Western District of Virginia

BIG STONE GAP, Va. – A Jonesville, Virginia man was sentenced last week to 78 months in prison for conspiring to distribute methamphetamine.

John Joel Foster, 51, who had previously been convicted of illegal possession of a firearm by a convicted felon in 2009, previously pled guilty to one count of conspiracy to distribute and possession with the intent to distribute five grams or more of methamphetamine.

According to court documents, beginning in September 2021, Foster and others conspired to sell crystal methamphetamine in and around Lee County, Virginia.

Foster purchased at least 28 grams of crystal or “ice” methamphetamine from co-conspirator Billy King every few weeks during the course of the conspiracy. King introduced Foster to Garrett Teffeteller, who also routinely supplied methamphetamine to Foster.

King and Teffeteller have pled guilty for their roles in the conspiracy and will be sentenced later this year.

United States Attorney Christopher R. Kavanaugh and Special Agent in Charge Craig B. Kailimai of the Washington Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives made the announcement.

The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Virginia State Police, and the Lee County Sheriff’s Office investigated the case.

Assistant U.S. Attorney Lena L. Busscher prosecuted the case.

CHARLOTTESVILLE, Va. – A Florida man, who used the instant messaging application Kik to chat with an undercover Albemarle County detective he thought was a 14-year-old girl, pleaded guilty in federal court to one count of attempted transfer of obscene material to a minor.

William George Price, 65, of Land O’ Lakes, Florida, faces a maximum statutory penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

According to court documents, on February 22, 2021, an undercover detective from the Albemarle County Police Department portrayed himself as a 14-year-old girl named “Ashley” on Kik, an instant messaging application. While on Kik, Price, who called himself “Bill Prince,” told “Ashley” that he was 63-years-old and living in Florida. “Ashley” told Price that she lived in Virginia and was “almost 15.”

The conversation became sexual when Price asked “Ashley” if she liked older men, if she was a virgin, and if she would do a “threesome.” Price then asked if she wanted a picture of him. When “Ashley” responded in the affirmative, Price sent a picture of his penis as well as three videos of himself masturbating.

United States Attorney Christopher R. Kavanaugh, Colonel Sean Reeves, Chief of the Albemarle County Police Department, and Special Agent in Charge Derek W. Gordon of Homeland Security Investigations’ Washington, D.C. Field Office made the announcement.

Any individuals that may have additional information about this case, please contact Detective Mike Wells of the Albemarle County Police, who also serves as a Homeland Security Investigations Task Force Officer.

The Albemarle County Police Department and the Department of Homeland Security Investigations are investigating the case.

Assistant U.S. Attorneys Ronald M. Huber and Jordan E. McKay are prosecuting the case.

CHARLOTTESVILLE, Va. - The U.S. Attorney’s Office for the Western District of Virginia will join community organizers, neighbors, and law enforcement partners to participate in National Night Out events on August 1, 2023. During this year’s National Night Out, United States Attorney Chris Kavanaugh, along with Assistant U.S. Attorneys and staff from the Abingdon, Charlottesville, and Roanoke branches of the United States Attorney’s Office, will attend community events in areas throughout the Western District, including Charlottesville, Harrisonburg, Lynchburg, and Roanoke.

“National Night Out brings communities together, shining a light on the strength of unity while fostering safety, trust, and harmony among citizens, state and local law enforcement, and government agencies,” United States Attorney Kavanaugh said today. “Each and every year, I look forward to spending quality time interacting with the colleagues and neighbors as we all forge an alliance in support of a safer Virginia.”

Established in 1984 with funding from the Bureau of Justice Assistance of the U.S. Department of Justice and administered by the National Association of Town Watch, a nationwide non-profit organization, National Night Out is an annual community-building campaign that promotes partnerships and camaraderie between law enforcement and the communities they serve to make our neighborhoods safer places to live. Millions of people take part in National Night Out across thousands of communities throughout the country on the first Tuesday of August, thus sending a message that neighbors are united and working together to keep their communities and each other safe.

Coordinated by local law enforcement and trained volunteers, National Night Out provides a great opportunity to bring police and neighbors together under positive circumstances. Neighborhoods host block parties, cookouts, festivals, parades, safety demonstrations, seminars, youth events, visits from emergency personnel, and much more.

For more information, visit https://natw.org/.

ROANOKE, Va. – A former mortgage broker, who, seeking a “recession proof” business model, decided to purchase pain clinics throughout the Western District of Virginia including Lynchburg, Madison Heights, Blacksburg, Christiansburg, and Woodlawn, pled guilty this week to a federal drug and health care fraud conspiracy.

John Gregory Barnes, 57,  of South Carolina, waived his right to be indicted and pled guilty this week to a one-count Information charging him with conspiring to knowingly using, in the course of dispensing and distributing a controlled substance, registration numbers issued to others; distributing and dispensing buprenorphine not for a legitimate medical purpose; and knowingly executing and attempting to execute a scheme to defraud health care benefit programs.

In addition to his personal plea of guilty, L5 Medical Holdings, the business entity controlled by Barnes, pled guilty this week to the same charge encompassing the same conspiracies, as well as a conspiracy to distribute and dispense fentanyl, oxycodone, hydrocodone, and morphine not for a legitimate medical purpose. L5 and Barnes jointly agreed to pay almost $4 million in restitution to Medicare and Virginia Medicaid and to forfeit $250,000 to the United States.

“The conduct here is beyond the pale. We have a record-high number of Virginians fighting opioid addiction while this defendant intentionally prioritized profit over genuine patient care,” United States Attorney Christopher R. Kavanaugh said today. “I am grateful to those who investigated this matter and brought this case to justice, and we will continue to leverage federal charges against those who commit such brazen crimes.”

“Our fight against addiction and the opioid epidemic isn’t just with the drugs or major pharmaceutical companies, but also with the individuals who take advantage of addiction, of others’ pain, for their personal gain. Monetizing addiction is immoral and illegal,” said Attorney General Miyares. “I’m proud of my office and our federal partners for working together to deliver justice.”

“Our investigation into Barnes’ illegal business activities of highly addictive pain medication at the height of the opioid epidemic emphasizes his criminal indifference to human life,” said Special Agent in Charge Jared Forget of the Drug Enforcement Administration’s Washington Division. “Today’s guilty plea highlights our commitment to the tireless work of investigating the diversion of controlled substances and prosecuting those responsible for fueling opioid addiction and deadly poisonings in our area – saving lives in our communities.”

According to court documents, in 2014, despite having no medical training, Barnes bought a medical practice through his company, L5 Medical Holdings. L5 operated pain management clinics, which involved the prescribing of prescription opioids and opioid addiction treatment medications, including Suboxone.

Barnes, who previously worked in the mortgage industry, concluded that pain management was a “recession proof” Industry. In addition, he conducted a feasibility study that identified Lynchburg, Virginia, as a prime location for a pain management clinic.

After Barnes began operating his pain clinics, those clinics became more focused on prescribing Suboxone and opioids and less focused on interventional treatments. Barnes and L5 operated the clinics in a manner that prioritized revenue maximization over patient care. Providers were encouraged to limit patient visits to 15 minutes and to see as many as 30 patients per day.

In addition, at the direction of Barnes, medical providers with L5 followed the opinion of non-medical professionals in making medical decisions, including whether a patient should be treated for opioid addiction or for pain management, whether a patient should receive a prescription, and what type of drug should be prescribed.

Patient interactions with non-medical professionals were billed to Virginia Medicaid and Medicare improperly.

L5 also implemented a urine drug screening policy principally based on insurance reimbursements rather than patient care. In particular, Barnes and L5 specifically refused to implement a random drug screening policy in order to avoid losing the revenue that resulted from billing Medicare and  Virginia Medicaid for as many drug tests as those insurance policies would pay for.

At sentencing, Barnes faces a maximum statutory penalty of up to five years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The Drug Enforcement Administration, the U.S. Department of Health and Human Services – Office of the Inspector General, the Virginia State Police, and the Virginia Attorney General’s Office - Medicaid Fraud Control Unit investigated the case.

Assistant U.S. Attorneys S. Cagle Juhan, Jason Scheff, and Special Assistant United States Attorney Janine M. Myatt, Assistant Attorney General with the Virginia Attorney General’s Office, are prosecuting the case.

LYNCHBURG, Va. – A Salem, Virginia man who was involved in a shootout in Lynchburg during a methamphetamine deal in November 2021, was sentenced in U.S. District Court to 20 years in federal prison.

Jeriwon Lee Taylor, 42, pled guilty in May 2023 to one count of distributing 50 grams or more of methamphetamine and one count of discharging and possessing a firearm in furtherance of a drug trafficking crime.

“The United States Attorney’s Office is proud to partner with ATF and the Lynchburg Police Department to hold accountable those individuals who commit violent crimes in our communities,” United States Attorney Christopher R. Kavanaugh said today. “This case is emblematic of the relationship between the illegal drug trade and violent crime – a pattern we are seeing throughout the Western District of Virginia – and one we are working to stop.”

“It is clear that drug traffickers have no respect for human lives and conduct criminal business in the open public, disregarding the damage they can cause to human life or property.  Thanks to the combined efforts of our local law enforcement partners, subsequent search warrants were executed at locations associated with Taylor’s Drug Trafficking Organization that resulted in the seizure of fentanyl, heroin, fake pills, methamphetamine and the retrieval of the firearm used in the shooting.   We will continue our efforts aimed at disrupting and stopping these illegal endeavors,” said Jarod Forget, Special Agent in Charge of the DEA’s Washington Division.

“We are grateful for the assistance of our federal and state law enforcement partners in investigating and prosecuting this case to ensure those who endanger our community are held fully accountable for their actions. This incident could have easily taken an innocent person’s life. Our partnerships with our community and other law enforcement agencies are critical to a safer Lynchburg,” said Lynchburg Police Chief Ryan Zuidema.

“When we as law enforcement professionals collaborate effectively, our communities see tangible results such as this,” ATF Washington Field Division Acting Special Agent in Charge Michael Weddel said. “We will continue to work alongside our partners to disrupt the illegal possession of firearms, distribution of narcotics and other acts of violence that negatively impact public safety.”

According to court documents, on November 21, 2021, Taylor arranged to meet an individual in a Walmart parking lot in Lynchburg, Virginia to sell methamphetamine. When the buyer, Kendall Simonton arrived, he got into Taylor’s vehicle, pointed a gun at Taylor’s face and took the drugs from him.

After the robbery, Simonton left Taylor’s vehicle and began walking away. However, Taylor also got out of his vehicle with a firearm, and the two men began shooting at each other. Both Taylor and Simonton fired multiple shots at each other, ducking behind various cars in the parking lot. Eventually, Simonton ran out of the parking lot and Taylor drove away.

The Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Lynchburg Police Department, with assistance from the Virginia State Police, investigated the case.

Assistant U.S. Attorney Jonathan Jones and Special Assistant United States Attorney J. Parker Gochenour, an Assistant Attorney General with the Virginia Attorney General’s Major Crimes and Emerging Threats Section prosecuted the case.

ROANOKE, Va. – A Danville man, who sold a fatal dose of fentanyl in October 2019, has been sentenced to 12 years in federal prison.

Chauncey Lamont Montague, 49, pleaded guilty in March 2023 to distribution of fentanyl.  

According to court documents, on October 23, 2019, A.R., a regular user of opiates, wanted to purchase $20 of heroin from Montague. After being unable to reach Montague by phone, A.R. began walking towards Montague’s home.  During the walk, A.R. met up with a close family member who agreed to take her money the rest of the way to Montague’s home and purchase the drugs for her.

After making the drug transaction with Montague, the family member delivered the heroin to A.R. who then used the drugs and was found dead a short time later.  It was determined that she died from a fentanyl overdose.

The following morning, Danville Police executed a search warrant on Montague’s residence and an additional 8.2 grams of fentanyl was discovered in the pocket of a jacket in his bedroom.

United States Attorney Christopher R. Kavanaugh, Special Agent in Charge Craig B. Kailimai of the Washington Division of the Bureau of  Alcohol, Tobacco, Firearms and Explosives, and Special Agent in Charge of the Drug Enforcement Administration Jared Forget made the announcement.

The Bureau of Alcohol, Tobacco Firearms and Explosives, the Drug Enforcement Administration, and the Danville Police Department investigated the case.

