Eastern District of Washington

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Randy Zacherle, age 55, of Okanogan, Washington, was sentenced today after having previously been convicted by a jury on November 3, 2014 of Possession of Child Pornography. United States District Court Judge Stanley Allen Bastian sentenced Zacherle to a ten year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison. In addition, Zacherle was ordered to forfeit to the United States the laptop computer he used to receive and store his child pornography collection. Zacherle will also be required to register as a sex offender.

According to information disclosed during the court proceedings, in 2009 Zacherle was convicted of Possession of Child Pornography and sentenced to 26 months and 8 days imprisonment and required to register as a sex offender. On April 29, 2013, Zacherle was arrested by Deputies from the United States Marshal’s Service and Spokane County Sheriff’s Office for failure to register as a sex offender. On October 30, 2013, Zacherle was convicted federally for failure to register as a sex offender. Further investigation by the Federal Bureau of Investigation determined that Zacherle was using a laptop computer with wiping software to receive and possess images of child pornography from 2011 until he was arrested in April of 2013. Law enforcement discovered Zacherle had collected over 1,000 images of child pornography, which included prepubescent female children under the age of twelve.

Michael C. Ormsby stated, “I commend the tireless efforts of the FBI, United States Marshal’s Service, and Spokane County Sheriff’s Office in investigating this matter. The United States Attorney’s Office in the Eastern District of Washington is, and will continue to be, committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes. In addition, prosecuting offenders who fail to register as sex offenders is a priority of the United States Attorney’s Office.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

· Integrated federal, state, and local efforts to investigate and prosecute child

exploitation cases, and to identify and rescue children;

· Participation of PSC partners in coordinated national initiatives;

· Increased federal enforcement in child pornography and enticement cases;

· Training of federal, state, and local law enforcement agents; and

· Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

This investigation was conducted by the Federal Bureau of Investigation, United States Marshal’s Service and Spokane County Sheriff’s Office. The case was prosecuted by Stephanie J. Lister and Matthew Duggan, Assistant United States Attorneys for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Willard Phillip Maldonado and Austin Henry Phillips were sentenced in Yakima for their involvement in the commercialization of eagles. Maldonado, 41, of Union Gap, Washington, was sentenced to 9 months in custody, 6 of which will be served in home confinement. United States District Judge Salvador Mendoza also ordered Maldonado to serve a term of 3 years of supervision and to pay fines and assessments totaling $1,805. Maldonado also agreed to forfeit certain property, including firearms, a vehicle used to transport eagles, and eagle parts. Maldonado pled guilty on April 22, 2015, to six counts involving the killing and transporting of bald and golden eagles for commercial purposes and to offering eagle parts for sale in violation of the Bald and Golden Eagle Protection Act (16 U.S.C. § 668(a)) and the Lacey Act (16 U.S.C. §§ 3372(a)(1) and 3373(d)(1)(b). The offenses occurred over a period of more than three years from December of 2010 through January of 2014. The investigation revealed that Maldonado was using animal carcasses as bait to hunt eagles and was offering their feathers for sale through social media on the internet. One eagle carcass was found wearing a leg band that was later determined to have been placed on the bird by a biologist in Oregon.

Phillips, 39, of Granger, Washington, plead guilty on April 8, 2015, to a misdemeanor stemming from his killing of a bald eagle on January 17, 2014, while hunting with Maldonado. Phillips was sentenced to 3 years of supervised probation with 30 days in home confinement. As a condition of his probation, he will not be allowed to hunt outside of the Yakama Indian Reservation.

As members of the Yakama Indian Tribe, both Maldonado and Phillips can lawfully possess eagle feathers for non-commercial purposes. All members of federally recognized Indian tribes can obtain eagle feathers from a national repository maintained by the U.S. Fish and Wildlife Service for that purpose. However, it is unlawful for anyone to offer eagle feathers for sale or to sell eagle feathers.

The investigation identified people around the country and in Canada who responded to solicitations made by Maldonado. The investigation is one of a number of similar investigations in recent years that have led to convictions of Yakama tribal members, including United States v. Hawk, 09-CR-02034-001; United States v. Wahchumwah, 09-CR-02035-001; and United States v. Arquette, 14-CR-02057.

Michael C. Ormsby said, “The eagle is our country’s national symbol and is a national treasure. Importantly, it is an important and valuable resource evidenced in part by Congress’ enactment of the Bald and Golden Eagle Protection Act and Migratory Bird Treaty Act. The eagle also has cultural and religious significance to Native Americans and it is important to protect eagles as part of Native American heritage. The United States Attorney’s Office, together with its law enforcement partners, will continue to investigate and prosecute aggressively those individuals who wantonly choose to violate these statutes.”

This investigation was conducted by agents with the U.S. Fish and Wildlife Service, the Washington Department of Fish and Wildlife and Yakama tribal authorities. The case was prosecuted by Timothy J. Ohms, an Assistant United States Attorney for the Eastern District of Washington.

Spokane - Michael C. Ormsby, the United States Attorney for the Eastern District of Washington, announced today that Armando Godinez-Ramos, age 33, of Michoacán, Mexico, was sentenced for possession with intent to distribute methamphetamine. United States District Court Judge Salvador Mendoza, Jr., sentenced Godinez-Ramos to a 10 year term of imprisonment, to be followed by an 8-year term of court supervision upon release from Federal prison

According to information disclosed during the court proceedings, on July 22, 2014, Immigration and Customs Enforcement, Homeland Security Investigations (ICE/HSI) arrested Godinez-Ramos on a federal immigration warrant. During the execution of a search warrant for his residence, officers located drugs and drug trafficking tools, including approximately 300 grams of methamphetamine, 120 grams of heroin, a drug cutting agent, surveillance cameras, and a firearm. Godinez-Ramos has prior convictions for alien in possession of a firearm and delivery of methamphetamine.

Michael C. Ormsby said, “I commend the officers of ICE/HSI, ATF, the Yakima DEA Drug Task Force, and the Yakima Police Department for their efforts in investigating this methamphetamine case. Their strong working partnership is reflected by the successful prosecution of this case. Federal and local law enforcement officers in the Eastern District of Washington continue to work together to root out the scourge of drug trafficking in this District. With their assistance, the United States Attorney’s Office for the Eastern District of Washington is committed to prosecuting aggressively and seeking appropriate punishment for traffickers distributing controlled substances in our communities.”

This case was investigated by the cooperative efforts of ICE/HSI, ATF, the Yakima DEA Drug Task Force, and the Yakima Police Department. The case was prosecuted by Ian L. Garriques, Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Dan Richard Dickey, age 68, of Kennewick, Washington, was sentenced today, after having previously pled guilty on February 24, 2015 to Receipt of Child Pornography. Senior United States District Court Judge Edward F. Shea sentenced Dickey to a five year term of imprisonment, to be followed by a twenty year term of court supervision after he is released from Federal prison. In addition, Dickey was ordered to forfeit to the United States the computer equipment and digital media used to receive and store his child pornography collection and ordered to pay restitution to one of his victims in the amount of $5,500. Dickey was ordered to pay a fine of $10,000. Dickey will also be required to register as a sex offender.

According to information disclosed during the court proceedings, a Corrections Officer at the Walla Walla Penitentiary reported to the Kennewick Sheriff’s Office that Dickey was in possession of child pornography images. On November 27, 2012, Dickey was interviewed by Detectives from the Benton County Sheriff’s Office. Dickey admitted he had taken pictures of a minor female undressing using a pinhole camera that he had hidden in a bedroom of his Kennewick residence. On November 27, 2012, a state search warrant was obtained for Dickey’s Kennewick residence. Several computers and other digital devices were seized from Dickey’s residence and examined forensically. Law enforcement discovered Dickey had an extensive collection of child pornography which contained over 61,000 images of child pornography, some which depicted minor children in bondage, and included prepubescent female children under the age of twelve. A forensic examiner determined that Dickey had collected child pornography images from at least January of 2005 until the search warrant was executed at his residence on November 27, 2012.

Michael C. Ormsby stated, “The United States Attorney’s Office in the Eastern District of Washington is, and will continue to be, committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes. Investigating and prosecuting offenders who are collecting and making child pornography is a priority of the Federal Bureau of Investigations and the United States Attorney’s Office. I commend the outstanding investigative efforts and symbiotic partnership demonstrated by the Benton County Sheriff’s Office and the FBI in this case.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

· Integrated federal, state, and local efforts to investigate and prosecute child

exploitation cases, and to identify and rescue children;

· Participation of PSC partners in coordinated national initiatives;

· Increased federal enforcement in child pornography and enticement cases;

· Training of federal, state, and local law enforcement agents; and

· Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

This investigation was conducted by the Federal Bureau of Investigation and Benton County Sheriff’s Office. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.

Spokane—Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Dane Edward Andrus, age 42, of Osburn, Idaho, was sentenced for Bank Robbery. United States District Court Judge Stanley A. Bastian sentenced Andrus to a 96 month term of imprisonment, to be followed by a five year term of court supervision upon release from federal prison.

According to information disclosed during the court proceedings, on January 23, 2015, Andrus entered the US Bank located on Nob Hill in Yakima, Washington. He was wearing a ski mask and carrying a pistol. Andrus pointed the pistol at a bank teller, demanded money from the teller, and then fled in a white van. Yakima Police Officers quickly responded to the scene and were soon thereafter following Andrus’ van. Andrus led police on a high speed chase through downtown Yakima and onto Interstate 82, stopping only after law enforcement officers used spike strips to disable the van. Officers arrested Andrus, discovered the pistol, and recovered all of the money he stole from the bank.

Michael C. Ormsby said, “Armed bank robbery is a gravely serious violent crime. As demonstrated in this case, bank robberies will be swiftly investigated, aggressively prosecuted and severely punished.”

This case was investigated by the Federal Bureau of Investigation and the Yakima Police Department. The case was prosecuted by Benjamin D. Seal, an Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that United States District Court Judge Stanley A. Bastian sentenced Delbert Loren Wheeler, age 56, of White Swan, Washington, to a one-year term of probation as an alternative to imprisonment for using a motor vehicle on non-designated routes within the National Wildlife Refuge System, in violation of 50 CFR § 27.31 and 16 U.S.C. § 668dd(f). Wheeler was convicted of this Class A misdemeanor following a jury trial that began on January 7, 2015. Judge Bastian ordered Wheeler to pay a fine of $1,500. Judge Bastian also ordered Wheeler to pay, within 120 days, $32,000 in restitution for damage caused to the ALE.

Wheeler’s conviction stemmed from an incident that occurred on October 7, 2011. Federal and state wildlife agents found him driving a truck cross-country within the Fitzner / Eberhardt Arid Lands Ecological Reserve (ALE), which location is part of the Hanford Reach National Monument. At the time, the agents were on the ALE investigating the circumstances surrounding an elk that had been previously shot and its carcass left on the reserve. During their investigation, the agents observed a herd of elk running from the direction of gunshots. Soon thereafter the agents observed Wheeler driving cross-country in a pick-up truck together with three passengers. Three freshly killed elk were in the bed of the truck. Evidence produced at trial showed that Wheeler had entered the ALE at a location where a section of fence had been knocked over. Wheeler, a member of the Confederated Tribes and Bands of the Yakama Nation, asserted that treaty rights granted him the authority to enter the ALE in order to hunt and gather plants.

For many decades the ALE has served as a buffer zone and control site for Hanford and was relatively untouched by humans. As a result, the original shrub-steppe ecosystem was preserved intact within its boundaries. The Atomic Energy Commission designated the area as the Arid Lands Ecology Reserve in 1967. Control over the area passed to the Department of Energy in 1977 and to the U.S. Fish and Wildlife Service in 1997. Many features of the shrub-steppe ecosystem found in the ALE are fragile and may be lost through introduction of invasive species and human activity. In 2000, President Clinton created the Hanford Reach National Monument in order to preserve these features. The Proclamation creating the Monument included the following description:

The monument contains one of the last remaining large blocks of shrub-steppe ecosystems in the Columbia River Basin, supporting an unusually high diversity of native plant and animal species. A large number of rare and sensitive plant species are found dispersed throughout the monument. A recent inventory resulted in the discovery of two plant species new to science . . . . Fragile microbiotic crusts, themselves of biological interest, are well developed in the monument and play an important role in stabilizing soils and providing nutrients to plants.

The Presidential Proclamation directed the creation of regulations that would prohibit all off-road use of vehicles within the Monument with limited exceptions for emergencies and other federally authorized purposes.

Michael C. Ormsby said, “The ALE is an extremely unique, environmentally sensitive reserve – it is truly a public treasure. As evidenced by the sentence, fine, and significant amount of restitution imposed in this case, the ALE demands protection. The United States Attorney’s Office, together with its law enforcement partners, will investigate and prosecute aggressively those individuals, like Wheeler, who wantonly choose to ignore the ALE’s inimitable characteristics and importance to future generations.”

This investigation was conducted by agents with the U.S. Fish and Wildlife Service and the Washington Department of Fish and Wildlife. The case was prosecuted by Timothy J. Ohms, an Assistant United States Attorney for the Eastern District of Washington.

Spokane–Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Sean Michael Challe, age 29, of Kennewick, Washington, was sentenced today for three counts of Production of Child Pornography. United States District Court Judge Salvador Mendoza, Jr. sentenced Sean Michael Challe to a thirty year term of imprisonment, to be followed by a lifetime of court supervision after he is released from federal prison. Challe will also be required to register as a sex offender.

