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23 June 2023
Readout of Assistant Attorney General Kenneth A. Polite, Jr.’s Trip to ColombiaRead the Press Release
From June 20 to 23, Assistant Attorney General (AAG) Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division traveled to Bogotá, Colombia, to meet with Colombian counterparts, law enforcement partners, and Criminal Division personnel assigned to U.S. Embassy Bogotá to discuss law enforcement efforts between the two countries and advance the bilateral relationship with Colombia.
On Wednesday, AAG Polite met with the magistrates of the Criminal Chamber of the Colombian Supreme Court. He also met with key U.S. law enforcement partners working in Colombia, Criminal Division personnel assigned to the U.S. Embassy Bogotá, and members of the Colombian National Police and Colombian Attorney General’s Office who provide support to bilateral investigations to combat transnational organized crime groups. AAG Polite thanked U.S. and Colombian law enforcement for their close collaboration and outstanding partnership and for their commitment to improving the security of the region.
AAG Polite with the Magistrates of the Criminal Chamber of the Colombian Supreme Court.
On Thursday, AAG Polite met with Colombian Attorney General Francisco Barbosa, Colombian Minister of Justice Néstor Iván Osuna Patiño, and Colombian National Police Director General William René Salamanca to discuss shared law enforcement priorities, including dismantling transnational criminal organizations, disrupting the flow of illegal narcotics and the violence attributed to it, combatting money laundering, and seizing and forfeiting assets purchased with proceeds of illegal conduct. In his meetings, AAG Polite looked to bolster the close collaboration between the United States and Colombia on bilateral justice matters, and discussed how the United States can further support Colombia’s efforts to improve rural justice and security.
Colombian Attorney General Francisco Barbosa and AAG Polite.
Colombian Minister of Justice Néstor Iván Osuna Patiño and AAG Polite.
Colombian National Police Director General William René Salamanca and AAG Polite.
“Our law enforcement relationship with Colombia is a model for the region,” said AAG Polite. “We thank Colombia for their many years of partnership with the Department of Justice and U.S. law enforcement on justice matters. We are committed to continuing to work closely together to combat transnational organized crime, stop the flow of narcotics to the United States, and disrupt the flow of illicit financing.”
During the visit, AAG Polite also visited a Justice House, an important access-to-justice program that seeks to bring a wide range of justice services to Colombian citizens. AAG Polite spoke about the importance of access-to-justice initiatives and how Colombia and the United States can learn from one another on this matter.
AAG Polite’s visit to a Justice House.
AAG Polite remains committed to the continued cooperation between the United States and Colombia and our judicial and law enforcement counterparts in the region.
AAG Polite overlooking Plaza de Bolívar.
Quincy Woman Sentenced to 60 Months in Federal Prison for Distribution of MethamphetamineRead the Press Release
SPRINGFIELD, Ill. – A Quincy, Illinois woman, Christina Harbison, 41, of the 600 block of Chestnut was sentenced today by U.S. District Judge Colleen Lawless to sixty months in prison, followed by four years of supervised release for distributing 5 grams or more of methamphetamine.
Harbison was indicted in December of 2019 and pleaded guilty in January of 2023. Evidence at the sentencing hearing showed that the drug transaction at issue occurred on March 11, 2019. After initially being released on bond, Harbison’s bond was subsequently revoked, and she has been in the custody of the United States Marshal since October 31, 2022.
The statutory penalties for distribution of 5 grams or more of methamphetamine are not less than five and up to forty years in prison, not more than a $10,000,000 fine, and not less than four years and up to life of supervised release.
The West Central Illinois Task Force and the Quincy Police Department investigated the case. Assistant United States Attorney Matthew Z. Weir represented the government in the prosecution.
The case against Harbison 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.
Quincy Woman Sentenced to 60 Months in Federal Prison for Distribution of MethamphetamineRead the Press Release
SPRINGFIELD, Ill. – A Quincy, Illinois woman, Christina Harbison, 41, of the 600 block of Chestnut was sentenced today by U.S. District Judge Colleen Lawless to sixty months in prison, followed by four years of supervised release for distributing 5 grams or more of methamphetamine.
Harbison was indicted in December of 2019 and pleaded guilty in January of 2023. Evidence at the sentencing hearing showed that the drug transaction at issue occurred on March 11, 2019. After initially being released on bond, Harbison’s bond was subsequently revoked, and she has been in the custody of the United States Marshal since October 31, 2022.
The statutory penalties for distribution of 5 grams or more of methamphetamine are not less than five and up to forty years in prison, not more than a $10,000,000 fine, and not less than four years and up to life of supervised release.
The West Central Illinois Task Force and the Quincy Police Department investigated the case. Assistant United States Attorney Matthew Z. Weir represented the government in the prosecution.
The case against Harbison 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.
Prolific Human Smuggler Extradited to United States from HondurasRead the Press Release
TUCSON, Ariz. – A Honduran national has been extradited from Honduras to the United States to face charges related to human smuggling and money laundering.
Maria Mendoza-Mendoza, aka “La Guera,” will make her initial court appearance today in the U.S. District Court for the District of Arizona in Tucson.
According to court documents, Mendoza-Mendoza is a high-level, Honduran-based human smuggling coordinator who, along with co-conspirators throughout Central America, Mexico, and the United States, was responsible for facilitating the illegal entry, transport, and harboring of numerous undocumented non-citizens (UNCs). Through phone conversations captured on wire intercepts, Mendoza-Mendoza is alleged to have directed the movement of UNCs and the collection of their smuggling fees. She also is alleged to have exercised extensive control over co-conspirators. The smuggling organization is alleged to have utilized numerous funnel accounts to collect millions of dollars in smuggling fees deposited across the United States and withdrawn primarily in the Phoenix, Arizona area.
Mendoza-Mendoza is charged in an indictment with Conspiracy to Transport and Harbor Illegal Aliens for Profit and Transportation of and Harboring Illegal Aliens for Profit, each of which carries a maximum sentence of 10 years in prison and a maximum fine of $250,000, and Conspiracy to Commit Money Laundering, which carries a maximum sentence of 20 years in prison and a maximum fine of $500,000 or twice the value of the property involved in the transaction.
An indictment is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
This extradition resulted from the coordinated efforts of Joint Task Force Alpha (JTFA). The U.S. Attorney’s Office for the District of Arizona is part of JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security , to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The Task Force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime.
Homeland Security Investigations – Sells Office conducted the investigation in this case, with significant assistance from the United States Border Patrol’s Tucson Sector, and numerous state and local law enforcement agencies throughout the country. The United States Marshals Service assisted with the extradition efforts. The Justice Department’s Office of International Affairs worked with law enforcement partners in Honduras to secure the arrest and extradition of Mendoza-Mendoza. The United States Attorney’s Office, District of Arizona, Tucson, is handling the prosecution.
The Justice Department’s Office of International Affairs worked with law enforcement partners in Honduras to secure the arrest and extradition of Mendoza-Mendoza.
A video recording of the press conference held to announce Mendoza-Mendoza’s extradition can be found here.
CASE NUMBER: CR-18-0078-TUC-RCC-MAA
RELEASE NUMBER: 2023-097_Mendoza-Mendoza# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Portsmouth Man Pleads Guilty to “Zombie” Drug OffenseRead the Press Release
NORFOLK, Va. – A Portsmouth man pleaded guilty today to possession with intent to distribute para-flourofentanyl mixed with Xylazine, a combination known as the Zombie drug, as well as being a felon in possession of a firearm.
According to court documents, Ali L. Scott, Jr., 32, was distributing controlled substances in Portsmouth. On November 10, 2022, Portsmouth Police and the Bureau of Alcohol, Tobacco, and Firearms executed arrest warrants on Scott while he was a passenger in a vehicle. The police discovered a firearm near him and a backpack with 23.76 grams of a mixture containing para-flurofentanyl and Xylazine. Xylazine, also known as “tranq,” “tranq dope” or “zombie drug,” is a horse tranquilizer used by the veterinary industry. Mixing it into fentanyl increases overdose deaths and severe medical complications — including terrible flesh wounds causing rotting of the skin and leading to amputation. Xylazine also makes it much harder to revive people after fentanyl overdoses, and the chemical adds another layer of intense addiction and cravings.
Scott is scheduled to be sentenced on December 1, 2023. He faces a maximum penalty of 35 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Craig Kailimai, Special Agent in Charge of the ATF’s Washington Field Division; Stephen Jenkins, Chief of Portsmouth Police; and Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division, made the announcement after sentencing by Senior U.S. District Judge John A. Gibney.
Assistant U.S. Attorney Kevin Comstock is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:23-cr-76.
Philadelphia Man Arrested for Distribution of Cocaine BaseRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Rockylane Lewis, aka “Rizzo,” 33, of Philadelphia, Pennsylvania, has been charged with the distribution of cocaine base. Lewis was arrested Wednesday afternoon in Rutland, Vermont. Lewis appeared today for his initial appearance before United States Magistrate Judge Kevin J. Doyle and was ordered detained pending trial.
According to court records, law enforcement has been investigating Lewis’ drug trafficking activities in Rutland County since December 2022. In late March of 2023, law enforcement conducted a controlled purchase of cocaine base from Lewis. On June 21, 2023, law enforcement executed a search warrant in Rutland, during which Lewis was encountered and arrested. During the search of the apartment in which Lewis was located, law enforcement seized a black 9mm Ruger SR9c handgun, over 55 grams of bulk fentanyl, and a gram of cocaine base.
The United States Attorney’s Office emphasizes that a criminal complaint contains allegations only and that Lewis remains presumed innocent until and unless he is convicted of a crime. Lewis faces a maximum sentence of 20 years of imprisonment if convicted. The actual sentence would be determined with reference to the Federal Sentencing Guidelines.
United States Attorney Nikolas P. Kerest commended the investigatory efforts of Homeland Security Investigations and the Rutland City Police Department. He also thanked the Vermont State Police Narcotics Investigation Unit, the Ludlow Police Department, the Windsor County Sheriff’s Office, the Rutland Office of Vermont Probation and Parole, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives for their vital assistance.
HSI New England Special Agent in Charge Michael Krol stated, “We at Homeland Security Investigations prioritize public safety above all else and work closely with our federal, state and local partners to achieve that goal. This investigation demonstrates that law enforcement is best able to serve the community when we work together. HSI would particularly like to recognize the Rutland City Police Department for their efforts in this investigation.”
The prosecutors are Assistant United States Attorneys Jason Turner and Jonathan Ophardt. Lewis is represented by Jordana Levine, Esq.
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. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn .
Pennsylvania Man Pleads Guilty to Bank Robbery ConspiracyRead the Press Release
ALBANY, NEW YORK – Michael Brown, Jr., a/k/a “Russ,” a/k/a “Doc Grimson,” age 41, of Exton, Pennsylvania, pled guilty today to conspiring to commit bank robbery. United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
Brown admitted that between November 14 and November 27, 2022, he agreed to and planned to commit an armed bank robbery at a bank branch in Johnstown, New York, with two co-conspirators, Luke Kenna a/k/a “Lt.,” and Brian Tierney a/k/a “Wodanaz.” Kenna, as part of that conspiracy, conducted surveillance of the bank and purchased items, including weapons, to commit the robbery, and Brown drove to New York to conduct surveillance of the bank with Kenna in November.
The charges remain pending against Kenna and Tierney, both of whom have been arrested and detained pending a trial currently scheduled for August 7, 2023. The charges in their indictment are merely accusations. They are presumed innocent unless and until proven guilty.
Brown has been in custody since his arrest on December 14, 2022. Sentencing is scheduled for November 3, 2023, before Chief United States District Judge Brenda K. Sannes, when Brown faces a maximum term of 5 years in prison, a fine of up to $250,000, and a post-imprisonment term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case was investigated by the FBI Albany Field Office’s Joint Terrorism Task Force (JTTF), which includes FBI Special Agents, and federal, state, and local investigators, including from the New York State Police. The FBI’s Philadelphia Field Office, the FBI’s Richmond Field Office, and New York State Police Special Investigations Unit also provided assistance. Assistant U.S. Attorney Alexander Wentworth-Ping is prosecuting the case.
Oronogo Man Sentenced to 40 Years for Kidnapping Webb City WomanRead the Press Release
SPRINGFIELD, Mo. – A southwest Missouri man was sentenced in federal court today for kidnapping a Webb City, Mo., woman and threatening to kill her and her family unless she recanted her testimony in his state criminal case.
Jeffrey Marsh, 35, of Oronogo, Mo., was sentenced by U.S. Chief District Judge Beth Phillips to 40 years in federal prison without parole. Co-defendant Zaqouri Traves Archer, 34, of Joplin, Mo., was sentenced to eight in federal prison without parole.
On July 7, 2022, Marsh pleaded guilty to one count of conspiracy to commit kidnapping, one count of kidnapping, one count of being a felon in possession of a firearm, and one count of stalking. Archer pleaded guilty on July 21, 2021, to his role in the kidnapping conspiracy and to one count of being a felon in possession of a firearm.
Marsh and Archer admitted they kidnapped a victim identified in court documents as “N.J.” and transported her across states lines from Kansas to Missouri.
N.J. was staying at a friend’s residence in Crawford County, Kan., because she was trying to hide from Marsh, her ex-boyfriend. Marsh was angry with her because she had reported him as a suspect when her Ruger handgun was stolen. Officers with the Oronogo Police Department had executed a search warrant on Marsh’s residence on Jan. 26, 2020. They located N.J.’s stolen firearm in Marsh’s bedroom, as well as other firearms, and stolen property. Marsh was charged with receiving stolen property and unlawful possession of a firearm in the Jasper County Circuit Court.
On Feb. 2, 2020, N.J. watched the Super Bowl at her friend’s residence and then walked out to her car to go to work. When she opened the front passenger door and placed her purse on the seat, Marsh grabbed her and told her to get into the vehicle. She began screaming and fell to the ground in an attempt to get her firearm out of her purse. She felt the barrel of a firearm placed against the back of her head, and Marsh told her to stop screaming or he would shoot her in the head. In the meantime, Archer – who, like Marsh, was dressed in all black – arrived. Archer had a Taser with him. N.J. was forced into the front passenger seat, with Marsh in the driver’s seat and Archer in the back passenger seat. Archer placed duct tape over N.J.’s eyes and face.
At one point as they were driving around and making several stops, Marsh shoved the barrel of his Kimber .45-caliber pistol in N.J.’s mouth and pulled the trigger. The gun made a click, but did not fire. After the click, Marsh chambered a round and shot it outside the vehicle towards a body of water. During the kidnapping, Marsh struck N.J. in her left jaw and told her she was going to recant her statements to the police.
Archer eventually left, and Marsh took N.J. to her apartment in Webb City in his vehicle. Marsh continued to threaten, abuse, and assault N.J. Marsh held N.J. at gunpoint in her apartment and she was unable to leave that night. Marsh told N.J. to recant her earlier statement or her, her kids, and her whole family would die. Marsh told N.J. that she needed to make his weapon charges go away or her kids would die. N.J. later told investigators that she felt in fear of the death of, or serious bodily injury to herself,
In the morning hours of Feb. 3, 2020, Marsh took N.J. back to her vehicle so she could go to the Oronogo Police Department to recant her statement. Once at the Oronogo Police Department, N.J. tried to recant her statement, but then disclosed her kidnapping. Later that day, the Jasper County Sheriff’s Department located N.J.’s firearm and Marsh’s firearm taped to the bottom of a dresser with duct tape.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Marsh has two prior felony convictions for burglary, three prior felony convictions theft, and prior felony convictions for tampering with a motor vehicle, resisting arrest, and possession of a controlled substance.
This case was prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the FBI, the Jasper County, Mo., Sheriff’s Department, the Crawford County, Kan., Sheriff’s Office, and the Oronogo, Mo., Police Department.
Northern Nevada Resident Convicted of Murdering Pregnant Indigenous Woman on ReservationRead the Press Release
RENO, Nev. — A jury convicted a Northern Nevada man yesterday for murdering a pregnant indigenous woman on the Pyramid Lake Indian Reservation in December 2020.
According to court documents and evidence presented at trial, Michael Burciaga (36) stabbed his pregnant girlfriend, a registered member of the Pyramid Lake Paiute Tribe, multiple times, causing her death and the death of their unborn child. Shortly after midnight on December 15, 2020, Pyramid Lake Police Department officers responded to an emergency call from the victim’s 15-year old daughter at the victim’s home located on the Pyramid Lake reservation in Nixon, located in Washoe County.
Burciaga was convicted of Murder in the First Degree within Indian Country, a violation of the Protection of Unborn Children Act, and Domestic Assault by a Habitual Offender Within Indian Country. He is scheduled to be sentenced by Chief United States District Judge Miranda M. Du on September 25, 2023, and he faces a statutory minimum sentence of life imprisonment. The sentencing will be determined by the Court based on the advisory Sentencing Guidelines and other statutory factors.
United States Attorney Jason M. Frierson for the District of Nevada and Special Agent in Charge Spencer L. Evans for the FBI made the announcement.
The FBI and Pyramid Lake Police Department investigated the case. Assistant United States Attorneys Penelope Brady, Megan Rachow, and Richard Casper are prosecuting the case.