Assistant U.S. Attorney Andrew Bassford prosecuted the case.

ABINGDON, Va. – A North Tazewell man, who possessed seven firearms, over 100 rounds of ammunition, an explosive detonator and a destructive device, was sentenced this week to 57 months in federal prison.

Timothy Wader Mitchell Jr., 45, pleaded guilty in August 2022 to one count of possession of a firearm by a convicted felon and one count of possession of an explosive device by a convicted felon.

According to court documents, on May 22, 2022, law enforcement responded to the Mitchell residence in North Tazewell, Virginia to serve an outstanding warrant on Sandra Mitchell, Timothy Mitchell’s wife. While at the residence, deputies observed a methamphetamine pipe and several other drug paraphernalia items.

After obtaining a search warrant for the residence, deputies discovered a small quantity of methamphetamine, seven firearms, consisting of five long guns and two handguns, over 100 rounds of ammunition, an electric blasting cap, a fuse, and a destructive device categorized by experts as an explosive bomb.

United States Attorney Christopher R. Kavanaugh and Special Agent in Charge Craig B. Kailimai of the Washington Division of the Bureau of  Alcohol, Tobacco, Firearms and Explosives made the announcement.

The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Virginia State Police, and the Tazewell County Sheriff’s Office investigated the case.

Assistant U.S. Attorney Lena Busscher prosecuted the case.

ROANOKE, Va. – A Covington, Virginia, man was sentenced yesterday to nine years in federal prison for using the peer-to-peer filesharing software Freenet to download images and videos of child sex abuse.

Jerald Gray, 51, pleaded guilty in December 2022 to one count of knowingly possessing one or more matters containing visual depictions of minors engaging in sexually explicit conduct, including prepubescent minors and minors who had not attained 12 years of age.

According to court documents, in July 2021, Gray began downloading child sex abuse videos depicting prepubescent girls, some under the age of 12, engaged in sexually explicit conduct.

Based on information obtained through the course of their investigation, agents with the Federal Bureau of Investigation obtained and executed a search warrant at Gray’s residence on December 8, 2021, and seized his computer and cell phone, among other items. Analysis of his computer revealed at least 65 movie or image files that contained child sex abuse material. In addition, Gray’s cellphone contained at least 11 images that depicted child sexual abuse material.

United States Attorney Christopher R. Kavanaugh and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division, made the announcement.

The FBI investigated the case and Assistant U.S. Attorneys Matthew Miller, Rachel Barish Swartz, and Jason Scheff prosecuted the case.

LYNCHBURG, Va. – A Forest, Virginia man, who falsely obtained a $25,000 Paycheck Protection Program (PPP) loan in 2021, pleaded guilty last week in federal court to wire fraud.

Emmett Rudell Staton waived his right to be indicted and pleaded guilty to a one-count Information charging him with wire fraud. At sentencing, Staton faces up to twenty years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The Paycheck Protection Program (PPP) was a COVID-19 pandemic relief program administered by the Small Business Administration (SBA) that provided forgivable loans to small businesses for job retention and certain other expenses.

According to court documents, on January 21, 2021, Staton submitted an application for a $25,000 loan through the PPP for a lawncare business he purported to own. On the application, Staton falsely certified that the business had not permanently closed when in actuality he had never operated such a business. In his application, Staton also falsely claimed the business had four employees and an average monthly payroll of $10,000. Although he stated that the loan would be used only for authorized purposes, Staton instead used the loan proceeds for personal expenses, including significant online gambling expenditures.

In addition, Staton caused a second PPP loan application to be submitted in January 2021 using the name of another individual who was purported to be the owner of a daycare business. The application sought $14,000 in PPP funds to cover its three employees and average monthly payroll of $5,600 when, in fact, no such daycare business existed.

United States Attorney Christopher R. Kavanaugh and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division, made the announcement.

The FBI investigated the case, and the Office of the United States Bankruptcy Trustee referred the case to the United States Attorney’s Office for prosecution.

Assistant U.S. Attorney Michael Baudinet is prosecuting the case

ABINGDON, Va. – Health Connect America, (HCA) headquartered in Franklin, Tennessee with locations in Big Stone Gap and Culpeper, Virginia, has agreed to pay $4,611,375 to resolve allegations that it billed Virginia Medicaid for services not provided. As part of the resolution, HCA further agreed to be subject to a period of 5 years of increased compliance and oversight, during which any failure to comply with its obligations may result in criminal prosecution and contempt of court proceedings that could result in additional monetary sanctions and injunctive relief.

The allegations involved HCA billing Medicaid improperly for three separate behavioral health services available to children who qualify. Therapeutic Day Treatment is a school-based program designed to assist children with various mental health diagnoses who need support during the school day.  HCA billed Virginia Medicaid for providing services to students who were absent from school, and when school was not open due to holiday or weather closures.

Intensive In-Home Services is a home-based program designed to help children who have various mental health diagnoses and are at risk of being removed from their home.  HCA billed Virginia Medicaid for intensive in-home services provided by an employee who was having a sexual relationship with a juvenile patient in Orange County, Virginia. That employee has since been prosecuted by state authorities and is serving a 10-year sentence.

Behavioral Therapy Services is a specialized mental health service for children with various mental health diagnoses, including autism, and includes Applied Behavioral Analysis.  Behavioral Therapy Services and Applied Behavioral Analysis must be provided by specifically-trained mental health professionals.  HCA billed for Behavioral Health Services that were provided by individuals who were not properly trained or credentialed in Southwest Virginia, and used the name and National Provider Identifier (NPI) number of a properly-trained and credentialed mental health professional located in Northern Virginia who had never seen clients in Southwest Virginia. 

“Ensuring that healthcare providers accurately bill programs such as Medicaid and Medicare are one of the cornerstone functions of law enforcement,” United States Attorney Christopher R. Kavanaugh said today. “When providers fail in that mission, we must hold them accountable. I am grateful to all those who worked on this matter and brought it to a just conclusion.”

“Health Connect America tried to charge Virginia Medicaid for child behavioral health services they never performed. I'm proud of the collaboration between my office and our federal partners in reaching an agreement and bringing justice,” said Virginia Attorney General Jason Miyares.

“Health care providers have a responsibility to submit accurate and honest claims to federal health care programs to ensure that these resources are available for eligible patients,” said Maureen Dixon, Special Agent in Charge at the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “HHS-OIG is committed to safeguarding valuable taxpayer dollars and protecting the integrity of the Medicaid program.”

 The agreement resolves HCA’s potential criminal liability based on the investigation. As part of the resolution, HCA has committed  to various compliance measures, including, but not limited to, increased compliance and audit requirements, unannounced audits, and enhanced reporting requirements if and when there are incidents of theft, fraud, abuse, or neglect

The resolutions obtained in this matter were the result of a coordinated effort among the United States Attorney’s Office for the Western District of Virginia, the Virginia Attorney General’s Office Medicaid Fraud Control Unit, and the United States Department of Health and Human Services-Office of the Inspector General.

Special Assistant United States Attorney Janine M. Myatt, Assistant Attorney General with the Virginia Attorney General’s Office, and Assistant U.S. Attorney Randy Ramseyer represented the government in this matter.

CHARLOTTESVILLE, Va. – An indictment was unsealed today charging the Sheriff of Culpeper County, Virginia, and three other Virginia men with a conspiracy to exchange bribes for law enforcement badges and credentials, federal programs bribery, and honest services fraud.

According to the indictment, from at least April 2019, Culpeper County Sheriff Scott Howard Jenkins, 51, accepted cash bribes and bribes in the form of campaign contributions totaling at least $72,500 from Rick Tariq Rahim, 55, of Great Falls, Virginia, Fredric Gumbinner, 64, of Fairfax, Virginia, James Metcalf, 60, of Manassas, Virginia, and at least five others, including two FBI undercover agents.  In return, Jenkins appointed each of the bribe payors as auxiliary deputy sheriffs, a sworn law-enforcement position, and issued them Culpeper County Sheriff’s Office badges and identification cards.  Jenkins told or caused others to tell the bribe payors that those law-enforcement credentials authorized them to carry concealed firearms in all fifty states without obtaining a permit.  In addition, Jenkins assisted Rahim in gaining approval for a petition to restore his firearms rights filed in Culpeper County Circuit Court that falsely stated that Rahim resided in Culpeper County.

“Scott Jenkins not only violated federal law but also violated the faith and trust placed in him by the citizens of Culpeper County by accepting cash bribes in exchange for auxiliary deputy badges and other benefits,” United States Attorney Christopher R. Kavanaugh said today. “Our elected officials are expected to uphold the rule of law, not abuse their power for their own personal, financial gain.”

"As law enforcement officers, we are sworn to protect and serve our communities. We do that by upholding the law - equally, and not abusing the powers that are entrusted to us,” Special Agent in Charge Stanley M. Meador of the FBI’s Richmond Division said today. “With today's announcement, FBI Richmond re-enforces our commitment - to the community - of ensuring abuses of public trust will not be tolerated and those responsible will be held accountable.”

Jenkins is charged with one count of conspiracy, four counts of honest-services mail and wire fraud, and eight counts of federal programs bribery.  Rahim is charged with one count of conspiracy, three counts of honest-services mail and wire fraud, and three counts of federal programs bribery.  Gumbinner is charged with one count of conspiracy, one count of honest-services wire fraud, and two counts of federal programs bribery.  Metcalf is charged with one count of conspiracy, one count of honest-services wire fraud, and two counts of federal programs bribery. 

If convicted, each defendant faces up to 5 years in prison on the conspiracy count, up to 20 years in prison on each of the honest-services mail and wire fraud counts, and up to 10 years in prison on each of the federal programs bribery counts. A federal district court judge will determine any sentence for all four defendants after considering the U.S. Sentencing Guidelines and other statutory factors.

The defendants are scheduled to make their initial court appearances today in U.S. District Court for the Western District of Virginia. 

The FBI’s Richmond Field Office, Charlottesville Resident Agency is investigating the case.  Trial Attorney Celia Choy of the Justice Department’s Public Integrity Section and Assistant U.S. Attorneys Heather Carlton and Melanie Smith of the Western District of Virginia are prosecuting the case.

An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

An indictment was unsealed today in the Western District of Virginia charging the Sheriff of Culpeper County, Virginia, and three Virginia men with a conspiracy to exchange bribes for law enforcement badges and credentials.

According to court documents, from at least April 2019, Culpeper County Sheriff Scott Howard Jenkins, 51, of Culpeper, accepted cash bribes and bribes in the form of campaign contributions totaling at least $72,500 from Rick Tariq Rahim, 55, of Great Falls; Fredric Gumbinner, 64, of Fairfax; James Metcalf, 60, of Manassas; and at least five others, including two FBI undercover agents. In return, Jenkins appointed each of the bribe payors as auxiliary deputy sheriffs, a sworn law-enforcement position, and issued them Culpeper County Sheriff’s Office badges and identification cards. Jenkins told or caused others to tell the bribe payors that those law-enforcement credentials authorized them to carry concealed firearms in all 50 states without obtaining a permit. In addition, Jenkins assisted Rahim in gaining approval for a petition to restore his firearms rights filed in Culpeper County Circuit Court that falsely stated that Rahim resided in Culpeper County.

Jenkins is charged with one count of conspiracy, four counts of honest-services mail and wire fraud, and eight counts of federal programs bribery. Rahim is charged with one count of conspiracy, three counts of honest-services mail and wire fraud, and three counts of federal programs bribery. Gumbinner is charged with one count of conspiracy, one count of honest-services wire fraud, and two counts of federal programs bribery. Metcalf is charged with one count of conspiracy, one count of honest-services wire fraud, and two counts of federal programs bribery. 

If convicted, each defendant faces a maximum penalty of five years in prison on the conspiracy count, a maximum penalty of 20 years in prison on each of the honest-services mail and wire fraud counts, and a maximum penalty of 10 years in prison on each of the federal programs bribery counts. The defendants are scheduled to make their initial court appearances today in the Western District of Virginia.  

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Christopher Kavanaugh for the Western District of Virginia, and Special Agent in Charge Stanley M. Meador of the FBI Richmond Field Office made the announcement.

The FBI Richmond Field Office, Charlottesville Resident Agency is investigating the case. 

