 months in federal prison for promoting prostitution, cyberstalking and firearms offenses, announced U.S. Attorney John Parker of the Northern District of Texas.

Jackson pleaded guilty in January 2017 to one count of use of a facility of interstate commerce in aid of a racketeering enterprise, one count of illegal receipt of a firearm by a person under indictment and one count of cyberstalking. Jackson has been in custody since his arrest in April 2016.

According to plea documents filed in the case, in November 2013 Jackson began promoting V.N., an eighteen-year-old female, in prostitution. Jackson would post commercial sex advertisements on sex-based websites such as Backpage.com, and Jackson would communicate with commercial sex customers. Jackson benefitted financially from V.N.’s commercial sex activities. V.N. continued to engage in commercial sex acts at the direction of Jackson until November of 2015, when she terminated their relationship.

 

In January of 2016, V.N. moved into her parents’ home. Shortly after she moved in with her family, Jackson began posting commercial sex advertisements on Backpage.com for V.N. He posted such ads between January 22, 2016 and March 27, 2016, without her knowledge or permission. These advertisements contained photos of V.N. as well as V.N.’s parents’ address and Jackson’s cell phone number. Jackson, posing as V.N., communicated with commercial sex customers, and told them to go to her parents’ house where she would engage in commercial sex acts with them. Multiple men went to V.N.’s parents’ house with the intent to have sex with V.N.

 

The Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the North Texas Trafficking Taskforce investigated. Assistant U.S. Attorney Cara Pierce prosecuted the case.

 

# # #

AMARILLO, Texas — Thomas Roy Clark, 52, of Bushland, Texas, pleaded guilty today to one count of health care fraud stemming from a scheme to defraud insurance companies through the submission of improper billing. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.

Clark, who remains on bond, faces a maximum statutory penalty of 10 years in federal prison, a $250,000 fine, and may be ordered to pay restitution. Sentencing is scheduled for November 29, 2017, before U.S. District Judge Sidney A. Fitzwater.

According to documents filed in the case, from July 1, 2012 through July 31, 2015, Clark operated Panhandle Chiropractic Clinic (PCC) in Amarillo, Texas, without a license issued by the Texas Board of Chiropractic Examiners. Clark devised a scheme to defraud a health-care benefit program, to obtain money by billing for services properly billable only by a licensed chiropractor, services not rendered and for services rendered in lesser quantities billed.

 

Clark also billed insurance companies for services under the name of a licensed chiropractor for services allegedly rendered by Clark. Clark would omit his name on PCC’s itemized billing statements, which prevented insurance companies from knowing they were being billed for services provided by a chiropractor without a license. Clark also listed the specific type of procedure or service PCC provided by specifying a Current Procedural Terminology (CPT) code. By using CPT codes, this misrepresented to insurance companies that the procedures being billed were performed by a licensed health care provider in good standing with their state board.

 

As a result of the scheme Clark fraudulently induced health care providers to issue monetary payments to PCC, resulting in billing and payment for approximately $524,547.89 from 12 insurance companies.

 

The Federal Bureau of Investigation investigated. Assistant U.S. Attorney Joshua Frausto is prosecuting.

# # #

FORT WORTH, Texas —Elias Omar Santamaria, 39, of Tulsa, Oklahoma, was sentenced yesterday by U.S. District Judge Reed C. O’Connor to serve a total of 120 months in federal prison and will be deported following his release from prison, announced U.S. Attorney John Parker of the Northern District of Texas.

Santamaria pleaded guilty in April 2017 to one count of enticement of a minor and has been in custody since his arrest in February 2017.

According to the factual resume filed in the case, on March 11, 2016, Santamaria sent a message to a Fort Worth Police Officer acting in an undercover capacity and posing as a 13-year-old girl stating “add me sweetie. I love young girls.” Santamaria continued to have conversations with the officer and on March 17, 2016 Santamaria stated, among other things, that he wanted to engage in sexual intercourse with whom he believed to be a 13-year-old girl. They agreed to meet that same day in Fort Worth, Texas, to engage in sexual intercourse. When Santamaria arrived at the agreed location the Fort Worth Police Department took him into custody. During a search of his vehicle, officers found condoms, a bottle of tequila, and a pair of Nike Air Jordan tennis shoes, which Santamaria had promised to bring.

 

These cases were brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

 

The Federal Bureau of Investigation and Fort worth Police Department conducted the investigation. Assistant U.S. Attorney Megan Fahey prosecuted the case.

 

# # #

FORT WORTH, Texas — A Stephenville, Texas, resident, Kristopher Ray Facio, 26, was sentenced this morning by U.S. District Judge Reed C. O’Connor to 480 months in federal prison, following his guilty plea in April 2017 to an information charging one count of attempted coercion and enticement, announced U.S. Attorney John Parker of the Northern District of Texas.

Facio has been in federal custody since his arrest in February 2017.

“Those who think it’s okay to fish the internet for children to victimize with their despicable sexual behavior should be given a very long time to re-think that practice,” said U.S. Attorney Parker. “These heinous crimes are deserving of significant sentences.”

 

According to documents filed in the case, from November 27, 2016 until December 4, 2016, Facio used the social media application, Instagram, on his cell phone to identify and communicate with a minor female who lived in Arkansas. During their chats, the minor told Facio she was under the age of eighteen. Facio continued to engage in sexually explicit communications. During their communications, Facio asked for sexually explicit images of the minor.

 

The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

 

The Federal Bureau of Investigation and Erath County Sheriff’s Office investigated the case. Assistant U.S. Attorney A. Saleem was in charge of the prosecution.

 

# # #

FORT WORTH — David Piper, Jr., 52, of Fort Worth, Texas, was sentenced today by U.S. District Judge Reed C. O’Connor to 235 months in federal prison for his role in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.

Piper and co-conspirator Carlos Cortinas, 39, were convicted following a two-day jury trial in March 2017. Both defendants were convicted on one count of conspiracy to possess with intent to distribute methamphetamine. Cortinas is scheduled to be sentenced on September 5, 2017.

Co-conspirator Chadwick Hernandez, 32, pleaded guilty in February 2017 to the same offense and was sentenced to 60 months in federal prison.

The government presented evidence at trial that beginning in March 2015 until January 20, 2016 Piper and Cortinas possessed with the intent to distribute 500 grams or more of methamphetamine. Evidence elicited at trial showed that methamphetamine distributors from Arlington, including Cortinas, transported multiple pounds of methamphetamine to Piper for re-distribution of methamphetamine in Bolivar, Missouri.

DEA Fort Worth investigated with the assistance of DEA’s Springfield and Tulsa offices, Arlington Police Department, Fort Worth Police Department, North Richland Hills Police Department, Oklahoma DPS, and Polk County, Missouri Sheriff’s Office. Assistant U.S. Attorneys Aisha Saleem and Shawn Smith prosecuted.

# # #

ABILENE, Texas — Following a joint law enforcement operation involving the Federal Bureau of Investigation, the Taylor County Sheriff’s Office, the U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives, the United States Marshals Service, and the Anson, Texas Police Department, six individuals are now in custody on federal drug distribution charges and more arrests are anticipated, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Five federal indictments, unsealed last week, charge a total of five individuals with distribution and possession with intent to distribute methamphetamine. The following individuals were charged:

 

     Jamaal Rozell Dunson, 32, of Abilene

     Joe Nathan Spafford, 28, of Abilene

     Michael James Huettl, 47, of Abilene

     Delores Denise Rodriguez, 25, of Abilene

     Driessan Scott Russell, 28, of Abilene

 

Trysten Keun Napper, 33, of Abilene was arrested on a complaint charging him with being a convicted felon in possession of ammunition.

