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7 July 2023
Canadian Man Sentenced to 40 Months’ Imprisonment for Conspiracy to Commit Fraud and Money LaunderingRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that William Nneji, age 56, of Canada, was sentenced to 40 months’ imprisonment for conspiracy to commit mail fraud, wire fraud, and money laundering.
According to United States Attorney Gerard M. Karam, William Nneji conspired with his codefendant brother, Chima Nneji, codefendant Alex Mgbolu, and other unnamed individuals between July 2002 and May 2010 to commit mail fraud, wire fraud, and money laundering by receiving money transfers from victims of international mass marketing fraud, processing those transfers using fictitious names, pooling the proceeds of those fraud induced money transfers, and then laundering those proceeds to coconspirators in the United States and Nigeria.
William Nneji agreed that he was responsible for approximately $606,967 in losses to victims processed through two companies, including one owned by his brother, codefendant Chima Nneji, and one owned by his wife. At sentencing, William Nneji was ordered to pay $156,615.65 in restitution to victims. The lower restitution amount is due, in part, to monies compensated to victims as part of the 2012 United States v. MoneyGram deferred prosecution agreement, which established a $100 million restitution fund for MoneyGram customers that were victims of consumer fraud.
Codefendants Chima Nneji and Alex Mgbolu both previously pleaded guilty to the same charge. Chima Nneji and Alex Mgbolu were sentenced to terms of imprisonment in 2016 and 2017, respectively. Both codefendants were extradited to the United States from Canada, whereas William Nneji, from the time of his indictment until November 2021, had been a fugitive.
The case was investigated by the U.S. Postal Inspection Service. Assistant U.S. Attorney Ravi Romel Sharma prosecuted the case.
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Camden Man Sentenced to 48 Months in Federal Prison for Conspiracy to Commit Bank FraudRead the Press Release
Jackson, Miss. – A Camden man was sentenced to 48 months in federal prison and ordered to pay $71,601 in restitution for conspiracy to commit bank fraud, announced U.S. Attorney Darren LaMarca, Special Agent in Charge Patrick M. Davis of the U.S. Secret Service, Birmingham Field Office, and Mississippi Attorney General Lynn Fitch.
According to court documents and statements made in court, Arthur Jerome Eldridge, Jr., 25, of Camden, Mississippi conspired with others to print counterfeit U.S. Treasury Checks, deposit them at area banks, and withdraw funds from those accounts.
Eldridge was indicted by a federal grand jury and he pled guilty on March 22, 2023, to conspiracy to commit bank fraud.
U.S. Attorney Darren LaMarca praised the investigative efforts and coordination of the U.S. Secret Service and the Mississippi Attorney General’s Office who investigated the case through their partnership in the Cyber Fraud Task Force.
“The United States Secret Service works to protect and safeguard our nation’s financial infrastructure. This case shows a coordinated effort amongst our Federal partners to help preserve the integrity of the US economy,” said Resident Agent in Charge Kyle Smith of the U.S. Secret Service, Jackson Resident Office.
"I established Mississippi’s first Cyber Fraud Task Force with our U.S. Secret Service partners to protect Mississippians from the many ways that bad actors use the online world to commit the kinds of crimes that not only victimize individuals, but wreak havoc on the financial system as a whole," said Attorney General Lynn Fitch. "This case is a great example of how, working together, we can stop a predator doing more harm to individuals, businesses, and the underlying financial system we all depend upon.”
Mia Peterson, Eldridge’s co-defendant, is scheduled for trial on September 5, 2023. She is charged with bank fraud and conspiracy to commit bank fraud. If convicted, she faces a maximum penalty of 30 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Kimberly T. Purdie prosecuted the case.
Bryan resident sentenced for accumulating extensive collection of child pornographyRead the Press Release
HOUSTON – A 64-year-old Texan has been ordered to federal prison following his conviction of receipt and possession of child pornography, announced U.S. Attorney Alamdar S. Hamdani.
Scott Thomas Provost pleaded guilty Jan. 6.
U.S. District Judge David Hittner has now ordered Provost to serve 240 months for receiving child pornography and 120 months for possessing it. They will run concurrently with the exception of 22 months for a total of a 262-month-term of imprisonment. Before imposing the sentence, Judge Hittner emphasized Provost’s history of sexually deviant behavior.
Provost will be ordered to pay a restitution amount determined at a later date to identified victims and must serve 10 years on supervised release following the completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Provost will also be ordered to register as a sex offender.
“Provost amassed one of the most extensive collections of child pornography videos and images we have seen in this district,” said Hamdani. “Each and every one of the files he had in his possession represents significant trauma and suffering to real children. Today’s sentence demonstrates our commitment to stop those who partake and assist others in viewing child pornography and the continued cycle of abuse these children endure.”
“This is, by far, the largest recovery of child pornographic material by investigators in our FBI Bryan office,” said Special Agent in Charge James Smith of the FBI. “This individual is one of the worst purveyors of child porn our agents have seen - it was his daily obsession. Unfortunately, with the ever-increasing number of online images depicting sexual abuse of children and an ever-increasing amount of online activity by people seeking to contact them, Provost's arrest and sentence doesn't cure the rampant epidemic that is the sexual exploitation of our children.”
Provost first came to the attention of law enforcement as an identified user of a peer-to-peer network known which uses a centralized data store to keep and deliver information without fear of censorship.
Law enforcement executed a search warrant at Provost’s residence in January 2022. They found approximately four terabytes of pornography consisting of many images of child pornography that Provost had downloaded and was storing on his personal hard drives.
Forensic analysis revealed 6,718 videos and 313,356 images that contained child sexual assault material. Some of the content included children who were less than 12 years old as well as infants and toddlers. Many images depicted young children in bondage and other forms of violence.
Provost has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. The FBI conducted the investigation with the assistance of Bryan Police Department. Assistant U.S. Attorney Karen M. Lansden prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
Brevard County Drug Dealer Sentenced to 168 Months in Prison for Distribution of MethamphetamineRead the Press Release
MIAMI – Ethan Blair, 42, of Merritt Island, Florida, has been sentenced to 168 months in federal prison for drug trafficking. On March 16, Blair pleaded guilty to distribution, and possession with intent to distribute 50 grams or more of methamphetamine.
On October 4, 2022, Blair distributed several ounces of methamphetamine and possessed over 400 additional grams of methamphetamine with the intent to distribute it in Port St. Lucie. To avoid arrest, Blair tried to flee the scene causing a high-speed chase. During the chase, Blair hit a law enforcement officer with the driver’s side mirror of his vehicle and threw several ounces of methamphetamine out the window. Law enforcement officers apprehended Blair after he crashed his vehicle.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Deanne L. Reuter of the Drug Enforcement Administration (DEA), Miami Field Division, announced the sentence imposed by U.S. District Judge K. Michael Moore.
DEA Miami investigated the case, with assistance from Port St. Lucie Police Department. Assistant U.S. Attorney Michael D. Porter prosecuted it.
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 22-cr-14072.
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Bookkeeper Sentenced for Embezzling Funds from Native VillageRead the Press Release
ANCHORAGE – A Minto woman was recently sentenced for embezzling money from the Native Village of Minto while employed in a position of trust.
According to court documents, Melanie Gail Titus, 52, was employed as the bookkeeper for the Minto Village Council, which is the federally recognized native governing body for the Native Village of Minto. Starting in January 2015, the defendant began embezzling funds from the Minto Village Council’s accounts by issuing herself multiple payroll checks for the same pay periods, tendering duplicative deposits, and falsifying reimbursements for work expenses over the years for personal enrichment. She never returned the money. In May 2019, the defendant confessed her theft to the Minto Village Council, and a federal investigation ensued, revealing that her scheme resulted in an actual loss of $55,753.99.
The defendant entered a preindictment plea agreement with the United States following the conclusion of the investigation, and on February 21, 2023, she pleaded guilty to a felony violation, charging her with violating 18 U.S.C. § 666(a)(1), Theft Concerning Programs Receiving Federal Funds. On June 29, 2023, U.S. Chief District Judge Sharon L. Gleason sentenced the defendant to 300 hours of community service work to be completed within 3 years, a 5-year probation term, and $55,753.99 in restitution, among other conditions.
At sentencing, the defendant described her past addiction to cocaine and alcohol as a factor that clouded her judgment and fueled the scheme. The government emphasized the seriousness of the defendant’s conduct in a position of trust and the economic harm faced by the native village due to her scheme. In sentencing the defendant, the Court was emphatic that the defendant must make reasonable payments toward restitution and that the 300 community service hours must benefit the Native Village of Minto and its members.
“Over the years, the defendant stole from the Village of Minto to fuel her substance addiction at the expense of her community,” said U.S. Attorney Lane S. Tucker of the District of Alaska. “The United States Attorney’s Office is committed to prosecuting those who seek to victimize our rural communities.”
“Through her years-long embezzlement scheme, the defendant deliberately chose personal enrichment at the expense of her own community, causing economic harm to a village already faced with limited resources,” said Special Agent in Charge Antony Jung of the FBI Anchorage Field Office. “The FBI will continue to pursue and hold accountable those who abuse their positions to steal public funds.”
The Fairbanks Resident Agency of the FBI Anchorage Field Office conducted the investigation, with assistance from the Alaska State Troopers.
Assistant U.S. Attorney George Tran is prosecuting the case.
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Beard’s Ex-Fiancé Charged in Brutal Murder of 24-Year-Old MomRead the Press Release
The former fiancé of a Rowlett man who shot and stabbed his ex-girlfriend to death in 2020 has been charged with helping to orchestrate the brutal slaying, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Holly Ann Elkins, the 32-year-old ex-fiancée of Andrew Charles Beard, was indicted last month on three charges: conspiracy to stalk, stalking using a dangerous weapon resulting in serious bodily injury and death, and brandishing a firearm in relation to a crime of violence. She was arrested on Thursday in Miami and made her initial appearance in Miami on Friday afternoon.
According to the indictment, Ms. Elkins allegedly helped plot the Oct. 2, 2020 killing of Andrew Beard’s ex-girlfriend, 24-year-old Alyssa Ann Burkett, with whom Mr. Beard shared a child.
(Mr. Beard has already pleaded guilty to cyberstalking using a dangerous weapon resulting in death and discharging a firearm during a crime of violence and has begun serving his 43-year sentence.)The indictment alleges that in the summer of 2020, Ms. Elkins and Mr. Beard purchased a GPS tracking device and surreptitiously installed it on Ms. Burkett’s vehicle.
On July 25, 2020, Ms. Elkins allegedly phoned the police using a fake name and falsely reported she observed Ms. Burkett’s car driving dangerously. Less than a month later, she allegedly falsely reported that Ms. Burkett’s mother had assaulted her in Ms. Burkett’s presence.
On Sept. 2, Ms. Elkins and Mr. Beard allegedly planted illegal drugs and a pistol with an obliterated serial number in the trunk of Ms. Burkett’s vehicle in order to have her arrested. Later that day, Ms. Elkins allegedly texted Mr. Beard a photo of Ms. Burkett’s license plate number so that he could provide it to police in a false report that Ms. Burkett was selling drugs out of the car. Mr. Beard then phoned police using a fake name and reported that Ms. Burkett was selling drugs to men at the apartment complex where she worked. He provided the license plate number on the photo Ms. Elkins sent.
On Sept. 13, Ms. Elkins and Mr. Beard allegedly purchased a van to carry out a planned attack on Ms. Burkett.
On Sept. 14, Ms. Elkins purchased makeup for Mr. Beard’s disguise.
On Sept. 19, the pair allegedly purchased .410 shotgun shells and a Camillus knife.
On Oct. 2, 2020, Mr. Beard, disguised as a Black man, shot Ms. Burkett in the head while she sat behind the wheel of her car in her work parking lot. As she staggered out of the car, Mr. Beard grabbed her and stabbed her 13 times. She died in the parking lot as he raced away from the scene.
During the murder, Ms. Elkins allegedly remained at Mr. Beard’s home with Ms. Burkett’s child in an attempt to establish an alibi. A few days later, in an interview with law enforcement, Ms. Elkins falsely claimed Mr. Beard was home at the time of the murder.
An indictment is merely an allegation of criminal conduct, not evidence. Ms. Elkins is presumed innocent until proven guilty in a court of law.