Trial Attorney Celia Choy of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorneys Heather Carlton and Melanie Smith for the Western District of Virginia are prosecuting the case.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

ABINGDON, Va. – Midwest Veterinary Supply (Midwest), a Minnesota-based company that supplies prescription drugs for animals to veterinarians, farms, feedlots, and other businesses, was sentenced today to one year of probation for introducing misbranded drugs into interstate commerce. In addition, Midwest Veterinary Supply agreed to pay over $ 11 million in criminal fines and forfeiture.

“This case is an example of how seriously the United States Attorney’s Office takes the distribution of misbranded prescription drugs, whether for human or animal consumption,” United States Attorney Christopher R. Kavanaugh said today. “The law is designed to ensure that prescription drugs are kept within a controlled chain of distribution to prevent diversion and inappropriate use, and companies must be held accountable when they go outside of that chain.  I am grateful for the work of the FDA and Virginia State Police in bringing justice in this case and their continued work keeping our prescription drug programs here in Virginia safe for all.”

“The FDA recognizes the importance of controlling the prescription drug supply for animals. The careless or uncontrolled distribution of prescription animal drugs poses a danger not only to the medicated animals but to the U.S. public health by increasing the risk that humans will become resistant to antibiotics that we unknowingly consume through our food supply.” said Special Agent in Charge George A. Scavdis, FDA Office of Criminal Investigations Metro Washington Field Office.  “We will continue to pursue and bring to justice those who distribute prescription animal drugs unlawfully.”

According to court documents, from 2011-2021, Midwest charged and shipped over $10 million in prescription drugs from their non-pharmacy locations throughout the United States to end-users that were not authorized to receive prescription drugs. Shipments from non-pharmacy locations to non-authorized end-users or locations are deemed “misbranded.”

Midwest will forfeit $10,150,014, pay $1,000,000 to the Virginia Department of Health Professions, and pay $500,000 in fines.

The U.S. Food and Drug Administration – Office of Criminal Investigations and the Virginia State Police investigated the case, with the assistance of the Virginia Department of Health Professions.

Assistant U.S. Attorney Randy Ramseyer prosecuted the case.

ROANOKE, Va. – A Maryland man who sold seven silencers and 800 counterfeit prescription pills to undercover officers with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), was sentenced yesterday to 72 months in federal prison.

Milford Thomas Washington, 57, pleaded guilty in January 2023 to transporting an unregistered silencer in interstate commerce.

“The silencers involved in this case are specifically designed to mask violent, criminal behavior, and pose a direct threat to public safety,” United States Attorney Christopher R. Kavanaugh said today. “I am thankful to ATF and our local and state partners who worked on this matter for keeping these dangerous items off our streets.”

“The illegal possession of handgun diversion devices and distribution of deadly narcotics are significant threats to our community and remain a top priority for ATF. The leverage of our resources and valuable assets were instrumental throughout this investigation. Thanks to the hard work and dedication of the men and women of ATF and our valued law enforcement partners; we were able to remove another violent criminal from our streets,” said Special Agent in Charge Craig Kailimai “We will continue to do our part in combating violent crime through intelligence led strategies.”

According to court documents, between July 2021 and February 2022, Washington sold at least seven silencers to undercover ATF agents. At the time of his arrest in April 2022, Washington was prepared to illegally ship an additional 13 silencers.

The National Firearms Act, in part, makes it unlawful to possess and transfer certain firearms, including silencers, without proper registration. Washington, however, was also prohibited from engaging in the sale of silencers because he had previously been convicted of a felony.

In addition to trafficking silencers, in 2022, Washington sold approximately 800 counterfeit Percocet pills to the ATF. An analysis of some of these pills, which are designed to look like authentic prescription drugs, revealed the presence of fentanyl.

The ATF, with the assistance of the Federal Bureau of Investigation and United States Postal Inspection Service, investigated the case. The Montgomery County (Maryland) Police Department also contributed to the investigation.

Assistant U.S. Attorney Coleman Adams prosecuted the case. During the investigation, he received assistance and support from the United States Attorney’s Office for the District of Maryland.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

ABINGDON, Va. – The former owner of a chain of buprenorphine clinics, with locations in Southwest Virginia and Northeast Tennessee, was sentenced today in U.S. District Court in Abingdon on three drug charges.

Dr. Ralph Thomas Reach, 63, of Bristol, Virginia, pleaded guilty in March 2023 to three counts of causing drugs to be misbranded while held for sale after shipment in interstate commerce by inducing various quantities of prescription drugs Subutex (Schedule III), Suboxone (Schedule III), clonazepam (Schedule IV controlled substance) and gabapentin to be dispensed without valid prescriptions by the actions of health care providers at Watauga Recovery Centers.

“Opioid poisoning continues to be a leading cause of death for Virginians of all ages, despite the continued efforts of law enforcement and community groups to warn of the adverse effects of misuse,” United States Attorney Christopher R. Kavanaugh said today. “When doctors add to this mounting problem by overprescribing these powerful drugs, they must be held accountable, and we will continue to do exactly that.”

“Virginians have suffered at the hands of pharmaceutical corporations and greedy doctors by overprescribing opioids - treating our population  like a science experiment. Now, corrupt health care providers are manipulating the sale of drugs designed for opioids abuse recovery. Enough is enough. I'm proud of the role we’re playing in holding accountable bad actors who abuse the system and illegally prioritize profit over recovery,” Attorney General Jason Miyares said today

“Buprenorphine, when properly prescribed, is an important tool in battling the opioid crisis. Medical professionals who abuse their access to and power to prescribe these drugs put profits over patients,” said  Special Agent in Charge George A. Scavdis, FDA Office of Criminal Investigations Metro Washington Field Office.  “Our office will continue to pursue and bring to justice those involved in the illegal prescribing and distribution of these drugs.”

Reach, a physician, was the primary owner of Watauga Recovery Centers which operated substance abuse treatment clinics in Virginia and Tennessee. At his clinics, Reach and other medical providers wrote prescriptions for buprenorphine (including Suboxone and Subutex), clonazepam, gabapentin, and other drugs.  The prescriptions at issue were not valid because they were dispensed without a legitimate medical purpose and beyond the bounds of professional practice.

Senior United States District Judge James P. Jones sentenced Reach to imprisonment for a term of six months to be followed by 18 months of home detention. Upon release from prison, Reach will serve a five year term of probation. In addition, he was ordered to forfeit $50,000 and pay a fine of $100,000.

The U.S. Food and Drug Administration, the Department of Health and Human Services—Office of Inspector General, the Drug Enforcement Administration, the Virginia State Police, the Virginia Office of the Attorney General—Medicaid Fraud Control Unit, and the Tennessee Bureau of Investigation investigated the case.

Reach’s conviction and sentencing was the result of an investigation that previously led to convictions of:

1. Matthew Sykes (former Watauga Recovery Centers employee);
2. John Paul Linke (former Watauga Recovery Centers employee);
3. Michael Dube (owner of screening laboratory used by Watauga Recovery Centers);
4. Regan Dube (registered agent of screening laboratory used by Watauga Recovery Centers);
5. Michael Olshavsky (sales representative of a Florida confirmation laboratory used by Watauga Recovery Centers); and
6. Rakesh Kothuru (owner of a Las Vegas confirmation laboratory).

Over $9.9 million dollars in fines, forfeitures and restitution were ordered as a result of these convictions.

Special Assistant U.S. Attorney and Virginia Assistant Attorney General Janine M. Myatt and Assistant U.S. Attorneys Whit Pierce and Randy Ramseyer prosecuted Reach and the related cases.

ROANOKE, Va. – A pair of Roanoke men involved in a fatal shooting at an Eastern Avenue drug house in the City of Roanoke were sentenced yesterday in federal court for their roles in the shootings and related drug trafficking activities.

Aaron Lee Woods, 28, was sentenced yesterday to more than 20 years in federal prison. Chad Matthew Custer, 23, was also sentenced yesterday to 16 years’ incarceration. Both men previously pleaded guilty to one count each of possession with intent to distribute and distribution of 100 kilograms or more of marijuana as well as one count of discharging a firearm in furtherance of a drug trafficking crime.

A third man, Darion Mantez Harvey was sentenced to 26 years in federal prison in May 2022 for related conduct.

According to court documents, in October 2018, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began investigating a drug trafficking organization involving Woods, Custer, and  Harvey.

During the course of the investigation, authorities learned that Woods, Harvey, Custer, and other co-conspirators used Woods’ apartment on Eastern Avenue as the primary site for their large-scale  distribution of marijuana in the Roanoke Valley from late 2017 through approximately August 2019.  Witnesses told police that customers would stream in and out of the apartment at all hours of the day and night buying marijuana from the defendants, who kept their loaded firearms in plain view. 

In the early evening hours of July 10, 2018, a car containing five individuals arrived at the Eastern Avenue apartment where a gun battle broke out with Harvey, Woods, and Custer on one side and the newly-arrived individuals on the other. While four of the individuals fled on foot, a fifth individual was in a vehicle driving away from the scene when a bullet struck him in the back of the head and killed him.  

Investigators recovered multiple firearms used by Woods, Harvey, and Custer during the shootout, including high-powered, military-style rifles with laser sights as well as multiple handguns and ammunition.

United States Attorney Christopher R. Kavanaugh, Special Agent in Charge Craig B. Kailimai of the Washington Division and Roanoke Police Chief Sam Roman made the announcement today.

The Bureau of Alcohol, Tobacco, Firearms and Explosives and the City of Roanoke Police Department investigated the case, with assistance from the Drug Enforcement Administration.

Assistant U.S. Attorneys Charlene R. Day, and Matthew M. Miller prosecuted the case for the United States.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

CHARLOTTESVILLE, Va. – A Culpeper, Virginia woman, who went online in an attempt to hire a hitman using bitcoin, pleaded guilty yesterday in federal court.

Annie Nicole Ritenour, 27, pleaded guilty yesterday to one count of using interstate commerce facilities in the commission of a murder-for-hire.

According to court documents, in 2021 Ritenour accessed a website on the dark web whose advertisements boasted the ability to “kill any person you want as long as it is not a president or very important person that is guarded by the military.”

On June 26, 2021, Ritenour set-up an account with the website and placed an “order” for murder-for-hire services. The order was titled, “shoot and get away.” With her order, Ritenour included a picture of the intended victim, his workplace address, and his work hours. She also included the following instructions:

I am just looking for a simple quick job. The address of the person will be best place to make the target, as it is his workplace. He works 6am to 3 pm Monday through Friday….

Ritenour also included a description of the victim’s vehicle and license plate number. After placing the order, Ritenour made three separate payments via Bitcoin to the website’s “escrow account” totaling $3,200. She was arrested before the balance of payment could be made.

At sentencing, Ritenour faces 36 to 87 months in prison.

United States Attorney Christopher R. Kavanaugh and Stanley M. Meador, Special Agent in Charge of the FBI Richmond Division, made the announcement.

The Federal Bureau of Investigation is investigating the case.

Assistant U.S. Attorney Ronald M. Huber is prosecuting the case for the United States.

WASHINGTON – The Justice Department today announced the filing of a civil action against James C. Justice III and 13 coal companies he owns or operates seeking to collect unpaid civil penalties previously assessed by the Department of the Interior (DOI) Office of Surface Mining Reclamation and Enforcement (OSMRE), as well as Abandoned Mine Land (AML) reclamation fee and audit debts.

“Our environmental laws serve to protect communities against adverse effects of industrial activities including surface coal mining operations,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “Through this suit, the Justice Department seeks to deliver accountability for defendants’ repeated violations of the law and to recover the penalties they owe as a result of those violations.”

“Over a five-year period, defendants engaged in over 130 violations of federal law, thereby posing health and safety risks to the public and the environment,” said U.S. Attorney Christopher R. Kavanaugh for the Western District of Virginia. “After given notice, they then failed to remedy those violations and were ordered over 50 times to cease mining activities until their violations were abated. Today, the filing of this complaint continues the process of holding defendants accountable for jeopardizing the health and safety of the public and our environment.”