 

Several defendants made their initial appearance last week in federal court in Abilene before U.S. Magistrate Judge E. Scott Frost. All remain in custody. Several detention hearings will be held later this week.

 

According to the indictments filed, in March 2017 through June 2017, the defendants intentionally and knowingly distributed and possessed with intent to distribute methamphetamine. Throughout the investigation, substantial amounts of methamphetamine, cash, and firearms were seized from the drug traffickers.

 

A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. However, if convicted, the methamphetamine distribution counts carry a mandatory minimum penalty of five years and a maximum statutory penalty of 40 years. The firearm count carries a maximum statutory penalty of 10 years in federal prison, and a $250,000 fine

 

Assistant United States Attorney Juanita Fielden is in charge of the prosecution.

 

 

# # #

DALLAS — Prosecutors in the Northern District of Texas have wrapped up what is believed to be the largest prosecution in the nation’s history of individuals connected to violent white supremacist gangs, announced John Parker, U.S. Attorney for the Northern District of Texas.

The 89th and last defendant to be sentenced in the case, Jeramy Weatherall, 29, of Dallas, Texas, was sentenced today by U.S. District Judge Jane J. Boyle to 20 years in federal prison, following his guilty plea in March 2017 to one count of possession of methamphetamine with the intent to distribute.

Out of 91 defendants charged, 89 were convicted, one remains a fugitive and is believed to be in Mexico, and one died before trial began. They received a combined total of 1,070+ years in federal prison. Casey Rose, 36, of Mesquite, Texas, was sentenced to life in federal prison, following his conviction at trial in September 2015 on conspiracy, drug trafficking and firearm charges.

“The Aryan Brotherhood of Texas and the Aryan Circle have essentially been decimated in north Texas,” said U.S. Attorney Parker. “The outstanding collaborative work of the Texas Department of Public Safety and the Dallas Police Department helped ensure that each of the 89 defendants who were arrested have now been convicted and sentenced.”

 

“Strong law enforcement partnerships and the hard work of all those involved led to a successful investigation and the resulting prosecutions,” said Department of Public Safety Region 1 Commander Jack Webster. “We continue to work with our law enforcement partners to proactively protect the citizens of Texas in an ever-changing threat environment.”

 

“The Dallas Police Department is proud to have participated in this investigation that resulted in 89 convictions of dangerous gang members who terrorized communities with their criminal activity,” said Interim Dallas Police Chief David Pughes. “It is a great example of the success of local and Federal Law Enforcement working together with the United States Attorney to ensure that the worst career criminals are brought to justice.”

The defendants were members of the Aryan Brotherhood of Texas (“ABT”), the Aryan Circle, the “Irish Mob,” the “Dirty White Boys,” the “White Knights,” and the “Peckerwood” – all of which are violent white supremacist gangs. Each of these gangs are organized crime groups, but in recent years, the white supremacy ideology of each of these groups has taken a backseat to traditional criminal ventures, such as drug-dealing. The defendants in this case included several high-ranking members of these organizations.

Particularly noteworthy is that collectively, the defendants were held accountable for 956 kilograms of methamphetamine, with a conservative street value of just under $10 million, as well as the possession and use of 88 firearms and dangerous weapons.

Combined, the 89 defendants had been previously convicted of 736 crimes. Of the 736 previous convictions, 234 were drug-related offenses; 76 were violent offenses; 36 were gun offenses; 37 were burglaries; seven were sex or child abuse offenses; and one was a murder conviction. Fifteen of the defendants were deemed “career offenders” under the U.S. Sentencing Guidelines. Some defendants had as many as 25 prior convictions. In fact, only six of the 89 had no prior convictions.

The investigation was led by the DPS-CID Gang Unit and the Dallas Police Department Criminal Intelligence Unit with assistance from the Garland Police Department Neighborhood Police Officer Unit, the Collin County Sheriff's Office, the Mesquite, Sherman, Denison and Sulphur Springs Police Departments and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).

 

Assistant U.S. Attorney P. J. Meitl was in charge of the prosecutions.

# # #

DALLAS — A Seattle man has been charged in a federal indictment, returned late yesterday, with one count of knowingly causing the transmission of a command to a protected computer, announced U.S. Attorney John Parker of the Northern District of Texas (NDTX).

Kamyar Jahanrakhshan, aka “Kamyar Jahan Rakhshan,” “Andy or Andrew Rakhshan,” “Andy or Andrew Kamyar,” and “Kamiar or Kamier Rakhshan,” 37, of Seattle, Washington, was arrested late last month in the Western District of Washington (WDWA) on a related federal criminal complaint, filed on July 29, 2016, in the U.S. District Court for the NDTX. He made his initial appearance before a U.S. Magistrate Judge in federal court in the WDWA on July 26, 2017, and was detained. The U.S. Magistrate Judge set Rakhshan’s identity hearing in WDWA on August 14, 2017, after which, Rakhshan should be transported to Dallas to appear in a federal court in the NDTX.

The indictment alleges that between December 30, 2014 and January 25, 2015, Jahanrakhshan knowingly caused the transmission of a program, information, code, and command, and, as a result of such conduct, intentionally caused a denial of service attack on the website Leagle.com without authorization to a protected computer causing a loss of at least $5,000 during a one-year period.

 

An indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, Jahanrakhshan faces the maximum statutory penalty of ten years in federal prison and a $250,000 fine. Restitution may be ordered.

The Federal Bureau of Investigation investigated the case, with assistance from the FBI Dallas cyber squad, Seattle cyber task force, Toronto police department, and the Australian federal police. Assistant U.S. Attorney C.S. Heath is in charge of the prosecution.

# # #

DALLAS — A federal grand jury in Dallas returned an indictment yesterday charging five violent north Texas men with multiple charges related to violent robberies that occurred in north Texas, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Each of the below-listed defendants, mostly from Cedar Hill, Texas, is charged with at least one count of interference with commerce by robbery:

 

     Charles Lampkins, aka “K3” and “Kc,” 20

     Justin Gilbert, aka “Slim,” 21

     Jahad Givens, aka “Had,” 21

     Terance Ross Johnson, aka “TJ,” 21

     Jaala Dill, 19, of Dallas

 

The defendants will make their initial appearances in federal court later this week.

According to documents filed in the case, between October 2016 and May 2017, the defendants committed a series of at least seven and up to twenty-one robberies at various motels, hotels, and other commercial establishments throughout the Dallas-Fort Worth metroplex. The robbery crew performed surveillance of victims and targeted locations and utilized firearms to intimidate their victims, often pointing guns at the heads of tellers and cashiers during the robberies.

 

The robbers often disguised themselves during the robberies by wearing dark clothes, hoodies, and other items meant to conceal their true identity, including a distinguishable fake blue beard connected to a stocking cap.

 

A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, each interference with commerce by robbery count in the indictment carries a maximum statutory penalty of 20 years in federal prison and a $250,000 fine. Lampkins is also charged with two counts of using, carrying, brandishing, and discharging a firearm in furtherance of a crime of violence. The firearm count carries a maximum statutory penalty of life in federal prison and a $250,000 fine.

 

The case is being investigated by the Federal Bureau of Investigations, Plano Police Department, Carrollton Police Department, Addison Police Department, Farmers Branch Police Department, Grand Prairie Police Department, Arlington Police Department, Lewisville Police Department, Sulphur Springs Police Department, Dallas Police Department, and Cedar Hill Police Department. Assistant U.S. Attorney P.J. Meitl in charge of the prosecution.

