Eastern District of Virginia

RICHMOND, Va. – A Richmond man was sentenced today to five years in prison for selling firearms to a resident of another state.

“Trafficking firearms poses a real danger to the safety of our communities,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern of Virginia. “We will continue to prosecute these types of cases and take illegally sold guns off of our streets and out of the hands of potential criminals.”

According to court documents, Brian Samuels, 21, sold 39 firearms to an undercover agent over the course of approximately four months in 2018. Prior to making controlled purchases of the firearms from Samuels, law enforcement learned that Samuels was searching for a new buyer for his firearms after his original buyer was arrested. As a result, law enforcement introduced an undercover agent to make purchases from Samuels from August through January 2019.

Over the course of those four months, Samuels recruited straw purchasers to acquire firearms he would sell to the undercover agent. He also would seek assistance from others to help complete the sales to the undercover agent by delivering the firearms. These firearms included multiple AK pistols, AR pistols, extended magazines with 30-60 round capacities, and stolen firearms. In February, ATF and other assisting law enforcement agencies executed a search warrant at Samuels’s home and located an additional 14 firearms, bringing the total to 53. As a part of the criminal sentencing, Samuels forfeited all 53 firearms to the United States.   

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorneys Stephen E. Anthony and Janet Jin Ah Lee  prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-34.

An Alexandria, Virginia, tax lobbyist pleaded guilty today to willfully filing a false tax return, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia.

According to court documents, attorney James F. Miller, 67, underreported his gross income on his 2010 through 2014 tax returns by approximately $2,215,587. Miller, a tax policy lobbyist and former employee of the Justice Department’s Tax Division, filed multiple false tax returns with the Internal Revenue Service (IRS). These returns omitted substantial portions of the partnership income he received from two law firms he worked at and the gross receipts of his own lobbying firm. The total tax loss resulting from Miller’s fraudulent conduct was approximately $735,933.

Sentencing is scheduled for Sept. 27, 2019. Miller faces a maximum sentence of three years in prison, a term of supervised release, and monetary penalties. In addition, Miller agreed to pay $735,933 restitution to the IRS.

Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Terwilliger thanked agents of IRS-Criminal Investigation, who conducted the investigation, and AUSA Ryan S. Faulconer and Trial Attorney Terri-Lei O’Malley of the Tax Division, who are prosecuting the case.

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

ALEXANDRIA, Va. – An international narcotics trafficker from the Dominican Republic and a narcotics trafficker from New York City were sentenced today to a combined 17 years in prison for their respective roles in a multi-million dollar conspiracy to purchase 100 kilograms of cocaine.

According to court documents and evidence presented at a related trial, Luis Rafael Tavarez, aka “El Primo,” 37, traveled from New York to Northern Virginia in October 2018 with co-defendants Manny Lizardo, 24, and Luis Liriano-Toribio, 32, to obtain 100 kilograms of cocaine in exchange for $2.5 million in cash. Law enforcement seized over $1.15 million in cash at the time of the arrests.

Tavarez was sentenced to ten and a half years in prison, while Lizardo was sentenced to six and a half years. Liriano-Toribio was convicted by a federal jury on March 18 and will be sentenced on June 28.

On several occasions in September and October 2018, Tavarez reaffirmed his desire to travel to Virginia to conduct a large drug transaction whereby he would pay $25,000 per kilogram of cocaine. In connection with this multi-million dollar deal, Tavarez sought an additional vehicle, known to narcotics traffickers as a “trap vehicle,” to split large amounts of cocaine into separate cars in order to minimize the risk of potentially losing the entire shipment in the event that law enforcement stopped one of the vehicles. In furtherance of the conspiracy, Tavarez used multiple telephones, an alias, and encrypted communication platforms, including with Lizardo and Liriano-Toribio, because he believed those measures would minimize the risk of law enforcement detection.

Tavarez previously admitted that Lizardo and Liriano-Toribio traveled to Northern Virginia to assist him in trafficking and/or transporting the large shipment of cocaine back to New York. Tavarez served as the leader and organizer of the operation, and was arrested at a hotel in Vienna in possession of over $1 million dollars in cash. Lizardo and Liriano-Toribio were arrested in a parking garage in Fairfax while both men were attempting to take possession of the cocaine.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, Colonel Gary T. Settle, Superintendent of Virginia State Police, Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, and Colonel James Morris, Vienna Chief of Police, made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Assistant U.S. Attorney Raj Parekh prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-426.

ALEXANDRIA, Va. – An Alexandria man pleaded guilty today to willfully filing a false tax return.

According to court documents, James F. Miller, 67, underreported his gross income on his 2010 through 2014 tax returns by approximately $2,215,587. Miller, a tax policy lobbyist and former employee of the Justice Department’s Tax Division, filed multiple false tax returns with the Internal Revenue Service (IRS). These returns omitted substantial portions of the partnership income he received from two law firms he worked at and the gross receipts of his own lobbying firm. The total tax loss resulting from Miller’s fraudulent conduct was approximately $735,933.

Miller pleaded guilty to willfully filing a false tax return and faces a maximum penalty of three years in prison when sentenced on September 27. In addition, Miller agreed to pay $753,933 restitution to the IRS. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Richard E. Zuckerman, Principal Deputy Assistant Attorney General of the Justice Department’s Tax Division, and Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI) made the announcement after Senior U.S. District Judge T.S. Ellis III accepted the plea. Assistant U.S. Attorney Ryan S. Faulconer and Trial Attorney Terri-Lei O’Malley of the Justice Department’s Tax Division are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-178.

ALEXANDRIA, Va. – An Arlington man was sentenced today to six and a half years in prison for orchestrating multiple fraud schemes that resulted in total losses of approximately $20 million.

According to court documents, Todd Elliott Hitt, 54, solicited approximately $30 million from investors for a variety of real estate and venture capital investments in the Washington, D.C. area from 2014 through August 2018. The investments included Hitt’s solicitation of approximately $17 million from investors in order to purchase a five-story office building adjacent to a planned future stop on the Silver Line in Herndon. Hitt made false statements and material omissions to investors by failing to disclose that a significant portion of the monies raised were commingled with other unrelated investment projects, used for personal spending to support an extravagant lifestyle and new investor’s funds used to pay off old investors in a Ponzi-like scheme. Hitt’s fraudulent conduct resulted in investor losses of approximately $20 million.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Charles Dayoub, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema. Assistant U.S. Attorney Mark D. Lytle prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-43.

ALEXANDRIA, Va. – Walmart Inc. (Walmart), a U.S.-based multinational retailer and one of the world’s largest corporations, and its wholly owned Brazilian subsidiary, WMT Brasilia S.a.r.l. (WMT Brasilia), have agreed to pay a combined criminal penalty of $137 million to resolve the government’s investigation into violations of the Foreign Corrupt Practices Act (FCPA).  WMT Brasilia pleaded guilty today in connection with the resolution.

“Walmart violated the Foreign Corrupt Practices Act because it failed to implement the internal controls necessary to ferret out corrupt conduct,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “For more than a decade, Walmart experienced exponential international growth but failed to create safeguards to protect against corruption risks in various countries. This resolution is the result of several years of steadfast work by the prosecutors and our law enforcement partners at the FBI and IRS-CI.”

According to Walmart’s admissions, from 2000 until 2011, certain Walmart personnel responsible for implementing and maintaining the company’s internal accounting controls related to anti-corruption were aware of certain failures involving these controls, including relating to potentially improper payments to government officials in certain Walmart foreign subsidiaries, but nevertheless failed to implement sufficient controls that, among other things, would have ensured: (a) that sufficient anti-corruption-related due diligence was conducted on all third-party intermediaries (TPIs) who interacted with foreign officials; (b) that sufficient anti-corruption-related internal accounting controls concerning payments to TPIs existed; (c) that proof was required that TPIs had performed services before Walmart paid them; (d) that TPIs had written contracts that included anti-corruption clauses; (e) that donations ostensibly made to foreign government agencies were not converted to personal use by foreign officials; and (f) that policies covering gifts, travel and entertainment sufficiently addressed giving things of value to foreign officials and were implemented. Even though senior Walmart personnel responsible for implementing and maintaining the company’s internal accounting controls related to anti-corruption knew of these issues, Walmart did not begin to change its internal accounting controls related to anti-corruption to comply with U.S. criminal laws until 2011.

“Walmart profited from rapid international expansion, but in doing so chose not to take necessary steps to avoid corruption,” said Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division. “In numerous instances, senior Walmart employees knew of failures of its anti-corruption-related internal controls involving foreign subsidiaries, and yet Walmart failed for years to implement sufficient controls comporting with U.S. criminal laws. As today’s resolution shows, even the largest of U.S. companies operating abroad are bound by U.S. laws, and the Department of Justice will continue to aggressively investigate and prosecute foreign corruption.”

The internal controls failures allowed Walmart foreign subsidiaries in Mexico, India, Brazil and China to hire TPIs without establishing sufficient controls to prevent those TPIs from making improper payments to government officials in order to obtain store permits and licenses. In a number of instances, insufficiencies in Walmart’s anti-corruption-related internal accounting controls in these foreign subsidiaries were reported to senior Walmart employees and executives. The internal control failures allowed the foreign subsidiaries in Mexico, India, Brazil and China to open stores faster than they would have with sufficient internal accounting controls related to anti-corruption. Consequently, Walmart earned additional profits through these subsidiaries by opening some of its stores faster. 

“The FBI will hold corporations responsible when they turn a blind eye to corruption," said Robert Johnson, Assistant Director of the FBI’s Criminal Investigative Division. "If there is evidence of violations of FCPA, we will investigate. No corporation, no matter how large, is above the law."

In Mexico, a former attorney for Walmart’s local subsidiary reported to Walmart in 2005 that he had overseen a scheme for several years prior in which TPIs made improper payments to government officials to obtain permits and licenses for the subsidiary and that several executives at the subsidiary knew of and approved of the scheme. Most of the TPI invoices included a code specifying why the subsidiary had made the improper payment, including: (1) avoiding a requirement; (2) influence, control or knowledge of privileged information known by the government official; and (3) payments to eliminate fines.

“Walmart’s guilty plea is another step in IRS-CI’s ongoing effort to pursue corporations that engage in corruption that prevents fair competition around the world,” said Kelly Jackson, Special Agent in Charge of IRS Criminal Investigations’ (IRS-CI) Washington, D.C. Office. “Through our efforts, we delved through layers of transactions and uncovered the bribery of foreign officials. Today’s announcement is a statement that no company, even one as large as Walmart, is above the law.” 

In India, because of Walmart’s failure to implement sufficient internal accounting controls related to anti-corruption, from 2009 until 2011, Walmart’s operations there were able to retain TPIs that made improper payments to government officials in order to obtain store operating permits and licenses. These improper payments were then falsely recorded in Walmart’s joint venture’s books and records with vague descriptions like “misc fees,” “miscellaneous,” “professional fees,” “incidental” and “government fee.”

In Brazil, as a result of Walmart’s failure to implement sufficient internal accounting controls related to anti-corruption at its subsidiary, Walmart Brazil, an entity majority-owned by WMT Brasilia, despite repeated findings in internal audit reports that such controls were lacking, Walmart Brazil continued to retain and renew contracts with TPIs without conducting the required due diligence. Improper payments were in fact paid by some of these TPIs, including a construction company that made improper payments to government officials in connection with the construction of two Walmart Brazil stores in 2009 without the knowledge of Walmart Brazil. Walmart Brazil indirectly hired a TPI whose ability to obtain licenses and permits quickly earned her the nickname “sorceress” or “genie” within Walmart Brazil. Walmart Brazil employees, including a Walmart Brazil executive, knew they could not hire the intermediary directly because of several red flags. In 2009, the TPI made improper payments to government inspectors in connection with the construction of a Walmart Brazil store without the knowledge of Walmart Brazil. WMT Brasilia was a wholly-owned subsidiary of Walmart and was a majority-owner of Walmart Brazil.

In China, Walmart’s local subsidiary’s internal audit team flagged numerous weaknesses in internal accounting controls related to anti-corruption at the subsidiary between 2003 and 2011, sometimes repeatedly, but many of these weaknesses were not addressed. In fact, from 2007 until early 2010, Walmart and the subsidiary failed to address nearly all of the anti-corruption-related internal controls audit findings.

