District of Vermont

The Office of the United States Attorney for the District of Vermont announced today that Taylor Ruffin Herrington, a.k.a. “Tee,” 34, of Philadelphia, Pennsylvania, was arrested today in Philadelphia by the FBI on an outstanding arrest warrant issued last week in the District of Vermont.  Herrington made his initial appearance today in the U.S. District Court in Philadelphia before U.S. Magistrate Judge David Strawbridge.  He was detained pending his transfer to Vermont.    

According to court documents, on March 3, 2020, at or about 2:50 a.m., Michael Haines and Amy Pudvah contacted the Vermont State Police, reporting that an individual known by the nickname “Tee” was attempting to enter their residence in Cambridge, Vermont. According to the callers, Tee was with a person named “Sam Simms,” in Simms’ truck. Tee left in the truck but then returned to the residence a short time later and asked Haines for his (Tee’s) duffle bag.  Haines threw the bag over the back deck.  A short time later, while Haines was on the phone with a Vermont State Police trooper, Haines told the trooper he had been shot.  Pudvah was in the residence with Haines and, after Haines was shot, she ran upstairs to her two juvenile children who were also in the residence.  Tee was later identified as Taylor Ruffin Herrington.

Investigation in the case further revealed that Pudvah had picked up Herrington in Burlington on March 2 at Haines’s request.  Herrington got in the car and put a duffle bag in the trunk.  Pudvah brought Herrington back to the Cambridge residence where Haines and Herrington hung out together.  Haines and Herrington eventually left Cambridge and went back to Burlington. Haines then suddenly left Burlington, without Herrington, and returned home.  Around this same time, Haines went to a friend’s house, again without Herrington, and showed the friend a large amount of heroin in a ziplock baggie. After Haines was killed, investigators searched Haines’s residence and found a large amount of heroin in a ziplock bag hidden inside the residence.     

On March 12, 2020, the grand jury sitting in Burlington returned an indictment charging Herrington with carrying and using a firearm during and in relation to a drug trafficking crime, in violation of 18 U.S.C. § 924(c)(1)(A), and conspiracy to distribute heroin, in violation of 21 U.S.C. §§ 841(a)(1), 846.  If convicted of the firearm charge, Herrington faces a maximum sentence of life imprisonment and up to a $250,000 fine.  For the drug charge, Herrington faces a maximum sentence of 20 years and up to a $500,000 fine.  The actual sentence, however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines.  The United States Attorney emphasizes that the charges in the indictment are merely accusations, and that the defendant is presumed innocent unless and until he is proven guilty.

United States Attorney Christina Nolan commended the collaborative investigation of federal, state, and local law enforcement.  She specifically thanked the Vermont State Police, the FBI in Vermont and Philadelphia, and the Lamoille County State’s Attorney’s Office.  She stated:  “Thanks to the tremendous teamwork of Vermont and Philadelphia law enforcement, this crime was efficiently investigated and the suspect swiftly identified and apprehended.  We will be unflagging in our efforts to protect Vermonters, fight for the rights of victims, and promote public safety.  We will continue to prioritize prevention and punishment of violent crime, and those who engage in crimes like this will find themselves facing severe penalties.”

“When crimes occur, the Vermont State Police works diligently to identify offenders, apprehend them and bring them to court to answer charges,” said Maj. Dan Trudeau, commander of the Criminal Division for the state police.

“We’re grateful to have federal partners including the FBI and the U.S. Attorney’s Office that are equally dedicated to pursuing justice. That’s what we owe to victims, their families and the public,” Trudeau added. “In this case, the arrest of a suspect in Philadelphia just over two weeks after a homicide in Cambridge, Vermont, is due in no small part to the tireless work and seamless collaboration between the Vermont State Police, the Vermont Drug Task Force, the Lamoille County State’s Attorney’s Office, the FBI and the U.S. Attorney’s Office for the District of Vermont. We’re incredibly thankful for the joint effort that led to this arrest.”

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

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

The United States is represented in this matter by Assistant U.S. Attorney Wendy Fuller. Taylor Ruffin Herrington is represented by Assistant Federal Public Defender Steven Barth.

The Office of the United States Attorney for the District of Vermont stated that on March 11, 2020, Matthew Sinclair, 24, and Jorge Delaoz, 51, were arrested and charged with violations of the federal Controlled Substances Act in connection with drug activity at 50 Central Street in Brattleboro, Vermont. 

According to Court records, Sinclair and Delaoz engaged in drug transactions in January and February, selling cocaine base to a confidential informant inside the apartment located at 50 Central Street.  During one of the controlled purchases, Sinclair was observed cooking cocaine base on the stove in the kitchen of the apartment.  On the morning of March 12, 2020, detectives with the Vermont Drug Task Force executed a search warrant at the premises.  Delaoz attempted to flee by jumping out of a second-story window of the residence.  Delaoz was found in possession of suspected cocaine base and heroin at the time of his arrest.  Sinclair was located in the bathroom of the residence, and was attempting to flush approximately 37 grams of cocaine base down the toilet.  A search of the room out of which Delaoz jumped revealed a Taurus .380 caliber pistol in close proximity to a set of car keys for Sinclair’s vehicle.

The case is being investigated by the Vermont State Police Southern Vermont Drug Task Force and the Federal Bureau of Investigation. 

The defendants made their initial appearance on March 11, 2020 before U.S. Magistrate Judge John M. Conroy, and were ordered detained pending a detention hearing on March 16, 2020.

If convicted, Delaoz and Sanchez each face up to twenty years of imprisonment on each charge.  The actual sentences, however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines.  The United States Attorney emphasizes that the charges contained in the complaints are merely accusations and that the defendants are presumed innocent unless and until they are proven guilty.

The United States is represented in this matter by Assistant U.S. Attorney Jonathan A. Ophardt.  Matthew Sinclair is represented by Stephanie Greenlees, Esq.  Jorge Delaoz is represented by Michael Straub, Esq. 

The Office of the United States Attorney for the District of Vermont stated that on March 4, 2020, Ryan Billado, 28, of St. Albans, Vermont, was sentenced in United States District Court in Rutland, Vermont, to serve 96 months in prison after his guilty plea to one count of receipt of child pornography.  Chief U.S. District Judge Geoffrey W. Crawford also ordered Billado to serve a ten (10) year term of supervised release, and to pay a $100 special assessment. 

According to court records and proceedings, the Vermont Internet Crimes Against Children Task Force (the ICAC) received a CyberTip from the National Center for Missing and Exploited Children (NCMEC).  The CyberTip was generated after Facebook reported that child pornography had been sent between two users.  One of the users appeared to be a minor who sent self-produced images of child pornography to another user.  Through investigation by the ICAC and special agents with Homeland Security Investigations, law enforcement determined that the recipient of the images of child pornography was Ryan Billado.  Through investigation, which included execution of several search warrants for Billado’s residence, digital media, and online accounts, law enforcement learned that Billado communicated with a 15-year-old girl, convinced her to send him sexually explicit photos of herself, and that Billado travelled to another state and had sex with this child.  Billado also possessed images of child pornography that did not involve this minor victim. 

U.S. Attorney Nolan commended the efforts of the Vermont Internet Crimes Against Children Task Force and Homeland Security Investigations. 

Assistant U.S. Attorney Barbara A. Masterson handled the prosecution of Billado.  Assistant Federal Public Defender Elizabeth Quinn represented Billado. 

U.S. Attorney Nolan noted that this prosecution is part of the U.S. Department of Justice's Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse.  Led by the U.S. Attorney's Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years

The Office of the United States Attorney for the District of Vermont stated that Darwin Medina (also known as “Weezy” to his former drug customers in Franklin County) was sentenced today in federal court on one count of conspiring to distribute 280 grams or more of cocaine base and one count of conspiring to possess firearms in furtherance of the drug trafficking crime.  Medina—who is 35 and a resident of Boston, Massachusetts—was sentenced by U.S. District Judge Christina Reiss to a period of incarceration of 135 months, to be followed by 5 years of supervised release, for his role in the conspiracies.  

The defendant pleaded guilty pursuant to a plea agreement he entered into with the United States.  According to court records, Medina was responsible for the distribution of at least 2.8 kilograms of “crack” cocaine in the Franklin County area and for the trafficking of at least 30 illegally purchased firearms from Vermont to the Boston area.  His offenses continued from at least September 2017 through March 2018.  Medina and his codefendant, John Guerrero, used multiple drug customers in Swanton to purchase firearms for them in exchange for controlled substances.  Those straw purchasers included Tyson Wells, Laci Baker, Sierra Lacoste, Megan West, and Kelly Champaine; Dara Bessette helped plan the straw purchases for Medina and Guerrero.  All six of those individuals already pleaded guilty to related charges last year. Wells and Bessette are still awaiting sentencing.    

As part of his plea agreement, Medina had agreed to a sentencing range of 120 to 180 months.  In the absence of the plea agreement, the defendant could have been sentenced up to life imprisonment.  In exchange for pleading guilty, the United States agreed to dismiss two additional criminal charges: possession of firearms in furtherance of a drug trafficking crime and interstate transportation of firearms from which the serial numbers had been removed, altered, or obliterated.  

United States Attorney Christina E. Nolan stated, “This sentencing is the culmination of a lengthy investigation and prosecution involving multiple law enforcement organizations in multiple states.  Darwin Medina was one of two leaders of a conspiracy to pour dangerous drugs into Franklin County.  Their actions invited destruction in two communities.  The citizens of Vermont suffered the consequences of the drugs they brought in, while the defendants took money and guns back to Boston to further gang activities there.  The U.S. Attorney’s Office remains committed to the prosecution of crimes at the intersection of dangerous drugs and illegal firearms.”

The investigation of this case was a joint effort between agents with the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and local law enforcement—particularly the St. Albans Police Department.  “Trafficked firearms represent a danger to our community because they can end up in the hands of convicted felons, violent criminals, and many other kinds of people who are prohibited from having firearms,” said Kelly D. Brady, Special Agent in Charge of ATF’s Boston Field Division. “We will continue to work aggressively alongside our local, state, and federal law enforcement partners and the U.S. Attorney’s Office to fulfill the mission of ATF by targeting offenders like Darwin Medina and John Guerrero, as well as their straw purchasers, to get illegally trafficked guns off the street.”

This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting firearm use and possession crimes; prioritizes prosecuting persons who make false statements when attempting to obtain firearms; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives concerning persons who attempt to obtain firearms illegally; coordinates responses to persons prevented from obtaining firearms for mental health reasons; and ensures the use of modern intelligence tools and technology to focus on the criminals posing the greatest threat to our communities.  

This prosecution was handled by Assistant United States Attorney Matthew Lasher.  Darwin Medina was represented by Mark Oettinger, Esq. of Burlington, Vermont.

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
 

The Office of the United States Attorney for the District of Vermont announced that Donna Mahar, 61, of Danvers, Massachusetts, was sentenced today for conspiracy to obstruct justice.  District Judge Christina Reiss ordered defendant Mahar to a time-served (one day) incarcerative sentence, a six-month term of home detention, a 3-year term of supervised release, and a $10,000 fine.  Mahar’s son, Derek Spilman, 45, of Winooski, Vermont, was sentenced December 16, 2019 to a 29-month term of incarceration for his convictions stemming from a conspiracy to distribute marijuana, his unlawful possession of firearms, and the conspiracy to obstruct justice.  As part of his plea agreement, defendant Spilman agreed to the entry of a forfeiture money judgment in the amount of $50,000, half of which Spilman had paid prior to his sentencing hearing.  

According to Court records, in the late summer of 2018, defendant Spilman began distributing marijuana and THC-infused edibles from his Church Street business, “Goodtimes Gallery.”  In December of 2018, following complaints from the community, Spilman’s marijuana inventory was confiscated by an investigator with the Vermont Department of Liquor and Lottery.  Defendant Spilman continued to sell marijuana from the business.  As a result, the Burlington Police Department and Drug Enforcement Administration (DEA) conducted a joint investigation that included controlled purchases of marijuana from Spilman’s business.  On January 29, 2019, law enforcement executed a federal search warrant at the business, during which agents seized approximately $11,000 of drug proceeds, a half kilogram of marijuana, a Ruger 9mm handgun, and ammunition.  Additional investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) revealed that Spilman also had possessed a Panther AR rifle, a Smith & Wesson .40 caliber pistol, and a Ruger .22 caliber rifle.  

After his arrest, defendant Spilman vandalized the storefront of another Church Street business, which was owned by a government witness.  The vandalism resulted in the government filing a motion to revoke defendant Spilman’s pretrial release.  Prior to the revocation hearing, defendants Spilman and Mahar attempted to pressure a friend of Spilman’s to obstruct the proceeding.  When those efforts failed, defendants Spilman and Mahar enlisted a family member in the scheme.  Defendant Mahar cut the man’s hair to better match Spilman’s; defendant Spilman gave the man funds to purchase a jacket to match the one that Spilman wore during the vandalism; and defendant Spilman coached the man on what to say to defense investigators.  During the revocation hearing before a United States Magistrate Judge, the man committed perjury in furtherance of the conspiracy to obstruct justice, falsely claiming responsibility for the vandalism.  Subsequent investigation by the DEA confirmed the perjury, and that defendants Mahar and Spilman had procured the perjury. The investigation also revealed that after the unlawful interference with the revocation hearing, defendant Spilman continued to distribute marijuana while on court-ordered location monitoring.

United States Attorney Christina E. Nolan commended the investigative efforts of the Drug Enforcement Administration; the Burlington Police Department; the Bureau of Alcohol, Tobacco, Firearms, & Explosives; and the Department of Liquor and Lottery Office of Compliance and Enforcement, in the successful arrests and prosecution of defendants Spilman and Mahar.  

Defendant Mahar was represented by Frank J. Twarog, Esq.  Defendant Spilman was represented by Lisa Shelkrot, Esq.  The United States was represented by Assistant U.S. Attorney Jonathan A. Ophardt.

The Office of the United States Attorney for the District of Vermont announced that Michael Scaduto, 33, of Littleton, Massachusetts, pleaded not guilty on February 20, 2020, in United States District Court in Burlington, to a charge of assaulting a Border Patrol Agent.  U.S. Magistrate Judge John M. Conroy released Scaduto on conditions pending trial, which has not been scheduled.

On February 13, 2020, a federal grand jury in Burlington returned a one-count indictment charging Scaduto with knowingly and intentionally forcibly assaulting, resisting, opposing, impeding, intimidating and interfering with a Border Patrol Agent of the United States Department of Homeland Security, Customs and Border Protection, while the Border Patrol Agent was engaged in and on account of the performance of his official duties.

United States Attorney Christina E. Nolan stated:  “The U.S. Attorney’s Office will not tolerate assaults on those who protect, serve, and put themselves in harm’s way to make Vermont safer.  Those who commit such offenses against federal agents will find themselves in federal court.  We thank our brave men and women in uniform at all levels of law enforcement for their daily sacrifices in the name of public safety.” 

The United States Attorney emphasizes that the indictment is merely an accusation and the defendant is presumed innocent unless and until proven guilty.  If convicted, Scaduto faces a maximum possible term of imprisonment of eight years and a fine of $250,000.00.

The matter is being investigated by the Federal Bureau of Investigation, with assistance from the U.S. Border Patrol.  The case is being prosecuted by Assistant U.S. Attorney Andrew Gilman.  Scaduto is represented by Mark Kaplan, Esq.

The Office of the United States Attorney for the District of Vermont stated that on February 14, 2020, Kieta Armstead was sentenced in federal court on one count of possession with intent to distribute more than 28 grams of cocaine base.  Armstead -- who is 42 and formerly of New York, New York -- was sentenced by U.S. District Judge Christina Reiss to 98 months of imprisonment and four years of supervised release. 

The defendant pleaded guilty pursuant to a plea agreement he entered into with the United States.  As described at the defendant’s sentencing and in court records, in May 2019, Armstead came to Chittenden County, Vermont to distribute cocaine base, as well as heroin and fentanyl.  In mid-May, law enforcement conducted three controlled purchases of drugs from Armstead.  On May 30, 2019, officers arrested Armstead and, during a subsequent search of his hotel room, found additional quantities of heroin, fentanyl, cocaine base, and cocaine.  This conviction was Armstead’s third in the District of Vermont for violating the federal Controlled Substances Act.