 

# # #

DALLAS — A 60-year-old doctor from Rockwall, Texas, Jacques Roy, who was convicted in April 2016 of various health care fraud charges following a six-week-long trial, was sentenced today by U.S. District Judge Sam A. Lindsay to 420 months in federal prison and ordered to pay $268,147,699.15 in restitution, joint and several with all codefendants to Medicare and Medicaid, announced U.S. Attorney John Parker of the Northern District of Texas.

Roy was convicted of one count of conspiracy to commit health care fraud, eight counts of health care fraud, two counts of making a false statement relating to healthcare matters and one count of obstruction of justice. Roy has been in custody since the time of his arrest in February 2012.

“The only thing more stunning than Jacques Roy and his co-conspirators’ shameless methods, said U.S. Attorney Parker, is the staggering dollar amounts involved in this fraud scheme. This takes brazen to a whole new level.”

The following defendants have also been sentence for their role in the health care fraud scheme:

 

     Wilbert James Vesey, Jr., 210 months in federal prison and $23 million in restitution

     Cyprian Akamnonu, 120 months in federal prison and $25 million in restitution

     Patricia Akamnonu, 120 months in federal prison and $25 million in restitution

     Charity Eleda, 48 months in federal prison and $397,294.51 in restitution

     Teri Sivils, 3 years probation and $885,714.05 in restitution

 

Cynthia Stiger will be sentenced October 26, 2017.

 

The government presented evidence at trial that Dr. Roy, Stiger, Veasey and Eleda engaged in a large-scale, sophisticated health care fraud scheme in which they conspired together and with others to defraud Medicare and Medicaid through companies they owned/controlled: Medistat Group Associates, P.A., Apple of Your Eye Health Care Services, Inc., Ultimate Care Home Health Services and Charry Home Care Services.

 

As part of the conspiracy, Stiger, Veasey and Eleda, along with others, improperly recruited individuals with Medicare coverage to sign up for Medicare home health care services. Eleda recruited patients from The Bridge homeless shelter in Dallas, sometimes paying recruiters $50 per beneficiary they found and directed to her vehicle parked outside the shelter’s gates. Eleda and other nurses would falsify medical documents to make it appear as though those beneficiaries qualified for home health care services that were not medically necessary. Eleda and the nurses prepared Plans of Care (POC), also known as 485’s, which were not medically necessary, and these POCs were delivered to Dr. Roy’s office and not properly reviewed by any physician.

 

Dr. Roy instructed his staff to certify these POCs, which indicated to Medicare and Medicaid that a doctor, typically Dr. Roy, had reviewed the treatment plan and deemed it medically necessary. That certifying doctor, typically Dr. Roy, certified that the patient required home health services, which were only permitted to be provided to those individuals who were homebound and required, among other things, skilled nursing. This process was repeated for thousands of POCs, and, in fact, Medistat’s office included a “485 Department,” essentially a “boiler room” to affix fraudulent signatures and certifications.

 

Once an individual was certified for home health care services, Eleda, nurses who worked for Stiger and Veasey, and other nurses falsified visit notes to make it appear as though skilled nursing services were being provided and continued to be necessary. Dr. Roy would also visit the patients, perform unnecessary home visits, and then order unnecessary medical services for the recruited beneficiaries. Then, at Dr. Roy’s instruction, Medistat employees would submit fraudulent claims to Medicare for the certification and recertification of unnecessary home health care services and other unnecessary medical services.

 

The government presented further evidence at trial that the scope of Dr. Roy’s fraud was massive; Medistat processed and approved POCs for 11,000 unique Medicare beneficiaries from more than 500 different home health agencies. Dr. Roy entered into formal and informal fraudulent arrangements with Apple, Charry, Ultimate and other home health agencies to ensure his fraudulent business model worked and that he maintained a steady stream of Medicare beneficiaries.

 

Regarding Dr. Roy’s conviction for obstruction of justice, the government presented evidence that when the Centers for Medicare and Medicaid Services (CMS) suspended Dr. Roy and Medistat from receiving Medicare payments after June 2, 2011, because of suspected fraud, Dr. Roy sought an “end-run” around the suspension through the use of another company, Medcare House Calls. Dr. Roy directed the medical providers he employed to be re-credentialed and to bill Medicare under Medcare House Calls, instead of Medistat. Nonetheless, the money that Medicare paid was circumvented back to Medistat and Dr. Roy.

 

The case was investigated by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services (HHS) Office of Inspector General (OIG), and the Texas Attorney General’s Medicaid Fraud Control Unit (MFCU) and was brought as part of the Medicare Fraud Strike Force supervised by the Criminal Division Fraud Section and the U.S. Attorney’s Office for the Northern District of Texas.

 

Assistant U.S. Attorneys P.J. Meitl and Nicole Dana and First Assistant U.S. Attorney Chad Meacham prosecuted the case.

 

 

# # #

FORT WORTH, Texas — Preston Anthony King, 23, of Burleson, Texas, appeared today in federal court before U.S. Magistrate Judge Jeffrey L. Cureton and pleaded guilty to one count of enticement of a minor, announced John Parker, U.S. Attorney for the Northern District of Texas.

King, who has been in custody since November 2016 on a related complaint, faces not less than 10 years and not more than life in federal prison, a $250,000 fine and a lifetime of supervised release. Sentencing is scheduled for December 12, 2017.

According to documents filed in the case, on March 14, 2016, a Fort Worth Police Officer acting in an undercover capacity and posing as a 13-year-old girl responded to an advertisement that King posted on Craigslist. The description of the advertisement indicated that King was looking to engage in sexual intercourse. During the conversation, the officer told King that she was 13 years old, and later in the conversation King told the officer that he wanted to engage in sexual intercourse with her. King agreed to meet, who he thought was a 13-year-old girl, on March 15, 2016, at a hotel room in Fort Worth, Texas, to engage in sexual intercourse. When King arrived at the agreed location the Fort Worth Police Department took King into custody.

 

The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

The Fort Worth Police Department investigated the case. Assistant U.S. Attorney Megan Fahey is in charge of the prosecution.

# # #

DALLAS — Thomas Glen Smith, 50, and Philip Gary Slaughter, 42, both appeared in federal court and pleaded guilty to one count of possession or sale of stolen firearms, announced U.S. Attorney John Parker of the Northern District of Texas.

Smith and Slaughter were charged in separate, but related cases in June 2017 and May 2017, respectively. The maximum penalty for the offense charged is 10 years in federal prison and a $250,000 fine. Restitution may also be ordered. Both defendants will remain on bond pending sentencing.

According to plea documents filed in the case, Smith and Slaughter worked at the Ellis County Sherriff s Office (ECSO) in the ECSO Evidence Room. Their responsibilities included reorganizing the ECSO Evidence Room, where they had access to numerous firearms seized by the ECSO. On November 18, 2015 Slaughter obtained a court order to destroy hundreds of the firearms in the ECSO Evidence Room. Some of these firearms, however, were not destroyed and, instead, Smith and Slaughter sold approximately forty firearms taken from the ECSO Evidence Room.

 

At various times in November and December, 2015, Smith and Slaughter pawned several firearms at various pawn stores in the Ellis County area. The defendants would also use their Facebook accounts to sell firearms to individuals. These firearms were either supposed to be in the possession of the ECSO Evidence Room or were listed in the destruction order.

 

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Texas Department of Public Safety—Texas Ranger Division. Assistant U.S. Attorneys Kate Rumsey and Errin Martin are in charge of the prosecution.

 

# # #

DALLAS — Following a three-day trial before U.S. District Judge Sam A. Lindsay, today a federal jury convicted Laroy Damont Johnson, 37, of Dallas, of drug and firearm offenses, announced U.S. Attorney John Parker of the Northern District of Texas.