Walmart entered into a three-year non-prosecution agreement and agreed to retain an independent corporate compliance monitor for two years. The $137 million penalty reflects a 20 percent reduction off the bottom of the applicable U.S. Sentencing Guidelines fine range for the portion of the penalty applicable to conduct in Mexico and 25 percent for the portion applicable to the conduct in Brazil, China and India. Walmart fully cooperated with the investigation in Brazil, China and India. Walmart cooperated with the investigation in Mexico, but did not timely provide documents and information to the government and did not de-conflict with the government’s request to interview one witness before Walmart interviewed that witness. Walmart did not voluntarily disclose the conduct in Mexico and only disclosed the conduct in Brazil, China and India after the government had already begun investigating the Mexico conduct. The $137 million penalty includes forfeiture of $3.6 million and a fine of $724,898 from WMT Brasilia.

In a related resolution with the U.S. Securities and Exchange Commission (SEC), Walmart agreed to disgorge $144 million in profits.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division, Robert Johnson, Assistant Director of the FBI’s Criminal Investigative Division, and Kelly Jackson, Special Agent in Charge of IRS Criminal Investigations’ (IRS-CI) Washington, D.C. Office, made the announcement.

The FBI’s International Corruption Squad in Washington, D.C. and IRS-CI are investigating the case.  Assistant Chiefs Tarek Helou and Lorinda Laryea and Trial Attorney Katherine Raut of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Jamar Walker of the Eastern District of Virginia are prosecuting the case. 

The Criminal Division’s Office of International Affairs has provided significant assistance by obtaining key evidence in this case, as have public authorities in, among other countries, Mexico and India.

The Fraud Section is responsible for investigating and prosecuting all FCPA matters.  Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.

A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-192.

Walmart Inc. (Walmart), a U.S.-based multinational retailer and its wholly owned Brazilian subsidiary, WMT Brasilia S.a.r.l. (WMT Brasilia), have agreed to pay a combined criminal penalty of $137 million to resolve the government’s investigation into violations of the Foreign Corrupt Practices Act (FCPA).  WMT Brasilia pleaded guilty today in connection with the resolution.   

Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, Assistant Director Robert Johnson of the FBI’s Criminal Investigative Division and Special Agent in Charge Kelly Jackson of IRS Criminal Investigation’s (IRS-CI) Washington, D.C. office made the announcement.

“Walmart profited from rapid international expansion, but in doing so chose not to take necessary steps to avoid corruption,” said Assistant Attorney General Benczkowski.  “In numerous instances, senior Walmart employees knew of failures of its anti-corruption-related internal controls involving foreign subsidiaries, and yet Walmart failed for years to implement sufficient controls comporting with U.S. criminal laws.  As today’s resolution shows, even the largest of U.S. companies operating abroad are bound by U.S. laws, and the Department of Justice will continue to aggressively investigate and prosecute foreign corruption.”

“Walmart violated the Foreign Corrupt Practices Act because it failed to implement the internal controls necessary to ferret out corrupt conduct,” said U.S. Attorney Terwilliger.  “For more than a decade, Walmart experienced exponential international growth but failed to create safeguards to protect against corruption risks in various countries.  This resolution is the result of several years of steadfast work by the prosecutors and our law enforcement partners at the FBI and IRS-CI.”

“The FBI will hold corporations responsible when they turn a blind eye to corruption," said FBI Assistant Director Johnson. "If there is evidence of violations of FCPA, we will investigate. No corporation, no matter how large, is above the law."

“Walmart’s guilty plea is another step in IRS-CI’s ongoing effort to pursue corporations that engage in corruption that prevents fair competition around the world,” said IRS-CI Special Agent in Charge Jackson.  “Through our efforts, we delved through layers of transactions and uncovered the bribery of foreign officials.  Today’s announcement is a statement that no company, even one as large as Walmart, is above the law.” 

According to Walmart’s admissions, from 2000 until 2011, certain Walmart personnel responsible for implementing and maintaining the company’s internal accounting controls related to anti-corruption were aware of certain failures involving these controls, including relating to potentially improper payments to government officials in certain Walmart foreign subsidiaries, but nevertheless failed to implement sufficient controls that, among other things, would have ensured: (a) that sufficient anti-corruption-related due diligence was conducted on all third-party intermediaries (TPIs) who interacted with foreign officials; (b) that sufficient anti-corruption-related internal accounting controls concerning payments to TPIs existed; (c) that proof was required that TPIs had performed services before Walmart paid them; (d) that TPIs had written contracts that included anti-corruption clauses; (e) that donations ostensibly made to foreign government agencies were not converted to personal use by foreign officials; and (f) that policies covering gifts, travel and entertainment sufficiently addressed giving things of value to foreign officials and were implemented.  Even though senior Walmart personnel responsible for implementing and maintaining the company’s internal accounting controls related to anti-corruption knew of these issues, Walmart did not begin to change its internal accounting controls related to anti-corruption to comply with U.S. criminal laws until 2011.

The internal controls failures allowed Walmart foreign subsidiaries in Mexico, India, Brazil and China to hire TPIs without establishing sufficient controls to prevent those TPIs from making improper payments to government officials in order to obtain store permits and licenses.  In a number of instances, insufficiencies in Walmart’s anti-corruption-related internal accounting controls in these foreign subsidiaries were reported to senior Walmart employees and executives.  The internal control failures allowed the foreign subsidiaries in Mexico, India, Brazil and China to open stores faster than they would have with sufficient internal accounting controls related to anti-corruption. Consequently, Walmart earned additional profits through these subsidiaries by opening some of its stores faster. 

In Mexico, a former attorney for Walmart’s local subsidiary reported to Walmart in 2005 that he had overseen a scheme for several years prior in which TPIs made improper payments to government officials to obtain permits and licenses for the subsidiary and that several executives at the subsidiary knew of and approved of the scheme.  Most of the TPI invoices included a code specifying why the subsidiary had made the improper payment, including: (1) avoiding a requirement; (2) influence, control or knowledge of privileged information known by the government official; and (3) payments to eliminate fines.

In India, because of Walmart’s failure to implement sufficient internal accounting controls related to anti-corruption, from 2009 until 2011, Walmart’s operations there were able to retain TPIs that made improper payments to government officials in order to obtain store operating permits and licenses.  These improper payments were then falsely recorded in Walmart’s joint venture’s books and records with vague descriptions like “misc fees,” “miscellaneous,” “professional fees,” “incidental” and “government fee.”

In Brazil, as a result of Walmart’s failure to implement sufficient internal accounting controls related to anti-corruption at its subsidiary, Walmart Brazil, despite repeated findings in internal audit reports that such controls were lacking, Walmart Brazil continued to retain and renew contracts with TPIs without conducting the required due diligence.  Improper payments were in fact paid by some of these TPIs, including a construction company that made improper payments to government officials in connection with the construction of two Walmart Brazil stores in 2009 without the knowledge of Walmart Brazil.  Walmart Brazil indirectly hired a TPI whose ability to obtain licenses and permits quickly earned her the nickname “sorceress” or “genie” within Walmart Brazil.  Walmart Brazil employees, including a Walmart Brazil executive, knew they could not hire the intermediary directly because of several red flags.  In 2009, the TPI made improper payments to government inspectors in connection with the construction of a Walmart Brazil store without the knowledge of Walmart Brazil.  WMT Brasilia was a wholly-owned subsidiary of Walmart and was a majority-owner of Walmart Brazil, Walmart’s wholly-owned subsidiary in Brazil, and the majority-owner of retail stores operating as Walmart Brazil.

In China, Walmart’s local subsidiary’s internal audit team flagged numerous weaknesses in internal accounting controls related to anti-corruption at the subsidiary between 2003 and 2011, sometimes repeatedly, but many of these weaknesses were not addressed.  In fact, from 2007 until early 2010, Walmart and the subsidiary failed to address nearly all of the anti-corruption-related internal controls audit findings.

Walmart entered into a three-year non-prosecution agreement and agreed to retain an independent corporate compliance monitor for two years.  The $137 million penalty reflects a 20 percent reduction off the bottom of the applicable U.S. Sentencing Guidelines fine range for the portion of the penalty applicable to conduct in Mexico and 25 percent for the portion applicable to the conduct in Brazil, China and India.  Walmart fully cooperated with the investigation in Brazil, China and India.  Walmart cooperated with the investigation in Mexico, but did not timely provide documents and information to the government and did not de-conflict with the government’s request to interview one witness before Walmart interviewed that witness.  Walmart did not voluntarily disclose the conduct in Mexico and only disclosed the conduct in Brazil, China and India after the government had already begun investigating the Mexico conduct.  The $137 million penalty includes forfeiture of $3.6 million and a fine of $724,898 from WMT Brasilia.

In a related resolution with the U.S. Securities and Exchange Commission (SEC), Walmart agreed to disgorge $144 million in profits.

The FBI’s International Corruption Squad in Washington, D.C. and IRS-CI are investigating the case.  Assistant Chiefs Tarek Helou and Lorinda Laryea and Trial Attorney Katherine Raut of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Jamar Walker of the Eastern District of Virginia are prosecuting the case. 

The Criminal Division’s Office of International Affairs has provided significant assistance by obtaining key evidence in this case, as have public authorities in, among other countries, Mexico and India.

The Fraud Section is responsible for investigating and prosecuting all FCPA matters.  Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.

ALEXANDRIA, Va. – In recognition of World Elder Abuse Awareness Day, the U.S. Attorney’s Office for Eastern District of Virginia (EDVA) has recently participated in several community outreach and education events on elder abuse and financial exploitation.

“The financial and emotional harm these scams cause elderly victims and their family members can be utterly devastating,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Combatting elder abuse and financial fraud targeted at seniors remains a key priority for EDVA. We will not tolerate this criminal activity and will continue to prosecute these cases federally.”

Here in EDVA, Elder Justice efforts are being led by Assistant U.S. Attorney Kaitlin G. Cooke who today participated as an invited panelist at an Elder Abuse Workshop hosted by the Peninsula Agency on Aging in Williamsburg.

On June 12, Terwilliger was joined by Cooke and an Elder Justice representative from the U.S. Attorney’s Office for the District of Columbia at Alfred Street Baptist Church in Alexandria for a presentation to over 100 senior citizens on elder abuse.

In addition to educating the community on elder abuse, EDVA actively seeks to identify and prosecute elder abuse crimes. This year, our office joined the Peninsula Elder Abuse Forensic Center, an enhanced multidisciplinary task force focused on combatting elder abuse and neglect across several counties. Cooke joins law enforcement officers, commonwealth attorneys, certified public accounts, emergency responders, medical providers, adult protective services, and local agencies on aging twice a month to review cases of elder abuse and neglect.

As noted by Attorney General William P. Barr last week, fraud against the elderly is on the rise.

“One of the most significant and pernicious causes for this increase is foreign-based fraud schemes,” said Attorney General Barr.

To address the issue, the Department has created the Transnational Elder Fraud Strike Force.

“The Transnational Elder Fraud Strike Force will bring together the expertise and resources of our prosecutors, federal and international law enforcement partners, and other government agencies to better target, investigate, and prosecute criminals abroad who prey on our elderly at home. The Department of Justice is committed to ending the victimization of elders across the country.”

Below are summaries of several noteworthy elder abuse cases recently prosecuted in EDVA. For more information on a particular case, please click the link for the full press release on our website.

• United States v. Edward Lee Moody, Jr. - Moody owned and operated an investment firm in Virginia Beach, CM Capital Management LLC, through which he solicited investors. In reality, Moody was running a Ponzi scheme. Over a 13-year period, he solicited and collected approximately $6.1 million from 53 investors, at least 13 of whom were elderly persons who liquidated assets from their existing, legitimate retirement accounts in order to provide funds to Moody that they expected him to invest on their behalf. Moody diverted investor moneys for his own benefit, buying property, traveling, and investing on his own behalf. Moody also used investor money to lull earlier investors and provided investors with fraudulent monthly account statements falsely indicating investments and earned returns. Moody was sentenced on February 5 to 13 years in prison and was ordered to pay over $4.8 million in restitution.
• United States v. Sandra Payne - Payne pleaded guilty to aggravated identity theft based on her theft of over $22,000 from an elderly victim. Payne was employed by the victim to provide home health care to the victim’s spouse. Over a five-month period, Payne used the victim’s credit and debit cards to make unauthorized purchases of personal goods at various retailers. Payne was sentenced on June 18 two years in prison for her crime.
• United States v. John Michael Gatchell – Gatchell pleaded guilty on April 18 to exploiting an elderly man’s diminished mental capacity to defraud him of nearly $157,000. Gatchell facilitated a marriage between the elderly man and a woman with whom Gatchell had a long-term relationship in order to gain access to the elderly man’s money and property. Gatchell induced the elderly man to make a down payment on a Jaguar that Gatchell and a family member drove for about 10 months before it was repossessed by the lender when the loan went into default. Gatchell also induced the elderly man to obtain two mortgage loans and then diverted most of the proceeds to the benefit of himself and others. He subsequently induced the elderly man to sell the property that secured the loans and again diverted most of the proceeds to himself and others. Gatchell used these fraudulently diverted monies to purchase concert series tickets, pay delinquent bills, and make a security deposit and advance rent payments for a house he leased, among other things. Gatchell faces a maximum penalty of 20 years in prison when sentenced on September 6.
• United States v. Nena Kerny Kochuga - Kochuga executed a Jamaican lottery scheme that targeted elderly victims, who she and conspirators would contact by phone. Kochuga told victims that they had won the lottery and were required to pay purported taxes and fees to claim the winnings. She directed victims to mail and wire money to her residential and post office box addresses in Virginia. Kochuga then sent money to conspirators in Jamaica and Ghana via Western Union wire transfers, keeping a portion for herself. Through this conduct, Kochuga and her conspirators defrauded numerous victims of at least $50,000. According to local media coverage, Kochuga has targeted elderly victims with similar lottery scams for most of the past decade. She has prior convictions in Virginia Beach Circuit Court and Colorado in connection with these schemes, and faces up to 20 years in prison when sentenced on September 30.