If convicted, she faces up to two consecutive life sentences in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office, the Carrollton Police Department, and the Bureau of Alcohol, Tobacco, Firearms & Explosives’ Dallas Field Office conducted the investigation. Assistant U.S. Attorneys Gary Tromblay and Andrew Briggs are prosecuting the case.
Baltimore Man Sentenced to 26 Years in Federal Prison for Robbery and MurderRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III today sentenced Joseph Williams, a/k/a “Blue,” age 33, of Baltimore, Maryland, to 26 years in federal prison, followed by five years of supervised release, for conspiracy to commit a Hobbs Act robbery and for using, carrying, brandishing, and discharging a weapon during and in relation to a crime of violence.
The sentence was announced by Erek L. Barron, United States Attorney for the District of Maryland; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; and Acting Commissioner Richard Worley of the Baltimore Police Department.
According to their plea agreements, on September 29, 2020, Williams and co-defendants George Felds and Deron Johnson conspired to rob a 16-year-old of drugs and drug proceeds. Specifically, at approximately 4:24 a.m., Johnson and the victim pulled into the parking lot of a hotel in the 6500 block of Frankford Avenue in Baltimore, where Williams had been staying for several months, selling drugs under a fictitious name. Johnson was working as a “hack” driver and gave the victim a ride to the hotel on the ruse that the victim would be selling drugs to Williams and Fields.
As detailed in the plea agreements, Williams and Fields approached Johnson’s van and Fields held out money as though he was ready to make a purchase. Williams and Fields then began robbing the victim while Johnson walked to the rear of the van and smoked. Fields admitted that he pinned the victim down in the front passenger seat of the van and went through his pockets. The victim struggled, flailing his arms and legs. Williams admitted that he then pulled out a handgun and fired a single shot into the victim’s chest at close range. The victim stumbled away from the van and collapsed on the ground. Williams, Fields and Johnson then got into the van and drove away. A hotel surveillance camera captured the entire incident. The victim died later that day after being taken to the hospital. No drugs, money, or cell phone were recovered from the victim’s personal effects.
Later that morning, the conspirators returned to the hotel in Johnson’s van, while police were still processing the scene. Williams, Fields and Johnson entered the hotel together. Police recognized the van from the hotel surveillance footage and towed the van and detained Johnson. A search warrant was executed on the van and law enforcement recovered a single bullet from the front row carpet. On October 1, 2020, Johnson’s phone was searched and was found to contain evidence of the plan to rob the victim, including: text messages between Johnson and Williams; a record of phone calls between Johnson and the victim; several calls exchanged between Johnson and phone numbers used by Williams in the hours before and after the murder; a photograph of Johnson with Williams and Fields; and Fields’ contact information was in Johnson’s contacts.
A cell phone seized from Williams at the time of his arrest revealed that Williams had been staying at the hotel, where he was also dealing drugs and that he was in dire need of money. The phone also contained messages immediately following the murder in which Williams made plans to dispose of the murder weapon and directed another individual to destroy evidence.
George Fields, a/k/a “Chin,” age 49, of Baltimore, previously pleaded guilty to his role in the conspiracy and was sentenced to 25 years in federal prison. Co-defendant Deron Johnson, a/k/a “DJ,” age 52, of Baltimore, pleaded guilty to the conspiracy and to committing the robbery. Johnson is expected to be sentenced to between 15 and 20 years in federal prison at his sentencing on September 6, 2023, at 11:00 a.m.
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.
United States Attorney Erek L. Barron commended the FBI and the Baltimore Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Kim Y. Oldham, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psn and https://www.justice.gov/usao-md/community-outreach.
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Ballwin Man Who Admitted Sex with Minors Sentenced to 9+ Years in Prison for Distributing Child PornographyRead the Press Release
ST. LOUIS – U.S. District Judge Audrey G. Fleissig on Friday sentenced a man from Ballwin, Missouri who engaged in sexual contact with underage girls he’d approached on Snapchat to nine years and two months in prison for distributing images of minors.
Luke Edward Nicozisin, 22, will also have to register as a sex offender and will be on supervised release for life after his release from prison. The terms of that supervised release will include severe restrictions on his use of computers and access to the internet.“The conduct in this case is abhorrent,” said Assistant U.S. Attorney Kyle Bateman during the hearing, describing Nicozisin as a “sexual predator.” Nicozisin reached out to underage girls on Snapchat, and then turned the conversations sexual with those who responded, Bateman said.
In his plea agreement, Nicozisin admitted sending nude images of himself to three 15-year-old girls and one 12-year-old girl, soliciting nude pictures of a 15-year-old and having sexual contact with two 15-year-old girls. He also recorded videos of the sex acts with one of the teens.
One of Nicozisin’s victims reported him to a school resource officer in July of 2021, triggering Nicozisin’s initial arrest and prompting others to come forward. Investigators would later find an iPhone with pictures and videos of Nicozisin with one of the victims as well as condoms that depicted Nicozisin’s Instagram account.
Nicozisin pleaded guilty in March to one count of distribution of child pornography.
The FBI, the Manchester Police Department and the Chesterfield Police Department investigated the case. Assistant U.S. Attorney Kyle Bateman is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, 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.
Allen County Man Sentenced to 11 Years in Federal Prison for Methamphetamine TraffickingRead the Press Release
Bowling Green, KY – An Allen County man was sentenced yesterday to 11 years in prison for methamphetamine trafficking.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division, and Sheriff Brandon Ford of the Allen County Sheriff’s Office made the announcement.
According to court documents, on April 3, 2022, in Allen County, Kentucky, Michael Johnson, 46, possessed with the intent to distribute 50 grams or more of methamphetamine.
Johnson was sentenced to 11 years in prison followed by 5 years of supervised release. There is no parole in the federal system.
The case was investigated by the DEA Bowling Green Post of Duty Office and the Allen County Sheriff’s Office.
Assistant U.S. Attorney Mark J. Yurchisin II, of the United States Attorney’s Bowling Green Branch Office, prosecuted the case.
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6 July 2023
Winnsboro Man Sentenced for Illegal Possession of a FirearmRead the Press Release
MONROE, La. – Eric Marquelle Coleman, 49, of Winnsboro, Louisiana, was sentenced today for illegal possession of a firearm, announced United States Attorney Brandon B. Brown. United States District Judge Terry A. Doughty sentenced Coleman to 96 months (8 years) in prison, followed by 3 years of supervised release.
According to evidence presented to the court, law enforcement agents with the Drug Enforcement Administration (DEA) and Monroe Metro Narcotics Unit began an investigation into the trafficking of methamphetamine in the West Monroe area. While agents were conducting surveillance of an area on July 5, 2022, they observed a Ford F150 truck arrive and then promptly leave the location after receiving an unknown object. The vehicle was later stopped for a traffic violation and the driver was determined to be Coleman. A K9 officer arrived on the scene and an open-air sniff was conducted around the outside of the vehicle. The K9 alerted to the presence of narcotics in the vehicle and agents conducted a search of the vehicle. Inside the vehicle, they discovered a Springfield Hellcat 9mm pistol.
Coleman has a lengthy criminal history and was also convicted in March 2015 of a federal felony for attempting to possess a controlled substance with intent to distribute and sentenced to 70 months in the Bureau of Prisons. Coleman was out on supervised release at the time of his arrest. As a convicted felon, he was prohibited from possessing a firearm or ammunition. Coleman pleaded guilty to the indictment on March 16, 2023.
The case was investigated by the DEA, ATF, Louisiana State Police, Monroe Police Department and Ouachita Parish Sheriff’s Office and prosecuted by Assistant U.S. Attorney Andrew C. Weber.
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Waterloo Man Charged with Being a Prohibited Person in Possession of a FirearmRead the Press Release
Ezekiel Menteer, age 23, of Waterloo, has been charged with being a prohibited person in possession of a firearm. The charge is contained in an Indictment unsealed on February 8, 2023, in United States District Court in Cedar Rapids.
The Indictment alleges that, in January 2022, Menteer possessed a Kimber pistol while being an unlawful drug user and after having been convicted of a felony.
If convicted, Menteer faces a possible maximum sentence of 10 years’ imprisonment, a $250,000 fine, and three years on supervised release following any imprisonment.
Menteer appeared for an initial appearance today in federal court in Cedar Rapids and was held without bond. Menteer’s next appearance for trial is set for September 5, 2023.
As with any criminal case, a charge is merely an accusation and a defendant is presumed innocent until and unless proven guilty.
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.
This case is being prosecuted by Assistant United States Attorney Mark Tremmel and is being investigated by the Waterloo Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Federal Bureau of Investigation.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 23-2009.
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Violent Drug Trafficker Sentenced to 27+ Years in PrisonRead the Press Release
A drug trafficker arrested following a disturbing domestic violence altercation was sentenced Thursday to more than 27 years in federal prison, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Carlos Carrasquillo, 21, was charged via criminal complaint in April and indicted the following month. He pleaded guilty in December 2022 to possession with intent to distribute controlled substances and was sentenced yesterday by U.S. District Judge Ada Brown to 327 months behind bars.
According to court documents, in February 2022, law enforcement was tipped off that Mr. Carrasquillo was advertising the sale of narcotics, firearms, and firearm conversion devices, including Glock switches, via Instagram.
Two months later, on April 16, officers were summoned to a Grand Prairie Gas Station to respond to a domestic dispute between Mr. Carrasquillo and his girlfriend.
When an officer attempted to speak to Mr. Carrasquillo, he fled the scene, dropping a black bag containing more than 1,000 grams of fentanyl and 600 grams of cocaine.
Severely injured, his girlfriend was transported to the hospital. She told officers that Mr. Carrasquillo broke into her apartment, physically assaulted her, and stuffed her into the trunk of her own vehicle. He crashed the car near the Trinity River, pulled her from the trunk, and forced her towards a wooded area, punching, kicking, and stabbing her with a knife en route.
He was arrested ten days later at his apartment, where he attempted to break out of the officer’s grip.
At Thursday’s sentencing hearing, prosecutors introduced evidence showing that Mr. Carrasquillo attempted to obstruct the investigation into both his drug and firearms dealing and into the assault of his girlfriend. In his first call from jail, he instructed his sister to delete content from his Instagram account and to reach out to his girlfriend to dissuade her from participating in the prosecution.
The Bureau of Alcohol, Tobacco, Firearms & Explosives’ Dallas Field Division, the Dallas Police Department, and the Grand Prairie Police Department, conducted the investigation with the help of the Texas Department of Public Safety. Assistant U.S. Attorney Andrew Briggs prosecuted the case.
United States Files Forfeiture Action Against over Nine Thousand Rifles and over 700,000 Rounds of Ammunition Enroute from Iran to YemenRead the Press Release
The Justice Department today announced the filing of a forfeiture complaint against over 9,000 rifles, 284 machine guns, approximately 194 rocket launchers, over 70 anti-tank guided missiles and over 700,000 rounds of ammunition that the U.S. Navy seized in transit from Iran’s Islamic Revolutionary Guard Corps (IRGC) to militant groups in Yemen.
“The government of Iran, through its Islamic Revolutionary Guard Corps, remains bent on smuggling weapons of war to militant groups in violation of U.S. sanctions and international law,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “As this seizure demonstrates, the Department of Justice will work in lockstep with our U.S. Government partners to deny the Iranian regime the means to undermine our nation’s interest and threaten the security of our people.”
“The U.S. Attorney’s Office has again taken action to prevent Iran’s Islamic Revolutionary Guard Corps from spreading violence and bloodshed across the world and threatening the security of our nation and allies,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “As proven before, where we have jurisdiction, this office will use all the tools available in our power to prevent criminals and terrorists from threatening global stability.”
“It is paramount this significant amount of seized weapons and ammunition aimed to cause global devastation never reach its intended destination,” said Special Agent in Charge Derek W. Gordon of Homeland Security Investigations (HSI) Washington, D.C. “HSI Washington D.C., with the Defense Criminal Investigative Service (DCIS) and the assistance from U.S. Naval Forces Central Command, will continue to identify, disrupt and dismantle Iran’s illicit flow of weapons at every level. Offenders who violate U.S. export laws will be brought to justice, as we are committed to protecting our nation worldwide.”
According to court documents, the noted weapons came from four interdictions of stateless dhow vessels: two from 2021 and two from 2023. These interdictions led to the discovery and seizure of four large caches of conventional weapons, including long arms and anti-tank missiles, and related munitions – all of which were determined to be primarily of either Iranian, Chinese or Russian origin.
