District of Utah

SALT LAKE CITY – Attorney Calvin Curtis, 61, of Salt Lake City, was sentenced to serve 97 months in federal prison by a U.S. District Court Judge today. Curtis was ordered to pay $12,779,496 in restitution to the 26 victims of his crimes and sentenced to an additional three years of supervised release upon his release from federal prison. 

Curtis previously pleaded guilty in November of 2021, to embezzling millions of dollars from clients of his estate planning law firm based in Salt Lake City, known as Calvin Curtis Attorney at Law PLLC, and Curtiselderlaw.com. By the time of his sentencing, it had been discovered that Curtis had embezzled over $12 million dollars from his former clients who prosecutors say are elderly, incapacitated, or disabled individuals. 

In the plea agreement, Curtis admitted that he is an attorney who specialized in special needs trusts and that beginning in January 2008, he began a fraudulent scheme to defraud a client known as “G.M.” out of money. Curtis admitted that due to his role, he had access to millions of dollars in two different trust accounts belonging to victim G.M., and that he transferred at least $9,500,000 intended for the care of G.M. into his own accounts, and then used this money for his own personal use. Curtis admitted that he also created fake financial statements and submitted these to the court ordered conservator of G.M. to conceal the fraud. 

In pleading guilty to the wire fraud charge, Curtis admitted that on January 25, 2018, that he caused a wire communication from a Schwab Investment Account to his own Wells Fargo account, resulting in a transfer of $1,485,000. Curtis admitted that he used the money for his own personal benefit to make mortgage payments on his combined home and office located on South Temple Street in Salt Lake City, Utah; to support a lavish lifestyle with frequent travel; to purchase tickets to basketball and football games; to give lavish gifts to others; and to support the operations of his law firm.  

In pleading guilty to the money laundering count, Curtis admitted that he fraudulently caused $135,000 to be transferred online from G.M. to his own Wells Fargo account, and that he used these funds to wire $95,000 to The Fechtel Company for the remodel of his home in Tampa, Florida. Curtis admitted that he knew these transactions were illegal at the time they occurred, and that the money was not used for the benefit of G.M.

Assistant United States Attorneys prosecuted the cases against Curtis and Special Agents from the FBI and IRS Criminal Investigation conducted the investigation.
 

SALT LAKE CITY- On Wednesday, May 4, 2022, Trina A. Higgins was sworn in as United States Attorney for the District of Utah by U.S. District Court Chief Judge Robert J. Shelby. President Biden nominated Higgins on January 31, 2022, and she was confirmed by the United States Senate on April 27, 2022. 

As United States Attorney, Higgins will serve as the top-ranking federal law enforcement official in Utah. She is the first woman to be presidentially appointed to the position. Higgins leads all federal criminal prosecutions and civil litigation within the District of Utah.

“It is both my honor and privilege to serve as the United States Attorney for the District of Utah. I look forward to working with the dedicated public servants in the U.S. Attorney’s Office. And I am eager to work collaboratively with our federal, state, local, and tribal law enforcement and community partners in pursuit of justice and equity.”

Since 2002, Higgins has served as an Assistant United States Attorney for the District of Utah, holding several leadership positions, including Senior Litigation Counsel and Violent Crime Section Chief.  She recently returned to Utah from a detail as the Mediterranean Legal Advisor for the Department of Justice Office of Overseas Prosecution Development and Training at the U.S. Embassy in Valletta, Malta. Prior to joining the Department of Justice, Higgins served as a Salt Lake County Deputy District Attorney. 

Higgins served as an Adjunct Professor at the S.J. Quinney College of Law for ten years. She is a past President of the Salt Lake County Bar Association and a current Fellow in the American College of Trial Lawyers, where she has served as the state Vice Chair and Diversity Coordinator. Higgins earned a B.A. from Weber State University and a J.D. from the University of Utah S.J. Quinney College of Law.

A formal investiture ceremony will be scheduled at a future date. 
 

SALT LAKE CITY- Daniel Fry, 46, of Ogden, was sentenced to one year and one day in federal prison after pleading guilty to failing to pay and account for trust fund taxes related to his four healthcare related businesses in the Ogden area. 

According to the plea agreement, Fry owned and operated four businesses in the Ogden area. These businesses were Burch Creek Homecare and Hospice LLC, which closed in 2015, Scrub World, which closed in 2018, Medical Billing Advantage LLC, and Country Niche LLC, both of which closed in 2020. Fry was responsible for handling the payroll for the businesses, including issuing paychecks to employees and withholding Federal Insurance Contribution Act (FICA) employment taxes. As a responsible party for each of these companies, Fry was required to collect, account for, and pay over the “trust fund taxes” to the Internal Revenue Service on a quarterly basis. Fry was also responsible for paying over the employer portion of these trust fund taxes to the IRS. 

From January 2013 to December 2016, Fry withheld from employee paychecks and collected the trust fund taxes for the businesses, as required. He also reported the trust fund tax withholdings of his businesses to the IRS. At the same time, however, he failed to pay over any of the trust fund taxes that the businesses owed to the IRS. Fry further failed to pay to the IRS the employer portion of the trust fund taxes owed by his businesses. In total, from January 2013 to December 2016, fry owed and willfully failed to pay over to the IRS $568,590 owed by the businesses. 

“Failure to pay taxes is a serious crime,” said United States Attorney Andrea T. Martinez.  “This case is proof that we will hold business owners accountable if they violate their duty to pay employment taxes to the United States Government.” 

“This investigation and prosecution demonstrates the toll that willful violations of the United States tax laws takes on not only the system, but on the average taxpayer,” stated Albert Childress, Special Agent in Charge, IRS-Criminal Investigation. “Mr. Fry’s actions hurt the taxpayers from whom he took withholdings but never paid over, he also harmed competing businesses who followed the law. The mission of IRS-Criminal Investigation is to enforce the tax laws of this country to instill confidence in and maintain a fair tax system for all.”

U.S. Attorney Andrea T. Martinez for the District of Utah made the announcement. The case prosecuted by Assistant United States Attorneys from the United States Attorney’s Office for the District of Utah. The case was investigated by IRS-Criminal Investigation.

SALT LAKE CITY – Murat Suljovic, 24, of Salt Lake City, was sentenced to 10 years in federal prison followed by 20 years of supervised release by a U.S. District Court Judge in Utah on Thursday for attempting to provide material support to the Islamic State of Iraq (ISIS) which is a designated foreign terrorist organization.

According to the plea agreement, Suljovic admitted that, in January 2019, he used an online persona to pretend to be an ISIS leader and provide would-be attackers advice about potential terrorist attack targets and plans.  Suljovic admitted he used this persona to provide a bomb-making tutorial video to someone he believed to be an ISIS supporter with the understanding that it was to train and assist in carrying out an attack for ISIS.

Suljovic admitted that, by providing the bomb tutorial, he knowingly attempted to provide material support to ISIS, knowing that ISIS has engaged in terrorism.

“Suljovic provided advice on potential targets, along with providing a bomb-making tutorial video and advice on how to plan an attack, to people he believed were motivated to carry out a terrorist attack on behalf of ISIS,” said United States Attorney Andrea Martinez. “The fact that Suljovic carried out these actions while living in Salt Lake City shows the global reach of terrorist networks and should remind us to stay vigilant against the ongoing fight against terrorist organizations.”

“This case should serve as a reminder that the threat of terrorism is very real, and one we cannot underestimate,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI. “The FBI’s Joint Terrorism Task Force works around the clock to protect our communities from those intent on causing grave harm.” 

The case was investigated by the FBI and members of its Joint Terrorism Task Force and prosecuted by Assistant U.S. Attorneys Carl D. LeSueur and Tyler L. Murray of the Utah U.S. Attorney’s Office with the assistance of National Security Division Counterterrorism Section Trial Attorney Michael Dittoe.

WASHINGTON – The Justice Department today announced the recipients of the Fifth Annual Attorney General’s Award for Distinguished Service in Community Policing. This year’s awards recognize the exceptional work of 18 law enforcement officers and deputies from 12 jurisdictions across the country.

Attorney General Garland announced the award recipients in Atlanta, Georgia.  Later, he attended a ceremony for three award recipients from the DeKalb County Police Department. 

“The work of law enforcement has always been difficult—but perhaps no more so than in the recent past, as officers have faced a host of significant challenges. The officers and deputies receiving this year’s awards demonstrate how so many go above and beyond, even in the midst of trying circumstances,” he said. “Every day, thousands of people who work in law enforcement forge and maintain strong community ties that are essential for ensuring public safety. The recipients of this award represent quintessential examples of such critical efforts. It is an honor to recognize them.”

“We are pleased to announce that the U.S. Department of Justice has honored Unified Police Department Detective Ben Pender with an Attorney General’s Award for Distinguished Service in Community Policing,” said United States Attorney Andrea T. Martinez. “Detective Pender is a shining example of the success of community policing programs in our nation. Detective Pender has worked closely with the refugee population in Utah for over a decade and has run a cold-case homicide task force which works closely with the families of the victims of cold case homicides. We congratulate Detective Pender on being one of 18 law enforcement officers honored by the U.S. Attorney General for their efforts in the field of community policing.”  

The Attorney General’s Award recognizes individual state, local, Tribal, and territorial police officers, deputies, and troopers for exceptional efforts in community policing. The awarded officers and deputies have demonstrated active engagement with the community in one of three areas: innovations in community policing, criminal investigations, or field operations. This year, the Department received 185 nominations from 145 agencies, recognizing a total of 347 individual officers, deputies, and troopers. There were 39 states represented in the nomination pool, covering state, local, campus, sheriff, and other agency types.

The work being honored this year reflects numerous examples of law enforcement officers working closely with the community to build trust, solve problems, reduce crime, and improve public safety.

The Department of Justice works closely with national law enforcement stakeholder groups during the award review period, taking advantage of their expertise and experience to determine the recipients in a competitive nomination process. The Department also works closely with its components, utilizing the breadth of knowledge within the Department to ensure a successful program that honors the exceptional service of our nation’s law enforcement officers and deputies.

Complete information on the Fifth Annual Attorney General’s Award for Distinguished Service in Community Policing can be found at https://www.justice.gov/ag/policing-award.

Attorney General Awards for Distinguished Service in Community Policing 2021

INNOVATIONS IN COMMUNITY POLICING

Detective Latosha Prather, Detective Khary Ricketts, and Detective Dan-nae Webber, DeKalb County (GA) Police Department

Detective Latosha Prather, Detective Khary Ricketts, and Detective Dan-nae Webber’s work for the Police Athletic League (PAL) has taken their outreach efforts to new heights and helped many children stay connected in the process. This was especially true during the summer of 2020, when the pandemic threatened to leave at-risk youth with no summer programs. The detectives implemented a Virtual Summer Academy that connected participants via Zoom, Instagram, and Facebook, focusing on mentorship, education, and athletics. Community leaders, teachers, coaches, business leaders, entrepreneurs, and other nonprofits partnered with the PAL to make this innovative event happen. The program reached a total of 1,018 children and adults. When the summer ended, the unit launched its Back to School Backpack Giveaway, providing supplies to students who otherwise would have had trouble getting them. Next was the second annual virtual “Gaming with a Cop” event, to keep students busy while they were out of school for the Presidents’ Day holiday. The event allowed kids to bond with DeKalb County police officers while competing against them in live video games.

When officers began noticing children selling bottled water on interstate ramps, they knew this was both a safety hazard and a potential breeding ground for other crimes. The detectives of the DeKalb County PAL once again put their heads together and implemented a Career Development Program—a four-month life skills program to provide students with personal growth opportunities and to prepare them for future careers. PAL partnered with Georgia Piedmont Technical College, local entrepreneurs, youth mentors, volunteers, and other police department support units. After the first session, eight of the nine participants were helped through the interview process and are now employed, with the remaining participant enrolling in the Georgia Piedmont College dual enrollment program.

Deputy Joseph Angelico, Martin County (FL) Sheriff’s Office

Since joining the Community Oriented Policing Unit in 2005, Deputy Joseph Angelico has established excellent relationships with the community and earned the trust of community members, who often provide him with critical information. A recent example occurred in May 2021, when a local restaurant fire was declared a case of arson. Within days, Angelico had identified the suspect.

Deputy Angelico views problems as challenges, and his goal is looking for solutions. For example, Angelico sought a proactive solution to the problem of crime in the summer, when the beach community is flooded with tourists. He coordinated countless hours of all-terrain vehicle beach patrols and bicycle parking lot patrols, giving out Criminal Opportunity Reports to visitors to educate them and enlist them in crime prevention efforts.

Deputy Angelico has also established a strong working relationship with the local Department of Human Services to work on helping the homeless population. One homeless Navy veteran, who consistently refused services and shelter, now has both housing and a new outlook on life because of Angelico’s compassion and tireless work.

Deputy Angelico especially made his skills work for the community during the pandemic, when he spearheaded many small operations. He used a substation facility at the local mall to meet with community members, answering their questions and giving them information. During the summer of 2020, he also worked hard to allow protesters to voice their concerns while preventing violence and ensuring public safety. His professionalism and dedication are unparalleled, and his knowledge and experience in community policing have established him as a leader and mentor to others in the office.

Officer Tom Hart, Walpole (MA) Police Department

Officer Tom Hart’s community policing efforts have gone a long way toward building relationships between law enforcement and the community in Walpole, and his efforts have had an impact well beyond the city limits. Hart joined the department in 2013 after a career as a special education teacher. He quickly became involved in many community policing initiatives involving Walpole’s youth. He initially served as a mentor to Walpole schools, with a focus on positive interactions with children who suffer from developmental disabilities. Hart’s efforts include a “positive ticket” campaign to reward “kids caught doing right”; a basketball-cop program, where officers play sports with area youth; and a ride to school program, where each month a student is given a full police escort from his or her home to school. Hart also serves as a leader in the Student Police Advisory Council, and he leads a community-based crisis intervention team that assists with finding resources for those with mental illness.

Officer Hart’s efforts to bridge the gap between Walpole’s youth and the police department resulted in him being named a school resource officer in 2017. He hit the ground running and established the Walpole Junior Police Academy, where middle school students spend a week learning about discipline, physical fitness, and police functions. He also took students with learning disabilities on a field trip to visit an organization called Golden Opportunities for Independence (GOFI), which trains service dogs for a variety of needs.

The visit was so well received that Officer Hart began discussing the idea of police using service dogs as an ice breaker, as well as to assist individuals when responding to traumatic incidents. Hart received approval from town officials, and GOFI donated a golden retriever named “Rebel” to the police. The program has proved such a success that a number of other departments in the state now have a service dog assigned to them, and the Norfolk County District Attorney’s Office announced that they would be funding a grant to purchase service dogs for other jurisdictions. Other states have also expressed an interest in replicating the program. Hart’s innovative ideas have proved invaluable in furthering the department’s community policing efforts (and Rebel, the service dog, has now become the face of the Walpole Police Department).

Officer Danielle St. Peter, Barnstable (MA) Police Department

Officer Danielle St. Peter’s commitment to the Barnstable Police Community Impact Unit (CIU) has dramatically benefited local residents. The CIU works with partner agencies to bring medical care, substance abuse treatment, mental health counseling, and housing services to homeless and disadvantaged populations. St. Peter routinely assumes the role of case manager, counselor, and problem solver by using an individualized approach to de-escalate tense situations and connect people with services tailored to their needs.

In the fall of 2020, the CIU received information about a mother with mental illness living with her baby in a homeless camp. Officer St. Peter forged a relationship with the young mother, building trust with her over a period of time, and addressing her fear of criminal enforcement. She connected her with the appropriate services and eventually was able to move the mother and child into more suitable housing, watching as their quality of life improved dramatically.

Recently, Officer St. Peter skillfully managed a tense situation, as police officers tried to persuade a mentally ill woman who was living in her car to leave her vehicle for a psychiatric committal. Using compassion and skills honed over time, St. Peter provided comfort to the scared woman and de-escalated the situation. She ultimately oversaw her transfer to a care facility and reconnected with her after treatment, helping her to secure temporary housing and get the mental health treatment she needed. Because of St. Peter’s compassion, care, and philosophy of community policing, the woman remains stabilized and they communicate regularly. St. Peter’s upbeat attitude, conflict resolution skills, patience, and work ethic are part of her extreme effectiveness and a true demonstration of community policing.

CRIMINAL INVESTIGATIONS

Sergeant Kurt Berardino and Sergeant Christopher Perez, Miami-Dade (FL) Police Department

In July 2020, a ShotSpotter alert showed that 21 shots had been fired on a Miami street. The aftermath left a seven-year-old dead and another child and two adults injured. The investigation revealed that the victims were returning home from shopping and were fired on as they were getting out of their car. Detectives Kurt Berardino and Christopher Perez (now both sergeants) immersed themselves in the subsequent investigation, poring over multiple Crime Stoppers tips, reviewing hours of surveillance footage, and questioning potential witnesses. As Berardino and Perez developed the case, they established a rapport with two of the survivors, and those survivors provided a positive identification of the subjects involved in the shooting. This positive identification was key in furthering other leads that were gathered. Evidence collected was crucial in solidifying victim statements and the timeline of the events. Arrest warrants were eventually issued, and in September 2020 the detectives traveled to Georgia, where one suspect was taken into custody and later confessed; a second suspect was also arrested. It was the tenacity, persistence, and determination of Detectives Berardino and Perez that closed this case and brought justice to the families of the victims and to the community.

Detective Victor Powell and Detective Jonathan Smith, Norfolk (VA) Police Department

In September 1980, a woman was brutally murdered in her Norfolk apartment. No solid leads into the case were developed until Cold Case Detectives Victor Powell and Jonathan Smith took on the case 38 years later and pursued a DNA analysis. The results showed a potential suspect in Michigan. Powell and Smith conducted numerous witness interviews, on the basis of which they obtained a warrant and arrested the suspect. The suspect was extradited to Norfolk and eventually confessed to the 1980 murder. He also admitted to previously unresolved, uncharged sexual assaults between 1976 and 1977 in San Diego, California. In the summer of 2020, the defendant pled guilty to first-degree murder, rape, and burglary arising from the brutal attack on the victim in 1980. The court sentenced the defendant to a life term of imprisonment on both the first-degree murder and the rape convictions and a term of 20 years in prison on the burglary conviction. Also, as a result of the resolution of the case in Norfolk, the state of Michigan was able to return the defendant to the state to stand trial for pending charges related to the 1989 death of his adopted daughter. Smith and Powell’s dedication to this investigation brought great credit to the Norfolk Police Department from across the United States and brought peace to a family who fought for justice for 40 years.

†Detective Powell, a 31-year veteran of the Norfolk Police Department, passed away May 21, 2020; he is remembered for his outstanding service to the department.