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North Carolina CFO Sentenced to 18 Months in Prison in Multi-Million Tax Fraud CaseRead the Press Release
WILMINGTON, N.C. – Christopher Scott Harrison, 56, of Fayetteville, N.C., was sentenced today to 18 months in prison, followed by one year of supervised release to include home confinement, for tax fraud. On January 24, Harrison pled guilty willfully filing a false tax return with respect to nearly $25 million in unreported income he paid to himself from his company. In addition to his prison sentence, Harrison was ordered to pay more than $4.6 million in additional restitution.
“As noted by the judge at sentencing, this businessman used a sophisticated scheme over many years to knowingly divert corporate proceeds to support his lifestyle by claiming fancy jewelry, such as a Rolex watch, a Cartier diamond necklace and a Tiffany bracelet were business expenses,” said U.S. Attorney Michael Easley. “We will not allow wealthy tax cheats to line their pockets at the expense of hardworking American taxpayers.”
According to the criminal information and evidence summarized in Court, Harrison became the CFO and majority owner of an insurance and Human Resources benefits business, Ebenconcepts. Beginning at least as early as 2012, Harrison began to lavishly spend company funds for his own benefit, for example purchasing a watch for approximately $145,000 and spending approximately $300,000 of company funds for a swimming pool at his residence. As these expenditures came to light, Harrison filed for Chapter 11 bankruptcy. During the bankruptcy proceedings, an accounting firm retained by the Bankruptcy Trustee discovered almost $25 million in personal expenditures attributable to Harrison reported as business expenses between tax years 2012 and 2018. Harrison filed false personal returns over that period, which failed to report the income, leading to almost $6 million in uncollected federal income taxes.
“The license to run a business is not a license to avoid paying taxes,” said Internal Revenue Service Criminal Investigation Assistant Special Agent in Charge Brian Thomas, of Charlotte’s Field Office. “Harrison’s misconduct - hiding income and having his business pay his purely personal expenses - cheated all Americans, since we all pay our fair share for the government services and protections that we enjoy.”
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. Internal Revenue Service (IRS) Criminal Investigation led the investigation, and Assistant U.S. Attorney David G. Beraka prosecuted the case.
A copy of this press release is located on our website. 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 by searching for Case No. 5:22-cr-00309-M.
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Nigerian National Sentenced to 82 Months in Prison for International Scheme That Defrauded Elderly U.S. VictimsRead the Press Release
A Nigerian national, who was previously extradited to the United States from the United Kingdom, was sentenced to 82 months in prison on June 21, 2023 for his role in a transnational inheritance fraud scheme.
According to court documents, Emmanuel Samuel, 39, was part of a group of fraudsters that sent personalized letters to elderly victims in the United States, falsely claiming that the sender was a representative of a bank in Spain and that the recipient was entitled to receive a multimillion-dollar inheritance left for the recipient by a family member who had died years before in Portugal. Victims were told that before they could receive their purported inheritance, they were required to send money for delivery fees, taxes, and payments to avoid questioning from government authorities. Victims sent money to the defendants through a complex web of U.S.-based former victims. The defendants convinced these former victims to receive money from new victims and then forward the fraud proceeds to others.
“The Department of Justice’s Consumer Protection Branch will continue to pursue, prosecute, and bring to justice transnational criminals responsible for defrauding U.S. consumers, wherever they are located,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Working together, U.S. and foreign law enforcement can and will thwart schemes such as the one charged in this case and prevent further loss to American victims.”
“The U.S. Postal Inspection Service (USPIS) has a long tradition of protecting American citizens from these types of schemes and bringing those responsible to justice,” said Postal Inspector in Charge Juan A. Vargas of the USPIS Miami Division. “This result is a testament to the dedicated partnership between the Department of Justice’s Consumer Protection Branch, Homeland Security Investigations (HSI), and the USPIS, to protect our citizens from these scams.”
“In my law enforcement career, I’ve investigated and arrested countless criminals involved in abhorrent activity but nothing measures to supporting HSI agents as they dismantle organizations in foreign countries whose sole purpose is targeting unsuspecting elderly victims to steal their money,” said Special Agent in Charge Scott Brown of HSI Arizona. “I thank every agent that worked tirelessly to ensure these criminals are brought to justice for their actions – families are forever impacted all because of these felons' actions as they targeted the elderly causing pain and financial ruin.”
U.S. District Judge Kathleen M. Williams sentenced Samuel on June 21, 2023 in Miami. She also ordered Samuel to make restitution payments to victims of his offenses.
Two additional co-defendants, Jonathan Abraham and Jerry Ozor, previously were convicted in the case. They are scheduled to be sentenced by Judge Williams in the coming months.
The Consumer Protection Branch, USPIS, and HSI are investigating the case.
Senior Trial Attorney Phil Toomajian and Trial Attorneys Josh Rothman and Brianna Gardner of the Justice Department’s Consumer Protection Branch are prosecuting the case. The Justice Department’s Office of International Affairs, the U.S. Attorney’s Office for the Southern District of Florida, Europol, and authorities from the United Kingdom, Spain, and Portugal all provided critical assistance.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish, and other languages are available.
More information about the Department’s efforts to help American seniors is available at its Elder Justice Initiative webpage. For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at www.justice.gov/civil/consumer-protection-branch. Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. The Department of Justice provides a variety of resources relating to elder fraud victimization through its Office for Victims of Crime, which can be reached at https://www.ovc.gov.
Nashua Man Pleads Guilty to Transporting Stolen Apple Products Worth $2 MillionRead the Press Release
CONCORD – A Nashua man pleaded guilty in federal court to transporting stolen property, U.S. Attorney Jane E. Young announces.
Guangwei “William” Wu, 30, pleaded guilty to the interstate transportation of stolen property. U.S. District Court Judge Samantha D. Elliott scheduled sentencing for October 4, 2023. Wu was charged on June 1, 2023.
The defendant owned and operated a transshipping company in Manchester called Hai Xing Qiao. In fall 2022, the victim company purchased Apple products, including iPads, iPhones, Apple Watches, and Macbooks, and then hired Hai Xing Qiao to forward the products onto Hong Kong. However, Yongfu Huo, another Hong Kong-based company, paid a bribe of over $700,000 to the defendant to have the products shipped to Yongfu Huo instead. To cover up his tracks, the defendant claimed that law enforcement had seized the Apple products and sent the victim company a false document titled “Disclaimer of Ownership” purportedly issued by the U.S. Postal Inspection Service. The defendant also forged the signature of a federal agent on the document.
The charging statute provides a sentence of no greater than 10 years in prison, 3 years of supervised release, a fine of $250,000 and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. As part of the plea agreement, the defendant is repaying $2 million in restitution to the victim.
The Federal Bureau of Investigation and U.S. Postal Inspection Service led the investigation. Assistant U.S. Attorney Alexander S. Chen is prosecuting the case.
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Myrtle Beach Woman Sentenced to Federal Prison for Tax Fraud and Theft of Veterans Affairs BenefitsRead the Press Release
FLORENCE, SOUTH CAROLINA — Janice A. Livingston, 30, of Myrtle Beach, was sentenced to nearly 2 years in federal prison after pleading guilty to making and presenting a false claim to the IRS and theft of government property.
Evidence presented to the Court showed that in 2020, Livingston submitted three false claims to the IRS for tax credit entitlements in the amount of $1,126,553.68 and submitted false documentation to receive individual unemployability benefits from the Department of Veterans Affairs. Livingston also made multiple false representations in applying for two Economic Injury Disaster Loans, which the Small Business Administration could provide to business owners negatively affected by the COVID-19 pandemic.
United States District Judge Joseph Dawson, III sentenced Livingston to 20 months in prison, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system. Livingston was ordered to pay $183,406.01 in restitution.
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.
This case was investigated by the IRS and the Department of Veterans Affairs. Assistant U.S. Attorney Lauren Hummel is prosecuting the case.
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Mobile Health Application Developer Ordered to Modify Business Practices to Protect the Privacy of Consumers’ Personal Information and to Pay $100,000 in Civil PenaltiesRead the Press Release
The Department of Justice, together with the Federal Trade Commission (FTC), today announced that the government has obtained substantial injunctive relief protecting consumer privacy against Easy Healthcare Corporation (Easy Healthcare), an Illinois corporation located in Burr Ridge, Illinois, pursuant to a stipulated order entered by a federal court today. The department also will collect $100,000 in civil penalties from the defendants, an amount based upon the defendant’s ability to pay.
In a complaint filed in the U.S. District Court for the Northern District of Illinois, the United States alleged that Easy Healthcare violated Section 5 of the FTC Act, 15 U.S.C. § 45, and the Health Breach Notification Rule (HBNR), 16 C.F.R. § 318, in connection with its ovulation and period tracking mobile application. The complaint alleges that Easy Healthcare engaged in deceptive and unfair acts by: (1) sharing persistent identifiers of consumers (unique markers that allow the identification of consumers’ online activity or mobile devices) without user notice or consent and sharing sensitive personal health information with certain third-party companies in violation of its privacy promises; (2) failing to disclose to users how those third-parties could use such personal information, including for third-party advertising; and (3) failing to take reasonable measures to assess and address the privacy and data security risks created by incorporating third-party software into its application. The complaint also alleges that Easy Healthcare violated the HBNR through its ongoing failure to notify its users, the FTC, and the media of the unauthorized disclosures of user information.
The order entered by the court today requires Easy Healthcare to implement a comprehensive privacy and data security program with safeguards to protect consumer data. The order also requires Easy Healthcare to hire an independent third-party to regularly assess its compliance with the privacy program for a period of 20 years. Easy Healthcare also is enjoined from sharing health information with third-parties for advertising purposes, from sharing health information with third-parties for other purposes without obtaining users’ affirmative express consent, and from making misrepresentations about Easy Healthcare’s privacy practices. In addition, Easy Healthcare is required to comply with the HBNR’s notification provisions in any future breach of Security.
“The Department of Justice will not hesitate to pursue and hold accountable companies that fail to protect consumers’ privacy by sharing consumers’ private medical and other personal information and failing to notify consumers when such information has been made available to third-parties,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to protecting the public from companies that do not safeguard the privacy of consumers’ medical and other personal data as required by law.”
“Premom broke its promises and compromised consumers’ privacy,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “We will vigorously enforce the Health Breach Notification Rule to defend consumer's health data from exploitation. Companies collecting this information should be aware that the FTC will not tolerate health privacy abuses.”
This matter is being handled by Rachel Baron and Claude Scott of the Civil Division’s Consumer Protection Branch and David Walko and Ronnie Solomon of the FTC.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at www.justice.gov/civil/consumer-protection-branch. For more information about the FTC, visit its website at www.FTC.gov.
Maryland Man Pleads Guilty to Evading Payment of at Least $2.8 Million in Taxes Owed to the United StatesRead the Press Release
Baltimore, Maryland – John H. Worthington, age 60, of Owings Mills, Maryland, pleaded guilty yesterday to federal charges for willful failure to account for and pay over employment taxes and for filing a false personal tax return. Worthington admitted that he evaded payment on taxes due and owing to the United States of at least $2,813,348.94.
The guilty plea was announced by Erek L. Barron, United States Attorney for the District of Maryland; Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division; and Acting Special Agent in Charge Kareem A. Carter of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
According to court documents and statements made in court, Worthington owned and operated The Grill at Harryman House restaurant since 1995. As part of managing the restaurant, Worthington issued Forms W-2 to his employees and withheld federal income taxes and Social Security and Medicare (“FICA”) taxes from their wages. Worthington admitted that from 2010 through 2021, he did not file with the IRS the required Employer’s Quarterly Federal Tax Returns (Forms 941) reporting these employment taxes and did not pay the withholdings over to the IRS. As detailed in his plea agreement, instead of meeting his tax obligations, Worthington used funds from his business to pay other creditors and for a variety of personal expenses, including golf club membership dues, season tickets to the Baltimore Orioles, international vacations, and salaries for himself and his wife. In total, Worthington did not report or pay approximately $2,813,348.94 in employment taxes due and owing to the IRS.
Additionally, Worthington filed a joint 2016 personal tax return (Form 1040) that falsely claimed $24,207 in federal income tax withholdings from his own wages from the restaurant, which he knew had not been paid to the IRS. This resulted in a $9,096 refund to which he was not entitled. Had Worthington accurately reported $0 in withholdings for that year, he would have owed $15,111.
According to his plea agreement, Worthington also failed to timely file his personal income taxes for tax years 2017 through 2021, despite having received wages and compensation from the restaurant. Worthington also failed to timely file corporate tax returns for tax years 2016 through 2021, even though the corporation was active and generated gross receipts or sales of more than $15 million during that time frame.
Worthington faces a maximum penalty of five years in prison for willfully failing to account for and pay over the employment taxes and three years in prison for filing a false tax return. He also faces a period of supervised release, monetary penalties, and restitution. U.S. District Judge Julie R. Rubin has scheduled sentencing for September 13, 2023, at 2:00 p.m.
U.S. Attorney Erek L. Barron and Acting Deputy Assistant Attorney General Stuart M. Goldberg commended the IRS-CI for its work in the investigation and thanked Assistant U.S. Attorney Sean R. Delaney and Assistant Chief Jorge Almonte and Trial Attorney Matthew L. Cofer of the Justice Department’s Tax Division, who are 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 and https://www.justice.gov/usao-md/community-outreach.
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Leader of Drug Trafficking Gang 65 INC. Found GuiltyRead the Press Release
SAN JUAN, Puerto Rico – A federal jury convicted Joseph E. Pérez-González, a/k/a “Peca/Stripper” for conspiracy to possess with intent to distribute, possession with intent to distribute controlled substances, and firearms violations. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Puerto Rico Police Bureau (PRPB), San Juan and Carolina Strike Forces, and the United States Marshals Service investigated the case.
According to court documents and evidence presented at trial, Joseph E. Pérez-González, a/k/a “Peca/Stripper” was the leader of a drug trafficking organization called 65 Inc. which distributed cocaine base (commonly known as “crack”), heroin, cocaine, marihuana, Oxycodone (Percocet), and Alprazolam (Xanax) in the Jardines del Paraíso, Jardines de Monte Hatillo, Las Dalias, Monte Park, Jardines de Campo Rico, San Martín, Jardines de Country Club, Ernesto Ramos Antonini, La Esmeralda, and Nuestra Señora de Covadonga Public Housing Projects, Los Claveles Condominium, and Buen Consejo Ward between the years 2015 to 2021.
65 Inc. used violence (including murders) and intimidation to maintain control of the Public Housing Projects to control the drug trafficking in those areas. 65 Inc. distributed hundreds of kilograms of crack, cocaine, marihuana and heroin during the course of the conspiracy.
Of the 55 co-defendants, 8 remain fugitives, 2 were arrested in May 2023, and the rest pleaded guilty.
U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico; and Christopher Robinson, Special Agent in Charge for ATF Miami Field Division made the announcement.
Assistant U.S. Attorneys Pedro Casablanca and Joseph Russell prosecuted the case.
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Lawrence Man Sentenced to More Than 12 Years in Prison for Fentanyl TraffickingRead the Press Release
BOSTON – A Lawrence man has been sentenced in federal court in Boston for fentanyl trafficking.
Manuel Santana Vizcaino, a/k/a “Dave,” 38, was sentenced on June 21, 2023 by U.S. Senior District Court Judge Mark L. Wolf to 151 months in prison and four years of supervised release. On Feb. 11, 2023, Santana Vizcaino was convicted by a federal jury of distribution and possession with intent to distribute 40 grams or more of fentanyl.
In September 2020, Manuel Santana Vizcaino arranged for the distribution of more than a half kilogram of fentanyl to an individual. Specifically, on Sept. 3, 2020, Manuel Santana Vizcaino provided the individual with approximately 270 grams of fentanyl concealed inside a guava juice box at his apartment in Lawrence. Later, on Sept. 14, 2020, while outside the United States in the Dominican Republic, Manuel Santana Vizcaino arranged for his brother, Santo Santana Vizcaino, to sell the individual another 250 grams of fentanyl. Manuel Santana Vizcaino was arrested in December 2020 at Logan Airport upon returning from the Dominican Republic. Following a search of Manuel Santana Vizcaino’s apartment, an additional two kilograms of fentanyl was seized.
In May 2022, Santo Santana Vizcaino was sentenced to 30 months in prison and three years of supervised release after previously pleading guilty to the same charges in January 2022.
Acting United States Attorney Joshua S. Levy and Christopher DiMenna, Acting Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Valuable assistance was provided by the Drug Enforcement Administration; Customs and Border Protection; Homeland Security Investigations in New England; Massachusetts State Police; and the Essex County Sheriff’s Department. Assistant U.S. Attorneys Philip C. Cheng and Lucy Sun of Levy’s Organized Crime & Gang Unit prosecuted the case.
Knocking on Doors Helps Build Safer CommunitiesRead the Press Release
MIAMI – Personnel from the Law Enforcement Coordination and Community Outreach Section (LEC/COS) of the U.S. Attorney’s Office for the Southern District of Florida recently joined numerous community partners for a Walking One Stop to assist residents of Miami’s Liberty City.
Walking One Stops originated in Miami-Dade County and partner community stakeholders with law enforcement to bring social and economic resources to neighborhoods that have experienced gun or gang violence. This particular area in Liberty City already has seen at least one homicide this year. Law enforcement strives to have a more visible presence in these areas so residents will know that police are there to serve.
