Eastern District of Wisconsin

United States Attorney Gregory A. Haanstad of the Eastern District of Wisconsin announced today that Milwaukee residents Kanwar Gill (age: 67) , Raviinder Gill (age: 27), and George Nance (age: 59) have been sentenced to terms of imprisonment for wire fraud based on a scheme to traffic benefits issued by the Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program, and by the Special Supplemental Nutrition Program for Women, Infants and Children (WIC). Kanwar Gill was sentenced to 15 months’ imprisonment, Raviinder Gill was sentenced to 20 months’ imprisonment, and George Nance was sentenced to 18 months’ imprisonment. 

Between 2013 and 2015, the defendants operated a convenience store called Quick N EZ, located at 3076 N. 27th Street in Milwaukee. Quick N EZ was authorized to participate in the SNAP and WIC programs, pursuant to which Quick N EZ could exchange SNAP and WIC benefits for qualifying food items. Soon after it opened, however, Quick N EZ began exchanging SNAP and WIC benefits for cash. Kanwar Gill, Raviinder Gill, and George Nance each agreed to provide cash to benefit-recipients in exchange for roughly twice the amount in benefits. For example, the store would take $100 worth of benefits from a customer, the store would give the customer $50 in cash, and the store would then obtain the full $100 reimbursement for the benefits from the U.S. Government.

Quick N EZ far exceeded other stores of similar size in the Milwaukee County area in average redemptions of SNAP and WIC benefits. The United States Department of Agriculture’s Office of the Inspector General and Wisconsin’s Department of Health Services conducted undercover compliance buys at Quick N EZ, confirming that the store was exchanging SNAP and WIC benefits for cash. The United States Department of Agriculture calculated that between 2013 and 2015, Quick N EZ redeemed approximately $1,245,529.72 in SNAP and WIC benefits to which it was not entitled.

A grand jury indicted Kanwar Gill, Raviinder Gill, and George Nance on November 22, 2016, charging them with conspiracy to commit wire fraud, wire fraud, and SNAP fraud. All three defendants pleaded guilty. On September 6, 2017, the Honorable J.P. Stadtmueller sentenced Kanwar Gill to 15 months’ imprisonment. On September 7, 2017, Judge Stadtmueller sentenced George Nance to 18 months’ imprisonment. Finally, on September 27, 2017, Judge Stadtmueller sentenced Raviinder Gill to 20 months’ imprisonment. Kanwar and Raviinder Gill have also forfeited tens of thousands of dollars to the United States, and have been ordered to pay restitution in the amount of $1,245,529.72.

This case was investigated by the Office of the Inspector General for the U.S. Department of Agriculture, the Federal Bureau of Investigation, and the Wisconsin Department of Health Services.  It was prosecuted by Assistant United States Attorney Rebecca Taibleson.

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 For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

United States Attorney Gregory Haanstad announced today that the following twelve (12) defendants have been charged in federal court with offenses related to a conspiracy to distribute heroin and cocaine, using a firearm in relation to drug trafficking, and money laundering:

 

Torrence Harris, Sr., age 37

Terrance Hamlin, age 51

Jerry Gray, age 33

Clarence J. Bogan, Jr., age 37  

Fontae Kelly, age 34   

Michael Davis, age 33

Royel Page, age 27

Joseph Davis, Jr., age 34

Terrence L. Jackson, age 35

Phillip Edwards, age 41

Kevin Williams, age 42

Anyssia Z. Currie, age 27

 

All of the defendants currently reside in the greater Milwaukee area. This case is a part of a long-term federal drug and money laundering investigation based out of Milwaukee.  

 

The defendants are charged with various drug offenses, including: distribution of and possession with intent to distribute controlled substances and conspiracy. If proven that the offenses involved more than 100 grams of heroin, each defendant will face up to forty (40) years’ in prison, with a mandatory minimum sentence of five years in prison. If convicted of using a firearm during and in relation to drug trafficking, each defendant faces a five (5) year sentence consecutive to any time imposed for drug trafficking. 

 

Today, law enforcement officers arrested 11 of the above defendants. Torrence Harris remains at large.  In addition to today’s arrests, law enforcement officers executed 14 federal search warrants in Milwaukee targeting members of this organization. Law enforcement recovered approximately 25 ounces of heroin, 33 grams of a powder that tested positive for fentanyl, five firearms, approximately $100,000 in United States currency, seven vehicles, and two kilo presses. Approximately 250 federal, state, and local officers participated in these arrests and search warrants.

 

In making today’s announcement about the federal charges, searches, and arrests, United States Attorney Haanstad stated:  “The large-scale distribution of heroin, fentanyl, and other controlled substances presents an urgent threat to the safety and well-being of communities in the Eastern District of Wisconsin.  Today’s charges and arrests reflect our commitment to working with federal, state, and local law enforcement to protect communities from these harms.”

 

Milwaukee Drug Enforcement Administration Agent in Charge Robert Bell commended the collaborative and purposeful approach by state, local and federal law enforcement.  “This heroin and cocaine distribution organization perpetrated firearms violence, in addition to fueling drug addiction in Milwaukee.  Intelligence-driven investigations and federal prosecutions, coordinated with the Wisconsin Department of Justice, Milwaukee Police Department and other law enforcement partners, effectively stop criminal organizations in their tracks,” remarked Bell.

 

Attorney General Brad Schimel stated, “Heroin, cocaine, and other dangerous drugs are responsible for the destruction of countless lives in Wisconsin. Today’s takedown of major drug traffickers in southeastern Wisconsin is a big win for law enforcement, the community, and those seeking justice from the drug crisis our state is facing. The arrest of these high-level drug traffickers was only possible because of the incredible investigative work done by local, state, and federal law enforcement.”

 

The investigating agencies include the Drug Enforcement Administration, Wisconsin Department of Justice - Division of Criminal Investigation, North Central High Intensity Drug Trafficking Area, City of Milwaukee Police Department, Department of Homeland Security - Homeland Security Investigation / Enforcement Removal Operations, Bureau of Alcohol, Tobacco, and Firearms, Federal Bureau of Investigation, United States Marshals Service,  U.S. Immigration and Customs Enforcement,  Wisconsin State Patrol, Milwaukee County Sheriff’s Department, Racine County Sheriff’s Department, Waukesha County Sheriff’s Department, Waukesha County Metro Drug Enforcement Unit, Wauwatosa Police Department, Greenfield Police Department, West Allis Police Department, and the New Berlin Police Department.  

 

This case is being prosecuted by Assistant United States Attorneys Elizabeth M. Monfils and Gail J. Hoffman.

 

An indictment is merely the formal method of charging an individual and does not constitute inference of his or her guilt. An individual is presumed innocent until such time, if ever, that the government establishes his or her guilt beyond a reasonable doubt.

 

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United States Attorney Gregory J. Haanstad, of the Eastern District of Wisconsin announced that the grand jury indicted Ronald Van Den Heuvel (age: 62) of De Pere, on wire fraud and money laundering charges today.  The indictment alleges that Van Den Heuvel fraudulently obtained over $9 million in loans and investments for his eco-friendly “Green Box” business plan but diverted much of the funds to his own purposes. 

From 2011 through 2015, Ronald Van Den Heuvel was a businessman in the Green Bay area promoting his Green Box process.  The indictment alleges that Van Den Heuvel claimed that the Green Box process could turn post-consumer waste from sources like fast food restaurants completely into usable consumer products and energy.  Van Den Heuvel obtained over $9 million in loans and investments, having falsely pledged to use the funds for Green Box operations.  Van Den Heuvel spent much of the funds to pay old debts and personal expenses, including a new Cadillac Escalade, pricey Green Bay Packers tickets, and court-ordered support payments to his ex-wife. 

As alleged in the indictment, Van Den Heuvel defrauded a range of victims, including individual acquaintances, the Wisconsin Economic Development Corporation (WEDC), a Canadian private investment firm, and Chinese investors in the EB-5 immigrant investor program.  In October 2011, the WEDC provided Green Box NA Green Bay, LLC, one of Van Den Heuvel’s companies, with a loan of $1,116,000.  The funds were to be used solely to purchase certain equipment to allow for the creation of 116 jobs in a Green Box operation in De Pere, Wisconsin.  Instead, Van Den Heuvel diverted large amounts of WEDC funding to his own ends and then submitted false certifications claiming to have spent the funds properly.  In addition, in January 2012, the WEDC awarded Green Box NA Green Bay, LLC with a $95,500 grant to reimburse the company for the costs of training new workers.  To draw the grant funds, Van Den Heuvel submitted fraudulent time records for training that never happened. 

Separately, the United States Securities and Exchange Commission (SEC) announced today that it filed a civil lawsuit against Van Den Heuvel and Green Box Detroit, LLC, in the United States District Court for the Eastern District of Wisconsin.  The SEC alleges that Van Den Heuvel violated securities laws by defrauding the Canadian investment firm and EB-5 investors.  The case is United States Securities and Exchange Commission v. Ronald Van Den Heuvel and Green Box NA Detroit, LLC, Case No. 17-CV-1261. 

Counts One to Ten of the indictment charge Van Den Heuvel with executing the scheme to defraud by use of interstate wire communications, in violation of Title 18, United States Code § 1343.  On each of these counts, the maximum penalty is imprisonment for not more than twenty years, a fine of not more than $250,000, or both, plus a mandatory $100 special assessment and a period of supervised release not to exceed three years.

Counts Eleven through Fourteen charge Van Den Heuvel with unlawful financial transactions involving the ill-gotten gains, in violation of Title 18, United States Code § 1957.  On each of these counts, a convicted defendant would face imprisonment for not more than 5 years, a fine of not more than $250,000, or both, plus the mandatory $100 special assessment and a term of supervised release not to exceed three years.

The criminal case leading to the indictment is being investigated by the Federal Bureau of Investigation and the Federal Deposit Insurance Corporation. The case will be prosecuted by Assistant United States Attorneys Mel S. Johnson, Matthew D. Krueger, and Rebecca L. Taibleson.

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.          

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United States Attorney Gregory Haanstad announced today that twenty-one (21) defendants have been charged in federal court with conspiracy related to the distribution of cocaine, heroin and methamphetamine. The nineteen (19) individuals below have been arrested and are in custody:

 

Luis F. Gomez, age 39

Pablo Hidalgo-Sanchez, age 28

Fernando Reyes, age 39

Mario Esquivel-Sotelo, age 24

Oscar Garnica-Manriquez, age 32

Juan Avina, age 32

Jonathan Martinez-Acosta, age 36

Helder Rodriguez, age 39

Sergio Camacho-Gonzalez, age 20

Ricardo Cervantes-Vargas, age 34

Carlos Flores-Gomez, age 24

Ricardo Rodriguez, age 32

Kristian Yanez, age 24

Luis Torres, age 24

Bryan Banks, age 41

Dante Williams, age 44

Tommie Cole, age 36

Alejandro Casteneda, age 28

Maria Gomez-Gonzalez, age 31

 

All of the defendants currently reside in the greater Milwaukee area. This case is a part of a long-term federal drug and money laundering investigation based out of Milwaukee. The federal investigation has led to the seizure of multiple kilograms of cocaine and methamphetamine and the seizure of over $800,000 in United States currency.

 

The defendants are charged with drug offenses including: distribution of and possession with intent to distribute controlled substances and conspiracy. If proven that the offenses involved more than a kilogram of heroin, and / or five kilograms or more of cocaine each defendant will face up to life in prison, with a mandatory minimum sentence of ten years in prison.