Pursuant to the Surface Mining Control and Reclamation Act (SMCRA), when a permittee violates SMCRA or their applicable permit, OSMRE issues a notice of violation (NOV) for non-imminently dangerous violations. The NOV sets a deadline for abating the violation. If the permittee fails to abate the violation by the NOV’s deadline, OSMRE issues a cessation order to halt mining until the violation is abated. If the permittee still fails to abate the violation within 30 days of the cessation order, OSMRE can take certain actions, including assessing civil penalties. If the violation creates an imminent danger to the health or safety of the public, OSMRE issues a second type of cessation order, called an Imminent Harm Cessation Order (IHCO), in lieu of an NOV, which requires cessation of active mining until the violation is abated. Separately, a director, officer or agent of a corporate permittee can be subject to individual civil penalties for willfully and knowingly authorizing, ordering or carrying out a permit violation or failure to comply with certain OSMRE orders.

From 2018 to 2022, OSMRE cited the defendants for over 130 violations and issued the companies over 50 cessation orders. The underlying violations pose health and safety risks or threaten environmental harm. In addition, defendants failed to pay required AML fees, which fund the reclamation of coal mining sites abandoned or left in an inadequate reclamation status. According to today’s filing, the total amount of the penalties and AML fees, plus interest, penalties and administrative expenses, owed by the defendants is approximately $7.6 million.  

Assistant U.S. Attorney Krista Consiglio Frith for the Western District of Virginia and Trial Attorneys Sally J. Sullivan and Clare Boronow of the Environment and Natural Resources Division are handling this matter.

The Justice Department today announced the filing of a civil action against James C. Justice III and 13 coal companies he owns or operates seeking to collect unpaid civil penalties previously assessed by the Department of the Interior (DOI) Office of Surface Mining Reclamation and Enforcement (OSMRE), as well as Abandoned Mine Land (AML) reclamation fee and audit debts.

“Our environmental laws serve to protect communities against adverse effects of industrial activities including surface coal mining operations,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “Through this suit, the Justice Department seeks to deliver accountability for defendants’ repeated violations of the law and to recover the penalties they owe as a result of those violations.”

“Over a five-year period, defendants engaged in over 130 violations of federal law, thereby posing health and safety risks to the public and the environment,” said U.S. Attorney Christopher R. Kavanaugh for the Western District of Virginia. “After given notice, they then failed to remedy those violations and were ordered over 50 times to cease mining activities until their violations were abated. Today, the filing of this complaint continues the process of holding defendants accountable for jeopardizing the health and safety of the public and our environment.”

Pursuant to the Surface Mining Control and Reclamation Act (SMCRA), when a permittee violates SMCRA or their applicable permit, OSMRE issues a notice of violation (NOV) for non-imminently dangerous violations. The NOV sets a deadline for abating the violation. If the permittee fails to abate the violation by the NOV’s deadline, OSMRE issues a cessation order to halt mining until the violation is abated. If the permittee still fails to abate the violation within 30 days of the cessation order, OSMRE can take certain actions, including assessing civil penalties. If the violation creates an imminent danger to the health or safety of the public, OSMRE issues a second type of cessation order, called an Imminent Harm Cessation Order (IHCO), in lieu of an NOV, which requires cessation of active mining until the violation is abated. Separately, a director, officer or agent of a corporate permittee can be subject to individual civil penalties for willfully and knowingly authorizing, ordering or carrying out a permit violation or failure to comply with certain OSMRE orders.

From 2018 to 2022, OSMRE cited the defendants for over 130 violations and issued the companies over 50 cessation orders. The underlying violations pose health and safety risks or threaten environmental harm. In addition, defendants failed to pay required AML fees, which fund the reclamation of coal mining sites abandoned or left in an inadequate reclamation status. According to today’s filing, the total amount of the penalties and AML fees, plus interest, penalties and administrative expenses, owed by the defendants is approximately $7.6 million.  

Assistant U.S. Attorney Krista Consiglio Frith for the Western District of Virginia and Trial Attorneys Sally J. Sullivan and Clare Boronow of the Environment and Natural Resources Division are handling this matter.

CHARLOTTESVILLE, Va. – In an indictment unsealed today, a federal grand jury has charged a Charlottesville-based virtual bodybuilding coach with the sexual exploitation of a minor, enticement of a minor, and possession of child pornography.

In an indictment returned May 24 and unsealed today following the defendant’s arrest, the grand jury has charged Elliott Atwell, 33, of Charlottesville, with four counts of the sexual exploitation of a minor, one count of enticing a minor for the purposing of engaging in sexual activity, and one count of possessing child pornography.

According to the indictment, between December 2013 and April 2020, Atwell enticed at least six minors to record themselves engaging in sexually explicit conduct and then send the recordings to him.

The investigation into this matter remains ongoing.  Any individuals who believe they or someone they know may have been victimized by this defendant should contact the FBI at 1-800-CALL-FBI.

United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Stanley M. Meador, Special Agent in Charge of the FBI Richmond Division made the announcement.

The Federal Bureau of Investigation is investigating the case.

Assistant U.S. Attorney Melanie Smith and Trial Attorney Jessica Urban of the Department of Justice’s Child Exploitation and Obscenity Section are prosecuting the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. 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.

An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

A bodybuilding coach was arrested today in Charlottesville, Virginia, for multiple child exploitation offenses. 

According to court documents, between 2013 and April 2020, Elliott Simon Atwell, 33, of Charlottesville, allegedly enticed and coerced at least six minors to engage in sexually explicit conduct in order to produce recordings of the conduct. Atwell also allegedly enticed a minor to engage in criminal sexual activity and possessed images of minors – including prepubescent minors and minors under 12 years of age – who were engaged in sexually explicit conduct. 

Atwell is charged with four counts of sexual exploitation of a minor, one count of enticement of a minor, and one count of possession of child pornography. If convicted, he faces a mandatory minimum sentence of 15 years and up to life in prison.

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Christopher R. Kavanaugh for the Western District of Virginia, and Special Agent in Charge Stanley M. Meador of the FBI Richmond Field Office made the announcement.

The FBI is investigating the case.

Trial Attorney Jessica L. Urban of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Melanie Smith for the Western District of Virginia are prosecuting the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. 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.

Any individuals who believe they or someone they know may have been victimized by Atwell are encouraged to contact the FBI at 1-800-CALL-FBI.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

ROANOKE, Va. – United States Attorney Christopher R. Kavanaugh announced today an initiative to prosecute all prohibited persons who possess a firearm that has been previously used in a crime and logged in the federal National Integrated Ballistic Information Network (NIBIN) database.

NIBIN, maintained by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, is the only national network that allows for the capture and comparison of ballistic evidence from crime scenes across the country. Law enforcement officials then use the potential matches or “leads” that NIBIN generates to identify links between shootings and other firearms-related cases in different jurisdictions. 

In today’s announcement, U.S. Attorney Kavanaugh pledged to prosecute all prohibited persons, including individuals convicted of domestic violence or a felony, who possess a firearm that – after being run through the NIBIN database – comes back as having been associated with another crime, either in the Western District of Virginia or elsewhere.

“Today’s commitment to prosecute individuals possessing firearms used in previous crimes is the third component in my Office’s violent crime reduction strategy,” United States Attorney Kavanaugh said today. “This multi-prong approach – when joined with community engagement and prevention – provides genuine opportunities for solving violent crimes in our communities, as well as preventing them in the first place.”

In 2022, U.S. Attorney Kavanaugh announced the first component of his violent crime reduction strategy when he pledged that the United States Attorney’s Office would prosecute any case referred to his office where a firearm was discharged in connection to a federal offense.

Earlier this year, his Office enacted the second component of their strategy: prioritizing the prosecution of individuals involved in the trafficking and straw-purchasing of firearms.

Since the implementation of this violent crime reduction strategy, federal prosecutions of violent crimes in the Western District of Virginia are projecting a 63% increase over last year, while prosecutions for firearms offenses are projecting an increase of 193%.

ABINGDON, Va. – A Wise County, Virginia man, was sentenced last week to more than 15 years in federal prison for distributing methamphetamine and illegally possessing firearms.

Justine Kyle Elliott, 33, previously pleaded guilty to conspiring to distribute and possess with the intent to distribute 500 grams or more of methamphetamine, possessing with the intent to distribute 50 grams or more of methamphetamine, and possession of a firearm by a convicted felon. Last week he was sentenced to 188 months of federal incarceration.

According to court documents, Elliott’s conviction stems from an August 2021 arrest in Coeburn, Virginia, when police responded to a report that Elliot was asleep at the wheel of a vehicle parked in a bank drive-thru. When officers searched his vehicle, they discovered a large quantity of methamphetamine and several firearms. Elliott later admitted to being involved in the distribution of methamphetamine throughout Southwest Virginia. Elliott trafficked a large quantity of crystal ice methamphetamine and cocaine into Southwest Virginia over a sixteen-month period, including more than 30 kilograms of methamphetamine, some of which was 100% pure.

United States Attorney Christopher R. Kavanaugh, Virginia Attorney General Jason Miyares, and Special Agent in Charge Craig B. Kailimai of the ATF’s Washington Division made the announcement.

The Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Coeburn Police Department  investigated the case.

Special Assistant United States Attorney M. Suzanne Kerney-Quillen, a Senior Assistant Attorney General with the Virginia Attorney General’s Major Crimes and Emerging Threats Section, prosecuted the case for the United States.

Big Stone Gap, Va. – The United States Attorney’s Office for the Western District of Virginia has filed a civil complaint to forfeit a pair of Big Stone Gap homes connected to the November 2021 murder of Big Stone Gap Police Officer Michael Chandler.

In a complaint for forfeiture unsealed last week in U.S. District Court, the United States Attorney’s Office brought a civil action against both 2505 Orr Street and 2512 Orr Street in Big Stone Gap, Virginia, asking the court to forfeit the properties to the custody of the United States on the grounds that they were used to commit or facilitate criminal activities.  Upon filing of the action, United States Attorney Christopher R. Kavanaugh made the following statement:

"On November 13, 2021, Officer Michael Chandler was responding to provide a welfare check on one of these homes at approximately 4:00 AM, where he was shot and killed.  Our criminal investigation into Officer Chandler’s death resulted in federal charges against Michael White for the murder, as well as federal narcotics charges against White and 18 co-conspirators.

Our investigation also revealed that these two homes were hubs for a narcotics conspiracy that funneled narcotics to Southwest Virginia, and the owners knew about it and allowed it to proceed.  In just the 15-month period prior to White’s death, there were approximately 78 calls for service for local police to respond to these two homes, including 911 calls.  The United States Attorney’s will continue to use all the federal laws and tools at our disposal to protect our communities and our citizens."

This investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Virginia State Police, the United States Marshal’s Service, the Wise County Sheriff’s Office, the City of Norton Police Department, the Kingsport Tennessee Police Department, the Big Stone Gap Police Department, the Wise County Commonwealth’s Attorney’s Office, the East Tennessee Drug Task Force, and the Southwest Virginia Drug Task Force, which is comprised of investigators from the Virginia State Police, the Lee County Sheriff’s Office, the Scott County Sheriff’s Office, the Wise County Sheriff’s Office, the City of Norton Police Department, and the Big Stone Gap Police Department.

Assistant U.S. Attorney Lena L. Busscher is prosecuting the criminal case. Assistant United States Attorney Krista Consiglio Frith is handling the civil forfeiture litigation.

ROANOKE, Va. – A Roanoke man, who made an illegal straw purchase of a firearm for a convicted felon, was sentenced this week to 42 months in federal prison.

Garland Thomas Lawton, 25, pleaded guilty in February 2023 to one count of making a false statement to a federal firearms licensee in connection with the acquisition of a firearm.

According to court documents, on May 22, 2020, Lawton purchased a Taurus 9mm pistol from Doomsday Tactical, a federal firearms dealer located in the Western District of Virginia. As part of the purchase, Lawton claimed that he was the intended owner of the firearm, when, in fact, he was actually purchasing the firearm on behalf of Jermaine Drummond, a convicted felon, who paid Lawton $220 in cash to get the pistol.

The firearm was later recovered in Maryland on September 10, 2022, in connection with criminal activity.

United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Michael Weddel, Acting Special Agent in Charge of the Washington Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, announced the sentence today.

The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.

Assistant U.S. Attorney Kristin B. Johnson prosecuted the case for the United States.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

ABINGDON, Va. – A Norton, Virginia woman, who sold pressed pills containing fentanyl purchased via social media platforms, was sentenced yesterday in U.S. District Court in Abingdon to 36 months in federal prison.

