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12 June 2023
SCDC Inmate Sentenced to Life in Federal Prison for Role in Drug Conspiracy and MurderRead the Press Release
Columbia, South Carolina --- Daniel Allen Shannon, 43, an inmate in the South Carolina Department of Corrections, was sentenced to life in federal prison after pleading guilty to conspiring to distribute methamphetamine. The court also held Shannon responsible for his role in orchestrating the 2019 murder of a Kershaw man as a part of this conspiracy.
Evidence presented to the court showed that Shannon used contraband cellphones to coordinate the distribution of large quantities of methamphetamine throughout Lancaster and Kershaw counties. After coming to believe that one of his drug couriers had been robbed, Shannon sent his associates to retaliate, and a Kershaw man was shot and killed in September of 2019. Shannon then ordered his co-conspirators to burn the residence where the murder occurred and dispose of the victim, whose body was discovered discarded alongside a highway in Westville, South Carolina.
Prosecutors presented evidence that, in addition to the drug trafficking and violence described above, showed Shannon also engaged in a “sextortion” scheme while incarcerated.
“This case illustrates the extreme danger posed by the presence of contraband cellphones in our prisons,” said United States Attorney Adair F. Boroughs. “We will not sit by as inmates use these phones to perpetrate violence, drug trafficking, sex crimes, and fraud, and will work with our federal and state partners to vigorously prosecute these offenders and protect the public.”
“This life sentence should serve as a warning, to anyone involved in heinous crimes such as the exploitation of children and drug trafficking, that you will be brought to justice and the punishment will be severe,” said Ronnie Martinez, special agent in charge for HSI Charlotte, which covers North and South Carolina. “HSI will continue to work closely with our law enforcement partners to protect our communities by disrupting and dismantling criminal organizations involved in these destructive and deadly activities.”
“This is yet another example of prisoners using contraband cellphones from behind state prison fences to continue committing crimes,” said Bryan Stirling, Director of the S.C. Department of Corrections.
At the time of his offense, Shannon was already serving a life sentence in the South Carolina Department of Corrections for the 2001 kidnapping, robbery, and murder of a Lexington restaurant manager.
Shannon was initially indicted on federal charges in February of 2022 and pleaded guilty in February of 2023.
United States District Judge Sherri A. Lydon sentenced Shannon to life in prison and recommended that he be incarcerated in one of two select high-security facilities within the Federal Bureau of Prisons. Shannon will be transferred to federal prison only if and when he is ever released from custody in SCDC. There is no parole in the federal system.
The case was investigated by Homeland Security Investigations (HSI), the Lancaster County Sheriff’s Office, and the Kershaw County Sheriff’s Office. Assistant U.S. Attorneys Chris Schoen and Ben Garner prosecuted the case.
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Romanian National Who Operated “Bulletproof Hosting” Service That Facilitated the Distribution of Destructive Malware Sentenced to Three Years in PrisonRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that MIHAI IONUT PAUNESCU, a/k/a “Virus,” was sentenced to three years in prison today in Manhattan federal court for conspiracy to commit computer intrusion in connection with running a “bulletproof hosting” service that enabled cybercriminals to distribute the Gozi Virus, the Zeus Trojan, the SpyEye Trojan, and the BlackEnergy malware, all of which were designed to steal confidential financial information. PAUNESCU also enabled other cybercrimes, such as initiating and executing distributed denial of service (“DDoS”) attacks and transmitting spam. PAUNESCU previously pled guilty before U.S. Magistrate Judge Valerie Figueredo on February 24, 2023. He was sentenced today by U.S. District Judge Lorna G. Schofield.
U.S. Attorney Damian Williams said: “Paunescu ran a ‘bulletproof’ hosting service that enabled cyber criminals throughout the world to spread malware that stole confidential financial information, crashed websites, and caused other harm. By allowing cybercriminals to acquire online infrastructure for their unlawful activity without revealing their true identities, Paunescu’s bulletproof hosting service shielded his criminal customers from both law enforcement and cybersecurity professionals, while enriching himself. Paunescu now faces prison time and will be required to forfeit his ill-gotten gains.”
In imposing today’s sentence, Judge Schofield said that PAUNESCU facilitated the distribution of “some of the most serious malware circulating at the time” and “made considerable money from it.”
As alleged in the Complaint, the Indictment, other documents in this case, and statements made in court:
The Gozi Virus is malicious computer code or “malware” that stole personal bank account information, including usernames and passwords, from the users of affected computers. The Gozi Virus infected over one million victim computers worldwide, among them at least 40,000 computers in the United States, including computers belonging to the National Aeronautics and Space Administration (“NASA”), as well as computers in Germany, Great Britain, Poland, France, Finland, Italy, Turkey, and elsewhere. The Gozi Virus caused tens of millions of dollars in losses to the individuals, businesses, and government entities whose computers were infected. Once installed, the Gozi Virus – which was intentionally designed to be undetectable by anti-virus software – collected data from the infected computer in order to capture personal bank account information, including usernames and passwords. That data was then transmitted to various computer servers controlled by the cyber criminals who used the Gozi Virus. These cyber criminals then used the personal bank account information to transfer funds out of the victims’ bank accounts and ultimately into their own personal possession.
Similar to the Gozi Virus, the Zeus Trojan and the SpyEye Trojan were designed to steal confidential financial information from victims’ computers. BlackEnergy was initially designed to launch World Wide Web-based DDoS attacks and later upgraded to include the ability to steal account access credentials.
“Bulletproof hosting” services helped cyber criminals distribute the Gozi Virus with little fear of detection by law enforcement. Bulletproof hosts provided cyber criminals using the Gozi Virus with the critical online infrastructure they needed, such as Internet Protocol (“IP”) addresses and computer servers, in a manner designed to enable them to preserve their anonymity.
PAUNESCU operated a “bulletproof hosting” service that helped cyber criminals to distribute some of the world’s most harmful malware, including the Gozi Virus, the Zeus Trojan, the SpyEye Trojan, and BlackEnergy, as well to as commit other cybercrimes, such as transmitting spam, which is an often used means of distributing malware. PAUNESCU rented servers and IP addresses from legitimate Internet service providers and then, in, turn rented those resources to cybercriminals; provided servers that cyber criminals used as command-and-control servers to conduct DDoS attacks; monitored the IP addresses that he controlled to determine if they appeared on a special list of suspicious or untrustworthy IP addresses; and relocated his customers’ data to different networks and IP addresses, including networks and IP addresses in other countries, to avoid being blocked as a result of private security or law enforcement scrutiny.
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In imposing the sentence, Judge Schofield gave PAUNESCU credit for the approximately one year and two months that the defendant was held in Romanian and Colombian custody prior to his extradition to the United States. In addition to his prison sentence, PAUNESCU, 39, of Bucharest, Romania, was ordered to forfeit $3,510,000 and pay restitution in the amount of $18,945.
Mr. Williams praised the investigative work of the Federal Bureau of Investigation. Mr. Williams also thanked the NASA Office of Inspector General and the Colombian National Police. In addition, Mr. Williams thanked the Department of Justice’s Computer Crime and Intellectual Property Section for its partnership in this matter. The U.S. Department of Justice’s Office of International Affairs of the Department’s Criminal Division, the Narcotic and Dangerous Drug Section Judicial Attachés in Bogota, Colombia, and the U.S. Marshal Service provided significant assistance in securing the defendant’s extradition from Colombia.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorney Sarah Lai is in charge of the prosecution.
Readout of the First SAFER Team Visit to FCI TallahasseeRead the Press Release
On Friday, June 9, Principal Associate Deputy Attorney General (PADAG) Marshall Miller led a Sexual Abuse Facility Enhancement and Review (SAFER) team, comprised of representatives of multiple components of the Justice Department, in a visit and review at Federal Correctional Institution (FCI) Tallahassee. This is the first in a series of SAFER visits to women’s facilities throughout the Federal Bureau of Prisons (BOP).
The Deputy Attorney General launched the SAFER team project to visit women’s facilities in each of BOP’s six regions and engage with leadership, staff, and women in custody at those facilities, as part of the Department’s ongoing efforts to root out sexual misconduct within the BOP. The SAFER team that visited FCI Tallahassee included representatives from the Office of the Deputy Attorney General, the BOP, the Office on Violence Against Women, and the Office for Access to Justice, and was joined by U.S. Attorney Jason Coody for the Northern District of Florida and representatives from the FBI.
During the visit, the team reviewed the facility’s progress implementing the recommendations of the Department’s Sexual Misconduct Working Group, including its initiatives to promote timely and effective reporting consistent with the Prison Rape Elimination Act (PREA). The team also reviewed the facility’s conditions, medical and mental health services, reentry programming, and Special Housing Unit, and spoke directly with women in custody. Following the visit, PADAG Miller and several team members visited the U.S. Attorney’s Office for the Northern District of Florida (the USAO), where they discussed the office’s work to prioritize cases involving misconduct committed by BOP personnel, including the USAO’s recent conviction of a former corrections officer at FCI Tallahassee who sexually abused a woman in his custody.
Readout of Associate Attorney General Vanita Gupta's Trip to ChicagoRead the Press Release
On Thursday, June 8 and Friday, June 9, Associate Attorney General Vanita Gupta traveled to Chicago. During her visit, she met with community members and local leaders to hear about critical issues in the Chicago area and discuss the department’s efforts to fight gun violence and violent crime through thoughtful work on policing, a focus on building trust between police and the communities they serve, and empowering communities to be co-producers of public safety. She was joined throughout the trip by Assistant Attorney General for the Office of Justice Programs (OJP) Amy Solomon.
University of Chicago Law School’s Law of Policing Conference
The Associate Attorney General kicked off her trip on Thursday, June 8, by serving as a featured speaker at the University of Chicago Law School’s Law of Policing Conference. During the UChicago event, she participated in a fireside chat with Professor Sharon Fairley to discuss the department’s work, including efforts to build police-community trust, pattern and practice investigations, work with law enforcement agencies seeking assistance through programs like the department’s Collaborative Reform Initiative and fund organizations and programs that center community voices in public safety conversations.
Associate Attorney General Vanita Gupta (left) speaks with University of Chicago Law Professor Sharon Fairley as part of the school’s Law of Policing Conference.Site Visits with Justice Department-Funded Community Violence Intervention and Prevention Programs and Families of Gun Violence Victims
On Thursday afternoon, the Associate and department officials visited the North Lawndale area for a site visit and community meeting, hosted by UCAN, to speak with representatives from organizations that help fund, provide and study community violence intervention and related services. Participants included: Metropolitan Family Services (MFS), an OJP grantee that received both site-based and capacity-building grants through the department’s Community Violence Intervention and Prevention Initiative (CVIPI) in Fiscal Year 2022 (FY22); a sub-grantee that will be receiving funds and other support from MFS through the capacity-building award; researchers from Northwestern University who are studying community violence intervention programs; and others. During the meeting, participants discussed ways to make federal grant funds more effective and accessible, and shared their experiences working with local law enforcement and collaborating with other community-based organizations to reduce violence in Chicago. Later that day, the Associate and other department officials met with mothers who have lost children to gun violence to listen to their concerns and challenges, including with navigating resources and services for victims. The meeting was hosted by New Life Centers of Chicagoland.
Justice Department officials meet with local and community leaders to discuss their efforts in the community violence and prevention space. New Life Centers of Chicagoland Executive Director Matt DeMateo leads Justice Department officials on tour of facility. Associate Attorney General Vanita Gupta (center, right), Assistant Attorney General Amy Solomon (far right, top) listen to mothers who lost their children to gun violence.Bringing Critical Stakeholders Together: Meetings with U.S. Attorney’s Office, University of Chicago Crime Lab, and Mayor of Chicago
On Friday, June 9, Associate Attorney General Gupta and Assistant Attorney General Solomon met with Acting U.S. Attorney Sonny Pasqual for the Northern District of Illinois and senior staff from his office, followed by a visit to the University of Chicago Crime Lab, which was joined by Senator Dick Durbin, to learn about the Crime Lab’s innovative work, including research on the effectiveness of community violence intervention programs, early warning systems in law enforcement agencies and more. The trip concluded with a meeting with Chicago Mayor Brandon Johnson and Chicago’s first-ever Deputy Mayor of Community Safety Garien Gatewood.
Through OJP, local organizations can access critical funding that can be used to support community-focused violence intervention and prevention programming. In FY22 alone, the department provided $100 million in funding for CVIPI, aimed at helping scale this type of community-based work and innovation to tackle public safety concerns. In addition, through OJP’s Office for Victims of Crime, the department offers grants, training and technical assistance to support victims and survivors of crime as they navigate difficult journeys of recovery and healing.
Providence Man Sentenced for Role in Counterfeit Check SchemeRead the Press Release
PROVIDENCE – A Providence man who willingly participated in a bank fraud scheme that obtained the bank routing and account information of unsuspecting individuals, and later used that information to create and deposit counterfeit checks and withdraw funds, has been sentenced to two years in federal prison, announced United States Attorney Zachary A. Cunha.
In pleading guilty to charges of conspiracy to commit bank fraud and bank fraud, Julio Ariza, 27, previously admitted to a federal judge that from approximately October 28, 2020, to November 4, 2020, he arranged for, and coordinated the deposit of ,at least seven counterfeit checks, with the intent to defraud banks out of $102,694.38.
According to information presented to the court, Ariza recruited individuals to allow counterfeit checks to be deposited into their accounts; deposited counterfeit checks into those accounts; and aided and abetted in the withdrawal of funds from those accounts.
Ariza was sentenced by U.S. District Court Judge William E. Smith on June 8, 2023, to 24 months on incarceration to be followed by three years of supervised release. Ariza was ordered to pay restitution to banks totaling $22,976.21, which reflected the actual loss to banks due to his criminal conduct.
