Eastern District of Wisconsin

United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin announced on January 17, 2020, that Yousef O. Barasneh (age: 22) of Oak Creek, Wisconsin, was charged by criminal complaint with conspiring to violate citizens’ rights to use property free from threats and intimidation, in violation of 18 U.S.C. § 241.

The complaint alleges that Barasneh is a member of “The Base,” a neo-Nazi, racially motivated extremist group, and that between September 15, 2019, and September 23, 2019, he conspired with other Base members to vandalize minority-owned property, including property used by Jewish citizens. As part of this conspiracy, Barasneh vandalized the Beth Israeli Sinai Congregation in Racine, Wisconsin, by spray-painting swastikas, the symbol for The Base, and anti-Semitic words on the exterior of the synagogue. If convicted of the charge, Barasneh faces up to ten years in prison and up to $250,000 in fines.

“The United States is committed to vigorous enforcement of civil rights statutes against individuals motivated by extremist ideologies,” stated United States Attorney Krueger.

FBI Special Agent in Charge Robert E. Hughes stated: “This demonstrates the FBI’s vigilance in investigating individuals who attempt to dismiss and violate others’ Constitutional rights. Through the great coordination and investigation of multiple national JTTFs, FBI Milwaukee was able to participate and affect our portion of the investigation”

This case was investigated by the Milwaukee Federal Bureau of Investigation and Joint Terrorism Task Force (JTTF). The case is being prosecuted by Assistant United States Attorney Benjamin Proctor.

A criminal complaint is only a charging document and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.

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Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced today that 26 defendants have been charged in federal court with trafficking at least five kilograms or more of cocaine as well as distributable quantities of heroin and fentanyl.  The defendants were also charged with money laundering and conspiracy to commit money laundering.  If convicted, each defendant faces a mandatory minimum of 10 years in prison and up to life in prison.  According to the complaint, the defendants were part of a drug-trafficking organization that has been sending multi-kilogram quantities of cocaine through the U.S. Postal Service from Puerto Rico to Milwaukee, Wisconsin. 

On January 15, 2020, federal, state, and local law enforcement officers arrested 22 of these defendants.  The officers also executed search warrants in both Milwaukee and Puerto Rico resulting in the seizure of approximately 15 kilograms of cocaine, at least 50 grams of heroin, at least 80 grams of crack cocaine, 35 firearms (25 handguns, 8 rifles, 1 fully automatic handgun, and 1 sawed off shotgun), and approximately $267,000 in U.S. currency.

United States Attorney Krueger said in announcing this takedown: “Our communities continue to suffer from an unprecedented drug epidemic that has taken far too many lives.  The drug trafficking organizations that fuel this epidemic for their own profit must be stopped and held accountable.  These arrests demonstrate the extraordinary commitment and partnership among all levels of law enforcement to pursue traffickers, wherever they are operate.” 

The defendants charged in this law enforcement action, called Operation Island Hopper, are:

Name

Age

Residence

Jose GONZALEZ-COLLADO

28

Milwaukee

Hector Yamil RODRIGUEZ-RODRIGUEZ

28

Milwaukee

Marcos APONTE-LEBRON

40

Milwaukee

Vladimir RODRIGUEZ-RODRIGUEZ

25

Milwaukee

Steven CORTES-IRIZARRY

38

Milwaukee

Kevin TORRES-BONILLA

29

Milwaukee

Andros MARTINEZ-PELLOT    

30

Milwaukee

Eric ROSA

32

Milwaukee

Kadeja LEWIS

29

Milwaukee

Yadier ROSARIO         

23

Milwaukee

Julio RIVERA-RAMIREZ

51

Milwaukee

Rafael RIVERA-QUINONES

34

Milwaukee

Ricardo BONILLA

48

Milwaukee

Jose BURGOS-RIVERA

42

Milwaukee

Jomar LABOY-SILVA   

27

Milwaukee

Enid MARTINEZ          

32

Milwaukee

Alexander MORALES-RIVERA

27

Milwaukee

Wilberto SANTIAGO-MARTINEZ        

38

Milwaukee

Julio SEDA-MARTINEZ

39

Milwaukee

Jose M. AVILES-GONZALEZ    

25

Milwaukee

David QUINONES-QUINONES

48

Puerto Rico

David Joel QUINONES-RIOS

29

Puerto Rico

Roberto ORENCH-FELICIANO

27

Puerto Rico

Carlos Omar CONCEPCION-RIVERA

31

Puerto Rico

Yashira Jehovalis CORTES-NIEVES

24

Puerto Rico

Keishla M. ORENCH-FELICIANO         

27

Puerto Rico

“This case shows the impact that intensive investigations targeting large-scale drug trafficking can have,” said Wisconsin Attorney General Josh Kaul. “When local, state, and federal investigators work together, as they have in this case, we can disrupt the supply of narcotics to Wisconsin and help people avoid addiction. Thank you to the brave law enforcement professionals at DCI and other agencies who have worked on this case.”

 “The DEA is committed working with its local, state and federal law enforcement partners to keep the citizens of Milwaukee safe from drug trafficking and the violence that is always associated with it.  Today’s arrests shows the resolve of law enforcement to work together in order to identify, investigate, and prosecute individuals who profit from the national drug epidemic,” said DEA Milwaukee District Office Assistant Special Agent in Charge Paul E. Maxwell, Jr. 

Chicago Division Postal Inspector in Charge Bill Hedrick said, “The incredible partnerships between law enforcement agencies are imperative to protect the American public from illegal drug activity and the violence that goes along with it.  The criminal activity in this case was uncovered through the investigation of drug parcels by a well-trained Postal Inspector, and transformed into this multi-faceted investigation which led to the numerous arrests we have today.   Postal Inspectors work not only to remove drugs from the mail, but to investigate and arrest individuals, and disrupt drug trafficking across the United States.”  

“This investigation’s success is a direct result of the strong partnership between HSI and our local, state and federal law enforcement partners,” said Special Agent in Charge James M. Gibbons, HSI Chicago. “This close coordination between law enforcement agencies is essential to ensuring those allegedly involved in the illicit drug trade are brought to justice.”

ATF Special Agent in Charge Tim Jones said, “Protecting the American people from criminal organizations is a priority of the ATF.  Operations such as this are a great example of how law enforcement partnerships working in concert can help protect the public from criminal organizations and reduce violent crime.”

The defendants were charged based on a multi-year investigation led by law enforcement agents and officers from the Drug Enforcement Administration (DEA), the North Central High Intensity Drug Trafficking Area (HIDTA), the Wisconsin Department of Justice, Division of Criminal Investigations, Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the United States Postal Inspection Service, the Milwaukee Police Department, and the City of New Berlin Police Department.  Assistant United States Attorney Robert J. Brady, Jr. and Assistant United States Attorney Gail Hoffman are prosecuting the case.

The public is cautioned that a criminal complaint is merely a charge and the defendant is presumed innocent until and unless proven guilty.

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For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on January 15, 2020, U.S. District Judge William C. Griesbach sentenced Hunter C. Nicholson (age: 19) to 30 days’ imprisonment and 3 years’ supervised release after Nicholson pled guilty to Making a False Statement to a Federal Firearms Dealer, in violation of Title 18, United States Code, Section 922(a)(6).

On June 17, 2019, the resource officer for the Oshkosh Area School District alerted the Winnebago County Sheriff’s Department that 16-year-old “Juvenile Male”—an Oshkosh North student—posted an Instagram video of someone shooting an assault-style rifle, accompanied by the following comment: “Revealing new school shooter gun.” As a result of the post, Winnebago County deputies questioned Juvenile Male and seized the firearm—an Anderson Manufacturing, Model AM-15, 5.56-millimeter rifle with a Magpul pistol grip. Deputies also recovered two ammunition magazines for the rifle and several rounds of ammunition.

Juvenile Male told deputies that he posted the video and made the comment, but said that he meant it as a joke. Juvenile Male admitted that Hunter C. Nicholson bought the rifle for him at a federally licensed firearms dealer in Oshkosh. During the transaction, Nicholson completed the federally required ATF Form 4473 and falsely answered that he was the actual purchaser of the firearm. Deputies and ATF agents subsequently interviewed Nicholson, who admitted making the unlawful purchase and false statements when he bought the firearm for Juvenile Male.

Making a false statement to a federal firearms dealer is a felony punishable by up to 10 years’ imprisonment, a $250,000 fine, and 3 years’ supervised release.

This case was prosecuted under the Project Safe Neighborhoods initiative. Project Safe Neighborhoods is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The Project Safe Neighborhoods’ strategy brings together all levels of law enforcement and community resources to reduce violent crime and improve the quality of life in all our neighborhoods.

This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://go.usa.gov/xpBrs

This case was investigated by the Winnebago County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. This case was prosecuted by Assistant United States Attorneys Tim Funnell and Farris Martini.

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Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that after a court trial on January 14, 2020, U.S. District Judge JP Stadtmueller found Ayse E. Duncan (age: 32) guilty of Possessing a Firearm as an Unlawful User of Controlled Substances and Transferring a Firearm to an Unlawful User of Controlled Substances, in violation of Title 18, United States Code, Sections 922(d)(3) & (g)(3). Sentencing is scheduled for April 10, 2020. On each count, Duncan faces maximum penalties of ten years’ imprisonment, a $250,000 fine, and three years’ supervised release.

According to the trial evidence, Duncan bought a 9-mm pistol on December 9, 2018, from a federally licensed firearms dealer at a gun show in Waukesha, Wisconsin. At the time, Duncan was an unlawful user of crack cocaine, and was therefore prohibited under federal law from possessing a firearm. In completing the required ATF Form 4473 for the sale, Duncan falsely answered “no” when asked if she was an unlawful user of a controlled substance. Thereafter, in January 2019, Duncan transferred the pistol to her then-boyfriend, knowing that he was an unlawful user of crack cocaine and that he intended to give the pistol to the couple’s drug dealer to satisfy their drug debt. Duncan later learned from her boyfriend that he had, in fact, transferred the pistol to the drug dealer. Duncan’s boyfriend subsequently died from a drug overdose on August 7, 2019.

On August 14, 2019, Milwaukee police officers responded to a report of gunfire that was detected by the city’s automated ShotSpotter system. Upon arrival in the area, officers chased the suspected shooter as he ran away with a pistol in his hand. The suspect refused officers’ commands to drop the gun and turned toward them, raising the pistol. An officer reacted by firing at the suspect, who was struck and fell to the ground. The suspect was successfully treated for his injuries and is charged in Milwaukee County Circuit Court from the incident. The pistol recovered from the suspect was the same 9-mm pistol that Duncan had unlawfully purchased and transferred months earlier.

This case was prosecuted under the Project Safe Neighborhoods initiative. Project Safe Neighborhoods is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The Project Safe Neighborhoods’ strategy brings together all levels of law enforcement and community resources to reduce violent crime and improve the quality of life in all our neighborhoods.

This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://go.usa.gov/xpBrs

This case was investigated by the Milwaukee Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. This case was prosecuted by Assistant United States Attorneys Tim Funnell and Farris Martini.

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Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced today that 11 defendants have been charged with conspiracy to distribute 100 grams or more of heroin and 40 grams or more of fentanyl in the Milwaukee area.  Over one kilogram of fentanyl has been seized during the course of the investigation. If convicted of the heroin and fentanyl charges, each defendant faces a mandatory minimum term of 5 years in prison.

The defendants charged are:

Name

Age

ADOLFO REYES-FELICIANO.

26

JONATHAN ARANZAMENDI-MALDONADO

43

AZAHEL VELAZQUEZ-MELGOZA

22

BRIAN A. MELENDEZ-SANTIAGO

22

JOMUEL LOZANO-MARTINEZ

27

MALEK A. FARAKHNA

32

KENDELL R. NEWKIRK

24

ANGEL R. PADILLA-COLON

25

EDUARDO I. GUTIERREZ-ARMEDARIZ

36

EDUARDO DE JESUS ROBLES-CAMBRONERO

27

MARIO J. NAVARRO

21

On January 15, 2020, federal, state, and local law enforcement officers arrested ten of the defendants.  Two of the arrested defendants were undocumented aliens from Mexico and subject to immediate removal.  The officers also executed search warrants in Milwaukee resulting in the seizure of approximately 800 grams of black tar heroin, 200 grams of fentanyl, and one firearm.

 “Fentanyl and heroin are extremely dangerous opioids that have led to numerous overdose deaths,” said United States Attorney Krueger in announcing the charges.  “As these charges show, law enforcement is devoted to working collaboratively and aggressively to combat drug trafficking.”  