 

Today, law enforcement officers arrested nineteen (19) of these defendants. In addition to today’s arrests, law enforcement officers executed 13 federal search warrants in Milwaukee targeting members of this organization. Approximately 200 federal, state and local officers participated in these arrests and searches. Law enforcement recovered approximately 1½ kilos of heroin, two (2) kilos of cocaine, 50 pounds of marijuana, 12 firearms and one assault rifle, $500,000 in United States currency, six vehicles, a money counter, kilo press and drug paraphernalia.

 

In making today’s announcement about the federal charges, searches, and arrests, United States Attorney Haanstad stated: “The large-scale distribution of cocaine, heroin, methamphetamine, and other controlled substances presents a clear, significant danger to public safety and public health. The pernicious effects of large-scale organizations like this one are not only felt locally, but also extend beyond state and international borders. These charges and this prosecution are the result of an aggressive, coordinated approach to dismantling drug-trafficking organizations, and the United States Attorney’s Office is committed to continuing to work with our law enforcement partners to attack these public safety and public health threats.” United States Attorney Haanstad specifically commended the local, state, and federal law enforcement officers and units involved in the investigation for their hard work and inter-agency cooperation.

 

“When we look for the source of the misery and loss of life caused by heroin, fentanyl and other drugs, we need look no further than these and other drug traffickers who profit by exploiting the vulnerable. The dismantlement of multiple large-scale drug trafficking organizations, in partnership with state and local law enforcement and the U.S. Attorney’s Office, has big impact and makes the Greater Milwaukee Area safer and healthier,” remarked Robert Bell, Agent in Charge of Drug Enforcement Administration operations in Wisconsin.

 

The investigating agencies include the Drug Enforcement Administration, Milwaukee Police Department, Wisconsin Department of Justice - Division of Criminal Investigation, North Central High Intensity Drug Trafficking Area, Department of Homeland Security - Homeland Security Investigation / Enforcement Removal Operations, Bureau of Alcohol, Tobacco, and Firearms, Federal Bureau of Investigation, United States Marshals Service, , Wisconsin State Patrol, Waukesha County Sheriff’s Department, Waukesha County Metro Drug Enforcement Unit, Wauwatosa Police Department, Greenfield Police Department, West Allis Police Department, South Milwaukee Police Department and the Oak Creek Police Department.

 

This case is being prosecuted by Assistant United States Attorney Mario Gonzales.

 

An indictment is merely the formal method of charging an individual and does not constitute inference of his or her guilt. An individual is presumed innocent until such time, if ever, that the government establishes his or her guilt beyond a reasonable doubt.

 

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced recent sentences after convictions for a group of men who were part of a drug trafficking organization operating on the Menominee Indian Reservation. The three codefendants entered guilty pleas in June 2017. The sentences were imposed by Chief United States District Judge William C. Griesbach.

 

• On August 15, 2017, Austin A. Kaquatosh (age: 24) received a sentence of 24 months’ imprisonment to be followed by 60 months on supervised release.

 

• On August 30, 2017, Mitchell E. Oshkosh (age: 31) received a sentence of 24 months’ imprisonment to be followed by 48 months on supervised release.

 

• On September 8, 2017, Woody Nahquaddy (age: 31) received a sentence of 42 months’ imprisonment to be followed by 60 months on supervised release.

 

The investigation revealed that the three defendants conspired amongst themselves and with others, and distributed a large quantity of synthetic cannabinoids referred to locally as “Ish” in and around the Menominee Indian Reservation. The group obtained synthetic drugs from Milwaukee several times a week, purchasing as much as two pounds per trip over nearly a year. Each trip involved spending approximately $2,000 - $2,500, after which the synthetic drugs were repackaged for distribution from designated residences in Keshena and Neopit on the Menominee Indian Reservation.

 

Abuse of synthetic cannabinoids on the Menominee Indian Reservation became a public health crisis in the same period of time, with numerous calls for medical service to assist users who had adverse reactions to synthetic drugs like those distributed by the defendants. Examples of symptoms suffered from those who abused the substances included seizures, extremely high blood pressure, high body temperature, catatonia, and disorientation.

 

In sentencing the three defendants, Chief Judge Griesbach noted the serious nature of the offense, which involved the sale of a substance that caused great harm to the Menominee Indian community. Chief Judge Griesbach indicated his intent to deter the defendants and anyone else from preying on the weaknesses of others in the community. At Nahquaddy’s sentencing hearing, Chief Judge Griesbach noted the roles each man played among a larger group, observing that Nahquaddy was “the major player” in the case.

 

The case was investigated by the Menominee Tribal Police Department, the Wisconsin Department of Justice - Division of Criminal Investigation (Native American Drug and Gang Initiative), the Wisconsin State Crime Laboratory, and the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorney Andrew J. Maier.

 

 

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on September 7, 2017, LaTanya Ghee, (age: 51) of Milwaukee, was sentenced to one year in prison, followed by three years of supervised release. On April 18, 2017, Ghee pleaded guilty to conspiring to defraud the Internal Revenue Service, in violation of Title 18, United States Code, Section 286. Ghee was also ordered to pay restitution of $84,734 to the government.

 

According to the plea agreement, beginning in approximately 2011, and continuing until at least May 2012, Ghee conspired with others to defraud the Internal Revenue Service through a scheme to obtain false federal income tax refunds. To accomplish this, Ghee worked with others to file federal income tax returns with false wage and tax-withholding amounts. Using the information obtained and provided by Ghee, the co-conspirators prepared and filed tax returns that falsely claimed wage and tax-withholding amounts from Ghee’s businesses, Wisconsin Mortgage Real Estate Resources, Ghee’s Mortgages, and others. In reality, the individuals had either lesser or no wages or tax-withholding amounts from those businesses.

 

Based on her role in the conspiracy, Ghee received payment from the fraudulently obtained tax refunds. As a result of the conspiracy, Ghee caused the filing of more than a dozen false income tax returns with the IRS seeking more than $100,000 in fraudulent income tax refunds.

 

This case was investigated by IRS Criminal Investigation. The case was prosecuted by Assistant United States Attorney Matthew D. Krueger.

 

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that two sex traffickers (commonly referred to as “pimps”) were convicted in separate trials in federal court in Milwaukee.

 

On September 1, 2017, a federal jury found Jaboree Williams (age 31) guilty on 18 counts:

• three counts of sex trafficking;

• three counts of interstate transportation for purposes of prostitution;

• conspiracy to distribute heroin and other narcotics;

• obstruction of a sex trafficking investigation;

• four counts of witness intimidation and tampering;

• four counts of contempt of court;

• obstruction of justice; and

• sending an extortionate threat.

 

The evidence at his trial established that Williams used force, fraud, and coercion to compel female victims to engage in prostitution in a number of states, including Illinois, Minnesota, Indiana, Georgia, Ohio, and Pennsylvania. The victims testified that Williams imposed a strict set of rules, including that the victims provide him with all of the money they were paid for engaging in sex acts; that they never tell law enforcement what Williams made them do; and that they obey Williams’ commands. Williams enforced these rules by severely beating victims who violated them. He also threatened and intimidated victims and other witnesses during the investigation and prosecution, including while he was in jail and subject to a no-contact order that had been entered by a federal judge.

 

Williams is scheduled to be sentenced on December 20, 2017, by United States District Judge J.P. Stadtmueller. Williams faces a maximum life term of imprisonment and a mandatory minimum of 15 years of imprisonment.

 

The Federal Bureau of Investigation’s Human Trafficking Task Force and the Racine Police Department investigated the Williams case with the assistance of the Oshkosh Police Department. Assistant United States Attorneys Laura S. Kwaterski and Karine Moreno-Taxman prosecuted the case.

 

On September 6, 2017, in a separate trial, another federal jury found Terrell Shankle, a/k/a “King Relly” (age 40), guilty on six counts:

• one count of conspiracy to transport a minor across state lines to engage in prostitution; and

• five counts of sex trafficking a minor and sex trafficking a person using force, fraud, or coercion.

 

The evidence at his trial established that Shankle was a violent sex trafficker who, between September 2006 and May 2012, used force, fraud, and coercion to cause a number of minor and adult female victims to engage in prostitution. Victims of Shankle’s sex trafficking testified that he regularly used physical violence and threats of violence to control them and make them engage in prostitution in Milwaukee and Chicago for his profit. All of the victims were teenagers when Shankle coerced them into prostitution, and many were under the age of 18.

 

Shankle faces a maximum sentence of life imprisonment, and mandatory minimum sentences of 15 years’ imprisonment on each of the five counts of sex trafficking by force, fraud, or coercion. The sentencing hearing is set for December 6, 2017, before U.S. District Judge Lynn Adelman.

 

The Federal Bureau of Investigation and the Milwaukee Police Department investigated the Shankle case, with assistance from the Cook County (Illinois) Sheriff’s Department. Assistant United States Attorneys Benjamin W. Proctor and Erica J. Lounsberry prosecuted the case.

 

United States Attorney Gregory J. Haanstad stated: “Sex traffickers prey upon some of the most vulnerable members of our society, subjecting victims to extraordinary levels of violence and brutality. All too often, as was the case with Terrell Shankle, children are among the vulnerable victims targeted by sex traffickers. And sex traffickers like Jaboree Williams further aggravate already-horrific crimes by using the fear they have instilled in their victims to intimidate witnesses and obstruct sex trafficking investigations and prosecutions. The Williams and Shankle cases reflect the commitment that the United States Attorney’s Office and the Federal Bureau of Investigation have to working with our local law enforcement partners to protect citizens from these violent and predatory offenses.”

 

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced today that five members of a Milwaukee family were sentenced to prison by the United States District Judge J.P. Stadtmueller for their involvement in several armed bank and business robberies in Milwaukee and West Allis, Wisconsin. The siblings received the following sentences:

• Bobby Mickey (25) was sentenced to 184 months in prison after pleading guilty to five robberies and one count of brandishing a firearm in connection with a crime of violence.

• Terrill Brown (29) was sentenced to 154 months in prison after pleading guilty to three robberies and one count of brandishing a firearm in connection with a crime of violence.

• Brandon Mickey (21) was sentenced to 152 months in prison after pleading guilty to four robberies and one count of brandishing a firearm in connection with a crime of violence.

• Dominique Brown (30) was sentenced to 58 months in prison after pleading guilty to aiding and abetting one bank robbery.

• Doris Brown (27) was sentenced to 48 months in prison after pleading guilty to aiding and abetting one bank robbery.

The siblings were involved in a series of bank and commercial robberies in 2015 and 2016, the purpose of which was to obtain money, liquor, and firearms. The sisters, Dominique and Doris Brown, aided and abetted the robberies by “casing” the banks and holding doors open at locked entrances to allow their brothers access to the banks.

At the sentencings, federal prosecutors discussed the emotional, life-long impact these violent crimes have on the victims, and the financial impact of these crimes on the community. At the sentencings, Judge Stadtmueller also noted that these types of violent acts “cry out” for lengthy prison terms.

According to United States Attorney Haanstad: “The United States Attorney’s Office is committed to combatting violent crime in this district and will continue to seek substantial prison sentences for those who use firearms in the commission of crimes.” Haanstad also emphasized that “the successful prosecution of this case was the result of a collaborative law enforcement effort by the Milwaukee Area Violent Crime Task Force, the Federal Bureau of Investigation, the Milwaukee Police Department, and the West Allis Police Department.”

Special Agent in Charge of the FBI Milwaukee Division, Justin Tolomeo said: “The FBI prioritizes these types of investigations and works collaboratively with MPD and local police departments to identify the offenders and bring them to justice. We all work together to make our community a safe place.”

The matter was investigated by the FBI’s Milwaukee Area Violent Crime Task Force, the Milwaukee Police Department, and the West Allis Police Department. The case was prosecuted by Assistant United States Attorney Margaret B. Honrath.