A co-defendant in this matter, Nestor Concepcion, 27, of Johnston, similarly charged, pleaded guilty on January 21, 2022, and was sentenced on April 25, 2022, to sixteen months of incarceration to be followed by four years of federal supervised release. Concepcion admitted to the court that the intended loss to banks due to his criminal conduct totaled $71,717.77.
The case was prosecuted by Assistant United States Attorney Ly T. Chin.
The matter was investigated by the United States Postal Inspection Service.
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Port Allen Pharmacy and Pharmacist to Pay $275,000 to Resolve Federal Civil Lawsuit Under the Controlled Substances ActRead the Press Release
United States Attorney Ronald C. Gathe, Jr. announced that U.S. District Judge Brian A. Jackson has accepted and entered a Stipulated Order and Consent Judgment against Port Allen-based Stevens Pharmacy, Inc. and its owner, Steven W. Gough. The consent judgment resolves the United States’ claims under the federal Controlled Substances Act in the civil action, United States of America v. Stevens Pharmacy, Inc. and Steven W. Gough, Case No. 22-414-BAJ-SDJ in the U.S. District Court for the Middle District of Louisiana. Stevens Pharmacy and Steven Gough are required to pay $275,000.00 in civil penalties to the United States for the alleged unlawful dispensing or distribution of controlled substances based on facially invalid prescriptions and for allegedly failing to maintain accurate inventories of certain controlled substances.
As specified in the Stipulated Order and Consent Judgment, the United States contends that, between January 1, 2018, and March 4, 2020, Stevens Pharmacy and Steven Gough filled 1,179 facially invalid prescriptions for controlled substances. The purported violations of the Controlled Substances Act identified by the Government include: (a) dispensing more opioids—including hydrocodone, oxycodone, and fentanyl—than prescribed; (b) filling expired prescriptions for controlled substances; (c) filling unsigned prescriptions for controlled substances; (d) filling prescriptions for controlled substances lacking required elements, such as patient addresses or prescribers’ DEA registration numbers; (e) filling prescriptions for controlled substances in which the prescribers were unidentified; and (f) filling prescriptions for controlled substances before the prescriber-specified start dates of those prescriptions.
The consent judgment also requires Steven Gough to provide written notice to the U.S. Drug Enforcement Administration (DEA) if he engages in the practice of pharmacy within the United States and to consent to warrantless inspections and audits by the DEA for three years if he operates a pharmacy practice owned by him at any location within the United States. Mr. Gough previously surrendered the DEA Registration for Stevens Pharmacy following the March 4, 2020 execution by the DEA of an administrative inspection warrant at the pharmacy.
The Stipulated Order and Consent Judgment entered by the district court is not an admission of liability or wrongdoing by Stevens Pharmacy or Steven Gough, nor is it a concession by the United States that its claims are not well-founded.
This matter was investigated by the U.S. Drug Enforcement Administration and was litigated by Assistant United States Attorneys Chase E. Zachary and Davis Rhorer, Jr.
Owner of Firearm Used in Shooting of Newport News Teacher Pleads Guilty to Unlawful Firearm PossessionRead the Press Release
NEWPORT NEWS, Va. – A Newport News woman pleaded guilty today to illegally obtaining and possessing a firearm and making a false statement on a Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) form to purchase the firearm.
“It is clear from this case that enforcement of our existing federal firearm laws is critical to ensuring public safety,” said Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia. “Federal requirements for firearm ownership are not optional and exist to protect owners, their family members, and the communities where they live. Failing to abide by those requirements when purchasing or possessing a firearm can have far-reaching consequences.”
“The safety of our communities is one of my utmost concerns and our efforts will always reflect that. I want to be clear, anyone that is an unlawful user of or addicted to controlled substances such as marijuana are prohibited from possessing firearms and ammunition under federal law,” said ATF Washington Field Division Special Agent in Charge Craig B. Kailimai. “ATF will continue to collaborate with our local, state, and federal partners to ensure that people who violate this condition of firearm ownership are held accountable for their actions.”
According to court documents, on January 6, 2023, a six-year-old male child, John Doe, shot and severely injured a first grade Richneck Elementary School teacher with a Taurus, Model PT111, G2A, 9mm, semiautomatic handgun. Shortly thereafter, agents from the ATF conducted a trace on the firearm used in that incident, which revealed that the firearm was purchased by Deja Nicole Taylor, 25, on July 19, 2022. On January 19, federal agents executed a court-ordered search of Taylor’s home, during which agents discovered narcotics packaging, narcotics paraphernalia, marijuana, marijuana edible packaging, a box of ammunition, and a black firearm barrel lock. Agents also searched the home of Taylor’s mother, where Taylor was residing at the time, and found approximately 24.5 grams of marijuana, marijuana edible packaging, and marijuana paraphernalia. A search of Taylor’s phone revealed numerous text messages illustrating the pervasive scope of Taylor’s marijuana use. A lockbox was not found in either of the residences, nor was a trigger lock or key to a trigger lock ever found.
The investigation also uncovered a police report from the Williamsburg Police Department which stated that on Saturday April 3, 2021, Taylor was pulled over during a traffic stop in a vehicle with two other persons, including John Doe, who was four years old at the time. The Williamsburg Police officer conducting the stop detected an overwhelming odor of marijuana coming from the vehicle and marijuana was in plain view inside the vehicle. Several marijuana edibles that looked like rice treats were found inside the vehicle directly next to John Doe. A backpack claimed by another person in the vehicle was found to contain numerous individually packaged marijuana rice treats, gummies containing THC, suspected crack cocaine, two large bags of marijuana, two packages of “BackpackBoyz” marijuana from California, suspected oxycodone pills, green plant material, a smoking device, and more edibles. Digital scales were also found inside the vehicle. Taylor’s purse was searched, and marijuana edibles and three unknown white pills were found. During that traffic stop, Taylor was advised of her Miranda rights, and she denied all knowledge of drugs inside the vehicle.
On July 19, 2022, Taylor purchased the Taurus handgun used in the shooting. She was required by law to complete the Bureau of Alcohol, Tobacco, Firearms and Explosives Firearms Transaction Record, ATF Form 4473. She falsely stated on this form that she was not an unlawful user of marijuana or other controlled substances.
Taylor pleaded guilty to being an unlawful user of controlled substance in possession of a firearm and making a false statement during purchase of a firearm and is scheduled to be sentenced on October 18. She faces a maximum penalty of 25 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Craig B. Kailimai, Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after U.S. Magistrate Judge Douglas E. Miller accepted the plea.
Assistant U.S. Attorneys Lisa McKeel and Peter Osyf are 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. 4:23-cr-45.
Oconto County Man Sentenced to over 20 years in Federal Prison for Producing Child PornographyRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 9, 2023, Rocky R. Sonkowsky (age: 33) of Oconto County, Wisconsin, was sentenced to 260 months in federal prison by Senior United States District Judge William C. Griesbach.
According to court records, in Summer 2021, while babysitting his girlfriend’s infant child and changing the child’s diaper, Sonkowsky sexually assaulted the child and captured 21 images of the abuse on his smartphone. The images were discovered when police began investigating Sonkowsky for his online activities, which included downloading child pornography and engaging in online communications with underage children.
When sentencing Sonkowsky, Judge Griesbach noted the horrendous nature of the crime and the horrific abuse of trust inherent in Sonkowsky’s criminal acts. Judge Griesbach found a strong need to protect the public from Sonkowsky, a self-described pedophile. Ultimately, Judge Griesbach determined that 260 months in federal prison was a fair and just sentence. Upon the completion of his federal prison sentence, Sonkowsky will spend the remainder of his life on supervised release. He will also have to register as a sex offender under state and federal law.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Wisconsin Department of Justice, Division of Criminal Investigation, the Oconto County Sheriff’s Office, and the City of Oconto Police Department. It was prosecuted by Assistant United States Attorney Daniel R. Humble.
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New York Resident Pleads Guilty to Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – PEDRO SARANTE, age 42, a resident of Bronx, New York, pled guilty on June 8, 2023, before United States District Judge Carl J. Barbier to a one-count superseding bill of information charging him with conspiracy to distribute and possess with intent to distribute a quantity of cocaine hydrochloride, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(C), and 846, announced U.S. Attorney Duane A. Evans.
According to court documents, on May 2, 2022, a Louisiana State Trooper conducted a traffic stop on a 2005 Peterbilt tractor bearing a New Jersey license plate to perform a motor carrier inspection on Interstate 12 East near milepost 57. The trooper identified the driver of the tractor (Co-conspirator 1) and the passenger in the sleeper area of tractor (SARANTE) and confirmed that SARANTE owned the tractor.
The trooper interviewed both vehicle occupants regarding their itinerary and cargo. Neither of them were able to identify the cargo or detail their itinerary. Troopers conducted a consensual search of the vehicle and seized three (3) rolling duffel bags containing a total of approximately seventy-four (74) kilograms of suspected cocaine from the sleeper area of the tractor. The troopers arrested both Co-conspirator 1 and SARANTE.
In a post-arrest interview, SARANTE admitted that he was hired to travel from the Bronx, New York, NY to Baytown, TX to pick up a load of narcotics and transport them to Newark, NJ. SARANTE advised the interviewing agents that he was going to be paid $1,000.00 per kilogram, once he delivered the drugs to Newark, NJ.
For the conspiracy count, SARANTE faces a maximum term of imprisonment of twenty (20) years, a fine of up to $1,000,000.00, a term of supervised release of at least three (3) years, and a mandatory special assessment fee of $100.00. SARANTE is scheduled to be sentenced on September 28, 2023.
This case was investigated by the Drug Enforcement Administration and the Louisiana State Police. The prosecution is being handled by Assistant United States Attorney André Jones.
New Orleans Man Charged in Superseding Indictment with Federal Gun OffenseRead the Press Release
NEW ORLEANS, LOUISIANA – MAURICE FLORANT, age 34, a resident of New Orleans, Louisiana, was charged on June 9, 2023, in a one-count superseding indictment for a violation of the Federal Gun Control Act, announced U.S. Attorney Duane A. Evans.
FLORANT is charged with possession of a firearm by a convicted felon, in violation of Title 18, United States Code, Section 922(g)(1). The superseding indictment alleges that FLORANT possessed two separate firearms, a Palmetto State Armory PA-15 .556 caliber pistol, and a CZ Scorpion EVO 3 S1 9milli-meter pistol.
FLORANT faces a maximum term of imprisonment of 15 years, up to a $250,000 fine, up to three years of supervised release, and a mandatory special assessment fee of $100.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
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.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Jefferson Parish Sheriff’s Office, the Jefferson Parish District Attorney’s Office, and the New Orleans Police Department . Assistant United States Attorney Mark A. Miller of the Violent Crime Unit is assigned the prosecution.
New Jersey Man Pleads Guilty to Participating in Multi-Million-Dollar Kickback Scheme to Defraud Williams SonomaRead the Press Release
SAN FRANCISCO – Michael Podhurst pleaded guilty in federal court today to charges related to his role in a multi-million-dollar fraudulent kickback scheme, announced United States Attorney Ismail J. Ramsey and Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Darren Lian. The guilty plea was accepted by the Hon. Richard Seeborg, U.S. District Judge.
In his plea agreement, Podhurst, 62, of Monroe Township, New Jersey, admitted he conspired with a co-defendant, a former executive at Williams Sonoma, Inc. (WSI), to defraud WSI by paying kickbacks to a shell company controlled by the co-defendant. In the agreement Podhurst admitted that he paid kickbacks in exchange for his co-defendant directing WSI business to three warehouse logistics companies where Podhurst held executive positions and ownership interests. Per Podhurst’s plea agreement, the kickbacks were concealed from WSI. WSI is a home-goods retailer headquartered in San Francisco that operates brands such as Williams Sonoma, Pottery Barn, and West Elm.
As alleged in the indictment and admitted to in the plea agreement, between approximately October 2018 and July 2022, Podhurst worked for three companies that provided WSI warehouses with forklifts, warehouse racking systems, and machinery. WSI used these warehouses to store and distribute WSI goods around the United States. Using his position and interest within the companies where he worked, Podhurst caused his companies to pay his co-defendant kickbacks in exchange for his co-defendant causing WSI to award and sign contracts with and make payments to the companies affiliated with Podhurst. During a four-year period, Podhurst directed the three companies where he worked to pay more than $12 million in kickbacks to a shell company owned and controlled by his co-defendant.
Podhurst was indicted by a federal Grand Jury on April 11, 2023. He was charged with one count of wire fraud and honest services wire fraud conspiracy, in violation of 18 U.S.C. § 1349; six counts of wire fraud and honest services wire fraud, in violation of 18 U.S.C. §§ 1343 and 1346; and one count of money laundering conspiracy, in violation of 18 U.S.C § 1956(h). Under the plea agreement, Podhurst pleaded guilty to the wire fraud conspiracy and the money laundering conspiracy counts. If Podhurst complies with his plea agreement, the remaining counts will be dismissed at sentencing.
Podhurst is currently released on bond. His next scheduled appearance is November 14, 2023. Podhurst faces a statutory maximum of 20 years in prison for each of the wire fraud conspiracy and money laundering conspiracy counts, as well as a $250,000 fine for the wire fraud conspiracy count and a $500,000 fine for the money laundering conspiracy count. As part of any sentence the court also may order Podhurst to serve an additional term of supervised release and to pay restitution, if appropriate. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
On May 30, 2023, co-defendant Kourosh Mirmedhi pleaded guilty to wire fraud and money laundering conspiracy charges. Charges against two of Podhurst’s co-defendants remain pending.