 “In 2019, fentanyl was the leading cause for overdose deaths in the City of Milwaukee.  The DEA, along with our local, state, and federal partners have been and will continue to aggressively investigate and arrest those individuals who profit from the pain and suffering of others.  Yesterday’s law enforcement operations are a shining example of this common goal to save lives and make our communities a safer place to live,” said DEA Milwaukee District Office Assistant Special Agent in Charge Paul E. Maxwell, Jr. 

The defendants were charged based on a multi-year investigation led by law enforcement agents and officers from the Drug Enforcement Administration (DEA), the Internal Revenue Service-Criminal Investigations, the City of Kenosha Police Department, the City of Greenfield Police Department, and the City of West Allis Police Department. This case is being prosecuted by Assistant United States Attorney Mario Gonzales. 

The public is cautioned that an indictment is merely a charge and the defendant is presumed innocent until and unless proven guilty.

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Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, issued a statement reminding all Wisconsin residents to file accurate tax returns as the deadline for filing federal income tax returns is Wednesday, April 15. Although the filing season is just beginning, the U.S. Attorney’s Office and the Internal Revenue Service’s Criminal Investigation Division work year round to protect the integrity of our nation’s tax system by investigating and prosecuting individuals who violate the tax laws.

“Each year, millions of honest Wisconsin residents dutifully pay a portion of their hard-earned income in taxes,” said United States Attorney Krueger. “They deserve to know that people who cheat on their taxes face serious consequences, including time in federal prison.”          

“As we approach tax filing season, IRS Criminal Investigation wants to remind people to file accurate tax returns and to choose their tax preparers carefully,” said Kathy A. Enstrom, Special Agent in Charge of the Chicago Field Office.  “IRS Criminal Investigation operates year round to protect the integrity of our system of taxation and investigates those who create elaborate schemes, such as identity fraud schemes to obtain fraudulent tax refunds or tax schemes that fail to report all forms of income on their tax returns.  Taxpayers are encouraged to visit the IRS.gov website for tips on filing a tax return accurately and searching for a reputable return preparer.”

The following prosecutions over the second half of 2019 in the Eastern District of Wisconsin serve as a warning against filing a false or fraudulent tax return, and as a reminder to be wary of any schemes that would falsify income or deductions.

Richard J. Clark was sentenced on May 21, 2019 in federal court in Milwaukee to 14 months in prison, to be followed by three years of supervised release, and ordered to pay $213,000 in restitution to the IRS. Clark, who resided in Mukwonago, previously operated Foremost Realty, LLC, a real estate business that listed, maintained, and sold foreclosed property in southeastern Wisconsin. During the years 2008 – 2013, Clark, through his business, received approximately $1.6 million in commissions. Despite receiving these commissions, Clark filed tax returns that either listed $0 on all lines of the returns, reporting no income or tax obligations, or reported very minimal income and taxes. As a result, during the years 2008-2013, Clark evaded more than $400,000 in federal income taxes.

June 18, 2019 John Miller Ragland, who previously resided in Menomonee Falls, Wisconsin, appeared in federal court and pleaded guilty to attempting to evade his federal income taxes, in violation of 26 U.S.C. §  7201. Ragland operated a number of business ventures through which he acted as an independent sales representative in the United States and elsewhere, including Hong Kong, China. John Miller Ragland was sentenced in federal court to six months in prison, to be followed by one year of supervised released, and ordered Ragland to pay $1.4 million in restitution to the IRS.

Also in June Steven M. Rader of Muskego, Wisconsin, was sentenced to five months in federal prison for stealing more than $89,000 from the federal government via a tax evasion scheme that began in 2012. Rader was also ordered to pay more than $195,000 in restitution. Rader’s tax evasion scheme related to an entertainment business he owned and operated starting in 2012. Despite the fact that the business generated significant income, Rader failed to report any of that income on his federal tax returns for the years 2012 to 2014. In total, Rader understated his income by over $500,000 and underpaid his taxes by over $89,000. Radar also made significant efforts to conceal his tax evasion by filing false amended tax returns and lying to federal investigators about his sources of income.

On October 18, 2019 Lisa A. Radtke, of Appleton, Wisconsin, appeared in federal court in Green Bay and pleaded guilty to one count of wire fraud (18 U.S.C. §1343) and one count of tax evasion (26 U.S.C. §  7201). Based on her guilty pleas, Radtke faces up to 25 years in prison and fines of up to $500,000, or both. Radtke also agreed to make restitution to her former employer, which was the victim of her fraud, in the amount of $1.3 million, as well as to the Internal Revenue Service for the taxes she failed to pay, plus penalties and interest on these taxes, in the amount of $634,000. Radtke’s sentencing is scheduled for January 27, 2020, also in Green Bay.

Philip Kuehnl of Pleasant Prairie, WI, pleaded guilty in December 2019 to filing a false tax return and mail fraud.  In 2015, Kuehnl was charged with 20 counts of Title 18, 1001 and 1341, and Title 26, 7206(1) filing a false tax return.  He operated a medical device scheme from 2005 to April 2011 in which he fraudulent obtained more than $700,000 from customers who purchased medical devices falsely believing the devices were from legitimate medical supplier.  He also substantially underreported and underpaid his federal income taxes for tax years 2007 through 2009. Kuehnl failed to report over $978,00 of income over a 3 year period and $290,000 in federal income taxes. Kuehnl was a fugitive.  His sentencing is scheduled for January 26, 2020.

Ana Delia Dominguez Alvarez and Alberto Fernando Ramirez were indicted in 2017 on 23 charges of conspiracy, theft of government funds, and aggravated identity theft and both pleaded guilty in December 2019.  They operated a tax fraud scheme from November 2010 to May 2017 in which they obtained ITIN numbers from individuals in Mexico and filed false federal tax returns using the ITIN numbers.  They falsely claimed the additional tax child credit on tax returns. Ana Dominguez worked for a tax preparation business in which many of the fraudulent refund checks were sent to the business address. Alvarez and Ramirez received over $1,773 million worth of fraudulently obtained refund checks.  Both are scheduled for sentencing May 1, 2020

Marcus Alvarez pleaded guilty in June 2019 to Title 18, USC 641- Public Money, property or records.  Alvarez owned a check cashing establishment, El Punto, and aided and abetted others in cashing over $54 million of fraudulent tax refund checks.  Alvarez admitted that he knew that the people bringing the tax refund checks into the check cashing business were running a fraudulent tax refund scheme in which they obtained documents from Mexico, fraudulent applied for ITIN numbers in the names of Mexican citizens, and then filed fraudulent tax returns using those ITIN numbers.  His sentencing is scheduled for May 6, 2020.

Marina Andino is currently awaiting sentencing after pleading guilty to Title 18, USC 641. Public Money, property or records in December 2018.  Andino started a tax preparation business in which she primarily prepared tax returns for non-resident aliens who claim dependents who do not live in the United States.  Andino admitted that she stole $255,716 from the federal government by knowingly preparing fraudulent tax returns for others and cashing the fraudulent tax refunds for her own use.  Sentencing is scheduled for May 19, 2020.

 

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Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger announced today that L.M.G., Inc., which does business as TMJ & Orofacial Pain Treatment Centers of Wisconsin, agreed to pay $1,000,000 to the United States to resolve allegations that TMJ & Orofacial Pain Treatment Centers of Wisconsin submitted false claims to Medicare and TRICARE for oral appliances used to treat temporomandibular joint disorder.  

TMJ & Orofacial Pain Treatment Centers of Wisconsin operates four clinics in the Milwaukee area and specializes in the treatment of temporomandibular joint disorder.  In their treatment of temporomandibular joint disorder, TMJ & Orofacial Pain Treatment Centers of Wisconsin and its dentists often prescribe oral appliances to stabilize or reposition the patient’s jaw.  The United States alleges that TMJ & Orofacial Pain Treatment Centers of Wisconsin and its dentists did not fabricate the appliances, but rather purchased them from an outside laboratory that fabricated the appliances.  The United States further alleges that TMJ & Orofacial Pain Treatment Centers of Wisconsin falsely billed Medicare and TRICARE for oral appliances under billing codes applicable to expensive prosthetic devices fabricated by surgeons, rather than other lower paying billing codes applicable to appliances fabricated by an outside laboratory. 

“Medical providers cannot misrepresent the services they provide in order to increase their billings to government insurance programs,” stated United States Attorney Krueger.  “This settlement makes the Medicare and TRICARE programs whole and sends a message to medical providers that false billings will not be tolerated.”

“When TMJ & Orofacial Pain Treatment Centers of Wisconsin submitted claims to Medicare, it promised that it actually provided the services it billed for.  This settlement holds TMJ & Orofacial Pain Treatment Centers of Wisconsin to account for its promises,” said Lamont Pugh III, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General – Chicago Region. “The OIG will continue to work with our federal, state and local partners to protect vital taxpayer dollars.”

The government’s investigation resulted from a whistleblower lawsuit filed under the qui tam provisions of the False Claims Act.  Accordingly, the whistleblower will receive a share of the settlement amount.  As part of the settlement, the government and the whistleblower will ask the district court to dismiss the whistleblower’s qui tam complaint.

Assistant United States Attorney Michael Carter represented the government in this matter, and the OIG and the Defense Criminal Investigative Service assisted in the investigation.  The settlement agreement states allegations only; the defendants do not admit liability for the allegations. 

 

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin announced on January 6, 2020, that Antonio Jamerson (age: 21) was sentenced to 124 months’ imprisonment and Elix Powell (age: 21) was sentenced to 120 months’ imprisonment for their involvement in the armed robbery of the Swan Serv-U Pharmacy. 

The investigation revealed that Jamerson and Powell traveled from Indianapolis, Indiana, to Milwaukee, Wisconsin, arriving during the early morning hours of December 28, 2016. At approximately 9:15 a.m., the defendants, armed with a firearm, robbed the Swan Serv-U Pharmacy, in Wauwatosa, Wisconsin.  At the sentencing, Judge J.P. Stadtmueller emphasized the extremely violent nature of the robbery, including the fact that the defendants physically restrained multiple victims.   

“The United States Attorney’s Office will continue to prosecute and seek substantial prison sentences for anyone who uses a firearm to terrorize our communities,” said United States Attorney Krueger. “The lengthy sentences imposed here resulted from an outstanding collaborative law enforcement effort by the FBI’s Milwaukee Area Violent Crime Task Force, the Wauwatosa Police Department, and the Milwaukee County District Attorney’s Office.”

 The Hobbs Act, passed by Congress in 1946, provides federal jurisdiction for cases involving violent criminals who commit armed robbery of businesses involved in interstate commerce.  The U.S. Attorney’s Office and the District Attorney’s Office collaborate together to ensure that violent offenders are effectively prosecuted, making our communities safer for all. 

This case was prosecuted under the Project Safe Neighborhoods initiative. Project Safe Neighborhoods is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The Project Safe Neighborhoods’ strategy brings together all levels of law enforcement and community resources to reduce violent crime and improve the quality of life in all our neighborhoods.

This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://go.usa.gov/xpBrs

This case was prosecuted by Assistant United States Attorney Laura S. Kwaterski.

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Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that two individuals, Aaron C. Smith (Age: 27), formerly of Keshena, Wisconsin and Keanna R. King (Age: 26), of Keshena, Wisconsin received sentences after convictions related to a firearms offense on the Menominee Indian Reservation:

The sentences, imposed on December 30, 2019, and January 3, 2020, by United States District Judge William C. Griesbach, were the result of guilty pleas entered by the defendants on September 26, 2019. Smith pleaded guilty to Felon in Possession of a Firearm in violation of Title 18, United States Code, Section 922(g) and Tampering with a Witness in violation of Title 18, United States Code, Section 1512(b)(1). King pleaded guilty to Perjury before a Grand Jury in violation of Title 18, United States Code, Section 1623(a). Judge Griesbach sentenced the defendants as follows:

Defendant

Months of Confinement

Months of Supervised Release

Aaron C. Smith

Total of 48 months

36 months

Keanna R. King

8 months

36 months

The investigation revealed that on April 21, 2019, Smith possessed a small-caliber semiautomatic handgun while at a bar on the Menominee Indian Reservation. Officers with the Menominee Tribal Police Department entered the bar in order to arrest Smith, who had a warrant for his arrest through Wisconsin Department of Corrections. Smith passed the handgun to King, who concealed it in her vehicle. Officers later interviewed King, and she admitted she received the handgun from Smith. King then allowed officers to take it from her vehicle.

After his arrest, Smith called King from a jail phone numerous times in an effort to get her to change her story. King provided false testimony before a Federal Grand Jury in Milwaukee on May 29, 2019 when she denied Smith handed her the gun.

In sentencing the defendants, Judge Griesbach noted the seriousness of the crimes the defendants committed. Judge Griesbach also remarked upon the need to deter those would might consider similar actions.

