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25 July 2023
Virginia Man Sentenced to Federal Prison for Conspiring to Violate Iranian SanctionsRead the Press Release
Greenbelt, Maryland – U.S. District Judge Lydia K. Griggsby today sentenced Behrouz Mokhtari, age 72, of McLean, Virginia and Tehran, Iran, a native of Iran and a naturalized citizen of the United States, to 41 months in federal prison, followed by three years of supervised release, for violating U.S. sanctions against Iran by conspiring to engage in prohibited business activities on behalf of persons and entities in Iran. Judge Griggsby also ordered Mokhtari to forfeit approximately $2,862,598 in proceeds derived from his criminal activity as well as a residence he purchased in Campbell, California for over $1.5 million, using such proceeds. Mokhtari pleaded guilty earlier this year to two counts of conspiracy to violate the International Emergency Economics Power ACT (“IEEPA”).
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division; and Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office.
“This defendant knew that he was prohibited from engaging in business with Iran, but did so anyway and attempted to conceal his actions through his control of businesses and financial entities in Iran and the United Arab Emirates,” said United States Attorney Erek L. Barron. “Now, he will not only serve time in federal prison, he will forfeit cash and property purchased with his ill-gotten proceeds.”
According to his guilty plea, in one conspiracy that lasted from at least March 2018 until at least September 2020, Mokhtari agreed with his co-defendant and others to evade Iranian sanctions by engaging in business activities on behalf of Iranian entities without first obtaining the required licenses from the Office of Foreign Assets Control (“OFAC”).
Mokhtari held management positions and/or maintained ownership control of multiple businesses in Iran and the United Arab Emirates (“UAE”), referred to collectively as “the FSR Network.” Mokhtari and his co-conspirators used the FSR Network to provide services to Iranian entities and engage in transactions involving Iranian petrochemical products, including refining petrochemical products and transporting them by sea. Mokhtari and his co-conspirators used bank accounts located in the UAE, including Bitubiz FZE, which was part of the FSR Network and over which Mokhtari exercised partial or complete control, to process these U.S. dollar transactions.
Mokhtari admitted that Bitubiz operated as a conduit for the FSR Network to conceal the fact that Mokhtari and his co-conspirators were engaging in financial transactions with, and providing services to, Iranian entities in violation of the Iranian sanctions. Bitubiz maintained daily ledgers which recorded the receipt and transfers of funds. After receiving an incoming wire transfer, Bitubiz would credit most of that amount to Ayegh Isfahan Manufacturing Company (“AIM”). Mokhtari and others held ownership interests in AIM, which was located in Iran, was engaged in the petrochemical industry, and was part of the FSR Network.
As stated in his guilty plea, in a separate conspiracy that lasted from about February 2013 until at least June 2017, Mokhtari and a number of Iranian nationals agreed to conduct illicit shipments of petrochemical products to and from Iran, in violation of the Iranian sanctions and used the U.S. financial system to facilitate such shipments. In furtherance of the scheme, Mokhtari created a front company in Panama, East & West Shipping, Inc., to purchase two liquid petroleum gas (LPG) tanker vessels for approximately $38 million. These vessels were subsequently used to transport Iranian petrochemical products in international commerce on behalf of, and to benefit, Iranian entities associated with the Government of Iran.
After using East & West to purchase the two vessels (LPG Vessel 1 and 2), Mokhtari transferred ownership of the vessels to other entities, in order to conceal the conspirators’ financial and ownership interest in the two vessels. The conspirators then used another entity, Greenline Shipholding, Inc., to control operations of LPG Vessels 1 and 2. For example, through email communications from Greenline email accounts, or email accounts containing some variation of the Greenline name, the conspirators directed Company 5, a ship management company, to oversee the leasing and operation of LPG Vessel 1 and 2 to transport Iranian petrochemical products from Iranian ports to other locations and to participate in ship-to-ship transfers of Iranian products while on the high seas.
The conspirators, including Mokhtari, used the United States financial system to engage in transactions related to the hiring of the vessels and other expenses. In addition, Mokhtari and his co-conspirators frequently communicated by email about the nature and source of the products that the vessels were transporting, as well as the use of false shipping documents and other measures taken to conceal the fact that the vessels were transporting products to and from Iran, in order to evade the Iranian sanctions.
At some point prior to May 2017, ownership of LPG Vessel 1 was transferred to Russell Shipping, Inc., which was owned by Mokhtari. On May 30, 2017, Mokhtari sold LPG Vessel 1 to be scrapped for more than $3.1 million. Mokhtari received a total of $2,862,591.12 from that sale. The purchaser wired funds to accounts at two separate banks held in the name of Mori Construction and Development, LLC (Mori Construction). Mokhtari was the sole owner of Mori Construction and controlled both bank accounts. Through a series of inter-account transfers and check payments, by September 2017 all of the proceeds from the sale of LPG Vessel 1 were located in a third account, over which Mokhtari and his daughter had signature authority. In March 2018, Mokhtari used those proceeds to purchase a home in Campbell, California for $1,512,000.
Mokhtari admitted that he knew that, as a U.S. citizen, engaging in business with Iranian entities, without first obtaining a license or permission from OFAC is prohibited. He further knew that it was illegal to engage in transactions intended to evade Iranian sanctions, or to engage in transactions related to goods and services of Iranian origin or export.
United States Attorney Erek L. Barron commended FBI for its work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Kathleen O. Gavin, who prosecuted the case, with valuable assistance provided by the National Security Division’s Counterintelligence and Export Control Section.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md.
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Vermont Man Sentenced to 5 Years in Prison for Trafficking Methamphetamine and Cocaine in New HampshireRead the Press Release
CONCORD – A Vermont man was sentenced in federal court in Concord for unlawfully possessing quantities of methamphetamine and cocaine in New Hampshire, U.S. Attorney Jane E. Young announces.
Damien Rousseau, Jr., 31, formerly of Vershire, Vermont was sentenced by U.S. District Court Chief Judge Landya B. McCafferty to 60 months in prison and three years of supervised release. On April 10, 2023, Rousseau plead guilty to unlawful possession with the intent to distribute methamphetamine and cocaine.
“This office is committed to prosecuting drug traffickers who possess firearms and large quantities of narcotics for distribution in New Hampshire, and surrounding states, to the fullest extent of the law,” said U.S. Attorney Young. “Methamphetamine and cocaine are insidiously dangerous drugs that continue to ravage New Hampshire. Thanks to the coordinated efforts of federal, state, and local law enforcement, the defendant was brought to justice and our communities will be free from his drug dealing.”
“DEA is committed to investigating and dismantling Poly Drug Trafficking Organizations like this one headed by Mr. Rousseau, who are responsible for distributing drugs like methamphetamine and cocaine to the citizens of New Hampshire,” said DEA Special Agent in Charge Brian D. Boyle. “Illegal drug distribution ravages the very foundations of our families and communities so every time we take these poisons off the streets, lives are saved. This investigation demonstrates the strength of collaborative local, state and federal law enforcement efforts and our strong partnership with the U.S. Attorney’s Office.”
On May 11, 2022, Dartmouth Hitchcock Medical Center security personnel determined that Rousseau was in a patient’s room while in possession of a bag that contained a small quantity of narcotics and a drug ledger. The Lebanon Police Department responded and observed that Rousseau’s BMW vehicle, in the medical center’s parking-lot, had methamphetamine and drug paraphernalia. A drug detecting canine also alerted the presence of narcotics in the vehicle. The defendant was arrested and released on bail. The following day, May 12, 2022, the Lebanon Police Department observed Rousseau trespassing in their secure-impound lot. After finding him hidden in the BMW, officers arrested him and executed a search warrant on the vehicle. Law Enforcement seized approximately 436 grams of methamphetamine, 98.66 grams of cocaine, 10.5 grams of fentanyl, three loaded firearms, assorted loose ammunition, $2,179, and 20 assorted silver and gold-colored coins.
This matter was investigated by the United States Drug Enforcement Administration- Manchester District Office and Burlington Vermont Resident Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Lebanon Police Department, and the Vermont State Police. The case is being prosecuted by Assistant U.S. Attorney Jennifer C. Davis.
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United States Returns Manuscript Signed by Conquistador Hernando Cortés in 1527 to Mexico's National ArchivesRead the Press Release
BOSTON – A nearly 500-year-old manuscript signed by Conquistador Hernando Cortés in 1527 has been returned to the Archivo General de la Nación de México – Mexico’s national archives located in Mexico City. On July 19, 2023, the United States Attorney’s Office for the District of Massachusetts, along with representatives from the Federal Bureau of Investigation, participated in a formal repatriation ceremony at Mexico’s national archives, where the manuscript is believed to have been unlawfully removed from sometime before 1993. In November 2022, the U.S. Attorney’s Office filed a civil forfeiture action against the manuscript to ensure its lawful return. It is a violation of federal law to transport or receive stolen goods valued at more than $5,000 that have traveled in foreign or interstate commerce.
“After missing for decades, thanks to incredible international collaboration and persistence the Cortés manuscript is finally where it belongs back in Mexico, where it will remain a treasured part of Mexico’s history and heritage,” said Acting U.S. Attorney Joshua S. Levy. “I want to commend the asset recovery prosecutors in the U.S. attorney’s office whose hard work and dedication led to the return of this priceless and historically important artifact. We were honored to have assisted in this effort.”
The manuscript is a payment order signed by Cortés on April 27, 1527 authorizing the purchase of rose sugar for the pharmacy in exchange 12 gold pesos. It is believed to be one of several documents unlawfully removed from a collection of documents concerning a Spanish expedition to Central America in 1527 that is housed in Mexico’s national archives.
According to the civil complaint, in early 2022, an individual consigned the Cortés manuscript for online auction at a Massachusetts auction house. Mexican authorities alerted federal authorities in the United States that the manuscript being auctioned appeared to have been stolen. In turn, the auction house removed the manuscript from the upcoming auction and the manuscript was recovered.
The United States Attorney’s Office obtained a final order of forfeiture on February 27, 2023, and thereafter the Department of Justice authorized the manuscript’s return to Mexico.
“We are incredibly honored to be able to assist in the return of this national treasure to the people of Mexico. This manuscript, which is nearly five centuries old, preserves an important part of Mexico’s history, and reflects the FBI’s ongoing commitment to protect cultural heritage, not only in the United States but around the world,” said Christopher DiMenna, Acting Special Agent in Charge of the Federal Bureau of Investigation Boston Division. “The recovery of this priceless artifact is a direct result of our close and ongoing collaboration with the government of Mexico, and we are very thankful for their partnership.”
Anyone with information on stolen art and cultural property are encouraged to contact the FBI at 1-800-CALL FBI (1-800-225-5324). Tips may also be submitted online at https://tips.fbi.gov/.
Acting U.S. Attorney Levy and FBI Acting SAC DiMenna made the announcement. The civil forfeiture action was prosecuted by Assistant U.S. Attorney Carol E. Head, Chief of the Asset Recovery Unit. The Justice Department’s Office of International Affairs Mutual Legal Assistance Team provided crucial legal assistance to the Government of Mexico.
Two plead guilty to domestic violence related chargesRead the Press Release
MARTINSBURG, WEST VIRGINIA – Two men have admitted to federal charges related to domestic violence.
Derik Wayne Bowers, age 44, of Hagerstown, Maryland, pled guilty today to one count of stalking. According to court documents, Bowers harassed and intimidated his ex-girlfriend in Berkeley County following their break-up, sometimes using social media to undermine her online business. Despite an emergency protection order granted to the victim, Bowers placed more than 800 phone calls to her during a 48-hour period and sent nearly 2,000 text messages in six months.
In a separate case, Rodney Allen Mayhew, age 43, of Martinsburg, pled guilty to one count unlawful possession of a firearm. According to the plea agreement, officers were called to Mayhew’s home to serve a protective order involving domestic violence. When officers arrived, Mayhew admitted to having firearms in the bedroom. Officers recovered two pistols and a rifle.
“The U.S. Attorney’s Office will aggressively pursue those engaged in domestic violence, in order to protect victims as well as the public at large,” said United States Attorney William Ihlenfeld.
Bowers is facing up to five years in prison. Mayhew is facing up to 15 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI investigated the Bowers case. The Mayhew case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Berkeley County Sheriff’s Office.
Assistant U.S. Attorney Kimberley Crockett is prosecuting the Bowers case on behalf of the government. Assistant U.S. Attorney Kyle Kane is prosecuting the Mayhew case.
U.S. Magistrate Judge Robert W. Trumble presided.
Two Tennessee Law Enforcement Officers Charged with Federal Civil Rights and Obstruction Offenses in Excessive Force CaseRead the Press Release
The Justice Department announced today that a federal grand jury returned a five-count indictment charging two Lawrence County, Tennessee, law enforcement officers with federal civil rights and obstruction offenses stemming from their use of unlawful force during the arrest of a 61-year-old man.
According to count one of the indictment, on Oct. 5, 2020, in Giles County, Tennessee, Sherriff’s Investigator Zach Ferguson and Deputy Eric Caperton, aiding and abetting each other, threw the victim, C.J., to the ground, struck him multiple times in the head without a legitimate law enforcement reason and caused his head to strike the pavement. C.J. suffered bodily injury as a result of the actions of Ferguson and Caperton. Counts two and three of the indictment further allege that Ferguson and Caperton each attempted to cover up their misconduct by filing a use of force report that falsely claimed the arrestee was on his knees when the defendants removed him from his van, and that omitted that the defendants, aiding and abetting each other, threw the arrestee to the pavement and struck him multiple times in the head. Counts four and five of the indictment allege that Ferguson and Caperton each obstructed justice by falsely telling criminal investigators that C.J.’s upper body never touched the ground during the arrest and falsely claiming that C.J.’s injuries were caused by punches that Ferguson delivered while the arrestee was still inside his van.
If convicted, Ferguson and Caperton face a maximum penalty of 10 years in prison for the excessive force charge and a maximum of 20 years in prison for the obstruction charges. Both defendants also face up to three years of supervised release and a fine of up to $250,000. A federal district court judge will determine any sentence after considering U.S. Sentencing Guidelines and other statutory factors.
The FBI Memphis Field Office investigated the case.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Henry C. Leventis for the Middle District of Tennessee, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division and Special Agent in Charge Douglas DePodesta of the FBI Memphis Field Office made the announcement.
Assistant U.S. Attorney Rascoe Dean for the Middle District of Tennessee and Special Litigation Counsel Michael J. Songer of the Civil Rights Division’s Criminal Section are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two Members of Austin Fentanyl Distribution Organization Sentenced to Federal PrisonRead the Press Release
AUSTIN, Texas – Two Austin area men were sentenced Monday in federal court in Austin to more than seven years in prison for their involvement in a fentanyl distribution organization.
