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14 February 2023
Jacksonville Man Pleads Guilty to COVID Relief Fraud and Money LaunderingRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Kenneth Steven Landers (57, Jacksonville) today pleaded guilty to wire fraud and engaging in an illegal monetary transaction. Landers faces a maximum penalty of 30 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, during 2020 and 2021, Landers applied for federally backed Paycheck Protection Program (PPP) loans ten times, requesting a total of $1,410,000. He submitted the applications on behalf of four different corporate entities that he controlled, specifically, the American Fallen Veterans Service Project Inc., Tire Empire LLC, Maypops LLC, and Florida United Inc. In support of each application, Landers electronically submitted false information and documents, including fictitious or altered Internal Revenue Service tax forms.
Notwithstanding Landers’s use of fraudulent documents, seven of his ten PPP loan applications were approved and funded in the total amount of $910,000, which was deposited into financial accounts that he controlled. Rather than use the loan proceeds exclusively to pay employees or for other allowable expenses under the PPP, Landers used funds for his personal benefit. For example, he paid off the mortgages on his home and a business property, purchased an 18kt gold Rolex watch, and bought a vintage Jaguar XKE Roadster. He also wrote checks to himself, transferred funds electronically to personal accounts, paid down personal debt, and made approximately $113,000 in cash withdrawals of funds traceable to PPP loan proceeds.
As part of his plea agreement, Landers agreed to forfeit $910,000, the proceeds of the wire fraud, as well as two pieces of real estate that he purchased or funded with the proceeds.
This case is being prosecuted as part of the Department of Justice’s prosecution of fraud schemes that exploit the CARES Act relief programs. The CARES Act is a federal law enacted in March 2020, designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. One of the two programs that were developed through CARES Act is the PPP. It provides funding to businesses through PPP loans for payroll costs, interest on mortgages, rent and utilities. PPP allows the interest and principal on loans to be forgiven if the business spends proceeds on certain expense items within a designated time and uses a certain percentage of the loan on payroll expenses. The Department of Justice remains vigilant in detecting, investigating, and prosecuting wrongdoing related to the crisis.
This case was investigated by the Internal Revenue Service – Criminal Investigation. It is being prosecuted by Assistant United States Attorneys Mai Tran and Michael J. Coolican.
Insulation Contracting Firm Co-Owner Sentenced to Fifteen Months in Prison and Ordered to Pay more than $1 Million to Victims of Bid Rigging and FraudRead the Press Release
Michael S. Flynn was sentenced on Feb. 10 in Bridgeport, Connecticut to fifteen months’ imprisonment and restitution of $1,062,155 for his participation in bid-rigging and fraud schemes targeting public and private entities in Connecticut. This is the seventh sentencing arising out of the investigation into the insulation contracting industry.
According to a guilty plea entered on May 1, 2019, the defendant conspired with other insulation contractors to rig bids and engage in fraud on contracts for installing insulation around pipes and ducts on construction projects at universities, hospitals, and other public and private entities in Connecticut. According to public court filings, the victims of the scheme included the University of Connecticut, the City of Hartford, PepsiCo. Inc., Stamford Hospital, and Yale University. The conspiracy ran for nearly seven years, beginning as early as June 2011 and continuing until as late as March 2018. Six other individuals and companies have pled guilty to criminal conduct arising out of this investigation. Flynn was the last of the seven defendants sentenced.
“Bid rigging and fraud are serious crimes with serious consequences,” said Assistant Attorney General Jonathan Kanter of the Justice Department's Antitrust Division. “This sentence reflects the division’s commitment to seeking appropriate punishment for criminal antitrust violations and ensuring that victims of antitrust crimes are made whole.”
“This defendant’s collusive conduct victimized hospitals, universities and businesses throughout Connecticut,” said U.S. Attorney Vanessa Roberts Avery for the District of Connecticut. “This prison term and the penalties imposed on all individuals and companies involved in this scheme should deter others from engaging in such criminal, anti-competitive behavior. I thank the FBI, DCIS, and the Antitrust Division for their efforts in bringing these perpetrators to justice.”
“This fraud and deception of the public and commercial consumer has ended with this sentence,” said Acting Special Agent in Charge Jean Pierre Njock of the FBI New Haven Field Office. “We at the FBI along with our law enforcement partners will continue to pursue those that choose to engage in antitrust crimes.”
"This sentencing is the result of a successful joint effort to ensure that the markets for services provided to the Department of Defense (DoD) are legitimate and competitive," stated Special Agent in Charge Patrick J. Hegarty of the Northeast Field Office for the Defense Criminal Investigative Service (DCIS). “The DCIS, the law enforcement arm of the DoD Office of Inspector General, is committed to investigating and prosecuting companies that corrupt the DoD procurement system.”
Flynn previously pleaded guilty to one count of bid rigging under Section 1 of the Sherman Antitrust Act and one count of conspiracy to commit wire fraud. Flynn was also ordered to pay a special assessment of $200.
This investigation was conducted by the Antitrust Division’s New York Office, the U.S. Attorney’s Office for the District of Connecticut, the FBI’s New Haven Division, and the DCIS’s New Haven Resident Agency.
In November 2019, the Department of Justice created the PCSF, a joint law enforcement effort to combat antitrust crimes and related fraudulent schemes that impact government procurement, grant, and program funding at all levels of government – federal, state and local. For more information, visit https://www.justice.gov/procurement-collusion-strike-force.
Indianapolis Man Indicted for Making False Statements to Federal Officers About the Armed Robbery of a Postal WorkerRead the Press Release
INDIANAPOLIS – Carl Davis, 24, of Indianapolis, has been indicted by a federal grand jury for making false statements to the United States Postal Inspection Service. The indictment was unsealed on February 13, 2022, following Davis’s arrest and initial appearance.
According to court documents, on April 8, 2022, Carl Davis falsely claimed to members of the United States Postal Inspection Service that he had witnessed the April 1, 2022, armed robbery of a postal worker. Davis provided the name of an individual who he claimed was the robber and stated that the alleged robber later confessed to Davis that he had committed the robbery. At the time Davis made these statements to the U.S. Postal Inspection Service, he knew they were false because he did not witness the robbery and the person Davis claimed was responsible never confessed to Davis.
If convicted of making false statements, Davis faces up to five years in prison, a fine of up to $250,000, and up to three years of supervised release by the U.S. Probation Office. A federal district court judge will determine the actual sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Rodney Hopkins, Inspector-in-Charge, U.S. Postal Inspection Service Detroit Division, made the announcement.
This case was a result of an investigation led by the U.S. Postal Inspection Service. U.S. Attorney Myers thanked Assistant U.S. Attorney Adam Eakman, who is prosecuting this case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Idaho I.T. Professional Sentenced to 28 Months in Prison for Insider Trading SchemeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that DAVID STONE was sentenced by U.S. District Judge Mary Kay Vyskocil to 28 months in prison for his participation in an insider trading scheme. STONE previously pled guilty to one count of securities fraud.
U.S. Attorney Damian Williams said: “David Stone unlawfully accessed pre-publication stock picks from an investment advice service so that he could beat the markets and generate millions in trading profits for himself. Today’s sentence reflects that this Office will find and prosecute those who seek to profit at the expense of the integrity and fairness of our financial markets.”
According to the allegations in the Information and statements made in public court proceedings and filings:
From 2020 up to at least March 2022, DAVID STONE exploited market-moving stock recommendations made by an investment recommendation service (“Advisor-1”) before those recommendations were released to paying subscribers. STONE, an I.T. professional, accessed Advisor-1’s computing system using log-in credentials he obtained without authorization and used his improperly obtained access to view information relating to Advisor-1’s recommendations before they were announced to Advisor-1’s paying subscribers.
Advisor-1’s stock recommendations typically lead to higher closing prices for the recommended stock as compared to the prior day’s closing price. By trading on those recommendations before they were announced, STONE was able to obtain significant profits unavailable to other market participants. In fact, across all the brokerage accounts he traded in, STONE realized gains of at least $4.8 million.
In addition to his own trading, STONE supplied these stolen trading tips to another person (“Tippee-1”). From in or about January 2021 up to and including in or about March 2022, on approximately 45 different days, STONE sent emails to Tippee-1 providing stock names and/or ticker symbols ahead of Advisor-1 announcements of stock recommendations to its paying subscribers. A brokerage account associated with Tippee-1 traded ahead of Advisor-1’s recommendations on more than a dozen occasions. As a result of that trading, Tippee-1 profited more than approximately $2.7 million.
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In addition to the prison sentence, DAVID STONE, 37, of Nampa, Idaho, was sentenced to three years of supervised release and ordered to forfeit $2,883,800 and particular shares of stock, to pay $344,000 in restitution to Advisor-1, and to pay a $20,000 fine.
Mr. Williams praised the outstanding work of the Federal Bureau of Investigation. Mr. Williams also thanked the U.S. Securities and Exchange Commission, which has filed a parallel civil action.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Samuel P. Rothschild and Andrew Thomas are in charge of the prosecution.
Idaho Falls Man Sentenced to over 15 Years in Federal Prison for Attempted Methamphetamine DistributionRead the Press Release
POCATELLO – Jacob James Martinez, 33, of Idaho Falls, was sentenced to federal prison for attempted possession with the intent to distribute methamphetamine, U.S. Attorney Josh Hurwit announced today. Chief U.S. District Judge David C. Nye sentenced Martinez to 188 months in federal prison.
According to court records, on September 29, 2020, Idaho State Police made a traffic stop of an individual found to be in possession of five pounds of methamphetamine. That individual informed law enforcement that he was going to deliver the methamphetamine to three individuals in southeast Idaho, naming Martinez as the intended recipient of two pounds. The individual had a drug ledger that showed Martinez owing $5,950 in past drug debts. Idaho State Police identified Martinez and stopped him at the location he was set to receive the two pounds of methamphetamine. Martinez was arrested on an outstanding arrest warrant. Law enforcement searched Martinez’s vehicle and found him to be in possession of $6,280 in United States currency, a loaded Ruger 9mm handgun, a drug pipe, and baggies containing methamphetamine and marijuana. Martinez was prohibited from possessing a firearm at the time of his arrest.
