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17 August 2023
Logan County Woman Sentenced to Prison for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Vada Leann White, 32, of Big Creek, was sentenced today to two years in prison, to be followed by four years of supervised release, for possession with intent to distribute methamphetamine.
According to court documents and statements made in court, on December 1, 2021, White was a passenger in a vehicle pulled over by a law enforcement officer in the Jeffrey area of Boone County. The officer searched the vehicle and found seven bags containing a total of approximately 139 grams of methamphetamine. The officer also found $3,436 on White’s person and in the vehicle. White told the officer that she possessed the methamphetamine and intended to sell it.
United States Attorney Will Thompson made the announcement and commended the investigative work of the West Virginia State Police.
United States District Judge Irene C. Berger imposed the sentence. Assistant United States Attorney Nowles Heinrich prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-142.
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Local Driving School Owner Sentenced for Driver's License Bribery Scheme at Brockton RMVRead the Press Release
BOSTON – A Brockton man was sentenced today in federal court in Boston.
Estevao Semedo, 61, was sentenced by U.S. District Court Judge Indira Talwani to six months in prison and one year of supervised release, with the first six months to be served in home confinement. Semedo was also ordered to pay a $17,000 forfeiture money judgment. In April 2023, Semedo pleaded guilty to one count of conspiracy to commit honest services mail fraud.
Semedo, the owner of a driving school, conspired to defraud the RMV into issuing driver’s licenses to applicants who did not pass the road test. Specifically, Semedo paid a road test examiner at the Brockton RMV service center to misrepresent to the RMV that certain driver’s license applicants had passed their road test when, in fact, they had not. Some of the applicants did not even show up to take the test. As a result of the fraud, the RMV mailed driver’s licenses to unqualified applicants. In total, Semedo paid the road test examiner $17,000 in bribes in exchange for fraudulent passing scores on road tests.
Acting United States Attorney Joshua S. Levy; Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England; and U.S. Department of Transportation, Office of Inspector General’s Special Agent-in-Charge Christopher A. Scharf made the announcement today. The investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF). Valuable assistance was provided by the Mattapoisett Police Department. Assistant U.S. Attorneys Christine Wichers and Adam Deitch of the Public Corruption & Special Prosecutions Unit prosecuted the case.
Lincoln Man Sentenced to Four Years for Possession of Child PornographyRead the Press Release
Acting United States Attorney Susan Lehr announced that Justin D. Liekhus, 31, of Lincoln, Nebraska, was sentenced on August 15, 2023, by Senior United States District Judge John M. Gerrard to four years’ imprisonment for possession of child pornography. Liekhus was also sentenced to a ten-year term of supervised release to be served after he completes his prison sentence. There is no parole in the federal system. Liekhus pleaded guilty to his offense on May 17, 2023.
Investigators with the Nebraska State Patrol received information from Dropbox, Inc. that certain user accounts had been storing child pornography. The IP address associated with those accounts tied back to Liekhus’s residence in Lincoln. On October 6, 2021, law enforcement executed a search warrant at Liekhus’s residence during which a laptop and a memory card were found. The laptop and a memory card contained multiple videos depicting minors, including prepubescent minors, engaging in sexually explicit conduct. During an interview with a Nebraska State Patrol investigator, Liekhus admitted the devices which contained the child pornography were his, and that he had been downloading child pornography.
The investigation was conducted by the Nebraska State Patrol and Homeland Security Investigations and 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 Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's 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.
Leader of “Pump and Dump” Securities Fraud Scheme Pleads GuiltyRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that EARL INGARFIELD pled guilty today to participating in a “pump and dump” stock fraud scheme designed to target retail investors and manipulate trading in penny stock shares of Suburban Minerals Corporation (“SUBB”).
U.S. Attorney Damian Williams said: “Earl Ingarfield engaged in a classic pump and dump scheme where the price of stock for a worthless company was inflated with paid promotions and fairy tales of riches from a $5 billion African diamond mine. Today’s plea is a reminder that the Southern District of New York will investigate and prosecute all such pernicious market manipulation schemes.”
According to the Indictment and statements made in court:
From at least in or about 2013 through at least in or about March 2014, EARL INGARFIELD engaged in a scheme to manipulate the stock price of SUBB, a public company traded on the over-the-counter market. In or about 2013, the defendant obtained control of SUBB, installing management at the company that acted at his direction and financing SUBB’s operations. INGARFIELD also obtained convertible promissory notes issued by SUBB, which he then converted into tens of millions of SUBB shares that were nominally held by offshore shell entities. INGARFIELD used these shell entities to conceal his involvement and the fact that he owned and controlled the vast majority of the shares of SUBB.
In early 2014, at INGARFIELD’s direction, SUBB announced that it was purportedly acquiring a producing African diamond mine worth $5 billion. But in reality, no such mine existed. Between January 2014 and March 2014, SUBB issued a series of press releases making false representations regarding that purported mine acquisition and SUBB’s operations. During the same time period, INGARFIELD orchestrated a marketing campaign through which promotional materials echoing the same false claims were distributed to the investing public by email. The false and misleading press releases and email marketing campaign caused SUBB’s share price and trading volume to become artificially inflated.
While SUBB’s price was artificially inflated, INGARFIELD profited by selling millions of his secretly amassed shares, all at the expense of the investing public. Between January and March 2014, he made more than $1.4 million from the sale of SUBB shares.
On March 7, 2014, the Securities and Exchange Commission halted trading in SUBB, after which the share price dropped precipitously and never recovered.
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EARL INGARFIELD, 64, of Las Vegas, Nevada, pled guilty to one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison, and agreed to forfeiture of $1,418,473.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the outstanding work of Homeland Security Investigation’s El Dorado Task Force.
The matter is being handled by the Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorneys Emily Deininger and Shiva Logarajah are in charge of the prosecution.
Laurel Man Sentenced to 80 months in Prison for Possession with Intent to Distribute MethamphetamineRead the Press Release
Hattiesburg, Miss. -- A Laurel man was sentenced to 80 months in federal prison for possession with intent to distribute methamphetamine, announced U.S. Attorney Darren J. LaMarca and Acting Special Agent in Charge Edward Owens of Homeland Security Investigations in New Orleans.
Moses Ray McDonald, 44, was sentenced on August 16, 2023, in U.S. District Court in Hattiesburg.
According to court documents, on June 8, 2022, the Jones County Sheriff’s Office, Narcotics Division, made a controlled purchase of approximately 29 grams of methamphetamine from McDonald at his residence in Laurel, Mississippi.
McDonald was subsequently indicted by a federal grand jury for possession with intent to distribute methamphetamine and pled guilty on December 1, 2022.
The case was investigated by Homeland Security Investigations, Border Enforcement Security Task Force (DHS Gulfport BEST), and the Jones County Mississippi Sheriff’s Office, Narcotics Division.
The case was prosecuted by Assistant U.S. Attorneys Shundral Cole and Andrea Jones.
Las Vegas Resident Sentenced to Prison for Methamphetamine and Firearms Trafficking ConspiracyRead the Press Release
LAS VEGAS – A Las Vegas man was sentenced yesterday by United States District Judge Andrew P. Gordon to 96 months in prison followed by four years of supervised release for selling more than 800 grams of methamphetamine and 25 firearms — including a shotgun and machine guns.
Charles Sanders, also known as “Cheeze,” (39) pleaded guilty on May 4, 2023, to one count of conspiracy to distribute a controlled substance and one count of trafficking firearms.
According to court documents, between July 20, 2022 and September 13, 2022, Sanders conspired with others to distribute 50 grams or more of methamphetamine. Over the course of the conspiracy, he sold 25 firearms, including a shotgun and three machine guns, and 811 grams of methamphetamine.
United States Attorney Jason M. Frierson for the District of Nevada, Special Agent in Charge Jennifer Cicolani for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Special Agent in Charge Christopher Miller for Homeland Security Investigations (HSI) made the announcement.
The ATF, HSI, and the Las Vegas Metropolitan Police Department investigated the case. Assistant United States Attorney Kimberly Sokolich prosecuted the case.
This effort was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States, using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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Las Cruces Man Sentenced to 9 Years in Prison for Firearms OffenseRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Mark Anthony Calzada was sentenced to 9 years in prison. Calzada, 29, of Las Cruces, pled guilty in federal court on August 18, 2022, to being a felon in possession of a firearm.
According to court documents, on March 1, 2022, an officer from the Las Cruces Police Department (LCPD) observed Calzada exiting a residence in Las Cruces carrying a shotgun. Calzada placed the shotgun into a vehicle, got into the driver’s seat with a woman and three small children, and drove to a gas station. When LCPD officers attempted to make contact with him, Calzada drove away at a high rate of speed with the shotgun and the three small children not properly restrained in the vehicle. While fleeing, Calzada drove at high speed the opposite way on a one-way residential street. Officers were able to track the vehicle and eventually caught up with Calzada who had abandoned the vehicle and was running on foot. LCPD officers pursued and detained Calzada.
LCPD officers located the car Calzada had been driving and executed a search warrant. Inside the car they found the shotgun, which the officer had observed him carrying along with shotgun shells. A second search warrant was sought and obtained for the residence Calzada occupied where they discovered a Glock handgun with an obliterated serial number and a compatible 50-round high-capacity drum magazine loaded with 15 rounds of ammunition in a bedroom.
Calzada was previously convicted in 2016 of possession of a firearm or destructive device by a felon. As a previously convicted felon, Calzada cannot legally possess firearms or ammunition.
Upon his release from prison, Calzada will be subject to supervised release for 3 years.
The FBI Albuquerque Field Office investigated this case with assistance from the Las Cruces Police Department. Assistant United States Attorneys Lindy Carpenter and Mark Saltman are prosecuting the case.
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Kanawha County Man Sentenced to More than 10 Years in Prison for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Galen Flowers, 40, of St. Albans, was sentenced today to 10 years and one month in prison, to be followed by four years of supervised release, for possession with intent to distribute 5 grams or more of methamphetamine.
According to court documents and statements made in court, on May 6, 2022, law enforcement officers executed a federal search warrant at Flowers’ St. Albans home and at an adjoining property on which Flowers admitted he had been storing some of his property and other belongings, including several cars. Officers seized over 1,300 grams of methamphetamine and quantities of other controlled substances, including fentanyl, in connection with the search. Officers also seized 21 firearms and a stolen and loaded Glock 17 9mm semi-automatic pistol, which Flowers had obtained in an exchange for drugs.
Flowers has a long criminal history that includes two prior felony convictions for possession with intent to deliver a controlled substance, both in Putnam County Circuit Court, on September 5, 2008, and October 13, 2009.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Kanawha County Sheriff’s Office.
Chief United States District Judge Thomas E. Johnston imposed the sentence. Assistant United States Attorneys Timothy D. Boggess and Negar M. Kordestani prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-131.
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Justice Department Secures Agreement with Hotel in Peoria, Illinois, to Ensure Access for People with DisabilitiesRead the Press Release
SPRINGFIELD, Ill. – The Department of Justice announced today it has reached a settlement agreement under the Americans with Disabilities Act (ADA) with the Hampton Inn & Suites Peoria at Grand Prairie, located in Peoria, Illinois, to resolve alleged violations of Title III of the Americans with Disabilities Act. The Department reached the agreement with Mark B. Peterson and Petersen Hospitality LLC, who own and operate the hotel. The agreement requires the hotel to train its staff and provide equal service to customers with disabilities.
The settlement resolves an ADA complaint alleging that after reserving an accessible room, when an individual with a disability attempted to check-in, the Hampton Inn provided a room that was not accessible as it lacked bathroom grab bars. According to the complaint, the hotel then said no physically accessible rooms were available, cancelled the reservation, and said it could not accept “liability” for the individual with a disability. This left the complainant, who was traveling from out of town, stranded with nowhere else to stay.
The complaint prompted an investigation by the United States Attorney’s Office for the Central District of Illinois. The ADA requires that hotels provide access to individuals with disabilities, including honoring reservations, providing fully accessible rooms, and making accommodations.
“For many people with disabilities, the decision to travel is unfortunately fraught with uncertainty over many of life’s most basic necessities, such as whether they will have a place to sleep at night or be able to use the bathroom,” said Assistant U.S. Attorney Joshua I. Grant for the Central District of Illinois. “The law protects people with disabilities who are traveling and requires that hotels provide equal access to their rooms and facilities. We appreciate the hotel’s prompt remedial action and encourage all hotels in the Central District of Illinois to train their staff regarding the ADA’s requirements.”
Under the agreement, the hotel will provide training to its staff about the ADA’s requirements to ensure that customers enjoy equal access to its services. Without admitting violating the ADA, the hotel also agreed to a monetary payment to the parent of the individual identified in the complaint to fully resolve the matter.