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case, which Assistant United States Attorney Andrew J. Maier prosecuted.

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that David A. Hay (age: 39), a resident of Brooklyn, New York, was charged via a criminal complaint following his December 29, 2019, arrest by local authorities.

According to the complaint and supporting affidavit, starting in July of 2019, Hay, a former Wisconsin resident, began corresponding on a popular dating app with “Colton” whom he believed to be a 14 year-old boy living in Neenah, Wisconsin.  Hay began engaging in sexually explicit conversations with “Colton” and making plans to meet up with the minor to engage in sexual activity. 

“Colton” was, in fact, a City of Neenah Police Investigator operating undercover.  The complaint alleges that Hay procured a “whirlpool suite” at a Neenah area hotel for the purpose of meeting up with the child for sexual activity.  Following Hay’s arrest, a search of his smart phone revealed sexually explicit images of a former Tomah High School student.  Hay was the principal at that school from 2011-2014.  Prior to that he was an administrator at Kettle Moraine High School for several years.       

Hay faces charges of using a computer to attempt to persuade, induce, or entice a minor to engage in unlawful sexual activity, in violation of Title 18, United States Code, Section 2422(b), and possession of child pornography, in violation of Title 18, United States Code, Section 2252A(a)(5)(B).  He faces a mandatory minimum sentence of 10 years and up to a lifetime of imprisonment if convicted of the enticement charge, and up to 10 years imprisonment if convicted of the child pornography possession charge.

This case was investigated by the City of Neenah Police Department with the assistance of the Green Bay office of the Federal Bureau of Investigation and the Milwaukee County Sheriff’s Office.  It will be prosecuted by Assistant United States Attorney Daniel R. Humble.

A criminal complaint is only a charge and is not evidence of guilt.  The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.  

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

 

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United States Attorney Matthew D. Krueger announced that on December 23, 2019, Jose Facio-Santos, a citizen of Mexico illegally in the United States after having been previously removed, was sentenced to seven years in federal prison for selling cocaine, heroin, and firearms, and transporting women into Milwaukee for purposes of prostitution. Upon completion of his sentence, he will be removed again to Mexico.       

The investigation revealed Facio-Santos sold narcotics on multiple occasions between September 2014 and December 2016, including approximately 166 grams of cocaine and 138 grams of heroin. In addition, in 2017, Facio-Santos sold an AK-47 style rifle and a Norinco Model SKS Rifle to an individual Facio-Santos did not know was working at the direction of law enforcement. On October 26, 2018, a search of Facio-Santo’s house recovered a stolen 9 mm firearm along with a magazine containing approximately 11 rounds of ammunition. When his cell phone was searched, law enforcement found photographs of Facio-Santos posing with at least seven different firearms.

During the investigation, law enforcement discovered that Facio-Santos operated a brothel in Milwaukee. By his own admission, Facio-Santos prostituted 250 women during the years he ran the brothel. Every week, a new woman was brought from out-of-state to be prostituted and was required to perform between 10-15 commercial sex acts per day during her week in Milwaukee.  At the end of the week, Facio-Santos would take the woman to a predetermined location where she would be transported to another city. Court documents revealed that the women were extremely vulnerable, as many were undocumented and in dire financial situations. 

During the sentencing hearing Federal District Judge Lynn Adelman stated, that a “fairly significant sentence” was “necessary” to account for Facio-Santos having sold heroin, cocaine, and two highly dangerous weapons, as well as his managerial role in prostitution, all while in the United States illegally. The Judge further noted that Facio-Santos preyed upon “vulnerable people,” which was very harmful in so many different ways.   

“Facio-Santos is a serious criminal who trafficked in dangerous drugs, lethal weapons, and vulnerable women,” said United States Attorney Krueger.  “I commend the law enforcement agencies who conducted the investigation and brought Facio-Santos to justice.”   

The following agencies participated in the investigation: Homeland Security Investigations, the Drug Enforcement Administration, and the Federal Bureau of Investigation.

The case was prosecuted by Assistant United States Attorneys Karine Moreno-Taxman and Elizabeth Monfils.

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Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, the United States Attorney for the Eastern District, announced that John Miller Ragland (Age 72), who previously resided in Menomonee Falls, Wisconsin, was sentenced in federal court to six months in prison, and ordered to pay $1.4 million in restitution to the IRS.  Ragland previously had pleaded guilty to tax evasion, in violation of 26 U.S.C. § 7201.

During the years 2007 through 2013, Ragland operated a number of business ventures in the United States and elsewhere, including Hong Kong, China.   Through these business ventures, Ragland received more than $3,000,000 in commissions that he hid in bank accounts in Hong Kong and failed to report on his federal income tax returns.  As a result, Ragland underreported and underpaid his federal income taxes by more than $1,000,000.

Prior to his sentencing, Ragland paid the IRS more than $1.4 million, representing all of the taxes he evaded plus interest.

This matter was investigated by agents of the Internal Revenue Service – Criminal Investigations and was prosecuted by Assistant United States Attorney Matthew L. Jacobs.

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United States Attorney Matthew D. Krueger announced today that VPA, P.C. (VPA), and its management services affiliate, U.S. Medical Management (USMM), have agreed to pay $829,611 to the United States to resolve allegations that VPA and USMM billed Medicare for unnecessary physician visits.   

VPA provides physician services for the elderly and other adults at their residences in twelve states, including Wisconsin.  USMM provides management services for VPA, including billing services.  The United States alleges that VPA and USMM routinely caused VPA’s physicians to conduct patient visits that were not medically necessary and then billed Medicare (through USMM) for those unnecessary visits.  The government contends that VPA and USMM thus obtained over $800,000 from Medicare to which they were not entitled.  The visits at issue occurred in Wisconsin from January 1, 2013 through March 31, 2016.  VPA and USMM have agreed to repay Medicare for these visits.

“This settlement ensures that medical providers bill the Medicare program only for services that patients truly need,” stated United States Attorney Krueger.  “It also ensures that the Medicare program will recoup its losses.”

“Medicare providers are not entitled to charge Medicare for services that patients do not need,” said Lamont Pugh III, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General – Chicago Region. “The OIG will continue to work with our federal, state and local partners to protect vital taxpayer dollars.”

Assistant United States Attorney Michael Carter represented the government in this matter, and the OIG assisted in the investigation.  The settlement agreement states allegations only; the defendants do not admit liability for the allegations. 

 

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United States Attorney Matthew D. Krueger announced today that on December 17, 2019, Steven Kotsonis, a medical doctor, 38, of Menomonee Falls, pleaded guilty in federal district court to one count of unlawfully distributing Oxycodone outside of a professional medical practice and not for a legitimate medical purpose.  Susan Moyer, 57, of Milwaukee, who is not a licensed medical provider and was the clinic’s office manager, previously pleaded guilty to one count of conspiracy to possess with intent to distribute and distribute controlled substances, including Oxycodone, and one count of distribution of Oxycodone.

Pursuant to his guilty plea, Kotsonis admitted that in 2012, he relocated his practice from the Beaver Medical Clinic and changed the name to the Compassionate Care Clinic.  Moyer was the officer manager at the Compassionate Care Clinic, and also was the co-owner of the clinic. Moyer is not a licensed health care provider and there were no other licensed physicians, nurses, or other health care providers working at the Compassionate Care Clinic aside from Kotsonis.

The investigation of the Compassionate Care Clinic revealed that only cash was accepted and individuals paid $200 to $350 in cash to obtain a prescription.  Prescriptions were written for large quantities of Oxycodone, particularly Oxycodone 30mg (an average of 150-180 tablets per month).  Moyer typically filled out the prescriptions and had Kotsonis sign the prescriptions without Kotsonis actually seeing the individual patient.  Individuals frequently obtained prescriptions at the Compassionate Care Clinic without being examined or having their vitals (height, weight, blood pressure) taken during their visit.  During an office visit to the Compassionate Care Clinic during the course of the investigation, Moyer was recorded referring to herself as the “Oxy Czar.”

Kotsonis and Moyer are scheduled to be sentenced in March.  Each faces a maximum penalty of twenty years’ imprisonment, a fine of up to $1,000,000, at least three years of supervised release, up to a maximum of a lifetime term of supervised release, and a special assessment of $100.

“This case underscores the Justice Department’s commitment to combatting the opioid crisis,” said United States Attorney Krueger.  “Far too many Wisconsinites have seen loved ones suffer from an opioid addiction or, worse, an overdose.  Because the path to addiction often begins with prescription opioids, we are committed to investigating and prosecuting prescribers like Kotsonis who deal drugs behind the façade of medical practice.”

DEA Assistant Special Agent in Charge Paul Maxwell commented, “The Drug Enforcement Administration is committed to identifying and investigating those medical “professionals” who use their positions of trust to become drug dealers for personal profit. This investigation is an example of our resolve to hold those individuals accountable for their actions.”

This case was investigated by the DEA. The case is being prosecuted by Assistant United States Attorneys Matthew Jacobs and Laura S. Kwaterski.

Information and resources concerning the opioid crisis and the DEA’s “360 Strategy” for addressing the crisis may be found at the DEA’s website, www.dea.gov

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Today, Attorney General William P. Barr announced the launch of Operation Relentless Pursuit, an initiative aimed at combating violent crime in seven American cities – including Milwaukee – through a surge in federal resources.

Joined at a press conference in Detroit, Michigan., by ATF Acting Director Regina Lombardo, DEA Acting Administrator Uttam Dhillon, FBI Director Christopher Wray, and United States Marshals Service Director Donald W. Washington, Attorney General Barr pledged to intensify federal law enforcement resources into Albuquerque, Baltimore, Cleveland, Detroit, Kansas City, Memphis, and Milwaukee – seven American cities with violent crime levels above the national average.

United States Attorney Matthew D. Krueger, supervisors of Milwaukee-based federal law enforcement agencies, and local law enforcement leaders announced their participation in the initiative at a press conference immediately following the Attorney General’s.

 “Americans deserve to live in safety,” said Attorney General William P. Barr. “And while nationwide violent crime rates are down, many cities continue to see levels of extraordinary violence. Operation Relentless Pursuit seeks to ensure that no American city is excluded from the peace and security felt by the majority of Americans, while also supporting those who serve and protect in these communities with the resources, training, and equipment they need to stay safe.”

“Milwaukee is a great city whose residents deserve to live in safe, flourishing neighborhoods,” said United States Attorney Matthew D. Krueger.  “Federal, state, and local law enforcement is committed working together to ensure the safety of every block in Milwaukee.  Operation Relentless Pursuit represents an unprecedented pledge of new federal resources to enhance those efforts and hold accountable the small number of individuals who cause most of Milwaukee’s violence.” 

 “The men and women of ATF are deeply committed and focused on reducing crime gun violence in our communities and we are honored to participate in this important initiative in the city of Milwaukee,” commented Tim Jones, the Special Agent in Charge of the ATF Chicago Field Division.  “By fully exploiting National Integrated Ballistic Information Network (NIBIN) leads and other crime gun intelligence, we will focus on identifying and investigating criminals who are engaged in the commission of violent crime. These leads make connections to firearms that are used at various crime scenes. The Milwaukee Police Department does a fantastic job of using these leads to investigate and charge violent offenders. ATF will support the Milwaukee Police Department in this ongoing effort as well as follow up on the leads that have a federal nexus. We pledge to partner with the United States Attorney’s Office for the Eastern District of Wisconsin to hold accountable the trigger-pullers and other violent criminals, as well as the illegal firearms traffickers who supply the firearms used to terrorize our communities.”

DEA Chicago Field Division Special Agent in Charge Robert Bell commented, “The DEA has a long history of working closely with our valued local, state, and federal partners to fight the drug trafficking and violence which plagues too many Milwaukee neighborhoods.  The announcement of Operation Relentless Pursuit signals an increased focus by the U.S. Department of Justice, DEA, and our partners on saving lives that might otherwise be destroyed by drug trafficking and violence.” 

FBI Milwaukee Special Agent in Charge (SAC) Robert E. Hughes said: "A key factor in combating violent gangs here in Milwaukee and across the country will always be strong partnership and collaboration.  We share resources, information, and intelligence with our law enforcement partners, dedicated to disrupting and dismantling the most significant gangs."

The US Marshals Service is honored to participate in the Attorney General’s operation to bring the most dangerous criminals in the Milwaukee area into custody.  With the infusion of resources and coordinated law enforcement effort, the US Marshals Service is confident the operation will have a significant impact in reducing the true source of violence in our community.

The Operation will involve increasing the number of federal law enforcement officers within the selected cities, as well as enhancing federal task forces through collaborative efforts with state and local law enforcement partners. The surge in federal agents will be complemented by a financial commitment of up to $71 million in federal grant funding that can be used to hire new officers, pay overtime and benefits, finance federally deputized task force officers, and provide mission-critical equipment and technology. 