U.S. Attorney Christina Nolan commended the collaborative investigation of the DEA and the Burlington Police Department, stating: “With this significant sentence, we reiterate a simple and important message:  do not come to Vermont to sell deadly drugs.  If you do, law enforcement will target you for criminal charges and serious consequences.  This is especially true for repeat offenders.” 

“Let this significant sentence serve as a warning to those traffickers who are coming from out of state like Mr. Armstead to deal these poisons to the citizens of Vermont,” said DEA Special Agent in Charge Brian D. Boyle.  “This investigation demonstrates the strength of collaborative law enforcement efforts in the Green Mountain State.”
Kieta Armstead is represented by Mark A. Kaplan, Esq.  The United States is represented by Assistant United States Attorney John J. Boscia.

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years

The United States Attorney for the District of Vermont announced that Catherine Verdon, 45, of Middletown Springs, pleaded not guilty yesterday in United States District Court in Burlington to an indictment charging her with making false statements to obtain federal and state program benefit payments.  U.S. Magistrate Judge John M. Conroy released Verdon on conditions pending trial, which has not been scheduled.

On January 29, a federal grand jury in Rutland returned a four-count indictment against Verdon.  Two of the counts charged Verdon with making false statements to the Social Security Administration in connection with her applications for Supplemental Security Income benefits, a need-based assistance program for aged, blind and disabled individuals.  According to the indictment, Verdon falsely claimed that she and her husband were separated and that he did not live in the household.  Such falsehoods would have affected her eligibility to receive any SSI benefits. 

The indictment further charges Verdon with making false statements to Vermont officials in connection with her application for benefits under Vermont assistance programs that are funded, in part, by the U.S. Departments of Agriculture and Health and Human Services.  Such programs include Medicaid; 3Squares, a food stamp-type program; a fuel assistance program; and Reach Up, a family assistance program.  The indictment alleges that Verdon falsely claimed in her state applications that she and her husband were separated; that he did not live in the household; and that he did not provide financial assistance to the family.

The U.S. Attorney emphasizes that the charges in the indictment are merely accusations and that Verdon is presumed innocent unless and until she is proven guilty.

If convicted, Verdon faces up to five years of imprisonment and a fine of up to $250,000.  The actual sentence would be determined with reference to federal sentencing guidelines.

This case was investigated by the Offices of the Inspector General of both the Social Security Administration and the Department of Health and Human Services.

Verdon is represented by Assistant Federal Defender David McColgin.  The prosecutor is Assistant U.S. Attorney Gregory Waples.

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150years.

The Office of the United States Attorney for the District of Vermont stated Jafet Rodriguez, 39, of Hazleton Pennsylvania, has been charged with unlawfully smuggling tropical birds into Vermont from Canada, in violation of the Endangered Species Act and the federal anti-smuggling statute. 

Rodriguez appeared before United States Magistrate Judge John Conroy on February 13, 2020 and was released on personal recognizance. The next hearing in the case is a preliminary hearing scheduled for February 28, 2020. 

According to court documents, the Government alleges that on December 30, 2019, at 10:30 A.M., the defendant walked across the Canadian border near the Haskell Free Library in Derby Line, Vermont and approached a car parked in Stanstead, Quebec. According to the Government’s allegations, the defendant retrieved a black duffle bag containing the birds from the vehicle parked in Quebec and then walked back into the United States. United States Border Patrol Agents intercepted Rodriquez after he entered another vehicle (with Pennsylvania license plates) in Derby Line, Vermont. The agents recovered seven live tropical birds from this vehicle. 

According to court records, the National Fish and Wildlife Forensics Laboratory determined that five of the birds were Yellow-headed Amazons (Amazona oratrix) and two birds were White-bellied Parrots (Pionites leucogaster). These birds are protected by the Convention on International Trade in Endangered Species of Wild Fauna and Flora (commonly referred to as “CITES”). Under the Endangered Species Act, species which are protected under CITES cannot be imported without the appropriate permits. The birds were turned over to the U.S. Department of Agriculture and transported to the New York Animal Import Center in Rock Tavern, New York for a period of quarantine. 

The United States Attorney emphasizes that the charges contained in the Criminal Complaint are merely accusations and that the defendant is presumed innocent unless and until proven guilty. If he is convicted, Rodriguez faces a maximum possible term of imprisonment of 20 years under the statute prohibiting the unlawful smuggling of merchandise into the United States. If convicted, the defendant’s actual sentence would be informed by the advisory Sentencing Guidelines. 
            
This matter is being investigated by the U.S. Border Patrol and Homeland Security 
Investigations with assistance from the U.S. Fish and Wildlife Service. The case is being prosecuted by Assistant U.S. Attorney Joseph Perella. Rodriguez is represented by David McColgin of the Federal Public Defender’s Office in Burlington, Vermont.       
    
The following photographs were contained in the Government’s Criminal Complaint Affidavit filed with the Court on January 28, 2020: 
 

The Office of the United States Attorney for the District of Vermont stated that John Guerrero (also known as “Sunshine” to his former drug customers in Franklin County) was sentenced today in federal court on one count of conspiring to distribute two hundred and eighty grams or more of cocaine base and one count of conspiring to possess firearms in furtherance of the drug trafficking crime.  Guerrero—who is 27 and a resident of Boston, Massachusetts—was sentenced by U.S. District Judge Christina Reiss to a period of incarceration of 155 months, to be followed by 5 years of supervised release, for his role in the conspiracies. 

The defendant pleaded guilty pursuant to a plea agreement he entered into with the United States.  According to court records, Guerrero was responsible for the distribution of at least 2.8 kilograms of “crack” cocaine in the Franklin County area and for the trafficking of at least 30 illegally purchased firearms from Vermont to the Boston area.  Guerrero and his coconspirators used drug customers to purchase firearms for them in exchange for controlled substances.  Their offenses continued from at least September 2017 through March 2018. 

As part of his plea agreement, the defendant had agreed to a sentencing range of 144 to 180 months (12-15 years).  In exchange, the United States agreed to dismiss two additional criminal charges, including interstate transportation of firearms from which the serial numbers had been removed, altered, or obliterated.  The defendant could have been sentenced up to life imprisonment for the remaining counts of conviction in the absence of the plea agreement.

United States Attorney Christina E. Nolan noted: “These cases are among the most serious cases we investigate and prosecute.  The damage currently caused by dangerous drugs in our communities, including those in Franklin County, cannot be overstated.  To make the situation worse, these particular individuals trafficked firearms across state lines into a separate community, deliberately introducing them into neighborhoods already saturated with violent crime.  The U.S. Attorney’s Office remains committed to the prosecution of crimes at the intersection of dangerous drugs and illegal firearms.”

The investigation of this case was a joint effort between agents with the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and local law enforcement—particularly the St. Albans Police Department.  Their efforts were part of Project Safe Neighborhoods (PSN), a centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime.  Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them.  As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

This prosecution was handled by Assistant United States Attorney Matthew Lasher.  John Guerrero was represented by David F. Kidney, Esq. of Barre, Vermont.

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

The Office of the United States Attorney for the District of Vermont stated that Mark Triolo, 47, was sentenced on February 11, 2020 to 75 months in jail by Judge Christina Reiss in United States District Court in Burlington, Vermont.  Triolo had previously pleaded guilty to three counts of robbery.  Judge Reiss also imposed a three-year period of supervised release to be served after Triolo completes his jail sentence. 

On May 1, 2018, Triolo robbed the Small City Market in Vergennes at gunpoint and fled the store with approximately $6115 in cash.  At the time of this robbery, Triolo was wanted on a parole violation in Texas, and he was a suspect in a recent robbery in Queensbury, New York.  On the evening of May 4, 2018, law enforcement was notified of two more armed robberies: one at the Ascutney Sunoco gas station in Weathersfield and a second armed robbery at the Allen Brothers Farm Market in Westminster. 

On May 4, 2018, law enforcement encountered Triolo at a gas station in Brattleboro and attempted to take him into custody.  Triolo fled the scene at a high rate of speed.  Triolo was later located on the Black Mountain Road in Brattleboro.  Officers began to give verbal commands to Triolo ordering him to stop and show his hands.  Triolo did not respond to those commands and officers subsequently fired multiple rounds striking him.  Triolo was taken into custody with officers rendering medical aid until rescue personnel arrived.  Triolo has since recovered.  A search of the vehicle driven by Triolo recovered a pellet gun which was similar in appearance to an actual semi-automatic pistol and similar to the weapon used in the robberies.   

The Vermont Attorney General’s Office later determined that the officers involved in the shooting were justified in their use of force against Triolo. 

At sentencing, the government urged the court to impose a sentence of 144 months, in part because of the seriousness of the offense and the danger Triolo poses to the public. In addition, at the time of the crimes in Vermont, Triolo was on parole escape status and had been placed on parole after serving 17 years in prison in Texas for crimes similar to those which he committed in Vermont.  The court declined and imposed a within-the-guidelines sentence of 75 months.

This case was investigated by the Vermont State Police, the Vergennes Police Department, the Brattleboro Police Department and the Federal Bureau of Investigation.  Assistant United States Attorney Wendy L. Fuller represented the government.  Triolo was represented by Assistant Federal Public Defender David McColgin.

This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting firearm use and possession crimes; prioritizes prosecuting persons who make false statements when attempting to obtain firearms; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives concerning persons who attempt to obtain firearms illegally; coordinates responses to persons prevented from obtaining firearms for mental health reasons; and ensures the use of modern intelligence tools and technology to focus on the criminals posing the greatest threat to our communities. 

For more information, please see https://www.justice.gov/projectguardian

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years

The Office of the United States Attorney for the District of Vermont stated that Rashad Nashid, age 39, was sentenced on February 10, 2020 to 150 months in jail by Judge William K. Sessions III in United States District Court in Burlington, Vermont.  Nashid had previously pleaded guilty to two counts of possessing a firearm as a convicted felon.  Judge Sessions also imposed a three-year period of supervised release to be served after Nashid completes his jail sentence.

On February 26, 2018, at approximately 2:10 a.m., Rashad Nashid fired two bullets into a crowded street in front of Nectar’s bar in Burlington. One of the bullets struck a 27-year-old female bystander in the chest and the other bullet pierced a bedroom window of a nearby apartment. Nashid fled the scene on foot. Moments later, Burlington Police Department Sergeant Daniel Merchand encountered Nashid. Nashid reached toward the waistband of his pants for a gun. Fearing that he too would be shot, Sgt. Merchand ran for cover behind his cruiser, screamed at Nashid to put his hands up and told Nashid to get on the ground. Nashid complied and was arrested.  The female victim was rushed to the UVM Medical Center where she underwent multiple surgeries and remained hospitalized for almost three weeks. She has since recovered but still suffers physical and psychological effects from the shooting.

Investigation into the incident revealed that Nashid had eight prior felony convictions and was prohibited from possessing firearms.  The investigation also showed that the day before the shooting, Nashid was at a firing range in Chittenden County shooting an AR-15. 

During the sentencing, Judge Sessions ruled that Nashid’s actions of shooting the firearm into the crowd was reckless under the circumstances and manifested extreme indifference to the value of human life.  Judge Sessions also agreed that given the seriousness of the offense and the harm to the female victim and Sgt. Merchand, an upward variance from the applicable guideline range was warranted which resulted in a 150-month sentence.

The case resulted from the collaborative efforts of the Burlington Police Department and the Bureau of Alcohol, Tobacco, and Firearms.  Kelly D. Brady, Special Agent in Charge of the ATF Boston Field Division, commented: “Today’s sentence is another example of ATF’s relentless effort to reduce violent crime and remove trigger-pullers from the streets of Burlington, Vermont. We will continue to aggressively work with our local, state, and federal law enforcement partners to keep firearms out of the hands of criminals and to keep all Vermont neighborhoods safe from violent gun crime.”

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 make our neighborhoods safer for everyone. 

Assistant United States Attorney Wendy L. Fuller represented the government.  Nashid was represented by Assistant Federal Public Defender Steven Barth.

U.S. Attorney Christina E. Nolan commended the collaborative investigation of state and federal law enforcement, stating, “this case exemplifies how we prioritize charging federal gun laws to make our communities safer. Convicted felons who possess guns pose extreme dangers to innocent, law abiding Vermonters, as this case demonstrates. The U.S. Attorney’s office will not tolerate this conduct and we will continue to work with our law enforcement partners to bring serious consequences to felons who flout federal gun laws.”

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

The Office of the United States Attorney for the District of Vermont stated that Jennifer Dwyer, 49, of St. Johnsbury, Vermont, was sentenced today in federal court on one count of wire fraud arising out of the embezzlement of approximately $2.2 million over a ten-year period from her Lyndonville employer, Northeast Agricultural Sales, Inc. (“NEAG”).  U.S. District Judge Christina Reiss sentenced Dwyer to 51 months in prison, to be followed by three years of supervised release.  Judge Reiss also ordered that Dwyer pay restitution in the amount of $2,221,079.47.      

According to court records, NEAG is a family-owned and operated business established in 1987 with locations in Lyndonville, Vermont and Detroit, Maine.  Dwyer was hired at NEAG in 1998, eventually serving as NEAG’s bookkeeper for more than ten years.  As bookkeeper, her responsibilities included customer billing, handling company accounts, and managing NEAG’s payroll system.  Between 2007 and 2017, Dwyer embezzled approximately $2,221,079.47 from NEAG through unauthorized electronic transfers of funds from NEAG’s payroll account to her personal checking account.  Dwyer used the misappropriated funds on on-line gambling and to pay personal debts and expenses. 

As part of her plea agreement with the government, Dwyer agreed to apply several assets (or her share of those assets) toward restitution.  These assets included a 2013 Cedarcreek Silverback Camper, a 2004 Chevrolet Silverado, a 2003 Chevrolet Commercial Silverado, and a 2013 Yanmar tractor.  The government also forfeited a 2015 GMC Sierra truck.  Under Dwyer’s agreement with the government, she further paid the value of her interest in her St. Johnsbury residence—$57,387.75—toward restitution.  Dwyer also voluntarily turned over the proceeds of the sale of a Sea Doo watercraft.  In total, these assets resulted in $84,621.70 for victim restitution.  Before she reports to the Bureau of Prisons on March 24, 2020, Dwyer is expected to pay an additional several thousand dollars towards restitution derived from the liquidation of a life insurance policy and investment account.      

United States Attorney Christina E. Nolan noted: “Jennifer Dwyer repeatedly stole thousands of dollars at a time over ten years as a trusted employee of Northeast Agricultural Sales.  The sentence today reflects the devastating impact her decade-long $2 million embezzlement had on this family-owned Northeast Kingdom business.  The U.S. Attorney’s Office remains committed to the prosecution of significant frauds that impact Vermont businesses and families.”

“Today’s sentence represents the FBI’s commitment to investigating fraud cases,” said Anna Holden, Supervisory Senior Resident Agent in Charge of the FBI Albany Field Office’s Burlington Resident Agency.  “Jennifer Dwyer broke the law and betrayed the trust of her employer, and now she will face the consequences of her actions.  The FBI will continue to investigate those who commit fraud for personal gain to ensure that they are brought to justice.”     

The Federal Bureau of Investigation conducted the investigation in this matter, with assistance from the Lyndonville Police Department.   

This prosecution was handled by First Assistant U.S. Attorney Kevin J. Doyle.  Jennifer Dwyer is represented by Natasha Sen, Esq. of Middlebury.

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

The Office of the United States Attorney for the District of Vermont announced that Curtis Bunkley, a.k.a. “Punisher,” of Brattleboro, has been indicted by a federal grand jury for distributing heroin and fentanyl leading to the overdose death of a Winhall, VT resident.  Bunkley was arraigned today by United States Magistrate Judge John M. Conroy, who ordered Bunkley detained pending trial. 

According to court records, a resident of Winhall, VT was found deceased on January 16, 2019.  The cause of the resident’s death was determined to be “acute mixed (heroin and fentanyl) intoxication.”  Inside the decedent’s residence were five empty bags and three bags containing heroin and fentanyl, all stamped with the symbol “12/24.”  Text messages found on the decedent’s cell phone showed communications with the individual who distributed the heroin and fentanyl to the decedent.  Witness testimony further revealed that the individual who distributed the heroin and fentanyl to the decedent purchased the substances from Bunkley.