U.S. Attorney Hurwit commended the Idaho State Police, Drug Enforcement Administration, and the BADGES/HIDTA Taskforce for their collaborative work on the case.
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Girls’ Softball Coach Sentenced to 151 Months in Prison for Transportation of a Minor with Intent to Engage in Criminal Sexual ActivityRead the Press Release
SAN JUAN, Puerto Rico – Dennis Cotto-Alvarado, 45 years old, of Ponce, was sentenced to 151 months (12 years and seven months) in prison and 15 years of supervised release for transporting a female minor with the intent to engage criminal sexual conduct in violation of Title 18, United States Code, Section 2423(a). The FBI investigated the complaint with the collaboration of the Puerto Rico Police Bureau and the Puerto Rico Department of Justice.
According to court documents, Cotto-Alvarado sexually abused a female minor for two years, from on or about June 2017 through February 2019, starting when she was approximately 12 years old. The defendant was a coach for the minor’s softball team and a father figure to her.
“Investigating and prosecuting those who exploit and sexually abuse minors is and will always be a top priority for the Department of Justice,” said W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. “I commend the prosecution team and our law enforcement partners who worked tirelessly to seek justice for the victim and hold the defendant accountable for his crimes.”
“The FBI is committed to protecting our most innocent and helpless victims,” said Joseph González, Special Agent in Charge of the FBI San Juan Field Office. “This sentence highlights the efforts by the US Attorney’s Office, who worked alongside the FBI, to bring the fullest brand of justice to the victims in this case. We remain vigilant and urge anyone who believes they have witnessed a crime such as this to call 787-987-6500 or leave an anonymous tip by visiting https://tips.fbi.gov/. Our children are counting on us.”
Assistant U.S. Attorney Ginette Milanés prosecuted the case.
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Four Florida Men Arrested in Plot to Kill Haitian President, Grand Jury Returns Indictment Against 11Read the Press Release
MIAMI – This morning, U.S. federal law enforcement arrested a U.S. citizen and two legal permanent residents living in South Florida and one U.S. citizen living in Tampa pursuant to criminal complaints on charges relating to their participation in the events leading to the July 7, 2021, assassination of President Jovenel Moise of Haiti. Following the arrests, a South Florida grand jury returned a third superseding indictment charging these four individuals, along with seven others previously arrested and charged in the U.S., for their alleged roles in the plot.
The four men arrested in Florida today are: Arcangel Pretel Ortiz, 50, a Colombian national and U.S. permanent resident of Miami; Antonio Intriago 59, a Venezuelan national and U.S. permanent resident of Miami; Walter Veintemilla, 54, of Weston; and Frederick Bergmann, 64, of Tampa.
They are scheduled for initial federal court appearances today in Miami before U.S. Magistrate Judge Lauren F. Louis.
With today’s arrests, 11 people now face charges in the Southern District of Florida in connection with the assassination. The third superseding indictment charges Ortiz, Intriago, and Veintemilla as well as James Solages, 37, Joseph Vincent, 57, and German Alejandro Rivera Garcia, 44, who were transferred into U.S. custody last month; Mario Antonio Palacios Palacios, 43, arrested January 2022; Rodolphe Jaar, 49, arrested January 2022; and Joseph Joel John, 51, arrested May 2022. These defendants—Ortiz, Intriago, Veintemilla, Solages, Vincent, Rivera, Palacios, Jaar, and John—are charged with conspiracy to provide material support and resources to a conspiracy to kidnap or kill outside the United States, resulting in death; providing material support and resources to a conspiracy to kidnap or kill outside the United States, resulting in death; and conspiracy to kill or kidnap a person outside the United States.
The superseding indictment additionally charges Christian Emmanuel Sanon, 64, and Bergmann with: conspiracy to commit export violations; submitting false and misleading export information; and smuggling ballistic vests from the United States to Haiti. As with Solages, Vincent, and Rivera, Sanon was transferred from Haitian custody into U.S. custody last month.
According to court documents, from at least February 2021 to July 2021, South Florida served as a central location for planning and financing the plot to oust President Moïse from power and replace him with someone who would serve the coconspirators’ political goals and financial interests.
Ortiz and Intriago are principals of Counter Terrorist Unit Federal Academy and Counter Terrorist Unit Security (collectively, CTU), and Veintemilla is a principal of Worldwide Capital Lending Group (Worldwide). CTU and Worldwide are South Florida companies. Bergmann, who lived in Tampa, had ties to Sanon, a dual Haitian-American citizen who held political aspirations in Haiti, say the charging documents.
As alleged, in April 2021, Ortiz, Intriago, John, Solages and Sanon met in South Florida and agreed to a plan: Ortiz and Intriago – through CTU – would support ousting Haitian President Moïse and replacing him with Sanon. In exchange, once Sanon became President, he would award lucrative contracts to CTU for infrastructure projects in Haiti, the provision of security forces, and the provision of military type equipment to a Sanon-led Haitian government, according to the allegations.
It is alleged that in late April 2021, Veintemilla and his company Worldwide, agreed to help finance the coup d’etat, extending a $175,000 line of credit to CTU and sending money to co-conspirators in Haiti to purchase ammunition. Veintemilla expected to reap significant financial benefits through Worldwide should President Moise be replaced as president, as did Ortiz and Intriago through CTU.
Further planning and spending continued in South Florida from April to June 2021, according to the charging documents. For example, Ortiz and Intriago, as principals of CTU, retained a group of about 20 Colombian nationals with military training (including Rivera and Palacios) to provide security to Sanon. Bergmann became a supporter and investor who helped fund the Colombians’ lodging in Haiti and worked with Sanon and Intriago to ship 20 CTU-branded ballistic vests from South Florida to Haiti by falsifying the required export documentation.
By June 2021, the plan evolved as Ortiz, Intriago, Veintemilla and others apparently realized that Sanon had neither the constitutional qualifications nor the popular support of the Haitian people to become President. They shifted their support from Sanon to a former Haitian Supreme Court judge. This new candidate contracted with CTU and Worldwide to serve the companies’ financial interests upon becoming President.
It is also alleged that by June 2021, the plot progressed from forcibly removing Moïse from power to assassinating him. In particular, the conspiracy began to focus on assassination after an unsuccessful effort to seize President Moïse on a return trip to Haiti and spirit him away by airplane to a location outside the country.
According to the charging documents, from South Florida, Ortiz and Intriago managed and directed other members of the conspiracy – including Solages, a CTU representative in Haiti (who coordinated with Vincent and Sanon) and the Colombian nationals who participated in the assassination (through Rivera and/or another Colombian leader in Haiti who was killed while attempting to leave the scene of the assassination).
It is alleged that John, a former Haitian Senator, and Jaar both helped secure weapons and provided other support.
On July 6, 2021, co-conspirators met at a house near President Moïse’s residence, where firearms and equipment were distributed, and it was announced that the mission was to kill President Moïse, according to the allegations. On July 7, 2021, several individuals arrived outside President Moïse’s residence, some of whom were wearing CTU-branded ballistic vests. They entered the President’s home and killed him.
If convicted, Ortiz, Intriago, Veintemilla, Solages, Vincent, Garcia, Palacios, Jaar, and John face up to life in prison. Bergmann and Sanon face up to 20 years, if convicted. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Acting Special Agent in Charge Maged Behnam of the FBI Miami Field Office, and Acting Deputy Executive Associate Director for Homeland Security Investigations Anthony Salisbury.
FBI and HSI investigated these cases, with valuable assistance provided by Department of State, Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Department of Commerce, Bureau of Industry and Security Office of Export Enforcement, and the Department of Defense’s Criminal Investigative Service.
Assistant U.S. Attorneys Andrea Goldbarg and Monica Castro of the Southern District of Florida, Trial Attorneys Frank Russo and Jessica Fender of the National Security Division’s Counterterrorism Section, and Emma Ellenrieder of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case. Assistant U.S. Attorney Joshua Paster is handling asset forfeiture. The Justice Department’s Office of International Affairs provided valuable assistance.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
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Four Florida Men Arrested in Plot to Kill Haitian President, Grand Jury Returns Indictment Against 11Read the Press Release
This morning, U.S. federal law enforcement arrested two U.S. citizens and a legal permanent resident living in South Florida and one U.S. citizen living in Tampa pursuant to criminal complaints on charges relating to their participation in the events leading to the July 7, 2021, assassination of President Jovenel Moïse of Haiti. Following the arrests, a South Florida grand jury returned a third superseding indictment charging these four individuals, along with seven others previously arrested and charged in the United States for their alleged roles in the plot.
The four men arrested in Florida today are: Arcangel Pretel Ortiz, 50, a Colombian national and U.S. permanent resident of Miami; Antonio Intriago 59, a Venezuelan-American of Miami; Walter Veintemilla, 54, of Weston; and Frederick Bergmann, 64, of Tampa.
They made their initial federal court appearances today at 2:00 p.m. in Miami before U.S. Magistrate Judge Lauren Louis.
“Today, individuals who we allege participated in the planning, financing, and orchestration of the assassination of Haitian President Jovenel Moïse will face justice in an American courtroom,” said Attorney General Merrick B. Garland. “The court documents unsealed today outline an alleged plan by the defendants, some of whom were operating within the United States, to remove President Moise from office by either killing or kidnapping him in order to replace him with a candidate who would serve their political goals and financial interests. The Justice Department will not tolerate individuals plotting violent attacks from U.S. soil that undermine the rule of law abroad.”
“Today’s arrests show the FBI’s commitment to vigorously pursue the individuals involved in the brazen plot to kidnap or kill the former Haitian president,” said FBI Director Christopher Wray. “As demonstrated by this case, the men and women of the FBI will work tirelessly across borders and oceans to uphold the rule of law. The FBI will not tolerate these acts of violence perpetrated abroad against our international partners.”
“Today marks the culmination of a nearly two-year investigation into the assassination of President Moïse. Homeland Security Investigations special agents leveraged their authority to further investigative efforts with whole-of-government partners to bring justice to the Moïse family and people of Haiti,” said Deputy Secretary John K. Tien of the Department of Homeland Security. “The Department of Homeland Security is deeply committed to combating transnational organized crime. To those engaged in illicit activities, let today stand as a reminder that we remain relentless and vigilant in holding you accountable and dismantling your unlawful operations.”