 

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced yesterday that the United States has settled civil penalty claims against Genco for alleged violations of the Controlled Substances Act (CSA) and its implementing regulations. Under the settlement agreement, Genco will pay a civil penalty to the United States of $2,000,000.

 

Genco is a company that specializes in the handling, processing and destruction of pharmaceutical returns, including controlled substances, from pharmaceutical manufacturing and retail companies throughout the United States. Genco’s return processing facility for controlled substances is located at 6101 North 64th Street in Milwaukee, Wisconsin. Because Genco processes and handles controlled substances, it is required to operate in accordance with the CSA.

 

As reflected in a written Settlement Agreement, the United States contends that it has certain civil penalty claims arising under the CSA against Genco for the following conduct commencing January 1, 2012:

 

(1) failing to make, keep and furnish accurate records of all stocks of controlled substances on hand and each controlled substance received, sold, delivered or otherwise disposed of;

 

(2) failing to make, keep and furnish complete and accurate DEA order forms (Form 222) documenting all receipts of schedule II controlled substances;

 

(3) failing to furnish complete and accurate reports to DEA’s Automation of Reports and Consolidated Orders System Unit of data on each acquisition to inventory and each reduction from inventory of Schedule II controlled substances, narcotic controlled substances listed in Schedule III, and drugs listed in 21 C.F.R. § 1304.33(d); and

 

(4) failing to notify the Field Division Office of the Drug Enforcement Administration, in writing using DEA Form 106, of thefts and significant losses of Schedule III-V controlled substances within one business day of the discovery of the theft or loss.

 

The CSA provides for a civil penalty of up to $10,000 for each violation of the Act. This matter was investigated by Diversion Investigators with the Milwaukee Field Office of the United States Drug Enforcement Administration. Genco cooperated in the DEA’s investigation and has taken significant steps to prevent future violations of the CSA.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on August 9, 2017, Gregory J. Kuczora (age: 55) of Elgin, Illinois, was sentenced to 70 months in federal prison for wire fraud, in violation of Title 18, United States Code, Section 1343/

 

The Green Bay branch of the Federal Bureau of Investigation began looking into Kuczora’s activities after it learned that several residents of Marinette County had paid Kuczora approximately $100,000 in up-front fees in exchange for “guaranteed” business loans. To carry out his scheme, Kuczora set up a sham corporation known as “Kensington Capital Partners,” which Kuczora represented was based in London, England. In reality, Kensington Capitol Partners’ address in London was a rented mailbox that forwarded all correspondence to Kuczora at his Elgin, Illinois home. Kuczora also created a website for Kensington Capital Partners that made lofty claims that Kuczora had funded billions of dollars in loans in a dozen countries; the FBI investigation failed to locate a single successful loan involving Kuczora.

 

The FBI’s investigation revealed that Kuczora defrauded 68 individuals of approximately $1.2 million operating under the names “Kensington Capital Partners,” “KCS Financial,” and “Alliance Capital Banc.” Kuczora used the money to pay his family’s living expenses, including the purchase of new vehicles, horses, a lavish salary and bonuses. The investigations also revealed that Kuczora underpaid approximately $200,000 in federal income taxes during this time.

 

Chief Judge William C. Griesbach heard from numerous victims of Kuczora’s fraud. The victims detailed the effects of Kuczora’s crimes including several who lost their businesses or business opportunities, and one who ended up homeless. Judge Griesbach called Kuczora’s actions “severe” and noted that Kuczora’s expression of remorse was largely focused on himself. The judge found a strong need to protect the public from Kuczora and was convinced that without substantial punishment, the defendant would continue his illegal behavior. Ultimately, the judge rejected Kuczora’s request for probation, and instead declared it the exceptional case requiring incarceration beyond even established federal guidelines. The court also ordered 3 years of supervised release and ordered Kuczora to pay full restitution to his victims.

 

This case was investigated by the Federal Bureau of Investigation and the Marinette County Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Matthew D. Krueger and Daniel R. Humble.

 

 

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For further information contact:

Public Information Officer Dean Puschnig

(414) 297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on August 1, 2017, Lesley E. Anzures, (age: 35) of Sheboygan, was sentenced to two years in prison, followed by one year of supervised release. On January 17, 2017, Anzures pleaded guilty to assisting in the preparation and filing of a false federal income tax return, in violation of Title 26, United States Code, Section 7206(2). Anzures was also ordered to pay restitution of $496,533 to the Internal Revenue Service.

 

According to documents released in court, on or about April 15, 2011, Anzures, who operated Lesley’s Tax Service, electronically filed a tax return she prepared for a customer. The return listed six dependents and called for additional Child Tax Credit for those dependents. Under United States tax law, dependents can only be claimed if they live with the taxpayer. Five of the six dependents lived in Mexico.

 

This fraudulent return represented that the client was entitled under the provisions of the Internal Revenue laws to claim deductions in the total sum of $25,550, and claimed a refund of $3,772, whereas, as the defendant knew the total deductions the client was entitled to claim were in the total sum of $7,300 for exemptions, $1,000 for a child tax credit, and $400 for a making work pay credit, and so a correctly prepared return would have showed the client in fact, owed the United States Treasury the total sum of $1,156.

 

Other public court documents indicated that an IRS review of tax returns that Anzures prepared and filed for her customers for the years 2010 through 2013 claimed false tax funds of approximately $500,000.

 

United States Attorney Gregory J. Haanstad said, “This case shows that the IRS keeps a close watch on people who prepare taxes for a living, and that such tax preparers who commit fraud will be sent to prison.”

 

This case resulted from an investigation conducted by the Internal Revenue Service, Criminal Investigation. Assistant United States Attorney Stephen A. Ingraham prosecuted the case.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig (414) 297-1700

WASHINGTON – Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on July 11, 2017, following a two-year long investigation, a federal grand jury returned a six-count indictment against Marcus Hutchins, also known as “Malwaretech,” for his role in creating and distributing the Kronos banking Trojan. Hutchins, a citizen and resident of the United Kingdom, was arrested in the United States on August 2, 2017, in Las Vegas, Nevada.

 

In the indictment, Hutchins was charged with one count of conspiracy to commit computer fraud and abuse, three counts of distributing and advertising an electronic communication interception device, one count of endeavoring to intercept electronic communications, and one count of attempting to access a computer without authorization. The alleged conduct for which Hutchins was arrested occurred between in or around July 2014 and July 2015.

 

Publically available information for the Kronos banking Trojan indicates that it was first made available through certain internet forums in early 2014, and marketed and distributed through AlphaBay, a hidden service on the Tor network. On July 20, 2017, the Department of Justice announced that the Alphabay marketplace was shuttered through an international law enforcement effort led by the United States. See www.justice.gov/opa/pr/alphabay-largest-online-dark-market-shut-down

 

According to the indictment, the Kronos banking Trojan was designed to harvest and transfer the username and password associated with banking websites as they are entered on an infected computer to a control panel hosted on another computer inaccessible to the victim. According to publically available information, since it was created, Kronos has been configured to exfiltrate user credentials associated with banking systems located in Canada, Germany, Poland, France, and the United Kingdom, among others countries.

 

Kronos presents an ongoing threat to privacy and security, as the Kelihos botnet was observed loading Kronos on computers through email phishing campaign in late 2016. On April 10, 2017, the Department of Justice announced its efforts to dismantle the Kelihos botnet.

See www.justice.gov/opa/pr/russian-national-indicted-multiple-offenses-connection-kelihos-botnet and www.justice.gov/opa/press-release/file/956506/download

 

“Cybercrime remains a top priority for the FBI,” said Special Agent in Charge (SAC) Justin Tolomeo. “Cybercriminals cost our economy billions in loses each year. The FBI will continue to work with our partners, both domestic and international, to bring offenders to justice.”

 

This case was investigated by the Federal Bureau of Investigation Cyber Crime Task in Milwaukee. The case is being prosecuted by Assistant United States Attorneys Michael J. Chmelar and Benjamin W. Proctor.

 

The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

 

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For additional information contact:

Public Information Officer Dean Puschnig at 414 297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced today that the United States has settled two claims that Aurora Health Care, Inc. (“Aurora”) discriminated against patients with human immunodeficiency virus (“HIV”) in violation of the Americans with Disabilities Act (“ADA”). Aurora operates a health care system that includes 15 hospitals, more than 150 medical clinics, an extensive laboratory system, and 70 pharmacies throughout eastern Wisconsin and northern Illinois.

 

Title III of the ADA prohibits public accommodations, such as healthcare providers, from discriminating against people with disabilities, including HIV. The Government’s determination of the facts pertaining to both complaints are set forth in the attached Settlement Agreement.

 

Under the settlement agreement, Aurora will pay $30,000 to Complainant No. 1 and $15,000 to the spouse of Complainant No. 2. Aurora will also pay a civil penalty to the United States in the amount of $15,000. In addition, Aurora has reviewed and revised, as appropriate, its existing non-discrimination and infection disease policies (including those found on its main webpage). Aurora has conducted and will conduct additional training on the ADA, and report to the Government any alleged violations of the ADA along with a complete copy of Aurora’s response to the complaint.

 

For more information on the ADA, HIV discrimination, and this settlement, visit www.ada.gov/aids. Those interested in finding out more about the obligations of healthcare providers under the ADA may call the Justice Department’s toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD), or access its ADA website at www.ada.gov. ADA complaints may be filed by email to ada.complaint@usdoj.gov.

 

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United States Attorney Gregory J. Haanstad has announced that yesterday, a federal jury found Broderick A. Moore (age 24) of Milwaukee guilty of motor vehicle robbery (carjacking) and brandishing a firearm during a crime of violence.

 

The evidence presented at trial showed that on July 16, 2015, at about 10:20 a.m., Mr. Moore carjacked a 73 year-old woman, across the street from Wick Field, in Milwaukee. The evidence established that Mr. Moore pointed a loaded gun at the victim’s head, threatened to shoot her, and demanded the keys to her Toyota Avalon. Mr. Moore’s co-defendant, Robert Ellis, orchestrated the sale of the car immediately after the carjacking. Robert Ellis and co-defendant Sean Harvey then drove to the victim’s home and stole her Honda Accord.

 

At trial, Mr. Moore chose to testify in his own defense and claimed that although he was a drug dealer, he was not involved in the carjacking. The jury rejected Mr. Moore’s claim.

 

Sentencing for Mr. Moore has been scheduled for November 30, 2017, before United States District Judge Pamela Pepper. At sentencing, Mr. Moore faces a maximum of 15 years in prison for the motor vehicle robbery and an additional mandatory minimum sentence of seven years and up to life in prison for brandishing the firearm during the robbery. The sentence for brandishing the firearm must run consecutive to the sentence for the underlying robbery.

 

Mr. Moore’s co-defendants, Sean Harvey and Robert Ellis, have pled guilty to the motor vehicle robbery and brandishing a firearm during that robbery and are awaiting sentencing.

 

This case was investigated by the FBI’s Milwaukee Area Violent Crimes Task Force and the Milwaukee Police Department. The case was prosecuted by Assistant United States Attorneys Margaret B. Honrath and Laura S. Kwaterski.

 

 

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on July 18, 2017, a federal grand jury returned an eight-count indictment against Levester R. Brown (age: 33) of Milwaukee, Christopher L. Maccani (age: 37) of Green Bay, Jimmy L. Desotell (age: 25) of Green Bay, Christopher A. Champine (age: 35) of Green Bay, Umero V. Saldana, Jr. (age: 39) of Green Bay, Ryan L. Pieper (age: 33) of De Pere, and Joshua D. Sepulveda (age: 34) of Denmark. The indictment alleges that Brown, Maccani, Desotell, Champine, Saldana Jr., and Pieper were involved in a conspiracy to distribute 500 grams or more of methamphetamine in violation of Title 21, United States Code, Section 846 and, further, charging Maccani, Desotell, Champine, and Saldana Jr. with possession of a firearm in furtherance of a drug trafficking crime contrary to Title 18 United States Code, Section 924(c).