On August 20, 2019, Bunkley pled guilty to a separate indictment charging him with distributing heroin and fentanyl.  In that case, according to Court records, Bunkley sold 50 bags of heroin and fentanyl to an informant on January 14, 2019.  The bags containing the heroin and fentanyl were stamped with the symbol “12/24.”  At the time of Bunkley’s arrest on April 11, 2019, he was found to be in possession of 320 additional bags of heroin and fentanyl.

The new charges against Bunkley are merely accusations and he is presumed innocent unless and until proven guilty.  If convicted, Bunkley faces up to life imprisonment and a mandatory minimum sentence of 20 years.  Bunkley’s ultimate sentence will be advised by the Federal Sentencing Guidelines. 

The case will be prosecuted by Deputy Criminal Chief Jonathan Ophardt and Assistant United States Attorney Nate Burris.  Bunkley is represented by Attorney Lisa Shelkrot. 

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

On February 7, 2020, United States Attorney Christina E. Nolan announced the results of a multi-agency, multi-jurisdictional law enforcement effort that focused on drug trafficking in Rutland, Vermont and the surrounding area.  During the months-long operation conducted by federal, state, local, and county officers, and federal and state prosecutors, law enforcement arrested or charged 27 individuals, searched 4 residences, and seized 14 firearms (including two AR-style rifles), approximately 148 grams of fentanyl and heroin, approximately 260 grams of cocaine base, approximately 50 grams of cocaine, and $35,560 of suspected drug proceeds.  

Those charged in federal court include:

• Wilnelia Martinez-Machuca, 42, of Springfield, Massachusetts, for possession with intent to distribute cocaine base.
• Joel Cruz, 27, of Union City, New Jersey, for possession with intent to distribute 28 grams or more of cocaine base.
• Shaqueille Jones, 25, of Jersey City, New Jersey, for possession with intent to distribute 28 grams or more of cocaine base.
• David Hodges, 42, of Rutland, Vermont, for possession of a firearm after having been previously convicted of a misdemeanor crime of domestic violence, and distribution of cocaine.
• Maynard Davis, 43, of Rutland, Vermont, for distribution of cocaine base.
• Rodney Carroll, 40, of Philadelphia, Pennsylvania, for distribution of cocaine base.
• Tyberius Mitchell, 30, of Rutland, Vermont, for distribution of cocaine base.
• Cheryl Barber, 34, of Rutland,Vermont, for distribution of heroin.
• Todd Popovitch, 38, of Rutland, Vermont, for distribution of fentanyl, possession of a firearm as an unlawful user of controlled substances, and making false statements in connection with the attempted acquisition of a firearm from a licensed dealer.
• Raymond Phillips, 55, of Fair Haven, Vermont, for distribution of cocaine base.
• Travis Norris, 31, of Shoreham, Vermont, for making false statements in connection with the attempted acquisition of a firearm from a licensed dealer.
• Edward Everett, 54, of Rutland, Vermont, for distribution of cocaine base and maintaining a drug-involved premises.
• John Harrell, 48, of Rutland, Vermont, for distribution of cocaine base.
• Quadeim Mack, 19, of Brooklyn, New York, for possession of a firearm in furtherance of drug trafficking, and possession with intent to distribute 40 grams or more of fentanyl, 28 grams or more of cocaine base, and cocaine.
• Steven Ciccone, 35, of Rutland, Vermont, for distribution of cocaine base.
• Naquan Brown, 30, of Brooklyn, New York, for possession of a firearm after having previously convicted of a felony, and possession with intent to distribute cocaine base.
• Richard Keefe, 56, of Rutland, Vermont, for possession with intent to distribute heroin and cocaine base.
• Noah Penn, 27, of New York City, New York, for possession with intent to distribute heroin and cocaine base.
• Mark Badie, 33, of Rutland, Vermont, for distribution of cocaine base.  
• Thomas DePalo, 60, of Rutland, Vermont, for distribution of cocaine base

Those arrested on state warrants and violations include:

• Antonio Sousa, 25, of Rutland, Vermont, for false information to a law enforcement officer and fugitive from justice.
• Mark Archer, 60, from Rutland, Vermont, for possession of cocaine.
• Darleen Palmer, 52, from Rutland, Vermont, for possession of heroin.
• Greg Shaw, 36, from Rutland, Vermont, for escape from custody.
• Roger Kittredge, 51, from Rutland, Vermont, for distribution of cocaine.
• Stacy Jones, 38, from Rutland, Vermont, for criminal driving while license suspended.
• Nickoletta Hathaway, 19, of Rutland, VT, for failure to appear.

The charges against the defendants are only allegations.  The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This operation stemmed from careful planning and collaboration by Vermont law enforcement at all levels.  The enforcement surge involved the participation of the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Department of Homeland Security - Homeland Security Investigations; the Drug Enforcement Administration; the Federal Bureau of Investigation; the United States Marshals Service; Vermont Drug Task Force; the Vermont State Police; the Rutland County Sherriff’s Office; the Rutland City Police Department; U.S. Customs and Border Protection - Air and Marine Operations. Crucial support was provided by the Office of the Rutland County State’s Attorney.  United States Attorney Christina E. Nolan thanked each agency for its teamwork and invaluable contribution to the operation.

United States Attorney Christina E. Nolan added: “Today -- as we did last November in St. Johnsbury and last April in Brattleboro -- we announce the results of a team effort by law enforcement to combat drug trafficking and gun crime in one of the hardest hit areas of the state.  The Rutland area is suffering greatly under the weight of the drug crisis and related violence, and we deployed a sustained surge of enforcement resources to bring consequences to those selling deadly drugs and violating federal gun laws in that region of the state.  The messages are simple. Out-of-state dealers should not come to Vermont; if they do, they will face serious consequences, no matter where in the state they do business.  Addicted Vermonters involved in the drug trade will also be held accountable.  But we urge those Vermonters to turn in their dealers and seek treatment. We want them to have their lives back.”

“These arrests are indicative of ATF’s commitment to rid our communities of dangerous drugs and illegal firearms," said Special Agent in Charge Kelly D. Brady of the ATF Boston Field Division.   "Citizens in Vermont can rest assured that the ATF and our law enforcement partners are determined to ensure these communities remain safe and a great place to live.  The success of this investigation is an outstanding example of our law enforcement community's resolve and determination."

“These arrests and seizures in Southern Vermont denote DEA’s priority to aggressively pursue anyone who distributes these poisons,” said DEA Special Agent in Charge Brian D. Boyle.  “Illegal drug distribution ravages the very foundations of our families and communities here in the Green Mountain State.  This operation demonstrates the strength of collaborative local, state and federal law enforcement efforts in Vermont and our strong partnership with the U.S. Attorney’s Office.”  

Rutland County State’s Attorney Rosemary Kennedy stated, “Operations like these are important in the struggle to protect this community from illicit drug trafficking and gun violence.  I want to thank the U.S. Attorney for leading this effort and all of the agencies that worked together to help protect Rutland County.” 

“These arrests and seizures are the direct result of the close coordination between our federal, state, and local law enforcement partners,” said Anna Holden, Supervisory Senior Resident Agent (SSRA) of the FBI Albany Field Office’s Burlington RA. “Through continued operations, we have been able to rid our communities of dozens of dangerous individuals looking to wreak havoc through drugs and violence. There’s more work to be done, and the FBI, along with our partners, will continue to relentlessly pursue anyone looking to threaten the safety and stability of our neighborhoods.”

“As made evident by the successes of past and present joint law enforcement operations, the focus and commitment of our public safety community is remarkable,” said U.S. Marshal Bradley LaRose. “The relentless pursuit of those who act to threaten the well-being of our citizenry will undoubtedly continue.  The Marshals Service is committed to contributing the resources necessary to support the zealous collaborative efforts of those who pursue justice as we move forward.”

This operation was conducted through the Organized Crime Drug Enforcement Task Force (OCDETF).  The principle mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those responsible for the nation’s illegal drug supply.  

The Assistant U.S. Attorneys handling the operation and subsequent prosecutions are AUSAs Nate Burris; Eugenia Cowles; William Darrow; Wendy Fuller; Nikolas Kerest; Jonathan Ophardt; Joseph Perella; and Paul Van de Graaf.  Defendants Martinez-Machuca, Mitchell, Popovitch, and Penn are represented by Assistant Federal Public Defender Elizabeth Quinn, Esq.  Defendant Cruz is represented by Thomas Sherrer, Esq.  Defendant Jones is represented by Mary Kehoe, Esq.  Defendants Carroll, Mack, and Ciccone are represented by Assistant Federal Public Defender Steven Barth, Esq.  Defendant Barber is represented by Ernest M. Allen, III, Esq.  Defendants Phillips and Everett are represented by David Watts, Esq.  Defendant Norris is represented by Federal Public Defender Michael Desautels, Esq.  Defendant Harrell is represented by Katina Francis Ready, Esq.  Defendant Brown is represented by Assistant Federal Public Defender David McColgin, Esq.  Defendant Keefe is represented by Robert S. Behrens, Esq.  Defendants Hodges and Badie are represented by the Office of the Federal Public Defender.  Defendant Davis has not yet appeared in court.

These investigations are part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting firearm use and possession crimes; prioritizes prosecuting persons who make false statements when attempting to obtain firearms; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives concerning persons who attempt to obtain firearms illegally; coordinates responses to persons prevented from obtaining firearms for mental health reasons; and ensures the use of modern intelligence tools and technology to focus on the criminals posing the greatest threat to our communities.

This week Congress passed a bill reauthorizing the temporary ban on deadly fentanyl analogues until May 6, 2021.  Before passage of the bill, DEA’s temporary scheduling of fentanyl analogues was set to expire on February 6, 2020.   The bill—S. 3201, Temporary Reauthorization and Study of the Emergency Scheduling of Fentanyl Analogues Act—extends the ban for another 15 months, which will allow for additional study on the potential permanent scheduling of all fentanyl analogues.  In the near term, it allows prosecutors to continue to bring cases against those involved in the distribution of these lethal substances.  The U.S. Attorney community across the country, including U.S. Attorney Nolan, advocated for passage of this bill in recently-published op-ed articles.  

U.S. Attorney Nolan praised the passage of the bill, calling it “an essential step in saving lives and keeping fentanyl analogues — some of the most lethal narcotics in existence — out of Vermont communities.”  She added:  “Law enforcement encounters with fentanyl analogues fell by fifty percent in the wake of DEA’s temporary ban.  The congressional extension of the prohibition will reduce the presence of fentanyl analogues in the country and give prosecutors a critical tool to break up drug trafficking organizations and bring consequences to for-profit dealers.  We thank our U.S. Attorney colleagues in New England for joining our office in supporting the legislation and we continue to hope for a permanent ban on these lethal drugs.”

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years
 

The Office of the United States Attorney for the District of Vermont stated that, on January 27, 2020, Roland Alston, age 35, was sentenced to 52 months in jail by Chief Judge Geoffrey Crawford in United States District Court in Rutland, Vermont.  Alston had previously pleaded guilty to possessing a handgun as a convicted felon in December 2018.  At the time of the plea, Alston also admitted that he possessed the firearm in connection with his drug trafficking.  Judge Crawford also imposed a three-year period of supervised release to be served after Alston completed his jail sentence.

On December 19, 2018, Barre police arrested Alston at a residence on 30 Eastern Ave. after finding a .22 caliber North American Arms Black Widow handgun, ammunition, crack cocaine, and Xanax in Alston’s bedroom.  Alston admitted at sentencing that he had also possessed at least two other firearms.  Court records show that Alston was engaged in drug trafficking both before and after his state arrest in December 2018.  Alston was arrested on the federal charges in May 2019 and held in jail pending his plea and sentence.

The case resulted from the collaborative efforts of the Barre Police Department and the Bureau of Alcohol, Tobacco, and Firearms.  Assistant United States Attorney Paul J. Van de Graaf represented the government.  Alston was represented by Assistant Federal Public Defender Steven Barth.

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 make our neighborhoods safer for everyone.  

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

UPDATE

The website containing links to over four hundred (400) documents is available at:  

https://www.pfdatabasedistrictofvermontsettlement.net/

ELECTRONIC HEALTH RECORDS VENDOR TO PAY LARGEST CRIMINAL FINE IN VERMONT HISTORY AND A TOTAL OF $145 MILLION TO RESOLVE CRIMINAL AND CIVIL INVESTIGATIONS

Practice Fusion, Inc. Admits to Kickback Scheme Aimed at Increasing Opioid Prescriptions 

Practice Fusion, Inc. (Practice Fusion), a San Francisco-based health information technology developer, will pay $145 million to resolve criminal and civil investigations relating to its electronic health records (EHR) software, the Department of Justice announced today.

As part of the criminal resolution, Practice Fusion admits that it solicited and received kickbacks from a major opioid company in exchange for utilizing its EHR software to influence physician prescribing of opioid pain medications.  Practice Fusion has executed a deferred prosecution agreement and agreed to pay over $26 million in criminal fines and forfeiture.  In separate civil settlements, Practice Fusion has agreed to pay a total of approximately $118.6 million to the federal government and states to resolve allegations that it accepted kickbacks from the opioid company and other pharmaceutical companies and also caused its users to submit false claims for federal incentive payments by misrepresenting the capabilities of its EHR software.

“Practice Fusion’s conduct is abhorrent.  During the height of the opioid crisis, the company took a million-dollar kickback to allow an opioid company to inject itself in the sacred doctor-patient relationship so that it could peddle even more of its highly addictive and dangerous opioids,” said Christina E. Nolan, United States Attorney for the District of Vermont.  “The companies illegally conspired to allow the drug company to have its thumb on the scale at precisely the moment a doctor was making incredibly intimate, personal, and important decisions about a patient’s medical care, including the need for pain medication and prescription amounts.  This recovery is commensurate to the nature of Practice Fusion’s misconduct, represents the largest criminal fine in the history of this District, and requires Practice Fusion to admit to its wrongs.  It is another example of pioneering healthcare fraud enforcement by the talented Assistant U.S. Attorneys and staff of this U.S. Attorney’s Office, working with their partners in law enforcement.  We cannot—and will not—tolerate technology companies influencing patient treatment merely because a pharmaceutical company provided a kickback.”    

The resolution announced today addresses allegations that Practice Fusion extracted unlawful kickbacks from pharmaceutical companies in exchange for implementing clinical decision support (CDS) alerts in its EHR software designed to increase prescriptions for their drug products.  Specifically, in exchange for “sponsorship” payments from pharmaceutical companies, Practice Fusion allowed the companies to influence the development and implementation of the CDS alerts in ways aimed at increasing sales of the companies’ products.  Practice Fusion allegedly permitted pharmaceutical companies to participate in designing the CDS alert, including selecting the guidelines used to develop the alerts, setting the criteria that would determine when a healthcare provider received an alert, and in some cases, even drafting the language used in the alert itself.  The CDS alerts that Practice Fusion agreed to implement did not always reflect accepted medical standards.  In discussions with pharmaceutical companies, Practice Fusion touted the anticipated financial benefit to the pharmaceutical companies from increased sales of pharmaceutical products that would result from the CDS alerts.  Between 2014 and 2019, health care providers using Practice Fusion’s EHR software wrote numerous prescriptions after receiving CDS alerts that pharmaceutical companies participated in designing. 

Practice Fusion executed a deferred prosecution agreement with the U.S. Attorney’s Office for the District of Vermont based on its solicitation and receipt of kickbacks from a major opioid company to arrange for an increase in prescriptions of extended release opioids by healthcare providers who used Practice Fusion’s EHR software.  As detailed in the criminal Information made public today, Practice Fusion solicited a payment of nearly $1 million from the opioid company to create a CDS alert that would cause doctors to prescribe more extended release opioids.  That payment was financed by the opioid company’s marketing department, and the CDS was designed with input from the marketing department.  Practice Fusion and the opioid company entered the CDS sponsorship because they believed that the CDS would influence doctors’ prescriptions of extended release opioids.  In marketing the “pain” CDS alert, Practice Fusion touted that it would result in a favorable return on investment for the opioid company based on doctors prescribing more opioids.