This action follows the government’s March 2023 forfeiture action against over one million rounds of ammunition enroute from Iran to Yemen. The network for both actions was involved in the illicit trafficking of advanced conventional weapons systems and components by sanctioned Iranian entities that directly support military action by the Houthi movement in Yemen and the Iranian regime’s campaign of terrorist activities throughout the region. The forfeiture complaint alleges a sophisticated scheme by the IRGC to clandestinely ship weapons to entities that pose grave threats to U.S. national security.
This forfeiture action is a product of the U.S. government’s coordinated effort to enforce U.S. sanctions against the IRGC and the Iranian regime and are merely allegations.
The HSI Washington Field Office and the DCIS Mid-Atlantic Field Office are leading the larger investigation of the Iranian weapons-smuggling network, with substantial assistance from the U.S. Naval Forces Central Command in conducting the seizure. This team was also responsible for the March 2023 forfeiture action, which remains pending in the U.S. District Court for the District of Columbia.
Assistant U.S. Attorneys Stuart D. Allen, Brian P. Hudak, Rajbir S. Datta and Anna D. Walker for the District of Columbia and Trial Attorneys S. Derek Shugert and Joshua Champagne of the National Security Division are litigating the case, with support from Paralegal Specialists Brian Rickers and Angela De Falco.
The burden to prove forfeitability in a forfeiture proceeding is upon the government.
United States Files Forfeiture Action Against over Nine Thousand Rifles and over 700,000 Rounds of Ammunition En Route from Iran to YemenRead the Press Release
The Justice Department today announced the filing of a forfeiture complaint against over 9,000 rifles, 284 machine guns, approximately 194 rocket launchers, over 70 anti-tank guided missiles, and over 700,000 rounds of ammunition that the U.S. Navy seized in transit from Iran’s Islamic Revolutionary Guard Corps (IRGC) to militant groups in Yemen.
“The government of Iran, through its Islamic Revolutionary Guard Corps, remains bent on smuggling weapons of war to militant groups in violation of U.S. sections and international law,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “As this seizure demonstrates, the Department of Justice will work in lockstep with our U.S. Government partners to deny the Iranian regime the means to undermine our nation’s interest and threaten the security of our people.”
“The United States Attorney’s Office has again taken action to prevent Iran’s Islamic Revolutionary Guard Corps from spreading violence and bloodshed across the world and threatening the security of our nation and allies,” said U.S. Attorney Matthew M. Graves of the District of Columbia. “As proven before, where we have jurisdiction, this office will use all the tools available in our power to prevent criminals and terrorists from threatening global stability.”
“It is paramount this significant amount of seized weapons and ammunition aimed to cause global devastation never reach its intended destination,” said HSI Washington, D.C. Special Agent in Charge Derek W. Gordon. “HSI Washington D.C., with DCIS and the assistance from U.S. Naval Forces Central Command, will continue to identify, disrupt, and dismantle Iran’s illicit flow of weapons at every level to prevent Iran’s illicit activity in the region and globally.”
“This seizure demonstrates DCIS’ continued commitment to stopping illicit weapons trafficking by the IRGC,” said Christopher W. Dillard, Special Agent in Charge, Department of Defense Office of Inspector General, Defense Criminal Investigative Service (DCIS), Mid-Atlantic Field Office. “DCIS, along with its law enforcement partners, will use all tools to hinder the efforts of those who unlawfully threaten the safety and security of the United States.”
According to court documents, the noted weapons came from four interdictions of stateless dhow vessels: two from 2021 and two from 2023. These interdictions led to the discovery and seizure of four large caches of conventional weapons, including long arms and anti-tank missiles, and related munitions – all of which were determined to be primarily of either Iranian, Chinese, or Russian origin.
This action follows the government’s March 2023 forfeiture action against over one million rounds of ammunition en route from Iran to Yemen. These forfeiture actions address the illicit trafficking of advanced conventional weapons systems and components by sanctioned Iranian entities that directly support military action by the Houthi movement in Yemen and the Iranian regime’s campaign of terrorist activities throughout the region. The forfeiture complaint alleges a sophisticated scheme by the IRGC to clandestinely ship weapons to entities that pose grave threats to U.S. national security.
This forfeiture action is a product of the U.S. government’s coordinated effort to enforce U.S. sanctions against the IRGC and the Iranian regime and are merely allegations.
The HSI Washington Field Office and the DCIS Mid-Atlantic Field Office are leading the larger investigation of the Iranian weapons-smuggling network, with substantial assistance from the U.S. Naval Forces Central Command in conducting the seizure. This team was also responsible for the March 2023 forfeiture action, which remains pending in the U.S. District Court for the District of Columbia.
Assistant U.S. Attorneys Stuart D. Allen, Brian P. Hudak, Rajbir S. Datta, and Anna D. Walker for the District of Columbia and Trial Attorneys S. Derek Shugert and Joshua Champagne of the National Security Division are litigating the case, with support from Paralegal Specialists Brian Rickers and Angela De Falco.
The burden to prove forfeitability in a forfeiture proceeding is upon the government.
Verified complaint for forfeiture in rem December 20,2021, seized weapons May 6, 2021, seized weapons Iranian-made “RPG-7” type rocket launchers January 6, 2023, seized weapons January 15, 2023, seized weaponsTwo key players in Arlington, Washington, based drug ring sentenced to prisonRead the Press Release
Seattle – Two men who served key roles in a large, wide ranging drug distribution conspiracy were sentenced today in U.S. District Court in Seattle to significant prison terms, announced Acting U.S. Attorney Tessa M. Gorman. Aaron Alarcon-Castaneda (aka Sobrino), 38, of Chino, California was sentenced to six years in prison and Steven R. Delvecchio, 65, of Snohomish, Washington was sentenced to nine years in prison. At the sentencing hearing, U.S. District Judge John C. Coughenour said he imposed these sentences due to, “the enormous size of this drug trafficking organization, the large quantity of the two worst drugs I’ve seen in my 40 years on the bench: methamphetamine and fentanyl, and the existence of firearms.”
“While each of these men played a different role, such conduct was integral to spreading poison throughout our community,” said Acting U.S. Attorney Tessa M. Gorman. “Del Vecchio was the retail salesman, getting drugs into the hands of users, while Alarcon-Castaneda was the broker and money collector – coordinating the shipments of drugs and money to and from Western Washington. For the pain and addiction they caused, they have earned these significant prison sentences.”
According to records filed in the case, the investigation and drug ring take down on December 16, 2020, resulted in the seizure of 143 pounds of methamphetamine, 15 pounds of heroin, 35,000 fentanyl pills, 24 firearms, and $778,000. Drug ring leader Cesar Valdez-Sanudo, 36, was sentenced to 15 years in prison in January 2023. Valdez-Sanudo had buried large quantities of drugs and cash on his Arlington, Washington property. The drug ring distributed meth, heroin, and fentanyl in King, Pierce, and Snohomish Counties.
Alarcon-Castaneda was identified on the wiretap investigation shortly after he brokered a 44-pound shipment of methamphetamine from California to Washington. After law enforcement seized the load, Alarcon-Casteneda was heard on the wiretap discussing a plan to interrogate the courier who lost the load. During the conversation the drug ring leader told Alarcon-Castaneda to use the cables, meaning electrocute the courier. Law enforcement had to intervene to make sure that didn’t happen. Alarcon-Castaneda arranged for drugs and money to move up and down the west coast. When Alarcon-Castaneda’s home was searched, law enforcement found drugs hidden in everything from laundry soap bottles to the kitchen garbage can. He also had large quantities of cash drug proceeds.
Steven Del Vecchio is a ten-time convicted felon and long-time drug dealer in Snohomish County. Del Vecchio was originally a subject of an investigation by the Snohomish Regional Drug Task Force. On June 24, 2020, he was arrested, and a search of his home revealed more than two kilograms of methamphetamine, close to one kilogram of heroin, thousands of fentanyl pills, $115,000 in cash drug proceeds, and 19 firearms. That arrest and seizure didn’t stop him and, on the wiretap, he was identified as a dealer in the Valdez-Sanudo drug trafficking ring. When Del Vecchio was arrested on December 16, 2020, investigators recovered nearly a kilogram of methamphetamine, several ounces of heroin, and more than a thousand fentanyl pills.
In asking for the eight and ten year sentences respectively, prosecutors told the court, “these drugs not only destroy the lives of those who use them, they also destroy the lives of the users’ families and friends. Those families and friends are prisoners, forced to watch the toll these drugs take on their son, their daughter, their mother, their father, their friend.”
This case 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.
The investigation was conducted by the U.S. Drug Enforcement Administration (DEA) Tacoma Residence Office in partnership with Tahoma Narcotics Enforcement Team (TNET), Kent Police Department, Homeland Security Investigations, SeaTac Police Department, Tacoma Police Department, Snohomish Regional Drug Task Force (SRDTF), the Skagit County Sheriff's Office, the Federal Bureau of Investigation, the Bureau of Alcohol Tobacco, Firearms and Explosives, and the Internal Revenue Service (IRS).
The case is being prosecuted by Assistant United States Attorneys Amy Jaquette and C. Andrew Colasurdo.
Two Additional Defendants in North Carolina Plead Guilty to National COVID-19 Fraud SchemeRead the Press Release
RALEIGH, N.C. – Lenille Mitia Woodard, 36; and Irene Nicole Edwards, 35, each pleaded guilty today to conspiracy to commit wire fraud for fraudulently obtaining a Paycheck Protection Act (“PPP”) COVID-19 loans. The defendants sought relief on behalf of companies they owned purportedly being engaged in event promotion and a beauty salon. They all face up to 20 years in prison. Fifteen defendants, including Woodard and Edwards, have pled guilty in this scheme in the Eastern District of North Carolina.
“These defendants, along with their co-conspirators, chose to steal from a taxpayer funded program designed to help small businesses stay afloat in the face of a global and devastating pandemic,” said U.S. Attorney Michael Easley. “My office is continuing to investigate and prosecute those who used this lifeline to line their own pockets.”
According to the charged criminal information, the defendant conspired with Edward Whitaker, Schunda Coleman, and others to obtain a fraudulent PPP loan. Whitaker and Coleman pled guilty on January 19, 2023 for their role in operating a nation-wide scheme to help people across the country commit millions of dollars of PPP fraud.
According to charging documents and information summarized in court, Whitaker and Coleman created fraudulent supporting documents and applications for the PPP loans which they provided to the defendants in exchange for 25% of the total loan proceeds. The fraudulent applications falsified the number of employees and gross wages being paid prior to the COVID pandemic, in order to help qualify for the PPP loans. Following the disbursement of the PPP loans, Whitaker instructed each defendant as to how to make it appear that the PPP loans were being paid out to employees, when in reality the money was transferred back to the defendants. The fraudulent payroll records were then submitted to the Small Business Administration (SBA) to obtain 100% loan forgiveness.
Late last year, Quentin Jackson pled guilty in the same conspiracy which included the recruitment of numerous individuals in the Eastern District of North Carolina to use Whitaker and Coleman to obtain fraudulent PPP funds.
“The Paycheck Protection Program was designed to help small businesses facing financial difficulties during the COVID-19 pandemic,” said Donald “Trey” Eakins, Internal Revenue Service (IRS) Criminal Investigation Special Agent in Charge in the Charlotte Field Office. “Through our partnership with the U.S. Attorney’s Office and our federal law enforcement partners, IRS Criminal Investigation Special Agents will continue to aggressively pursue individuals who try to exploit federal relief programs for their personal gain.”
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was designed to provide emergency financial assistance to the millions of Americans who were economically suffering from the COVID-19 pandemic. The CARES Act and additional appropriations authorized up to $649 billion in forgivable loans to small businesses through the Paycheck Protection Program (PPP). Financial institutions issued the PPP loans, which were guaranteed by the SBA.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after United States Magistrate Judge Robert T. Numbers II accepted the pleas. Sentencings will occur before United States District Judge James C. Dever III later this year. Internal Revenue Service (IRS) Criminal Investigation is leading the investigation, and Assistant U.S. Attorney David G. Beraka is prosecuting the cases.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER.
Three East Orange Gang Members Sentenced to Prison for Gang-Related MurdersRead the Press Release
NEWARK, N.J. – Three members and associates of a drug trafficking enterprise who were also members of a neighborhood street gang in Essex County, New Jersey, were sentenced today to prison for their respective roles in multiple gang-related murders, including the murder of a federal informant, U.S. Attorney Philip R. Sellinger announced today.