Detective Ben Pender, Unified Police Department of Greater Salt Lake (UT)

In November 2010, a woman was found brutally murdered in her South Salt Lake, Utah bookstore. The scene was processed and fingerprints, a palm print, and DNA were recovered, which later provided a profile of an unknown male suspect. In 2018, cold case Detective Ben Pender worked with a genetic genealogist and was eventually given more than 300 names for target testing. Pender researched their names and addresses and sent letters to those individuals across the country, requesting voluntary participation in the investigation. He ultimately traveled to eight states and was able to foster relationships with 50 target test subjects, who provided swabs for DNA testing. In the fall of 2020, Pender was provided a close genetic match with the DNA left at the crime scene.

After more research and questioning potential relatives, Detective Pender identified the name of a suspect. Pender worked with detectives from the Major Investigations Unit to conduct surveillance on the suspect and collect a DNA sample, which turned out to be a match with the DNA collected at the murder scene. Pender arrested the suspect, who admitted to the murder and provided critical details. If not for Pender’s tenacious efforts, this homicide might never have been solved and a grieving family might still not have found justice. Pender has closed several unresolved homicides and missing persons cases and worked homicides for other agencies. In addition, in 2018 he organized the first annual Hope Conference for families of unresolved homicide victims, during which participants learned that every open unresolved case would be examined no less often than every 18 months.

Detective-Sergeant Jeffrey Araujo and Major Christopher Reed, Central Falls (RI) Police Department

In July 2007, a cab driver was shot in his cab and died by the time he was transported to the hospital. Witnesses reported seeing three young men run from the scene, some tossing their baseball caps as they ran. When processing the scene, Detective (now Detective-Sergeant) Jeffrey Araujo and Detective (now Major) Christopher Reed discovered two baseball caps in the vicinity of the shooting. The detectives later spoke with the victim’s wife, who said she was on the phone with her husband just before the shooting. She said her husband had called to say he was not comfortable with the three men in his taxi and wanted to keep her on the phone in case something went wrong. Shortly after, his wife heard a struggle and the phone disconnected.

Detectives Araujo and Reed were later contacted by a confidential informant, who identified a man he said had shot the driver. The detectives also received information about the other two men in the car. The detectives continued to pursue the investigation over the years but lacked hard evidence. Through their continued efforts, however, in May 2017 the detectives spoke with a subject who wanted to talk about the taxi driver’s murder and provided information on the suspects who were involved. At the same time, the detectives spoke with another individual who reported the suspects had talked about the murder the day after it happened. Araujo and Reed then resubmitted both baseball hats and requested they be tested against the profiles of the three suspects. There was a match, and thanks to this match and other evidence, the detectives secured an indictment. After a trial, the suspect was convicted and sentenced. Although the victim’s wife had passed away in the interim, because of the detectives’ tenacious work, the victim’s children and family were able to see that justice was finally served.

FIELD OPERATIONS

Deputy Sarah Merriman, Richland County (SC) Sheriff’s Department

When Deputy Sarah Merriman was dispatched to a call for a domestic dispute in progress, she was told in advance that the suspect had a firearm and had already assaulted a woman. Upon her arrival outside of the residence, she saw a very agitated man with a shotgun in his hand, and one of several women on the scene was bleeding profusely from her head. Merriman had to decide instantly whether to draw her weapon; recognizing the subject’s state of mind, she chose to talk to him. She pleaded with him to drop the weapon—and once additional patrol deputies arrived and aimed their guns at him, she encouraged him to focus on talking to her. The suspect taunted Merriman for several minutes, yelling at her to pull her weapon and shoot him. Finally, Merriman was able to calm him down and he lowered the shotgun; she then took him into custody.

Deputy Merriman’s actions exemplify what it is to be a guardian. Her ability to recognize the individual’s state of mind—and her realization that drawing her weapon would escalate the situation—prevented a tragic outcome and saved at least one life that day.

Officer Kristen Schmidt, Portland (OR) Police Bureau

Officer Kristen Schmidt is part of the Enhanced Crisis Intervention Team at the Portland Police Bureau. She responded to a call from the local Humane Society, where a woman trying to recover her cats from the shelter had become belligerent. Schmidt did not know at the time that the woman was in the midst of an extended period of psychosis; the sudden appearance of several uniformed officers, an ambulance, and staff from a community health agency exacerbated her condition.

In an effort to calm the situation, Officer Schmidt sat with the woman and patiently explained the need to go to the hospital. When the ambulance driver told the woman to get on the gurney and her agitation returned, Schmidt then drove the woman to the hospital herself. She talked to her during the drive; the woman reported, “She treated me with dignity and respect and looked for ways to connect with me.”

Officer Schmidt kept in touch with the woman during her three-week hospitalization, picked her up when she was released, and drove her to the shelter to retrieve her dog, who had also been left there. The woman said she felt treated with “compassion and humanity.” A year after the incident, the woman met Schmidt at the precinct to express her gratitude and share how differently she felt that day could have gone if Schmidt had not been the officer on the scene. She believes that Schmidt is a powerful role model for sensitive and compassionate police work for people in vulnerable situations.

Officer Travis Allen and Officer Brendan Fowler, Irving (TX) Police Department

In the winter of 2021, officers responded to a call of a drowning in progress. A family had ventured out onto an ice-covered canal to take photos, but the father and mother had fallen through the ice into the frigid waters. When Officer Brendan Fowler arrived on the scene, he threw a lifeline out to both, telling them to wrap it around themselves to remain above water. Officer Travis Allen arrived next and communicated with Fowler to develop a rescue plan. The fire department arrived and slid two ladders out onto the ice, but the woman was succumbing to the cold and began to go under. Allen immediately crawled out on the ladder and held the woman’s face above the water. A firefighter crawled out on the other ladder just as the ice broke under Allen, dumping him into the water. Allen and the firefighter, now exposed to the extremely cold water, worked quickly and managed to lift the woman onto a ladder. Other officers who were now on the scene made sure that everyone was attached to the ladder and pulled the ladder onto the shore. The husband was responsive, but the wife was unresponsive and showed signs of hypothermia onset. They were then transported to the hospital, where both recovered. If it were not for the quick response and heroic actions taken by Allen and Fowler, the outcome could have been very different.

Officer Cody Hubbard, Pottsville (AR) Police Department

In May 2021, Officer Cody Hubbard responded to a call of a cardiac arrest of a three-week-old child who was not breathing. Immediately upon his arrival, Hubbard began life-saving efforts and started the Heimlich maneuver for infants. The baby soon began to cry and breathe on his own. The Pope County emergency medical services team then arrived and took over the scene. Hubbard was awarded the department’s Life Saving Award for his actions. Under a very stressful situation, he was able to retain, recall, and apply the lifesaving training he had received. Officer Hubbard saved a young life and earned the respect of the community.

SALT LAKE CITY – Cecil T. Vijil Jr., 39, of Aneth, was sentenced to 96 months in federal prison after being convicted of assaulting an FBI Special Agent and assaulting a San Juan County Sheriff’s Deputy with a dangerous weapon within Indian Country. Vijil was sentenced to an additional 12 months in prison for escaping from federal custody during his pre-trial detention in Cache County, Utah. After his release from federal prison, Vijil has been ordered to serve five years of supervised release.

According to allegations contained in a federal complaint, Vijil opened fire on an FBI Special Agent and a San Juan County Sheriff’s Deputy with an AR-15 style semi-automatic rifle on April 30, 2020. The FBI agent and the Sheriff’s Deputy had gone to Vijil ’s home to question him about his involvement in an incident where he allegedly shot at a store in Mexican Hat earlier the same day. Upon their arrival to his home, Vijil exited his home and shot several rounds from the rifle that were directed at the vehicle being driven by the Sheriff’s Deputy and the FBI agent.

In the plea agreement, Vijil admitted that he forcibly assaulted an FBI Special Agent while the agent was engaged in the performance of her official duties by shooting at the agent with a rifle. Vijil also admitted that he shot at another victim known as “C.W.” within the geographical boundaries of Indian Country and that he intended to do harm to C.W. Vijil also admitted that he escaped from the Cache County Jail while being held in federal pre-trial custody on charges related to shooting at the FBI Special Agent and “C.W.”

The case was prosecuted by Assistant United States Attorneys from the U.S. Attorney’s Office for the District of Utah. The case was investigated by Special Agents from the FBI and the San Juan County Sheriff’s Office.

SALT LAKE CITY – Colin Andrew Shapard, 21, of Las Vegas, Nevada, has been charged in federal court by the United States Attorney’s Office in Utah with six counts related to the distribution of fentanyl in Utah. The complaint charges Shapard with one count of distribution of fentanyl resulting in serious bodily injury and five counts of distribution of fentanyl. 

United States Attorney Andrea T. Martinez, Utah Attorney General Sean D. Reyes, DEA Assistant Special Agent in Charge Jay Tinkler, United States Postal Inspection Service Team Leader Jared Bingham, Park City Police Chief Wade Carpenter, and Summit County Sheriff Justin Martinez announced the charges today.  

The complaint filed against Shapard alleges that, in November of 2021, DEA task force officers employed by the Park City Police Department and the Summit County Sheriff’s Office learned that illegal narcotic shipments containing opioids were being shipped from Las Vegas to Park City. The DEA officers learned that the alleged source of supply for the narcotics was Colin Shapard, and that he utilized delivery services, including the U.S. Mail, to ship opioids from Las Vegas to Utah. Officers also learned that each blue pill, stamped as fake 30 mg. oxycodone “M30,” costs between $30.00 and $45.00 per pill, and that Shapard had promised kickbacks to an individual in Park City for distributing the narcotics on his behalf. 

By November of 2021, it is alleged that Shapard had shipped between 10 and 30 of the blue M30 pills every two weeks over the previous two to three months to an individual in Park City. The DEA officers learned that Shapard was allegedly using encrypted cellular applications to arrange the shipment of the fake oxycodone pills to Park City. 

On December 8, 2021, U.S. Postal Inspectors took possession of a parcel which was shipped from Las Vegas to Park City. Postal Inspectors were able to obtain photographs of an individual who had allegedly shipped the parcel from the University Post Office in Las Vegas. Using these photographs, officers identified Shapard as the person who had allegedly sent the parcel. A search warrant was executed on this parcel and 35 blue M30 fake oxycodone pills were discovered with "M" imprinted on one side and "30" on the other side. The pills tested positive for fentanyl. 

On December 20, 2021, Postal Inspectors took possession of a priority mail package shipped from Las Vegas to Tooele. The envelope allegedly listed the sender as Colin Shapard and the recipient was an associate of Shapard’s. Using information obtained from the package, Postal Inspectors learned that the package was sent on December 17, 2021, from the University Post Office in Las Vegas. Postal Inspectors were able to obtain photographs which allegedly showed Shapard shipping the parcel from Las Vegas. A search warrant was executed on this parcel, and DEA officers discovered a single blister pack labeled as Tapentadol 100 MG which contained ten orange pills, and a pill bottle containing a variety of pills. The pill bottle contained 25 blue pills with "M" imprinted on one side and "30" imprinted on the other side. The blue pills tested positive for fentanyl. The bottle also held 100 unknown green pills with markings similar to Xanax pills and two unknown orange and white pills which were booked into evidence. 

In December of 2021, a DEA undercover agent contacted Shapard and attempted to purchase blue oxycodone 30mg tablets from him. Shapard allegedly indicated that he charged a premium for these pills but that they were legitimate pharmaceutical pills from Canada and did not contain fentanyl. Shapard also allegedly warned the undercover agent to be “careful” because “30 mg of oxycodone is still the very strong/the strongest they make….” 

On January 31, 2022, post office cameras in Las Vegas allegedly showed Shapard mailing the DEA undercover agent a parcel containing the requested pills. On February 4, 2022, a package addressed to the DEA undercover agent was intercepted by a Postal Inspector in Utah.  Inside the package, DEA officers discovered 15 blue M30 pills with "M" imprinted on one side and "30" imprinted on the other side. The pills tested positive for fentanyl. An additional nine yellow pills were discovered in the package which were booked into evidence. 

On February 10, 2022, Park City paramedics and Summit County Sheriff’s Deputies responded to a call regarding an 18-year-old male who was found unresponsive. Emergency workers resuscitated the victim using CPR and Narcan and the victim was transported to the hospital. The following day, DEA officers discovered that the victim had overdosed on blue M30 pills which were allegedly purchased from Shapard. The victim’s urinalysis report showed the presence of fentanyl and a fentanyl metabolite. The victim’s phone was searched, and it contained text messages allegedly facilitating illegal narcotics transactions between the victim and Shapard. Using shipping information Shapard had allegedly sent to the victim via text message, Postal Inspectors were able to obtain photos of Shapard allegedly shipping the parcel from the University Post Office on February 1, 2022. 

The DEA undercover agent placed another order for blue 30 mg oxycodone pills from Shapard after this incident. On February 14, 2022, Shapard allegedly shipped the pills ordered by the undercover agent. Photos from the University Post Office in Las Vegas allegedly show Shapard shipping the parcel to Utah. This parcel was intercepted by postal inspectors in Utah, on February 22, 2022. DEA officers discovered 15 blue M30 pills inside of the package along with fifteen white gel capsules. The blue M30 pills tested positive for fentanyl. Shapard allegedly sent a message to the undercover agent to confirm if the undercover agent had received the package. The undercover agent’s response to the message was delayed by a weekend. After this delay, and after hearing the undercover agent received the package, Shapard allegedly wrote, “Sorry about being so worried…Just wanted to check in and make sure you weren’t dead, as [it’s] never a good sign when someone goes MIA after getting a [expletive] ton of opiates.” 

In February of 2022, Shapard allegedly shipped another package containing fake blue M30 oxycodone pills to an associate in Tooele which was intercepted by postal inspectors. On February 18, 2022, a search warrant was executed on the package and 20 blue M30 pills were discovered inside which tested positive for fentanyl. Postal Inspectors again obtained photographs of Shapard allegedly shipping the parcel from the University Post Office in Las Vegas. 
 
Assistant United States Attorneys, and Special Assistant United States Attorneys from the Utah Attorney General’s Office, are prosecuting the case against Shapard. Special Agents and Task Force Officers from the DEA, the Summit County Sheriff’s Office, the Park City Police Department, and the United States Postal Inspection Service conducted the investigation. 

Allegations in charging documents are not findings of guilt. Defendants charged in complaints or indictments are presumed innocent unless or until proven guilty in court.

SALT LAKE CITY – Gaylen Dean Rust, 62, of Layton, was sentenced to 19 years in federal prison by a U.S. District Court Judge on Tuesday, after being convicted of conspiracy to commit wire fraud, conspiracy to commit money laundering, and securities fraud. Rust was ordered to pay over $153 million dollars to the 568 victims of his criminal scheme, and an order of forfeiture in the same amount was entered against Rust for all money and assets owned by Rust and traceable to the criminal scheme. Rust has been ordered to report to federal prison on Wednesday, March 9, 2022. 

In the plea agreement with federal prosecutors, Rust admitted that he was the owner and operator of Rust Rare Coin, Inc. (RRC) in Utah, from 2002 until 2018, and that he had previously worked as the manager of the business. Rust admitted that beginning in 2008, he began a scheme to defraud investors by inducing them to invest in RRC's fraudulent “silver trading program.” However, Rust’s “silver trading program” operated as a Ponzi scheme. Rust admitted to selling investments in the fraudulent program to approximately 500 investors located throughout the United States in amounts totaling $225 million dollars. Rust admitted that he paid out money from later investors to earlier investors to create the impression that his “silver trading program” was profitable and to keep the scheme operating. 

Rust carried out the fraudulent scheme by explaining to victims that RRC's silver trading program was a lucrative investment that involved the buying and selling of actual silver bullion; that 100% of investor funds would be used to buy actual silver; that all the silver bullion purchased would be stored at Brinks Global Services in Salt Lake City or Los Angeles; and, that RRC was storing almost $80 million dollars of silver bullion at Brinks. 

Rust further told investors that all of the silver trades were conducted through an RRC account at HSBC Bank; that profit generated in trades would be used to repurchase a larger amount of silver at a lower price, thereby continually increasing the amount of silver for investors; and, that by using algorithms, the silver trading program had never experienced a losing month, much less a losing year, and that the worst year had generated a 12 percent return, and that the average rate of return was 20 percent to 25 percent per year.

However, Rust had little to no silver stored at Brinks; Rust had not stored silver bullion at Brinks since 2016, and no meaningful investor funds were ever used to purchase silver bullion during the scheme; RRC had no mechanism to generate meaningful returns on silver trading; and HSBC Bank had never maintained an account on behalf of RRC. Rust diverted nearly all investor funds to other businesses, personal uses, and to making payments to previous investors. Rust also admitted that in January of 2016, he opened three personal accounts at Zions bank and used these accounts to launder approximately $18 million dollars from the fraudulent trading scheme. 

“We hope that a 19-year prison sentence and an order to pay over $153 million dollars sends a message to the community that the U.S. Attorney’s Office is committed to prosecuting financial crimes,” said United States Attorney Andrea T. Martinez. “Those who defraud their family, friends, and associates out of their hard-earned savings will be held accountable. Unfortunately, the reality of these cases is that victims’ money is nearly always spent by the perpetrator of the crime or paid out to other victims. This should be a stark reminder to all Utahns that it is imperative to vet your financial advisor or anyone who attempts to persuade you to invest in their business or financial dealings.” 

“Gaylen Rust betrayed the trust of his hundreds of clients, many of them his own family, friends and members of his church. For years, he lived his life on their hard-earned money,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI. “Mr. Rust’s deceit has now caught up to him and he will face the consequences for his fraudulent actions. The FBI encourages anyone looking to invest to do their due diligence and be wary of promises of investment returns that seem too good to be true.” 

“IRS-Criminal Investigation specializes in finding and exposing financial fraud. Our agents working with our law enforcement partners continually strive to put a stop to this kind of fraud and send a message to those who may be considering defrauding others,” said IRS-Criminal Investigation Special Agent in Charge Albert Childress. “This case was a significant fraud in the community and left an impact affecting hundreds of lives. Through the efforts of our agents combined with those of our law enforcement partners, we have been able to bring some measure of justice.”

“The actions of Mr. Rust represent some of the biggest consumer harm we’ve seen,” said Department of Commerce Executive Director Margaret Busse. “Ponzi schemes absolutely destroy trust in the investment industry. Without trust, individuals aren’t willing to participate in future opportunities and that affects our entire economy.”

"We're proud to have been able to partner with the U.S. Attorney's office and other agencies in uncovering this awful scam,” said Division of Securities Director Jason Sterzer. “The most common sign that an investment is a scam is an offer of high returns with little or no risk. Education remains the best defense against securities fraud.