The criminal Information charges Practice Fusion with two felony counts for violating the Anti-Kickback Statute (AKS), 42 U.S.C. § 1320a-7b(b)(1), and for conspiring with its opioid company client to violate the AKS, 18 U.S.C. § 371.  This case is the first ever criminal action against an EHR vendor and the unique Deferred Prosecution Agreement imposes stringent requirements on Practice Fusion to ensure acceptance of responsibility and transparency as to its underlying conduct, and to invest heavily in compliance overhauls and an independent oversight organization.  The Deferred Prosecution Agreement requires Practice Fusion to pay a criminal fine of $25,398,300 and forfeit criminal proceeds of nearly $1 million.  In addition, the company will cooperate in any ongoing investigations of the kickback arrangement and report any evidence of kickback violations by any other EHR vendors.  To ensure transparency and public awareness of the company’s activities while the nation continues to battle an epidemic of opioid addiction, the Deferred Prosecution Agreement requires Practice Fusion to make documents relating to its unlawful conduct available to the public through a web site.  Additionally, the Deferred Prosecution Agreement mandates that Practice Fusion retain an independent oversight organization that is required to review and approve any sponsored CDS before Practice Fusion may implement the CDS, and create a comprehensive compliance program designed to ensure such abuses are not repeated.

“Across the country, physicians rely on electronic health records software to provide vital patient data and unbiased medical information during critical encounters with patients,” said Principal Deputy Assistant Attorney General Ethan Davis of the Department of Justice’s Civil Division.  “Kickbacks from drug companies to software vendors that are designed to improperly influence the physician-patient relationship are unacceptable.  When a software vendor claims to be providing unbiased medical information – especially information relating to the prescription of opioids – we expect honesty and candor to the physicians making treatment decisions based on that information.”

The civil settlement with the United States resolves Practice Fusion’s civil liability arising from the submission of false claims to federal healthcare programs tainted by the kickback arrangement between Practice Fusion and the opioid company.  It also resolves allegations of kickbacks relating to thirteen other CDS arrangements where Practice Fusion agreed with pharmaceutical companies to implement CDS alerts intended to increase sales of their products.  The $118.6 million settlement amount includes approximately $113.4 million to the federal government and up to $5.2 million to states that opt to participate in separate state agreements.

“Prescription decisions should be based on accurate data regarding a patient’s medical needs, untainted by corrupt schemes and illegal kickbacks,” stated United States Attorney David L. Anderson of the Northern District of California.  “In deciding what is best for patients, electronic health records software is an important tool for care providers.  It is critically important that technology companies do not cheat when certifying that software.” 

In addition to the kickback allegations, the civil settlement with the United States resolves allegations relating to two intersecting Department of Health and Human Services (HHS) programs, one at the Office of the National Coordinator for Health Information Technology (ONC) that regulates the voluntary health IT certification program, and one at the Centers for Medicare & Medicaid Services that oversees EHR incentive programs.  Specifically, the United States alleged that Practice Fusion falsely obtained ONC certification for several versions of its EHR software by concealing from its certifying entity, known as an ONC-Authorized Certification Body, that the EHR software did not comply with all of the applicable requirements for certification.  ONC’s certification criteria were designed to promote enhanced functionality, utility, and security of health information technology, and access to patient medical information across the care continuum.  HHS implemented the certification criteria for EHR software in multiple stages, known as editions.  To be certified under the 2014 Edition certification criteria, EHR software was required to allow users to electronically create a set of standardized export summaries for all patients.  When Practice Fusion sought certification of this 2014 Edition criteria, Practice Fusion falsely represented to the certifying body that its software met this data portability requirement, when several versions of its software did not.  The civil settlement resolves allegations that, at the time these versions of Practice Fusion’s software were certified, its software was unable to permit a user to create a set of standardized export summaries.  Additionally, after obtaining certification of the 2014 Edition criteria, Practice Fusion disabled access to this feature altogether.  Instead, Practice Fusion required users to contact it separately to request export of this critical patient data. 

In addition to failing to satisfy the data portability requirement, Practice Fusion’s software allegedly did not incorporate standardized vocabularies as required for certification.  The United States alleged that by fraudulently obtaining certification for its products, Practice Fusion knowingly caused eligible healthcare providers who used certain versions of its 2014 Edition EHR software to falsely attest to compliance with HHS requirements necessary to receive incentive payments from Medicare during the reporting periods for 2014 through 2016 and from Medicaid during the reporting periods for 2014 through 2017.

“Today's announcement shows that Practice Fusion exploited technology to profit at the expense of a vulnerable population -- patients seeking medical advice," said Timothy M. Dunham, Special Agent in Charge of the FBI's Washington Field Office, Criminal Division.  “The FBI is committed to working with our partners to bring to justice the perpetrators of healthcare fraud in all its forms, especially one that fans the flames of the already rampant opioid epidemic.”

“As new technologies continue to develop and evolve, so too do new and innovative fraud schemes,” said Shimon R. Richmond, Assistant Inspector General for Investigations of the U.S. Department of Health and Human Services. “We will continue to be vigilant in detecting and investigating these schemes in order to protect the safety of patients in federal health programs and to ensure the appropriate use of electronic health records in providing their care.”

The criminal investigation and resolution was handled by Assistant United States Attorneys Michael P. Drescher and Owen C.J. Foster of the United States Attorney’s Office for the District of Vermont.  The civil investigation was jointly handled by the United States Attorney’s Offices for the District of Vermont and the Northern District of California, and Edward Crooke, Kelley Hauser, and Christelle Klovers of the Civil Division’s Commercial Litigation Branch.  The investigation was supported by the HHS Office of Inspector General and multiple HHS agencies and components.  The Federal Bureau of Investigation’s field office in Washington, DC, and New York also provided significant investigative support to the investigations.  Vermont Heath Care Fraud Investigators George Thabault and Richard Lewis provided significant and critical investigative resources to the Vermont-based team.

Except for the conduct admitted in connection with the criminal resolution, the civil claims resolved by the settlement are allegations only, and there has been no determination of liability as to such civil claims.  

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years

# # #

The Office of the United States Attorney for the District of Vermont announced that Christopher Mesick, 38 of Jeffersonville, was indicted yesterday by a federal grand jury sitting in Burlington with being a felon in possession of a firearm and with being an unlawful user of a controlled substance in possession of a firearm.  Mesick was arrested on these charges on January 13, 2020 and was detained.  Mesick waived his appearance yesterday at his arraignment before U.S. Magistrate Judge John M. Conroy and Mesick’s defense attorney entered pleas of not guilty on his behalf. 

According to a federal criminal complaint, on January 5, 2020, troopers with the Vermont State Police (VSP) conducted a welfare check on Christopher Mesick at his residence on Main Street in Jeffersonville.  When troopers arrived at his residence, they observed Mesick unsteady on his feet and slurring his speech.  Mesick made several threatening comments toward the troopers and was handcuffed for his safety and the safety of the troopers.  During the interaction with Mesick, one of the troopers observed four rifles in the living room. The trooper recognized three of the rifles as AR-15 style rifles with bayonets attached. One rifle had a 50-round drum magazine inserted.  Mesick is a convicted felon by virtue of a 2017 conviction for aggravated assault. 

On January 13, 2020, VSP executed a state search warrant at Mesick’s residence.  During the search, law enforcement recovered approximately 16 firearms, including several AR-15 and AK-style assault rifles.  Law enforcement officers also located several cases of various ammunition, a footlocker full of knives and machetes, body armor and a few ounces of marijuana. Mesick told law enforcement he was a marijuana user.

If convicted of being a felon in possession of a firearm, Mesick faces a maximum sentence of 10 years of imprisonment and up to a $250,000 fine.  Mesick also faces a maximum sentence of 10 years of imprisonment and up to a $250,000 fine if he is convicted of being an unlawful user of a controlled substance in possession of a firearm.  The actual sentence, however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines.  The United States Attorney emphasizes that the charges in the indictment are merely accusations, and that the defendant is presumed innocent unless and until he is proven guilty.

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

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.

The United States is represented in this matter by Assistant U.S. Attorney Wendy Fuller. Christopher Mesick is represented by Federal Public Defender Michael Desautels.

The United States Attorney for the District of Vermont announced that Allahjuan Calhoun, 29, of Yonkers, NY, was sentenced yesterday in United States District Court in Burlington to 26 months of imprisonment following his guilty plea to a charge of being a felon in possession of a firearm.  U.S. District Judge Christina Reiss also ordered that Calhoun serve a two-year term of supervised release following completion of his prison term.

On January 31, 2019, law enforcement authorities arrested Calhoun on state charges of aggravated domestic assault and possessing a firearm as a prohibited person.  The arrest took place after state and federal officers executed a search warrant at a residence in Barre where Calhoun had been staying.  During the search, officers seized a .38 caliber revolver that had Calhoun’s DNA on it.  The state dismissed its charges last May after a federal grand jury indicted Calhoun for being a felon in possession of the gun.  Calhoun pled guilty to the federal charge in October.  Calhoun is prohibited from possessing firearms because of a 2017 Vermont felony conviction for possessing heroin.

This case was investigated by the Bureau of Alcohol, Tobacco and Firearms and the Barre Police Department.

Calhoun is represented by Assistant Federal Public Defender David McColgin.  The prosecutor is Assistant U.S. Attorney Gregory Waples.

In 2017, almost 50,000 Americans died from opioid overdoses.  It’s a sad reality that New England as a whole has been particularly hard hit by opioids. In fact, per capita, of the 12 states across the country with the most opioid overdose fatalities, all six of our states make the list. Much of that is due to illicitly produced fentanyl.
 
To maintain and build upon a recent decline in opioid overdose deaths nationwide, law enforcement must have all the necessary tools at their disposal. One such tool is the Drug Enforcement Administration’s (DEA) 2018 order making all fentanyl-related drugs illegal in the United States. Unfortunately, that order was temporary and will expire in just a few weeks. The Senate recently passed bipartisan legislation approving a 15-month extension of the temporary order. While this is a step in the right direction and the House should follow suit and pass the Senate’s bill, a longer term solution is needed. A permanent ban on all fentanyl analogues would send a strong message to the cartels and sophisticated drug operations that pedal illicit fentanyl that the United States is serious about addressing this crisis and their actions will not be tolerated.
 
Illicit fentanyl is manufactured in labs in China and Mexico. It is 50 times more powerful than heroin and 100 times more powerful than morphine. So powerful, in fact, that only a couple milligrams – the size of a few grains of salt – can kill the average person.
 
Fentanyl, however, is unique. Because it is made in labs using chemicals, its structure is easily manipulated. And the drug cartels that manufacture and traffic this poison into our neighborhoods understand American laws and know how to exploit them. They know that by changing a single molecule in the chemical structure of fentanyl, they have essentially created a new drug. One that, unlike fentanyl, is not illegal in the United States. These drugs, known as “fentanyl analogues,” do as fentanyl does: create more addicts and kill more Americans. Yet, the analogues – which can be up to 100 times more potent than fentanyl and 10,000 times more potent than morphine – will all become legal if Congress fails to act.  
 
The DEA’s 2018 decision to temporarily schedule – that is, to make illegal – all fentanyl-related substances was a response to the extraordinary legal loophole exploited by drug traffickers.In April 2019, China also outlawed all fentanyl-related substances. This is extraordinary progress, with one caveat. Unlike China’s law, the United States’ has an expiration date.
 
On Feb. 6, 2020, the DEA’s temporary order expires, and all drugs seized by U.S. investigators over the past two years that have tested positive as fentanyl analogues will no longer be illegal. If Congress fails to pass the SOFA legislation it will have a dramatic impact not just on the prosecutors and law enforcement officers who spend their lives investigating and prosecuting drug dealers, but on communities already hard hit by the opioid epidemic, many of which are right here in New England. 
Despite recent reductions in opioid deaths across New England for the first time in decades, prosecuting drug dealers – particularly those who peddle heroin and fentanyl – remains a top priority for each of our offices. But our federal resources are not infinite; we need all the help we can get. Passing this legislation would provide invaluable support to us as prosecutors and the entire law enforcement community as we continue to combat the opioid crisis in New England and all throughout America.
 
A number of organizations have voiced opposition to the proposed legislation, arguing that the bill does not “embrace public health approaches to the overdose crisis.” We agree that a comprehensive approach to the crisis is needed, and a permanent fentanyl analogue ban should be viewed as part of a holistic effort. But time is running out: there is no doubt that drug traffickers are eagerly awaiting the temporary order’s expiration to start flooding our communities with these dangerous drugs. The passage of this legislation is quite literally a matter of life and death.
 
There should be nothing partisan about declaring fentanyl analogues illegal, any more than there is partisanship about the dangers of ricin or cyanide. And there is certainly nothing partisan about saving lives and bringing justice to those who profit from addiction and even death. For the safety of our New England communities, we urge Congress to pass legislatio nmaking permanent the DEA’s temporary scheduling of all fentanyl-related drugs.
 
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Christina E. Nolan is the United States Attorney for the District of Vermont
Aaron L. Weisman is the United States Attorney for the District of Rhode Island
Scott W. Murray is the United States Attorney for the District of New Hampshire
Andrew E. Lelling is the United States Attorney for the District of Massachusetts
Halsey B. Frank is the United States Attorney for the District of Maine
John H. Durham is the United States Attorney for the District of Connecticut

The Office of the United States Attorney for the District of Vermont stated that on January 16, 2020, Mark Hulett, 48, of Ferrisburgh, Vermont, was sentenced in United States District Court in Rutland to serve 120 months in prison after his guilty plea to one count of possession of child pornography.  Chief U.S. District Judge Geoffrey W. Crawford also ordered Hulett to serve a ten-year term of supervised release, and to pay a $100 special assessment. 

According to court records, the Vermont Internet Crimes Against Children Task Force received a CyberTip from the National Center for Missing and Exploited Children (NCMEC) which reported that a file depicting child pornography had been uploaded to an Internet search engine.  Subsequent investigation of the CyberTip revealed that the file had been uploaded from Hulett’s residence in Ferrisburgh.  On May 14, 2019, members of law enforcement executed a search warrant at that residence and recovered Hulett’s computer and phone.  A forensic search of those devices revealed that Hulett possessed over 2,000 images of child pornography, including images depicting prepubescent minor children.

Hulett was previously convicted in 2005, in Vermont Superior Court, of aggravated sexual assault and lewd and lascivious conduct with a child.

U.S. Attorney Nolan commended the efforts of the Vermont Internet Crimes Against Children Task Force and Homeland Security Investigations. 

Assistant U.S. Attorneys Barbara A. Masterson and Spencer Willig handled the prosecution of Hulett.  Assistant Federal Public Defender David L. McColgin represented Hulett. 

U.S. Attorney Nolan noted that this prosecution is part of the U.S. Department of Justice's Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse.  Led by the U.S. Attorney's Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

The Office of the United States Attorney for the District of Vermont announced that Harrel Keeling, 44, of Denver, Colorado, was sentenced today for Bank Fraud and Aggravated Identity Theft.  United States District Judge Christina Reiss sentenced Keeling to a 44-month total term of imprisonment, followed by a 5-year total term of supervised release, and ordered Keeling to pay $200,000 in restitution to the victim of his offense. 

According to Court records, on January 2, 2019, Keeling and a coconspirator flew from Denver to Burlington.  The next day, Keeling obtained a driver’s license in the name of D.P from the Vermont DMV, after presenting a legitimate birth certificate for D.P. and fraudulent supporting materials.  After obtaining the identification in D.P.’s name, Keeling went to the Citizens Bank branch in Burlington, Vermont, where he obtained an $180,000 teller check from D.P.’s business account.  Keeling and his coconspirator also visited a Citizens Bank branch in South Burlington, where Keeling withdrew an additional $8,000 in cash.  Keeling and his coconspirator traveled to the Mohegan Sun Casino, where they utilized the fraudulently obtained $180,000 teller check to establish a front-money account.  Keeling and his coconspirator then laundered the fraud proceeds through casino chips over the following days.  Keeling and his coconspirator withdrew additional currency in Connecticut, then traveled to New York City, and flew back to Denver shortly thereafter.  On January 31, 2019, Keeling was arrested in Aurora, Colorado on a federal warrant issued by the United States Magistrate Judge for the District of Vermont.  When Keeling was arrested, he was found to be in possession of approximately $7,500 in cash and $12,900 in postal money orders which he had obtained in New York City.  A federal seizure warrant recovered an additional $151,697 of funds from Keeling’s bank accounts, which will be used toward restitution.