The case is being prosecuted by the Corporate and Securities Fraud Section of the U.S. Attorney’s Office for the Northern District of California, and Assistant U.S. Attorneys Ross Weingarten and Christiaan Highsmith are prosecuting the case with the assistance of Elizabeth Kim. The prosecution is the result of an investigation by the IRS-CI.New Jersey Man Charged with Using Postal Keys to Steal Mail from Mail Collection Boxes in New Haven and West HavenRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division, announced that IXAVIER HOLMAN, JR., 31, of Secaucus, New Jersey, was arrested today on a federal criminal complaint charging him with mail theft offenses.
As alleged in court documents and statements made in court, on at least six occasions between December 2022 and June 2023, Holman used stolen mail collection box keys to steal mail from blue collection boxes at post offices located at 95 Fountain Street in New Haven and 589 Campbell Avenue in West Haven. Holman was arrested this morning after he returned to the West Haven post office and accessed the collection box in an attempt to steal mail.
It is alleged that, at the time of his arrest, Holman possessed two mail collection box keys.
The complaint charges Holman with possession of a postal key, an offense that carries a maximum term of imprisonment of 10 years; theft of mail, an offense that carries a maximum term of imprisonment of five years; and theft of U.S. Postal Service property, an offense that carries a maximum term of imprisonment of three years.
U.S. Attorney Avery stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Holman appeared today before U.S. Magistrate Judge Maria E. Garcia in New Haven and was released on bond.
This investigation is being conducted by the U.S. Postal Inspection Service and the West Haven and New Haven Police Departments. The case is being prosecuted by Assistant U.S. Attorney Daniel E. Cummings.
Individuals who believe they are a victim of mail theft may file a complaint by calling 877-876-2455 or by visiting https://www.uspis.gov/report.
Multiple defendants indicted, prosecuted on federal firearms chargesRead the Press Release
SAVANNAH, GA: Three people have been indicted in the Southern District of Georgia on felony charges including illegal firearms possession, while additional defendants have been sentenced to federal prison or await further proceedings after pleading guilty to federal charges including illegal possession of firearms.
The cases were investigated as part of Project Safe Neighborhoods in collaboration with federal, state, and local law enforcement agencies, including the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the FBI, to reduce violent crime with measures that include targeting convicted felons who illegally carry guns.
“In collaboration with our law enforcement partners, we are committed to the safety and security of our communities,” said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. “Removing guns from the hands of violent criminals and convicted felons makes all of us safer.”
In the past four years, more than 830 defendants have been federally prosecuted in the Southern District of Georgia for illegal firearms offenses – most often for possessing a firearm after conviction for a previous felony. That charge carries a statutory penalty of up to 15 years in prison, and there is no parole in the federal system.
Those indicted during the June term of the U.S. District Court Grand Jury include:
- Ashley Chase Lee, 40, of Alma, Ga., charged in a superseding indictment with Escape from Custody; Possession of a Firearm and Ammunition by a Convicted Felon; Possession of a Firearm by a Convicted Felon; Possession of Methamphetamine with Intent to Distribute; Possession of a Stolen Firearm; and Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
- Thomas Antonio Heard, 36, of Washington, Ga., charged with Possession of a Firearm by a Convicted Felon; and,
- Isaac Wilford Stewart, 23, of Augusta, charged with Possession of a Firearm by a Convicted Felon.
Defendants recently adjudicated on federal firearms charges include:
- Ricky Maurice Johnson, 35, of Swainsboro, Ga., sentenced to 120 months in prison after pleading guilty to Possession of a Firearm by a Convicted Felon. In June 2022, Johnson sped away from a Georgia State Patrol trooper attempting a traffic stop and was arrested after a brief foot chase. Savannah Police officers found a pistol Johnson dropped during the chase. Johnson has a prior felony conviction for illegal firearms possession.
- Robert Triche, 40, of Savannah, sentenced to 110 months in prison after pleading guilty to Possession of a Firearm by a Convicted Felon. In connection with a vehicle stop, Triche was determined to be in possession of a firearm. Triche, who previously was convicted on state drug trafficking charges, was on state parole at the time of his arrest.
- Titus Nathaniel Travis, 23, of Augusta, sentenced to 70 months in prison and fined $1,500 after pleading guilty to Possession of a Firearm by a Convicted Felon. Travis was on probation from a prior felony conviction in June 2022 when Richmond County Sheriff’s deputies, FBI agents and officers from the Georgia Department of Community Supervision searched Titus’ residence and found two pistols and a rifle. Travis is a member of a Bloods-affiliated criminal street gang.
- Antonio D’Avaris Bowens, 35, of Gray, Ga., sentenced to 10 months in prison after pleading guilty to Possession of a Firearm by a Prohibited Person, relating to a prior conviction for domestic violence. U.S. Customs and Border Protection found a pistol in Bowens’ vehicle as Bowens attempted to enter the Port of Savannah in May 2022.
- Kevon Quantae Davis, 23, of Augusta, sentenced to 46 months in prison and fined $1,500 after pleading guilty to Possession of a Firearm by a Convicted Felon. Richmond County Sheriff’s deputies arrested Davis in January 2022 as part of Operation Grace, a gang-focused investigation in coordination with the FBI. A member of the Bolt Alley Drive Boyz street gang, Davis dropped a pistol while running on foot from deputies.
- Amir Dontell Foreman, 27, of Augusta, sentenced to five years’ probation and fined $1,200 after pleading guilty to Possession of a Firearm by a Convicted Felon. Richmond County Sheriff’s deputies arrested Foreman in August 2022 after finding a pistol in his vehicle during a traffic stop as part of Operation Grace.
- Christopher Washington, 53, of Savannah, sentenced to 33 months in prison after pleading guilty to Possession of a Firearm by a Convicted Felon. Washington was charged after a Georgia Ports Authority officer found a firearm in Washington’s vehicle during a routine screening at a port facility in Port Wentworth, Ga. Washington has prior felony convictions for domestic violence, gun possession, and robbery.
- Kenneth Sallen, 43, of Savannah, sentenced to 56 months in prison after pleading guilty to Possession of a Firearm by a Convicted Felon. Sallen was arrested in July 2022 when Pooler police officers found a pistol in his waistband during a traffic stop. Sallen previously was convicted of armed robbery and was on probation for a firearms charge at the time of his arrest.
- Nicholas Robinson, 22, of Savannah, sentenced to 46 months in prison after pleading guilty to Possession of a Firearm by a Convicted Felon. Savannah Police officers arrested Robinson in March 2022 after finding two pistols in Robinson’s pockets while investigating a domestic disturbance at a motel.
- Calvin Lomont Powell Jr., 22, of Waynesboro, Ga., awaits sentencing after pleading guilty to Possession of a Firearm by a Convicted Felon. Georgia State Patrol troopers found a pistol, drugs, and cash in Powell’s car during a June 2022 traffic stop.
- Javonte Deshawn Washington, 30, of Savannah, awaits sentencing after pleading guilty to Straw Purchase of a Firearm. In his plea, Washington agreed that in November 2022 he aided and abetted Nygeria Tasheema Brown, 32, of Savannah, in purchasing a semi-automatic pistol for Washington from a Chatham County gun store even though he knew that, as a convicted felon, he was prohibited from possessing a firearm. Garden City police officers found Washington in possession of the gun later that month when responding to a report of a man pointing a gun at motorists outside an apartment complex. Brown awaits sentencing after pleading guilty to False Statement During the Purchase of a Firearm.
- Tekayo Spencer, 39, of Savannah, awaits sentencing after pleading guilty to Possession of a Firearm by a Convicted Felon. Savannah police officers arrested Spencer in June 2022 during an investigation into a man brandishing a firearm during a domestic dispute. Spencer has convictions for assault and gun possession.
- Melvin Jamarcus Lanier, 42, of Statesboro, awaits sentencing after pleading guilty to Possession of a Stolen Firearm. Statesboro police officers arrested Lanier in January 2021 during a traffic stop after finding a pistol in his vehicle.
- Lyondo Larell Ware, a/k/a “China,” 43, of Augusta, awaits sentencing after pleading guilty to Possession of a Firearm by a Convicted Felon. Ware was on felony probation when Richmond County deputies found a loaded pistol while searching his residence in September 2021.
- Tavares L. Freeman Jr., 22, of Augusta, awaits sentencing after pleading guilty to Possession of a Firearm by a Convicted Felon. Freeman was arrested in August 2022 after he was seen tossing a pistol from a window of his home as Richmond County sheriff’s deputies and agents from the Georgia Department of Community Supervision arrived to conduct a search of the residence. Freeman was on probation from a state felony conviction at the time.
- Todd Joseph Harbuck, 47, of Augusta, awaits sentencing after pleading guilty to Possession of a Firearm by a Convicted Felon. Harbuck was arrested on an outstanding warrant after a domestic violence incident in Columbia County. Harbuck has a previous federal conviction for gun possession by a convicted felon, and multiple state-level convictions for violent felonies.
Agencies investigating these cases include the ATF, the FBI, the Georgia Bureau of Investigation, the Savannah Police Department, the Richmond County Sheriff’s Office, and the Georgia State Patrol.
The cases are being prosecuted for the United States by the Southern District of Georgia U.S. Attorney’s Office.
Under federal law, it is illegal for an individual to possess a firearm if he or she falls into one of nine prohibited categories including being a felon; illegal alien; or unlawful user of a controlled substance. Further, it is unlawful to possess a firearm in furtherance of a drug trafficking offense or violent crime. It is also illegal to purchase – or even to attempt to purchase – firearms if the buyer is a prohibited person or illegally purchasing a firearm on behalf of others. Lying on ATF Form 4473, which is used to lawfully purchase a firearm, also is a federal offense.
For more information from the ATF on the lawful purchasing of firearms, please see: https://www.atf.gov/qa-category/atfw-form-4473
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Midwest Veterinary Supply Sentenced for Misbranding Veterinary DrugsRead the Press Release
ABINGDON, Va. – Midwest Veterinary Supply (Midwest), a Minnesota-based company that supplies prescription drugs for animals to veterinarians, farms, feedlots, and other businesses, was sentenced today to one year of probation for introducing misbranded drugs into interstate commerce. In addition, Midwest Veterinary Supply agreed to pay over $ 11 million in criminal fines and forfeiture.
“This case is an example of how seriously the United States Attorney’s Office takes the distribution of misbranded prescription drugs, whether for human or animal consumption,” United States Attorney Christopher R. Kavanaugh said today. “The law is designed to ensure that prescription drugs are kept within a controlled chain of distribution to prevent diversion and inappropriate use, and companies must be held accountable when they go outside of that chain. I am grateful for the work of the FDA and Virginia State Police in bringing justice in this case and their continued work keeping our prescription drug programs here in Virginia safe for all.”
“The FDA recognizes the importance of controlling the prescription drug supply for animals. The careless or uncontrolled distribution of prescription animal drugs poses a danger not only to the medicated animals but to the U.S. public health by increasing the risk that humans will become resistant to antibiotics that we unknowingly consume through our food supply.” said Special Agent in Charge George A. Scavdis, FDA Office of Criminal Investigations Metro Washington Field Office. “We will continue to pursue and bring to justice those who distribute prescription animal drugs unlawfully.”
According to court documents, from 2011-2021, Midwest charged and shipped over $10 million in prescription drugs from their non-pharmacy locations throughout the United States to end-users that were not authorized to receive prescription drugs. Shipments from non-pharmacy locations to non-authorized end-users or locations are deemed “misbranded.”
Midwest will forfeit $10,150,014, pay $1,000,000 to the Virginia Department of Health Professions, and pay $500,000 in fines.
The U.S. Food and Drug Administration – Office of Criminal Investigations and the Virginia State Police investigated the case, with the assistance of the Virginia Department of Health Professions.
Assistant U.S. Attorney Randy Ramseyer prosecuted the case.
Microsoft Agrees to Pay $20 Million Civil Penalty for Alleged Violations of Children’s Privacy LawsRead the Press Release
The Justice Department, together with the Federal Trade Commission (FTC), announced today that the United States has resolved a case against Microsoft Corp. regarding its practices for collecting and retaining personal information from children who use Microsoft’s Xbox Live service. The stipulated order issued by the court today requires Microsoft to pay $20 million in civil penalties and imposes injunctive relief to settle allegations that Microsoft violated the Children’s Online Privacy Protection Act (COPPA) and the Children’s Online Privacy Protection Rule (COPPA Rule) in connection with the Xbox Live service, which consumers use to connect online and with others through the Xbox brand of gaming consoles.
In a complaint filed in the U.S. District Court for the Western District of Washington, the United States alleges that Microsoft knew that certain users were children but nonetheless continued to collect personal information, such as telephone numbers, before notifying parents of Microsoft’s information collection practices and before obtaining parental consent. In addition, the complaint alleges that, while Microsoft provided some notice to parents, that notice was incomplete and thus failed to comply with the COPPA Rule’s requirements. Finally, the complaint alleges that in certain instances when children started, but did not complete, creating Xbox Live accounts, Microsoft retained their personal information for longer than permitted by the COPPA Rule.
“It is essential that before collecting children’s personal information, online companies provide complete and timely disclosures about their information collection practices so that parents can make informed decisions,” said Principal Deputy Assistant Attorney General Brian Boynton, head of the Justice Department's Civil Division. “The department and the FTC are committed to ensuring that companies comply with the laws specifically designed to safeguard the privacy of children.”
“This settlement requires Microsoft to clearly communicate with parents about their child’s data and sets up procedures to monitor Microsoft’s compliance with federal statutes regarding children’s online privacy. This work will make children safer online,” said U.S. Attorney Nick Brown for the Western District of Washington. “I commend Microsoft for quickly acknowledging it was illegally collecting and retaining personal data of children younger than 13, and for taking steps to fix the problem.”