Specifically, Johnson was convicted of one count of possession with intent to distribute a controlled substance, namely, heroin, one count of possession of a firearm in furtherance of a drug trafficking crime, and one count of being a felon in possession of a firearm. The drug count carries a maximum penalty of up to 20 years in federal prison and a $1,000,000 fine. The felon-in-possession count carries a maximum statutory penalty of 10 years and a $250,000 fine. The firearm-in-furtherance count carries a mandatory five-year term of imprisonment that must run consecutively to all other counts. Sentencing is set for December 4, 2017.

 

According to evidence presented at trial, Johnson was staying at a hotel room in Dallas that he used to sell heroin. Law enforcement searched the room and found Johnson sitting on the couch next to three cell phones and nearly $5,000 cash; distribution quantities of heroin in the fridge; a table covered in what appeared to be heroin residue, along with Xanax pills in a plastic baggie, cocaine, a digital scale, and a razor blade; and a loaded firearm wedged between the mattress and the box spring of the bed. The government presented other evidence suggesting that Johnson had been staying in the room for several days distributing drugs.

 

The Drug Enforcement Administration and the Irving Police Department investigated. Assistant U.S. Attorneys Andrew Wirmani and Jamie L. Hoxie prosecuted the case.

 

 

# # #

DALLAS — Joshua Diaz, 28, a Dallas man who was arrested in June 2016 following a law enforcement investigation into a drug trafficking organization that operated out of the Pleasant Grove, Seagoville and Balch Springs areas, has been sentenced, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Last week, Diaz was sentenced by Chief U.S. District Judge Barbara M.G. Lynn to 240 months in federal prison. Diaz pleaded guilty to one count of distribution of a controlled substance in October 2016.

 

According to documents filed in the case, on May 10, 2016, Diaz supplied an undercover officer with approximately 951 grams of methamphetamine. Diaz is responsible for at least 1550.84 grams of methamphetamine.

 

The investigation into this drug trafficking organization began in early January 2016. During the investigation, law enforcement has seized more than 6700 grams of methamphetamine, approximately 13.2 kilograms of methamphetamine oil, 62 grams of marijuana, 2.5 grams of heroin, and 20 ml of gamma hydroxybutyrate (GHB), as well as 12 firearms and $12,379 in cash.

 

The Dallas Police Department and the Texas Department of Public Safety investigated the case. Assistant U.S. Attorney Andrew Wirmani prosecuted.

 

 

# # #

DALLAS — A San Antonio, Texas, man, Zachary Whiteside, aka “Sharkey,” Shark” and “Zach,” 37, was sentenced this week by Chief U.S. District Judge Barbara M.G. Lynn to 214 months in federal prison, following his guilty plea in November 2016 to one count of conspiracy to distribute a controlled substance, announced U.S. Attorney John Parker of the Northern District of Texas.

Whiteside has been in custody since his arrest in May 2015.

According to documents filed in the case, Whiteside travelled to Dallas, Texas on several occasions beginning in January 2014 to purchase various quantities of methamphetamine from a Dallas-based methamphetamine distributor. Whiteside then distributed the drugs to customers in exchange for payment. On one occasion Whiteside exchanged a 2013 Ford Mustang, a 2002 Audi, U.S. currency and guns as payment for methamphetamine.

 

The case was investigated by the Drug Enforcement Administration. Assistant U.S. Attorney Phelesa Guy was in charge of the prosecution.

# # #

DALLAS — Michael Johnson, aka “Psych” and “Syke,” 34, of Dallas, Texas, was sentenced yesterday by Chief U.S. District Judge Barbara M.G. Lynn to 151 months in federal prison following his guilty plea earlier this year to one count of conspiracy to distribute a controlled substance, announced U.S. Attorney John Parker of the Northern District of Texas.

A federal grand jury indicted Johnson and seventeen others in August 2016 on conspiracy drug trafficking charges. Johnson has been in custody since the time of his arrest in August 2016.

According to documents filed in the case, beginning in January 2015, Johnson supplied cocaine and marijuana to co-conspirators on several occasions in exchange for payment. During the conspiracy the defendants utilized North Texas residences to cut, package and distribute cocaine to numerous customers.

The Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Phelesa Guy prosecuted.

# # #

DALLAS — Tshombe Anderson, 54, of Grand Prairie, Texas, appeared today before Chief U.S. District Judge Barbara M.G. Lynn and pleaded guilty to a scheme he ran along with four of his family members from July 2011 to September 2015 to fraudulently obtain more than $26 million from the Department of Labor (DOL) Office of Worker’s Compensation Program (OWCP), announced U.S. Attorney John Parker of the Northern District of Texas.

 

Specifically, Anderson pleaded guilty to one count of conspiracy to commit health care fraud. He faces a maximum penalty of 10 years in federal prison and a $250,000 fine. Restitution could also be ordered. Anderson agrees to forfeit $375,000 seized from his residence, a 2015 Mercedes, and his share of the $8,383,075 that was seized from 25 bank accounts. Anderson will remain in custody pending sentencing which is set for November 29, 2017.

 

In addition to Anderson, his sister Lydia Bankhead, 63, his wife Brenda Anderson, 47, his sister-in-law Janet Anderson, 43, and his niece Lydia Taylor, 30, were also charged in the indictment returned in September 2015. A trial date of September 25, 2017 has been set for the four co-defendants.

 

According to plea documents in the case, Tshombe Anderson worked as an attorney for Union Treatment Centers (“UTC”). Anderson and his wife, Brenda Anderson, opened a durable medical equipment company called Best First Administration (“BFA”). BFA was formed, initially, to provide durable medical equipment to patients referred to BFA from UTC. In July 2011, Tshombe Anderson and Brenda Anderson disassociated from UTC.

 

In April 2013, Tshombe Anderson agreed with Bankhead to open Union Medical Supplies and Equipment (“UMSE”). In August 2013, Tshombe Anderson agreed with Janet Anderson to open Skycare Medical Supplies and Equipment (“SMSE”). Both companies were created in order to submit claims that were inappropriate to OWCP. The same medical information that BFA had received from UTC was used and billed to the same universe of claimants for duplicate, unwanted durable medical equipment that was not medically necessary, using outdated medical information. Tshombe Anderson continued to do so despite knowing that they were billing OWCP for items that were not associated with the claimant’s injuries and that claimants were often refusing or rejecting the durable medical equipment for which their company had billed.

 

Tshombe Anderson had access to the operating accounts for UMSE and routinely transferred large sums of cash from those accounts for his personal use or to launder through business accounts for a shell company called American Federal Union Claims Advocates, as well as accounts associated with his law office.

 

The total amount paid to OWCP for UMSE and SMSE was $26,572,458.93.

 

The DOL Office of Inspector General and the U.S. Postal Service Office of Inspector General investigated the case. Assistant U.S. Attorneys Nicole Dana and P.J. Meitl are in charge of the prosecution.

 

# # #

DALLAS — The 20th Annual Drug Education for Youth (DEFY) Summer Camp was held last week at the Naval Air Station Joint Reserve Base (NAS JRB) in Fort Worth, Texas, where members of the U.S. Attorney’s Office for the Northern District of Texas, members of the military and local law enforcement worked together to host the one-week residential camp for at-risk youth. Today’s announcement was made by U.S. Attorney John Parker of the Northern District of Texas.

First Assistant U.S. Attorney Chad Meacham and Captain Jonathan R. Townsend of NAS JRB presented certificates to the 28 youth who attended this year’s DEFY summer camp at a graduation ceremony held Saturday morning, July 29, 2017, at NAS JRB. Camp attendees included at-risk youth from high crime and low income communities in the Dallas/Fort Worth Metroplex.