Cheyenne Cassie Carico, 20, pleaded guilty in June 2022 to one count of conspiring to distribute and possession with the intent to distribute 40 grams or more of fentanyl.

As part of the same conspiracy, Paul Mason Perkins, 21, of Big Stone Gap, Virginia, was sentenced to 42 months, and Austin Jeremiah Lane, 23, of Norton, Virginia, was sentenced to 36 months earlier this year.

According to court documents, between February 2021 and February 2022, Perkins used the social media platforms Snapchat and Instagram to purchase thousands of pressed pills containing fentanyl every few weeks from a dealer located in California. Perkins had the pills mailed to his residence in Big Stone Gap where he then redistributed the pills to other individuals throughout Wise County, including multiple sales to co-conspirators Lane and Carico.

United States Attorney Christopher R. Kavanaugh, Michael Weddel, Acting Special Agent in Charge of the Washington Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Tommy D. Coke, Inspector in Charge of the U.S. Postal Inspection Service - Atlanta Division made the announcement.

The Wise County Sheriff’s Office, the Norton Police Department, the Southwest Drug Task Force, the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the United States Postal Inspection Service investigated the case.

Assistant U.S. Attorney Lena Busscher prosecuted the case.

ROANOKE, Va.  – A Roanoke-area heroin dealer, whose product contained fentanyl, was sentenced last week to 126 months in federal prison.

Norman Wayne Harrison, 34, pleaded guilty in February 2023 to one count of distributing heroin and one count of distributing 40 grams or more of fentanyl for conduct that occurred in 2020.

According to court documents, on December 1, 2020, Harrison sold a confidential informant 58.74 grams of a mixture and substance containing a detectable amount of fentanyl. On December 18, 2020, using a female companion, Harrison sold 3.622 grams of heroin to a different informant. During their investigation, law enforcement ultimately obtained over 250 combined grams of heroin and fentanyl from Harrison.

As a result of these controlled purchases, law enforcement obtained a search warrant for an apartment in Roanoke that was connected to Harrison. On January 29, 2021, they seized four firearms and approximately $55,000 in U.S. Currency. Law enforcement also seized two vehicles belonging to Harrison that were used to facilitate his drug trafficking.

The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Virginia State Police, and members of the High Intensity Drug Trafficking Area Task Force (HIDTA), including the Roanoke City, Roanoke County, and Salem Police Departments participated in the investigation.  

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

Assistant U.S. Attorney Coleman Adams prosecuted the case.

LYNCHBURG, Va. – A Salem, Virginia man who was involved in a shootout in Lynchburg during a methamphetamine deal in November 2021, pleaded guilty this week in U.S. District Court to a pair of federal charges.

Jeriwon Lee Taylor, 42, pled guilty this week to one count of distributing 50 grams or more of methamphetamine and one count of discharging and possessing a firearm in furtherance of a drug trafficking crime.

“This case is a direct result of the United States Attorney’s Office’s public commitment to prosecute federal crimes involving a discharged firearm.  We will continue to vigilantly enforce our nation’s gun laws to hold accountable those individuals who commit violent acts in our community,” United States Attorney Christopher R. Kavanaugh said today. “I am grateful we have collaborative partnerships with agencies like the Lynchburg Police Department, DEA, and ATF to help us continue this important work in helping make our communities safer.”

“It is clear that drug traffickers have no respect for human lives and conduct criminal business in the open public, disregarding the damage they can cause to human life or property.  Thanks to the combined efforts of our local law enforcement partners, subsequent search warrants were executed at locations associated with Taylor’s Drug Trafficking Organization that resulted in the seizure of fentanyl, heroin, fake pills, methamphetamine and the retrieval of the firearm used in the shooting.   We will continue our efforts aimed at disrupting and stopping these illegal endeavors,” said Jarod Forget, Special Agent in Charge of the DEA’s Washington Division.

“There is no place for this type of behavior in Lynchburg. This case sends a very clear message that the illegal use of firearms and related drug activity will not be tolerated,” Lynchburg Police Chief Ryan Zuidema said today. “We will continue to work with our local, state, and federal law enforcement partners to aggressively investigate and prosecute those responsible for the distribution of illegal narcotics and those who choose to commit violent acts in our community, to the fullest extent of the law.”

“When we as law enforcement professionals collaborate effectively, our communities see tangible results such as this,” ATF Washington Field Division Acting Special Agent in Charge Michael Weddel said. “We will continue to work alongside our partners to disrupt the illegal possession of firearms, distribution of narcotics and other acts of violence that negatively impact public safety.”

According to court documents, on November 21, 2021, Taylor arranged to meet an individual in a Walmart parking lot in Lynchburg, Virginia to sell methamphetamine. When the buyer, Kendall Simonton arrived, he got into Taylor’s vehicle, pointed a gun at Taylor’s face and took the drugs from him.

After the robbery, Simonton left Taylor’s vehicle and began walking away. However, Taylor also got out of his vehicle with a firearm, and the two men began shooting at each other. Both Taylor and Simonton fired multiple shots at each other, ducking behind various cars in the parking lot. Eventually, Simonton ran out of the parking lot and Taylor drove away.

Simonton pled guilty last month to related charges and will be sentenced June 8, 2023.

At sentencing, Taylor faces a minimum sentence of up to 20 years in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Lynchburg Police Department, with assistance from the Virginia State Police, investigated the case.

Assistant U.S. Attorney Jonathan Jones is prosecuting the case.

CHARLOTTESVILLE, Va. – United States Attorney Christopher R. Kavanaugh released a video public service announcement today to news media throughout the Western District of Virginia that urges residents to stay vigilant against cyber fraud, investment schemes, and other forms of online deception.

“Fraudsters are using high-pressure tactics and promises of low or no risk investments in an attempt to steal the hard-earned money of our citizens, especially our seniors,” U.S. Attorney Kavanaugh said today. “The United States Attorney’s Office, along with our law enforcement partners at the federal, state and local levels, are committed to protecting you.”

These scammers often reach out by phone, text message or email, claiming high returns on investments, often in the form of crypto-currency. They are becoming more creative, sophisticated, and aggressive.

“To protect yourself, never send money to anyone you do not know and research who you are investing your hard-earned money with,” U.S. Attorney Kavanaugh added. “If you feel rushed, or if you are told not to discuss the investment opportunity with others, you are being scammed.”

For more information about these scams, or what to do if you feel you have been a victim of a scam, please visit FBI.gov.

In addition to being sent to local media stations, the PSA has also been posted to the Western District of Virginia’s newly-launched YouTube page: https://www.youtube.com/@usao_wdva.

LYNCHBURG, Va. –1st Adult & Pediatrics Healthcare Services, headquartered in Fairfax, Virginia,  has agreed to pay $3,000,000 to resolve allegations that it violated the False Claims Act by engaging in fraudulent billing activities between January 2017 and May 2021 with regards to pediatric in-home health, personal care, and related services.

From 2017 and continuing through May 2021, 1st Adult & Pediatrics billed Virginia Medicaid for reimbursements for in-home health care services for pediatric patients who were actually hospitalized at the time the in-home services were billed. In addition, 1st Adult & Pediatrics routinely billed Virginian Medicaid for home health services that were not actually provided.

“The Medicaid and Medicare systems are important safety nets for many in our communities, especially vulnerable patients, like the seriously ill children involved in this case. We must do our part to keep them free of waste, fraud, and abuse,” Principal Deputy United States Attorney Zachary T. Lee said today. “I am grateful for our partnership with the Virginia Medicaid Fraud Control Unit and the Department of Health and Human Services in resolving this matter.”

“Those who take advantage of Virginians during some of their most vulnerable times must be held accountable. Thanks to the excellent work done by my office and our federal partners, this organization will have to answer for its illegitimate billing methods that exploited hospitalized pediatric patients,” Virginia Attorney General Jason Miyares said today.

“Providers that submit false Medicaid claims disregard their legal requirement to bill for services legitimately and, simultaneously, cheat the program on which their patients greatly rely,” stated Special Agent in Charge Maureen R. Dixon of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “In collaboration with fellow agencies, HHS-OIG is committed to preventing and detecting fraud in taxpayer-funded health care programs.”

The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act against 1st Adult & Pediatrics. Under the qui tam provisions of the False Claims Act, a private party can file an action on behalf of the United States and receive a portion of the settlement if the government takes over the case and reaches a monetary agreement with the defendant.  In this case, the United States and Commonwealth of Virginia intervened in the whistleblower’s case and obtained default prior to settlement.  The case is  captioned U.S. ex rel. Patterson & Williams v. 1st Adult & Pediatrics Healthcare Services, Inc., Civil Action No. 6:19-cv-68.

The resolutions obtained in this matter were the result of a coordinated effort among the United States Attorney’s Office for the Western District of Virginia, the Office of the Virginia Attorney General’s Medicaid Fraud Control Unit, and the Department of Health and Human Services.

Assistant U.S. Attorney Justin Lugar and the Affirmative Civil Enforcement Division investigated the matter.

The claims resolved by the settlement are allegations only and there has been no determination of liability.

HARRISONBURG, Va. – Gerald Leonard Drake, a Winchester, Virginia man and former Civil War reenactor, pleaded guilty yesterday to mailing threatening letters and planting a pipe bomb at the Cedar Creek Battlefield in Middletown, Virginia during a Civil War reenactment event in 2017.  In the mailings sent to victims and two newspapers, Drake purported to be a member of Antifa and threatened harm, including referencing the Unite the Right riots in Charlottesville.

Drake, 63, pleaded guilty yesterday to possession of an unregistered explosive device and stalking.

“Our highest priority at the Department of Justice is to keep our nation safe.  This defendant sought to intimidate and harm innocent people, and further, he tried to sow discontent by falsely claiming that the attempted bombing was politically motivated,” United States Attorney Christopher R. Kavanaugh said today. “I am deeply grateful to the first responders for their work to quickly neutralize the bomb, as well as the special agents of the FBI and the federal prosecutors who – for years – tirelessly worked this case to identify Mr. Drake and bring him to justice.”        

“The mission of the FBI is to protect the American people.  Those who seek to instill fear and cause harm will be investigated and held accountable for their actions.  Mr. Drake's plea is representative of the FBI, state and local law enforcement's cooperative efforts to keep our communities safe.  We implore anyone who may have information about similar crimes or potential threats to contact law enforcement immediately,” said Stanley M. Meador, Special Agent in Charge of the FBI Richmond Division.

According to court documents, Drake belonged to a reenactment unit that participated in the annual reenactment at Cedar Creek Battlefield until he was removed from his unit in 2014.  In later years, Drake volunteered with the Cedar Creek Battlefield Foundation (CCBF), which is a non-profit organization dedicated to the preservation of history related to the Cedar Creek Battlefield and which hosts an annual reenactment attended by merchants, reenactors, and visitors.

On September 23, 2017, a letter was received at the CCBF visitor center addressed to “Cedar Creek Battlefield people.”  The envelope and its letter both bore a printed Antifa symbol depicting a black flag overlayed atop a red flag inside of a circle.  The letter claimed the reenactment event “clearly celebrates the war to keep African-Americans in chains,” and warned the reenactment organizers that if the event was not cancelled, the trouble Antifa would inflict on Cedar Creek Battlefield would make the riots that took place in Charlottesville in August look like “a Sunday picnic.”

On October 14, 2017, the CCBF hosted the planned 153rd anniversary and reenactment of the Battle of Cedar Creek.  During the afternoon hours, as the reenactment of the battle was coming to an end, an unexploded pipe bomb was discovered in one of the merchant tents.  The pipe bomb contained metal nuts, a mercury switch, a battery, ball bearings, black and red wires, powder, and other items. 

Deputies from the Frederick County Sheriff’s Office responded to the scene to investigate and seize the explosive device, which was later rendered safe by Virginia State Police.  Due to its discovery, however, all remaining reenactment activities were cancelled, and individuals were evacuated from the area.

Following this incident, Drake continued writing letters purporting to be sent by Antifa, including letters to the CCBF, its board members, an individual associated with Civil War reenactments, and news publications.  During this same time frame, Drake continued to volunteer with the CCBF.

Drake admitted today that he manufactured the pipe bomb using a metal pipe nipple, metal nuts, a 9-volt battery, black and red wires, and a mercury switch. The bomb contained powder, Pryodez, and BBs. Drake admitted to placing the bomb at Cedar Creek Battlefield to instill fear and cause harm to those attending the reenactment. 