Assistant U.S. Attorneys Jacob Strain, Carl LeSueur, and Tyler Murray in Salt Lake City prosecuted the case. Securities Investigator Elizabeth Blaylock of the Utah Division of Securities and Special Agents Jason Henrikson and James Malpede (retired) of the FBI investigated the case along with agents on the FBI’s White Collar Task Force, including Special Agent Jeff Kirkwood of IRS-Criminal Investigation. Related civil cases were filed by the Securities Exchange Commission, the Commodity Futures Trading Commission, and the Utah Attorney General’s Office.
 

SALT LAKE CITY – A federal grand jury in the District of Utah has issued a16-count indictment, which alleges that six individuals associated with a drug trafficking organization are responsible for conspiring to distribute cocaine, in addition to the distribution of methamphetamine, along the Wasatch Front. 

The charges are the result of an investigation into a drug trafficking organization which was allegedly responsible for transporting kilograms of cocaine from California into Utah for distribution. Using court authorized investigative techniques, Special Agents from the FBI and the Wasatch Metro Narcotics Task Force identified six defendants allegedly responsible for the distribution of narcotics. 

From November of 2021 until February of 2022, agents completed several controlled buys of cocaine and methamphetamine from the defendants listed in the indictment. During the investigation, agents seized over 1.8 kilograms of cocaine, over one pound of methamphetamine, two firearms, and over $102,000 in cash. 

The indictment charges Leonardo Ortiz-Rios, aka Gerardo Ortiz Benitez, 45, of West Valley City, with one count of conspiracy to distribute cocaine and one count of distribution of cocaine. 

Teresa Sanchez, 45, of West Valley City, is charged with one count of conspiracy to distribute cocaine, and one count of possession with intent to distribute cocaine. 

Jacinto Perez, 61, of Taylorsville, is charged with one count of conspiracy to distribute cocaine, four counts of distribution of cocaine, three counts of distribution of methamphetamine, and one count of possession with intent to distribute cocaine. 

Alejandro Santana-Brito, 35, of West Valley City, is charged with one count of conspiracy to distribute cocaine and two counts of distribution of cocaine and one count of reentry of a previously removed alien

Justin Archuleta, aka Philip Zachary Colvin, 50, of Salt Lake City, is charged with one count of conspiracy to distribute cocaine, one count of possession of cocaine with intent to distribute, and one count of felon in possession of a firearm. 

Jose Guadalupe Ruiz, 53, of Tooele, is charged with one count of conspiracy to distribute cocaine and one count of possession with intent to distribute cocaine. 
    
Assistant U.S. Attorneys Stephen L. Nelson and Stewart M. Young in the Utah U.S. Attorney’s Office are prosecuting the case, Special Agents from the FBI and the Wasatch Metro Narcotics Task Force conducted the investigation.  

Indictments are not findings of guilt. Defendants charged in indictments are presumed innocent unless or until proven guilty in court.                    

SALT LAKE CITY – Thomas Wallin, 23, of South Jordan, was sentenced to serve 18 years in federal prison and a lifetime of supervised release, after pleading guilty to the production and dissemination of child exploitation materials. Wallin will also be required to register as a sex offender upon his release from prison.

In the plea agreement, Wallin admitted to sexually abusing a minor in 2019, and to producing and distributing a sexually explicit depiction of the abuse using the internet. 

According to a criminal complaint filed by prosecutors, in August of 2020, HSI investigators received a request for assistance from Australian law enforcement officials related to an individual located in Utah who was distributing child exploitation materials with an individual located in Australia. The suspect in Australia had been arrested earlier by Australian authorities, and after a review of the Australian’s Telegram social media account, he was found to have been exchanging child exploitation materials with a Utahn believed to be Thomas Wallin, of South Jordan, Utah. The investigation showed, that in 2019, the two used the Telegram platform to share sexually explicit videos of minors under the age of seven years old, including a video which depicted Wallin sexually abusing a three-year old boy, and a separate explicit video of the same minor. Authorities were able to confirm it was Wallin who was abusing the minor in part through a distinctive bracelet worn by Wallin in the video which was later found in his home during a search warrant. Authorities also identified the presence of a mole on Wallin’s hand, which also appeared in the same video. During an interview with an investigator from HSI, Wallin admitted to recording himself sexually abusing a minor male and that he had used Telegram to receive child exploitation materials from individuals using the internet. Digital media seized from Wallin at the time of arrest contained over 20 sexually explicit images of minor children under the age of twelve being sexually exploited.

“The United States Attorney’s Office is committed to protecting minor victims from violent criminals who prey on their innocence,” said U.S. Attorney Andrea T. Martinez. “The troubling facts of this case should be a reminder for parents and guardians of young children to be extremely careful of who your children are left alone with. Thanks to the investigative work by special agents from Homeland Security Investigations, the defendant in this case will be in federal prison for almost two decades, and the victims in this case can begin healing from the trauma caused by these crimes.” 

“This lengthy sentence is a testament to the repugnant nature of child exploitation crimes which only perpetuates the lasting trauma endured by victims,” said Lucia Cabral-DeArmas, Acting Special Agent in Charge, Homeland Security Investigations- Las Vegas. “Our hope is that this sentence sends a message that our HSI agents will aggressively pursue anyone who attempts to prey on our nation’s most vulnerable population, our children. Let today be the starting point for the healing process for the victims and their families.”

Assistant U.S. Attorneys from the Utah U.S. Attorney’s Office prosecuted the case. Special Agents from Homeland Security Investigations conducted the investigation. 

ST. GEORGE, UTAH – A recently unsealed 24 count indictment issued by a grand jury in the District of Utah charges 17 individuals for their alleged roles in a conspiracy to distribute fentanyl, methamphetamine, and marijuana in Washington County. The charges follow joint Organized Crime Drug Enforcement Task Force (OCDETF) operations conducted by the Washington County Drug Task Force, the Drug Enforcement Administration (DEA), the Federal Bureau of Investigation (FBI), Homeland Security Investigations (HSI), U.S. Immigration and Customs Enforcement (ICE), the Internal Revenue Service’s Criminal Investigation Division (IRS), and the United States Marshals Service. 

These charges resulted from an investigation that demonstrated extensive law-enforcement cooperation in the St. George area. Federal and state partners conducted a proactive investigation targeting drug trafficking and money laundering. Officers seized more than three kilograms of methamphetamine and thousands of fentanyl pills. Using court-authorized investigative techniques, law enforcement learned that Angel Rubio-Quintana, along with co-conspirators, allegedly ordered narcotics from individuals in Mexico, distributed the narcotics in the local community, and sent drug proceeds from Utah to Mexico. 

United States Attorney for the District of Utah Andrea T. Martinez announced the charges today along with Washington County Drug Task Force Captain Jordan Minnick, DEA Assistant Special Agent in Charge Jay Tinkler, FBI Special Agent in Charge Dennis Rice, and HSI Acting Special Agent in Charge Lucia Cabral-Dearmas. 

“The United States Attorney’s Office is committed to federally prosecuting drug traffickers who fuel addiction and crime in Southern Utah,” said United States Attorney Andrea T. Martinez. “This prosecution highlights law enforcement’s tireless efforts to dismantle drug-trafficking organizations from suppliers in Mexico to drug dealers in St. George. We will continue to vigorously prosecute those who traffic narcotics in our communities.” 

The indictment charges 17 individuals with 24 federal counts, including conspiracy to distribute fentanyl, methamphetamine, and marijuana; conspiracy to launder money; distribution of fentanyl and methamphetamine; possession of fentanyl and methamphetamine with intent to distribute; and unlawful reentry of a previously removed alien. 

Those charged in the indictment are:

•    Angel Rubio-Quintana, 41, of St. George
•    Ramon Higuera-Cota, 49, of Sinaloa, Mexico
•    Presciliano Galax-Felix, aka “Chito,” 54, of Sinaloa, Mexico
•    Jaime Rivera-Jauregui, aka “Charras,” 35, of St. George
•    Carlos Rubio-Acosta, 19, of St. George
•    Lauro Ignacio-Morales, aka “Junior,” 20, of St. George
•    Llonatan Gutierrez-Ruiz, aka “Barbas,” 59, of St. George
•    Alfreida Simpson, 38, of St. George
•    Tanya Adame, 19, of St. George
•    Raul Valdez-Chavez, 62, of Riverside County, California
•    Juana Marin-Angel, 34, of West Jordan
•    Daniel Tena-Villasenor, 28, of Jerome
•    Tracy Eyman, 52, of Diamond Valley
•    Juan Carlos Orozco, 40, of St. George
•    Paul Ciriaco, 33. of St. George
•    Oliver Mendez-Rojas, aka “Willy,” 21, of St. George 
•    Hardet Alan Valdez, aka “Moshi,” 20, of St. George, Utah 

Assistant U.S. Attorneys Stephen P. Dent and Angela Reddish-Day, in the St. George Branch Office of the U.S. Attorney’s Office for the District of Utah, are prosecuting the case. Special agents, task force officers, and analysts from the DEA, FBI, IRS, and HSI investigated the case, alongside detectives and analysts from the Washington County Drug Task Force.
 
Indictments are not findings of guilt. Defendants charged in indictments are presumed innocent until proven guilty in court.
 

SALT LAKE CITY – Ryan Palmer, 53, of Sanpete County, was indicted by a grand jury last December in the District of Utah for a fraudulent scheme related to his farm equipment company, known as Palmer Equipment, LLC. In the indictment, Palmer is charged with bank fraud, wire fraud, and two counts of money laundering. The indictment alleges that Palmer defrauded 25 victims out of more than $1.2 million dollars in total. 

The indictment alleges that beginning in 2017, Palmer represented to his victims that he could sell or obtain farm equipment on their behalf, and that he entered into consignment contracts with his victims to sell their farm equipment and promised to pay the victims the proceeds from the sale of their equipment. It is alleged that Palmer also told victims that he could sell them functioning farm equipment that was free and clear of any liens. However, the indictment alleges that Palmer sold defective equipment to buyers; removed and replaced serial placards on the equipment; sold victims’ farm equipment which he did not own; did not deliver equipment to buyers; and did not pay, or only partially paid, proceeds to consignors for farm equipment which they had sold through Palmer. In some cases, it is alleged that Palmer encumbered consigners equipment by fraudulently stating the equipment was his own and then sold the same equipment as if it were his own. Additionally, it is alleged that Palmer fraudulently represented to banks that victims’ consigned equipment was his own and then obtained bank issued loans by using the victims’ consigned equipment as collateral. 

  The first count in the indictment charges Palmer with bank fraud for obtaining a loan from Utah Independent Bank for $51,000 by fraudulently representing that he owned a 1985 Allis-Chalmers 8050 tractor and using the tractor as collateral to obtain the loan. Additionally, it is alleged that Palmer failed to pay the original consignor of the tractor and the bank when the tractor was sold.

The second count alleges that Palmer committed wire fraud by accepting a wire transfer from a buyer of equipment in the amount of $19,450 into Palmer’s personal Mountain America Credit Union Account. 

The third and fourth counts in the indictment allege that Palmer committed money laundering by transferring $25,000 obtained through a fraudulently acquired bank loan into a Palmer Equipment Checking Account, and by transferring $16,000 obtained through the sale of a tractor into Palmer’s personal checking account.  

Assistant U.S. Attorneys from the Utah U.S. Attorney’s Office from the St. George branch office are prosecting the case. Special Agents from the FBI and IRS Criminal Investigations conducted the investigation. 

Indictments are not findings of guilt. Defendants charged in indictments are presumed innocent unless or until proven guilty in court.
 

DATELINE -- U.S. Attorney General Merrick B. Garland today released the Justice Department’s new National Strategy to Combat Human Trafficking pursuant to the Justice for Victims of Trafficking Act.

Rooted in the foundational pillars and priorities of the interagency National Action Plan to Combat Human Trafficking, which President Biden released on Dec. 3, 2021, the Justice Department's National Strategy is expansive in scope.  It aims to enhance the department's capacity to prevent human trafficking; to prosecute human trafficking cases; and to support and protect human trafficking victims and survivors.

“Human trafficking is an insidious crime,” said Attorney General Garland. “Traffickers exploit and endanger some of the most vulnerable members of our society and cause their victims unimaginable harm. The Justice Department’s new National Strategy to Combat Human Trafficking will bring the full force of the Department to this fight.”

“The United States Attorney’s Office for the District of Utah is committed to the prosecution of human trafficking and to serving the exploited victims of this evil crime,” said United States Attorney Andrea Martinez. “Together with our local, state, tribal, and federal partners, we will continue to focus our efforts on the strategic dismantlement of human trafficking networks that operate in our state.”

Among other things, the Justice Department’s multi-year strategy to combat all forms of human trafficking will:

• Strengthen engagement, coordination and joint efforts to combat human trafficking by prosecutors in all 94 U.S. Attorneys’ Offices and by federal law enforcement agents nationwide.
• Establish federally-funded, locally-led anti-human trafficking task forces that support sustained state law enforcement leadership and comprehensive victim assistance.
• Step up departmental efforts to end forced labor by increasing attention, resources and coordination in labor trafficking investigations and prosecutions.
• Enhance initiatives to reduce vulnerability of American Indians and Alaska Natives to violent crime, including human trafficking, and to locate missing children.
• Develop and implement new victim screening protocols to identify potential human trafficking victims during law enforcement operations and encourage victims to share important information.
• Increase capacity to provide victim-centered assistance to trafficking survivors, including by supporting efforts to deliver financial restoration to victims.
• Expand dissemination of federal human trafficking training, guidance and expertise.
• Advance innovative demand-reduction strategies.

The department’s strategy will be implemented under the direction of the National Human Trafficking Coordinator designated by the Attorney General in accordance with the Abolish Human Trafficking Act of 2017.

If you believe that you or someone you know may be a victim of human trafficking, please contact the National Human Trafficking Resource Center Hotline at   1-888-373-7888, or Text 233733.

To read the National Strategy to Combat Human Trafficking click here.

SALT LAKE CITY – Attorney Eric Singleton, 56, of Salt Lake City, was sentenced to 12 months and one day in federal prison by a judge in the District of Utah for his role in a bankruptcy fraud scheme on Monday. In addition, Singleton was ordered to serve two years of supervised release after the completion of his federal prison sentence and was ordered to pay  $266,843 in restitution to the victims of his crime. 

In the plea agreement, Singleton admitted that, from May of 2016 until September of 2017, he made false statements to the United States Bankruptcy Court, the bankruptcy trustee, and his clients, to facilitate his fraudulent scheme to embezzle money from client trust accounts and spend the money for his own personal use. Singleton carried out the fraud by advising his clients, “SYN and “CCN”, to transfer over approximately $288,000 to Singleton, which were proceeds from the sale of their properties, for Singleton to pay his attorney’s fees of $22,000 and to hold the remaining amount of $266,000 in his client trust accounts. Singleton advised his clients that he would hold the money for safekeeping to ensure that the money would not be taken by collections. Singleton then advised his clients he would return the money to his clients after the completion of their bankruptcy case. Singleton then spent the $266,000 for business and personal use. 

After Singleton had embezzled the $266,000, he filed three separate bankruptcy proceedings for his clients in the United States Bankruptcy Court. During these bankruptcy proceedings, Singleton falsely stated to the court and the trustee that these individuals had less than $50,000 in assets, despite the fact that CCN and SYN had transferred over $266,000 to Singleton prior to the filing of these bankruptcy cases.  

Following these three separate bankruptcy cases, Singleton filed two of his own bankruptcy cases in a continued effort to hide and conceal that he had embezzled $266,000 from his clients and then spent the money for business and person use. 

The case was prosecuted by an Assistant United States Attorney in the United States Attorney’s Office for the District of Utah and a Special Assistant United States Attorney with the United States Trustee’s Office for the District of Utah and investigated by Special Agents from the Federal Bureau of Investigations.

SALT LAKE CITY – A Utah County resident was sentenced last Wednesday in connection with fraudulent representations he made to get a loan under the Paycheck Protection Program (PPP).

Michael Leroi Douros, 66, of Lehi, was sentenced to 28 months in prison after pleading guilty to two counts of bank fraud, two counts of making a false statement to a bank, and money laundering contained in the felony information with which Douros was charged in federal court. After being released from prison, Douros will serve three years of supervised release.

According to court documents filed as a part of his plea agreement, Douros made false representations to two banks, for a total amount of $437,891, to get a PPP loan for his business, Epic Rentals UT LLC. The business was registered with the Utah Division of Corporations on June 5, 2019, with his son, listed as the registered agent. The false statements included in the loan applications related to (1) misrepresentations about Epic Rentals’ monthly payroll and the number of employees the business had; (2) claims that his son owned 50 percent of Epic Rentals when his son was a straw owner and did not own any portion of the business when at least one application was submitted; and (3) a failure to disclose on the loan application that he had been convicted of a felony in Utah and had been on probation in the last five years.

PPP loan applications make clear, that any company which was owned 20% or more by someone with such criminal history was disqualified from receiving PPP funds. Based on Douros’s criminal history, and the fact that he was still on probation when the loan applications were submitted, his business was ineligible for PPP funding.

To implement his scheme to defraud the Paycheck Protection Program, Douros first submitted an application with false statements through Zions Bank. Zions Bank initially funded the PPP loan of $198,000 to Epic Rentals.  However, upon further inspection of the representations in the loan application, the bank cancelled the loan transfer. Douros then submitted a second PPP loan application containing false statements through Cache Valley Bank, which was funded in the amount of $239,091.67 to Epic Rentals. The money laundering conviction relates to a $20,000 payroll check made payable to the defendant from an Epic Rentals bank account.

“This prosecution highlights the serious penalties that can be imposed on anyone who attempts to defraud the federal government out of Paycheck Protection Program funding meant for honest and hardworking small businesses,” said United States Attorney Andrea T. Martinez. “The District of Utah takes all Paycheck Protection Program fraud seriously and will aggressively prosecute anyone who attempts to defraud the United States Government out of this funding which Congress has made available for small businesses.”

"The Covid-19 pandemic has resulted in a lot of hardship for so many small businesses struggling to stay afloat,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI.  “Mr. Douros lied in order to get a PPP loan, lining his pockets with funds that should have gone to other businesses.  We hope his sentence serves as a deterrent to those looking to engage in this type of fraud."

The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.           

The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1%. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses at least a certain percentage of the PPP loan proceeds on payroll expenses. 

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

Assistant U.S. Attorneys in the Utah U.S. Attorney’s Office prosecuted the case.  FBI special agents investigated the matter.

SALT LAKE CITY – Joel Lehi Organista, 29, of Salt Lake City, pleaded guilty to two felony counts related to the production and transportation of child pornography in federal court last Monday.

In the plea agreement, Organista admitted to owning a Dropbox account which was used for downloading between 10 and 150 images of prepubescent minors. In addition, Organista admitted to using Snapchat to contact minor children and soliciting them to perform sexual acts for him via video chat, including an incident which occurred between Organista and a 13 year-old victim, where the victim performed sexual acts for Organista via video chat.