“Our proposed order makes it easier for parents to protect their children’s privacy on Xbox, and limits what information Microsoft can collect and retain about kids,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “This action should also make it abundantly clear that kids’ avatars, biometric data, and health information are not exempt from COPPA.”
This matter is being handled by Trial Attorney Katherine M. Ho, Senior Trial Attorney James T. Nelson, and Assistant Director Lisa K. Hsiao of the Civil Division’s Consumer Protection Branch, and Assistant U.S. Attorney Rebecca S. Cohen for the Western District of Washington. Megan Cox and Peder Magee represent 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 U.S. Attorney’s Office for the Northern District of California, visit its website at www.justice.gov/usao-wdwa. For more information about the FTC, visit its website at www.FTC.gov.
Massachusetts Drug Courier Sentenced to 4 Years in Federal PrisonRead the Press Release
PORTLAND, Maine: A Massachusetts man was sentenced today in U.S. District Court in Portland for his role in a conspiracy to traffic fentanyl and cocaine from Lawrence, Mass. to the Sanford area, where it was further distributed by other members of the conspiracy.
U.S. District Judge George Z. Singal sentenced Franklin Frias, 58, to 48 months of imprisonment followed by three years of supervised release. Frias pleaded guilty on November 29, 2022.
According to court records, in November 2019, Frias was tasked by a drug dealer in Lawrence, Mass. known as “Junior,” to collect a drug debt from a local dealer in Sanford. Both Frias and “Junior” were unaware that the previous couriers had been intercepted by law enforcement, who had seized the most recent shipment to the Sanford dealer—approximately 50 grams of fentanyl and 107 grams of powder cocaine. When Frias arrived at the pre-determined location and stated that he was there to collect “Junior’s” money, he was arrested by agents of the U.S. Drug Enforcement Administration (DEA).
In imposing sentence, Judge Singal reflected on the gravity of the fentanyl epidemic, and how corrosive it has been to community and families in Maine.
The DEA, in partnership with the Maine State Police, investigated the case.
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Maryland U.S. Attorney’s Office Joins with State Agencies and Non-Profits to Combat Financial Exploitation of Older AdultsRead the Press Release
Baltimore, Maryland - The U.S. Attorney’s Office has partnered with AARP Maryland, the Maryland Attorney General, the Comptroller of Maryland, the Maryland Department of Aging, the Maryland Department of Human Services, and the Office of Financial Regulation in the Maryland Department of Labor, as well as businesses and consumer groups to sponsor PROTECT Week to raise awareness and help prevent financial fraud targeting older adults. A press conference was held today to kick-off PROTECT Week, held June 12-16, 2023. PROTECT Week offers opportunities to learn about the many forms of abuse, neglect, and financial exploitation of older Marylanders. The U.S. Attorney’s Office is participating in events all month, including public outreach events such as a tele-town hall, and educational programming.
“Targeting vulnerable elderly victims is unconscionable and PROTECT Week is a great time to learn about scams targeting older adults and how to avoid them,” said Erek L. Barron, United States Attorney for the District of Maryland. “But if you, or someone you know, is a victim of financial fraud, I urge you to report it. Help is available through the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311) and you could prevent someone else from becoming a victim.”
PROTECT WEEK EVENTS:
Interview with Shawn Perry of the Senior Zone – airing June 12 at 10:00 a.m.
Maryland U.S. Attorney Erek L. Barron will participate in an interview with Shawn Perry of the Senior Zone AM radio program to promote PROTECT Week. The interview will discuss tips for recognizing and avoiding scams, the importance of reporting fraud, and the Department of Justice’s Elder Fraud Hotline.
Tele-town Hall – June 15 at 11:30 a.m.
U.S. Attorney Erek Barron, Maryland Comptroller Brooke Lierman, and Karen Straughn with the Maryland Office of the Attorney General’s Consumer Protection Division will participate in an AARP tele-town hall. The tele-town hall will discuss Maryland’s new Transnational Elder Fraud Strike Force, trends in fraud schemes, and resources for reporting fraud. The tele-town hall reaches thousands of Marylanders in every county throughout the state.
Now in its sixth year, PROTECT Week 2023 includes World Elder Abuse Awareness Day, observed on June 15. More information on World Elder Abuse Awareness Day can be found here. For a list of PROTECT Week coalition members and to register for events, visit www.aarp.org/md.
Reporting from consumers about fraud and fraud attempts is critical to law enforcement’s efforts to investigate and prosecute schemes targeting older adults. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available through the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This 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 next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting or connect them with agencies, and provide resources and referrals on a case-by-case basis. The hotline is staffed from 10:00 a.m. to 6:00 p.m. Monday through Friday. English, Spanish, and other languages are available. More information about the Department’s elder justice efforts can be found on the Department’s Elder Justice website, www.elderjustice.gov.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help older adults, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/elder-justice-initiative.
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Madill Resident Sentenced for Assault in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Michael Paul Blagg, age 44, of Madill, Oklahoma, was sentenced to 51 months in prison for intentionally assaulting another individual with a dangerous weapon.
The charges arose from investigations by the Bryan County Sheriff’s Office and the Bureau of Indian Affairs.
On July 20, 2022, Blagg pleaded guilty to one count of Assault with a Dangerous Weapon with the Intent to do Bodily Harm in Indian Country. According to court documents, on August 12, 2020, Blagg entered another individual’s residence and struck the victim multiple times with the stock of a shotgun. The crime occurred in Bryan County, within the boundaries of the Chickasaw Nation Reservation and within the Eastern District of Oklahoma.
The Honorable Timothy D. DeGiusti, Chief Judge in the United States District Court for the Western District of Oklahoma, sitting by assignment, presided over the hearings in Oklahoma City. Blagg will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Jordan Howanitz represented the United States.
Luzerne County Man Pleads Guilty to Fentanyl TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Eric Hill, age 34, of Plymouth, Luzerne County, pleaded guilty on June 8, 2023, before U.S. District Court Judge Robert D. Mariani, to the charge of conspiracy to distribute more than 400 grams of fentanyl.
According to United States Attorney Gerard M. Karam, Hill admitted to conspiring with other individuals to distribute between 400 grams and 1.2 kilograms of fentanyl in the Luzerne County area between 2019 and 2020. Hill was indicted by a grand jury in August 2020 for fentanyl trafficking.
The charge against the defendants resulted from an investigation conducted by the Bureau of Alcohol, Tobacco, and Firearms (ATF), the Kingston Police Department, the Luzerne County Drug Task Force, and the Pennsylvania State Police. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
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.
Under federal law, the carries a mandatory minimum sentence of 10 years in prison, a maximum sentence of up to life in prison, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Leader of Human Smuggling Organization Sentenced to 96 Months in PrisonRead the Press Release
TUCSON, Ariz. – Manuel Ochoa-Vasquez, 39, of Paso Hondo, Mexico, was sentenced last week by United States District Judge John C. Hinderaker to a term of 96 months in prison, followed by 3 years of supervised release, for his management role in a criminal conspiracy to harbor and transport thousands of undocumented non-citizens. Ochoa-Vasquez pleaded guilty on December 15, 2022, to Conspiracy to Transport Illegal Aliens for Profit and Conspiracy to Commit Money Laundering.
Agents from Homeland Security Investigations (HSI) conducted a year-long court-approved wiretap after discovering that people were being smuggled from the United States border to a mechanic’s shop and several residences in the Phoenix Metro area. During the execution of search warrants, 54 undocumented non-citizens were found in the primary stash house operated by Ochoa-Vasquez and his co-conspirators. The investigation revealed that the people being smuggled were detained at the stash house until their smuggling fees were paid. Additionally, wire communications revealed that Ochoa-Vasquez and his co-conspirators sometimes threatened the families or sponsors of the people being smuggled if the smuggling fees were late.
During search warrants executed at the residences of Ochoa-Vasquez and co-conspirator Carlos Barron-Arredondo, agents located guns, ammunition and over $1.4 million in cash. Ledgers recovered at their residences documented the smuggling of more than 7,000 people. Further investigation by HSI and the Internal Revenue Service also identified the ways in which co-conspirators had laundered the money gained from the smuggling operations.
In addition to Ochoa-Vasquez’s sentence, Barron-Arredondo received a sentence of 57 months in prison, followed by 36 months of supervised release. The remaining 13 co-conspirators, all of whom pleaded guilty and who had various levels of culpability in the organization, were given sentences ranging from time served to as much as 63 months in prison.
This prosecution 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.
The investigation in this case was conducted by Homeland Security Investigations – Sells Office, in coordination with IRS Criminal Investigation. The United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBERS: CR-21-01042-TUC-JCH
CR-21-01601-TUC-JCH
RELEASE NUMBER: 2023-091_Ochoa-Vasquez# # #
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.Las Cruces Man Sentenced to Five Years in Prison on Child Pornography ChargesRead the Press Release
EL PASO, Texas – A New Mexico man was sentenced in a federal court in El Paso on Thursday to 60 months in prison for receipt and distribution of a visual depiction involving the sexual exploitation of a minor.
According to court documents, Robey Lynn Humphrey, 58, of Las Cruces, received child sexual abuse material (CSAM) from other individuals on the internet in October 2022. He was arrested on October 25, 2022, on a criminal complaint alleging Humphrey coerced and enticed a minor via a social messaging app. FBI agents executed a search warrant of Humphrey’s residence on November 2, 2022, seizing four tablet computers, one of which revealed the illicit files. Humphrey has remained in federal custody since his arrest.
“My office is committed to protecting our children and will continue to prosecute those who prey on them,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “I am grateful to the FBI for their diligent investigation, providing key evidence that contributed to this just decision and holding yet another child predator accountable.”
"The exploitation of innocent children is a heinous crime and demands our relentless focus on bringing these terrible subjects to justice," said Special Agent in Charge Jeffrey R. Downey for the FBI El Paso Field Office. "Thanks to the hard work of the FBI El Paso’s Child Exploitation & Human Trafficking Task Force, this sentencing sends a message that these horrible crimes will not be tolerated in our community."
The FBI investigated the case.
Assistant U.S. Attorney Mallory Rasmussen prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Kenner Man Pleads Guilty to Misprision of a FelonyRead the Press Release
NEW ORLEANS, LOUISIANA – RYAN MOREAU, age 30, a resident of Kenner, Louisiana, pled guilty on June 7, 2023, before United States District Judge Jane Triche Milazzo to a one-count superseding bill of information charging him with misprision of a felony, in violation of Title 18, United States Code, Section 4, announced U.S. Attorney Duane A. Evans.
According to court documents, on November 19, 2020, a Jefferson Parish Sheriff’s Deputy learned than an individual was traveling eastbound on Interstate 10 after having purchased narcotics from his source of supply. Agents establishing surveillance along Interstate 10 and locating the vehicle, agents conducted a traffic stop of the vehicle. As the agents approached the vehicle, the front seat passenger gave a bag containing several ounces of methamphetamine to MOREAU, who was seated in the back seat of the truck, to put into a container of bleach also located on the back seat of the truck. As one of the agents approached MOREAU, he observed a torn plastic bag with methamphetamine next to MOREAU, who acknowledged that he placed the methamphetamine in the container of bleach to avoid detection from law enforcement.
For the misprision count, MOREAU faces a maximum term of imprisonment of three (3) years, a fine of up to $250,000.00, a term of supervised release of one (1) year, and a mandatory special assessment fee of 100.00. MOREAU is scheduled to be sentenced on October 11, 2023.
This case was investigated by the Drug Enforcement Administration and the Jefferson Parish Sheriff’s Office. The prosecution is being handled by Assistant United States Attorney André Jones.
KC Man Sentenced in $1.1 Million Insurance Fraud ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – A Kansas City, Mo., man was sentenced in federal court today for his role in a $1.1 million insurance fraud scheme that involved false claims of injuries suffered in car accidents.
Michael Stuart Smith, also known as “Black Mike,” 36, was sentenced by U.S. District Judge Roseann Ketchmark to four years in federal prison without parole. The court also ordered Smith to pay $40,836 in restitution to his victims.
On April 26, 2022, Smith pleaded guilty to participating in a conspiracy to commit wire fraud and to participating in a conspiracy to commit mail fraud.
This case stems from a long investigation by the FBI into co-defendant Lawrence Courtney Lawhorn, 35, of Kansas City, Mo. (formerly of Columbia, Mo.), for a series of automobile accidents throughout Missouri. All but one of those accidents were staged.
Lawhorn recruited friends, acquittances, family, and friends of friends to participate in the staged accidents. Conspirators went to various medical providers, claiming injuries from the staged accidents and requesting various testing, such a MRIs, CT scans, and/or X-rays. Conspirators then submitted false claims to insurance companies that they had suffered bodily injuries and that they would be personally liable for any medical bills related to insurance claims. Conspirators, some of whom were involved in multiple incidents, received thousands of dollars, and in some cases tens of thousands of dollars, based on these false claims. However, none of the conspirators made any payments to medical providers and instead used the funds for their personal expenses.
Smith admitted that he participated in two of the staged automobile accidents on May 12, 2018, and Feb. 27, 2019.
Lawhorn pleaded guilty on Thursday, June 8, to one count of conspiracy to commit wire fraud, one count of conspiracy to commit mail fraud, and one count of aggravated identity theft. Lawhorn also pleaded guilty in a separate and unrelated case to commit wire fraud. His sentencing date has not yet been scheduled.
This case is being prosecuted by Assistant U.S. Attorney Aaron M. Maness. It was investigated by the FBI and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Justice Department Secures Settlement with Dayton, Ohio, Police Department to Ensure Non-Discriminatory Treatment of People with DisabilitiesRead the Press Release
The Justice Department announced today that it entered into a settlement agreement with the City of Dayton, Ohio, and the Dayton Police Department (DPD) under Title II of the Americans with Disabilities Act (ADA) to resolve allegations that DPD discriminated against a driver during a traffic stop.