DEFY is a year-long, unique, comprehensive, and multi-phased program that reduces risk and strengthens protective factors that research has directly linked to adolescent alcohol and drug abuse, school failure, delinquency, and violence.

 

DEFY begins each year with the week-long, residential summer camp for selected at-risk youth, ages 10 - 11. At DEFY camp, the youth participate in a curriculum focused on healthy lifestyles to prevent drug abuse and gang involvement and resist negative peer pressure. To reinforce good practices learned at DEFY camp, DEFY continues throughout the year with classroom sessions, educational workshops and continued mentoring designed to provide the youth with additional life skills, training and tools to resist drugs and gangs.

The DEFY program is just another example of the partnerships that community groups and law enforcement undertake to build mutual trust and make our communities a safer place for all of us to live.

# # #

DALLAS — A former employee at Parkland Health and Hospital System in Dallas (Parkland), Viju Mathew, and his wife, Mariamma Viju, a registered nurse who worked at Baylor University Medical at Dallas (Baylor), who pleaded guilty to federal charges stemming from their theft/unlawfully obtaining patient identification information, were sentenced today by U.S. District Judge Jane J. Boyle, announced U.S. Attorney John Parker of the Northern District of Texas.

Viju Mathew, 52, and his wife, Mariamma Viju, also 52, were sentenced to 30 months imprisonment and ordered to pay $297,957.89 in restitution to Medicare. Mathew pleaded guilty in November 2014 to one count of fraud and related activity in connection with identification documents, authentication features and information (identity theft) and Viju pleaded guilty in May 2016 to one count of wrongful disclosure of individually identifiable health information (HIPAA violation). Both defendants reside in Garland, Texas. Judge Boyle ordered they surrender to the Bureau of Prisons on August 30, 2017.

According to plea documents filed in the cases and the evidence produced during the sentencing hearing, which spanned four days, Mathew and Viju both stole patient identities from their jobs at local hospitals and used the stolen patient information to solicit patients for the home health care agency they jointly owned and operated, Dallas Home Health. Mathew worked as a registration specialist at Parkland, where he was responsible for entering patient information into Parkland’s computer system. Mathew used his position to obtain confidential information for more than 3,000 patients, including patients’ names, telephone numbers, dates of birth, participation in the Medicare program, and government-issued health insurance claim numbers. Mathew admitted that he knowingly removed the confidential information intending to use it to gain an economic benefit by contacting prospective patients for his home health care business, Dallas Home Health.

Viju worked as a registered nurse at Baylor until she was terminated in October 2012. While employed at Baylor, she surreptitiously collected Baylor patient identification information, specifically, identifying health information, to recruit them as patients of Dallas Home Health, where she served as Director of Nursing.

The evidence also showed that Dallas Home Health obtained patient certifications from a number of doctors who have been convicted or charged in other health care fraud cases in the Northern District of Texas including Nicholas Padron (Case No. 3:12-CR-310), Jacques Roy (3:12-CR-054-L), and Hector Molina (Case No. 3:15-CR-163-K).

The FBI, Department of Health and Human Services Office of Inspector General, and the Texas Attorney General’s Medicaid Fraud Control Unit investigated. Assistant U.S. Attorney Doug Brasher prosecuted the cases.

# # #

DALLAS — Kamyar Jahanrakhshan, aka “Kamyar Jahan Rakhshan,” “Andy or Andrew Rakhshan,” “Andy or Andrew Kamyar,” and “Kamiar or Kamier Rakhshan,” 32, of Seattle, Washington, was arrested today on a federal criminal complaint charging him with extortion by threats to cause damage to the Dallas, Texas hosting company for Leagle.com, announced U.S. Attorney John Parker of the Northern District of Texas.

 

According to the affidavit filed with the complaint, on December 30, 2014 Leagle.com, an aggregator of case law from Federal and certain State courts, was contacted by an individual by the name of Andrew Rakhshan by e-mail requesting that a URL linking to a court decision involving Rakhshan be deleted. Claiming that he was the plaintiff in the case, Rakhshan stated that he did not want the opinion available on the internet as it was tarnishing his reputation and violating his privacy. Rakhshan offered to pay a fee to have the post removed.

 

Between December 30, 2014 and January 16, 2015, Leagle.com received multiple e-mails signed by Andrew Rakhshan offering to pay for the removal of a court opinion in which Rakhshan was a party to. On January 24, 2015 Rakhshan again sent an e-mail claiming that he met a group of hackers online whom were willing to launch a massive cyber-attack on Leagle.com. Rakhshan claimed that he had no other options to resolve the matter. He threatened to use these hackers to conduct a Distributed Denial of Service (DDoS) attack to force Leagle.com to comply with his demands. On January 25, 2015, a large amount of traffic targeted the IP address for Leagle.com. The actions the company took could not mitigate the attack traffic. The attack subsided once the company removed the link to the court opinion.

 

Similar DDoS attacks were carried out by Rakhshan on Fairfax Media5, a media company in Australia and New Zealand; The Metro News, a daily newspaper; Canadian Broadcasting Corporation; and Canada.com, a social media discussion site. At times Rakhshan escalated his threats from DDoS attacks to threats of bomb attacks.

 

A criminal complaint is a written statement of the essential facts of the offense charged and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The government has 30 days to present the matter to a grand jury for indictment. The maximum statutory penalty for the offenses as charged is 5 years in federal prison and a $250,000 fine.

The Federal Bureau of Investigation investigated the case, with assistance from the FBI Dallas cyber squad, Seattle cyber task force, Toronto police department, and the Australian federal police. Assistant U.S. Attorney C.S. Heath is in charge of the prosecution.

# # #

ABILENE, Texas — Jonathan Andrew Hydro, 59, of Abilene, Texas, was sentenced this morning by U.S. District Judge Reed C. O’Connor to 120 months in federal prison, following his guilty plea in April 2017 to one count of receipt of visual depictions of minors engaging in sexually explicit conduct, announced U.S. Attorney John Parker of the Northern District of Texas.

Hydro was also ordered to pay $5,000.00 in restitution. He has been in custody since the time of his arrest in February 2017.

According to documents filed in the case, on June 17, 2016, Hydro knowingly received, by way of the Internet, seven images which depict minors engaged in sexually explicit conduct. At the time Hydro received the images he knew that at least one of the performers in each image was a minor and he knew that the visual depiction was of a minor engaged in sexually explicit conduct.

 

The case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”

 

The case was investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the Abilene Police Department. Assistant U.S. Attorney Steven M. Sucsy was in charge of the prosecution.

 

# # #

DALLAS — Sixto Rivera Bustillos, 44, of Garland, Texas, was sentenced today before U.S. District Judge Jane J. Boyle for his role in a heroin distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Bustillos was sentenced to 135 months in federal prison following his guilty plea in September 2016 to one count of possession with intent to distribute and the distribution of a mixture and substance containing a detectable amount of heroin. Bustillos has been in custody since his arrest in June 2016.

 

Bustillos was charged along with six others with various offenses related to a heroin distribution conspiracy. Of the seven charged, all pleaded guilty and have been sentenced to the following:

 

     Rene Rodriguez, 31, of Dallas, 108 months

     Marcus Stokes, 31, of Plano, 70 months

     Daniel Rojo, 32, of Allen, 60 months

     Brittany Anders, 32, of Rowlett, 51 months
     Jancs Fraire, aka “Jesus Luis Friar,” “Jesus Fraire,” and “Jay,” 19, of Dallas, 20 months
     Yovani Loyd Rodriguez, 23, of Dallas, 10 months

According to plea documents filed in Bustillos’ case, on April 27, 2016 Anders and Bustillos met an individual in a McDonalds restaurant bathroom in Garland, Texas and exchanged one-half ounce of heroin for $820.