According to court documents, Christopher Brock, 25, of Pflugerville, and Marcos Roberto Garcia aka “Alex,” 20, of Somerton, Arizona, were arrested with other organization members on Jan. 4, 2022, on charges of distributing fentanyl in the Austin area. Brock served as a courier and retail dealer of counterfeit oxycodone tablets containing fentanyl. Garcia was identified as the main source of the supply, purchasing the pills from Mexico and, with the help of co-conspirators, orchestrating their shipment from Arizona to Austin via the U.S. Postal Service. Agents began investigating the organization in March 2021, in response to fentanyl overdoses in and around Austin.
On Monday, Brock was sentenced to 90 months in prison and three years of supervised release. Garcia was sentenced to 87 months in prison and four years of supervised release.
“The defendants in this case took part in a large enterprise of criminal activity and will now face federal prison time thanks to the united efforts of our law enforcement partners,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “The penalties handed down to these young men should serve as examples to anyone who considers getting involved in these dangerous drug trafficking operations.”
"This sentence results from coordinated efforts that dissolved an enterprise profiting off our communities through manufacturing and distributing fake prescription pills laced with fentanyl," said Special Agent in Charge Daniel C. Comeaux of the DEA Houston Division. "Fake pills threaten the American people. We caution every person never to take any pharmaceuticals unless prescribed by a licensed physician and dispensed from a licensed pharmacy. DEA will continue to relentlessly pursue any individual or organization bringing these deadly fake pills into our communities."
Eight codefendants have been sentenced since January. Adi Martinez Marquez, 21, of San Luis Potosi, Mexico, was sentenced to 14 months in prison; Ezequiel Azmitia-Jimenez, 20, of Lockhart, was sentenced to 36 months; Fernando Beltran, 22, of Austin, and Oliver Garcia, 21, of Lockhart, each received 180-month prison sentences; Matthew Juan, 20, of Austin, was sentenced to 90 months in prison; Andres Ruben Ramirez, 24, of Austin, was sentenced to 48 months; Daemon Garcia, 20, of San Marcos, was sentenced to 30 months; and Michael Bauman, 19, of Austin, was sentenced to 12 months and one day in prison.
The DEA, FBI and U.S. Postal Inspection Service, along with the Austin, Cedar Park, San Angelo and San Marcos Police Departments investigated the case.
Assistant U.S. Attorney Mark Marshall prosecuted the case.
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Two Lawrence County Sheriff's Deputies Charged with Civil Rights & Obstruction ViolationsRead the Press Release
NASHVILLE – A federal grand jury returned a five-count indictment yesterday charging two Lawrence County, Tennessee, Sheriff’s deputies with federal civil rights and obstruction offenses stemming from their use of unlawful force during the arrest of a 61-year-old man.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Henry C. Leventis for the Middle District of Tennessee, Assistant Director Luis Quesada of the FBI's Criminal Investigative Division and FBI Special Agent in Charge Douglas DePodesta made the announcement.
According to the indictment, on Oct. 5, 2020, in Giles County, Tennessee, Sherriff’s Investigator Zach Ferguson and Deputy Eric Caperton, threw the victim to the ground, struck him multiple times in the head and caused his head to strike the pavement. As a result of these actions, the victim suffered serious injuries.
The indictment further alleges that the defendants attempted to cover up their misconduct by filing false reports. Finally, the indictment alleges the defendants obstructed justice by falsely telling criminal investigators that the victim’s upper body never touched the ground during the arrest and falsely claiming that the victim’s injuries were caused by punches that Ferguson delivered while the arrestee was still inside his van.
If convicted, the defendants face a maximum sentence of 10 years in prison for the excessive force charge and up to 20 years in prison for the obstruction charges. A federal district court judge would determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Memphis Field Office investigated the case. Assistant U.S. Attorney Rascoe Dean and Special Litigation Counsel Michael J. Songer of the Civil Rights Division’s Criminal Section are prosecuting the case.
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty in a court of law.
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Tuscaloosa Man Convicted of Illegally Possessing 10 rounds of AmmunitionRead the Press Release
TUSCALOOSA, Ala. – A federal jury today found a convicted felon guilty of illegally possessing ammunition, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Marcus Watson.
The jury returned its guilty verdict against Deandrea Darnelle Young, 34, of Tuscaloosa, after two days of testimony before Chief U.S. District Court Judge L. Scott Coogler. Young was convicted of being a felon in possession of ammunition.
“It is not only a federal crime for a prohibited person to possess a firearm, but also to possess ammunition,” U.S. Attorney Escalona said. “Removing firearms and ammunition from prohibited persons is an integral part of our efforts to fight violent crime and to keep our families and communities safe. Alongside our law enforcement partners, we will continue to hold these individuals accountable.”
“Many people know that convicted felons are prohibited from possessing firearms, but a lesser-known fact is that they are also prohibited from possessing ammunition,” SAC Watson said. “We at ATF work tirelessly to keep our communities safe from the individuals who endanger our neighborhoods. We will continue to work with our state, local, and federal partners to protect the public from violent criminals.”
According to evidence presented at trial, on February 27, 2022, a Tuscaloosa Police Department officer conducted a traffic stop on Young. The officer made contact with Young and asked for his driver’s license and insurance. Young ignored the officer’s repeated requests for information and fled from the officer. The officer chased Young and found the abandoned vehicle in an apartment complex. During the search of the abandoned vehicle officers found 10 rounds of Igman 9mm ammunition underneath clothing belonging to Young. The officers did not find a firearm.
Young is prohibited from having ammunition because of multiple prior felony convictions. Young was convicted on January 10, 2013, in the U.S. District Court for the Northern District of Alabama, of Felon in Possession of a Firearm in case number 7:21-cr-00461-LSC-GMB; and was convicted on August 15, 2012, in the Circuit Court of Tuscaloosa County, Alabama, of two counts of Unlawful Possession of Marijuana, First Degree, in CC-2012-2072 and CC-2012-1389. On the same date, he was convicted of Unlawful Possession of a Controlled Substance in CC-2012-2073. On November 9, 2011, in the Circuit Court of Tuscaloosa County, Alabama, Young was convicted of Burglary, First Degree, in CC-2008-1527, and of Unlawful Possession of Marijuana, First Degree, in CC-2011-2381.
The maximum penalty for being a felon in possession of an ammunition is 10 years in prison.
The ATF investigated the case along with the Tuscaloosa Police Department. Assistant U.S. Attorneys Brittney L. Plyler and Catherine Crosby are prosecuting the case.
Troy Woman Pleads Guilty to Nationwide Marijuana and THC Trafficking ConspiracyRead the Press Release
ALBANY, NEW YORK – Rosemary Coles, age 71, of Troy, New York, pled guilty today to conspiring to distribute 1,000 kilograms or more of marijuana and tetrahydrocannabinols (THC).
United States Attorney Carla B. Freedman United States Attorney Carla B. Freedman; John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); Frank A. Tarentino III, Special Agent in Charge, U.S. Drug Enforcement Administration (DEA), New York Division; Chief Daniel DeWolf of the Troy Police Department; and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.
In pleading guilty, Coles admitted to being a member of a marijuana and THC trafficking organization that cultivated marijuana on a commercial scale in Fresno, California, and shipped thousands of kilograms of marijuana and THC from Fresno to locations throughout the United States, including the Capital Region.
The packages of marijuana were shipped through UPS and FedEx from a shipping store in Fresno, Fast Pack & Ship, by Dwight A. Singletary II, aka “Nutt,” and McKenzie Merrialice Coles, aka “Kenzie,” who is the defendant’s daughter. Coles received the shipments of marijuana at her home in Troy and also coordinated the receipt of shipments of marijuana by Victor Turner and JuneAllyson Osman, aka “Juney,” at their homes in Troy. The marijuana in the packages, which were often sealed with eBay packing tape, was concealed in dog food containers and suitcases, and was typically picked up from Coles by David Singletary, aka “DB.”
Coles, Turner, and Osman were paid between $300 and $400 for each package of marijuana they received, and Coles routinely delivered payment to Tuner and Osman. Coles typically received payment from David Singletary.
Coles admitted to receiving approximately 104 packages containing a total of approximately 811 kilograms (1,788 pounds) of marijuana at her home between August 2018 and May 2022. She also admitted that Turner and Osman respectively received approximately 53 and 30 packages containing a total of 382 kilograms (842 pounds) and 226 kilograms (498 pounds) of marijuana at their respective homes between March 2020 and June 2022.
In addition to receiving and delivering packages of marijuana, Coles admitted to selling THC “edibles” shipped by her daughter, McKenzie Coles, from Fresno to Troy.
Coles faces at least 10 years and up to life in prison and a maximum fine of $10 million at sentencing. She will also be required to serve at least five years and up to a lifetime term of supervised release. 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.
Coles was charged in an indictment with Dwight and David Singletary, McKenzie Coles, Turner, Osman and 18 other people charging marijuana distribution and money laundering conspiracies, firearms offenses, and other crimes. Dwight Singletary, David Singletary, McKenzie Coles, and Osman have pled not guilty and are presumed innocent unless and until proven guilty. The charges in the indictment are merely accusations.
Turner and three other defendants, Kristle Walker, Latrice Mumphrey, and Sammy Olague, previously pled guilty and are pending sentencing.
The ATF, DEA, Troy Police Department, and HSI are investigating the case. Assistant U.S. Attorneys Cyrus P.W. Rieck and Dustin C. Segovia are prosecuting the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Three Foreign Nationals Sentenced for Operating an International Fentanyl Trafficking OrganizationRead the Press Release
Three foreign nationals were sentenced in the District of North Dakota for their roles in an international fentanyl distribution conspiracy.
Daniel Vivas Ceron, 43, of Colombia, was sentenced today to 27 years in prison. According to court documents, Ceron – while in prison in Quebec, Canada – was the leader and organizer of an international criminal enterprise that distributed large amounts of fentanyl. Using a contraband cell phone from inside the prison, Ceron and co-conspirator Jason Joey Berry, 40, of Montreal, Canada, arranged shipments of fentanyl and fentanyl analogues from China to Canada and the United States as part of the criminal enterprise. The distribution of these substances in the United States led to 15 overdoses, four of which were fatal, and 11 of which caused serious bodily injury.
On July 24, Berry was sentenced to 24 years in prison. Berry coordinated the acquisition of fentanyl and fentanyl analogues from China, the receipt the drugs in Canada, and the further distribution of fentanyl products to the United States.
On July 17, co-conspirator Xuan Cahn Nguyen, aka Jackie, aka Jackie Chan, 43, of Point-Aux-Tremble, Quebec, Canada, was sentenced to 22 years in prison. Nguyen assisted Berry and Ceron in acquiring fentanyl, distributing the drugs to the United States, and collecting the narcotics proceeds.
“The defendants whose sentences we are announcing today purchased fentanyl from global suppliers in China and elsewhere and conspired to sell it here in the United States,” said Attorney General Merrick B. Garland. “These cases reflect the Justice Department’s commitment to going after every link in this global supply chain and to holding accountable those who profit from this deadly drug at the expense of families in North Dakota and across the country.”
“The sentences announced in these cases are the result of partnerships across the U.S. government and with allies around the world to disrupt and dismantle the global supply-and-delivery chain flooding fentanyl across borders,” said Deputy Attorney General Lisa O. Monaco. “Today’s sentences also represent hard-won justice for the victims of this international trafficking enterprise, their loved ones, and their communities. The Department of Justice is grateful to the Royal Canadian Mounted Police for their invaluable assistance in this case. We must continue to work hand-in-hand with our partners in Canada and Mexico to fight the deadly threat posed by fentanyl in North America.”
“These defendants are responsible for fentanyl poisoning deaths in North Dakota and several other states, and today’s strong sentence ensures accountability for those crimes,” said U.S. Attorney Mac Schneider for the District of North Dakota. “This result is a credit to the tireless work and seamless cooperation exhibited by our office’s prosecution team and their law enforcement partners in North Dakota, across the country, and in Canada.”
“Disrupting large drug trafficking networks, like the Ceron Network, is vitally important to our ongoing effort to combat the fentanyl crisis in America and save innocent lives,” said U.S. Attorney Natalie Wight for the District of Oregon. “Networks like these span jurisdictions and stopping them requires robust coordination among many domestic and international partners.”
“Homeland Security Investigations (HSI) plays a pivotal role in disrupting the flow of illicit narcotics at every point in the drug supply chain – we will continue to work collaboratively and aggressively with our partners wherever transnational criminal organizations source and manufacture these deadly substances that earn substantial profit by selling this poison across the communities we seek to protect,” said Executive Associate Director Katrina W. Berger of HSI. “HSI continues to advance its broad strategy to combat illicit opioids and today’s sentencings are one more testament to that commitment.”
Operation Denial has led to 31 defendants charged in the District of North Dakota and three defendants charged in the District of Oregon. The investigation has resulted in nearly $1 million in cash and property forfeited from members of the organization. In addition to Ceron, Berry, and Nguyen, defendants sentenced or convicted in this case include[1]:
District of North Dakota
- Jameson Robert Sele, 20, of Grand Forks, North Dakota, was sentenced on July 27, 2015, to three years in prison for conspiracy to distribute controlled substances.
- Ryan Jon Jensen, 20, of Grand Forks, was sentenced on Feb. 2, 2016, to 20 years federal prison for conspiracy to distribute controlled substances resulting in serious bodily injury and death; two counts of distribution of a controlled substance resulting in death; distribution of a controlled substance resulting in serious bodily injury; and money laundering conspiracy.
- David Todd Noye Jr., 18, of Grand Forks, was sentenced on Jan. 25, 2016, to three years and three months in prison for conspiracy to distribute controlled substances.
- Joshua Tyler Fulp, 20, of Grand Forks, was sentenced on Jan. 26, 2016, to 12 years in prison for conspiracy to distribute controlled substances resulting in serious bodily injury and death.
- Kain Daniel Schwandt, 19, of Grand Forks, was sentenced on Jan. 25, 2016, to three and a half years in prison for conspiracy to distribute controlled substances.
- Brandon Corde Hubbard, 40, of Portland, Oregon, was sentenced on Sept. 14, 2021, to 22 years in prison for conspiracy to distribute controlled substances resulting in serious bodily injury and death; distribution of a controlled substance resulting in death; and money laundering conspiracy.
- Braden James Foley, 28, of Olympia, Washington, was sentenced on Nov. 21, 2016, to two and a half years in prison for conspiracy to possess with intent to distribute and distribution of a controlled substance.
- Amanda Schneider, of Port St. Lucie, Florida, was sentenced on Jan. 17, 2019, to one year and three months in prison for conspiracy to possess with intent to distribute and distribution of a controlled substance.
- Danny Gamboa, 21, of Pawtucket, Rhode Island, was sentenced on Feb. 27, 2019, to two years and one month in prison for conspiracy to possess with intent to distribute and distribution of a controlled substance.