During this Walking One Stop, a large group of community partners and police officers broke into several groups to cover a large apartment complex. They knocked on doors and reached more than 30 families.
“Thank you for coming out,” said a 74-year-old resident. “I want my medical equipment fixed and I need my oxygen; that’s why I’m breathing like this.”
She was assured that someone would contact her within 48 hours.
“It’s about doing what we can to make a difference in peoples’ lives,” said Law Enforcement Coordination Specialist Mark McKinney, LEC/COS. “Some of our most vulnerable residents can go unnoticed and not get the help they need. But these walks lead to tangible results.”
Results like employment. At a previous Walking One Stop, many residents wanted help finding jobs. Walking One Stop partners were able to get nearly half of them employed. At this most recent one, a Mobile Career Assistance Center was parked down the block from the apartments to help job seekers.
It comes down to trust and building relationships. Community stakeholders hope that by frequently hosting these walks, residents will feel empowered to make their communities better.
An officer recounted a previous walk in which a young resident opened the door but didn’t want to be seen talking to police. However, he told officers he would reach out if they left a contact card.
“It’s a partnership between the community and law enforcement,” said Community Outreach Specialist and former police officer Corey Mackay, LEC/COS. “Being more approachable and having positive contact with the community builds trust and helps save lives.”
In addition to local partners, law enforcement personnel from both Philadelphia and the country of Denmark participated in the walk to learn how to implement Walking One Stops in their communities.
“We’re gathering information and getting inspired to learn techniques and methods to reduce gang violence throughout Denmark,” said a Danish police officer following his first walk.
Walking One Stops are a testament to the power of outreach. They are an example of what can happen when law enforcement, community stakeholders, and residents come together.
Law Enforcement Coordination Specialist Mark McKinney, Law Enforcement Coordination and Community Outreach Section of the U.S. Attorney’s Office for the Southern District of Florida, knocks on doors at a Liberty City apartment complex during a recent Walking One Stop.
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Justice Department Secures Agreement with San Juan, Puerto Rico, to Improve Public Sidewalk Accessibility for People with DisabilitiesRead the Press Release
The Justice Department today filed a proposed stipulated order that will require the Municipality of San Juan, Puerto Rico, to take critical steps towards making its public sidewalk system accessible to individuals with disabilities. The proposed order was filed jointly with the municipality and private plaintiffs and pauses the department’s lawsuit against the municipality while requiring it to conduct a comprehensive assessment of sidewalk accessibility and to begin fixing accessibility barriers. The lawsuit alleges that San Juan has violated the Americans with Disabilities Act (ADA) and Section 504 of the Rehabilitation Act (Section 504) by failing to provide people with disabilities equal access to the municipality’s sidewalks, curb ramps, crosswalks and other pedestrian facilities.
“City sidewalks must be accessible so that people with disabilities can equally participate in community life and enjoy the many benefits that come from being able to safely navigate city streets and sidewalks,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This stipulated order puts San Juan on the path to making its public sidewalks accessible and we will continue working with San Juan to ensure it follows that path to its conclusion and achieves full program access.”
“We are heartened by San Juan’s willingness to commit significant resources to start addressing the accessibility of its public sidewalk system,” said U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico. “The municipality’s investment and ongoing efforts will benefit all of its citizens and will help ensure that people with disabilities who live in or visit San Juan can enjoy all that the city has to offer.”
Under the proposed order, which requires court approval, San Juan will hire an outside accessibility consultant to conduct a comprehensive assessment of the municipality’s public sidewalk system to identify barriers to people with mobility disabilities. San Juan will also create a process for individuals to report barriers and to request installation or repair of curb ramps or sidewalks. The information gathered through the assessment and barrier reporting process will provide the basis for the parties to negotiate a final resolution of the lawsuit.
In addition, San Juan will provide training on the ADA Accessibility Standards to municipal employees who supervise construction, repair, or maintenance work related to the public sidewalk system. San Juan will retain independent licensed architects and engineers to verify that any construction or alterations related to the public sidewalk system comply with the ADA Accessibility Standards. Whenever the municipality repaves or resurfaces roads, it will provide compliant curb ramps at any intersection with a sidewalk. San Juan will also post its ADA Notice, ADA Grievance Procedure, and ADA Coordinator contact information in an accessible format on the municipality’s website.
This matter is being handled by the Civil Rights Division’s Disability Rights Section and the U.S. Attorney’s Office for the District of Puerto.
The Justice Department plays a central role in advancing the nation’s goal of equal opportunity, full participation, independent living, and economic self-sufficiency for people with disabilities. For more information on the Civil Rights Division, please visit www.justice.gov/crt. For more information on the ADA, please call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov. Members of the public may report possible civil rights violations at civilrights.justice.gov/report.
Proposed Stipulated OrderJustice Department Announces Charges Against China-Based Chemical Manufacturing Companies and Arrests of Executives in Fentanyl ManufacturingRead the Press Release
The Justice Department today announced the arrest of two individuals and the unsealing of three indictments in the Southern and Eastern Districts of New York charging China-based companies and their employees with crimes related to fentanyl production, distribution, and sales resulting from precursor chemicals. These indictments represent the first prosecutions to charge China-based chemical manufacturing companies and nationals of the People’s Republic of China (PRC) for trafficking fentanyl precursor chemicals into the United States. Specifically, the indictments allege the defendants knowingly manufactured, marketed, sold, and supplied precursor chemicals for fentanyl production in the United States in violation of federal law.
During these investigations, the Drug Enforcement Administration (DEA) seized more than 200 kilograms of fentanyl-related precursor chemicals, a quantity that could contain enough deadly doses to kill 25 million Americans.
Fentanyl is a highly addictive synthetic opioid that is 50 times more potent than heroin and 100 times more potent than morphine. Fentanyl and its analogues have devastated communities across the United States and are fueling the ongoing overdose epidemic, which the Centers for Disease Control and Prevention (CDC) recently estimated killed approximately 110,000 Americans in 2022. Fentanyl is now the leading cause of death for Americans ages 18 to 49. Fentanyl analogues, similar in chemical makeup and effect to fentanyl, can be even more potent and lethal than fentanyl.
“When I announced in April that the Justice Department had taken significant enforcement actions against the Sinaloa Cartel, I promised that the Justice Department would never forget the victims of the fentanyl epidemic,” said Attorney General Merrick B. Garland. “I also promised that we would never stop working to hold accountable those who bear responsibility for it. That includes not only going after the leaders of the Cartels, their drug and gun traffickers, their money launderers, security forces, and clandestine lab operators. It also includes stopping the Chinese chemical companies that are supplying the cartels with the building blocks they need to manufacture deadly fentanyl.”
“Today’s announcement is a down payment on our pledge to use every tool in the government’s arsenal, in every corner of the globe, to protect American communities,” said Deputy Attorney General Lisa O. Monaco. “The Justice Department will not rest or relent in investigating and prosecuting every link of the fentanyl supply chain, including the PRC companies and executives who produce and export vast quantities of the precursor chemicals the drug cartels need to peddle their poison. There can be no safe haven.”
“Today’s announcement is a considerable step forward in our unrelenting fight against fentanyl, targeting the threat where it starts,” said DEA Administrator Anne Milgram. “These companies and individuals are alleged to have knowingly supplied drug traffickers, in the United States and Mexico, with the ingredients and scientific know-how needed to make fentanyl – a drug that continues to devastate families and communities across the United States, killing Americans from all walks of life. Targeting entire criminal drug networks, from the source of supply to the last mile of distribution, is critical to saving American lives. DEA will not stop until this crisis ends.”
Southern District of New York
An indictment was unsealed in the Southern District of New York charging the China-based chemical company Hubei Amarvel Biotech Co. Ltd., aka AmarvelBio, (Amarvel Biotech), as well as its executives and employees Qingzhou Wang, 35, aka Bruce (Wang); Yiyi Chen, 31, aka Chiron (Chen); and Fnu Lnu, aka Er Yang and Anita (Yang), with fentanyl trafficking, precursor chemical importation, and money laundering offenses. Wang and Chen, both nationals of China, were expelled from Fiji on June 8, arrested by the DEA, and presented before U.S. Magistrate Judge Wes Reber Porter in Honolulu federal court on June 9. Wang and Chen were ordered detained in Honolulu and will appear in Manhattan federal court following their arrival in the Southern District of New York. Yang, also a national of China, is at large.
“The indictment unsealed today in the Southern District of New York is the next step in our fight against fentanyl,” said U.S. Attorney Damian Williams for the Southern District of New York. “Today, we target the very beginning of the fentanyl supply chain: the Chinese manufacturers of the raw chemicals used to make fentanyl and its analogues. We’ve charged a Chinese precursor chemical company. And that’s not all. We’ve charged and arrested some of the individuals who work at the company. That includes a corporate executive and a marketing manager. They’re in American handcuffs. And they’re going to face justice in an American courtroom.”
According to the allegations contained in the indictment and other court filings, Amarvel Biotech is a chemical manufacturer based in the city of Wuhan, in Hubei province, China, that has exported vast quantities of the precursor chemicals used to manufacture fentanyl and its analogues.
Amarvel Biotech has openly advertised online its shipment of fentanyl precursor chemicals to the United States and to Mexico, where drug cartels operate clandestine laboratories, synthesize finished fentanyl at scale, and distribute the deadly fentanyl into and throughout the United States. Through its website and a host of other storefront sites, Amarvel Biotech has targeted precursor chemical customers in Mexico, including by advertising fentanyl precursors as a “Mexico hot sale;” guaranteeing “100% stealth shipping” abroad; and posting to its websites documentation of Amarvel Biotech shipping chemicals to Culiacan, Mexico, the home city of the Sinaloa Cartel, one of the dominant drug trafficking organizations in the Western Hemisphere and which is largely responsible for the massive influx of fentanyl into the United States in recent years.
Amarvel Biotech has also endeavored to thwart law enforcement interdiction of its precursor chemical shipments. Amarvel Biotech has advertised, for example, the company’s ability to use deceptive packaging – such as packaging indicating the contents are dog food, nuts, or motor oil – to ensure “safe” delivery to the United States and Mexico.
Over the past eight months, during an undercover investigation by the DEA, Amarvel Biotech and its principal executive, Wang, its marketing manager, Chen, and its sales representative, Yang, shipped more than 200 kilograms from China to the United States of precursor chemicals used to make fentanyl and its analogues. Amarvel Biotech, Wang, Chen, and Yang shipped the precursors to the United States intending that the chemicals would be used to produce fentanyl and its analogues in New York, and they agreed to continue supplying multi-ton shipments of fentanyl precursors despite being told that Americans had died after consuming fentanyl made from the chemicals that the defendants had sold.
For example, on or about Nov. 17, 2022, a DEA confidential source (CS-1) wrote to Yang using an encrypted messaging application, “You know I making fentanyl,” and “Is not safe.” Yang replied, “I know.” On or about Dec. 1, 2022, Yang wrote to CS-1, promising that CS-1 would be “happy with our product” and noting that CS-1 would “be able to synthesize fentanyl.” In exchange for payment in cryptocurrency, Amarvel Biotech thereafter shipped from China to New York approximately 999.7 grams of the fentanyl precursor 1-boc-4-AP, approximately 1,002.6 grams of the fentanyl precursor 1-boc-4-piperidone, and approximately 893.6 grams of the methamphetamine precursor methylamine.
In or about March 2023, Wang and Chen met in person with an individual whom CS-1 represented was CS-1’s boss but was in fact another DEA confidential source (CS-2). During the meeting, Wang and Chen discussed Amarvel Biotech’s ability to supply ton-quantities of fentanyl precursors to New York for CS-1 and CS-2’s fentanyl manufacturing operation. After CS-2 stated that CS-2 wanted a different formula for manufacturing fentanyl and that several of CS-2’s American customers had purportedly died, Wang and Chen advised they had “a lot of customers in America and Mexico” who could provide technical assistance with fentanyl production.
After March 2023, Amarvel Biotech, Wang, Chen, and Yang agreed to sell CS-1 and CS-2 approximately 210 kilograms of fentanyl precursors in exchange for payment in cryptocurrency. During an April 10 video call with Wang and Chen, CS-2 stated that the approximately 210 kilograms of fentanyl precursors would be used to manufacture approximately 50 to 55 kilograms of fentanyl – an amount that, as noted above, could contain approximately 25 million deadly doses.
In or about May 2023, Amarvel Biotech, Wang, Chen, and Yang sent to the United States the shipment ordered by CS-1 and CS-2. On or about May 5, the DEA retrieved the precursor shipment from a warehouse near Los Angeles. Lab testing confirmed the presence of a precursor chemical for a fentanyl analogue. In an encrypted messaging group chat with CS-1, CS-2, Wang, and Chen, Yang explained that “New York, the United States, has been strict in checking the precursors of the ‘final product’ some time ago, so for the sake of safety, this time it is sent to California.”
In or about June 2023, Wang and Chen met again with CS-2. During the meeting, Wang and Chen discussed with CS-2 a multi-ton order of fentanyl precursor chemicals. Wang and Chen also discussed the need to take additional measures to protect themselves from detection and interdiction of their shipments “because recently American government . . . seized some Mexican group and they followed the routes to China,” where the U.S. Government found “our competitor in China” – an apparent reference to fentanyl-related charges filed in the Southern District of New York and announced in April 2023 against, among others, leadership of the Sinaloa Cartel and certain China-based precursor chemical company executives.
DEA’s Special Operations Division Bilateral Investigations Unit investigated the case, with assistance from the DEA Bangkok Country Office, DEA Wellington Country Office, DEA Beijing Country Office, DEA Honolulu District Office, DEA New York Organized Crime Drug Enforcement Task Force (OCDETF), DEA Riverside District Office, DEA Special Testing Laboratory, the Justice Department’s Office of International Affairs, the Royal Thai Police Narcotics Suppression Bureau, the Fiji Police Force Narcotic Bureau, the Fiji Office of the Director of Public Prosecutions, and the U.S. Attorney’s Office for the District of Hawaii.
The Southern District of New York’s Office’s National Security and International Narcotics Unit is prosecuting the case.
Eastern District of New York
Two indictments were unsealed in the Eastern District of New York that detail criminal conspiracies by companies and employees based in China to manufacture and distribute fentanyl in the United States.
The first indictment charges Anhui Rencheng Technology Co. (Rencheng) Ltd.; Anhui Moker New Material Technology Co.; Shutong Wang; and Shifang Ruan, aka Eva, with conspiracy to manufacture and distribute fentanyl, manufacture of fentanyl, and other related offenses. In addition, the indictment charges those same defendants, as well as Xinyu Zhao, aka Sarah, and Yue Gao, aka Ellie, with illegally concealing their activities, including through customs fraud and introducing misbranded drugs into the U.S. marketplace. The indictment also charges Rencheng, Wang, and Ruan with conspiracy to distribute butonitazene, a controlled substance.
The second indictment charges Hefei GSK Trade Co. Ltd, aka Hebei Gesuke Trading Co. Ltd. and Hebei Sinaloa Trading Co. Ltd.; and Ruiqing Li with similar offenses, including conspiracy to manufacture and distribute fentanyl, manufacture of fentanyl, conspiracy to distribute a List I chemical, distribution of a List I chemical, customs fraud conspiracy, introducing misbranded drugs into interstate commerce, and distribution of metonitazene, a controlled substance.
“As alleged, the defendants knowingly distributed the chemical building blocks of fentanyl to the United States and Mexico, even providing advice on how they should be used to manufacture this dangerous drug which inflicts untold tragedy in New York City, Long Island, and across the nation,” said U.S Attorney Breon Peace for the Eastern District of New York. “This prosecution shows that the companies and individuals who fuel our nation’s deadly opioid epidemic – wherever they are located – will be found and prosecuted to the full extent of the law.”
As alleged in the indictments, the defendant companies supplied precursor chemicals to the United States and Mexico, among other places, knowing they would be used to manufacture fentanyl. The defendant companies openly advertised their products all over the world, including to the United States and Mexico, on social media platforms. They also sent their chemical products to the United States and Mexico by boat and by air, using public and private international mail and package carriers. To prevent detection and interception of chemical products at the borders, the defendant companies employed deceptive and fraudulent practices, such as mislabeling packages, falsifying customs forms, and making false declarations at border crossings. The chemicals distributed by the defendants included all the materials necessary to manufacture fentanyl via the most common pathways.
The defendant companies attempted to obfuscate their distribution of fentanyl precursors by adding “masking” molecules, which slightly alter the chemical signature of the underlying precursor chemicals. By changing the chemical signature, an altered substance could evade testing protocols and relevant regulations by appearing to be a new substance. Such masking molecules are easily removed, thus enabling the purchaser to return the substance to its original form as a fentanyl precursor. The defendant companies not only produced and distributed masked precursors, but also provided instructions about how to remove the masking molecules upon receipt, thus helping their customers to more effectively obtain banned precursors and produce fentanyl. The defendants also gave instructions on how to improve fentanyl yield and advice on which chemicals to buy to replace banned precursor products.