The ADA requires that cities, law enforcement agencies and other public entities provide individuals with disabilities an equal opportunity to participate in their services, including policing. The ADA also requires a police department or other public entity to reasonably modify its practices when necessary to avoid discrimination.
This agreement resolves a complaint by a driver who is paraplegic and uses a wheelchair who was pulled over by DPD officers. The officers ordered him to get out of his car, but he did not have his wheelchair with him. He told the officers that he could not get out safely without his wheelchair. Over his protests, the officers ordered him out, and refused his request that they call a supervisor. The officers also did not call for assistance or equipment to enable the driver to safely exit. Instead, they pulled him out of his car onto the ground, handcuffed him and dragged him to a police car.
“No one should be subjected to discriminatory treatment during police interactions and that includes people with disabilities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Law enforcement agencies and their officers are required to make reasonable modifications to their policies and procedures when interacting with people with disabilities and failure to do so may violate federal civil rights law. The Justice Department will vigorously enforce the ADA to ensure that police officers are not discriminating against people with disabilities.”
“Ensuring that law enforcement officers understand the scope of the ADA will only positively impact their connection with the people in the communities they serve,” said U.S. Attorney Kenneth L. Parker for the Southern District of Ohio. “There are so many people with different disabilities whom officers may find themselves interacting with on even a daily basis, so having them trained in this area is imperative.”
The two-year agreement requires DPD to modify its policies to be consistent with the ADA, provide training for police about how to better interact with individuals with disabilities, and to report on its progress to the Justice Department.
This matter was handled by the Civil Rights Division’s Disability Rights Section in conjunction with the U.S. Attorney’s Office for the Southern District of Ohio.
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 the ADA website at 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. ADA complaints may be filed online at www.ada.gov/complaint/.
Justice Department Secures Settlement with Dayton, Ohio, Police Department to Ensure Non-Discriminatory Treatment of People with DisabilitiesRead the Press Release
The Justice Department announced today that it entered into a settlement agreement with the City of Dayton, Ohio, and the Dayton Police Department (DPD) under Title II of the Americans with Disabilities Act (ADA) to resolve allegations that DPD discriminated against a driver during a traffic stop.
The ADA requires that cities, law enforcement agencies and other public entities provide individuals with disabilities an equal opportunity to participate in their services, including policing. The ADA also requires a police department or other public entity to reasonably modify its practices when necessary to avoid discrimination.
This agreement resolves a complaint by a driver who is paraplegic and uses a wheelchair who was pulled over by DPD officers. The officers ordered him to get out of his car, but he did not have his wheelchair with him. He told the officers that he could not get out safely without his wheelchair. Over his protests, the officers ordered him out, and refused his request that they call a supervisor. The officers also did not call for assistance or equipment to enable the driver to safely exit. Instead, they pulled him out of his car onto the ground, handcuffed him and dragged him to a police car.
“No one should be subjected to discriminatory treatment during police interactions and that includes people with disabilities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Law enforcement agencies and their officers are required to make reasonable modifications to their policies and procedures when interacting with people with disabilities and failure to do so may violate federal civil rights law. The Justice Department will vigorously enforce the ADA to ensure that police officers are not discriminating against people with disabilities.”
“Ensuring that law enforcement officers understand the scope of the ADA will only positively impact their connection with the people in the communities they serve,” said U.S. Attorney Kenneth L. Parker for the Southern District of Ohio. “There are so many people with different disabilities whom officers may find themselves interacting with on even a daily basis, so having them trained in this area is imperative.”
The two-year agreement requires DPD to modify its policies to be consistent with the ADA, provide training for police about how to better interact with individuals with disabilities, and to report on its progress to the Justice Department.
This matter was handled by the Civil Rights Division’s Disability Rights Section in conjunction with the U.S. Attorney’s Office for the Southern District of Ohio.
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 the ADA website at 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. ADA complaints may be filed online at www.ada.gov/complaint/.
Justice Department Secures Consent Decree in Louisiana School Desegregation CaseRead the Press Release
The Justice Department announced today that it has secured an agreement to desegregate student enrollment and expand academic opportunities for students in the St. Martin Parish, Louisiana, public schools. The consent order was approved by U.S. District Court Judge Elizabeth Erny Foote of the Western District of Louisiana as part of a longstanding desegregation case.
Under the consent decree, the school district will promote student transfers to advance desegregation and work with the Justice Department and private plaintiffs to develop a robust magnet school, with the goal of attracting a diverse student body and desegregating a historically Black school zone.
“All students deserve the opportunity to attend desegregated schools,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “It is now nearly 70 years after the Supreme Court issued its historic decision in Brown v. Board, and long past time for school districts to comply. The Justice Department will continue fighting to dismantle the prior system of segregation, in St. Martin Parish and wherever it persists.”
The department presented evidence at district court hearings in April 2021, August 2022 and March 2023 showing that St. Martin Parish has long maintained a dual system of racially identifiable elementary schools in the St. Martinville and Catahoula attendance zones. Under the terms of the consent order, the district will, among other requirements:
- Enhance educational opportunities in the historically Black attendance zone of St. Martinville by creating a robust magnet program to attract students from across the district;
- Work with the department, private plaintiffs and community members to develop and implement a robust magnet program;
- Hire and train the staff necessary to support these students and ensure the success of the magnet program; and
- Advertise and grant student transfers to promote opportunities and further desegregation in all district schools.
The order requires regular reporting to the court, the department and private plaintiffs represented by the NAACP Legal Defense Fund. Several other areas of this case remain open and are subject to the court’s continuing jurisdiction, including possible attendance zone modifications, the desegregation of faculty and the issues of discipline and graduation pathways. The court will retain jurisdiction over the consent order during its implementation, and the department will monitor the district’s compliance.
Last month marked the 69th anniversary of the U.S. Supreme Court’s decision in Brown v. Board of Education. The Justice Department’s Civil Rights Division continues to prioritize enforcement of desegregation orders in school districts formerly segregated by law, to ensure that all children can access the building blocks of educational success. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt, and additional information about the work of the Educational Opportunities Section is available at www.justice.gov/crt/educational-opportunities-section.
Members of the public may report possible civil rights violations at www.civilrights.justice.gov/.
Justice Department Secures Agreement to Remedy Racial Harassment of Black and Multi-Racial Students in Kentucky School DistrictRead the Press Release
The Justice Department today announced a settlement agreement with Madison County Schools in Kentucky to resolve its investigation into complaints of serious and widespread racial harassment of Black and multi-racial students. The department opened its investigation in October 2021 under Title IV of the Civil Rights Act of 1964.
The department’s investigation uncovered numerous incidents of race-based harassment in which Black and multi-racial students were called the N-word, among other racial epithets, and subjected to other derogatory racial comments by their peers. The school district did not consistently or reasonably address the harassment, which included racial taunts and intimidation, and was at times reinforced by use of Confederate flags and imagery. When the district did respond, it often failed to follow its own racial harassment policies and its actions were ineffective in addressing the broader hostile environment. This inaction deprived Black and multi-racial students of equal access to the district’s educational opportunities and led them to conclude that the district either condoned the behavior or would not take any action to help them.
“No student should be subject to racial harassment, including racist taunts with the Confederate flag that are clearly intended to surface some of the harshest and most brutal periods of our country’s history. Racial harassment inflicts grievous harm on young people and violates the Constitution’s most basic promise of equal protection,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This agreement will create the institutional changes needed to keep Black and multi-racial students safe and to provide them with a supportive educational environment. We look forward to Madison County Schools demonstrating to its students and school community that it will no longer tolerate racial discrimination in its schools.”
“The principles underpinning this investigation and settlement are straightforward,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “All young people are entitled to seek their educational opportunities without facing racial harassment and abuse, and schools simply must adequately protect those entrusted to their care and instruction from that offensive, harmful behavior. With this settlement, Madison County Schools are now taking an important step consistent with those basic principles.”
The department’s investigation also raised concerns about racially disproportionate discipline for Black students at some district schools and inadequate systems for recordkeeping and analysis of discipline data. Under the agreement, Madison County Schools will undertake significant institutional reforms, including:
- Retaining a consultant to review and revise anti-discrimination policies and procedures and support the school district in implementing the agreement;
- Creating three new central office positions to oversee effective handling of complaints of race discrimination;
- Updating its racial harassment and discipline policies to more accurately track and consistently respond to complaints of race-based harassment;
- Training staff on how to identify, investigate and respond to complaints of racial harassment and discriminatory discipline practices;
- Informing students and parents of how to report harassment and discrimination;
- Updating its centralized, electronic reporting system to track and manage complaints and the district’s response to complaints;
- Implementing focus groups, surveys, training and educational events on identifying and preventing race discrimination, including discriminatory harassment; and
- Analyzing and reviewing discipline data and amend policies to ensure non-discriminatory enforcement of discipline policies.
Protecting public school students from harassment and other discrimination is a top priority of the Justice Department’s Civil Rights Division. In March 2023, for example, the division secured a settlement to address harassment based on students’ race, sex, sexual orientation and sex stereotypes in the Twin Valley School District in Vermont. In October 2021, the division reached a settlement with the Davis School District in Utah to remedy harassment of Black and Asian American students. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt, and additional information about the work of the Educational Opportunities Section is available at www.justice.gov/crt/educational-opportunities-section.
Members of the public may report possible civil rights violations at www.civilrights.justice.gov/.
Justice Department Reaches Agreement to Remedy Racial Harassment of Black and Multi-Racial Students in Kentucky School DistrictRead the Press Release
LEXINGTON, Ky. – The Justice Department today announced a settlement agreement with Madison County Schools in Kentucky to resolve its investigation into complaints of serious and widespread racial harassment of Black and multi-racial students. The department opened its investigation in October 2021 under Title IV of the Civil Rights Act of 1964.
The department’s investigation uncovered numerous incidents of race-based harassment in which Black and multi-racial students were called the N-word, among other racial epithets, and subjected to other derogatory racial comments by their peers. The school district did not consistently or reasonably address the harassment, which included racial taunts and intimidation, and was at times reinforced by use of Confederate flags and imagery. When the district did respond, it often failed to follow its own racial harassment policies and its actions were ineffective in addressing the broader hostile environment. This inaction deprived Black and multi-racial students of equal access to the district’s educational opportunities and led them to conclude that the district either condoned the beavior or would not take any action to help them.
“Schools should be safe and supportive environments for all students, not places where they face racist harassment and abuse. Racial harassment inflicts grievous harm on young people and violates the Constitution’s most basic promise of equal protection,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This agreement will create the institutional changes needed to keep Black and multi-racial students safe and to provide them with a supportive educational environment. We look forward to Madison County Schools demonstrating to its students and school community that it will no longer tolerate racial discrimination in its schools.”
“The principles underpinning this investigation and settlement are straightforward,” said United States Attorney Carlton S. Shier, IV for the Eastern District of Kentucky. “All young people are entitled to seek their educational opportunities without facing racial harassment and abuse, and schools simply must adequately protect those entrusted to their care and instruction from that offensive, harmful behavior. With this settlement, Madison County Schools are now taking an important step consistent with those basic principles.”
Under the agreement, Madison County Schools will retain a consultant to review and revise anti-discrimination policies and procedures and support the school district as it undertakes significant institutional reforms. Among other steps, Madison County Schools will:
- Create a new central office position to process complaints of race discrimination;
- Update its racial harassment and discipline policies to more accurately track and consistently respond to complaints of race-based harassment;
- Train staff on how to identify, investigate, and respond to complaints of racial harassment and discriminatory discipline practices;
- Inform students and parents of how to report harassment and discrimination;
- Update its centralized, electronic reporting system to track and manage complaints and the district’s response to complaints;
- Implement focus groups, surveys, training and educational events on identifying and preventing race discrimination, including discriminatory harassment; and
- Analyze and review discipline data and amend policies to ensure non-discriminatory enforcement of discipline policies.
Protecting the constitutional rights of public school students is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt, and additional information about the work of the Educational Opportunities Section is available at www.justice.gov/crt/educational-opportunities-section.
Members of the public may report possible civil rights violations at www.civilrights.justice.gov/.
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Isleta Pueblo Man Charged with Two Counts of AssaultRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced today that Ryan Jacob Garcia was arraigned on an indictment charging him with assault with a dangerous weapon and assault resulting in serious bodily injury. Garcia, 28, of Isleta and an enrolled member of the Isleta Pueblo, will remain on conditions of release pending trial, which has not been scheduled.
A federal grand jury indicted Garcia on May 24, 2023. According to the indictment and other court records, on December 23, 2022, Isleta Police Department officers responded to an alert of a drunk driver entering the Isleta Pueblo reservation. Officers located that car at a residence within the exterior boundaries of the Isleta Pueblo. Family members had already detained the driver, identified as Garcia, who was intoxicated, belligerent, and physically aggressive. Officers detained Garcia and began to move him towards a police truck, at which point Garcia bit an Isleta Police Department officer on the shoulder, through the officer’s long-sleeved shirt. The officer worked through the pain to detain Garcia but had to seek medical intervention for his injury immediately afterwards.
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Garcia faces up to 10 years in prison.
The Isleta Police Department investigated this case. Assistant United States Attorney Zachary C. Jones is prosecuting the case.
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Iowa Sex Offender Sentenced to 15 Years for Online Harassment of MO TeenRead the Press Release
JEFFERSON CITY, Mo. – A Corydon, Iowa, man was sentenced in federal court today for attempting to produce child pornography following his online harassment of a Calloway County, Mo., teenager over five years.