The case originated in January of 2021, after law enforcement received multiple tips that devices and accounts attributed to Organista were receiving and downloading images containing child pornography. A search warrant was executed at Organista’s residence in June of 2021, and Organista has been in custody since that time.

Prosecutors have agreed to recommend a sentence of 15 years in federal prison, which will be reviewed by a District Court Judge at the time of Organista’s sentencing, currently set for May of 2022. Organista also faces a maximum possible sentence of a lifetime of supervised release after his term of incarceration is served and he will be required to register as a sex offender.

Special Assistant U.S. Attorneys from the Utah Attorney General’s Office and Assistant United States Attorney’s Office from the United States Attorney’s Office prosecuted the case. Special Agents from the Internet Crimes Against Children Task Force conducted the investigation.

SALT LAKE CITY- Jacob Splan, 39, of Salt Lake City, was sentenced to six months of home confinement and 36 months of probation on Tuesday, in relation to making false statements to special agents from the United States Department of Transportation and the FBI. 

According to the plea agreement, Splan admitted to lying to federal investigators about whether he had invoiced the Utah Transit Authority (UTA) for work completed at his personal residence. Under the terms of Splan’s former employment with UTA, he had the authority to make no-bid “micro purchases” on behalf of UTA in the amount of $3,000.00 or less. However, during a meeting on January 7, 2021, with special agents from the U.S. Department of Transportation and the FBI, Splan affirmatively stated that he had paid $3,000 dollars of his own money to contractors for work completed at his home. Splan later admitted in the plea agreement that he had not paid the contractors with his own money and that he knew the statement was false. In addition to the six months of home confinement, Splan has been ordered to pay a fine of $30,000, which was the estimated value of the work that Splan had completed on his own driveway.  

“One of the highest priorities within the Department of Justice is ensuring the integrity of governmental processes and employees,” said United States Attorney Andrea T. Martinez. “We hope that this sentencing sends a message that misusing public funds and lying to federal investigators will be taken seriously and prosecuted in the District of Utah.”

“Working with our law enforcement counterparts and the U.S. Attorney’s Office to pursue and prosecute government officials who make false statements during criminal investigations ensures that those in positions that serve the public maintain their integrity,” said Cissy Tubbs, Special Agent-In-Charge, Western Region, U.S. Department of Transportation Office of Inspector General. “Jacob Splan’s sentence sends a message that this conduct is unlawful and will not be tolerated.”

“Jacob Splan abused his position for his own personal gain and then lied about it,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI. “No matter the amount of money, corruption undermines confidence in government, and those who commit fraud will be held accountable.” 

Assistant United States Attorneys from the Utah U.S. Attorney’s Office prosecuted the case against Splan. Special Agents from the Department of Transportation Office of Inspector General and the FBI conducted the investigation.

SALT LAKE CITY- Misiona Patane, 57, and Lavinia Patane, 54, of Lehi, have been charged in U.S. District Court for their alleged role in defrauding one set of victims out of 1.25 million dollars, along with a related scheme to defraud a vulnerable adult out of 2.4 million dollars. In an indictment issued by a federal grand jury, Misiona and Lavinia Patane are charged with two counts of bank fraud and three counts of money laundering, while Misiona Patane is separately charged with four counts of wire fraud, six counts of aggravated identity theft, and one count of kidnapping. The kidnapping charge is based upon Misiona Patane’s alleged role in keeping a vulnerable adult in Samoa for more than a year under false pretenses so Patane could fraudulently obtain more funds from a trust meant for the benefit and care of the adult.

The allegations contained in the indictment state that, in 2011, Misiona Patane became the director of a foundation started by a former professional athlete, known as “P.S.”  The foundation was dedicated to assisting individuals in and from Samoa. It is alleged that, later in 2011, Misiona Patane’s wife, Lavinia Patane, became an officer of the foundation. Over the course of several years, Lavinia Patane wrote numerous checks, made deposits, and made cash withdrawals from the foundation without the knowledge of or permission from P.S. The indictment alleges that between 2015 and 2017, the Patanes diverted 1.25 million dollars in tax refunds belonging to P.S. and his wife, and used the money for their own personal use. 

In carrying out the second scheme, the indictment alleges that the Patanes stole over 2.4 million dollars from a court-monitored trust which existed for the benefit of a 26-year-old victim known as “J.F.”, who suffers from a permanent traumatic brain injury which occurred in an automobile accident when J.F. was 20 months old. It is alleged that under the terms of the court-monitored conservatorship, two family members were appointed as co-guardians to manage the financial and daily affairs of “J.F.” and that the co-guardians could authorize expenditures of funds from the J.F. Trust. It is alleged that from 2016 to 2018, the Patanes stole $2.4 million dollars from the J.F. Trust, under the guise of helping to provide services and pay for expenses related to J.F.’s care; the Patanes used these stolen funds for their own personal expenses. It is further alleged that Misiona Patane devised a plan to have J.F. participate in a residential program in Samoa, and that Misiona, acting as himself and pretending to be third parties, sent numerous emails and fraudulent documents to J.F.’s guardians and financial advisor to fraudulently obtain money from J.F.’s trust. In addition, it is alleged that Misiona Patane, for the purpose of fraudulently obtaining more money from the trust, falsely stated that “J.F.” was required to stay in Samoa pursuant to a court order and that J.F. would be subject to arrest or imprisonment should J.F. attempt to leave Samoa and travel to the U.S. 

Misiona Patane is currently being held in custody pending trial after a finding by a federal magistrate that Misiona Patane is a danger to the community and a risk of flight.  Some of the allegations in the indictment occurred while Patane was serving a federal probationary sentence for a previous federal conviction for fraud. 

Any individual who believes they may be a victim of fraud by the defendants is encouraged to contact United States Attorney’s Office Victim Coordinator at 801-325-1430.

Assistant United States Attorneys from the U.S. Attorney’s Office for the District of Utah are prosecuting the case against the Patanes. Special Agents from IRS Criminal Investigation are conducting the investigation.

Statements made in charging documents are only allegations and not findings of guilt. All defendants are presumed innocent unless found guilty of the charges contained in the indictment.
 

SALT LAKE CITY – Allison Marie Baver, 41, of Taylorsville, has been charged with nine federal criminal counts related to making false statements on loan applications to obtain funds obtained through the Small Business Administration’s Paycheck Protection Program (PPP). In the indictment, Baver is charged with eight counts of making a false statement to a bank and one count of money laundering.

According to the allegations contained in the federal indictment, Baver is the listed owner and agent for Allison Baver Entertainment, LLC, and submitted eight PPP loan applications from April 13, 2020, through April 26, 2020 to Northeast Bank and Meridian Bank. In each of the loan applications, Baver allegedly sought 10 million dollars of PPP loan funding for her entertainment company. However, prosecutors allege that Baver falsely stated in each loan application that ABE’s average monthly payroll was between $4,000,000 to $4,769,583, when ABE had no average monthly payroll; and, that ABE had between 100 to 430 employees, when ABE had no employees. Prosecutors also allege that these false statements resulted in Baver fraudulently obtaining 10 million dollars in PPP loans from Meridian Bank, and that Baver accepted that money and transferred it to a separate bank account where she began using a portion of the funding to invest in a movie.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

Assistant United States Attorneys are prosecuting the case and the FBI and the Small Business Administration Office of Inspector General are conducting the investigation.

Allegations are not findings of guilt and defendants are presumed innocent until proven guilty at trial.

SALT LAKE CITY – Joseph “Norte Joe” Gomez, the lead defendant in a large-scale 32 defendant federal indictment, was sentenced last Tuesday by a U.S. District Court Judge in the District of Utah. Judge Tena Campbell sentenced Gomez to serve 14 years in federal prison with five years of supervised release to follow his incarceration after previously pleading guilty to conspiracy to distribute methamphetamine and conspiracy to launder money. All thirty-one members and associates of the Norteños street gang responsible for distributing drugs around the Salt Lake City area have pleaded guilty and four lower-level defendants have yet to be sentenced. Most of the defendants in this case have received sentences between 72 and 96 months.   

Acting U.S. Attorney for Utah Andrea T. Martinez, DEA District Agent in Charge Jay Tinkler, ATF Assistant Special Agent in Charge Brad Engelbert, IRS-Criminal Investigation Special Agent in Charge Darren Lian, and Salt Lake County Sheriff Rosie Rivera announced the sentencing today.

As outlined in the complaint filed in February of 2019, gang investigators documented Utah’s first Norteños group in the mid-1980s, followed by several other sub-sets in the early 1990s. Unaligned or independent street gangs began associating under the Norteños umbrella in the early 2000s. According to the complaint, the Salt Lake Valley has approximately 10 active Norteños sub-sets, with approximately 100-150 active Norteños gang members. Norteños in the Salt Lake Valley have been responsible for drive-by shootings, aggravated assaults, robberies, and homicides.

The Salt Lake Area Metro Gang Unit (MGU) and the ATF opened a proactive investigation that targeted drug and firearms trafficking activities of Salt Lake City gang members, specifically looking at Norteños. The DEA and IRS-CID joined the investigation in August in 2018. Evidence gathered during the investigation shows the defendants named in the charges engaged in a typical drug-trafficking scheme, to which all the defendants pleaded guilty.    The complaint alleges they were involved in transporting drugs from Mexico into the United States; moving the drugs to the destination area of Salt Lake City; distributing the drugs to re-distributors who distributed the drugs through the community; and collecting and transporting drug proceeds.
  
During the investigation, agents learned that Joe Gomez aka “Norte Joe” and Denny Kandt aka “Casper” were working with Mexican drug cartel members to distribute drugs that originated from Mexico in and around the Salt Lake Valley. The investigation demonstrated that Gomez received shipments of methamphetamine and heroin sent by Mexico-based drug traffickers and a Los Angeles-based drug trafficker. Gomez and Kandt supplied drugs to various Salt Lake City-based sub-distributors. In the course of a several-months long and labor-intensive investigation, agents seized more than 30 pounds of methamphetamine, 19 firearms, and more than $20,000 in bulk cash. Agents demonstrated during the investigation that this Nortenos group trafficked approximately 20-30 pounds of methamphetamine each month in the District of Utah.  Federal prosecutors ultimately obtained indictments for 38 defendants (in seven separate indictments, with the main indictment naming Joe Gomez, Denny Kandt, and 30 other defendants).  

“The United States Attorney’s Office remains committed to the federal prosecution of gang members and narcotics dealers who fuel the violent crime epidemic in the Salt Lake Valley,” said Acting United States Attorney Andrea T. Martinez. “This prosecution highlights the high-level narcotics distribution networks that target our state and our communities, along with the law enforcement partnerships that enable us to dismantle drug trafficking organizations from the cartel level down to street dealers.”  

“This is one of many investigations that demonstrate the collaboration and partnership with County, State and Federal agencies.  The Metro Gang Unit plays an integral part of these types of investigations. The Unified Police Department under the direction of the Sheriff is committed to addressing and abating organized drug distribution efforts and violent crime that victimize residents across Salt Lake County.” 

“Through a sophisticated and transnational crime-for-profit scheme; gang members brought illegal guns, drugs and violence to our streets.” said Special Agent in Charge David Booth. “This multi-year investigation is proof there are no boundaries of place or time in our pursuit to stop violent crime. We are grateful for the tireless efforts of the U.S. Attorney’s Office in their successful prosecution which disrupted and dismantled the criminal enterprise.”

“Being able to effectively dismantle this criminal organization, to include it’s leaders, is a testament to the hard work and dedication of the entire investigative team. It is a priority of the DEA, in conjunction with our partners, to target these types of organizations and reduce drug-related violence that diminishes the quality of life of our communities.”               

“The IRS is proud to have our agent work so closely and successfully with our Federal, State, and local law enforcement partners in this case,” Special Agent in Charge Darren Lian stated. “Our agent used their specialized skillset to trace the money internationally and was able to show these funds used in furtherance of the scheme to traffic drugs in the United States; because of this work those who were responsible for financing this operation were able to be held accountable.”

Assistant United States Attorneys Stephen L. Nelson, Stewart M. Young and Thaddeus J. May prosecuted the cases arising from the investigation. Special Agents from the ATF, DEA, and IRS Criminal Investigations conducted the investigation along with investigators from the Unified Police Department’s Metro Gang Unit. 
 

WASHINGTON – The Department of Justice announced today that it has awarded more than $17.5 million in grants to support the Project Safe Neighborhoods (PSN) Program. Funding will support efforts across the country to address violent crime, including the gun violence that is often at its core. The United Way of Northern Utah was awarded $155,210 to administer PSN grant funds in the District of Utah.

The Bureau of Justice Assistance (BJA), part of the department’s Office of Justice Programs (OJP), will administer the 88 grant awards, which are being made to designated fiscal agents to support local PSN projects that work in partnership with U.S. Attorneys’ Offices.

“This latest Project Safe Neighborhoods grant is critical to addressing the violent crime threatening cities and towns all across our country,” said Deputy Attorney General Lisa O. Monaco. “Ensuring the safety of all Americans is the highest priority for the Department of Justice, but when it comes to violent crime, there is not a one-size-fits-all solution. We have to work closely with local public safety agencies as well as community organizations to craft individual strategies unique to each community’s needs. Programs like Project Safe Neighborhoods and the funding it provides allow us to do just that.”

“We are proud of all that we have accomplished in and around the City of Ogden through our participation in the Project Safe Neighborhoods program,” said Acting United States Attorney Andrea T. Martinez. “We remain committed to keeping our cities safe from violent criminals who victimize neighborhoods and erode the quality of life within our cities.”

These grant funds will continue to be used to reduce violent crime in Utah, and with approval from BJA, the Fiscal Agent will begin the process of making subawards for PSN grant projects.

“Investing in our communities, supporting victims and building a justice system that both keeps people safe and earns their trust – these are mutually reinforcing goals that stand at the heart of Project Safe Neighborhoods,” said Principal Deputy Assistant Attorney General Amy L. Solomon for OJP. “The Office of Justice Programs is pleased to join with our U.S. Attorneys’ Offices, and with jurisdictions across the country, as we work together to meet the challenges of crime and violence and achieve our shared aspirations of public safety and community trust.”

In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime issued by Deputy Attorney General Monaco, is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.

This fall, U.S. Attorney’s Offices across the country have enhanced their violent crime reduction efforts to ensure alignment with the department’s comprehensive violent crime reduction strategy. U.S. Attorneys’ Offices have engaged in outreach to law enforcement and other agencies and organizations serving communities to identify the most significant drivers of violence in their districts. Working together with a broad coalition of stakeholders, the U.S. Attorneys’ Offices are addressing the most pressing violent crime issues in their district to make our neighborhoods safer for all.

PSN programs are led by U.S. Attorneys’ Offices in collaboration with local public safety agencies, community stakeholders and other agencies and organizations that work to reduce violent crime.

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The Office of Justice Programs provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims and enhance the rule of law. More information about OJP and its components can be found at  www.ojp.gov.

SALT LAKE CITY- Ryan R. West, 45, of Logan, was sentenced to five years in federal prison today for defrauding numerous individuals involved in his business venture investment schemes. West previously pled guilty in August of 2021 to four counts of wire fraud connected to his fraudulent schemes. In total, West defrauded his victims of a cumulative amount of over $5.4 million between 2011 and 2016.

In addition to the five-year prison term, West was ordered to be on supervised release for three years after prison and was ordered to pay $5,420,206.98 in restitution to his victims and to forfeit $5,261,755.73 in proceeds and a 4-carat diamond.

West’s first fraudulent scheme involved soliciting investments from an individual for a business venture involved in operating a gravel quarry in West Texas. Instead of using the investor’s money for the business venture, West used the money for personal expenses, including payments on a 4-carat diamond, and unrelated business expenses, and did not return any of the victim’s money. West also borrowed money for the quarry operations against the equity in the home of an individual he met through church. Most of the money was used to pay West’s personal expenses and not for the quarry. West defaulted on the loans and the individual lost his home in foreclosure.

Another of West’s schemes involved soliciting investments in a commercial property flipping venture in North Dakota. West borrowed approximately $650,000 from several victims.  Only $150,000 of $350,00 invested was ever used for the real estate venture. The rest of the money was used for other business ventures that West did not tell the investors about, or for West’s personal expenses. West sold the North Dakota property without telling his investors and netted $190,000 which he kept for himself.  Only one investor was ever repaid a $350,000 investment; the others each lost $100,000.

West’s co-defendant in the fraud, Gary Alan Gygi, 57, of Holladay, also pled guilty in August and is scheduled to be sentenced on December 16, 2021.

“The United States Attorney’s Office is committed to prosecuting fraudsters who prey on vulnerable members of our community,” said Acting United States Attorney Andrea T. Martinez. “Our thoughts are with the victims of this case, some of whom were elderly, vulnerable and met West through church, business and family connections.” 

“Driven by greed, Mr. West and Mr. Gygi’s criminal misconduct devastated their victims, some of whom were seniors and vulnerable adults," said Special Agent in Charge Dennis Rice of the Salt Lake City FBI. "To those who make false claims to steal people’s money, know that there are serious consequences.  We also urge the public to do their due diligence when approached about investment opportunities, understanding that there are unscrupulous fraudsters who stand at the ready to separate you from your hard-earned money and property."

Assistant United States Attorneys prosecuted the cases against West and Gygi. Special Agents from the FBI conducted the investigation. 
 

SALT LAKE CITY – Attorney Calvin Curtis, 61, of Salt Lake City, pleaded guilty in federal court today to two counts involving wire fraud and money laundering for his role in embezzling at least $9.5 million dollars from clients of his estate planning law firm based in Salt Lake City, known as Calvin Curtis Attorney at Law PLLC, and Curtiselderlaw.com. Prosecutors and defense attorneys have agreed to recommend a sentence of 73 months in federal prison during Curtis’s sentencing which is scheduled to occur on March 15, 2022.

In the plea agreement, Curtis admitted that he is an attorney who specializes in special needs trusts and that beginning in January 2008, he began a fraudulent scheme to defraud a client known as “G.M.” out of money. Curtis admitted that due to his role, he had access to millions of dollars in two different trust accounts belonging to victim G.M. and that he transferred at least $9,500,000 intended for the care of G.M. into his own accounts and then used this money for his own personal use. Curtis admitted that he also created fake financial statements and submitted these to the court ordered conservator of G.M. to conceal the fraud. 

In pleading guilty to the wire fraud charge, Curtis admitted that on January 25, 2018, that he caused a wire communication from a Schwab Investment Account to his own Wells Fargo account, resulting in a transfer of $1,485,000. Curtis admitted that he used the money for his own personal benefit to make mortgage payments on his combined home and office located on South Temple Street in Salt Lake City, Utah; to support a lavish lifestyle with frequent travel; to purchase tickets to basketball and football games; to give lavish gifts to others; and to support the operations of his law firm.  