With today’s arrests, 11 people now face charges in the Southern District of Florida in connection with the assassination. The third superseding indictment charges Ortiz, Intriago, and Veintemilla as well as James Solages, 37, Joseph Vincent, 57, and German Alejandro Rivera Garcia, 44, who were transferred into U.S. custody last month; Mario Antonio Palacios Palacios, 43, arrested January 2022; Rodolphe Jaar, 49, arrested January 2022; and Joseph Joel John, 51, arrested May 2022. These defendants – Ortiz, Intriago, Veintemilla, Solages, Vincent, Rivera, Palacios, Jaar and John – are charged with conspiracy to provide material support and resources to a conspiracy to kidnap or kill outside the United States, resulting in death; providing material support and resources to a conspiracy to kidnap or kill outside the United States, resulting in death; and conspiracy to kill or kidnap a person outside the United States.
The superseding indictment additionally charges Christian Emmanuel Sanon, 64, and Bergmann with conspiracy to commit export violations; submitting false and misleading export information; and smuggling ballistic vests from the United States to Haiti. As with Solages, Vincent and Rivera, Sanon was transferred from Haitian custody into U.S. custody last month.
“A central tenet of every democracy in the world is that those who want to change their government, must do so peacefully — through ballots, not bullets. These defendants thought they could secure immunity for their crimes,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “We will now deliver justice in a U.S. courtroom.”
“Haiti is no stranger to hardship and suffering. While most human beings would consider events that destroy hundreds of thousands of lives, homes, schools and infrastructure tragedies, there are others who consider them opportunities to gain money and power,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “When greed and ambition lead to violations of U.S. law, we will prosecute.”
“Homeland Security Investigations (HSI) leveraged its expertise in investigating transnational crime to identify the international network of co-conspirators who allegedly sought to overthrow the Haitian government through violence,” said Deputy Director and Senior Official Performing the Duties of the Director Tae D. Johnson of the U.S. Immigration and Customs Enforcement. “HSI continues to work with domestic and international law enforcement partners to investigate transnational criminal organizations that pose a significant threat to global security.”
According to court documents, from at least February 2021 to July 2021, South Florida served as a central location for planning and financing the plot to oust President Moïse from power and replace him with someone who would serve the coconspirators’ political goals and financial interests.
Ortiz and Intriago are principals of Counter Terrorist Unit Federal Academy and Counter Terrorist Unit Security (collectively, CTU), and Veintemilla is a principal of Worldwide Capital Lending Group (Worldwide). CTU and Worldwide are South Florida companies. According to charging documents, Bergmann, who lived in Tampa, had ties to Sanon, a dual Haitian-American citizen who held political aspirations in Haiti.
As alleged, in April 2021, Ortiz, Intriago, John, Solages and Sanon met in South Florida and agreed to a plan: Ortiz and Intriago – through CTU – would support ousting Haitian President Moïse and replacing him with Sanon. In exchange, once Sanon became President, he would award lucrative contracts to CTU for infrastructure projects in Haiti, the provision of security forces, and the provision of military type equipment to a Sanon-led Haitian government, according to the allegations.
It is alleged that in late April 2021, Veintemilla and his company Worldwide, agreed to help finance the coup d’etat, extending a $175,000 line of credit to CTU and sending money to co-conspirators in Haiti to purchase ammunition. Veintemilla expected to reap significant financial benefits through Worldwide should President Moïse be replaced as president, as did Ortiz and Intriago through CTU.
Further planning and spending continued in South Florida from April to June 2021, according to the charging documents. For example, Ortiz and Intriago, as principals of CTU, retained a group of about 20 Colombian nationals with military training (including Rivera and Palacios) to provide security to Sanon. Bergmann became a supporter and investor who helped fund the Colombians’ lodging in Haiti and worked with Sanon and Intriago to ship 20 CTU-branded ballistic vests from South Florida to Haiti by falsifying the required export documentation.
By June 2021, the plan evolved as Ortiz, Intriago, Veintemilla and others apparently realized that Sanon had neither the constitutional qualifications nor the popular support of the Haitian people to become President. They shifted their support from Sanon to a former Haitian Supreme Court judge. This new candidate contracted with CTU and Worldwide to serve the companies’ financial interests upon becoming President.
It is also alleged that by June 2021, the plot progressed from forcibly removing Moïse from power to assassinating him. In particular, the conspiracy began to focus on assassination after an unsuccessful effort to seize President Moïse on a return trip to Haiti and spirit him away by airplane to a location outside the country.
According to the charging documents, from South Florida, Ortiz and Intriago managed and directed other members of the conspiracy – including Solages, a CTU representative in Haiti (who coordinated with Vincent and Sanon) and the Colombian nationals who participated in the assassination (through Rivera and/or another Colombian leader in Haiti who was killed while attempting to leave the scene of the assassination).
It is alleged that John, a former Haitian Senator, and Jaar both helped secure weapons and provided other support.
On July 6, 2021, co-conspirators met at a house near President Moïse’s residence, where firearms and equipment were distributed, and it was announced that the mission was to kill President Moïse, according to the allegations. On July 7, 2021, several individuals arrived outside President Moïse’s residence, some of whom were wearing CTU-branded ballistic vests. They entered the President’s home and killed him.
If convicted, Ortiz, Intriago, Veintemilla, Solages, Vincent, Garcia, Palacios, Jaar and John face up to life in prison. Bergmann and Sanon face up to 20 years if convicted. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Acting Special Agent in Charge Maged Behnam of the FBI Miami Field Office, and Acting Special Agent in Charge Michael E. Buckley of HSI Miami made the announcement.
The FBI and HSI investigated these cases, with valuable assistance provided by the Department of State; Bureau of Alcohol, Tobacco, Firearms and Explosives; the Department of Commerce, Bureau of Industry and Security Office of Export Enforcement; and the Department of Defense’s Criminal Investigative Service.
Assistant U.S. Attorneys Andrea Goldbarg and Monica Castro for the Southern District of Florida, Trial Attorneys Frank Russo and Jessica Fender of the National Security Division’s Counterterrorism Section, and Emma Ellenrieder of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case. Assistant U.S. Attorney Joshua Paster is handling asset forfeiture. The Justice Department’s Office of International Affairs provided valuable assistance.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Union Treasurer Charged with Fraud and EmbezzlementRead the Press Release
PITTSBURGH, PA - A resident of Chisago City, Minnesota,, formerly of Western Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of embezzlement and fraud in violation of federal labor laws, United States Attorney Cindy K. Chung announced today.
The two-count Indictment named Donald W. Byers, age 48, as the sole defendant.
According to the Indictment, Byers, who is the former Treasurer for Division 287 of the Brotherhood of Locomotive Engineers and Trainmen (BLET) which is located in Ashville, Pennsylvania, embezzled over $45,000 from union funds, and created fraudulent records to conceal his embezzlement.
The law provides for a maximum total sentence of not more than five years in prison, a fine of $10,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The U.S. Department of Labor, Office of Labor-Management Standards conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Owner and General Manager of Oregon Dump Truck and Concrete Companies Sentenced to Federal Prison for Failing to Pay Employment TaxesRead the Press Release
PORTLAND, Ore.—The former owner and general manager of dump truck hauling and concrete companies based in Damascus, Oregon, was sentenced to federal prison today for willfully failing to pay employment taxes despite withholding them from employee paychecks.
Rebekah Joy Williams, 44, a resident of Damascus, was sentenced to eight months in federal prison and three years’ supervised release. She was also ordered to pay $725,492 in restitution to the IRS.
According to court documents, until the third and fourth quarters of 2017, Williams owned and operated Anbasa Transport LLC and Kelaye Conrete LLC, commercial dump truck hauling and concrete companies registered in Oregon that formerly operated in both Oregon and Washington State. As the sole owner and general manager of both companies, Williams was responsible for collecting, reporting, and paying federal income, Medicare, and Social Security taxes (also known as FICA taxes) on behalf of her employees.
Over at least a three-year period, from 2015-2017, Williams withheld these taxes from her employees’ paychecks and provided them with paystubs reflecting the withholdings. Despite doing so, IRS records showed that Williams made no payroll tax payments on behalf of either company from the third quarter of 2015 through the fourth quarter of 2017. In total, Williams failed to pay approximately $112,257 in employment taxes to the IRS.
In 2016, Williams hired an accountant to address her employment tax issues, but hid documentation the accountant needed to complete and file required payroll tax returns. Williams further lied to the accountant, claiming her companies’ payroll records had been damaged when a neighboring business caught fire. The accountant later told investigators that Williams was financially savvy and aware of her responsibility to pay payroll taxes.
Williams opened accounts at several different banks to hide her business proceeds from the IRS. Shortly after meeting with an IRS Revenue Officer in 2015, Williams began churning bank accounts, opening and closing accounts every 12 to 18 months. Meanwhile, Williams spent lavishly from both her personal and business bank accounts. She spent the payroll taxes withheld from her employees to fund vacations, pay her children’s private school tuition, attend professional sporting events, and fund an upscale lifestyle.
On October 19, 2021, a federal grand jury in Portland returned a 19-count indictment charging Williams with willfully failing to collect or pay over employment taxes. On November 14, 2022, she pleaded guilty.
This case was investigated by IRS-Criminal Investigation. It was prosecuted by Claire M. Fay, Assistant U.S. Attorney for the District of Oregon.
Former Memphis, Tennessee, Police Officer Pleads Guilty to a Civil Rights Violation for Assaulting a Man in his CustodyRead the Press Release
Memphis, TN – A former Memphis Police Department (MPD) officer pleaded guilty in federal court in the Western District of Tennessee to one felony count of deprivation of rights under color of law for assaulting an arrestee in January 2021.
According to the defendant’s admissions at the plea hearing, Armando Bustamante was working as an MPD officer in January 2021. While on duty, Bustamante struck a man in the head using his service weapon and his hands, without legal justification. Bustamante’s assault caused bodily injury to the man.
“This former Memphis police officer abused his authority by violently assaulting a man without basis,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Officers who willfully use excessive force without basis are not above the law and will be held accountable. Whether in Memphis or any corner of the country, the Justice Department stands ready to vigorously prosecute those law enforcement officers who defy the Constitution and violate people’s civil rights.”