David Jonathon Dodds, 61, was sentenced by U.S. District Judge Roseann Ketchmark to 15 years in federal prison without parole. The court also sentenced Dodds to 10 years of supervised release following incarceration.
On Sept. 29, 2022, Dodds pleaded guilty to one count of attempting to produce child pornography. Dodds is a registered sex offender in Iowa due to his conviction for the exhibition of obscene materials to minors. In that case, Dodds sent a pornographic Snapchat video of himself to a 16-year-old victim. Dodds has been in federal custody since his arrest.
Dodds admitted that he initially contacted the child victim through her Instagram account when she was 13 years old, disguising himself as a teenage male, and continued contacting her through Facebook Messenger and her cell phone until she was 18 years old. Her father contacted the Calloway County Sheriff’s Department in February 2020 to report that his 18-year-old daughter had been the victim of harassment and sexual enticement for several years.
Dodds admitted to having similar conversations with several other unidentified underage victims.
After Dodds contacted the child victim through Instagram, his behavior escalated to messaging her numerous times a day and sending her pornographic images of himself. Dodds also asked her to send nude photographs of herself, and the child victim sent several nude photos of herself in 2015, when she was 14 years old.
The child victim told investigators she became uncomfortable with the ongoing conversations with Dodds and attempted to cut off communications. He became agitated with her and he began threatening to text her parents or friends if she didn’t communicate with him. Dodds messaged her parents and left three voicemail messages on her boyfriend’s phone telling him she had been cheating on both of them. The child victim told investigators she began hiding in photos taken with friends or family that may end up on social media to avoid being seen. She began receiving contact on Facebook Messenger and her cell phone. She turned off her cell phone for durations to avoid any contact.
The child victim reported this continued harassment led to significant anxiety and caused her to quit several jobs. It became apparent that Dodds was monitoring her parents’ public posts on Facebook, harassing her about going to prom or noting how they had been at Wal-Mart looking for her. His behavior caused her to trade cell phones and delete Instagram and Facebook accounts.
The child victim eventually disclosed the harassment to her family, who contacted law enforcement.
This case was prosecuted by Assistant U.S. Attorney Ashley S. Turner. It was investigated by the Callaway County, Mo., Sheriff’s Department, the Boone County, Mo., Sheriff’s Department, and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Illegal Alien Sentenced to Prison for Unlawful Possession of a Firearm and Document FraudRead the Press Release
A Mexican man who illegally possessed a firearm was sentenced today to more than one year in federal prison.
Juan Gonzalez-Matias, age 46, a citizen of Mexico illegally present in the United States and residing in Waterloo, Iowa, received the prison term after a January 5, 2023, guilty plea to two counts of unlawful use of identification documents, two counts of misuse of a social security number, and one count of possession of a firearm by an alien.
At the guilty plea, Gonzalez-Matias admitted he used a fraudulent Social Security card and a fraudulent Permanent Resident Card, also known as a “green card,” both bearing his name, to prove his authorization to work in the United States when he completed employment and tax forms in May 2021 and March 2022 at businesses in Cedar Falls and Waterloo, Iowa. The number on the Social Security card was assigned to another person and the number on the Permanent Resident Card was assigned to a Pakistani female.
Gonzalez-Matias also admitted that he unlawfully possessed a firearm in September 2022 while being illegally present in the United States. Gonzalez-Matias was previously removed from the United States in January 1998, April 2004, and March 2012. On September 23, 2022, Waterloo police officers were called to Gonzalez-Matias’s residence after a report of shots fired. It was learned from a witness that Gonzalez-Matias, while under the influence of alcohol and methamphetamine, fired shots into the air outside the house. During the execution of a search warrant, officers found a loaded Taurus, PT709, 9mm semi-automatic pistol, a small bag of methamphetamine and drug paraphernalia in the residence.
Gonzalez-Matias was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Gonzalez-Matias was sentenced to 21 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Gonzalez-Matias is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Waterloo Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
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.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-2066.
Follow us on Twitter @USAO_NDIA.
Honduran National Charged with Being Illegal Alien in Possession of a FirearmRead the Press Release
NEW ORLEANS, LOUISIANA – JOSE SANCHEZ-MORADEL, age 35, a native of Honduras, was indicted on June 9, 2023, for being an illegal alien in possession of a firearm, in violation of Title 18, United States Code, Section 922(g)(5)(A), announced U.S. Attorney Duane A. Evans.
According to the indictment, on or about April 26, 2023, SANCHEZ-MORADEL, an alien illegally present in the United States, was found in possession of a 22 caliber Glock Model G44 handgun.
SANCHEZ-MORADEL faces a maximum term of imprisonment of 15 years, a fine of up to $250,000, up to three (3) years of supervised release, and a mandatory special assessment fee of $100.00.
U.S. Attorney Evans reiterated that an indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the United States Immigration and Customs Enforcement agency in investigating this matter. Assistant United States Attorney Carter K.D. Guice, Jr.of the General Crimes Unit is in charge of the prosecution.
Hollis Man on Release for Possessing Child Sexual Abuse Material Sentenced to 4 Years for Violating Conditions of ReleaseRead the Press Release
PORTLAND, Maine: A Hollis man who was previously convicted of possessing child sexual abuse material and perjury in 2014 was sentenced today in U.S. District Court in Portland for violating his conditions of supervised release.
U.S. District Judge George Z. Singal sentenced Joel Dudley, 39, to 48 months in prison and supervised release for life after finding that Dudley had violated previously imposed conditions of release by committing new crimes.
In 2014, Dudley was sentenced to eight years in prison followed by ten years of supervised release for possessing child sexual abuse materials and testifying falsely under oath during a court hearing. According to court records, while on supervised release in the spring of 2022, Dudley showed another convicted sex offender sexually explicit photographs of a minor victim. Dudley also fondled that same child in the parking lot of the Maine Mall. Finally, according to court records, the U.S. Probation Office discovered that he had been exchanging graphic sexual messages with the child over Facebook using an alias and having unapproved contact using electronic devices that he was prohibited from possessing. The U.S. Probation Office filed a petition to revoke Dudley’s term of supervised release in the fall of 2022.
A hearing was held over the course of three days. At the hearing’s conclusion, Judge Singal found that there was sufficient evidence to establish each of the charged violations. He also found that Dudley had perjured himself when he testified during the hearing, as well as during the sentencing phase of the hearing.
The sentence imposed by the Court was the maximum possible sentence that could be imposed for the charged violations. At sentencing, Judge Singal noted that he was imposing the maximum possible sentence because he “needed to protect the public from this defendant.”
The case was handled by U.S. Probation and Pretrial Services, with assistance from Homeland Security Investigations.
To report an incident involving the possession, distribution, receipt or production of child pornography: Child sexual abuse material – “child pornography” – captures the sexual abuse and exploitation of children. These images document victims’ exploitation and abuse, and they suffer re-victimization each time the images are viewed. File a report with the National Center for Missing & Exploited Children at https://report.cybertip.org/ or 1-800-843-5678. Your report will be forwarded to a law enforcement agency for investigation and action. If you have an emergency that requires an immediate law enforcement response, call 911 or contact your local police or sheriff’s department.
Project Safe Childhood: This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, visit www.justice.gov/psc.
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Great Falls meth, heroin dealer sentenced to five years in prisonRead the Press Release
GREAT FALLS — A Great Falls woman who admitted to dealing methamphetamine and heroin for a drug trafficking organization in Mexico was sentenced today to five years in prison, to be followed by five years of supervised release, U.S. Attorney Jesse Laslovich said.
Katie Marie Marceau, 38, pleaded guilty in March to possession with intent to distribute controlled substances.
Chief U.S. District Judge Brian M. Morris presided.
The government alleged in court documents that Marceau was a significant drug dealer in Great Falls and had direct connections to a drug trafficking ring in Mexico. Leaders of the organization sent workers to Great Falls to distribute meth and heroin and to recruit local workers, like Marceau, to distribute drugs. The workers typically distributed the drug in Great Falls for a few months, and then the leaders rotated to the next worker to avoid law enforcement detection. In late 2020, Marceau became the new designated worker for the drug organization and sold meth and heroin to undercover officers. Marceau also was on state supervision at the time when she engaged in this drug activity.
Assistant U.S. Attorney Jessica A. Betley prosecuted the case. The Great Falls Police Department, Drug Enforcement Administration, Montana Division of Criminal Investigation and Russell Country Drug Task Force conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Gloucester County Man Admits Healthcare FraudRead the Press Release
CAMDEN, N.J. – A Gloucester County, New Jersey, man today admitted defrauding his employer’s health insurance plan out of more than $4 million by submitting fraudulent claims for medically unnecessary compounded medications, Attorney for the United States Vikas Khanna announced.
Christopher Gualtieri, 50, of Franklinville, New Jersey, pleaded guilty before U.S. District Judge Robert B. Kugler to one count of an indictment charging him with conspiracy to commit health care and mail fraud and one count charging him with obtaining oxycodone through fraud.
According to documents filed in this case and statements made in court:
Compounded medications are specialty medications mixed by a pharmacist to meet the specific medical needs of an individual patient. Compounded drugs can be properly prescribed when a physician determines that an FDA-approved medication does not meet the health needs of a particular patient, such as if a patient is allergic to a dye or other ingredient.
Gualtieri and others learned that certain compound medication prescriptions were reimbursed by their health insurance plan for up to thousands of dollars for a one-month supply. Gualtieri recruited co-workers who were covered by their employer’s self-funded health insurance plan to agree to receive medically unnecessary compounded medications for themselves and their family members. Gualtieri and others caused the submission of fraudulent prescriptions to compounding pharmacies, which filled the prescriptions and billed the health insurance plan’s pharmacy benefits administrator. The pharmacy benefits administrator paid the compounding pharmacies more than $4 million for compounded medications arranged by Gualtieri and two conspirators for themselves, their dependents, and other family members. Gualtieri received a portion of the amount paid by the pharmacy benefits administrator to the compounding pharmacies. Gualtieri admitted to paying cash to his conspirators for their participation in the scheme. When questioned by special agents of the FBI, Gualtieri falsely denied recruiting others to receive compounded medications and falsely denied paying cash to others for their participation in the scheme.
During the same time period as the conspiracy involving compounded medications, Gualtieri also prepared and caused the filling of fraudulent prescriptions for oxycodone for himself and a family member.
The charge of conspiracy to commit health care and mail fraud is punishable by a maximum potential penalty of 20 years in prison; the charge of obtaining drugs by fraud is punishable by a maximum potential penalty of four years in prison. Both counts are also punishable by a fine of up to $250,000, or twice the gross gain or gross loss from the offense, whichever is greatest. Sentencing is scheduled for Oct. 18, 2023.
Attorney for the United States Khanna credited agents of the FBI, Philadelphia Field Office, Health Care Fraud Task Force, under the direction of Special Agent in Charge Jacqueline Maguire; task force members from the Pennsylvania Attorney General’s Office, Department of Health and Human Services – Office of Inspector General; the Philadelphia Police Department; and diversion investigators of the Drug Enforcement Administration, New Jersey Division, Camden Resident Office, under the direction of Special Agent in Charge Cheryl Ortiz, with the investigation leading to today’s guilty plea. Attorney for the United States Khanna also thanked U.S. Postal Service – Office of Inspector General, for its assistance in the investigation.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
gualtieri.indictment.pdfFormer St. Louis Alderman Indicted, Accused of Insurance FraudRead the Press Release
ST. LOUIS – A grand jury has indicted former St. Louis Alderman Brandon Bosley on charges accusing him of committing insurance fraud while in office.
Bosley was indicted on three felony wire fraud charges Wednesday. The indictment was sealed until his appearance in court Monday, when he pleaded not guilty.
The indictment accuses Bosley of orchestrating a scheme to obtain money from his insurance company by falsely inflating the cost of repairs to a Prius that he was driving. The car had been obtained by Bosley from a businessman who owned a convenience store in Bosley’s ward as well as a used car lot and an auto repair business elsewhere.
Bosley paid $500 cash for the Prius, which had an approximate value of nearly $10,000, but he did not register or title the car in his name, the indictment says. The Certificate of Title listed the purchase price as $3,000.
On Sept. 16, 2021, another driver struck the Prius while it was parked in front of Bosley’s office. After the other driver’s insurance company contacted Bosley about the damages, Bosley offered a bribe to the businessman to prepare an inflated estimate of the repair costs so the insurance company would total the car, the indictment says.
He also asked the businessman to prepare a second, legitimate repair estimate in case he wanted to buy the car back from the insurance company, the indictment says. Based upon the falsely inflated repair estimate which Bosley submitted to the insurance company, the insurance company paid Bosley $7,978.90 for the vehicle, and Bosley then asked the businessman to offer the insurance company $2,000 to buy the car back, the indictment says.
Each wire fraud charge is punishable by up to 20 years in prison and a $250,000 fine, or both.
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 FBI investigated the case. Assistant U.S. Attorney Hal Goldsmith is prosecuting the case.
Former Registered Broker Sentenced to Prison for Wire FraudRead the Press Release
CLEVELAND – Thomas H. Hissong, 58, of Akron, Ohio, was sentenced Friday to 12 months and a day in prison by U.S. District Solomon Oliver, Jr. after Hissong pleaded guilty to a five count indictment that charged him with wire fraud. Hissong was also ordered to pay $552,850 in restitution to the victim investors and a fine of $2,000.
According to court documents and today’s sentencing hearing, Hissong was a former registered broker. From in or around May 2016 to in or around May 2018, Hissong pitched an investment opportunity to investors to buy shares in Plasma Ignitor, a new spark plug technology, but failed to disclose that he would receive a commission on the sales of the shares. Hissong wrongfully withheld $552,850 of the investors’ monies.