In pleading guilty to the money laundering count, Curtis admitted that he fraudulently caused $135,000 to be transferred online from G.M. to his own Wells Fargo account, and that he used these funds to wire $95,000 to The Fechtel Company for the remodel of his home in Tampa, Florida. Curtis admitted that he knew these transactions were illegal at the time they occurred, and that the money was not used for the benefit of G.M

At this time, it is alleged that Curtis embezzled funds from at least 22 additional trusts in amounts more than $9,500,000. Anyone who believes they may be a victim of this crime is encouraged to call the FBI at (801) 579-1400 to file a report.  

“Defrauding vulnerable and elderly adults is a reprehensible and greedy act that is deserving of federal prison time,” said Acting United States Attorney Andrea T. Martinez. “The United States Attorney’s Office is committed to prosecuting and holding those accountable who defraud elderly and vulnerable clients. Our concern is with the victims of these crimes and their ability to obtain basic needs moving forward.” 

“Calvin Curtis’ greed had devastating consequences for his clients, who placed their trust and money in his hands,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI.  “Sadly, financial fraud cases like this are not limited to a few victims.  We hope this case sends a strong message that the FBI will do what it takes to make sure such crimes don’t go unpunished.”  

"The IRS is proud to collaborate with our law enforcement partners to combat the seemingly ever present fraud in Utah,"¬ stated IRS Phoenix Field Office Special Agent in Charge Darren Lian. "This plea brings the United States one step closer to justice for the many victims who have serious losses in this unfortunate case."

Assistant United States Attorneys are prosecuting the cases against Curtis and Special Agents from the FBI and IRS Criminal Investigations are conducting the investigation. 

WASHINGTON – The Department of Justice today announced more than $139 million in grant funding through the department’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP). The awards provide direct funding to 183 law enforcement agencies across the nation, allowing those agencies to hire 1,066 additional full-time law enforcement professionals. In the District of Utah, three municipalities were awarded funding totaling $813,436.00.

“We are committed to providing police departments with the resources needed to help ensure community safety and build community trust,” said Attorney General Merrick B. Garland. “The grants we are announcing today will enable law enforcement agencies across the country to hire more than 1,000 additional officers to support vitally important community oriented policing programs.”

“Community oriented policing is vital to community safety and building trust between law enforcement and the community,” said Acting United States Attorney Andrea T. Martinez.”

The following municipalities in Utah received awards:

• North Park Police Department - $125,000.00
• City of Orem - $500,000.00
• San Juan County - $188,436.00

CHP is a competitive award program intended to reduce crime and advance public safety through community policing. CHP provides funds directly to law enforcement agencies to hire new or rehire additional career law enforcement officers, thereby increasing their community policing capacity and crime prevention efforts. Of the 183 agencies awarded grants today, approximately half will use the funding to focus on building legitimacy and trust between law enforcement and communities; 41 agencies will seek to address high rates of gun violence; 21 will focus on other areas of violence; and 19 will focus CHP resources on combating hate and domestic extremism or supporting police-based responses to persons in crisis. The complete list of awards can be found here.  

Since its creation in 1994, COPS has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and Tribal law enforcement agencies to fund the hiring and redeployment of more than 135,000 officers. CHP, COPS’ flagship program, continues to be in demand today: In FY21, COPS received 590 applications requesting nearly 3,000 law enforcement positions. For FY22, President Biden has requested $537 million for CHP, an increase of $300 million.

To learn more about CHP, please visit https://cops.usdoj.gov/chp-award. For additional information about the COPS Office, please visit https://cops.usdoj.gov/.  

The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. The only Department of Justice agency with policing in its name, the COPS Office was established in 1994 and has been the cornerstone of the nation’s crime fighting strategy with grants, a variety of knowledge resource products, and training and technical assistance. Through the years, the COPS Office has become the go-to organization for law enforcement agencies across the country and continues to listen to the field and provide the resources that are needed to reduce crime and build trust between law enforcement and the communities served.

SALT LAKE CITY – Jimmy Astudillo, age 32, of Salt Lake City, was sentenced to 65 months in federal prison for the possession of heroin with intent to distribute, related to his role in the distribution of narcotics that caused the fatal overdose of a Park City woman in 2018.

Astudillo previously entered his guilty plea in federal court in August. In their court filings, prosecutors told the judge that the defendant’s criminal history suggests a near life-long pattern of serious crimes and, given the brazen and dangerous nature of defendant’s activities, recommended the court sentence Astudillo to 65 months in federal prison.

The investigation into the case began on May 10, 2018, when Park City police officers and deputies with the Summit County Sheriff’s Office responded to an apartment to check on a woman at the request of an acquaintance.  They found the woman, identified as CC in court filings, deceased.  The Office of the Medical Examiner later listed CC’s death as a drug overdose resulting from heroin and methamphetamine toxicity.

An overdose drug investigation targeting individuals who provided the methamphetamine and heroin started almost immediately. According to documents filed in court, law enforcement officers and DEA agents used information provided by the acquaintance to start conducting interviews.  Officers served a subpoena on a Park City business for security footage for the evening of May 9, 2018, and a few days later, agents obtained a federal search warrant for CC’s Facebook Messenger records. 

The Facebook records revealed communications between CC and Zachary Westerman during the evening hours of May 9, 2018.  The Messenger exchanges also revealed that Westerman had supplied CC with heroin and methamphetamine.

In the final five exchanges, Westerman told her he had $30 of black tar heroin and $20 of methamphetamine he would sell for $10, for a discounted total of $40.  CC agreed.  Westerman then double checked the agreement, “So 40 total.”  “Perfect,” CC said.  A few minutes later, CC messaged Westerman, “Here.”

On Jan. 23, 2019, Westerman, age 36, of Sandy, pleaded guilty to one count of distribution of heroin in federal court in Salt Lake City.  He admitted that on May 9, 2018, he sold user-level amounts of heroin and methamphetamine to CC.  He was sentenced to 36 months in federal prison.  The sentence included an enhancement for CC’s death resulting from his conduct.

The investigation did not end there.
    
According to a sentencing memorandum filed in in federal court, Westerman, in a post-arrest interview, identified Jimmy Astudillo, as his supplier for the drugs he sold CC.  Agents obtained a federal search warrant for Astudillo’s Facebook account for the period of April 2 to Sept. 20, 2018. Those records revealed numerous drug trafficking conversations between Astudillo and his drug customers.  In one, Astudillo bragged to one of his customers that his heroin was so strong that the “feds” were trying to blame him for overdose deaths in Utah and he had to be careful not to get caught.  Astudillo referred to the potent heroin as “fire.” 

Agents arranged and conducted a controlled buy of one-ounce of heroin from Astudillo in 2018, paying $1,200. Astudillo told the undercover officer that the heroin was “fire” (high quality).  He also told him the undercover he sells normal strength, cheaper heroin as well. A second attempted undercover purchase of four ounces of heroin for $4,400 ended up not taking place. Astudillo kept insisting the undercover officer (UC) get in his vehicle to drive them to the source of the supply nearby.  The UC would not get into the car and asked to see the heroin.  Astudillo then pulled out a bag of what appeared to be heroin, but the UC noticed the amount was likely not the agreed upon four ounces.  As Astudillo became agitated, the UC returned to his vehicle and left.

Federal agents arrested Astudillo on Dec. 19, 2018. They also executed a search warrant at his home and found a small bag of heroin in a dresser drawer and a larger bag of heroin in a closet full of shoes.  The total weight of the seized heroin was about one pound. 

In the sentencing memorandum, prosecutors told the court that following his arrest, Astudillo called his heroin supplier and advised him to destroy his phones and expressed the hope that he “could get back in the swing of things” with the supplier once out of custody.

Assistant United States Attorneys prosecuted the cases against Westerman and Astudillo. The Summit County Sheriff’s Office, the Park City Police Department, and the DEA, conducted the investigation. 
 

SALT LAKE CITY- Larry Gardner, 35, of Fort Duchesne, was sentenced to 65 months in federal prison, in addition to the 19 months in custody which Gardner has already served, after being convicted of distributing heroin and methamphetamine which resulted in the fatal overdose of an Uintah County woman and possessing a firearm after being convicted of a felony. 

In the plea agreement, Gardner admitted that on February 3, 2019, in Uintah County, that his girlfriend overdosed and died after ingesting a fatal combination of heroin and methamphetamine which Gardner had supplied for her days earlier, at her request. Gardner also admitted that on the same day, he possessed a .22 caliber revolver and associated ammunition, knowing that he had previously been convicted of a crime that was a felony.  

“The United States Attorney’s Office is focused on pursuing federal criminal charges against individuals who distribute illegal narcotics that result in fatal overdoses,” said Acting United States Attorney Andrea T. Martinez. “We hope that today’s sentence is a reminder to the community and narcotics dealers alike that distributing dangerous and illegal narcotics is not a victimless crime.” 

“This case highlights the tragic consequences of the meth and opioid epidemic that is far-reaching in our country and here in Utah,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI.  “The FBI and our law enforcement partners are committed to doing our part to curb this crisis.  When someone dies as a result of your actions, and if you illegally possess firearms, you will be held accountable.” 

Assistant United States Attorneys from the Utah U.S. Attorney’s Office prosecuted the case against Gardner. Special Agents from the FBI and Deputies from the Uintah County Sheriff’s Office conducted the investigation. 

https://www.justice.gov/opa/pr/utah-man-sentenced-tax-fraud

A Utah man was sentenced to 51 months in prison today for tax evasion and corruptly endeavoring to obstruct the IRS.

According to evidence presented at trial and court documents, in March 2012, Louis Hansen, of Orem, presented the IRS a $342,669.41 check he knew was drawn on a closed bank account, in a fraudulent effort to evade paying taxes, penalties and interest he owed for a number of years. In June 2012, Hansen presented 10 additional checks to the IRS drawn on a different closed bank account in another attempt to fraudulently discharge his debt. The evidence showed that each of these 10 checks was made out in the amount of $425,000, and Hansen sent them to at least six different IRS offices.

In addition to the term of imprisonment, U.S. District Judge Howard C. Nielsen Jr. ordered Hansen to serve three years of supervised release and to pay approximately $342,699 in restitution to the United States.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Andrea T. Martinez for the District of Utah made the announcement.

The case was investigated by special agents of the IRS – Criminal Investigation.

Assistant U.S. Attorney Kevin L. Sundwall and Special Assistant U.S. Attorney Andrew Kameros prosecuted the case.

Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.

SALT LAKE CITY – Luis Fernando Bueso Romero, 23, of Midvale, was sentenced to 60 months in federal prison for the arson of a West Valley City apartment building yesterday in United States District Court. 

In the plea agreement, Bueso-Romero admitted that on February 1, 2020, he set fire to the Overlook Point Apartments located at 4612 South and 2930 West in West Valley City, Utah. Bueso-Romero admitted that he poured gasoline on the building and then ignited the gasoline with fire, causing the building containing eight apartments to catch fire and become engulfed in flames, which caused several residents to flee their homes. In documents filed with the court, Bueso admitted that he set fire to the apartment buildings because of the sense of betrayal that he felt towards his ex-girlfriend who had recently left him, and who occupied one of the Overlook Point Apartments at the time the arson occurred.  

In addition to the 60 months sentence in federal prison, Bueso-Romero has been ordered to pay $885,335.95 dollars in restitution to victims of his crime and to serve three years of supervised release if he is not deported to Honduras upon his release. 

“Arson is a serious crime that endangers the lives of innocent victims living inside of the buildings as well as the safety of the firefighters who are responsible for responding to the fire,” said Acting United States Attorney Andrea T. Martinez. “Federal and local fire investigators are extremely skilled at uncovering the sources and persons responsible for these acts and our hope is that the five-year federal prison sentenced handed down in this case will deter future arsons in our community.”   

“This arson posed an extreme danger to the many innocent lives at the West Valley City apartment building, first responders and neighboring communities,” said ATF Special Agent-in-Charge David S. Booth. “Many lost their homes, treasured belongings, and sense of safety and security in their homes that day. We hope this sentencing brings a sense of justice, closure and peace to the many victims who are still recovering from this tragedy today.”

Assistant United States Attorneys from the U.S. Attorney’s Office for the District of Utah prosecuted this matter along with Special Agents and Investigators from the ATF, Patrol Officers and Detectives from the West Valley City Police Department, and Investigators from the West Valley City Fire Department, who conducted the investigation. The West Valley City Fire Department and the Unified Fire Department responded to the fire and conducted the suppression operations. 

SALT LAKE CITY- Nathan Pehrson, 41, of Sandy, was sentenced to 36 months in federal prison in a United States District Court yesterday after being convicted at trial by a federal jury in the District of Utah of three counts related to fraudulently obtaining and tampering with the pain killing narcotic hydromorphone, a powerful schedule II opioid drug that is used to treat patients with moderate to severe pain. Upon his release from federal prison, Pehrson was also sentenced to an additional term of 36 months of federal supervised release.

A jury had previously found that during Pehrson’s employment as a nurse on a surgical and trauma ward, that he diverted hydromorphone from pre-loaded syringes for his personal use, and then replaced the pain medication with saline solution before they were placed back into circulation for medical use by other hospital staff on other patients. Pehrson was also convicted of making false statements to a special agent from the Food and Drug Administration about his illegal activity while under investigation for his crimes. 

“We hope that this sentence of three years in federal prison deters every healthcare professional from using or diverting prescription narcotics,” said Acting United States Attorney Andrea T. Martinez. “We commend the work of the hospital staff who discovered and reported the illegal activity along with the work of our partners at the FDA for investigating this matter.”

“The FDA oversees the U.S. drug supply to ensure that it is safe and effective, and those who knowingly tamper with medicines put patients’ health at risk,” said Special Agent in Charge Charles L. Grinstead, FDA Office of Criminal Investigations Kansas City Field Office. “We will continue to protect the public health and bring to justice health care professionals who take advantage of their unique position and compromise their patients’ health and comfort by tampering with needed drugs.”

Assistant United States Attorneys from the Utah U.S. Attorney’s Office prosecuted the case against Pehrson. Special Agents from the Food and Drug Administration Office of Criminal Investigations conducted the investigation.
 

SALT LAKE CITY – Christopher Isidro Rojas, 29, of Salt Lake City, pleaded guilty to one felony count of civil disorder, charged in a felony information, for his role in the burning of a Salt Lake City Police Department patrol car during the civil unrest which occurred in Salt Lake City on May 30, 2020.

In the plea agreement, Rojas admitted that, on May 30, 2020, he was protesting the killing of George Floyd when protesters turned violent and overturned a Salt Lake City Police Department patrol car. Rojas admitted that he participated in the burning of the overturned patrol car with the intent and purpose of interfering with law enforcement officers and that he used a cigarette lighter to ignite a piece of cloth that a co-defendant threw into the interior of the overturned patrol car.

During a previous hearing, prosecutors alleged that Rojas helped others rip a bumper from the overturned police car and then used a cigarette lighter to ignite a large piece of white cloth that was thrown into the police car by a co-defendant. Later that same afternoon, prosecutors alleged that Rojas was captured on video appearing to celebrate and bragging to others that he “put the cop car on fire.”

Rojas remains on home confinement until the date of his sentencing which is currently set for November 24, 2021. Rojas faces a maximum term of imprisonment of five years in prison, a payment of $2,500.000 in agreed upon restitution, and a term of supervised release of three years.

Co-defendant Lateesha Richards has previously been sentenced to 20 months in federal prison along with co-defendant Jackson Patton, who has been sentenced to 24 months federal prison, for their respective roles in the burning of the patrol car. Co-defendants Latroi Devon Newbins and Larry Raynold Williams Jr. have entered pleas of guilty and now await sentencing.

Assistant U.S. Attorneys from the Utah U.S. Attorney’s Office prosecuted the case. Special Agents from the ATF and the FBI, and detectives from the Salt Lake City Police Department, conducted the investigation.

SALT LAKE CITY – Jackson Stuart Tamowski Patton, 27, of Salt Lake City, was sentenced to 24 months in federal prison for his role in the burning of a Salt Lake City police car during the May 2020 civil unrest in Salt Lake City. Patton was also ordered to pay $2,500 in restitution and to serve 36 months of supervised release after completing his prison sentence.  

Patton previously pleaded guilty to one felony count of civil disorder in federal court in May of 2021. In the plea agreement, Patton admitted that, on May 30, 2020, he was protesting the killing of George Floyd when protesters turned violent and overturned a Salt Lake City Police Department patrol car. Patton admitted that law enforcement officers were lawfully engaged in the performance of their official duties during the commission of the civil disorder and that he participated in the burning of the overturned patrol car with the intent and purpose of obstructing, impeding, and interfering with law enforcement officers. Patton also admitted to moving a burning cloth into the interior of the overturned patrol car, which accelerated the burning of the patrol car.

In a sentencing memorandum filed by prosecutors, text messages sent by Patton during the days leading up to and during the protest were submitted to the court. On May 29, 2020, the day before the Salt Lake City protest, Patton texted the following to his circle of friends, “what time does the riot start tomorrow,” and “do [I] bring machetes to the riot tomorrow” and “we can all have one.” He then texted, “yes dude. I’m turning it into a riot.” On May 30, 2020, the day of the riot, Patton texted, “[I] need to figure out how to turn it into [a riot].” That same day, Patton texted “all I gotta do is sneakily throw a rock through a window” and immediately followed up with “of the police station” and that “[I]’m breaking things.” In a separate text string, Patton stated to a friend that “[I]’m fully going down there with the intention of breaking things. [I]f you don’t want to be near me I understand. [B]ut people need to know that [S]alt [L]ake is upset too.”  After the civil disruption, Patton texted to a group of friends that “lol [ a friend] filmed me starting the fire…we just a [sic] [expletive] a cop car up with a cop in it…he literally had to curb hop his car to get out.” Patton later texted “look who started the fire lol.”

During the course of the prosecution, multiple terabytes of data, including video and still images, were submitted as evidence in the case. Sources of the evidence included multiple social media platforms, as well as evidence obtained from multiple state, federal, and local law enforcement agencies, and evidence received from private citizens.

On August 3, 2021 co-defendant Lateesha Richards was sentenced to 20 months in federal prison for her role in the burning of the patrol car. Co-defendants Latroi Devon Newbins and Larry Raynold Williams Jr. entered a plea of guilty and now await sentencing. Defendant Christopher Isidro Rojas’ case remains set for trial later this year.

Assistant U.S. Attorneys from the Utah U.S. Attorney’s Office prosecuted the case. Special Agents from the FBI Joint Terrorism Task Force, along with Special Agents from the ATF, and detectives and officers from the Salt Lake City Police Department, conducted the investigation.