“The United States cares deeply about violations of civil rights, here in Memphis and throughout America,” said U.S. Attorney Kevin Ritz for the Western District of Tennessee. “The overwhelming majority of police officers do their jobs honorably and lawfully. As this case shows, we will not hesitate to hold those who violate civil rights laws to account.”
“This plea is the result of the efforts of law enforcement to ensure that any officer who violates the civil rights of those they are sworn to protect is brought to justice,” said Douglas S. DePodesta, Acting Special Agent in Charge of the Memphis Field Office of the Federal Bureau of Investigation. “The FBI is committed to protecting the civil rights of all people and wearing a badge does not make one above the law."
Bustamante faces a maximum penalty of up to 10 years in prison and three years of supervised release. A sentencing date has been set for June 15.
Assistant Attorney General Clarke, U.S. Attorney Ritz, Assistant Director Quesada and Special Agent in Charge DePodesta made the announcement.
The FBI Memphis Field Office investigated the case.
Assistant U.S. Attorney David Pritchard for the Western District of Tennessee and Trial Attorney Nikhil Ramnaney of the Civil Rights Division’s Criminal Section are prosecuting the case.
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For more information, please contact Public Information Officer Cherri Green at (901) 544-4231 or cherri.green@usdoj.gov. Follow @WDTNNews on Twitter for office news and updates.
Former Memphis, Tennessee, Police Officer Pleads Guilty to a Civil Rights Violation for Assaulting a Man in his CustodyRead the Press Release
A former Memphis Police Department (MPD) officer pleaded guilty in federal court in the Western District of Tennessee to one felony count of deprivation of rights under color of law for assaulting an arrestee in January 2021.
According to the defendant’s admissions at the plea hearing, Armando Bustamante was working as an MPD officer in January 2021. While on duty, Bustamante struck a man in the head using his service weapon and his hands, without legal justification. Bustamante’s assault caused bodily injury to the man.
“This former Memphis police officer abused his authority by violently assaulting a man without basis,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Officers who willfully use excessive force without basis are not above the law and will be held accountable. Whether in Memphis or any corner of the country, the Justice Department stands ready to vigorously prosecute those law enforcement officers who defy the Constitution and violate people’s civil rights.”
“The United States cares deeply about violations of civil rights, here in Memphis and throughout America,” said U.S. Attorney Kevin Ritz for the Western District of Tennessee. “The overwhelming majority of police officers do their jobs honorably and lawfully. As this case shows, we will not hesitate to hold those who violate civil rights laws to account.”
“There is no place in law enforcement for officers who use excessive force,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “Civil rights are at the core of the FBI’s mission, and we are dedicated to ensuring that those who are sworn to protect their communities do so without violating the civil rights of those they serve.”
“This plea is the result of the efforts of law enforcement to ensure that any officer who violates the civil rights of those they are sworn to protect is brought to justice,” said Acting Special Agent in Charge Douglas S. DePodesta of the FBI Memphis Field Office. “The FBI is committed to protecting the civil rights of all people and wearing a badge does not make one above the law."
Bustamante faces a maximum penalty of up to 10 years in prison and three years of supervised release. A sentencing date has been set for June 15.
Assistant Attorney General Clarke, U.S. Attorney Ritz, Assistant Director Quesada and Special Agent in Charge DePodesta made the announcement.
The FBI Memphis Field Office investigated the case.
Assistant U.S. Attorney David Pritchard for the Western District of Tennessee and Trial Attorney Nikhil Ramnaney of the Civil Rights Division’s Criminal Section are prosecuting the case.
Former Founder and CEO of Supply-Chain Logistics Company Charged with $20 Million Wire FraudRead the Press Release
The founder of Slync, a supply-chain management software startup, has been charged for misappropriating $20 million from the company, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Christopher Kirchner, 35, was charged via criminal complaint with wire fraud and arrested at his home in Westlake early Tuesday morning. He made his initial appearance before U.S. Magistrate Judge Hal R. Ray, Jr. later in the day.
“This defendant flaunted his apparent wealth while allegedly diverting millions from company coffers into his private bank account,” said U.S. Attorney Leigha Simonton. “Slync investors and employees are understandably outraged, and we sympathize. We look forward to holding Mr. Kirchner accountable in federal court.”
“As the criminal complaint alleges, Mr. Kirchner used his position as a CEO to defraud investors and the company he worked for by diverting funds for his personal benefit. He did this to fund a lavish lifestyle at the expense of those that trusted him to act responsibly and ethically,” said FBI Dallas Acting Special Agent in Charge James J. Dwyer. “The FBI will remain persistent in our efforts to hold individuals accountable that commit such brazen acts of corporate greed.”
According to the complaint, Mr. Kirchner – who served as Slync’s CEO from 2017 until 2022, when he was suspended by the Board of Directors due to allegations of misconduct – allegedly wired $20 million from Slync’s bank account to his personal checking account.
In text messages, Mr. Kirchner told an employee that he was transferring money received from an investor into “an investment account” and a “chase” account. He then instructed the employee to approve the wires. But Mr. Kirchner did not transfer money into an “investment account” or a “chase” account. He instead transferred $20 million of Slync funds into his personal account.
Meanwhile, in emails, Mr. Kirchner told private bankers that the $20 million represented “a distribution from my company.” Slync’s Board of Directors never authorized such a distribution.
Mr. Kirchner allegedly used the $20 million – which amounted to roughly 40 percent of $50 million raised from private equity investors and venture capital groups during the company’s Series B investment round – to fund a lavish lifestyle, including a $16 million private Gulfstream jet and a $495,000 luxury suite at a local sports stadium.
A criminal complaint is merely an allegation of wrongdoing, not evidence. Like all defendants, Mr. Kirchner is presumed innocent until proven guilty in a court of law.
If convicted, he faces up to 20 years in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorneys Joshua Detzky, John de la Garza, and Blake Ellison are prosecuting the case.
Federal Jury Returns Guilty Verdict Against Sabine Parish Man for Making ThreatsRead the Press Release
SHREVEPORT, La. - United States Attorney Brandon B. Brown announced that a federal jury has returned guilty verdicts against Aaron Wade Knight, 31, of Noble, Louisiana, on two counts of making threats of violence against employees with the Sabine Medical Center (SMC) and the Veterans Administration (VA). United States District Judge Elizabeth E. Foote presided over the trial.
The two counts in this case stem from incidents which both occurred on June 1, 2022, when Knight made threats of violence against employees of the SMC in Many, Louisiana, and the VA in Shreveport and Alexandria. The first incident occurred in the morning hours of June 1 when Knight, who was living in Virginia at the time, called the VA hot line in Alexandria and spoke to a nurse who was working the call center. Knight proceeded to tell the nurse that he was upset about a bill he had received for a hospital visit a few weeks earlier at the SMC. As the conversation continued, Knight became more agitated and made the comment to her, “What do I need to do, do I need to blow up this place to get some help?” Out of concern about the threatening comments Knight made to her, the nurse contacted a patient advocate with the VA in Shreveport who had worked with Knight before.
The patient advocate then contacted Knight out of concern about the comments he had made moments earlier to the nurse. During the phone call, Knight became angry with the patient advocate and began to shout and made the following threatening statement to her, “do I need to go up there and shoot these motherf****rs in the f***ing face.”
Knight faces up to 5 years in prison for each count, three years of supervised release, and a fine of up to $250,000. Sentencing has been set for June 26, 2023, at 1:15 p.m.
The case was investigated by the Federal Bureau of Investigation and Many Police Department and prosecuted by Assistant U.S. Attorneys J. Aaron Crawford and Andrew Weber.
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Federal Indictment Returned Charging Maryland Woman and Florida Man for Conspiring to Destroy Energy FacilitiesRead the Press Release
Baltimore, Maryland – A federal grand jury in Maryland today returned an indictment charging Sarah Beth Clendaniel, age 34, of Catonsville, Maryland, and Brandon Clint Russell, age, 27, of Orlando, Florida, with conspiracy to destroy an energy facility. The defendants have been detained since their arrest on February 3, 2023, on related charges.
The indictment was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge Thomas J. Sobocinski, of the Federal Bureau of Investigation, Baltimore Field Office.
The single-count indictment alleges that Russell and Clendaniel conspired to willfully damage the property of an energy facility, causing damage exceeding $100,000 and causing a significant interruption and impairment of a function of the facility.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings. If convicted, Russell and Clendaniel each face a maximum sentence of 20 years in federal prison for conspiracy to damage an energy facility. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Erek L. Barron commended the Baltimore FBI Field Office for its outstanding work in the investigation and praised the Joint Terrorism Task Force, the Maryland State Police, the Baltimore County Police Department and the Tampa, Washington, and New York Field Offices of the FBI for their valuable assistance. Mr. Barron also thanked the Department of Justice’s National Security Division and the United States Attorney’s Office for the Middle District of Florida for their assistance. Mr. Barron thanked Assistant U.S. Attorney Kathleen O. Gavin, who is prosecuting the case and thanked Assistant U.S. Attorney Christina Hoffman for her assistance. For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach. To report a Maryland-based hate crime, contact the FBI Baltimore field office at (410) 265-8080 or www.tips.fbi.gov.
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Federal Grand Jury Indicts Two Men in Connection with Fort Campbell Auto TheftsRead the Press Release
Paducah, KY – A federal grand jury returned an indictment today, charging Daniel Lee Clark with multiple counts of larceny of vehicles taken from Fort Campbell in April and May of 2022. Joseph Pewitt was also charged with creating false documents and making false statements to the FBI.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office, and Chief Keith Shumate of the Fort Campbell Provost Marshal’s Office made the announcement.
According to the indictment, Clark, age 20, was a civilian living at the Fort Campbell Army Installation. Claiming to work for Fort Campbell’s housing authority and claiming that his job was to dispose of vehicles, Clark sold over 20 vehicles to the Guthrie Scrap Yard. These vehicles were parked at Fort Campbell and had been stickered by Fort Campbell police as being subject to impound. Most of the vehicles Clark sold were towed and crushed by the scrap yard. Clark did not work for the housing authority, and he had no authorization from the vehicles’ owners or from Fort Campbell to sell the vehicles.