For information and resources on elder abuse or to report abuse, please visit DOJ’s Elder Justice Initiative website at: https://www.justice.gov/elderjustice.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

NEWPORT NEWS, Va. – A Newport News woman was sentenced today to approximately 15 years in prison for conspiring with others to commit armed robberies of businesses throughout southeastern Virginia in December 2014.

According to court documents, Aquilla Jones, 29, worked together with several individuals to rob businesses at gun point. Jones and her co-conspirators would drive around southeastern Virginia in an attempt to identify businesses to be robbed. Once the victim business was identified, Jones would drive her co-conspirators to the business and serve as a look-out while others went inside. The co-conspirators who entered the businesses brandished handguns as money was demanded from the employees. Jones participated in the robbery of eight businesses located in Fredericksburg, Newport News, Chesapeake, Yorktown and Virginia Beach.  

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorney Eric M. Hurt prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:18-cr-27.

NEWPORT NEWS, Va. – A Hampton woman was sentenced today to two years in prison for stealing over $21,000 from an elderly client and her family.

“The financial and emotional harm these deceitful and illegal acts can cause victims and their family members cannot be overstated,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The victims in this case entrusted Payne to take care of their elderly family member. Instead, she used that trust to steal over $21,000 from them. I would like to commend the U.S. Postal Inspection Service for their terrific work investigating this case.”

According to court documents, Sandra Payne, 58, was employed to provide in-home care for an elderly client in Newport News. During the course of her employment at that residence, Payne gained access to credit and debit card account numbers belonging to the family of her client. She used that data, without lawful authority or the knowledge and consent of the account owners, to purchase goods and services in excess of $21,000 at various merchants in the Tidewater area.

“Criminals who use the U.S.  Mail to commit identity theft and fraud not only jeopardizes people’s trust in the U.S. postal system, their activities threaten the overall financial health of our communities,” said Postal Inspector in Charge Peter Rendina, U.S. Postal Inspection Service - Washington Division. “We will continue to investigate and work with the United States Attorney’s offices to bring individuals engaged in these criminal activities to justice.”

In 2018, the Department of Justice and its law enforcement partners coordinated the largest sweep of elder fraud cases in history. The cases involved more than 250 defendants from around the globe who victimized more than a 1 million Americans, most of whom were elderly. The cases include criminal, civil, and forfeiture actions across more than 50 federal districts.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by U.S. District Judge Robert G. Doumar. Special Assistant U.S. Attorney Jeremy Franker prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:18-cr-98.

RICHMOND, Va. – A Caroline County man was sentenced today to 20 years in prison for distribution of “scramble”, a mixture of fentanyl and heroin, the use of which resulted in an overdose. 

“In spite of nearly killing his best friend and the overdose of his wife, Rosie continued to sell dangerously strong drugs,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The type of drug that Rosie pushed is at the center of the opioid crisis in this country, which has no boundaries and affects the young and the old, the rich and the poor, all races, all genders. It is destroying generations of Americans and illicit fentanyl is leading the charge.”

According to court documents and statements made in court, Gregory Kenneth Rosie, 43, was a distributor of scramble starting before August 2017 and continuing through the time of his arrest on Aug. 22, 2018. In November 2017, Rosie distributed a quantity of scramble to his friend who used the substance and overdosed. Rosie and Marcus Watson loaded the man into a vehicle and dropped him off at the Ladysmith Volunteer Fire Department, where the man was resuscitated. Approximately two weeks later, Rosie’s wife, Elizabeth Rosie, died in their Caroline County home of an overdose. 

Marcus Watson, 43, of Fredericksburg, was sentenced on June 6 to more than three years in prison for his role in Rosie’s drug trafficking activities. 

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, Colonel Gary T. Settle, Superintendent of Virginia State Police, Tony Lippa, Caroline County Sheriff, and Steve F. Dempsey, King George County Sheriff, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorney Olivia L. Norman prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-90.

ALEXANDRIA, Va. – A Ohio man pleaded guilty today to conspiring to defraud state and local governments of millions of dollars. 

According to court documents, Robert Mutua Muli, 59, of Carrollton, conspired with others to defraud state and local governments by fraudulently pretending to be legitimate government vendors. Using sham email addresses, the conspirators sent government entities bogus vendor payment information that caused government entities to make large payments to bank accounts controlled by Muli. Muli then quickly transferred the fraudulently obtained funds to himself and to his co-conspirators, some of whom were located in Kenya. During the conspiracy, Muli intended to steal over $2 million from the victim government entities.

For example, on Aug. 6, 2018, Victim 1, a Virginia county government that had an agreement with Dell Marketing LP (Dell) to purchase computer hardware for its public schools, received an email from an account falsely claiming to be a Dell employee. The fraudulent email account was very similar to a Dell employee’s true email address and contained revised banking information for Dell.  The revised banking information changed payment information to an account controlled by Muli.  As a result, between Aug. 8 and Sept. 10, 2018, Victim 1 sent 28 payments totaling approximately $1.3 million for public school computing needs to an account controlled by Muli, which Muli later distributed among himself and his co-conspirators. In addition to Victim 1, during the scheme Muli and his co-conspirators defrauded the City of Detroit, City of Philadelphia, and State of Vermont. 

Muli pleaded guilty to one count of conspiracy to commit wire fraud and faces a maximum penalty of 20 years in prison when sentenced on October 4.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Charles Dayoub, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Assistant U.S. Attorney Uzo Asonye and Special Assistant U.S. Attorney Anthony W. Mariano are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-186.

WHAT: Federal, state, and local law enforcement and community partners will hold the Peninsula Violent Crime Summit on Monday, June 17, at NASA’s Langley Research Center in Hampton.

WHERE: NASA Langley Research Center, 2 Langley Blvd, Hampton, VA

WHEN: Arrive at NASA June 17 at 3:45 p.m.

DETAILS: Members of the media are invited to attend the final wrap-up of the event from approximately 4:00 p.m. to 4:30 p.m. Photography and B-Roll videography will be permitted inside of the event hall only.

Following the wrap-up, co-hosts of the summit will hold a press conference and take questions. After the press conference, select law enforcement officials will be available for one-on-one interviews. Community partners may also be available for one-on-one interviews.

RSVP: Please RSVP by Noon on June 17 to Joshua Stueve at: joshua.stueve@usdoj.gov. If you do not RSVP, you will NOT be permitted to enter the facility. No exceptions.

CO-HOSTS: U.S. Attorney G. Zachary Terwilliger; Chief Terry Sult, Hampton Police Division; Chief Steve Drew, Newport News Police; Commonwealth’s Attorney Howard Gwynn, Newport News Commonwealth’s Attorney’s Office; Deputy Commonwealth’s Attorney Sheree Konstantinou, Hampton Commonwealth’s Attorney’s Office.

LAW ENFORCEMENT PARTNERS: Federal Bureau of Investigation (FBI); Drug Enforcement Administration (DEA); Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF); U.S. Postal Inspection Service; U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Gloucester Sheriff’s Office; Virginia State Police; James City County Police; York-Poquoson Sheriff's Office; York County Commonwealth’s Attorney’s Office.

COMMUNITY PARTNERS: Newport News City Council; Ministers to the Queens Plaza Community; Newport News Youth Gang Outreach Unit; CBC World Ministry; Newport News Police Homicide Support Group; Catalyst Effect; Phantom Eagle Engineering; Newport News Citizens United for Action; Hawkins, Burcher & Boester; others.

ALEXANDRIA, Va. – A Burke woman pleaded guilty today to bank fraud, aggravated identity theft, and possession with intent to distribute methamphetamine.

According to court documents, Shawnirah M. Mickens, 35, acquired stolen personal identification information (PII) of more than 300 people who lived throughout the United States. Mickens used the stolen PII to open multiple bank accounts and would subsequently fund those accounts with minimal cash deposits and large counterfeit corporate checks. The bank would immediately make available a portion of the deposited checks. Mickens would then quickly withdraw cash, make point of sale purchases, or conduct wire transfers of the floated funds before the bank could determine that the accounts were fraudulent and the checks were worthless. Once the bank learned of the fraud it would close the account and Mickens would move on to the next account and the next victim. The loss amount is in the $250,000 to $550,000 range.

Additionally, during the course of the investigation, agents recovered a package containing approximately 120 grams of methamphetamine being mailed to P.O. Box rented by Mickens and used to further the bank fraud scheme. When Mickens was arrested in May, agents conducted a search of her residence and recovered evidence relating to the bank fraud as well as another 150 grams of methamphetamine.

Mickens pleaded guilty to one count of bank fraud, one count of aggravated identity theft, and one count of possession with intent to distribute methamphetamine. Mickens faces a maximum penalty of 30 years in prison for the bank fraud, two additional years in prison for the aggravated identity theft, and a mandatory minimum of 5 years but not more than 40 years in prison for possession with intent to distribute methamphetamine when sentenced on September 6. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Charles Dayoub, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea. Assistant U.S. Attorney William Fitzpatrick and Special Assistant U.S. Attorney Brendan P. Geary are prosecuting the case.

This case was investigated by the FBI Washington Field Office’s Transnational Organized Crime Task Force, which is composed of FBI Agents and domestic and international law enforcement partners.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-184.

ALEXANDRIA, Va. – A federal jury convicted a Washington, D.C. man today for his participation in a string of armed robberies.

According to court records and evidence presented at trial, Kenya Preston Williams, 37, participated in the armed robbery of an Exxon gas station in Alexandria and two different armed robberies of the same Shell gas station in Falls Church. Williams’ co-conspirator, Steven Oneil Houston, 26, of Oxon Hill, Maryland, previously pleaded guilty to charges of brandishing a firearm during and in relation to a crime of violence.

“Williams is a violent criminal who engaged in a series of attempted robberies with a firearm,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Removing violent criminals off our streets is critical to ensuring that all have the opportunity to feel safe and secure where they live, go to school, and raise their families. My thanks to our local and federal law enforcement partners who assisted in this investigation and whose outstanding work allowed us to achieve this conviction.”

Williams was convicted of conspiring to obstruct commerce by robbery, obstructing commerce by robbery, brandishing a firearm during and in relation to a crime of violence, and unlawful possession of a firearm by a convicted felon. He faces up to life in prison and a mandatory minimum of 21 years in prison when sentenced on September 13. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

“Through our partnerships and WFO’s Safe Streets Violent Crime Task Force, we continue our commitment to investigate violent crime,” said Charles Dayoub, Acting Special Agent in Charge of the FBI Washington Field Office’s Criminal Division. “We will work together to keep our communities safe and bring justice to those who endanger the public.”

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Charles Dayoub, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after U.S. District Judge Anthony J. Trenga accepted the verdict. Assistant U.S. Attorneys Alexander E. Blanchard and Nicholas U. Murphy II are prosecuting the case.

The Alexandria City Police Department, Prince George’s County Police Department, and Metropolitan Police Department all provided significant assistance with this investigation.

This case was investigated by the FBI’s Washington Field Office Safe Streets Violent Crime Task Force, which is composed of FBI agents and law enforcement partners within the National Capital Region.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-29.

NORFOLK, Va. – A Franklin man was sentenced today to almost four years in prison for straw-purchasing several guns for fellow Crip gang members, including felons and others planning to engage in gang-related shootouts.