SALT LAKE CITY – Brent Orton, 63, of Salt Lake City, has been sentenced to 51 months in federal prison for possessing the Schedule 1 narcotic Alpha Pyrrolidinohexanophenone, commonly known as “Alpha PHP,” with the intent to distribute the narcotic. 

In June of 2021, Orton plead guilty to a one-count criminal information filed by federal prosecutors charging him with possession with intent to distribute Alpha PHP.  In the plea agreement, Orton admitted to receiving a package of Alpha PHP with the intent to distribute the illegal narcotic.

In a sentencing memorandum filed by prosecutors, it was alleged that Orton had imported and distributed large amounts of Alpha-PHP for two years, and that Orton had distributed between 575,000 to 4,600,000 doses of the drug in Utah, which sold for between $300 and $500 dollars a gram. It was further alleged that Orton used his daughter’s friends as customers, as well as using them to make inroads into the drug trafficking business.

Alpha-PHP is a Schedule 1 controlled substance and is a compound of the substituted cathinone and substituted pyrrolidine chemical classes. It is a synthetic variant of a drug more commonly referred to as “bath salts.” In general, the intensity of the effects of this substance is comparable to strong stimulants such as methamphetamine, MDPV and alpha-PVP. Alpha-PHP is reported to mimic the effects of cocaine and methamphetamine. The adverse effects associated with alpha-PHP abuse included vomiting, agitation, paranoia, hypertension, unconsciousness, tachycardia, seizures, cardiac arrest, rhabdomyolysis, or death.

“Synthetic drugs like Alpha-PHP are deadly compounds that endanger our communities,” said Acting United States Attorney Andrea Martinez. “The United States Attorney’s Office is focused on pursuing criminals who import and distribute these illegal narcotics into our community.”

“Dangerous, synthetic drugs like bath salts have no place in our community and HSI will investigate those who import and distribute these deadly substances,” said Steven Cagen, Special Agent in Charge, Homeland Security Investigations, Denver Field Division. “We’re grateful to our law enforcement partners for their investigative help and the U.S. Attorney’s Office for prosecuting the case. Distributors like Orton who profit off this poison have no place in our community.”

Assistant U.S. Attorneys from the Utah United States Attorney’s Office and a Special Assistant United States Attorney from the U.S. Department of Homeland Security, are prosecting the case. Special Agents from Homeland Security Investigations and Officers from Customs and Border Protection conducted the investigation.

SALT LAKE CITY – Dr. Joe Roundy, a licensed veterinarian and the owner of the Tooele Veterinary Clinic in Tooele, Utah, has been ordered to pay the United States $78,455 and restrict his prescribing of opioids and other controlled substances for violations of multiple provisions of the Controlled Substances Act (“CSA”).

According to the allegations made by the United States, Dr. Roundy failed to properly inventory, track, and maintain control over controlled substances, including opioids such as oxycodone and morphine over a period of several years of practicing as a veterinarian and operating an active animal clinic. By not properly inventorying, tracking, maintaining control over, and storing the controlled substances, he violated the Controlled Substances Act.  These violations were discovered by DEA investigators during an on-site inspection of Dr. Roundy’s veterinary clinic, which included an audit of his drug control practices.  DEA investigators found CSA violations with respect to all eighteen of the eighteen controlled substances audited. Dr. Roundy could not locate or account for a significant number of the controlled substances the DEA audited.

“When those trusted to prescribe dangerous opioids and other medications like Dr. Roundy don’t track and control their opioids carefully, they create the potential to contribute to the menace of opioid abuse,” said Acting U.S. Attorney Andrea Martinez.  “The court’s order has cost Dr. Roundy a significant monetary penalty and has severely restricted his ability to prescribe and administer powerful opioids and other medications.”

“The Drug Enforcement Administration is committed to ensuring that those entrusted with the ability to prescribe controlled substances, regardless of their profession, do so in a safe, responsible manner,” said Utah DEA Assistant Special Agent in Charge Michael J. Tinkler. “This investigation highlights the critical role that DEA Diversion Investigators play in safeguarding the public from the dangers associated with the potential misuse of prescription drugs”.

This matter was investigated by the U.S. Drug Enforcement Administration, Diversion Control Division, in conjunction with the United States Attorney’s Office.

The statements in this release are only allegations.  In entering into a civil settlement and agreeing to the court’s entering an order against him, Dr. Roundy did not admit to liability, and the order indicates that the parties entered into the settlement to avoid the uncertainty and expense of further litigation.

Assistant U.S. Attorney Joel Ferre handled this matter on behalf of the United States.

https://www.justice.gov/opa/pr/justice-department-files-suit-stop-utah-physician-issuing-opioid-and-other-prescriptions

SALT LAKE CITY – Eleven members of a Wasatch Front heroin distribution ring face federal charges for distributing heroin in Utah and Idaho in an indictment unsealed Monday in federal court.

The indictment is based on a multi-month wiretap investigation into a drug trafficking organization that conspired to distribute multiple kilograms of heroin along the Wasatch Front, including Utah County, Salt Lake County, Tooele County, and Davis County, and into Idaho. During the investigation, close to 2 kilograms of heroin were seized, with multiple kilograms running through the organization since at least December of 2020. Five firearms, two of which are stolen, were also seized during the investigation.

During the approximately six-month investigation, agents completed 13 controlled purchases of heroin from members of the distribution ring. The organization in Utah operated as a cell of a much larger network of drug trafficking activity that originated in Mexico and that includes cells in Colorado and other states.

Antonio Giron-Fernandez, 39, of Orem, who is alleged to be the leader of the Utah distribution network, is charged with conspiracy to distribute heroin, distribution of heroin, and illegally reentering the United States after being removed. Also charged in the indictment are: Fernando Antonio Medina-Garcia, 23, of Orem, who is charged with conspiracy to distribute heroin, distribution of heroin, and possession of heroin with the intent to distribute; Juan Carlos Heredia-Perez, 21, of Orem, who is charged with conspiracy to distribute heroin; Jesus Alberto Zarate-Pacheco, 26, of Orem, who is charged with conspiracy to distribute heroin and the possession of heroin with the intent to distribute; Eric Ryan Francis, 35, of West Valley City, who is charged with conspiracy to distribute heroin, possession of heroin with the intent to distribute, and being a convicted felon in possession of a firearm; Michael Shane Ellison, 47, of Provo, who is charged with conspiracy to distribute heroin; Jacob Elizardo Aragon, 28, of Cottonwood Heights, who is charged with conspiracy to distribute heroin, possession of heroin with the intent to distribute, and for being a user of controlled substances in possession of a firearm; Marc Anthony Pagni, 33 of Salt Lake City, who is charged with conspiracy to distribute heroin; Christina Ann Chance, 40, of Nampa, Idaho, who is charged with conspiracy to distribute heroin and the possession of heroin with the intent to distribute; Kimberly Jo Hancock, 56, of Eagle, Idaho, who is charged with conspiracy to distribute heroin and the possession of heroin with the intent to distribute; and, Jonathan Christopher McGuire, 41, of West Valley City, who is charged with conspiracy to distribute heroin.

Assistant U.S. Attorneys from the Utah U.S. Attorney’s Office are prosecting the case. Special Agents from FBI’s Safe Streets Task Force, including detectives from the West Valley City Police Department, along with detectives from the Davis Metro Narcotics Task Force and the Layton City Police Department, conducted the investigation.

Indictments are not findings of guilt.  Defendants charged in indictments are presumed innocent unless or until proven guilty in court.

A federal judge entered a preliminary injunction today barring a Utah physician from issuing prescriptions for controlled substances during the pendency of a civil enforcement action filed by the government.

In a complaint filed in U.S. District Court for the District of Utah, the government alleges that Dr. Sean Ponce, a medical doctor licensed in Utah, unlawfully issued controlled substance prescriptions in violation of the Controlled Substances Act. The complaint alleges that Dr. Ponce catered to customer requests for opioid and other controlled substance prescriptions, at times using text messages to arrange the exchange of cash for prescriptions. The complaint alleges that Dr. Ponce used office space in Cottonwood Heights, Utah, to meet with cash-paying customers to maintain the guise of a medical practice despite the routine lack of legitimate examinations, medical findings supporting the prescriptions, or bona-fide doctor-patient relationships. U.S. District Judge David B. Barlow entered a stipulated preliminary injunction that the United States filed along with the complaint. The complaint seeks a permanent injunction and civil penalties.

“The opioid addiction epidemic devastates communities,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The Department of Justice will take action against those who harm patients and their families by unlawfully distributing controlled substances behind a veneer of medical legitimacy.”

“The U.S. Attorney’s Office and the Department of Justice are committed to protecting Utahns from medical professionals who fuel the opioid epidemic and violate the public trust,” said Acting U.S. Attorney Andrea T. Martinez for the District of Utah. “We will employ every available resource to keep our communities safe and to maintain accountability in the medical community.”

“This investigation is a prime example of an unscrupulous physician furthering the opioid crisis in America,” said Special Agent in Charge Deanne Reuter with the Drug Enforcement Administration’s (DEA) Denver Field Division. “When a doctor cares more about lining his pockets than the health and welfare of his patients, the whole community suffers. Whether transnational drug traffickers selling fentanyl-laced pills or medical providers violating the Controlled Substances Act, DEA will not falter in our pursuit of those who contribute to the U.S. addiction problem.”

According to the complaint, Dr. Ponce prescribed excessive doses of powerful opioids, often in dangerous combination with other controlled substances. Some of those prescriptions allegedly went to multiple individuals purportedly residing together at the same addresses. The complaint alleges that Dr. Ponce routinely issued early refills for prescriptions, failed to make objectively legitimate diagnoses, did not provide meaningful evaluation or treatment, and engaged in a pattern of selling prescriptions for powerful opioids and other controlled substances. The complaint also alleges that Dr. Ponce violated the False Claims Act by causing claims to be submitted by customers who filled his prescriptions at pharmacies covered by federal health care programs. 

The investigation is being conducted by the DEA’s Tactical Diversion Squad in the Salt Lake City District Office.

The case is being handled by Assistant U.S. Attorney Joel Ferre of the District of Utah and Trial Attorneys Yolanda D. McCray Jones and Scott B. Dahlquist of the Civil Division’s Consumer Protection Branch.

The claims made in the complaint are merely allegations that the United States must prove if the case proceeds to trial.

SALT LAKE CITY- Nathan Pehrson, 41, of Sandy, was convicted by a federal jury in the District of Utah of three counts related to fraudulently obtaining and tampering with the pain killing narcotic hydromorphone, a powerful schedule II opioid drug that is used to treat patients with moderate to severe pain.

The jury found that during Pehrson’s employment as a nurse at an Intermountain Healthcare facility on a surgical and trauma ward, that he diverted hydromorphone from pre-loaded syringes for his personal use, replaced the pain medication with saline solution, and then returned the syringes containing greatly reduced amounts of the pain killer hydromorphone for medical use by other hospital staff. Pehrson was also convicted of making false statements to a special agent from the Food and Drug Administration about his illegal activity while under investigation for his crimes. Pehrson’s sentencing is scheduled for October 12th.  

“Today’s guilty verdicts are proof that healthcare providers will be held accountable for stealing, using, or tampering with opioid pain medications meant for patients that are suffering,” said Acting United States Attorney Andrea T. Martinez. “The opioid epidemic has many faces, and no one is immune from the problems that we face in society with drug addiction. I commend the hospital staff who reported the defendant’s illegal activity to federal law enforcement.”

“The FDA oversees the U.S. drug supply to ensure that it is safe and effective, and those who knowingly tamper with medicines put patients’ health at risk,” said Special Agent in Charge Charles L. Grinstead, FDA Office of Criminal Investigations Kansas City Field Office. “We will continue to protect the public health and bring to justice health care professionals who take advantage of their unique position and compromise their patients’ health and comfort by tampering with needed drugs.”

Assistant United States Attorneys from the Utah U.S. Attorney’s Office prosecuted the case against Pehrson. Special Agents from the Food and Drug Administration Office of Criminal Investigations conducted the investigation.

SALT LAKE CITY – All eight of the co-defendants in the case against Aaron Michael Shamo have been sentenced after a series of sentencing hearings took place this week in a Utah federal court. Seven co-defendants were sentenced throughout the week, including Jonathon “Luke” Paz, Drew Wilson Crandall, Alexandrya Marie Tonge, Katherine Lauren Anne Bustin, Mario Anthony Noble, Sean Michael Gygi, and Ana “Gabby” Noriega, while Christopher Sean Kenny was sentenced last month in a separate hearing. All defendants previously plead guilty to charges related to their involvement in Shamo’s multi-million dollar nationwide dark net drug trafficking organization that distributed more than a half million counterfeit pills throughout the country.

During a trial in federal court in August of 2019, a jury found Shamo guilty of organizing and directing a drug trafficking organization that imported fentanyl and alprazolam from China and used the drugs to manufacture fake oxycodone pills made with fentanyl and counterfeit Xanax tablets. The evidence at trial showed that more than 90 of Shamo’s customers died of drug overdoses. However, the total number of victims could not be calculated since Shamo sold many of his fentanyl laced fake oxycodone pills in bulk to redistributors and their customers could not always be located by investigators. Shamo was sentenced to life in prison by U.S. District Court Judge Dale A. Kimball in October of 2020.

The sentences handed down in federal court for Shamo’s co-defendants are as follows:

Jonathon “Luke” Paz, 33, now of Fort Walton Beach, Florida, was sentenced to 60 months in federal prison for his role in helping to run the dark web drug distribution empire founded by Aaron Shamo. Paz was convicted of conspiracy to manufacture a controlled substance containing fentanyl, two counts of knowingly adulterating drugs while holding them for sale, and conspiracy to commit money laundering. In the plea agreement, Paz admitted to operating pill presses for Aaron Shamo and pressing counterfeit Xanax containing alprazolam and counterfeit oxycodone pills containing fentanyl. Paz admitted that he developed the process and recipe to create the counterfeit fentanyl-laced oxycodone pills, and that he pressed almost 500,000 of these counterfeit pills. Paz turned over $800,000 in U.S. currency and 32.8 bitcoins to federal investigators upon his arrest that were proceeds from his involvement in the drug distribution with Shamo. 

Drew Wilson Crandall, 35, of Draper, was sentenced to 54 months in federal prison for his role in helping to run the dark web drug distribution empire founded by Aaron Shamo. Crandall was convicted of conspiracy to distribute fentanyl, conspiracy to distribute alprazolam, and conspiracy to commit money laundering. In the plea agreement, Crandall admitted that he and Aaron Shamo imported and distributed controlled substances in Utah and around the country using the Pharma-Master dark web site developed by Shamo. Crandall also admitted that he helped Shamo mix the illegal narcotics in mason jars and used pill presses to turn the mixture into pill form. After having his own misgivings about the scheme, Crandall sold his stake in the company to Shamo for $40,000 and moved to New Zealand in November of 2015, but was later lured back into the scheme by Shamo and continued to work in customer service and handled complaints and inquiries from Shamo’s customers. Crandall was arrested in 2017 by federal law enforcement when he returned to Hawaii to get married to his fiancé.

Alexandrya Marie Tonge 29, of South Jordan, was sentenced to 36 months in federal prison for her role in Shamo’s drug trafficking network. Tonge was convicted of conspiracy to distribute fentanyl, conspiracy to distribute alprazolam, possession of fentanyl with the intent to distribute, using the U.S. mail to commit drug trafficking, and conspiracy to commit money laundering. In the plea agreement, Tonge admitted to being paid to ship and receive packages containing illegal narcotics on behalf of Aaron Shamo and Drew Crandall, and to using their bitcoin wallets to pay for expenses related to the drug trafficking organization.  

Katherine Lauren Anne Bustin, 31, of South Jordan, was sentenced to 36 months in federal prison for her role in Shamo’s dark web drug trafficking network. Bustin was convicted of conspiracy to distribute fentanyl, conspiracy to distribute alprazolam, possession of fentanyl with the intent to distribute, using the U.S. mail to commit drug trafficking, and conspiracy to commit money laundering. In the plea agreement, Ms. Tonge admitted to being paid to ship and receive packages containing illegal narcotics on behalf of Aaron Shamo and Drew Crandall, and to using their bitcoin wallets to pay for expenses related to the drug trafficking organization. Bustin also admitted that Shamo paid her and Tonge $7,000 per month to package thousands of shipments of narcotics to Shamo’s customers, including placing the correct number of pills in the customers’ orders and writing false return addresses on the packages.  

Mario Anthony Noble, 32, of Midvale, was sentenced to 30 months in federal prison for his role in Shamo’s dark web drug trafficking network. Noble was convicted of conspiracy to distribute fentanyl and conspiracy to distribute alprazolam. In his plea agreement, Noble admitted to being recruited by Shamo to be the “backbone” of Shamo’s dark web store and to manage customer service along with processing orders of various controlled substances. These controlled substances included alprazolam tablets and pills marked like oxycodone, but which contained fentanyl. Noble admitted that when he worked for Shamo, part of his daily duties included pulling together a list of customers, their mailing addresses, and the types and quantities of drugs they ordered. Once he created these lists, he would send them in an encrypted form, through an email account Aaron Shamo created, to co-conspirators who were responsible for packaging the orders and affixing mailing labels and postage. Noble admitted that he processed thousands of tablets containing alprazolam and pills containing fentanyl.

Sean Michael Gygi, 31 of Midvale, was sentenced to 24 months in federal prison for his role in Shamo’s dark web drug trafficking network. Gygi was convicted of conspiracy to distribute fentanyl, conspiracy to distribute alprazolam, importing fentanyl into the United States, and using the U.S. mail to commit drug trafficking. In his plea agreement, Gygi admitted to accepting shipments of illegal narcotics from China at his home on behalf of Aaron Shamo. Gygi also admitted that he also served as a runner for Shamo and picked up packages from co-defendants Tonge and Bustin five nights a week and delivered them to multiple post offices around the Salt Lake Valley to avoid detection.  

Ana “Gabby” Noriega, 30, of West Jordan, was sentenced to 36 months of probation for her role in assisting Aaron Shamo’s drug trafficking operation. Noriega was convicted of conspiracy to commit money laundering, and in her plea agreement, admitted to working for Shamo for six months in 2016 in a role that was equivalent to an Executive Assistant. Noriega admitted that she bought supplies and other items for Shamo to use in furtherance of his drug trafficking operation and that she used money to purchase items that she knew was obtained from the sale of illegal narcotics.