According to information disclosed during the court proceedings, on September 20, 2014, in Richland, Washington, Challe was socializing with friends on a balcony when he went into their home, where their four year old daughter was sleeping. The father of the minor entered the home to find Challe standing over the minor whose pajamas were pulled town to expose her naked body. Law enforcement was called at that time.

Officers executed search warrants for Challe’s digital devices. Challe’s cellular phone contained photos and videos of the sleeping minor he had taken on September 20, 2014, which constituted child pornography. Challe also maintained photos and video of him molesting and performing oral sodomy on the same minor in June of 2014.

Also found on Challe’s devices were videos of him molesting a two year old male and an approximately nine month old female. Challe was also found to have recorded young boys urinating in two different public restrooms. Additionally, Challe possessed over 20,000 images of other child pornography, and he was found to have been actively trading child pornography via the internet.

Michael C. Ormsby stated, “Prosecuting those who would produce pornographic images of vulnerable minors is a priority of the United States Attorney’s Office for the Eastern District of Washington. Mr. Challe is a dangerous individual who preyed on very young, and thus, very vulnerable children.”  He further stated, “This joint federal, state and local agency investigation demonstrates the dedication of the officers and the willingness to utilize resources at every level of law enforcement to bring those who would victimize children to justice.”

This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

This investigation was conducted by the Richland Police Department with assistance from the Federal Bureau of Investigation. The case was prosecuted by Laurel Holland, Deputy Prosecuting Attorney for Benton County and Alison L. Gregoire, an Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Victor Manuel Angulo, age 36, of Pasco, Washington, was sentenced today after having been found guilty after a jury trial of being a felon in possession of a firearm and ammunition. Senior United States District Court Judge Edward F. Shea sentenced Angulo to a 92-month term of imprisonment and a three-year term of court supervision following release from federal prison.

Angulo was previously convicted of felony drug charges, specifically two counts of Delivery of Cocaine in 2000 in Franklin County Superior Court, for which he was sentenced to 21 months of imprisonment. In October of 2013, Angulo was convicted in Pasco Municipal Court of Assault-Domestic Violence against his former girlfriend, for which he subject to a no-contact order with his former girlfriend. According to testimony at trial, Angulo arrived at his former girlfriend’s home in Pasco, on the night of December 24, 2013, and let himself into her house when she was not there. Her parents arrived at the residence and found Angulo in her home at midnight, with a firearm. When his former girlfriend’s family called the police, Angulo fled out the backdoor of the residence and discarded the firearm in a neighbor’s trashcan prior to being apprehended by the responding Pasco Police Department officers. When arrested, Angulo had ammunition in his pocket and the Pasco Police officers located the discarded firearm.

According to information disclosed during court proceedings, at the time Angulo possessed the firearm, he was federally prohibited from possessing a firearm on four grounds: Angulo was a felon, Angulo had been convicted of a misdemeanor domestic violence assault offense, Angulo was subject to a no-contact order, and Angulo was a regular methamphetamine user.

Michael C. Ormsby, U.S. Attorney for the Eastern District of Washington, said, “Convicted felons, particularly those with domestic violence convictions and subject to no-contact orders, who violate those no-contact orders while possessing firearms, are particularly dangerous. Federal and local law enforcement officers are committed to protecting the community from such offenders. This case is just one example of the successful cooperation of the ATF and the Pasco Police Department to reduce gun-related violence in our community.”

The investigation was conducted by the Pasco Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by Mary K. Dimke, Assistant United States Attorney for the Eastern District of Washington, and Brian Hultgrenn, a Special Assistant United States Attorney, from the Franklin County Prosecutor’s Office.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Maria Elizabeth Townsend, age 39, of Burbank, Washington, was sentenced yesterday following conviction after a five-day jury trial in February 2015 of ten counts of failing to pay over employment taxes to the IRS. United States District Court Judge Thomas O. Rice sentenced Maria Elizabeth Townsend to a 40-month term of imprisonment and a 3-year term of court supervision following release from federal prison. The Court also ordered Mrs. Townsend to pay $3,327,124 in restitution to the IRS and $8,048 in costs of prosecution to the United States, and a $1,000 special penalty assessment. Mrs. Townsend was immediately taken into custody by the U.S. Marshals following sentencing.

According to information disclosed during court proceedings, Townsend was the President and majority shareholder of Townsend Controls, Inc. (TCI), a Pasco, Washington electrical contractor that employed over a hundred employees. The majority of TCI’s employees were members of Local 112 of the International Brotherhood of Electrical Workers (Local 112). For sixteen quarters between 2005 and 2009, Townsend withheld $3,361,246 in employment taxes from the wages of the members of Local Union 112 that TCI employed as well as its other-non-union employees but failed to pay over those taxes to the IRS. Between April 2007 and September 2009, Townsend authorized the disbursement of over $31 million in TCI funds to pay vendors and for other purposes, instead of the IRS for payroll taxes. According to information disclosed during court proceedings, instead of paying the IRS, Townsend paid TCI’s vendors and employees, paid a large (approximately $200,000) dividend to one of her partners, disbursed $300,000 toward payment of her joint personal income tax obligations, disbursed more than $260,000 in funds to family members, and spent $22,000 to construct a pool at her residence, $30,000 to purchase a boat, $30,000 to purchase a Cadillac Escalade, and $42,982 to purchase a Jeep Commander.

Townsend filed Forms 941 (Quarterly Employment Tax Returns) with the IRS and paid all the employment taxes that were due from the second quarter of 2002 through the third quarter of 2004. Then, Townsend stopped filing Forms 941 from the fourth quarter of 2004 through the third quarter of 2005. Townsend, however, made periodic deposits of payroll taxes during the fourth quarter of 2004 through the second quarter of 2005. An IRS revenue officer visited TCI’s Pasco, Washington office in December 2005, and met with Townsend to secure the delinquent Forms 941 and the payroll taxes owed for the third quarter of 2005. Within a few days of that visit, the IRS received the delinquent Forms 941 for the fourth quarter of 2004 through the third quarter of 2005, signed by Townsend. The IRS also received full payment for the payroll taxes that were due as reported on the Form 941 for the third quarter of 2005. Townsend did not remit any periodic deposits of payroll taxes for the ten consecutive calendar quarters beginning April 1, 2007, through September 30, 2009, even though she continued to preparer TCI’s weekly payroll using accounting software that generated reports showing the amount of taxes withheld from each employee’s paycheck as well as the total amount of taxes withheld from all the employees. She also did not pay over payroll taxes for the quarters ended December 31, 2005, March 31, 2006, June 30, 2006, September 30, 2006, December 31, 2006 and March 31, 2007. In order to conceal the non-payment of employment taxes from the IRS, Townsend did not timely file TCI’s Forms 941 with the IRS, with the exception of the Form 941 for the tax period ended September 30, 2009. An IRS revenue officer ultimately secured the delinquent quarterly employment tax returns in December 2010 after TCI’s dissolution.

Townsend claimed she was suffering from multiple psychiatric disorders, including Bipolar I Disorder and Obsessive Compulsive Disorder that paralyzed her when it came to being able to paying over the payroll taxes. Townsend also claimed TCI’s electricians were independent contractors, not employees, even though she withheld $3.3 million in taxes from their wages.

Michael C. Ormsby, U.S. Attorney for the Eastern District of Washington, said, “The sentence imposed in this case reflects the seriousness of ‘white collar’ crime and that those accused of failing to pay over payroll taxes to the IRS will be fairly and justly held accountable for their criminal conduct. Ormsby went on to say this is one of the biggest cases of this kind pending in the country and is representative of an important area of emphasis by both Internal Revenue Service and the Department of Justice. This case is yet another example of the commitment of the United States Attorney’s Office to prosecute aggressively fraud cases in the Eastern District of Washington. “Holding business owners accountable who willfully evade their employment tax obligations to line their own pockets is among the Tax Division’s highest priorities,” said Acting Assistant Attorney General Ciraolo. “These offenders, who not only steal from the United States, but also take advantage of honest competitors, will be prosecuted to the fullest extent of the law, and like Ms. Townsend, will face incarceration and substantial financial penalties.” The Internal Revenue Service Criminal Investigation Division is commended for its tireless efforts in thoroughly investigating this case.” IRS Criminal Investigation Special Agent-in-Charge Teri Alexander stated, “Maria Townsend essentially stole not only from the government but from her own employees. IRS Criminal Investigation realizes the detrimental consequences of employment tax evasion. It results in the loss of tax revenue to the United States government and the loss of future Social Security or Medicare benefits for the employees. I want to thank the U.S. Attorney's Office and the Department of Justice, Tax Division, for its dedicated leadership and professionalism in pursuit of justice served today.”

The investigation was conducted by the IRS Criminal Investigation Division. The case was prosecuted by George J.C. Jacobs, III, Assistant United States Attorney for the Eastern District of Washington, and Lisa L. Bellamy, Trial Attorney, U.S. Department of Justice, Tax Division, Criminal Enforcement Section.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Omar Alarcon Fuentes, 37, of Sunnyside, Washington, was sentenced today after having been convicted after a one-day jury trial in December 2014 of one count of distributing 50 grams or more of pure methamphetamine, and pleading guilty on March 19, 2015, to being an illegal alien in possession of ammunition. In the methamphetamine case, United States District Court Judge Thomas O. Rice sentenced Fuentes to a 10-year term of imprisonment and a 5-year term of court supervision following release from federal prison. The Court also ordered Fuentes to pay $4,000 in restitution to the United States Drug Enforcement Administration. In the ammunition case, Judge Rice sentenced Fuentes to a 10-year term of imprisonment to run concurrent to the sentence imposed in the methamphetamine case, followed by a 3-year term of court supervision following release from federal prison. Fuentes has been in custody since his arrest on July 25, 2013.

According to information disclosed during court proceedings, on July 18, 2013, using a confidential informant, the U.S. Drug Enforcement Administration (DEA) and Spokane Regional Drug Task Force (SRDTF) conducted a controlled buy of four ounces of methamphetamine from Henry Patrick Bevans, III, at a hotel on North Division. When the confidential informant arrived at Bevans’ room to buy four ounces, he gave Bevans $4,000 in buy money provided by DEA. However, Bevans did not have the drugs to distribute, indicating he was waiting for his supplier to arrive. While maintaining surveillance outside the hotel, DEA special agents SRDTF officers observed Fuentes driving a minivan into the hotel’s rear parking lot. Shortly afterward, DEA and SRDTF units observed Bevans exit the back of the hotel and enter Fuentes’ minivan. Surveillance units observed Fuentes drive Bevans from the hotel’s rear parking lot to the front entrance. Bevans exited Fuentes’ minivan and went inside the hotel. In the meantime, the confidential informant was waiting in Bevans’ hotel room. Upon returning to his hotel room, Bevans distributed four ounces of methamphetamine that he had received from Fuentes in the parking lot. After leaving the hotel room, the confidential informant turned over the suspected methamphetamine to DEA. DEA laboratory testing confirmed that the substance Fuentes distributed to Bevans who in turn distributed it the confidential informant was 119 grams of pure methamphetamine. Surveillance units followed Fuentes to his residence in Sunnyside, Washington.

On July 24, 2013, SRDTF obtained a State warrant to search Fuentes’ residence. During execution of the warrant, a Spokane County Sheriff’s Office detective found 16 loose rounds of .45 caliber ammunition and a Mexican permanent resident identification card in the name of “Omar Fuentes” in a drawer in the master bedroom. The ammunition was photographed and seized. Fuentes, a citizen and national of Mexico, had been arrested and deported from the United States in 2009, but had illegally reentered the United States.

After previously pleading guilty to two counts of distributing 50 grams or more of pure methamphetamine, Henry Patrick Bevans, III, was sentenced in April 2014 by Senior District Court Judge Fred Van Sickle to a 10-year term of imprisonment followed by 10 years of court supervision and was ordered to pay $8,000 restitution to DEA.

Michael C. Ormsby, U.S. Attorney for the Eastern District of Washington, said, “The sentence imposed in this case reflects the seriousness of drug trafficking and firearm-related crimes. This case is yet another example of the commitment of the United States Attorney’s Office to prosecute aggressively drug and firearm-related cases in the Eastern District of Washington. The United States Drug Enforcement Administration, Spokane Regional Drug Task Force and Spokane County Sheriff’s Office are commended for its tireless efforts in thoroughly investigating this case.”

The investigation was conducted by the United States Drug Enforcement Administration, Spokane Regional Drug Task Force and Spokane County Sheriff’s Office. The case was prosecuted by George J.C. Jacobs, III, Assistant United States Attorney for the Eastern District of Washington.

SPOKANE - – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, and Douglas James, Acting Special Agent in Charge for the Drug Enforcement Administration, announced that Arvin Terrill Carmen, 39, of Los Angeles, California, and Spokane, Washington, was sentenced to 50 years in prison by Senior United States District Court Judge William Fremming Nielsen following a five-week jury trial, in November 2014. At the trial, in which he was found guilty of engaging in a continuing criminal enterprise, conspiracy to distribute oxycodone-based pills, and possession with intent to distribute oxycodone-based pills. In addition to the sentence handed down by Senior United States District Court Judge Nielsen, Carmen was also ordered to serve a life-term of court supervision following his release from federal prison and to pay a $50,000 fine. Carmen has been in custody since his arrest on February 28, 2013.