“Straw purchasing firearms is a very serious crime,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Convicted felons have forfeited their Second Amendment right to bear arms, and those who choose to straw purchase firearms will be investigated, prosecuted, and held accountable for their dangerous conduct. We will continue to aggressively pursue these cases, seek to obtain felony convictions, and work with local federally licensed firearms dealers and our partners at the ATF to stop the flow of illegally purchased firearms from hitting the street.”

According to court documents, Larry Donnell Parrish III, 24, was the hub of a Franklin based straw-purchasing conspiracy involving a subset of the Crips violent street gang, the 00 Gang. Parrish, a 00 Gang member with no criminal record, purchased at least seven guns from federally licensed gun stores for other gang members who could not purchase the firearms themselves because they were felons.

“ATF is committed to keeping firearms out of the hands of gang members and those intent on committing violent crimes,” said Ashan Benedict, Special Agent in Charge of the ATF Washington Field Division.  “Firearms trafficking is a serious offense.  This investigation highlights ATF’s commitment to protecting the public and keeping our communities safe.  If you lie and buy firearms, ATF will work with our law enforcement partners across the region to ensure that you are held accountable for your crimes.”

Parrish also purchased guns for gang members who could legally buy the guns, but did not want to because they planned to commit violent crimes with the guns. Three of the guns Parrish had straw-purchased were later recovered by law enforcement while investigating other crimes, and one of the guns was recovered in Washington, D.C. only 10 days after Parrish had bought the gun.

“This individual illegally obtained firearms to commit further, potentially violent, criminal activity with fellow Crip gang members,” said Michael K. Lamonea, Assistant Special Agent in Charge of Homeland Security Investigations Norfolk. “There’s a reason straw-purchasing is not permitted, and that’s because weapons end up in the hands of dangerous criminals. Thanks to the quick actions of our federal and local partners, we’ve taken a source for violent crime off the streets.” 

As a known drug-user, Parrish is prohibited from possessing a gun. After he straw-purchased the guns, police caught him with yet another gun, an extended magazine, and marijuana.

“Participation with our federal partners through task force endeavors such as Project Safe Neighborhoods has enabled our agency to address numerous concerns,” said Robert Porti, Deputy Chief of Franklin Police. “Joint investigations such as this, involving Mr. Parrish, have been successful in apprehending and prosecuting criminals as well as those that support and enable criminal operations. We appreciate and look forward to continuing joint investigations aimed at further reducing crime within our city and enhancing the quality of life for our residents.”

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division; Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk; and Robert Porti, Deputy Chief of Franklin Police Department, made the announcement after sentencing by Senior U.S. District Judge Robert G. Doumar. Assistant U.S. Attorney William B. Jackson prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-150.

RICHMOND, Va. – A Henrico man was sentenced today to 15 years in prison for trafficking over 200 grams of heroin and for possessing a firearm as a convicted felon.

“Drug traffickers in possession of firearms pose a significant threat to our communities,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Investigating and prosecuting heroin and fentanyl trafficking crimes is a top priority of this office as we continue to battle this deadly epidemic. We are committed to our mission of public safety and will continue to aggressively pursue those who choose to endanger the safety of the communities we serve.”

According to court documents, Mervin Turner, 37, distributed heroin and fentanyl to a confidential source from his Henrico County residence on two separate occasions in 2018. In August 2018, law enforcement executed a search warrant at Turner’s residence and recovered a semi-automatic pistol loaded with a 100-round drum magazine, more than 200 grams of heroin, two stand-up shop presses used to package heroin, marijuana, digital scales, and more than $9,000.

Operation California Dreamin was investigated as part of the Organized Crime and Drug Enforcement Task Force (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and William C. Smith, Interim Chief of Richmond Police, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorneys Erik S. Siebert and Kenneth Simon prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-158.

ALEXANDRIA, Va. – A previously convicted felon pleaded guilty this morning to charges related to defrauding investors of a local newspaper and unlawful possession of firearms by a previously convicted felon.

According to court documents, Brian Thomas Reynolds, 52, of Leesburg, defrauded both investors and lenders to a company that he controlled that operates a local newspaper in Loudoun County. Reynolds made several materially false and fraudulent representations to actual and potential investors and lenders regarding the existence and value of advertising contracts held by the company, and created fake advertising contracts when no such agreements existed. Reynolds also made materially false and fraudulent representations regarding the company’s historical advertising revenues and the amount of money that Reynolds and others had invested in the company, falsely claimed that another individual had agreed to “match” the investments of certain investors, falsely claimed to at least one investor that the company lacked any debt, and materially overstated the amount of money held by the company in its bank accounts. 

Court documents also state that Reynolds created altered loan documentation to defraud an individual who had lent money to the company by changing the language of the loan agreement to conditions that were materially more favorable to Reynolds and his company than had actually been agreed to by the lender. Reynolds also made materially false representations regarding the number of issues previously distributed by the newspaper, and falsely claimed that a prominent businessperson served on the company’s advisory board, when in fact that individual held no position on the board and played no role in the operation of the business.

Reynolds, who has four prior felony convictions and is prohibited from possessing firearms, also pleaded guilty to unlawfully possessing seven firearms and associated ammunition.

Reynolds pleaded guilty to one count of wire fraud and one count of unlawful possession of firearms by a previously convicted felon. He faces a maximum penalty of 20 years in prison for the wire fraud count and a maximum penalty of 10 years in prison for the firearms count when sentenced on September 13. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Charles Dayoub, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement. Assistant U.S. Attorney Matthew Burke and Special Assistant U.S. Attorney Russell L. Carlberg are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 1:19-cr-70 and 1:19-cr-71.

ALEXANDRIA, Va. – Two Washington, D.C. area men pleaded guilty this week to their roles in a conspiracy to transport with the intent to engage in unlawful interstate dealing in firearms.

“The illegal purchase, transportation and resale of firearms presents risks of violence and a serious danger to our communities and the law enforcement officers who keep us safe,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “I would like to thank our local and federal law enforcement partners for their work in keeping illegal firearms off the streets and out of our communities.”

According to court documents, Daryl Antonio Pearce, 21, and his half-brother, Darius Antonio Giles, 22, conspired together to travel from Maryland and Washington, D.C.—where they resided—to Virginia to acquire firearms with the intent to engage in the business of dealing firearms. During the course of this conspiracy, Pearce and Giles purchased well over 33 firearms within the Eastern District of Virginia and elsewhere. After they purchased these firearms, they transported them from Virginia to Maryland and Washington, D.C., where Pearce and Giles resold the firearms to various individuals for profit. Several of the firearms have been recovered by law enforcement in Washington, D.C. and Maryland, including from a convicted felon. Giles was arrested in February following a controlled firearm buy with undercover ATF agents.

Pearce and Giles pleaded guilty to conspiracy to transport firearms interstate and to act with the intent to engage in interstate dealing in firearms. They both face a maximum penalty of five years in prison when sentenced on September 20. In addition, Giles pleaded guilty to being a felon in possession of a firearm, and faces an additional maximum penalty of 10 years in prison at sentencing. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Special Assistant U.S. Attorney Joel H. Feil and Assistant U.S. Attorney Nicholas U. Murphy II are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-139.

An indictment was unsealed today in federal court following the arrests of Zahida Aman, 77, Mohammed Naumann Chaudhri, 51, and Mohammed Rehan Chaudhri, 45, all of Midlothian, Virginia. The indictment charges the defendants with conspiracy, forced labor, and document servitude. Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division, U.S. Attorney G. Zachary Terwilliger Eastern District of Virginia and David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office made the announcement. 

According to the allegations set forth in the indictment, between March 2002 and August 2014, the defendants conspired to force the victim, who had been married to Aman’s son, to provide labor and services at their Midlothian home, to include cleaning the house, painting the house, and mowing the lawn. The indictment further alleges that the defendants subjected the victim to physical, psychological, and verbal abuse, withheld her food, restricted her communications with family and neighbors, confiscated her immigration and identification documents, limited her access to her own children, and threatened to separate her from her children, among other coercive means.  

An indictment is merely an accusation, and the defendants are presumed innocent unless proven guilty. If convicted of forced labor, the defendants face sentences of up to 20 years in prison, as well as mandatory restitution.

The case is being investigated by the FBI’s Richmond Division. It is being prosecuted by Assistant United States Attorney Heather Mansfield for the Eastern District of Virginia and Trial Attorneys Vasantha Rao and Maryam Zhuravitsky for the Civil Rights Division’s Human Trafficking Prosecution Unit.

ALEXANDRIA, Va. – A New York man was sentenced today to 14 years in prison and ordered to forfeit $500,000 for his role in a conspiracy to distribute methamphetamine.

According to court records and evidence presented at trial, Kendesia Juinize May, 40, was a leader of a sprawling, nationwide methamphetamine distribution network with ties to California, New York, Washington, DC, and the Eastern District of Virginia. The network utilized pirated and fraudulent Federal Express accounts to ship pound quantities of California-sourced methamphetamine throughout the United States.

In late 2017, May negotiated to buy into the conspiracy and assume distribution responsibilities to its Washington, DC area customers, many of whom were themselves distributors of methamphetamine. According to evidence presented at trial, May “took over” methamphetamine distribution in the northern Virginia and Washington, DC area and aspired to become “the biggest drug dealer on the East Coast.”

The government presented evidence showing that the conspiracy sent nearly 400 FedEx packages containing either pound quantities of methamphetamine or thousands of dollars in proceeds of drug sales. On May 25, 2018, officers of the Maryland Transportation Authority Police stopped May while driving his Mercedez Benz vehicle, and a search of the vehicle led to the discovery of more than five pounds of pure methamphetamine, along with FedEx packaging, digital scales, and other drug paraphernalia.

This case was prosecuted as part of Organized Crime Drug Enforcement Task Force (OCDETF) Operation Four Horsemen. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.  The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.

This investigation was led by the DEA Washington Field Office, with significant assistance from the Arlington County Police Department, U.S. Postal Inspector Service, the DEA Baltimore District Office, and the Maryland Transportation Authority Police.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, M. Jay Farr, Arlington County Chief of Police, and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema. Assistant U.S. Attorneys David A. Peters and Katherine E. Rumbaugh prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-7.

ALEXANDRIA, Va. – Lincare, Inc., a durable medical equipment company which operates approximately 800 centers in 48 states, including 27 centers in Virginia, has agreed to settle an Americans with Disabilities Act (ADA) complaint that it failed to provide a sign language interpreter for an appointment with a patient who is deaf. 

Lincare, which is headquartered in Florida, is a supplier of oxygen, durable medical equipment and other respiratory care products and related services.

The allegations involved a patient with sleep apnea, who lives in Fairfax County and is deaf. She requested that Lincare provide a sign language interpreter for an appointment at which she expected to rent a new Continuous Positive Airway Press (CPAP) device and learn about its operation, maintenance, payment options, and warranty. Lincare failed to provide the legally required auxiliary aids or services, and as a result has agreed to pay a total of $20,000 and take remedial action to resolve the complaint.

“When Congress passed the ADA, it recognized that discrimination against individuals with disabilities persisted in the provision of healthcare services,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This case demonstrates this office’s unwavering commitment to protecting the rights of those who are deaf or hard of hearing and ensuring that they are able to communicate with health care providers, including when patients receive critical information about life sustaining medical equipment. We are pleased that Lincare has agreed to take steps to ensure that all of its centers, nationwide, will provide appropriate auxiliary aids and services to individuals who are deaf or hard of hearing.”

To resolve this complaint, Lincare agreed to adopt nationwide policies that will make its services accessible; designate an ADA Administrator who will be responsible for ensuring Lincare’s compliance with the ADA; provide sign language interpreters and other auxiliary aids and services for patients and companions who need them; and provide training for its personnel on the ADA’s requirements. Lincare also agreed to pay $10,000 to the aggrieved individual, as well as a $10,000 civil penalty to the United States.

The matter was investigated by Assistant U.S. Attorney Steve Gordon, who is the Civil Rights Enforcement Coordinator for the U.S. Attorney’s Office. The civil claims settled by this Americans with Disabilities Act agreement are allegations only; there has been no determination of civil liability.

The Department of Justice has a number of publications available to assist entities in complying with the ADA, including “ADA Requirements:  Effective Communication” and ADA Business BRIEF:

Communicating with People Who Are Deaf or Hard of Hearing in Hospital Settings.

For more information on the ADA and to access these publications, visit http://www.ada.gov or call the Justice Department’s toll-free ADA Information Line at 800-514-0301 or 800-514-0383.  ADA complaints may be filed by email to ada.complaint@usdoj.gov.

A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

ALEXANDRIA, Va. – A Fredericksburg couple pleaded guilty late yesterday to straw purchasing firearms and unlawful possession of a firearm by an individual previously convicted of a misdemeanor crime of domestic violence.