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Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger announced that on December 16, 2019, Brian L. Ganos of Muskego, Wisconsin, was sentenced by the Honorable Pamela Pepper to 78 months in federal prison for leading a 12-year fraud scheme involving over $260 million in government-funded contracts intended to benefit small businesses.  The sentence also includes two years of supervised release, a $5,000 fine, and forfeiture of assets worth nearly $4 million.  Ganos had earlier pleaded guilty to one count of wire fraud and one count of mail fraud.  Four other individuals and one corporation have also pleaded guilty to a felony charge in connection with Ganos’s scheme. 

The scheme involved operating three construction companies with straw owners who qualified as a disadvantaged individual or as a service-disabled veteran, but who did not actually control the companies.  Ganos then fraudulently obtained small business program certifications to win government-funded contracts to which the companies were not entitled.  Specifically,

• Nuvo Construction Company, Inc. (“Nuvo”) was misrepresented to be majority-owned and controlled by J.L. in order to obtain certifications as a Small Disadvantaged Business from the U.S. Small Business Administration (SBA) and as a Disadvantaged Business Enterprise (DBE) from Milwaukee County.  In reality, J.L. worked full-time for a different entity in Minnesota and did not actually control Nuvo.
   
• C3T, Inc. was misrepresented to be majority owned and controlled by T.A. to obtain verification as a Service-Disabled Veteran-Owned Small Business.  In reality, for long stretches, T.A. had virtually no involvement in C3T.
   
• Pagasa Construction Company, Inc. was misrepresented to be majority owned and controlled by O.M. in order to obtain certification as a Small Disadvantaged Business from the SBA.  In reality, O.M. relied on the assistance of Ganos-controlled companies to form Pagasa.

The scheme continued from 2004 to mid-2016 during which period, Ganos and others used those certifications to obtain over $260 million in federal, state, and local contract payments.  These included federal construction contracts that were set aside for Small Disadvantaged Businesses or Service-Disabled Veteran-Owned Small Businesses.  In addition, Nuvo used its DBE certification to win ready-mix concrete contracts based on the false representation that Nuvo provided ready-mix concrete independently when, in truth, Nuvo’s concrete operations depended heavily on Sonag Ready Mix.  On multiple occasions, the conspirators engaged in efforts to conceal the scheme and obstruct investigations into the matter. 

As a result of the scheme, Ganos undermined the small business programs and deprived honest small businesses of opportunities to become established.  In addition, Ganos used various means to launder proceeds of the fraud scheme and enrich himself.  As part of his plea agreement, Ganos agreed to the forfeiture of various assets, including (a) over $1.9 million seized from accounts; (b) a ski condominium in Winter Park, Colorado; (c) the office building in Milwaukee used to facilitate the scheme; (d) two Disney timeshares; (e) and five vehicles, including a Corvette Stingray Convertible and classic cars.    

United States Attorney Krueger stated:  “Driven by greed, Brian Ganos exploited federal programs that Congress intended to help disadvantaged individuals and veterans who were injured while serving our country.  This case should send a clear warning that cheating federal programs will not be tolerated.  We commend the collaboration and commitment of the federal agencies that investigated this case.”  

“The GSA Office of Inspector General will aggressively pursue contractors who make false representations in order to obtain federal contracts,” said Special Agent-in-Charge, Jeffrey Ryan.  “Schemes to fraudulently access opportunities designated as set-aside contracts cheat the government and deserving bidders.”

“Disadvantaged Business Enterprise (DBE) fraud harms law-abiding contractors by disrupting the level playing field in which legitimate disadvantaged businesses seek to fairly compete for contracts,” said Andrea M. Kropf, Regional Special Agent-in-Charge of the United States Department of Transportation Office of Inspector General. “Working with our law enforcement and prosecutorial partners, we remain committed to preserving the integrity of the DBE program.”

“I am pleased by the results of the investigative team and the U.S. Attorney's offices' efforts to bring justice to these individuals, said Special Agent in Charge Cynthia A. Bruce, DCIS Southeast Field Office.  DCIS and our investigative partners are committed to fully investigate allegations of fraud against the military procurement system and DoD set-aside programs.”

FBI Special Agent in Charge Robert E. Hughes stated: “The FBI will pursue those who exploit government programs intended to help disabled-veterans and small business owners.  Through the great collaboration of our law enforcement partnerships we will continue to dedicate all the time that is needed and resources available to bring these offenders to justice.”             

“Today’s sentencing sends a strong message to those who would fraudulently enrich themselves by corrupting the integrity of Federal procurement programs intended to assist small disadvantaged businesses, in this case, lost opportunities for legitimate veteran business owners who earned that benefit through personal sacrifice and service to our country,” said Special Agent-in-Charge Brian Hauck of the U.S. Army Criminal Investigation Command's North Central Fraud Field Office.  “The Army CID, along with our investigative and prosecutorial partners, will continue to diligently pursue those who would defraud U.S. Government programs within our investigative purview.”

“The defendants in this fraud scheme sought personal gain at the expense of disadvantaged and veteran-owned small businesses eligible for contracts set-aside by the Government,” said Inspector General Hannibal “Mike” Ware.  “SBA OIG  is committed to bringing those that lie to gain access to SBA’s preferential contracting programs to justice.  I want to thank the U.S. Attorney’s Office for its leadership and dedication to serving justice.”

Gregg Hirstein, Special Agent in Charge, Department of Veterans Affairs, VA Office of Inspector General (VA OIG), said, “The VA OIG is committed to bringing justice to those who illegally enrich themselves at the expense of VA programs intended to help our nation’s disabled veterans.  I hope this case prompts anyone aware of such fraud schemes to contact the VA OIG Hotline.”

The following agencies participated in the investigation: the Federal Bureau of Investigation; U.S. General Services Administration, Office of Inspector General; Department of Veterans Affairs, Office of Inspector General; Department of Defense, Office of the Inspector General, Defense Criminal Investigative Service; U.S. Department of Transportation, Office of Inspector General; U.S. Small Business Administration, Office of Inspector General, Investigations Division; Defense Contract Audit Agency; and U.S. Army Criminal Investigations Command Major Procurement Fraud Unit.      

The case was prosecuted by United States Attorney Matthew D. Krueger and Assistant United States Attorneys Scott J. Campbell, Michael A. Carter, and Adam H. Ptashkin.

 

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin announced that on December 16, 2019 Andy Lloyd Huebschmann, 59, of Chilton, Wisconsin, was sentenced to 24 month in federal prison for violating the Arms Export Control Act, Title 22, United States Code, Sections 2778(b)(2) and 2778(c), and Title 22, Code of Federal Regulations, Sections 121.1, 123.1, and 127.1.

According to court filings, Huebschmann manufactured numerous firearms and firearm-parts for an Australian criminal and gun-enthusiast. These included rifle kits, which contained the component parts for rifles that could function with either semi-automatic or fully automatic triggers, and 1911 firearm frames that could be assembled into completed pistols. Huebschmann exported those items from the United States to Australia illegally, failing to obtain the required export licenses and shipping guns in containers designed to hide the presence of firearms.

While handing down his sentence, U.S. District Judge William C. Griesbach noted the “extremely dangerous nature of the crime” that “called out for punishment.”  Judge Griesbach noted Huebschmann’s considerable cooperation with authorities as well as his low likelihood to reoffend. But those positive factors were overridden by the strong need to deter others from engaging in this type of criminal behavior.

In addition to the prison sentence, Huebschmann was ordered to pay a $15,000 fine and will spend one year on supervised release following his release. 

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Department of Homeland Security. The case was prosecuted by Assistant United States Attorney Rebecca Taibleson.

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$2,076,810 Will Support Efforts to Combat Drugs and Crime in the
Eastern District of Wisconsin

The Justice Department’s Office of Justice Programs today announced awards of more than $333 million to help communities affected by the opioid crisis. $2,076,810 will help public safety and public health professionals in the Eastern District of Wisconsin

combat substance abuse and respond effectively to overdoses. OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan made the announcement during a visit with local, state and federal officials in West Virginia, one of the states hardest hit by the epidemic.

“The opioid crisis has destroyed far too many lives and left too many Americans feeling helpless and hopeless,” said PDAAG Sullivan. “This epidemic—the most deadly in our nation’s history—is introducing new dangers and loading public health responsibilities onto the public safety duties of our law enforcement officers. The Department of Justice is here to support them during this unprecedented and extremely challenging time.”

With more than 130 people dying from opioid-related overdoses every day, the Department of Justice has made fighting addiction to opioids—including heroin and fentanyl—a national priority. The Trump Administration is providing critical funding for a wide range of activities—from preventive services and comprehensive treatment to recovery assistance, forensic science services and research—to help save lives and break the cycle of addiction and crime.

“Too many families in Wisconsin have suffered the loss of loved ones to the opioid crisis,” said United States Attorney Matthew D. Krueger. “The awards being announced here underscore the Justice Department’s commitment to supporting a comprehensive approach to fighting the opioid crisis.” 

The awards announced today support an array of activities designed to reduce the harm inflicted by these dangerous drugs. Grants will help law enforcement officers, emergency responders and treatment professionals coordinate their response to overdoses. Funds will also provide services for children and youth affected by the crisis and will support the nationwide network of drug and treatment courts. Other awards will address prescription drug abuse, expand the capacity of forensic labs and support opioid-related research.

The following awards were made to organizations in the Eastern District of Wisconsin:

Milwaukee County Behavioral Health Division                                 $1,199,999

Waukesha County                                                                                     $376,811

Washington County                                                                                  $500,000

Information about the programs and awards announced today is available here. For more information about OJP awards, visit the OJP Awards Data webpage.

The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training and technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced that on December 10, 2019, a federal grand jury returned an 18-count indictment against Maurice Tolbert (age 40) of Milwaukee and Richard Tolbert (age 36) of Chicago, charging them with a series of robberies of cell phone stores in Milwaukee and West Allis between April 27, 2019, and October 29, 2019.  Further, Angel Price (age 29) of Milwaukee is charged with illegally purchasing and transferring firearms to a felon between March 11, 2019, and October 6, 2019. 

All three defendants are charged with conspiracy to illegally obtain firearms and use those firearms to commit robberies.  Maurice Tolbert is charged with committing four robberies of cell phone stores, in violation of the Hobbs Act, and using, carrying, and brandishing firearms during those robberies. Richard Tolbert is charged with committing three robberies of cell phone stores, in violation of the Hobbs Act, and using, carrying, and brandishing firearms during those robberies. Angel Price is charged with four counts of being a straw purchaser of firearms and four counts of providing firearms to a felon. 

If convicted of the charges in the indictment, defendants Maurice and Richard Tolbert face up to twenty years of imprisonment, five years of supervised release, and a $250,000 fine as to each of the Hobbs Act robberies. Each of the brandishing of a firearm counts involves a mandatory minimum sentence of seven years and a maximum of life in prison, which must run consecutive to any other sentence.  Angel Price faces a maximum of ten years of imprisonment, three years of supervised released, and a $250,000 fine as to each of the firearm counts.  On the conspiracy charge, each defendant faces up to five years of imprisonment, up to three years of supervised released, and a $250,000 fine. 

This case is being prosecuted as part of the Project Safe Neighborhoods initiative. Project Safe Neighborhoods is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. Project Safe Neighborhoods’ strategy brings together all levels of law enforcement and community resources to reduce violent crime and improve the quality of life in all our neighborhoods.

This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. 

This case was investigated by the FBI’s Milwaukee Area Violent Crimes Task Force, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Milwaukee Police Department, the West Allis Police Department, and the Milwaukee County District Attorney’s Office.  This case is being prosecuted by Assistant United States Attorney Margaret B. Honrath.  

An indictment is only a charge and is not evidence of guilt.  A defendant is presumed innocent and is entitled to a fair trial at which time the government must prove guilt beyond a reasonable doubt.

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Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin announced on December 10, 2019, that a federal grand jury returned a three-count indictment against Otis T. Anderson (age: 30) of Milwaukee, Wisconsin.

The indictment alleges Anderson robbed the Old National Bank at 790 N. Jefferson Street in Milwaukee, Wisconsin, while brandishing a firearm, all in violation of Title 18, United States Code, Sections 2113 and 924(c).  Anderson is also charged with being a felon in possession of a firearm in violation of Title 18, United States Code, Section 922(g)(1). If convicted of the charges alleged, Anderson faces a mandatory minimum of seven years imprisonment and up to a lifetime term of imprisonment. 

This case is being prosecuted as part of the Project Safe Neighborhoods initiative. Project Safe Neighborhoods is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. Project Safe Neighborhoods’ strategy brings together all levels of law enforcement and community resources to reduce violent crime and improve the quality of life in all our neighborhoods.