United States Attorney Christina E. Nolan commended the investigative efforts of the United States Secret Service; the Mohegan Tribal Police; and the Burlington Police Department, in the successful arrest and prosecution of Keeling.

Keeling was represented by Ian Carlton, Esq. The United States was represented by Assistant U.S. Attorney Jonathan A. Ophardt.

The United States Attorney for the District of Vermont announced that Rebecca Armell, 46, of Shelburne, pleaded guilty yesterday in United States District Court in Burlington to a charge of credit card fraud.  U.S. District Judge Christina Reiss released Armell on conditions pending sentencing, which has been scheduled for May 1.

On December 2, 2019, the United States Attorney filed a one-count information charging Armell with access device fraud.  According to the information, in 2018, while employed at the Chimney Sweep in Shelburne, Armell misused the company’s Lowe’s credit card to obtain merchandise having a value in excess of $1000.  Armell pleaded guilty to that charge yesterday.

During yesterday’s court hearing, the government proffered that for 20 years prior to December 2018, Armell had worked at the Chimney Sweep – the last ten as a bookkeeper who had check-signing authority.  Beginning around 2016, Armell began stealing from the company.  She wrote checks to petty cash that she cashed and pocketed the proceeds.  She wrote checks to herself that she deposited, falsifying entries in the company’s books to make it appear the checks had been issued to fellow employees.  She also misused the company credit card to benefit herself, and charged personal automobile repairs to the Chimney Sweep account. In the aggregate, the losses may total around $290,000.

Armell faces up to ten years of imprisonment and a fine of up to $250,000.  The actual sentence would be determined with reference to federal sentencing guidelines.

The case was investigated by the U.S. Secret Service upon referral from the Shelburne Police Department.

Armell is represented by Brooks MacArthur.  The prosecutor is Assistant U.S. Attorney Gregory Waples.

The Office of the United States Attorney for the District of Vermont stated that, as of today, Samuel Fuller, 33, of Orleans, Vermont; James Bassett, 40, of North Troy, Vermont; Luis Luna, 28, of Hartford, Connecticut; and Edwin Martinez, aka “Pino,” 26, of Hartford, Connecticut, have each pleaded guilty to conspiring to distribute illegal narcotics, including fentanyl and cocaine base. The court will sentence Mr. Fuller on May 11, 2020, Mr. Bassett on April 20, 2020, Mr. Luna on May 11, 2020, and Mr. Martinez on April 9, 2020. The drug crimes all four defendants have pleaded guilty to carry 5 year mandatory minimum sentences and maximum sentences of 40 years. However, the sentences will be determined by the court with reference to the advisory U.S. Sentencing Guidelines.

All four defendants pleaded guilty to a conspiracy to distribute more than 40 grams of fentanyl. In addition, Fuller and Luna pleaded guilty to a conspiracy to distribute more than 28 grams of cocaine base. Luna and Martinez pleaded guilty to a conspiracy stretching from December 2018 to June 2019, while Fuller and Bassett pleaded guilty to a conspiracy ending in May 2019.

According to publicly available information, Edwin Martinez was Luis Luna’s fentanyl source during the charged time period, and Luis Luna, in turn, supplied Samuel Fuller with the fentanyl that originated with Mr. Martinez. After purchasing fentanyl from Luis Luna, Samuel Fuller would split the fentanyl with James Bassett, who had provided the money for the purchase from Luis Luna. In addition, Mr. Luna was Mr. Fuller’s cocaine base source and would sell cocaine base to Mr. Fuller, who would then sell it in Vermont. During the time period of the charged conspiracies, every two weeks or so, Mr. Fuller would collect money from Mr. Bassett, then, Mr. Fuller would communicate with Mr. Luna and order specific amounts of illegal drugs, including fentanyl and cocaine base. Then, on a date agreed upon by Mr. Fuller and Mr. Luna, Mr. Fuller would drive to Hartford, Connecticut where he would meet Mr. Luna at various locations. Mr. Luna would obtain fentanyl from Mr. Martinez and then sell it to Mr. Fuller. Mr. Luna would also sell cocaine base to Mr. Fuller. Once the transaction was over, Mr. Fuller would drive back to Vermont, split the fentanyl with Mr. Bassett, and they would each sell fentanyl to Vermonters. Mr. Fuller would also return to Vermont with cocaine base that he would sell to Vermonters.  Mr. Bassett and Mr. Fuller had a customer base in the Northeast Kingdom, primarily in Caledonia and Orleans Counties. 

The Federal Bureau of Investigation and Vermont State Police’s Drug Task Force conducted the investigation in this matter.

U.S. Attorney Christina Nolan praised the agencies’ collaborative investigation.  She stated: 

“Last November, we announced the arrest of 16 people in the Northeast Kingdom following the sustained deployment of law enforcement resources to combat the drug epidemic in that region of Vermont.  We told drug traffickers to stop using the Interstate 91 corridor to ferry drugs to addicted individuals in Orleans and Caledonia counties and other parts of Vermont.  We also promised that the Kingdom would never go overlooked by law enforcement and that we would continue to blanket the state with drug enforcement resources.  With these convictions involving a drug pipeline running to the Northeast Kingdom from points south, we reiterate those messages.  Out-of-state traffickers of highly-lethal drugs like fentanyl should not come to Vermont, and Vermonters in the business need to get out.  Contrary decisions will lead to federal charges.” 

The prosecution is being handled by Assistant U.S. Attorneys Paul Van de Graaf and Nikolas Kerest. Mr. Fuller is represented by Brooks McArthur, Esq. Mr. Bassett is represented by Mark Oettinger, Esq. Mr. Luna is represented by Natasha Sen, Esq. Mr. Martinez is represented by Kevin Henry, Esq.

The United States Attorney for the District of Vermont announced that Trish Covey, 50, of Fairlee, pleaded not guilty today in United States District Court in Burlington to a charge of credit card fraud.  U.S. Magistrate Judge John M. Conroy released Covey on conditions pending trial, which has not been scheduled.

On December 18, 2019, a federal grand jury in Rutland returned a one-count indictment charging Covey with access device fraud.  According to the indictment, in 2017, while employed at the Car Store, Inc., an automobile dealership in White River Junction, Covey misused the company’s credit card to obtain merchandise having a value in excess of $1000.  Although the indictment alleges only an offense that occurred during 2017, court records indicate the fraud may have begun as early as 2008.

The U.S. Attorney emphasizes that the indictment is merely an accusation and that the defendant is presumed innocent unless and until she is proven guilty.

If convicted, Covey faces up to ten years of imprisonment and a fine of up to $250,000.  The actual sentence would be determined with reference to federal sentencing guidelines.

The case was investigated by the U.S. Secret Service upon referral from the Vermont Department of Motor Vehicles.

Covey is represented by George Ostler.  The prosecutor is Assistant U.S. Attorney Gregory Waples.

Every year, we observe Law Enforcement Appreciation Day (LEAD) on January 9.  On this day, we celebrate and honor our brave men and women in uniform.  Every day, our law enforcement officers put their lives on the line to keep us safe, to combat dangerous crime, and to help preserve the Green Mountain State’s unique beauty and quality of life.  This involves tremendous daily sacrifice on their parts, to be sure, but also on the parts of their families and loved ones, who worry that officers will come home to them safely at shift’s end. 

Consider the case of a young patrol officer, who had recently graduated from the Vermont Police Academy.  Last year, she responded to a domestic violence call on behalf of her local Vermont police department.  When she arrived to the residence – alone, as backup had not yet arrived – she found a badly beaten, bloody, and unconscious woman on the floor.  A man of large stature stood in proximity to her body.  When the newly-minted officer gave commands to the man, he did not comply; instead, he walked over to the unconscious female and continued to beat her with his fist.  Without firing shots or drawing her gun, the female officer subdued the assailant on her own, saving the woman’s life.  This is heroism.  And heroic acts like these are performed by our law enforcement officers every day.  For every dispatch and 911 call to which they respond, they have no idea what danger may await them.  But, in the name of our safety, they always respond and they get there as quickly as they can. 
 
On January 9, take a moment to show support for those who serve and protect.  Send them an email, take them to coffee or lunch, tweet support for them, or just give them a call and say “thank you.”  This is the least we can do to give back to those who dedicate their lives to public protection and run toward danger to keep us safe.  On LEAD and every day, the U.S. Attorney’s Office in Vermont is deeply grateful to its law enforcement partners at the federal, state, local, and county levels.  We know that none of our cases are possible without your sacrifice and dedication, and we look forward to continuing our work together to promote justice and public safety in 2020. 

As we enter this New Year, it’s also a good time to reflect upon, and raise awareness of, officer wellness issues.  2019 witnessed 228 officer suicides nationwide, up from 172 in 2018.  Three Vermont officers have died by suicide since 2016.  The trauma, stress, and long hours of the job – and harrowing experiences like responses to violent domestics – contribute to these tragic figures.  While there is much we can and should do to address the tragedy, a doubling-down of appreciation and support for officers would be a great and much-needed start.  The Department of Justice recently launched the HERE, HELP, HOPE campaign.  Men and women in uniform, we are “here” for you.  If you wear the uniform, or someone you love wears the uniform, there is “help” – call 1800273TALK or text “blue” to 741741.  Above all, there is always “hope.”

The Office of the United States Attorney for the District of Vermont announced that Richard Whitcomb, 40, of White River Junction, was sentenced in the United States District Court in Rutland today to 37 months in prison after his guilty plea to being a felon in possession of a firearm.  Chief Judge Geoffrey Crawford also ordered that Whitcomb serve three years of supervised release when he completes his prison term.  Whitcomb has been incarcerated since his guilty plea to the charge in September 2019.   

According to court documents, on January 11, 2018, 19-year-old Austin Colson disappeared from the Royalton area of Vermont.  In May 2018, investigators found Colson’s body inside a barn on Beaver Meadow Road in Norwich where Richard Whitcomb had been a caretaker.  Colson’s death has been ruled a homicide caused by gunshot. 

Shortly after Colson’s disappearance, law enforcement learned that Whitcomb had been scheduled to meet with Colson on the morning of January 11 to go looking for scrap metal. This prompted investigators to ask Whitcomb for an interview.  During that interview, Whitcomb said he spoke with Colson on the morning of January 11 and agreed that he was scheduled to meet Colson to go scrapping.  Whitcomb claimed, however, that Colson never showed.   Whitcomb further told investigators that Colson was his drug supplier and that he would obtain drugs from Colson and turn around and sell them.  Whitcomb had also recently given Colson a firearm as collateral to hold in exchange for cocaine.  Whitcomb said he sold the cocaine obtained from Colson and later paid Colson back and retrieved the firearm. Whitcomb is a previously convicted felon. 
  
After the interview, Whitcomb allowed investigators to seize cell phones located at his residence, along with ammunition and the firearm he used as collateral during the drug deal with Colson.  During a search of Whitcomb’s cell phone, investigators learned that text messages and other information on the phone had recently been deleted.  However, investigators found that the last search in the Safari web browser on the phone—a search conducted just days after Colson’s disappearance and hours before Whitcomb was interviewed by detectives—was a search for: “How long does GSR last.”  GSR is a common acronym for “gunshot residue.”

The investigation into the homicide of Austin Colson is still ongoing.

Whitcomb was indicted for being a felon in possession of a firearm, in violation of 18 U.S.C. § 922(g)(1), and for possessing a firearm in furtherance of a drug trafficking crime, in violation of 18 U.S.C. § 924(c).  Whitcomb pleaded guilty to the felon in possession charge in exchange for his agreement to serve 37 months in prison.  The government dismissed the 924(c) count.
 
This case was investigated by the Vermont State Police and is part of the Department of Justice’s Project Safe Neighborhoods (PSN) Program.  PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

Whitcomb is represented by Brad Stetler, Esq.  The prosecutor is Assistant U.S. Attorney Wendy L. Fuller.

The Office of the United States Attorney for the District of Vermont stated that on December 20, 2019, Bradley Smith, 67, of Jericho, Vermont, was sentenced in United States District Court in Burlington, Vermont, to serve 24 months in prison after his guilty plea to one count of possession of child pornography.  U.S. District Judge Christina Reiss also ordered Smith to serve a seven (7) year term of supervised release, and to pay a $100 special assessment. 

According to court records and proceedings, the Vermont Internet Crimes Against Children Task Force (the ICAC) received a CyberTip from the National Center for Missing and Exploited Children (NCMEC) which reported that a file depicting child pornography had been uploaded to an Internet search engine.  Law enforcement investigated the CyberTip and determined that the image of child pornography had been uploaded from Smith’s residence in Jericho, Vermont.  On April 1, 2019, law enforcement executed a search warrant at Smith’s residence.  At that time, Smith disclosed, among other things, that he possessed child pornography on his computer, that he had been interested in child pornography for “decades,” and that he found images of child pornography to be sexually arousing.  A forensic search of Smith’s computer revealed that he possessed nearly 150 images of child pornography.  At sentencing, the Court found that some of the images in Smith’s collection of child pornography depicted sadistic and masochistic conduct.

Prior to execution of the search warrant and his arrest, Smith was employed as a para-educator in a first-grade classroom at the Union Memorial School in Colchester, Vermont.

U.S. Attorney Christina Nolan commended the efforts of the Vermont Internet Crimes Against Children Task Force and Homeland Security Investigations. 

Assistant U.S. Attorney Barbara A. Masterson handled the prosecution of Smith.  Assistant Federal Public Defender Steven L. Barth represented Smith. 

U.S. Attorney Nolan noted that this prosecution is part of the U.S. Department of Justice's Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse.  Led by the U.S. Attorney's Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

United States Attorney Christina E. Nolan announced today that the District of Vermont collected $1,228,588.74 in criminal and civil actions in Fiscal Year 2019.  Of this amount, $574,416.22 was collected in criminal actions and $654,172.52 was collected in civil actions. 

The District of Vermont worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $39,001,889.33 in cases pursued jointly by these offices. Of this amount, $18,037.74 was collected in criminal actions and $38,983,851.59 was collected in civil actions.         
 
The U.S. Attorneys’ Offices, along with the Justice Department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims.  The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss.  While restitution is paid to the victim, criminal fines and felony assessments are paid to the Department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.

Additionally, the Vermont U.S. Attorney’s office, working with partner agencies and divisions, collected $330,182.00 in asset forfeiture actions in FY 2019.  Forfeited assets deposited into the Department of Justice Asset Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.

 “The District of Vermont’s federal prosecutors and Civil Division attorneys work tirelessly to protect our citizens, to recover financial losses they sustain from criminal conduct, and to safeguard precious taxpayer resources,” said U.S. Attorney Nolan. “Their efforts enabled us to achieve justice for victims and recoup a significant amount of taxpayer dollars in Fiscal Year 2019.”

The Office of the United States Attorney for the District of Vermont stated that Tony Cuthbertson, 50, of St. Johnsbury, Vermont, was sentenced on December 4, 2019, in United States District Court in Rutland, Vermont, to serve 96 months in prison after his guilty plea to one count of knowingly producing with intent to distribute child pornography that is an adapted or morphed depiction of an identifiable minor.  Chief U.S. District Judge Geoffrey W. Crawford also ordered Cuthbertson to serve a ten (10) year term of supervised release, and to pay a $100 special assessment. 

According to court records and proceedings, in September and October of 2017, Cuthbertson uploaded images to multiple Chatstep chat rooms.  Chatstep is a website on the Internet that makes online chat rooms available to users.  Cuthbertson uploaded these images knowing that they would be available to other Chatstep users.  Cuthbertson produced these images by cropping images that depicted identifiable minors such that various aspects of the images were highlighted and the child appeared to be engaged in sexually explicit conduct.  These images depicted child pornography and Cuthbertson produced them with the intention of distributing them. 

United States Attorney Christina E. Nolan commended the efforts of the Lebanon, New Hampshire Police Department, the Vermont Internet Crimes Against Children Task Force, and Homeland Security Investigations in the investigation and prosecution of Cuthbertson.  Assistant U.S. Attorney Barbara A. Masterson handled the prosecution of Cuthbertson.  Assistant Federal Public Defender Steven L. Barth represented Cuthbertson.