Thomas Zimmerman, 28, was sentenced to 37 years in prison, Tyquan Daniels, 27, was sentenced to 35 years in prison, and Ali Hill, 30, was sentenced to 25 years in prison. All of the defendants were also sentenced to five years of supervised release. All of the defendants are East Orange residents, and all were sentenced by U.S. District Judge John Michael Vazquez in Newark federal court.
According to documents filed in this case and statements made in court:
In February, 2018, the leader of a Newark, New Jersey-based drug trafficking enterprise operating in East Orange, Newark, New York City, Maryland and California, among other states, found out that one of his conspirators in the drug enterprise was cooperating with federal law enforcement by providing information against the drug enterprise. The gang leader ordered members of the Brick City Brims Bloods (“BCB”) in East Orange, of which all three defendants were active members, to kill the informant. On February 3, 2018, outside the informant’s residence in Bloomfield, New Jersey, Zimmerman and other gang members shot and killed an innocent bystander, believing the bystander was the informant. Hill conspired with Zimmerman and later Daniels in the plot to kill the informant.
Realizing they killed the wrong person, the defendants planned another attempt to murder the informant. On March 12, 2018, in Bloomfield, Zimmerman and other BCB members approached the informant and fired multiple shots at him at close range, killing him.
Daniels aided the murder conspiracy by helping to hide the murder weapon after the fact. Daniels was also sentenced for the separate murder of a rival gang member committed in furtherance of the activities of the BCB, specifically to protect the BCB’s drug territory. Daniels shot and killed the rival gang member in Orange, New Jersey on May 13, 2018.
Hill was sentenced after pleading guilty to racketeering conspiracy for his role in the planning of the murder of the informant in March 2018.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of special agent in charge James E. Dennehy in Newark; the Newark Police Department, under the direction of Public Safety Director Fritz G. Fragé; the Essex County Prosecutors Office; the Union County Prosecutor’s Office, East Orange PD; Montclair PD, and the Maryland Department of Public Safety and Correctional Services, Intelligence and Investigative Division, under the direction of Secretary Robert Green with the investigation leading to sentencings.
The government is represented by Senior Trial Counsel Robert Frazer of the U.S. Attorney’s Office Organized Crime/Gang Unit in Newark.
Theft of Federal Government Funds Results in Federal Prison Sentence for Oakdale WomanRead the Press Release
ALEXANDRIA, La. – Bobbie J. Blake Hampton, 62, of Oakdale, Louisiana, was sentenced today for theft of government funds, announced United States Attorney Brandon B. Brown. United States District Judge Dee D. Drell sentenced Hampton to 8 months in prison, followed by 3 years of supervised release, for theft of government money. Hampton was also ordered to pay restitution in the amount of $65,259.
Hampton’s brother W.R.C., who was an SSID program participant, died on September 20, 2013. The SSA later determined in 2020 that those SSID funds were still being distributed to a bank account in the name of W.R.C. An investigation by the SSA revealed that following his death, Hampton fraudulently converted all of the funds received from SSA into the bank account of W.R.C. from October 2013 through November 2020 for her own personal use. Hampton used these funds at local businesses in the Alexandria area when she knew that she was not entitled to receive those funds.
In addition, a United States Treasury COVID Economic Impact Relief Payment of $1,200 was deposited into the account of W.R.C. and was also fraudulently converted by Hampton for her own personal use. Hampton pleaded guilty to three counts of theft of government money on February 28, 2023.
This case was investigated by the Social Security Administration, Office of Inspector General, and prosecuted by Assistant U.S. Attorney LaDonte A. Murphy.
If you would like to report any type of Social Security Administration fraud, you can do so by accessing their website at: https://oig.ssa.gov/report or call 1-800-269-0271.
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Somerset County Man Charged with Drug Distribution Resulting in DeathRead the Press Release
NEWARK, N.J. – A Somerset County man appeared in federal court yesterday on charges including drug distribution that resulted in a death, U.S. Attorney Philip Sellinger announced today.
Thomas Kane Miller, 38, of Somerset, New Jersey, is charged by federal complaint with one count of possession with the intent to distribute fentanyl and heroin and one count of distribution of fentanyl and heroin that resulted in a death. Miller had an initial appearance before the Honorable Jessica S. Allen, United States Magistrate Judge, in Newark federal court and was detained.
According to documents filed in this case:
In October 2022, Miller distributed a mixture of fentanyl and heroin to an individual who died as a result of using the substance. Law enforcement located the deceased victim at a residence in Plainfield, New Jersey. Inside the victim’s residence were two wax folds containing fentanyl and heroin bearing a unique stamp, which law enforcement linked to Miller. Shortly before the victim’s death, the victim and Miller were communicating about arranging to meet.
Miller is also charged with possession with intent to distribute fentanyl and heroin arising from an incident ten days prior where he was found in possession of multiple wax folds of heroin and fentanyl bearing the same unique stamp.
The count of drug distribution resulting in death carries a maximum potential penalty of life imprisonment, a mandatory minimum penalty of 20 years’ imprisonment, and a fine of $1 million. The count of possession with intent to distribute fentanyl and heroin carries a maximum punishment of 20 years in prison and a fine of $1 million.
U.S. Attorney Sellinger credited special agents of the New York DEA Strike Force, under the direction of Special Agent in Charge Frank A. Tarentino, III, and members of the Somerset County Prosecutor’s Office, under the direction of Prosecutor John P. McDonald, and members of the Middlesex County Prosecutor’s Office, under the direction of Prosecutor Yolanda Ciccone, with the investigation, leading to the charges.
This investigation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. The arrest was the result of an investigation by the New York Strike Force, a crime-fighting unit comprising federal, state and local law enforcement agencies supported by the Organized Crime Drug Enforcement Task Force and the New York/New Jersey High Intensity Drug Trafficking Area.
The government is represented by Assistant U.S. Attorney Jenny Chung of the Office’s OCDETF/Narcotics Unit, in Newark.
The charges and allegations contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
miller.complaint.pdfShipping company fined $1.5M for oil record book offenseRead the Press Release
HOUSTON – Clipper Shipping A.S. has been convicted of violating the Act to Prevent Pollution from Ships.
Clipper admitted that oily bilge water was discharged from the Motor Tanker Clipper Saturn. As part of the plea, they acknowledged the discharges were omitted from the Oil Record Book.
Immediately after the plea today, U.S. District Judge Alfred Bennett ordered the company to pay a $1.5 million fine.
On Sept. 27 and Oct. 1, 2021, the Clipper Saturn was anchored near Lome, Togo. The chief engineer at the time directed oily bilge water to be transferred into the vessel’s gray water tank and then discharged directly overboard under the cover of darkness. In order to accomplish the discharge, a section of piping had to be removed and a hose installed onto the eductor system. This arrangement was used to discharge the gray water tank directly overboard. Personnel then re-installed and repainted the piping in the area in order to make it appear that none had been removed. Authorities learned about the discharges during an inspection of the vessel in Houston Oct. 28, 2021.
“Not only did this ship pollute the water, but they tried to cover it up,” said U.S. Attorney Alamdar S. Hamdani of the Southern District of Texas (SDTX). “To put it simply, Clipper Saturn wanted to get rid of dirty oily water from their ship. Instead of filtering out the hazardous elements, as required, they decided to cut costs and just release the whole contaminated mess into the sea. Unfortunately for them, they got caught when they docked in Houston. The fine imposed today tells them that there is a bigger cost to endangering our citizens and the environment in which they live, and that the Southern District of Texas will seek to hold those who harm oceans and waterways accountable.”
“We take seriously the crimes of illegally discharging oily bilge water at sea and falsifying records to obstruct the United States’ ability to investigate those discharges,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The U.S. Coast Guard must be able to rely on truthful records on board ships, and the Department of Justice will continue to ensure polluters are held fully accountable.”
“The Coast Guard is committed to protecting our oceans and waterways from those who deliberately jeopardize the well-being and safety of the environment and the public,” said Coast Guard Capt. Keith Donohue, commander, Sector Houston-Galveston. “The intentional pollution of U.S. waters is a serious violation that we simply will not tolerate. We will continue to work with the Department of Justice and our federal, state and local partners to hold accountable those who choose to endanger our natural resources.”
As part of the plea agreement, Clipper Shipping A.S. will implement an enhanced environmental compliance plan (ECP) on nine vessels. The ECP requires independent auditing and monitoring of the vessels as well as additional conditions to enhance the pollution prevention systems.
This U.S. Coast Guard – Houston Sector and U.S. Coast Guard Investigative Service conducted the investigation.
Assistant U.S. Attorney Steven Schammel from the SDTX and Senior Trial Attorney Kenneth E. Nelson of the Environmental Crimes Section of the Department of Justice prosecuted the case.
Shipping Company Fined $1.5 Million for Oil Record Book OffenseRead the Press Release
Clipper Shipping A.S. was convicted of violating the Act to Prevent Pollution from Ships and sentenced to pay a fine of $1.5 million. Clipper admitted that oily bilge water was discharged from the Motor Tanker (M/T) Clipper Saturn and the discharges were omitted from the Oil Record Book.
On Sept. 27 and Oct. 1, 2021, while the M/T Clipper Saturn was anchored near Lome, Togo, the then-Chief Engineer directed that oily bilge water be transferred into the vessel’s gray water tank and then discharged directly overboard under the cover of darkness. In order to accomplish the discharge, the then-Chief Engineer ordered that a section of piping be removed and a hose installed onto the eductor system. This arrangement was used to discharge the gray water tank directly overboard. Personnel then re-installed and repainted the piping in the area in order to appear that none had been removed. During a Coast Guard inspection of the vessel in Houston, Texas, on Oct. 28, 2021, authorities learned about the discharges.
“We take seriously the crimes of illegally discharging oily bilge water at sea and falsifying records to obstruct the United States’ ability to investigate those discharges,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The U.S. Coast Guard must be able to rely on truthful records on board ships and the Department of Justice will continue to ensure polluters are held fully accountable.”
“Not only did this ship pollute waterways, but they tried to cover it up,” said U.S. Attorney Alamdar S. Hamdani of the Southern District of Texas (SDTX). “To put it simply, Clipper Saturn wanted to get rid of dirty oily water from their ship. Instead of filtering out the hazardous elements, as required, they decided to cut costs and just release the whole contaminated mess into the sea. Unfortunately for them, they got caught when they docked in Houston. The fine imposed today tells them that there is a bigger cost to endangering our citizens and the environment in which they live, and that the SDTX will seek to hold those who harm oceans and waterways accountable.”
“The Coast Guard is committed to protecting our oceans and waterways from those who deliberately jeopardize the well-being and safety of the environment and the public,” said Coast Guard Capt. Keith Donohue, Commander, Sector Houston-Galveston. “The intentional pollution of U.S. waters is a serious violation that we simply will not tolerate. We will continue to work with the Department of Justice and our federal, state, and local partners to hold accountable those who choose to endanger our natural resources.”
As part of the plea agreement, Clipper Shipping A.S. will implement an enhanced Environmental Compliance Plan (ECP) on nine vessels. The ECP requires independent auditing and monitoring of the vessels as well as imposing requirements to enhance the pollution prevention systems on the vessels.
This case was investigated by the U.S. Coast Guard Sector Houston-Galveston, and the U.S. Coast Guard Investigative Service.
Assistant U.S. Attorney Steven Schammal for the Southern District of Texas and Senior Trial Attorney Kenneth E. Nelson of the Environment and Natural Resources Division’s Environmental Crimes Section are prosecuting the case.
Rochester Man Sentenced to 9 Years in Federal Prison for Conspiring to Distribute Fentanyl and MethamphetamineRead the Press Release
CONCORD – A Rochester man was sentenced today for his role in a conspiracy to distribute fentanyl and methamphetamine in New Hampshire, U.S. Attorney Jane E. Young announces.
Bradford Sargent, 42, was sentenced by U.S. District Court Judge Joseph N. Laplante to 108 months in prison and 3 years of supervised release. On March 28, 2023, Sargent pleaded guilty to conspiracy to distribute controlled substances. Sargent’s co-defendant, Jennelle Brown, was sentenced to 5 years in federal prison on May 12, 2023.