Pewitt, age 57, the owner of Guthrie Scrap Yard, was told by one of his tow truck drivers that the military was investigating stolen vehicles. Pewitt instructed an employee to fabricate invoices regarding his purchases of vehicles from Clark, and he provided those to military investigators. During an interview with the FBI, Pewitt made materially false statements regarding the fabricated invoices.
Clark and Pewitt will make their initial court appearances on a later date before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky in the Paducah Division. If convicted, Clark faces a maximum sentence of 20 years in prison and Pewitt faces a maximum sentence of 10 years in prison. A federal district judge will determine any sentence after considering the sentencing guidelines and other statutory factors. There is no parole in the federal system.
This case is being investigated by the Federal Bureau of Investigation and the Fort Campbell Provost Marshal’s Office.
Assistant U.S. Attorney Raymond McGee, of the U.S. Attorney’s Paducah Branch Office, is prosecuting this case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Fayette County Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – David Shannon Browning, 57, of Oak Hill, was sentenced today to six years in prison, to be followed by five years of supervised release, for distribution of methamphetamine.
According to court documents and statements made in court, on January 4, 2022, Browning sold approximately 6.79 grams of methamphetamine to a confidential informant at his residence. Browning was on supervised release for a 2010 conviction for aiding and abetting the distribution of oxycodone when he committed this offense.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA), the Central West Virginia Drug Task Force and the Oak Hill Police Department.
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Ryan A. Keefe and former Assistant United States Attorney Nick Miller prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case Nos. 2:22-cr-35 and 2:09-cr-227.
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Dubuque Sex Offender Sentenced to Twenty-Five Years in Federal PrisonRead the Press Release
A man who posed as multiple teenagers to engage in sexually explicit communication with minors online and receive child sexual abuse material, was sentenced on February 13, 2023, to 25 years in federal prison.
Robert “Bobby” Lippstock, age 33, from Dubuque, Iowa received the prison term after a September 27, 2022 guilty plea to receipt and possession of child pornography.
At the guilty plea, Lippstock admitted he received and possessed depictions of child pornography from 2019 to 2020. At a prior hearing, evidence established that Lippstock was previously convicted of attempting to meet with a minor at a local park. In this case, Lippstock again fooled minors into thinking he was their friend in order to facilitate sexually explicit communication with them. After gaining their trust, he successfully received and re-distributed child sexual abuse material online through at least eight separate social media aliases. In addition, Lippstock possessed child sexual abuse material on multiple electronic devices in his residence. At sentencing, the Judge stated Lippstock poses a real and present danger to the community, particularly to children.
Lippstock was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Lippstock was sentenced to 300 months’ imprisonment. He must also serve a ten-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe 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.”
Lippstock 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 Attorneys Liz Dupuich and Jason Norwood and investigated by the Dubuque County Sherriff’s Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-cr-1029.
Follow us on Twitter @USAO_NDIA.
Documented gang member sent to prison for sex traffickingRead the Press Release
HOUSTON – A 24-year-old man who resided in Houston and grew up near Crosby has been ordered to federal prison for trafficking a minor and another for sex, announced U.S. Attorney Alamdar S. Hamdani.
Aryion Dupree Jackson pleaded guilty Dec. 19, 2022, in two separate cases. He admitted to the sex trafficking of a minor and conspiracy to traffic an adult female by force, fraud or coercion.
Today, U.S. District Judge Lee Rosenthal sentenced Jackson to a total of 324 months of imprisonment. Jackson was further ordered to serve 15 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Jackson will also be ordered to register as a sex offender. In imposing the sentence, the court acknowledged Jackson had a horrible childhood but said nothing in that would support the idea that a career raping children and causing them to be raped by others would be justified. She noted the spirits of these children have been destroyed and Jackson exploited them for his own benefit.
“Young women and girls are not commodities to be sold for the financial benefit of gang members,” said Hamdani. “We must remain vigilant to combat this problem together. To the victims - please know we have your backs. To the traffickers - you might want to watch your back. To all the others - please look for the signs and call the authorities.”
Between August 2019 and July 2020, Jackson caused females, both minors and adults, to engage in commercial sex. Both the minor and adult victims were threatened with violence. The minor was also tattooed with a five point crown and a bag of money - Jackson’s brand.
For three months, the minor was forced to engage in commercial sex for Jackson’s financial benefit. Law enforcement rescued the adult victim after being trafficked for a month and a half. During that time, she was forced to walk the track and earn at least $1000 a day for Jackson who had instructed her to charge from $100 to $300 dollars per sex act.
Jackson is a documented gang member who’s image appeared on a wanted billboard for aggravated sexual assault. He also had numerous Instagram accounts. In one, he discussed being a pimp and posted images of himself with money and guns.
While in custody, Jackson continued to control several victims through phone calls. He was also caught with cell phones and drugs.
Jackson has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be designated in the near future.
Assistant U.S. Attorneys Sherri L. Zack and Kimberly Ann Leo prosecuted the case.
The Human Trafficking Rescue Alliance (HTRA) conducted the investigation.
HTRA law enforcement includes members of the Houston Police Department, FBI, Homeland Security Investigations, Texas Attorney General’s Office, IRS-Criminal Investigation, Department of Labor (DOL), DOL – Wage and Hour Division, Department of State, Texas Alcoholic and Beverage Commission, Texas Department of Public Safety, Department of Homeland Security – Office of Inspector General (OIG), Social Security Administration – OIG and Sheriff’s Offices in Harris and Montgomery counties in coordination with District Attorney’s offices in Harris, Montgomery and Fort Bend Counties.
Established in 2004, the United States Attorney’s office in Houston formed HTRA to combine resources with federal, state and local enforcement agencies and prosecutors, as well as non-governmental service organizations to target human traffickers while providing necessary services to those that the traffickers victimized. Since its inception, HTRA has been recognized as both a national and international model in identifying and assisting victims of human trafficking and prosecuting those engaged in trafficking offenses.
Department of Justice Announces More than $5.2 Million in Grant Award to Improve State Enforcement of Protection Order Laws and Reduce Gun ViolenceRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, today announced a $5,245,397 Department of Justice grant to the Washington State Department of Commerce. The grant award will be used to implement the Byrne State Crisis Implementation Program for the state of Washington. This award will support state, local, and tribal efforts across the state to improve the implementation and enforcement of protection order laws and practices that can keep firearms out of the hands of those who pose a threat to themselves or others.
The funding has been authorized by the Bipartisan Safer Communities Act, which the President signed into law in June 2022. The Bipartisan Safer Communities Act is the most significant piece of federal gun safety legislation in almost three decades and comes as a response to recent mass shootings and to the far more common, but no less tragic, incidents of community gun violence. Including the Byrne State Crisis Intervention Program, the law allocates a total of $1.4 billion to OJP over five years to develop, implement, and sustain meaningful investments in safer communities.
With the announcement of today’s award, U.S. Attorney Waldref stated, “The United States Justice Department is committed to supporting state laws designed to curb gun violence and enforce protection orders.” She continued, “The $5.2 million award to Washington State will help save lives, keep children and law enforcement safe, and protect our families and communities from needless acts of gun violence.
Nationally, the Department of Justice announced over $231 million in state crisis intervention as part of the Bryne State Crisis Intervention Program. For a full list of awards, please visit: https://data.ojp.usdoj.gov/stories/s/O-BJA-2023-171458/b5xz-as5z/. These awards are the latest effort from the Department of Justice’s Office of Justice Programs to implement this historic legislation.
The Bureau of Justice Assistance (BJA) administers the Byrne State Crisis Implementation Program. BJA was created in 1984 to reduce violent crime, create safer communities, and reform aspects of our criminal justice system. BJA works with communities, governments, and nonprofit organizations to reduce crime, recidivism, unnecessary confinement, and promote a safe and fair criminal justice system. More information about BJA is available at https://bja.ojp.gov/about. Information specific to the Byrne State Crisis Implementation Program is available at https://bja.ojp.gov/program/byrne-scip/overview.
Additional information about grants and funding through the U.S. Department of Justice Office of Justice Programs is available at https://www.ojp.gov/.
Defendants Sentenced in a Romance Fraud and Money Laundering Scheme that Cost Victim Widows Millions of DollarsRead the Press Release
Salt Lake City, Utah – Three foreign national men, living in Utah, were sentenced after pleading guilty to their participation in a four-person money laundering ring that aided and abetted the defrauding of more than a hundred victims, primarily widows.
On Thursday, February 9, 2023, David Oguoguo Okeke, 30, of Vineyard, Utah, was sentenced to 54 months imprisonment and 36 months supervised release, after pleading guilty to money laundering conspiracy. He was ordered to pay $2,219,802.97 in restitution. Upon release from imprisonment, Okeke will be remanded to the Federal Bureau of Immigration and Customs Enforcement (ICE) for deportation proceedings.
Additionally, according to court documents, after pleading guilty to conspiracy to commit money laundering, Okeke’s codefendants Justin Akubueze, 30, and Abiemwense Valentine Obanor, 32, both formerly of Vineyard, Utah, were sentenced to 54 months and 74 months imprisonment, respectively. Each defendant was sentenced to 36 months supervised release and ordered to pay $219,802.97 in restitution jointly with Okeke.
The purpose of the scheme was to obtain money by creating online profiles pretending to be a United States soldier, international businessmen, or some other seemingly attractive profile, and using those profiles to develop relationships with victims. After their associates were charged with similar crimes in a different case, (see press release here: https://www.justice.gov/usao-ut/pr/eight-individuals-charged-fraud-scheme-targeting-widows-created-false-identities-feigned), Akubueze and Obanor left the United States. After a federal grand jury returned an indictment against them, they were extradited to the United States to face the charges against them.
“The U.S. Attorney’s Office will continue to prosecute fraudsters who take advantage of victims, many of whom are elderly, on a fixed income and lose money intended to carry them throughout the rest of their life,” said U.S. Attorney, Trina A. Higgins, for the District of Utah. “Taking advantage of our most vulnerable population is unacceptable and with our law enforcement partners we are committed to investigating these crimes.”