U.S. Attorney Nolan noted that this prosecution is part of the U.S. Department of Justice=s Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit  www.projectsafechildhood.gov.

The United States Attorney for the District of Vermont announced that Randall Swartz, 59, of Orleans, was sentenced yesterday in United States District Court in Rutland to 48 months of imprisonment following his guilty plea to a charge of mail fraud.  Chief Judge Geoffrey Crawford also ordered that Swartz serve three years of supervised release following completion of his prison term and pay restitution in the amount of $452,558. 

According to the charging information to which Swartz pleaded guilty, until January 2017 when he was fired, Swartz was employed as the maintenance manager at Agri-Mark’s cheese-making plant in Cabot.  As maintenance manager, Swartz was responsible for maintaining, repairing and replacing all machinery and equipment at the Cabot site.  The maintenance budget amounted to several hundred thousand dollars each month.  Swartz also owned a side-business, Kingdom RO, which sold reverse osmosis systems that were used by producers of maple syrup to concentrate and purify maple sap.  Agri-Mark also employed reverse osmosis technology at its Cabot facility. 

The information charged that beginning no later than 2010 and continuing up to the time of his termination, Swartz defrauded Agri-Mark by causing the company to order reverse osmosis equipment that was too small for Agri-Mark to use in its cheese-making processes.  Instead, Swartz stole the equipment and installed it in smaller RO systems he sold to clients of Kingdom RO.  Swartz further defrauded Agri-Mark by using company employees, on company time, to assemble and install these RO systems. 

At yesterday’s sentencing hearing, Judge Crawford found that Swartz caused a loss to Agri-Mark of not less than $452,558.  The Government had contended the loss actually was about $1.2 million. 

The sentence imposed by Judge Crawford represented a significant upward variance above the range called for by federal sentencing guidelines.  Swartz is currently in the custody of the Vermont Department of Corrections, where he has been held without bail since May 2018 while awaiting trial for murdering his wife.  In his sentence today, Judge Crawford ordered that Swartz’ federal sentence run concurrently with any sentence that may be imposed on the homicide charge.

This case was investigated by the Vermont State Police, the Federal Bureau of Investigation and the U.S. Department of Homeland Security Investigations.

Swartz is represented by Richard Goldsborough.  The prosecutor is Assistant U.S. Attorney Gregory Waples.

Stuart Kurt Rollins, 58, was indicted this week for two violations of 42 U.S.C. § 3631 for interfering with housing rights after he repeatedly threatened and intimidated a family because members of the family are Hispanic, announced Assistant Attorney General Eric Dreiband of the Department of Justice’s Civil Rights Division, U.S. Attorney for the District of Vermont Christina E. Nolan, and FBI, Albany Division Special Agent in Charge James N. Hendricks.

According to the two-count indictment, on July 29, 2019, Rollins threatened and intimidated members of a family, including three minors, because of their race and national origin and because they live in a home across the street from Rollins. Rollins shouted derogatory comments about the family’s perceived national origin, told family members to go back to their country, and threatened both to burn down the family’s home and to set family members on fire. 

Rollins appeared in the District Court of Vermont in Burlington today. He remains in custody pending a detention hearing scheduled for Wednesday, November 27th.

Each count carries a maximum penalty of 10 years of imprisonment. An indictment is merely an accusation and the defendant is presumed innocent unless proven guilty.

This case was investigated by the FBI Albany Division, Burlington Resident Agency, with the support of the Barre City Police Department.  It is being prosecuted by Assistant United States Attorney Julia Torti, Civil Division Chief, District of Vermont and Trial Attorney Olimpia Michel of the Department of Justice’s Civil Rights Division.

On November 14, 2019, the United States Attorney for the District of Vermont announced a multi-agency, multi-jurisdictional law enforcement effort that focused on drug trafficking in the areas of Newport and Saint Johnsbury, Vermont.  During the month-long operation conducted by federal, state, local, and county officers, and federal and state prosecutors, law enforcement arrested or charged 16 individuals, searched 3 residences, and seized approximately 700 bags of fentanyl and heroin, 100 grams of cocaine base, 2 firearms, and $4,000 in drug proceeds. 

Those charged in federal court include:

• Jen Thompson, 39, of Newport, Vermont, for maintaining a drug-involved premises and distribution of cocaine base.
• Juliana Graves, 49, of Newport, Vermont, for possession with intent to distribute heroin, fentanyl, and cocaine base.
• Elijah Wheeler-Watson, 23, of Clinton, Massachusetts, for possession with intent to distribute cocaine base and heroin.
• Adis Djozo, 26, of Essex Junction, Vermont, for possession with intent to distribute heroin. 
• Alicia Parenteau, 36, of Newport, Vermont, for distribution of cocaine base. 
• Chakeshia Watts, 40, of St. Johnsbury, Vermont, for maintaining a drug-involved premises.
• Jerry Watts, 62, of St. Johnsbury, Vermont, for maintaining a drug-involved premises.
• Randy Devoid, 50, of St. Johnsbury, Vermont, for distribution of cocaine base.
• Shaquille Carter, 26, of New York, New York, for possession with intent to distribute cocaine base and heroin.
• Christina Thompson, 42, of Lyndonville, Vermont, for distribution of cocaine base.
• Morgan Cleveland, 39, of Newport, Vermont, for possession with intent to distribute fentanyl.
 
Those arrested on state warrants and violations include:

• Soloman Little, 26, of St. Johnsbury, Vermont, who was arrested and cited for fraud.
• Christopher MacKay, 52, of St. Johnsbury, Vermont, who was arrested on an extraditable warrant for violation of probation in Maine, and multiple failures to appear in Vermont court proceedings.
• Mark Houston, 30, of St. Johnsbury, Vermont, who was arrested twice in the same day for violating the conditions of his release by breaking curfew restrictions.
• Michael Barry, 26, of St. Johnsbury, Vermont, who was arrested for failure to appear in Vermont court proceedings.
• Michelle Churchill, 34, of St. Johnsbury, Vermont, who was arrested for violating conditions of furlough and returned to correctional custody with the Vermont Department of Corrections.

Defendant Carter is currently a fugitive.  Defendant Cleveland is at large.  All other defendants were arrested during the operation.

The charges against the defendants are only allegations.  The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This operation stemmed from careful planning and collaboration by Vermont law enforcement at all levels.  The enforcement surge involved the participation of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Department of Homeland Security - Homeland Security Investigations, the Drug Enforcement Administration, the Federal Bureau of Investigation, the United States Marshals Service, the Vermont Drug Task Force, the Vermont State Police, the Saint Johnsbury Police Department, the Newport Police Department, the Lyndonville Police Department, the U.S. Border Patrol, and the U.S. Customs and Border Protection - Air and Marine Operations. Crucial support was provided by the Office of the Caledonia County State’s Attorney and the Office of the Orleans County State’s Attorney.  United States Attorney Christina E. Nolan thanked each agency for its teamwork and invaluable contribution to the operation.

United States Attorney Christina E. Nolan added: “Today, as we did earlier this year in Brattleboro, we announce the results of a team effort by law enforcement to combat drug trafficking in one of the hardest hit areas of the state.  The Northeast Kingdom is suffering greatly under the weight of the drug crisis, and we deployed a sustained surge of enforcement resources to bring consequences to those selling deadly drugs in the area.  The messages are simple. Out-of-state dealers should not come to Vermont; if they do, they will face serious consequences, no matter where in the state they do business.  Those addicted Vermonters involved in the drug trade will also be held accountable.  Today, we urge those Vermonters to turn in their dealers and seek treatment. We want them to have their lives back.”

“Far too many people across Vermont have first-hand knowledge of family members or friends whose lives have been destroyed or lost due to opioids,” said Jason J. Molina, Acting Special Agent in Charge, Homeland Security Investigations. “HSI and our law enforcement partners will continue to be relentless in pursuing the organizations that are distributing opioids and other dangerous drugs into our communities.”

“The Caledonia County State’s Attorney’s Office is very fortunate to be able to work cooperatively with the U.S. Attorney’s Office in addressing the drug trade in our community. We would like to thank Chief Tim Page of the St. Johnsbury Police Department for his persistence in helping make this surge happen as well as the other dedicated law enforcement offices that assisted. We truly appreciate your service to our community,” stated Interim Caledonia County State’s Attorney Jessica Zaleski.

“Opioid abuse is at epidemic levels in Vermont,” said DEA Special Agent in Charge Brian D. Boyle.  “Let these arrests serve as an example to those who distribute poisons like fentanyl and heroin to the citizens of St. Johnsbury, that DEA will aggressively pursue and hold you accountable.  This investigation demonstrates the strength of collaborative law enforcement efforts in Vermont and our strong partnership with the U.S. Attorney’s Office.”

“The opioid epidemic continues to ravage Orleans County at an alarming rate,” stated Orleans County State’s Attorney Jennifer Barrett.  “This county has been fractured by the opioid epidemic.  The number of families torn apart and who have lost loved ones is a monumental tragedy. The Office of the Orleans County State’s Attorney commends the hard work of local and federal law enforcement agencies in their dedicated investigations. The Office of the Orleans County State’s Attorney continues to be committed to the aggressive prosecution of the drug dealers within our community.”

“The Vermont State Police and the Vermont Drug Task Force recognize the importance of combining federal, state and local law enforcement agencies into a concentrated team effort to combat drug trafficking in Vermont,” said Major Dan Trudeau. “Utilizing best police practices in response to violent crime, the opiate crisis, and drug trafficking will result in safer Vermont communities.” 

“The success of this initiative is a testament to the hard work and dedication of all the law enforcement professionals in the region working in a truly collaborative fashion,” said Kelly D. Brady, Special Agent in Charge of ATF’s Boston Field Division. “We could not ask for a better group of professionals to work with toward the shared goal of reducing violent crime in the City of St. Johnsbury and throughout Vermont.”

“These arrests send a clear message that drug traffickers have no place in our community,” said James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI). “Thanks to the incredible collaboration between our federal, state, and local partners, 700 bags of heroin and 100 grams of crack were taken off the streets. The FBI, along with our law enforcement partners, remains focused on stopping the movement and sale of drugs on our streets and ensuring that our neighborhoods are safe.”

St. Johnsbury Police Chief Tim Page added, “The St. Johnsbury Police Department would like to thank the U.S. Attorney’s Office, DEA, Homeland Security, FBI, U.S. Marshals and the Vermont State Police for their efforts in the recent actions against those suspected of drug activity in St. Johnsbury.  A cooperative and sustained initiative sends a strong message that such activity will not be condoned or tolerated.  Members of the St. Johnsbury Police Department remain committed to holding those responsible accountable.”

“As made evident by the successes of past and present joint law enforcement operations, the focus and commitment of our public safety community is remarkable,” stated U.S. Marshal Bradley J. LaRose. “The relentless pursuit of those who act to threaten the well-being of our citizenry will undoubtedly continue.  The Marshals Service is committed to contributing the resources necessary to support the zealous collaborative efforts of those who pursue justice as we move forward.”

The Assistant U.S. Attorneys handling the operation and subsequent prosecutions are AUSAs Nicole Cate, William Darrow, Michael Drescher, Andrew Gilman, Nikolas Kerest, Jonathan Ophardt, Joseph Perella, and Gregory Waples.  Defendant Jen Thompson is represented by Assistant Federal Public Defender David McColgin, Esq.  Defendant Graves is represented by Devin McLaughlin, Esq.  Defendant Wheeler-Watson is represented by Karen Shingler, Esq.  Defendant Djozo is represented by Paul Volk, Esq.  Defendant Parenteau is represented by Richard Bothfeld, Esq.  Chakeshia Watts is represented by the Office of the Federal Public Defender.  Defendant Jerry Watts is represented by Robert Katims, Esq.  Defendant Randell Devoid is represented by the Office of the Federal Public Defender.  Defendant Christina Thompson is represented by Edward Kenney, Esq.  Defendants Shaquille Carter and Morgan Cleveland have not yet appeared in court.

On Monday, November 18th members of local, state, county and federal law enforcement in partnership with treatment and recovery providers, the Caledonia and Orleans State’s Attorneys and the United States Attorney will hold a forum to discuss the drug and opiate challenges facing Northeastern Vermont.  This forum will include a panel presentation and an opportunity for the public to ask questions of the panel. The public is invited to this event which will begin at 6:30 p.m. at the St. Johnsbury Middle School in St. Johnsbury, Vermont. 

The public is encouraged to report criminal activity in their community by using the following link https://vsp.vermont.gov/tipsubmit.  Individuals can choose to remain anonymous when submitting a tip.

United States Attorney Christina E. Nolan announced today the rollout of a Law Enforcement Reading Program.  The U.S. Attorney’s Office created this program for purposes of outreach to children in rural communities.  Under the program, local police officers will read a book to students in grades 1 through 3 in the classroom, then engage in open-ended discussion of the content, themes, and lessons.  Book topics and themes will range from personal safety and character building to good citizenship and family life. Students will receive copies of the book to begin their own personal library.  

The goal of this program is to build trust, and foster positive relationships and interactions between law enforcement and young children.  Sadly, too often little children have formative experiences with police officers only in times of crisis and during responses to emergency calls; these difficult memories understandably color their view of law enforcement as they grow older.  The reading program represents an attempt to shift this dynamic, by introducing children to their police officer protectors in the positive, peaceful, and safe setting of the schoolhouse. 

The first reading will occur in Dover, Vermont on November 12, with Dover police officers conducting the reading.  Other readings are scheduled to occur in Thetford and Royalton this month.  The U.S. Attorney’s Office thanks the local participating police departments for their support and contribution. 

U.S. Attorney Nolan praised her office’s Law Enforcement Coordinator, Kraig LaPorte, for designing and implementing this creative youth outreach program, tailored to the needs of Vermont:  “With this program, we promote children’s trust and confidence in our brave men and women in uniform, while also helping to nurture and educate them and jump-start their home libraries.  We intend to share the concept, which advances several important goals, with our counterparts across the country.  Through our charging decisions and our outreach, the U.S. Attorney’s Office will continue to make the well-being of children – the future of Vermont – our highest priority.  I thank local law enforcement in Vermont for supporting this program and recognizing its importance.”

The Office of the United States Attorney for the District of Vermont announced that Esperanza Delarosa, 52, and her daughter Susan Mateo, 28, were both sentenced to prison terms for conspiring to distribute heroin, fentanyl, and oxycodone.   Today, U.S. District Judge Christina Reiss sentenced Delarosa to a 69-month term of imprisonment, to be followed by a 4-year term of supervised release.  On October 4, 2019, Judge Reiss sentenced Mateo to a 6-month term of imprisonment to be followed by a 3-year term of supervised release.  The defendant agreed, and the Court ordered, that Mateo’s Morrisville house be forfeited to the government, as it was the proceeds of, and directly facilitated, the defendants’ unlawful distribution of controlled substances.  In addition, the defendants agreed to forfeit a 2011 Ford Escape Limited, $8,626.26 seized from their bank accounts, and $3,258 of U.S. currency seized from Delarosa’s person.

According to Court documents, between October 2017 and January 23, 2018, Delarosa and Mateo conspired to distribute heroin, fentanyl and oxycodone.  Utilizing a confidential informant, law enforcement purchased suspected oxycodone and heroin from both defendants.  In total, laboratory testing revealed the suspected oxycodone was in fact oxycodone, but the suspected heroin was laced with fentanyl.  Law enforcement’s financial investigation revealed that defendant Delarosa utilized a bank account to facilitate her drug trafficking, requiring coconspirators to deposit funds in the bank account directly, rather than providing Delarosa with cash.  Law enforcement’s financial investigation also revealed that on September 21, 2017, defendant Mateo paid a $10,000 cash deposit to a foreclosure auctioneer to secure the right to purchase a house located on Randolph Road in Morrisville.  Defendant Delarosa subsequently paid an additional $75,000 in cash to conclude the purchase of the house.  Both defendants have admitted the $85,000 in cash used to purchase the house was proceeds of drug trafficking activity. 