This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. 

This case was investigated by the Federal Bureau of Investigation’s Milwaukee Area Violent Crimes Taskforce and the Milwaukee Police Department. The case will be prosecuted by Assistant United States Attorney Lisa Wesley.

An indictment is only a charge and not evidence of guilt.  The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.

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Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that five individuals received sentences after convictions for conspiring to steal timber from the Menominee Indian Reservation:

The sentences, imposed on December 10, 2019, by United States District Judge William C. Griesbach, were the result of guilty pleas to a charge of Conspiracy in violation of 18 U.S.C. § 371, entered by the five individuals in July 2019. Judge Griesbach sentenced the defendants as follows:

Defendant

Months of Prison

Months of Supervised Release

Restitution

Dugan R. Webster, (Age: 42), Shawano, Wisconsin

20

36

$219,100.75

Arthur P. Fish (Age: 49), Keshena, Wisconsin

18

36

$408,248.90

Chauncey J. Webster, Jr. (Age: 49), Neopit, Wisconsin

12 +1 day

36

$178,322.65

Derrin B. Webster, (Age: 21), Neopit, Wisconsin

7

36

$178,322.65

Melvin T. Caldwell, Jr. (Age: 44), Neopit, Wisconsin

3

36

$99,000.00

The investigation revealed that the defendants logged timber for Menominee Tribal Enterprises (MTE) from designated areas on the Menominee Indian Reservation. On at least 100 occasions, the defendants and others used forestry equipment to cut down extra trees beyond what MTE authorized. Fish used a tractor-trailer to transport the extra timber to two sawmills outside the boundaries of the reservation.

Dugan and Derrin Webster received payments from the mills for the timber, which the defendants divided amongst themselves. The outside sawmills paid Dugan and Derrin Webster $408,248.90 between January 2012 and September 2018 for the timber the defendants and others removed from the reservation without permission. Investigators discovered evidence of the defendants using spray paint to make it appear they were working with trees designated by MTE for harvest.

In sentencing the defendants, Judge Griesbach noted the seriousness of the crimes the defendants committed. Judge Griesbach also remarked upon the terrible damage to the community caused by the defendants, necessitating a sentence that reflected the “impact on the community, along with the breach of trust the defendants each had with the tribe.” Judge Griesbach also emphasized the strong cultural ties between the Menominee people and the forest, which they have protected and relied upon for centuries. The sentences were a necessary deterrent to those would might consider similar actions, undertaken out of greed.

The case was investigated by the Menominee Tribal Police Department, Menominee Conservation Department, United States Forest Service, and Federal Bureau of Investigation. Special assistance was provided by Menominee Tribal Enterprises Forestry. It was prosecuted by Assistant United States Attorney Andrew J. Maier.

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Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on December 10, 2019, a federal grand jury returned an indictment against Richard Garner (age: 55) of Rancho Cucamonga, California.

On November 20, 2019, Garner was arrested in Riverside, California based on a criminal complaint filed in the Eastern District of Wisconsin.  The criminal complaint alleged, among other things, on July 31, 2019, Garner had a suspected drug-laden package mailed from Redondo Beach, California to a residence in Milwaukee, Wisconsin.  The U.S. Postal Inspection Service intercepted the suspicious package, which was later confirmed to contain approximately a kilogram (2.2 pounds) of N-Phenyl-N-[1-(2-phenylethyl)-4-piperidinyl] propanamide, commonly known as fentanyl. 

The indictment returned against Garner alleges he conspired to possess with intent to distribute at least 400 grams of fentanyl, contrary to Title 21, United States Code, Section 846; and that he possessed with the intent to distribute at least 400 grams of fentanyl, contrary to Title 21, United States Code, Sections 841(a)(1) and (b)(1)(A)(vi).  If convicted of the charges alleged, Garner faces a mandatory ten year term of imprisonment and up to a lifetime term of imprisonment.

Garner is pending arraignment in Milwaukee federal court.

This case was investigated by the North Central High Intensity Drug Trafficking Area (HIDTA), the Drug Enforcement Administration (DEA), and the U.S. Postal Inspection Service (USPIS), and will be prosecuted by Assistant United States Attorney Robert J. Brady, Jr.

An indictment and criminal complaint contain only charges and are not evidence of guilt.  The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.    

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United States Attorney Matthew D. Krueger announced that on December 10, 2019, a federal grand jury indicted Michael C. Siegel (age 52) formerly of Clyman and currently of Fox Lake, Wisconsin, and Scott D. Hoeft (age 40) of Watertown, Wisconsin, for offenses related to the operation of the Hardware Store, a strip club located in Dodge County.

The indictment contains two counts.  Count One alleges that between 2009 and 2018, Siegel (an owner of the club) and Hoeft (a former bartender and manager) conspired with each other and others to use facilities in interstate commerce to promote, manage, and carry on unlawful prostitution offenses, in violation of Title 18, United States Code, Sections 371 & 1952(a)(3).  Count Two alleges that in April 2018 Siegel made false statements to law enforcement investigating human trafficking offenses, in violation of Title 18, United States Code, Section 1001.

According to the indictment, the purpose of the conspiracy was to generate revenue for the Hardware Store by making the club’s lap dance and champagne rooms available for unlawful prostitution activity, including oral sex, full intercourse, and fetish activities.  The indictment alleges that as a part of the conspiracy, Hoeft, Siegel, and others: (1) hired and employed dancers willing to perform sex acts, including women that they knew were working for pimps; (2) sent text messages in interstate commerce and used Facebook Messenger to communicate with dancers and pimps; and (3) allowed customers to use credit cards to pay for lap dances and champagne rooms and to obtain cash back to pay dancers directly for sex acts.  The indictment also describes a series of acts by Siegel, Hoeft, and other designed to carry on the unlawful activity. 

United States Attorney Krueger commented: “These charges send a warning to any business owner who works with a pimp to facilitate illegal prostitution.  When a pimp is involved, women are often being trafficked by force, fraud, and coercion.  The Justice Department is committed to prosecuting sex trafficking aggressively.”    

Special Agent in Charge Robert E. Hughes, of the FBI Milwaukee Field Office, stated: “The collaborative efforts of the FBI working closely with our law enforcement partners makes it possible to bring offenders to justice who work with pimps who victimize women, often forced by violence into the unlawful act of prostitution.”

“I am thankful for the partnership with the federal government in developing this case regarding the human trafficking, prostitution, and other serious crimes.  The charges brought against Siegel and Hoeft send a strong and clear message that we will not tolerate this criminal activity and we will use all resources available to us to hold offenders accountable,” said Dodge County Sheriff Dale J. Schmidt.

If convicted of Count One, Siegel and Hoeft would face up to 5 years in prison.  If convicted of Count Two, Siegel would face up to 8 years in prison.  Each count of conviction also carries a maximum fine of $250,000 and a maximum term of 3 years of supervised release following any prison sentence. 

This case was investigated by the Federal Bureau of Investigation, Dodge County Sheriff’s Office, Internal Revenue Service – Criminal Investigations, Racine Police Department, United States Department of Labor – Office of Inspector General, Hartford Police Department, and Federal Deposition Insurance Corporation – Office of Inspector General, with the assistance of the Wisconsin Department of Justice –Division of Criminal Investigation, Watertown Police Department, Milwaukee Police Department and United States Department of Homeland Security – Homeland Security Investigations.

The case has been assigned to Assistant United States Attorneys Erica J. Lounsberry and Richard G. Frohling for prosecution.  

The public is cautioned that an indictment is merely a formal charge that a defendant has committed one or more violations of federal law, and every defendant is presumed innocent unless, and until, proven guilty.

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on December 10, 2019, a two-count federal indictment was issued against Kou Lee (age: 30) of Appleton, Wisconsin.

The indictment alleges that Kou Lee possessed in excess of 50 grams of methamphetamine with the intent to distribute the controlled substance and also possessed ammunition as a convicted felon, contrary to Title 21, United States Code, Sections 841(a), (b)(1)(A) and Title 18 United States Code, Section 922(g). 

If convicted of the charges alleged, Lee faces at least a mandatory 10-year prison sentence and a maximum sentence of life imprisonment.

This case is being prosecuted as part of the Project Safe Neighborhoods initiative. Project Safe Neighborhoods is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. Project Safe Neighborhoods’ strategy brings together all levels of law enforcement and community resources to reduce violent crime and improve the quality of life in all our neighborhoods.

This case was investigated by the Lake Winnebago Area MEG Unit and the United States Probation Office for the Eastern District of Wisconsin. It will be prosecuted by Assistant United States Attorney Daniel R. Humble.

An indictment is only a charge and is not evidence of guilt.  The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.    

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that Jeremy Nunway (age: 40), a former resident of the Menominee Indian Reservation, received a sentence in separate cases in United States District Court for the Eastern District of Wisconsin in Green Bay. Nunway, an enrolled member of the Menominee Indian Tribe of Wisconsin, pleaded guilty on September 25, 2019, to Possession of a Firearm by a Prohibited Person, and Domestic Assault by Strangulation. At a hearing on December 5, 2019, United States District Judge William C. Griesbach imposed a total sentence of 48 months in prison, followed by 36 months on supervised release.

The investigation revealed that on October 9, 2018. Nunway possessed a loaded SKS 7.62x39mm rifle, which was in the defendant’s residence in a remote area of the Menominee Indian Reservation. A previous felony conviction prohibited Nunway from possession of a firearm. Officers with the Menominee Tribal Police Department and Menominee Conservation Department discovered the rifle while investigating a domestic violence incident involving Nunway and a Menominee woman.

On April 17, 2019, Nunway strangled and assaulted the same woman, with whom he was involved in a domestic relationship, while at a residence in Middle Village, which is on the Menominee Indian Reservation. The woman sustained injuries during the incident that required medical attention.

In sentencing Nunway, Judge Griesbach observed that in both incidents Nunway engaged in violent offenses, where Nunway was “abusive and brutal to others,” which required punishment.  Judge Griesbach also observed the need to deter others who might consider engaging in violence against women, or in similar actions despite legal prohibitions against possessing firearms.

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case. It was prosecuted by Assistant United States Attorney Andrew J. Maier.

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that Yia Yang (age: 27) of Appleton, Wisconsin was sentenced on December 5, 2019, by the Honorable Judge William C. Griesbach for possessing with the intent to distribute in excess of 500 grams of methamphetamine, contrary to 21 U.S.C. Section 841. Yang was also convicted of possessing a firearm in furtherance of drug trafficking, contrary to 18 U.S.C. Section 924(c). Yang received a 101 month prison term on the drug charge and a consecutive 60 month prison term on the gun charge. Yang also was ordered to serve a five year term of supervised release following the prison term.

According to the plea agreements and other court documents, on May 9, 2018, U.S. Postal Inspectors intercepted a package destined for Yang’s residence in Appleton that had been mailed from Fresno, California. The package was searched and found to contain approximately 921 grams of methamphetamine. Yang arrived at his residence shortly after law enforcement made a controlled delivery of the package. Law enforcement arrested Yang, searched his car, and recovered a loaded Glock 27 Gen 4, 40 caliber handgun in the console. A search of the residence revealed additional firearms and approximately three pounds of marijuana.

In imposing sentence, Judge Griesbach stressed the dangerous combination of drugs and guns, the importance of deterring others from engaging in that type of conduct, and need to protect the community. Judge Griesbach also cited the need for a significant prison term because Yang committed these violations after being recently released from prison following a conviction in Calumet County for discharging a firearm towards a person.   

This case was investigated by the Lake Winnebago Area Metropolitan Drug Enforcement Group, Wisconsin Division of Criminal Investigation, and U.S. Postal Service. The case was prosecuted by Assistant United States Attorney William Roach.    

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on December 3, 2019, a federal grand jury returned a one-count indictment against Ryan M. Hill (age: 39) of Neopit, which is located on the Menominee Indian Reservation.

The indictment charged Hill with Possession of a Firearm by a Prohibited Person in violation of 18 U.S.C. § 922(g). If convicted, Hill faces a maximum of ten years in prison, up to a $250,000 fine, and up to three years of supervised release.

According to the indictment, on or about September 13, 2019, the defendant possessed a Jimenez Arms, Inc., 22-caliber semiautomatic handgun at a location within the Menominee Indian Reservation.  At the time, the defendant was prohibited from possessing firearms.

This case is being prosecuted as part of the Project Safe Neighborhoods initiative. Project Safe Neighborhoods is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. Project Safe Neighborhoods’ strategy brings together all levels of law enforcement and community resources to reduce violent crime and improve the quality of life in all our neighborhoods.

This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.  Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. 