In addition, Drake admitted today to being the author of the threatening letters sent to members of the CCBF and various news agencies between September 2017 and December 2018. Those letters included threats of violence and sexual assault against members of the CCBF and their family.

At sentencing, Drake faces a maximum penalty of up to 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The Federal Bureau of Investigation, the Virginia State Police, Frederick County Sheriff’s Office, and the Middletown Police Department participated in the investigation.

United States Attorney Christopher R. Kavanaugh for the Western District of Virginia and Assistant U.S. Attorneys Katie Burroughs Medearis, Melanie Smith, and Cagle Juhan are prosecuting the case.

HARRISONBURG, Va.  – A Winchester, Virginia man, who sold a fatal dose of fentanyl in October 2020, pleaded guilty yesterday to federal drug charges.

Kenneth James Hughes Jr., 27, pleaded guilty yesterday in U.S. District Court in Harrisonburg to two counts of distribution of fentanyl.

According to court documents, following a fentanyl overdose resulting in the death of the user on October 23 2020, an investigation by law enforcement revealed Hughes and his supplier to be the deceased user’s source of supply. 

Law enforcement’s investigation revealed that Hughes sold drugs to a variety of individuals throughout the Western District of Virginia. In October 2020, one of Hughes’ customers contacted him in regard to acquiring fentanyl in the form of “pressed pills,” namely, fentanyl pills made to appear like Oxycodone 30 mg pills. Hughes contacted his supplier and arranged and facilitated a purchase of two pressed pills  by the customer from his supplier.

The individual who purchased the pressed pills subsequently consumed the drugs and was found unresponsive the following morning at his home in Winchester. It was determined his death was the result of acute fentanyl intoxication.

Additionally, in November 2020, in Berryville, Virginia, Hughes sold twenty-two capsules containing fentanyl for $300 to a confidential informant working on behalf of law enforcement. 

Hughes is scheduled to be sentenced on July 19, 2023 and faces a sentence of six to ten years in prison pursuant to a written plea agreement with the United States. A United States District Court Judge will determine the final sentence after consideration of the federal sentencing guidelines and the sentencing factors set forth by Congress.  

The Northwest Virginia Regional Drug and Gang Task Force, the Winchester Police Department, the Frederick County Sheriff’s Office, the Virginia State Police, the Clarke County Sheriff’s Office, and the Drug Enforcement Administration - Washington Division investigated the case.

Assistant U.S. Attorney Zachary T. Lee is prosecuting the case.

ABINGDON, Va. – A federal jury convicted a Texas man last week for trafficking large quantities of high-purity methamphetamine from Mexico into Southwest Virginia.

According to court documents, Alonso Cantu-Cantu, 46, of Houston, Texas, was the major source of supply for a drug conspiracy that distributed more than 33 kilograms of crystal methamphetamine and 6 kilograms of cocaine into Southwest Virginia through a multi-jurisdiction drug trafficking organization.

Evidence presented at trial showed that Cantu-Cantu received methamphetamine in 55-gallon drums that had been transported into the United States in water tankers directly from sources in Mexico. Cantu-Cantu then directed the drugs through distributors from Indiana, who ultimately distributed down the supply chain throughout the Western District of Virginia, from Harrisonburg to Bristol, Virginia. Many of these transactions were orchestrated through another major drug trafficker who was incarcerated in multiple Virginia prisons during the conspiracy.  

In all, the estimated street value of the methamphetamine and cocaine distributed during the course of the conspiracy was more than $1.4 million. Over 4.5 kilograms of methamphetamine, 125.4 grams of heroin, 94 grams of cocaine, and 7 firearms were seized, and 26 defendants have now been convicted over the course of the six-year investigation, which started with the investigation of street level dealers in the Smyth County, Virginia, area.

At sentencing, Cantu-Cantu faces life imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Christopher R. Kavanaugh and Virginia Attorney General Jason Miyares made the announcement today.

This investigation was led by the Drug Enforcement Administration-Washington Field Division’s Bristol Post of Duty, and the United States Postal Inspection Service with assistance from the Smyth County Virginia Sheriff’s Office.  Numerous other agencies also provided assistance throughout the investigation including the Drug Enforcement Administration in Indianapolis, Indiana, and Birmingham, Alabama, the Washington County Virginia Sheriff’s Office, the Abingdon, Virginia Police Department, the Rockingham County Virginia RUSH Drug Task Force, the Rockingham County Virginia Sheriff’s Office, the Harrisonburg, Virginia Police Department, the Bessemer, Alabama Police Department, the Virginia Department of Corrections, the Virginia Department of Corrections Probation and Parole Unit, and the Southwest Virginia Regional Jail Authority.

Special Assistant United States Attorney M. Suzanne Kerney-Quillen, a Senior Assistant Attorney General with the Virginia Attorney General’s Major Crimes and Emerging Threats Section, and Assistant United States Attorney Lena L. Busscher prosecuted the case for the United States.

CHARLOTTESVILLE, Va. – The Fourth Circuit Court of Appeals has affirmed the life sentence for a West Virginia man convicted in the Western District of Virginia for commercial sex trafficking.

Kendall Demarko Wysinger, 46, from Manassas, Virginia, was convicted by a jury in January 2019 of sex trafficking and various drug crimes in Virginia, West Virginia, and Maryland. In August 2020, Wysinger was sentenced to life in prison.

Last week, a three-judge panel of the Fourth Circuit Court of Appeals in Richmond affirmed that sentence.

According to evidence presented at trial, Wysinger used heroin to coerce his victims into engaging in commercial sex and employed threats and intimidation to ensure he maintained power and control over those victims. Wysinger routinely advertised these victims for commercial sex using online classified ads in Winchester, Virginia, Shenandoah County, Virginia, and cities in West Virginia and Maryland, and used social media accounts to target and recruit women into his sex-trafficking operation. The defendant demanded his victims pay him nearly all of the money they received from commercial sex in order to pay their drug debts, his charges for posting ads online, and the costs of transporting them to prostitution dates.

On one occasion, the heroin Wysinger distributed resulted in two overdoses. Wysinger gave what he said was heroin to one victim of his sex trafficking ring and her friend, but the substance was actually fentanyl, a far more powerful synthetic opioid. Both victims overdosed as a result of fentanyl poisoning, and one of them eventually died. Wysinger was with both victims when they overdosed and left the victims unconscious in a Winchester motel room. 

Assistant United States Attorneys Laura Taylor, Jennifer R. Bockhorst, and Rachel Swartz handled the appeal for the United States.

ABINGDON, Va. – Two people, who were sources of supply in a broader methamphetamine conspiracy, were sentenced last week to 10 years each in federal prison for their roles in the drug trafficking operation.

Chelsey Lynn Doss, 39, of Washington County, Virginia, and William Lee Whitt, 41, of Tazewell, Virginia, previously pleaded guilty to conspiracy to possess with the intent to distribute and distribution of methamphetamine.

According to court documents, in July 2022, law enforcement arranged a controlled purchase of methamphetamine from Doss based on information provided from a confidential source. When Doss and Whitt arrived at the scene, law enforcement searched their car and arrested them after finding more than 250 grams of high-purity methamphetamine, digital scales, and more than $3,500 in cash.

United States Attorney Christopher R. Kavanaugh of the Western District of Virginia made the announcement.

The Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Washington County Sheriff’s Office investigated the case.

Assistant U.S. Attorney Whit D. Pierce prosecuted the case.

CHARLOTTESVILLE, Va. – A South Hill, Virginia man, who continued dealing heroin, methamphetamine, and fentanyl from a regional jail, was sentenced this week to 20 years in federal prison.

Michael Watkins Hayer, 41, waived his right to be indicted and pleaded guilty in October 2022 to a two-count Information charging him with distribution of fentanyl resulting in death and possession of a firearm by a convicted felon.

According to court documents, Hayer began selling fentanyl, heroin, and methamphetamine throughout Greene and Albemarle counties in 2019, as well as routinely traveling to North Carolina to purchase drugs by the “brick” for resale in Virginia.  Hayer used the term “brick” to refer to a package of 50 individual doses of fentanyl.

After a customer overdosed in front of him, Hayer began carrying Narcan, an opioid overdose treatment, when he sold drugs.

On February 18, 2022, Hayer sold a half-brick of fentanyl to an individual who ingested the drug and later died of an overdose.  Although he left Greene County to avoid suspicion after this death occurred, Hayer was stopped by the Virginia State Police while speeding in Greene County in April 2022.  During the traffic stop, Virginia State Police searched Hayer’s vehicle where they discovered 95 grams of methamphetamine, 50 grams of fentanyl, three firearms, and multiple rounds of ammunition.  Hayer is prohibited from possessing a firearm due to a previous felony conviction.

While incarcerated at the Central Virginia Regional Jail from April 2022 through June 2022, Hayer continued to sell drugs by recruiting both a male relative as well as an ex-girlfriend and instructing them in how to engage in drug trafficking.

Specifically, Hayer told them where to go in North Carolina to meet his drug suppliers, as well as  where and who to sell drugs to in Greene County.

In addition, Hayer warned both individuals of the dangerous nature of fentanyl by telling them to not touch the drug without wearing gloves and to never use fentanyl themselves.

United States Attorney Christopher R. Kavanaugh and Stanley M. Meador, Special Agent in Charge of the FBI Richmond Division made the announcement today.

The Greene County Sheriff’s Office and the Federal Bureau of Investigation investigated the case with assistance from the Virginia State Police.

Assistant U.S. Attorneys Melanie Smith and Sean Welsh prosecuted the case.

ROANOKE, Va. – A Catawba, Virginia woman, who sold a fatal dose of fentanyl in October 2021, pleaded guilty last week to a series of federal charges.

Ashley Blankenship, 38, pleaded guilty last week to one count of possession with the intent to distribute 50 grams or more of methamphetamine, one count of possession with the intent to distribute fentanyl, and one count of possession of one or more firearms in furtherance of a drug trafficking crime.

“While we have seen some progress in the fight against drug overdose deaths, fentanyl and other opioid poisoning-related injuries continue to be an issue in the Western District of Virginia,” United States Attorney Christopher R. Kavanaugh said today. “There are multiple tools to fight these issues, and my Office will continue utilizing all of them, including prosecution, support for recovery programs, community outreach, and other results-oriented solutions to these difficult community problems.”

“Combating violent crime, illegal firearm possession and narcotics distribution within our communities is challenging, but we are prepared to face each of them head on,” ATF Acting Special Agent in Charge Michael Weddel said. “ATF will continue leveraging our expertise as we coordinate and combine efforts with our local, state and federal partners to ensure that more illegal firearms and deadly narcotics are removed from our streets.”

According to court documents, in the early morning hours of October 19, 2021, a regular user of opioids was found unresponsive by law enforcement. Following the user’s death from a fentanyl overdose, further investigation by law enforcement revealed Blankenship to be the deceased user’s source of supply.

Officers made a series of controlled drug purchases from Blankenship in October and November of 2021, culminating in the execution of a search warrant at Blankenship’s residence. During that search, authorities recovered a large quantity of methamphetamine and fentanyl, as well as six firearms, including two rifles. A subsequent search of her home was conducted at the time of her arrest, and additional narcotics and firearms were found.

Blankenship faces a potential sentence of fifteen to seventeen years in prison pursuant to a written plea agreement with the United States. A United States District Court Judge will determine the final sentence after consideration of the federal sentencing guidelines and the sentencing factors set forth by Congress.   

The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case, with assistance from the Roanoke Valley Regional Drug Unit, the Roanoke County Police Department, the Craig County Sheriff’s Office, and the Virginia State Police.

Assistant U.S. Attorney Kristin B. Johnson is prosecuting the case.

ABINGDON, Va. – A Big Stone Gap, Virginia man, who conspired with others to distribute methamphetamine in Southwest Virginia, was sentenced last week to 180 months in federal prison.

Gregory Miller, 47, pleaded guilty in September 2022 to one count of conspiring to distribute and possession with the intent to distribute 50 grams or more of methamphetamine, one count of distributing 50 grams or more of methamphetamine, and one count of possessing a firearm in furtherance of a drug trafficking crime.

According to court documents, between October 1, 2021 and April 2022, Miller was the source of supply of methamphetamine for a wide-range of drug dealers in and around the Wise County, Virginia area.