Assistant U.S. Attorney Joshua I. Grant represented the government during the investigation and settlement process. For more information about the ADA, please visit www.ada.gov, or call the Department of Justice’s toll-free information line at (800) 514-0301 or (800) 514-0383 (TDD). Information about filing a complaint, including instructions for filing a complaint online, can be found at https://www.justice.gov/crt/how-file-complaint.
Jury Finds District Man Guilty of Aggravated Assault and Other Charges for Disfiguring Woman with Boiling LiquidRead the Press Release
WASHINGTON – Tesfay Teshale, 51, of Springfield, Virginia, was found guilty yesterday by a jury, in the Superior Court of the District of Columbia, of aggravated assault while armed, malicious disfigurement while armed, and assault with a dangerous weapon for an assault that included pouring boiling liquid on the female victim, resulting in second-degree burns on her body, announced U.S. Attorney Matthew Graves and Pamela Smith, Chief of the Metropolitan Police Department (MPD).
The Honorable Jason Park scheduled sentencing for October 27, 2023. The defendant faces a maximum sentence of 30 years in prison for his crimes.
The defendant and the victim had dated. According to the government’s evidence, when the victim decided to break off the relationship, the defendant stalked, harassed, and assaulted her because he could not handle the rejection. On June 14, 2019, the defendant cornered the victim, punched her multiple times in the face, knocked her down, and, while she was down, poured an urn of boiling liquid onto her. The defendant then left her there, bleeding, badly burned, and in extreme pain. The victim managed to call for help and District of Columbia Fire and Emergency Medical Services personnel transported her to the hospital where she was treated for contusions, abrasions, and bruises to her face, as well as second-degree burns.
In announcing the verdict, U.S. Attorney Graves and Chief Smith commended the work of those who investigated the case from the Metropolitan Police Department. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Brian Yang, Zachary Horton, Cara Gardner, Emma McArthur, Chimnomnso Kalu, Nick Coleman, and Dan Lenerz, Paralegal Specialists ReShawn Johnson, Arielle Okpara, and Veronica Yale, Supervisory Paralegal Specialist Cynthia Muhammad, Victim/Witness Advocate Rodgers Dickerson, Litigation Technology Specialist Leif Hickling, Victim/Witness Services Coordinators Katina Adams-Washington, Tonya Jones, and Basizette Stribling, and interns Adam Russell, Izzy Metee, and Louis Villacci.
Finally, they commended the work of Assistant U.S. Attorneys Shakinah Douglas and Richard Kelley, who investigated and prosecuted the case.
Jury Convicts Man for Possession of Drugs and Gun at Elyria MotelRead the Press Release
AKRON – Antoine Williams, 49, of Lorain, Ohio, was found guilty on August 16, 2023, of gun and drug offenses after a two-day trial before U.S. District Judge John R. Adams. The Jury convicted him of being a Felon in Possession of a Firearm, possessing fentanyl, heroin, methamphetamine, and cocaine with the intent to distribute, and possessing a firearm in furtherance of his drug trafficking crimes.
According to court documents and testimony, the Elyria Police Department and the Federal Bureau of Investigation (FBI) executed a search warrant at the Arlington Inn Suites on March 8, 2022. Inside, they found Williams, along with significant quantities of fentanyl and heroin, cocaine, and methamphetamine. Williams also had a Rohm revolver, and more than $7,000.00 of drug proceeds in cash. Sentencing is scheduled for November 30, 2023 at 11:00 a.m.
The investigation was conducted by the Elyria Police Department and the FBI as part of Operation Synthetic Opioid Surge (S.O.S.), a joint law enforcement initiative that seeks to reduce the supply of deadly synthetic opioids and to identify wholesale distribution networks and international and domestic suppliers in Lorain County. This case was prosecuted by Assistant U.S. Attorneys Robert J. Kolansky and Paul Hanna.
Jamestown Woman Pleads Guilty to Her Role in Sex Trafficking ConspiracyRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Jasmin Osteen, 26, of Jamestown, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to conspiracy to commit sex trafficking of a minor, which carries a maximum penalty of life in prison and a $250,000 fine.
Assistant U.S. Attorneys Jonathan Cantil and Douglas Penrose, who are handling the case, stated that between August and October 2020, Osteen conspired with others to coerce two 17-year-old minors to engage in commercial sex acts. Osteen transported the minor victims to a hotel in Buffalo, where they were supplied with alcohol and drugs. Osteen then contacted various clients, who each engaged in commercial sex acts with minor victims. Osteen utilized Facebook to arrange for the commercial sex acts, and then received a majority of the proceeds.
The plea is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino, the Chautauqua County Sheriff’s Office, under the direction of Sheriff James Quattrone, and the Jamestown Police Department, under the direction of Chief Timothy Jackson.
Sentencing is scheduled for December 19, 2023 at 9 a.m. before Judge Sinatra.
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Illinois Man Accused of Dealing Fatal FentanylRead the Press Release
ST. LOUIS – A man from Belleville, Illinois was indicted Wednesday on charges accusing him of selling the fentanyl that killed someone in St. Louis County in December.
The two-count indictment in U.S. District Court in St. Louis accuses Deontae’ Tre’Von Overall, 27, of selling the fentanyl that killed a man in St. Louis County on Dec. 4, 2022, and of selling drugs on July 23, 2023.
Overall was initially charged by complaint on August 4. The complaint and affidavit say the victim contacted Overall on December 4 seeking the prescription pain pill Percocet, and bought four pills resembling Percocet from Overall at his home, which was then in St. Louis. The victim died later that day from fentanyl intoxication, charging documents say.
During the subsequent investigation, Overall sold suspected fentanyl and suspected methamphetamine to an undercover officer. A court-approved search of his home on August 3 found suspected fentanyl powder, suspected crystal methamphetamine, drug paraphernalia and 20 to 30 pills resembling those sold to the victim and the undercover officer, the affidavit says.
The distribution of fentanyl resulting in death charge is punishable by 20 years to life in prison, a fine of $1,000,000, or both prison and a fine. The charge of distribution of a controlled substances is punishable by up to 20 years in prison, a fine of $1,000,000, or both.
Charges set forth in a criminal complaint are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The case was investigated by the St. Louis County Police Department and the Drug Enforcement Administration.
Idabel Resident Sentenced for Second Degree MurderRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Stewart Wayne Coffman, age 60, of Idabel, Oklahoma, was sentenced to 300 months in prison for one count of second degree murder and 120 months in prison for one count of assault with a dangerous weapon with intent to do bodily harm. The sentences were ordered to run concurrently.
The charges arose from an investigation by the Federal Bureau of Investigation, the Oklahoma State Bureau of Investigation, the Idabel Police Department, and the Idabel Fire Department.
On June 16, 2022, a federal jury convicted Coffman of Second Degree Murder in Indian Country and Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country. According to the trial testimony, on the night of October 5, 2017, Coffman beat the victim to death with a metal pipe. The victim’s body was discovered by Idabel firefighters two days later when they responded to a house fire at Coffman’s residence. The crimes occurred in McCurtain County, within the boundaries of the Choctaw Nation Reservation, in the Eastern District of Oklahoma.
“Stewart Wayne Coffman’s attempts to evade justice for his brutal crime are ended,” said U.S. Attorney Christopher J. Wilson. “Coffman’s conviction and sentencing in federal court are additional proof that combatting violent crime in Indian Country remains a priority of this office.”
The Honorable Eric F. Melgren, U.S. District Judge in the United States District Court for the District of Kansas, sitting by appointment, presided over the hearing in Muskogee, Oklahoma. Coffman will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Erin Cornell represented the United States.
Hortonville Man Sentenced for Distribution of Child PornographyRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on August 17, 2023, Colton H. Nelson (age: 24) of Hortonville, Wisconsin, was sentenced to 60 months’ imprisonment for his distribution of child pornography. Nelson previously pled guilty to the offense on May 3, 2023.
According to court filings, in September of 2022, investigators with the Winnebago County Sheriff’s Office were conducting an online investigation on a popular peer-to-peer file sharing platform. Investigators observed that an individual, later identified as Colton H. Nelson, was engaged in the receipt and distribution of numerous videos and images containing child sexual abuse material. During execution of a search warrant at Nelson’s residence, law enforcement recovered - over 7,000 videos and images depicting child pornography.
At sentencing, Senior United States District Court Judge William C. Griesbach commented that the serious nature of the offense necessitated a sentence that would both punish Nelson and deter him from engaging in similar conduct in the future. In addition to the 60-month prison sentence, Nelson will spend five years on supervised release and will be required to register as a sex offender. He was also required to pay a $5,000 special assessment.
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.
This case was investigated by the Winnebago County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Daniel R. Humble.
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For Additional Information Contact:
Public Information Officer
Kenneth.Gales@usdoj.gov
414-297-1700
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Highs Gang Member Charged in Federal Complaint After Livestreaming a Violent Armed CarjackingRead the Press Release
MINNEAPOLIS – A member of the Highs gang has been charged in a federal criminal complaint with armed carjacking and illegal possession of a firearm after livestreaming the incident on social media, announced U.S. Attorney Andrew M. Luger.
According to court documents, on August 15, 2023, at approximately 10:30 a.m., the Minneapolis Police Department received a message from an unidentified individual who stated that a video had been posted to Facebook that showed a man, later identified as Leneal Frazier, Jr., 22, holding a gun to the driver of a vehicle as the driver bled from his head. The video showed the victim in the driver’s seat of the vehicle with a wound on his head and blood dripping down his forehead and the right side of his face. Frazier, a known member of the Minneapolis-based Highs gang, was behind the victim in the backseat of the vehicle and was wearing a sweatshirt and a scarf that covered most of his face except his forehead and eyes.
According to court documents, during the six-minute video, Frazier ordered the victim to call out certain known gang members in an insulting manner. While pointing the gun at the victim’s head, Frazier ordered the victim to say, “[expletive] all my dead homies.” Officers were able to identify the victim as an associate of the Lows gang. Frazier slapped the victim, mocked, and berated him, and stated, “You a Clown... you ain't even worth killin.” Frazier questioned the victim about how much money he had and told the victim he would use the victim’s money to buy the victim a gun in a mocking manner.
According to court documents, law enforcement later obtained a search warrant for Frazier’s residence. Inside the apartment, officers recovered a loaded Glock 19 pistol with an obliterated serial number and an extended magazine. Officers also recovered the scarf Frazier was wearing in the video as well as the victim’s identification and car keys. Frazier was inside the apartment and was placed under arrest.
Because Frazier has a prior felony conviction, he is prohibited under federal law from possessing firearms or ammunition at any time.
The complaint charges Frazier with one count of carjacking, one count of using, carrying, and brandishing a firearm during and in relation to a crime of violence, and one count of possession of a firearm as a felon. Frazier will make his initial appearance in U.S. District Court at a later date.
This case is the result of an investigation conducted by the Minneapolis Police Department, Hennepin County Sheriff’s Office, FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives, IRS Criminal Investigations, U.S. Postal Inspection Service, Drug Enforcement Administration, U.S. Marshals Service, Minnesota Department of Corrections, and the Minnesota Bureau of Criminal Apprehension.
Assistant U.S. Attorneys Samantha H. Bates and Justin A. Wesley for the District of Minnesota and Trial Attorney Brian W. Lynch of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.
A complaint is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
frazier_complaint_affidavit.pdfHenryetta Resident Convicted of Child AbuseRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma announced that Zion Alexander Canard, age 24, of Henryetta, Oklahoma, was found guilty of one count of Child Abuse in Indian Country following a federal bench trial.
The non-jury trial consisted of the presentation of evidence on August 14, 2023, and concluded with the guilty verdict.
During the trial, the United States presented evidence that on September 12, 2022, Canard abused an infant, resulting in cuts, bruises, and a brain hemorrhage. The crime occurred in Hughes County, within the boundaries of the Muscogee (Creek) Nation Reservation, in the Eastern District of Oklahoma.
The guilty verdict was the result of investigations by the Federal Bureau of Investigation, the Muscogee Nation Lighthorse Police, the Tulsa Police Department, and the Glenpool Police Department.
The Honorable Keith Starrett, Senior U.S. District Judge in the United States District Court for the Southern District of Mississippi, sitting by appointment, presided over the trial in Muskogee, Oklahoma, and ordered the completion of a presentence report. The sentencing will be scheduled following completion of the report. Canard was remanded to the custody of the United States Marshal until sentencing.
Assistant United States Attorney Caila M. Cleary represented the United States.