 

Champine and Sepulveda are also charged with kidnapping pursuant to Title 18, United States Code, Section 1201(a). It is alleged that Champine and Sepulveda “did unlawfully and willfully seize, confine, inveigle, kidnap, abduct, and hold for retaliation” an unnamed individual. The indictment further charges Champine and Sepulveda with brandishing a firearm during the kidnapping.

 

Brown and Pieper face a mandatory 10-year prison sentence up to lifetime of imprisonment, a $10 million fine, and between 5 years and a lifetime of supervised release. Maccani, Desotell, and Saldana Jr. face a mandatory 15 years of imprisonment up to a lifetime of imprisonment, over $10 million in fines, and between 5 years and a lifetime on supervision. Sepulveda faces a mandatory 7 years imprisonment up to a lifetime of imprisonment, a $250,000 fine, and up to 5 years on supervised release. Finally, if convicted on all counts, Champine faces a mandatory 42 years imprisonment up to a lifetime of imprisonment, over $10 million in fines, and between 5 years and a lifetime on supervised release.

 

The case was investigated by the Brown County Drug Task Force, the North Central High Intensity Drug Trafficking Area (HIDTA) Task Force, the Phoenix, AZ, branch of the U.S. Postal Inspection Service, the Maricopa County Sheriff’s Office, the Scottsdale Police Department, and the Phoenix and Green Bay Divisions of the U.S. Drug Enforcement Administration (DEA). The case is being prosecuted by Assistant United States Attorney Daniel R. Humble.

 

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.

 

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on July 18, 2017, William Wilber IV (age: 35) of Shawano, Wisconsin, was sentenced to two concurrent terms of 10 years of imprisonment, followed by a 10-year term of supervised release. The sentence was the result of guilty pleas by Wilber on April 6, 2017 to two counts of Sexual Abuse of a Minor Under the Age of 16.

 

The investigation revealed that in May 2015, Wilber, engaged in a sex act with a then-13-year old girl at a location outside Keshena near Legend Lake on the Menominee Indian Reservation. Further investigation revealed that on or about July 4, 2016, Wilber engaged in a sex act with a then-14-year old girl near the same location. Law enforcement officials interviewed Wilber, who admitted sexually assaulting the victims. Additional investigation and interviews revealed several other occasions where Wilber took sexually inappropriate actions toward underage girls.

 

In sentencing Wilber, Chief United States District Judge William C. Griesbach pointed out the history of similar conduct by the defendant “preying” on underage girls. Chief Judge Griesbach referred to the defendant’s use of alcohol as a tool to overcome the resistance of the juvenile victims, and as a method by which the defendant rationalized his behavior. Chief Judge Griesbach noted the impact the defendant’s actions had on the victims, as well as a juvenile relative of the defendant who was present during some of the assaults.

 

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

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Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 30, 2017, a jury found Trulunda Stenson (age: 35) of Milwaukee, Wisconsin, guilty following a trial before United States District Judge Pamela Pepper in federal court in Milwaukee, Wisconsin. The jury convicted Stenson on each of the following 34 counts charged in the indictment: (1) ten counts of filing false tax refund claims, in violation of Title 18, United States Code, Section 287; (2) eleven counts of wire fraud, in violation of Title 18, United States Code, Section 1343, and (3) eleven counts of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A.

 

As proven at trial, beginning in January 2011, Stenson pursued a scheme to file false income tax returns that claimed refund payments from the Internal Revenue Service (IRS). Stenson and others gathered individuals’ social security numbers and other personal information. Stenson then prepared federal income tax returns that fraudulently claimed wages and federal tax-withholding amounts from several employers, even though in many cases, those employers had not actually paid wages or withheld taxes for the individuals. Stenson submitted the returns electronically to the IRS, signing the returns for individuals, many of whom she had never met. Stenson filed over 80 fraudulent tax returns seeking more than $300,000 in tax refund payments. In addition, the jury also found Stenson guilty of filing fraudulent 2011 and 2012 income tax returns in her own name.

 

As a result of these convictions, Stenson faces a mandatory minimum penalty of two years in prison, with the maximum potential penalty of twenty years in prison, a maximum fine of $250,000, and three years of supervised release. A sentencing date has not been set.

 

This case resulted from an investigation conducted by the Internal Revenue Service, Criminal Investigation. The case was prosecuted by Assistant United States Attorneys Matthew Jacobs and Matthew Krueger.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 9, 2017, Paula Forbes (age: 49) of Milwaukee, Wisconsin, was sentenced to 24 months in federal prison followed by three years of supervised release and ordered to pay $143,016 in restitution for income tax fraud. Specifically Forbes conspired to defraud the United States by filing false tax refund claims, in violation of Title 18, United States Code, Section 286, and also of filing false tax refund claims, in violation of Title 18, United States Code, Section 287. Forbes was convicted at a jury trial on February 3, 2017.

 

As proven at trial, beginning in January 2012, Forbes engaged in a scheme with others to file false income tax returns that claimed refund payments from the Internal Revenue Service (IRS). Forbes and her coconspirators gathered individuals’ social security numbers and other personal information. Forbes then prepared federal income tax returns that fraudulently claimed wages and federal tax-withholding amounts from several employers, including Wisconsin Mortgage & Real Estate Resources and Midwest Accounting Tax Services, even though those employers had not actually paid wages or withheld taxes for the individuals. Forbes submitted the returns electronically to the IRS, signing the returns for individuals, many of whom she had never met. Forbes filed at least 35 fraudulent tax returns seeking more than $200,000 in tax refund payments. Forbes and her

coconspirators shared in the proceeds of the fraudulently obtained tax refunds.

 

This case resulted from an investigation conducted by the Internal Revenue Service, Criminal Investigation. Assistant United States Attorneys Matthew Jacobs and Matthew Krueger prosecuted the case.

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

United States Attorney Gregory J. Haanstad of the Eastern District of Wisconsin announced that on May 23, 2017, a federal grand jury returned a five-count Superseding Indictment against Lee Hueckstaedt (age: 31) of Rhinelander containing charges related to distributing Oxycodone. On June 6, 2017, a federal grand jury returned a nine-count, Second Superseding Indictment that contained Oxycodone-related charges against seven individuals including Lance Bruette (age: 34) of Minocqua, Orvin Kay (age: 57) of Milwaukee, Frank Lawrence (age: 38) of Saint Germain, Mitchell Plantikow (age: 29) of Woodruff, Troy Plantikow (age: 52) of Woodruff and Lacey Stanick (age: 31) of Woodruff, and Serena Johnson (age: 34) of Lac Du Flambeau.

 

The Superseding Indictment against Lee Hueckstaedt added a charge of Conspiracy to Distribute Oxycodone in violation of 21 United States Code Section 846. It also added a charge of Possession of a Firearm in Furtherance of a Drug Trafficking Crime in violation of 18 United States Code 924(c). The nine-count, Second Superseding Indictment against the seven individuals only added one new charge against Lance Bruette for Possession of a Firearm in Furtherance of a Drug Trafficking Crime in violation of 18 United States Code 924(c). A conviction of 18 United States Code 924(c) carries a five-year mandatory minimum sentence.

 

According to the Criminal Complaint filed against Orvin Kay, certain members of the conspiracy who resided in Northern Wisconsin would drive to Milwaukee and pick up hundreds of Oxycodone 30 mg pills per week from Orvin Kay. They would then distribute those Oxycodone pills to individual users, as well as co-conspirators who would sell the pills to other individuals. The maximum penalty for all of the charges except for the violation of 18 United States Code 924(c) is 20 years in prison and a $1,000,000 fine. The maximum penalty for a violation of 18 United States Code 924(c) is life in prison and a $250,000 fine.

 

The following agencies are participating in the investigation: the Oneida County Sheriff’s Office; the Vilas County Sheriff’s Office; the Wisconsin Department of Justice - Division of Criminal Investigation; the Drug Enforcement Administration – Milwaukee (Tactical Diversion Squad); the Minocqua Police Department and the Rhinelander Police Department; and the Northcentral Drug Enforcement Group (“NORDEG”). The case is being prosecuted by Assistant United States Attorney Zachary J. Corey.

 

An indictment and a criminal complaint 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.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 8, 2017, Javier Zarate-Flores (age 29), of Milwaukee, Wisconsin, was sentenced in federal court to 28 months in prison. The sentence follows his guilty plea to theft of government money, in violation of Title 18, United States Code, Section 641. Mr. Zarate-Flores was also ordered to pay $1,201,935.00 in restitution to the Internal Revenue Service. Zarate-Flores additionally agreed to be voluntarily deported from the United States and return to Mexico due to his lack of legal status in the United States.

 

According to the plea agreement, Zarate-Flores fraudulently obtained Individual Tax Identification Numbers (ITINs) from the IRS. An ITIN is what the IRS issues to individuals who cannot, due to their immigration status, obtain a Social Security number. Individuals who obtain an ITIN use it to file their income tax returns. To obtain an ITIN, an applicant has to provide the IRS certain personal identifying documents. Zarate-Flores obtained personal identifying documents from citizens of Mexico, fraudulently applied for ITINs in their names, and then filed fraudulent tax returns using the ITINs he obtained.

 

In the fraudulent tax returns that he filed, Zarate-Flores claimed the Additional Child Tax Credit (ACTC). The ACTC reduces tax liability dollar for dollar, and the unused portion of a refundable credit is still payable to the taxpayer. So, when an individual has no income tax liability, a person may still file a tax return and receive a refund for the ACTC. Zarate-Flores falsely claimed dependents in the tax returns that he filed to receive the ACTC.

 

From February 2013 through June 2014, Zarate-Flores received $1,201,935.00 in U.S. Treasury refund checks from his scheme. When handing down the sentence, United States District Judge J.P. Stadtmueller said that his sentence must “send a message” to others that tax fraud offenses are serious crimes that require significant sentences.

 

This case was investigated by IRS Criminal Investigation. The case was prosecuted by Assistant United States Attorney Keith S. Alexander

 

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For further information contact:

Public Information Officer Dean Puschnig at (414) 297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 6, 2017, a federal grand jury returned a two-count indictment against a woman allegedly involved in drug trafficking and firearms offenses on the Menominee Indian Reservation. The indictment named Sheila R. Madosh (age: 52) of Neopit, which is located on the Menominee Indian Reservation. Count One of the indictment charges Madosh with Possession with Intent to Distribute a Schedule I Controlled Substance in violation of 21 United States Code, Section 841. Count Two charged Madosh with Possession of a Firearm in Furtherance of a Drug Trafficking Offense in violation of 18 United States Code, Section 924(c). On Count One, Madosh faces a maximum sentence of up to 20 years’ imprisonment, up to a $1,000,000 fine, and between 3 years and a lifetime of supervised release. On Count Two, Madosh faces a mandatory 5-year consecutive sentence and up to life in prison.

 

According to the indictment, on April 21, 2017, investigators discovered 298 grams of a substance containing a Schedule I analogue called FUB-AMB, which is a synthetic cannabinoid known locally as “Ish.” Investigators seized the synthetic drugs, along with a 9mm semiautomatic handgun, during the execution of a search warrant at Madosh’s Neopit residence.

 

The Menominee Tribal Police Department, Wisconsin Department of Justice – Division of Criminal Investigation (Native American Drug and Gang Initiative), Wisconsin State Crime Laboratory, and Federal Bureau of Investigation investigated the case. The case is being 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 guilt beyond a reasonable doubt.