At sentencing, Judge Reiss found that defendant Delarosa acted as an organizer, leader, manager, or supervisor of the conspiracy, and that she committed the drug trafficking offense as part of a pattern of criminal conduct engaged in as a livelihood.  In explaining the sentence imposed, Judge Reiss observed that defendant Delarosa’s crime was not a crime of impulse, but rather one of significant planning and organization. 

United States Attorney Christina E. Nolan commended the efforts of the Drug Enforcement Administration, the Morristown Police Department, the Stowe Police Department, the Lamoille County Sherriff’s Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives in the investigation of Delarosa and Mateo.  Nolan added: “This case exemplifies how Vermont law enforcement at the federal, state, local and county level unites to fight drug trafficking, with the goals to save Vermont lives, strengthen communities, and bring consequences to those who sell lethal drugs for profit.   We will be relentless in our collaboration and our pursuit of these goals.  Those who would come to Vermont to sell poison should reconsider.  Those who do will be targets of rigorous investigations and their conduct will be met with stiff consequences - including jail time and seizure of the ill-gotten assets they acquire with profits earned in the grim business of addiction.”

“DEA is committed to bring to justice anyone who distributes heroin, fentanyl and oxycodone in the state of Vermont,” said DEA Special Agent in Charge Brian D. Boyle.  “Today’s sentence not only holds Ms. Delarosa and Ms. Mateo accountable for their crimes, but serves as a warning that DEA and its local, state and federal law enforcement partners will do everything in our power to keep these highly addictive drugs off the streets of Vermont.”

“Lamoille County is very fortunate to have dedicated local law enforcement officers and deputies working together addressing drug trafficking in our community,” stated Lamoille County Sheriff Roger Marcoux. “It is our responsibility to investigate the mercenary individuals bringing in the poison that has killed so many of our family members throughout Vermont. We have been fortunate to have the unwavering support and leadership of U.S. Attorney Christina Nolan. Her staff have been amazing in this case. The Burlington Resident Office of the Drug Enforcement Administration has supported our efforts in the investigation and we appreciate their expertise. A special thank you to the men and women of the Morristown and Stowe Police Departments, as well as my deputies in Lamoille County.”

The United States was represented in this matter by Assistant U.S. Attorneys Jonathan A. Ophardt and Spencer Willig. Delarosa was represented by David Williams, Esq., and Brooks McArthur, Esq.  Mateo was represented by Maryanne Kampmann, Esq. 

The Office of the United States Attorney for the District of Vermont stated that Jennifer Dwyer, 49, of St. Johnsbury, Vermont, pled guilty today in federal court to one count of wire fraud involving the embezzlement of approximately $2.2 million over a ten-year period from her Lyndonville employer, Northeast Agriculture Sales, Inc. (“NEAG”). U.S. District Judge Christina Reiss accepted Dwyer’s guilty plea and ordered her released pending sentencing.  Sentencing is scheduled for February 11, 2020.  At sentencing, Dwyer faces a maximum possible penalty of 20 years in prison.  However, the sentence will be determined by the court with reference to the advisory U.S. Sentencing Guidelines.    

According to the Indictment, NEAG is a family business established in 1987 with locations in Lyndonville, Vermont and Maine.  Dwyer was NEAG’s bookkeeper from approximately 1998 to 2017.  As bookkeeper, her responsibilities included customer billing, handling company accounts, and managing NEAG’s payroll system.  By pleading guilty, Dwyer admitted that between 2007 and 2017, she embezzled approximately $2,221,079.47 from NEAG through unauthorized electronic transfers of funds from NEAG’s payroll account to her personal checking account.  Dwyer used the misappropriated funds on on-line gambling and to pay personal debts and expenses. 

As part of her plea agreement with the government, Dwyer stipulated that she embezzled $2.2 million dollars from NEAG, and that in doing so she abused a position of trust that allowed her to commit and conceal the embezzlement.  The plea agreement obligates Dwyer to pay restitution of approximately $2.2 million to NEAG, and to make specified lump-sum restitution payments prior to sentencing.  The plea agreement provides that should Dwyer fail to make those payments by the time of sentencing, specified items of personal property will be subject to forfeiture.  As part of her agreement with the government, Dwyer has consented to the repossession and sale of a camper that she partially paid for with embezzled funds.  She has further agreed to restitution payments equaling the value of her interest in two pick-up trucks and a tractor.  Finally, Dwyer has agreed to pay restitution corresponding to the value of her interest in her home and land in St. Johnsbury.  

The government previously forfeited Dwyer’s 2015 GMC Sierra 2500 truck as proceeds of the embezzlement.  By agreement with the government, Dwyer also sold a 2016 Sea-Doo watercraft and trailer.  The proceeds of the sale will be applied to restitution at the time of sentencing.

United States Attorney Christina E. Nolan noted: “Embezzlement by its very nature is a betrayal of trust.  This family-owned Northeast Kingdom small business suffered a devastating loss and deception by a person it had employed for years.  The U.S. Attorney’s Office is committed to rectifying such egregious wrongs and combatting large-scale frauds.”

“Plain and simple, this case is about greed and mistrust,” said James Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.  “Jennifer Dwyer chose to steal from the very people who gave her the opportunity to be a part of their family business.  The FBI takes our responsibility very seriously to investigate and pursue those who commit fraud for personal gain and we will continue to work with our partners to hold them accountable.”     

The Federal Bureau of Investigation conducted the investigation in this matter, with assistance from the Lyndonville Police Department.   

This prosecution is being handled by First Assistant U.S. Attorney Kevin J. Doyle.  Jennifer Dwyer is represented by Natasha Sen, Esq. of Brandon.

The Office of the United States Attorney for the District of Vermont announced that Carl Martin, 34, and Mirnes Julardzija, 33, were arrested on October 23.  Both defendants appeared yesterday before U.S. Magistrate Judge John M. Conroy in Burlington.  Martin was ordered detained pending detention and probable cause hearings on October 28, 2019.  Julardzija was released pending a probable cause hearing on November 12, 2019. 

According to a federal criminal complaint filed today, Martin sold cocaine to an undercover agent of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in September of 2019.  The complaint further alleges that Martin subsequently traded cocaine to the undercover agent in exchange for a semiautomatic pistol in October of 2019. 

A separate federal criminal complaint alleges that Julardzija aided and abetted Martin’s September, 2019 cocaine sale to the undercover agent.

If convicted of possessing a firearm in relation to a drug trafficking crime, Martin faces a maximum sentence of life imprisonment, a minimum sentence of five years, and up to a $250,000 fine.  Martin and Julardzija also face a maximum sentence of up to 20 years in prison if convicted of distributing cocaine.  The actual sentences however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines.  The United States Attorney emphasizes that the charges in the complaints are merely accusations, and that the defendants are presumed innocent unless and until they are proven guilty.

United States Attorney Christina Nolan commended the investigative efforts of federal, state, and local law enforcement.  She stated: “The U.S. Attorney’s Office will continue to prioritize combatting gun and violent crime in connection with the drug trade.  The mix of drugs and guns creates grave public safety risks, particularly where, as here, it occurs in areas of high pedestrian foot traffic.  Those who traffic guns in connection with the drug trade should consider themselves targets for federal investigation and prosecution.”  U.S. Attorney Nolan also thanked the Burlington Police Department, the Drug Enforcement Administration, the South Burlington Police Department, the Vermont State Police, and the U.S. Marshals Service for their assistance with this matter.

“The ATF has an unwavering commitment to remove illegal firearms and narcotics from our neighborhoods.  Everyone deserves a community where they feel safe,” stated ATF Boston Field Division Special Agent-in-Charge Kelly D. Brady.  “ATF is committed to working with our law enforcement partners and we will continue to use all of our resources to take armed criminals off our streets and put them behind bars where they belong.”

Burlington Police Chief Brandon Del Pozo commented: “Allegedly trading cocaine for a firearm is the type of behavior that makes Vermont a more dangerous place on several levels.  We’re grateful for a partnership with ATF and the U.S. Attorney’s Office that protects Vermonters from these dangers.”

The United States is represented in this matter by Assistant U.S. Attorney Wendy Fuller. Carl Martin is represented by Mark Oettinger.   Kevin Henry represents Mirnes Julardzija.

The Office of the United States Attorney for the District of Vermont stated that Shane Casey, 50, Kimberly Jones, 41, and Hamza Sharifshoble, 25, all of Chittenden County, VT, were indicted today by the federal grand jury on charges of distributing methamphetamine in violation of the Controlled Substances Act. If convicted, the defendants each face a maximum possible penalty of 20 years in prison and fines of up to $1,000,000 on each count.

According to court documents, Homeland Security Investigations and the Vermont Drug Task Force led an investigation into the distribution of methamphetamine in the Chittenden County, Vermont area. The investigation included multiple purchases of methamphetamine from Casey, Jones, and Sharifshoble from April 2019 through October 2019.

On October 17, 2019, agents with Homeland Security Investigations and the Vermont Drug Task Force arrested Sharifshoble for distribution of methamphetamine and also executed a federal search warrant on his apartment in South Burlington, Vermont. In the apartment, law enforcement found various paraphernalia consistent with illegal narcotics trafficking in addition to methamphetamine, heroin, and cocaine base.

Sharifshoble had his initial appearance before United States Magistrate Judge John M. Conroy in Burlington on October 18, 2019 on a single count of methamphetamine distribution. Sharifshoble was remanded to the custody of the U.S. Marshals Service. In today’s indictment, Sharifshoble faces four counts of distribution of methamphetamine and one count of aiding and abetting distribution of methamphetamine.

Shane Casey, who is in custody in Massachusetts on state charges, faces five counts of distribution of methamphetamine in violation of the Controlled Substances Act. Kimberly Jones, who is also in custody in Massachusetts on state charges, faces one count of distribution of methamphetamine.
 
United States Attorney Christina E. Nolan commended the collaborative investigative efforts of Homeland Security Investigations and the Vermont Drug Task Force.

The charges against Casey, Jones, and Sharifshoble are merely accusations and the defendants are presumed innocent unless and until they are proven guilty. Any sentences in this case will be advised by the Federal Sentencing Guidelines.

Sharishoble is represented by Elizabeth Quinn, Esq. Counsel for Casey and Jones have not been identified at this time.  Assistant U.S. Attorney Nikolas P. Kerest represents the United States.

The United States Attorney for the District of Vermont announced that Craig Cowles, 51, of Richmond, pleaded not guilty today in United States District Court in Burlington to tax-related fraud charges.  U.S. Magistrate Judge John M. Conroy released Cowles on conditions pending trial, which has not been scheduled.

On September 25, a federal grand jury in Rutland returned an indictment charging Cowles with five counts of tax evasion and 14 counts of structuring bank transactions to avoid currency reporting requirements.  According to the indictment, Cowles is the owner of Cowles Excavating, an earth-moving business located in Richmond.  The indictment charges that between 2012 and 2017, Cowles generated approximately $2.8 million in gross revenue from Cowles Excavating and other businesses he operated.  It alleges that during that period, Cowles filed no tax returns with the Internal Revenue Service and paid no federal income taxes despite earning hundreds of thousands of dollars in net profits. 

The indictment further accuses Cowles of structuring financial transactions to avoid federal currency reporting requirements.  Under law, a financial institution must file a report with the Secretary of the Treasury whenever a customer engages in a financial transaction, such as a bank deposit or withdrawal, that involves more than $10,000 in cash.  According to the indictment, Cowles structured a number of transactions to avoid this reporting requirement.  He allegedly did this by breaking down checks he received from business clients into cash amounts that were slightly under $10,000, then using additional funds from the checks to buy cashiers checks payable to himself.  Cowles often converted these cashiers checks into additional cash.  Federal law prohibits anyone from structuring deposits and withdrawals that are intended to circumvent the $10,000 cash reporting requirement.

The United States Attorney emphasizes that the charges in the indictment are merely accusations and that the defendant is presumed innocent unless and until he is proven guilty.

The tax evasion charges are punishable by up to five years of imprisonment and a fine of up to $100,000.  The structuring charges are also punishable by up to five years of imprisonment and a fine of up to $250,000.  The actual sentence in the event of a conviction would be determined with reference to federal sentencing guidelines.

The case was investigated by the Criminal Investigation Division of the Internal Revenue Service.

Cowles is represented by Tris Coffin and Tim Doherty.  The prosecutor is Assistant U.S. Attorney Gregory Waples.

The Office of the United States Attorney for the District of Vermont stated that Christopher Paige, Jr., 38, of Bellows Falls, was sentenced yesterday to a 102-month prison term following his guilty pleas to one count of possessing with intent to distribute more than 40 grams of a substance containing fentanyl, and one count of being a felon in possession of a firearm.  United States District Judge William K. Sessions III also imposed a four-year term of supervised release to follow Paige's incarceration.

Court records show that Paige admitted to distributing a substance containing fentanyl in late 2017 out of his Bellow Falls residence.  During a December 2017 search of that residence, police found more than 2,500 individual dosage bags containing fentanyl, as well as a loaded Bushmaster brand assault style rifle within arm's reach of where Paige slept.  Paige's criminal history included felony convictions for heroin possession, obstruction of justice, as well as federal firearm offenses. 

The case was investigated by the Vermont State Police, the Federal Bureau of Investigation, and the Bellows Falls Police Department.  U.S. Attorney Christina E. Nolan commended the collaborative effort of federal, state, and local law enforcement, stating:  “Paige, a Bellows Falls recidivist offender, trafficked enough fentanyl to kill thousands of people, while possessing an assault rifle.  This egregious conduct will not be tolerated and will be met with serious consequences, as this outcome exemplifies.  We remain acutely aware of the recent increase in overdose deaths in areas of southeast Vermont and of the suffering in those communities and across the state.  Our charging priorities will so reflect.” 

Paige was represented by Michael Desautels and Gregory Mertz.  The prosecutor was Assistant United States Attorney Michael Drescher.

By Presidential Proclamation, October is Domestic Violence Awareness month.  Domestic violence is a heinous crime that terrorizes adults and children, destroys relationships, and shatters the home, which should be a place of safety, love, and respect.  Across the country, domestic violence threatens – in the worst cases ends – lives.  During this month of awareness, we reaffirm our steadfast commitment to empowering survivors and ending this horrible, destructive, and life-threatening form of abuse.  As a country, we must resolve to show zero tolerance for acts of domestic violence.  This is a top priority for the Department of Justice.  In Vermont, the zero tolerance policy is in full effect.  The U.S. Attorney’s Office is doubling down on efforts to combat domestic violence in the Green Mountain State.  We are working with our state and local law enforcement partners and community providers as never before to prevent and bring serious consequences to domestic abusers and to ensure victims and survivors are connected to support and empowerment networks.  The reason:  domestic violence is a problem in Vermont.  In recent years, nearly half of Vermont’s homicides have arisen in the domestic context, and Vermont has outpaced the national average for instances of male perpetrators and female victims. 

The first component of our renewed and invigorated campaign is outreach to state and local law enforcement.  Roughly 40 percent of Vermont’s domestic violence homicides are committed with a gun.  There is a collection of federal laws – many pertaining to firearms – that can be used to prevent domestic violence and bring justice to perpetrators.  These federal crimes can very often be proven without the testimony of the victim, who, for obvious reasons, may be unready and reluctant to testify in a court proceeding against an abuser.  The U.S. Attorney’s Office has created a comprehensive brochure listing and summarizing the federal statutes that may be charged in the domestic violence context.  The brochure can be found on our website at /media/1025776/dl?inline. The U.S. Attorney’s Office is circulating this information to State’s Attorney’s Offices, the Vermont Attorney General’s Office, and to federal, state, local, and county law enforcement.  The written information will be accompanied by in-person meetings. 

The pertinent federal domestic violence laws can generally be grouped into two different categories.  First, crimes under the Gun Control Act, particularly those proscribing prohibited persons – such as convicted felons, individuals previously convicted of misdemeanor domestic violence offenses, individuals subject to restraining orders, drug users, individuals previously adjudicated mentally defective, and others – from possessing firearms.  It is also a federal crime to lie to a gun store about your prohibited person status in the course of buying a firearm.  Second, the Violence Against Women Act contains a series of prohibitions relating to domestic violence, including laws against interstate travel to commit domestic violence or to violate a restraining order, cyberstalking, and interstate stalking.  We are committed to ensuring we inform our state and local partners of these laws and maximize referral of these cases to the U.S. Attorney’s Office. 