- Keveen Nobre, 29, of Providence, Rhode Island, was sentenced on April 17, 2019, to two and a half years in prison for conspiracy to possess with intent to distribute and distribution of a controlled substance.
- Robinson Gomez, 35, of Charlotte, North Carolina, was sentenced on April 17, 2019, to 15 years in prison for conspiracy to possess with intent to distribute and distribution of a controlled substance.
- David Campbell, 58, of Plantation, Florida, was sentenced on April 17, 2019, to 10 years in prison for conspiracy to possess with intent to distribute and distribution of a controlled substance.
- Elizabeth Ton, 27, of Woonsocket, Rhode Island, was sentenced on March 8, 2019, to three years and five months in prison for money laundering conspiracy.
- Louis Bell, 31, of Port St. Lucie, was sentenced on April 18, 2019, to 17 years in prison for conspiracy to possess with intent to distribute and distribution of a controlled substance.
- Anthony Gomes, 34, of Woonsocket, was sentenced on July 30, 2021, to 30 years in prison for conspiracy to possess with intent to distribute, distribution of a controlled substance resulting in serious bodily injury and death, and money laundering conspiracy.
- Jose Pinto, 64, of Pawtucket, was sentenced on Jan. 20, 2022, to time served and two years of supervised release for tampering with evidence.
- Eugenia Pinto, 64, of Pawtucket, entered into a pre-trial diversion agreement on Nov. 18, 2021, for a term of one and a half years after admission to obstruction of justice and evidence tampering.
- Steven Pinto, 40, of Pawtucket, was sentenced on Oct. 14, 2021, to 33 years in prison for continuing criminal enterprise, conspiracy to distribute and import controlled substances, and obstruction of justice.
- Vannek Um, 45, of Montreal, pleaded guilty on March 14 to money laundering conspiracy. Vannek Um is scheduled to be sentenced on Aug. 8.
- Marie Um, 42, of Montreal, was convicted in April of conspiracy to distribute and import controlled substances resulting in serious bodily injury and death and money laundering conspiracy. Marie Um is scheduled to be sentenced on Sept. 5.
District of Oregon
- Channing Lacey, 30, of Portland, was sentenced on Aug. 28, 2017, to 11 years and three months in prison for one count of distribution of a controlled substance resulting in serious bodily injury to three individuals and one count of distribution of a controlled substance resulting in death.
- Carissa Marie Laprall, 25, of Portland, was sentenced on Jan. 30, 2020, to time served with five years of supervised release for three counts of distribution of a controlled substance resulting in serious bodily injury.
- Steven Fairbanks Locke, 41, of Portland, was sentenced on Sept. 4, 2017, to time served and a term of supervised release for use of a communication facility to facilitate a drug offense.
On Aug. 31, 2021, the U.S. Department of State offered a reward of up to $5 million for information leading to the arrest and/or conviction of People’s Republic of China (PRC) national Jian Zhang, a fugitive in this transnational investigation. Additional fugitives from China include Na Chu, 37, Pulandian City, Liaoning Province, China; Yeyou Chu, 36, Pulandian City, Liaoning Province, China; Cuiying Liu, 62, Dezhou City, Shangdong Province, China; and Keping Zhang, 62, Dezhou City, Shangdong Province, China.
Homeland Security Investigations; North Dakota Bureau of Criminal Investigation; U.S. Drug Enforcement Administration; U.S. Postal Inspection Service; IRS-Criminal Investigation’s St. Louis Field Office; Grand Forks Narcotics Task Force; Royal Canadian Mounted Police; Portland Oregon Police Bureau – Drugs and Vice Division, Portland HIDTA Interdiction Task Force; Oregon State Police; and the Grand Forks Police Department investigated the case.
The Justice Department’s Office of International Affairs provided significant assistance in securing foreign evidence and the extradition of four Operation Denial defendants: Nguyen, Berry, Vannek Um, and Marie Um.
Assistant Deputy Chief Kaitlin Sahni and Trial Attorney Imani Hutty of the Criminal Division’s Narcotic and Dangerous Drug Section, Assistant U.S. Attorney Christopher C. Myers for the District of North Dakota, and Assistant U.S. Attorney Scott Kerin for the District of Oregon prosecuted the case.
Operation Denial is an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation into the international trafficking of fentanyl and fentanyl analogues and was significantly aided by the national and international coordination led by the multi-agency Special Operations Division. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
The investigation started on Jan. 3, 2015, with the overdose death of Bailey Henke in Grand Forks, North Dakota, and eventually led to the indictment, and subsequent conviction, of multiple defendants.
[1] Ages reflected are ages at the time of sentencing.
Thomas Jefferson University to Pay $2.7 Million to Resolve Allegations of Improper Use and Retention of Federal Student Loan FundsRead the Press Release
Philadelphia, PA – United States Attorney Jacqueline C. Romero announced today that Thomas Jefferson University will pay $2.7 million to resolve allegations that it misused and improperly retained federal funds intended to be used for student loans.
The allegations arise from a loan program established by Congress to address the nation’s shortage of primary care physicians. Under the program administered by the U.S. Department of Health and Human Services’ Health Resources and Services Administration (“HRSA”), the government issues a Primary Care Loan award to a medical school to establish a revolving loan account to provide loans on favorable terms to students willing to commit to practicing in primary care for ten years after completing their medical degree (a “PCL Fund”). Under the terms of the program, participating medical schools must loan monies in the PCL Fund to medical students who meet the program’s qualifications. The school is to add any earnings that accrue on the PCL Fund back into the fund, thereby increasing the monies available to lend and expanding the program’s impact. Any monies in the PCL Fund that exceed a school’s PCL Program lending needs must be returned to HRSA annually so they can be made available to students at other medical schools participating in the program.
The settlement resolves allegations that between 2009 and 2016, Jefferson invested nearly all of its PCL Fund with its endowment, and retained the resulting earnings for its own purposes, in violation of loan program terms. Specifically, the settlement resolves allegations that Jefferson improperly invested federal monies expressly intended to be loaned to qualified medical students to finance their medical education, and retained all returns gained from that investment. These actions allegedly violated HRSA student loan program requirements that: (1) program monies be used only for loans to students and program-related expenditures; (2) any excess cash in the PCL Fund (any amount of the monies not actively on loan or projected to be in the near future) be kept in federally insured accounts “whenever possible;” (3) all earnings accrued on the PCL Fund be placed into the fund to be used to further the program’s purpose; and (4) any excess funds not needed for student loans, including any earnings accrued on any idle funds, be returned to HRSA annually.
Jefferson returned approximately $5.6 million of excess cash in the PCL Fund to HRSA in 2017. The settlement announced today resolves claims relating to the earnings Jefferson is alleged to have gained as a result of its investment of the PCL Fund between 2009 and 2016, and its retention of those earnings, in violation of program terms.
“The Federal financial aid money in the Primary Care Loan program must be used for its intended purpose or returned to the program,” said U.S. Attorney Romero. “When a medical school wrongfully retains Primary Care Loan program funds that exceed its lending needs, it doesn’t just deprive students at other participating schools the opportunity to use that money to finance their educations. It deprives our communities of the very resource the program was implemented by Congress to provide—primary care physicians to keep them healthy and strong. Our office is dedicated to helping HRSA and our other federal partners maintain the integrity of their programs, and to ensure that taxpayer dollars are used for their intended public good and not private investment income.”
“When schools agree to participate in the Primary Care Loan program, they must carefully account for these federal funds to ensure that taxpayer dollars are used for public good. When a school wrongfully keeps these funds from the program, it prevents other recipients from using them to meet the primary care needs of the community,” said Maureen R. Dixon, Special Agent in Charge for the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “We will continue to work with our partners at HRSA and the U.S. Attorney’s Office to investigate allegations relating to any misuse—including wrongful retention—of federal funds.”
“HRSA takes proper management and oversight of financial assistance seriously,” said Cynthia Baugh, HRSA’s Associate Administrator of the Office of Federal Assistance Management and Chief Grants Management Officer. “We appreciate the collaboration with the U.S. Attorney’s Office and will continue to actively work with our law enforcement partners when we identify potential misuse of federal funds.”
The investigation was conducted by the Office of the Inspector General of the U.S. Department of Health and Human Services and the United States Attorney’s Office for the Eastern district of Pennsylvania. The investigation and settlement were handled by Assistant United States Attorney Lauren DeBruicker, Auditor Dawn Wiggins, and Fraud Investigator Jeffrey Braun.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Texas Woman Pleads Guilty to Drug Trafficking Charge, Faces up to Life in PrisonRead the Press Release
ALPINE, Texas – A Presidio County woman pleaded guilty today in a federal court in Alpine to one count of possession with intent to distribute methamphetamine and fentanyl.
According to court documents, Cherakee Lee Perez, 33, provided a negative declaration during a Customs and Border Patrol vehicle inspection at the Presidio Port of Entry from Mexico into the U.S. A narcotic detection canine discovered more than three dozen packages hidden in the vehicle. 29 of packages contained approximately 4.5 kilograms of methamphetamine, while the other 13 contained seven kilograms of fentanyl.
Perez is scheduled to be sentenced on Oct. 23 and faces a penalty of 10 years to life 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 Jaime Esparza of the Western District of Texas and Special Agent in Charge Francisco B. Burrola of the Homeland Security Investigations El Paso Division made the announcement.
HSI is investigating the case.
Assistant U.S. Attorney Scott Greenbaum is prosecuting the case.
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Tacoma man arrested for production of child sexual abuse materialRead the Press Release
Tacoma – A 27-year-old Tacoma resident was charged by federal criminal complaint today with production of child pornography, announced Acting U.S. Attorney Tessa M. Gorman. Demitri Super will appear in U.S. District Court in Tacoma today. He is being detained at the Federal Detention Center at SeaTac pending further hearings.
According to records filed in the case, a foreign law enforcement organization contacted the Homeland Security Investigations (HSI) Computer Crimes Center about a Skype video showing the rape of an infant. HSI quickly worked to identify the person in the video and agents interviewed and arrested Super today. The victim child has been identified and the parents have been notified.
Production of child pornography is punishable by a mandatory minimum 15 years in prison and up to 30 years in prison.
The charges contained in the criminal complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by Homeland Security Investigation (HSI) and the case is being prosecuted by Assistant United States Attorney Matthew Hampton.
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.justice.gov/psc.
St. Louis County Man Admits Stealing Veterans' Disability BenefitsRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri on Tuesday admitted stealing $106,245 in Department of Veterans Affairs disability benefits by fraudulently claiming various medical conditions.
Charles Adams, 50, of Berkeley, pleaded guilty in front of U.S. District Judge Henry E. Autrey to theft of government funds.
Adams underwent multiple medical evaluations after he applied for increased disability benefits due to service-connected degenerative disc disease with degenerative arthritis. In April 2017, he reported difficulty getting out of bed some mornings and an inability to stand for extended lengths of time. A Department of Veterans Affairs examiner noted that Adams walked slowly and with a marked limp. At a November 2017 back examination, Adams demonstrated severe limitations in his range of motion, rotation, and other use of his back. However, soon after the examination and again in March 2018, Adams performed various strenuous exercises with high levels of resistance, including deep squats, leg presses with over 800 pounds of resistance, rope pulldowns, and other high intensity exercises or movements that were inconsistent with the level of back limitations he demonstrated at his examinations, his plea agreement says.
Videos posted to Instagram, under the username @tlf_trainer, show Adams lifting heavy weights and squatting, in late 2017 and March 2018. The videos contradict Defendant’s claims that he was limited in his abilities to lift, squat, bend, stand, walk and sit, his plea agreement says.
Adams filed for Department of Veterans Affairs individual unemployability benefits in February 2018. Included in his application was a statement from a doctor stating that he was very limited in movements including bending, stooping, twisting, lifting more than 25 pounds above shoulder height, kneeling, running, jumping and standing.
Adams also applied for Social Security Disability Insurance benefits in August of 2019 after a January 2017 application was rejected. In his second application, Adams represented that his medical conditions affected his abilities to lift, squat, bend, stand, walk, and sit. He never reported going to Club Fitness for workouts, however. Adams checked into Club Fitness the day before a July 7, 2020 hearing for his second disability application, later on the same day as his hearing and the day after.
Adams continued to work out at Club Fitness in 2020 and 2021. In June 2021, Defendant attended a medical review for the VA. Investigators watched as Adams walked normally and lifted and carried bags of trash before going to his examination. When he arrived for the examination, he used a cane to walk and did so at a much slower pace.
Adams is scheduled to be sentenced October 25. The charge carries a maximum penalty of 10 years in prison, a $250,000 fine or both. He will also be ordered to repay the money.
The case was investigated by the U.S. Department of Veterans Affairs Office of Inspector General and the Social Security Administration Office of Inspector General. Assistant U.S. Attorney Diane Klocke is prosecuting the case.
South Florida Resident Sentenced in Elaborate Prescription Medication Diversion SchemeRead the Press Release
MIAMI – A 37-year-old South Florida resident, Eladio Vega, was sentenced yesterday to 87 months in prison, followed by three years of supervised release, for his role in a widespread fraud scheme involving the distribution of adulterated and misbranded cancer, HIV, psychiatric, and other expensive prescription medications to unsuspecting patients. In May, Vega pleaded guilty to one count of conspiracy to traffic misbranded and adulterated drugs in violation of Title 18, United States Code, Section 670.
The prescription medication diversion fraud scheme involved a division of labor, in which street-level dealers obtained the medicines and supplied them to participants who inspected, cleaned, and packaged the drugs for shipment to others with established pharmaceutical wholesale companies.
The wholesale company owners prepared fraudulent documentation, falsely representing that legitimate drug manufacturers had provided the medications to them. In fact, the suppliers had acquired the drugs through health care fraud, theft or burglary, or by buying the medications from patients who obtained prescriptions but chose to sell them rather than take their medicines. With the false documentation, the company owners then sold the newly misbranded medications to retail pharmacies. In turn, the retail pharmacies sold the medications to patients who did not know the real source of the drugs, which had been stored and transported with no regard to temperature, light, humidity, or other maintenance controls.
To conceal the nature of their criminal enterprise and the identities of those profiting from it, conspirators routed money obtained from sales of the mislabeled and adulterated drugs through the bank accounts of multiple shell companies.
To date, 17 defendants have been indicted in connection with this case, 15 of whom have pleaded guilty and been sentenced to prison, except for a corporation defendant, which was sentenced to a forfeiture of $78 million.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office; and Special Agent in Charge Justin C. Fielder of the U.S. Food and Drug Administration, Office of Criminal Investigations (FDA-OCI), Miami Field Office, announced the sentence.
FBI Miami and FDA-OCI Miami investigated the case. Assistant U.S. Attorney Frank Tamen prosecuted it. Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture.