The Federal Bureau of Investigation (FBI) and the U.S. Postal Inspection Service (USPIS) investigated the case.
Assistant U.S. Attorney, Carl D. Lesueur, for the District of Utah prosecuted the case.
Defendant in Drug Case Sentenced to 17.5 Years in Federal PrisonRead the Press Release
Memphis, TN – Jose Anastacio Osorio Diaz, a/k/a Kenneth Rodriguez, 48, from Mexico, has been sentenced to 210 months in federal prison for conspiracy to possess illegal narcotics with intent to distribute. United States Attorney Kevin G. Ritz announced the sentence today.
According to the information presented in court, in 2018 the Drug Enforcement Administration (DEA) and the Federal Bureau of Investigation (FBI) began investigating the drug trafficking activities of Diaz, who used couriers to transport narcotics from Mexico into the Western District of Tennessee and elsewhere. One such courier was arrested in Laredo, Texas, on May 12, 2019, in possession of 3.98 kilograms of cocaine. A second courier, in possession of 976 grams of a mixture and substance containing a detectable amount of heroin and fentanyl, was arrested on July 1, 2019, in Braselton, Georgia.
On October 17, 2019, a federal grand jury returned a four-count superseding indictment against Jose Anastacio Osorio Diaz a/k/a Kenneth Rodriguez for conspiracy to possess methamphetamine, heroin, cocaine, and marijuana with the intent to distribute.
The defendant pled guilty on May 16, 2019.
On February 14, 2023, United States District Judge Mark S. Norris sentenced Diaz to 210 months imprisonment, to be followed by five years of supervised release. There is no parole in the federal system.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking organizations and organized criminal enterprises, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
This case was investigated by the DEA and the FBI.
United States Attorney Kevin Ritz thanked Assistant United States Attorney Michelle Kimbril-Parks, who prosecuted this case, as well as law enforcement partners who investigated the case.
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For more information, please contact Public Information Officer Cherri Green at (901) 544-4231 or cherri.green@usdoj.gov. Follow @WDTNNews on Twitter for office news and updates.
Defendant Convicted in Scheme to Steal Nearly $1 Million from Tech CompanyRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that a jury returned a guilty verdict today against SURESH MUNSHANI on charges of conspiracy to commit wire fraud and conspiracy to commit money laundering. MUNSHANI is scheduled to be sentenced on May 10, 2023, by U.S. District Judge Jed S. Rakoff, who presided over the one-week trial.
U.S. Attorney Damian Williams said: “Suresh Munshani and his brother thought they could get away with stealing nearly $1 million from his brother’s employer and laundering that money through a Canadian bank account, but today’s jury verdict shows that this Office will continue to follow the dirty money to bring those responsible for financial crimes to justice.”
According to the Superseding Indictment and the evidence presented at trial:
Between 2011 and 2018, SURESH MUNSHANI conspired with his brother, Suni Munshani, to steal from the victim company (the “Company”) and to launder the stolen funds back to his brother. During the relevant period, Suni Munshani was the Chief Executive Officer (“CEO”) of the Company, which provided data security services to its clients. In furtherance of the scheme, SURESH MUNSHANI, among other things, formed a fake company, added the name of that fake company to a bank account he controlled in Canada, lied to his bank about how he was using his account, and worked with his brother to deposit into that account approximately $860,000 stolen from the Victim Company. SURESH MUNSHANI thereafter laundered the majority of the stolen money back to a bank account controlled by Suni Munshani and kept approximately $150,000 of the stolen funds for himself.
Suni Munshani previously pled guilty to one count of conspiracy to commit wire fraud in connection with his involvement in the scheme.
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SURESH MUNSHANI, 58, of New York, New York, was convicted of one count of wire fraud conspiracy and one count of money laundering conspiracy. Each count carries a maximum sentence of 20 years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation’s New York Office for their assistance.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Timothy V. Capozzi and Steven J. Kochevar, with the assistance of Paralegal Specialist Geoffrey Mearns, are in charge of the prosecution.
Dallas Brothers Convicted of Federal Violations in the Eastern District of TexasRead the Press Release
PLANO, Texas – Two Dallas brothers have been found guilty of federal violations related to a fraud scheme in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
On Feb. 13, 2023, Thomas Hughes Page, 46 and Jon Phillip Page, Jr., 54, were found guilty by a jury of conspiracy to commit bank fraud and conspiracy to commit money laundering following a six-day trial before U.S. District Judge Sean D. Jordan.
According to information presented at trial, between approximately 2010 and 2017, the defendants used their company, Page Capital Group, to obtain multiple loans from PlainsCapital Bank (PCB), representing that the loans would be secured by a brokerage account worth at least $2 million. However, neither Thomas Page nor Phillip Page had access to such funds, as the brokerage account was never actually funded. Thomas Page and Phillip Page directed and paid a third individual, Clayton Wertz, to create and submit to PCB fraudulent brokerage statements for the brokerage account reflecting significant value. Once Thomas Page and Phillip Page received the money from PCB, they used the funds on various business and personal expenses. In addition, Thomas Page and Phillip Page took affirmative steps, such as providing occasional payments on the loan, to conceal and disguise their activity. As a result of the fraudulent conduct, the bank loaned Page Capital approximately $3.6 million and eventually lost approximately $3.25 million over the course of the scheme.
“These two brothers disguised and lied to financial institutions in order steal large amounts of money for their personal use, depriving others of the legitimate business use of the money,” said U.S. Attorney Featherston. “Keeping all the balls (lies) in the air only lasts until the FBI comes knocking, then the balls come crashing down. The FBI and prosecutors in this case did an outstanding job investigating and prosecuting the case.”
“The defendants knowingly used deceptive methods to obtain a loan from a financial institution that was used for their personal benefit, in order to keep their illicit scheme afloat,” said FBI Dallas Acting Special Agent in Charge James J. Dwyer. “Financial Institution Fraud not only hurts the lender, but also innocent borrowers who are seeking genuine loans for their businesses. The FBI is committed to pursuing anyone that attempts to defraud financial institutions, investors, or the public.”
The defendants face up to 30 years in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case was investigated by the Federal Bureau of Investigation – Frisco Resident Agency and prosecuted by Assistant U.S. Attorneys in the Plano office.
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Corrected: Four Florida Men Arrested in Plot to Kill Haitian President, Grand Jury Returns Indictment Against 11Read the Press Release
CORRECTION: The original press release is corrected to reflect that three U.S. citizens and one legal permanent were arrested today. Defendant Intriago is a U.S. citizen (Venezuelan American), not a legal permanent resident.
MIAMI – This morning, U.S. federal law enforcement arrested two U.S. citizens and a legal permanent resident living in South Florida and one U.S. citizen living in Tampa pursuant to criminal complaints on charges relating to their participation in the events leading to the July 7, 2021, assassination of President Jovenel Moise of Haiti. Following the arrests, a South Florida grand jury returned a third superseding indictment charging these four individuals, along with seven others previously arrested and charged in the U.S., for their alleged roles in the plot.
The four men arrested in Florida today are: Arcangel Pretel Ortiz, 50, a Colombian national and U.S. permanent resident of Miami; Antonio Intriago 59, a Venezuelan American, Walter Veintemilla, 54, an Ecuadorian American of Weston; and Frederick Bergmann, 64, of Tampa.
They are scheduled for initial federal court appearances today in Miami before U.S. Magistrate Judge Lauren F. Louis.
With today’s arrests, 11 people now face charges in the Southern District of Florida in connection with the assassination. The third superseding indictment charges Ortiz, Intriago, and Veintemilla as well as James Solages, 37, Joseph Vincent, 57, and German Alejandro Rivera Garcia, 44, who were transferred into U.S. custody last month; Mario Antonio Palacios Palacios, 43, arrested January 2022; Rodolphe Jaar, 49, arrested January 2022; and Joseph Joel John, 51, arrested May 2022. These defendants—Ortiz, Intriago, Veintemilla, Solages, Vincent, Rivera, Palacios, Jaar, and John—are charged with conspiracy to provide material support and resources to a conspiracy to kidnap or kill outside the United States, resulting in death; providing material support and resources to a conspiracy to kidnap or kill outside the United States, resulting in death; and conspiracy to kill or kidnap a person outside the United States.
The superseding indictment additionally charges Christian Emmanuel Sanon, 64, and Bergmann with: conspiracy to commit export violations; submitting false and misleading export information; and smuggling ballistic vests from the United States to Haiti. As with Solages, Vincent, and Rivera, Sanon was transferred from Haitian custody into U.S. custody last month.
According to court documents, from at least February 2021 to July 2021, South Florida served as a central location for planning and financing the plot to oust President Moïse from power and replace him with someone who would serve the coconspirators’ political goals and financial interests.
Ortiz and Intriago are principals of Counter Terrorist Unit Federal Academy and Counter Terrorist Unit Security (collectively, CTU), and Veintemilla is a principal of Worldwide Capital Lending Group (Worldwide). CTU and Worldwide are South Florida companies. Bergmann, who lived in Tampa, had ties to Sanon, a dual Haitian-American citizen who held political aspirations in Haiti, say the charging documents.
As alleged, in April 2021, Ortiz, Intriago, John, Solages and Sanon met in South Florida and agreed to a plan: Ortiz and Intriago – through CTU – would support ousting Haitian President Moïse and replacing him with Sanon. In exchange, once Sanon became President, he would award lucrative contracts to CTU for infrastructure projects in Haiti, the provision of security forces, and the provision of military type equipment to a Sanon-led Haitian government, according to the allegations.
It is alleged that in late April 2021, Veintemilla and his company Worldwide, agreed to help finance the coup d’etat, extending a $175,000 line of credit to CTU and sending money to co-conspirators in Haiti to purchase ammunition. Veintemilla expected to reap significant financial benefits through Worldwide should President Moise be replaced as president, as did Ortiz and Intriago through CTU.
Further planning and spending continued in South Florida from April to June 2021, according to the charging documents. For example, Ortiz and Intriago, as principals of CTU, retained a group of about 20 Colombian nationals with military training (including Rivera and Palacios) to provide security to Sanon. Bergmann became a supporter and investor who helped fund the Colombians’ lodging in Haiti and worked with Sanon and Intriago to ship 20 CTU-branded ballistic vests from South Florida to Haiti by falsifying the required export documentation.