Hazelwood Man Sentenced to 111 Months in Prison for Schemes Seeking $404,000Read the Press Release
ST. LOUIS – U.S. District Judge Matthew T. Schelp on Thursday sentenced a man from Hazelwood, Missouri who committed a series of scams trying to steal a total of $404,415 to 111 months in prison and ordered him to repay the money.
Naquan Powers, 27, pleaded guilty in March to four felony counts of bank fraud and three felony counts of aggravated ID theft. He admitted involvement in the fraudulent purchase of vehicles, a credit card scam and fraud involving two pandemic relief programs.In 2018 and 2019, Powers accessed multiple Discover Bank accounts belonging to other people and changed information in these accounts so he could receive debit cards and bank checks for the accounts. Powers’ intended loss for this scheme was $11,754.
Powers used fraudulent Social Security cards and driver’s licenses to apply for loans to purchase three vehicles from a Florissant dealership between June 24, 2019 and August 23, 2019. Powers bought a Chevrolet Impala with a $18,098 loan, a $42,086 Chevrolet Tahoe and a BMW 428 XI for $29,079. He was arrested trying to buy a Dodge Challenger with a $38,191 loan.
After his arrest, Powers helped others to do the same thing at dealers throughout the St. Louis and southern Illinois areas, causing a total loss of $244,374.
In 2020 and 2021, Powers applied for a Paycheck Protection Program loan and four Economic Injury and Disaster Loans, claiming he was a sole proprietor in the general freight trucking industry. Powers submitted a fraudulent tax form and a bank statement and received $20,832 in PPP funds.
“Mr. Powers not only stole individuals’ identities for his personal gain but led multiple fraud schemes including stealing money intended for legitimate businesses that were impacted by COVID-19,” said Gail S. Ennis, Inspector General for the Social Security Administration. “This sentence demonstrates our diligent commitment to hold those accountable for misusing Social Security numbers.”
Five others involved with Powers’ schemes have also been charged. Four have pleaded guilty and been sentenced to between 24 and 51 months in prison. They were also ordered to pay restitution.
The Social Security Administration Office of Inspector General and the U.S. Postal Inspection Service investigated the case. Assistant U.S. Attorney Diane Klocke is prosecuting the case.
Habitual Drug Dealer in Alton Gets 262-Month Federal Prison SentenceRead the Press Release
EAST ST. LOUIS, Ill. – A long-time, convicted methamphetamine dealer in Alton was sentenced to spend more than 21 years in federal prison after he admitted guilt to multiple drug and firearm charges.
Dane Tannler, 41, pleaded guilty to one count of distribution of methamphetamine, one count of possession with intent to distribute methamphetamine, one count of possession of a firearm in furtherance of a drug trafficking crime and one count of felon in possession of a firearm.
Following his prison sentence, he will serve four years of supervised release. In addition, Tannler was ordered to pay a $400 fine and $400 in special assessments.
“Career offenders like Tannler who repeatedly distribute large quantities of drugs tear at the fabric of the community and endanger the families who live there,” said U.S. Attorney Rachelle Aud Crowe. “Thanks to the courageous efforts by the Alton Police Department, a well-known criminal will serve more time in prison and give his neighbors a much-needed break from his string of crimes.”
According to court documents, a confidential source working with the Alton Police Department purchased methamphetamine from Tannler at his residence in February 2021.
On Feb. 25, 2021, law enforcement executed a search warrant at Tannler’s house in Alton and seized a pound of crystal methamphetamine, $10,000 in cash, a luxury SUV, a loaded, stolen firearm and drug distribution paraphernalia.
Tannler was on parole for methamphetamine dealing charges at the time of his arrest in this case and has several other convictions for drug dealing crimes. Under federal sentencing guidelines, he qualified as a “career offender.” Career offenders are eligible for longer terms of federal imprisonment, which applied in this case.
The Alton Police Department led the investigation, and the ILEAS Regional Special Response Team (SRT) executed the search warrant. Assistant U.S. Attorney John Trippi prosecuted the case.
Gulfport Man Sentenced to 30 Years in Prison for Production of Child PornographyRead the Press Release
Gulfport, Miss. -- A Gulfport man was sentenced to serve 360 months in federal prison followed by a lifetime of supervised release for producing visual depictions of a minor engaging in sexually explicit conduct, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation.
Derrick Patrick Flanagan, 38, was sentenced in U.S. District Court in Gulfport. In addition to his term of imprisonment, Flanagan was ordered to pay a $5,000 fine under the Justice for Victims of Trafficking Act of 2015 and a $10,000 assessment under the Amy, Vicky, and Andy Child Pornography Victim Assistance Act of 2018.
According to court documents, Flanagan was identified in February of 2022 in an investigation brought to the Mississippi Attorney General’s Office Cyber Crime Division and the Federal Bureau of Investigation by the Hancock County Sheriff’s Office. The Sheriff’s Office had received two CyberTip Reports from the National Center for Missing and Exploited Children. These CyberTips were ultimately found to be related to Hancock County Deputy Derrick Flanagan, who was assigned to work at the Diamondhead Police Department and resided in Gulfport.
Forensic examinations of a laptop and cellular telephones recovered during the investigation found multiple visual depictions of child sexual abuse material. In addition, the investigation recovered over 40,000 lines of chats sent via a SnapChat App that corresponded to multiple visual depictions.
Flanagan pled guilty on April 20, 2023, to production of child pornography.
The Federal Bureau of Investigation and the Mississippi Attorney General’s Office, Cyber Crime Division, investigated this case. Assistant U.S. Attorney Andrea Jones prosecuted the case.
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 Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's 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.
Greenwood Man to Serve 15 Years in Federal Prison for Drug and Gun OffensesRead the Press Release
GREENWOOD, SOUTH CAROLINA — Jeremy John Smith, 35, of Greenwood, pleaded guilty in federal court to possession with intent to distribute fentanyl, cocaine base, methamphetamine, and cocaine and being a felon in possession of a firearm.
Evidence presented to the court showed that on August 11, 2022, agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and officers from the Greenwood Police Department and Greenwood County Sheriff’s Office executed a search warrant at Smith’s home on Sumpter Street in Greenwood. Law enforcement seized fentanyl, cocaine base, methamphetamine, and cocaine as well as digital scales and a large amount of cash. Additionally, officers recovered a shotgun and two pistols in the same room where they found narcotics.
Federal law prohibits Smith from possessing firearms or ammunition due to his prior convictions for assault and battery first degree, burglary second degree, and common law robbery.
United States District Judge Timothy M. Cain accepted Smith’s guilty plea, which contained a stipulation by the parties that Smith should be sentenced to 15 years in prison on both the drug charge and gun charge, with the sentences to run concurrently. Smith will be sentenced in a separate hearing after the preparation of a presentence report by the U.S. Probation Office.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Greenwood Police Department, and the Greenwood County Sheriff’s Office. Assistant U.S. Attorneys Elizabeth Major, Max Cauthen, and Everett McMillian are prosecuting the case.
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Great Falls woman admits possessing stolen mail, wire fraud crimesRead the Press Release
GREAT FALLS — A Great Falls woman who transported mail admitted today to possessing stolen mail and wire fraud charges after depositing checks she had overwritten with her name, U.S. Attorney Jesse Laslovich said.
Jacqueline Rose Hydock, 33, pleaded guilty to possession of stolen mail and wire fraud. Hydock faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for Dec. 13. Hydock was released pending further proceedings.
In court documents, the government alleged that Hydock was a driver for a Great Falls postal service contract route, and her job was to transport mail between the post office annex in Black Eagle and the main post office in downtown Great Falls. In May 2022, Hydock opened a new account at Montana Federal Credit Union and then made a series of check deposits using an ATM and drive-up window. The checks, issued by various individuals and placed in the mail, had been overwritten in a black felt pen, with the payee’s name changed to Hydock’s. In addition, a woman mailed a birthday card to her grandson and enclosed a Walmart gift card. When the card arrived, there was no gift card in the envelope, which had been opened and taped shut. An investigation determined that the gift card was used on May 22, 2022 in Great Falls, and photos showed Hydock and another individual at the register for the transaction.
Assistant U.S. Attorney Jessica A. Betley is prosecuting the case. The U.S. Postal Service Office of Inspector General, U.S. Postal Service, Cascade County Sheriff’s Office and Great Falls Police Department conducted the investigation.
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Grandview Man Sentenced for $4.1 Million Meth ConspiracyRead the Press Release
KANSAS CITY, Mo. – A Grandview, Mo., man was sentenced in federal court today for his role in a $4.1 million drug-trafficking conspiracy, which is linked to two murders, and which distributed approximately 400 kilograms of methamphetamine in the Kansas City and St. Louis metropolitan areas.
Markus Michael A. Patterson, 40, was sentenced by U.S. District Judge Greg Kays to 560 months in federal prison without parole. The court also ordered Patterson to pay a money judgment of $15,000, which represents the proceeds he received from the drug-trafficking conspiracy. That forfeiture amount is based on the unlawful distribution of approximately 400 kilograms of methamphetamine, based on an average price of $8,000 per kilogram.
On Oct. 24, 2022, Patterson pleaded guilty to participating in conspiracies to distribute methamphetamine and launder drug proceeds from Jan. 1, 2017, Sept. 1, 2018, to possessing a firearm in relation to a drug-trafficking crime, and to being a felon in possession of a firearm.
Patterson was arrested on Aug. 30, 2018, at a hotel in Phelps County, Mo. Officers found approximately one pound of methamphetamine (what remained from two pounds of methamphetamine Patterson brought to Phelps County from Kansas City, Mo.), $8,742 in cash, and drug paraphernalia in Patterson’s hotel room and car. The cash seized by officers was the proceeds of drug sales, which Patterson was supposed to return to his source in Kansas City.
The drug-trafficking organization with which Patterson was associated was responsible for two murders. In August 2018, James Hampton was seized by members of the same drug-trafficking conspiracy that supplied Patterson with the Phelps County methamphetamine. Patterson was in St. Louis, Mo., with this group when Hampton was seized. Hampton was seized because conspirators thought he could help find the drugs and money stolen by co-conspirator David Richards. When they realized Hampton could not or would not help, he was restrained and beaten. Hampton was then transported from St. Louis to Kansas City, in the trunk of his car. Brittanie Broyles, who was with Hampton and witnessed him being beaten and restrained, was also taken to Kansas City.
On Aug. 6, 2018, Hampton’s car and body were discovered burning in Bates City, Mo. On Aug. 8, 2018, Broyles’s body was recovered near Super Flea in the Northeast area of Kansas City. She had been murdered by two gunshots to her head. Witnesses and video identified Patterson following co-defendant Gerald Ginnings, 43, of Kansas City, Mo., in a co-conspirator’s car as Ginnings drove Hampton’s car to Bates City. Ginnings pleaded guilty on Friday, Oct. 21, to the same charges as Patterson and is scheduled to be sentenced on Aug. 25, 2023.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Patterson has prior felony convictions for involuntary manslaughter, distributing a controlled substance, and tampering with physical evidence.
Patterson is among 32 co-defendants who have pleaded guilty in this case and its companion case.
This case is being prosecuted by Assistant U.S. Attorneys Bruce Rhoades and Robert M. Smith. It was investigated by the Kansas City, Mo., Police Department, the Sni Valley Fire Department, the Jackson, Lafayette, Buchanan, and Phelps County, Mo., Sheriff’s Departments, the FBI, the Jackson County Drug Task Force, the Missouri State Highway Patrol, and the St. James, Mo., Police Department.
Glen Allen Man Pleads Guilty to $870,000 Sneaker FraudRead the Press Release
RICHMOND, Va. – A Glen Allen man pleaded guilty today to a wire fraud charge arising from his operation of an online retail business.
According to court documents, from approximately August 2020 through July 2021, Justin Lee Godsey, 26, ran "Sneak Foot," an online retailer that primarily sold athletic shoes through a website. When customers purchased shoes from Sneak Foot, the sales were managed by two credit card processing companies who had entered into agreements with Sneak Foot. The processors were obligated to refund the money sent to Sneak Foot through them if Godsey failed to deliver shoes ordered. Godsey consistently pocketed funds paid to him by customers without sending them the shoes, and used the funds for various personal expenditures, including the purchase of a Lamborghini. The losses incurred by the two credit card processors exceed $870,000.
Godsey is scheduled to be sentenced on December 20. He faces a maximum penalty of 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office; and Damon E. Wood, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after U.S. District Judge Robert C. Young accepted the plea.
Assistant U.S. Attorney Michael C. Moore is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:23-cr-58.
Gang Leaders Sentenced for Racketeering Conspiracy and MurderRead the Press Release
Five leaders of the Gangster Disciples, a gang with a long history of lawlessness and violence, were sentenced in the Southern District of Illinois for their participation in a years-long interstate racketeering conspiracy involving drug trafficking, witness tampering, and multiple murders.