“Every straw purchased firearm is a gun that can wind up in the hands of a prohibited person,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “We will continue to use federal firearms laws to prosecute straw purchasers and hold them accountable for their role in trafficking illegally purchased firearms. I want to commend the ATF for their commitment to investigating these important cases.”

According to court documents, Tina Marie Cochran, 41, straw purchased several firearms on behalf of Brant Wilson Shorden, 43, who was prohibited from possessing or purchasing firearms as a result of three prior convictions of misdemeanor domestic violence here in Virginia. Following the purchase of these firearms, Shorden posted pictures and videos of himself and Cochran shooting and brandishing the firearms at their residence in Fredericksburg.

Shorden pleaded guilty to possessing firearms following a conviction of a misdemeanor crime of domestic violence and faces a maximum penalty of 10 years in prison. Cochran pleaded guilty to making false statements with respect to the purchase of firearms and faces a maximum penalty of 5 years in prison. Both will be sentenced on September 6. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after Senior U.S. District Judge T.S. Ellis III accepted the plea. Assistant U.S. Attorney Nicholas U. Murphy II is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-138.

NEWPORT NEWS, Va. – A James City County man was sentenced today to 10 years in prison for being a felon in possession of a firearm.

According to court documents, William Kasey, 43, was arrested in February 2017, following the execution of a search warrant at his home in James City County. The search revealed that Kasey was in possession of multiple firearms despite his prior convictions for armed robbery and assault and battery with a deadly weapon. The investigation identified Kasey as a long-time member of the Bloods street gang and his residence also contained gang related documents and materials. 

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorney Eric M. Hurt prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:17-cr-62.

ALEXANDRIA, Va. – A South Carolina school teacher pleaded guilty yesterday to conspiring to distribute child pornography.

According to court documents, Eric Hartley, 37, of Fort Hill, used various internet applications, including Kik and Dropbox, to send and receive child pornography. One of the individuals with whom Hartley traded child pornography was Jeramy Routh, who pleaded guilty to conspiring to distribute child pornography in May. Routh and Hartley discussed trading exploitative images of children, including infants and toddlers, and did in fact exchange images and videos as well as access to cloud based accounts of child pornography.

Hartley faces a mandatory minimum of five years in prison and a maximum penalty of 20 years when sentenced on September 27. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Assistant U.S. Attorney Whitney Dougherty Russell is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-170. Information on Jeramy Routh’s case can be located on PACER by searching for Case No. 1:19-cr-142.

NEWPORT NEWS, Va. – A citizen of Honduras pleaded guilty today to illegal reentry into the United States. 

According to court documents, Manuel Orellana-Alvarado, 51, has been removed from the United States at taxpayer expense on four different occasions, including in September 2011, March 2012, April 2013 and March 2017. Orellana-Alvarado is a native citizen of Honduras and is classified as an aggravated felon due to a prior conviction for possessing cocaine base for sale in California in 1991. After being removed from the United States in March of 2017, Orellana-Alvarado reentered the United States and was encountered by law enforcement in the Eastern District of Virginia in February 2018. 

Orellana-Alvarado faces a maximum sentence of two years in prison.  His sentencing has been set for September 9. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after U.S. Magistrate Judge Douglas E. Miller accepted the plea. Special Assistant U.S. Attorney Jeremy Franker is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:18-cr-97.

Today the Department of Justice’s Civil Rights Division and the U.S. Attorney’s Office for the Eastern District of Virginia announced a settlement agreement with Arlington Public Schools that will bolster English language services to the district’s approximately 5,000 students who are not proficient in English. The agreement, which stems from the United States’ investigation under the Equal Educational Opportunities Act of 1974, will ensure that these English Learner students receive the services they need to succeed in the district’s educational programs.  

Under the agreement, the district will:

• Properly identify and place English Learner students when they enroll in the district’s 34 schools, and communicate with parents about program offerings and other essential information in a language they understand; 
• Provide English as a Second Language instruction to all English Learner students, including students with disabilities, so that they can become proficient in English;
• Adequately train middle school core content teachers of English Learner students so that these students can meaningfully access grade-level curricula;
• Train secondary school principals on how to evaluate teachers of English Learner students and support effective teaching strategies;
• Ensure that English Learner students are timely and appropriately evaluated for special education services; and
• Properly monitor and evaluate the effectiveness of its English Learner programs over time.

“We commend the Arlington Public Schools for working with the Department of Justice to achieve this promising and positive result for the school district’s English Learners,” said Assistant Attorney General Eric Dreiband. “For the students who will benefit from the agreement, learning English is key to unlocking educational opportunities. We look forward to continuing to work cooperatively with the Arlington Public Schools to implement this agreement.”

“This settlement ensures that English Learner students in Arlington Public Schools receive the services they need,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia.  “My office is committed to protecting the rights of all students, including those fighting to learn the English language or overcome disabilities, to receive the education and support they need to reach their full potential. As someone who personally struggles with dyslexia, if it were not for the protections afforded by civil rights statutes, especially the landmark Americans with Disabilities Act (ADA), my own educational journey would have been nearly impossible. EDVA’s work under the EEOA, the ADA, and other laws protecting students is critically important and a top priority.”

The enforcement of the Equal Educational Opportunities Act is a top priority of the Department of Justice’s Civil Rights Division. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt.

ALEXANDRIA, Va. – Today the Department of Justice’s Civil Rights Division and the U.S. Attorney’s Office for the Eastern District of Virginia announced a settlement agreement with Arlington Public Schools that will bolster English language services to the district’s approximately 5,000 students who are not proficient in English.

The agreement, which stems from the United States’ investigation under the Equal Educational Opportunities Act of 1974, will ensure that these English Learner students receive the services they need to succeed in the district’s educational programs. 

“This settlement ensures that English Learner students in Arlington Public Schools receive the services they need,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia.  “My office is committed to protecting the rights of all students, including those fighting to learn the English language or overcome disabilities, to receive the education and support they need to reach their full potential. As someone who personally struggles with dyslexia, if it were not for the protections afforded by civil rights statutes, especially the landmark Americans with Disabilities Act (ADA), my own educational journey would have been nearly impossible. EDVA’s work under the EEOA, the ADA, and other laws protecting students is critically important and a top priority.”

Under the agreement, the district will:

•           Properly identify and place English Learner students when they enroll in the district’s 34 schools, and communicate with parents about program offerings and other essential information in a language they understand; 

•           Provide English as a Second Language instruction to all English Learner students, including students with disabilities, so that they can become proficient in English;

•           Adequately train middle school core content teachers of English Learner students so that these students can meaningfully access grade-level curricula;

•           Train secondary school principals on how to evaluate teachers of English Learner students and support effective teaching strategies;

•           Ensure that English Learner students are timely and appropriately evaluated for special education services; and

•           Properly monitor and evaluate the effectiveness of its English Learner programs over time.

“We commend the Arlington Public Schools for working with the Department of Justice to achieve this promising and positive result for the school district’s English Learners,” said Assistant Attorney General Eric Dreiband. “For the students who will benefit from the agreement, learning English is key to unlocking educational opportunities. We look forward to continuing to work cooperatively with the Arlington Public Schools to implement this agreement.”

The enforcement of the Equal Educational Opportunities Act is a top priority of the Department of Justice’s Civil Rights Division. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt.

A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.

ALEXANDRIA, Va. – A man with citizenship in Lebanon and the United States was arrested this morning after arriving at John F. Kennedy International Airport in New York on charges of transporting visual depictions of minors engaged in sexually explicit conduct. 

According to court documents, George Aref Nader, 60, was charged by criminal complaint after he arrived at Washington-Dulles International Airport on Jan. 17, 2018 from Dubai in possession of a cell phone containing visual depictions of minors engaged in sexually explicit conduct. The charges were unsealed after his arrest this morning.

Nader previously pleaded guilty in the Eastern District of Virginia to the same charge in 1991.

If convicted, Nader faces a mandatory minimum of 15 years in prison and a maximum of 40 years.  A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and John P. Selleck, Acting Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement. Assistant U.S. Attorneys Jay V. Prabhu and Laura Fong are prosecuting the case.

This case is being investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force, composed of FBI agents and local, state and federal partners.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-mj-196.

A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.

ALEXANDRIA, Va. – A Guatemalan man was sentenced today to nearly three and a half years in prison for conspiracy to distribute cocaine.

According to court documents, Minor Peralta-Perez, aka Amilcar Lara, 44, and his son, Mynor Mejia Benitez, 25, distributed over half a kilogram of cocaine to a confidential source over a 14-month time period. Mejia Benitez was his father’s source of supply of cocaine. Peralta-Perez introduced the confidential source to Mejia Benitez during the summer of 2017, after the CS requested to purchase ounce-quantities of cocaine. For the majority of the transactions, Peralta Perez and the CS traveled to Mejia Benitez’s residence, in Dumfries, to conduct the cocaine transactions. During their first encounter, Mejia Benitez pulled a Smith and Wesson pistol from his waistband during the cocaine transaction. On other occasions, Mejia Benitez’s two minor children were in the residence during the sale of cocaine.  

During the conspiracy, Peralta Perez was deported to Guatemala after a driving while intoxicated charge in Alexandria. Despite his deportation, Peralta Perez directed his associates based in the United States to maintain his drug operations and made his intentions known that he would re-enter the United States. In December 2018, Peralta Perez illegally reentered the United States at the Texas border and was subsequently prosecuted.

On March 15, Mejia Benitez was sentenced to 10 years in prison for his role in this conspiracy and possessing a firearm in furtherance of a drug trafficking crime. 

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Mark R. Herring, Attorney General of Virginia, made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Special Assistant U.S. Attorney and Virginia Assistant Attorney General Lena Munasifi prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-68.

A Fresno, California, man was sentenced today to 14 years in prison followed by seven years of supervised release for using the internet to coerce and entice a minor into producing child pornography. 

Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia and Acting Assistant Director in Charge John P. Selleck of the FBI’s Washington Field Office made the announcement.

Emilio Morales, 29, was sentenced today before U.S. District Judge Liam O’Grady. According to admissions made in connection with his guilty plea, Morales met the 11-year-old victim while playing the online game “Clash of Clans.”  In 2017, Morales began grooming the victim over Clash of Clans before proposing that he and the victim communicate privately over the online chatting application Kik Messenger.  While communicating over Kik Messenger, Morales coerced and persuaded the victim to produce and send him sexually explicit images and videos.  The conduct ceased when, despite Morales’s attempts at manipulation, the minor victim refused to participate in any further sexual activity.

The case was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force and the Prince William County Police Department, with substantial assistance from the High Technology Investigative Unit of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  The case was prosecuted by CEOS Trial Attorney Kyle P. Reynolds and Assistant U.S. Attorney Whitney D. Russell of the Eastern District of Virginia.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

ALEXANDRIA, Va. – A Guatemalan man who has illegally entered the United States six times, was sentenced today to prison for his second conviction for illegally entering the United States.

“Sanchez-Velasquez has illegally crossed the southern border of the United States six times in under two years,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Undeterred by numerous prior illegal reentry convictions, Sanchez-Velasquez has clearly demonstrated his total disregard for our nation’s laws and continues to break them time and time again.”

According to court documents, Alexis Leonel Sanchez-Velasquez, 26, reentered the United States after having been removed on five prior occasions. On April 7, 2013, Sanchez-Velasquez was apprehended by U.S. Border Patrol near La Joya, Texas, for illegally entering the United States. He was removed at taxpayers’ expense on April 12, 2013. On June 5, 2013, Sanchez-Velasquez was again encountered crossing the border near Loredo, Texas, not two months since being removed to Guatemala. He was again removed to Guatemala on June 17, 2013. He illegally returned again three months later and was subsequently removed to Guatemala on Sept. 24, 2013. Three months later, Sanchez-Velasquez was apprehended yet again for illegal reentry and removed on Dec. 27, 2013, for the fourth time. He was removed for a fifth time in July 2014 after illegally reentering a month prior.

He reentered the United States sometime after July 2014 and worked illegally for the past five years. On March 29, Sanchez-Velasquez was arrested for driving under the influence and was later convicted of that offense.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after U.S. District Judge Liam O’Grady sentenced Sanchez-Velasquez to 60 days in prison. Assistant U.S. Attorney Carina A. Cuellar and Special Assistant U.S. Attorney Patrick D. Reid prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-004.

NEWPORT NEWS, Va. – A Williamsburg man was sentenced today to five years in prison for possessing a firearm while being a drug user.