 

On June 2, 2016, DEA agents went to Bustillos and Anders’ home with federal arrest warrants for both Bustillos and Anders. The agents conducted a protective sweep of the home, and upon entering Bustillo’s bedroom smelled raw marijuana emanating from an open duffel bag on the bed. Agents seized the bag containing marijuana, other controlled substances and a firearm.

 

The Drug Enforcement Administration, Allen Police Department and Rockwall Police Department investigated. Assistant U.S. Attorney Suzanna Etessam prosecuted.

 

# # #

DALLAS — Gabriel Reyes, aka “Payaso,” 33, was sentenced today by Chief U.S. District Judge Barbara M.G. Lynn to 170 months in federal prison for the distribution of heroin, announced U.S. Attorney John Parker of the Northern District of Texas.

Reyes pleaded guilty in February 2017 to one count of possession with the intent to distribute 100 grams or more of a mixture and substance containing a detectable amount of heroin. He has been in custody since the time of his arrest in September 2016.

According to documents filed in the case, on September 21, 2016 Reyes sold an ounce of heroin from his residence in Lancaster, Texas in exchange for $1,050. On September 28, 2016 law enforcement agents executed a federal search warrant at the residence of Reyes. Agents found over 100 grams of heroin, approximately $92,700, drug paraphernalia, and three firearms.

 

The case was investigated by the Drug Enforcement Administration, Alcohol Tobacco and Firearms, and Lancaster Police Department. Assistant U.S. Attorney Suzanna Etessam was in charge of the prosecution.

# # #

DALLAS — Tonya Evans, 52, a former U.S. Postal Service employee, was sentenced today by U.S. District Judge Sam A. Lindsay to 21 months in federal prison and ordered to pay $98,888.73 in restitution for participating in a scheme to defraud the Department of Labor’s (DOL) Office of Worker’s Compensation Program (OWCP), announced U.S. Attorney John Parker of the Northern District of Texas.

Evans and co-defendant, McArthur Baker, 69, both of Dallas, were each convicted following a one-week trial before U.S. District Judge Sam A. Lindsay on one count of conspiracy to defraud the U.S. with respect to claims and one count of false statements or fraud to obtain federal employees’ compensation. Baker was sentenced in March 2017 to 21 months in federal prison.

The government presented evidence at trial that Baker and Evans engaged in a scheme to receive kickbacks in exchange for their completion of falsified medical documentation that was used by co-conspirators to defraud DOL’s OWCP. The government presented further evidence that Baker also falsified forms related to travel he purportedly made for medical services, and as a result, received funds from DOL to which he was not entitled.

Evans began working for the U.S. Postal Service in November 1985; she worked as a clerk primarily with the parcel post distribution machine. She filed disability claims in August 2001, August 2003, and August 2008 claiming that she suffered from various injuries. As a result of these claims, Evans was placed on worker’s compensation in 2001. She received more than $340,000 in worker’s compensation payments. In March 2010, she applied for disability retirement that was approved in October 2011.

Baker began working for the U.S. Postal Service in 1982; he was assigned to work as a mail handler equipment operator. Between 1984 and 2007, Baker filed eight different claims for disability, claiming he suffered from various injuries. As a result of these claims, Baker stopped working in approximately December 2007. He never returned to work but continued to receive disability compensation from December 2007 until at least October 2009. He received more than $68,000 in worker’s compensation payments. He retired from the U.S. Postal Service in October 2009 but he continued to receive disability medical care paid for through DOL, and he continues to be eligible for disability medical care.

Convicted co-conspirator, Larry Washington, was a licensed professional counselor and ran several businesses known as AAA Mental Health, LLC, Mind Spa, Inc., Solutions Health and Rehabilitation, and Convergence Emergence Diversion. Through these businesses, Washington purportedly provided patients with counseling, pain management, chiropractic services, physical therapy, and massage services. His patients were former postal and Veterans Administration employees who had suffered on-the-job injuries and were eligible to receive medical services and worker’s compensation related to those injuries. Earlier this year, Washington pleaded guilty to one count of conspiracy to commit health care fraud and was sentenced in May 2016 to 78 months in federal prison and ordered to pay $7.7 million in restitution.

To maintain and enhance his billings with OWCP, Washington asked claimants, including Baker and Evans, to falsify medical documentation, called “mood inventories,” that indicated they had received services on days they had not. Baker and Evans completed numerous mood inventory forms that contained false information about the days on which Baker and Evans received treatment from Washington or someone working for Washington. Baker and Evans received approximately $100 for each form they completed.

Over the course of the fraud, Baker received a total of at least $3,000 from Washington; Evans received at least $6,000.

As a result of Baker’s falsified documentation, Washington was able to fraudulently bill $105,125 from OWCP. As a result of Evans’ falsified documentation, Washington was able to bill $202,438 from OWCP.

In addition to Baker and Evans, 20 claimants, four doctors or medical providers, a senior claims examiner at DOL, a claims representative, a Postal employee detailed to the Postal Service Health Resource Management Office, and a medical provider’s employee were charged and convicted in the scheme.

In total, the defendants were able to collectively fraudulently bill the federal government through the OWCP for more than $9.5 million and receive more than $8.7 million in government payments based on their fraudulent billing. The DOL made approximately $11.4 million in payments to these claimants for their compensation and medical services.

 

The investigation was led by the U.S. Postal Service Office of Inspector General, and the Department of Labor Office of Inspector General, with assistance from Internal Revenue Service Criminal Investigation, U.S. Treasury Office of Inspector General, Social Security Administration Office of Inspector General/Cooperative Disability Investigations Unit, and the U.S. Department of Veterans Affairs Office of Inspector General.

 

Assistant U.S. Attorneys P.J. Meitl, Nicole Dana and Special Assistant U.S. Attorney Jennifer Bray prosecuted.

 

# # #

DALLAS — Charity Eleda, R.N., 56, of Rowlett, Texas, was sentenced this morning in federal court in Dallas on a health care fraud conspiracy conviction, announced U.S. Attorney John Parker of the Northern District of Texas.

Eleda was sentenced by U.S. District Judge Sam A. Lindsay to 48 months in federal prison and ordered to pay $397,294.51 in restitution to Medicare. She has been in custody since April 2016, after a federal jury found her guilty of various health care fraud offenses.

 

Eleda, along with co-defendants, Jacques Roy, M.D., 59, of Rockwall, Texas; Cynthia Stiger, 54, of Dallas; and Wilbert James Veasey, Jr., 65, of Dallas, were each convicted following a six-week-long trial on one count of conspiracy to commit health care fraud. In addition, Roy was convicted on eight, Veasey on three and Eleda on four counts of health care fraud. Roy was also convicted on two counts of making a false statement relating to healthcare matters and one count of obstruction of justice. Eleda was also convicted on three counts of making false statements for use in determining rights of benefit and payment by Medicare.

 

Three other defendants charged in the case, Cyprian Akamnonu and his registered nurse wife, Patricia Akamnonu, both of Cedar Hill, Texas, and Teri Sivils, of Midlothian, Texas, each pleaded guilty before trial to one count of conspiracy to commit health care fraud. Cyprian and Patricia Akamnonu are each currently serving a ten-year federal prison sentence. They were also ordered to pay $25 million in restitution. Sivils pleaded guilty in April 2015, and was sentenced to 3 years probation.

 

The government presented evidence at trial that Dr. Roy, Stiger, Veasey and Eleda engaged in a large-scale, sophisticated health care fraud scheme in which they conspired together and with others to defraud Medicare and Medicaid through companies they owned/controlled: Medistat Group Associates, P.A., Apple of Your Eye Health Care Services, Inc., Ultimate Care Home Health Services and Charry Home Care Services.