“The prescription drug abuse problem in the Spokane and surrounding areas is well documented, and while this one conviction and sentencing won’t change those issues overnight, it demonstrates my office’s continual commitment to fight this problem with every resource at our disposal,” said U.S. Attorney Michael C. Ormsby. “While this marks the end of this chapter of this case, we will continue to work side-by-side with DEA and our other federal and local partners to bring drug traffickers to justice.” Evidence presented during court proceedings showed that Carmen initiated a drug-trafficking scheme that involved dozens of other members and associates of the EIGHT TREY GANGSTER CRIPS, a street gang headquartered in Los Angeles County that operated this criminal enterprise between Los Angeles and Spokane. During a cooperative investigation that included the Drug Enforcement Administration’s Spokane Office (DEA-SRO), the Spokane Regional Drug Task Force, Los Angeles Police Department (LAPD), and numerous other federal and state agencies, it was learned that Carmen and others illegally obtained large quantities oxycodone-based prescription pills in Los Angeles and utilized female couriers to transport the pills to Spokane for distribution on the street.

During the early days of the conspiracy, the 80 mg. OxyContin pills were acquired for approximately $40 or less in Los Angeles and sold for approximately $80 each in Spokane. When the manufacturers modified the structure of the 80 mg. pills to discourage such illegal diversion and abuse, the down-line price per pill rose to approximately $125 each in Spokane. When the 80 mg. pills became scarce, 30 mg. Oxycodone pills, which were illegally acquired in Los Angeles for approximately $10-$12 per pill, were sold in Spokane, for approximately $20-$22 per pill. The cash proceeds from Spokane-area sales, often in excess of $100,000 per shipment, were then transported back to Los Angeles, and hidden in the checked baggage of the same, or different, female couriers. Based on the investigation, DEA-SRO initially estimated that possibly as much as 10,000 illegal OxyContin pills were transported to, and distributed in, Spokane every week for years.

Eventually 62 co-conspirators, nearly all with gang affiliations, were charged in an Indictment handed down by a grand jury in January, 2013. Approximately 50 search warrants were simultaneously executed in Los Angeles, Spokane, and Seattle, resulting in the seizure of supplies of oxycodone-based pills, numerous firearms, and cash. Fifty-one co-conspirators have plead guilty. The four who went to trial were convicted, including Carmen.

“It is clear that this organized criminal group contributed to the oxycodone and heroin epidemic in the Pacific NW,” said DEA Acting Special Agent in Charge Douglas James. “This lengthy sentence sends a clear message and should serve as a warning to all drug traffickers. I would like to commend the outstanding contributions by all investigative agencies who worked tirelessly on this case.”

Oxycodone is classified as a Schedule II controlled substance and the FDA is trying re-labeling of the drug to prevent abuse, and the United States Justice Department, as well as the DEA have released multiple studies on its abuse. During trial of the four defendants who went to trial and at the multiple sentencing’s for defendants, evidence was presented that this investigation arose out of a concern about the dramatic increase in opiate abuse in Spokane and Eastern Washington. Ormsby made it clear that federal law enforcement will continue its efforts with state and local law enforcement to reduce unlawful opiate use in Eastern Washington. “In addition to continued law enforcement efforts, we will also be partnering with education and public health entities to provide information on the addictive qualities of opiates and the health risks that are increased with illegal use” Ormsby says. He noted a symposium on opioid use and risks was sponsored by the United States Attorney’s Office for the Eastern District of Washington, the University of Washington and the Kittitas County Public Health District involving law enforcement and public health issues associated with opiate use and abuse was attended by over 200 persons in early May of this year.

ALEXANDRIA, Va. – Samson Jolibois, 47, of Port-au-Prince, Haiti, was sentenced today to 192 months in prison, followed by three of supervised release for conspiring to commit hostage taking. Jolibois was also ordered to pay over $32,000 in restitution.

Jolibois plead guilty on Feb. 27, 2015.  According to court documents, Jolibois was part of a criminal group that kidnapped and held hostage two U.S. citizens in the area of Carrefour, Haiti.  The group targeted U.S citizens of Haitian descent who had returned to visit Haiti, because they believed these individuals to be from wealthy families.  During two separate events, members of the criminal group took victims at gunpoint from outside their residences and held the victims hostage for several days while seeking ransom money from their families in exchange for the victims’ release.  One victim was rescued by Haitian law enforcement, and the other victim escaped captivity.

Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and George L. Piro, Special Agent in Charge of the FBI’s Miami Field Office, made the announcement after sentencing by U.S. District Judge Liam O’Grady.

This case was investigated by the FBI’s Miami Field Office. Assistant U.S. Attorney Michael P. Ben’Ary prosecuted the case.

A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:13-cr-303.

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Spokane - Michael C. Ormsby, the United States Attorney for the Eastern District of Washington, announced that Brent Dawson of Walla Walla, Washington recently plead guilty to illegally landing his airplane on Smooth Ridge during the fall of 2013 and 2014. Smooth Ridge is located in the Wenaha-Tucannon Wilderness area.

According to information disclosed during court proceedings, in the fall of 2014 a group of hunters, deep in the Wilderness, observed an airplane flying low and landing in a meadow on Smooth Ridge. These hunters were upset. As reported to Forest Service Law Enforcement Officer Austin Hess, this was the second year an individual had accessed the Wilderness using the same airplane, with the plane’s tail numbers being removed in 2014. The hunters reported that they had spent time and energy accessing this remote, secluded area of the Wilderness to hunt, only then to discover that a pilot (that is, Dawson) simply flew his plane into the area. One of the hunters came forward, reported the incidences, and ultimately received a cash reward for his cooperation in the investigation.

Photos and detailed description of events provided by the hunters led to the identification of Dawson as being the owner of the plane. Forest Service Officer Hess confirmed that Dawson was the registered owner of the plane and that the area where he landed was in fact within the bounds of the Wilderness and thus not a designated landing area.

Michael C. Ormsby said, "Federal Wilderness lands are a treasure – especially here in the Northwest. This guilty plea shows our office’s commitment to preserving that treasure for future generations to enjoy."

The 1964 Wilderness Act defines "Wilderness" as areas where the earth and its communities of life are left unchanged by people, where the primary forces of nature are in control, and where people themselves are visitors who do not remain. Wilderness act regulations prohibit the use or operation of motorized or mechanized equipment within a designated Wilderness Area. The crime of operating a motor vehicle in the wilderness is a Class B misdemeanor that has a maximum fine of $5000 and 6 months in jail.

The investigation was conducted by the United States Forest Service. The case was prosecuted by Legal Intern Corey Sewell and Assistant United States Attorney Tyler H.L. Tornabene.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Timothy Binford of Spokane, Washington was sentenced in Federal court to over 19 years. Binford was charged with being a previously convicted felon in possession of a firearm. He was found guilty by a jury following a trial in February, 2014. At the time of the firearm offense, Binford was on court supervision stemming from a prior bank robbery conviction.

United States District Court Chief Judge Rosanna Malouf Peterson sentenced Binford to a 211-month term of imprisonment and a 5-year term of court supervision following release from federal prison. The Judge also imposed a 24 month consecutive sentence because Binford violated the court’s previously-imposed conditions of releases. Binford has been in custody since his arrest in September, 2014.

According to information disclosed during the court proceedings, a Spokane County Sheriff’s Detective arrested Binford on an unrelated matter in September, 2014. At the time of his arrest, Binford was in possession of a sports bag containing a Lorcin Model L22 .22 caliber semi-automatic pistol. The firearm was concealed in a pair of gloves. The bag also contained blank .22 caliber ammunition, two zippered bags containing syringes and plastic bindles containing methamphetamine residue, a digital scale, a hand-weapon fashioned from a circular saw blade, a collapsible metal baton, handcuffs, and a skull facemask. Binford was also in possession of a credit card and debit cards belonging to other people. As a previously convicted felon, Binford was prohibited by federal law from possessing any firearms or ammunition that had previously traveled in interstate commerce. Evidence showed that the Lorcin pistol Binford possessed Binford had been manufactured in Mira Loma, California, and had traveled in interstate commerce at some time prior to Binford’s arrest. Binford sentence was enhanced based on his criminal history, which history included three prior felony convictions for violent offenses. ,

Binford, who has been convicted of multiple felony offenses, was subject to court supervision at the time of his arrest. This supervision stemmed from an armed bank robbery conviction for which he had been sentenced to 188 months in prison. Binford had been release from prison on January 10, 2014, and was on court supervision at the time that he possessed the firearm

Michael C. Ormsby said, “The sentence imposed in this case not only reflects the seriousness of keeping firearms out of the hands of previously-convicted felons, but the importance of complying with court-ordered conditions of supervision. This case is yet another example of the commitment of the United States Attorney’s Office to prosecute aggressively firearms-related cases in the Eastern District of Washington.”

The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Spokane County Sheriff’s Office. The case was prosecuted by Timothy J. Ohms, an Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Michael Peter Spitzauer, age 47, of Kennewick, Washington, was sentenced today after having pled guilty to filing a false tax return and failing to file a tax return. United States District Court Judge Salvador Mendoza, Jr. sentenced Spitzauer to a four-year term of imprisonment and a one-year term of court supervision following release from federal prison. The Court also ordered Spitzauer to pay $10,365,000 in restitution to the victims of his fraud scheme, and $2,585,177 in restitution to the Internal Revenue Service.

According to court records, Spitzauer served as the CEO and President of Green Power, Inc., a biodiesel fuel business that operated at the Port of Pasco, which Spitzauer asserted possessed the technology to turn waste into biofuel. When he pled guilty, Spitzauer admitted that he defrauded various investors by representing that he would maintain their investment deposits in accounts controlled by an attorney, which deposits would not be utilized without the parties’ written agreement. In fact, Spitzauer controlled the bank accounts containing the deposits, and spent the investors’ deposits in unauthorized ways, such as on luxury goods, including a $1 million home in Kennewick, concert tickets, Seahawks and Sounders tickets, private school tuition for his children, and repaying prior investors who sought return of their funds.

Spitzauer also admitted to defrauding additional investors by falsely representing that their funds would be used to pay state agency fees or insurance bonds. As part of his scheme, Spitzauer manufactured fake communications from the state agency and the insurance companies to induce the investors to provide him funds. When Spitzauer received the investors’ funds, he spent the funds in unauthorized ways, such as personal expenditures, cash withdrawals, and unauthorized Green Power expenses.

From 2007 to 2013, Spitzauer stole more than $10.3 million from the various victims, who reside across the globe, including in China, Spain, the Netherlands, Ireland, Australia, Slovenia, Canada, Texas, and Maryland.

Spitzauer further admitted that he filed false tax returns for tax years 2007 and 2009, when he reported that he received no income and failed to disclose the funds he fraudulently obtained from his investors, which totaled approximately $4.5 million in taxable income for 2007 and 2009. Further, Spitzauer admitted that for tax year 2008, he failed to file a tax return, despite receiving approximately $3.2 million in taxable income, which represented funds he stole from the defrauded investors. As a result, Spitzauer evaded the assessment of approximately $2.5 million in taxes.

Michael C. Ormsby said, “The investing public should take notice that the cooperation among federal law enforcement agencies, including the Federal Bureau of Investigation, the Internal Revenue Service-Criminal Investigation, and the U.S. Attorney’s Office, offers an assurance that investment fraud schemes will be uncovered and thoroughly investigated, and that the scammers will be prosecuted. This case is yet another example of the commitment of the United States Attorney’s Office to prosecute aggressively fraud cases in the Eastern District of Washington.”

“Mr. Spitzauer’s conduct is inexcusable” stated Teri Alexander, IRS Special Agent in Charge, Criminal Investigations. “Not only did he cheat investors out of millions of dollars, but he evaded his federal tax obligations by claiming no income from 2007 through 2009. This prosecution is a reminder that fraud will not go unchecked in the Eastern District of Washington and that Special Agents working for the IRS Criminal Investigations will continue to lend financial expertise to their federal law enforcement partners when such matters are investigated.

The investigation was conducted by the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation, with assistance from the Department of Homeland Security-Homeland Security Investigations. The case was prosecuted by Mary K. Dimke and James A. Goeke, Assistant United States Attorneys for the Eastern District of Washington.

PASCO, WASHINGTON – In response to a request for assistance from United States Attorney Michael C. Ormsby and Pasco Police Chief Robert Metzger, the Office of Community Oriented Policing Services today announced it will offer technical assistance and training to the Pasco Police Department.

"The lack of trust between the community and the police is at the core of much tension and unrest throughout the nation. The recent tragic shooting of Antonio Zambrano-Montes in Pasco has brought that fact to light and reveals the need for the Pasco Police Department to enhance its community policing efforts," said COPS Office Director Ronald Davis. "It is absolutely critical that the police department do all it can to strengthen police and community relations and rebuild the community’s trust. I applaud Pasco Police Chief Metzger for his leadership in taking this necessary step."

"To be successful, any community oriented policing program must be grounded on trust and communication," said Michael C. Ormsby, United States Attorney for the Eastern District of Washington. "The steps initiated by the COPS program today are important tools to strengthen and enhance trust and communication between the community and the police department. Without a doubt, establishing and maintaining a safe community is the overarching goal of this, and every, community oriented policing program."