According to court documents, John Johnson, 25, was arrested on Oct. 15, 2014 when Williamsburg Police responded to reports of a shooting. Johnson was located by responding officers and his firearm was recovered from an alleyway beside a local business when he threw it following the shooting. Johnson was also in possession of a backpack containing marijuana which he admitted was his for personal use.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge Henry Coke Morgan, Jr. Assistant U.S. Attorney Eric M. Hurt prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:18-cr-92.

A federal grand jury returned an 18-count superseding indictment today charging Julian P. Assange, 47, the founder of WikiLeaks, with offenses that relate to Assange’s alleged role in one of the largest compromises of classified information in the history of the United States.  Assistant Attorney General for National Security John C. Demers, U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia, Assistant Director John Brown of the FBI’s Counterintelligence Division and Acting Assistant Director in Charge Timothy Dunham of the FBI’s Washington Field Office made the announcement.

The superseding indictment alleges that Assange was complicit with Chelsea Manning, a former intelligence analyst in the U.S. Army, in unlawfully obtaining and disclosing classified documents related to the national defense.  Specifically, the superseding indictment alleges that Assange  conspired with Manning;  obtained from Manning and aided and abetted her in obtaining classified information with reason to believe that the information was to be used to the injury of the United States or the advantage of a foreign nation;  received and attempted to receive classified information having reason to believe that such materials would be obtained, taken, made, and disposed of by a person contrary to law; and  aided and abetted Manning in communicating classified documents to Assange. 

After agreeing to receive classified documents from Manning and aiding, abetting, and causing Manning to provide classified documents, the superseding indictment charges that Assange then published on WikiLeaks classified documents that contained the unredacted names of human sources who provided information to United States forces in Iraq and Afghanistan, and to U.S. State Department diplomats around the world.  These human sources included local Afghans and Iraqis, journalists, religious leaders, human rights advocates, and political dissidents from repressive regimes.  According to the superseding indictment, Assange’s actions risked serious harm to United States national security to the benefit of our adversaries and put the unredacted named human sources at a grave and imminent risk of serious physical harm and/or arbitrary detention.

The superseding indictment alleges that beginning in late 2009, Assange and WikiLeaks actively solicited United States classified information, including by publishing a list of “Most Wanted Leaks” that sought, among other things, classified documents.  Manning responded to Assange’s solicitations by using access granted to her as an intelligence analyst to search for United States classified documents, and provided to Assange and WikiLeaks databases containing approximately 90,000 Afghanistan war-related significant activity reports, 400,000 Iraq war-related significant activities reports, 800 Guantanamo Bay detainee assessment briefs, and 250,000 U.S. Department of State cables.

Many of these documents were classified at the Secret level, meaning that their unauthorized disclosure could cause serious damage to United States national security.  Manning also provided rules of engagement files for the Iraq war, most of which were also classified at the Secret level and which delineated the circumstances and limitations under which United States forces would initiate or conduct combat engagement with other forces.

The superseding indictment alleges that Manning and Assange engaged in real-time discussions regarding Manning’s transmission of classified records to Assange.  The discussions also reflect that Assange actively encouraged Manning to provide more information and agreed to crack a password hash stored on U.S. Department of Defense computers connected to the Secret Internet Protocol Network (SIPRNet), a United States government network used for classified documents and communications.  Assange is also charged with conspiracy to commit computer intrusion for agreeing to crack that password hash.

Assange is presumed innocent unless and until proven guilty beyond a reasonable doubt.  If convicted, he faces a maximum penalty of 10 years in prison on each count except for conspiracy to commit computer intrusion, for which he faces a maximum penalty of five years in prison.  Actual sentences for federal crimes are typically less than the maximum penalties.  A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

First Assistant U.S. Attorney Tracy Doherty-McCormick, Assistant U.S. Attorneys Kellen S. Dwyer, Thomas W. Traxler and Gordon D. Kromberg, and Trial Attorneys Matthew R. Walczewski and Nicholas O. Hunter of the Justice Department’s National Security Division are prosecuting the case.

An indictment contains allegations that a defendant has committed a crime.  Every defendant is presumed to be innocent until and unless proven guilty in court.

ALEXANDRIA, Va. – A federal grand jury returned an 18-count superseding indictment today charging Julian P. Assange, 47, the founder of WikiLeaks, with offenses that relate to Assange’s alleged role in one of the largest compromises of classified information in the history of the United States.   

The superseding indictment alleges that Assange was complicit with Chelsea Manning, a former intelligence analyst in the U.S. Army, in unlawfully obtaining and disclosing classified documents related to the national defense. Specifically, the superseding indictment alleges that Assange conspired with Manning; obtained from Manning and aided and abetted her in obtaining classified information with reason to believe that the information was to be used to the injury of the United States or the advantage of a foreign nation; received and attempted to receive classified information having reason to believe that such materials would be obtained, taken, made, and disposed of by a person contrary to law; and aided and abetted Manning in communicating classified documents to Assange. 

After agreeing to receive classified documents from Manning and aiding, abetting, and causing Manning to provide classified documents, the superseding indictment charges that Assange then published on WikiLeaks classified documents that contained the unredacted names of human sources who provided information to United States forces in Iraq and Afghanistan, and to U.S. State Department diplomats around the world. These human sources included local Afghans and Iraqis, journalists, religious leaders, human rights advocates, and political dissidents from repressive regimes. According to the superseding indictment, Assange’s actions risked serious harm to United States national security to the benefit of our adversaries and put the unredacted named human sources at a grave and imminent risk of serious physical harm and/or arbitrary detention.

The superseding indictment alleges that beginning in late 2009, Assange and WikiLeaks actively solicited United States classified information, including by publishing a list of “Most Wanted Leaks” that sought, among other things, classified documents. Manning responded to Assange’s solicitations by using access granted to her as an intelligence analyst to search for United States classified documents, and provided to Assange and WikiLeaks databases containing approximately 90,000 Afghanistan war-related significant activity reports, 400,000 Iraq war-related significant activities reports, 800 Guantanamo Bay detainee assessment briefs, and 250,000 U.S. Department of State cables.

Many of these documents were classified at the Secret level, meaning that their unauthorized disclosure could cause serious damage to United States national security. Manning also provided rules of engagement files for the Iraq war, most of which were also classified at the Secret level and which delineated the circumstances and limitations under which United States forces would initiate or conduct combat engagement with other forces.

The superseding indictment alleges that Manning and Assange engaged in real-time discussions regarding Manning’s transmission of classified records to Assange. The discussions also reflect that Assange actively encouraged Manning to provide more information and agreed to crack a password hash stored on U.S. Department of Defense computers connected to the Secret Internet Protocol Network (SIPRNet), a United States government network used for classified documents and communications. Assange is also charged with conspiracy to commit computer intrusion for agreeing to crack that password hash.

Assange is presumed innocent unless and until proven guilty beyond a reasonable doubt. If convicted, he faces a maximum penalty of 10 years in prison on each count except for conspiracy to commit computer intrusion, for which he faces a maximum penalty of five years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, John C. Demers, Assistant Attorney General for National Security, and Timothy Dunham, Acting Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement. First Assistant U.S. Attorney Tracy Doherty-McCormick, Assistant U.S. Attorneys Kellen S. Dwyer, Thomas W. Traxler and Gordon D. Kromberg, and Trial Attorneys Matthew R. Walczewski and Nicholas O. Hunter of the Justice Department’s National Security Division are prosecuting the case.

Assange is currently serving a sentence in the United Kingdom for failure to surrender to U.K. authorities in 2012. Assange’s extradition to the United States is being handled by the Department of Justice’s Office of International Affairs.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-111.

An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.

NORFOLK, Va. – A woman with a criminal history that includes previously participating in a fake lottery scam, pleaded guilty today to fraud charges related to her role in a recent Jamaican lottery scam.

“Kochuga and her co-conspirators lied, cheated, and stole from their victims out of greed,” said G. Zachary Terwilliger, U.S. Attorney of the Eastern District of Virginia. “The financial and emotional harm these scams cause elderly victims and their family members can be utterly devastating. This prosecution should stand as a warning to others considering scamming vulnerable victims: We will not tolerate this criminal activity and will continue to prosecute these cases federally.”

According to court documents, Nena Kerny Kochuga, 44, of Virginia Beach, received tens of thousands of dollars from victims around the United States. These victims had been contacted over the phone and told by conspirators that they had won a multi-million dollar lottery. The conspirators would then tell the victims that, in order to receive their winnings, they had to mail or wire money for taxes to Kochuga in Virginia Beach. Kochuga would keep a portion of the money for herself, and wire the rest of the money to conspirators in Jamaica and other countries. Prior to this criminal conduct, Kochuga had been convicted for the same exact scheme in Virginia Beach Circuit Court. 

“The U.S. Postal Inspection Service will continue to work tirelessly to ensure that the Postal Service is not used to perpetuate predatory schemes that target vulnerable victims,” said Peter R. Rendina, Inspector in Charge, U.S. Postal Inspection Service, Washington Division. “We are committed to protecting our customers from being defrauded of everything they’ve worked so hard to attain.”

Kochuga pleaded guilty to mail fraud and faces a maximum penalty of 20 years in prison when sentenced on September 30. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after Senior U.S. District Judge Robert G. Doumar accepted the plea. Assistant U.S. Attorney Elizabeth M. Yusi is prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-22.

ALEXANDRIA, Va. – A naturalized U.S. citizen residing in Alexandria was sentenced today to 3 years in prison for having fraudulently obtained United States citizenship.

“Negussie hid his past atrocities as a human rights abuser and lied his way into the United States,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “United States citizenship and the protections and privileges that accompany it is not intended for those who persecute their fellow man. My thanks to the prosecutors and law enforcement agents and officers for their outstanding work on this case.”

According to court documents, Mergia Negussie Habteyes, 58, participated in the persecution of detainees at a makeshift prison from 1977 to 1978 during the “Red Terror,” a campaign of brutal violence during which Ethiopia’s ruling military council, the Derg, and its affiliates arrested, extra-judicially imprisoned, interrogated, and tortured tens of thousands of members, perceived members, and supporters of political opposition groups. Negussie tortured detainees on account of their political opinion by beating them with belts, rods, and other objects, causing in many instances permanent scarring and injury. During these beatings, Negussie questioned the detainees about their affiliation with the Ethiopian People’s Revolutionary Party (EPRP) and opposition activities of the EPRP, which was the Derg’s primary political opponent at the time.

Negussie came to the United States in 1999 after telling a series of lies to United States immigration officials in the course of obtaining authority to enter the United States as a refugee. He ultimately became a naturalized United States citizen in 2008. During his sworn naturalization interview, he falsely stated that he had never persecuted persons because of their political opinion, and he failed to disclose that he had committed a crime or offense for which he was not arrested. Additionally, Negussie falsely stated that he had never given false or misleading information to any United States government official while applying for any immigration benefit and that he had never lied to United States immigration officials to gain entry or admission into the United States.

Negussie’s materially false representations in sworn statements to U.S. immigration officials resulted in his procurement of naturalization contrary to law. In addition to sentencing Negussie to a period of incarceration, Negussie’s U.S. citizenship was also revoked.

The case was investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C. with the support of the Human Rights Violators and War Crimes Center (HRVWCC). Established in 2009, the HRVWCC furthers the government’s efforts to identify, locate, and prosecute human rights abusers in the United States, including those who are known or suspected to have participated in persecution, war crimes, genocide, torture, extrajudicial killings, female genital mutilation, or the use or recruitment of child soldiers. The HRVWCC leverages the expertise of a select group of agents, lawyers, intelligence and research specialists, historians, and analysts who direct the government’s broader enforcement efforts against these offenders. The HRVWCC comprises ICE HSI’s Human Rights Violators and War Crimes Unit, ICE’s Human Rights Law Section, the FBI’s International Human Rights Unit, and the Justice Department’s Human Rights and Special Prosecutions Section (HRSP).

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division, and Patrick J. Lechleitner, Special Agent in Charge of ICE HSI Washington, D.C., made the announcement after sentencing from Senior U.S. District Judge T.S. Ellis, III. Assistant U.S. Attorney Alexander E. Blanchard and HRSP Trial Attorney Jamie B. Perry prosecuted the case.

Members of the public who have information about former human rights violators in the United States are urged to contact U.S. law enforcement through the Human Rights and Special Prosecutions Section at hrsptips@usdoj.gov or toll-free at 1-800-813-5863, or through the HSI tip line at 1-866-DHS-2-ICE or its online tip form at www.ice.gov/exec/forms/hsi-tips/tips.asp.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-305.

RICHMOND, Va. – A Richmond man who is a previously convicted felon was sentenced today to 7 years in prison for being a felon in possession of a firearm. 