Christopher Sean Kenny, 46, of Midvale, was sentenced to 120 months of imprisonment in June of 2021. Kenny was convicted of conspiracy to distribute fentanyl and engaging in money laundering. In the plea agreement, Kenny admitted that he worked as a middleman for Aaron Shamo and helped Shamo sale fentanyl laced oxycodone pills to other drug dealers in Utah, who would then sell Shamo’s pills to their customers. Kenny admitted that he was paid approximately one dollar per pill for this service and that he distributed approximately 140,000 pills. Kenny then bought a Ford F150 in August of 2016 using cash that he obtained from selling narcotics for Shamo.

“Aaron Shamo’s life sentence, and the sentences imposed on his co-defendants, send a clear message to anyone involved in the distribution of illegal narcotics. Law enforcement will catch you, and you will be punished for your role in the death and destruction that you cause in our communities,” said Acting United States Attorney Andrea Martinez. “As the opioid epidemic continues to take its destructive toll, we will remain vigilant and continue to aggressively prosecute those who violate the controlled substance laws of the United States. I send my deepest condolences to the families of our victims. We know you will never be made whole, but we hope that this will provide some measure of closure and allow you to heal.”

“There is no way to overstate the deadly severity of the crimes these defendants committed. They assisted one of the most prolific opioid dealers this state has ever encountered, and they are complicit in the destructive and too often-fatal consequences that resulted,” said Utah Attorney General Sean D. Reyes. “Regardless of the length of their sentence, they must live with the fact that they profited from crimes that ruined countless lives.   I would like to express my sincere condolences to the families around the world who lost loved ones and whose lives were devastated by these crimes. I am grateful to the fine DEA agents and prosecutors of the DEA, the U.S. Attorney’s Office, and the Utah AG Office in this case. I also appreciate Judge Kimball’s careful handling and thoughtful decisions in this case.”

“The amount of Fentanyl distributed throughout the U.S. as a result of the operations these criminals supported devastated communities throughout the country,” said Steven Cagen Special Agent in Charge, Homeland Security Investigations Denver. “We will continue to investigate those that put personal profits above the lives of people in their communities and bring deadly drugs into the U.S. for distribution. Justice was served and we’re gratified these co-conspirators will be behind bars for the foreseeable future.”

“The dismantlement of this organization, which was responsible for multiple overdose related deaths, highlights the success of cooperative efforts between law enforcement agencies within the state of Utah,” said Michael J. Tinkler, Utah DEA Assistant Special Agent in Charge.

“It’s another example of the strength of our partnerships and unified approach in confronting criminal organizations targeting our communities.” 

“The opioid crisis is still with us and continues to expand. Those who contribute to the breadth and depth of this crisis carry the burden of the devastation they impose on families and communities across the nation,” said Special Agent in Charge Charles L. Grinstead, FDA Office of Criminal Investigations Kansas City Field Office. “We will continue to investigate and bring to justice those who facilitate illicit access to opioids.”

“Mr. Shamo and his associates put at risk countless individuals addicted to opioids, through the sale of dangerous counterfeit fentanyl laced pills. This drug empire affected the entire nation, and today marks a final step in justice for those who caused this great tragedy for so many,” said IRS Criminal Investigation Special Agent in Charge, Albert Childress. “We will continue to work together with our law-enforcement partners to dismantle criminal enterprises like this, who intend to financially profit from the exploitation and suffering of the American people.”

“Battling and keeping illegal narcotics - especially synthetic opioids - out of the U.S. Mail is one of the highest priorities of the U.S. Postal Inspection Service,” said Utah Postal Inspection Service Team Leader Jared Bingham. “In today’s world of Dark Web and cyber crimes, drug dealers don’t always fit the stereotypical image of years past where the danger and effect of their crimes was confined to local jurisdictions. The Dark Web allowed the defendants in this case to operate their criminal organization from the safety and comfort of their own homes. However, the danger and lethal effects of their drug dealing enterprise was not limited to individual cities and towns. Rather, it touched virtually every corner of our nation, and it’s wake of death and pain is just as wide. In cases like this, it is important that justice not only be served, but that it send the right message to would be Dark Web criminals. The Postal Inspection Service is grateful to the U.S. Attorney’s Office and our federal law enforcement partners for their diligence in investigating and prosecuting this important case.”

Assistant U.S. Attorneys and Special Assistant U.S. Attorney’s from the Utah Attorney General’s Office prosecuted the cases. Special Agents from the DEA’s Metro Narcotics Task Force, Homeland Security Investigations, IRS Criminal Investigations, Food and Drug Administrations Office of Criminal Investigations, and Inspectors from the United States Postal Inspection Service conducted the investigation.  

SALT LAKE CITY – Hubert Ivan Ugarte 52, of Draper, and Lisa Bradshaw Rowberry, 49, of Provo, have both been sentenced for their roles in unlawfully obtaining a Paycheck Protection Program (PPP) loan for Frisbu Trucking, Incorporated, where they were both employed.

Rowberry was sentenced to prison for a term of 12 months and a day last week in federal court. Her co-defendant, Hubert Ivan Ugarte, was sentenced to a term of 36 months in federal prison back in June for his role in the PPP loan fraud scheme. Ugarte’s sentence will run concurrently with a sentence that Ugarte received in a related case involving the bribery of officials at the Utah FedEx Ground Hub.

According to plea agreements in this case, Ugarte was the owner and operator of Frisbu Trucking, Inc. Ugarte hired Rowberry to work for Frisbu after she had been terminated from her role as an Assistant Vice President of U.S. Bank for engaging in financial transactions with Ugarte that violated U.S. Bank’s ethical policies. After Ugarte was indicted by a federal grand jury for his role in the FedEx bribery scheme, Ugarte’s many trucking businesses began to struggle because they were dependent on Ugarte’s ability to engage in business with the FedEx Ground Hub. In order to remain in business, Ugarte and Rowberry fraudulently applied for a PPP loan authorized by the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and obtained $210,000 in loan funding. However, Rowberry and Ugarte both unlawfully failed to disclose that Ugarte was under federal indictment for his role in the FedEx bribery case.

The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to millions of Americans suffering from the economic effects caused by the COVID-19 pandemic.  One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized more than $300 billion in additional PPP funding, and Congress again authorized more than 284 billion in Additional PPP funding in 2021.

PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be entirely forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses a certain amount of the PPP loan proceeds on payroll expenses.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

Assistant United States Attorneys in the Utah U.S. Attorney’s Office prosecuted the case against Rowberry and Ugarte. Special Agents from the FBI, IRS, and the Department of Transportation Office of Inspector General conducted the investigations.

SALT LAKE CITY- The Utah U.S. Attorney’s Office has agreed to the termination of a federal monitorship agreement with the Utah Transit Authority based upon UTA’s substantial compliance with the monitorship requirements and a federal non-prosecution agreement entered into by the parties in 2017.

In April of 2017, UTA and the U.S. Attorney’s Office for the District of Utah entered into a non-prosecution agreement arising out of a federal investigation into UTA’s operation of mass public transit services, application for federal grants and funding, expenditure and use of federal funds, or the negotiation for, and/or acquisition of, real property, equipment and other capital improvements related to UTA operations. The non-prosecution agreement was driven in large part by UTA’s acknowledgment and recognition of the need for improved institutional conformity with financial and ethical requirements pertaining to the following four core issues of focus during the investigation:

1. Inadequate controls over federal funds and drawdowns from federal grants;
2. Improper handling and disclosure of property acquisition and disposition, including inadequate oversight of transit-oriented development projects;
3. Non-compliance with ethical standards, resulting in benefits to UTA employees and/or Board members; and
4. Improper approval of executive bonuses.

A critical component of the non-prosecution agreement involved the retention of a third-party monitor to ensure the continued implementation of institutional improvements and reforms, and to recommend additional improvements and reforms, particularly those intended to address the four core issues. On September 5, 2018, UTA formally retained a team of attorneys from the law firm of Coblentz Patch Duffy & Bass (the “Monitor”) to conduct the UTA federal monitorship, broken down into three phases.

The first phase of the monitorship was an investigatory inquiry involving interviews of UTA employees and a review of UTA records aimed at identifying the institutional problems within UTA that led to the lack of conformity with financial and ethical requirements related to the four core issues identified in the Non-Prosecution Agreement. This phase was completed by UTA in July of 2019.

The second phase of the monitorship was focused on UTA’s adoption of critical reforms related to the same four core issues identified in the Non-Prosecution Agreement. Phase two included a review of the implementation and the effectiveness of reforms recommended by UTA and the Monitor. The reforms included:

1. Clarification of the Local Advisory Council’s role and authority over UTA’s major capital projects and its interaction with UTA’s three-member Board;
2. New policies and standard operating procedures related to the four core issues;
3. New and revised conflict of interest policies and procedures, along with ethics training;
4. Implementing an ethics hotline and a completely anonymous process for whistleblowers to raise concerns about ethics;
5. Establishing an independent risk management function, an additional layer of checks and balances targeting future risks and the functionality of implemented controls;
6. New or revised polices concerning ethics and gift parameters for procurement professionals, along with safeguards designed to identify and eliminate malfeasance during the approval process of any transit-oriented developments.

The third phase of the monitorship involved a final report issued by the Monitor. Based upon the review of the Monitor’s interim and final reports, and the U.S. Attorney’s Office ongoing review and confirmation of UTA’s adherence to key financial and ethical requirements pertaining to the four core issues identified in the non-prosecution agreement, the United States Attorney’s Office has notified UTA that the federal monitorship is deemed completed and terminated, effective immediately. 

“The successful completion of the Monitorship is the product of effective collaboration between UTA and the Monitor to assess the effectiveness of prior reforms and implement new reforms, all aimed at putting UTA in an ideal position to continue to elevate and maintain a high level of financial and ethical integrity going forward,” said Acting United States Attorney Andrea T. Martinez. “The U.S. Attorney’s Office is pleased with the fruits of its non-prosecution agreement, the Monitorship, and UTA’s commitment to doing things right as it strives to meet the needs of the Utah community. Equally important is the public release of the Final Monitorship Report, ensuring full transparency of the manner and means through which the Monitorship was brought to a successful completion.”

SALT LAKE CITY – The grand jury issued a 27-defendant, 34-count indictment on Wednesday, charging twenty-seven individuals associated with the Nortenos gang for their roles in a conspiracy to distribute methamphetamine, fentanyl, and heroin across the Wasatch Front. Previously, it returned five other indictments relating to this investigation and operation. The charges follow joint Organized Crime Drug Enforcement Task Force operations conducted by the Drug Enforcement Administration’s Metro Narcotics Task Force (DEA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Unified Police Department’s Metro Gang Unit (MGU), the Internal Revenue Service’s Criminal Investigation Division (IRS), and the United States Marshals Service.

These charges are the result of an investigation beginning in September of 2020 in Utah.  During the investigation, law enforcement demonstrated extensive cooperation across the Salt Lake Valley, as the DEA, ATF, Unified Police Department’s Metro Gang Unit, IRS, and the United States Marshals Service conducted a proactive investigation targeting drug and firearms trafficking activities of Salt Lake City gang members, specifically Norteños and their associates  This operation follows a previous 38-defendant federal investigation and indictments of Norteños and their associates trafficking in methamphetamine and heroin with the Sinaloa Cartel in February 2019.

During this new operation, law enforcement officers seized more than 42 pounds of methamphetamine, seven pounds of heroin, 5,000 fentanyl pills, 71 grams of fentanyl powder, 15 firearms, and more than $25,000. Using court-authorized investigative techniques, law enforcement learned that the primary narcotics supplier for this group was Jalisco New Generation Cartel (CJNG). Investigators further estimate that the organization and its members are responsible for more than 420 pounds of methamphetamine and 50 pounds of heroin being transported to, and distributed in, the Salt Lake Valley during 2020 and 2021. Evidence gathered during the investigation demonstrate that the defendants were involved in transporting drugs from Mexico into the United States; moving the drugs to Salt Lake City; distributing the drugs to re-distributors who distributed the drugs throughout the community; and collecting and transporting drug proceeds back from Utah to Mexico.

Acting United States Attorney for the District of Utah Andrea T. Martinez announced the charges today along with DEA Assistant Special Agent in Charge Jay Tinkler, ATF Resident Agent in Charge Michael Minichino, Salt Lake County Sheriff Rosie Rivera, U.S. Marshal for the District of Utah Matthew Harris, and IRS-Criminal Investigations Special Agent Stephen Washburn.

The largest indictment returned on Wednesday charges 27 individuals with 34 federal counts, including continuing criminal enterprise, conspiracy to distribute methamphetamine, heroin, and fentanyl, conspiracy to launder money, along with several distribution and possession with intent to distribute narcotics charges, and several additional firearms charges. 

Those charged in the indictment are:

• Luis Cuna-Vigil, 35, of Rosarito, Mexico;
• Jesus Avila-Garcia, 46, of Salt Lake City;
• Joe Robert Rael, aka “Jojo,” 52, of Salt Lake City;
• Jerry Philip Vigil, aka “Nino,”47, of Bountiful;
• Jennifer Lopez-Lopez, 20, of San Marcos, California;
• Maria Isla-Avila, aka “Sky,” 22, of Escondido, California;
• Martin Verduzco-Muro, aka “Lalo,” 28, of Bountiful;
• Edward David Lucero, 54, of Sandy;
• Linda Hernandez-Alvarez, 34, of Salt Lake City;
• Brian Michael Fioravanti, 34, of Salt Lake City;
• Jeffrey Kraig Ellis, 60, of West Valley City;
• Patrice Raelynn Estes, 49, of Salt Lake City;
• Leandro Cortez Ochoa Lovato-Howells, 40, of Salt Lake City;
• Mario Alberto Lovato, aka “Grump,” 40, of Salt Lake City;
• Joseph Raymond Trujillo, aka “Qujo,” 31, of West Valley City;
• Celina Alexandra Garcia, “Baby G,” 26, of Salt Lake City;
• Pete Vince Espinoza, 37, of Salt Lake City;
• Judy Ann Maestas, 30, of Salt Lake City;
• Felicia Nicole Mingura, aka “Fela,” 34, of Salt Lake City;
• Erika Rachelle Vigil, 30, of West Valley City;
• Jessica LeAnn Vigil, 30, of Sandy;
• Anthony James Runion, aka “Lil Ace,” 19, of Salt Lake City;
• Richard Lawrence Trujillo, 32, of Salt Lake City;
• Brandon Jay Perrault, aka “Trip,” 42, of Salt Lake City;  
• Pedro Jurado, 56, of Midvale;
• Kyle Jimenez-Cuna, 18, of Bountiful.
    

The grand jury previously returned five indictments for defendants relating to this operation. Included in those additional five indictments are:

• Linda Rose Garcia, 33, of Salt Lake City, charged with being a felon in possession of firearm;
• Joseph Paul House, aka “Chino,” 36, of Taylorsville, charged with being a felon in possession of firearm;
• Victor Jurado, 34, of Salt Lake City, charged with being a felon in possession of firearm;
• Daniel Maestas, 48, of Salt Lake City, charged with possession of methamphetamine with intent to distribute;
• David Soto-Acosta, aka “Droops,” 26, of Salt Lake City, charged with being a felon in possession of a firearm.
•  

Assistant U.S. Attorneys Stephen L. Nelson, Jamie Z. Thomas, and Stewart M. Young in the Utah U.S. Attorney’s Office are prosecuting the case, along with Assistant District Attorney Adam Blanch from the Salt Lake County District Attorney’s Office. Special Agents from the DEA’s Metro Narcotics Task Force, ATF, and IRS Criminal Investigation Division, investigators from the Unified Police Department’s Metro Gang Unit, and Deputies from the United States Marshals Service, conducted the investigation.  

Indictments are not findings of guilt. Defendants charged in indictments are presumed innocent unless or until proven guilty in court.

SALT LAKE CITY – Jackson Stuart Tamowski Patton, 27, of Salt Lake City, pleaded guilty to one felony count of civil disorder, charged in a felony information, for his role in the burning of a Salt Lake City Police Department patrol car during the civil unrest which occurred in Salt Lake City on May 30, 2020.

In the plea agreement, Patton admitted that, on May 30, 2020, he was protesting the killing of George Floyd when protesters turned violent and overturned a Salt Lake City Police Department patrol car. Patton admitted that law enforcement officers were lawfully engaged in the performance of their official duties during the commission of the civil disorder and that he participated in the burning of the overturned patrol car with the intent and purpose of obstructing, impeding, and interfering with law enforcement officers  Patton also admitted to moving a burning cloth into the interior of the overturned patrol car.

Sentencing is set for August 11, 2021. Patton faces a maximum term of imprisonment of five years in prison, a payment of $2,500.000 in agreed upon restitution, and a term of supervised release of three years.

Assistant U.S. Attorneys from the Utah U.S. Attorney’s Office prosecuted the case. Special Agents from the ATF and the FBI, and detectives from the Salt Lake City Police Department, conducted the investigation.

SALT LAKE CITY – Six members of a Utah County based drug distribution ring allegedly responsible for distributing large amounts of the drug 3,4-Methylenedioxymethamphetamine, commonly known as MDMA or Ecstasy, are now facing federal charges in a superseding indictment unsealed in federal court on Thursday.

The charges in the indictment include conspiracy to distribute MDMA, two counts of possession of MDMA with intent to distribute, and three counts of aiding and abetting the importation of MDMA.

According to a complaint filed in the case, the investigation into the defendants’ importation of MDMA began in February of 2021, when an international mail shipment was seized by U.S. Customs and Border Protection (CBP) at the port of Cincinnati DHL Hub. The seized package was manifested to CBP as containing a hair dryer with a claimed value of $36.00 and a claimed weight of two kilograms. Upon further inspection, it was revealed that the package contained vacuum sealed plastic bags containing 2.1 kilograms of gray pills pressed with skulls and the words “Reaper 350 mg” on the back. CBP agents tested the gray pills with a field test kit, which presumptively identified the gray pills as containing MDMA, a schedule I controlled substance. The package was then delivered to its intended recipient in Vineyard, Utah, by Special Agents from Homeland Security Investigations, who began the investigation into the MDMA distribution scheme in Utah. A search warrant was later executed for another residence in Vineyard that yielded 23 pounds of MDMA. After the execution of the search warrant, a package like the first was seized by CBP in Cincinnati. This packaged was destined for another address connected to the distribution ring in Salt Lake City and contained 2.3 kilograms of gray pills that also field tested positive for MDMA.

Charged in the indictment are Bryan Hernandez, 25, of Vineyard; Cindy Hurtado, 23, of Vineyard; Rodrigo Padilla, 23, of Salt Lake City; Roberto Reyes, 28, of Vineyard; Michael Ortiz, 25, of Salt Lake City; Junior Morales, 29, of Salt Lake City; and Larry Durrer, 26, of West Valley City. 

Assistant U.S. Attorneys from the Utah U.S. Attorney’s Office and Special Assistant United States Attorneys from the Department of Homeland Security are prosecuting the case. Special Agents from Homeland Security Investigations, the Utah State Bureau of Investigations, and Inspectors from the United States Postal Inspection Service conducted the investigation.