Mexican drug trafficking organizations, including but not limited to the Sinaloa Cartel and the Jalisco New Generation Cartel (CJNG), have increasingly availed themselves of the fentanyl precursors and masked fentanyl precursors developed and distributed by the defendant companies and companies like them. The chemicals provided by the defendant companies have enabled such cartels and other drug trafficking organizations to produce fentanyl in clandestine laboratories in Mexico on a massive scale, for subsequent distribution in the United States and elsewhere. The materials and instructions provided by the defendant companies and companies like them have directly caused and contributed to the influx of deadly fentanyl into the United States.
DEA New York, DEA Mexico, DEA Diversion Control Division, DEA Special Testing and Research Laboratory, U.S. Customs and Border Protection New York Field Office, IRS Criminal Investigation New York Division, and U.S. Postal Inspection Service New York investigated the case. The New York City Police Department, the New York State Police, and the Justice Department’s Office of International Affairs provided assistance on the case.
The Eastern District of New York’s Office’s International Narcotics and Money Laundering Section is prosecuting the case.
This effort is part of an OCDETF operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
SDNY Indictment EDNY Indictment 2 EDNY Indictment 1Jury Convicts California Man for Assaulting Child on AircraftRead the Press Release
Orlando, Florida –United States Attorney Roger B. Handberg announces that a federal jury today found Brian Patrick Durning (52, Altadena, CA) guilty of assault of a minor on an aircraft and two counts of simple assault. Durning faces a maximum penalty of five years in federal prison on the first offense, and up to two years in prison on the second offense. His sentencing hearing is scheduled for September 26, 2023. Durning had been indicted on July 6, 2022.
According to testimony and evidence presented at trial, Durning boarded a redeye flight from Los Angeles to Orlando and was seated next to a 13-year-old girl. The child had been separated from the rest of her family, who were seated two rows away from her. After the cabin lights were dimmed and most of the passengers fell asleep, Durning assaulted the child. A nearby passenger awoke and observed one of Durning’s hands between the child’s legs and intervened.
This case was investigated by the Federal Bureau of Investigation, the Federal Air Marshals, and the Orlando Police Department. It is being prosecuted by Assistant United States Attorney Michael P. Felicetta and Courtney Richardson-Jones.
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.projectsafechildhood.gov.
Iowa City Man Sentenced to Nine Years in Prison for Unlawful Possession of a FirearmRead the Press Release
DAVENPORT, IA – A Iowa City man was sentenced today to nine years in federal prison for being a prohibited person in possession of a firearm.
According to court documents, and evidence presented at sentencing, Michael Haythorn, 32, fled from law enforcement after they were called to respond to a domestic disturbance between Haythorn and his significant other. Law enforcement chased Haythorn on foot until he jumped a fenced and officers lost sight of him. Approximately 20 feet away from the location that Haythorn jumped the fence, officers located a firearm. The firearm had Haythorn’s DNA on it. Haythorn knew he was a felon and was prohibited from possessing firearms.
After completing his term of imprisonment, Haythorn will be required to serve three years of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Iowa City Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives.
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. In May 2021, the Department of Justice 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.
Inland Empire Skilled Nursing Facility and Management Company Agree to Pay $3.8M to Settle Allegations of Kickbacks to DoctorsRead the Press Release
LOS ANGELES – A skilled nursing facility in Riverside and its management company have agreed to pay the United States and California a total of $3.825 million to resolve allegations related to kickbacks allegedly given to physicians to induce patient referrals, United States Attorney Martin Estrada announced today.
Alta Vista Healthcare & Wellness Centre, LLC and its management company, Rockport Healthcare Services, settled a “whistleblower” case that alleged they submitted and caused the submission of false claims to Medicare and Medicaid by paying kickbacks to physicians. The $3.85 million settlement amount was negotiated based on Alta Vista’s and Rockport’s lack of ability to pay.
The lawsuit in this matter was unsealed on June 16.
The Anti‑Kickback Statute prohibits offering or paying remuneration to induce the referral of items or services covered by Medicare, Medicaid and other federally funded programs. It is intended to ensure that medical decision-making is not compromised by improper financial incentives and is instead based on the best interests of the patient.
From 2009 through 2019, Alta Vista, under the direction and control of Rockport, gave certain physicians extravagant gifts, including expensive dinners for the physicians and their spouses, golf trips, limousine rides, massages, e-reader tablets and gift cards worth up to $1,000. Separately, Alta Vista paid these physicians monthly stipends of $2,500 to $4,000, purportedly for their services as medical directors. At least one purpose of these gifts and payments was to induce these physicians to refer patients to Alta Vista.
“The administrators and beneficiaries of the Medicare and Medicaid programs expect that providers will make decisions based on sound medical judgment, not their personal self-interest,” said United States Attorney Martin Estrada. “As this case demonstrates, our office will take decisive action to address allegations that medical providers are paying or receiving improper financial benefits that could impact care provided to patients.”
“Kickbacks can impair the independence of physician decision-making and waste taxpayer dollars,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to preventing illegal financial relationships that undermine the integrity of our public healthcare programs.”
“Decisions that affect patient health should be made solely on the basis of a patient’s best interest,” said California Attorney General Rob Bonta. “When a healthcare company cheats and offers kickbacks to gain an unfair advantage, it jeopardizes the health and wellbeing of those who rely on its services. These illegal schemes also make public services and programs costlier, and ultimately waste valuable taxpayer dollars. Today, I thank the U.S. Department of Justice for teaming up with the California Department of Justice on this case. This settlement demonstrates our commitment to protecting the integrity of Medi-Cal, and the taxpayer dollars that support the program."
“Kickbacks impose hidden costs on the health care system, compromise medical decision making, and taint the doctor-patient relationship,” said Special Agent in Charge Timothy B. DeFrancesca of the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG). “Working tirelessly with our law enforcement partners, HHS-OIG will continue to prevent the waste of valuable taxpayer dollars and protect the integrity of federal health care programs.”
The defendants’ conduct allegedly resulted in false claims to Medicare and California’s Medicaid programs, the latter of which is jointly funded by the federal government and California. Under the settlement, they will pay $3,228,300 to the United States and $596,700 to California.
The settlement announced today stems from a whistleblower complaint filed in 2015 by former Alta Vista accounting employee Neyirys Orozco pursuant to the qui tam provisions of the False Claims Act, which permit private persons to bring a lawsuit on behalf of the government and to share in the proceeds of the suit. Orozco will receive $581,094 as her share of the federal government’s recovery in this case.
In addition to resolving their False Claims Act liability, Alta Vista and Rockport have entered into a five-year Corporate Integrity Agreement with HHS-OIG which requires, among other compliance obligations, an Independent Review Organization’s review of Alta Vista’s and Rockport’s physician relationships.
The United States’ settlement in this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to HHS-OIG, at 800‑HHS‑TIPS (800-447-8477).
This matter was handled by Assistant United States Attorney Ross Cuff of the Civil Fraud Section; the Commercial Litigation Branch, Fraud Section, of the Justice Department’s Civil Division; and the California Department of Justice. HHS-OIG provided investigative support.
The case is captioned United States of America ex rel. Neyiris Orozco v. Shlomo Rechnitz, et al., CV15-6177.
The claims resolved by this settlement are allegations only and there has been no determination of liability.
Indictment Accuses St. Louis Jail Employee of Assaulting Handcuffed DetaineeRead the Press Release
ST. LOUIS – A corrections officer at the St. Louis Justice Center has been indicted on a civil rights charge and accused of assaulting a handcuffed detainee in March.
Direll Alexander, 45, was indicted by a federal grand jury Wednesday on one felony count of deprivation of rights under color of law. The indictment says Alexander violated the detainee’s Constitutional right to be free from unreasonable force. It says that on March 6, 2023, Alexander assaulted and injured the detainee while he was restrained in handcuffs and while he did not pose any threat to Alexander.
“Jail employees are required by the Constitution to protect the rights of people in their custody and are barred from using excessive force on detainees,” said U.S. Attorney Sayler A. Fleming. “We take allegations of civil rights violations very seriously.”
Special Agent in Charge Jay Greenberg of the FBI St. Louis Division said, “The FBI prioritizes investigations of civil rights violations, which include the use of excessive force by sworn law enforcement officers.”
Alexander made his first appearance in court Friday, pleading not guilty to the charge.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The charge is punishable by up to 10 years in prison and a $250,000 fine, or both.
The FBI investigated the case. Assistant U.S. Attorney Christine Krug is prosecuting the case.
Indianapolis Woman Pleads Guilty to Illegally Purchasing Firearm Used to Shoot and Kill Champaign Police OfficerRead the Press Release
PEORIA, Ill. – An Indianapolis woman, Ashantae S. Corruthers, 29, of the 5700 block of Port Hope Drive, pleaded guilty on June 22, 2023 to conspiracy to illegally purchase and transfer a firearm and conspiracy to engage in misleading conduct. Sentencing for Corruthers has been scheduled on November 6, 2023, at the U.S. Courthouse in Urbana, Illinois.
In court before U.S. Magistrate Judge Jonathan E. Hawley, Corruthers admitted that she conspired with co-defendant Regina Lewis and Darion M. Lafayette, now deceased, to purchase and transfer a firearm to Lafayette, who could not legally purchase a firearm himself because he was a convicted felon. Such a transaction is commonly known as a “straw purchase.” During the hearing, the government stated that, on November 17, 2020, at the direction of Lafayette and Lewis, Corruthers purchased a Glock 48, nine-millimeter, semi-automatic pistol and Sellier & Bellot, nine-millimeter ammunition, from a federal firearms licensee (FFL) in Indianapolis. During the purchase, Corruthers falsely certified on an ATF form that she was the actual buyer of the firearm, when in fact, she purchased the firearm for Lafayette and gave it to Lewis to transfer to him.
Corruthers further admitted that she conspired with Lewis and Lafayette to cover up the discovery of their illegal purchase and transfer of the firearm by falsely reporting to the Indianapolis Metropolitan Police Department on April 26, 2021, that the Glock pistol was stolen from her around March of 2021. The government stated that, approximately twenty-three days after Corruthers falsely reported the firearm stolen, Lafayette used the firearm to shoot and kill Champaign Police Officer Christopher Oberheim in Champaign, Illinois. Corruthers admitted that she and Corruthers continued the cover-up after Officer Oberheim’s death by agreeing to falsely tell an ATF Special Agent investigating the officer-involved shooting that she purchased the gun for herself, that it was stolen from her in March of 2021, and that she did not know Lafayette.
Corruthers remains released on conditions of bond pending sentencing. Lewis remains in the custody of the U.S. Marshals Service pending her sentencing, which previously was scheduled for October 2, 2023, at the U.S. Courthouse in Urbana, Illinois
Both Corruthers and Lewis face statutory penalties of up to five years in prison for conspiracy to illegally purchase and transfer a firearm and up to twenty years in prison for conspiracy to engage in misleading conduct. Each charge also carries a penalty of up to three years of supervised release and up to a $250,000 fine.
The case investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Supervisory Assistant U.S. Attorney Eugene L. Miller is currently representing the government in the prosecution.
The case against Corruthers 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.
Four People Charged in Stolen Identity Fraud and Money Laundering Scheme Targeting Banks and COVID-19 Pandemic Relief FundsRead the Press Release
MIAMI – A federal magistrate judge in Miami has unsealed an indictment charging Patrick Ductant, 35, of Pembroke Pines, Fla., Kervens Saint-Hilaire, 35, of Hollywood, Fla., and Vladimir Saint-Hilaire, 35, of Hollywood, Fla., with felony offenses, including conspiracy, bank and wire fraud, money laundering, and aggravated identity theft. Terri Shana Davis, 33, of Marietta, Ga., was also charged in the indictment with conspiracy and aggravated identity theft offenses.
According to the indictment, from October 2019 through May 2021, the defendants unlawfully obtained and used personally identifiable information (“PII”) of unknowing victims to apply for and receive bank loans, open bank accounts, acquire credit and debit cards, and conduct financial transactions. Additionally, the indictment alleges that the defendants unlawfully used PII to apply for and obtain COVID-19 pandemic relief funds made available by the Small Business Administration (SBA) through the Economic Injury Disaster Loan (EIDL) program and the Paycheck Protection Program (PPP). The indictment also alleges that Davis sold and supplied some of the PII used to carry out the crimes stated in the indictment, which Davis accessed through her employment at a company in Atlanta, Ga.
If convicted, Ductant faces up to 256 years in prison, Kervens Saint-Hilaire faces up to 260 years in prison, Vladimir Saint-Hilaire faces up to 216 years in prison, and Davis faces up to 34 years in prison. A federal district court judge will determine any sentence after considering U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Sheriff Gregory Tony of the Broward County Sheriff’s Office (BSO) made the announcement.
BSO investigated the case, with assistance from U.S. Secret Service (USSS), Miami Field Office. Assistant U.S. Attorney David Snider is prosecuting it. Assistant U.S. Attorney Daren Grove is handling asset forfeiture.
An indictment contains mere allegations, and all defendants are presumed innocent unless and until proven guilty in a court of law.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act authorized and provided funding to the SBA to provide Economic Injury Disaster Loans (“EIDLs”) to eligible small businesses, including sole proprietorships and independent contractors, experiencing substantial financial disruptions due to the COVID-19 pandemic to allow them to meet financial obligations and operating expenses that could otherwise have been met had the disaster not occurred. EIDL applications were submitted directly to the SBA via the SBA’s on-line application website, and the applications were processed and the loans funded for qualifying applicants directly by the SBA.
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.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. The Strike Force combines law enforcement and prosecutorial resources and focuses on large-scale, multistate pandemic relief fraud perpetrated by criminal organizations and transnational actors, as well as those who committed multiple instances of pandemic relief fraud. The Strike Force uses prosecutor-led and data analyst-driven teams to identify and bring to justice those who stole pandemic relief funds. For more information on the department’s response to the pandemic, please click here.
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.
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 23-cr-60119.
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Former U.S. Serviceman Sentenced to 27 Months in Prison for Illegally Exporting Night Vision Goggles, Other Military Items to RussiaRead the Press Release
LOS ANGELES – A former member of the United States military was sentenced today to 27 months in federal prison for conspiring to unlawfully export to Russia defense articles – including thermal imaging riflescopes and night vision goggles – without a license in violation of the Arms Export Control Act.
Igor Panchernikov, 41, a former Corona resident who once served in the United States Air Force Reserves, was sentenced by United States District Judge André Birotte Jr.
Panchernikov pleaded guilty on March 24 to one count of conspiracy to violate the Arms Export Control Act. He has been in federal custody since July 2022 after Israel extradited him to the United States.
From December 2016 to May 2018, Panchernikov conspired with other individuals to knowingly export from the United States to Russia defense articles without obtaining from the State Department a valid license or other approval for such exports.
Panchernikov’s accomplices purchased defense articles – including thermal riflescopes, weapons sights, monoculars and night vision googles – from various online sellers located in the United States and directed the sellers to mail those items to Panchernikov’s residence in Corona.
At his Corona residence, Panchernikov received at least 19 defense articles that his co-conspirators purchased from online sellers. After receiving these items, Panchernikov inspected the items to ensure that they were undamaged and operational. Pursuant to his co-conspirators’ instructions, Panchernikov then mailed two of the items to accomplices in Russia and mailed 17 defense articles to Elena Shifrin, 61, of Mundelein, Illinois, who then mailed these items to Russia.
To conceal his unlawful activities, when Panchernikov exported the two defense articles to Russia, he listed fictitious sender names on the packages containing the items. He also falsely identified the items in the packages as non-export-controlled items, such as clothing. Finally, he concealed the defense articles in other items, including a drill press.
Shifrin pleaded guilty in February 2022 to one count of conspiracy to violate the Arms Export Control Act. Her sentencing hearing is expected in the coming months.
Vladimir Pridacha, 58, of Volo, Illinois, has pleaded not guilty to criminal charges in this case and has an August 29 trial date scheduled.
Two other defendants charged in this case – Boris Polosin, of Russia, and Vladimir Gohman, of Israel – are fugitives.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The FBI’s Los Angeles and Chicago field offices investigated this matter, with substantial assistance from the United States Postal Inspection Service and Homeland Security Investigations.
Assistant United States Attorneys David T. Ryan, Chief of the Terrorism and Export Crimes Section, and Wilson Park of the General Crimes Section are prosecuting this case.
Former Jail Contractor Sentenced to More Than 17 Years for Distributing Child Sexual Abuse MaterialsRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Brandon Paul Smolinski (36, Middleburg) to 17 years and 6 months in federal prison for distribution of child sexual abuse materials. His prison term is to be followed by 10 years of supervised release. The court also ordered Smolinski to pay $33,500 in restitution to the victims of his offense. Smolinski had pleaded guilty on March 22, 2023.
According to court documents, the Putnam County Sheriff’s Office (PCSO) initiated an investigation after receiving information about five files of child sexual abuse material (CSAM) being sent over a social media application by a user. PCSO’s investigation revealed that the files were sent from within the Putnam County Jail and traced the social media account to that of Smolinski, who was working for a transportation company that does work inside of the Putnam County Jail. The company provided Smolinski’s work schedule and confirmed that he was working in the Putnam County Jail on the dates and times the files were shared from within the facility.