Through its Critical Response Technical Assistance program, the COPS Office will work with the Pasco Police Department over the next 12 months, and provide training in community policing and problem-solving, fair and impartial policing and procedural justice. Using a peer-to-peer support and exchange program, the COPS Office will also connect the police department with top law enforcement leaders and subject matter experts in the field to learn the best practices in community policing and crime reduction.

The Critical Response Technical Assistance initiative is a grant program within the COPS Office that is designed to provide immediate assistance to agencies facing crisis. CR-TA has been deployed in jurisdictions such as Ferguson, Mo., Detroit, Mich., Seattle, Wash., New Orleans, La. and San Diego, Calif.

The COPS Office, headed by Director Ronald Davis, is a federal agency responsible for advancing community policing nationwide. Since 1995, COPS has awarded more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local, and tribal law enforcement agencies to fund the hiring and redeployment of more than 126,000 officers and provide a variety of knowledge resource products including publications, training, and technical assistance. For additional information about COPS, please visit www.cops.usdoj.gov.

Richland – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that the last of 12 admitted criminal conspirators in the CH2M Hill Hanford Group Inc. (CHG) Time Card Fraud Conspiracy was sentenced for her role in nearly a decade of systemic fraud that took millions from the tax payers. Glenda Michele Davis, a former supervisor at CH2M Hill Hanford Group Inc. (CHG), who admitted her role in the conspiracy and who had cooperated for years with law enforcement, was sentenced to two years of probation and a fine. The other 11 admitted conspirators, including CHG itself, have also described to law enforcement, and ultimately the public, a systemic culture of time card fraud that existed at the Hanford Nuclear Site’s Tank Farms from at least 1999 through at least 2008. Through the 12 admitted criminal conspirators, including CHG, and the four members of management and upper management who paid individual civil fines, the United States has collected or imposed $19,882,412.40, in criminal and civil fines, damages, and penalties directly related to the CHG Time Card Fraud Conspiracy.

“We have been investigating and prosecuting this case since 2008 with our law enforcement partners, the Department of Energy Office of Inspector General and the FBI,” said Michael C. Ormsby. “While we recognize there are many dedicated people who work hard every day to advance the crucial mission of cleaning up Hanford, this case should serve as fair warning to all corporations and individuals doing business at Hanford who might seek to abuse the public’s trust.”

The first conspirator to plead guilty was Carl Schroeder in November of 2011. Between January 2012 and September 2014 another ten individual conspirators pleaded guilty to felony charges for conspiring to defraud the federal government.

Only one of the conspirators to plead guilty, Daniel Paul Niebuhr, did so without agreeing to cooperate with law enforcement. Mr. Niebuhr, a supervisor at CHG, was also the only conspirator sentenced to any prison time receiving a sentence of 30 days in addition to 3 months of home detention, a $34,146.60 fine, and a year of supervised release.

Taken together, the individual criminal defendants were ordered to pay a total of $766,912.40 in criminal fines for the fraud they perpetrated on the public.

In addition, in December of 2014, the United States entered into global criminal and civil settlements with another former CHG supervisor, Stephanie Livesey, and three former CHG upper managers Patrick “Brad” Brannan, Terrence Hissong, and Ryan Dodd. Those settlements involved the dismissal of the criminal charges against them and the imposition of over $100,000 in civil penalties with Mr. Dodd, a former CHG Vice President of Retrieval and Closure Operations, and Mr. Hissong, a former CHG Tank Farms Management Director, admitting no guilt but nonetheless paying $44,000 a piece to settle their personal liability under the False Claims Act.

Earlier, in March of 2013, CHG entered into a global civil and criminal settlement and fully admitted that it had criminally conspired with its own employees to defraud the federal government through the Time Card Fraud Conspiracy. CHG’s written public confession stated that it had conspired with, among others, members of its upper management generally and with Mr. Dodd in particular. CHG paid a total of $18.5 million and agreed to a 3 year corporate monitor at its remaining subsidiary on the Hanford Site, CH2M Hill Plateau Remediation Company (CHPRC). The CHPRC corporate monitor works closely with DOE OIG to help detect and deter fraud and will continue to do so into 2016. In addition, CHG agreed to pay an additional half million dollars to install an accountability system approved by DOE OIG to further help detect and deter any future conduct of this nature.

“While it is disheartening that this systemic fraud was ever perpetrated on the public, we are proud of our accomplishments in this case and thankful for the tremendous efforts of our law enforcement partners, as well as the Department of Energy, in bringing responsible parties to justice,” concluded Michael C. Ormsby. “Through these efforts we’ve made clear that blaming a culture of fraud provides no excuse for people or corporations to participate in that fraud.”

The investigation was conducted by the Department of Energy’s Office of Inspector General and the FBI. The cases were prosecuted by Tyler H.L. Tornabene, an Assistant United States Attorney for the Eastern District of Washington and Daniel H. Fruchter, a trial attorney with the United States Department of Justice, Civil Frauds Section.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Benjamin Blue Arquette, age 25, was sentenced following his entry of a guilty plea earlier this year to one count of Commercializing in Eagles in violation of the Bald and Golden Eagle Protection Act (16 U.S.C. § 668(a)). A first offense of Commercializing in Eagles is a Class A misdemeanor, which carries a maximum penalty of one year in jail. Senior District Court Judge William Fremming Nielsen sentenced Arquette to 30 days in jail to be followed by one year of court supervision following his release from incarceration.

On January 12, 2015, Arquette admitted to selling tail feathers from two golden eagles to an undercover officer working with the United States Fish and Wildlife Service. As part of his plea agreement, Arquette admitted telling the officer that he took the eagles while hunting when he came upon a location where someone had been shooting wild horses. Arquette arranged the sale for $1,200 through telephonic and email contacts. As a member of the Confederated Tribes of the Yakama Nation, Arquette can lawfully possess eagle feathers for non-commercial purposes. All members of federally recognized Indian tribes can obtain eagle feathers from a national repository maintained by the United States Fish and Wildlife Service for that purpose. However, it is unlawful for anyone to offer eagle feathers for sale or to sell eagle feathers.

Michael C. Ormsby stated, “Arquette’s guilty plea and sentence added to a growing list of cases involving the commercialization of eagles in the Eastern District of Washington. Similar investigations in recent years have led to convictions in United States v. Maldonado, 14-CR-2065-SMJ, which is scheduled for sentencing on July 29, 2015; United States v. Hawk, 09-CR-02034-001; and United States v. Wahchumwah, 09-CR-02035-001. The United States Attorney’s Office has, and will continue to support the efforts of the United States Fish and Wildlife Service.”

This case was investigated by the United States Fish and Wildlife Service with participation from the Washington Department of Fish and Wildlife, the Washington State Gambling Commission, and the Yakama Nation Tribal Police. The case was prosecuted by Timothy J. Ohms, an Assistant United States Attorney in the Eastern District of Washington.

Spokane –On Monday the United States Attorney’s Office for the Eastern District of Washington filed a notice on Monday informing the U.S. Federal District Court that it had completed a multi-year investigation of fraud originally alleged by three former employees of Monaco Enterprises Inc., a Spokane based company providing fire and security alarm systems to U.S. military bases. According to the allegations of the former employees, for years Monaco Enterprises engaged in various practices designed to defraud the federal government at military bases throughout the country. The United States Attorney’s Office has given notice that, of the multiple allegations raised, it will proceed to litigation against Monaco Enterprises on allegations that it billed the military for services not actually provided, and that Monaco Enterprises concealed deceptive charging practices from the government with regards to travel costs.

On January 19, 2012, Jason Voss, Drake Osborn, and Lisa Osborn, filed a civil complaint, known as a qui tam, alleging that Monaco Enterprises had violated the False Claims Act and that the United States was entitled to triple damages and various additional civil penalties. Mr. Voss and Mr. Osborn were both former employees of Monaco Enterprises. Later that year, on June 28, 2012, a third former employee, Maximilian Salazar III, filed a separate qui tam also alleging that Monaco Enterprises had violated the False Claims Act. Taken together, the allegations of the relators implicated hundreds of task orders and contracts with military bases scattered throughout the nation, most worth in excess of $100,000 each.

Under the False Claims Act, when whistleblowers, known as relators, file qui tam complaints, the case is sealed from the public, including defendants, to allow the United States time to investigate the allegations and determine if the United States will take over the lawsuit, known as intervening, or decline to take over the lawsuit. If the United States declines, then relators have the option of carrying the lawsuit forward on their own. Qualified relators who do so and prevail are entitled to 25% to 35% of any award provided to the government, plus the defendant must pay their attorney’s fees. For allegations in which the United States intervenes, a qualified relator is entitled to 15% to 25% of any award as well as attorney’s fees from the defendant.

Here, the United States has been diligently investigating the many allegations against Monaco Enterprises since the qui tam complaints were filed. The allegations implicate hundreds of task orders and contracts between Monaco Enterprises and the military over a period spanning more than a five years. The United States has chosen to intervene in some of the allegations and decline others. The United States has been ordered to file its complaint against Monaco Enterprises by September 10, 2015.

“Allegations of fraud committed against our military are vigorously investigated in this District,” said Michael C. Ormsby, United States Attorney for the Eastern District of Washington. “With the investigation of the relators’ allegations against Monaco Enterprises complete, we now look forward to ensuring that any money wrongfully taken from the military is paid back and all appropriate civil penalties are imposed,” said Mr. Ormsby.

The allegations against Monaco Enterprises have been investigated by special agents with the Department of Defense Office of Inspector General, Criminal Investigative Service; the U.S. Army Criminal Investigation Command; the U.S. Air Force Office of Special Investigations, and the General Services Administration, Office of Inspector General.

The qui tam complaints are captioned as United States of America ex rel. Jason Voss and Drake Osborn and Lisa Osborn, vs. Monaco Enterprises Inc. and John Does 1-99, CV-12-046-LRS, and United States of America ex rel. Maximilian Salazar III vs. Monaco Enterprises Inc.,

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Matthew Edward Baumrucker, age 31, of Spokane, Washington was sentenced today after having previously pled guilty on January 8, 2015 to being a Previously Convicted Felon in Possession of a Firearm. Chief United States District Court Judge Rosanna Malouf Peterson sentenced Baumrucker to a 92 month term of imprisonment, to be followed by a three year term of court supervision following he is released from Federal prison.

According to court records, on March 12, 2014, Detectives with the Spokane County Sheriff’s Office were looking for Baumrucker, as he had several active warrants for his arrest. Baumrucker was ultimately located in a motel in Spokane Valley, Washington. Detectives made phone contact with Baumrucker, who agreed to come out of his motel room. After the call, surveillance officers located outside of the motel building saw Baumrucker place a handgun on the air conditioner unit outside of the window to his room. After he was arrested, Baumrucker admitted he possessed the gun, but denied it was his.

Michael C. Ormsby started, "Matthew Baumrucker has a significant criminal history, including a prior federal felony conviction. He was a righteous target and I commend the Spokane Police Department, the Spokane Sheriff’s Office, and the FBI for their efforts in making this a successful prosecution. The public must understand that every previously convicted felon who possesses a firearm and/or even a single round of ammunition faces serious consequences when caught. The 92 month sentence meted out today is just one such example."

This investigation was conducted by the Federal Bureau of Investigation, the Spokane Sheriff’s Office, and the Spokane Police Department. Caitlin A. Baunsgard, an Assistant United States Attorney for the Eastern District of Washington, prosecuted the case.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Maurice Loyal Finch III, age 27, of Wellpinit, Washington, was sentenced today after having previously pleaded guilty on January 13, 2015 to one count of Sexual Abuse in Indian Country. United States District Court Judge Salvador Mendoza, Jr. sentenced Finch to a 98-month term of imprisonment, to be followed by life time court supervision after he is released from Federal prison. Finch will also have to register as a sex offender. According to information disclosed during the court proceedings, during the summer of 2011, Finch sexually abused a young boy on the Spokane Indian Reservation. An investigation was started after the boy reported the abuse to his mother. Michael C. Ormsby stated, “Sexual abuse cannot be tolerated in our society, especially when young children are the victims. The United States Attorney’s Office for the Eastern District of Washington is, and will continue to be, committed to aggressively prosecuting sexual abuse that occurs within federal jurisdiction, including the Indian reservations within this District. I commend the Spokane Tribal Police Department and the FBI for their terrific work on this case.” This investigation was conducted by the FBI and the Spokane Tribal Police Department. The case was prosecuted by Rudy J. Verschoor, an Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Shane A. Grifford, age 28, of Spokane, Washington, was sentenced today after having previously pleaded guilty on December 16, 2014 to Distribution of Child Pornography Images. United States District Court Judge Salvador Mendoza Jr. sentenced Grifford to a five year term of imprisonment. Gifford’s five year sentence of imprisonment will be followed by a fifteen year term of court supervision after he is released from Federal prison. In addition, Grifford will be required to register as a sex offender.