This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 19-cr-20674.
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South Carolina Man Charged with Sex Trafficking of Four Victims, including a MinorRead the Press Release
A federal grand jury in Florence, South Carolina, returned an indictment charging a South Carolina man with three counts of sex trafficking by force, fraud or coercion, one count of sex trafficking of a minor, two counts of interstate travel in aid of racketeering and one count of obstructing a sex trafficking investigation.
According to the indictment, between August 2019 and August 2020, Aaron T. Simmons, 26, of Greenville, used force, threats of force and coercion to compel three adult women to engage in commercial sex. The indictment also charges Simmons with sex trafficking of a minor victim.
Simmons will make his initial court appearance before a U.S. Magistrate Judge in the District of South Carolina. It is initially scheduled for July 28. If convicted of sex trafficking by force, fraud, or coercion, Simmons faces a minimum penalty of 15 years in prison and up to life in prison. If convicted of sex trafficking of a minor, Simmons faces a minimum penalty of 10 years in prison and up to life imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Adair F. Boroughs for the District of South Carolina and Special Agent in Charge Steven J. Jensen of the FBI Columbia Field Office made the announcement.
The Greenville Police Department and the FBI Greenville Field Office investigated the case.
Assistant U.S. Attorney Carrie Fisher Sherard for the District of South Carolina and Trial Attorney Francisco Zornosa of the Civil Rights Division’s Human Trafficking Prosecution Unit are prosecuting the case.
The FBI is asking anyone with information about Aaron Simmons to contact the FBI Columbia Field Office at (803) 551-4200. If you or someone you know is a victim of human trafficking, please call the National Human Trafficking Hotline at (888) 373-7888.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
IndictmentSioux City, Iowa Man Sentenced to 15 Years for Role in Conspiracy to Possess Stolen FirearmsRead the Press Release
Ian Bigler, age 34, from Sioux City, Iowa, received the prison term after a pleading guilty to one count of conspiracy to possess stolen firearms and one count of possession of a firearm by a felon and drug user.
Evidence in the case revealed that on October 1, 2021, Bigler participated in a home burglary where he and a coconspirator stole 10 guns. The burglary was planned in advance, and Bigler used diversions to insure the home was empty when the burglary was committed. Afterward, Bigler took several steps to conceal the conspiracy. On October 11, 2021, Bigler, fled from police in a 2008 white Dodge Ram pickup truck that contained evidence of the burglary (including a pistol which had been stolen during the burglary). On October 15, 2021, Bigler equipped himself with a bulletproof vest and two firearms (including a Pistol, which had been stolen during the burglary) and a shortened shotgun, secreted himself from law enforcement in a home in North Sioux City, South Dakota, and held another person against his/her will. Additionally, at various times Bigler researched the internet for ways to conceal the conspiracy. The topics included: “how does the FBI track you,” “how to hide,” “how to beat drones,” and “us marshals wanted list.”
Additionally, Bigler was also held accountable for a November 15, 2020, incident where he brandished a firearm in an apparent attempt to rob or extort a local business.
Bigler has a lengthy criminal history. He was previously convicted of several felonies: burglaries, willful injury, and misdemeanor assault while displaying a firearm, amongst other crimes.
Bigler was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand to 180 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). 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.
Bigler is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by LeMars, Iowa Police Department, Sioux City, Iowa Police Department, and ATF, and was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-4022.
Follow us on Twitter @USAO_NDIA.
Sioux City Man Who Illegally Possessed a Gun Sentenced to More Than 8 Years in Federal PrisonRead the Press Release
A man who called himself “Capone” was sentenced on July 21, 2023, to over 8 years in federal prison.
Randy Hall, age 39, from Sioux City, Iowa, received the prison term after a March 13, 2023, guilty plea to possession of a firearm by a felon and an unlawful drug user.
Evidence in the case showed when Hall was arrested on outstanding state warrants, he was in possession of a loaded 9mm semiautomatic pistol. Hall had secreted the weapon on his person and then tried to hide it in the police cruiser that was being used to transport him to jail. The firearm was discovered.
Hall has a lengthy criminal history including: assault on a police officer, conspiracy to distribute methamphetamine, escape, theft in the 1st degree, operating a motor vehicle while intoxicated, and a pervious felon in possession of a firearm among other crimes.
Hall was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand to 97 months’ and 22 days imprisonment (which was a sentence of 108 months adjusted for time served). He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). 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.
Hall is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by the Sioux City, Iowa Police Department and was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-04089.
Follow us on Twitter @USAO_NDIA
Sioux City Man Sentenced to More Than 8 Years Federal Prison for Illegal Possession of a Firearm.Read the Press Release
A man who followed a couple into two separate businesses and a Sioux City home, all while confronting them with a gun, was sentenced on July 21, 2023 to more than 8 years in federal prison.
Rico Willis, age 45, from Sioux City, Iowa, received the prison term after a pleading guilty to possession of a firearm by a felon, unlawful drug user and domestic abuse misdemeanant on March 2, 2023.
Evidence in the case showed that on August 29, 2022, Willis followed two individuals into two separate businesses, then to a Sioux City home, all while confronting them with a gun. Outside of the home, Willis struck one the individuals in the head with the gun, causing it to discharge, and knocking the individual to the ground. Willis then fled the scene. A concerned citizen recorded the incident and provided the recording to law enforcement.
Willis has a long criminal history including convictions for: felon in possession of a firearm, unlawful use of a weapon, 2nd degree robbery, harassment, domestic assault, and numerous drug crimes.
Willis was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand to 106 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). 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.
Willis is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by Sioux City, Iowa Police Department, and was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-4092.
Follow us on Twitter @USAO_NDIA.
Seven Charged in International Fraud ConspiracyRead the Press Release
50 Elderly Victims Lost $11 million
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten announced today that seven people were charged in a federal grand jury indictment, unsealed this week, accused of participating in a conspiracy that stole $11 million from 50 victims in West Michigan and around the country. Most of the victims were elderly.
“Elder fraud schemes prey on some of our nation’s most vulnerable citizens,” said U.S. Attorney Totten. “It’s critical to raise awareness of elder fraud to help protect our older loved ones from these types of crimes. My office is committed to fighting all types of elder abuse in our community.”
According to the indictment, victims of the conspiracy received a pop-up or other message on their computers warning that a virus had infected their devices. The messages urged the victims to call a number to get help. When the victims called the number provided, they got a response from someone claiming to work for a tech company, such Microsoft or Apple. In truth, they were scammers located in India, who scared the victims into giving money to the conspiracy with a variety of different ruses.
In one version of the scam, victims were told that their bank accounts had been compromised and they needed to withdraw all of their cash and give it to fake “federal agents” for safekeeping. In another version, victims were told that their computers had been infected by a virus and they needed to pay for technical support. In a third version, victims were told that they had been identified in a criminal investigation and needed to turn over money to clear their names. Regardless of which ruse was used, the end result was the same: victims were convinced to give $11 million to the scammers. Victims did this during in-person meetings with fake “federal agents,” by mailing boxes of cash to addresses provided by the scammers, by wire transfers to bank accounts controlled by the scammers, or through gift cards they purchased at the direction of the scammers.
According to the indictment, the following defendants were the U.S.-based members of the conspiracy who collected fraud proceeds from victims on behalf of the conspiracy:
Name
Age
Location
Pragneshbhai M. Patel
51
Amityville, New York
Everette Jhmal Thibou
30
Tampa, Florida
Jayesh J. Panchal
54
Hicksville, New York
Vijaya C. Shetty
52
Jackson Heights, New York
Jmyla Elaine Sha’taria White
28
Thonotosassa, Florida
Jorrel Tyler Jackson
31
Riverview, Florida
Mckhaela Katelynn McNamara
27
Flint, MI
The indictment alleges that Panchal and McNamara made six trips to meet with a victim in Lake County, Michigan, to collect $398,000 in fraud proceeds from her. The victim had been convinced that her bank accounts had been compromised and that she was giving cash to “federal agents” for safekeeping. It is alleged that Thibou helped arranged the meetings with the Lake County victim. The indictment alleges that others around the country similarly fell victim to the scam.
Earlier this year, two alleged members of the conspiracy located in India were arrested by the Delhi Police Special Cell. FBI’s Legal Attaché New Delhi provided investigative assistance to the Indian authorities.
“Today’s indictment reflects the commitment of the FBI and our partners to protect older Americans from financial scams,” said Devin J. Kowalski, Acting Special Agent in Charge of the FBI’s Detroit Field Office. “These defendants allegedly defrauded victims by preying on their vulnerabilities. If you believe that you or someone you know may be a victim of elder fraud, submit a tip to the National Elder Fraud Hotline at 1-833-FRAUD-11 (1-833-372-8311).”
According to the FBI’s 2022 Elder Fraud Report, 88,262 people over 60 were victimized in 2022, resulting in the loss of $3.1 billion, an 84% increase from 2021. Tech support and customer service schemes were the most common types of fraud reported.
Elder Fraud Prevention Tips
- Recognize scam attempts and end all communication with the perpetrator.
- Search online for the contact information (name, email, phone number, addresses) and the proposed offer. Other people have likely posted information online about individuals and businesses trying to run scams.
- Resist the pressure to act quickly. Scammers create a sense of urgency to produce fear and lure victims into immediate action. Call the police immediately if you feel there is a danger to yourself or a loved one.
- Be cautious of unsolicited phone calls, mailings, and door-to-door services offers.
- Never give or send any personally identifiable information, money, jewelry, gift cards, checks, or wire information to unverified people or businesses.
- Make sure all computer anti-virus and security software and malware protections are up to date. Use reputable anti-virus software and firewalls.
- Disconnect from the internet and shut down your device if you see a pop-up message or locked screen. Pop-ups are regularly used by perpetrators to spread malicious software. Enable pop-up blockers to avoid accidentally clicking on a pop-up.
- Be careful what you download. Never open an email attachment from someone you don't know and be wary of email attachments forwarded to you.
- Take precautions to protect your identity if a criminal gains access to your device or account. Immediately contact your financial institutions to place protections on your accounts and monitor your accounts and personal information for suspicious activity.
This investigation was conducted jointly by FBI Detroit, Grand Rapids Office, Homeland Security Investigations, New Orleans, Louisiana, and the Lake County, Michigan, Sheriff’s Office. Additional investigative assistance was provided by the Delhi Police Special Cell, FBI’s Legal Attaché New Delhi, the U.S. Attorney’s Office for the Eastern District of Louisiana, the New Holland, Pennsylvania, Police Department, the Tennessee Highway Patrol, DEA Chattanooga, FBI New York, and FBI Tampa. The prosecution is being handled by Assistant United States Attorney Clay Stiffler.
The charges in an indictment are merely accusations, and a defendant is presumed innocent until and unless proven guilty in a court of law.
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SSNDOB Marketplace Administrator Pleads Guilty to Charges Related to His Operation of A Series of Websites That Sold Millions of Social Security NumbersRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg, along with Special Agent in Charge Kareem Carter for the IRS - Criminal Investigation Washington D.C. Field Office, and Special Agent in Charge David Walker for the FBI - Tampa Division, announces that Vitalii Chychasov (37, Ukraine) has pleaded guilty to conspiracy to commit access device fraud and trafficking in unauthorized access devices relating to his administration of SSNDOB Marketplace, a series of websites that operated for years and were used to sell personal information, including the names, dates of birth, and Social Security numbers belonging to individuals in the United States. The SSNDOB Marketplace has listed the personal information for millions of individuals in the United States, generating more than $19 million in sales revenue. On June 7, 2022, seizure orders were executed against the domain names of the SSNDOB Marketplace, effectively ceasing the website’s operation.
Chychasov faces a maximum penalty of 15 years in federal prison, and as part of his plea agreement, he has agreed to forfeit the internet domains BLACKJOB.BIZ, SSNDOB.CLUB, SSNDOB.VIP, and SSNDOB.WS, which were used to commit the offenses and were part of the series of domains that comprised the “Marketplace.” Chychasov also agreed to a forfeiture money judgment in the amount of $5 million, the proceeds of the access device fraud.
Chychasov was arrested in March 2022 while attempting to enter Hungary; and was extradited to the United States in July 2022. A second SSNDOB Marketplace administrator, Sergey Pugach, was arrested in May 2022.
According to court records, the SSNDOB administrators created advertisements on dark web criminal forums for the Marketplace’s services, provided customer support functions, and regularly monitored the activities of the sites, including monitoring when purchasers deposited money into their accounts. The administrators also employed various techniques to protect their anonymity and to thwart detection of their activities, including strategically maintaining servers in various countries, and requiring buyers to use digital payment methods.
Stolen Social Security numbers can be used to commit a variety of frauds, including United States tax fraud, unemployment insurance fraud, loan fraud, credit card fraud, and the like. Investigators determined that a single buyer from the site used stolen personal identifying information that he purchased to steal and launder nearly $10 million.
The U.S. investigation was led by the IRS - Criminal Investigation Cyber Crimes Unit and the FBI – Tampa Division, with assistance from the IRS-Criminal Investigation’s Tampa Field Office. Substantial assistance was also provided by the Department of Justice’s Office of International Affairs, the FBI’s Legal Attaché Offices responsible for Latvia and Cyprus, the Latvian Police, and the Cypriot authorities.
The case is being prosecuted by Assistant United States Attorney Rachel Jones and the asset forfeiture is being handled by Assistant United States Attorney Suzanne Nebesky.
Roofing Company Principal Arrested for Failing to Protect an Employee Who Fell to His DeathRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Jonathan Mellone, the Special Agent in Charge of the Northeast Region of the U.S. Department of Labor, Office of the Inspector General (“DOL-OIG”), announced today that JOSE LEMA, a/k/a “Jose Lema Mizhirumbay,” the founder and principal of ALJ Home Improvement, Inc., a New York roofing company, was charged with willfully violating Occupational Safety and Health Administration (“OSHA”) regulations, resulting in the death of an employee (“Victim-1”) in New Square, New York, on or about February 8, 2022. The Complaint charges that LEMA failed to ensure employees wore fall protection systems, and Victim-1 fell off the roof of a building under construction and died. LEMA was arrested this morning at his home in Nanuet, New York, and will be presented before U.S. Magistrate Judge Victoria Reznik in White Plains federal court later today.
U.S. Attorney Damian Williams said: “As alleged, Lema endangered the safety of his workers by disregarding regulations and failing to ensure his employees used fall protection systems. This conduct led to the death of a roof worker on a construction site. Today’s charge should serve as a reminder to small businesses that failure to comply with safety regulations can lead to unnecessary and preventable tragedy.”
DOL-OIG Special Agent in Charge Jonathan Mellone said: “An important part of the mission of the Office of Inspector General is to investigate allegations of criminal misconduct related to U.S. Department of Labor programs. We will continue to work with our law enforcement partners and DOL’s Occupational Safety and Health Administration to hold those who jeopardize workers’ safety accountable.”