 

As part of the conspiracy, Stiger, Veasey and Eleda, along with others, improperly recruited individuals with Medicare coverage to sign up for Medicare home health care services. Eleda recruited patients from The Bridge homeless shelter in Dallas, sometimes paying recruiters $50 per beneficiary they found and directed to her vehicle parked outside the shelter’s gates. Eleda and other nurses would falsify medical documents to make it appear as though those beneficiaries qualified for home health care services that were not medically necessary. Eleda and the nurses prepared Plans of Care (POC), also known as 485’s, which were not medically necessary, and these POCs were delivered to Dr. Roy’s office and not properly reviewed by any physician.

 

Dr. Roy instructed his staff to certify these POCs, which indicated to Medicare and Medicaid that a doctor, typically Dr. Roy, had reviewed the treatment plan and deemed it medically necessary. That certifying doctor, typically Dr. Roy, certified that the patient required home health services, which were only permitted to be provided to those individuals who were homebound and required, among other things, skilled nursing. This process was repeated for thousands of POCs, and, in fact, Medistat’s office included a “485 Department,” essentially a “boiler room” to affix fraudulent signatures and certifications.

 

Once an individual was certified for home health care services, Eleda, nurses who worked for Stiger and Veasey, and other nurses falsified visit notes to make it appear as though skilled nursing services were being provided and continued to be necessary. Dr. Roy would also visit the patients, perform unnecessary home visits, and then order unnecessary medical services for the recruited beneficiaries. Then, at Dr. Roy’s instruction, Medistat employees would submit fraudulent claims to Medicare for the certification and recertification of unnecessary home health care services and other unnecessary medical services.

 

The government presented further evidence at trial that the scope of Dr. Roy’s fraud was massive; Medistat processed and approved POCs for 11,000 unique Medicare beneficiaries from more than 500 different home health agencies. Dr. Roy entered into formal and informal fraudulent arrangements with Apple, Charry, Ultimate and other home health agencies to ensure his fraudulent business model worked and that he maintained a steady stream of Medicare beneficiaries.

 

The case was investigated by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services (HHS) Office of Inspector General (OIG), and the Texas Attorney General’s Medicaid Fraud Control Unit (MFCU) and was brought as part of the Medicare Fraud Strike Force supervised by the Criminal Division Fraud Section and the U.S. Attorney’s Office for the Northern District of Texas.

 

Assistant U.S. Attorneys P.J. Meitl and Nicole Dana and First Assistant U.S. Attorney Chad Meacham prosecuted the case.

 

 

# # #

DALLAS — Richard Bruce Stevens, 52, of San Antonio, Texas, appeared in federal court this morning before U.S. Magistrate Judge Irma Carrillo Ramirez and pleaded guilty to one count of mail fraud, announced U.S. Attorney John Parker of the Northern District of Texas.

 

Stevens faces a maximum statutory penalty of twenty years in federal prison and a $250,000 fine. Restitution could also be ordered. Stevens will remain on bond pending sentencing, which is set for October 30, 2017.

A federal grand jury in Dallas returned an indictment in December 2016 charging Stevens and three others with felony offenses stemming from a “foreclosure rescue scheme” they ran from approximately February 2012 through January 2013. Mark Demetri Stein, 36, of Carrollton, Texas, is scheduled for trial August 28, 2017. Bruce Kevin Hawkins, 52, of Desoto, Texas, and Christina Renee Caveny, 37, of Dallas, both pleaded guilty to their role in the scheme and are awaiting sentencing.

According to documents filed in the case, Stein operated Real Estate Solutions, Stevens used Texas Real Estate Services, and Hawkins formed ERealty Mortgage Group, LLC, as foreclosure rescue companies. The conspirators used third parties to contact homeowners and offer them an opportunity to get out of their present home loans and receive a new home loan with a reduced interest payment and reduced monthly payment. Stevens and other conspirators falsely represented to homeowners that they had “investors” standing by who were ready to quickly purchase the homeowner’s present loan from the lender holding the current mortgage. They also falsely represented that they would use investors to purchase the homeowner’s loan from the original lender at a greatly reduced price through a “short sale” process.

Furthermore, Stevens and other conspirators falsely represented to the homeowners that the homeowners had the legal authority to transfer their homeowner’s deed to the defendants.

 

As part of the scheme, the conspirators fraudulently required homeowners to start making all future loan payments to them based on fraudulent so-called “loans,” and they also told homeowners to ignore late payment notices sent by lenders. As part of the scheme, the conspirators conducted a fraudulent “closing” for each homeowner where they caused the homeowner to pay them a large down payment on the new “loan,” and they also had the homeowner sign fraudulent documents, such as a promissory note, deed of trust, special warranty deed, and/or a so-called “land trust.”

 

Further, according to plea documents, the conspirators falsely represented to homeowners that the conspirators could “sell” their property back to the homeowner with a new loan, when the conspirators well knew they did not legally own the property. The conspirators also told homeowners to ignore notices of nonpayment from their present lender as they continued to unlawfully collect monthly so called “mortgage payments” from homeowners. In fact, conspirators instructed several homeowners to file for bankruptcy but to not follow up with the bankruptcy process as an additional means to delay foreclosure and conceal the conspirators’ criminal conduct. Conspirators concealed that all down payment and monthly mortgage payments fraudulently collected from homeowners was spent for their own personal benefit.

The defendants recruited at least 70 distressed and vulnerable homeowners who were facing the imminent threat of foreclosure on their homes and fraudulently collected a total of at least $242,000 from them.

This case is one of several felony prosecutions of bankruptcy-related crimes prosecuted as a result of the Bankruptcy Fraud Initiative in the Northern District of Texas. These prosecutions are identified following a careful review of many criminal referrals sent by the Office of the United States Trustee in Dallas to the United States Attorneys Office. Since May 2013, a total of 26 defendants have been charged as part of that initiative. To date, 23 defendants have been convicted, one resulted in a mistrial, and two are pending trial.

The Dallas FBI investigated the case. Assistant U.S. Attorney David Jarvis is in charge of the prosecution.

# # #

 

DALLAS — Five individuals who were wanted by the FBI, the DFW International Airport Department of Public Safety, the Arlington Texas Police Department, and the Garland Texas Police Department for their suspected involvement in a series of violent robberies against traveling jewelry salesmen, one of which resulted in the death of the victim, have been arrested, announced U.S. Attorney John Parker of the Northern District of Texas, Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department's Criminal Division and Special Agent in Charge Eric K. Jackson of the Federal Bureau of Investigation.

Johnnattan Ramirez, 35, Pedro Louis Alvarez, 32, Robert Riveros, 25, Eslevy Vargas-Avila, 27, and Catherine Contreras-Beltran, 28, were charged in a federal superseding indictment in October 2016. Each defendant is charged with one count of conspiracy to interfere with commerce by robbery, two counts of interference with commerce by robbery, and two counts of using, carrying, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence. Ramirez, Alvarez and Riveros are also charged with one additional count of interference with commerce by robbery and one additional count of using, carrying, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence.

Investigative efforts by the FBI Dallas Violent Crimes Task Force and the DFW International Airport Department of Public Safety identified Ramirez, Alvarez, Riveros, Vargas-Avila and Contreras-Beltran as suspects in these violent robberies. Further investigative efforts led to the location and arrest of all five defendants. Alvarez was arrested in New York City by the FBI and the DFW International Airport Department of Public Safety on June 27, 2016. Contreras-Beltran, Vargas-Avila, Ramirez, and Riveros were all arrested in Colombia by the Colombian National Police, DIJIN Vetted Team, on December 24, 2016, February 13, 2017, February 19, 2017, and July 19, 2017, respectively. The United States government intends to request extradition of Contreras-Beltran, Vargas-Avila, Ramirez, and Riveros, all of whom are Colombian citizens.