The following are the defendants and their sentences:
- Frank Smith, aka Little Frank, aka Red Beard, 50, of Naperville, Illinois, was sentenced today to life in prison.
- Warren Griffin, aka GG, aka Big Head, 54, of Glenwood, Illinois, was sentenced on July 18 to life in prison.
- Sean Clemon, aka Pops, 53, of Cape Girardeau, Missouri, was sentenced on July 19 to life in prison.
- Dominique Maxwell, aka D-Mac, aka Monster, 31, also of Cape Girardeau, was sentenced on July 20 to life in prison.
- Anthony Dobbins, aka Crazy, aka Tony Rome, 55, of East St. Louis, Illinois, was sentenced on July 21 to 32 years in prison.
Smith, Griffin, Clemon, and Maxwell were convicted of racketeering conspiracy, murder in aid of racketeering, and related firearms offenses after a six-week jury trial. Dobbins pleaded guilty to racketeering conspiracy, murder in aid of racketeering, and related firearms offenses.
“With life sentences imposed on four defendants and a 32-year sentence for a fifth defendant, law enforcement has delivered a devastating blow to the Gangster Disciples criminal enterprise,” said Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division. “Dismantling violent, criminal organizations is a priority for the Justice Department, and a goal we share with our law enforcement and prosecution partners across the country.”
“The U.S. Attorney’s Office is committed to dismantling criminal organizations, holding gang members accountable, and pursuing justice for victims,” said U.S. Attorney Rachelle Aud Crowe for the Southern District of Illinois. “By prosecuting the leaders of criminal enterprises, the Department of Justice and its law enforcement partners are working to uphold the rule of law and punish violent offenders who terrorize our communities.”
According to court documents, the five defendants were national and regional leaders of the Gangster Disciples, a criminal organization with a presence throughout the United States, including in federal and state prisons. The gang employs a structured hierarchy, with leadership positions such as national “Board Members” and state “Governors.” As part of their efforts to maintain control of the gang, the defendants murdered two other Gangster Disciple leaders who opposed their regime.
“The FBI and our partners are firmly committed to ensuring that our communities are protected from the extreme violence and lawlessness displayed by those sentenced today,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “Through close collaboration and coordination, five leaders of the Gangster Disciples faced justice, and we will not rest as we continue to put a stop to interstate racketeering."
“The sentences in this case send a clear message to the members of violent criminal organizations across this country; you will be investigated and you will be held accountable for your crimes,” said Special Agent in Charge Bernard Hansen of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Kansas City Field Division. “As this investigation shows, ATF has no higher priority than leveraging crime gun intelligence and working with our federal, state and local law enforcement partners to disrupt the violence perpetrated by these groups.”
On April 28, 2018, Clemon and Maxwell, on orders from Smith, fatally shot a Gangster Disciples leader and injured two other men in a public park in Bridgeton, Missouri. The shooting was part of a leadership dispute in which Board Members Smith and Griffin sought to remove another Gangster Disciple member from his position as Governor of Missouri. Smith texted “Mike Tyson Punch Out” to Maxwell prior to the shooting, which was an order to commit “extreme violence,” including murder. The gang members fired more than 70 shots during the attack. Both Clemon and Maxwell were promoted to leadership positions within the gang after committing this murder.
Then, on May 18, 2018, Board Members Griffin and Dobbins drove to the south side of Chicago to murder a former powerful Board Member because he opposed their status as leaders in the gang. Griffin lured the victim into the street, and Dobbins came up behind the victim and shot him three times in the back and once in the face.
The defendants’ other acts of violence included a nightclub stabbing in East St. Louis and another shooting in Cape Girardeau. Gangster Disciples members also engaged in various acts of drug trafficking, including a scheme to smuggle the synthetic drug “K2” into Missouri state prisons.
“Drug trafficking organizations like this one employ violence and intimidation to further their criminal enterprise,” said Special Agent in Charge Michael A. Davis, head of the division that leads Drug Enforcement Administration (DEA) investigations in Missouri, Kansas, and southern Illinois. “Unfortunately, we are well aware that violence is too often an element of drug trafficking. These men are an extreme example of that terrible combination. Our communities are well-served with this group off our streets.”
The ATF, Federal Bureau of Prisons (BOP), FBI, DEA, Missouri Department of Corrections, Illinois State Police, Chicago Police Department, Bridgeton Police Department, Cape Girardeau Police Department, Major Case Squad of Greater St. Louis, and O’Fallon (Illinois) Police Department investigated the case. BOP employees from the National Gang Unit worked in conjunction with outside law enforcement to provide relevant documentation and testimony in support of the investigation and trial leading to the convictions.
Trial Attorneys Jeremy Franker, Alexander Gottfried, Christopher Usher, and Conor Mulroe of the Criminal Division’s Organized Crime and Gang Section prosecuted the case. Assistant U.S. Attorney Ali Summers for the Southern District of Illinois provided substantial assistance.
Fulton County Man Pleads Guilty to Bank Robbery Conspiracy and Firearms ChargesRead the Press Release
ALBANY, NEW YORK – Luke Kenna, a/k/a. “Lt,” age 44, of Gloversville, New York, pled guilty today to conspiring to commit bank robbery and possessing a firearm as a prohibited person. United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
Kenna admitted that between November 14 and November 27, 2022, he agreed to and planned to commit an armed bank robbery at a bank branch in Johnstown, New York, with two co-conspirators, Michael Brown, Jr. a.k.a. “Russ,” and Brian Tierney a.k.a. “Wodanaz.” Kenna, as part of that conspiracy, conducted surveillance of the bank and purchased items, including weapons, to commit the robbery, and Brown drove to New York to conduct surveillance of the bank with Kenna. Kenna also admitted that he possessed a rifle on November 6, 2022, after previously being convicted of a misdemeanor crime of domestic violence.
The charges remain pending against Tierney, who has been arrested and detained pending a trial currently scheduled for October 30, 2023. The charges in his indictment are merely accusations. He is presumed innocent unless and until proven guilty.
Brown pled guilty to conspiracy to commit bank robbery on June 23, 2023. Brown is scheduled to be sentenced on November 3, 2023.
Sentencing for Kenna is scheduled for December 15, 2023, before Chief United States District Judge Brenda K. Sannes. Kenna faces up to 15 years in prison, a fine of up to $250,000, and a post-imprisonment term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case was investigated by the FBI Albany Field Office’s Joint Terrorism Task Force (JTTF), which includes FBI Special Agents, and federal, state, and local investigators, including from the New York State Police. The FBI’s Philadelphia Field Office, the FBI’s Richmond Field Office, and New York State Police Special Investigations Unit also provided assistance. Assistant U.S. Attorney Alexander Wentworth-Ping is prosecuting the case.
Four Defendants Sentenced for their Roles in Advance Fee Fraud and Money Laundering SchemeRead the Press Release
Hagatña, Guam – SHAWN N. ANDERSON, United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that the following defendants were sentenced in the United States District Court of Guam for their involvement in an advance fee and money laundering scheme. Defendants and members of the conspiracy fraudulently obtained approximately $2,600,000 by inducing Guam-based victim-investors to first pay bogus fees and other expenses purportedly associated with a multimillion-dollar inheritance before they could collect any promised funds.
U.S. District Judge John C. Coughenour sentenced the following defendants for their respective roles in this criminal scheme:
Sally Cruz Roberto, age 56, from Santa Rita, Guam, was sentenced to 33 months imprisonment; three years supervised release; ordered to pay $1,030,990 in restitution, a $3,900 mandatory assessment fee, and a $1,030,990 forfeiture money judgment. She was sentenced on August 15, 2023, after a jury found her guilty of conspiracy to commit wire fraud and 38 counts of wire fraud. As part of the conspiracy, Roberto obtained $1,030,990 of victim funds and used her bank account to wire those funds to stateside bank accounts of other co-conspirators.
Monique Jones, age 49, from Dallas, Texas, was sentenced to 48 months imprisonment; three years supervised release; ordered to pay $578,130 in restitution, a $2,700 mandatory assessment fee, and a $1,111,280 forfeiture money judgment. She was sentenced on August 15, 2023, after a jury found her guilty of conspiracy to commit wire fraud, 25 counts of wire fraud, and conspiracy to launder monetary instruments.
Mekayda D. Jones, age 24, from Dallas, Texas, was sentenced to 36 months imprisonment; three years supervised release; ordered to pay $387,160 in restitution, a $1,600.00 mandatory assessment fee, and a $801,210 forfeiture money judgment. She was sentenced on August 15, 2023, after a jury found her guilty of conspiracy to commit wire fraud, 14 counts of wire fraud, and conspiracy to launder monetary instruments.
As part of the conspiracies, Monique and Mekayda Jones perpetuated the fraud by maintaining bank accounts in the names of shell corporations to receive, withdraw, and transfer victim funds to other co-conspirators in the United States and Nigeria. In exchange, they kept at least 10 percent of victim funds that flowed into bank accounts they controlled.
Okechukwu F. Iwuji, age 38, a Nigerian citizen, who previously resided in Orlando, Florida, was sentenced to 45 months imprisonment; three years supervised release; ordered to pay $475,710 in restitution, a $100 mandatory assessment fee, and a $475,710 forfeiture money judgment. He was sentenced on August 17, 2023, after previously pleading guilty to conspiracy to commit wire fraud. As part of the conspiracy, Iwuji obtained at least $475,710 of victim funds from Roberto and other co-conspirators and transferred some funds to third party-Nigerian bank accounts.
“This far-ranging conspiracy preyed on 60 victims, nearly all of whom live in Guam,” stated United States Attorney Anderson. “These scams are difficult to investigate and prosecute due to the interstate and transnational nature of the criminal activity. Our success in this matter is the result of a team effort across multiple jurisdictions, with outstanding leadership by prosecutor David. We will continue to pursue the collection of restitution for those harmed by the defendants’ conduct. The public must remain vigilant against this type of fraud.”
“This sentence should make the public aware that these types of advanced fee, associated with inheritance scams, will be investigated by the Federal Bureau of Investigation and prosecuted to the fullest extent of the law,” said FBI Special Agent in Charge Steven Merrill. “If it is too good to be true, it probably is. If you feel you have been scammed, please contact the FBI at (800) 225-5324 (CALL-FBI) or report it to tips.fbi.gov.”
The investigation was led by the FBI Guam Resident Agency with the assistance of FBI field offices in Dallas and Atlanta; Homeland Security Investigations in Orlando, Florida; the U.S. Secret Service in Dallas; and the Guam Police Department. This case was prosecuted by Marivic P. David, First Assistant United States Attorney and Criminal Chief in the Districts of Guam and the Northern Mariana Islands.
Former Vandergrift Resident Sentenced to 57 Months’ Imprisonment for Conviction of Bank RobberyRead the Press Release
PITTSBURGH, PA - A former resident of Vandergrift, Pennsylvania has been sentenced in federal court to a total term of 57 months’ imprisonment followed by a three-year term of supervised release on his conviction of bank robbery, United States Attorney Eric G. Olshan announced today.
United States District Judge William S. Stickman IV imposed the sentence on Bradley Mondi, age 36.
According to information presented to the court, on July 12, 2021, Mondi robbed the tellers working at the Apollo Trust Company Bank located in North Apollo, Pennsylvania of $6,666.00.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Apollo Borough Police Department, and the Kiskiminetas Township Police Department conducted the investigation that led to the prosecution of Mondi.
Former Southeastern Connecticut Counselor Pleads Guilty to Health Care Fraud and Kickback ChargesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that JEFFREY SLOCUM, 55, of Johnstown, Pennsylvania, waived his right to be indicted and pleaded guilty yesterday before U.S. District Judge Stefan R. Underhill in Bridgeport to one count of health care fraud and one count of violating the federal anti-kickback statute.
According to court documents and statements made in court, from 2017 to 2022, Slocum, a former resident of East Lyme, was a Licensed Professional Counselor (LPC) with an office located at 300 State Street in New London. In 2020, the Connecticut Medicaid program (“Medicaid”) notified Slocum that Medicaid was going to audit certain claims for psychotherapy services Slocum had billed to Medicaid between March 2018 and February 2020. As part of its audit, Medicaid requested patient records for approximately 100 individual psychotherapy services Slocum had billed to Medicaid.
In March 2021, Medicaid notified Slocum that the audit had determined that he had received over $225,000 in payments from Medicaid for services that he had not documented. Medicaid told Slocum it would begin to collect the overpayment by deducting the overpayment in installments from future payments Medicaid would make to Slocum. Once Slocum learned the results of the audit and that he would have to pay the money back to Medicaid, he began submitting fraudulent claims to Medicaid for psychotherapy services that he never provided. All of the fraudulent claims Slocum submitted to Medicaid represented that he had personally provided the nonexistent services.