As alleged in the Complaint:[1]
On the morning of February 8, 2022, LEMA sent Victim-1 and three other ALJ employees to install a roof on a three-story multi-family apartment building under construction in New Square, New York (the “Worksite”). Victim-1 and the other ALJ employees ascended a ladder to the roof, but within 20 to 30 minutes of arriving at the Worksite, Victim-1 fell off the roof and landed on the ground approximately 30 feet below. He died from his injuries. Victim-1 was wearing a safety harness, but there was no lanyard, rope, or any other attachment connected to the D-ring on the back of the harness that would have connected him to the roof. Nor were there anchors on the roof to attach a rope had there been one connected to the harness. OSHA cited ALJ for failing to ensure its employees were using fall protection systems.
Victim-1’s deadly fall was not the first time an employee of LEMA and ALJ fell to his death at one of ALJ’s worksites or that ALJ employees were exposed to fall hazards. OSHA investigated ALJ six times before Victim-1’s death and once after. OSHA issued citations after each incident. The first time, on or about February 27, 2019, an ALJ employee slipped off the roof of a newly constructed three-story home in Kiamesha Lake, New York (“Victim-2”), fell 35 feet to the ground, and subsequently died from his injuries. OSHA determined that Victim-2 was not wearing a safety harness and issued citations to ALJ for, among other things, failure to ensure employees wear fall protection systems. ALJ settled and agreed to pay a penalty.
There were five more incidents on five different worksites in New York and New Jersey after Victim-2’s death in February 2019 and before Victim-1’s death in February 2022 in which ALJ employees were exposed to fall hazards and OSHA cited ALJ for failing to ensure its employees were using fall protection systems. In each case, ALJ settled and agreed to pay a penalty.
Even after Victim-1’s death, LEMA continued to violate OSHA standards and failed to protect his employees. On or about August 4, 2022, ALJ employees were working on an 18-foot roof in Ho Ho Kus, New Jersey, without any apparent fall protection. They were wearing harnesses that were not secured to the roof. OSHA issued more citations, including willful failure to ensure employees wear fall protection systems.
In all, between in or about 2019 and in or about 2023, OSHA performed eight investigations of ALJ worksites that resulted in the issuance of 24 willful citations, 16 serious citations, and over $2.3 million in penalties. Each time OSHA investigated, Compliance Safety and Health Officials met with LEMA and made him aware of his rights and obligations to his employees. At an OSHA administrative deposition, LEMA admitted that prior to Victim-1’s fall, he knew that employees on a roof higher than six feet high needed to be protected by some form of fall protection. But despite that knowledge, citations, and fines from six previous investigations, LEMA failed to follow OSHA standards and protect Victim-1 and his other employees.
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LEMA, 40, of Nanuet, New York, is charged with one count of knowingly and willfully violating OSHA residential construction fall protection standards by failing to protect his employees from fall hazards and causing injuries that resulted in an employee’s death, which carries a maximum sentence of six months in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense.
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 the judge.
Mr. Williams praised the outstanding work of OSHA, DOL-OIG, and the Special Agents of the U.S. Attorney’s Office for the Southern District of New York.
The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorney Margery Feinzig is in charge of the prosecution.
The charge contained in the Complaint is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
U.S. v. Lema ComplaintOuray Lodge and Hot Springs Agrees to Improve Access for Individuals with Physical DisabilitiesRead the Press Release
DENVER—The U.S. Attorney’s Office for the District of Colorado announced that it has resolved a complaint under the Americans with Disabilities Act (ADA) against Twin Peaks Lodge & Hot Springs, a hotel located in Ouray, Colorado, related to its rooms and other facilities that are inaccessible to individuals with physical disabilities.
The U.S. Attorney’s Office received a complaint that Twin Peaks failed to make its facilities readily accessible to an individual with a terminal illness who had trouble walking and navigating stairs. Twin Peaks, which has only one mobility-accessible guest room on the first floor of the hotel, placed the complainant in a second-floor room that does not have an elevator. As a result, the complainant was very limited in his ability to enter and leave his hotel room during his stay, and the complainant’s family had to make significant adjustments to their plans because of the inaccessible accommodations.
The ADA requires that places of public accommodation, such as hotels, make their facilities readily accessible to and usable by individuals with physical disabilities.
To resolve the complaint, Twin Peaks agreed to pay the complainant $3,000 and make changes to its existing rooms, hot springs pools, dining and common areas, and other facilities to make them accessible to individuals with disabilities. In addition, the U.S. Attorney’s Office will monitor future renovations and the planned construction of a new hotel building to ensure that Twin Peaks complies with the ADA’s design and construction standards.
“The U.S. Attorney’s Office is committed to ensuring that hotel guests who have disabilities can obtain the accommodations that they need, and that they can take advantage of all of the amenities of our Colorado mountain towns,” said U.S. Attorney Cole Finegan. “The U.S. Attorney’s Office’s commitment to ensuring that individuals with disabilities have equal access improves everyone’s enjoyment of all our beautiful state has to offer.”
Additional information about the U.S. Attorney’s Office’s civil rights enforcement program can be found at https://www.justice.gov/usao-co/civil-rights-enforcement.
This case was handled by Assistant U.S. Attorney Zeyen Wu.
Orange County Businessman Pleads Guilty to Fraudulently Obtaining over $5.2 Million by Bogus Promises of His Company’s Purported IPORead the Press Release
LOS ANGELES – The owner of an Orange County real estate finance business has pleaded guilty to fraudulently obtaining more than $5.2 million by making false promises to an investor that shares of his private company were about to be publicly traded on the Nasdaq stock exchange, the Justice Department announced today.
Jacques Poujade, 63, of Irvine, pleaded guilty late Monday afternoon to one count of securities fraud.
According to his plea agreement, Poujade is the owner and chief financial officer of Tri-Emerald Financial Group, a Lake Forest-based realty services company that operated as a residential mortgage lender. Tri-Emerald funded loans as a mortgage banker, with the intent to hold the funded loans for immediate resale to financial institutions that purchased the loans for investments. Neither Tri-Emerald nor its securities were ever registered with the United States Securities and Exchange Commission.
From February 2015 to May 2020, Poujade sold unregistered securities to a victim investor by telling the victim a series of lies, including about the timing and likelihood of Tri-Emerald’s initial public offering (IPO) and the resulting share price. The victim purchased shares in Tri-Emerald at $10 per share, after Poujade represented they were “securities” under federal law and would exceed the price of $100 per share once the company went public.
Poujade falsely promised the victim that Tri-Emerald was a pre-IPO opportunity that would provide high returns when the company soon went public on Nasdaq. In fact, Tri-Emerald had not completed the necessary steps to undertake an IPO, including filling out the required SEC paperwork or formally engaging the investment banks Poujade falsely told the victim he had engaged as underwriters.
Poujade admitted that he further lied to the victim by saying one investment bank “was super excited about moving forward” and estimated that Tri-Emerald would “be a billion dollar company in under 16 months,” according to the plea agreement.
He also said Tri-Emerald was using the victim’s investment to cover IPO costs when, in fact, Poujade used a substantial portion of the funds for general Tri-Emerald operating expenses and to make lulling payments and litigation settlement payments to previous Tri-Emerald investors. Poujade also used a portion of the funds for personal expenditures in lieu of taking a salary.
In total, Poujade fraudulently obtained approximately $5,255,600 from the victim.
In his plea agreement, Poujade further admitted to defrauding another victim and that victim’s investment group in July 2016 by convincing them to purchase 30-day promissory notes issued by LendPlus Holdings, another one of Poujade’s companies. These notes purportedly were to be used to increase Tri-Emerald’s warehouse line of credit, which would allow Tri-Emerald to fund a larger volume of mortgages.
At the end of the term of the 30-day promissory notes, instead of repaying victim investors, Poujade continuously rolled victim investors’ funds over into the next month. On numerous occasions, Poujade lulled the victims by falsely claiming their money was safe in a reserve account and LendPlus was using their funds to improve Tri-Emerald’s loan production and line of credit.
In reality, Poujade used a substantial portion of these funds to make lulling payments to previous Tri-Emerald investors, to pay Tri-Emerald’s operating expenses, and for his own personal use, including paying rent on his residence.
Poujade admitted to defrauding these investors out of approximately $915,000.
United States District Judge Mark C. Scarsi scheduled an October 30 sentencing hearing, at which time Poujade will face a statutory maximum sentence of 20 years in federal prison.
The FBI and the United States Department of Housing and Urban Development Office of Inspector General investigated this matter.
Special Assistant United States Attorney Ryan G. Adams of the Santa Ana Branch Office is prosecuting this case.
Oklahoma Man Sentenced to Statutory Maximum of 10 Years for Racially Motivated Hate Crime Against Black ManRead the Press Release
OKLAHOMA CITY – An Oklahoma man was sentenced to 120 months in prison, followed by three years of supervised release, and ordered to pay $68,186.64 of a total amount of $113,644.40 in restitution to the Black victim of the offense for his role in a racially-motivated attack in Shawnee, Oklahoma.
On January 18, 2022, a federal grand jury in the Western District of Oklahoma returned a two-count indictment charging Devan Wayne Johnson, 28, of Oklahoma City, and co-defendant Brandon Wayne Killian, who are white, with physically assaulting a Black man - as well as the Black man’s white friend - in the parking lot of the Brickhouse Saloon in Shawnee. The indictment alleges that the assault occurred because of the Black man’s race and color. Johnson pleaded guilty to one count of committing a hate crime in September 2022.
“This defendant is being held accountable for brutally assaulting a Black man because of his race,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will continue to enforce our federal civil rights laws to prosecute those who commit violent hate crimes in our country.”
“Heinous, hate-fueled crimes such as this have no place in our state or country,” said United States Attorney Robert J. Troester for the Western District of Oklahoma. “This is the first case sentenced in the Western District of Oklahoma under the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act. The judge’s decision to give the maximum penalty in this case sends a strong message, and we will continue to aggressively combat all hate crimes and seek justice for those victimized by hate.”
“Hate crimes have a devastating impact on not only the victims and their families, but on entire communities as well,” said FBI Oklahoma City Special Agent in Charge Edward J. Gray. “Today’s sentencing highlights the FBI’s work to ensure everyone feels safe in their own community, without fear of being harmed because of the color of their skin. There is absolutely no place for race-based violence in the state of Oklahoma.”
Assistant Attorney General Clarke, U.S. Attorney Troester, and Special Agent in Charge Gray made the announcement.
Killian will be sentenced on August 14.
The FBI Oklahoma City Field Office investigated the case. Assistant U.S. Attorney Julia E. Barry for the Western District Oklahoma and former Trial Attorney Avner Shapiro of the Civil Rights Division’s Criminal Section prosecuted the case.
Reference is made to public filings for more information.
Oklahoma Man Sentenced for Racially Motivated Hate Crime Against Black ManRead the Press Release
An Oklahoma man was sentenced to 120 months in prison followed by three years of supervised release and payment of $68,186.64 in restitution for a racially-motivated attack on a Black victim in Shawnee, Oklahoma.
On Jan. 18, 2022, a federal grand jury in the Western District of Oklahoma returned a two-count indictment charging Devan Wayne Johnson, 28, of Oklahoma City, and co-defendant Brandon Wayne Killian, who are white, with physically assaulting a Black man – as well as the Black man’s white friend – in the parking lot of the Brickhouse Saloon in Shawnee. The indictment alleges that the assault occurred because of the Black man’s race and color. Johnson pleaded guilty to one count of committing a hate crime in September 2022.
“This defendant is being held accountable for brutally assaulting a Black man because of his race,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will continue to enforce our federal civil rights laws to prosecute those who commit violent hate crimes in our country.
“Heinous, hate-fueled crimes such as these have no place in our state or country,” said U.S. Attorney Robert Troester for the Western District of Oklahoma. “This is the first case sentenced in the Western District of Oklahoma under the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act, and we hope today’s proceedings send a strong message. We will continue to aggressively combat all hate crimes and seek justice for those victimized by hate.”
“Hate crimes have a devastating impact on not only the victims and their families, but on entire communities as well,” said Special Agent in Charge Edward J. Gray of the FBI Oklahoma City Field Office. “Today’s sentencing highlights the FBI’s work to ensure everyone feels safe in their own community, without fear of being harmed because of the color of their skin. There is absolutely no place for race-based violence in the state of Oklahoma.”
Assistant Attorney General Clarke, U.S. Attorney Troester and Special Agent in Charge Gray made the announcement.
Killian will be sentenced on Aug. 14.
The FBI Oklahoma City Field Office investigated the case.
Assistant U.S. Attorney Julia Barry for the Western District Oklahoma and former Trial Attorney Avner Shapiro of the Civil Rights Division’s Criminal Section prosecuted the case.
Nine-time felon sentenced to more than 17 years in prison for illegal possession of firearm, drugsRead the Press Release
CINCINNATI – A Cincinnati man with nine prior felony convictions was sentenced in U.S. District Court today to 210 months in prison for committing additional crimes involving firearms and illegal drugs.
On May 22, 2019, a Cincinnati Police Officer attempted to stop a car being driven by Terry Willis, 52. Willis fled on foot and attempted to climb over a barbed-wire fence. When the officer caught him, Willis tried to wrestle away and repeatedly reached toward his waistband. The officer told Willis not to reach, and shortly a second officer arrived and helped subdue Willis.
While handcuffing Willis, officers found in his waistband a 9mm handgun with a round in the chamber and an extended magazine holding 30 rounds of ammunition. Officers also found on Willis’s person a bag containing more than 25 grams of cocaine, another bag with more than six grams of marijuana and more than $1,600 in cash.
A federal grand jury indicted Willis three months later, charging him with possession with intent to distribute illegal drugs, possession of a firearm in furtherance of a drug crime, and possession of a firearm by a prohibited person. He pleaded guilty in August 2021 to all three charges.
Willis has a prior felony conviction for possessing a firearm as a felon and several other felonies relating to distributing and possessing controlled substances. As a previously convicted felon, Willis is prohibited under federal law from possessing firearms or ammunition.
Willis was also sentenced to serve 10 years on supervised release after he completes his prison term.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); and Cincinnati Police Chief Teresa A. Theetge announced the sentence imposed by U.S. District Court Judge Douglas R. Cole. Assistant United States Attorneys Julie Garcia and Kelly Rossi represented the United States in this case.
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Nigerian National Based in Maryland Sentenced to 4 Years and 9 Months in Prison and Nigerian House Ordered Forfeited for Schemes to Steal Unemployment Insurance BenefitsRead the Press Release
SACRAMENTO, Calif. — Nigerian national Olamide Yusuf Bakare, 26, currently residing in Laurel, Maryland, was sentenced today to four years and nine months in prison for conspiracy to commit wire fraud during the COVID-19 pandemic, U.S. Attorney Phillip A. Talbert announced.