 

“I commend the extraordinary efforts of the FBI and our local and international law enforcement partners in apprehending these brazenly violent fugitives,” said U.S. Attorney Parker. “This extremely dangerous group of robbers is part of a larger organized South American Theft Group that has targeted members of the jewelry industry across this nation for a number of years. Our community is safer as a result of getting these people off our streets.”

 

“Thanks to the efforts of our prosecutors, the FBI and our local and international partners, all five members of this alleged armed robbery organization have been apprehended,” said Acting Assistant Attorney General Blanco. “We thank our Colombian law enforcement partners for their outstanding work. The U.S. Department of Justice is committed to working vigorously with our partners at home and abroad to apprehend and bring this and other armed robbery groups to justice.”

 

“This case is a testament to the exemplary work of the FBI’s Violent Crime Task Force,” said Eric K. Jackson, Special Agent in Charge of the FBI Dallas Division. “The agents on our task force worked hand in hand with state, local, and international partners to relentlessly investigate these crimes and, ultimately, identify, locate, and apprehend these violent fugitives.”

 

The indictment alleges, on April 27, 2016, Ramirez, Alvarez, and Riveros observed K.D., an individual who they believed to be a traveling diamond and jewelry salesman, at a store in Garland, Texas. Ramirez and Riveros approached K.D. as he was leaving the store, while Alvarez continued surveillance. Riveros then took a rolling case, a calendar catalog, calendar invoice/order forms, a Nikon digital camera, and a State of California sales permit from K.D. against his will by threatened force, violence, and fear of immediate injury to his person, that is, by brandishing a firearm.

The indictment further alleges, on June 2, 2016, Ramirez, Alvarez, Riveros, Vargas-Avila, and Contreras-Beltran, observed C.K., an individual who they believed to be a traveling diamond and jewelry salesman, and followed him to a gas station located on East Pioneer Parkway in Arlington, Texas. Ramirez, Riveros, and Vargas-Avila approached C.K. as he was putting gas in his rental vehicle, while Alvarez and Contreras-Beltran continued surveillance. Ramirez, who had a firearm and was wearing a mask to conceal his identity, approached C.K. and searched him at gunpoint for hidden diamonds and jewelry on his person, while Vargas-Avila entered C.K.’s vehicle and took a bag containing, among other items, a diamond scale and diamond gauge.

 

The indictment also alleges, on June 9, 2016, Ramirez, Alvarez, Riveros, Vargas-Avila, and Contreras-Beltran, observed M.S., an individual who they believed to be a traveling diamond and jewelry salesman, at a store in Richardson, Texas. Ramirez, Alvarez, Riveros, and Vargas-Avila followed M.S. to a DFW International Airport gas station in Euless, Texas, and observed M.S. enter the gas station’s convenience store. Riveros broke a window on M.S.’s rental vehicle with a handgun, took a case containing jewelry and placed it inside the vehicle being driven by Ramirez. M.S. ran from the store and entered Ramirez’s vehicle through the window and attempted to retrieve his case. Ramirez then drove his vehicle in a manner intended to dislodge M.S. from the vehicle, striking other vehicles in the process, before departing the area with M.S. partially inside the vehicle. Ramirez, Alvarez, Riveros, and Vargas-Avila drove to an apartment complex in Irving, Texas, where M.S. was removed from the vehicle and beaten, which contributed to the death of M.S.

 

An indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. However, if convicted, the conspiracy count and the interference with commerce by robbery count both carry a maximum statutory penalty of 20 years in federal prison and a $250,000 fine. The using, carrying, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence counts each carry a maximum statutory penalty of life in federal prison and a $250,000 fine.

The FBI Dallas Violent Crimes Task Force, the DFW International Airport Department of Public Safety, Arlington Texas Police Department, and the Garland Texas Police Department investigated the case, with assistance from the Colombian National Police, DIJIN Vetted Team. Assistant U.S. Attorney Keith Robinson is prosecuting, with assistance from Joseph Wheatley, Trial Attorney, Organized Crime and Gang Section.

# # #

Five individuals have been arrested in connection with their suspected involvement in a series of violent robberies against traveling jewelry salesmen, one of which resulted in the death of the victim, announced Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, U.S. Attorney John Parker of the Northern District of Texas and Special Agent in Charge Eric K. Jackson of the FBI’s Dallas Division.

 

“Thanks to the efforts of our prosecutors, the FBI and our local and international partners, all five members of this alleged armed robbery organization have been apprehended,” said Acting Assistant Attorney General Blanco. “We thank our Colombian law enforcement partners for their outstanding work. The U.S. Department of Justice is committed to working vigorously with our partners at home and abroad to apprehend and bring this and other armed robbery groups to justice.”

“I commend the extraordinary efforts of the FBI and our local and international law enforcement partners in apprehending these brazenly violent fugitives,” said U.S. Attorney Parker. “This extremely dangerous group of robbers is part of a larger organized South American theft group that has targeted members of the jewelry industry across this nation for a number of years. Our community is safer as a result of getting these people off our streets.”

“This case is a testament to the exemplary work of the FBI’s Violent Crime Task Force,” said Special Agent in Charge Jackson. “The agents on our task force worked hand in hand with state, local and international partners to relentlessly investigate these crimes and, ultimately, identify, locate and apprehend these violent fugitives.”

Pedro Louis Alvarez, 32, of Honduras; and four Colombian nationals, Johnnattan Ramirez, 35; Robert Riveros, 25; Eslevy Vargas-Avila, 27; and Catherine Contreras-Beltran, 28, were charged in a federal superseding indictment in October 2016 with one count of conspiracy to interfere with commerce by robbery, two counts of interference with commerce by robbery and related firearms charges. Ramirez, Alvarez and Riveros are also charged with one additional count of interference with commerce by robbery and related firearms charges. Alvarez was arrested in New York City by the FBI and the Dallas Fort Worth International Airport Department of Public Safety on June 27, 2016.  Contreras-Beltran, Vargas-Avila, Ramirez and Riveros were all arrested in Colombia by the Colombian National Police, between December 2016, and July 19. 

 

The indictment alleges that on April 27, 2016, Ramirez, Alvarez and Riveros robbed a traveling diamond and jewelry salesman at gunpoint, taking the victim’s rolling case and a Nikon digital camera, among other items, while Alvarez conducted surveillance. The indictment further alleges that on June 2, 2016, and June 9, 2016, Ramirez, Alvarez, Riveros, Vargas-Avila and Contreras-Beltran robbed two additional traveling diamond and jewelry salesmen at gunpoint, taking from the first victim a bag containing, among other items, a diamond scale and diamond gauge, and from the second victim a case containing jewelry. According to the allegations, when the second victim attempted to retrieve his case from Ramirez’s vehicle, Ramirez drove away with the victim partially inside the vehicle, and Ramirez, Alvarez, Riveros and Vargas-Avila then removed the victim from the vehicle and beat him, which contributed to his to death.

 

An indictment is an accusation by a federal grand jury, and the defendants are entitled to the presumption of innocence unless proven guilty. 

 

The FBI Dallas Violent Crimes Task Force, the Dallas Fort Worth International Airport Department of Public Safety, Arlington Texas Police Department and the Garland Texas Police Department investigated the case, with assistance from the Colombian National Police. The case is being prosecuted by Assistant U.S. Attorney Keith Robinson and Trial Attorney Joseph Wheatley of the Criminal Division’s Organized Crime and Gang Section.