As part of his plea, Slocum admitted that from March 1, 2020 to February 24, 2022, he submitted fraudulent claims to Medicaid totaling $695,048.
In pleading guilty, Slocum also admitted that he engaged in a scheme to pay kickbacks to his Medicaid patients in order to induce them to receive psychotherapy services from him. Slocum paid these kickbacks to patients in the form of cash payments, money orders, and Wal-Mart and VISA gift cards.
Judge Underhill scheduled sentencing for November 8, at which time Slocum faces a maximum term of imprisonment of 20 years. Slocum also has agreed to pay full restitution to Medicaid.
This investigation is being conducted by the Office of the Inspector General of the U.S. Department of Health and Human Services (HHS-OIG) and the Federal Bureau of Investigation, with the assistance of the Connecticut Department of Social Services. The case is being prosecuted by Assistant U.S. Attorney David J. Sheldon and Auditor Susan Spiegel.
The U.S. Attorney’s Office, Chief State’s Attorney’s Office, and Attorney General’s Office meet regularly as part of The Medicaid Fraud Working Group. The Working Group also includes representatives from the Connecticut Department of Social Services; the Connecticut Department of Public Health; the Drug Control Division of the Connecticut Department of Consumer Protection; the Office of the Inspector General of the U.S. Department of Health and Human Services, and the FBI. The Working Group reviews pending issues and cases, identifies trends that might indicate fraudulent activity, and coordinates efforts for maximum results.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS.
Former Illinois Department of Children and Family Services Employee and 14 Others Charged in $3.2 Million Fraud SchemeRead the Press Release
CHICAGO — A former Illinois Department of Children and Family Services social worker and 14 others have been indicted on federal charges for allegedly participating in a scheme to fraudulently obtain $3.2 million in state funds intended for childcare services.
A 41-count indictment unsealed Wednesday in U.S. District Court in Chicago alleges that SHAUNTELE Y. PRIDGEON orchestrated the fraud scheme from 2016 to 2022 while serving as a Community Social Service Planner for DCFS in Chicago. Pridgeon fraudulently entered the information of several of her co-defendants into the DCFS computer system and approved them to be paid as providers caring for foster children, the indictment states. Pridgeon directed at least $3.2 million in State of Illinois funds to the co-defendants and others, each of whom agreed to receive the money even though they knew that no foster children were actually in their care, the indictment states. The co-defendants and others then paid bribes and kickbacks to Pridgeon totaling approximately $1.6 million, the indictment states. Pridgeon allegedly used the bribe money to pay personal expenses, including gambling losses at a casino in Hammond, Ind.
The indictment accuses each of Pridgeon’s co-defendants of accepting various amounts of state money for the nonexistent childcare services. For example, LATASHA THOMAS received more than $1.6 million and TRACEY JERVIER received more than $695,000, the indictment states. RONNIE WEBB received more than $228,000, which was paid via checks made payable to “Webb Feet Child Care Inc.,” a bogus company that listed its address as Webb’s residence, the indictment states.
Charged with honest services wire fraud are Pridgeon, 54, of Chicago; Thomas, 48, of Chicago; Jervier, 60, of Chicago; Webb, 57, of South Holland, Ill.; TAHNDREA N. HARPER, 50, of Chicago; JOI SANDERSON, 49, of Frankfort, Ill.; KELLI PAYNE, 49, of Hammond, Ind.; NIKKI GIOVANNI HOUSTON, 53, of Chicago; SHENITA MCGARY, 37, of Chicago; SHERRI BAINES, 45, of Chicago; KEICHA L. LACEY, 50, of Country Club Hills, Ill.; CHRISTINA A. DAVIS, 54, of Chicago; MARISSA TERRY, 36, of Frankfort, Ill.; ARAMIS COLLIER, 39, of Chicago; and AUNSHEREE NELSON, 44, of Chicago.
Most of the defendants were arrested Wednesday and have begun making initial appearances in federal court in Chicago.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois; Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; Brendan F. Kelly, Director of the Illinois State Police; and Ann McIntyre, Inspector General of DCFS. The government is represented by Assistant U.S. Attorneys John D. Mitchell, Bradley A. Tucker, and Christine M. O’Neill.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Pridgeon et al indictmentFormer D.C. Government Employee Indicted on Charges of Fraudulently Claiming District Residency to Obtain BenefitsRead the Press Release
Defendant Collected District Medicaid, Food Stamp, and Public Charter School Tuition, While Living in Virginia
WASHINGTON – Michia Pardlow, 30, now residing in Washington, D.C., was indicted yesterday on 39 counts of fraud and other charges stemming from her false claims of District of Columbia residency, from 2016 to 2020, to obtain D.C. Supplemental Nutrition Assistance Program (SNAP), Temporary Assistance for Needy Families (TANF), Medicaid benefits, and free tuition for her two children to attend a D.C. Public Charter School.
The announcement was made by U.S. Attorney Matthew M. Graves, Daniel W. Lucas, Inspector General for the District of Columbia, and Brian Schwalb, Attorney General for the District of Columbia. This matter was initially discovered by the D.C. Department of Human Services and promptly referred to the D.C. Office of the Inspector General for investigation.
Pardlow was indicted by a grand jury in the Superior Court of the District of Columbia on charges of first degree fraud, first degree theft, false statements, and forgery. Ms. Pardlow is to be arraigned on August 23, 2023, at a hearing before the Honorable Andrea Hertzfeld. The majority of the indicted charges are felony offenses, carrying a maximum term of imprisonment of 10 years.
According to court documents in the case, Pardlow was a resident of Arlington, Virginia, from 2016 into 2020. The charging documents allege that she submitted signed applications, residency verification forms, and other documents to the District of Columbia’s Department of Human Services and Public Charter School Board claiming and verifying District residency. The charging documents also allege that in November 2017, she forged a residency verification letter.
As a result, the documents allege, Pardlow was able to obtain District benefits to which she was not entitled. Non-District residents are ineligible to receive District SNAP, TANF, and Medicaid benefits. Non-District residents who enroll their dependents in D.C. schools must apply as a non-resident and pay non-resident tuition. Court documents allege that she received more than $149,000 in fraudulent benefits.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
This case is being investigated by the D.C. Office of the Inspector General and is being jointly prosecuted by the Major Crimes Section of the U.S. Attorney’s Office for the District of Columbia and the Public Corruption Section of the D.C. Office of the Attorney General.
In announcing the charges, U.S. Attorney Graves, Inspector General Lucas, and Attorney General Schwalb commended the work of those investigating the case from the Office of Inspector General, including Special Agent Robert Partington. They acknowledged the efforts of those who are working on the case from the U.S. Attorney’s Office, including Paralegal Specialist Crystal Waddy. Finally, they commended the work of the late Bayly Leighton, former Special Assistant U.S. Attorney detailed from the D.C. Office of the Attorney General, who initially investigated the case, along with Assistant U.S. Attorney Noah Simmons, who is investigating and prosecuting the case.
Former Alabama Correctional Sergeant Convicted of Violating the Civil Rights of an Inmate and Obstruction of JusticeRead the Press Release
A federal jury in the Middle District of Alabama convicted a former Alabama correctional sergeant of deprivation of rights under color of law, falsification of records and obstruction.
The evidence at trial established that on March 8, 2018, at the Alabama Department of Corrections’ Staton Correctional Facility, Correctional Sergeant Devlon Williams assaulted an inmate, D.H., in the main hallway of the healthcare unit. Witnesses at trial testified that Williams repeatedly punched and kicked D.H., who was on the ground and not resisting or posing a threat to any person or corrections officer. Williams continued the beating by hitting D.H. multiple times with a collapsible baton. The government presented evidence at trial that after the beating, Williams and another corrections officer, Larry Managan, who previously pleaded guilty to obstruction, attempted to cover up the beating. Williams made false statements about the assault to an Alabama Department of Corrections investigator and prepared a false report about the incident.
“This defendant is being held accountable for using excessive force against an inmate and preparing a false report to cover-up his unlawful behavior,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Prisoners, like everyone else, have the right to be free from such needless and extreme violence at the hands of law enforcement officers. The Justice Department will continue to hold accountable law enforcement officers who violate the constitutional and civil rights of any American, including people who are incarcerated.”
“While most corrections officers try each day to do the right thing, unfortunately, some abuse the authority they are granted,” said U.S. Attorney Sandra J. Stewart for the Middle District of Alabama. “Everyone deserves protection under the law and my office will hold any officer criminally responsible for violating the civil rights of a person in his or her custody.”
“There is no place for this type of behavior in law enforcement. The mission of the FBI is to protect the American people and uphold the Constitution of the United States,” said Special Agent in Charge Paul Brown of the FBI Mobile Field Office. “Today’s conviction demonstrates our commitment to this mission. I would also like to highlight the exceptional work by our partners at the Alabama Department of Corrections Law Enforcement Services Division without whom this case could not have been successful.”
Williams’ co-defendant, Larry Managan Jr., previously pleaded guilty to making false statements in connection with this incident on Dec. 8, 2021. Williams and Managan are awaiting sentencing.
The FBI Mobile Field Office and Alabama Department of Corrections Law Enforcement Services Division investigated the case.
Assistant U.S. Attorney Eric Counts for the Middle District of Alabama and Trial Attorney Anna Gotfryd of the Civil Rights Division’s Criminal Section prosecuted the case.
Foreign National Sentenced to over 21 Years for Mailing Ricin to President of the United States in 2020Read the Press Release
Pascale Cecile Veronique Ferrier, 55, a dual citizen of Canada and France, was sentenced today to 262 months in prison, followed by a lifetime of supervised release, for sending threatening letters, containing homemade ricin (a toxin), in September 2020, to then-President Donald J. Trump at the White House, and to eight Texas State law enforcement officials.
Ferrier pleaded guilty on Jan. 25 to prohibitions with respect to biological weapons in two separate criminal cases. One case was brought in the District of Columbia, and the other was brought in the Southern District of Texas and transferred to the District of Columbia for purposes of plea and sentencing.
According to court documents, Ferrier admitted that she made ricin at her residence in Quebec, Canada, in September 2020. Ricin is a deadly poison made from castor beans. Ferrier placed the ricin toxin in envelopes containing letters she wrote to then-President Trump at the White House and to eight Texas State law enforcement officials.
Ferrier had been detained in the State of Texas for approximately 10 weeks in the spring of 2019, and she believed that the law enforcement officials were connected to her period of detention. In early September 2020, Ferrier used the Twitter social media service to propose that someone should “please shoot [T]rump in the face.” The letters in the envelopes contained threatening language, and the letter addressed to then-President Trump instructed him to “[g]ive up and remove [his] application for this election.” Ferrier mailed each of the threatening ricin letters from Canada to the United States. Ferrier then drove a car from Canada to the Peace Bridge Border Crossing in Buffalo, New York, on Sept. 20, 2020, where border patrol officials found her in possession of a loaded firearm, hundreds of rounds of ammunition and other weapons, and arrested her. Ferrier has remained in custody.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Matthew M. Graves for the District of Columbia and Assistant Director Susan Ferensic of the FBI’s Weapons of Mass Destruction Directorate made the announcement.
The FBI Washington and San Antonio Field Offices investigated the case. Assistance was provided by the U.S. Secret Service and the U.S. Postal Inspection Service.
Assistant U.S. Attorney Michael J. Friedman for the District of Columbia; Assistant U.S. Attorneys Rob Jones, David Coronado and David Lindenmuth for the Southern District of Texas; and Trial Attorney David Smith of the National Security Division’s Counterterrorism Section prosecuted the case.
Foreign National Sentenced to Nearly 22 Years in Prison for Mailing Ricin to President of the United States in 2020Read the Press Release
WASHINGTON – Pascale Cecile Veronique Ferrier, 56, a dual citizen of Canada and France, was sentenced today to 262 months in prison for sending threatening letters containing homemade ricin (a toxin), in September 2020, to the White House and then-President Donald J. Trump, as well as to eight Texas State law enforcement officials.
The sentence was announced by U.S. Attorney Matthew M. Graves, Assistant Attorney General of the National Security Division Matthew G. Olsen, Assistant Director in Charge of the FBI’s Washington Field Office David Sundberg, U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas, and Special Agent in Charge Oliver E. Rich, Jr., of the FBI’s San Antonio Field Office.