Miller regularly bought pounds of methamphetamine at a time from sources in West Virginia and Virginia before re-distributing it to co-conspirators for resale in Southwest Virginia. Miller sold “ice” methamphetamine, which is more than 97 percent pure.  Law enforcement conducted three controlled purchases of methamphetamine from Miller immediately before his arrest, and a search of his residence in Big Stone Gap revealed three firearms and numerous rounds of ammunition, even though he was a felon with multiple prior convictions at the time.

United States Attorney Christopher R. Kavanaugh of the Western District of Virginia made the announcement.

The Southwest Virginia Multi-Jurisdictional Drug Task Force, comprised of the Wise County Sheriff’s Office, the Lee County Sheriff’s Office, the Scott County Sheriff’s Office, the Big Stone Gap Police Department, the Norton Police Department, the Virginia State Police, and the Bureau of Alcohol, Tobacco, Firearms & Explosives investigated the case.

Assistant U.S. Attorney Lena L. Busscher prosecuted the case for the United States.

ABINGDON, Va. – Midwest Veterinary Supply (Midwest), a Minnesota-based company that supplies prescription drugs for animals to veterinarians, farms, feedlots, and other businesses, pled guilty today to introducing misbranded drugs into interstate commerce and agreed to pay more than $10 million in criminal fines and forfeiture.

“The Department of Justice will continue to ensure that all companies follow federal laws regarding distribution of prescription drugs,” United States Attorney Christopher R. Kavanaugh of the Western District of Virginia said today. “In this case, millions of dollars were obtained from the illegal distribution of veterinary medicine and, just like pharmaceuticals intended for human-use, my Office will continue to hold accountable those companies and corporations that violate federal law.”

“The FDA regulates animal drugs as part of its mission to protect the public health. Part of this responsibility includes ensuring that prescription animal drugs are lawfully distributed and dispensed pursuant to a valid prescription,” said Special Agent in Charge George A. Scavdis, FDA Office of Criminal Investigations’ Metro Washington Field Office. “We will continue to investigate and bring to justice those who attempt to evade the law.”

According to court documents, from 2011-2021, Midwest shipped prescription drugs from their non-pharmacy locations throughout the United States to end-users that were not authorized to receive prescription drugs. Shipments from non-pharmacy locations to end-users and shipments to non-authorized locations are deemed misbranded. Midwest shipped at least $10,150,014 worth of misbranded drugs to end-users between 2011-2021. The law violated is designed, in part, to ensure that prescription drugs are kept within a controlled chain of distribution to prevent diversion and inappropriate use.

As part of the plea agreement, Midwest will forfeit $10,150,014 and serve between one and three years’ probation. Midwest will also pay $1,000,000 to the Virginia Department of Health Professions, and a $500,000 fine. Midwest is scheduled to be sentenced on June 12, 2022, in United States District Court in Abingdon.

The U.S. Food and Drug Administration – Office of Criminal Investigations and the Virginia State Police investigated the case, with the assistance of the Virginia Department of Health Professions.

Assistant U.S. Attorney Randy Ramseyer is prosecuting the case.

ROANOKE, Va. – A federal grand jury in Roanoke, Virginia has indicted James Howard Spencer, the Mayor of Glen Lyn, Virginia, for his alleged violation of the Clean Water Act (CWA).

The CWA was enacted by Congress to restore and maintain the chemical, physical, and biological quality of the nation’s waterways.

The indictment, returned under seal March 9, 2023 and unsealed following the defendant’s initial court appearance, charges Spencer with three counts of violating the CWA.

“The protection of our nation’s waters is critical to ensuring environmental justice for all the residents of the Western District of Virginia,” United States Attorney Christopher R. Kavanaugh said today. “When individuals – especially those in positions of authority –pollute our rivers and streams in violation of the law, our Office will hold them accountable.”

“The defendant abused his position of authority and violated the public’s trust by ordering public employees of Glen Lyn to illegally discharge raw sewage into the East River, a tributary of the New River,” said Acting Special Agent in Charge Richard Conrad. “EPA is committed to prosecuting those who choose to violate our environmental laws, especially those who hold a position of public trust such as Mayor Spencer.”

The indictment alleges that Spencer directed employees of the Town of Glen Lyn to pump sewage and other pollutants from a pump station located behind the Glyn Lyn Post Office into the East River, which is a perennial stream and tributary of the New River. Spencer took these alleged actions on three separate occasions, in the summer of 2019, December 2020, and again in June 2021.

United States Attorney Christopher R. Kavanaugh, Colonel Gary T. Settle, Superintendent of the Virginia State Police, and Acting Special Agent in Charge Richard Conrad made the announcement today.

The ongoing investigation is being jointly handled by the Environmental Protection Agency’s Criminal Investigation Division and the Virginia State Police.

Assistant U.S. Attorney and Environmental Justice Coordinator Michael Baudinet is prosecuting the case for the United States.

An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

###

Charlottesville, Va. – United States Attorney Christopher R. Kavanaugh announced today the availability of over $320,000 in grant funding for Project Safe Neighborhoods (PSN) initiatives. This funding opportunity will assist in implementing comprehensive, collaborative, and community-based approaches to reducing violent crime in the Western District of Virginia using a wide range of effective violent crime reduction strategies.

The grant money, distributed in partnership with the Virginia Department of Criminal Justice Services (DCJS) and the Bureau of Justice Assistance (BJA), will allow eligible organizations to support a broad range of activities to reduce gun and gang violence. Programs should address deterrence efforts aimed at potential offenders, the implementation of evidence-based programs and proven enforcement strategies to prevent and reduce gun and gang crimes, and/or the prosecution of significant firearm, controlled substance, and violent crime offenses.

“These funding opportunities will be used by local organizations who are doing important work at the grassroots level to reduce violence in our neighborhoods,” United States Attorney Christopher R. Kavanaugh said today. “Project Safe Neighborhoods continues to be the major source of funding for many of these organizations and we look forward to sharing more information about those partnerships in the future.”

In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the Department’s Comprehensive Strategy for Reducing Violent Crime issued by Deputy Attorney General Lisa Monaco, is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities, and measuring the results of our efforts.

The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.

Guided by these principles, in October 2021, the United States Attorney’s Office for the Western District of Virginia (WDVA) implemented a strategic PSN plan. PSN is the collaboration of community organizations as well as federal, state, and local law-enforcement agencies to build evidence-based and intelligence-led approaches to identifying the most violent gangs and offenders in each affected community and deploying their combined resources not only to prevent violent crimes but also, through offender intervention and rehabilitation efforts, to help break the cycle of violence by addressing its underlying causes. United States Attorney Kavanaugh has assigned specific federal prosecutors to those areas in our District to help implement this strategy and coordinate with law enforcement as well as engaging with community partners.

The Grants Program is just one component of the multi-faceted efforts the U.S. Attorney’s Office has implemented in Danville, Roanoke City/County region, and Lynchburg. This funding opportunity is open to state and local law enforcement agencies, governmental entities, educational institutions, and 501(c)(3) non-profit organizations who are located in, or have the ability to serve, those areas. Applicants are expected to use the funds to support the WDVA’s PSN pillars, which include community engagement, prevention and intervention, focused and strategic enforcement, and accountability.

To select and administer its PSN grant funds, the United States Attorney’s Office will select community members to serve as members of an independent Grants Committee.  The Committee will be composed of individuals from the Danville, Lynchburg, and Roanoke areas with experience in community outreach, law enforcement, or who are otherwise qualified to fairly review and assess applications that will help achieve our PSN goals. None of the Committee’s members will be current federal employees, and no member will be eligible to apply for or receive PSN funding. 

The U.S. Attorney’s Office encourages those eligible organizations to apply for grant assistance by visiting the Virginia Department of Criminal Justice Services website at https://www.dcjs.virginia.gov/grants/programs/2023-project-safe-neighborhoods-grant-program-western. The website also has information related to the guidelines and application procedures. Completed applications should be submitted by 5:00 p.m. on April 26, 2023.

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

For additional funding opportunities and awards that will further assist our efforts to reduce violent crime across our district, please visit The Office of Justice Programs website https://www.ojp.gov/funding/explore/current-funding-opportunities. The Office of Justice Programs provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims, and enhance the rule of law.

ROANOKE, Va.- One of three men accused of violating the Lacey Act and conspiring with others to illegally remove walnut trees from federally protected land, was sentenced recently in U.S. District Court in Roanoke.

William Riley Stump, 52, of Narrows, Virginia, was sentenced last week to four months in prison. He previously pleaded guilty to one count of illegal removal of timber from federally protected land.

According to court documents, Stump, and co-defendants Derrick Anthony Thompson and Justin Wayne Johnson, conspired to cut and remove black walnut trees located in the Bluestone Project in Giles County, Virginia and transport them to Lindside, West Virginia to sell. The Bluestone Project is a United States Army Corps of Engineers Flood Damage Reduction project designed to inhibit flood-level water flow along both the New River and Bluestone River. The project’s federally-protected area involves 21,000 acres of land that is a fertile habitat for growth of certain trees and plants, including the highly valuable black walnut trees, which are among the largest and longest living hardwood trees in the United States.

The U.S. Forest Service and the Army Corps of Engineers investigated the case.

Assistant U.S. Attorney Michael Baudinet prosecuted the case.

ABINGDON, Va. – A pair of Southwest Virginia men, who distributed pressed pills containing fentanyl purchased from various social media platforms, were sentenced yesterday in U.S. District Court in Abingdon.

Paul Mason Perkins, 21, of Big Stone Gap, Virginia, was sentenced yesterday to 42 months.  Austin Jeremiah Lane, 23, of Norton, Virginia, was sentenced to 36 months.

Perkins and Lane pleaded guilty in June 2022 to one count each of conspiring to distribute and possess with the intent to distribute 40 grams or more of fentanyl. A third defendant, Cheyenne Cassie Carico, also pled guilty to the same charge last year and will be sentenced in April.

According to court documents, between February 2021 and February 2022, Perkins purchased thousands of pressed pills containing fentanyl online through a source located in California.  Perkins ordered 1,000 pills at a time from the California source on the social media platforms Snapchat and Instagram, making purchases every few weeks. He had the pills mailed to his residence in Big Stone Gap. Perkins then distributed the pills to other individuals in Wise County, including multiple sales to co-conspirators Lane and Carico.   

United States Attorney Christopher R. Kavanaugh, Michael Weddel, Acting Special Agent in Charge of the Washington Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Tommy D. Coke, Inspector in Charge of the U.S. Postal Inspection Service Atlanta Division made the announcement.

The Wise County Sheriff’s Office, the Norton Police Department, the Southwest Drug Task Force, the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the United States Postal Inspection Service investigated the case.

Assistant U.S. Attorney Lena Busscher is prosecuting the case.

CHARLOTTESVILLE, Va. – A man from Albemarle County, and another from South Carolina, who broke into a private Albemarle County home while armed in October 2021, were sentenced yesterday to federal prison terms.

Traevon Gray, 21, and Damon Williams, 23, pled guilty in November 2022 to one count each of Hobbs Act Robbery. Each received a sentence yesterday of 51 months in federal prison.

“The Department of Justice will continue to use every tool possible to address violent crime in our communities,” United States Attorney Christopher R. Kavanaugh said today. “This outcome proves that those individuals who use firearms to harm others will be held accountable in federal court.”

“Addressing violent crime is a priority for the FBI. These sentencings reflect the Bureau’s commitment to working with our law enforcement partners to identify and hold those responsible accountable,” said Stanley M. Meador, Special Agent in Charge of the FBI Richmond Division.

According to court documents, Gray and Williams used firearms when they broke into the Albemarle County home through a backdoor and forced the victim from his upstairs bedroom into the kitchen where they ordered him to lie face-down on the floor.

After stealing approximately two pounds of marijuana, several thousand dollars, a firearm, drug paraphernalia, and other valuables, the assailants bound the victim’s hands with tape, punched him in the face, and pushed him into the kitchen pantry.

After the robbery, Gray and Williams fled to Spartanburg, South Carolina where they divided up the robbery proceeds.

The FBI Richmond's Safe Streets Task Force and the Albemarle County Police Department investigated the case.

Assistant U.S. Attorney Heather L. Carlton prosecuted the case for the United States.