Bakare pleaded guilty in January 2023. According to court documents, between June 2020 and July 2021, Bakare, along with co-defendants Quazeem Owolabi Adeyinka and Ayodeji Jonathan Sangode, and others, participated in a conspiracy to submit fraudulent unemployment insurance (UI) and Pandemic Unemployment Assistance (PUA) claims to the States of Maryland and California. More than 200 individual applications were filed with the California Employment Development Department (EDD) and the Maryland Department of Labor (MDOL) indicating that the claimants’ address was the Hyattsville, Maryland, apartment that the defendants shared.
During the conspiracy, the conspirators obtained the personally identifiable information (PII) of persons who were not eligible for UI or PUA benefits or who did not authorize the conspirators to act on their behalf with respect to seeking such benefits. Such PII included names, dates of birth, and Social Security numbers. The conspirators then used the PII to submit dozens of fraudulent UI and PUA claims to EDD and MDOL under the putative claimants’ identities and without their authorization.
The underlying benefit applications contained fraudulent representations, including, for example, that the claimants had worked for certain employers and supervisors; had specific annual incomes; worked during certain time periods; were self-employed in various occupations; were laid off and had no work; were newly unemployed due to a disaster including the COVID-19 pandemic; and were currently available to work. Most, if not all, of these claims were false because the claimants were not so previously working, employed, newly unemployed, or seeking new employment.
The conspirators knew that these representations were false or lacked the knowledge and authority to make such representations. These actions caused EDD and MDOL to approve at least 142 fraudulent UI and PUA claims.
For each approved claim, EDD and MDOL deposited benefit funds into a debit card account administered by Bank of America and under the identity of the putative claimant. Bank of America then mailed at least 142 unauthorized debit cards to addresses under the control of the defendants. Bakare then obtained these debit cards to withdraw cash at ATMs for the benefit of himself and his coconspirators.
During this conspiracy, Bakare also possessed three additional UI debit cards which had been issued by Maine’s Bureau of Unemployment Compensation, North Carolina’s Division of Employment Security, and Nevada’s Department of Employment Training and Rehabilitation. Each debit card was linked to an account that contained UI benefits. Bakare was not the named beneficiary on the cards or for the associated benefits, and he possessed them with intent to defraud the state agencies.
The debit cards that Bakare possessed and used during the conspiracy were linked to bank accounts that received a total of at least $2,265,844 in fraudulent UI and PUA benefits. He used this money, in part, to purchase a condominium in Lekki, Lagos State, Nigeria for $70 million Naira. As part of the sentence, this asset was ordered forfeited.
This case is the product of an investigation by the Department of Labor – Office of the Inspector General, the Federal Bureau of Investigation, the Department of Homeland Security – Office of the Inspector General – Covid Fraud Unit, and the California EDD – Investigation Division. Assistant U.S. Attorney Denise N. Yasinow is prosecuting the case.
Adeyinka pleaded guilty to conspiracy to commit wire fraud, and Sangode pleaded guilty to access device fraud. Both are scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Aug. 22, 2023. Adeyinka faces a maximum statutory penalty of 20 years in prison, and Sangode faces a maximum statutory penalty of 15 years in prison. Their actual sentences, however, will be determined at the discretion of the Court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This effort is part of a California COVID-19 Fraud Enforcement Strike Force operation, one of three interagency COVID-19 fraud strike force teams established by the U.S. Department of Justice. The California Strike Force combines law enforcement and prosecutorial resources in the Eastern and Central Districts of California and focuses on large-scale, multistate pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces use prosecutor-led and data analyst-driven teams to identify and bring to justice those who stole pandemic relief funds.
New Mexico State Police Officer Arrested for Possession and Transportation of Child PornographyRead 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 Sammy Allen Clouthier, 44, of Carlsbad, made an initial appearance in federal court on a criminal complaint charging him with possession of child pornography and transportation of child pornography.
According to the criminal complaint, on April 18, 2023, the FBI was made aware of a tip provided to the National Center for Missing and Exploited Children (NCMEC) on Dec. 29, 2022, by cloud service provider Synchronoss Technologies, Inc. Synchronoss provides content storage for the wireless communication service provider Verizon. Synchronoss reported images depicting apparent child sexual abuse material (CSAM) were uploaded to an account associated with Clouthier’s phone number and device. Follow-up investigation revealed that Clouthier, a sergeant in the New Mexico State Police, downloaded, possessed, and transported child pornography using his cellular devices.
A criminal complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Clothier faces a mandatory minimum of 5 years up to 20 years in prison.
This case was investigated by the Albuquerque Division Child Exploitation and Human Trafficking Task Force of the Federal Bureau Investigation. Assistant United States Attorney Eliot Neal is prosecuting the case.
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New Bedford Man Sentenced for Role in Fentanyl Trafficking OrganizationRead the Press Release
BOSTON – A New Bedford man was sentenced today in federal court in Boston for his role in a drug trafficking organization (DTO) operating in Southeastern Massachusetts and Rhode Island.
Jason Cruz, 42, was sentenced by U.S. District Court Judge Allison D. Burroughs to 16 months in prison and three years of supervised release. In May 2023, Cruz pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute fentanyl.
Between approximately April 2022 and approximately June 2022, Cruz purchased fentanyl from the DTO that he then redistributed to others. Intercepted communications depicted Cruz discussing purchasing fentanyl from the DTO. In addition, surveillance footage showed other members of the DTO visiting Cruz’s residence for brief periods of times, often times consistent with illegal drug trafficking.
Acting United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; New Bedford Police Chief Paul Oliveira; and Fairhaven Police Chief Michael J. Myers made the announcement today. Special assistance was provided by the Massachusetts State Police; Homeland Security Investigations; Bristol County Sherriff’s Office; and Fall River, Taunton, Attleboro, Scituate, Yarmouth, Providence (R.I.) and West Warwick (R.I.) Police Departments. Assistant U.S. Attorney John T. Mulcahy of the Narcotics & Money Laundering Unit prosecuted the case.
This effort is 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.
Mobile Man Sentenced to 7 Years for Armed RobberyRead the Press Release
Justin Pickens, 29, was sentenced to 7 years in prison for Interference with Commerce by Robbery and Brandishing a Firearm During a Crime of Violence. Pickens entered a guilty plea to these offenses on April 24, 2023.
According to court documents filed in connection with his guilty plea, on July 11, 2021, Pickens went to the Circle K located at 5550 Highway 90, in Mobile, displayed a firearm to the clerk, and took $51 and 100 cartons of cigarettes. Pickens then grabbed the store telephone and left the business.
Chief Judge Jeffrey U. Beaverstock imposed an 84-month sentence of incarceration and a 5-year term of supervised release upon Pickens’ discharge from prison. Chief Judge Beaverstock ordered that Pickens pay $200 in special assessments and $491 in restitution.
The Mobile Police Department and Federal Bureau of Investigations (FBI) investigated this case. Assistant United States Attorneys Vicki Davis and Kacey Chappelear prosecuted the case.
Mississippi Men Sentenced for Hunting ViolationsRead the Press Release
Oxford, MS – Two North Mississippi men were sentenced today to one-year of probation and ordered to pay a total of $30,000 in fines and restitution for illegally killing a white-tailed deer in Tennessee and transporting the deer across state lines to Mississippi.
According to court documents, Christopher Lee Jones, 42, of Hernando, Mississippi, and Heath Thomas Harris, 42, of Senatobia, Mississippi, each plead guilty to one count of violating the Lacey Act for killing a white-tailed deer in violation of state law and transporting it across state lines. In December 2019, Jones and Harris killed a white-tailed deer on property located west of Tchulahoma Road and north of Jackson Pit Road in Memphis, Tennessee, violating various Tennessee laws in the process, including hunting in Tennessee without a license. After killing the deer illegally in Tennessee, Jones and Harris transported the deer into Mississippi, in violation of the Lacey Act. Each defendant was ordered to pay a fine in the amount of $1,000, restitution to the Tennessee Wildlife Resources Agency in the amount of $9,185 and fines payable to the Lacey Act Rewards Account in the amount of $4,875, as well as forfeit the antlers to the U.S. Fish and Wildlife Service. Additionally, each defendant was placed on probation for a period of one year, during which time they will be prohibited from hunting anywhere in the world as a condition of their probation.
U.S. Fish & Wildlife Service Office of Law Enforcement Special Agent in Charge Stephen Clark stated, “The U.S. Fish and Wildlife Service, Office of Law Enforcement is committed to conducting criminal investigations with the Mississippi Department of Wildlife, Fisheries and Parks and the Tennessee Wildlife Resources Agency to conserve, protect, and enhance fish, wildlife, plants and their habitats. The Office of Law Enforcement takes violations of the Lacey Act seriously. This multi-year investigation involving the two defendants responsible for the unlawful harvest and subsequent transportation in interstate commerce of a white-tailed deer from Tennessee to Mississippi is no exception. We will continue to work closely with our state partners to conduct these important joint investigations.”
This case was investigated by the U.S. Fish and Wildlife Service, the Tennessee Wildlife Resources Agency, and the Mississippi Department of Wildlife, Fisheries and Parks. The case was prosecuted by AUSA Robert Mims.
The U.S. Fish and Wildlife Service encourages members of the public to report allegations of wildlife crimes to the Service’s Office of Law Enforcement via the Wildlife Crime Tips page at https://www.fws.gov/wildlife-crime-tips or via phone at 1-844-FWS-TIPS (1-844-397-8477).
Middletown Man Admits Robbing 3 Supermarket BanksRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that GINO RIZZO, 29, of Middletown, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to bank robbery.
According to court documents and statements made in court, using notes demanding cash, Rizzo robbed People’s United Bank branches located in Stop & Shop supermarkets in Glastonbury on July 16, 2022, in Newington on July 18, 2022, and in West Hartford July 20, 2022.
Rizzo was arrested on July 21, 2022.
On April 11, 2023, while on pre-trial release, Rizzo disconnected his GPS electronic monitoring bracelet and absconded from his court-mandated rehabilitation center. He has been detained since his re-arrest on May 22, 2023.
Judge Meyer scheduled sentencing for October 17, at which time Rizzo faces a maximum term of imprisonment of 20 years.
This matter has been investigated by the Federal Bureau of Investigation and the Middletown, Glastonbury, Newington, and West Hartford Police Departments. The case is being prosecuted by Assistant U.S. Attorneys Stephanie T. Levick and Robert S. Dearington.
Michigan City Woman Sentenced to 63 Months in PrisonRead the Press Release
SOUTH BEND –Carissa McCoy, 42 years old, of Michigan City, Indiana, was sentenced by United States District Court Judge Damon R. Leichty after pleading guilty to conspiracy to distribute fentanyl, announced United States Attorney Clifford D. Johnson.
McCoy was sentenced to 63 months in prison followed by 5 years of supervised release.
According to documents in the case, from June through mid-August 2021, McCoy conspired with others to distribute fentanyl in the Michigan City area. Her home, which she shared with one of her co-defendants, housed currency, firearms, and ammunition related to the conspiracy. In August 2021, McCoy and one of her co-defendants were stopped by law enforcement while traveling back to Michigan City. At that time, McCoy had over a kilogram of fentanyl pills on her person.
This case was investigated by the Drug Enforcement Administration (including the Chicago Field Division, the Merrillville District Office, the Amarillo Texas Resident Office and the Albuquerque New Mexico District Office) with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the LaPorte County Drug Task Force, an Indiana HIDTA Initiative, and the Michigan City Police Department. The case was prosecuted by Assistant United States Attorneys Kimberly L. Schultz and Joel Gabrielse.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Memphis Man Sentenced to 135 Months for Transporting Narcotics on a Memphis-Bound AirplaneRead the Press Release
Memphis, TN – Michael Jefferson, 45, of Memphis has been sentenced to 135 months in federal prison for possession with intent to distribute approximately 12 kilos of methamphetamine. U.S. Attorney Kevin R. Ritz for the Western District of Tennessee announced the sentence today.
According to information presented in court, on March 26, 2022, officers with the Memphis Airport Police, detectives with the Shelby County Sheriff’s Narcotics Division, and special agents with the Drug Enforcement Administration were conducting routine drug searches at the Memphis International Airport when a drug detection dog gave a positive alert to the presence of narcotics inside luggage belonging to Jefferson. A search of the luggage revealed 12 kilos – or just over 26 pounds – of methamphetamine.
Jefferson pled guilty to the offense. On July 20, 2023, U.S. District Judge Mark S. Norris sentenced Jefferson to 135 months in federal prison and 3 years of supervised release.
This case was investigated by the Memphis Airport Police, the Shelby County Narcotics Division, and the Drug Enforcement Administration’s Louisville Division.
Assistant U.S. Attorneys Jennifer Musselwhite and Michelle Kimbril-Parks prosecuted this case on the government’s behalf.
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Massachusetts Man Sentenced for Lottery Tax Fraud ConspiracyRead the Press Release
BOSTON – A Massachusetts man was sentenced today in federal court in Boston for his role in an elaborate “ten-percenting” tax fraud conspiracy involving dozens of convenience stores across Massachusetts.
Mohamed Jaafar, 31, of Watertown, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to six months in prison and two years of supervised release. Jaafar was also ordered to pay $964,569 in restitution. In November 2022, Jaafar pleaded guilty to one count of conspiracy to defraud the United States. In May 2023, Jaafar’s co-conspirators, Ali Jaffar and Yousef Jaafar, were sentenced to five years and 50 months, respectively.
Between 2011 and 2020, the defendants purchased winning lottery tickets from individuals across Massachusetts who wanted to sell their winning tickets for a cash discount instead of claiming their prizes from the Massachusetts State Lottery Commission. This allowed the real winners to avoid identification by the Commission, which is legally required to identify lottery winners and withhold any outstanding taxes, back taxes and child support payments before paying out prizes. The defendants recruited and paid the owners of dozens of convenience stores to facilitate the transactions. After purchasing tickets from the lottery winners at a discount, using the convenience stores as go-betweens, the defendants falsely claimed the full amount of the prize money as their own. The defendants then further profited by reporting the winnings on their income tax returns and claiming equivalent fake gambling losses as an offset, thereby avoiding federal income taxes and receiving fraudulent tax refunds.
In total, the defendants unlawfully claimed more than 14,000 winning lottery tickets and laundered over $20 million in proceeds. The result was more than $6 million in federal tax loss. As a direct result of this case, the Massachusetts State Lottery Commission is in the process of revoking or suspending the licenses of more than 40 lottery agents.
Acting United States Attorney Joshua S. Levy and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. Assistant U.S. Attorneys Christopher J. Markham and Kristen A. Kearney of the Securities, Financial & Cyber Fraud Unit prosecuted the case.