According to court records, on four separate occasions between August 4, 2013 and September 11, 2013, a Homeland Security Investigations (HSI) Special Agent, acting in undercover capacities on a Peer to Peer (P2P) file sharing program, received child pornography images from Grifford. As a result of further investigation, on November 1, 2013, HSI executed a federal search warrant at Grifford’s residence in Spokane, Washington. Grifford’s computer and other digital items of evidence were seized. A forensic examination of Grifford’s computer and hard drives revealed over 445 images and 213 videos depicting minors engaged in sexually explicit conduct. Some of the images show bondage and a number of the images are child pornography images of children under the age of 12 years.

Michael C. Ormsby said, “Prosecuting offenders who are distributing child pornography is a priority of the United States Attorney’s Office in the Eastern District of Washington. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit Page -2- children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children; · Participation of PSC partners in coordinated national initiatives; · Increased federal enforcement in child pornography and enticement cases; · Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

This investigation was conducted by Homeland Security Investigations (HIS) a component of the Department of Homeland Security. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.

Spokane – Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Nicholas William Soto, age 27, of Spokane, Washington was sentenced after having previously pleaded guilty on January 13, 2015 to Production of Child Pornography. United States District Court Judge Salvador Mendoza, Jr. sentenced Soto to a 15 year term of imprisonment. Soto’s term of imprisonment will be followed by a 15 year term of court supervision after he is released from federal prison. In addition, Soto will be required to register as a sex offender.

According to court records, on August 8, 2014, Department of Homeland Security Special Agents executed a federal search warrant at Soto’s residence in Spokane, Washington. The federal search warrant was based on the prior discovery of a child pornography image posted on a foreign website. During a recorded interview, Soto admitted to federal agents that he had produced a child pornography image of himself engaged in a sex act with a female-child-victim and posted that image online. Soto is also expected to plead guilty in Spokane County Superior Court to Rape of Child in the First Degree.

Michael C. Ormsby said “I commend the outstanding investigative work in this case by the Department of Homeland Security. This is an egregious case that requires the severe punishment imposed by the Court today. The United States Attorney’s Office in the Eastern District of Washington is committed to aggressively prosecuting and seeking appropriate punishment for crimes against children.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children; · Participation of PSC partners in coordinated national initiatives; · Increased federal enforcement in child pornography and enticement cases; · Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

This investigation was conducted by Homeland Security Investigations (HSI), a component of the Department of Homeland Security,. The case was prosecuted by James A. Goeke, an Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Jacob Alan Seiger, age 24, of Yakima, Washington, was sentenced today for distribution of heroin. United States District Court Judge Thomas O. Rice sentenced Seiger to a 156 month term of imprisonment, to be followed by a three year term of court supervision upon release from Federal prison.

According to information presented during the court proceedings, Seiger sold heroin to multiple individuals during 2013 and early 2014. In February 2014, an individual obtained heroin from Seiger and shortly thereafter died of a heroin overdose. In May, 2014, Seiger was charged by indictment with conspiracy to distribute heroin, three counts of distribution of heroin, and one count of distribution of heroin resulting in death, among other offenses. On November 12, 2014, Seiger pled guilty to distribution of heroin.

Michael C. Ormsby said, "The United States Attorney’s Office for the Eastern District of Washington is committed to protecting the community from the harm caused by heroin, one of the most dangerous and addictive Schedule I controlled substances. In recognition of the insidious effects that heroin and other opioids cause and the pressing need to address this growing problem, my office is co-sponsoring a multi-disciplinary Opioid Summit on May 5th in Ellensburg, Washington."

This case was investigated by the Drug Enforcement Administration with the assistance of the Yakima Police Department. The case was prosecuted by Benjamin D. Seal, an Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that the United States Attorney’s Office, in partnership with the University of Washington, Alcohol & Drug Abuse Institute (ADAI), Kittitas County Public Health Department, and Central Washington University, will be hosting a summit meeting to discuss the growing problem of opioid overdose in Eastern Washington.

The United States Department of Justice has identified prevention of opioid abuse and death as a major priority for the United States Department of Justice. In a policy address delivery in March, 2014, Attorney General Eric Holder stated: “When confronting the problem of substance abuse, it makes sense to focus attention on the most dangerous types of drugs. And right now, few substances are more lethal than prescription opiates and heroin. Addiction to heroin and other opiates – including certain prescription pain-killers – is impacting the lives of Americans in every state, in every region, and from every background and walk of life – and all too often, with deadly results.”

Analysis by the University of Washington ADAI suggests the scope of the problem in the Eastern Washington is very serious. From 2002 to 2013:

• Two people per week died from an opioid overdose; • 3,084 people entered publicly funded treatment for the first time for opioid use, a 103% increase; • Local law enforcement evidence testing for opioids increased 79% and totaled 3,502 cases.

This summit with bring together disciplines that combat heroin and prescription opioid overdoses to exchange information and find effective ways to:

• Implement overdose prevention programs in Eastern Washington; • Provide naloxone to first responders and community members; • Support the implementation of Washington State’s Good Samaritan Overdose law; • Support the continuum of service for opioid-dependent persons, including medication assisted treatment; • Conduct public education to reduce the stigma of substance use disorders; • Support prevention, treatment, and intervention and recovery services while maintaining public safety; and
• Break down barriers between enforcement, prevention, treatment professionals and public health.

The summit will convene May 5, 2015 from 9:00am to 3:00pm at the Student Union Building (SURC), Central Washington University,  400 E. University Way, Ellensburg, WA, 98926. Attendance is free, but advance registration is required. Please review the attached announcement for additional information.

Summit Committee Co-Chair Caleb Banta-Green, PhD, MSW, MPH, University of Washington ADAI and Summit presenter Penny Legate, Parent and Former KIRO-TV Reporter and Evening Magazine host, will be available for media interviews between 12:00pm and 1:00pm in the SURC Room 273.

Day of the event Public Information Officer:

Barb Arnott
Public Affairs Coordinator
Central Washington University
509-963-2841
BArnott@cwu.edu

For additional information please contact:

Susan Kingston                                                                       
Center for Opioid Safety Education                                        
UW ADAI                                                                                
206-221-4041                                                                          
Kingst1@u.washington.edu                                                

Sheriff Steven R. Tomson (ret.)
Law Enforcement Coordination Chief
United States Attorney’s Office, EDWA
509-710-5894 steven.tomson@usdoj.gov

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Willard Phillip Maldonado entered guilty pleas to six criminal charges relating to the commercialization of eagles. Five of the charges are violations of the Bald and Golden Eagle Protection Act (16 U.S.C. § 668(a)) and one charge is a violation of the Lacey Act (16 U.S.C. §§ 3372(a)(1) and 3373(d)(1)(B). According to information disclosed during the proceeding, the crimes occurred over a period of more than two years -- from December 6, 2010 through January 27, 2014. The crimes involved the unlawful killing of bald and golden eagles and the offering for sale and the actual selling of their feathers.

As a member of the Yakama Indian Tribe, Maldonado can lawfully possess eagle feathers for non-commercial purposes. All members of federally recognized Indian tribes can obtain eagle feathers from a national repository maintained by the U.S. Fish and Wildlife Service for that purpose. However, it is unlawful for anyone to offer eagle feathers for sale or to sell eagle feathers. As part of his Plea Agreement, Maldonado admitted that he unlawfully killed eagles and offered eagle feathers for sale through the use of social media.

Maldonado’s guilty pleas are the culmination of a lengthy investigation by the U.S. Fish and Wildlife Service, Washington State Department of Fish and Wildlife, and the Yakama Nation tribal authorities. The investigation identified people around the United States and in Canada who responded to solicitations made by Maldonado. The investigation followed other similar investigations in recent years that have led to similar convictions, including

United States v. Hawk, 09-CR-2034-EFS-1 and United States v. Wahchumwah, 09-CR-2035-EFS-1.

The sentencing hearing for Maldonado has been set for July 29, 2015 at 11:30 a.m. in Yakima, Washington before District Court Judge Salvador Mendoza, Jr.

Spokane – Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Adan Roberto Cortes, age 22, was sentenced to 10 years imprisonment for his involvement in a gang related drive by shooting. United States District Judge Salvador Mendoza, Jr., sentenced the Defendant to 10 years imprisonment, to be followed by 3 years of court supervision upon release from Federal prison.

According to information disclosed during the court proceedings, sometime in early 2014, unknown persons fired gun shots at the residence of Adan Roberto Cortes ("Cortes.") On March 21, 2014, Cortes and three other individuals engaged in target shooting. The men consumed a great deal of alcohol and ingested marijuana. Cortes wanted to seek revenge for the prior shooting. The four men decided to look for Sureno gang members. The four men wanted to prove their loyalty to the Norteno street gang. Cortes was armed with a .22 caliber pistol and a 9 millimeter pistol. The four men entered the Yakama Nation and drove around a residential housing area looking for a 14 year old rival gang member. At approximately 5:00 p.m., the men spotted someone whom they believed to be a rival gang member. Cortes provided the .22 caliber firearm to an accomplice. The Defendant encouraged his accomplice to fire several shots. The shooter fired eight rounds and mistakenly hit a young child who was playing outside. As they sped away, the Defendant and others began yelling gang slurs. A neighbor observed the shooting and immediately contacted the police. A short time later, police observed the suspect vehicle and all four men were arrested.

Michael C. Ormsby said, "Gang related violence will not be tolerated in the Eastern District of Washington. The United States Attorney’s Office is dedicated to seeking lengthy prison sentences for anyone involved in such horrific acts of violence."

The investigation was conducted by the Federal Bureau of Investigation, the Yakama Nation Tribal Police Department, the Yakima County Sheriff’s Office, and the Washington State Patrol. The case was prosecuted by Assistant United States Attorney Tom Hanlon, United States Attorney’s Office Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Ashley Bonair Chambers, age 58, of Spokane, Washington, was sentenced after having been convicted after a four-day jury trial in December 2014 of one count of conspiracy to commit bank fraud and wire fraud affecting a financial institution, seven counts of wire fraud, and one count of wire fraud affecting a financial institution. United States District Court Chief Judge Rosanna Malouf Peterson sentenced Chambers to a 30-month term of imprisonment and a 5-year term of court supervision following release from federal prison. The Court also ordered Chambers to pay $379,143 in restitution to the financial institution victims. The Court ordered Chambers to report immediately to the U.S. Marshal Service to be taken into custody at the conclusion of the sentencing hearing.

According to information disclosed during court proceedings, Ashley Bonair Chambers conspired with another individual in a loan "kiting" scheme by fraudulently obtaining several share secured loans and a construction loan from financial institutions. Chambers and a conspirator submitted several loan applications to financial institutions that were materially false and fraudulent because the applications reported inflated amounts of monthly income. Chambers and his conspirator used some of the loan proceeds as collateral to obtain additional loans. Chambers and his conspirator also submitted an application in the conspirator’s name that contained materially false information to obtain an $880,000 construction loan. Chambers and his conspirator intended to use the ill-gotten proceeds to build a house with a helipad in Nine Mile Falls, Washington. According to information disclosed during court proceedings, the construction loan application was false because it reported the conspirator’s monthly income as $48,000 when the conspirator’s monthly income was approximately $1,500. As part of the scheme, Chambers and his conspirator fabricated and submitted a bogus $185,000 document entitled "Earnest Money Payment Receipt Balloon Payment." By doing so, Chambers and his conspirator misled the financial institution into believing they had invested $185,000 into the home construction project. Among other things, Chambers and his conspirator used a portion of the loan proceeds to purchase a bobcat tractor and a truck. Chambers and his conspirator ultimately obtained approximately $379,143 from the financial institutions as a result of the fraudulent scheme.

Michael C. Ormsby said, "The sentence imposed in this case reflects the seriousness of ‘white collar’ crime and that those accused of defrauding banks will be fairly and justly held accountable for their criminal conduct. This case is yet another example of the commitment of the United States Attorney’s Office to prosecute aggressively fraud cases in the Eastern District of Washington. The U.S. Small Business Administration Office of Inspector General’s Criminal Investigation Division is commended for its tireless efforts in thoroughly investigating this case."

"When borrowers submit false information, the underwriting process is defeated and the taxpayers bear the loss," said Inspector General Peggy E. Gustafson of the Small Business Administration. "I want to thank the U.S. Attorney's Office for its dedicated leadership and professionalism in pursuit of justice served today."

The investigation was conducted by the Office of the Inspector General’s Criminal Investigation Division of the United States Small Business Administration. The case was prosecuted by George J.C. Jacobs, III, an Assistant United States Attorney for the Eastern District of Washington.

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Matthew D. Nowlin, age 45, was sentenced for the crime of conspiring to defraud the United States by preparing and filing approximately 49 false claims for income tax refunds. Mr. Nowlin is a resident of Selah, Washington. United States District Court Judge Salvador Mendoza, Jr., sentenced Matthew D. Nowlin to a twenty-four month term of imprisonment, to be followed by a 3 year term of court supervision upon release from federal prison. The Court also ordered Mr. Nowlin to pay $180,000 in restitution to the IRS. Mr. Nowlin was immediately taken into custody by the U.S. Marshals following sentencing.