PCSO contacted the Clay County Sheriff’s Office (CCSO) to request assistance at Smolinski’s residence in Middleburg and CCSO discovered additional information that the internet service at Smolinski’s residence was also used to upload files of CSAM using the same social media application. Detectives from PCSO and CCSO approached Smolinski in the parking lot at the Putnam County Jail. During an interview with the detectives, Smolinski stated that he worked in the jail for approximately six months. He further said that he worked the nightshift, and even though no one was supposed to bring their phones into the jail tower, he brought his phone and used it to log onto the secure Wi-Fi at the Putnam County Jail.
Smolinski admitted to having the social media application used to distribute the files of CSAM. When shown particular files of CSAM distributed from his account, Smolinski acknowledged having seen the files and that they depicted children, estimating that one of the children being sexually abused in a video appeared “young, 10 years old.” Smolinski said he would save a video shared with him via chat groups on the app, and then would flip the videos around and re-send them out. When asked if he knew what he was doing was wrong, Smolinski replied, “Oh … yes, … 100% wrong.” Smolinski said he had been involved viewing and distributing CSAM for several years.
During a forensic review of Smolinski’s iPhone, law enforcement discovered multiple files of CSAM, including a file sent to Person A on June 27, 2022. Also, on Smolinski’s phone were several chat messages between Smolinski and Person A, during which they talked about exploiting children. Within the messages, Smolinski said his “favorite age” was “8-9-10-14. Somewhere in there, but I’m not picky.”
“This sexual predator knew he was ‘100 percent wrong’ when distributing child sexual abuse materials on the internet, and he did it anyway,” said Homeland Security Investigations (HSI) Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “The Northeast Florida INTERCEPT Task Force, to include Putnam County Sheriff’s Office and Clay County Sheriff’s Office, will continue to combine efforts, technology, and expertise to identify and prosecute those who prey on children.”
This case was investigated by the Putnam County Sheriff’s Office, the Clay County Sheriff’s Office, and Homeland Security Investigations (HSI), and the Northeast Florida INTERCEPT Task Force. It was prosecuted by Assistant United States Attorney Ashley Washington and former United States Attorney Kelly Karase.
It is another case 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.justice.gov/psc.
Florida Man Pleads Guilty to Role in Nationwide “Felony Lane Gang” ConspiracyRead the Press Release
ALBANY, NEW YORK – Cedric Lynch, age 38, of Orlando, Florida, pled guilty today to conspiracy to commit bank fraud and aggravated identity theft. United States Attorney Carla B. Freedman; Michael J. Driscoll, Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (FBI); and Putnam County Sheriff Kevin J. McConville made the announcement.
Lynch admitted that he was involved in a fraud scheme known as “Felony Lane Gang” between 2015 and 2020. Lynch and his co-conspirators traveled across the country breaking into cars, often targeting those parked by women at locations such as health and fitness centers, daycares, and parks. Lynch and other members of the conspiracy stole debit cards, credit cards, checkbooks, and photo identifications in these “smash-and-grab” vehicle thefts, and they used these stolen items to commit bank fraud by recruiting women to impersonate the smash-and-grab victims and cash checks in drive-through bank lanes. The recruited check cashers were almost always suffering from an addiction to drugs and were provided payment at least partially in narcotics. In February 2019, Lynch and co-defendant Randall Taylor used a victim’s stolen identity documents to open a bank account in the victim’s name in Chicago, which they subsequently used in furtherance of their criminal activities. Lynch admitted that the loss amount from the conspiracy that was foreseeable to him is between $40,000 and $95,000.
The charges to which Lynch pled guilty carry a minimum term of 2 years in prison and a maximum term of 30 years, a fine of up to $1.25 million, and a supervised release term of up to 5 years. Lynch will be sentenced on October 24, 2023, by United States District Judge Mae A. D’Agostino, who presides over the case. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
Lynch was one of nine men charged in a 13-count indictment for their roles in the scheme, and all nine men have now pled guilty and have either been sentenced or are awaiting sentencing:
- KEYSHAWN ARNOLD, age 25, of Schenectady, New York, pled guilty to conspiracy to commit bank fraud and aggravated identity theft, and is scheduled to be sentenced on August 4, 2023;
- GARY GRIER, age 37, of Fort Lauderdale, Florida, pled guilty to conspiracy to commit bank fraud and aggravated identity theft, and is scheduled to be sentenced on August 25, 2023;
- JOSHUA MALLORY, age 37, of Fort Lauderdale, pled guilty to conspiracy to commit bank fraud and aggravated identity theft, and is scheduled to be sentenced on August 25, 2023;
- ROBERT NATSON, age 36, of Fort Lauderdale, pled guilty to conspiracy to commit bank fraud and is scheduled to be sentenced on August 10, 2023;
- TERRELL McDONALD, age 32, of Troy, New York, pled guilty to conspiracy to commit bank fraud and aggravated identity theft, and was sentenced to 65 months in prison and ordered to pay restitution in the amount of $133,190;
- TYRONE PARKER, age 40, of Fort Lauderdale, pled guilty to conspiracy to commit bank fraud and aggravated identity theft, and was sentenced to 57 months in prison and ordered to pay restitution in the amount of $132,990;
- TYRONE PARKER Jr., age 22, of Fort Lauderdale, pled guilty to conspiracy to commit bank fraud and aggravated identity theft, and is scheduled to be sentenced on September 13, 2023; and
- RANDALL TAYLOR, age 37, of Fort Lauderdale, pled guilty to conspiracy to commit bank fraud and aggravated identity theft, and is scheduled to be sentenced on October 2, 2023.
This case was investigated by the FBI Westchester Resident Agency of the New York Field Office and the Putnam County Sheriff’s Department, with assistance from the FBI Field Offices in Albany, Miami, and Salt Lake City, and Resident Agencies in Savannah, Georgia, and Portland, Maine, and from the U.S. Attorney’s Office for the District of Maine, the Saratoga County District Attorney’s Office, and the Ulster County District Attorney’s Office.
Additional assistance was provided by numerous law enforcement agencies, including, within New York, the New York State Police; Columbia County Sheriff's Office; Genesee County Sheriff’s Office; Monroe County Sheriff’s Office; Saratoga County Sheriff’s Office; Warren County Sheriff’s Office; and the police departments of the Town of Bethlehem; Glens Falls; Gloversville; Greenburgh; Greece; and Watervliet; and elsewhere, Connecticut State Police; Florida Department of Law Enforcement; Georgia State Patrol; Illinois State Police; Massachusetts State Police; Broward County, FL Sheriff’s Office; Northern York County, PA Regional Police; Southern Chester County, PA Regional Police; Utah County, UT Sheriff's Office; and the police departments of Auburn, MA; Bath, ME; Biddeford, ME; Bozeman, MT; Brunswick, ME; Caernarvon Township, PA; Chester Township, PA; Cinnaminson, NJ; Darien, CT; East Norriton Township, PA; Easthampton, MA; Greenwich, CT; Lower Moreland Township, PA; Manheim Township, PA; Portland, ME; Portsmouth, NH; Saco, ME; Salisbury, MA; Sanford, ME; Scarborough, ME; Somersworth, NH; South Portland, ME; St. George, UT; Syracuse, UT; Tinicum, PA; Towamencin, PA; Tewksbury, MA; Wakefield, MA; Yarmouth, ME; and York, ME.
Assistant United States Attorneys Matthew J. McCrobie, Michael F. Perry, and Paul Tuck are prosecuting the case.
Five Defendants Indicted for Methamphetamine and Fentanyl Trafficking ConspiracyRead the Press Release
LAS VEGAS – A federal Grand Jury returned a 15-count indictment charging five Las Vegas residents in connection to a conspiracy to distribute methamphetamine and fentanyl.
Darrell Glen Harris (41); Lamar Deshawn Rosser, also known as Lamar Deshawn Sparks (43); Paulina Hernandez (32); and Alexandra Trineysha Henriques (27) made their initial court appearance on June 21, 2023, before United States Magistrate Judge Daniel J. Albregts. Joey Lamar McRoyal (43) was apprehended in Los Angeles, California, and is awaiting an initial appearance in Las Vegas. A jury trial has been scheduled for August 21, 2023, before United States District Judge Cristina D. Silva.
According to allegations contained in the indictment, from about August 2022 to about June 20, 2023, Harris, McRoyal, Rosser, Hernandez, and Henriques conspired together to distribute 50 grams or more of methamphetamine, and 40 grams or more of fentanyl — both drugs are Schedule II controlled substances.
During the course of the conspiracy, Harris supplied McRoyal and Rosser with methamphetamine, fentanyl, cocaine, and other controlled substances for distribution in Las Vegas. This investigation resulted in seizures of methamphetamine, fentanyl, cocaine, heroin, MDMA, xylazine (also known as tranq), other controlled substances, and firearms in the District of Nevada. Law enforcement also learned that Harris supplied individuals with narcotics in other states, resulting in the seizure of methamphetamine, fentanyl, and cocaine in Pensacola, Florida.
Each defendant is charged with Conspiracy to Distribute a Controlled Substance (Methamphetamine and Fentanyl), and other charges.
If convicted, the statutory maximum penalty is life imprisonment, lifetime supervised release, a fine, and a special assessment.
United States Attorney Jason M. Frierson for the District of Nevada and Assistant Special Agent in Charge Kevin Adams for the Drug Enforcement Administration (DEA) Las Vegas District Office made the announcement.
The DEA Las Vegas District Office investigated the case. Assistant United States Attorney Joshua Brister is prosecuting the case.
This effort was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States, using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
An indictment is merely an allegation. All defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Fentanyl Distributors Charged Following Fourth Fatal Juvenile OverdoseRead the Press Release
Two distributors who supplied the fentanyl that killed a 15-year-old girl in Carrollton last week have been federally charged, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
The victim, is the fourth child to die of a fentanyl overdose in the area since September 2022.
Lizbeth Prieto, 19, also known as Lizbeth Escamilla, and Christian Lopez, 24, were charged via criminal complaint with conspiracy to distribute and possession with the intent to distribute controlled substances. Ms. Prieto made her initial appearance before U.S. Magistrate Judge Irma Ramirez on Friday; Mr. Lopez, who is currently in state custody, will have his initial appearance in the coming days.
“Four young lives, lost in an instant. Four families, heartbroken,” said U.S. Attorney Leigha Simonton. “Fentanyl continues to creep its insidious way through the teenage population, and no kid is immune. The Justice Department will continue to take traffickers off the streets. But our efforts alone are not enough. As soon as one trafficker is put behind bars, another rises up to take his place. Parents, teachers, and friends: Please, educate your kids on the dangers of counterfeit pills. Unless prescribed by a doctor, no pill is safe. Even tablets that appear to be prescription painkillers or other types of medications may well be laced with a deadly dose of fentanyl.”
“This is well beyond a ‘Carrollton’ problem. This is a you and me problem as it affects us all. This is a problem that we must join all facets of our community to educate, treat, prevent, and enforce the law to help those struggling and hold responsible those who deal drugs to the fullest extent of the law,” said Eduardo A. Chávez, Special Agent in Charge of DEA Dallas. “Just one pill can change so many lives forever. We will never stop seeking justice.”
“I am deeply saddened by the loss of life. Our hearts and prayers go out to the victim’s family. We continue to work tirelessly to make it difficult for drug dealers to operate in our city by arresting them, and bringing them to justice. We will continue to do all we can to keep this poison out of our city,” said Carrollton Police Chief Roberto Arredondo.
According to the complaint, Mr. Lopez supplied fentanyl pills to Ms. Prieto, who provided them to the victim, a 15-year-old student at Newman Smith High School in Carrollton identified in court documents as “J.G.,”
Family members called 911 when they found the J.G. unresponsive, face down on her bed on Tuesday, June 13. She was transported to the hospital and pronounced deceased shortly thereafter.
Knowing the death was likely fentanyl-related, the family gave law enforcement consent to search J.G.’s bedroom and her cell phone. Inside her room, agents found ten counterfeit Percocet pills inscribed M/30, which later tested positive for fentanyl. On her Instagram, they found communications between the girl and Ms. Prieto from approximately 24 hours before the death.
In messages, Ms. Prieto allegedly offered to sell J.G. 13 fentanyl pills for $100 dollars, confirmed she could pay with cash, and asked for her address. A short while later, Ms. Prieto allegedly advised J.G. that she was pulling up to the home to deliver the pills. An undercover officer immediately reached out to Ms. Prieto and asked to purchase M/30 fentanyl pills.
The next day, Ms. Prieto allegedly arranged to meet the undercover officer. Prior to the transaction, law enforcement observed Ms. Prieto get into Mr. Lopez’s car. She then exited the car, met with the officer, and handed over several pills. In return, the officer gave her marked bills. Shortly after the transaction, she got back into Mr. Lopez’s car.
Law enforcement pulled Mr. Lopez after he departed and found five out of the six marked bills in his possession. He allegedly admitted he had supplied Ms. Prieto with the counterfeit pills she gave the undercover, which tested positive for fentanyl.
Ms. Prieto allegedly admitted that Mr. Lopez was her supplier, and confessed that she sold J.G. a dozen M/30 pills. She said she did know J.G.’s exact age, but knew that she was young.
A criminal complaint is merely an allegation of wrongdoing, not evidence. Both defendants are presumed innocent until proven guilty in a court of law.
If convicted, they each face up to 20 years in federal prison.
The Drug Enforcement Administration’s Dallas Field Division and the Carrollton Police Department conducted the investigation. 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.
Federal Grand Jury Returns Eleven-Count Indictment Charging Methamphetamine and Fentanyl Trafficking, Firearm Offense, and Money Laundering OffensesRead the Press Release
Louisville, KY – A federal grand jury in Louisville returned an eleven-count indictment on June 21, 2023, charging four men with trafficking in methamphetamine and fentanyl, and one with a firearm offense and money laundering.
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, Special Agent in Charge Bryant Jackson of the Internal Revenue Service, Criminal Investigation, Cincinnati Field Office, Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division, Commissioner Phillip Burnett, Jr. of the Kentucky State Police, and Ron Eckart of the Greater Hardin County Narcotics Task Force made the announcement.
According to the indictment, between January 1, 2019, and December 9, 2022, Chaz Hughes, 30, of Louisville, Kentucky, Joshua Salazar, 33, of Lebanon, Kentucky, Curtis Cunningham, 26, of Lebanon, Kentucky, and Steven Edlin, 49, of Loretto, Kentucky conspired to distribute 50 grams or more of a methamphetamine mixture and 40 grams or more of a fentanyl mixture.
Hughes is also charged in a separate count with distributing 50 grams or more of methamphetamine.
Salazar is also charged in a separate count with distributing 50 grams or more of a methamphetamine mixture, possession of a firearm by a convicted felon, and six-counts of money laundering. Salazar was prohibited from possessing a firearm because he had previously been convicted of the following felony offenses. On July 29, 2011, in Marion Circuit Court, Salazar was convicted of trafficking in cocaine. On August 19, 2016, in Nelson Circuit Court, Salazar, was convicted of trafficking in cocaine, felon in possession of a handgun, and felon in possession of a firearm.
Cunningham is also charged in a separate count for distributing a fentanyl mixture.
As of today, Salazar, Hughes, Cunningham, and Edlin have all made their initial appearances before a U.S. Magistrate Judge of the U.S. District Court for the Western District of Kentucky. If convicted, Hughes and Salazar face a mandatory minimum sentence of 10 years and a maximum sentence of life in prison. If convicted, Cunningham and Edlin face a mandatory minimum sentence of 5 years and a maximum sentence of 40 years in prison. A federal district court judge will determine any sentence after considering the sentencing guidelines and other statutory factors. There is no parole in the federal system.
This case is being investigated by the DEA, the IRS, the ATF, the KSP, and the Greater Hardin County Narcotics Task Force.
Assistant U.S. Attorney Joe Ansari is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Fall River Man Pleads Guilty to Four Bank RobberiesRead the Press Release
BOSTON – A Fall River man pleaded guilty yesterday in federal court in Boston to robbing four separate banks in Massachusetts within a five-day period and attempting to rob a fifth bank.
William Sequeira, 60, pleaded guilty to four counts of bank robbery and one count of attempted bank robbery. U.S. District Court Judge Patti B. Saris scheduled sentencing for Sept. 12, 2023. Sequeira was charged by criminal complaint in November 2022 and subsequently indicted by a federal grand jury in December 2022.
Between Sept. 26, 2022 and Sept. 30, 2022, Sequeira robbed four separate banks in the Fall River and Boston areas. Specifically, Sequeira robbed: a Citizens Bank branch in Fall River on Sept. 26, 2022; a Santander Bank branch in Boston on Sept. 27, 2022; a M&T Bank branch in Boston on Sept. 28, 2022; and a TD Bank branch in Boston on Sept. 30, 2022. During the Santander Bank robbery on Sept. 27, 2022, Sequeira ran up to a teller and stated, “give me a $100 bill or I’ll put a bullet in your head.” Sequeira did not present a firearm. During the M&T Bank robbery on Sept. 28, 2022, Sequeira approached a teller and stated, “I'm going to put a gun to your head if you don't give me the $100 bills.” During the TD Bank robbery on Sept. 30, 2022 in Boston, Sequeira approached a teller and stated, “give me all the $100s in the drawer,” and “give me all the money before I blow your brains out,” before fleeing on foot with money from the teller.