According to court documents, Antonio Patterson, 28, was observed by Richmond Police speeding in a car. After the officers attempted to stop the vehicle, Patterson led the officers on a high-speed chase before he drove his car into a median and ran from the vehicle on foot before he was apprehended a short distance away. A search of the car revealed a 9mm handgun equipped with an extended 30-round magazine. The officers also recovered a large amount of marijuana in the trunk of the car. Patterson admitted to possessing the firearm after being convicted of a felony. 

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne. Assistant U.S. Attorney Peter S. Duffey prosecuted the case.

The Richmond Police Department provide significant assistance with this prosecution.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-146.

RICHMOND, Va. – A Mexican man who has been deported at taxpayer expense on three previous occasions was sentenced today to nearly two years in prison for his fourth illegal reentry into the United States.

According to court documents, Isidoro Gonzalez-Ferretiz, 35, first illegally entered the United States sometime in 2008. In August 2008, he was voluntarily removed to Mexico. Sometime later, Gonzalez-Ferretiz again illegally entered the United States and was found by authorities in February 2014. That same year, Gonzalez-Ferretiz was convicted of theft from a motor vehicle in Pennsylvania. In June 2014, Gonzalez-Ferretiz was again deported back to Mexico. Sometime later, Gonzalez-Ferretiz illegally entered the United States for the third time. In 2017, he was convicted for driving while intoxicated, and in March 2018 was again deported back to Mexico at taxpayer expense. After the March 2018 removal, Gonzalez-Ferretiz illegally entered the United States for a fourth time and was found by authorities in Henrico County in September 2018. 

Gonzalez-Ferretiz, who was sentenced to 21 months in prison, will be deported at taxpayer expense for a fourth time after the completion of his prison sentence.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne. Assistant U.S. Attorney Heather H. Mansfield prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-117.

A naturalized U.S. citizen residing in Alexandria, Virginia was sentenced to 37 months in prison for having fraudulently obtained U.S. citizenship.

Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia and Special Agent in Charge Patrick J. Lechleitner of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C made the announcement.

Mergia Negussie Habteyes, 58, previously pleaded guilty to one count of unlawful procurement of naturalization.  Negussie was sentenced by U.S. District Judge T.S. Ellis III of the Eastern District of Virginia. 

“Negussie-Habteyes believed he could conceal his past participation in the brutal persecution of political dissidents in order to enjoy the benefits of U.S. citizenship and escape accountability in Ethiopia,” said Assistant Attorney General Benczkowski.  “This case demonstrates the Justice Department’s continued commitment to ensuring that the United States does not become a safe haven for human rights violators.”

“Negussie hid his past atrocities as a human rights abuser and lied his way into the United States,” said U.S. Attorney Terwilliger.  “United States citizenship and the protections and privileges that accompany it is not intended for those who persecute their fellow man. My thanks to the prosecutors and law enforcement agents and officers for their outstanding work on this case.”

According to admissions in the plea agreement, Negussie participated in the persecution of detainees in Ethiopia from roughly 1977 to 1978 during a period of time known as the “Red Terror.”  As part of actions led by a council of military officers in power at the time, known as the “Derg,” Negussie injured and abused detainees on account of their political opinion by beating them with weapons including belts, rods and other objects, causing permanent scarring and injury to some of the detainees.  During these beatings, Negussie questioned the detainees about their affiliation with the Ethiopian People’s Revolutionary Party (EPRP) and the opposition activities of the EPRP, which was politically opposed to the Derg. 

Negussie was able to come the United States in 1999 by telling a series of lies to U.S. immigration authorities.  He ultimately obtained U.S. citizenship in 2008.  He ultimately obtained U.S. citizenship in 2008.  At his plea hearing, Negussie specifically admitted that, during his sworn naturalization interview, he falsely stated that he never persecuted persons because of their political opinion, and he failed to disclose that he had committed a crime or offense for which he was not arrested.  In fact, as Negussie admitted, he had participated in the persecution and assaults against individuals imprisoned because of their political opinion.  Additionally, Negussie admitted that he falsely stated that he never gave false or misleading information to any U.S. government official while applying for any immigration benefit and falsely stated that he never lied to U.S. immigration authorities to gain entry or admission into the United States and to obtain immigration benefits.

Negussie’s materially false representations in sworn statements to U.S. immigration officials resulted in his procurement of naturalization contrary to law.  In addition to sentencing Negussie to a period of incarceration, Negussie’s U.S. citizenship was also revoked.

The case was investigated by ICE HSI Washington, D.C. and Sterling, Virginia Field Office with the support of the Human Rights Violators and War Crimes Center (HRVWCC).  Established in 2009, the HRVWCC furthers the government’s efforts to identify, locate and prosecute human rights abusers in the United States, including those who are known or suspected to have participated in persecution, war crimes, genocide, torture, extrajudicial killings, female genital mutilation and the use or recruitment of child soldiers.  The HRVWCC leverages the expertise of a select group of agents, lawyers, intelligence and research specialists, historians and analysts who direct the government’s broader enforcement efforts against these offenders.  The HRVWCC is comprised of ICE HSI’s Human Rights Violators and War Crimes Unit, ICE’s Human Rights Law Section, FBI’s International Human Rights Unit and the Justice Department’s Human Rights and Special Prosecutions Section (HRSP). 

The case was jointly prosecuted by Trial Attorney Jamie Perry of the Criminal Division’s HRSP and Assistant U.S. Attorney Alexander Blanchard of the Eastern District of Virginia.   

Members of the public who have information about former human rights violators in the United States are urged to contact U.S. law enforcement  through the HSI tip line at 1-866-DHS-2-ICE or its online tip form at www.ice.gov/exec/forms/hsi-tips/tips.asp.

ALEXANDRIA, Va. – A Mexican citizen who was convicted in state court of a sex offense against a minor pleaded guilty today to illegally reentering the United States.

“Murcia has been deported at taxpayer expense on multiple occasions,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Additionally, he was convicted of a sex offense against a minor who was in his care. This prosecution and guilty plea demonstrate that the United States will continue to aggressively enforce its immigration laws, especially where, as here, those who disregard our nation’s border and laws also commit egregious crimes against the most vulnerable members of our community.”

According to court documents, Jose Fabian Murcia, 41, was removed from the country at taxpayer expense in 2001 and 2004. In 2018, law enforcement encountered him in Virginia after he was arrested and charged with aggravated sexual battery against a victim under the age of 13 and taking indecent liberties with a child by a person in a custodial or supervisory relationship – both felonies in Virginia. Fabian Murcia was later convicted in Prince William County for indecent liberties with a child.

Fabian Murcia pleaded guilty to illegal reentry by a removed alien and faces a maximum penalty of two years in prison when sentenced on August 30. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after Senior U.S. District Judge Claude M. Hilton accepted the plea. Special Assistant U.S. Attorney Daniel J. Olinghouse and Assistant U.S. Attorney Karen L. Taylor are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-80.

RICHMOND, Va. – A North Carolina man was sentenced today to 18 years in prison for committing two armed bank robberies.

According to court documents, Allen E. Piner, Jr., 46, of Wallace, robbed the Argent Federal Credit Union and the Citizens Bank & Trust, both at gunpoint, on two separate occasions. On Sept. 1, 2017, Piner walked into the Citizens Bank & Trust, located in Chester brandishing a firearm and demanding money from two tellers working at the counter. In fear for their lives, the tellers gave Piner $5,000 before he fled the scene and got away.

On Oct. 11, 2017, Piner walked into the Argent Federal Credit Union, located in Midlothian, and pointed a firearm at the teller, demanding cash from her drawer. Fearing for her life, the teller complied with Piner’s demands, but unknown to Piner, the teller gave him currency with a GPS tracker. Local law enforcement tracked Piner within minutes, setting up a roadblock a short distance from the bank. After a short car chase, Piner fled his vehicle and scaled a fence while armed. When Piner turned toward the pursuing officers with his gun, a Chesterfield Police officer shot Piner one time to disable him, after which officers promptly rendered lifesaving first aid to him. The money, GPS tracker, and a firearm were all recovered at the scene. 

This is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

This case was investigated by the FBI’s Richmond’s Central Virginia Violent Crimes Task Force.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after U.S. District Judge John A. Gibney Jr. accepted the plea. Assistant U.S. Attorneys Peter S. Duffey and David V. Harbach II are prosecuting the case.

The Chesterfield Police Department provided significant assistance during the investigation.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-15.

ALEXANDRIA, Va. – A Woodbridge woman was sentenced today to five years in prison for buying and selling wholesale quantities of high-grade methamphetamine.

According to court documents, Nina Booher, 36, bought pounds of methamphetamine for redistribution to her customers in northern Virginia. Beginning in early 2018, Booher was buying pounds of methamphetamine every two or three weeks from her boyfriend and co-conspirator, Matthew Colby Cochran. Then, when she learned the identity of her boyfriend’s supplier, who was based in New York, she started buying methamphetamine directly from the supplier. 

In November 2018, law enforcement searched Booher’s home in Woodbridge and found more than 200 grams of methamphetamine, marijuana, heroin, smoking devices, a digital scale, packaging materials, and thousands of dollars in cash.

Earlier this month, Cochran was sentenced to three years in prison for his involvement in the conspiracy.

This matter was investigated by the Washington Field Office’s Safe Streets/HIDTA Task Force – Northern Virginia which is composed of agents and detectives from Fairfax County, Prince William County Police, Loudoun County Sherriff’s Office, Leesburg Police, Vienna Police, Alexandria City Police, and Herndon Police.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Charles Dayoub, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Assistant U.S. Attorney Katherine E. Rumbaugh prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-44.

RICHMOND, Va. – A North Carolina man was sentenced yesterday to 10 years in prison for conspiring to commit mail and bank fraud and possessing a firearm as a convicted felon. 

According to court documents, Lareese Martelles Mallety, 25, of Raeford, conspired with several others to steal mail from local business parks and cash checks obtained through these thefts. Between July 2018 and his arrest in October, Mallety repeatedly traveled to Richmond from his home near Fayetteville, North Carolina to commit these crimes. He and others used pry bars to vandalize secure business mailboxes and thereby gain access to the incoming and outgoing mail of over 70 local businesses. Mallety then recruited homeless individuals found nearby to cash checks obtained through these thefts. Mallety and others used razor blades and typewriters to alter the stolen checks and make them payable to the homeless recruits. In just three months, these recruits cashed more than a dozen checks totaling over $36,000, returning all of the money to Mallety as directed. 

Mallety was apprehended in October 2018 while traveling to Richmond in furtherance of this scheme. A search of his rental car recovered a pry bar, razor blades, a typewriter, three stolen U.S. mail parcels, and 45 checks stolen from local businesses worth nearly $120,000. A stolen handgun was found under Mallety’s seat, which he admitted bringing for protection. A nine-time convicted felon, Mallety carried a handgun throughout this conspiracy, often showing it to homeless recruits when directing them to cash stolen checks. Mallety has two prior convictions for conspiring to commit armed robbery and has previously been convicted of possessing a firearm as a convicted felon.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne. Assistant U.S. Attorney Kaitlin G. Cooke prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-160.

ALEXANDRIA, Va. – A California man was sentenced today to more than one and a half years in prison for threatening to kill the family of Ajit Pai, Chairman of the Federal Communications Commission.

“Threatening to actually kill a federal official’s family because of a disagreement over policy is not only inexcusable, it is criminal,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This prosecution shows not only that we take criminal threats seriously, but also that online threats of violence have real world consequences. I would like to thank our local, state, and federal law enforcement partners for their assistance in this investigation and prosecution.”

According to court documents, on or about Dec. 19 and 20, 2017, Markara Man, 33, of Norwalk, sent three emails to Chairman Pai’s email accounts. The first email accused Chairman Pai of being responsible for a child who allegedly had committed suicide because of the repeal of net neutrality regulations. The second email listed three locations in or around Arlington and threatened to kill the Chairman’s family members. The third email had no message in its body, but included an image depicting Chairman Pai and, in the foreground and slightly out of focus, a framed photograph of Chairman Pai and his family. The FBI traced the emails to Man’s residence in Norwalk, California, and when initially confronted in May 2018, Man admitted to the FBI that he sent the email threatening Chairman Pai’s family.

Court documents further showed that during the FBI’s search of his residence, Man factory reset a cell phone upon learning of the search and before law enforcement could seize the phone. This action caused data to be wiped from the device. When asked about the phone being in setup mode, Man lied to the FBI and claimed that he had received it a month earlier and not set it up yet.