According to information disclosed during court proceedings, Nowlin conspired with another individual to prepare approximately 49 income tax returns which contained false information and were designed to illegally obtain approximately $275,000 in refunds. Nowlin’s role in the tax fraud conspiracy was primarily as an "enforcer" to ensure that a conspirator would be paid a preparation fee ($1,000 to $2,500) from the fraudulently-obtained refunds. Nowlin also assisted a conspirator in preparing some of the false claims for tax refunds and transmitted some of the false claims to the IRS. Nowlin and a conspirator obtained the personal identifiers (including their names and Social Security Numbers and their dependents’ names and Social Security Numbers) of other individuals and then used that information to file false claims for tax refunds. As part of the scheme, Nowlin and a conspirator falsely claimed the following refundable tax credits on tax returns: Earned Income Tax Credit (EITC); the Additional Child Tax Credit (ACTC); the Recovery Rebate Credit; and the Making Work Pay Credit. As part of the scheme, Nowlin and a conspirator fabricated earned income, reported on the tax returns as Household Help Income (HSH), at amounts to qualify customers for the EITC and other refundable credits. Nowlin’s co-conspirator charged customers $1,000 to $2,500 to prepare their tax returns. Meanwhile, the industry-standard fee for preparing returns is approximately $100 to $200.

Michael C. Ormsby said, "The privilege of living well in the United States carries certain burdens, one of which is the voluntary payment of taxes. The system only works when everyone truthfully reports their income, pays their fair share of taxes, and does not make false claims for tax refunds."

Assistant Special Agent in Charge Steve Bellis of IRS Criminal Investigation said, "Matthew Nowlin's actions effectively stole from honest, hardworking U.S. taxpayers. This is a vivid reminder during this tax filing season to use sound reason by selecting a reputable return preparer."

The investigation was conducted by the Internal Revenue Service, Criminal Investigation. The case was prosecuted by George J.C. Jacobs, III, and Ian Garriques, Assistant United States Attorneys for the Eastern District of Washington.

Spokane – Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Morgan Moses Sampson, age 24, was sentenced for operating a vehicle during a gang related drive by shooting. United States District Judge Salvador Mendoza, Jr. sentenced Sampson to a ten-year term of imprisonment, to be followed by a three-year term of court supervision upon release from Federal prison

According to information disclosed during the court proceedings, on March 21, 2014, Sampson and three other individuals engaged in target shooting. Sampson consumed a great deal of alcohol and ingested marijuana. The four men decided to look for Sureno gang members. Sampson entered the driver’s seat and drove around a residential housing area. At approximately 5:00 p.m., the men spotted what they believed to be a rival gang member. Sampson drove the vehicle very slowly so that the shooter would have a better chance of hitting his target. The shooter fired eight rounds and mistakenly hit a young child who was playing outside. Sampson sped away in an effort to distance himself from the crime scene. However, a neighbor observed the shooting and immediately contacted the police. A short time later, police observed the suspect vehicle and all four men were arrested.

Michael C. Ormsby said, "Gang-related violence will not be tolerated in the Eastern District of Washington. The success of this investigation was the result of strong working partnerships among the Yakama Nation Tribal Police Department, the Yakima County Sheriff’s Office, the Washington State Patrol and the FBI. The United States Attorney’s Office will work in tandem with federal, state, local, and tribal law enforcement officers to prosecute aggressively anyone involved in such horrific acts of violence. Today’s lengthy prison sentences reflects the seriousness of this crime." Page -2-

The investigation was conducted by the Federal Bureau of Investigation, the Yakama Nation Tribal Police Department, the Yakima County Sheriff’s Office, and the Washington State Patrol. The case was prosecuted by Tom Hanlon, an Assistant United States Attorney for the Eastern District of Washington.

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that George Edward Cupp, age 51, of Clarkson, Washington, was sentenced after having previously pleaded guilty on October 7, 2014 to Possession of Child Pornography Images. United States District Court Judge Stanley Allen Bastian sentenced Cupp to a ten year term of imprisonment and a life term of court supervision after he is released from Federal prison. In addition, Cupp will be required to register as a sex offender.

According to court records, in December of 2013, the National Center for Missing and Exploited Children generated a CyberTipline report indicating that an individual, using a screen/user name of “georgecupp2013” had uploaded images of what appeared to be child pornography to the website Photobucket. Further investigation by the Asotin County Sherriff’s Office and Department of Homeland Security resulted in the execution of a search warrant for Cupp’s desktop computer and cellular phone. A forensic examination of Cupp’s digital devices discovered over 4,000 sexually explicit images, with children ranging from approximately six months of age to 16 years of age.

Michael C. Ormsby said, “I commend the Department of Homeland Security and Asotin County Sherriff’s Office for their outstanding investigation in this case. Prosecuting offenders who are distributing child pornography is a priority of the United States Attorney’s Office in the Eastern District of Washington. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted by the Department of Homeland Security and Asotin County Sherriff’s Office. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.

CR-14-0089-SAB-1

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Gabriel Joseph Andrew, age 28, of Wellpinit, Washington, was sentenced today after having previously pleaded guilty on September 4, 2014 to one count of Assault Resulting in Substantial Bodily Injury to a Spouse, Intimate Partner, or Dating Partner in Indian Country. United States District Court Judge Stanley A. Bastian sentenced Andrew to a 39-month term of imprisonment, to be followed by three years of court supervision after he is released from Federal prison.

According to information disclosed during the court proceedings, on March 18, 2014, Andrew assaulted his long-time girlfriend. The victim was punched and kicked by Andrew, resulting in numerous injuries including a large gash on the victim’s forehead.

Michael C. Ormsby stated, “Domestic violence continues to be a problem around the country. I commend the Spokane Tribal Police Department and the FBI for their leadership in addressing this problem and for their outstanding professional partnership exemplified by the successful investigation and prosecution of this matter. The United States Attorney’s Office for the Eastern District of Washington is, and will continue to be, committed to aggressively prosecuting domestic violence assaults that occur within areas under federal jurisdiction, including the Indian reservations in the District.

This investigation was conducted by the Spokane Tribal Police Department and the FBI. The case was prosecuted by Rudy J. Verschoor, an Assistant United States Attorney for the Eastern District of Washington.

CR-14-0085-SAB

Spokane – Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Aaron Winnier, age 33, of Wapato, Washington, was sentenced for possessing a stolen firearm. Senior United States District Court Judge Wm. Fremming Nielsen sentenced Winnier to a ten-year term of imprisonment and a three-year term of court supervision following his release from Federal prison. At today’s sentencing hearing, the Senior Judge Nielsen noted that Winnier had previously been convicted of more than 40 offenses.

According to information disclosed during court proceedings, on April 22, 2014, the Yakama Nation Police Department received a complaint of a disturbance. The Tribal Police Officers arrived at a residence where the disturbance was reportedly occurring. The officers apprehended Winnier, who appeared to be intoxicated. At the time, the officers discovered a stolen firearm in Winnier’s pocket. Winnier told the officers that he did not care if the firearm was stolen and that he would just “get another one.” Winnier has a lengthy criminal history which includes, among other conduct, convictions for: possession of marijuana; resisting arrest; obstruction; taking vehicle without permission; protection order violation; attempt to elude a police vehicle; third degree assault; fourth degree assault; third degree escape; reckless endangerment; malicious injury to property; residential burglary; possession of a stolen vehicle; and felony harassment – threat to kill.

Michael C. Ormsby said, “The United States Attorney’s Office is committed to prosecuting individuals who unlawfully possess firearms. Such offenses are serious and just punishment will be pursued against individuals who violate the firearms laws, as was done in this case. I commend the Yakama Nation Police Department and the Bureau of Indian Affairs for their commitment to this successful prosecution.”
This investigation was conducted by the Yakama Nation Tribal Police Department and the Bureau of Indian Affairs. The case was prosecuted by Tom Hanlon, an Assistant United States Attorney for the Eastern District of Washington.

14-CR-13-2035-WFN-1

Spokane – Today, the United States Attorney’s Office for the Eastern District of Washington announced that a former supervisor and two former managers of CH2M Hill Hanford Group Inc., (CHG) would each be required to pay tens of thousands of dollars in civil fines for their roles in the multimillion dollar CHG Time Card Fraud Scheme. Collectively the civil fines for these three remaining defendants totals over $100,000. The CHG Time Card Fraud Scheme involved routine and systematic inflation of overtime hours claimed by CHG workers over nearly a decade. The inflated hours were paid for directly by the Department of Energy (DOE) with taxpayer money. In addition to these civil fines, the investigation and prosecution of the scheme has resulted in 11 guilty pleas to felony conspiracy charges, two by former CHG supervisors, as well as an $18.5 million settlement with CHG, which itself admitted to the routine and systematic practice of defrauding the government with inflated labor hours.

In October a jury returned verdicts of not guilty for four former supervisors, known as Persons in Charge or PICs, for their alleged role in the CHG Time Card Fraud Scheme. The settlements with three of the remaining defendants: a former supervisor, Stephanie Hilton Livesey; and two former managers, Ryan Albert Dodd and Terrence Leroy Hissong; were part of individual global resolutions in which the pending criminal charges against them are anticipated to be dismissed.

“While we respect the decision of the jury in the PIC time card fraud trial, we do not understand it to be a rejection of what nearly a dozen former employees, including supervisors, have admitted to along with their former employer CHG- that there was a systemic pattern of time card fraud at CHG that stole millions from the taxpayers,” stated Michael C. Ormsby United States Attorney’s Office for the Eastern District of Washington. “Today’s resolution of three of the remaining defendants should serve as a further warning to those who would assist fraud at Hanford in any way- we will aggressively use all tools at our disposal to appropriately hold you accountable,” said Mr. Ormsby.

Ryan Albert Dodd was a Vice President at CHG during the time card fraud scheme and was placed on notice of the fraud as early as 2004, according to court documents filed by the United States Attorney. According to the civil settlement agreement, the United States contended that Mr. Dodd knowingly utilized the false time card information to justify inflated payments from DOE as well as to obtain corporate bonuses for himself. Under the terms of the settlement agreement Mr. Dodd did not admit to the allegations. Mr. Dodd has paid his fine of $44,000.00 in settlement of the allegations that he knowingly participated in the CHG Time Card Fraud Scheme.

Terrence Leroy Hissong worked for CHG as a Single Shell Tank Retrieval Director and as Tank Farms Management Director. Similar to Mr. Dodd, the United States contended that Mr. Hissong knowingly authorized overtime hours that he knew would not be fully worked but that would be charged nonetheless to the Department of Energy. The United States further contended that Mr. Hissong also knew that some workers, while not leaving the Tank Farms early, nonetheless lied on their time cards claiming that they were working a particular job when in fact they were doing busy work or no work at all while just running out the clock. As a result of his participation in the fraud, the United States claims Mr. Hissong received corporate bonuses that he otherwise would not have. Under the terms of the settlement agreement Mr. Hissong did not admit to the allegations. Mr. Hissong has paid a fine of $44,000.00 in settlement of the allegations that he knowingly participated in the CHG Time Card Fraud Scheme.

Stephanie Hilton Livesey worked for CHG as a first line manager with time card approval authority. The United States contended that she knowingly approved false time cards of the hourly workers below her which allowed them to be paid by DOE for hours they did not work. Unlike, Mr. Dodd and Mr. Hissong, Ms. Livesey did not receive corporate bonuses while at CHG. Ms. Livesey did not admit to the allegations under the terms of the settlement agreement. Ms. Livesey agreed to pay a fine of $22,000.00 in settlement of the allegations that she knowingly participated in the CHG Time Card Fraud Scheme.

The United States’ criminal case against these three defendants was captioned as United States of America vs. Ryan Albert Dodd, Terrence Leroy Hissong, and Stephanie Hilton Livesey, CR-13-6016-EFS. The United States’ civil settlements with those three defendants is available upon request to the United States Attorney’s Office for the Eastern District of Washington.

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Casey Edward Murdock, age 31, of Newport, Washington, was sentenced today after having previously pleaded guilty on September 4, 2014 to Distribution of Child Pornography Images. Chief United States District Court Judge Rosanna Malouf Peterson sentenced Murdock to a five year term of imprisonment. Murdock’s five year sentence of imprisonment is to be followed by a life term of court supervision after he is released from Federal prison. In addition, Murdock will be required to register as a sex offender.

According to court records, in November of 2011, an Federal Bureau of Investigation (FBI) agent working in an online undercover capacity on a Peer to Peer (P2P) file sharing program was sent by Murdock a password to unlock Murdock’s private P2P online directories, which were determined to contain images of child pornography. As a result of further investigation, in January of 2012, the FBI executed a federal search warrant at Murdock’s residence in Deer Park, Washington and Murdock’s laptop computer and other digital items of evidence were seized. During the execution of the search warrant, Murdock confessed to distributing child pornography images via P2P using the screen name “Boycumisgood.”

Michael C. Ormsby said, “Prosecuting offenders who are distributing child pornography is a priority of the United States Attorney’s Office in the Eastern District of Washington. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.

The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child
  exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted by the Federal Bureau of Investigation (Los Angeles, Baltimore and Spokane Divisions). The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.

CR-13-00174-RMP

Spokane –Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Christopher James Carson, age 32, of Wellpinit, Washington, was sentenced on today after having previously pleaded guilty to Abusive Sexual Contact and Possession of a Firearm by a Prohibited Person. United States District Court Judge Thomas O. Rice sentenced Carson to a combined 70- month term of imprisonment, to be followed by five years of court supervision after he is released from Federal prison. Judge Rice ordered Carson to register as a sex offender.

According to information disclosed during court proceedings, on May 14, 2013, Carson, a guest at the victim’s house, snuck into her bedroom while she was asleep with her boyfriend and sexually assaulted her. During the investigation of that case, law enforcement learned that he had illegally possessed a firearm on two occasions after being previously convicted of a felony.