On Oct. 5, 2022, law enforcement surveilling the Back Bay area in an effort to locate Sequeira, spotted him entering a Citizens Bank branch on Boylston Street in Boston. There, Sequeira approached the teller, said “Give me hundreds,” and then threatened to shoot the teller if they did not move fast enough. Sequeira was immediately apprehended.
The charges of bank robbery each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of attempted bank robbery provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Christopher DiMenna, Acting Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Commissioner Michael Cox made the announcement. Valuable assistance was provided by the Fall River Police Department and the Suffolk County District Attorney’s Office. Assistant U.S. Attorney Luke A. Goldworm of Levy’s Major Crimes Unit is prosecuting the case.
Ethete Man Sentenced for Illegal Possession of a FirearmRead the Press Release
Tremayne Thunder, age 43, of Ethete, Wyoming, was sentenced on June 22, 2023, to 21 months’ imprisonment for being a felon in possession of a firearm. Chief U.S. District Court Judge Scott W. Skavdahl imposed the sentence which included three years of supervised release and a $100 special assessment.
According to court documents, on July 4, 2022, Wind River Police Officers arrested Thunder after a witness alleged Thunder pointed a rifle at a juvenile. At the time of the arrest, a firearm was found next to Thunder in a vehicle he was operating. A criminal history check showed that Thunder had felony convictions for kidnapping and aggravated assault and battery, so he was prohibited from possessing a firearm.
This crime was investigated by the Federal Bureau of Investigation and the Wind River Police Department. Assistant United States Timothy W. Gist prosecuted the case.
Case No. 22-CR-00104
Elmira Man Sentenced for Methamphetamine OffenseRead the Press Release
SYRACUSE, NEW YORK – Kevin Walker, age 32, of Elmira, New York, was sentenced today to serve 130 months in federal prison for possessing with intent to distribute methamphetamine.
United States Attorney Carla B. Freedman, Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA)-New York Division, and Steven A. Nigrelli, Acting Superintendent of the New York State Police made the announcement.
As part of his previously entered guilty plea, Walker admitted that on February 12, 2022, he drove a rental vehicle from his residence in Elmira to Cortland, New York. He intended to meet another individual in the parking lot of a Cortland business to sell to that individual 447 grams of pure methamphetamine, which Walker had in the trunk of the vehicle. Walker further admitted that he also possessed 137 grams of cocaine in the vehicle.
Chief United States District Judge Brenda K. Sannes also sentenced Walker to a 5-year term of supervised release following his imprisonment.
DEA and New York State Police investigated the case, with assistance from the Elmira Police Department. Assistant U.S. Attorney Matthew J. McCrobie prosecuted the case.
Elkhart Man Sentenced to 94 Months in PrisonRead the Press Release
SOUTH BEND – Jeremy Eash, 39 years old, of Elkhart, Indiana, was sentenced by United States District Court Judge Damon R. Leichty after pleading guilty to receipt of child pornography, announced United States Attorney Clifford D. Johnson.
Eash was sentenced to 94 months in prison, 5 years of supervised release and ordered to pay $72,500 in restitution.
According to documents in the case, during a 4-month period between 2021/2022, Eash received child pornography images and videos over the internet. Law enforcement recovered over 1,200 images and 400 videos of child pornography from his electronic devices.
This case was investigated by the United States Department of Homeland Security, Homeland Security Investigations with the assistance of the Indiana State Police, the Elkhart Police and the LaGrange Police Departments. This case was prosecuted by Assistant United States Attorney John M. Maciejczyk.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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EDVA and NCIS Seek Information About Victims in Child Exploitation CaseRead the Press Release
NORFOLK, Va. – The Office of the United States Attorney for the Eastern District of Virginia and the Naval Criminal Investigative Service (NCIS) have issued a call for victims of a man charged with child exploitation to come forward.
A criminal complaint filed on June 5, 2023, charged Lieutenant Commander (Select) Michael Andrew Widroff, a Naval Officer previously assigned as the psychologist for the USS GERALD R. FORD (CVN-78) in Norfolk, with attempting to produce child pornography, attempting to coerce or entice a minor to engage in sexual activity, and attempting to transfer obscene matter to a minor. Widroff is alleged to have used the social media platform Snapchat to conduct this activity using the username “mikenavyguy78” and display name “M Sailorguy.”
Prior to serving on the USS GERALD R. FORD, Widroff worked or studied at the following institutions:
- Women’s League Home for Mentally Disabled Boys in Brooklyn, New York, from 2009 to 2016;
- City University of New York from approximately 2008 through 2011;
- Hofstra University in Long Island, New York, from approximately 2011 through 2017;
- Officer Training Command in Newport, Rhode Island, from August 2016 through September 2016;
- Walter Reed National Military Medical Center in Bethesda, Maryland, from September 2016 through December 2017; and
- Naval Branch Health Clinic in Groton, Connecticut, from December 2017 through June 2021.
Anyone who believes they have information relating to this case or are a victim of this individual, are encouraged contact NCIS via the NCIS Tips app or at www.ncis.navy.mil. Based on the information provided, respondents may be contacted by NCIS and asked to provide additional information.
If convicted, Widroff faces a mandatory minimum of 15 years and a maximum penalty of life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Special Assistant U.S. Attorney Victoria Liu is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:23-mj-107.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.
Doctor Convicted of Illegally Distributing Opioids and Other DrugsRead the Press Release
A federal jury in Columbus convicted an Ohio doctor yesterday for illegally prescribing buprenorphine and other controlled substances in violation of the Controlled Substances Act.
According to court documents and evidence presented at trial, Eskender Getachew, 58, of Galena, unlawfully prescribed opioids and benzodiazepines to his patients. This included prescribing Subutex, which has a high risk of abuse and diversion, to patients for whom the drug is not indicated. The number of pills Getachew prescribed depended on the amount of money patients paid at their office visits. Getachew was aware of several reports that patients were selling their Subutex, but his prescribing continued unabated.
The jury convicted Getachew of 11 counts of unlawful distribution of a controlled substance. He faces a maximum penalty of 20 years in prison on each count. A sentencing date has not yet been set. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Kenneth L. Parker for the Southern District of Ohio; Special Agent in Charge Orville O. Greene of the DEA Detroit Division; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; and Special Agent in Charge Mario M. Pinto of the Department of Health and Human Services Office of the Inspector General (HHS-OIG), Chicago Regional Office made the announcement.
The DEA, FBI, HHS-OIG, Ohio Attorney General’s Office, and Ohio Board of Pharmacy investigated the case.
Trial Attorneys Timothy Landry and Samantha Stagias of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past four years, ARPO has charged over 115 defendants, collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 80 ARPO defendants have been convicted. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
District Man Sentenced for Distributing Fentanyl, Which Resulted in Death of Virginia ConsumerRead the Press Release
WASHINGTON – Andrew Cooper, 47, of Washington, D.C., was sentenced today to 16 years in prison for distribution of Fentanyl. Cooper pleaded guilty on September 16, 2022, admitting that he distributed the drug to customers from his residence in Northeast Washington, including to a male who subsequently died from consuming the Fentanyl that Cooper provided.
The sentence was announced by U.S. Attorney Matthew M. Graves, Special Agent in Charge Jarod Forget, of the Washington Division of the U.S. Drug Enforcement Administration (DEA), Chief Kevin Davis, of the Fairfax County, Va. Police Department, Acting Special Agent in Charge Sarah Linden of the FBI Washington Office’s Criminal and Cyber Division, and Interim Chief Ashan Benedict, of the Metropolitan Police Department (MPD).
Cooper had also admitted that he distributed approximately 30 grams of a mixture or substance containing a detectable amount of Fentanyl to an undercover law enforcement officer over five separate transactions. In addition to the prison term, U.S. District Court Judge Amit P. Mehta ordered 36 months of supervised release.
“This sentence reflects the serious consequences awaiting anyone who callously litters our communities with Fentanyl,” said US Attorney Graves. “Anyone considering peddling this poison needs to understand that they are likely to cause someone’s death, and that they will be held accountable for that death.”
“Mr. Cooper profited by selling dangerous and deadly drugs such as fentanyl into our neighborhoods and disregarding the value of human life,” said DEA Special Agent in Charge Forget. “Today’s sentence emphasizes our commitment to the tireless work of investigating and prosecuting those responsible for fueling addiction and the deadly poisonings in our area.”
According to court documents, Cooper acknowledged distributing Fentanyl from his residence in the 1900 block of Capitol Avenue NE, in the Ivy City neighborhood, from February to November of 2021. On multiple occasions, from Feb. 11 to Feb. 16, 2021, he distributed Fentanyl to the female and her male friend, who then traveled to Virginia to consume the drug. On Feb. 16, 2021, the woman came to Cooper’s residence alone. Upon her return to Virginia, she discovered her male friend dead from an apparent overdose. He was in a bathroom, with a syringe containing Fentanyl nearby. The cause of death was determined to be acute fentanyl intoxication.
Cooper was initially indicted in November 2021, after law enforcement completed five separate undercover purchases from August to October 2021. When Cooper was arrested on Nov. 10, 2021, law enforcement also executed a search warrant on his residence and recovered $74,430, which were proceeds from Cooper’s narcotics sales, a firearm, and additional narcotics, including Fentanyl. After gathering additional evidence, law enforcement was able to determine that Cooper’s Fentanyl distribution dated back until at least February 2021 and that his distribution resulted in the death of a male victim on Feb. 16, 2021.
As part of its investigation, law enforcement also determined that Cooper maintained a bank account where he kept additional proceeds from his drug trafficking activities and obtained a seizure warrant, resulting in the seizure of an additional $32,650. As part of his plea agreement, Cooper acknowledged that the $74,430 seized from his home and the $32,650 seized from his bank account were drug proceeds and agreed to forfeit the money to the government.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
The case was investigated by the DEA Washington Division, the Fairfax County, Virginia Police Department, the FBI’s Washington Field Office, and the Metropolitan Police Department. It is being prosecuted by Assistant U.S. Attorneys David T. Henek and Solomon Eppel, of the Violence Reduction and Trafficking Offenses Section of the U.S. Attorney’s Office for the District of Columbia.
District Man Convicted of Murdering Woman Who Went Missing in 2010 and Has Never Been FoundRead the Press Release
GPS and Other Evidence Led to Defendant’s Arrest
WASHINGTON – Isaac Moye, 46, of Washington D.C., was convicted today of second-degree murder in connection with the October 2010 disappearance of Unique Harris, a 24-year-old woman who disappeared from her home and whose body has never been found. The verdict was announced by U.S. Attorney Matthew M. Graves and Interim Chief Ashan Benedict of the Metropolitan Police Department (MPD).
“More than a decade ago, two children lost their mother to a killer who had no regard for anyone’s needs but his own,” said US Attorney Graves. “Thanks to dogged police work by the Metropolitan Police Department detectives who worked this case, and the dedicated, tireless efforts of the prosecution team, a jury held this defendant accountable for this heinous murder.”
“I want to offer my deepest condolences to the family of Unique Harris. I commend the hard work of everyone involved in this case, especially our homicide detectives who never give up fighting for our victims and ensuring offenders are held accountable,” Interim Chief Benedict said. “This case is a prime example of our detectives’ dedication and tireless work.”
According to the evidence presented at trial, on October 9, 2010, Unique Harris hosted a sleepover for her young children and their nine-year-old cousin at her home in Southeast Washington, D.C. At approximately 9:30 p.m. that night, Harris put the children to bed. At 10:39 p.m., Isaac Moye, a man she had known for only two months, arrived at her home, calling her on her cell phone just moments before entering her building. The next morning, the three children awoke to find their mother gone. Her cell phone and keys were also missing. Her purse and all its contents, including her identification and credit cards were left behind. The eyeglasses she never left home without were also there in the home. Her sofa had been mutilated, a hole cut in the fabric, a section of foam removed. There was no blood, no sign of struggle. And she was never seen or heard from again.
Over the course of the next few years, Isaac Moye was interviewed multiple times by members of the Metropolitan Police Department. He changed his story between interviews – denying, then admitting, then denying that he and Unique Harris had ever been intimate, denying that he had ever been in her home overnight, and denying that had seen her the day that she went missing. Moye’s semen was identified on the mutilated sofa cushion and his GPS records placed him at the decedent’s home for the entire night. Moye also made statements to another person, who testified that Moye said there was a missing girl, but that police were “never going to find her” because he “did it, but did it the right way.” Ms. Harris was reported missing on Oct. 10, 2010. Moye was arrested and charged with the murder on Dec. 19, 2020. He has been in custody ever since.
Moye faces a maximum sentence of 40 years in prison, a fine of up to $250,000, and five years of supervised release.
This case is being investigated by the Metropolitan Police Department and is being prosecuted by Assistant U.S. Attorneys S. Vinét Bryant and Erin DeRiso.
Departamento de Justicia anuncia cargos contra empresas de manufactura basadas en China, así como arrestos de ejecutivos de empresas que manufacturan fentaniloRead the Press Release
El Departamento de Justicia anunció hoy el arresto de dos individuos y la publicación de tres acusaciones formales en los distritos este y sur de Nueva York contra empresas con sede en China y sus empleados por crímenes relacionados a la producción, distribución y venta de fentanilo al vender precursores químicos. Estas acusaciones representan los primeros cargos contra empresas de manufactura química con sede en China y contra ciudadanos de la República Popular China por tráfico de precursores del fentanilo a los Estados Unidos. Específicamente, la acusación alega que los ahora acusados, a sabiendas, fabricaron, mercadearon, vendieron y ofertaron precursores químicos para producción de fentanilo en Estados Unidos en violación a la ley federal.
Durante estas investigaciones, la Agencia Antidorgas (DEA) decomisó más de 200 kilos de precursores relacionados al fentanilo, una cantidad que podía contener suficientes dosis mortales para matar a 25 millones de estadounidenses.
El fentanilo es un opioide sintético altamente adictivo que es 50 veces más potente que la heroína y 100 veces más fuerte que la morfina. El fentanilo y sus análogos han devastado comunidades en todo Estados Unidos y están alimentando la continua epidemia de sobredosis que los Centros para el Control y Prevención de Enfermedades (CDC) recientemente estimaron que mataron a aproximadamente 110 mil estadounidenses en 2022. El fentanilo es actualmente la principal causa de muerte de estadounidenses entre 18 y 49 años de edad. Los análogos del fentanilo, que tienen composición química y efectos similares al fentanilo, pueden ser aún más potentes y mortales que el fentanilo.
“Cuando anuncié en abril que el Departamento de Justicia había tomado acciones significativas contra el cártel de Sinaloa, prometí que el Departamento de Justicia nunca olvidaría a las víctimas de la epidemia de fentanilo,” dijo el Procurador General Merrick B. Garland. “También prometí que nunca dejaríamos de trabajar para hacer que rindan cuentas los que tienen responsabilidad en esto. Esto incluye no sólo ir tras los cabecillas de los cárteles, sus traficantes de drogas y armas, los que blanquean sus fondos, sus fuerzas de seguridad y sus operadores de laboratorios. También incluye a las empresas chinas que están proveyendo a los cárteles los materiales necesarios para fabricar el mortal fentanilo.”
“El anuncio de hoy es un primer pago de nuestra promesa de usar cada herramienta en el arsenal del gobierno, en cada rincón del planeta para proteger a las comunidades estadounidenses,” dijo la Subprocuradora General Lisa O. Monaco. “El Departamento de Justicia no descansará ni ralentizará en su investigación y proceso contra cada vínculo de la cadena de suministro de fentanilo, incluyendo empresas y ejecutivos en la República Popular China que producen y exportan vastas cantidades de precursores químicos que los cárteles necesitan para vender su veneno. No habrá lugar seguro para ellos.”
“EL anuncio de hoy es un considerable paso hacia adelante en nuestra lucha implacable contra el fentanilo, yendo contra la amenaza donde comienza,” dijo la Administradora de la DEA Anne Milgram. “Se alega que estas empresas e individuos a sabiendas proveyeron a narcotraficantes en Estados Unidos y México los ingredientes y el saber científico necesario para hacer fentanilo, una droga que continúa devastando a familias y comunidades en todo Estados Unidos, matando estadounidenses de todo tipo. Ir contra redes criminales de drogas completas, desde la fuente del suministro hasta la última milla de distribución es crucial para salvar vidas estadounidenses. La DEA no se detendrá hasta que termine esta crisis.”
Distrito Sur de Neuva York
Se abrió una acusación formal en el distrito sur de Nueva York contra la empresa química con sede en China Hubei Amarvel Biotech CO., Ltd., también conocida como AmarvelBio, (Amarvel Biotech), así como contra sus ejecutivos y empleados Qingzhou Wang, de 35 años de edad, también conocido como Bruce (Wang); Yiyi Chen, de 31 años de edad, también conocido como as Chiron (Chen); y Fnu Lnu, también conocido como Er Yang y Anita (Yang), por tráfico de fentanilo, importación de precursores químicos y lavado de dinero. Wang y Chen ambos son ciudadanos chinos expulsados de Fiji el 8 de junio y arrestados por la DEA y presentados ante el juez magistrado de Estados Unidos Wes Reber Porter en una corte federal en Honolulu el 9 de junio. Se ordenó la detención de Wang y Chen en Honolulu y comparecerán ante una corte federal en Manhattan tras su arribo al distrito sur de Nueva York. Yang, de nacionalidad china, está prófugo.