This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Brian M. McDonough.
Former New Philadelphia, Ohio Resident Sentenced to 70 Months Imprisonment for Conspiring to Distribute and Distributing 50 Grams of MethamphetamineRead the Press Release
A former resident of New Philadelphia, Ohio, has been sentenced in federal court to 70 months of imprisonment and 4 years of supervised release on his conviction of conspiring to distribute and distributing 50 grams or more of methamphetamine, United States Attorney Eric G. Olshan announced today.
On June 9, 2023, United States District Judge Robert J. Colville imposed the sentence on Phillip Bonanno, 56, who is currently incarcerated at the Northeast Ohio Correctional Center.
According to information presented to the court, the Greater Pittsburgh Safe Streets Task Force, led by the Federal Bureau of Investigation, conducted a long-term investigation, which included obtaining authorization for a federal wiretap, into drug-trafficking activity occurring in the Western District of Pennsylvania.
Bonanno (aka “Guido”, “Ohio Guido”) was a “fully-patched” member of the PMC, reportedly from 2020 until 2022, and a close associate of co-defendants Bill Rana, who is pending sentencing, and Eric Armes, who was also sentenced to 70 months’ imprisonment. Bonanno and his nephew, co-defendant Cody Bonanno, who was already sentenced, lived in Ohio and were identified as methamphetamine sources of supply for among others, Rana, Armes and co-defendant Dominic Quarture, pending sentencing.
Intercepted communications confirmed that Bonanno facilitated drug trafficking activity at a residence located in New Philadelphia, Ohio, where drug customers, including members of the conspiracy, traveled to conduct drug transactions with his nephew. Additionally, Bonanno and his nephew would travel to the Western District of Pennsylvania also for their drug-trafficking activity.
Assistant United States Attorney Rebecca L. Silinski prosecuted this case on behalf of the government.
Acting United States Attorney Rivetti commended the Federal Bureau of Investigation, the United States Postal Inspection Service, Drug Enforcement Administration, Allegheny County Sheriff’s Office, Pennsylvania State Police, and Pennsylvania Office of Attorney General Bureau of Narcotics Investigations, for the investigation leading to the successful prosecution of Bonanno.
This sentencing was the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Federal Jury Convicts Former Midland Teacher, Lacrosse Coach of Five Counts Related to Wire FraudRead the Press Release
MIDLAND, Texas – A federal jury in Midland convicted a Midland man Thursday for one count of conspiracy to commit wire fraud and four counts of aiding and abetting wire fraud.
According to court documents and evidence presented at trial, William Logsdon, 54, used the trust he had built with community members during his time as a lacrosse coach and teacher in the Midland area, and even the trust he had established with members of his own family, to convince them to “invest” in a Ponzi scheme. Logsdon conducted the scheme in concert with his mother-in-law, Jamie Thompson, a former geologist in the oil and gas industry who had previously pleaded guilty.
Together, Thompson and Logsdon told their victims that the money they were “investing” was being used to purchase royalty interests for various oil, gas and mineral projects located in Texas and New Mexico. The royalty interests were allegedly being purchased through an entity called the National Royalty Group, or NRG. In actuality, the National Royalty Group did not exist, and rather than purchasing royalty interests, Thompson and Logsdon used the money to primarily pay for personal expenses, as well as to advance the Ponzi scheme by providing some “distributions” back to earlier “investors.”
In total, Logsdon and Thompson are believed to have defrauded their victims out of more than $1,500,000.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
The Midland Police Department investigated the case.
Assistant U.S. Attorney John Fedock prosecuted the case.
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Fayette County Couple Plead Guilty to Federal Drug CrimesRead the Press Release
CHARLESTON, W.Va. – Valerie A. Angel, 58, of Mount Carbon, pleaded guilty today to distribution of a quantity of cocaine and Christopher Lee Miller, 61, of Mount Carbon, pleaded guilty to aiding and abetting the distribution of a quantity of cocaine.
According to court documents and statements made in court, Angel admitted to distributing three packages each containing 3.5 grams of cocaine to a confidential informant at the Mount Carbon residence she shared with Miller on July 11, 2019. Miller admitted to arranging the transaction by telephone earlier that day and accepting $600 from the confidential informant in exchange for the cocaine distributed by Angel.
Angel and Miller further admitted to selling cocaine to the confidential informant on 10 other occasions between July 15, 2019, and October 24, 2019, at their residence. Angel or Miller arranged each of these transactions over the telephone with the confidential informant, and shared the responsibilities and benefits of distributing the cocaine.
Angel and Miler are scheduled to be sentenced on September 6, 2023, and each faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI) and the West Virginia State Police-Bureau of Criminal Investigations (BCI).
United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Joshua Hanks is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case Nos. 2:23-cr-76 and 2:23-cr-77.
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Evansville Man Sentenced to 20 Years in Federal Prison After Engaging in Sexually Explicit Conduct with a 14-Year-Old via Facebook Video ChatRead the Press Release
EVANSVILLE- Stacy Ryan Goldman, 32, of Evansville, Indiana, has been sentenced to 20 years in federal prison after pleading guilty to sexual exploitation of a child.
According to court documents, between August of 2016 and March of 2017, Stacy Goldman communicated with a 14-year-old girl via Facebook video chat sessions. The child lived in Wisconsin and Goldman lived in Evansville, Indiana. During the video chat sessions, Goldman discussed sexual activity with the girl and sent her videos of himself in sex acts. Goldman also asked the child to send him sexually explicit material.
In an interview with FBI agents, Goldman admitted that he knew the girl was a minor. Goldman also admitted that on at least one occasion he threatened to publicly post intimate pictures of the child online.
U.S. Attorney for the Southern District of Indiana, Zachary A. Myers and Herbert J. Stapleton, Special Agent in Charge of the FBI’s Indianapolis Field Office made the announcement.
“Through social media networks and mobile devices, predators like this defendant can gain access to our children’s bedrooms from hundreds of miles away,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers “Those who might seek to engage in sexual contact with children online should take notice of the federal prison sentence imposed today. Child sexual exploitation is a heinous crime and will be met with serious punishment. Our office, alongside the FBI and our law enforcement partners, are committed to keeping our children safe and holding child sex offenders accountable.”
This case was investigated by the Federal Bureau of Investigation with valuable assistance provided by the Wisconsin Rapids Police Department. The sentence was imposed by U.S. District Court Judge Richard L. Young. Judge Young also ordered that Goldman be supervised by the U.S. Probation Office for 15 years following his release from federal prison. Goldman must also register as a sex offender wherever he lives, works, or goes to school.
U.S. Attorney Myers thanked Assistant United States Attorney Todd S. Shellenbarger, who prosecuted this case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
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Drug Dealer Who Sold Fentanyl-Laced Crack Sentenced to More Than 16 Years After Four People Died in a Single DayRead the Press Release
ELIZABETH CITY, N.C. – A Beulaville man was sentenced today to 200 months in prison for conspiracy and distribution of cocaine base (crack) and fentanyl. Four people died from overdoses after consuming drugs sold by Marshall Ray Scarborough on a single day in April 2021. Scarborough was also ordered to pay the funeral expenses for all the victims. On February 7, 2023, Scarborough, age 65, pled guilty to the charges.
"Drug dealers who lace fentanyl into their supply are killing Americans at record rates, and families across Eastern North Carolina are feeling the pain of burying their loved ones far too early,” said U.S. Attorney Michael Easley. “Four of this fentanyl dealer’s customers had their lives snuffed out in a single day. Dealers should know, the U.S. Attorney’s Office is partnering local Sheriffs Offices to send fentanyl dealers to federal prison for the death and sorrow they sow."
“This is a great example of what happens when we work together, and I commend the men and women who worked relentlessly in conducting a thorough investigation,” said Duplin County Sheriff Stratton Stokes. “Today, Marshall Scarborough was sentenced to a lengthy prison sentence in federal court, which ensures that he will no longer spread poison in our community, or other communities. I hope this brings some form of comfort and closure to the victims’ families. Let this be a notice to anyone actively dealing narcotics or planning to deal narcotics in Duplin County. Our Office will continue to work diligently with our local, state, and federal allies to rid our communities of these issues.”
According to court documents and other information presented in court, deputies with the Duplin County Sheriff’s Office responded to three separate residences with unresponsive individuals, and the Columbus County Sheriff’s Office responded to a fourth. Efforts to revive individuals were unsuccessful. In three of the four cases, autopsies were performed, and the cause of death was listed as acute fentanyl and cocaine intoxication. In the fourth case, no autopsy was performed, but a blood test revealed fentanyl, cocaine and diazepam. The investigation determined that Scarborough was the source of supply for the crack that all four victims had ingested.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Drug Enforcement Administration and the Duplin County Sheriff’s Office, the Wallace Police Department, and the Columbus County Sheriff’s Office investigated the case and Assistant U.S. Attorney Tyler Lemons prosecuted the case.
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. 7:22-CR-116-BO-001.
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District Man Found Guilty of Voluntary Manslaughter and Related Charges for Killing Cousin in the Intersection of 29th and S Streets SoutheastRead the Press Release
Defendant Shot Victim Following a Series of Arguments Started by an Instagram Post
WASHINGTON – Lewkus Turner, 29, of Washington, D.C., was found guilty by a jury of voluntary manslaughter while armed and related charges stemming from a mid-afternoon shooting on December 11, 2020, at 29th and S Streets Southeast, announced U.S. Attorney Matthew M. Graves and Interim Chief Ashan M. Benedict, of the Metropolitan Police Department (MPD).
Turner was found guilty by a jury, on June 9, 2023, following a trial in the Superior Court of the District of Columbia, of voluntary manslaughter while armed, possession of a firearm during a crime of violence, and unlawful possession of a firearm. The Honorable Maribeth Raffinan scheduled sentencing for August 25, 2023.
According to the government’s evidence, just before 4:00 p.m. on December 11, 2021, the victim—and Turner’s first cousin—Vincent Gyamfi, drove to the 1600 block of 29th Street SE to speak to Turner regarding an Instagram post Turner had made earlier in the week. Shortly after arriving in the area, an argument broke out and Turner left the area. Turner returned shortly thereafter armed with a gun and the two men argued again before leaving in separate directions, with Mr. Gyamfi stopping his vehicle near the intersection of 29th and S Streets SE. At 4:07 p.m., Turner drove to the intersection and confronted his cousin for a final time. Mr. Gyamfi ran at Turner’s car, and Turner shot Mr. Gyamfi three times with a large caliber weapon. Turner then dragged Mr. Gyamfi’s body into the street, got into his vehicle, and fled the scene without calling for aid.
Turner was arrested in the murder case on December 29, 2021. He has been in custody ever since.
In announcing the verdict, U.S. Attorney Graves and Interim Chief Benedict commended the work of those who investigated the case from the Metropolitan Police Department. They also expressed appreciation for the assistance provided by the U.S. Marshals Service and FBI CAST team. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Dan Lenerz and Bryan Han of the Appellate Section; Investigative Analyst Zachary McMenamin; Victim/Witness Advocate Karina Hernandez; Special Agents Mark Crawford and Durand Odom of the Criminal Investigations Unit; Supervisory Victim/Witness Service Coordinator Katina Adams-Washington, Victim/Witness Service Coordinators Tonya Jones and Maenylie Watson; Supervisory Budget Analyst Nikiya Burnette and Accounting Technician Evelyn Miles; Paralegal Specialist Meridith McGarrity; and Litigation Technology Specialist Charlie Bruce.
Finally, they commended the work of Assistant U.S. Attorneys Gregory Kimak, Christopher Carson, and Gauri Gopal, who investigated, indicted, and prosecuted the case.
Danvers Man Arrested for Money Laundering and Operating Unlicensed Money Transmitting BusinessRead the Press Release
BOSTON – A Danvers man has been arrested and charged with money laundering in connection with allegedly running an unlicensed, “no questions asked” money transmitting business that converted more than $1 million in cash to the digital currency Bitcoin, including on behalf of scammers and drug dealers.
Trung Nguyen, a/k/a “DCS420”, 46, was indicted on one count of conducting an unlicensed money transmitting business, one count of concealment money laundering, and one count of money laundering. Nguyen was arrested on June 9, 2023 and, following an initial appearance in federal court in Boston, was released on $250,000 unsecured bond with conditions.
According to the indictment, between September 2017 and October 2020, Nguyen owned and operated National Vending, LLC. Through National Vending, Nguyen accepted cash from customers and, in exchange for a fee, sent them Bitcoin in return. Exchangers of virtual currency, including Bitcoin exchangers, were money transmitters under federal law and were subject to federal anti-money laundering (AML) regulations, which, among other things, required them to register as money service businesses with the Department of Treasury’s Financial Crimes Enforcement Network (FinCEN) and to maintain effective AML programs, including by filing Suspicious Activity Reports with FinCEN, and by filing Currency Transaction Reports for Bitcoin-for-cash exchanges of more than $10,000.
It is alleged that Nguyen purposely failed to register National Vending with FinCEN, despite being required to do so. In approximately 15 transactions in 2018, Nguyen allegedly accepted a total of $200,000 to $300,000 in cash from an individual who identified himself to Nguyen as a methamphetamine dealer. In another series of transactions between October 2018 and September 2019, Nguyen allegedly accepted cash from an undercover law enforcement agent who told Nguyen that his business was delivering the controlled substance Adderall to gamblers at a Massachusetts casino. In a third series of transactions in 2020, Nguyen allegedly accepted approximately $60,000 from a 59-year old romance scam victim who believed she was sending cash to a romantic partner overseas. It is alleged that Nguyen failed to file Suspicious Activity Reports or Currency Transaction Reports on any of these transactions, including cash transactions of more than $10,000.