Michael C. Ormsby stated: "This case exemplified the strong working partnership between the Spokane Tribal Police Department and the FBI – they must be commended for the dedication and hard work demonstrated in this case. Sexual assaults will not be tolerated within any Indian reservation located in the Eastern District of Washington. The United States Attorney’s Office is and will continue to be committed to prosecute aggressively sexual assault and firearms violations that occur within this District, particularly any such assault or violation that occur within any of the four Indian reservations in eastern Washington.”

This investigation was conducted by Spokane Tribal Police Department and the Federal Bureau of Investigation. The case was prosecuted by Rudy J. Verschoor, an Assistant United States Attorney for the Eastern District of Washington.

CR-13-0150-TOR
CR-13-0151-TOR

Spokane –Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Edward J. Brown, age 67, originally from Norwalk, California, was sentenced today in U.S. District Court after pleading guilty to six counts of Introduction of an Adulterated Medical Device into Interstate Commerce with the Intent to Defraud or Mislead. Senior United States District Court Judge Lonnie R. Suko sentenced Brown to a 24-month term of imprisonment, to be followed by a one-year term of court supervision following release from Federal prison. The Court also ordered Brown to pay $19,925 in restitution and a $10,000 fine.

According to information disclosed during court proceedings, Brown purchased a Coherent, Inc., laser from a California retailer. The device known as the Quatro FAP laser unit was manufactured for use in industrial settings, plainly not as a medical device. If used as a medical device, the FAP laser would have, in any event, required approval by the U.S. Food and Drug Administration (FDA). Brown used the FAP laser as a hoax medical device to treat individuals in the State of Washington who were suffering from cancer and other medical conditions. Of course the FAP laser had not, nor ever has, received FDA approval. As such, the FAP laser was an adulterated medical device and introduction of an adulterated medical device into interstate commerce is prohibited by law.

According to information disclosed during the court proceedings, Brown was not a physician licensed to practice medicine in the State of Washington or any other state. He did not have a medical degree from any lawfully recognized or accredited college, university, or institution of higher learning. Brown claimed that his FAP laser could cure disease, including cancer and other medical conditions. Brown made multiple trips between the states of California, Colorado and New Mexico to Washington with the FAP laser device and regularly used it to “treat” vulnerable individuals diagnosed with cancer and other illnesses. He generally charged these individuals $300 per laser “treatment.” However, if he “treated” more than one family member, Brown would reduce his fee to $225 per treatment.

Michael C. Ormsby stated: "The United States Attorney’s Office will continue to prosecute aggressively individuals who profit through public health hoaxes. Prosecution of these types of cases is a priority in the Eastern District of Washington particularly where the victims, like the victims upon whom Brown preyed, are vulnerable, sickly and desperate.” Lisa Malinowski, Special Agent in Charge of FDA’s Office of Criminal Investigations, Los Angeles Field Office added: “Putting cancer patients and their treatment at risk is never acceptable," said

The investigation was conducted by the Federal Bureau of Investigation and the Food and Drug Administration. The case was prosecuted over the span of several years by Assistant United States Attorneys for the Eastern District of Washington George J.C. Jacobs, III, Alison Gregoire, and K. Jill Bolton.

CR-08-2038-LRS

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Jeremiah Dale Fuller, age 29, of Wenatchee, Washington, was sentenced after having previously pleaded guilty on August 13, 2014 to Distribution of Child Pornography. United States District Court Judge Stanley Allen Bastian sentenced Fuller to a five year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison. In addition, Fuller is required to register as a sex offender.

According to court records, on March 1, 2014, Fuller distributed child pornography images using the Internet. The National Center for Missing and Exploited Children provided a cybertip to law enforcement regarding some of the images Fuller distributed. As a result of Fuller’s distribution of the child pornography images, an investigation was conducted by the East Wenatchee Police Department and the Department of Homeland Security. In April, 2014, a search warrant was executed at Fuller’s residence in Wenatchee, Washington and Fuller’s laptop computers and mobile phone were seized. A forensic examination of the laptops and mobile phone revealed that Fuller was in possession of over 2,000 child pornography images.

Michael C. Ormsby said, “The East Wenatchee Police Department and the Department of Homeland Security conducted an outstanding investigation in this case. This case is yet another example of the strong working partnership between state and federal law enforcement officers in the Eastern District of Washington. The public should be aware that the United States Attorney’s Office in the Eastern District of Washington is, and will continue to be, committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

This investigation was conducted by the East Wenatchee Police Department and the Department of Homeland Security. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.

CR-14-00090-SAB

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced today that his office collected $2,350,216.67 in civil and criminal actions in the Fiscal Year ending September 30, 2014. Of this amount, Mr. Ormsby’s office collected $1,546,303.16 in criminal cases and $803,913.51 in civil actions.

United States Attorney General Eric Holder announced on November 19, 2014 that the Justice Department collected $24.7 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2014. The more than $24 billion in collections in FY 2014 represents nearly eight and a half times the appropriated $2.91 billion budget for the 94 U.S. Attorney’s offices and the main litigating divisions in that same period.

“Every day, the Justice Department’s federal prosecutors and trial attorneys work hard to protect our citizens, to safeguard precious taxpayer resources, and to provide a valuable return on investment to the American people,” said Attorney General Holder. “Their diligent efforts are enabling us to achieve justice and recoup losses in virtually every sector of the U.S. economy. And this result shows the fruits of the Justice Department’s tireless work in enforcing federal laws; in protecting the American people from violent crime, national security threats, discrimination, exploitation, and abuse; and in holding financial institutions accountable for their roles in causing the 2008 financial crisis.”

The U.S. Attorneys’ Offices, along with the Department of Justice’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 to state victim compensation and victim assistance programs.

Michael C. Ormsby stated, “The United States Attorney’s Office’s enforcement actions help to not only ensure justice is served, but also to deliver a valuable return to the taxpayer. Attorneys and staff in my office are fully committed to collecting funds owed to victims of crime and to agencies of the federal government through on-going efforts to collect restitution from criminals, debts owed to agencies of the federal government for money borrowed or fines levied and money from government contractors and others who are found to have defrauded the government. The United States Attorney’s Office for the Eastern District of Washington will continue to prioritize its collection efforts, particularly in these tight financial times.”

The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.

Of further note, the United States Attorney’s Office for the Eastern District of Washington, working with partner agencies and divisions, collected $ 667,936.00 in asset-forfeiture actions during Fiscal Year 2014. In aggregate, the Department of Justice collected $4,531,566,571.00 in such actions during the same time period. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced today that his office collected $2,350,216.67 in civil and criminal actions in the Fiscal Year ending September 30, 2014. Of this amount, Mr. Ormsby’s office collected $1,546,303.16 in criminal cases and $803,913.51 in civil actions.

United States Attorney General Eric Holder announced on November 19, 2014 that the Justice Department collected $24.7 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2014. The more than $24 billion in collections in FY 2014 represents nearly eight and a half times the appropriated $2.91 billion budget for the 94 U.S. Attorney’s offices and the main litigating divisions in that same period.

“Every day, the Justice Department’s federal prosecutors and trial attorneys work hard to protect our citizens, to safeguard precious taxpayer resources, and to provide a valuable return on investment to the American people,” said Attorney General Holder. “Their diligent efforts are enabling us to achieve justice and recoup losses in virtually every sector of the U.S. economy. And this result shows the fruits of the Justice Department’s tireless work in enforcing federal laws; in protecting the American people from violent crime, national security threats, discrimination, exploitation, and abuse; and in holding financial institutions accountable for their roles in causing the 2008 financial crisis.”

The U.S. Attorneys’ Offices, along with the Department of Justice’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 to state victim compensation and victim assistance programs.

Michael C. Ormsby stated, “The United States Attorney’s Office’s enforcement actions help to not only ensure justice is served, but also to deliver a valuable return to the taxpayer. Attorneys and staff in my office are fully committed to collecting funds owed to victims of crime and to agencies of the federal government through on-going efforts to collect restitution from criminals, debts owed to agencies of the federal government for money borrowed or fines levied and money from government contractors and others who are found to have defrauded the government. The United States Attorney’s Office for the Eastern District of Washington will continue to prioritize its collection efforts, particularly in these tight financial times.”

The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.

Of further note, the United States Attorney’s Office for the Eastern District of Washington, working with partner agencies and divisions, collected $ 667,936.00 in asset-forfeiture actions during Fiscal Year 2014. In aggregate, the Department of Justice collected $4,531,566,571.00 in such actions during the same time period. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that James Gene Poindexter, age 26, of Spokane, Washington, was sentenced today after having previously pleaded guilty on September 2, 2014 to Production and Distribution of Child Pornography. Senior United States District Court Judge Justin L. Quackenbush sentenced Poindexter to a twenty year term of imprisonment -- fifteen years for Production of Child Pornography and five years for Distribution of Child Pornography, to be served consecutively. Poindexter’s twenty year sentence of imprisonment will be followed by a life term of court supervision after he is released from Federal prison. Poindexter is required to register as a sex offender.

According to court records, in October and November 2013, Microsoft made three separate CyberTip reports to the National Center for Missing and Exploited Children. As a result, the Federal Bureau of Investigation determined that Poindexter had distributed child pornography images via the Internet. In March of 2014, a federal search warrant was executed at Poindexter’s residence in Medical Lake, Washington. Poindexter’s computer and cellular telephone were seized. A forensic examination of these electronic devices revealed that Poindexter was in possession of over 600 child pornography images. Poindexter confessed to the production of child pornography and to molesting several minors. As a result of this investigation, on September 25, 2014 Poindexter also pleaded guilty in Spokane County Superior Court to: Rape of a Child in the Third Degree; Third Degree Child Molestation; and Communication with a Minor for Immoral Purposes. Sentencing is scheduled for November 25, 2014 on these Washington State charges.

Michael C. Ormsby said, “I commend the outstanding investigative work in this case by the Spokane County Sheriff’s Office and FBI. This egregious case is yet another example of the exemplary working partnership between state and federal law enforcement officers in the Eastern District of Washington. Make no mistake, the United States Attorney’s Office in the Eastern District of Washington is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.

The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted by the Federal Bureau of Investigation and the Spokane County Sheriff’s Office. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.

CR-14-00044-JLQ

SPOKANE – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Joshua Nicholas Higgins, age 25, of Phillipsburg, New Jersey, was sentenced today after having previously pleaded guilty of Production of Child Pornography. Senior United States District Court Judge Wm. Fremming Nielsen sentenced Higgins to a fifteen year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison. Higgins is required to register as a sex offender. At today’s sentencing hearing Judge Nielsen described Higgins as a predator, whose conduct warranted the lengthy sentence and the life time of supervision.

According to information disclosed during the court proceedings, in October 2012, Higgins, a New Jersey resident, began communicating electronically and through Skype with a young teenage girl in Kennewick, Washington. Higgins enticed the girl to engage in sexual acts, and images of those acts were transmitted from Washington State to New Jersey over the Internet. In May 2013, Higgins moved to Kennewick and had sexual intercourse with the young girl numerous times. Additional pornographic images of the girl were produced and transmitted electronically. Higgins was arrested in August 2013 and admitted his criminal conduct.

Michael C. Ormsby said, “The safety of our children is paramount to safe communities in the Eastern District of Washington. Prosecuting criminals who produce, distribute, and / or possess child pornography is a priority for the United States Attorney’s Office in the Eastern District of Washington. My Office, together with its Federal and state law enforcement partners, is and will continue to be committed to investigating, prosecuting, and seeking appropriate punishment for child pornography crimes.”
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.

The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted by the Kennewick Police Department and Federal Bureau of Investigation. The case was prosecuted by Ian L. Garriques, an Assistant United States Attorney for the Eastern District of Washington.

4:14-CR-6034-WFN

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Senior United States District Court Judge Robert H. Whaley sentenced Doris E. Nelson, 55 of Colbert, Washington, to a 108-month term of imprisonment after having previously entered guilty pleas in April, 2014 to 110 charges related to Wire Fraud, Mail Fraud, and International Money Laundering connected to a massive scheme that Nelson operated. Judge Whaley also sentenced Nelson to a three-year term of court supervision after she is released from Federal prison. A restitution hearing will be scheduled within 90 days.

Nelson admitted the allegations set forth in the Superseding Indictment – that she ran a fraud scheme for over eight years and took in approximately $137 million from at least 650 investors worldwide. As alleged, Nelson operated an unprofitable payday and short-term lending business, known as the Little Loan Shoppe, which she began in British Columbia, Canada in approximately 1997 and which she continued in Spokane, Washington beginning in approximately 2001. Despite the Little Loan Shoppe’s unprofitability, Nelson solicited hundreds of investors by leading them to believe, falsely, that her payday loan business was profitable and that her business profits allowed her to pay investors a 40% to 60% (and up to as much as 75%) annual return. Nelson claimed that these astronomical returns would be paid from the profits of the Little Loan Shoppe. Nelson also made numerous false and fraudulent statements about the Little Loan Shoppe in order to induce investors. She communicated with her investors in person, by telephone, by email, and through the mails. Nelson solicited investors who resided throughout the United States and in international locations, including Canada and Mexico.