Man Sentenced to over 21 Years in Federal Prison for Sexually Assaulting a Child on the Menominee Indian ReservationRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin,announced that Gerald “Doon” Pamaska (age: 55) received a sentence of 258 months in federal prison following a conviction for sexually assaulting a child on the Menominee Indian Reservation.
The sentence, imposed on July 24, 2023, by Senior United States District Judge William C. Griesbach, was the result of a guilty plea entered by Pamaska on April 21, 2023. Following his prison sentence, Pamaska will serve the remainder of his life on supervised release.
According to court documents, in the summer of 2019, Pamaska, who formerly resided in Keshena, Wisconsin, sexually abused a then-9-year-old girl in a hotel room on the Menominee Indian Reservation. The abuse was disclosed in April 2022. An FBI agent and tribal detective located the defendant in a Kansas jail and interviewed him there. The defendant admitted the offense and corroborated much of what the girl said about the timing and location of the crime.
In sentencing the defendant, Judge Griesbach noted the obvious need for a significant sentence for a “horrendous offense.” Judge Griesbach based the sentence on the magnitude of the offense and noted a strong need to protect the public from the defendant. Judge Griesbach also remarked upon the need to send a strong message to deter “anyone but the undeterrable” from committing similar actions.
The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case, with assistance from the Willow Tree Cornerstone Child Advocacy Center. Assistant United States Attorney Andrew J. Maier prosecuted the case in United States District Court in Green Bay.
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Public Information Officer
Kenneth.Gales@usdoj.gov
414-297-1700
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Malden Man Sentenced to 10 Years in Prison for Trying to Hire Contract Killer to Murder His WifeRead the Press Release
BOSTON – A Malden man was sentenced yesterday in federal court in Boston for attempting to hire a contract killer – who was actually an undercover federal agent – to murder his then-wife.
Massimo Marenghi, 57, was sentenced by U.S. District Court Judge Allison D. Burroughs to 120 months in prison and three years of supervised release. On March 16, 2023, Marenghi pleaded guilty to one count of murder-for-hire.“Domestic violence is a truly haunting reality that is far too pervasive in our society. At its core, that is what the prosecution of Mr. Marenghi was all about. He was looking to engage in the most extreme form of domestic violence by plotting the murder of his wife. While the vast majority of domestic violence situations do not involve the federal criminal law, when this office has an opportunity to hold people accountable for this type of despicable conduct, we will spare no effort in prosecuting such offenders,” said Acting United States Attorney Joshua S. Levy.
“Massimo Marenghi plotted to kill his wife and went to great lengths not to get caught. Thankfully, his plot was thwarted because the person he thought was a contract killer was in fact an undercover FBI Special Agent,” said Christopher DiMenna, Acting Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Mr. Marenghi’s conduct in this case was truly horrific, and today’s sentence is just. It is our hope the victim in this case can rest easier knowing that he will spend the next decade behind bars.”
In January 2021, an individual reported to law enforcement that Marenghi had complained about his then-wife seeking a restraining order against him. Marenghi asked the individual for assistance in killing his wife. At the direction of federal agents, the individual introduced Marenghi to an undercover agent who posed as a contract killer. Later that month, Marenghi met with the undercover agent and sought help to “eliminate” his problem. Marenghi provided the undercover agent with a photograph of his then-wife’s residence and explained how to evade detection by cameras while approaching the residence.
On Jan. 29, 2021, Marenghi again met with the undercover agent and discussed moving forward with the killing of his wife, providing a $1,500 cash deposit for the murder. Marenghi explained that the sooner the “demolition job” took place, the sooner he would be able to pay the balance owed. He also provided a photograph of his then-wife, the color, model and license plate number of her car, the hours of operation of her place of business and a schedule indicating when he would have custody of his children, which he said would be the “best time for the construction work to start.”
Acting U.S. Attorney Levy and FBI Acting SAC DiMenna made the announcement today. The Malden Police Department provided valuable assistance with the investigation. Assistant U.S. Attorney Adam Deitch of the Criminal Division prosecuted the case.
Long Island Investment Advisers Indicted for Defrauding Clients of Millions of DollarsRead the Press Release
A 16-count indictment was unsealed today in federal court in Central Islip charging investment advisers Adam Kaplan and his brother, Daniel Kaplan, with conspiracy to commit wire fraud, wire fraud, investment advisor fraud, and money laundering in connection with several schemes to steal millions of dollars from their clients. The defendants were arrested today and will be arraigned this afternoon before United States Magistrate Judge James M. Wicks.
Breon Peace, United States Attorney for the Eastern District of New York, and Christie M. Curtis, Acting Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrests and charges.
“As alleged, the Kaplans engaged in years-long schemes violating the trust that their clients, some of them elderly and vulnerable, had placed in them to manage their money safely and honestly,” stated United States Attorney Peace. “The defendants lined their pockets at the victims’ expense, but with their lies and frauds exposed, they will be held to account for their conduct.”
Mr. Peace thanked the Securities and Exchange Commission for their assistance with the case.
“As alleged, the Kaplans engaged in multiple investment fraud schemes that victimized their clients, many of whom were elderly or disabled. This type of illegal activity is unfortunately all too common and even more egregious when vulnerable groups are targeted,” stated FBI Acting Assistant Director-in-Charge Curtis. “The FBI will continue to investigate and hold accountable those who exploit their clients by misappropriating their funds for personal gain.”
As set forth in the indictment and other public filings, between May 2018 and November 2022, Adam and Daniel Kaplan acted as investment advisors for hundreds of clients. The defendants used their positions of trust to misappropriate millions of dollars from their clients, some of whom were elderly and disabled. The defendants used various schemes to misappropriate the victims’ funds, including overbilling for advisory fees, siphoning money from bank accounts through fraudulent advisory fee charges and through purported “investments” defendants never intended to make. The defendants lied to their clients about the fraudulent charges, forged their clients’ signatures on documents, and made misrepresentations to financial institutions. In total, the defendants misappropriated at least $5 million, using the funds for personal expenses and to purchase luxury goods.
The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, the defendants face up to 20 years in prison.
If you were a client of Adam Kaplan or Daniel Kaplan and would like to file a complaint, please visit www.iC3.gov. Please reference “Adam Kaplan” or “Daniel Kaplan” in your complaint.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Christopher Caffarone, Paul Scotti, and Adam Toporovsky are in charge of the prosecution.
The Defendants:
ADAM KAPLAN
Age: 34
Great Neck, New YorkDANIEL KAPLAN
Age: 34
Great Neck, New YorkE.D.N.Y. Docket No. 23-CR-293 (GRB)
Leader of drug trafficking organization faces 27-30 years in prison following guilty plea to drug trafficking, sex trafficking, and money launderingRead the Press Release
COLUMBUS, Ohio – A leader of a large-scale conspiracy involving narcotics distribution, sex trafficking, fraud, and money laundering pleaded guilty in U.S. District Court today. The plea agreement includes an agreed sentencing range of 27-30 years in prison.
Patrick M. Saultz, 45, a/k/a/ “White Boy Pat” of Columbus, pleaded guilty to three violations of federal law - conspiracy to distribute and possess with intent to distribute controlled substances within 1,000 feet of an elementary school, conspiracy to commit sex trafficking, and concealment money laundering.
According to court documents, between January 2008 and 2022, the organization brought large quantities of illegal narcotics into Columbus, Ohio, and sold them in and around the Columbus area while simultaneously coercing individuals to engage in sexual activity for profit, from which the organization benefited. Members of the organization trafficked various controlled substances - including fentanyl, cocaine, crack cocaine, heroin, methamphetamine, marijuana, oxycodone, and alprazolam - to individuals in northern Ohio, Columbus, and West Virginia.
“This organization flooded our streets with staggering amounts of illegal drugs,” said Kenneth L. Parker, United States Attorney for the Southern District of Ohio. “Investigators calculated that the organization was selling approximately 40 grams of fentanyl per day out of each drug house they oversaw, and a conservative estimate concludes that, in addition, the organization dealt kilogram quantities of cocaine and crack cocaine during the course of its operation as well.”
Saultz acknowledged that he and a co-conspirator co-owned and operated multiple pieces of real estate on the west side. They used money from their illegal activities to buy property, launder the drug proceeds and to further their illegal activities. One of the houses they bought and used for drug-dealing was across the street from Burroughs Elementary School in Columbus.
Court documents also detail how Saultz and numerous other members of the organization ran a sex trafficking operation, coercing women with illegal drugs to engage in prostitution. The women were required to turn the money they received from their prostitution activities over to him and other organization members in return for places to stay, and for more drugs, fueling their addictions further.
The plea agreement requires Saultz to pay restitution to the victims of sex trafficking, and to forfeit his rights to all property seized during the investigation including two cars, a motorcycle, dozens of firearms, a Rolex watch and more than $1.7 million in cash in addition to the real estate.
A federal grand jury initially indicted Saultz along with 10 others in July 2022. A superseding indictment in October 2022 added 13 defendants and added 28 new charges to the narcotics conspiracy, including firearms offenses and an overdose causing serious bodily injury. Charges against the others are still pending.
U.S. Attorney Kenneth L. Parker commended the investigation coordinated by The Central Ohio Human Trafficking Task Force, formed under the Ohio Attorney General Dave Yost’s Ohio Organized Crime Investigations Commission, which includes Columbus Division of Police Chief Elaine Bryant; Angie Salazar, Special Agent in Charge, Homeland Security Investigations; and Orville O. Greene, Special Agent in Charge, U.S. Drug Enforcement Administration. Other agencies that have assisted the task force with the investigation include the Franklin County Sheriff's Office, HIDTA Task Force, IRS-Criminal Investigation, FBI, Ohio Bureau of Criminal Investigations (BCI), Ohio National Guard Counter Drug Task Force, Pickerington Police Department, New Albany Police Department, and the Fairfield County Sheriff's Office SWAT Team. They joined Parker in announcing the pleas entered before U.S. District Judge Edmund A. Sargus Jr.
Assistant United States Attorneys Timothy Prichard and Emily Czerniejewski are representing the United States in this case.
This investigation is 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 OCDETF can be found at https://www.justice.gov/OCDETF.
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Kingston Man Sentenced for Distributing and Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK –Thomas O’Bryan, age 41, of Kingston, New York, was sentenced today to serve 110 months in prison for distributing and possessing of child pornography, announced 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).
As part of his earlier guilty plea, O’Bryan admitted that between March and September 2020, he traded child pornography on a social media application using the screenname “irishbstrdinc.” The defendant also admitted that on September 22, 2020, he possessed child pornography, which included depictions of sadistic and masochistic conduct, as well as the sexual abuse and exploitation of toddlers.
United States District Judge Glenn T. Suddaby also imposed a 15 year-term of post-release supervision, ordered O’Bryan to pay $3,000 restitution to a child victimized in some of his child pornography, and ordered O’Bryan to forfeit the laptop and cell phone that he used to commit his crimes.
This case was investigated by the FBI and its Child Exploitation Task Force, which includes members of federal, state and local law enforcement agencies, including the New York State Police, and the Colonie and Rotterdam Police Departments. Former Assistant United States Attorney Rachel L. Williams and Assistant United States Attorney Jonathan S. Reiner prosecuted this case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s 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 https://www.justice.gov/psc.
Justice Department Advances Proposed Rule to Strengthen Web and Mobile App Access for People with DisabilitiesRead the Press Release
The Justice Department sent to the Federal Register for publication a notice of proposed rulemaking under Title II of the Americans with Disabilities Act (ADA) that aims to improve web and mobile applications (apps) access for people with disabilities and clarify how public entities – primarily state and local governments – can meet their existing ADA obligations as many of their activities shift online.
Across the United States, people routinely rely on web and mobile apps to access a variety of vital public programs and services like employment and educational resources, voting information, health and emergency services, parking, and transit schedules. The proposed rule is particularly significant in the wake of the pandemic, as public entities have significantly increased the scope of essential services and programs offered through the web and mobile apps. It is critical for these technologies to be accessible for people with disabilities.
“This marks the first time in the history of the Americans with Disabilities Act that the Justice Department has issued a proposed rule on website accessibility,” said Attorney General Merrick B. Garland. “This proposed rule seeks to ensure that Americans with disabilities have equal access to the websites and apps that connect them to essential services provided by state and local governments.”
“This proposed rule, which is the culmination of years of work and collaboration, is a historic moment for the Justice Department,” said Associate Attorney General Vanita Gupta. “It will help enshrine the right of Americans with disabilities to access critical information needed to lead safe, productive, and prosperous lives.”
“This proposed rule marks a significant milestone in the Justice Department’s efforts to advance accessibility in the digital sphere,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This groundbreaking moment makes clear our commitment to eradicating the barriers faced by people with disabilities and affording equal access to online government programs and services that people around the country depend on every day. We will continue to use every tool available to ensure that people with disabilities are provided full access to the digital town square.”
As state and local governments continue to move more of their programs and activities online – from applying for permits to checking the status of service requests, registering vehicles, and paying taxes and fees – ensuring that people with disabilities have equal access to these same services is essential. When websites and mobile apps are not accessible, they can be difficult or even impossible for people with disabilities to use. This can block people with disabilities from readily accessing important government services and programs that others can quickly and easily obtain online.
The Department is eager to hear from the public and get input from relevant stakeholders on the regulatory proposal set forth in our forthcoming proposed rule. The proposed rule will soon be available for review on the Federal Register’s website at www.federalregister.gov. A fact sheet that provides information about the proposed rule will soon be available on www.ada.gov. The Department invites the public to submit their comments on the proposed rule once it is published. The comment period will be open for 60 days from the date the proposed rule is published. Public comments can be submitted on www.regulations.gov.
For more information on the Civil Rights Division, please visit the Department’s website. For more information on the ADA, please call the Department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit the ADA website.
Jury convicts Cincinnati woman of crimes related to COVID-19 relief fraudRead the Press Release
A federal jury in the Southern District of Ohio today convicted Kelli Prather, 51, of Cincinnati of crimes pertaining to her request for more than $1.2 million in pandemic relief loans. She was remanded to the custody of the U.S. Marshals after the jury returned its guilty verdicts.
According to testimony and evidence presented during the trial that began July 18, Prather applied for six Paycheck Protection Program (PPP) loans as part of the CARES Act COVID-19 pandemic relief. She claimed to own six businesses – Enhanced Healthcare Solutions, Life Skills Enhancement, Prather Property Management, Reliable Ambulette Services, Rich Glo Management Services and Tots R Us.
Separately, Prather also applied for eight Economic Injury Disaster Loans (EIDL). In three of the EIDL applications she filed in November 2020, she represented that the businesses were majority owned by her disabled nephew.
Prather sought more than $1.2 million in fraud relief and fraudulently received approximately $19,800.