Ferrier pleaded guilty on January 25, 2023, to prohibitions with respect to biological weapons in two separate criminal cases before the Honorable Dabney L. Friedrich of the U.S. District Court for the District of Columbia. One case was brought in the District of Columbia, and the other was brought in the Southern District of Texas and transferred to the District of Columbia for purposes of plea and sentencing.
According to court documents, Ferrier admitted that she made ricin at her residence in Quebec, Canada, in September 2020. Ricin toxin is a deadly poison made from the waste material left over from processing castor beans. Ferrier placed the ricin in envelopes containing letters she wrote to then-President Trump at the White House. She also added it to envelopes she sent to eight Texas State law enforcement officials.
Ferrier had been detained in the State of Texas for around ten weeks in the spring of 2019, and she believed that the law enforcement officials were connected to her period of detention. In early September 2020, Ferrier used the Twitter social media service to propose that someone should “please shoot [T]rump in the face.” The letters in the envelopes contained threatening language, and the letter addressed to then-President Trump instructed him to “[g]ive up and remove [his] application for this election.” Ferrier mailed each of the threatening ricin letters from Canada to the United States. Ferrier then drove a car from Canada to the Peace Bridge Border Crossing in Buffalo, New York, on Sept. 20, 2020, where border patrol officials found her in possession of a loaded firearm, hundreds of rounds of ammunition, and other weapons, and arrested her. Ferrier has remained in custody.
In addition to the nearly 22-year term of imprisonment, Ferrier was sentenced to a lifetime of supervised release. The Court will also issue an order of judicial removal requiring that Ferrier be removed from the United States at the end of her term of imprisonment.
The investigation was handled by the FBI’s Washington Field Office and San Antonio Field Office. Assistance was provided by the United States Secret Service and the United States Postal Inspection Service.
The case was prosecuted by Special Assistant United States Attorney Michael J. Friedman, of the U.S. Attorney’s Office for the District of Columbia, Assistant United States Attorneys Rob Jones, David Coronado, and David Lindenmuth, of the U.S. Attorney’s Office for the Southern District of Texas, and Trial Attorneys David Smith and Joseph Kaster, of the DOJ’s National Security Division Counterterrorism Section.
Florida Man Under Indictment for Timeshare Fraud Ordered to Shutter All Telemarketing BusinessesRead the Press Release
CAMDEN, N.J. – A Florida man who was out on bail on wire fraud and other charges stemming from his operation of a telemarketing business was ordered to shut down his new telemarketing businesses for allegedly committing new fraud through them, U.S. Attorney Philip R. Sellinger announced today.
According to documents filed in this case and statements made in court:
William O’Hanlon, aka “Patrick Burns,” aka “William Burns,” 59, of Loxahatchee, Florida, was arrested on April 4, 2023, pursuant to an indictment charging wire fraud and wire fraud conspiracy arising out of his operation of Williams Andrews Burns LLC (WAB). WAB was a telemarketing business which offered services to timeshare owners in return for upfront fees.
O’Hanlon was released on bail subject to the following conditions, among others: (1) that he not have access to the personal identifying information (PII) of others; and (2) that he not commit another federal, state or local crime. At the time of his release, O’Hanlon operated Ryan James & Daniels Corp. (RJD) and related entities, which were also telemarketing businesses which offered services to timeshare owners in return for upfront fees.
While on bail, O’Hanlon allegedly continued to defraud timeshare owners through his operation of RJD. O’Hanlon allegedly caused the mass mailing of letters to timeshare owners telling them that they had been identified as potential victims of timeshare fraud and offering to collect restitution monies for them. The letters cited to a lawsuit filed by the Federal Trade Commission (FTC) and allegedly claimed that the FTC had collected $500 million to be refunded to victims of timeshare fraud. In actuality, however, the lawsuit referenced in the letters was more than 20 years old, and the FTC had not collected any funds for timeshare victims.as a result of that suit.
At the conclusion of a bail review hearing on Aug. 7, 2023, U.S. Magistrate Judge Elizabeth A. Pascal found probable cause to believe that O’Hanlon had committed mail and wire fraud through RJD while he was on pretrial release on the previously filed indictment. Judge Pascal stated that based upon the allegedly false claims in the letters, “[t]here can be no other inference drawn, at this point, than [that] the letter[s were] intended to defraud people of money.” Judge Pascal ordered O’Hanlon to cause the following entities to cease operations as of Aug. 7, 2023: Ryan James & Daniels Corp.; RJD Collect Inc.; RJD Investments Inc.; RJD Recovery Group Inc.; RJD Corp. Fraud Collectors Timeshare Exit; Williams & Burns Inc.; Harold O’Hanlon Inc.; Resort BNB Inc.; and Next Step Sober House Inc. (collectively RJD). Judge Pascal also found that O’Hanlon had access to the personal identifying information (PII) of others, in violation of his bail conditions.
If you believe you or a family member may be a victim of the alleged fraud by RJD, or have additional information about this matter, please contact your local FBI Office or 1-800-Call-FBI (1-800-225-5324).
U.S. Attorney Sellinger credited agents of the FBI’s Philadelphia Division, South Jersey Resident Agency, under the direction of Special Agent in Charge Jacqueline Maguire, with the investigation.
The government is represented by Assistant U.S. Attorneys Diana Vondra Carrig and Elisa T. Wiygul of the U.S. Attorney’s Office in Camden.
The charges and allegations contained in the indictment and stated during the bail proceedings are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
ohanlon.order_.pdfFinal Defendant Sentenced in South Carolina’s Largest RICO ConspiracyRead the Press Release
The 40th and final defendant prosecuted as part of the District of South Carolina’s case against the Insane Gangster Disciples (IGD), a branch of the nationwide Folk Nation gang, was sentenced today.
“The incarcerated leadership of the IGD maintained the gang’s lucrative drug enterprise by ordering murders and terrorizing neighborhoods throughout South Carolina,” said Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division. “This vertical prosecution of 40 gang leaders, members, and associates has disrupted the criminal enterprise both inside and outside of prison. The case demonstrates the Department’s resolve to pursue and dismantle these organizations wherever they operate.”
According to court documents, the IGD was a sprawling criminal enterprise that included inmates within the South Carolina Department of Corrections (SCDC) who were gang leaders and used contraband cell phones to orchestrate murders, kidnappings, gun trafficking, and an international drug operation. James Robert Peterson, 35, of Gaffney; Edward Gary Akridge, 31, of Greenville; Matthew J. Ward, 39, of Lexington; and Juan Rodriguez, 43, of Woodruff, orchestrated the crimes from inside SCDC where they were inmates. IGD also included non-incarcerated members who committed crimes outside the prison system. In South Carolina, IGD was divided into three primary “sets,” each with its own leader.
“Contraband cellphones allowed gang leaders to perpetuate violence, traffic guns, and run an international drug operation from behind bars,” said U.S. Attorney Adair F. Boroughs for the District of South Carolina. “Through a years-long, multi-agency partnership with state, local, and federal law enforcement, we have dismantled this criminal enterprise and held accountable both the incarcerated defendants and those who enabled them. We will continue to vigorously investigate and prosecute inmates who use contraband phones to continue their criminal conduct from prison.”
Since the initial indictment in this case, all charged defendants have pleaded guilty to conspiracy under the Racketeer Influenced Corrupt Organizations (RICO) Act, the Violent Crimes in Aid of Racketeering (VICAR) statute, or to conspiracy to distribute and possess with intent to distribute narcotics (including methamphetamine, cocaine, heroin, and fentanyl). Ten defendants were charged with either VICAR murder or kidnapping resulting in death – all of whom pleaded guilty as charged.
Nineteen of the 40 defendants in the case were sentenced on racketeering charges to the following prison terms:
- Peterson, the leader of a gang set within IGD, was sentenced to life in prison after pleading guilty to RICO conspiracy and kidnapping resulting in death.
- Ward, the leader of a gang set within IGD, was sentenced to 23 years in prison after pleading guilty to RICO conspiracy.
- Akridge, the leader of a gang set within IGD, was sentenced to 30 years in prison after pleading to RICO conspiracy and VICAR murder.
- Aaron Michael Carrion, 31, of Lexington, a member of and enforcer for IGD, was sentenced to 35 years in prison after pleading guilty to RICO conspiracy and VICAR murder.
- Aaron Corey Sprouse, 31, of Gaffney, a member of IGD, was sentenced to 20 years in prison after pleading guilty to RICO conspiracy and VICAR kidnapping.
- Arian Grace Jeane, 29, of Greenville, a member of IGD, was sentenced to over 15 years in prison after pleading guilty to RICO conspiracy and aiding and abetting VICAR murder.
- Cynthia Rooks, 55, of Lexington, an associate of IGD, was sentenced to over 11 years in prison after pleading guilty to RICO conspiracy.
- Lisa Marie Bolton, 35, of Dallas, North Carolina, an associate of IGD, was sentenced to over 10 years in prison after pleading guilty to RICO conspiracy.
- Jonathan Eugene Merchant, 30 of Laurens, a member of IGD, was sentenced to 20 years in prison after pleading guilty to aiding and abetting VICAR murder.
- Joshua Lee Scott Brown, 25, of Greenville, a member of IGD, was sentenced to 20 years in prison after pleading guilty to aiding and abetting VICAR murder.
- Alex Blake Payne, 31, of Greenville, a member of IGD, was sentenced to over nine years in prison after pleading guilty to RICO conspiracy.
- Virginia Ruth Ryall, 46, of Gastonia, North Carolina, an associate of IGD, was sentenced to 17 years in prison after pleading guilty to RICO conspiracy.
- Sally Williams Burgess, 40, of Greenville, an associate of IGD, was sentenced to 15 years in prison after pleading guilty to RICO conspiracy.
- Jennifer Sorgee, 39, of Easley, an associate of IGD, was sentenced to 10 years in prison after pleading guilty to RICO conspiracy.
- Heather Henderson Orrick, 36, of Greenville, an associate of IGD, was sentenced to 10 years in prison after pleading guilty to RICO conspiracy.
- Crystal Nicole Bright, 43, of Lexington, a member of IGD, was sentenced to over five years in prison after pleading guilty to RICO conspiracy.
- Lisa Marie Costello, 46, of Gaffney, an associate of IGD, was sentenced to over four years in prison after pleading guilty to RICO conspiracy.
- Amber Hoffman, 39, of Lexington, an associate of IGD, was sentenced to over five years in prison after pleading guilty to RICO conspiracy.
- Clifford Kyzer, 38, of Lexington, an associate of IGD, was sentenced to over 11 years in prison after pleading guilty to RICO conspiracy.
Twenty-one other defendants in this case have also been sentenced to charges stemming from the IGD’s far-reaching narcotics organization after pleading guilty to narcotics distribution conspiracy, possession with intent to distribute narcotics, and/or firearms offenses and related charges. The following are those defendants and their prison terms:
- Rodriguez was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Samuel Dexter Judy, 31, of Lexington, was sentenced to 13 years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Kelly Jordan, 37, of Williamston, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Richard Ford, 65, of Lexington, was sentenced to seven years in prison after pleading guilty to conspiracy to distribute a controlled substance and related charges.
- Brian Bruce, 51, of West Columbia, was sentenced to four years of supervised release after pleading guilty to conspiracy to distribute a controlled substance.
- Montana Barefoot, 28, of Lexington, was sentenced to five years of supervised release after pleading guilty to conspiracy to distribute a controlled substance.
- John Johnson, 39, of Gaston, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Kelly Still, 46, of Windsor, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Benjamin Singleton, 49, of Lexington, was sentenced to over nine years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Kyla Mattoni, 41, of Lexington, was sentenced to six years in prison after pleading guilty to conspiracy to distribute a controlled substance, felon in possession of a firearm, and related charges.
- Alexia Youngblood, 41, of Lexington, was sentenced to five years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Rebecca Martinez, 36, of Lexington, was sentenced to five years of supervised release after pleading guilty to conspiracy to distribute a controlled substance.
- Mark Edward Slusher, 49, of Lexington, was sentenced to over seven years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Robert Figueroa, 46, of West Columbia, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Britney Shae Stephens, 35, of Anderson, was sentenced to five years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Matthew Edward Clark, 44, of York, was sentenced to three years of supervised release after pleading guilty to conspiracy to distribute a controlled substance.
- Catherine Amanda Ross, 31, of Gaffney, was sentenced to over 10 years in prison after pleading guilty to aiding and abetting kidnapping.
- Brandon Lee Phillips, 39, of Gaffney, was sentenced to time served after serving approximately four years in prison, followed by two years of supervised release, after pleading guilty to conspiracy to distribute a controlled substance.
- Billy Wayne Ruppe, 58, of Gaffney, was sentenced to six years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Windy Brooke George, 24, of Gaffney, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute a controlled substance.