“The defendant and his co-defendant were significant fentanyl and methamphetamine dealers in the Seacoast,” said U.S. Attorney Jane E. Young. “Law enforcement in the Granite State will continue their concerted efforts to disrupt conspiracies to distribute vast quantities of these dangerous drugs.”
“Today’s sentence holds Bradford Sargent accountable for trafficking significant amounts of deadly fentanyl and methamphetamine in New Hampshire, and perpetuating the destructive cycle of drug addiction,” said Christopher DiMenna, Acting Special Agent in Charge of the FBI Boston Division. “The FBI will continue to work with our law enforcement partners to identify and disrupt other large-scale drug traffickers like him who are intent on flooding our communities with their poison.”
Sargent, and his co-defendant Jennelle Brown, sold drugs multiple times from their hotel room in Portsmouth. When law enforcement searched their room, they uncovered large quantities of money, drugs, and drug ledgers. Searches of two vehicles, storage units, and safety deposit boxes uncovered more currency and drugs. In total, law enforcement seized over $130,000, approximately 1.3 kilograms of fentanyl, 650 grams of methamphetamine, and cocaine.
The Federal Bureau of Investigation and the Rockingham County Sheriff’s Office led the investigation. Valuable assistance was provided by the Drug Enforcement Administration and Strafford County Sheriff’s Office. Assistant U.S. Attorneys Alexander S. Chen and Jarad E. Hodes prosecuted the case.
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Rensselaer Man Sentenced for Unemployment Insurance FraudRead the Press Release
ALBANY, NEW YORK – Taquan Parker, age 26, of Rensselaer, New York, was sentenced today to 13 months in prison for engaging in a fraudulent scheme to obtain more than $60,000 in unemployment insurance benefits under the names of two other people, including benefits funded by the federal government in response to the COVID-19 pandemic.
The announcement was made by United States Attorney Carla B. Freedman; Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); New York State Inspector General Lucy Lang; Jonathan Mellone, Special Agent in Charge, Northeast Region, United States Department of Labor, Office of Inspector General (USDOL-OIG); and Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS).
As part of his previously entered guilty plea to conspiracy and mail fraud charges, Parker admitted that he provided Kahleke Taylor, a/k/a “Flex,” with the personal identifying information of two other people, which Taylor used to file false claims online with the New York State Department of Labor (NYSDOL). Parker further admitted that as a result of the fraudulent applications submitted by Taylor, the NYSDOL paid out $60,132 in unemployment insurance benefits.
United States District Judge Mae A. D’Agostino also imposed a 3-year term of supervised release, to begin after Parker is released from prison, and ordered him to pay $60,132 in restitution to the State of New York.
This case was investigated by HSI, the New York State Inspector General’s Office, USDOL-OIG, and USPIS, with assistance from the NYSDOL Office of Special Investigations and the Schenectady County Department of Social Services. Assistant U.S. Attorneys Joshua R. Rosenthal and Joseph S. Hartunian prosecuted the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Raeford Woman Pleads Guilty to Defrauding Insurance Company of More Than $4.5 MillionRead the Press Release
GREENSBORO, NC – Sandra J. Hairston, United States Attorney for the Middle District of North Carolina (MDNC), announced today that KRIS WILLIAMS-FALCON, of Raeford, pleaded guilty to defrauding a victim insurance company out of over $4.5 million.
According to publicly filed court documents, WILLIAMS-FALCON was a Certified Alcohol and Drug Counselor (CADC) in North Carolina. In April 2021, WILLIAMS-FALCON’s CADC license was revoked by the licensing board, and she did not hold any other licenses to provide treatment or counseling. Between April 2021 and January 2023, WILLIAMS-FALCON submitted millions of dollars in claims to the victim insurance company for services that she either did not provide or was not licensed to provide. Among other fraudulent claims, WILLIAMS-FALCON submitted claims for services that she alleged to have provided to herself and family members.
As a result of WILLIAMS-FALCON’s claim submissions, the victim company approved and paid out approximately $4.7 million in reimbursements of which WILLIAMS-FALCON received $4,532,119.
During the course of this investigation, law enforcement traced proceeds of the scheme and seized a 2022 Dodge Charger, a 2022 Land Rover Range Rover Evoque, and a total of approximately $492,000 from bank accounts controlled by the defendant. Administrative forfeiture is pending as to these items. In addition, civil forfeiture is pending against two parcels of real property in Mecklenburg County purchased with a total of approximately $1.5 million in proceeds from the scheme. WILLIAMS-FALCON has not opposed any of the forfeiture actions.
Sentencing is scheduled to take place on November 14, 2023, at 2:30 p.m. in Winston-Salem, North Carolina, courtroom number 2, before United States District Court Judge Thomas D. Schroeder. At sentencing, WILLIAMS-FALCON faces a maximum sentence of ten years in prison, a period of supervised release of up to three years, and monetary penalties.
The case is being investigated by the Federal Bureau of Investigation and the North Carolina Department of Insurance and prosecuted by Assistant United States Attorney Ashley Waid.
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Prohibited Person Indicted in Connection with Firearm Recovered During a Homicide Investigation in FranklinRead the Press Release
CONCORD – Justin Gebo was indicted in connection with his possession of firearm as a prohibited person, U.S. Attorney Jane E. Young announces.
Gebo, 28, was charged with three counts of being a prohibited person in possession of a firearm, including (1) being in possession of a firearm while under indictment; (2) being a felon in possession of a firearm; and (3) being a user of illegal drugs in possession of a firearm.
According to the charging documents, on or about January 1, 2023, Gebo was in receipt of a Ceska Zrojovka (“CZ”) model Scorpion EVO 3, S2, 9x19mm short-barreled rifle, with an attached armbrace, while he was under felony indictment for a crime punishable by imprisonment for a term exceeding one year. That firearm was later recovered during a homicide investigation on June 3, 2023 in Franklin, New Hampshire. In addition, on or about February 3, 2023, Gebo was in possession of a 17 Design and Manufacturing, model 17DM-15, multicaliber rifle, after he had been convicted of a crime punishable by imprisonment for a term exceeding one year and while he was an unlawful user of any controlled substance.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Owner and Operator of Residence Inn by Marriott Baton Rouge Towne Center Cedar Lodge Agrees to Civil Settlement Under Title III of the Americans with Disabilities ActRead the Press Release
United States Attorney Ronald C. Gathe, Jr. announced that the United States has finalized a settlement agreement with IM Baton Rouge OPCO, LLC, owner and manager of the Residence Inn by Marriott Baton Rouge Towne Center Cedar Lodge (the “Marriott Towne Center”), to resolve civil claims under Title III of the Americans with Disabilities Act (ADA).
As specified in the settlement agreement, the United States alleges that Marriott Towne Center failed to maintain its facilities in accordance with applicable standards for accessible design, which are meant to ensure that public accommodations are readily accessible to and usable by individuals with disabilities, including individuals who use wheelchairs, to the maximum extent feasible. Marriott Towne Center has agreed to make specified remedial modifications to its parking, exterior routes, public restrooms, and designated accessible guest rooms, and to provide certifications to the United States of its remedial efforts.
The United States initiated its investigation of Marriott Towne Center in response to a complaint from an individual alleging the lack of accessibility in their designated accessible guest room at Marriott Towne Center, including their inability to move around their hotel room in their wheelchair, to access the restroom without moving the bed, and to bathe because their room lacked a roll-in-shower.
U.S. Attorney Gathe stated, “All Americans have the right to safe, accessible public accommodations. My office will not retreat from defending the mandates of equity and individual dignity secured by our country’s civil rights laws, including the ADA. I appreciate Marriott Towne Center’s cooperation during our investigation and their willingness to promptly correct the issues we’ve identified.”
Individuals with concerns about possible violations of the nation’s civil rights laws are encouraged to contact the U.S. Attorney’s Office at USALAM.Civil-Rights@usdoj.gov or to submit a report to the U.S. Department of Justice’s Civil Rights Division at https://civilrights.justice.gov.
This matter was investigated by Assistant United States Attorney Katherine K. Green, who also serves as the Civil Rights Coordinator for the Civil Division of the U.S. Attorney’s Office.
Operation Smoke & Mirrors Update: Charleston Man Sentenced to Prison for Methamphetamine ConspiracyRead the Press Release
CHARLESTON, W.Va. – Larry Wayne Legg, 56, of Charleston, was sentenced today to five years in prison, to be followed by three years of supervised release, for conspiracy to distribute methamphetamine. Legg admitted to his role in a drug trafficking organization (DTO) that operated in the Charleston area.
According to court documents and statements made in court, Legg admitted to obtaining quantities of methamphetamine from co-defendant Justin Allen Bowen over several months prior to December 5, 2022. Legg further admitted to selling the methamphetamine with co-defendant Kimberly Dawn Legg out of their Lotus Drive residence in Charleston. Larry Wayne Legg would typically weigh the methamphetamine for individual sales and Kimberly Dawn Legg would handle the money. The two shared a cell phone to arrange obtaining additional quantities of methamphetamine from Bowen.
On December 5, 2022, law enforcement officers searched the Lotus Drive residence and found approximately 1 pound of methamphetamine. Larry Wayne Legg admitted to receiving the methamphetamine from Bowen and further admitted that he intended to sell the methamphetamine with Kimberly Dawn Legg.
Bowen pleaded guilty to conspiracy to distribute 50 grams or more of methamphetamine on February 23, 2023. Kimberly Dawn Legg pleaded guilty to conspiracy to distribute methamphetamine. They are among 30 individuals indicted as a result of Operation Smoke and Mirrors, a major drug trafficking investigation that has yielded the largest methamphetamine seizure in West Virginia history. Law enforcement has seized of well over 200 pounds of methamphetamine as well as 28 pounds of cocaine, 20 pounds of fentanyl, 18 firearms and $747,000 in cash.
More than a dozen of the defendants have pleaded guilty. Indictments against the other defendants are pending. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Postal Inspection Service, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the West Virginia National Guard Counter Drug program, the Kanawha County Sheriff’s Office, the Charleston Police Department, the Putnam County Sheriff’s Office and the Raleigh County Sheriff's Office. MDENT is composed of the Charleston Police Department, the Kanawha County Sheriff’s Office, the Putnam County Sheriff’s Office, the Nitro Police Department, the St. Albans Police Department and the South Charleston Police Department.
Chief United States District Judge Thomas E. Johnston imposed the sentence. Assistant United States Attorney Jeremy B. Wolfe prosecuted the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-4.
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Ohio Man Pleads Guilty to Fentanyl CrimeRead the Press Release
HUNTINGTON, W.Va. – Jermaine Lee Smith, 34, of Columbus, Ohio, pleaded guilty today to aiding and abetting the distribution of fentanyl.
According to court documents and statements made in court, on April 29, 2022, Smith and Benjamin Jack Reed, 42, of Huntington, sold approximately 27 grams of fentanyl to a confidential informant in a Huntington parking lot.
Smith is scheduled to be sentenced on October 10, 2023, and faces a maximum penalty of 20 years in prison, three years of supervised release, and a $250,000 fine.
Reed pleaded guilty on February 13, 2023, to aiding and abetting the distribution of fentanyl. Reed is scheduled to be sentenced on July 10, 2023.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA) and the Cabell County Sheriff’s Department.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Stephanie S. Taylor is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:22-cr-211.
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Ocala Men Plead Guilty to Robbing Postal CarriersRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that Jacoby Jules Colon (20, Ocala) and Darius Rodney Capers (19, Ocala) have pleaded guilty in connection with their robbery spree of postal carriers in Florida.
Colon pleaded guilty to conspiracy to rob postal carriers, armed postal robbery, and brandishing a firearm in furtherance of a crime of violence. He faces a maximum penalty of 5 years in federal prison for the conspiracy offense, up to 25 years’ imprisonment for the robbery offenses and a minimum mandatory consecutive sentence of 7 years, and up to life in prison for the firearm offense. His sentencing hearing is scheduled for September 20, 2023.
Capers pleaded guilty to conspiracy to rob postal carriers and attempted robbery of a postal carrier. Capers faces a maximum penalty of 15 years in federal prison. His sentencing hearing is scheduled for July 18, 2023.
According to their plea agreements, Colon and Capers robbed three postal carriers. In addition, Capers attempted to rob a fourth postal carrier. On September 14, 2022, Colon and Capers robbed a postal carrier in Ft. Lauderdale and stole his arrow key, which is a master key used to open U.S. mail receptacles. Then, on October 4 and October 6, 2022, the pair robbed two postal carriers in Orlando, stealing their arrow keys. During the October 6 robbery, Colon brandished a firearm and threatened the carrier. During all three robberies, Capers was the lookout and getaway driver.