By June 2021, the plan evolved as Ortiz, Intriago, Veintemilla and others apparently realized that Sanon had neither the constitutional qualifications nor the popular support of the Haitian people to become President. They shifted their support from Sanon to a former Haitian Supreme Court judge. This new candidate contracted with CTU and Worldwide to serve the companies’ financial interests upon becoming President.
It is also alleged that by June 2021, the plot progressed from forcibly removing Moïse from power to assassinating him. In particular, the conspiracy began to focus on assassination after an unsuccessful effort to seize President Moïse on a return trip to Haiti and spirit him away by airplane to a location outside the country.
According to the charging documents, from South Florida, Ortiz and Intriago managed and directed other members of the conspiracy – including Solages, a CTU representative in Haiti (who coordinated with Vincent and Sanon) and the Colombian nationals who participated in the assassination (through Rivera and/or another Colombian leader in Haiti who was killed while attempting to leave the scene of the assassination).
It is alleged that John, a former Haitian Senator, and Jaar both helped secure weapons and provided other support.
On July 6, 2021, co-conspirators met at a house near President Moïse’s residence, where firearms and equipment were distributed, and it was announced that the mission was to kill President Moïse, according to the allegations. On July 7, 2021, several individuals arrived outside President Moïse’s residence, some of whom were wearing CTU-branded ballistic vests. They entered the President’s home and killed him.
If convicted, Ortiz, Intriago, Veintemilla, Solages, Vincent, Garcia, Palacios, Jaar, and John face up to life in prison. Bergmann and Sanon face up to 20 years, if convicted. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Acting Special Agent in Charge Maged Behnam of the FBI Miami Field Office, and Acting Deputy Executive Associate Director for Homeland Security Investigations Anthony Salisbury.
FBI and HSI investigated these cases, with valuable assistance provided by Department of State, Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Department of Commerce, Bureau of Industry and Security Office of Export Enforcement, and the Department of Defense’s Criminal Investigative Service.
Assistant U.S. Attorneys Andrea Goldbarg and Monica Castro of the Southern District of Florida, Trial Attorneys Frank Russo and Jessica Fender of the National Security Division’s Counterterrorism Section, and Emma Ellenrieder of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case. Assistant U.S. Attorney Joshua Paster is handling asset forfeiture. The Justice Department’s Office of International Affairs provided valuable assistance.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
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Convicted Identity Thief Pleads Guilty to Access Device Fraud and Aggravated Identity TheftRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that Yonasky Fernandez Rosa (40, Tampa) has pleaded guilty to access device fraud and aggravated identity theft. Rosa faces a maximum penalty of 10 years in federal prison for access device fraud and a consecutive 2-year minimum mandatory term of imprisonment for aggravated identity theft. A sentencing date has not yet been set.
According to the plea agreement, in 2018, Rosa was convicted of access device fraud and aggravated identity theft in federal court in Ohio. After serving 22 months in prison, his supervised release was transferred to the Middle District of Florida, during which he continued to commit identity theft and access device fraud. On April 6, 2021, Rosa used a victim’s personally identifiable information (PII) to purchase gasoline at a Circle-K gas station in Plant City without the victim’s authorization. The victim told law enforcement that he did not know Rosa, did not authorize the purchase, and did not give Rosa permission to possess his PII.
On June 2, 2021, during a search of Rosa’s residence in the Town N’ Country neighborhood of Tampa, law enforcement officers discovered device-making equipment, including magnetic stripe encoders and skimmers, and hundreds of instances of PII in the form of credit card numbers, cardholder names, and PINs, on Rosa’s laptop computer.
This case was investigated by the United States Secret Service, the Florida Department of Agriculture and Consumer Services – Office of Agriculture Law Enforcement, the Citrus County Sheriff’s Office, the Hillsborough County Sheriff’s Office, and the Florida Highway Patrol. It is being prosecuted by Assistant United States Attorney David W.A. Chee.
Convicted Felon Sentenced to More Than Five Years in Federal Prison for Selling A FirearmRead the Press Release
Ocala, Florida – Senior United States District Judge Gregory A. Presnell has sentenced Troy Nix (30, Mount Dora) to five years and eight months in federal prison for possessing a firearm as a convicted felon. Nix had pleaded guilty on September 21, 2022.
According to court records, on June 3, 2022, Nix sold a 9mm firearm to an undercover ATF agent and then fled on foot when agents attempted to arrest him. Nix is a previously convicted felon with at least eight prior state felony convictions including battery on a person 65 years of age or older, sale of cocaine, and fleeing to elude police. Because of his prior felony convictions, Nix is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, U.S. Customs and Border Patrol, the Lake County Sheriff’s Office, and the Mount Dora Police Department. It was prosecuted by Assistant United States Attorney Tyrie K. Boyer.
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.
Cody Ahonen Imprisoned on Drug and Firearms ChargesRead the Press Release
Burlington, Vermont - The United States Attorney’s Office stated that Cody Ahonen, 29, of Mt. Holly, Vermont was sentenced today in United States District Court in Burlington to 48 months of imprisonment following his guilty plea to possessing cocaine and cocaine base with intent to distribute and possessing firearms as a prohibited person. United States District Judge Christina Reiss ordered that Ahonen serve three years of supervised release following completion of his prison term and forfeit firearms that were seized during this investigation. Ahonen has been incarcerated since his arrest in September 2021.
According to public records, on September 15, 2021, Vermont State Police arrested Ahonen after they responded to a motor vehicle incident on U.S. Route 4 near Killington. During investigation at the scene and after executing search warrants for Ahonen’s car and hotel room, law enforcement seized two handguns, a rifle, ammunition and about 175 grams of cocaine and cocaine base. Ahonen is prohibited from possessing any firearms because he was previously convicted of a misdemeanor crime of domestic violence. In his guilty plea last summer, Ahonen admitted that he intended to distribute the seized drugs.
This case was investigated by the Vermont State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Ahonen was represented by Robert Sussman, Esq. The prosecutor was Assistant U.S. Attorney Gregory Waples.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn.
California Man Sentenced to 25 Years in Federal Prison for Distribution of Methamphetamine in the Natchez, MS AreaRead the Press Release
Jackson, Miss. – A California man was sentenced to 25 years in federal prison for his involvement in a conspiracy to traffic over a quarter of a million dollars’ worth of methamphetamine and marijuana into the Natchez area, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Brad Byerley of the Drug Enforcement Administration.
According to court documents, Arthur Wilson, 57, of Moreno Valley, CA, conspired with Wesley Bell of Natchez, Jimmie Lee Swearengen, Jr., of Mesquite, TX, Thomas Jerome Mitchell and Justine Chambers of Victorville, CA, and Kevin Singleton, formerly of Natchez, to traffic kilograms of methamphetamine and marijuana into the Natchez area for distribution and sale. Wilson was also convicted of conspiracy to commit money laundering for his role in moving more than $345,000 in drug proceeds from Natchez to his drug suppliers in California.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. 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.
This OCDETF case is the result of an extensive investigation by the Drug Enforcement Administration, the Organized Crime and Drug Enforcement Task Force in Atlanta, GA, the Mississippi Bureau of Narcotics, Adams County Sheriff’s Office, the U.S. Postal Inspection Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Mississippi Highway Patrol, and Pearl Police Department.
The case was prosecuted by Assistant United States Attorneys Carla J. Clark and Clay B. Baldwin.
Billings man sentenced to 18 years in prison for drug trafficking, illegal possession of firearmsRead the Press Release
BILLINGS — A Billings man who admitted to distributing pounds of methamphetamine, fentanyl pills and heroin over three months while residing at a Billings pre-release center and to illegally possessing firearms was sentenced today to 18 years in prison, to be followed by five years of supervised release, U.S. Attorney Jesse Laslovich said.
Rodney Trimble, 48, pleaded guilty in September 2022 to possession with intent to distribute controlled substances and to prohibited person in possession of a firearm.
U.S. District Judge Dana L. Christensen presided.
The government alleged in court documents that in June 2022, Billings Police officers learned that Trimble was in possession of a large amount of meth, fentanyl and heroin and was on state probation. Montana Probation and Parole authorized a search of Trimble following a traffic stop. Trimble told officers that he was recently released from a pre-release center where he was serving time for distributing illicit drugs within a corrections facility. Trimble admitted to recently buying a pound of meth, approximately 100 fentanyl pills and some heroin and had the drugs in his vehicle. He further admitted that he had firearms at his residence that he obtained from “a couple of tweakers on the street” because someone had recently broken into his residence. Officers located approximately 1.4 pounds of meth, 49 grams of heroin and 24 fentanyl pills in Trimble’s vehicle, and a semi-automatic rifle and .357-caliber revolver in his residence. Trimble further admitted to distributing approximately 12 pounds of meth, 600 fentanyl pills and three ounces of heroin over three months, all while he was residing at the pre-release center. Twelve pounds of meth is the equivalent of approximately 43,488 doses.
Assistant U.S. Attorney Julie R. Patten prosecuted the case, which was investigated by the FBI, Eastern Montana High Intensity Drug Trafficking Area Task Force and Billings Police Department.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. 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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Billings man sentenced for stealing deceased mother’s benefitsRead the Press Release
BILLINGS — A Billings man who admitted to using federal and private benefits that belonged to his deceased mother was sentenced today to three years of probation and ordered to pay full restitution of $100,986, U.S. Attorney Jesse Laslovich said.
Orin Raymond Champlin III, 62, pleaded guilty in October 2022 to theft of government property.
U.S. District Judge Dana L. Christensen presided.
In court documents, the government alleged that Champlin was on a joint bank account with his mother, who was receiving government and private benefits. In June 206, Champlin’s mother died. Instead of reporting her death to the entities, Champlin continued to receive government benefits from the Social Security Administration and the Federal Employees Office of Personnel Management and a private annuity payment from MetLife for almost four years. Champlin used the money for his own personal expenses, including insurance for cars and daily expenses, totaling more than $100,000.
The U.S. Attorney’s Office prosecuted the case, which was investigated by the Social Security Administration and Office of Personnel Management Office of Inspector General.