- Tiffanie Brooks, 39, of Columbia, was sentenced to over three years in prison after pleading guilty to conspiracy to distribute a controlled substance.
In connection with the investigation and prosecution of this case, law enforcement seized approximately 40 kilograms of methamphetamine, more than 130 firearms, and various quantities of heroin and fentanyl.
“ATF joined our local, state, and federal partners in a very dedicated and focused effort to make a long-lasting impact on the level of gun violence and gang activity in South Carolina,” said Acting Special Agent in Charge Brian Mein of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). “We brought some extremely dangerous individuals to justice and recovered over a hundred firearms from a criminal organization intent on harming our communities. Disrupting these major criminal networks will have a significant impact on public safety across the state.”
“This sentence marks the end of an era for a violent organization responsible for a multitude of criminal activities across South Carolina that negatively impacted the way of life for many communities,” said Special Agent in Charge Steve Jensen of the FBI Columbia Field Office. “The FBI and our law enforcement partners are committed to dismantling complex criminal enterprises and ensuring that our communities are safe and secure.”
The case is the result of a multi-agency effort to dismantle the IGD by the ATF, FBI, Lexington County Sheriff’s Department, Lexington County Multi-Agency Narcotics Enforcement Team SCDC, Greenville County Sheriff’s Office, Anderson County Sheriff’s Office, South Carolina Law Enforcement Division, Cherokee County Sheriff’s Office, Laurens County Sheriff’s Office, and Richland County Sheriff’s Department. The South Carolina Attorney General’s Office, Fifth Circuit Solicitor’s Office, Eighth Circuit Solicitor’s Office, Eleventh Circuit Solicitor’s Office, and Thirteenth Circuit Solicitor’s Office provided valuable assistance.
Trial Attorney Rebecca Dunnan and Principal Deputy Kim S. Dammers of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Justin Holloway for the District of South Carolina prosecuted the case. Attorneys Brandon B. Hinton, formerly of the U.S. Attorney’s Office, and Lisa K. Man, formerly of the Organized Crime and Gang Section, also assisted with the case.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), the centerpiece of the Justice Department’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Federal Grand Jury Indicts Anchorage Man on Child Pornography, Attempted Enticement ChargesRead the Press Release
ANCHORAGE, Alaska – A federal grand jury in Alaska returned an indictment today charging an Anchorage man with allegedly attempting to entice a minor to engage in illegal sexual activity.
According to court documents, Peter Joseph Hickel Jr., 33, was arrested on July 25 near Sunset Park in Anchorage after communicating with and attempting to meet an individual that he believed to be a 12-year-old girl.
Hickel is charged with attempted production of child pornography in violation of 18 U.S.C. §2251(a), attempted coercion and enticement of a minor in violation of 18 U.S.C. §2422(b), and possession of child pornography in violation of 18 U.S.C. §2251A(a)(5). If convicted, Hickel faces a mandatory minimum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney S. Lane Tucker for the District of Alaska; and Special Agent in Charge Antony Jung of the FBI Anchorage Field Office made the announcement.
The FBI’s Anchorage Field Office is investigating the case. If anyone has any information concerning Hickel’s alleged actions or may have encountered him in person, via text message or on an online messaging app, please contact the FBI Anchorage Field Office at (907) 276-4441 or anonymously online at tips.fbi.gov.
Assistant U.S. Attorney Jennifer Ivers is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices, Project Safe Childhood combines federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Franklin Man Pleads Guilty to COVID-19 Relief Fraud, Bank Fraud, and Money-LaunderingRead the Press Release
NASHVILLE – John Paul Dillon, 40, of Franklin, Tennessee pleaded guilty today in U.S. District Court to fraud in connection with COVID-19 relief programs, mortgage fraud, and money laundering, announced United States Attorney Henry C. Leventis for the Middle District of Tennessee.
Dillon pleaded guilty to one count of bank fraud, one count of wire fraud, and one count of money-laundering related to fraudulent loan applications submitted in connection with the Payroll Protection Program (“PPP”) and the Economic Injury Disaster Loan Program. In support of federal loan applications, Dillon falsely claimed he and others earned hundreds of thousands of dollars in income from a “ride-share business” and also falsely claimed Dillon operated a company which paid over $500,000 in wages to employees.
In addition to the pandemic-related charges, Dillon pleaded guilty to one count of bank fraud stemming from a fraudulent loan application he submitted to finance a $470,000 mortgage. Among other things, Dillon submitted a falsified bank statement in support of this loan application.
Dillon obtained almost $1,000,000 through his fraud. In addition to agreeing to the entry of money judgments against him, Dillon has agreed to forfeit his residence, two late-model automobiles, and a pontoon boat.
Dillon’s sentencing has been set for March 4, 2024. He faces up to 30 years’ imprisonment and a fine of up to $1,000,000 on each of the bank fraud counts; up to 20 years’ imprisonment and a fine of up to $250,000 on the wire fraud count; and up to 10 years’ imprisonment and a fine of up to $250,000 on the money-laundering count.
This case was investigated by the Federal Deposit Insurance Corporation, Office of Inspector General; the Federal Bureau of Investigation; the Small Business Administration, Office of Inspector General; and the U.S. Treasury Inspector General for Tax Administration. Assistant U.S. Attorney Taylor J. Phillips is prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Eastern Oregon Man Caught with Methamphetamine and a Stolen Firearm While on Supervised Release Sentenced to Federal PrisonRead the Press Release
MEDFORD, Ore.—An Eastern Oregon man with a lengthy criminal history was sentenced to federal prison today after he was arrested with more than two pounds of methamphetamine and a stolen firearm while on supervision following his release from state prison.
Tom Raymond Carroll, 39, was sentenced to 151 months in federal prison and five years’ supervised release.
According to court documents, in February 2021, special agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) identified Carroll as a drug dealer operating in Baker and Malheur Counties in Eastern Oregon. Carroll had recently been released from Oregon state prison following convictions for drug trafficking and illegally possessing a firearm. On February 20, 2021, law enforcement conducted a controlled purchase of methamphetamine and heroin from Carroll. During the transaction, Carroll warned the purchasers to be careful because someone had recently died from the drugs he was distributing.
In early May 2021, law enforcement obtained and executed state search warrants for Carroll’s vehicle and person and a hotel room he was renting in Baker City, Oregon. A backpack found in his hotel room contained more than two pounds of methamphetamine, a stolen firearm, drug ledgers and paraphernalia, and more than $20,000 in cash.
On May 20, 2021, a federal grand jury in Medford returned a three-count indictment charging Carroll with possessing with intent to distribute methamphetamine, illegally possessing a firearm as a convicted felon, and possessing a firearm in furtherance of a drug trafficking crime. On March 20, 2023, Carroll pleaded guilty to possessing with intent to distribute methamphetamine.
This case was investigated by ATF with assistance from the Baker City Police Department, Baker County Sheriff’s Office, Malheur County Sheriff’s Office, Ontario Police Department, and Oregon State Police. It was prosecuted by Marco A. Boccato, Assistant U.S. Attorney for the District of Oregon.
EDVA Provides Updates on Grant Awards for Project Safe Neighborhood InitiativesRead the Press Release
RICHMOND, Va. – Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia (EDVA), today announced the awarding of over $250,000 in grant funding for Project Safe Neighborhood (PSN) initiatives.
“Violence in our community has many causes,” said Aber. “Criminal prosecution of violent offenders is only one solution. As a result, we emphasize violence prevention and intervention programs and support them with federal resources. The grants awarded through our PSN program will go directly to fostering local efforts that tackle those root causes.”
In May, EDVA announced the continued availability of grant funding for PSN initiatives. On June 22 the PSN Grant Committee selected three applicants to receive funds: the RVA League for Safer Streets; Project Safe, Alive, and Free (SAF); and Parents Against Bullying Virginia (PABVA).
RVA League for Safer Streets will receive $54,340 for their Midnight Basketball League program in Richmond where youth will be engaged in workshops on topics such as conflict resolution before playing basketball together.
Project SAF will receive $56,500 to support a Group Violence Intervention effort in Hopewell and the surrounding Tri-Cities area that pairs community violence intervention methods and intense life coaching with a trauma-based violence intervention program. This program also works collaboratively with Assistant United States Attorneys from EDVA’s Richmond Division.
PABVA will receive $160,333 to support anti-bullying programs in the Newport News public school system including “Girl & Gent Talk” group sessions with at-risk youth and the STAR Bright Kidz Puppet program.
PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
In addition to PSN efforts, the U.S. Attorney’s Office is working in support of the Richmond Police Department’s Safe Summer initiative by collaborating on investigations and aggressively pursuing charges against defendants identified as meeting these criteria and pushing for appropriately accountable sentences.
These efforts are in line with the Department of Justice’s summer anti-violent crime strategy, which includes reinforcing the importance of identifying, investigating, and prioritizing the prosecution of those who are responsible for the greatest violence in our communities.
In the fall, the U.S. Attorney’s Office for the Eastern District of Virginia anticipates that it will announce the availability of approximately $500,000 in PSN grant funding. The PSN Grant Committee is currently prioritizing three regions impacted most by violent crime—Richmond, Newport News, and Norfolk—but will evaluate grant applications from across the Eastern District.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Drywall Contractor Sentenced to 18 Months for Tax EvasionRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Gustavo Reyes, 52, Verona, Wisconsin, was sentenced today by U.S. District Judge William M. Conley to 18 months in prison for tax evasion. Reyes pleaded guilty to this charge on May 24, 2023.
Between 2013 and 2020, Reyes owned and operated a drywall business in Dane County. In 2015, the Internal Revenue Service (IRS) commenced a civil audit of Reyes’s income tax returns for 2013 and 2014 and determined that he had significantly underreported his income for those years. Between 2015 and 2019, the IRS sent multiple notices to Reyes regarding tax deficiency assessments for the 2013 and 2014 tax years but he did not respond.
On December 22, 2014, the IRS filed a tax lien for tax year 2013 against Reyes in an attempt to collect tax due and owing. On February 9, 2017, the IRS filed a tax lien for tax year 2014 against Reyes. The IRS continued its collection efforts in 2018 by sending a letter to Reyes and filing levies against several of his business bank accounts. Despite the IRS’s collection efforts, Reyes failed to pay any of his tax debt.
Beginning with tax year 2018 and continuing to 2020, Reyes worked with others to create five nominee entities in Dane County through which he operated his drywall business, including Royal LLC, American Drywall, and Morales Construction. By operating his drywall business through the nominee entities, Reyes attempted to defeat IRS collection efforts for tax years 2013, 2014, 2016, 2017, and 2018. In addition, Reyes avoided IRS liens and levies by operating in large amounts of cash that he received from cashing checks at different establishments around the Madison area. In total, Reyes owes $557,907.19 in unpaid taxes.
At the sentencing hearing, Judge Conley stated that the IRS had made “remarkable efforts” to handle Reyes’s failure to pay taxes as a civil matter, but Reyes inexplicably chose to ignore the IRS’s communications. Judge Conley also stated that Reyes made a bad situation with the IRS worse when he “doubled down” and used other people to create fictitious companies in an attempt to avoid the IRS’s liens and levies.
The charge against Reyes was a result of an investigation conducted by IRS Criminal Investigation and the Wisconsin Department of Workforce Development. The prosecution of the case has been handled by Assistant U.S. Attorney Aaron Wegner.
Drunk Driver Sentenced to 12 Years in Prison for Second Degree MurderRead the Press Release
PHOENIX, Ariz. – Derwin Davis Tsosie, Jr., 26, of Tuba City, Arizona, was sentenced by United States District Judge Douglas L. Rayes on Monday to 12 years in prison, followed by five years of supervised release. Tsosie pleaded guilty to Second Degree Murder.
On November 14, 2022, Tsosie was driving at approximately 135 miles per hour when he hit the victims’ car from behind, killing the driver and seriously injuring the passenger. Tsosie’s blood alcohol concentration was .323, more than four times the legal limit. At the time of the crash, Tsosie’s license was suspended for a previous DUI arrest. The crime occurred on the Navajo Nation Indian Reservation, where Tsosie is an enrolled member.
The Navajo Nation Division of Public Safety, Arizona Department of Public Safety, and Federal Bureau of Investigation conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Phoenix handled the prosecution.
CASE NUMBER: CR 23-8019-PCT-DLR
RELEASE NUMBER: 2023-124_Tsosie# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Destrehan Man Pleads Guilty to $11.4 Million Medicare and Medicaid Fraud SchemeRead the Press Release
NEW ORLEANS, LOUISIANA – CRAIG L. LOVELACE, age 53, a resident of Destrehan, pled guilty to defrauding Medicare and Medicaid of approximately $11.4 million in medically unnecessary durable medical equipment (“DME”), announced U.S. Attorney Duane A. Evans.