As with all issues of public safety, while we will make as many arrests as we can consistent with the interests of justice, we cannot arrest our way out of the problem.  We are working closely with our partners in the prevention, education, and victim-survivor support communities to advance a comprehensive approach to ending domestic violence in Vermont.  The Department of Justice recently awarded Vermont a Project Safe Neighborhoods grant.  The Vermont Project Safe Neighborhoods Task Force – comprised of federal, state and local law enforcement, and a community nonprofit partner – has elected to direct the grant monies toward combatting domestic violence in Vermont.  The grant will be administered by the anti-domestic violence nonprofit organization, Circle, and we will encourage solicitations that seek to use the money for domestic violence prevention and education.  In addition, along with its brochure describing relevant federal crimes, the U.S. Attorney’s Office has created a short flyer summarizing the resources available to domestic violence victims and survivors in every county of Vermont.  The flyer can be found on our website at /media/1025771/dl?inline.

The U.S. Attorney’s Office also recently worked closely with the Vermont Attorney General’s Office to support its successful application for a Domestic Violence Technical Assistance Grant from the Department of Justice Office of Violence against Women and the National Council for Juvenile and Family Court Judges.  Vermont is one of only a handful of locations in the country to receive this grant, and the only state to receive the grant on a statewide basis.  Discussion amongst stakeholders is currently underway to determine how best to deploy the technical assistance grant. 

Lastly, the U.S. Attorney was recently appointed to the Domestic Violence Working Group of the U.S. Attorney General’s Advisory Committee.  This group serves to advise the Attorney General and federal law enforcement nationwide as to how to effectively marshal federal resources to combat domestic violence. 

As Vermonters and Americans, we must remain vigilant in our quest to end the horror of domestic violence and promote peace and safety in the home.  While we must recognize and face head-on the existence and tragedy of domestic violence, we should also take heart in knowing that combatting and preventing this crime are top priorities of law enforcement at all levels, and that stakeholders are working closely across disciplines to bring a stop to it. We are working with urgency, because this is a matter of life and death.

The Office of the United States Attorney for the District of Vermont announced that Justin Blake, 36, of Brooklyn, New York, and Michael Graham, 37, of Burlington, Vermont, were indicted yesterday by the federal grand jury on charges of conspiring to distribute, possessing with intent to distribute, and distributing fentanyl, heroin, and cocaine, in violation of the Controlled Substances Act.  Blake and Graham were both arrested on September 20, 2019, and are currently detained pending trial.

According to court records, the Burlington Police Department, with assistance from the Drug Enforcement Administration, conducted multiple purchases of fentanyl from Blake and Graham.  BPD Detectives identified three Burlington residences that Blake and Graham utilized as part of their drug distribution activities, and obtained warrants authorizing their search.  On September 20, 2019, BPD and DEA executed the three warrants on Washington Street, Riverside Avenue, and Archibald Street, seizing approximately 100 grams of cocaine, 30 grams of fentanyl, 14 grams of heroin, $5,300 of U.S. Currency, and a .22 caliber Beretta semi-automatic pistol.

If convicted, both defendants face a maximum of twenty years of imprisonment on each count.  The actual sentence however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines.  The United States Attorney emphasizes that the charges in the indictment are merely accusations, and that the defendants are presumed innocent unless and until proven guilty.

United States Attorney Christina E. Nolan commended the collaborative investigative efforts of the Burlington Police Department and the Drug Enforcement Administration. 

The United States is represented in this matter by Assistant U.S. Attorney Jonathan Ophardt.  Defendant Blake is represented by Robert L. Sussman, Esq.  Defendant Graham is represented by Gregory S. Mertz, Esq. 

The Office of the United States Attorney for the District of Vermont stated that Robert Thorn, 50, of Philadelphia, Pennsylvania, was sentenced today in United States District Court in Rutland, Vermont for possessing with intent to distribute heroin and 28 grams or more of cocaine base. Chief U.S. District Judge Geoffrey W. Crawford sentenced Thorn to five years in prison, to be followed by a five-year period of supervised release.

According to court records and proceedings, on January 14, 2019, law enforcement stopped a vehicle after investigation into suspected drug activity at a residence in Winooski, Vermont. Thorn, a passenger in the vehicle, initially provided law enforcement a false name. Thorn was found to be carrying approximately 110 grams of cocaine base, over 8 grams of heroin, and over $3,300 in U.S. currency. Additional investigation revealed that Thorn, who was on probation at the time, had deposited over $36,000 cash in Vermont ATMs in approximately two months.

The government and Thorn entered into a plea agreement in which Thorn admitted to the offense. The Court accepted the parties’ agreement providing for a five year sentence and sentenced him accordingly.

Assistant U.S. Attorney Nicole Cate handled the prosecution.  Thorn was represented by Assistant Federal Defender Steven Barth.

The Office of the United States Attorney for the District of Vermont stated that Troy McIlwain, 31, of St. Albans, Vermont, was sentenced today for possession with intent to distribute cocaine base and violations of conditions of supervised release.  United States District Judge Christina Reiss sentenced McIlwain to 24 months based on the drug conviction, and 24 months based on the supervised release violation, for a total sentence of 48 months.  Judge Reiss also ordered that McIlwain serve a three-year period of supervised release upon his release from prison.

According to court records, McIlwain’s criminal history includes a 2013 federal conviction in Vermont for possession of firearms as a convicted felon.  He was placed on supervised release on April 13, 2018, after his release from a term of imprisonment in connection with a previous violation of release conditions.  The court issued a warrant for his arrest in June 2018 due to his non-compliance with release conditions.  On September 9, 2018, the Burlington Police Department encountered McIlwain as he was driving in Burlington and arrested him on the warrant.  During processing at the Chittenden Regional Correctional Facility later that night, corrections officers recovered from McIlwain’s pocket a plastic bag containing 36 baggies of cocaine base.  As a result, McIlwain was federally charged with possession with intent to distribute cocaine base. 

The government and McIlwain entered into a plea agreement in which McIlwain admitted to the cocaine possession and the violations of supervised release conditions.  The court accepted the parties’ agreement providing for a 48-month sentence and sentenced him accordingly.

The government was represented by First Assistant U.S. Attorney Kevin J. Doyle.  McIlwain was represented by Paul S. Volk, Esq.

The Office of the United States Attorney for the District of Vermont stated that Kory Lee George, age 31, of Monkton, was arrested yesterday on firearms violation charges.  The defendant appeared today before United States Magistrate Judge John M. Conroy in Burlington.  He was ordered detained pending a bail hearing on September 6, 2019.

The federal Criminal Complaint filed today charges George with possession of two firearms, a semi-automatic pistol and a shotgun, after being convicted in Vermont courts of felony offenses.  An affidavit submitted with the Criminal Complaint, signed by a Vermont State Police Detective with the Vermont State Police’s Major Crime Unit, alleges that both firearms were stolen.  The pistol, a 9mm Berretta, allegedly was stolen the night before David Auclair was shot to death in Hinesburg on July 11, 2019.  As the Criminal Complaint describes, the Vermont State Police recovered the Berretta from a creek a few days after Auclair’s death.  The Vermont Forensic Laboratory has since determined that the Berretta fired 9mm bullets recovered from Auclair’s body.
 
The shotgun referenced in the Criminal Complaint was allegedly stolen last spring from a camp in upstate New York, and was found in George’s residence during the Vermont State Police’s homicide investigation. 
 
The Criminal Complaint is an accusation only and the defendant is presumed innocent until and unless proven guilty.  The U.S. Attorney recognizes the efforts of the Vermont State Police in investigating the case.  The case is being handled by Assistant U.S. Attorneys William Darrow and Spencer Willig of the U.S. Attorney’s Office.  George is represented by Federal Defender Michael L. Desautels. 

The Office of the United States Attorney for the District of Vermont announced that it has resolved its inquiry into complaints that certain units at the Severance Corners housing complex were built with architectural barriers that made them inaccessible to people with disabilities in violation of the Fair Housing Act. The matter was handled by United States Attorney’s Office and the Civil Rights Division of the Department of Justice.

“If housing is not built to be accessible for people with disabilities, it is effectively unavailable to those people,” said U.S. Attorney Christina E. Nolan. “Particularly given the limited housing stock in this area, it is critically important that builders are complying with the Fair Housing Act’s requirements to create accessible housing. We commend Severance Corners Village Center, LLC, for quickly committing to make changes once the architectural barriers to accessibility were brought to its attention.”

Those changes included relocating thermostats and electrical switches, making the fitness room accessible, removing obstructions in certain kitchens, and relocating trash receptacles so that they were accessible to people with disabilities.

Civil Division Chief and Civil Rights Coordinator Jules Torti jointly handled this matter for the United States Attorney’s Office for the District of Vermont, in partnership with attorneys from the Civil Rights Division of the Department of Justice.

The Office of the United States Attorney for the District of Vermont announced that John Van Hazinga and Samantha Steady were arraigned today in federal court after having been indicted by the grand jury for conspiracy to distribute marijuana and delta-9-Tetrahydrocannabinol (THC), both Schedule I drugs, in violation of 21 U.S.C. § 846.  Van Hazinga was also charged with multiple counts of distribution of marijuana and THC.   Van Hazinga and Steady were both arrested this morning, and were arraigned before the United States Magistrate Judge John M. Conroy this afternoon in Burlington.  Defendant Steady was released on conditions.  Van Hazinga was ordered detained pending a detention hearing which will be held next week.

According to court records, Van Hazinga and Steady own and manage the business Ridin’ High, located at the corner of Pearl and Battery Streets in Burlington, Vermont.  An investigation began after witnesses reported that individuals at Ridin’ High had sold marijuana to teenagers.  Further, during the course of the investigation, Burlington Police Officers responded to Ridin’ High for multiple reports of disturbances, including altercations and violence associated with the sale of marijuana at the business.  On multiple occasions over the course of the conspiracy, Van Hazinga sold marijuana over-the-counter to an undercover officer.  The investigation also revealed that Steady manufactured THC-infused edible products, which were also sold at the business.  This summer, law enforcement discovered that Van Hazinga and Steady were growing marijuana at their residence in Underhill, Vermont, and linked the couple to a rural camp in Keene, New York.  On July 24, 2019, federal search warrants were obtained for the Ridin’ High business, the Underhill residence, the camp in Keene, New York, and an email address that Steady utilized for taking orders of THC-infused edible products.  The premises search warrants were executed on August 6, 2019, and resulted in the seizure of more than 50 marijuana plants, over 5 kilograms of marijuana, numerous edibles suspected of being infused with THC, and approximately $67,000 of United States Currency. 

If convicted, the defendants face a maximum of twenty years of imprisonment on the conspiracy charge.  The actual sentence however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines.  The United States Attorney emphasizes that the charge in the complaint is merely an accusation, and that the defendants are presumed innocent unless and until they are proven guilty.

United States Attorney Christina E. Nolan commended the investigative efforts of the Burlington Police Department and the Drug Enforcement Administration (DEA).  She stated:  “Through this collaboration by federal and local law enforcement, we once again send the message that open and notorious trafficking of marijuana will not be tolerated.  Those who deal this drug and have prior criminal records, those who deal it to children or in their presence, those who engage in violence while dealing it, those who deal it for high profit, and those who deal it in areas of high commercial foot-traffic should expect to receive heightened attention from the U.S. Attorney’s Office.” 

The United States is represented in this matter by Assistant U.S. Attorney Jonathan Ophardt.  Defendant Van Hazinga is represented by Paul Volk, Esq.  Defendant Steady is represented by Timothy Fair, Esq.

The Office of the United States Attorney for the District of Vermont stated that United States District Judge William K. Sessions III sentenced Lassine Sangho, 25, of Philadelphia, PA, as well as Karen Norful, 57, of Winooski, VT, and Matthew Reynolds, 30, of Saint Albans, VT, to federal prison for engaging in a conspiracy to distribute heroin, fentanyl, and cocaine base. On August 5, 2019, Sangho was sentenced to 120 months in jail and 5 years of supervised release.  Norful was sentenced to 36 months in jail and 3 years of supervised release on August 5, 2019.  Yesterday, Reynolds was sentenced to 60 months in jail and 4 years of supervised release.

According to court documents, the prosecution grew out of a Drug Enforcement Administration (DEA) and local law enforcement investigation into heroin and crack distribution in the Winooski area. The investigation revealed that between December 2017 and August 2018 Sangho oversaw a drug trafficking operation in Chittenden and Franklin Counties with Norful and Reynolds as the main distributors. The investigation used confidential informants under the supervision of the DEA to conduct purchases of controlled substances from Norful and Reynolds. On August 2, 2018, law enforcement agents arrested Sangho after he brought crack cocaine and fentanyl to Vermont for sale. On the same day, DEA and local law enforcement agents executed a search warrant at Norful's home, which yielded approximately 500 grams of cocaine base and approximately 20 grams of fentanyl.

On March 15, 2019, Norful pleaded guilty to conspiring to distribute over 100 grams of heroin and 28 grams of cocaine base. On March 20, 2019, Sangho pleaded guilty to conspiring to distribute heroin and over 280 grams of cocaine base. Then, on April 1, 2019, Reynolds pleaded guilty to conspiring to distribute over 100 grams of heroin and over 28 grams of cocaine base.

In addition to the DEA, officers from the Winooski City Police and Vermont State Police, Williston Barracks, assisted with the investigation, arrests and search warrants.

Sangho is represented by Bradley S. Stetler, Esq. Norful is represented by Richard C. Bothfeld, Esq. Reynolds is represented by Heather E. Ross, Esq. Assistant U.S. Attorney Paul J. Van de Graaf represents the United States.

The Office of the United States Attorney for the District of Vermont stated that Demetericius Campbell, age 42, of Barre, Vermont, has been indicted on three federal firearms charges.  Specifically, he is charged with two counts of making false statements to a gun store in connection with attempted firearms purchases, and one count of possessing a firearm while subject to a restraining order.  At his arraignment in U.S. District Court in Burlington last Friday, August 9, 2019, Campbell pleaded not guilty to all counts. The government has filed a motion asking United States Magistrate Judge John M. Conroy to order Campbell detained in the custody of the U.S. Marshal’s Service pending disposition of the charges.  A hearing on that motion is set for Tuesday, August 13, 2019, at 1:30 p.m.
 
Court records show that on December 4, 2018, the Vermont Superior Court in Washington County issued a 6-month extended relief from abuse order against Campbell.  The protected parties were his ex-wife and three children.  Among other things, the order restrained Campbell from threatening, abusing, and using physical force against the petitioning parties.  Campbell was present for the hearing on the petition and was served by hand with the relief from abuse order.  Under federal law, the order prohibited Campbell from possessing firearms and a portion of the paperwork served upon him notified him that certain qualifying restraining orders prohibited him from possessing firearms under federal law.  On December 6, 2018, Campbell attempted to purchase two pistols at R&L Archery in Barre.  On the firearm transaction form, Campbell falsely stated that he was not subject to a restraining order prohibiting him from threatening an intimate partner.  R&L denied him the purchase because the background check revealed the existence of the restraining order.  On January 25, 2019, Campbell attempted to purchase three pistols at R&L, again falsely denying on the transaction paperwork that he was the subject of a restraining order.  R&L denied the purchase for the same reason.  In February 2019, in the course of the execution of a search warrant at Campbell’s residence, law enforcement found a firearm and ammunition in his bedroom.  The restraining order prohibited his possession of these items.
 
The Indictment is an accusation only and Campbell is presumed innocent until and unless proven guilty.  The maximum possible sentence on each federal charge is 10 years of imprisonment.  However, any sentence would be informed by the U.S. Sentencing Guidelines.
 
U.S. Attorney Christina E. Nolan thanked the ATF and the Barre City Police Department for their investigative work and collaboration.  She stated: “We can, and must, use our federal gun laws to address and prevent domestic violence throughout Vermont.  Roughly half of Vermont’s homicides arise in the domestic violence context and a substantial number of them are committed with firearms. We will continue to take guns out of the hands of dangerous individuals who possess or attempt to possess them unlawfully.  This will continue to be an urgent priority, as it is quite literally a matter of life and death.”

U.S. Attorney Nolan is representing the United States in this case.  Campbell is represented by Robert Katims, Esq.