Indictments are not findings of guilt.  Defendants charged in indictments are presumed innocent unless or until proven guilty in court.

SALT LAKE CITY – A federal grand jury in Salt Lake City returned a 32-count indictment charging 21 individuals for their roles in a conspiracy to distribute methamphetamine, fentanyl, heroin, and cocaine across the Wasatch Front. The charges follow joint Organized Crime Drug Enforcement Task Force operations conducted by the FBI’s Safe Streets Task Force, Wasatch Metro Narcotics Strike Force, Davis County Metro Narcotics Strike Force, West Valley Police Department, and the United States Marshals Service.

Law enforcement officers seized more than 27 pounds of methamphetamine, four pounds of fentanyl, two pounds of heroin, 22 pounds of cocaine, two firearms, and more than $415,000 during the course of the operation.

The grand jury charged 18 individuals with conspiracy to distribute methamphetamine; 14 individuals are charged with conspiracy to distribute fentanyl; five individuals are charged with conspiracy to distribute heroin; 18 individuals are charged with conspiracy to distribute cocaine. The indictment also includes 12 counts of distribution of methamphetamine; three counts of distribution of cocaine; one count of distribution of fentanyl; one count of possession with intent to distribute fentanyl; four counts of possession with intent to distribute methamphetamine; three counts of possession with intent to distribute cocaine, two counts of possession with intent to distribute heroin; one count of using a firearm in furtherance of a drug trafficking crime; and one count of using a cellular phone to facilitate the distribution of methamphetamine.

Charged in the indictment are:

• Melvin Bladimir Andrade, aka “The Trucker,” 32, of Roy;
• Jesus Antonio Hernandez Guerrero, aka “Tonio,” 35, of North Ogden;
• Francisco Javier Quezada Aguirre, aka “el Negro” aka “Poncho,” 27, of Mexico;
• Pedro Ignacio Mendoza Ibarra, 28, of Mexico;
• Hector Ramses Blasco Cota, aka “Winnie,” 25, of Salt Lake City;
• Jose Luis Hernandez, aka “Chepe,” 60, of Ogden;
• Troy Rivera, aka “Vecino” aka “Gonzo,” 48, of Farr West;
• Hector Holguin Barrios, aka “Viejo,” 57, of Midvale;
• Hugo Morales Chavero, 30, of Salt Lake City;
• Victor Noe Martinez Portillo, 31, of West Jordan;
• Josiel Rogelio Morales Lopez, 21, of Lehi;
• Isaac Celaya Almanza, aka “Chupa” aka “Flaco,” 50, of Ogden;
• Victor Guzman, “Chiste,” 46, of Ogden;
• Erick Garcia Rivera, 40, of West Valley City;
• Mario Moreno, 40, of Ogden;
• Rubi Rosario Almenta Sanchez, 33, of Westminster, California;
• Edwin Alberto Espino Alfaro, aka “Gordito,” 33, of Ogden;
• Juan Carlos Rosas Rosas, 37, of Ogden;
• Carlos Enrique Canos Gutierrez, aka “Kike,” 26, of West Valley City;
• Marissa Perez, 22, of Torrance, California;  
• Andrea Islas, 24 of, Salt Lake City.  
   

Assistant U.S. Attorneys in the Utah U.S. Attorney’s Office are prosecuting the case. Special Agents from the FBI’s Safe Streets Task Force and investigators from the Wasatch Metro Narcotics Strike Force, Davis County Metro Narcotics Strike Force, West Valley Police Department, and Deputies from the United States Marshals Service, conducted the investigation.

Indictments are not findings of guilt. Defendants charged in indictments are presumed innocent unless or until proven guilty in court.

SALT LAKE CITY— In honor of National Police Week, Acting U.S. Attorney Andrea T. Martinez recognizes the service and sacrifice of federal, state, local, and Tribal law enforcement. This year, the week is observed Sunday, May 9 through Saturday, May 15, 2021.

“This week is a time to honor our law enforcement officers who have made the ultimate sacrifice in service to our nation,” said Attorney General Garland. “I am constantly inspired by the extraordinary courage and dedication with which members of law enforcement act each day, putting their lives on the line to make our communities safer. To members of law enforcement and your families: we know that not a single day, nor a single week, is enough to recognize your service and sacrifice. On behalf of the entire Department of Justice, you have our unwavering support and eternal gratitude.”

“This week we honor the law enforcement officers who have made the ultimate sacrifice in service to our country, our cities, Indian Tribes, and the State of Utah, said Acting United States Attorney Andrea T. Martinez. “It is an honor to work alongside the brave men and women in law enforcement who are willing to sacrifice everything to keep our communities and our families safe. Thank you to every member of law enforcement and your families for your service to this great nation.”

In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices.  Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty.

Each year, during National Police Week, our nation celebrates the contributions of law enforcement from around the country, recognizing their hard work, dedication, loyalty, and commitment to keeping our communities safe. This year the COVID-19 pandemic has highlighted law enforcement officers’ courage and unwavering devotion to the communities that they have sworn to serve.

During the Roll Call of Heroes, a ceremony coordinated by the Fraternal Order of Police (FOP), more than 300 officers will be honored.  Based on data submitted to and analyzed by the National Law Enforcement Officer Memorial Fund (NLEOMF), of the law enforcement officers who died nationwide in the line of duty in 2020, nearly 60 percent succumbed to COVID-19. Here in the District of Utah, one officer died in the line of duty; Officer Nathan J. Lyday from the Ogden Police Department.  

Additionally, according to statistics reported by the Federal Bureau of Investigation (FBI) through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program, 46 law enforcement officers died as a result of felonious acts and 47 died in accidents in 2020.  LEOKA statistics can be found on FBI’s Crime Data Explorer website.  

The names of the 394 fallen officers who have been added in 2020 to the wall at the National Law Enforcement Officer Memorial will be read on Thursday, May 13, 2021, during a during a Virtual Candlelight Vigil, which will be livestreamed to the public at 8:00 pm EDT. The Police Week in-person public events, originally scheduled for May, have been rescheduled due to ongoing COVID-19 concerns to October 13-17, 2021. An in-person Candlelight Vigil event is scheduled for October 14, 2021.

Those who wish to view the Virtual Candlelight Vigil on May 13, 2021, can watch on the NLEOMF YouTube channel found at https://www.youtube.com/user/TheNLEOMF. The FOP’s Roll Call of Heroes can be viewed at www.fop.net. To view the schedule of virtual Police Week events in May, please view NLEOMF’s Police Week Flyer.   

To learn more about National Police Week in-person events scheduled for October, please visit www.policeweek.org.

SALT LAKE CITY – Lisa Bradshaw Rowberry, 49, of Provo, pleaded guilty for her role in Paycheck Protection Program (PPP) loan fraud scheme last week in federal court. Rowberry pleaded guilty to loan application fraud for unlawfully obtaining a federal Paycheck Protection Program (PPP) loan for the Frisbu trucking company, where she was employed by the owner of the company and co-defendant, Hubert Ivan Ugarte. Ugarte pleaded guilty to PPP loan fraud and federal bribery charges involving the FedEx Ground Hub in federal court last month.

According to the plea agreement, Rowberry admitted to submitting a fraudulent loan application to Transportation Alliance Bank in Ogden, Utah, for PPP loans authorized by the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and that she fraudulently obtained $210,000 in PPP loans for Frisbu after failing to disclose on the loan application that Ugarte was under federal indictment for his role in a bribery scheme involving the FedEx Ground Hub. Rowberry stated that she first met Ugarte while working as Branch Manager at a U.S. Bank branch in Utah where Ugarte was a customer, and that when she went to work for Ugarte, she was aware that he was under federal indictment for his role in a FedEx Ground Hub bribery scheme that occurred in Utah.

The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to millions of Americans suffering from the economic effects caused by the COVID-19 pandemic.  One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized more than $300 billion in additional PPP funding, and Congress again authorized more than 284 billion in Additional PPP funding in 2021.

PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be entirely forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses a certain amount of the PPP loan proceeds on payroll expenses.

Sentencing is set for July 7, 2021 for Rowberry and on June 3, 2021 for Ugarte.

Assistant United States Attorneys in the Utah U.S. Attorney’s Office prosecuted the case against Rowberry. Special Agents from the FBI, IRS, and the Department of Transportation Office of Inspector General conducted the investigations.

SALT LAKE CITY – Marc Tager, Jonathon Shoucair, Matthew Mangrum, and Kenneth Gross have all been sentenced for their role in an eight million dollar telemarketing fraud scheme that promised investors, most of them elderly, that their business could extract gold from dirt.

Marc Andrew Tager, 55, of Sandy, Utah, was sentenced on April 14, 2021, to 43 months in federal prison for conspiracy to commit wire and mail fraud, money laundering, and possession of a firearm by a convicted felon.

Jonathon Edward Shoucair, 69 of North Hills, California, was sentenced on October 23, 2020, to 72 months in federal prison for conspiracy to commit wire and mail fraud and money laundering.

Matthew Earl Mangum, 51, of South Jordan, Utah, was sentenced on November 18, 2020, to 48 months in federal prison for conspiracy to commit wire fraud and money laundering.

Kenneth Stephen Gross, 75, of Porter Ranch, California was sentenced on January 16, 2020, to 24 months of probation for failing to disclose to federal authorities that he had knowledge that securities fraud was occurring.

Tager, Shoucair, and Mangum posed as the leaders of the scheme and told victim-investors they had created a plan to make money by extracting gold from dirt using a revolutionary process developed by Mangum--who was held out to investors as an expert in metallurgy and the refining of precious metals. Investors were told that the defendants controlled this proprietary, breakthrough, nanotechnology that used environmentally friendly means to recover microscopic particles of gold from dirt. Gross was engaged in cold-calling potential investors and passing interested individuals on to Tager and Shoucair in order to obtain funds from these investors.

Investors were told that the group needed investors’ money to pay for the space, equipment, materials, and labor to develop Mangum’s process into a large scale, highly profitable business that would generate huge returns. Instead, the co-defendants operated an advanced fee scheme with Tager, Shoucair, and Mangum making fraudulent statements to investors to secure funding that was only partially used to support the business, which was never profitable.

In order to carry out the fraud, the three defendants formed Jersey Consulting, LLC (“Jersey”) and created a marketing website for their business. On the website, the defendants claimed that Jersey owned an 80 acre mining claim with a substantial amount of mineral rich ore; that their revolutionary mining technology could achieve 20 times the yield of traditional mining at a fraction of the cost; that their process was environmentally friendly; and that investors would achieve 100% percent returns on their money in 12 months. Investors were also told that their money would be secured by the physical assets owned by Jersey and that the investors would have priority over these assets should the business fail.

What investors did not know was that Tager and Shoucair first met while serving multi-year federal prison sentences together for previous fraud related convictions. Tager, who was convicted of conspiracy to commit mail fraud in 2005 and sentenced to approximately 2 years in prison, met Jon Shoucair, who was serving a 5-year prison sentence in the Sheridan Federal Correction Institution for running a $50 million telemarketing fraud.

Since 2014, the men raised over eight million from about 140 investors through the use of a national telemarketing strategy. The majority of the investors were over the age of 65. However, three million dollars of investors’ money was spent for the personal benefit of Tager, Mangum, and Shoucair, with another two million dollars of the funds going to pay telemarketers, including Gross, who helped raise the funds. It is estimated that only three million dollars of the investors’ funds were used to pay for potentially legitimate business expenses incurred by Jersey.

Assistant U.S. Attorneys Jacob J. Strain, Trina Higgins, and Allison Moon in the Utah U.S. Attorney’s Office prosecuted the case. Investigators from the Utah Department of Commerce Division of Securities and Special Agents from the FBI and the IRS conducted the investigation.

SALT LAKE CITY – A joint FBI and DEA federal narcotics investigation has resulted in the conviction of 23 federal defendants in Utah, taking out a large-scale methamphetamine distribution organization in Salt Lake County run by members of eight street gangs and supplied by a Mexican drug cartel.

Throughout the course of the complex multi-year investigation, agents from the FBI, DEA, and multiple federal, state, and local law enforcement agencies worked together using advanced court authorized investigative techniques and undercover purchases to determine that  24 defendants (including one that remains a fugitive in Mexico) were operating a complex methamphetamine distribution scheme in Salt Lake County. The organized narcotics ring was set up like a business which included security, counter-surveillance, secret codes, firearms, and large amounts of cash, with each member having a distinct role in in the group.

During the operation and resulting arrests of the 23 defendants, law enforcement officers seized 41 pounds of methamphetamine and 17 firearms, including 13 firearms and assorted ammunition from one defendant who was prohibited under federal law from possessing a firearm after a felony conviction. Collectively, these 24 defendants were members of eight separate gangs and the organization was supplied by members of a Mexican drug cartel in Southern California.

The street gangs involved were the Surenos, Nortenos, La Raza, Vario Chosen Few, East Side Raskals, Baby Regulators, Soldiers of Aryan Culture, and Tiny Oriental Posse.

The sentences received by each defendant are:

• Cesar Gutierrez, age 41 of Magna, sentenced April 13, 2021, to 164 months in prison for Conspiracy to distribute 500 grams or more of methamphetamine;
• Siosifina Ositamani (aka Fina Halai), age 45 of Salt Lake City sentenced February 25, 2020, to 60 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Jon Martinez (aka Droopy), age 50 of Salt Lake City, sentenced August 13, 2019, to 5 years of probation;
• Cerina Gutierrez, age 49 of Salt Lake City sentenced June 17, 2019, to 120 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Sompheth Thaodara (aka Diamond), age 52 of West Valley City sentenced January 4, 2019, to 60 months in prison for Conspiracy to distribute 500 grams or more of methamphetamine;
• Timote Fangupo (aka Double Barrel), age 40 of West Jordan, sentenced September 18, 2018, to 18 months in prison for unlawful use of a communication device;
• Linda Sosa, age 42 of Kearns, sentenced September 18, 2018, to 36 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Man Tat Le (aka Asian Le), age 46 of West Valley City sentenced September 17, 2018, to 18 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Melissa Delgado, age 25 of Murray, sentenced August 20, 2018, to time served for conspiracy to distribute 500 grams or more of methamphetamine;
• Silvio McKenzie-Gainza, age 39 of Salt Lake City, sentenced August 2, 2018, to 151 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• David Tyson Madden, age 44 of Salt Lake City sentenced July 17, 2018, to 60 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Brandon Callaway, age 33 of Salt Lake City, sentenced July 6, 2018, to 84 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Raul Enrique Lizarraga Lopez (aka Maestro), age 26 of Los Angeles, sentenced July 2, 2018, to 120 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Makasini Lomu (aka Maka), age 54 of West Valley City, sentenced July 2, 2018, to 180 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Morgan Harris (aka Ace), age 62 of Murray sentenced June 8, 2018, to 60 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Jake Duran (aka Troublez), age 29 of Salt Lake City, sentenced May 25, 2018, to 84 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Justin Dahlquist, age 30 of Salt Lake City sentenced May 24, 2018, to 24 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Steven Trujillo, age 27 of Tooele sentenced May 8, 2018, to 72 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Jeremy Najera, age 37 of Salt Lake City sentenced May 7, 2018, to 48 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Gary Bronson Dean (aka Gary Dean Bronson), age 46 of Salt Lake City sentenced May 7, 2018, to 18 months in prison for conspiracy to distribute marijuana;
• Mario Cerna (aka Havoc), age 38 of West Valley City sentenced May 7, 2018 to 60 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Michael Shane Tisdale, age of 58 of West Valley City, sentenced May 7, 2018, to 48 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;

• Greg Montoya, age 47 of Salt Lake City, sentenced October 25, 2017, to 49 months in prison for conspiracy to distribute 500 grams or more of methamphetamine;
• Ciro Santamaria-Zepeda, age 39 of Salt Lake City, still a fugitive in Mexico.

“State and federal cooperation is one of the hallmarks of effective law enforcement. This operation highlights these partnerships, which work especially well together in Utah,” said Acting United States Attorney Andrea T. Martinez. “Dangerous, gang-affiliated drug trafficking organizations, like the organization prosecuted in this particular indictment, bring violence and chaos to our city streets. We pledge to continue to work together to disrupt and dismantle any drug trafficking organizations that target our state.”

“This case isn’t just about the massive amount of drugs that were brought into our neighborhoods, but the gang activity and violent crime that often accompanied it.  These drug organizations run like a big business, and we were able to target this one at every level,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI.  “The unfortunate reality is that our work is far from over.  Rest assured, the FBI and our partners are committed to identifying, investigating, and dismantling these criminal enterprises that threaten the safety of our kids and communities.”

"This long-term joint investigation targeted local area gangs that were responsible for the distribution of significant amounts of methamphetamine within our neighborhoods. As evidenced during the course of this case, these gang members utilized violence and intimidation to maintain control of their territories,” said DEA Assistant Special Agent in Charge Michael J. Tinkler. “Through the concerted efforts of local, state and federal law enforcement agencies, this organization was successfully dismantled highlighting the impact that partnerships have on addressing drug and violence related crime in Utah."

This case was prosecuted by Assistant United States Attorneys Stephen Nelson and Stewart Young from the Utah United States Attorney’s Office under the Department of Justice’s Organized Crime Drug Enforcement Task Force, and the investigation was conducted by Special Agents from the FBI and DEA.  Assisting with the investigations were officers from the Salt Lake City Police Department, West Valley City Police Department, Sandy Police Department, West Jordan Police Department, and the Utah Department of Public Safety, who participate as members of the FBI’s Safe Street Task Force; the Unified Police Department and the Metro Gang Unit; the Murray Police Department, the United States Marshals Service, ATF, and ICE Enforcement and Removal Operations.

SALT LAKE CITY – Daniel Kevin Richards, 37, of Sandy, Utah, was sentenced to three years of probation and a $10,000 fine in federal court on Monday after previously pleading guilty to  receiving misbranded chloroquine from China with the intent to sell the drug in the United States.

In the plea agreement, Richards admitted that, in April of 2020, he imported and received over 50 kilograms of misbranded and mislabeled chloroquine from China. Richards admitted that the chloroquine was falsely mislabeled as “Boswellia Serrata Extract” and that the drug was not manufactured and prepared by an establishment registered as a drug manufacturer with the Food and Drug Administration. Additionally, the labeling on the drugs failed to bear adequate directions for use as required by federal law. Richards has also been ordered to pay for the destruction of the drug by proper authorities with the United States Food and Drug Administration.

Assistant U.S. Attorneys in the Utah U.S. Attorney’s Office prosecuted the case. Special Agents of the Food and Drug Administration- Office of Criminal Investigations, the FBI, and investigators from the Salt Lake County District Attorney’s Office conducted the investigation.