 

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For additional information contact:

Public Information Officer Dean Puschnig at 414 297-1700

 

 

Gregory J. Haanstad, U.S. Attorney for the Eastern District of Wisconsin, announced that on June 6, 2017, a federal grand jury returned a two-count indictment against a man allegedly involved in an assault and firearms offense on the Menominee Indian Reservation. The indictment named Dillon J. Peters, Sr. (age: 30) of Neopit, which is located on the Menominee Indian Reservation. Count One of the indictment charges Peters with Assault with a Dangerous Weapon in violation of 18 United States Code, Section 113(a)(3). Count Two charged Peters with Use of a Firearm in Furtherance of a Violent Crime in violation of 18 United States Code, Section 924(c). On Count One, Peters faces a maximum of 10 years’ imprisonment, up to a $250,000 fine, and up to 3 years of supervised release. On Count Two, Peters faces a mandatory 10-year consecutive sentence and up to life in prison.

 

According to the indictment, between about May 5 and May 7, 2017, Peters discharged a firearm in furtherance of an assault committed against another person. The incident occurred at Peters’ residence in Neopit.

 

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case. The case is being 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 guilt beyond a reasonable doubt.

 

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For additional information contact:

Public Information Officer Dean Puschnig at 414 297-1700

 

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 6, 2017, a federal grand jury returned a two-count indictment against a man and woman allegedly involved in drug trafficking and firearms offenses on the Menominee Indian Reservation. The indictment named Leroy F. Sanapaw, Sr. (age: 42), and Kerry L. Nacotee (age: 42) of Keshena, which is located on the Menominee Indian Reservation. Count One charges Sanapaw with Possession with Intent to Deliver Marijuana in violation of 21 United States Code, Section 841(a)(1). Count Two charges Sanapaw and Nacotee with Felon in Possession of a Firearm in violation of Title 18, United States Code, Section 922(g). On Count One, Sanapaw faces a maximum of 20 years’ imprisonment, up to a $1 million fine, and from 3 years to a lifetime of supervised release. On Count Two, Sanapaw and Nacotee each face a maximum of 10 years’ imprisonment, up to a $250,000 fine, and up to 3 years of supervised release.

 

According to the indictment, on May 8, 2014, investigators discovered over 250 grams of marijuana and five rifles of various calibers during the execution of a search warrant at the couple’s Keshena residence. Both Sanapaw and Nacotee are prohibited from possessing firearms.

 

The Menominee Tribal Police Department, Wisconsin Department of Justice – Division of Criminal Investigation (Native American Drug and Gang Initiative), and Federal Bureau of Investigation investigated the case. The case is being 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.

 

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For additional information contact:

Public Information Officer Dean Puschnig at 414 297-1700

 

Gregory J. Haanstad, U.S. Attorney for the Eastern District of Wisconsin, announced that on June 6, 2017, a federal grand jury returned a one-count indictment against a man allegedly involved in a sexual assault on the Menominee Indian Reservation. The indictment named Justin A. Schneider (age: 18) of Keshena, which is located on the Menominee Indian Reservation. The indictment charges Schneider with Aggravated Sexual Abuse in violation of 18 United States Code, Section 2241(a)(1). Schneider faces a maximum sentence of life in prison, up to a $250,000 fine, and between 5 years and a lifetime of Supervised Release.

 

According to the indictment, on May 15, 2017, while at the defendant’s Keshena residence, the defendant engaged in a sexual act with an adult female by the use of force. According to the indictment, the defendant held down the victim’s arms and placed his hand on her chest during the sex act.

 

The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case. The case is being 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 guilt beyond a reasonable doubt.

 

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For additional information contact:

Public Information Officer Dean Puschnig at 414 297-1700

 

 

 

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on May 22, 2017, Joseph Komanekin, Jr. (age: 33) of Neopit, Wisconsin was sentenced by Chief United States District Judge William C. Griesbach to 2 years in prison and 3 years of supervised release after convictions for drug trafficking and a firearms offense on the Menominee Indian Reservation. The sentence was the result of guilty pleas in March 2017.

 

The investigation revealed that Komanekin possessed with the intent to distribute 38 grams of a synthetic drug called FUB-AMB, which is an analogue of a Schedule I controlled substance referred to locally as “Ish.” In February 2016, Komanekin’s residence was searched pursuant to a tribal search warrant, and further evidence of distribution was recovered from the home. Tribal police also seized a short-barreled shotgun from an area in the basement near where the synthetic drugs and other contraband were found.

 

In sentencing Komanekin, Chief Judge Griesbach noted the serious nature of the offense, which involved the sale of a substance that is causing great harm to the Menominee Indian community.

 

The case was investigated by the Menominee Tribal Police Department, the Wisconsin Department of Justice – Division of Criminal Investigation (Native American Drug and Gang Initiative), Wisconsin State Crime Laboratory, and the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorney Andrew J. Maier.

 

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on May 22, 2017, Jeffrey Matchopatow (age: 32) of Keshena, Wisconsin was sentenced by Chief United States District Judge William C. Griesbach to 26 months in prison and 3 years of supervised release. In March, Matchopatow pled guilty to assault resulting in serious bodily injury.

 

The investigation revealed that On September 11, 2016, Matchopatow assaulted a woman at a residence in Keshena on the Menominee Indian Reservation. As a result of Mathopatow’s actions, the woman sustained a fractured jaw and other facial injuries.

 

In sentencing Matchopatow, Chief Judge Griesbach noted the serious nature of the offense, noting the serious injuries sustained by the victim. The court also referred to Matchopatow’s prior tribal convictions for violent offenses involving multiple victims.

 

The case was investigated by the Menominee Tribal Police Department, Menominee County Sheriff’s Office, and the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorney Andrew J. Maier.

 

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, the United States Attorney for the Eastern District of Wisconsin, announced that on May 12, 2017 Lynette Lomibao (age:46) of Sheboygan pleaded guilty to a two-count information charging her with making a false statement on Internal Revenue Service (IRS) Form 1040 in violation of Title 26, United States Code, Section 7206(1) and wire fraud in violation of Title 18, United States Code, Section 1343.

 

According to information in the plea agreement, Lomibao was employed by Beaudry Electric Motors (BEM), in Sheboygan, Wisconsin. In connection with her employment as office manager, Lomibao used her position to embezzle $431,690 in company funds. Lomibao then under-reported her income to the IRS.

 

As part of the plea agreement, Lomibao agreed to pay restitution of $431,690 for embezzled funds and $127,222 in back taxes to the IRS. She faces up to twenty-three years’ imprisonment and a $250,000 fine. Lomibao’s sentencing is scheduled for August 2017.

 

This case was investigated by IRS Criminal Investigation. The case is being prosecuted by Assistant United States Attorney Christopher Ladwig.

 

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For further information contact:

Public Information Officer Dean Puschnig at (414) 297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on April 27, 2017, Jeffrey Lewke (age: 39) was sentenced to six months in federal prison for a violation of Title 18, United States Code, Section 1001, making a false statement within the jurisdiction of the executive branch of the United States. In addition to the prison term, Lewke was ordered to serve an additional 6 months of home confinement, pay a $2,000 fine, and pay $23,799.44 in restitution to the United States Department of Agriculture (USDA).

 

The USDA, through the Federal Crop Insurance Corporation (FCIC), provides insurance to farmers for unavoidable crop losses. The FCIC provides insurance by reinsuring private crop insurance companies for losses claimed by their policy holders.

 

Pursuant to the terms of a plea agreement, Lewke acknowledged that during the 2011 crop season, he falsely represented that he irrigated 120 acres of land in Waushara County more times than he actually did. By doing so, he attempted to fraudulently obtain a nearly $63,000 insurance claim. In total, Lewke acknowledged that he submitted $246,606.53 worth of fraudulent insurance claims during the 2011 crop season.

 

Moreover, Lewke acknowledged that he attempted to fraudulently obtain additional monies through other false crop insurance claims in 2011. For instance, Lewke falsely claimed that he was prevented from planting a number of properties due to excessive moisture, when in fact, he never attempted to plant some of those properties, some of those properties were already planted with corn, and in one instance, the property was actually a horse pasture. In addition, Lewke fraudulently “shifted” his production by claiming that he produced corn in Dodge County, when in fact he produced the corn in Clark County. By so doing, he falsely claimed that he was entitled to another $70,000 of insurance payments for a loss in Clark County.

 

At Lewke’s sentencing hearing, District Judge Pamela Pepper described the federal crop insurance program at as a “safety net” for farmers in need, from which Lewke stole while he was enjoying the financial success of farming over 12,000 acres in Wisconsin during the 2011 crop season.

 

This case was investigated by the United States Department of Agriculture - Office of Inspector General. The case was prosecuted by Assistant United States Attorney Keith S. Alexander

 

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For additional Information contact:

Public Information Officer Dean Puschnig at (414) 297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on April 19, 2017, James E. Podolske Jr. (age: 59) of Panama City, Florida, was sentenced to 14 months in federal prison and ordered to pay a $5,000 fine for violations of Title 18 United States Code 1343, wire fraud, and the Procurement Integrity Act contrary to Title 41 United States Code, Section 2102(a). In addition to the prison term and fine, Podolske was ordered to pay almost $50,000 in restitution to the charities from whom he stole.

 

Pursuant to the terms of a plea agreement, Podolske Jr. acknowledged that while an official with the U.S. Air Force, he knowingly disclosed defense department contract bid information to give a competitive advantage to a corporate defense contractor.

 

Podolske Jr. further acknowledged that between 2009 and 2013, he used his position as Chief of Air Force Fire Services to defraud approximately 25 business entities or individuals out of tens of thousands of dollars per year intended for charity. Podolske Jr. organized an awards banquet and “charity” golf outing to coincide with a conference sponsored by the International Association of Fire Chiefs. Podolske Jr. admitted that he actively solicited donations for his golf outing from contractors and subcontractors who sought to do business with the Air Force and Department of Defense, including several in the Eastern District of Wisconsin. Some of the donations were forwarded to charities as intended, many donations, however, were deposited in Podolske Jr.’s personal bank account. He acknowledged using these charitable donations for his personal expenses, including to pay off credit card debt, pay for vacations, and for gambling at Gulf Shore casinos.

 

Chief District Judge William C. Griesbach described Podolske’s crimes as “as a very serious breach” of the public trust placed in Podolske as the Air Force Fire Chief and as a government employee. He noted, however, that no one but Podolske was responsible for his “tragic downfall.” Judge Griesbach questioned why a high-level civilian employee in the federal government who was well compensated felt the need to steal from the charities over so many years.

 

This case was investigated by the U.S. Air Force Office of Special Investigations, the Federal Bureau of Investigation, the Defense Criminal Investigation Service, and the Naval Criminal Investigation Service. The case was prosecuted by Assistant United States Attorney Daniel R. Humble.

 

 

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For further information contact:

Public Information Officer Dean Puschnig (414) 297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on April 17, 2017, Travis M. Kamps (age: 25) of Seymour, Wisconsin, was sentenced by Chief District Judge William C. Griesbach to 5 years in federal prison for receipt of child pornography in violation of Title 18 United States Code Section 2252A(a)(2). Upon his release the defendant will be on federal supervised release for 5 years and will have to register as a sex offender in the jurisdiction in which he resides.

 

Kamps used his cellular telephone and social media platforms to exchange texts, instant messages, and sexually explicit images with several underage girls throughout the United States. Ultimately, he pled guilty and was convicted of requesting and receiving five sexually explicit videos from a 16-year-old victim located in Illinois.