The Menominee Tribal Police Department investigated the case, which will be prosecuted by Assistant United States Attorney Andrew J. Maier.  For more information about Project Guardian, please see https://go.usa.gov/xpBrs  

An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove his guilt beyond a reasonable doubt

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on December 3, 2019, a federal grand jury returned a one-count indictment against Kurtis L. Peters, Jr. (age: 22), formerly of Keshena, which is located on the Menominee Indian Reservation.

The indictment charged Peters with Assault Resulting in Serious Bodily Injury in violation of 18 U.S.C. § 113(a)(6). If convicted, Peters faces a maximum of ten years in prison, up to a $250,000 fine, and up to three years of supervised release.

According to the indictment, on or about June 26, 2018, the defendant operated a motor vehicle while under the influence on a state highway within the boundaries of the Menominee Indian Reservation. Peters allegedly lost control of the vehicle, causing it to crash and resulting in serious injury to a female passenger.

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case, which Assistant United States Attorney Andrew J. Maier will prosecute.

An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove his guilt beyond a reasonable doubt.

 

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on December 3, 2019, a federal grand jury returned a one-count indictment against Frank J. Sackatook (age: 38) of Green Bay.

The indictment charged Sackatook with Assault Resulting in Serious Bodily Injury in violation of 18 U.S.C. § 113(a)(6). If convicted, Sackatook faces a maximum of ten years in prison, up to a $250,000 fine, and up to three years of supervised release.

According to the indictment, on or about October 17, 2019, the defendant struck a woman with his fists and repeatedly kicked her in the head with steel-toed boots, causing her to sustain bleeding on the brain requiring surgical intervention.

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case, which Assistant United States Attorney Andrew J. Maier will prosecute.

 An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove his guilt beyond a reasonable doubt.

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that a federal grand jury returned two separate indictments against Peter S. Awonohopay (Age: 37), charging him with sexual assaults on the Menominee Indian Reservation. Awonohopay, an enrolled member of the Menominee Indian Tribe of Wisconsin, resided in Keshena, which is on the Reservation.

The first indictment, returned on November 19, 2019, charged Awonohopay with Abusive Sexual Contact, in violation of Title 18, United States Code, Sections 2244(b) and 1153(a). If convicted, Awonohopay faces a maximum of four years in prison; a fine of up to $250,000; from five years to life on supervised release; and a $100 special assessment.  According to the November 19, 2019, indictment, on or about June 17, 2019, Awonohopay engaged in nonconsensual sexual contact with a female.

The second indictment, returned on December 3, 2019, charged Awonohopay with two counts of Sexual Abuse of a Minor, in violation of Title 18, United States Code, Sections 2243(c) and 1153. If convicted of the offenses in this indictment, on each count Awonohopay faces mandatory minimum sentences of ten years and up to 30 years in prison; a fine of up to $250,000; from five years to life on supervised release; and a $100 special assessment.  According to the December 3, 2019, indictment, on two occasions in 2018 Awonohopay engaged in sex acts with a minor female who had attained the age of 12 years but was not yet 16 years of age.

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the cases, with assistance from Willow Tree Cornerstone Child Advocacy Center in Green Bay. Assistant United States Attorney Andrew J. Maier will prosecute the cases.

An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent, and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.

 

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin announced that on November 26, 2019, a federal grand jury returned one-count indictments in separate cases against two convicted sex offenders for failing to register in Wisconsin after they had moved to Wisconsin from other states, in violation of Title 18, United States Code § 2250(a). 

In the first case, Breyon Cosey (age 28) of Milwaukee allegedly was convicted of a sex offense in Minnesota in 2017, namely Criminal Sex Conduct-2nd Degree-Significant Relationship-Victim under 16.  According to the indictment, Cosey moved to Wisconsin in January 2019 and failed to comply with the Sex Offender Registration and Notification Act, which requires registered sex offenders to maintain information as to their current place of residency.

In the second case, Juan Muniz (age 42) of Milwaukee allegedly was convicted of a sex offense in Florida in 2003, namely Lewd-Lascivious Battery on a child committed upon or in the presence of persons less than 16 years old.  According to the indictment, Muniz moved to Wisconsin in October 2014 and likewise failed to comply with the Sex Offender Registration Notification Act by indicating his current place of residency.

“Sex-offender registration requirements are an important tool in preventing child sexual abuse,” said United States Attorney Krueger.  “The Justice Department is committed to enforcing sex-offender registration laws vigorously.”

If convicted of the charge, the defendants face a sentence of up to ten years imprisonment, a two hundred and fifty thousand dollar fine, and between five years and a lifetime of supervised release.  Both cases were investigated by the United States Marshal Service.  They are being prosecuted by Assistant United States Attorney Megan J. Paulson.

An indictment is only a charge and is not evidence of guilt. The defendants are presumed innocent and are entitled to fair trials at which the government must prove them guilty beyond a reasonable doubt.

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on November 27, 2019, the United States filed a complaint seeking a civil injunction against Chad Schampers, Nathaniel Smith, and their construction business—Summit Contracting, Inc. (“Summit”), located  in De Pere, Wisconsin.  The complaint was filed pursuant to Title 18, United States Code, Section 1345 based on alleged wire fraud and banking law violations.  Along with the complaint, the United States also filed a motion for a preliminary injunction to enjoin defendants’ misconduct while the lawsuit proceeds.      

The complaint alleges that beginning as early as 2018 and continuing to the present, defendants have conducted a fraudulent scheme that induces customers to finance construction projects, often by misrepresenting the terms of the financing offered.  As alleged, once the projects are approved for financing, defendants fully withdraw the funds for the project from the financing company before Summit completes (or in some instances, even commences) its work by making false statements to financing companies that the work has already been completed.  The complaint further alleges that withdrawals are made without the customer’s knowledge, contrary to the payment authorization provided by the client, or both, and that some Summit customers are left with substantial loan payments for work that is not what Summit promised, or worse, never completed at all.  

The complaint asks the Court to enjoin defendants’ ongoing wire fraud scheme and banking law violations to prevent a continuing and substantial injury to the victims of fraud.  The complaint requests, among other relief, that the Court prohibit defendants and their agents, officers, employees, and all persons participating with defendants, from the following:

• making any false statement to any financial institution with respect to any financing transaction;
• misrepresenting to prospective or actual Summit customers the terms of financing offered for Summit projects;
• requiring Summit customers to sign paperwork concerning the completion of work before Summit has confirmed completion of the work with the customers;
• threatening or intimidating any customer or former customer of Summit who posts a negative review online or in any other medium or provides information  in connection with any law enforcement investigation of defendants’ misconduct; or
• destroying, deleting, removing, or transferring any and all business, accounting, and other records concerning defendants’ operations.     
   

“The complaint alleges that Summit Contracting, Inc. and its owners are engaging in a scheme to rip off both customers and financial institutions,” said United States Attorney Krueger.  “We are seeking a preliminary injunction to prevent defendants from harming any more victims while the suit continues.  This action underscores the United States Attorney’s Office’s commitment to combat fraud schemes aggressively.” 

The United States is represented in this matter by Assistant United States Attorney Emily A. Constantine. 

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on November 26, 2019, a federal grand jury returned an indictment against John M. Solberg (age: 37), of Green Bay, Wisconsin on a charge of conspiracy to commit mail, wire, and bank fraud, contrary to Title 18, United States Code, Section 1349; one count of mail fraud, contrary to Title 18, United States Code, Section 1341; and thirteen counts of wire fraud in violation of Title 18, United States Code, Section 1343.

The indictment alleges that Solberg conspired to “defraud automobile sellers, automobile buyers, financial institutions, and others through the use of the United States mail, by means of interstate wire communications, and by concealing material facts from federally insured financial institutions.”  It further alleges that Solberg and others working at his direction “sought out individuals advertising their automobiles for sale on Craigslist … and convinced them to turn over their automobiles to be sold on consignment.”  Solberg is alleged to have then sold the vehicles without approval and without notifying the owners of the sale.  Solberg then allegedly created counterfeit vehicle titles, allowing the purchaser of the vehicle to believe they “owned the vehicle free and clear of any liens.”

Solberg is alleged to have operated, directed, and supervised dealerships under the names “Backwoods Bargains,” “Standard Pre-Owned,” “Suamico Investment Group,” and “Bella Investments, LLC” at locations in Suamico and Kaukauna, Wisconsin. 

“Fraud schemes not only harm their victims but also erode trust within communities, making people less willing to engage in commerce with each other,” said United States Attorney Krueger.  “These charges demonstrate a strong commitment by law enforcement at all levels to investigate and prosecute fraud aggressively.”   

The conspiracy count carries a maximum of 30 years’ imprisonment and up to a $1,000,000 fine.  The remaining counts each carry a maximum of 20 year’s imprisonment and up to a $250,000 fine. 

This case was investigated by the Brown County Sheriff’s Office, the Wisconsin Department of Transportation, Division of Motor Vehicles, the Kaukauna Police Department, and the Federal Bureau of Investigation.  It will be prosecuted by Assistant United States Attorney Daniel R. Humble.

An indictment is only a charge and is not evidence of guilt.  The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.    

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on November 26, 2019, a federal grand jury returned an indictment against Robert J. Solberg (age: 35), of Green Bay, Wisconsin, and Joshua A. Taylor (age: 38) of Crivitz, Wisconsin, on charges of criminal conspiracy and odometer tampering, contrary to Title 18, United States Code, Sections 371 and 2; as well as Title 49, United States Code, Sections 32703(2) and 32709(b).

The indictment alleges that Solberg and Taylor purchased used vehicles and subsequently altered or replaced the odometers on those vehicles before selling them to unsuspecting buyers.  The indictment alleges that hundreds of thousands of miles were removed from some vehicles prior to sale.  Solberg and Taylor are also alleged to have misrepresented the age of the vehicles in order to increase profits.

Upon conviction each defendant faces up to 5 years’ incarceration on the conspiracy count and up to 3 years’ incarceration as to each tampering count.  As to each count, the defendants face a fine of up to $250,000.

This case was investigated by the Green Bay Police Department with the assistance of the Wisconsin Department of Transportation, the National Highway Traffic Safety Administration, Office of Odometer Fraud Investigation, and the Federal Bureau of Investigation.  It will be prosecuted by Assistant United States Attorney Daniel R. Humble.

An indictment is only a charge and is not evidence of guilt.  The defendants are presumed innocent and are entitled to a fair trial at which the government must prove them guilty beyond a reasonable doubt.    

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on November 26, 2019, a federal grand jury returned an indictment against Justin D. Bula (age: 35) of Crandon, Wisconsin.

According to the indictment, in April of 2018, Bula distributed images of child pornography. He is also alleged to have possessed images of child pornography almost a year later in March of 2019.  The indictment further reflects that Bula was convicted on October 7, 2015, in Forest County Circuit Court, for the crime of possession of child pornography and is a lifetime sex offender registrant in the State of Wisconsin.

Bula faces one charge of distribution of child pornography, contrary to Title 18, United States Code, Section 2252A(a)(2)(A), and possession of child pornography, contrary to Title 18, United States Code, Section 2252A(5)(b). He faces a mandatory minimum sentence of 15 years and up to 40 years of incarceration in federal prison.

This case was investigated by U.S. Immigration and Customs Enforcement, Homeland Security Investigations with the assistance of the Royal Canadian Mounted Police.  It will be prosecuted by Assistant United States Attorney Daniel R. Humble.

An indictment is only a charge and is not evidence of guilt.  The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.    

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

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on November 22, 2019, Jason G. Burgett (age: 43) of West Allis, Wisconsin, appeared in federal court in Green Bay and entered a guilty plea to a charge of bank robbery in violation of Title 18 U.S.C. Section 2113(a).

In pleading guilty, Burgett acknowledged that he was responsible for the following robberies or attempted robberies in Wisconsin and the Upper Peninsula of Michigan: the Farmer’s State Bank in Fremont, Wisconsin, on June 3, 2019, the attempted robbery of the Northern United Federal Credit Union in Escanaba, Michigan, on July 5, 2019, the Stephenson National Bank and Trust in Pembine, Wisconsin, on July 8, 2019, and the Citizen’s Community Federal Bank, in Lake Hallie, Wisconsin, on July 15, 2019.

Following the robbery in Lake Hallie, Burgett led police on a high-speed chase which ultimately ended in his arrest.  At that time, he was found to be in possession of approximately $16,000 taken from the Citizen’s Community bank, a BB-gun consistent in appearance with the suspected firearm used in the previously mentioned robberies, a ski mask, gloves, and a mesh bag.Burgett was previously prosecuted by the U.S. Attorney’s Office in Milwaukee in 1998 and 1999 for armed bank robberies. He served 132 months in federal prison for those crimes. 