Rather than paying her investors returns from a profitable business as Nelson had claimed, investors were paid “interest” with their own money or the money of other investors. In contrast to her consistent representations, Nelson was operating a massive fraud scheme where investors’ individual returns were paid using their own investments or monies paid by other investors. Investor funds rarely, if ever, were used to fund new customer loans, as Nelson assured investors they would be, and the Little Loan Shoppe lending operations did not generate profits from which investor payments could be made. As Nelson developed a history of paying investors “lulling payments” from subsequent investments, her track record became the single most persuasive factor for additional investors. In this way, Nelson’s scheme to defraud grew rapidly until it could no longer sustain itself. The scheme collapsed in 2008, when the flow of new funds could no longer support the payments required on the earlier investments and Nelson abruptly announced that all investments would be changed to a 10% interest rate. Nelson ended most payments to investors around this time, and by February 2009 she suspended all payments.

Nelson’s scheme resulted in personal withdraws of investor money of approximately $4.3 million. With these proceeds, she funded a lavish lifestyle for herself and her family. For example, Nelson spent approximately $223,000.00 in St. John Knits stores located in Las Vegas, Nevada, New York, Honolulu, and Beverly Hills as well as approximately $217,000.00 in purchases from Nordstrom. She also spent approximately $58,000.00 on art work while on a cruise in 2006. Nelson also incurred substantial gambling losses -- approximately $432,000.00 in 2008, and approximately $960,000 in 2007, at the MGM Grand Casinos in Las Vegas.

As Nelson’s fraudulent scheme began to collapse in 2008, Nelson’s investors forced the Little Loan Shoppe into bankruptcy in the summer of 2009. Shortly thereafter, the scheme was brought to the attention of IRS-CI, the FBI, and the United States Attorney’s office. An investigation was commenced and in April, 2010, agents with the IRS-CI and the FBI seized, among other assets, cash, a Mercedes Benz, a Corvette, and jewelry from her residence.

Michael C. Ormsby said, “The nine year sentenced imposed in this case reflects the seriousness of ‘white collar’ crime and that those accused of defrauding others will be fairly and justly held accountable for their criminal conduct. This case is yet another example of the commitment of the United States Attorney’s Office to prosecute aggressively fraud cases in the Eastern District of Washington. The federal agencies, including the IRS Criminal Investigation and the FBI, are commended for their tireless efforts in thoroughly investigating this case.

"The victims in this case suffered unimaginable harm, many losing their life's savings," said Special Agent in Charge Teri Alexander of IRS Criminal Investigation. "It is difficult to say what motivated Doris Nelson to take advantage of her client's trust. This type of unchecked fraud corrodes our nation's economy and wreaks havoc on the lives of the victims. IRS Criminal Investigation together with our partners at the FBI and Department of Justice are vigilantly on the lookout for would-be swindlers."

This case was investigated by the Internal Revenue Service-Criminal Investigations and the FBI. The sentencing in this case was handled by Caitlin A. Baunsgard, an Assistant United States Attorney for the Eastern District of Washington.

11-CR-00159-RHW

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that the Grand Jury returned an eight-count indictment today charging Dr. Craig A. Morgenstern, age 45, with: three counts of Travel with Intent to Engage in Illicit Sexual Contact with a Child, with each charge carrying a maximum possible penalty of not more than 30 years of imprisonment; four counts of Production of Child Pornography, with each charge carrying a maximum possible penalty of not less than 15 years nor more than 30 years of imprisonment; one count of Aggravated Sexual Abuse of a Child, which charge carries a maximum possible penalty of not less than 30 years nor more than a life term of imprisonment; and one count of Attempted Production of Child Pornography, which charge carries a maximum possible penalty of not less than 15 years nor more than 30 years of imprisonment. A conviction of any of these eight counts mandates registration as a sex offender.

The investigation of this matter is being conducted by the Stevens County Sheriff’s Office, the Spokane County Sheriff’s Office, and the Federal Bureau of Investigation. Anyone with information about this case or any potential victim is urged to call the Detective Division with the Steven County Sheriff’s Office at (509) 684-5296 or the FBI at (206) 622-0460.

The case is being prosecuted by Stephanie J. Lister and James A. Goeke, Assistant U.S. Attorneys for the Eastern District of Washington, as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

The charges contained in the indictment are only allegations. An individual charged with a criminal offense is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.

14-CR-00161-WFN

Spokane – Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Roberto Medina and Benjamin Soberanes, two former employees of La Bodega Yakimex, a business operated in Yakima, Washington, were sentence for their roles in a food stamp fraud scheme. United States District Judge Thomas O. Rice sentenced Medina to a 13 month term of imprisonment and Soberanes to a six month term. Both will be under court supervision for three years following their release from Federal prison. Manpreet Singh, the manager of La Bodega Yakimex, was sentenced on September 23, 2014 to a 24 month term of imprisonment to be followed by a one year term of court supervision upon his release from prison.

Under the SNAP (Supplemental Nutrition Assistance Program) program, authorized recipients are issued a certain amount of benefits each month, which they may use to purchase eligible food items. SNAP recipients typically receive their benefits in the form of a credit on their personal electronic benefit transfer (“EBT”) card. SNAP benefits may not be used to purchase items other than food, and they cannot be redeemed for cash.

The Defendants participated in a scheme whereby SNAP recipients took their EBT cards to La Bodega Yakimex and, instead of purchasing food items, would say they wanted cash. Defendants would run the card as though food items had been purchased but, in fact, they would simply give the SNAP recipient half of the value in cash and the store would keep or “pocket” the other half. The scheme resulted in a total estimated loss of $315,382.77. Defendants Singh and Medina have been ordered to pay restitution to the United States Department of Agriculture (USDA) in this amount.

Michael C. Ormsby said, “Food stamps are essential to supplement the income of members of our community and ensure families can afford the groceries they need. When opportunistic retailers defraud the system, as happened in this case, those families, particularly children who have no say in how food stamps are utilized, suffer, and our community suffers as a result.” The U.S. Attorney indicated this will not be an isolated prosecution and that other retailers engaged in this practice should be advised these cases are being aggressively investigated.

The investigation was conducted by the USDA Office of Inspector General and the Washington State Department of Social and Health Services Office of Fraud and Accountability. The case was prosecuted by Alison L. Gregoire and Mary K. Dimke, Assistant United States Attorneys for the Eastern District of Washington.

2:13-CR-02054-TOR-2

SPOKANE, Wash. – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Brian Frank Richardson, age 23, of Spokane, Washington, was sentenced, after having previously pleaded guilty on July 14, 2014, to Distribution of Child Pornography. Senior United States District Court Judge Justin L. Quackenbush sentenced Richardson to a five year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison. In addition, Richardson will be required to register as a sex offender.

According to court records, in February through September of 2013, Richardson used a peer to peer file sharing network on the Internet to distribute child pornography images. Some of the individuals Richardson distributed to were law enforcement officers, working online in an undercover capacity. As a result of Richardson’s distribution of child pornography images, investigation was conducted by the Spokane County Sheriff’s Office and the United States Secret Service. In October of 2013, a federal search warrant was executed at Richardson’s residence in Spokane, Washington and Richardson’s laptop computer was seized. A forensic examination of the laptop revealed that Richardson was in possession of approximately 6,751 child pornography images.

Michael C. Ormsby said, “Safety of our children is paramount to safe communities. Therefore, prosecuting offenders who are distributing child pornography is a big priority of the United States Attorney’s Office in the Eastern District of Washington. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to investigating, prosecuting, and seeking appropriate punishment for child pornography crimes.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child
  exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted by the Spokane County Sherriff’s Office and United States Secret Service. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.

CR-14-00040-JLQ

Spokane –Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Timothy Joseph Carlson, age 58, of Spokane, Washington, was sentenced today after having previously pleaded guilty on August 8, 2014 to Receipt of Child Pornography. Senior United States District Judge Justin L. Quackenbush sentenced Carlson to a fifteen year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison. In addition, Carlson will be required to register as a sex offender.

According to court records, between May 2009 through November 15, 2013, Carlson received child pornography images using the Internet. Following an investigation by the Federal Bureau of Investigation (FBI) concerning a foreign website used to distribute child pornography, law enforcement officers executed a search warrant at Carlson’s residence in Spokane on November 15, 2013. During the search of his residence, Carlson admitted to FBI Special Agents that he had knowingly received and traded images of child pornography over the internet. The FBI’s subsequent forensic examination digital media and a computer seized from Carlson’s residence revealed numerous child pornography images.

Michael C. Ormsby said, “Prosecuting offenders who are receiving child pornography is a priority of the United States Attorney’s Office in the Eastern District of Washington. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes.”

This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:

• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and
• Community awareness and educational programs.

For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted by the Federal Bureau of Investigation and the Spokane Police Department. The case was prosecuted by James A. Goeke, an Assistant United States Attorney for the Eastern District of Washington.

CR-14-00072-JLQ

Spokane –Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Robert J. Braun, age 55, originally of Spokane, was sentenced today in United States District Court after pleading guilty to five counts of wire fraud and one count of securities fraud. Senior United States District Court Judge Robert H. Whaley, Jr. sentenced Braun to a three year term of imprisonment for his role in defrauding dozens of investors in the Spokane area. The Court also ordered Braun to pay $1,482,250 in restitution and imposed three years of court supervision following his release from Federal prison.

According to information disclosed during court proceedings, Braun told investors that he was raising funds for an ethanol plant that would be built in the Spokane area. Braun told investors they would be repaid their investment within a few months, and would then earn extraordinary dividends annually. Braun used the business names Novahol Spokane, LLC and S & B Energy Spokane, LLC in furtherance of his scheme.

As part of his fraudulent scheme, Braun used investor funds for personal living expenses, including more than $150,000 on mortgage payments and expenses for three homes, more than $50,000 at department and clothing stores, and more than $80,000 for a women’s shoe and accessory store that he owned in downtown Spokane (Boutique 238). Braun solicited several victims when his bank accounts had low or negative account balances. Between 2008 and 2012, Braun lulled investors into a false sense of security through a series of emails that claimed that billions in funding for the ethanol plant was imminent.

Michael C. Ormsby said, “Investors should be wary of any investment opportunity that seems too good to be true, even if someone they know and trust introduces them to the opportunity. Perpetrators of fraud are aware of the fears of investors and can tailor their schemes to convince even the most cautious investors to part with their money.” Michael C. Ormsby added that, “The sentence imposed in this case will send the right message to would be fraudsters that their schemes will be prosecuted and punished.”

The investigation was conducted by the Federal Bureau of Investigation, the Washington State Department of Financial Institutions (DFI), and the Internal Revenue Service Criminal Investigation (IRS-CI). The case was prosecuted by Assistant United States Attorneys K. Jill Bolton and George J.C. Jacobs, III, as well as Special Assistant United States Attorney Robert Kondrat, a DFI attorney cross-designated to the United State Attorney’s Office to prosecute securities fraud cases.

CR-13-083-RHW

Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Richard James Peone, age 21, of Wellpinit, Washington, was sentenced after having previously pleaded guilty in May, 2014 to one count of Assault With a Dangerous Weapon. Senior United States District Court Judge Justin L. Quackenbush sentenced Peone to a thirty-nine month term of imprisonment, to be followed by three years of court supervision after he is released from Federal prison.

According to information disclosed during the court proceedings, on August 13, 2012, Peone and others picked up the victim and drove him to a remote location on the Spokane Indian Reservation, where the victim was assaulted. The assault was in retaliation for a previous drug transaction that involved the victim.

Michael C. Ormsby stated, “Violence committed in relation to drug trafficking will not be tolerated in the Eastern District of Washington, particularly such violent acts that are committed on an Indian reservation. I commend the Spokane Tribal Police and the FBI for their cooperative and diligent efforts in investigating this case.”

This investigation was conducted by FBI and the Spokane Tribal Police Department. The case was prosecuted by Rudy J. Verschoor, an Assistant United States Attorney for the Eastern District of Washington.

CR-14-CR000070-JLQ

Spokane – Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Jeremiah Joseph Axtell, age 41, of Wapato, Washington, was sentenced today after previously pleading guilty to possession with intent to distribute methamphetamine. Senior United States District Court Judge Lonny R. Suko sentenced Axtell to a 92 month term of imprisonment, to be followed by a four year term of court supervision following release from Federal prison.

According to information disclosed during the court proceedings, law enforcement agents executed a search warrant at Axtell’s residence on March 18, 2014. They located several ounces of methamphetamine and ten firearms. Axtell was indicted by a grand jury on April 8, 2014, and he pled guilty on May 29, 2014 to possession with intent to distribute methamphetamine.

Michael C. Ormsby said, “The DEA, ATF, and BIA here in the Eastern District of Washington are to be commended for their continued aggressive investigative efforts involving drug trafficking, particularly when firearms are present. This case involved a significant amount of methamphetamine that the Defendant intended to distribute and the Defendant was in possession of numerous firearms as well. The seriousness of the Defendant’s criminal conduct is reflected by the 92 month sentence imposed by the judge. The United States Attorney’s Office will continue to support its law enforcement partners by aggressively prosecuting drug trafficking and firearm-related crimes.”

This investigation was conducted by agents with the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Bureau of Indian Affairs. This case was prosecuted by Benjamin D. Seal, an Assistant United States Attorney for the Eastern District of Washington.