 

In pronouncing sentence, Chief Judge Griesbach expressed skepticism that Kamps, and others who have committed similar crimes, would have ever have engaged in such highly sexualized conversations or requested sexually explicit photos and videos face-to-face with their victims, but rather relied on the anonymity that the internet and social media provide. He further pointed to the need to send a strong message of deterrence to Kamps and others, to discourage similar behavior in the future.

 

The case was investigated by the Seymour Police Department, the Wisconsin Internet Crimes Against Children (ICAC) Task Force, and the Federal Bureau of Investigation. The case 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.

 

 

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Gregory J. Haanstad, the United States Attorney for the Eastern District of Wisconsin, announced that on Friday, April 14, 2017, Gerald W. Neigelsen (age: 73) of East Troy, Wiscosnin pleaded guilty to a one-count information charging him with making a false statement on Internal Revenue Service Form 1040. As part of the plea agreement, Niegelsen agreed to pay restitution of $457,269 in back taxes to the Internal Revenue Service (IRS). He faces up to three years’ imprisonment, a $100,000 fine, one year of supervised release, and a $100 special assessment. Niegelsen’s sentencing is scheduled for July 6, 2017.

 

The IRS investigation revealed that Niegelsen willfully filed false Individual Income Tax Returns in 2009, 2010, 2011, and 2012. Niegelsen was the owner-operator of a business offering pier installation, removal and storage services as well as snow removal for clients in Wisconsin and Illinois. Niegelsen concealed significant unreported gross receipts in connection with the operation of the business. From 2009 through 2012, Niegelsen conducted numerous transactions in which he cashed over 3,000 checks. The checks included $1,990,931 of unreported business receipts written to “G.W. Niegelsen” that were converted into cash instead of being deposited into the business account.

 

This case was investigated by IRS Criminal Investigation. The case is prosecuted by Assistant United States Attorney Bridget J. Domaszek.

 

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United States Attorney Gregory J. Haanstad for the Eastern District of Wisconsin announced that on April 4, 2017, a federal grand jury returned an eight-count superseding indictment against seven individuals involved in distributing Oxycodone. The original indictment named Lance Bruette (age: 34) of Minocqua, Orvin Kay (age: 57) of Milwaukee, Frank Lawrence (age: 38) of Saint Germain, Mitchell Plantikow (age: 29) of Woodruff, Troy Plantikow (age: 52) of Woodruff and Lacey Stanick (age: 31) of Woodruff, Wisconsin) as the defendants.

 

The superseding indictment includes Serena Johnson (age: 34) of Lac Du Flambeau as a co-conspirator. Count one of the superseding indictment, charges all seven defendants with conspiracy to distribute oxycodone in violation of Title 21 United States Code Section 846. The other seven counts of the indictment were not changed.

 

According to the criminal complaint filed against Orvin Kay, certain members of the conspiracy who resided in Northern Wisconsin would drive to Milwaukee and pick up hundreds of oxycodone 30 mg pills per week from Orvin Kay. They would then distribute those oxycodone pills to individual users, as well as co-conspirators who would sell the pills to other individuals. The maximum penalty for all of the charges is 20 years in prison and a $1,000,000 fine.

 

The following agencies are participating in the investigation: the Oneida County Sheriff’s Office; the Vilas County Sheriff’s Office; the Wisconsin Department of Justice - Division of Criminal Investigation; the Drug Enforcement Administration – Milwaukee (Tactical Diversion Squad); the Minocqua Police Department and the Rhinelander Police Department. The case is being prosecuted by Assistant United States Attorneys Zachary J. Corey and Benjamin Wesson.

 

An indictment and a criminal complaint 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.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that three individuals were recently sentenced after convictions for drug trafficking on the Mole Lake Indian Reservation in Forest County. The sentences were the result of guilty pleas by all three individuals in December 2016.

 

The three individuals received the following sentences from Chief United States District Judge William C. Griesbach:

 

• Anthony Quintana (age: 43), of Weston: 10 years in prison, 10 years of supervised release;

• Karen Quintana (age: 39), of Weston: 2 years in prison, 5 years of supervised release; and

• Diana Alvarado (age: 40), of Mole Lake: 30 months in prison, 5 years of supervised release.

 

The investigation revealed that the three defendants conspired amongst themselves and with others, and distributed more than 150 grams of methamphetamine in the Mole Lake area. The group also distributed in excess of 100 illegally obtained oxycodone pills. On four separate occasions between November 2015 and January 2016, Anthony Quintana and Diana Alvarado distributed at least an ounce of methamphetamine to others, with one delivery in excess of 2 ounces. Karen Quintana participated in two of the deliveries and arranged other deliveries of methamphetamine. The deliveries occurred in Alvarado’s apartment on the Mole Lake Indian Reservation, with her young daughter present at the time of multiple deliveries.

 

In sentencing Anthony Quintana, Chief Judge Griesbach noted the serious nature of the offense, referring to Quintana’s prior convictions for drug dealing, and stated that the defendant was “unwilling, uninterested or unable” to stop selling drugs despite the prior convictions. In sentencing Karen Quintana, Chief Judge Griesbach discussed the impact of methamphetamine dealing, saying the defendant was part of a group that “destroys the fabric of communities.” In sentencing Alvarado, Chief Judge Griesbach reiterated the seriousness of the offense, and pointed out Alvarado’s elevated role in helping sell “poison” in the community, and greater involvement in the criminal activity.

 

The case was investigated by the Forest County Sheriff’s Department, the Wisconsin Department of Justice – Division of Criminal Investigation (Native American Drug and Gang Initiative), Wisconsin State Crime Laboratory, and the United States Bureau of Indian Affairs. It was prosecuted by Assistant United States Attorney Andrew J. Maier.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on March 14, 2017, Billie Jo Bottine (age 39) of Neenah, Wisconsin, was sentenced in Federal Court in Green Bay to 4 years in prison to be followed by 3 years on supervised release. The sentence follows her guilty plea to charges of filing numerous false federal income tax returns using other peoples’ identities, in violation of Title 18, United States Code, Sections 287, 1028A, and 1343. Ms. Bottine was also ordered to pay $186,414 in restitution to the Internal Revenue Service.

 

According to the plea agreement and other court documents, Bottine filed more than 70 false federal income tax returns in the names of 32 different people between 2009 and 2014. To prepare these false returns, Bottine unlawfully used the names, dates of birth, and social security numbers of various individuals and children. She created fake W2 forms and fake Schedule C forms that she attached to the filings in an effort to obtain fraudulent tax refunds. In all, Bottine sought more than $340,000 in tax refunds from the IRS through these false federal income tax return filings.

 

While handing down the sentence, Chief United States District Judge William C. Griesbach noted the extended period over which the scheme occurred, the fact that Bottine stole the identities of several individuals, the large dollar amount of the fraud, and Bottine’s history of fraudulent conduct. Judge Griesbach stated that these types of tax fraud offenses are very serious crimes that call for significant sentences.

 

This case was investigated by IRS Criminal Investigation. The case was prosecuted by Assistant United States Attorney Benjamin W. Proctor.

 

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For further information contact:

Public Information Officer Dean Puschnig at (414) 297-1700

United States Attorney Gregory J. Haanstad of the Eastern District of Wisconsin announced that on March 7, 2017, a federal grand jury returned an indictment against Grede, LLC, and Grede II, LLC (also known as Grede Wisconsin Subsidiaries, LLC), the corporate owners and operators of the former Grede Foundry in Berlin, Wisconsin. Also charged were Peter J. Mark (age: 53) of Ixonia, Wisconsin, the corporate safety and environmental director; and Steven G. O’Connell (age: 51) and Christy L. McNamee (age: 40), both of Zanesville, Ohio, who were formerly employed at the now shuttered facility.

 

The seven-count indictment alleges charges of conspiracy, obstruction of a federal investigation, the making of false statements, violations of the federal Clean Air Act and negligent endangerment.

 

According to the indictment, in January of 2012, workers at the foundry were ordered to assist in the refurbishment of a heat-treat oven which contained dangerous amounts of chrysotile asbestos. Proper asbestos abatement procedures were not implemented by the corporation or its managers. Workers were provided with inadequate safety equipment and were not told that the material they were removing contained asbestos. This contaminated material was then hauled away to a landfill by unsuspecting trash collectors.

 

The indictment further alleges that Mark, O’Connell, McNamee, and the corporate defendants conspired to obstruct state and federal investigators during subsequent inquiries into the presence of asbestos during the refurbishment of the oven.

 

If convicted of these offenses, Mark, O’Connell, and McNamee face maximum penalties ranging from 11 to 41 years imprisonment and hundreds of thousands of dollars in fines. The corporate defendants face millions of dollars in criminal penalties.

 

This case was investigated by the U.S. Environmental Protection Agency’s Criminal Investigation Division, the U.S. Department of Labor’s Office of Inspector General, and the Wisconsin Department of Natural Resources, Warden’s Service.

 

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.

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, the United States Attorney for the Eastern District of Wisconsin, announced that Robert F. Spoerl (age 69), a resident of Campbellsport, Wisconsin, was charged in a 28-count indictment. The indictment charges Spoerl, who operated a tax return preparation business in Kewaskum, Wisconsin, under the name J&R Tax Service, with 10 counts of assisting in the filing of false federal income tax returns, 16 counts of theft of money from the United States by filing false claims for tax refunds, and two counts of aggravated identity theft.

Spoerl is alleged to have used clients’ personal information to file false tax returns with the IRS. To conceal his fraud, Spoerl provided his clients, who were unaware of Spoerl’s fraud, with an accurate copy of their tax return, which Spoerl did not file. The tax returns Spoerl did file fraudulently inflated the tax refunds claimed by the taxpayers by adding false claims for tax credits, deductions, and dependents. Spoerl then diverted the fraudulent portion of the refund to himself and paid the legitimate portion of the refund to his clients. The indictment alleges that during the years 2011- 2015, Spoerl filed more than 100 false tax returns seeking more than $150,000 in federal tax returns.

If convicted on all counts, Spoerl faces a minimum of two years in prison, up to three years in prison on each of the false tax return charges, and up to ten years in prison on each of the theft of government property charges, plus a fine of up to $250,000. Spoerl is scheduled to be arraigned in federal court in Milwaukee on March 15, 2017.

 

This matter was investigated by special agents with the Internal Revenue Service-Criminal Investigation. The case has been assigned to Assistant United States Attorney Matthew L. Jacobs for prosecution.

 

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 Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on March 6, 2017, Thomas C. Balsiger (age: 63) of El Paso, Texas, was sentenced in Federal Court in Milwaukee to 10 years in prison to be followed by 3 years’ supervised release. Mr. Balsiger also was ordered to pay over $65 million in restitution.

 

In December 2016, following a month-long trial, Mr. Balsiger, the former CEO of the nation’s largest coupon clearinghouse (International Outsourcing Services), was found guilty of 10 counts of wire fraud, one count of wire fraud conspiracy, and one count of conspiring to obstruct justice.

 

During the sentencing hearing, Senior United States District Court Judge Charles N. Clevert remarked that in his 20 years as a judge he had never seen a more sophisticated fraud scheme as the one designed and executed by Mr. Balsiger. Judge Clevert referred to Mr. Balsiger as a “chameleon” and a “Dr. Jekyll and Mr. Hyde,” who could be positively involved in his community while orchestrating a wide-ranging fraud scheme and directing a relentless effort to obstruct justice. During the sentencing hearing, Judge Clevert noted and adopted factual findings in the pre-sentence report establishing that Mr. Balsiger: (1) provided and directed others to provide false information to law enforcement and grand jury subpoena recipients, (2) coached witnesses to lie, (3) sought to intimidate and prevent witnesses from communicating with law enforcement – including dispatching a private investigator to “menace” a witness, (4) falsely blamed cooperating witnesses for his own criminal conduct, and (5) perjured himself at trial. Judge Clevert also found that Mr. Balsiger’s “unwarranted attacks” and attempts to intimidate and threaten the prosecution team were “beyond the pale” and the “worst abuse” of the judicial process that he had seen during his tenure as a judge.