Colon approaching the victim postal carrier on October 4, 2022.
Capers speeding away from the scene with Colon immediately after the robbery on October 4, 2022.
On October 25, 2022, Capers attempted to rob a fourth postal carrier in Tampa but abandoned his effort when the carrier resisted.
U.S. Postal Inspectors witnessed Capers and Colon using one of the stolen arrow keys to access a mail collection box in the parking lot of the Azalea Park Post Office. The pair admitted to stealing mail to further engage in check fraud.
U.S. Postal Inspectors executed search warrants at a hotel in Orlando where Capers had been staying and at the homes of Colon and Capers in Ocala. They recovered several pieces of stolen mail, fraudulent checks, ski masks, and several firearms. They also located a photo sent by Colon to Capers which depicted one of the stolen arrow keys worn by Colon.
This case was investigated by the United States Postal Inspection Service and the Orange County Sheriff’s Office, with assistance from the Hillsborough County Sheriff’s Office, the Ocala Police Department, the Marion County Sheriff’s Office, and the Broward County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Michael P. Felicetta.
New Mexico Man Indicted for Threatening Federal JudgeRead the Press Release
SPRINGFIELD, Mo. – An Albuquerque, New Mexico, man has been indicted by a federal grand jury for threatening to murder a federal judge.
Ryan M. Summers, 44, was charged in an indictment returned under seal by a federal grand jury in Springfield on Tuesday, June 27. That indictment was unsealed and made public today following his arrest and initial court appearance in New Mexico.
The federal indictment alleges that on March 13, 2023, Summers threatened to murder and assault a United States judge, with the intent to impede, intimidate, and interfere with the performance of the judge’s official duties, and to retaliate against the judge on account of the performance of his official duties.
The charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Casey Clark. It was investigated by the U.S. Marshal’s Service.
Missouri Woman Admits Fraudulently Applying for $168,000 Pandemic LoanRead the Press Release
CAPE GIRARDEAU – A woman pleaded guilty to federal charges Thursday and admitted fraudulently applying for a $167,999 Payroll Protection Program loan during the coronavirus pandemic for a Poplar Bluff, Missouri business that she did not run or own.
Maxine Michelle Burns, 44, of Willow Springs in Howell County, Missouri, pleaded guilty in U.S. District Court in Cape Girardeau to bank fraud and making false statements to a financial institution.
Burns admitted applying for a PPP loan from the Small Business Administration on Jan. 20, 2021 using the name of the owner of a residential treatment facility in Poplar Bluff without authorization, as well as the owner’s signature stamp. The loan was granted, and Burns admitted using the money to buy vehicles for herself and pay for vacations.
On Sept. 16, 2021, Burns then applied to the SBA for forgiveness of the PPP loan, falsely claiming that the money had been used for payroll and other permissible purposes. Her application was granted and the loan was forgiven.
At her sentencing, set for September 28, Burns faces up to 30 years in prison, a $1 million fine or both. She will also be ordered to repay the money and has already agreed to do so.
This case was investigated by the U.S. Secret Service. Assistant U.S. Attorney Timothy Willis is prosecuting the case.
Minocqua Man Who Tried to Conceal Replica "Dukes of Hazard" Car from Bankruptcy Trustee Convicted of Bankruptcy FraudRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Bruce Polczynski, 57, Minocqua, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to three years of probation and a $1,000 fine for bankruptcy fraud. Polczynski pled guilty to this charge on March 31, 2023.
In pleading guilty, Polczynski admitted that he lied to the U.S. Bankruptcy Trustee about assets so they would not be used to pay creditors, specifically, Polczynski lied to conceal a 1969 Dodge Charger replica of the General Lee vehicle from the Dukes of Hazard television show and a 1979 Pontiac Firebird Trans Am.
U.S. Attorney O’Shea noted that Polczynski’s deception was quickly discovered, and the vehicles were sold to pay creditors. According to O’Shea, “Polczynski’s story, where he was quickly stripped of the assets he tried to hide, suffered the embarrassment of federal prosecution, and received a felony conviction, is a compelling cautionary tale for anyone considering bankruptcy fraud.”
In imposing sentence, Judge Peterson noted that the bankruptcy system—like many government institutions—”depends critically on the honesty” of those who engage with it. According to Judge Peterson, while three years of probation was the “just sentence” given Polczynski’s health and financial circumstances, a prison term may be required in other bankruptcy fraud cases to “amplify” the general deterrence message.
The charge against Polczynski was the result of an investigation conducted by the Office of the United States Trustee and the Federal Bureau of Investigation. U.S. Attorney Timothy M. O’Shea prosecuted this case.
Minneapolis Tax Preparer Sentenced to Prison for Tax CrimesRead the Press Release
MINNEAPOLIS– A Minneapolis tax preparer has been sentenced to 12 months and one day in prison followed by one year of supervised release, announced United States Attorney Andrew M. Luger.
According to court documents, Sue Yang, 48, of Circle Pines, operated a tax preparation business in Minneapolis. Yang participated in the IRS’s e-file program, a specialized program the IRS offers to qualified tax preparers, and was assigned a unique “Electronic Filing Identification Number” (known as an “EFIN”). In 2010, the IRS conducted a periodic suitability review of Yang and found that he failed to file a 2009 personal income tax return and that he owed substantial federal income taxes from tax years 2005 through 2008. The IRS notified Yang repeatedly that his failure to resolve his tax obligations would result in sanctions, including suspension of his EFIN or his expulsion from the IRS e-file program. In August 2012 Yang was suspended from the IRS e-file program and was no longer authorized to electronically file tax returns.
From August 2012 through April 2022, despite his suspension from the e-file program, Yang operated surreptitiously as an e-filing tax preparer. Yang disguised his unauthorized participation in the e-file program by enlisting others to obtain unique EFINs, which Yang then used to file thousands of tax returns electronically on behalf of his customers. These tax returns were electronically transmitted to the IRS purporting to have been prepared by other individuals. From 2012 through 2020, Yang impeded the IRS’s suitability review and circumvented his e-file suspension by electronically filing more than 26,000 tax returns using misappropriated EFINs.
From 2018 through 2021, Yang received approximately $765,000 in compensation from working as a tax preparer but, in order to further obscure his unauthorized conduct, he did not report any income related to his tax preparation business. Yang’s tax crimes resulted in a combined federal tax loss of approximately $214,297, an amount which Yang is ordered to pay in restitution.
Yang pleaded guilty on November 29, 2022, to one count of filing a false federal income tax return and one count of corruptly impeding and obstructing the administration of the internal revenue laws. Yang was sentenced today before Judge Eric C. Tostrud.
This case was jointly investigated by IRS – Criminal Investigations and the Treasury Inspector General for Tax Administration (TIGTA).
This case was prosecuted by Assistant U.S. Attorney Matthew S. Ebert.
Mexican Man Sentenced to Prison for Illegally Reentering the United States After Being DeportedRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to two years in federal prison.
Francisco Buenrostro-Ruiz, age 49, a citizen of Mexico illegally present in the United States and residing in Waterloo, Iowa, received the prison term after a March 9, 2023, guilty plea to one count of illegal reentry into the United States after having been deported.
At the guilty plea, Buenrostro-Ruiz admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Buenrostro-Ruiz was previously deported to Mexico in January 2012. On July 20, 2022, immigration officials learned Buenrostro-Ruiz had illegally returned to the United States and found Buenrostro-Ruiz at the Black Hawk County Jail following his arrest on state charges. Buenrostro-Ruiz was previously convicted on October 31, 2005, in State of Iowa v. Fransisco Buenrostro, in the Iowa District Court for Black Hawk County, No. FECR128735, for Possession of Methamphetamine with Intent to Deliver, an aggravated felony.
Buenrostro-Ruiz was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Buenrostro-Ruiz was sentenced to 24 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.
Buenrostro-Ruiz is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-CR-2010.
Follow us on Twitter @USAO_NDIA.
Maitland Man Indicted for Distributing, Receiving, and Possessing Child Sexual Abuse Images and Videos over the InternetRead the Press Release
Orlando, FL - United States Attorney Roger B. Handberg announces the return of an indictment charging Tremaine Lincoln Farara (37, Maitland) with two counts of distributing child sexual abuse images and videos over the internet, two counts of receiving child sexual abuse images and videos over the internet, and one count of possessing child sexual abuse images and videos that involved a young child and a child who had not attained 12 years of age. If convicted, Farara faces a minimum mandatory sentence of 5 years, and up to 20 years, in federal prison for each count of distributing and receiving of child sexual abuse images and videos, and up to 20 years’ imprisonment for the possession count.
According to court documents, Farara, used a chat application to download images and videos depicting children being sexually abused and distributed them over the internet. Farara also distributed some of these materials to an undercover FBI agent.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation. It will be prosecuted by Assistant United States Attorney Terry B. Livanos.
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 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 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.justice.gov/psc.
Los Lunas Man Sentenced to 9 Years in Prison for Firearms and Drug OffensesRead 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 Russell Wheeler was sentenced to 110 months in prison followed by 3 years of supervised release. Wheeler, 51, of Los Lunas, New Mexico, pled guilty to two counts of being a felon in possession of a firearm and ammunition and one count of attempt to manufacture methamphetamine on May 26, 2022.
According to court records, on May 22, 2021, following an argument, Wheeler shot a man in the head, at close range, with a revolver before fleeing the scene on foot. The victim was taken to an urgent care clinic and later to the University of New Mexico Hospital for treatment. He survived his injuries and Wheeler was identified as the shooter by a witness. Wheeler was convicted of possession of a controlled substance in 2005 and aggravated fleeing from law enforcement in 2007, both felonies. As a previously convicted felon, Wheeler cannot legally possess firearms or ammunition.
Following the incident, the FBI sought and executed a search warrant on Wheeler’s home. Inside, the FBI recovered two firearms - a 12-gauge shotgun and a black semi-automatic pistol -and ammunition and discovered an active methamphetamine lab in the bathroom of the residence. Wheeler admitted that he was in the process of cooking methamphetamine when agents knocked on his door and he had flushed much of what he was making down the toilet.
The FBI Violent Crime Task Force investigated this case with assistance from the Valencia County Sheriff’s Office and New Mexico State Police. Assistant United States Attorney Jaymie L. Roybal is prosecuting the case.
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Justice Department Finds State of South Carolina Unnecessarily Segregates Adults with Mental Illness in Adult Care HomesRead the Press Release
The Justice Department announced today that it has concluded an investigation into whether the State of South Carolina subjects adults with mental illness to unnecessary institutionalization and serious risk of institutionalization in adult care homes, in violation of Title II of the Americans with Disabilities Act (ADA).
The Justice Department determined that there is reasonable cause to believe South Carolina violates the ADA by failing to provide sufficient community-based services to prevent unnecessary institutionalization of adults with mental illness. Instead, the state subsidizes their stay in adult care homes where people have little contact with people without disabilities, often leaving the homes only for medical appointments and group visits to grocery and convenience stores. Critical services that would allow adults with mental illness to live instead in their own homes and communities are not sufficiently available across the state.
“People with disabilities should not be isolated in institutions for years on end when they can and want to live in their own homes,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Civil Rights Division will safeguard the rights of people with disabilities to ensure that they are able to participate fully in community life.”
“A sacred promise of the ADA includes giving people a meaningful choice for where they wish to live, including in their own private home,” said U.S. Attorney Adair F. Boroughs for the District of South Carolina. “I hope that the violations identified by the Justice Department can be remedied so that these South Carolinians will be able to leave the shadow of institutional living and instead live in and contribute to their communities.”
The Department’s investigation found South Carolina lacks needed community-based mental health services such as assertive community treatment, supported employment, permanent supportive housing, intensive case management, and peer support. These services are provided in certain parts of the state but are not sufficiently available to afford opportunities to avoid or move out of adult care homes and live in the community. As a result, thousands of adults with mental illness are segregated in adult care homes for years.
The Department’s investigation involved extensive review and analysis of documents; interviews of staff and people living in adult care homes, South Carolina state employees, and stakeholders; and visits to adult care homes statewide. Individuals with information relevant to this matter can contact the Department by emailing Community.SouthCarolina@usdoj.gov.