CHARLOTTESVILLE, Va. – A Winchester, Virginia man, who lied when he purchased a firearm that was later used by a close relative in a Washington, D.C. homicide, was sentenced recently to 24 months in federal prison.

Gerald Kendrick Oxner, 25, pled guilty in September 2022 to a one-count Information charging him with making a false statement during the purchase of a firearm.

According to court documents, when Oxner purchased a Smith and Wesson 9-millimeter handgun in January 2021, he failed to disclose that he was purchasing the weapon for someone else and also provided a false home address on the required forms.  Investigators obtained security camera footage and receipts from the store in Front Royal, Virginia, which show Oxner buying the firearm and using his relative’s debit card to make the purchase.

Law enforcement later recovered the firearm in Maryland, but its serial number had been obliterated.  Through forensic analysis, the serial number was restored, and the firearm was subsequently linked to evidence recovered from the scene of a January 2021 shooting in Southeast Washington D.C. where one person was killed and three others were injured.  Oxner’s relative was arrested and charged with first-degree murder in connection with the shooting.

Oxner further admitted that he made multiple other straw purchases in Virginia.  However, when law enforcement executed a search warrant at his residence, none of the firearms or related ammunition that he purchased were found in his possession or in the residence.  Later, another one of the firearms he bought was found during the execution of an unrelated search warrant in Washington, D.C.

United States Attorney Christopher R. Kavanaugh and Michael Weddel, Acting Special Agent in Charge of the Washington Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, made the announcement.

The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.

Assistant United States Attorney Melanie Smith,  Special Assistant United States Attorney Jessica Joyce, and Deputy United States Attorney Katie B. Medearis prosecuted the case.

CHARLOTTESVILLE, Va. - United States Attorney Christopher R. Kavanaugh announced today that the U.S. Attorney’s Office for the Western District of Virginia has implemented the new United States Attorney’s Offices’ Voluntary Self-Disclosure Policy.

            The policy, which is effective immediately, details the circumstances under which a company will be considered to have made a voluntary self-disclosure (VSD) of misconduct to a United States Attorney’s Office (USAO), and provides transparency and predictability to companies and the defense bar concerning the concrete benefits and potential outcomes in cases where companies voluntarily self-disclose misconduct, fully cooperate, and timely and appropriately remediate.

            The goal of the policy is to standardize how VSDs are defined and credited by USAOs nationwide, and to incentivize companies to maintain effective compliance programs capable of identifying misconduct, to expeditiously and voluntarily disclose and remediate misconduct, and to cooperate fully with the government in corporate criminal investigations.

            The policy was developed pursuant to the Deputy Attorney General’s September 15, 2022 memorandum, “Further Revisions to Corporate Criminal Enforcement Policies Following Discussions with Corporate Crime Advisory Group” (Monaco Memo), which directed each Department of Justice (DOJ) component that prosecutes corporate crime to review its policies on corporate voluntary self-disclosure and, if there was no formal written policy to incentivize self-disclosure, draft and publicly share such a policy.

            Under the new VSD policy, a company is considered to have made a VSD if it becomes aware of misconduct by employees or agents before that misconduct is publicly reported or otherwise known to the DOJ, and discloses all relevant facts known to the company about the misconduct to a USAO in a timely fashion prior to an imminent threat of disclosure or government investigation.

            A company that voluntarily self-discloses as defined in the policy, and fully meets the other requirements of the policy by—in the absence of any aggravating factor—fully cooperating and timely and appropriately remediating the criminal conduct (including agreeing to pay all disgorgement, forfeiture, and restitution resulting from the misconduct), will receive significant benefits, including that the USAO will not seek a guilty plea, may choose not to impose any criminal penalty, and in any event will not impose a criminal penalty that is greater than 50% below the low end of the United States Sentencing Guidelines (USSG) fine range, and will not seek the imposition of an independent compliance monitor if the company demonstrates that it has implemented and tested an effective compliance program.

            The policy identifies three aggravating factors that may warrant a USAO seeking a guilty plea even if the other requirements of the VSD policy are met: (1) if the misconduct poses a grave threat to national security, public health, or the environment, (2) if the misconduct is deeply pervasive throughout the company, or (3) if the misconduct involved current executive management of the company. The presence of an aggravating factor does not necessarily mean that a guilty plea will be required; instead, the USAO will assess the relevant facts and circumstances to determine the appropriate resolution. If a guilty plea is ultimately required, the company will still receive the other benefits under the VSD policy, including that the USAO will recommend a criminal penalty of at least a 50%, and up to a 75%, reduction off the low end of the USSG fine range, and that the USAO will not require the appointment of a monitor if the company has implemented and tested an effective compliance program.

            In cases where a company is being jointly prosecuted by a USAO and another DOJ component, or where the misconduct reported by the company falls within the scope of conduct covered by VSD policies administered by other DOJ components, the USAO will coordinate with, or, if necessary, obtain approval from, the DOJ component responsible for the VSD policy specific to the reported misconduct when considering a potential resolution. Consistent with relevant provisions of the Justice Manual and as allowable under alternate VSD policies, the USAO may choose to apply any provision of an alternate VSD policy in addition to, or in place of, any provision of its policy.

“With this new Voluntary Self-Disclosure Policy, there is now a nationwide standard among all United States Attorney’s Offices in determining whether a company has made a voluntary self-disclosure, as well as the specific benefits that a company will receive for doing so,” stated United States Attorney Kavanaugh.  “By providing such transparency and clear benefits of early disclosure, this policy will motivate companies to timely report wrongdoing, fully cooperate, and remediate criminal conduct, all while receiving the same treatment across United States Attorney’s Offices.”

            The Attorney General’s Advisory Committee (AGAC), under the leadership of United States Attorney for the Southern District of New York Damian Williams, requested that the White Collar Fraud Subcommittee of the AGAC, under the leadership of United States Attorney for the Eastern District of New York Breon Peace, develop policies in response to the Monaco Memo. The policy announced today was prepared by a Corporate Criminal Enforcement Policy Working Group comprised of United States Attorneys from geographically diverse districts, including United States Attorney Peace, as well as United States Attorney for the Eastern District of Virginia Jessica Aber, United States Attorney for the District of Connecticut Vanessa Avery, United States Attorney for the District of Hawaii Clare Connors, United States Attorney for the Eastern District of North Carolina Michael F. Easley, Jr., United States Attorney for the Northern District of California Stephanie Hinds, United States Attorney for the Western District of Virginia Christopher R. Kavanaugh, and United States Attorney for the District of New Jersey Philip Sellinger. Assistant U.S. Attorney Amanda Riedel, White Collar Crimes Coordinator for the Executive Office for United States Attorneys, also participated in the development of the policy.

LYNCHBURG, Va. – A Hurt, Virginia woman, who stole more than $170,000 in Social Security Administration retirement funds to which she was not entitled, was sentenced in federal court just three months after her mother was sentenced on related charges.

In November 2022, Christy Bowling, 38, pled guilty to concealment of bankruptcy assets and theft of government money.  Last week, she was sentenced to two months in federal prison and one year of home detention.

Bowling’s mother, Judith Cash, 58, of Shipman, Virginia, pleaded guilty in May 2022 to one count of theft of public money and was sentenced to one year of home detention.

According to court documents, in August 2020, Betty Gowen, who had been incarcerated since 2011 for the murder of her husband, contacted the Social Security Administration (SSA) to apply for Title II Retirement Insurance Benefits upon her release from prison. 

When SSA officials received Gowen’s application, it was revealed that her daughter, Judith Cash, and granddaughter, Christy Bowling, had already applied for and had been receiving Gowen’s SSA Retirement Benefits since 2010. Cash and Bowling had been using the funds through a shared bankcard.

SSA determined that Cash and Bowling stole $172,952 and the court has ordered them to pay this amount back in restitution.

United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Gail S. Ennis, Inspector General for the Social Security Administration, made the announcement.

The Social Security Administration investigated the case.

Assistant U.S. Attorney Charlene R. Day prosecuted the case.

LYNCHBURG, Va. – A Brookneal, Virginia lumber mill owner who failed to pay employee taxes to the Internal Revenue Service pleaded guilty last week to one count of willful failure to collect or pay over taxes.

According to court documents, James Edward Adams, 65, took over the day-to-day operation of his family’s lumber mill, Adams Lumber Company, in 2011. In 2012, Adams Lumber was referred to the IRS for failure to pay payroll taxes and a trust fund recovery penalty was imposed.

From 2012 to 2022, Adams incorporated additional lumber and flooring entities, including Adams Wood, Halifax Forest, Halifax Flooring Products, Halifax Lumber Products, and Timber Trucking (collectively, the “Companies”), and exercised control over the Companies’ business and financial affairs.

Even though Adams withheld employment and trust fund taxes from his employees, he failed to pay over the vast majority of these monies to the IRS for tax years 2014 through 2021, resulting in an outstanding balance of $598,800.

The Federal Insurance Contribution Act (“FICA”) requires employers to withhold Medicare and Social Security taxes from their employees’ wages while the Internal Revenue Code requires employers to withhold federal income taxes from their employees’ wages.  Employers are required to hold these taxes (“trust fund taxes”) in trust for the United States and to pay them over to the IRS on behalf of their employees.

In addition to trust fund taxes, employers are separately required to make contributions under FICA in amounts matching the amounts withheld from their employees’ pay for those purposes.  These taxes paid by the employer, combined with the trust fund taxes withheld from the employees, are collectively known as “employment taxes.”

At sentencing, Adams faces up to five years in prison and up to $250,000 in fines.

United States Attorney Christopher R. Kavanaugh made the announcement today.

The Internal Revenue Service investigated the case.

Assistant U.S. Attorneys Charlene R. Day and Jason Scheff are prosecuting the case.

LYNCHBURG, Va. – Najalaek Walker, 27, of Troy, New York, was sentenced this week to 48 months in federal prison after pleading guilty in October 2022 to one count of possession with the intent to distribute cocaine, one count of possession with the intent to distribute heroin, and one count of possession of a firearm by a convicted felon.

According to court documents, on November 27, 2021, members of the Lynchburg Police Department were notified that Walker was on a Greyhound bus and expected to stop in Lynchburg, Virginia. Walker was wanted by the state of New York for a parole violation at the time, and an extraditable warrant had been issued.

As he exited the bus, Walker dropped a food container he was holding which contained a Jimenez Arms 9mm pistol with 12 rounds of ammunition.

During his arrest, Walker was found in possession of numerous individually packaged bags containing heroin and cocaine, as well as an additional eight rounds of 9mm ammunition.

United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Special Agent in Charge of the FBI Richmond Division Stanley M. Meador made the announcement.

The investigation of the case was conducted by the Federal Bureau of Investigation and the Lynchburg Police Department.

Assistant United States Attorney Charlene Day prosecuted the case for the United States.

ROANOKE, Va. – A member of a Romanian criminal organization, who traveled to the United States to conduct ATM skimming, was sentenced today to serve 18 months in prison, bringing his total period of incarceration for his offenses to 54 months.

Catalin Puscasu, 40, pleaded guilty in September 2022 to conspiracy to commit bank fraud, access device fraud, and aggravated identity theft.

According to court documents, between December 2018 and March 2019, Puscasu and others worked together to obtain personal identifying information, including debit and credit card numbers as well as PINs from bank customers and used that data to make unauthorized cash withdrawals from the accounts of these victims and use the victims’ credit for their personal gain.

Specifically, this group used “skimming devices” installed on ATMs at federally-insured banks throughout the Western District of Virginia to steal customers’ PINS and account numbers using small hidden cameras. They then took this information, re-encoded it onto blank cards, and used those cards to withdraw money. 

In March 2019, Puscasu was arrested in Michigan for committing similar offenses.  After serving 36 months in prison in the Eastern District of Michigan, he was returned to the Western District of Virginia to be sentenced for his fraudulent activity in and around the Roanoke area.

In addition to prison time, Puscasu was also ordered to pay restitution to the impacted banks.

United States Attorney Christopher R. Kavanaugh made the announcement.

The United States Secret Service, the Botetourt County Sheriff’s Office, the Roanoke County Police Department, the Campbell County Police Department, the Henry County Sheriff’s Office, the Farmville Police Department, the Patrick County Sheriff’s Office, the Blacksburg Police Department, and the Lynchburg Police Department investigated the case.

Assistant U.S. Attorney Coleman Adams prosecuted the case.