 

In rejecting Mr. Balsiger’s request for a probationary sentence, which Judge Clevert found to be “totally inappropriate,” he further noted that Mr. Balsiger’s leadership role in the fraud and obstruction “scream for a period of incarceration.” The Court added that Mr. Balsiger’s “conduct ill-affected the consuming public.” The Court previously noted in a codefendant’s sentencing that this scheme “shook the coupon industry.”

 

United States Attorney Haanstad noted, “The investigation that ultimately led to the prosecution and conviction of Mr. Balsiger and his codefendants stemmed from a single Milwaukee store owner contacting law enforcement to report that someone had offered her money to use her store’s name to submit fraudulent coupons. Because this store owner did the right thing and contacted law enforcement, investigators ultimately were able to identify multiple coupon fraud rings and expose the wide-ranging fraud scheme designed by Mr. Balsiger.”

 

FBI Special Agent in Charge Justin Tomoleo said of the sentence: “Through the dedicated work of our Special Agents and staff, the Milwaukee FBI remains committed to protecting Americans from fraudulent schemes that affect everyday life. The widespread grocery coupon fraud, perpetrated by Mr. Balsiger and others, cost our community millions of dollars. We expect this sentencing to serve as a warning to any future offenders looking to defraud the American people.”

 

This case was prosecuted by Assistant United States Attorneys Richard G. Frohling, Kelly B. Watzka, Stephen A. Ingraham, and Zachary J. Corey. The case was investigated by the Federal Bureau of Investigation.

 

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For additional information contact:

Public Information Officer Dean Puschnig (414) 297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on Wednesday, March 1, 2017, Jesse J. Wohlrabe (age: 30) of Appleton, Wisconsin, appeared in federal court in Green Bay and was sentenced to 72 months in federal prison for his involvement in a conspiracy to distribute heroin in the Fox Valley.

 

In pronouncing sentence, Chief U.S. District Court Judge William C. Griesbach noted the serious nature of Wohlrabe’s crime and the heroin addiction epidemic occurring in Northeast Wisconsin to which Wohlrabe contributed. The judge strongly condemned Wohlrabe’s prior criminal record. He concluded that Wohlrabe was deserving of a substantial prison sentence. Following his release from prison, Wohlrabe will serve 5 years on federal supervised release.

 

The case was investigated by the Lake Winnebago Area MEG Unit. The case was prosecuted by Assistant United States Attorney Daniel R. Humble.

 

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

United States Attorney Gregory J. Haanstad for the Eastern District of Wisconsin announced that on February 7, 2017, a federal grand jury returned an eight-count indictment against six individuals involved in distributing Oxycodone. The indictment named Lance Bruette (age: 34) of Minocqua, Orvin Kay (age: 57) of Milwaukee, Frank Lawrence (age: 38) of Saint Germain, Mitchell Plantikow (age: 29) of Woodruff, Troy Plantikow (age 52) of Woodruff, and Lacey Stanick (age 31) of Woodruff as the defendants. In a related matter, on February 28, 2017, a federal grand jury returned a three-count indictment against Lee Hueckstaedt (age: 31) of Rhinelander for possessing Oxycodone with the intent to distribute it.

 

In the matter indicted on February 7, 2017, all six defendants are charged in Count One of the Indictment with Conspiracy to Distribute Oxycodone in violation of Title 21, United States Code, Section 846. Counts Two, Four, and Six charge that on various dates in late 2016 and early 2017 Orvin Kay distributed Oxycodone in violation of Title 21, United States Code, Section 841(a)(1). Counts Three, Five, and Seven charge that on those same dates Lance Bruette possessed Oxycodone with the intent to distribute it in violation of Title 21, United States Code, Section 841(a)(1). Finally, Count Eight charges that on February 2, 2017, Orvin Kay possessed Oxycodone with an intent to distribute it in violation of Title 21, United States Code, Section 841(a)(1).

 

According to the Criminal Complaint filed against Orvin Kay, certain members of the conspiracy who resided in Northern Wisconsin would drive to Milwaukee and pick up hundreds of Oxycodone pills per week from Orvin Kay. They would then distribute those Oxycodone pills to individual users, as well as co-conspirators who would sell the pills to other individuals. The maximum penalty for all of the charges is 20 years in prison and a $1,000,000 fine.

 

In the matter indicted on February 28, 2017, Lee Hueckstaedt was charged with possessing Oxycodone with the intent to distribute it on various dates in late 2016 in violation of Title 21, United States Code, Section 841(a)(1). According to the Criminal Complaint against Lee Hueckstaedt, he is a large-scale Oxycodone dealer in the Eagle River/Rhinelander area. The Criminal Complaint alleges that on the dates charged, Hueckstaedt drove to Milwaukee and picked up hundreds of Oxycodone pills from Orvin Kay. The maximum penalty for all of the charges is 20 years in prison and a $1,000,000 fine.

 

The following agencies are participating in the investigation: the Oneida County Sheriff’s Office; the Vilas County Sheriff’s Office; the Wisconsin Department of Justice - Division of Criminal Investigation; the Drug Enforcement Administration – Milwaukee (Tactical Diversion Squad); the Minocqua Police Department; the Rhinelander Police Department. The case is being prosecuted by Assistant United States Attorneys Zachary J. Corey and Benjamin Wesson.

 

Allegations contained in an indictment or a criminal complaint are only charges and are 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.

 

# # # # #

 

For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 28, 2017, a federal grand jury returned a nine-count indictment against eight individuals involved in drug trafficking in the Fox Valley area of Northeastern Wisconsin. The indictment named the following individuals:

 

• Brady Pomeroy (Age: 38), of Fox Crossing, Wisconsin
• Omar Sanchez (Age: 24), of Los Angeles, California
• Curtis Whitaker (Age: 24), of Appleton, Wisconsin
• Zoey Scott (Age: 20), of Fox Crossing, Wisconsin
• Zachary Hietpas (Age: 31), of Kaukauna, Wisconsin
• Teng Her (Age: 32), of Waupun, Wisconsin
• David Ly (Age: 31), of Sacramento, California; and
• Zachary Kryzaniak (Age: 23), of Green Bay, Wisconsin

 

All eight defendants are charged in Count One with Conspiracy to Distribute Greater Than 50 Grams of Methamphetamine in violation of Title 21, United States Code, Section 846. Each defendant faces a sentence on this count of a minimum of 10 years, and up to life, in prison; up to a $10,000,000 fine; and between 5 years and a lifetime of supervised release. Additional drug charges were issued against Sanchez, Whitaker, Scott, Pomeroy, and Hietpas. Pomeroy also faces additional firearms charges.

 

According to the indictment, the defendants conspired amongst themselves and with others to obtain and distribute more than 1500 grams of methamphetamine in the Fox Valley area of Northeastern Wisconsin. Multiple search warrants were executed at residences in Appleton and Fox Crossing, and a business in Fox Crossing.

 

The case was investigated by the Lake Winnebago Area Metropolitan Enforcement Group - Drug Unit, Los Angeles Interagency Metropolitan Police Apprehension Crime Task Force, Oshkosh Police Department, Appleton Police Department, Outagamie County Sheriff’s Department, Winnebago County Sheriff’s Department, Fox Crossing Police Department, Grand Chute Police Department, Winnebago County District Attorney’s Office, Outagamie County District Attorney’s Office, Wisconsin State Crime Laboratory, and United States Drug Enforcement Administration. The case is being 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.

# # # #

 

For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gergory J. Haanstad, U.S. Attorney for the Eastern District of Wisconsin, announced that on February 17, 2017, Timothy B. Brady II (age: 22) also known online as “Redneck Chaos,” of Okmulgee, Oklahoma, was sentenced by Chief District Judge William C. Griesbach to 12 years in federal prison for attempted sexual exploitation of a child in violation of Title 18 United States Code, Section 2251(a). Upon his release the defendant will be on federal supervised release for 6 years and will have to register as a sex offender in the jurisdiction in which he resides.

 

Brady used his cellular telephone to exchange texts and instant messages with scores of underage girls across the country, including two minor girls located in the Eastern District of Wisconsin. He convinced the girls to send him sexually explicit photographs and videos, often referring to the girls as “slaves” and himself as “master.” He would then threaten to send these photographs and videos to the girls’ school administrators, parents, friends, or threaten to release them on the internet if they did not send him additional content. In response, many of the teen girls sent Brady increasingly more graphic and sexually explicit photographs and videos.

 

In pronouncing sentence, Chief Judge Griesbach noted the reprehensible nature of Brady’s crime, as well as the serious psychological effects that his acts of exploitation will have on his victims. The court determined that his crime was deserving of a serious term of imprisonment.

 

The case was investigated by the Seymour Police Department, the Wisconsin Internet Crimes Against Children (ICAC) Task Force, the Oklahoma State Bureau of Investigation, and the Federal Bureau of Investigation. 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.

 

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United States Attorney Gregory J. Haanstad of the Eastern District of Wisconsin, announced that on February 14, 2017, a federal grand jury returned a two-count indictment against Melisa A. Beyer (age: 37) of Oshkosh, Wisconsin. The first count charges that between January 2007 and May 2014, she embezzled funds from the Oshkosh Central Credit Union (OCCU), in violation of Title 18, United States Code, Section 657. The second count charges Beyer with making a false statement in the reports of OCCU in violation of Title 18, United States Code, Section 1006. More specifically, in March 2014, Beyer falsely reported on OCCU records that the vault money count was in excess of $2,000,000 when in truth, as Beyer well knew, this over-stated the amount of money located in the vault by approximately $1.6 million.

 

If convicted of the embezzlement charge, Beyer faces a maximum of 30 years’ in prison, a $250,000 fine, and three year’s supervised release. If convicted of the false statement charge, Beyer faces a maximum of 30 years’ in prison, a $1,000,000 fine, and three years of supervised release.

 

Beyer appeared before the Honorable James Sickel, Magistrate Court Judge, on February 15th and was released pending her final pre-trial hearing scheduled for April 12th at 1:30 p.m. before Chief United States District Judge William C. Griesbach. A trial date has been set for April 24th.

 

This case was investigated by the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney William Roach.

 

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 guilt beyond a reasonable doubt.

 

 

# # # #

 

For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 14, 2017, Cathy S. Konkol (age: 52) of Neenah, Wisconsin, was sentenced in Federal Court in Green Bay to 3 years’ prison to be followed by 3 years’ supervised release after her guilty plea to using an unauthorized access device (credit card) contrary to Title 18, United States Code, Section 1029(a)(1).

 

According to the plea agreement and other court documents, between approximately January 2015 and April 2016, Konkol used fraudulently obtained credit cards in order to obtain cash advances and purchase electronics at various electronic stores in the Oshkosh and Appleton area. Konkol was known as the “MacBook Lady” by employees at one electronic store given the number of computers she purchased. The investigation revealed that she used fraudulently obtained credit cards to purchase approximately $208,000 in merchandise. Konkol reported she received the credit cards from an individual that she met on a dating website. Konkol was directed by that person to send the majority of cash and merchandise to addresses in Nigeria and Malaysia.

 

While handing down the sentence, Chief United States District Judge William C. Griesbach noted the year-long time period over which the fraud scheme occurred, the large dollar amount of the fraud, and the repeated instances when Konkol was caught by law enforcement but nevertheless continued to commit further fraudulent acts.