Additional information about the Civil Rights Division of the Justice Department is available on its website at Civil Rights Division | Rights Of Persons With Disabilities (justice.gov) and www.ada.gov.
South Carolina ADA Findings Report Letter to SC Regarding FindingsHuntington Man Pleads Guilty to Federal Gun CrimeRead the Press Release
HUNTINGTON, W.Va. – Kenneth Dale Walker, 34, of Huntington, pleaded guilty today to being a felon in possession of a firearm.
According to court documents and statements made in court, on September 22, 2020, a law enforcement officer conducted a traffic stop of a vehicle driven by Walker in Guyandotte. Walker was wearing an empty holster on his hip. Walker told the officer there was a firearm under his seat. The officer recovered a Taurus, G2cm 9mm pistol under the seat. Walker admitted to possessing the firearm.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Walker knew he was prohibited from possessing a firearm because of his prior felony conviction for unlawful wounding in Cabell County Circuit Court on September 3, 2010.
Walker is scheduled to be sentenced on October 10, 2023, and faces a maximum penalty of 10 years in prison, three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the West Virginia State Police.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Stephanie Taylor is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:22-cr-113.
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Grovespring Man Sentenced to 20 Years for Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A Grovespring, Mo., man was sentenced in federal court today for receiving and distributing child pornography.
James Michael Justice, 55, was sentenced by U.S. District Judge Brian C. Wimes to 20 years in federal prison without parole. The court also sentenced Justice to 15 years of supervised release following incarceration.
On Nov. 21, 2022, Justice pleaded guilty to one count of receiving and distributing child pornography.
Justice was arrested on Feb. 15, 2022, when troopers with the Missouri State Highway Patrol executed a search warrant at his residence. Troopers seized three cell phones and two laptop computers. Investigators conducted a forensic examination and found images and videos of child pornography on Justice’s cell phone.
Justice also faces felony state charges for child molestation and sexual conduct involving a child under 15.
This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Missouri State Highway Patrol and the Wright County, Mo., Sheriff’s Department.
Project Safe Childhood
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."
Former St. Charles County Youth Hockey Coach Arrested on Federal Child Sex ChargesRead the Press Release
ST. LOUIS – A former youth hockey coach was arrested Thursday on federal charges that include accusations that he produced child pornography involving two juveniles and possessed child pornography of multiple other currently unidentified juveniles.
James R. Lambert , 41, of Lake St. Louis, was indicted June 28 on two counts of production of child pornography, one count of receiving child pornography and one count of transporting minors across state lines to engage in criminal sexual activity.
He pleaded not guilty to the charges Thursday in U.S. District Court in St. Louis.
The indictment accuses Lambert of inducing two minors into engaging in sexually explicit conduct and then filming it. It also says Lambert took a minor across state lines with the intent to engage in sexual activity and that he received child pornography online.
Lambert is also facing charges in St. Charles County Circuit Court of statutory sodomy and child molestation and charges of statutory sodomy and sexual exploitation of a child in St. Louis County Circuit Court. He was in jail on those charges at the time of his arrest on the federal case.
Anyone with information regarding possible additional victims is asked to contact the Lake St. Louis Police Department by calling 636-625-8018 or emailing policetips@lakesaintlouis.com.
This case was investigated by Homeland Security Investigations, the Lake St. Louis Police Department, the St. Charles County Cybercrime Task Force and the Maryland Heights Police Department. Assistant U.S. Attorney Jillian Anderson is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, 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.
Former Portland Area Non-Profit Director Sentenced to Federal Prison for Stealing Covid Relief FundsRead the Press Release
PORTLAND, Ore.—A former Portland area non-profit director was sentenced to federal prison today for stealing more than $321,000 in federal funds intended to help small businesses during the COVID-19 pandemic.
Theodore Johnson, 62, a Portland resident, was sentenced to 15 months in federal prison and three years’ supervised release. He was also ordered to pay approximately $321,000 in restitution to two banks, the U.S. Small Business Administration and the Oregon Department of Administrative Services.
According to court documents, in February 2017, Johnson incorporated and began serving as the director of operations for Ten Penny International Housing Foundation, an Oregon-based non-profit organization. After Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act in March 2020 to provide emergency financial assistance to American employers, Johnson saw an opportunity to fraudulently obtain government funds on Ten Penny’s behalf.
In early March 2021, Johnson submitted his first of three Paycheck Protection Program (PPP) applications, falsely claiming Ten Penny employed 16 people and had an average monthly payroll of more than $57,000. To support his application, Johnson submitted fraudulent tax documents and created an electronic counterfeit IRS stamp to make it appear as though his forms had been received by the IRS. Based on these false claims, Northeast Bank issued a PPP loan worth more than $143,000 to Ten Penny.
Two months later, in May 2021, Johnson submitted two more fraudulent PPP loan applications. In these applications, he again falsely claimed Ten Penny employed 16 people and had an average monthly payroll of at least $50,000. Johnson further falsely claimed to have used the entirety of his first PPP loan for eligible expenses. As a result, Central Willamette Credit Union issued Johnson a second PPP loan worth more than $130,000.
In addition to his three fraudulent PPP loan applications, Johnson submitted a fraudulent Oregon Cares Fund application on behalf of Ten Penny and received an additional $34,975.
On October 31, 2022, Johnson was charged by criminal information with one count of bank fraud and two months later, on December 29, 2022, pleaded guilty to the single charge.
This case was investigated by the SBA Office of Inspector General and U.S. Treasury Inspector General for Tax Administration (TIGTA). It was prosecuted by Meredith D.M. Bateman, Assistant U.S. Attorney for the District of Oregon.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Former Partner of Investment Management Firm Arrested for $1.6 Million Investment Fraud SchemeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York and Christie M. Curtis, the Acting Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”) announced the unsealing of a two-count Indictment charging JOSHUA HENNER with wire fraud and aggravated identity theft. As alleged in the Indictment, HENNER, through false statements and representations, convinced victims to loan him at least $1.6 million for the purpose of investing in a start-up, while, in reality, misappropriating those funds for his own purposes. HENNER was arrested this morning and will be presented in Manhattan federal court later today before U.S. Magistrate Judge Jennifer E. Willis.
U.S. Attorney Damian Williams said: “As alleged, Joshua Henner defrauded his victims of over $1.6 million and used those funds to line his own pockets. Investment fraud schemes are all too common. Thanks to our partnership with the Federal Bureau of Investigation, Henner will now be held accountable for his conduct.”
FBI Acting Assistant Director in Charge Christie M. Curtis said: “The defendant is alleged to have to conducted an investment fraud scheme, based on misrepresentations and falsehoods, in order to misappropriate more than $1.6 million in investor funds. Investment fraud schemes cause harm to victims directly involved, but also weaken the public's faith in the financial marketplace. Investigating and holding the individuals responsible for complex financial schemes accountable remains a top focus for the FBI.”
As alleged in the Indictment[1]:
From at least in or about May 2022 through at least in or about December 2022, HENNER ran a scheme that defrauded victims out of at least $1.6 million. HENNER solicited and obtained funds from victims based on representations that he had been an angel investor in a start-up (the “Company”) and that he needed funds to purchase additional shares in the Company to maintain his investment position.
To induce victims to give him funds, HENNER routinely made materially false oral and written statements, including lies about his previous investment in the Company and his ownership interest in the Company. Without their knowledge or authorization, HENNER misappropriated his victims’ funds by, among other things, transferring the funds to himself and other individuals.
During and in relation to the scheme, HENNER used, without authorization, the name and email address of a lawyer purportedly involved in the investments to communicate via email with his victims and foster the illusion that he was using the funds that his victims lent him for their intended purposes.
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HENNER, 35, of New York, New York, is charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison, and one count of aggravated identity theft, which carries a mandatory two-year consecutive sentence. The minimum and maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by a judge.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Brandon C. Thompson is in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. v. Henner Indictment
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein, constitute only allegations, and every fact described herein should be treated as an allegation.
Former Ohkay Owingeh Police Department Officer Charged with Obstruction of JusticeRead 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 Justin Aquino made an initial appearance in federal court on an indictment charging him with obstruction of justice and making false statements. Aquino, 28, of Ohkay Owingeh, will remain on conditions of release pending trial.
According to the indictment, on Feb. 26, 2020, Aquino allegedly used his position as an officer with the Ohkay Owingeh Police Department to impede a federal grand jury investigation by disclosing information about an ongoing investigation being conducted by Homeland Security Investigations and the Drug Enforcement Administration to an individual outside of the investigation. Then, on May 24, 2022, while working for the Pojoaque Police Department, Aquino was confronted by special agents from the FBI and Aquino falsely stated that he had not disclosed information to anyone outside of the investigation
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Aquino faces a maximum sentence of 25 years in prison.
This case was investigated by the Santa Fe office of the Federal Bureau Investigation with assistance from Homeland Security Investigations, the Drug Enforcement Administration, the Bureau of Indian Affairs and the Region III Drug Enforcement Task Force. Assistant United States Attorney Peter J. Eicker is prosecuting the case.
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Former Nurse Sentenced to Federal Prison for Tampering with a Consumer ProductRead the Press Release
MIAMI – Catherine Shannon Dunton, 55, has been sentenced to 48 months in prison, followed by three years of supervised release, for stealing fentanyl from sterile vials intended for patients for personal use and then replacing the fentanyl with saline solution to avoid detection.
From February 28 to April 18, 2022, Dunton, a Florida licensed Registered Nurse (RN), worked at an outpatient surgical center in Jensen Beach, Martin County, Fla. as a circulating nurse. While working at the center, Dunton took vials of fentanyl, a narcotic painkiller in liquid form, and self-administered it by injection. To avoid detection, she replaced the fentanyl from nearly 450 vials with saline solution, and then returned the adulterated vials to the center for use during outpatient surgical procedures.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida 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, made the announcement.
FDA-OCI Miami investigated the case, with assistance from U.S. Postal Inspection Service (USPIS), Miami Division. Assistant U.S. Attorney Diana M. Acosta prosecuted it.
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 22-cr-14073.
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Former Bank VP Pleads Guilty to Embezzling $550,000Read the Press Release
JEFFERSON CITY, Mo. – A former bank vice president pleaded guilty in federal court today to embezzling at least $550,000 from the People’s Bank of Moniteau County.
Angela Flippin, 51, of Jamestown, Mo., waived her right to a grand jury and pleaded guilty before U.S. Magistrate Judge Willie J. Epps, Jr. to a federal information that charges her with one count of embezzlement by a bank employee and one count of filing a false federal tax return.
Flippin was the vice president and chief operating officer at the People’s Bank of Moniteau County, which has locations in Jamestown and California, Mo. She was also the board secretary for many years and held that position when she was terminated.
By pleading guilty today, Flippin admitted that she embezzled at least $550,000 from 2010 to Jan. 30, 2017. The government believes she embezzled $645,638 and will present evidence for that amount at the sentencing hearing.
In January 2017, the Missouri Division of Finance discovered improper transactions involving Flippin. From 2010 through 2017, three areas of improper activity were identified; improper disbursements; improper expense reimbursements; and improper insurance premiums. Through their analysis, auditors determined Flippin received more than $550,000 in improper comp time disbursements and more than $8,000 in improper expense reimbursements.
Flippin personally held three separate bank accounts. Analysis of these bank accounts by federal investigators found Flippin made payroll deposits in the amount of $105,750. In addition to Flippin’s payroll deposits there were other deposits which totaled $892,782. Analysis of expenditures from Flippin’s bank accounts found $338,569 in PayPal online shopping transactions and other general debit card transactions.
Flippin also admitted that she failed to report the amounts that she embezzled from People’s Bank of Moniteau County on her 2014, 2015, and 2016 federal income tax returns. During those three years, she embezzled a total of $372,745, resulting in a total tax loss to the federal government of $96,434.
Under federal statutes, Flippin is subject to a sentence of up to 33 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Ashley S. Turner. It was investigated by the FBI, IRS-Criminal Investigation, and the Federal Deposit Insurance Corporation.