Nguyen allegedly concealed his money transmitting business by, among other ways, holding National Vending out to banks, cryptocurrency exchanges, and state authorities as a vending machine business, using encrypted messaging apps to communicate with customers, using technologies that made it more difficult to trace Bitcoin transactions, and breaking cash deposits of more than $10,000 into smaller cash deposits of less than $10,000 over consecutive days or at different branches of the same bank. Nguyen also allegedly enrolled in a paid course on concealing his business that recommended, among other things, that Nguyen purport to operate “a business for which cash deposits from around the country make sense” and that he “develop [his] cover story”, “create a list or your suppliers Fictitious of course”, and “Don’t say the word ‘Bitcoin’”.
The charges of money laundering each provide for a sentence of up to 20 years, three years of supervised release and a fine of up to $500,000 or twice the value of the property involved in the transaction. The charge of conducting an unlicensed money transmitting business provides for a sentence of up to five years in prison, three years of supervised release and a fine of up to $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; Michael Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England; Joleen Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations, and Ketty Larco Ward, Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division made the announcement today. Assistant U.S. Attorney Seth B. Kosto, Deputy Chief of Levy’s Securities, Financial & Cyber Fraud Unit, is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Commercial Fisherman Pleads Guilty to Illegal Harvesting of Striped BassRead the Press Release
NORFOLK, Va. – A Saxis man pleaded guilty today to violating the Lacey Act related to his illegal harvest of striped bass.
According to court documents, Keith J. Martin, 52, was a commercial fisherman licensed in the Commonwealth of Virginia to harvest striped bass. Between 2018 and 2020, Martin routinely violated Virginia state law in the harvesting of striped bass from Virginia waters. Martin took bass in excess of his quota, failed to report the amount of bass he took, and completed at least one sale of striped bass with a commercial purchaser without using a properly certified scale.
For instance, in 2018 and 2019 Martin had a quota of 4,010 pounds of striped bass. Investigators learned that Martin sold over 6,000 pounds of striped bass to a single seafood company in Maryland in 2018 and over 4,300 pounds to the same company in 2019. Martin’s harvesting of the striped bass in violation of Virginia law, coupled with transporting it in interstate commerce to Maryland, constitutes a violation of the Lacey Act. During the relevant period, Martin illegally harvested and sold at least 12,663 pounds of striped bass, constituting a commercial value of at least $36,988.25.
Martin is scheduled to be sentenced on October 26. He faces a maximum penalty of 5 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Edward Grace, Assistant Director of Law Enforcement for the U.S. Fish and Wildlife Service, made the announcement after U.S. Magistrate Judge Lawrence R. Leonard accepted the plea.
Assistant U.S. Attorney Joseph L. Kosky 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-40.
Chief Engineer Convicted for Obstruction of Justice and Oil Record Book Offenses; Operating Company Pleads Guilty for Oil Record Book OffenseRead the Press Release
On June 9, vessel Chief Engineer Denys Korotkiy was convicted of conspiracy to obstruct justice, obstruction of justice, and failure to maintain an accurate oil record book for the vessel Donald in San Diego, California, following a five-day jury trial. Interunity Management (Deutschland) GMBH, a vessel operating company, previously pleaded guilty for maintaining false and incomplete records relating to the discharge of oily bilge water.
The evidence showed that oily bilge water was illegally dumped from the Donald directly into the ocean through the vessel’s sewage tank without being properly processed through required pollution prevention equipment. Oily bilge water typically contains oil contamination from the operation and cleaning of machinery on the vessel. These illegal discharges were not recorded in the vessel’s oil record book as required by law. The evidence also showed that Korotkiy made false and fictitious entries in the oil record book claiming transfers of oily bilge had been made from the vessel’s engine room bilge wells to the vessel’s Bilge Holding Tank when, in fact, those transfers had not been made. Finally, the evidence showed that Korotkiy conspired with others to obstruct the U.S. Coast Guard’s inspection and investigation into the mishandling of oily bilge water onboard the motor vessel Donald.
At the conclusion of the trial, the court remanded Chief Engineer Korotkiy to custody. Sentencing is scheduled for Sept. 1.
“The illegal discharge of oily bilge water at sea and the falsification and destruction of records in order to obstruct the United States’ ability to investigate those discharges are crimes we take seriously,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The Department of Justice will continue to work with our partner agencies to ensure polluters are held fully accountable.”
“Unlawful oil discharges can cause immeasurable harm to the marine environment,” said U.S. Attorney Randy Grossman for the Southern District of California. “We will continue to work closely with our agency partners to safeguard our oceans by vigorous enforcement of environmental laws. This case is a reflection of that commitment.”
“This prosecution highlights the Department of Justice and the U.S. Coast Guard’s dedication in safeguarding our oceans against those that seek to deliberately harm our natural resources,” said Captain James Spitler, Sector Commander, Coast Guard Sector San Diego. “Illegal dumping of oil and falsification of oil record books are egregious violations. This guilty verdict should serve as a reminder that the Coast Guard and our partners at the Department of Justice will work tirelessly to hold accountable those that seek to deliberately discharge oil and falsify records.”
In the same matter, Interunity pleaded guilty to a felony violation of the Act to Prevent Pollution from Ships, for failing to accurately maintain the Donald’s oil record book. Under the terms of the plea agreement and subject to court approval, Interunity will pay a total monetary penalty of $1.25 million and serve a four-year term of probation, during which any vessels operated by the company and calling on U.S. ports will be required to implement a robust Environmental Compliance Plan. The monetary penalty includes $312,500 to fund projects, activities, or initiatives intended to benefit marine and coastal natural resources located in or around the Tijuana River National Estuarine Research Reserve.
The U.S. Coast Guard Sector San Diego and the U.S. Coast Guard Investigative Service are investigating the case.
Assistant U.S. Attorney Melanie K. Pierson for the Southern District of California and Senior Trial Attorney Stephen Da Ponte of the Environment and Natural Resources Division’s Environmental Crimes Section are prosecuting the case.
Chester County Man Charged with Sexually Assaulting a Minor on Cross Country FlightRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Edward Decker, 45, of West Chester, Pennsylvania, was charged by indictment with two counts of abusive sexual contact on an aircraft.
In July 2022, Decker allegedly engaged in sexual contact with a minor on an American Airlines flight, departing San Diego, California, arriving in Philadelphia, Pennsylvania. If convicted, the defendant faces a maximum possible sentence of 5 years in prison, one year of supervised release, a $500,000 fine, and a $200 special assessment.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Josh A. Davison.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Central City Woman Sentenced to Five Years in Federal Prison for Elder Financial Abuse and Identity Theft SchemeRead the Press Release
A Central City, Iowa, woman who stole over $400,000 from two elderly relatives was sentenced today to five years in federal prison. Carrie April Martin, age 44, received the prison term after a September 26, 2022 guilty plea to one count of bank fraud and one count of aggravated identity theft.
Evidence at Martin’s plea and sentencing hearings established that Martin had two elderly relatives, Victim-1 and Victim-2, in the Cedar Rapids area. Victim-1 was an elderly widow who was indigent, lived in a nursing home, and suffered from dementia and various physical ailments. Victim-2 was also an elderly widow in poor physical and mental health but had significant assets and lived in an assisted living facility. Victim-1 died at the age of 89 in December 2014, and Victim-2 died at the age of 96 in October 2017.
Between April 2014 and July 2017, Martin stole checks drawn on accounts at a credit union from Victim-1 and Victim-2. Another one of Martin’s relatives was the power of attorney for the two elderly widows and had full legal authority to act for them. From time to time, Martin stole the power of attorney’s identity and wrote checks to herself from her victims’ accounts at the credit union. Martin also leveraged her friendship with the office administrator at the local branch of a national investment firm to access an account that Victim-2 held at the firm. Martin also sold over $100,000 worth of stock that Victim-2 held in an energy company, which Victim-2 intended to bequeath to a church in Elkader. In total, Martin stole over $416,000 from Victim-1 and Victim-2.
Victim-2 went into hospice care less than a week after learning of defendant’s theft, which left Victim-2 with minimal assets. When informed that Martin lacked funds to repay Victim-2, Victim-2 asked that Martin be charged and held accountable for her scheme. Victim-2 died within a month’s time.
Evidence at Martin’s sentencing also established that Martin made false statements to a fraud specialist at her credit union and law enforcement to cover up her crimes. In May 2022, Martin told two witnesses to “just watch what you say” and, “If they don’t specifically ask, don’t give information.”
Martin was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Martin was sentenced to 60 months’ imprisonment. She was ordered to make $416,910.82 in restitution to her victim’s heirs, including the power of attorney and the church. She must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
In 2016, the United States Attorney’s Office for the Northern District of Iowa was selected as one of 10 districts in the nation to form an Elder Justice Task Force (http://go.usa.gov/cSngj). The task force was assembled to foster a collaborative working relationship among all levels of government officials, advocacy groups for the elderly and the disabled, and others charged with the care and protection for these vulnerable groups. The goals include ensuring the integrity of all government expenditures by eliminating fraud, waste, and abuse in health programs, and protecting some of the state’s most vulnerable citizens from harm, whether it occurs in nursing homes or other institutions or involves financial fraud schemes. To learn more about the Department of Justice’s Elder Justice Initiative, visit: https://www.justice.gov/elderjustice/
This week, the Department of Justice joins millions around the world in commemorating World Elder Abuse Awareness Day (WEAAD), a day intended to raise public awareness of the fight against elder abuse, neglect, and financial exploitation. Research sponsored by the Department’s National Institute of Justice finds that millions of older Americans experience some form of elder abuse, neglect, and financial exploitation every year, often by someone they love. The harms resulting from mistreatment of older Americans drives our work every day. Today, the Department of Justice is proud to announce 10 new resources to train, inform, and support elder justice professionals across the country.
Martin was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be set. The case was prosecuted by Assistant United States Attorney Timothy L. Vavricek and investigated by the Cedar Rapids Police Department. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 22-CR-51.
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Cedar Rapids Man Sentenced to More than 15 Years’ Imprisonment for Possessing Methamphetamine, a Loaded Firearm, and over $135,000 in Drug MoneyRead the Press Release
A man who possessed methamphetamine with intent to distribute it and who possessed a firearm as an unlawful drug user, was sentenced today to more than 15 years in federal prison.
Joshua Ryan Gorrell, age 37, from Cedar Rapids, Iowa, received the prison term after a November 23, 2022 guilty plea to one count of possession of methamphetamine with intent to distribute it within 1,000 feet of a protected location, and one count of possession of a firearm as an unlawful drug user.
In a plea agreement, Gorrell admitted that, on July 22, 2022, he made a 911 call regarding an overdose that occurred at his home in Cedar Rapids. When first responders arrived, they found a deceased overdose victim. Officers searched Gorrell’s home and found $123,038 in U.S. Currency and over two pounds of actual (pure) methamphetamine, 43 grams of fentanyl, 56 grams of a mixture of fentanyl and heroin, 68 grams of marijuana, and 238 grams of THC wax. Evidence at the sentencing hearing showed that Gorrell stored these items throughout his house, in air ducts, laundry dryer vents, ceiling insulation, pipes, a fake plant, the freezer, and elsewhere.
Gorrell also admitted that on August 22, 2022, officers searched his home again and found a firearm, $15,253 in U.S. Currency, approximately 28 grams of ice methamphetamine, and approximately 252 grams of marijuana. Later that day, Gorrell’s urine tested positive for methamphetamine and fentanyl. Evidence at the sentencing hearing demonstrated that the firearm was loaded.
Gorrell was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Gorrell was sentenced to 188 months’ imprisonment and must also serve a 10-year term of supervised release after the prison term. There is no parole in the federal system.
The case was prosecuted by Special Assistant United States Attorney Devra T. Hake and Assistant United States Attorney Dan Chatham. It was investigated as part of the Northern Iowa Heroin Initiative and the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the Cedar Rapids Police Department, United States Drug Enforcement Administration, Iowa Division of Narcotics Enforcement, Marion Police Department, and Linn County Sheriff’s Office.
This case is also 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.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-59.
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Byram Woman Sentenced to over 20 Years in Prison for Conspiracy to Possess with Intent to Distribute Methamphetamine and Falsification of Records in a Federal InvestigationRead the Press Release
Jackson, Mississippi – A Byram woman was sentenced to 250 months in federal prison for conspiracy to possess with intent to distribute methamphetamine, as well as a concurrent sentence of 21 months for falsification of records in a federal investigation, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Brad Byerley of the Drug Enforcement Administration.
According to court documents, beginning as early August 1, 2017, and continuing until April 2019, communications between Kristy Dier, 37, and her codefendants were intercepted wherein they negotiated and conducted the sale of ice-methamphetamine throughout the state of Mississippi from as far as Aberdeen to Biloxi, Mississippi. In total, Dier is responsible for the distribution of approximately 22 pounds of ice-methamphetamine.
During the conspiracy, from December 1, 2017, through December 19, 2017, Dier also elicited help from a codefendant to falsify income and business records and file the records with the Hinds County Court to obstruct the forfeiture of drug proceeds seized from Dier by law enforcement.
The case was investigated by the Drug Enforcement Administration, Bureau of Alcohol Tobacco Firearms and Explosives, U.S. Marshals Service, Hinds County Sheriff’s Office, Jones County Sheriff’s Office, Jackson Police Department, Richland Police Department, Mississippi Bureau of Narcotics, and the Internal Revenue Service.
The case is the result of an extensive investigation, dubbed “Drama Queen,” which began as an operation targeting illegal methamphetamine distribution in central Mississippi. “Drama Queen” is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
The case was prosecuted by Assistant United States Attorneys Keesha Middleton and Chris Wansley.