 

This case was investigated by the U.S. Postal Service, Neenah Police Department, and Grand Chute Police Department. The case was prosecuted by Assistant United States Attorney William Roach.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 13, 2017, Ross A. Bertucci (age: 32) of New York State, was sentenced in Federal Court in Green Bay to 72 months in prison for the crime of attempted bank robbery in violation of Title 18, United States Code, Section 2113(a).

 

As a condition of the plea agreement, Bertucci acknowledged that he was responsible for attempting to rob while armed with a loaded firearm, the State Bank of Florence and Stephenson National Bank both located in the Town of Wausaukee, in Marinette County. Bertucci’s attempts were thwarted when an observant citizen notified law enforcement of Bertucci’s strange behavior and manner of dress. Workers at both banks were able to secure their entry doors just prior to Bertucci’s arrival.

 

While handing down his sentence, Chief United States District Judge William C. Griesbach noted Bertucci’s criminal history and his pattern of committing crimes for financial gain. Judge Griesbach called the robberies “very serious” and highlighted the lasting impact that the defendant’s actions had on his victims, several of whom addressed the court at the hearing.

 

The case was investigated by the Marinette County Sheriff’s Office and the Federal Bureau of Investigation, with the assistance of the Marinette County District Attorney. It was prosecuted by Assistant United States Attorney Daniel R. Humble.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 13, 2017, Lucycan Ly (age: 36) of Green Bay, Wisconsin, was sentenced to 84 months in federal prison by Chief United States District Judge William C. Griesbach. Ly previously entered a guilty plea to a charge of possession a firearm in furtherance of a drug trafficking charge in violation of Title 18, United States Code, Section 924(c)(1)(A).

 

According to the plea agreement and other documents filed with the court, police searched Ly’s residence and found large amounts of methamphetamine and marijuana, along with 3 loaded firearms. As a felon, Ly was prohibited from possessing a firearm based on prior convictions in state court.

 

In pronouncing the sentence, Chief Judge Griesbach noted the debilitating effect that methamphetamine has on individuals and the great harm the drug causes in Northeast Wisconsin. He further noted that the quantity of methamphetamine and the presence of firearms made this a particularly dangerous crime.

 

The case was investigated by the Brown County Drug Task Force and the United States Drug Enforcement Administration. The case was prosecuted by Assistant United States Attorney Daniel R. Humble.

 

# # # # #

 

For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 7, 2017, a federal grand jury returned a three-count indictment charging William C. Wilber IV (age: 35), of Suring, Wisconsin with child sex offenses on the Menominee Indian Reservation. This is in violation of 18, United States Code, Sections 2243(a) and 1153(a). If convicted, Wilber faces a maximum sentence of up to 15 years’ imprisonment, up to a $250,000 fine, at least 5 years of supervised release, and a $5,000 special assessment, on each of the three counts.

 

According to the indictment, the defendant engaged in sex acts with two teenage girls near a family property on Legend Lake on the Menominee Indian Reservation. Count One charges the defendant with engaging in a sex act with a 14-year old girl in spring 2015. Counts Two and Three relate to the defendant engaging in sex acts with a 15-year old girl in summer 2015 and fall 2016.

 

The case was investigated by the Menominee Tribal Police Department and the Federal Bureau of Investigation. The case is being 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 guilt beyond a reasonable doubt.

 

# # # # #

 

For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 6, 2017, Donald S. Harden (age: 47) of Fort Atkinson, Wisconsin, was sentenced by Chief U.S. District Judge William C. Griesbach to spend the remainder of his natural life in a federal prison. Under federal law, the jury’s findings combined with his prior record of drug dealing required that Harden receive a life sentence.

 

Harden was found guilty following a November 2016 jury trial in federal court in Green Bay, Wisconsin, of conspiracy to distribute and possess with the intent to distribute heroin in violation of Title 21 United States Code, Sections 846 and 841(b)(1)(B). The jury also found beyond a reasonable doubt that the conspiracy involved 100 grams or more of heroin and that the heroin distributed by Harden resulted in the overdose death of Neenah, Wisconsin, resident Frederick J. Schnettler (age: 24) in September 2014.

 

The evidence at trial revealed that Harden purchased kilograms of heroin in Chicago, Illinois, and used a “stash house” in Watertown, Wisconsin, repackaged the heroin for distribution in the Fox Valley area and elsewhere. Throughout the late spring and summer of 2014, Harden delivered heroin to mid-level distributors in the Fox Valley; those distributors in-turn would deal smaller amounts to numerous heroin users throughout the area.

 

On September 4, 2014, Harden arranged a meeting with one of his Fox Valley distributors at a retail parking lot in Waupun, Wisconsin. At that meeting, Harden gave 11 grams of heroin to one of his co-conspirators warning her “be careful with this stuff, it’s got bodies on it.” That heroin was later used by Schnettler, resulting in his death from “acute heroin toxicity” according to the Medical Examiner. A second Neenah resident, Cory Dedering (age: 38) also suffered a fatal overdose from heroin linked to Harden. His body was discovered by Winnebago County Sheriff’s investigators days later. A third individual, a witness at the trial, suffered a non-fatal heroin overdose from that same batch of heroin.

 

In pronouncing sentence, Chief Judge Griesbach noted the serious nature of Harden’s offense and the continued danger that heroin presents to Northeast Wisconsin communities. Further, he noted that Harden, unlike others, was not a heroin user, but rather sought to profit from trafficking in the highly addictive narcotic. The court recited his lengthy record of drug offenses in both Iowa and Wisconsin. Finally, Griesbach advised the defendant that he “had no one to blame but himself for his situation.”

 

The case was investigated by the Winnebago County Sheriff’s Office, Lake Winnebago Area Metropolitan Enforcement Group - Drug Unit, the City of Appleton Police Department, the Jefferson and Dodge County Drug Task Forces, the Oshkosh Police Department, the Fond du Lac County Medical Examiner’s Office, and the Wisconsin State Crime Laboratory. It was prosecuted by Assistant United States Attorneys Daniel R. Humble and Andrew J. Maier.

 

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For Additional Information Contact:

Public Information Officer Dean Puschnig 414-297-1700

Gregory J. Haanstad, U.S. Attorney for the Eastern District of Wisconsin, announced that on January 12, 2017, Jeremy J. Neumann (age: 43) of Neenah, Wisconsin, was found guilty following a jury trial in federal court in Green Bay, Wisconsin, of the following charges: (1) arson of a building in interstate commerce in violation of Title 18 United States Code, Section 844(i); (2) mail fraud in violation of Title 18 United States Code, Section 1341; (3) arson in conjunction with another federal felony in violation of Title 18 United States Code, Section 844(h); and (4) three counts of making a false statement to a federal agency, that being the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in violation of Title 18 United States Code, Section 1001.

 

The evidence at trial revealed that on November 6, 2015, at approximately 10:00 p.m., Neumann destroyed by fire the Anchorage Realty building located in Oshkosh, Wisconsin for purposes of financial gain. He rented warehouse space at that building for his business known as Gambit McDermott, which involved the sale of merchandise returned to retail stores. Neumann started the fire in his warehouse space and it quickly spread to the rest of the building damaging the property of many other tenants. The building was later leveled. When interviewed by law enforcement, Neumann denied being present at his warehouse space at the time of the fire. Law enforcement later obtained information from Neumann that placed him there when the fire started. Further, the government presented a video, recorded from an interior video camera within Anchorage Realty, capturing an individual, determined to be Neumann, in the warehouse at the time of the fire. Following the fire, Neumann submitted a proof of loss claim to his insurance company seeking to collect on the insurance policy after increasing the value thereof, a mere 10 days prior to the fire.

 

As a result of these convictions, Neumann faces a mandatory 10-year prison term that must be run consecutive to the mail fraud sentence. The arson of a building in interstate commerce charge has a five-year prison term mandatory minimum and a 20-year maximum. The false statement counts each have a five-year prison maximum. Sentencing in the matter is set before Chief Federal Judge William C. Griesbach on April 10, 2017. Neumann remains incarcerated pending that hearing.

 

The case was investigated by ATF, the Wisconsin Department of Justice- Division of Criminal Investigation- Arson Bureau, the Oshkosh Police Department, Oshkosh Fire Department, and Winnebago County District Attorney’s Office. It is being prosecuted by Assistant United States Attorneys William J. Roach and Zachary Corey.

 

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United States Attorney Gregory J. Haanstad announced that on January 10, 2017, a federal grand jury in Milwaukee returned an indictment against Tomeki L. Tyson (age 45), now of North Las Vegas, Nevada, and formerly of Racine, Wisconsin. Tyson is charged with twenty-one counts of making a false claim against the Internal Revenue Service (IRS) by filing false federal income tax returns which claimed refunds, in violation of Title 18, United States Code, Section 287.

 

The indictment alleges that during the period from approximately January 2009 until February 2015, the defendant defrauded and stole money from the IRS through filing fraudulent tax returns containing false employment, income, and tax withholding information, which claimed tax refunds in the names of various actual persons. The indictment further charges that the defendant filed more than 250 such false refund claims with the IRS over this period.

 

Each of the twenty-one false claim charges contained in the indictment carries a maximum possible penalty of up to five years in prison and a fine of up to $250,000, or both.

 

“IRS Criminal investigation is committed to rigorously pursuing thieves who steal from American taxpayers,” said IRS Criminal Investigation Special Agent in Charge Shea Jones of the St. Paul Field Office. “Today’s indictment should serve as a warning to thieves that we, along with our law enforcement partners and the United States Attorney's Office, will pursue those criminals and bring them to justice.”

 

This matter was investigated by the Internal Revenue Service Criminal Investigations Division, and has been assigned to Assistant United States Attorney Stephen A. Ingraham for prosecution.

 

The public is cautioned that an indictment is merely the formal method of presenting charges in federal court and does not constitute evidence of the defendant’s guilt. The defendant is presumed innocent until such time, if ever, as the government establishes her guilt beyond a reasonable doubt.

 

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Gregory J. Haanstad, United States Attorney, announced that on January 4, 2017, a federal grand jury returned a three-count indictment against a man involved in drug trafficking on the Menominee Indian Reservation. The indictment named Joseph Komanekin, Jr. (age: 33) of Neopit. Count One of the indictment charged Komanekin with Possession with Intent to Distribute a Schedule I Controlled Substance in violation of 21 United States code, Section 841. Count Two charged Komanekin with Possession of a Firearm in Furtherance of a Drug Trafficking Offense in violation of 18 United States Code, Section 924(c). Count Three charged Komanekin with Possession of a Short-Barreled Shotgun in violation of 26 United States Code, Section 5861(d). On Count One Komanekin faces a maximum sentence of up to 20 years’ imprisonment, up to a $1,000,000 fine, and between 3 years and a lifetime of Supervised Release. On Count Two Komanekin faces a mandatory 10-year consecutive sentence and up to life in prison, up to a $250,000 fine and up to 5 years of Supervised Release. On Count Three Komanekin faces a maximum sentence of up to 10 years’ imprisonment, up to a $10,000 fine and up to 3 years of Supervised Release.

 

According to the indictment, the defendant possessed just under 40 grams of a substance containing a Schedule I analogue called AB-FUB, which is a synthetic cannabinoid known locally as “Ish.” The synthetic drugs were discovered along with shotgun ammunition and a short-barreled shotgun during the February 6, 2016 execution of a search warrant at Komanekin’s residence.

 

The case was investigated by the Menominee Tribal Police Department and the Federal Bureau of Investigation. It is being 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.

 

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For additional information contact:

Acting Public Information Officer Elizabeth Makowski at 414 297-1700