This matter was investigated by the Washington Field Office’s Safe Streets Violent Crime Task Force, which is composed of Special Agents and detectives from law enforcement agencies within northern Virginia and the District of Columbia. The task force concentrates on investigating violent crimes and criminal threats within the Capital Region.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Nancy McNamara, Assistant Director in Charge of the FBI’s Washington Field Office, and M. Jay Farr, Arlington County Chief of Police, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorney Alexander P. Berrang prosecuted the case.

The FBI’s Los Angeles Field Office, the Federal Protective Service, and the Arlington County Police Department provided significant assistance in this investigation.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-308.

ALEXANDRIA, Va. – A former Central Intelligence Agency case officer was sentenced today to 20 years in prison for his transmission of national defense information to an agent of the People’s Republic of China.

“Mallory not only put our country at great risk, but he endangered the lives of specific human assets who put their own safety at risk for our national defense,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “There are few crimes in this country more serious than espionage, and this office has a long history of holding accountable those who betray our country. As the Chinese continue to attempt to identify and recruit current and former members of the United States intelligence community, those individuals should remain vigilant and report any suspicious activity to the appropriate security officials. This case should send a message to anyone considering violating the public’s trust and compromising our national security by disclosing classified information. We will remain steadfast and dogged in pursuit of these challenging but critical national security cases.”

According to court records and evidence presented at trial, in March and April 2017, Kevin Patrick Mallory, 62, of Leesburg, travelled to Shanghai and met with an individual, Michael Yang, who held himself out as a People’s Republic of China think tank employee. However, Mallory stated that he quickly concluded Yang was working for the People’s Republic of China Intelligence Service (PRCIS) as a Chinese Intelligence Officer.

“Former U.S. Intelligence officer Kevin Patrick Mallory will spend the next 20 years of his life in prison for conspiring to pass national defense information to a Chinese intelligence officer,” said Assistant Attorney General John Demers. “This case is one in an alarming trend of former U.S. intelligence officers being targeted by China and betraying their country and colleagues. This sentence, together with the recent guilty pleas of Ron Hansen in Utah and Jerry Lee in Virginia, deliver the stern message that our former intelligence officers have no business partnering with the Chinese, or any other adversarial foreign intelligence service.”

Mallory, a United States citizen who speaks fluent Mandarin Chinese, consented to an FBI review of a covert communications (covcom) device he had been given by Yang to facilitate covert communications between the two. Analysis of the device, which was a Samsung Galaxy smartphone, revealed a number of communications in which Mallory and Yang talked about classified information that Mallory could sell to the PRCIS. FBI analysts were able to determine that Mallory had completed all of the steps necessary to securely transmit at least five classified U.S. government documents via the covcom device, one of which contained unique identifiers for human sources who had helped the United States government. At least two of the documents were successfully transmitted, and Mallory and Yang communicated about those two documents on the covcom device.

“U.S. Government employees are trusted to keep the nation’s secrets safe,” said FBI Washington Field Office’s Assistant Director in Charge, Nancy McNamara, “and this case shows the violation of that trust and duty will not be accepted. The targeting of former U.S. security clearance holders by foreign intelligence services is a constant threat we face, and the FBI will continue to preserve and combat these threats head on. I would like to thank the men and women of the FBI, and our counterparts at the Department of Justice, for their years of hard work to investigate and prosecute this case.”

Evidence presented at trial included surveillance video from a FedEx store in Leesburg where Mallory could be seen scanning classified at the Secret and Top Secret level onto a micro SD card. Though Mallory paid to have the paper copies of the eight documents shredded, FBI agents found a carefully concealed SD card containing those documents during a search of Mallory’s home, the day of his June 22, 2017 arrest. A recording was played at trial from June 24, 2017, where Mallory could be heard on a call from the jail asking his family to search for the hidden SD card.

Mallory has held numerous positions with various government agencies and several defense contractors, including working as a covert case officer for the CIA and an intelligence officer for the Defense Intelligence Agency (DIA). As required for his various government positions, Mallory obtained a Top Secret security clearance, which was active during various assignments during his career. Mallory’s security clearance was terminated in October 2012 when he left government service.

Mallory was found guilty by a federal jury in June 2018 of conspiracy to deliver, attempted delivery, delivery of national defense information to aid a foreign government, and making material false statements. The district court subsequently ordered acquittal of the delivery and attempted delivery of national defense information counts due to lack of venue.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, John C. Demers, Assistant Attorney General for National Security, and Nancy McNamara, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorneys John T. Gibbs and Colleen E. Garcia, and Trial Attorneys Jennifer Kennedy Gellie and Evan Turgeon of the National Security Division’s Counterintelligence and Export Control Section prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:17-cr-154.

Kevin Patrick Mallory, 62, of Leesburg, Virginia, was sentenced today to 20 years in prison to be followed by five years of supervised release after being convicted under the Espionage Act for conspiracy to transmit national defense information to an agent of the People’s Republic of China.  Assistant Attorney General for National Security John C. Demers, U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia and Assistant Director in Charge Nancy McNamara of the FBI’s Washington Field Office made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III.

“Former U.S. Intelligence officer Kevin Patrick Mallory will spend the next 20 years of his life in prison for conspiring to pass national defense information to a Chinese intelligence officer,” said Assistant Attorney General John Demers.  “This case is one in an alarming trend of former U.S. intelligence officers being targeted by China and betraying their country and colleagues.  This sentence, together with the recent guilty pleas of Ron Hansen in Utah and Jerry Lee in Virginia, deliver the stern message that our former intelligence officers have no business partnering with the Chinese, or any other adversarial foreign intelligence service.”

“Mallory not only put our country at great risk, but he endangered the lives of specific human assets who put their own safety at risk for our national defense,” said. U.S. Attorney Terwilliger.  “There are few crimes in this country more serious than espionage, and this office has a long history of holding accountable those who betray our country.  As the Chinese continue to attempt to identify and recruit current and former members of the United States intelligence community, those individuals should remain vigilant and report any suspicious activity to the appropriate security officials.  This case should send a message to anyone considering violating the public’s trust and compromising our national security by disclosing classified information.  We will remain steadfast and dogged in pursuit of these challenging but critical national security cases.”

“U.S. Government employees are trusted to keep the nation's secrets safe,” said Assistant Director in Charge McNamara, “and this case shows the violation of that trust and duty will not be accepted.  The targeting of former U.S. security clearance holders by foreign intelligence services is a constant threat we face, and the FBI will continue to preserve and combat these threats head on.  I would like to thank the men and women of the FBI, and our counterparts at the Department of Justice, for their years of hard work to investigate and prosecute this case.”

Mallory was found guilty by a federal jury in June 2018 of conspiracy to deliver, attempted delivery, delivery of national defense information to aid a foreign government and making material false statements.  The district court subsequently ordered acquittal as to the delivery and attempted delivery of national defense information counts due to lack of venue.

According to court records and evidence presented at trial, in March and April 2017, Mallory, a former U.S. intelligence officer, travelled to Shanghai to meet with an individual, Michael Yang, who held himself out as a People’s Republic of China think tank employee, but whom Mallory assessed to be a Chinese Intelligence Officer.

Mallory, a United States citizen who speaks fluent Mandarin Chinese, consented to an FBI review of a covert communications (covcom) device he had been given by Yang to facilitate covert communications between the two.  Analysis of the device, which was a Samsung Galaxy smartphone, revealed a number of communications in which Mallory and Yang talked about classified information that Mallory could sell to the PRC’s intelligence service.  FBI analysts were able to determine that Mallory had completed all of the steps necessary to securely transmit at least five classified U.S. government documents via the covcom device, one of which contained unique identifiers for human sources who had helped the United States government.  At least two of the documents were successfully transmitted, and Mallory and Yang communicated about those two documents on the covcom device.

Evidence presented at trial included surveillance video from a FedEx store in Leesburg where Mallory could be seen scanning documents classified at the Secret and Top Secret level onto a micro SD card.  Though Mallory paid to have the paper copies of the eight documents shredded, FBI agents found a carefully concealed SD card containing those documents during a search of Mallory’s home, the day of his June 22, 2017 arrest.  A recording was played at trial from June 24, 2017, where Mallory could be heard on a call from the jail asking his family to search for the hidden SD card.

Mallory has held numerous positions with various government agencies and several defense contractors, including working as a covert case officer for the Central Intelligence Agency (CIA) and an intelligence officer for the Defense Intelligence Agency (DIA).  As required for his various government positions, Mallory obtained a Top Secret security clearance, which was active during various assignments during his career.  Mallory’s security clearance was terminated in October 2012 when he left government service.

Assistant U.S. Attorneys John T. Gibbs and Colleen E. Garcia, and Trial Attorneys Jennifer Kennedy Gellie and Evan Turgeon of the National Security Division’s Counterintelligence and Export Control Section prosecuted the case.

ALEXANDRIA, Va. – Two Washington, D.C. men pleaded guilty this week to conspiring to pass counterfeit currency.

According to court documents, between June 2017 and January 2019, Markee Alexander Brown, 27, and Joseph Andre Robinson, 24, conspired with one another to pass counterfeit $100 and $50 U.S. banknotes to purchase goods and to receive change in genuine U.S. currency from businesses and restaurants throughout the greater metropolitan Washington, D.C. area. Approximately 30 of these counterfeit passes were reported and captured by surveillance footage, and the U.S. Secret Service has collected thousands of dollars in counterfeit federal reserve notes connected to this conspiracy. 

Brown and Robinson pleaded guilty to conspiring to pass counterfeit currency and face a maximum penalty of five years in prison when sentenced on August 23. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Brian J. Ebert, Special Agent in Charge of the U.S. Secret Service’s Washington Field Office, made the announcement after U.S. District Judge Anthony J. Trenga accepted the pleas. Assistant U.S. Attorney Nicholas U. Murphy II and Special Assistant U.S. Attorney Michael Jones are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-54.

NORFOLK, Va. – A federal jury convicted a Chesapeake man today on charges of credit union fraud and aggravated identity theft.

According to court records and evidence presented at trial, Adante Leshaun Dupree, 25, took part in a scheme to defraud Navy Federal Credit Union. Dupree and his co-conspirators bought the stolen identities of out-of-state victims using the darkweb, opened Navy Federal Credit Union accounts in their name, and applied for auto loans from the credit union in the names of the identity theft victims.  The conspirators then paid a woman to impersonate the identity theft victims, pick up the loan checks, and cash them at a Norfolk check cashing store. The scheme unraveled after the woman was caught trying to cash a second auto loan check while wearing a wig to impersonate a victim decades older than the impersonator’s true age. 

Dupree faces a maximum penalty of 30 years of in prison for the credit union fraud and a mandatory minimum consecutive sentence of two years for aggravated identity theft when he is sentenced on September 19. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk, Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, and Larry D. Boone, Chief of Norfolk Police, made the announcement after U.S. District Judge Arenda Wright Allen accepted the verdict. Assistant U.S. Attorneys Andrew Bosse and Daniel T. Young are prosecuting the case.

The Virginia Army National Guard Counter Drug Task Force provided significant assistance in this investigation.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-172-2.

A former facilities and real estate manager for a large, international labor union pleaded guilty today to defrauding and stealing from his employer, announced Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, Inspector General Scott S. Dahl of the U.S. Department of Labor and Director Arthur F. Rosenfeld of the U.S. Department of Labor’s Office of Labor-Management Standards.

Michael J. Carney, 63, of Ashburn, Virginia, pleaded guilty to one count of conspiracy to commit honest services wire fraud and theft and embezzlement of labor union funds before U.S. District Judge Liam O’Grady of the Eastern District of Virginia.  Sentencing is scheduled for Oct. 18, 2019.  

According to court documents, Carney is a former facilities and real estate manager for a large, international union located in Herndon, Virginia.  Between in or about May 2012 and at least in or about mid-2015, Carney received tens of thousands of dollars in kickbacks from a heating, ventilation, and air conditioning (HVAC) company located in Maryland, in exchange for the awarding of the union’s HVAC service agreements and maintenance contracts.  The benefits included high-end outdoor kitchen and free HVAC and plumbing services for Carney and a relative over a multi-year period.  With Carney’s knowledge, the president and majority owner of the HVAC company, Howard W. Janoske, and his subordinates submitted inflated and fraudulent invoices to the union to recoup expenses for these personal benefits.  Janoske pleaded guilty to a similar charge on March 1, 2019, and is awaiting sentencing.

The Department of Labor’s Office of Inspector General and the Office of Labor Management Standards investigated the case.  Trial Attorney Edward P. Sullivan of the Criminal Division’s Public Integrity Section is prosecuting the case.