Foreign National Sentenced to Almost Four Years in Federal Prison for $1.5 Million Fraud SchemeRead the Press Release
Baltimore, Maryland – U.S. District Judge Stephanie A. Gallagher sentenced Nigerian citizen, Akolade Ojo, age 31, of Owings Mills, Maryland, yesterday to 46 months in federal prison, followed by three years of supervised release, for conspiracy to commit wire fraud. Judge Gallagher also ordered Ojo to pay $1,320,186.19 in restitution. The charges stemmed from fraud schemes in which Ojo communicated with his co-conspirators about the receipt of money from victims into bank accounts controlled by the conspirators and instructed conspirators about withdrawals, transfers, and purchases of cashier’s checks using the fraudulently obtained funds.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge James C. Harris of Homeland Security Investigations (“HSI”) Baltimore; Special Agent in Charge Karen L. Brown Cleveland of the U.S. Department of State, Diplomatic Security Service (“DSS”), Washington Field Office; Acting Special Agent in Charge Troy W. Springer, of the National Capital Region of the U.S. Department of Labor’s Office of Inspector General (“DOL-OIG”); and Postal Inspector in Charge Damon E. Wood of the U.S. Postal Inspection Service – Washington Division.
According to Ojo’s plea agreement and other court documents, from August 2018 to November 2020, Ojo and his co-conspirators, some of whom were located outside the United States, defrauded multiple businesses, individuals, and financial institutions. As part of the fraud schemes, Ojo’s co-conspirators obtained fake passports and other identification documents, in multiple aliases, created and used limited liability companies to further hide their identities, and opened bank accounts in the names on the identification documents or the limited liability companies. Other conspirators made false representations to companies and individuals to induce them to fraudulently send money to the bank accounts controlled by the conspirators. These false representations included hacking into email accounts to impersonate individuals and redirect legitimate payments for services and products; deceiving victims about how to pay a vendor’s legitimate invoice through look-alike email addresses; and romance frauds.
Ojo and other co-conspirators used an encrypted messaging app to communicate the timing of financial transactions, including directing members of the conspiracy regarding the deposit, withdrawal, transfer, and conversion of fraudulently obtained funds. Ojo admitted that he was involved in numerous financial transactions in which money was directed to aliases that were being used by his co-conspirators and that he personally benefitted from the money obtained by the fraud. Ojo knew that the fraud schemes involved more than 15 business and individual victims with losses of at least $1.5 million.
Ojo is the final defendant charged in the conspiracy to be sentenced. In May 2022, co-defendant Idowu Raji, age 40, of Baltimore County, Maryland, was sentenced to 94 months in federal prison for this and a related case. Hameed Adesokan, age 35, of New Jersey, and Damilola Lawal, a/k/a DML, D Baba, and Dami, age 32, of Windsor Mill, Maryland, were each sentenced to 46 months in federal prison, for their roles in the fraud scheme. Adewumi Abioye, age 35, of Randallstown, Maryland; and Lukman Salam, age 37, of Bear, Delaware were sentenced to 27 months and 30 months in federal prison, respectively. Olatunde Vincent, age 35, of Pikesville, Maryland was sentenced to 50 months in prison for a related case.
United States Attorney Erek L. Barron commended HSI, the DSS, the DOL-OIG, and the U.S. Postal Inspection Service for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Harry M. Gruber, who prosecuted the case and Paralegal Joanna B.N. Huber, who assisted on the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/report-fraud.
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Fentanyl Distributer Tied to 13-Year-Old’s Overdose Death Pleads GuiltyRead the Press Release
A drug distributor who was selling fentanyl-laced counterfeit M30 pills to a Carrollton middle schooler shortly before her fatal overdose pleaded guilty today to a federal drug crime, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Rafael Soliz, Jr., 23, was indicted in March. He pleaded guilty Thursday to conspiracy to possess with intent to distribute fentanyl before U.S. Magistrate Judge Renee Harris Toliver.
“My heart aches for the victim in this case – a promising young girl who’d barely entered her teens. The defendant not only sold her fentanyl but also taught her how to ingest it. In essence, he encouraged a mere child to snort a terrifyingly potent, highly addictive drug – and then urged her to cover for him with law enforcement,” said U.S. Attorney Leigha Simonton. “The Northern District of Texas is pulling out all the stops to rid the streets of dealers and keep fentanyl out of the hands of our kids. Our community cannot endure much more of this.”
“Anyone selling fentanyl to children will find themselves becoming a top priority for the Drug Enforcement Administration,” said DEA Special Agent in Charge Eduardo A. Chávez. “The DEA will continue to focus our resources on stopping this deadly threat from reaching and causing more harm to our next generation.”
“We will never stop fighting to protect our community from this dangerous drug. I’m proud of the men and women of the Carrollton Police Department, who are working tirelessly to rid the community of this poison. Our thoughts and prayers are with the family,” said Carrollton Police Chief Roberto Arredondo.
According to plea papers, Mr. Soliz admitted he sold fentanyl to both street-level dealers and directly to users, including children.
Mr. Soliz used an Instagram account to communicate with both adult and minor customers interested in purchasing counterfeit M30 pills containing fentanyl. On Nov. 30, Mr. Soliz responded via Instagram messenger to a 13-year-old girl who asked him if she could buy “percs.” Soliz agreed and delivered the pills to her residence. He then advised her how to snort them.
A few days later, upon discovering that the child, a student at Dewitt Perry Middle School, was just 13, he expressed dismay at her age but agreed to continue selling to her if she would “keep it on the down low” and deny he was her dealer if she ever got caught. On December 9, 2022, he advised her to “delete our chat” and instead use Instagram Vanish Mode.
Two days later, the child was found dead in her Carrollton bedroom. An autopsy revealed she’d died from a toxic combination of fentanyl and cough medicine.
In his plea papers, Mr. Soliz stipulated that he personally distributed approximately 1,500 fentanyl pills to adults and juveniles, including the 13 year-old victim. He stated he dealt hundreds of pills directly to Luis Eduardo Navarrete, one of the first traffickers charged in the wake of the Carrollton juvenile fentanyl overdoses.
Mr. Soliz is the fifth defendant charged in the wake of the Carrollton / Flower Mound juvenile overdose investigation to enter a guilty plea. Jason Xavier Villanueva, Magaly Cano, Donovan Jude Andrews and Stephen Paul Brinson pleaded guilty earlier this year; three other defendants, including Mr. Navarrete, have been charged but not yet convicted. (All are presumed innocent until proven guilty in a court of law.)
Mr. Soliz now faces up to 40 years in federal prison. Under the terms of his plea agreement, he may be called upon to testify in court.
The Drug Enforcement Administration’s Dallas Field Division and the Carrollton Police Department conducted the investigation with the assistance of the Carrollton - Farmer’s Branch Independent School District. Assistant U.S. Attorneys Rick Calvert and Phelesa Guy are prosecuting the case.
Note: Illicitly produced, fentanyl-laced pills often look similar to legitimate prescription pills like Oxycontin or Percocet, but can pose significantly more danger. On the street, these pills are often referred to as “M30s” (a reference to the markings on some of the pills), “blues,” “perks,” “yerks,” “china girls,” or “TNT.” DEA research shows that six out of ten pills laced with fentanyl contain a potentially lethal dose. One pill can kill. For resources, visit https://www.dea.gov/onepill.
Felon admits to possessing loaded firearm and drugsRead the Press Release
HOUSTON – A 28-year old Houston resident has pleaded guilty to illegally possessing two firearms while a felon and possession with intent to distribute cocaine, announced U.S. Attorney Alamdar S. Hamdani.
On Jan. 21, 2022, authorities found Sydney Rachal’s motor vehicle stopped in the middle of the road. They soon took him into custody for driving while intoxicated and for an outstanding felony warrant.
Upon his arrest, a search of his person revealed two plastic bags weighing approximately 68 grams that contained cocaine as well as $22,905 in cash. A subsequent search of his vehicle also resulted in the discovery of magazines and two firearms, one of which - a Glock Model 26 pistol - was loaded.
During the hearing, the court heard that Rachal also possessed several other illegal substances, such as marijuana, alprazolam and other pills along with the material to distribute them.
The investigation revealed Rachal had been previously convicted of aggravated robbery. As such, he is prohibited from possession firearms or ammunition per federal law.
U.S. District Judge Hittner accepted the plea and set sentencing for Oct. 5. At that time, Rachal faces up to 10 years and a possible $250,000 maximum fine for the firearms charge, while the drug trafficking conviction carries a potential 20-year prison term with a potential fine of $1 million.
He has been and will remain in custody pending that hearing.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorneys Rodolfo Ramirez is prosecuting the case.
Dubuque Brother and Sister Responsible for Selling Hundreds of Pounds of Methamphetamine Plead Guilty to Conspiring to Distribute MethamphetamineRead the Press Release
A brother and sister who conspired to distribute methamphetamine within 1,000 feet of a protected location pled guilty today in federal court in Cedar Rapids.
Jacob Patrick Demaio, age 42, and Codi Lyn Demaio, age 35, both from Dubuque, Iowa, were each convicted of one count of conspiring to distribute at least 500 grams of a mixture or substance containing a detectable amount of methamphetamine, and at least 50 grams of actual (pure) methamphetamine, within 1,000 feet of a protected location.
Evidence at a prior hearing showed that Jacob Demaio sold hundreds of pounds of methamphetamine to multiple people between 2019 and 2022. He arranged for drug transactions to occur at stash houses located in Dubuque within 1,000 feet of schools and playgrounds. Drug customers dropped off hundreds of thousands of dollars at those stash houses; that money was intended for Jacob Demaio.
At a prior hearing, evidence showed that Codi Demaio also sold pounds of methamphetamine to several people in Dubuque between 2019 and 2022. On two occasions when her brother was incarcerated, she took over his drug operation and sold tens of pounds of methamphetamine. She was once instructed to go to California with $25,000 to buy drugs, though she instead traveled to Las Vegas and lost all of the money.
At plea hearings, Jacob and Codi Demaio admitted that they conspired to distribute at least 500 grams of a mixture or substance containing a detectable amount of methamphetamine, and at least 50 grams or more of actual (pure) methamphetamine, within 1,000 feet of a protected location.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Jacob and Codi Demaio remain in custody of the United States Marshal pending sentencing.
For conspiring to distribute methamphetamine within 1,000 feet of a protected location, both Jacob and Codi Demaio face a mandatory minimum sentence of 10 years’ imprisonment and the following maximum penalties: not more than life imprisonment without the possibility of parole; a fine of not more than $20,000,000; a mandatory special assessment of $100; and a term of supervised release of at least 10 years and up to life.
The case is being prosecuted by Special Assistant United States Attorney Devra Hake. It was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the Dubuque Drug Task Force, Dubuque County Sheriff’s Office, Dubuque Police Department, Quad City Metropolitan Enforcement Group, Federal Bureau of Investigation, Drug Enforcement Administration, United States Postal Inspection Service, and the Iowa Division of Criminal Investigation Criminalistics Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-1039.
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Drug Traffickers from Lafayette Area Sentenced for Possession of HeroinRead the Press Release
LAFAYETTE, La. – United States Attorney Brandon B. Brown announced that Lensly Johnnie, 38, of Lafayette, Louisiana, was sentenced today by United States District Judge Robert R. Summerhays on drug charges. Johnnie was sentenced to 88 months (7 years, 4 months) in prison, followed by 3 years of supervised release.
On July 31, 2019, officers with the Lafayette Police Department attempted to conduct a traffic stop of a vehicle operated by Johnnie’s co-defendant, Ernest Taylor. Johnnie was a front seat passenger in the vehicle. When officers attempted to stop the vehicle, Johnnie and Taylor fled the scene and their vehicle was later found unoccupied and parked at a nearby residence in Lafayette. An officer saw Johnnie and another male walking down the street near the location of the abandoned vehicle. Johnnie was stopped and found to have over $3,900 on his person and had a strong odor of marijuana.
Meanwhile, law enforcement officers had a K9 officer arrive at the location where the abandoned vehicle was left and conducted an open-air sniff and a probable cause search was conducted. Inside the vehicle officers found what was thought to be approximately 332 grams of cocaine and approximately 16 grams of heroin hidden inside the door panel. The seized narcotics were sent to the crime lab for testing, and it was determined the narcotics seized were not cocaine, but in fact heroin, with a total of 329.3 grams seized. Johnnie pleaded guilty on March 28, 2023, to possession with intent to distribute heroin.
Ernest Taylor, the co-defendant in this case, was sentenced on April 25, 2023, to 60 months in prison, followed by 5 years of supervised release, for his role in the offense.
The case was investigated by the Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives and Lafayette Police Department and prosecuted by Assistant U.S. Attorney Daniel J. McCoy.
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