The charge to which Burgett pled guilty carries a maximum sentence of 20 years imprisonment, a $250,000 fine, and up to 3 years of supervised release. Burgett is scheduled to be sentenced on February 18, 2020.  He will remain incarcerated pending that hearing.   

The case was investigated by the Grand Chute Police Department, the Eau Claire Police Department, the Fond du Lac Police Department, the Janesville Police Department, the Appleton Police Department, the De Pere Police Department, and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Daniel R. Humble.

 

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Public Information Officer Kenneth Gales 414-297-1700

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on November 19, 2019, Brandon T. Daul (age: 37) of Appleton, Wisconsin, was sentenced to 10 years in federal prison for possession of child pornography by District Judge William C. Griesbach.

Daul, a registered sexual offender in the State of Wisconsin based on an Outagamie County Circuit Court conviction for possession of child pornography in 2011, possessed numerous digital images and videos of child pornography, many depicting infants and toddlers.    

In handing down the sentence, Judge Griesbach noted the defendant’s prior record involving crimes against children and emphasized the serious nature of the charge.  He further stated his belief that a 10-year sentence served the interests of justice in this particular case.  Following his release from prison, Daul will spend 10 years on supervised release.  He will continue to register as a sexual offender.

This case was investigated by the U.S. Department of Homeland Security, the Wisconsin Department of Justice, Division of Criminal Investigation’s Internet Crimes Against Children (ICAC) Task Force, and the Appleton Police Department.  It was prosecuted by Assistant United States Attorney Daniel R. Humble.

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

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced that Dameion D. Wyatt (age 41), of Milwaukee was sentenced on Friday, November 15, 2019 to 10 years in prison followed by three years on supervised release for engaging in a conspiracy to commit sex trafficking by force, fraud, or coercion.  Wyatt pled guilty on July 2, 2019.

According to the plea agreement, Wyatt trafficked multiple women around the state of Wisconsin, as well as in other states including Illinois and Indiana.  These victims earned money at Wyatt’s direction, all of which they were forced to turn over to him, by engaging in commercial sex and stealing valuables from their prostitution customers. Wyatt controlled these women through a combination of violence, threats, and manipulation.  He also instructed his victims to lie to law enforcement about his identity in order to avoid arrest. Wyatt might have continued to avoid detection but for the courage of one of his victims, who decided to make disclosures about Wyatt to law enforcement in 2016, several years after her victimization.  After she paved the way, several others also shared their stories, leading to Wyatt’s arrest in April 2018. 

“Sex traffickers like Dameion Wyatt inflict horrific trauma on their victims, making it difficult for them to step forward and ultimately find healing,” said United States Attorney Krueger.  “We commend the victims who had the courage to work with law enforcement. The United States Attorney’s Office and our law enforcement partners stand ready to listen to survivors, help them find needed services, and bring justice to traffickers.” 

The case was investigated by the Wisconsin Department of Justice, Division of Criminal Investigations and prosecuted by Assistant United States Attorneys Laura S. Kwaterski and Erica J. Lounsberry.

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that November 14, 2019, a federal grand jury issued an indictment against Mason O. Beudry (age: 23) and Juan M. Cardenas (age: 23) both of Appleton, Wisconsin.

The indictment alleges that Cardenas made a “false and fictitious” statement in connection with the acquisition of a Taurus G2C model 9mm handgun from a Grand Chute, Wisconsin, Fleet Farm store in violation of Title 18, United States Code, Section 922(a)(6).  It further alleges that Beaudry subsequently possessed the firearm purchased by Cardenas despite Beaudry’s status as a convicted felon contrary to Title 18, United States Code, Section 922(g)(1).

Each faces up to ten years’ imprisonment, a $250,000 fine, and three years of supervised release if convicted of their respective charges. 

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Appleton Police Department. It will be prosecuted by Assistant United States Attorney Daniel R. Humble.

An indictment is only a charge and is not evidence of guilt.  The defendants are presumed innocent and are entitled to a fair trial at which the government must prove them guilty beyond a reasonable doubt.    

 

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

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Initiative emphasizes enforcing gun prohibitions based on domestic violence convictions and mental health denials 

Today, Attorney General William P. Barr announced the launch of Project Guardian, a new initiative designed to reduce gun violence and enforce federal firearms laws across the country. Specifically, Project Guardian focuses on investigating, prosecuting, and preventing gun crimes.

Reducing gun violence and enforcing federal firearms laws have always been among the Department’s highest priorities. In order to develop a new and robust effort to promote and ensure public safety, the Department reviewed and adapted some of the successes of past strategies to curb gun violence. Project Guardian draws on the Department’s earlier achievements, such as the “Triggerlock” program, and it serves as a complementary effort to the success of Project Safe Neighborhoods (PSN). In addition, the initiative emphasizes the importance of using all modern technologies available to law enforcement to promote gun crime intelligence.

“Gun crime remains a pervasive problem in too many communities across America. Today, the Department of Justice is redoubling its commitment to tackling this issue through the launch of Project Guardian,” said Attorney General William P. Barr. “Building on the success of past programs like Triggerlock, Project Guardian will strengthen our efforts to reduce gun violence by allowing the federal government and our state and local partners to better target offenders who use guns in crimes and those who try to buy guns illegally.”

“Combatting gun violence has been a top priority of the Justice Department,” said Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin.  “Through Project Safe Neighborhoods and partnerships among law enforcement at all levels, violent crime rates in the City of Milwaukee have decreased substantially in the past two years.  Project Guardian will compliment Project Safe Neighborhoods and intensify our efforts to reduce gun violence throughout the Eastern District of Wisconsin.”  

“ATF has a long history of strong partnerships in the law enforcement community,” said Acting Director Regina Lombardo. “Make no mistake, the women and men of ATF remain steadfast to our core mission of getting crime guns off of our streets. ATF and U.S. Attorneys nationwide will leverage these partnerships even further through enhanced community outreach initiatives and coordination with local, state, and tribal law enforcement and prosecutors to cut the pipeline of crime guns from those violent individuals who seek to terrorize our communities. Project Guardian will enhance ATF’s Crime Gun Intelligence, to include identifying, investigating and prosecuting those involved in the straw purchases of firearms, lying on federal firearms transaction forms, and those subject to the mental health prohibition of possessing firearms.” 

Project Guardian’s implementation is based on five principles:

1. Coordinated Prosecution. Federal prosecutors and law enforcement will coordinate with state, local, and tribal law enforcement and prosecutors to consider potential federal prosecution for new cases involving a defendant who: a) was arrested in possession of a firearm; b) is believed to have used a firearm in committing a crime of violence or drug trafficking crime prosecutable in federal court; or c) is suspected of actively committing violent crime(s) in the community on behalf of a criminal organization.
    
2. Enforcing the Background Check System. United States Attorneys, in consultation with the Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in their district, will create new, or review existing, guidelines for intake and prosecution of federal cases involving false statements (including lie-and-try, lie-and-buy, and straw purchasers) made during the acquisition or attempted acquisition of firearms from Federal Firearms Licensees.
    
   Particular emphasis is placed on individuals convicted of violent felonies or misdemeanor crimes of domestic violence, individuals subject to protective orders, and individuals who are fugitives where the underlying offense is a felony or misdemeanor crime of domestic violence; individuals suspected of involvement in criminal organizations or of providing firearms to criminal organizations; and individuals involved in repeat denials.
    
3. Improved Information Sharing. On a regular basis, and as often as practicable given current technical limitations, ATF will provide to state law enforcement fusion centers a report listing individuals for whom the National Instant Criminal Background Check System (NICS) has issued denials, including the basis for the denial, so that state and local law enforcement can take appropriate steps under their laws.
    
4. Coordinated Response to Mental Health Denials. Each United States Attorney will ensure that whenever there is federal case information regarding individuals who are prohibited from possessing a firearm under the mental health prohibition, such information continues to be entered timely and accurately into the United States Attorneys’ Offices’ case-management system for prompt submission to NICS. ATF should engage in additional outreach to state and local law enforcement on how to use this denial information to better assure public safety. 
   Additionally, United States Attorneys will consult with relevant district stakeholders to assess feasibility of adopting disruption of early engagement programs to address mental-health-prohibited individuals who attempt to acquire a firearm. United States Attorneys should consider, when appropriate, recommending court-ordered mental health treatment for any sentences issued to individuals prohibited based on mental health.
    
5. Crime Gun Intelligence Coordination. Federal, state, local, and tribal prosecutors and law enforcement will work together to ensure effective use of the ATF’s Crime Gun Intelligence Centers (CGICs), and all related resources, to maximize the use of modern intelligence tools and technology. These tools can greatly enhance the speed and effectiveness in identifying trigger-pullers and finding their guns, but the success depends in large part on state, local, and tribal law enforcement partners sharing ballistic evidence and firearm recovery data with the ATF.

 

Federal law enforcement represents only about 15% of all law enforcement resources nationwide. Therefore, partnerships with state, local, and tribal law enforcement and the communities they serve are critical to addressing gun crime. The Department recognizes that sharing information with our state, local, and tribal law enforcement partners at every level will enhance public safety, and provide a greater depth of resources available to address gun crime on a national level.  

For more information on Project Guardian, see the Attorney General’s memorandum at: https://www.justice.gov/ag/project-guardian-memo-2019/download

For Additional Information Contact:

Public Information Officer Kenneth Gales 414-297-1700

Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on November 5, 2019, a federal grand jury returned a one-count indictment against Shawn Karst (age: 43) of Oshkosh. The indictment charged Karst with Perjury, in violation of 18 U.S.C. 1623(a). If convicted, Karst faces a maximum of 5 years’ imprisonment, up to a $250,000 fine, and up to 3 years of supervised release.

According to the indictment, on or about December 7, 2018, Karst made false statements while testifying under oath in U.S. District Court.

The Appleton Police Department investigated the case, which will be prosecuted by Assistant United States Attorney Andrew J. Maier.

An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove his guilt beyond a reasonable doubt.

 

Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on November 5, 2019, a federal grand jury returned a one-count indictment against Elmira J. Corn (Age: 29), an enrolled member of the Menominee Indian Tribe of Wisconsin, and a resident of Neopit, which is on the Menominee Indian Reservation.

The indictment charged Corn with Obstructing Justice by Retaliating against a Witness, in violation of Title 18, United States Code, Sections 1513(b) and 2. If convicted, Corn faces a maximum of 20 years in prison, a fine of up to $250,000, up to 3 years of supervised release, and a $100 special assessment.

According to the indictment, on or about October 7, 2019, Corn engaged in conduct that caused bodily harm in retaliation for the victim giving information to law enforcement about a federal offense.

The case was investigated by the Menominee Tribal Police Department and the Federal Bureau of Investigation, with assistance from Wisconsin Department of Justice – Division of Criminal Investigation’s Native American Drug and Gang Initiative (NADGI). The case will be prosecuted by Assistant United States Attorney Andrew J. Maier.

An indictment is only a charge and not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.

Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on November 5, 2019, a federal grand jury returned a one-count indictment against Robert J. Kapishkowit (Age: 26), an enrolled member of the Menominee Indian Tribe of Wisconsin, and a resident of Neopit, which  is on the Menominee Indian Reservation.

The indictment charged Kapishkowit with Sexual Abuse of a Minor, in violation of Title 18, United States Code, Sections 2243(a) and 1153(a). If convicted, Kapishkowit faces a maximum of 15 years in prison, a fine of up to $250,000, from 5 years to life on supervised release, and a $100 special assessment.

According to the indictment, on or about June 11, 2018, Kapishkowit engaged in a sex act with a person who had reached the age of 12 years, but had not reached the age of 16 years, and who was at least 4 years younger than him. The assault allegedly occurred within the exterior boundaries of the Menominee Indian Reservation.      

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case, which will be prosecuted by Assistant United States Attorney Andrew J. Maier.

An indictment is only a charge and not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.

Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced that on October 24, 2019, Robert A. Gordon (age: 35) of Weston, Wisconsin, pleaded guilty under oath before United States Magistrate Judge William E. Duffin to one count of wire fraud, in violation of 18 U.S.C. § 1343, and one count of trafficking access devices, in violation of 18 U.S.C. § 1029(a)(2).

In a written plea agreement filed in the case, Gordon acknowledged that from June 2018 through May 2019, he engaged in a scheme to defraud Kohl’s Department Stores, Inc. (“Kohl’s”) and its customers by obtaining stolen “Kohl’s Cash” coupons and then selling them through his Twitter account, “@OfficialJigLord.” Gordon also used stolen Kohl’s Cash coupons to make purchases for himself. “Kohl’s Cash” is part of a rewards program Kohl’s offers to customers. Customers earn Kohl’s Cash coupons based on their purchases and they can redeem those coupons for additional purchases.