The jury convicted her of six counts of bank fraud (punishable by up to 30 years in prison), one count of making false statements in connection to credit or loan applications (up to 30 years in prison), four counts of wire fraud (up to 20 years in prison), and three counts of aggravated identity theft (carrying a mandatory 2-year sentence to run consecutive to any other sentence imposed). The court will set a date for sentencing following a pre-sentence investigation.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio, the Federal Bureau of Investigation, and the Social Security Administration Office of the Inspector General; and other members of the Financial Crimes Working Group Pandemic Fraud Committee announced the verdict at the conclusion of the trial before U.S. District Court Judge Matthew W. McFarland. Assistant United States Attorneys Anthony Springer and Ebunoluwa A. Taiwo are representing the United States in this case.
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Joint Statement from Mexico and the United States on Shared Efforts to Combat Illicit Fentanyl, Disrupt Arms Trafficking, and Humanely Manage MigrationRead the Press Release
On July 24, President Andrés Manuel López Obrador and senior Government of Mexico officials hosted a U.S. delegation led by Homeland Security Advisor Dr. Elizabeth Sherwood-Randall, Deputy Attorney General Lisa O. Monaco, Acting Deputy Secretary of Homeland Security Kristie Canegallo, and Deputy Secretary of State for Management and Resources Rich Verma to further the significant cooperation that our countries already have undertaken, including on the global fight against illicit fentanyl and dual-use chemical substances, combatting arms trafficking, managing migration, and modernizing our shared border. This meeting built on previous high-level meetings led by Dr. Sherwood-Randall and Security Secretary Rosa Icela Rodríguez.
The leaders discussed our commitment to continuing joint efforts under the U.S.-Mexico Bicentennial Framework for Security, Public Health, and Safe Communities to combat drug traffickers, disrupt the supply of the chemicals used to make illicit fentanyl, prevent trafficking of these deadly narcotics across our shared border, and promote public health services to reduce harm and demand and increase treatment services. Our countries also recognize that discovering, disrupting, and dismantling firearms trafficking networks is critical to our shared efforts to combat illicit fentanyl, and we remain committed to addressing firearms trafficking that contributes to violence and destruction on both sides of our shared border.
The leaders also discussed the challenges and progress in cooperation regarding regional migration and committed to continue to forge a region-wide response, guided by the principles in the Los Angeles Declaration on Migration and Protection. To that end, the United States and Mexico committed to further expand the availability of legal pathways throughout the region, including to Mexico and the United States. Leaders also discussed expanding our joint development work in Central America, and maintaining strong consequences for irregular entry at our shared border.
Finally, the United States and Mexico committed to furthering ongoing work to modernize and advance infrastructure projects that support our border communities and benefits both nations and strengthens our bilateral relationship and security.
Johnstown Woman Sentenced to 70 Months in Prison and 4 Years of Supervised Release for Conspiring to Distribute and Possess with Intent to Distribute Cocaine and HeroinRead the Press Release
JOHNSTOWN, Pa. – A former resident of Johnstown, PA, has been sentenced in federal court to a total of 70 months in prison followed by 4 years of supervised release on her conviction of conspiracy to distribute and possess with intent to distribute cocaine base, cocaine, and heroin, United States Attorney Eric G. Olshan announced today.
Senior United States District Judge Kim R. Gibson imposed the sentence on Willette Cooper, age 41, of Johnstown, Pennsylvania.
According to information presented to the court, from on or about April 2019, to on or about July 2021, Cooper did conspire to distribute and possess with intent to distribute 28 grams or more of a mixture and substance containing a detectable amount of cocaine base, in the form commonly known as crack, a quantity of a mixture and substance containing a detectable amount of cocaine, and a quantity of a mixture and substance containing a detectable amount of heroin.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
Mr. Olshan commended the Federal Bureau of Investigation, Laurel Highlands Resident Agency and Homeland Security Investigations for the investigation that led to the successful prosecution of Cooper. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Pennsylvania Office of the Attorney General, Pennsylvania State Police, Cambria County District Attorney’s Office, Indiana County District Attorney’s Office, Cambria County Sheriff’s Office, Cambria Township Police Department, Indiana Borough Police Department, Johnstown Police Department, Upper Yoder Township Police Department, Richland Police Department, Ferndale Police Department and other local law enforcement agencies.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
In separate cases, two men plead guilty to dealing fentanyl while armed with handgunsRead the Press Release
Seattle – Two men – both involved with firearms and fentanyl -- pleaded guilty this week in U.S. District Court in Seattle to federal charges that carry a mandatory minimum of five years in prison, announced Acting U.S. Attorney Tessa M. Gorman. Jade Alexander Beavin, 33, of Everett will be sentenced by U.S. District Judge Richard A. Jones on October 20,2023. Lavonta Austin, 30, of Seattle will be sentenced by U.S. District Judge James L. Robart on October 17, 2023.
“Our office and our investigative partners work every day to stop the flow of fentanyl into our community,” said Acting U.S. Attorney Gorman. “We pursue large cartel-connected drug rings that import hundreds of thousands of pills, as well as individual dealers whose criminal conduct with guns and drugs undermines the safety of our community. These two defendants who pleaded guilty this week, were caught repeatedly with drugs and guns, conduct that ultimately landed them in federal court.”
Jade Beavin was arrested by Everett Police on July 27, 2021, with three kilos of fentanyl powder in the trunk of his car. In the interior of the car was a loaded 9mm handgun. A court authorized search of the car also resulted in the seizure of a scale, ammunition, and drug ledger. Beavin was also arrested with narcotics and a revolver in January 2020 and was arrested with a third firearm in February 2022. When he is sentenced, prosecutors will recommend no more than ten years in prison and the defense has agreed to recommend no less than eight years in prison.
Lavonta Austin was first contacted by Seattle Police at 3rd Avenue and Pike Street in downtown Seattle on August 4, 2022. After selling fentanyl pills to an undercover officer, Austin attempted to run from police when they took him into custody. Austin had methamphetamine, fentanyl, more than $2,000 in cash and a loaded 45 caliber handgun. A few months later, on October 9, 2022, Austin was arrested at a Seattle motel with fentanyl, methamphetamine, $1,770 in cash and a loaded 9mm handgun. Both the prosecutors and defense will recommend a 5-year sentence.
In both cases the judge is not bound by the recommendation and can impose any sentence allowed by law.
Both men pleaded guilty to possession of controlled substance with intent to distribute, and possession of a firearm in furtherance of a drug trafficking crime. The drug possession charge is punishable by up to 20 years in prison. The gun crime is punishable by a mandatory minimum five years in prison that runs consecutive to the sentence imposed on the drug possession charge.
U.S. v. Beavin was investigated by the Everett Police Department and the FBI. U.S. v. Austin was investigated by the Seattle Police Department and the Drug Enforcement Administration (DEA). Both cases are being prosecuted by Assistant United States Attorney Cecelia Gregson.
Hocking County woman sentenced to 40 years in federal prison for sexually exploiting children as young as 3-years-oldRead the Press Release
COLUMBUS, Ohio – A Logan, Ohio, woman was sentenced in federal court here today to 480 months in prison for sexually exploiting minors as young as 3-years-old and possessing child pornography.
Carrie Daniels, 38, was charged federally in April 2022 along with her significant other, Robert Gemienhardt, 42. Gemienhardt was sentenced to 45 years’ incarceration in February 2023 for producing child pornography of a 3-year-old child and possessing thousands of images of child sexual abuse, some of which depicted other minor children to whom the defendants had access.
The two defendants groomed minor victims, sexually abused the victims, and created child pornography of the abuse.
According to court documents, the National Center for Missing and Exploited Children (NCMEC) received a tip from Kik messenger regarding Gemienhardt’s online child exploitation activities conducted at Daniels’s residence. The Ohio Internet Crimes Against Children (ICAC) Task Force and the Hocking County Sheriff’s Office then began investigating the allegations and learned that four minor children lived in the home with Daniels and Gemienhardt.
Subsequent search warrants executed by the Hocking County Sherriff’s Office, in conjunction with the FBI, revealed that Daniels had produced child pornography of an approximately 3-year-old child and distributed the images she had produced to Gemienhardt. Those images were ultimately recovered on Gemienhardt’s phone. Daniels also photographed two of the minor children, who were 9 and 13 years of age at the time, nude in the bathroom. Daniels then sent those images of the minor children to Gemienhardt as well. Further evidence revealed that at times, Gemienhardt and Daniels acted together to produce child pornography through the grooming and sexual abuse of two of the minor victims to whom they had access between April and June of 2020.
Daniels and Gemienhardt, who was a registered sex offender in the state of Ohio, exchanged thousands of illicit text messages detailing their sexual fantasies about four separate minor victims.
Daniels pleaded guilty in October 2022 to sexually exploiting minors and possessing child pornography.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Hocking County Sheriff Lanny E. North announced the sentence imposed today by U.S. District Judge Edmund A. Sargus, Jr. Assistant United States Attorney Emily Czerniejewski is representing the United States in this case.
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Hardin County Man Sentenced to 40 Years in Federal Prison for Child Pornography OffensesRead the Press Release
Louisville, KY – A Hardin County man was sentenced today to 40 years in prison for child pornography offenses.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office made the announcement.
According to court documents, in Hardin County Kentucky, Michael Smith, 30, produced videos of his sexual abuse of a minor victim, and uploaded images and videos of child pornography to a cloud-based storage application via the internet. Smith was sentenced to 40 years in prison, followed by a 20-term of supervised release, for producing, transporting, and possessing child pornography. There is no parole in the federal system.
In addition to the 40-year prison sentence, Smith was ordered to pay restitution to victims in the amount of $6,000.
“I commend the FBI and LMPD for their investigation of this case as well as AUSA McKiness for his work prosecuting Smith,” said U.S. Attorney Bennett. “The sexual exploitation of children in the Western District is a top priority of this office. We will continue to aggressively investigate and prosecute those who harm our children.”
The case was investigated by the FBI with assistance from the Louisville Metro Police Department.
Assistant U.S. Attorney A. Spencer McKiness prosecuted 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 the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
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Hampton Man Sentenced for the Unlawful Sale of at Least 49 Firearms as a Federal Firearms LicenseeRead the Press Release
NEWPORT NEWS, Va. – A Hampton man was sentenced today to 30 months in prison for selling at least 49 firearms unlawfully.
According to court documents, Anthony Gale Turner, 54, was a federally licensed dealer of firearms beginning in 2018. Turner owned and operated his firearms business, G7 Worldwide LLC, out of his residence on Pratt Street in Hampton. The investigation of Turner was launched when the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) traced a handgun seized in Canada in 2020 back to the original purchaser. The original purchaser admitted to ATF agents that they completed the federal form required to purchase the firearm and provided Turner with their Virginia driver’s license for the transaction. However, the original purchaser told agents they never paid for the firearm nor ever took possession of it. Instead, Turner transferred the firearm to a prior convicted felon prohibited from possessing firearms. Through the course of the investigation, ATF interviewed five other straw purchasers of firearms from G7 Worldwide who independently stated Turner completed firearms transaction with their information by similar means between 2018 and 2021. Over the span of less than two years, 46 out of the 49 firearms that were subjects of charges in Turner’s case were transferred from Turner to two known, prior-convicted felons through the five straw purchasers. Three other firearms were directly purchased by prior convicted felons themselves after informing Turner of their prohibited status. The final firearm was unlawfully sold to a known out-of-state resident in violation of Turner’s duties as a licensed firearms dealer. Eight of the firearms are in law enforcement custody after being seized in connection with criminal activity in Virginia, New Jersey, and New York.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Craig Kailimai, Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after sentencing by U.S. District Judge Elizabeth Wilson Hanes.
Assistant U.S. Attorney Peter Osyf 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. 4:22-cr-83.
Globe Metallurgical to Pay $2.6 Million Fine, Implement Extensive Emissions Controls and Limit Sulfur Inputs to Reduce Pollution from Industrial Furnaces in OhioRead the Press Release
Globe Metallurgical, Inc. has agreed to a consent decree that would require it to pay a $2.6 million civil penalty, implement an estimated $6.5 million in new and improved air pollution emissions controls and limit the sulfur content of inputs in its metal production process to settle alleged violations of the Clean Air Act (CAA) at a ferroalloy production facility in Beverly, Ohio. Emissions of air pollutants, such as the sulfur dioxide (SO2) and particulate matter (PM) emitted from Globe’s operation of five electric arc furnaces, may cause adverse environmental and health impacts, including lung disorders such as asthma and bronchitis.
According to the six-count complaint, filed simultaneously with the settlement today in the Southern District of Ohio, Globe allegedly violated CAA requirements following the expansion of one of its furnaces, including a failure to assess best available pollution control technology for the modified furnace and failure to demonstrate compliance with regulations applicable to ferroalloy production plants. The United States also alleged that Globe had a history of excessive emissions of PM from the facility in violation of its existing permits.
“The extensive measures required by today’s settlement will reduce pollution and help prevent future violations of the Clean Air Act, ensuring that the citizens of Southeast Ohio have cleaner air to breathe,” said Assistant Attorney General Todd Kim for the Justice Department’s Environment and Natural Resources Division. “This case demonstrates that the Department of Justice will work tenaciously to hold accountable companies that violate federal environmental law.”
“This settlement requires Globe to take substantial steps to reduce emissions of harmful air pollutants from industrial furnaces at its Beverly, Ohio facility,” said Principal Deputy Assistant Administrator Larry Starfield for EPA’s Office of Enforcement and Compliance Assurance. “The result will be cleaner, healthier air for neighboring communities.”
“Compliance with regulations requiring upgrades to aging industrial facilities are critical when protecting health and the environment,” said U.S. Attorney Kenneth L. Parker for the Southern District of Ohio. “The Justice Department and the Environmental Protection Agency are vigilantly ensuring compliance with the Clean Air Act and other environmental laws.”
In addition to paying a penalty, Globe will now be required to utilize coal and other materials with a specified reduced-sulfur content to limit the generation of harmful SO2 emissions. Globe will also take significant steps to reduce emissions of PM, including construction of an additional pollution control baghouse, and implementation of physical improvements to equipment and changes to operational practices to reduce emissions of PM both from stacks and directly to the atmosphere from equipment. Globe will also be conducting extensive testing and implementing significantly enhanced monitoring of air pollutants to ensure ongoing compliance.
The consent decree also brings the Globe facility’s pollution control obligations up to date with environmental regulations that post-date the plant’s construction, including stricter limits on PM and carbon monoxide emissions.
The consent decree is subject to a 30-day comment period and final approval by the court. A copy of the consent decree is available on the Justice Department web site at www.usdoj.gov/enrd/Consent_Decrees.html.
The Environment and Natural Resources Division’s Environmental Enforcement Section is prosecuting this case in conjunction with the U.S. Attorney’s Office for the Southern District of Ohio and EPA Region 5