“La acusación revelada hoy en el Distrito Sur de Nueva York es el próximo paso en nuestra lucha contra el fentanilo,” dijo el fiscal federal Damian Williams. “Hoy vamos contra el mero inicio de la cadena de suministro del fentanilo: los fabricantes chinos de materias primas usadas para hacer fentanilo y sus análogos. Hemos acusado a una empresa china de precursores químicos. Y eso no es todo. Hemos acusado y arrestado a algunos individuos que trabajan para la empresa. Eso incluye a un ejecutivo corporativo y un gerente de mercadeo. Están en custodia estadounidense. Y enfrentarán la justicia en un juicio estadounidense.”
De acuerdo a los alegatos contenidos en la acusación y otros documentos de corte, Amarvel Biotech es un fabricante de químicos con sede en la ciudad de Wuhan en la provincia Hubei de China que ha exportado vastas cantidades de precursores químicos para fabricar fentanilo y análogos.
Amarvel Biotech ha abiertamente anunciado en línea sus embarques de precursores químicos del fentanilo a Estados Unidos y México, donde cárteles de la droga operan laboratorios clandestinos, sintetizan el fentanilo terminado a escala, y distribuyen la mortal droga en los Estados Unidos. Mediante su página web y otros sitios fachada, Amarvel Biotech ha buscado clientes de precursores químicos en México, incluyendo anunciando precursores químicos del fentanilo como “hot sale México”, garantizando “envío 100% secreto” al extranjero y subiendo a sus sitios documentos de embarques a Culiacán, Sinaloa, sede del cártel de Sinaloa, una de las organizaciones narcotraficantes dominantes en el hemisferio occidental y que es mayormente responsable por el flujo masivo de fentanilo a Estados Unidos en años recientes.
Amarvel Biotech ha buscado frustrar las acciones de interdicción de procuración de justicia de sus precursores químicos. La empresa ha anunciado, por ejemplo, el uso de empaques engañosos, tales como empaques que indican que los contenidos son comida para perro, nueces o aceite de motor para garantizar la entrega “segura” a Estados Unidos y México.
En los últimos ocho meses, durante una investigación encubierta de la DEA, Amarvel Biotech y su principal ejecutivo, Wan, su gerente de mercadeo Chen, y su representante de ventas Yang, enviaron más de 200 kilos de China a los Estados Unidos para precursores químicos usados para hacer fentanilo y sus análogos. Amarvel Biotech, Wang, Chen, y Yang enviaron precursores a Estados Unidos con la intención de que los químicos se usaran para producir fentanilo y sus análogos en Nueva York, y acordaron continuar proveyendo embarques de múltiples toneladas de precursores de fentanilo a pesar de que se les dijo que estadounidenses habían muerto tras consumir fentanilo hecho con los químicos que ofertaron los acusados.
Por ejemplo, alrededor del 17 de noviembre de 2022, una fuente confidencial de la DEA (llamada CS-1) le escribió a Yang diciéndole en una aplicación de mensajes encriptados, “Sabes que estoy fabricando fentanilo” y “No es seguro”. Yang replicó: “Lo sé”. Alrededor del 1 de diciembre de 2022 Yang le escribió a CS-1, prometiéndole que CS-1 estaría “contento con el producto” y destacando que CS-1 podría “sintetizar fentanilo”. A cambio de pago en criptomonedas, Amarvel Biotech envió de China a Nueva York aproximadamente 999.7 gramos del precursor de fentanilo 1-boc-4-AP, aproximadamente 1,002.6 gramos del precursor de fentanilo 1-boc-4-piperidone, y aproximadamente 893.6 gramos de precursor de metanfetaminas metilamina.
Alrededor de marzo de 2023, Wang y Chen se reunieron en persona con un individuo a quien CS-1 presentó como su jefe, pero que era en realidad otra fuente confidencial de la DEA (CS-2). Durante la reunión, Wang y Chen dialogaron sobre la habilidad de Amarvel Biotech de entregar toneladas de precursores de fentanilo a Nueva York a la operación de manufactura de fentanilo de CS-1 y CS-2. Cuando CS-2 indicó que quería una fórmula diferente de manufactura de fentanilo y que varios de sus clientes habían muerto, Wang y Chen le dijeron que tenían “muchos clientes en Estados Unidos y México” que podían ofrecer asistencia técnica con la producción de fentanilo.
En o alrededor de marzo de 2023, Amarvel Biotech, Wang, Chen y Yang acordaron vender a CS-1 y a CS-2 aproximadamente 210 kilos de precursores de fentanilo a cambio de pago en criptomoneda. Durante una videollamada el 10 de abril con Wang y Chen, CS-2 declaró que aproximadamente 210 kilos de precursores de fentanilo podían ser usados para fabricar aproximadamente entre 50 y 55 kilos de fentanilo, una cantidad que como se estableció anteriormente, podía producir 25 millones de dosis mortales.
Alrededor de mayo de 2023, Amarvel Biotech, Wang, Chen, y Yang enviaron a los Estados Unidos la orden requerida por CS-1 y CS-2. Alrededor del 5 de mayo, la DEA decomisó el embarque de precursores de una bodega cerca de Los Ángeles. Pruebas de laboratorio confirmaron la presencia de un precursor químico de un análogo de fentanilo. En un mensaje encriptado en un chat grupal con CS-1 y CS-2, Wang y Chen, Yang explicó que “Nueva York, Estados Unidos, ha sido estricto en la revisión de precursores del ‘producto final’ desde hace un tiempo. Por seguridad, esta vez lo enviamos a California”.
Alrededor de junio de 2023, Wang y Chen se reunieron nuevamente con CS-2. Durante la reunión, Wang y Chen hablaron con CS-2 sobre una orden de varias toneladas de precursores de fentanilo. Wang y Chen también hablaron de la necesidad de tomar medidas adicionales para protegerse de ser detectados o que sus embarques fueran decomisados “porque recientemente el gobierno estadounidense… decomisó a un grupo mexicano y rastrearon sus rutas hasta China”, donde el gobierno estadounidense encontró “a nuestro competidor en China” – en aparente referencia a los cargos por fentanilo anunciados en el distrito sur de Nueva York y anunciados en abril de 2023 contra, entre otros, líderes del cártel de Sinaloa y ciertos ejecutivos de empresas de precursores con sede en China.
La Unidad de Investigaciones Bilaterales de la División de Operaciones Especiales de la DEA investigó el caso, con apoyo de la oficina de la DEA en Banghkok, la oficina de DEA en Wellington, la oficina de DEA en Beijing, la oficina de distrito de DEA en Honolulu, la Fuerza de Trabajo de la DEA contra Drogas y Crimen Organizado de Nueva York (OCDETF), la oficina de DEA en el distrito Riverside, el Laboratorio de Pruebas Especiales de DEA, la Oficina de Asuntos Internacionales del Departamento de Justicia, el Buró de Supresión de Narcóticos de la la Real Policía de Tailandia, el Buró de Narcóticos de la Policía de Fiji, la oficina de Fiji del Director de Procesos Públicos y la oficina del fiscal federal para el Distrito de Hawaii.
El Distrito Sur de la Oficina en Nueva York de Seguridad Nacional y la Unidad de Narcóticos Internacionales están llevando el caso.
Distrito Este de Nueva York
Dos acusaciones se presentaron en el Distrito Este de Nueva York que detallan las conspiraciones criminales de empresas con sede en China y empleados por fabricar y distribuir fentanilo en Estados Unidos.
La primera acusación formal es contra Anhui Rencheng Technology Co. (Rencheng) Ltd.; Anhui Moker New Material Technology Co.; Shutong Wang; y Shifang Ruan, también conocida como Eva, por conspiración para fabricar y distribuir fentanilo, fabricar fentanilo y otras ofensas relacionadas. Además, la acusación es contra esos mismos acusados, así como Xinyu Zhao, también conocida como Sarah, y Yue Gao, también conocida como Ellie, por ilegalmente encubrir sus actividades, incluyendo mediante fraude aduanal e introducción de medicamentos mal etiquetados al mercado estadounidense. La acusación también es contra Rencheng, Wang y Ruan por conspiración para distribuir butonitazeno, una sustancia controlada.
La segunda acusación es contra Hefei GSK Trade Co. Ltd, también conocida como Hebei Gesuke Trading Co. Ltd. y Hebei Sinaloa Trading Co. Ltd.; y Ruiqing Li por ofensas similares, incluyendo conspiración de manufacturar y distribuir fentanilo, manufactura de fentanilo, conspiración de distribuir un químico de la Lista I, distribución de químico de la Lista I, conspiración de fraude aduanal, introducción de medicamentos mal etiquetados a comercio interestatal, y distribución de metonitazona, una sustancia controlada.
“Como se alega, los acusados distribuyeron a sabiendas los químicos con los que se hace el fentanilo a Estados Unidos y México, y ofrecieron consejos de cómo debían ser usados para fabricar esta peligrosa droga, que produce una tragedia sin precedentes en Nueva York, Long Island y en toda la nación,” dijo el fiscal federal Breon Pace del distrito Este de Nueva York. “Este proceso judicial muestra que encontraremos a las empresas e individuos que alimentan la mortal epidemia de opioides de nuestra nación, donde sea que se estén, y les llevaremos en proceso hasta las últimas consecuencias de la ley.”
Como se alega en las acusaciones, las empresas acusadas proveyeron precursores químicos a Estados Unidos y a México, entre otros lugares, a sabiendas de que se usarían para fabricar fentanilo. Las empresas acusadas abiertamente anunciaron sus productos en todo el mundo, incluyendo en Estados Unidos y en México, en plataformas de redes sociales. También enviaron sus productos químicos a Estados Unidos y México por barco y avión, usando correo público y privado y transportistas. Para prevenir la detección e intercepción de los productos químicos en las fronteras, las empresas acusadas usaron prácticas engañosas y fraudulentas, como etiquetar de manera errónea los paquetes, falsificar declaraciones aduanales y hacer declaraciones falsas en cruces fronterizos. Los químicos distribuidos por los acusados incluyeron todos los materiales necesarios para fabricar fentanilo del modo más común.
Las empresas acusadas intentaron ofuscar su distribución de precursores de fentanilo al agregar moléculas que “enmascaraban”, lo que alteraba levemente la firma química del precursor. Al cambiar esta firma química, una sustancia alterada podía evadir los protocolos de pruebas y los reglamentos relevantes, aparentando ser una nueva sustancia. Estas moléculas se pueden quitar de manera fácil, permitiendo al comprador regresar la sustancia a su forma original como precursor de fentanilo. Las empresas acusadas no sólo produjeron y distribuyeron precursores “enmascarados”, sino que también ofrecieron instrucciones de como eliminar estas moléculas tras la recepción, ayudando así a sus clientes a obtener de manera más eficaz precursores prohibidos y producir fentanilo. Los acusados también dieron instrucciones sobre cómo mejorar la cantidad producida de fentanilo y consejos sobre qué químicos comprar para remplazar precursores prohibidos.
Organizaciones mexicanas de tráfico de drogas, incluyendo pero no exclusivamente el cártel de Sinaloa y el cártel Jalisco Nueva Generación (CJNG), se han abastecido cada vez más de precursores de fentanilo y precursores “enmascarados” de fentanilo desarrollados y distribuidos por las empresas acusadas y otras empresas similares. Los químicos que ofrecían estas empresas han permitido a estos cárteles y otras organizaciones narcotraficantes producir fentanilo en laboratorios clandestinos de México a escala masiva para su posterior distribución a Estados Unidos y otras partes. Los materiales y las instrucciones ofrecidas por las empresas acusadas y empresas similares han causado directamente y han contribuido directamente al flujo del mortal fentanilo a los Estados Unidos.
Las oficinas de DEA en Nueva York, México, Diversion Control, el Laboratorio Especial de Pruebas e Investigación de la DEA, así como la oficina de campo de Nueva York de Aduanas y Protección Fronteriza, la División de Investigación Criminal de Nueva York del Servicio de Rentas Internas, y la Oficina de Inspección Postal de Nueva York investigaron el caso. El Departamento de Policía de Nueva York, la Policía Estatal de Nueva York y la Oficina de Asuntos Internacionales del Departamento de Justicia ofrecieron asistencia.
El distrito este de la Oficina de Narcóticos y Lavado de Dinero Internacional está llevando el caso.
El esfuerzo es parte de una operación de OCDEFT. OCDETF identifica, interrumpe y desmantela las organizaciones criminales de más alto nivel que amenazan a Estados Unidos usando un enfoque integral llevado por fiscales y por inteligencia. Más información sobre el Programa OCDETF disponible en www.justice.gov/OCDETF.
Una acusación formal es un mero alegato. Se presume inocente a todos los acusados hasta que se muestre su culpabilidad más allá de duda razonable en una corte de ley.
SDNY Acusaciones formales EDNY Acusaciones formales 2 EDNY Acusaciones formales 1Dentist Convicted of Unlawfully Distributing Opioids That Caused Patient’s DeathRead the Press Release
A federal jury in the Eastern District of Kentucky convicted a dentist yesterday for unlawfully prescribing opioids, including unlawfully prescribing morphine that caused his patient’s death.
According to court documents and evidence presented at trial, Dr. Jay M. Sadrinia, 60, of Villa Hills, Kentucky, owned and operated dental clinics in Crescent Springs. Despite clear signs – including being told explicitly that his prescribing of controlled substances was dangerous and put his patients’ lives at risk – Sadrinia prescribed powerful opioids to his patients for routine dental procedures.
Sadrinia unlawfully prescribed morphine to one patient, which caused the patient’s death. He charged $37,000 for dental procedures and prescribed the patient medically unnecessary quantities of narcotics, including morphine. Several days later, the patient fatally overdosed on the morphine.
Sadrinia was convicted of one count of unlawful distribution of controlled substances resulting in death and one count of unlawful distribution of controlled substances. He is scheduled to be sentenced on Dec. 13. He faces a mandatory minimum of 20 years in prison and a maximum penalty of life in prison on the unlawful distribution of controlled substances resulting in death count, and a maximum penalty of 20 years in prison on the unlawful distribution count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and DEA Administrator Anne Milgram made the announcement.
The FBI and DEA investigated the case.
Assistant Chief Katherine Payerle and Trial Attorney Thomas D. Campbell of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past three years, ARPO has charged over 115 defendants collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 84 ARPO defendants have been convicted. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
Couple admits to carjacking and beating Uber driverRead the Press Release
HOUSTON – Two Houston residents have pleaded guilty to carjacking with the intent to cause death or serious bodily harm, announced U.S. Attorney Alamdar S. Hamdani.
On Nov. 13, 2022, Frank Lewis Blanco, 28, and Destinee Guerrero, 25, hailed an Uber at approximately 8:30 a.m. However, once inside the vehicle, they repeatedly changed their destination, directing the driver around Houston for approximately half an hour.
The driver ultimately asked the couple to get out of the car, but they refused. He stopped at a gas station and asked the attendant to call the police. While awaiting the arrival of authorities, the driver again asked Blanco and Guerrero to get out of his car. The couple then began to attack him, knocked him unconscious, repeatedly stomped and kicked his body and then stole his car.
The gas station cameras captured the beating.
“This couple senselessly beat an Uber driver unconscious for doing nothing more than trying to give them a ride,” said Hamdani. “My late father was a cab driver, and I can’t imagine the horror and fear he would have felt in that same situation. I want drivers to feel safe as they go to work each and every day. Hopefully, after today, cab and rideshare drivers alike can rest a bit easier knowing these two violent passengers will be off the streets.”
“Once again, violent criminals thought they were entitled to break the law and get away with it. In this case, to savagely beat their Uber driver and steal his vehicle. And once again, the heavy arm of the federal justice system caught up with them and stopped them in their tracks,” said Special Agent in Charge James Smith of the FBI Houston Field Office. “These criminals are unrelenting, and so are we.”
U.S. District Judge David Hittner accepted the pleas and set sentencing for Sept. 21. At that time, Blanco and Guerrero face up to 15 years in prison as well as a possible $250,000 maximum fine.
Previously released on bond, the court ordered them into custody following the plea today where they will remain pending sentencing.
The FBI conducted the investigation with the assistance of the Houston Police Department. Assistant U.S. Attorney Stuart Tallichet is prosecuting the case.
Coral Springs Man Charged with Operating $100 Million Ponzi Scheme Through His Trucking CompanyRead the Press Release
MIAMI – Sanjay Singh, 43, of Coral Springs, Florida, has been charged in South Florida federal court with orchestrating a $100 million investment fraud (Ponzi) scheme run through his over-the-road trucking company, Royal Bengal Logistics, Inc. (“RBL”).
The indictment alleges that Singh violated federal laws criminalizing conspiracy to commit wire fraud, wire fraud, and engaging in transactions in unlawful proceeds.
According to the indictment, Singh, RBL’s founder and president, organized and ran a substantial Ponzi scheme with co-conspirators. The conspiracy began in January 2020 and was ongoing at the time of his arrest. Singh and his co-conspirators held RBL out to potential investors as a thriving and successful trucking business, all while RBL’s actual trucking business lost money. In the process, Singh and his co-conspirators made material misrepresentations and material omissions about the riskiness of investing in RBL, the profitability of RBL’s trucking operations, how RBL would pay its investors, and how RBL would use investor funds. Through these material misrepresentations and omissions, Singh and his co-conspirators raised over $100 million from investors, which Singh and his co-conspirators then used in part to pay existing investors promised returns.