Gordon acknowledged that he knew that the Kohl’s Cash coupons that he advertised, sold, and used had been stolen through credential-stuffing campaigns on Kohl’s webstore in an effort to gain unauthorized access to individual customers’ online accounts. Credential stuffing occurs when an individual uses a computer program to rapidly run a large database of stolen username/password combinations (i.e., credentials) against the websites of various businesses in an attempt to access individuals’ online accounts and commit fraud. These types of credential stuffing campaigns are successful only when individuals reuse the same username/password combination for multiple online accounts. 

Magistrate Judge Duffin has issued a written recommendation to United States District Judge J.P. Stadtmueller that Gordon’s guilty plea be accepted. Judge Stadtmueller set a sentencing hearing for January 22, 2020, at 8:30 a.m. in Courtroom 425. At sentencing, Gordon faces a maximum of up to 20 years in prison for wire fraud, and up to 10 years in prison for trafficking access devices. Each count also carries a maximum fine of $250,000.

The case was investigated by the United States Secret Service, the Wauwatosa Police Department, the Greenfield Police Department, and the U.S. Army Criminal Investigation Division. This criminal case is being prosecuted by Assistant United States Attorneys Benjamin Proctor and Scott Campbell.

The United States Attorney’s Office for the Eastern District of Wisconsin and the Justice Department’s Civil Rights Division will hold an event on November 7, 2019, to support the Department’s Place to Worship Initiative and raise awareness about federal law’s protection of faith communities in land use and zoning processes, U.S. Attorney Matthew D. Krueger announced.  The event, which is free to attend, will be held at the Marquette University Law School from 5:30 p.m. to 7:00 p.m. 

The Religious Land Use and Institutionalized Persons Act (RLUIPA) is a federal law that protects religious institutions from unduly burdensome or discriminatory land use regulations.  In June 2018, the Justice Department announced its Place to Worship Initiative, which focuses on RLUIPA’s provisions that protect the rights of houses of worship and other religious institutions to worship on their land.  More information is available at www.justice.gov/crt/placetoworship.

The event will include a panel discussion to educate religious groups, faith-based and civil rights organizations, local government, land use and civil rights attorneys, and other community groups about RLUIPA, a religious liberty civil rights statute.  To attend, RSVP at https://buildingfaithinwisconsin.eventbrite.com.

The Department of Justice, through the U.S. Attorney’s Offices and the Civil Rights Division, enforces RLUIPA and may bring lawsuits where there is reason to believe that a religious institution has been subject to unduly burdensome or discriminatory land use regulations.  Persons who believe their rights under RLUIPA have been violated are encouraged to contact the U.S. Attorney’s Office Civil Rights Hotline at (855) 281-3339 or the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743.  An easily accessible complaint portal and more information about RLUIPA may be found at https://www.justice.gov/crt/rluipa.

Three Tribes in the Eastern District of Wisconsin were awarded over $2,194,357 in funding.   

The Department of Justice announced October 21, 2019 that it has awarded over $273.4 million in grants to improve public safety, serve victims of crime, combat violence against women and support youth programs in American Indian and Alaska Native communities.

“Violent crime and domestic abuse in American Indian and Alaska Native communities remain at unacceptably high levels, and they demand a response that is both clear and comprehensive,” said Attorney General William P. Barr. “We will continue to work closely with our tribal partners to guarantee they have the resources they need to curb violence and bring healing to the victims most profoundly affected by it.”  

“American Indian communities in Wisconsin suffer from far too high rates of violent crime and domestic violence,” said United States Attorney Matthew D. Krueger.  “The grants being awarded reflect that the Justice Department is committed to reducing violent crime and domestic violence in American Indian communities.”  

Nationwide, 236 grants were awarded to 149 American Indian tribes, Alaska Native villages and other tribal designees through the Coordinated Tribal Assistance Solicitation, a streamlined application for tribal-specific grant programs. Of the $118 million awarded via CTAS, just over $62.6 million comes from the Office of Justice Programs, about $33.1 million from the Office on Violence Against Women and more than $23.2 million from the Office of Community Oriented Policing Services.

A portion of the funding will support tribal youth mentoring and intervention services, help native communities implement requirements of the Sex Offender Registration and Notification Act, and provide training and technical assistance to tribal communities.

Another $5.5 million was funded by OJP’s Bureau of Justice Assistance to provide training and technical assistance to CTAS awardees.

The Department also announced awards and other programming totaling $167.2 million in a set-aside program to serve victims of crime. The awards are intended to help tribes develop, expand and improve services to victims by supporting programming and technical assistance. About $25.6 million of these awards were awarded under CTAS and are included in the $118 million detailed above.

CTAS funding helps tribes develop and strengthen their justice systems’ response to crime, while expanding services to meet their communities’ public safety needs. The awards cover 10 purpose areas: public safety and community policing; justice systems planning; alcohol and substance abuse; corrections and correctional alternatives; children’s justice act partnerships; services for victims of crime; violence against women; juvenile justice; violent crime reduction; and tribal youth programs.

The Department also provided $6.1 million to help tribes to comply with federal law on sex offender registration and notification, $1.7 million in separate funding to assist tribal youth and nearly $500,000 to support tribal research on missing and murdered indigenous women and children and other public safety-related topics.

This announcement is part of the Justice Department’s ongoing initiative to increase engagement, coordination and action on public safety in American Indian and Alaska Native communities.

The three Eastern District grantees were:

• Forest County Potawatomi Community:  $718,910;
• Oneida Nation:  $1,102,747; and
• Stockbridge Munsee Community:  $372,700.

         

A complete listing of announced CTAS awards is available at: https://www.justice.gov/tribal/awards. 

A listing of all other announced tribal awards are available at: https://go.usa.gov/xVJuE.

 

Eastern District of Wisconsin Awarded $499,996 in Funding

 

The Department of Justice announced it has awarded more than $85.3 million to bolster school security—including funding to educate and train students and faculty—and support first responders who arrive on the scene of a school shooting or other violent incident.

“These federal resources will help to prevent school violence and give our students the support they need to learn, grow, and thrive,’ said Attorney General William P. Barr. “By training faculty, students and first responders, and by improving school security measures, we can make schools and their communities safer.”

“Our schools should be safe places where students can learn and grow without fear of violence,” said United States Attorney Krueger.  “The Justice Department grants being awarded to Wisconsin will help make our schools safer by funding measures to prevent violence before it occurs.” 

The grants awarded $499,996 in funding to prevent violence in schools in Eastern District of Wisconsin. President Trump signed the STOP School Violence Act into law in March 2018, authorizing grants that are designed to improve threat assessments, train students and faculty to provide tips and leads, and prepare law enforcement officers and emergency professionals to respond to school shootings and other violent incidents. The grant programs are managed by OJP’s Bureau of Justice Assistance and the Justice Department’s Office of Community Oriented Policing Services.

The Bureau of Justice Assistance, within the Department’s Office of Justice Programs, and the Office of Community Oriented Policing Services manage the programs and administer the grants, which include funds to:

• Develop school threat assessment teams and pursue technological solutions to improve reporting of suspicious activity in and around schools;
• Implement or improve school safety measures, including coordination with law enforcement, as well as the use of metal detectors, locks, lighting and other deterrent measures;
• Train law enforcement to help deter student violence against others and themselves;
• Improve notification to first responders through implementation of technology that expedites emergency notifications;
• Develop and operate anonymous reporting systems to encourage safe reporting of potential school threats;
• Train school officials to intervene when mentally ill individuals threaten school safety; and
• Provide training and technical assistance to schools and other awardees in helping implement these programs.
   

For more details about these individual award programs, as well as listings of individual 2019 awardees, visit https://go.usa.gov/xVJuV

About the Office of Justice Programs:

The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal justice system. More information about OJP and its components can be found at www.ojp.gov

About the Office of Community Oriented Policing Services:

The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 130,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.gov.

Matthew D. Krueger, the United States Attorney for the Eastern District of Wisconsin, announced that Lisa A. Radtke (Age 51), of Appleton, Wisconsin, appeared in federal court in Green Bay and pleaded guilty to one count of wire fraud (18 U.S.C. §1343) and one count of tax evasion (26 U.S.C. §  7201). Based on her guilty pleas, Radtke faces up to 25 years in prison and fines of up to $500,000, or both. Radtke also agreed to make restitution to her former employer, which was the victim of her fraud, in the amount of $1.3 million, as well as to the Internal Revenue Service for the taxes she failed to pay, plus penalties and interest on those taxes, in the amount of $634,000.

Radtke’s sentencing is scheduled for January 27, 2020, also in Green Bay.

According to documents filed in federal court in conjunction with Radtke’s guilty plea, during the period from 2014 until she was fired in October 2018, Radtke used her position at her former employer to carry out a scheme to defraud the business.  Radtke made numerous fraudulent entries in her employer’s books and records and issued payments from the business’s bank accounts to herself and for her personal benefit.  For example, Radtke repeatedly issued electronic payments from her employer’s bank accounts to pay her personal credit card accounts. Radtke also issued checks from her employer’s bank account that appeared to be payable to legitimate vendors, but were, in fact, deposited to Radtke’s personal bank account.Radtke made additional, fraudulent payments to herself that were included in her payroll, as well as issuing payroll to an account she maintained in her husband’s name despite the fact that her husband was not employed at the company. As a result of her scheme, Radtke stole more than $1.3 million from her employer. Radtke spent the vast majority of the stolen funds on luxury cruises and vacations.

The tax evasion charge is based on Radtke’s failure to report and pay taxes on the stolen money.  For the years 2014-2018, these taxes totaled more than $360,000.

This matter was investigated by agents of the Internal Revenue Service – Criminal Investigations in conjunction with local law enforcement and is being prosecuted by Assistant United States Attorney Matthew L. Jacobs.

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United States Attorney Matthew D. Krueger announced that on October 11, 2019, Scott E. Billington, (age: 28) of Oshkosh, Wisconsin, was sentenced to five years in federal prison for illegally possessing a firearm.

In September of 2018, officers with the Oshkosh Police Department obtained and executed a search warrant at Billington’s residence.  Officers recovered a large amount of marijuana, approximately $10,000 in U.S. currency, a .40 caliber firearm, and .22 caliber firearm.  Billington was convicted on state charges related to the marijuana.

A Special Agent with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”) conducted further investigation and tied Billington directly to the firearms.  Billington previously was convicted of domestic violence related battery in Winnebago County Circuit Court, and was therefore prohibited from ever possessing a firearm. 

In handing down the sentence, Chief Judge Griesbach noted the “very serious nature of the crime” and the defendant’s lengthy criminal record.  In addition to the five-year prison sentence, he ordered Billington to spend three years on supervised release following his release from federal prison.

This case was investigated by the Oshkosh Police Department and the Milwaukee office of the ATF. It was prosecuted by Assistant United States Attorney Daniel R. Humble.

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United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that Tommy Lee Jenkins (age: 32), recently a resident of Oshkosh, Wisconsin, was charged via a criminal complaint following his October 10, 2019, arrest by local and federal authorities.

According to the complaint and supporting affidavit, starting on October 1, 2019, Jenkins, who recently moved from Oshkosh to Whitestown, Indiana, began exchanging instant messages with “Kylee” whom he believed to be a 14 year-old girl living in Neenah, Wisconsin with her mother.  Jenkins began demanding sexually explicit photographs from “Kylee” and making plans to engage in sexual activity with the minor.  When his numerous requests for “Kylee” to join him in Indiana were rebuffed, Jenkins began walking the 351-mile trek from Whitestown, Indiana to Neenah, Wisconsin.  Along the way, Jenkins continued to engage “Kylee” in sexually explicit conversations and updated her as to his current location.

“Kylee” was, in fact, a Winnebago County Sheriff’s Deputy assigned to the Internet Crimes Against Children (“ICAC”) Task Force.  Upon his arrival in Winnebago County, sheriff’s deputies and a Special Agent with the Federal Bureau of Investigation placed Jenkins under arrest. 

Jenkins faces charges of using a computer to attempt to persuade, induce, or entice a minor to engage in unlawful sexual activity, in violation of Title 18, United States Code, Section 2422(b).  He faces a mandatory minimum sentence of 10 years and up to a lifetime of imprisonment if convicted of that charge.

“Our nation faces an epidemic of child sexual abuse, with the Internet making it too easy for predators to communicate with children across the country,” said United States Attorney Krueger.  “The Justice Department is committed to working with federal, state, and local law enforcement agencies to prosecute child sexual abuse aggressively.” 

This case was investigated by the Winnebago County Sheriff’s Office with the assistance of the Green Bay office of the Federal Bureau of Investigation.  It will be prosecuted by Assistant United States Attorney Daniel R. Humble.

A criminal complaint is only a charge and is not evidence of guilt.  The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.  

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