The government filed a bill of information charging LOVELACE with healthcare fraud, in violation of Title 18, United States Code, Section 1347. According to court documents, from approximately January 2016 through June 2022, LOVELACE, through his company Advanced Medical Equipment Inc., billed Medicare and Medicaid for durable medical equipment (“DME”) that was medically unnecessary. That included equipment for respiratory support and nutritional support, including ventilators, tracheostomy supplies, and feeding tubes. In reality, those items were medically unnecessary, not ordered, or not provided as represented. In some instances, the patients had already died. LOVELACE billed Medicare and Medicaid approximately $11.4 million in connection with this scheme, and his company was reimbursed over $7.9 million. To cover up his scheme, LOVELACE directed the falsification of documents, including medical records, order forms, and supporting documentation, in response to Medicare audits and record requests. The falsification of documents included forging provider signatures, medical notes, and dates, as well as using tape, white-out, and scissors, to make it falsely appear that the audited DME was ordered and delivered.
LOVELACE faces up to ten years in prison. LOVELACE also faces up to three years of supervised release after release from prison, a fine of up to $250,000 or twice the gross gain to LOVELACE or the gross loss to any victims, and a mandatory $100 special assessment fee.
U.S. District Judge Jane Triche Milazzo set the sentencing hearing for November 29, 2023.
U.S. Attorney Evans praised the work of the Health and Human Services Office of Inspector General and the Louisiana Medicaid Fraud Control Unit. U.S. Department of Justice Trial Attorneys Kelly Walters and Samantha Stagias of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Nicholas Moses, Health Care Coordinator for the Eastern District of Louisiana, are prosecuting the case.
Darknet Vendor Sentenced for Distribution of Fentanyl-Laced Pills and Crystal MethRead the Press Release
ALEXANDRIA, Va. – A Glendale, Arizona, man was sentenced today to 42 months in prison for distributing fentanyl-laced pills and crystal meth on the darknet.
According to court documents, Justin Udvardi, 30, operated several darknet vendor pages using the moniker “TrapGod.” For a period of at least two years, he used the darknet to make hundreds of narcotics sales to people around the country, including crystal methamphetamine, MDMA, and counterfeit oxycodone pills laced with fentanyl. He also trafficked in stolen credit card information, and materials that assist fraudsters in creating fraudulent identification documents. Between September 2021 and September 2022, undercover law enforcement agents located in the Eastern District of Virginia conducted several controlled purchases of either crystal meth or fentanyl-laced counterfeit oxycodone pills from Udvardi. Together, these orders contained more than 120 grams of pure methamphetamine and more than 250 pills containing fentanyl. Udvardi used USPS Priority Mail envelopes to ship the narcotics from Arizona to locations in the Eastern District of Virginia.
The darknet, also called the darkweb, is a portion of the Internet that hosts darknet markets or hidden commercial websites. A darknet market operates as a black market, selling or brokering transactions involving legal products as well as drugs, weapons, counterfeit currency, stolen credit card details, forged documents, unlicensed pharmaceuticals, steroids, and other illicit goods.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division; and Damon E. Wood, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by U.S. District Judge Michael S. Nachmanoff.
Assistant U.S. Attorney Jordan Harvey prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-225.
Convicted Felon Indicted for Possessing Four FirearmsRead the Press Release
CONCORD – A former Dover man was indicted in connection with illegally possessing four firearms, U.S. Attorney Jane E. Young announces.
Christopher T. Brown, 37, was indicted on one count of being a felon in possession of a firearm. Brown was arrested in Fort Belvoir, Virginia, on Saturday, August 12, 2023, and was ordered detained by a U.S. Magistrate Judge in Alexandria, Virginia. Law enforcement will transport Brown to appear in federal court in Concord at a later date.
According to the charging documents, Brown is a convicted felon and was legally prohibited from possessing firearms. However, on January 9, 2023 in Dover, Brown possessed four firearms, including two 9 mm pistols, a .40 caliber rifle, and a 12-gauge sawed-off shotgun with no serial number.
Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) led the investigation. Valuable assistance was provided by the Dover Police Department. Assistant U.S. Attorney Alexander S. Chen is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Columbia Man Sentenced to More Than a Decade in Federal Prison After Pleading Guilty to Drug and Firearms ChargesRead the Press Release
COLUMBIA, SOUTH CAROLINA — Darrell Akeem Sanders, 32, of Columbia, was sentenced to more than 13 years in federal prison after pleading guilty to conspiracy to possess with intent to distribute and to distribute cocaine, crack cocaine, and fentanyl, and possessing a firearm in furtherance of drug trafficking.
Evidence presented to the court showed that, on September 12, 2019, a Deputy with Richland County Sheriff’s Department made a traffic stop on a car in which Sanders was the front seat passenger. In a search of the car, law enforcement found a loaded Taurus 9mm handgun under the seat where Sanders had been sitting and a pill bottle containing approximately 4 grams of crack cocaine in the center console. Sanders admitted both the crack and the gun were his.
Additional investigation revealed Sanders was a distributor in a drug trafficking conspiracy operating in and around Columbia. Over the course of two years, Sanders helped distribute more than 3 kilograms of crack cocaine as well as quantities of both cocaine and fentanyl.
United States District Judge Mary Geiger Lewis sentenced Sanders to 157 months in prison followed by a 4-year term of court-ordered supervision]. There is no parole in the federal system.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Richland County Sheriff’s Department and the Drug Enforcement Administration. Assistant U.S. Attorney Katherine Flynn prosecuted the case.
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Columbia Man Sentenced to 37 Months in Federal Prison for Possession of a FirearmRead the Press Release
COLUMBIA, SOUTH CAROLINA — Jeffrey Wilson Walker, 35, of Columbia was sentenced to 37 months in federal prison after pleading guilty to being a felon in possession of a firearm.
Evidence presented to the court showed that on July 16, 2021, an officer with the City of Columbia Police Department responded to a call involving Walker. When the initial officer arrived, he found Walker asleep in the driver’s seat of a stationary car that had crashed into a mailbox. The driver’s side window was down, and the officer saw a firearm in Walker’s lap. The officer removed the loaded gun from Walker’s lap, and when other officers arrived, they attempted to wake Walker up.
Once Walker was awake, he appeared to be intoxicated and refused to get out of the car after multiple commands from officers. The officers used OC spray and physically removed Walker from the car. After Walker was removed from the vehicle, the officers called EMS to treat Walker for the OC spray. During an inventory search of Walker’s car, law enforcement found another handgun in a bag.
Federal law prohibits Walker from possessing firearms and ammunition based on a prior conviction for Armed Robbery.
United States District Judge Mary Geiger Lewis sentenced Walker to 37 months in prison, to be followed by a two-year term of court-ordered supervision. There is no parole in the federal system.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the City of Columbia Police Department. Assistant U.S. Attorney Lamar J. Fyall is prosecuting the case.
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Columbia Gang Member Sentenced to over 17 Years in Federal Prison for Gun and Drug OffensesRead the Press Release
COLUMBIA, SOUTH CAROLINA —Erick Stewart, 28, of Columbia, was sentenced to more than 17 years in federal prison after pleading guilty to possession of a firearm by a felon and possession with the intent to distribute fluorofentanyl, fentanyl, cocaine, methamphetamine, marijuana, and tramadol.
Evidence presented to the court showed that the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Richland County Sheriff’s Department (RCSD) began investigating Stewart for drug- and gun-related activity in the beginning of 2021. During their investigation, they documented social media posts of Stewart posting guns and advertising drugs.
After months of surveillance, on May 5, 2021, RCSD obtained and executed a search warrant at Stewart’s home. They seized counterfeit prescription pills, over 900 grams of marijuana, and a pistol. One group of counterfeit pills contained fluorofentanyl, fentanyl, meth, and tramadol, and another contained methamphetamine and cocaine. The counterfeit pills were similar to the pills posted by Stewart on social media.
On June 20, 2021, a City of Columbia Police Department officer attempted to conduct a traffic stop on a car driven by Stewart. Stewart ran from the car and fled between nearby houses. While Stewart ran, he was holding his waistband. The officer pursued Stewart, who gave himself up once he ran past the houses. Officers retraced the path that Stewart ran and found that he had discarded a gun between the houses.
Before these incidents, Stewart was a known gang member with convictions for assault and battery of a high and aggravated nature and possession with intent to distribute methamphetamine, as well as multiple convictions for burglary. All of those convictions prohibited him from possessing firearms or ammunition under federal law.
Senior United States District Judge Cameron McGowan Currie sentenced Stewart to 212 months in prison, to be followed by a six-year term of court-ordered supervision. There is no parole in the federal system.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Richland County Sheriff’s Department, and the City of Columbia Police Department. Assistant U.S. Attorney Lamar J. Fyall is prosecuting the case.
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Colombian National Sentenced to Federal Prison for East Texas Drug TraffickingRead the Press Release
SHERMAN, Texas - A Colombian national has been sentenced to over 21 years in federal prison for trafficking drugs through the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Luis Fernando Toro Londono, also known as Don Alonso, La Vaca, and Don Hector, 56, of Medellin, Colombia, pleaded guilty to conspiracy to manufacture and distribute cocaine knowing it would be distributed in the United States and was sentenced to 262 months in federal prison today by U.S. District Judge Amos L. Mazzant.
According to information presented in court, in August 2017, federal drug agents were investigating a drug trafficking organization moving drugs from Colombia to Mexico via Costa Rica and Panama for eventual distribution of multi-ton quantities of cocaine in the United States. The organization used Go-Fast vessels and aircraft to transport most of their cocaine shipments to Central America and Mexico.
Londono was identified as a Colombian based cocaine investor, smuggler, and money launderer that coordinated the dispatch of large cocaine shipments and coordinated the movement of drug proceeds throughout multiple countries and several cities in the United States.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The case was investigated by the Drug Enforcement Administration in Dallas and Colombia and prosecuted by Assistant U.S. Attorney Ernest Gonzalez.
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Collin County Man Sentenced to Life in Federal Prison for Crimes Related to Carrollton MurderRead the Press Release
SHERMAN, Texas – An Allen man, convicted of multiple federal violations related to a fraud scheme that included the murder of a Carrollton man, has been sentenced to life in federal prison, announced Eastern District of Texas U.S. Attorney Damien M. Diggs.
Keith Todd Ashley, 51, was found guilty by a jury of wire fraud, mail fraud, carrying a firearm in relation to a crime of violence and bank fraud in October 2022. Ashley was sentenced to life in federal prison today by U.S. District Judge Amos L. Mazzant.
According to information presented at trial, beginning in 2016, Ashley, a registered nurse who also began working as a financial advisor and life insurance agent, started stealing money from his clients. Ashley promised his clients he would invest their money in financial products but instead used the funds to pay other clients, to keep his struggling brewery in business, to pay his personal bills and to fund a lavish lifestyle. In May 2016, Ashley began stealing investment funds from a Carrollton man. This scheme included transferring the client’s money into his personal accounts and changing the beneficiary of the man’s life insurance to a trust controlled by Ashley. The scheme eventually resulted in the Feb. 19, 2020, murder of the client, which Ashley attempted to stage as a suicide. Even after the client was killed, Ashley went through elaborate steps to collect on the life insurance policy, transfer funds from the victim’s bank account to himself, and attempt to obtain a copy of the victim’s autopsy report. Ashley was indicted by a federal grand jury on Nov. 12, 2020, and has been charged with various federal violations, including wire fraud, mail fraud and firearms violations.
“Today’s sentence brings a sense of relief and justice to the victim’s family and friends, who have endured pain and grief as a result of the defendant’s horrific actions,” said U.S. Attorney Damien M. Diggs. “Mr. Ashley’s actions of defrauding and ultimately taking the victim’s life is reprehensible and indefensible. I’m grateful to our local and federal law enforcement partners who worked tirelessly on this case. Their dedication was essential in bringing this defendant to justice.”
“Keith Ashley funded his lavish lifestyle and attempted to rescue his failing business by robbing his clients of financial security, and when that wasn’t enough, he robbed one of his life,” said Dallas FBI Special Agent in Charge Chad Yarbrough. “Many local and federal resources came together to seek justice for the victims, and our hope is that today’s sentence can bring continued healing to the families and friends who will be forever impacted by the greed and deceit caused by the defendant.”
This case was investigated by the Federal Bureau of Investigation – Frisco Resident Agency, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Dallas County District Attorney’s Office, and the Carrollton Police Department. This case was prosecuted by Assistant U.S. Attorneys Heather Rattan and Jay Combs and Special Assistant U.S. Attorney Jason Fine.
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