The indictment also alleges that Singh misappropriated millions of dollars of investor funds to renovate his home, make mortgage payments, pay for personal expenses, and trade stocks on margin.
If convicted of all charges in the indictment, Singh faces a maximum penalty of 150 years’ imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office; Special Agent in Charge Todd A. Damiani of the Department of Transportation Office of Inspector General (“DOT-OIG”), Southern Region; and Russell Weigel III, Commissioner, Florida Office of Financial Regulation (“OFR”), made the announcement.
U.S. Attorney Lapointe commended the investigative efforts of the FBI, DOT-OIG, and OFR in this matter. He thanked the United States Securities and Exchange Commission Miami Regional Office for their assistance. Assistant U.S. Attorney Kiran N. Bhat is prosecuting the case. Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
An indictment contains mere allegations, and all defendants are presumed innocent unless and until proven guilty in a court of law.
If you invested in RBL, are owed money by RBL, or had interactions with anyone at RBL about a potential investment, please visit https://www.fbi.gov/how-we-can-help-you/victim-services/seeking-victim-information/rblinvestors to provide relevant information to the FBI. You can also visit https://www.fbi.gov/how-we-can-help-you/victim-services/seeking-victim-information/rblinvestors-french to provide information in Haitian French, or https://www.fbi.gov/how-we-can-help-you/victim-services/seeking-victim-information/rblinvestors-haitian-creole to provide information in Haitian Creole.
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 23-cr-60117.
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Concord, NC Man, Who Was Fugitive for 8 Years, Pleads Guilty to His Role in Heroin ConspiracyRead the Press Release
COLUMBIA, SOUTH CAROLINA —Corey Xavier Baldwin, a/k/a “Core,” a/k/a “James Cory,” a/k/a “Kenny Womack,” 53, of Concord, North Carolina, has pleaded guilty in federal court to conspiracy to possess with intent to distribute and to distribute heroin.
Evidence obtained in the investigation revealed that Baldwin was one of 10 defendants charged in April 2014, following a series of court-authorized, DEA-monitored wiretaps over several telephones in the Columbia area. Six of the 10 defendants were arrested in April 2014, while four remained fugitives, including Baldwin. Baldwin was arrested in September 2022 by the United States Marshals Service in Concord. Two other fugitives were arrested in 2017 in Texas, and one was arrested in May 2022 in Brooklyn, New York.
The 2013 investigation revealed that a group of individuals in the Columbia area were obtaining heroin from various sources outside of South Carolina and then distributing it in the Midlands. Evidence indicated that the suppliers were initially getting the heroin in packages from India. Several packages destined for Columbia and containing heroin were intercepted by law enforcement during the investigation. Evidence further showed that the co-defendants later traveled to New York to obtain heroin and transported it back to Columbia where it was distributed. Baldwin, who came to Columbia in 2013 after serving time in Ohio for a 1994 aggravated murder conviction, was good friends with one of the leaders of the drug organization and assisted him by transporting money to New York during trips to obtain heroin. Baldwin also assisted in the distribution of heroin in the Columbia area.
Nine of Baldwin’s co-defendants earlier pleaded guilty to their role in the drug conspiracy here in South Carolina and were sentenced as follows:
- Eric Shawn Bradley, of Columbia, was sentenced to 210 months in prison followed by 8 years of supervised release;
- Michael Glover, of Columbia, was sentenced to 324 months in prison followed by 8 years of supervised release;
- Jihad Salahadeen Pollard, of Columbia, was sentenced to 121 months in prison followed by 4 years of supervised release;
- Kenneth Crawford, Jr., of Washington, D.C., and formerly of Columbia, was sentenced to 120 months in prison followed by 8 years of supervised release;
- Charles Raheem Bradley, of Columbia, was sentenced to 57 months in prison followed by 6 years of supervised release;
- Anthony Troy Glover, of Columbia, was sentenced to 120 months in prison followed by 8 years of supervised release;
- Larry Grover Bookman, of Columbia, was sentenced to 70 months in prison followed by 6 years of supervised release;
- Jessany Lyons, of Far Rockaway, New York, was sentenced to 37 months in prison followed by 3 years of supervised release; and
- Dockim Deeshawn McKnight, of Brooklyn, New York, was sentenced to 60 months in prison followed by 4 years of supervised release.
The New York heroin suppliers were charged and convicted by the United States Attorney’s Office in the Eastern District of New York for their role in the drug conspiracy.
Baldwin faces a maximum penalty of 20 years in federal prison. He also faces a fine of up to $1,000,000, and at least 3 years of supervision to follow the term of imprisonment. Senior United States District Judge Joseph F. Anderson, Jr. accepted the guilty plea and will sentence Baldwin after receiving and reviewing a sentencing report prepared by the United States Probation Office.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The case was investigated by the Drug Enforcement Administration’s (DEA) High Intensity Drug Task Force, which was comprised of agents and officers from the DEA, Homeland Security Investigations, Federal Bureau of Investigation, United States Secret Service, Columbia Police Department, Richland County Sheriff’s Department, South Carolina Law Enforcement Division (SLED), Lexington County Sheriff’s Department, Kershaw County Sheriff’s Office, Orangeburg County Sheriff’s Office, and the Fifth Circuit Solicitor’s Office. The United States Marshals Service and the Carolinas Regional Fugitive Task Force-Charlotte Office assisted in locating the four fugitives. Assistant United States Attorney Stacey D. Haynes is prosecuting the case.
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Collier County Career Offender Sentenced to 40 Years in Prison for Firearm and Drug OffensesRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber today sentenced Alex Winters (44, Collier County) to 40 years in federal prison for possessing a firearm and ammunition as a convicted felon, possessing controlled substances with intent to distribute, and possessing a firearm in furtherance of a drug trafficking crime. The Court also ordered Winters to forfeit the firearm and ammunition he illegally possessed. Winters was found guilty at trial on March 9, 2022.
According to testimony presented at trial, on May 7, 2020, deputies with the Collier County Sheriff’s Office stopped a car for a traffic violation. After a deputy noted the smell of marijuana, the car was searched. Beneath Winters’s seat, deputies found a loaded 9mm pistol and fanny pack with distribution amounts of crack cocaine, powder cocaine, and eutylone. Also, inside the fanny pack, deputies found a digital scale, baggies, a drug ledger, and 9mm ammunition. Winters’s DNA was later analyzed and compared to DNA swabs taken from the firearm and he was determined to be a possible contributor.
As a previously convicted felon, Winters is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Collier County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorneys Trent Reichling and Mark Morgan.
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.
Citizen of Croatia and Serbia Charged with Running Monopoly Drug Market on the DarknetRead the Press Release
WASHINGTON –Milomir Desnica has been extradited from Austria to face charges of running a criminal darknet narcotics marketplace. The charges, unsealed on May 25, 2023, were announced today by United States Attorney Matthew M. Graves and Acting Special Agent in Charge Sarah Linden, of the FBI Washington Field Office’s Criminal and Cyber Division.
Desnica, 33, of Smederevska Palanka, Serbia, was indicted on July 26, 2022, by a grand jury in the U.S. District Court for the District of Columbia on charges of conspiracy to distribute and possess with intent to distribute 50 grams or more of methamphetamine and one count of conspiracy to launder monetary instruments. The indictment also includes a forfeiture allegation seeking all proceeds of the alleged crimes. Desnica will be arraigned on the charges on a date to be determined by the Court.
According to the indictment, in late 2019, Desnica launched and operated a darknet marketplace, known as Monopoly Market (“Monopoly”), for the purpose of selling illicit narcotics including opioids, stimulants, psychedelics, and prescription medications, among other drugs. Vendors had to complete an application to sell their products on Monopoly, which included providing descriptions of the drugs they wanted to sell, photographic proof of their inventory, and an agreement to pay a commission for sales completed through Monopoly. As the operator of Monopoly, Desnica reviewed and approved these applications and was aware that vendors were selling narcotics on his website.
In 2021, law enforcement within the United States placed and received numerous orders for narcotics on Monopoly from various vendors. Authorities were able to order more than 100 grams of methamphetamine on Monopoly.
In December 2021, in coordination with foreign law enforcement partners in Germany and Finland, the computer server hosting Monopoly was seized and taken offline. Through analysis of the seized server, law enforcement identified records of the narcotics sales facilitated by Monopoly, financial records documenting cryptocurrency payments on Monopoly, an online forum associated with Monopoly, communications from the Monopoly operator to vendors, commission payment invoices and more. Through extensive analysis of these records, Desnica was identified as the operator of Monopoly.
It is further alleged that between at least April 2020 and July 2022, Desnica used at least two cryptocurrency exchange services to exchange his illicit cryptocurrency, moving between blockchains used to document all cryptocurrency transactions to “clean” his illicit proceeds. Desnica then sold the illicit cryptocurrency to Serbia-based peer-to-peer traders in exchange for fiat currency — all in an effort to launder the proceeds of the illicit narcotics sales.
In November 2022, in coordination with the Austrian Fugitive Active Search Team (FAST) and the Public Prosecutors Office Vienna, Desnica was located and arrested in Austria. Law enforcement conducted a search of his residence and vehicle, seizing electronics and cash.
The charge of conspiracy to distribute and possess with intent to distribute 50 grams or more of methamphetamine carries a statutory maximum sentence of life in prison. The charge of conspiracy to launder monetary instruments carries a maximum term of 20 years in prison. The charges also carry potential financial penalties. The maximum statutory sentence for federal offenses is prescribed by Congress and is provided here for informational purposes. The sentencing will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
This case is being investigated by the FBI Washington Field Office’s Hi-Tech Opioid Task Force and Germany’s Zentrale Kriminalinspektion (ZKI) Oldenburg Cybercrime Unit. The Hi-Tech Opioid Task Force is composed of FBI agents, analysts, and task force partners, including special agents and officers of the Food and Drug Administration’s Office of Criminal Investigations, Drug Enforcement Administration, U.S. Postal Inspection Service, and detectives from local assisting police agencies. The task force is charged with identifying and investigating the most egregious darknet marketplaces and the vendors operating on the marketplaces who are engaged in the illegal acquisition and distribution of controlled substances, including fentanyl, methamphetamine, and other opioids.
Valuable assistance was provided by the Department of Justice’s Office of International Affairs; Finland’s National Bureau of Investigation; Europol; Germany’s Bundeskriminalamt; Austria’s Bundeskriminalamt Cybercrime Competency Center, FAST team, and Public Prosecutors Office Vienna; and the Republic of Serbia High-Tech Crimes Prosecutor. It is being prosecuted by Assistant U.S. Attorneys Andy Wang and Nihar Mohanty of the Violence Reduction and Trafficking Offenses (VRTO) Section of the U.S. Attorney’s Office for the District of Columbia.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
Carleena Graham Pleads Guilty to Defrauding Federal Program Funding RecipientRead the Press Release
Burlington, Vermont – The United States Attorney’s Office stated that Carleena Graham, 56, of Accokeek, Maryland, pleaded guilty today in United States District Court in Burlington to a charge of wire fraud. Chief U.S. District Judge Geoffrey W. Crawford released Graham on conditions pending sentencing on December 15, 2023.
On May 31, 2023, the United States filed a one count information charging Graham with wire fraud. The defendant pleaded guilty to that charge today. According to the information, the victim, World Learning, is a non-profit global development and exchange organization that delivers educational and professional training programs, and people-to-people exchange opportunities around the world. World Learning had headquarters in Brattleboro, Vermont and Washington, D.C. World Learning received millions of dollars in federal funding from the United States Department of State and the United States Agency for International Development.
In 2014, World Learning hired Graham as the Director of Human Resources. She was subsequently promoted to Divisional Vice President of Human Resources and then to Vice President of Human Resources. Graham worked in World Learning’s Washington office. By reason of her positions of trust, Graham had access to a World Learning credit card that was to be used for human resources purposes.
At the time she was employed by World Learning, Graham also held positions at or had relationships with other non-profit and charitable organizations in the Washington, D.C. area (together the “third party organizations”). Beginning in approximately 2016 and continuing until the middle of 2022, Graham orchestrated a scheme to defraud World Learning of hundreds of thousands of dollars. As part of the scheme, Graham arranged for goods and services to be delivered to the third-party organizations, and then fraudulently arranged for World Learning to pay for these goods and services via electronic transfers of funds from its Vermont bank account. As part of the scheme, Graham falsified invoices submitted by vendors for payment of the goods and services to make them appear as though World Learning was the recipient of the goods and services. Graham often misused her access to World Learning’s credit cards to cause World Learning to pay the expenses incurred by the third-party organizations.
According to the information, World Learning suffered a fraud loss of approximately $425,000. As part of her plea agreement, Graham will consent at sentencing to the entry of a $425,000 forfeiture money judgment.
Graham faces up to 20 years of imprisonment and a fine of up to twice the gross loss to the victim. The actual sentence will be determined by Chief Judge Crawford with reference to the Federal Sentencing Guidelines and the United States Code. In the plea agreement, the parties estimated that Graham’s advisory sentencing range of imprisonment under the sentencing guidelines is likely to be 27-33 months.
This case was investigated by the Offices of Inspector General (OIG) of both the United States State Department and the Agency for International Development. “The Department of State and USAID Offices of Inspector General are committed to working with the Department of Justice to protect the people, programs, and financial resources of the Department of State and USAID. This case highlights the importance of our continued vigilance to ensure the money awarded to grant recipients is used for legitimate purposes and does not fall victim to theft, embezzlement, fraud, or misuse and to hold accountable those whose schemes compromise the work of the State Department and USAID.” said USAID OIG Acting Special Agent in Charge Eric del Valle and Department of State OIG Special Agent in Charge Chris Hileman.
Graham is represented by Walter Reynoso, Esq. of Florida and Christina Nolan, Esq. of Burlington, Vermont. The prosecutor is Assistant U.S. Attorney Gregory Waples.
CVS to Pay $70,000 to Resolve Allegations That It Filled Fake PrescriptionsRead the Press Release
CONCORD –CVS has agreed to pay $70,000 to resolve allegations that it violated the Controlled Substances Act at CVS stores in New Hampshire, U.S. Attorney Jane E. Young announces.
“Pharmacies have a legal responsibility to ensure that controlled substances are dispensed only pursuant to valid prescriptions,” said United States Attorney Jane E. Young. “When pharmacies ignore red flags that a prescription is fraudulent, they miss a critical opportunity to prevent prescription drugs from being misused or diverted for unlawful uses or into the black market. We will use the Controlled Substances Act along with all other available tools to protect the residents of New Hampshire. I am grateful to the DEA’s diversion investigators for their investigative work in this case.”
“Pharmacies are responsible for handling controlled substances responsibly and staying in compliance with the Controlled Substance Act,” said DEA Special Agent in Charge Brian D. Boyle. “Any violation of that will not be tolerated. We are committed to working with our law enforcement and regulatory partners to ensure that these rules and regulations are followed.”
The U.S. Attorney’s Office contended that CVS pharmacists filled 41 forged prescriptions of Adderall, Ritalin, and Xanax. This affirmative civil enforcement resulted from two separate criminal investigations into individuals who filled prescriptions at multiple CVS pharmacies in New Hampshire. Theodoros Bahtsevanos pled guilty in June 2019 to two counts of misuse of a DEA registration number and one count of possession of five or more false identification documents, based on his presentment and obtaining numerous prescriptions under fictitious names. He was sentenced by U.S. District Court Judge Joseph Laplante to 3 years of probation on April 30, 2020. Jane Mastrogiovanni pled guilty to ten counts of obtaining controlled substances by fraud, forgery, deception or subterfuge in July 2020 based on her use of forged prescriptions to obtain controlled substances. She was sentenced to 3 years of probation on February 5, 2021, following transfer of the case to the U.S. District Court for New Jersey.
Under the Controlled Substances Act, a valid prescription for a controlled substance must be issued for a legitimate medical purpose by an individual practitioner acting in the usual course of his or her practice. Based on its investigation, the government alleged that the pharmacists at CVS should have known that they were presented with invalid prescriptions that should not have been filled.
The Drug Enforcement Administration led the investigation. The case was handled by Assistant U.S. Attorney Raphael Katz.
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Burlington Man Sentenced to 20 Years in Prison for Gun and Drug ChargesRead the Press Release
DAVENPORT, IA – A Burlington man was sentenced today to 20 years in federal prison for distributing methamphetamine and possessing a firearm in furtherance of his drug trafficking activities.
According to court documents and evidence presented at sentencing, Robert Gantz, 39, was identified as a source of methamphetamine in southeast Iowa. Officers purchased methamphetamine from Gantz with the use of a confidential source. In a subsequent search of a vehicle occupied by Gantz, officers located a handgun, with an obliterated serial number, two loaded magazines, methamphetamine, marijuana, and other items indicative of drug trafficking. At the time of his arrest, Gantz admitted to being involved in the distribution of methamphetamine. Gantz was also under supervision for a prior state drug conviction at the time of his arrest.
After completing his term of imprisonment, Gantz will be required to serve five years of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Southeast Narcotics Task Force and Burlington Police Department.
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. In May 2021, the Department of Justice 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.