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Biddeford Man Faces up to 20 Years for Possession of Child Sexual Abuse MaterialsRead the Press Release
PORTLAND, Maine: A Biddeford man pleaded guilty today in U.S. District Court in Portland to possession of child sexual abuse materials.
According to court records, in September 2022, federal agents executed a search warrant at the Biddeford residence of Jeffrey Gray, 61, following reports that he had shared child sexual abuse material over a peer-to-peer file sharing network. Investigators seized eight electronic devices, and based on material recovered from those devices, executed a second search warrant in November 2022, recovering three additional devices. A forensic examination of the devices revealed hundreds of child sexual abuse images and videos. Victims depicted in the material recovered included an infant approximately 3-6 months old being sexually abused by an adult man. Gray has a previous conviction in Rockingham (New Hampshire) Superior Court in 2012 for aggravated felonious sexual assault.
Gray faces up to 20 years imprisonment and a fine of up to $250,000. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Homeland Security Investigations (HSI) and the Maine State Police investigated the case.
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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Ballwin Man Sentenced to 10 Years in Prison for Supplying Fatal Dose of FentanylRead the Press Release
ST. LOUIS – U.S. District Judge Henry E. Autrey on Tuesday sentenced a man from Ballwin, Missouri who provided the fentanyl that killed a friend and then hid the man’s body to 10 years in prison.
Late in the evening of July 11, 2020 or early the next morning, Quinton O’Bryan Adaway provided several capsules containing fentanyl to a friend. The victim, identified in court documents as “M.C.,” had bought drugs from O’Bryan Adaway in the past or traded drugs with him, and both struggled with drug addiction. O’Bryan Adaway also warned M.C. that the capsules were more potent than the capsules that M.C. had previously used.
M.C. took the fentanyl in his car, overdosed and died. Later that day or the next, O’Bryan Adaway discovered the body and tried to hide it in his backyard by partially covering it. He also removed the SIM card from M.C.’s cellular phone and disposed of the phone.
M.C.’s family and girlfriend began looking for him on July 12. M.C.’s girlfriend contacted O’Bryan Adaway, who denied knowing where he was. The next day, they reported M.C. missing, tracked M.C.’s cell phone to O’Bryan Adaway's house and then contacted the Ballwin Police Department.
Officers found M.C.’s body, the SIM card, two of the victim’s debit cards, drugs and drug paraphernalia in O’Bryan Adaway’s home.
O’Bryan Adaway, 26, pleaded guilty in September to one count of distribution of fentanyl.
The Ballwin Police Department investigated this case. Assistant U.S. Attorney Jennifer Szczucinski is prosecuting the case.
13 February 2023
Young Gunnerz Gang Member Sentenced for Drug & Gun PossessionRead the Press Release
LYNCHBURG, Va. – Najalaek Walker, 27, of Troy, New York, was sentenced this week to 48 months in federal prison after pleading guilty in October 2022 to one count of possession with the intent to distribute cocaine, one count of possession with the intent to distribute heroin, and one count of possession of a firearm by a convicted felon.
According to court documents, on November 27, 2021, members of the Lynchburg Police Department were notified that Walker was on a Greyhound bus and expected to stop in Lynchburg, Virginia. Walker was wanted by the state of New York for a parole violation at the time, and an extraditable warrant had been issued.
As he exited the bus, Walker dropped a food container he was holding which contained a Jimenez Arms 9mm pistol with 12 rounds of ammunition.
During his arrest, Walker was found in possession of numerous individually packaged bags containing heroin and cocaine, as well as an additional eight rounds of 9mm ammunition.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Special Agent in Charge of the FBI Richmond Division Stanley M. Meador made the announcement.
The investigation of the case was conducted by the Federal Bureau of Investigation and the Lynchburg Police Department.
Assistant United States Attorney Charlene Day prosecuted the case for the United States.
Woman Sentenced to 2 Years in Federal Prison for 13 Year-Long Scheme to Embezzle Nearly $600,000 from Catholic Church and SchoolRead the Press Release
INDIANAPOLIS- Marie Carson, 72, of Indianapolis, Indiana, was sentenced to 2 years in federal prison after pleading guilty to wire fraud.
According to court documents, from 2008 to 2021, Carson illegally transferred approximately $573,836.59 from the business accounts of a Catholic church and related school in Indianapolis to her own personal bank accounts. During these thirteen years, Carson was employed at the parish as a business manager and was responsible for processing checks received from parishioners, conducting financial transactions on behalf of the church and school, and was the sole staff member in charge of managing the parish’s finances.
Carson’s scheme was exposed in November of 2021, when she was on leave from her position. Carson’s temporary replacement noticed suspicious transfers from the parish’s gaming account to an external bank account. Further investigation led to the location of over $289,000 in transfers to multiple accounts, including a phantom account created in the church’s name.
Carson was able to maintain the scheme by making false entries into the database used by the parish to track payments. A significant amount of money was used by Carson and her husband for casino gambling and an annual, month-long vacation to Florida.
The actual monetary loss is likely much higher, as Carson admitted to church officials that she began this scheme in 2004.
“For more than thirteen years, this defendant abused her position of trust to embezzle money from parishioners intended for a church and school,” said Zachary A. Myers, United States Attorney for the Southern District of Indiana. “Her greed and desire for lavish vacations outweighed her interest in following the dictates of our criminal laws and the teachings of her church, ‘thou shalt not steal.’ The sentence imposed today sends a clear message to those who might seek to steal, defraud, and embezzle: we will find you, you will be prosecuted, and you will be held accountable.”
“This scheme was fueled by pure greed. For more than a decade, the defendant abused the trust of the church and its parishioners to line her own pocket,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “While she may have benefited in the short term, in the end this perpetrator’s deception landed her behind bars. The FBI and our partners will continue to identify and investigate those who engage in these types of illegal schemes and hold them accountable.”
The FBI investigated this case with valuable assistance provided by IMPD. The sentence was imposed by U.S. District Court Judge Chief Tanya Walton Pratt. Judge Pratt also ordered that Carson be supervised by the U.S. Probation Office for 2 years following her release from federal prison and that she pay $573,836.59 in restitution.
U.S. Attorney Myers thanked Assistant United States Attorney James M. Warden, who prosecuted this case.
West Virginia man faces COVID fraud charges after claiming lost earnings while incarceratedRead the Press Release
WHEELING, WEST VIRGINIA – A West Virginia man has been indicted on wire fraud charges after obtaining COVID relief money by claiming he was operating a food truck when he was actually in federal prison.
Anton Matthews, age 39, of Wheeling, has been charged with wire fraud after obtaining nearly $50,000 in CARES Act loans after misrepresenting his income and occupation. According to court documents, Matthews submitted a loan application in which he claimed to have established a food truck business in January 2019 and to have earned $103,000 in gross income in 2020. However, Matthews was in federal prison from November 2016 until October 2020, followed by a period of home confinement until March 2021.
“We will continue to aggressively pursue criminals who stole relief money that was meant to help Americans,” said United States Attorney William Ihlenfeld. “Mr. Matthews’ conduct was particularly brazen, but he will be held to account thanks to the excellent work of the FBI.”
On the same day COVID fraud charges were filed against him, Matthews was also indicted for drug trafficking. The drug case alleges that Matthews conspired with others to distribute cocaine both inside and outside of the Third Alarm Bar on Wheeling Island in Ohio County last fall. Matthews faces a total of four cocaine distribution charges.
Matthews is presumed innocent until and unless proven guilty.
Assistant U.S. Attorneys Jennie Conklin and Shawn Adkins are representing the government.
The fraud investigation was conducted by the Federal Bureau of Investigation.
The drug investigation was conducted by the Ohio Valley Drug Task Force, which includes officers from the Wheeling Police Department, the Ohio County Sheriff’s Office, the West Virginia State Police, and the Drug Enforcement Administration.
U.S. Marshals Capture over 800 Fugitives in Operation North StarRead the Press Release
The U.S. Marshals Service has concluded Operation North Star II (ONS II), a high-impact fugitive apprehension initiative aimed at combating violent crime in 10 cities with a significant number of homicides and shootings.
This 30-day initiative resulted in the arrest of 833 fugitives, violent criminals, sex offenders, and self-identified gang members in Albuquerque, New Mexico; Buffalo, New York; Cleveland and Columbus, Ohio; Detroit, Michigan; Jackson, Mississippi; Kansas City, Missouri; Milwaukee, Wisconsin; Oakland, California; and Puerto Rico.
ONS II focused on fugitives wanted for the most serious, violent, and harmful offenses including homicide, forcible sexual assault, robbery, or aggravated assault. ONS II investigators prioritized their efforts to include individuals using firearms in their crimes, or who exhibited risk factors associated with violence.
“The results of this operation should make clear that the Justice Department and our partners across the country will stop at nothing to find and bring to justice those responsible for violent crime,” said Attorney General Merrick B. Garland. “The U.S. Marshals Service, and the entire Justice Department, will continue to work in partnership with community leaders and law enforcement professionals nationwide to protect our communities.”
“The U.S. Marshals Service remains steadfast in its commitment to assisting law enforcement and community leaders at all levels to combat violent crime,” said Director Ronald Davis of the U.S. Marshals Service. “The success of ONS II is based on its laser focus on the most significant drivers of violence. We are confident that apprehending these offenders will bring a level of justice to their victims and contribute to the overall violence reduction efforts in each city and hopefully bring a level of justice to their victims.”
Throughout the month of January, the U.S. Marshals Service used its broad arrest authority and network of task forces to arrest individuals wanted on charges including 95 for homicide and 68 for sexual assault. In addition, investigators seized 181 firearms, more than $229,000 in currency, and more than 160 kilograms of illegal narcotics.
Notable arrests included:
Walter Abbott was arrested on Jan. 18 in Rio Rancho, New Mexico, by members of the Southwest Fugitive Task Force. Abbott was wanted in Sandoval County, New Mexico, for first-degree attempted homicide and aggravated burglary with a deadly weapon.
Paris Jackson was arrested on Jan. 31 in Buffalo, New York, by members of the New York/New Jersey Regional Fugitive Task Force. Jackson was wanted in Buffalo for second-degree criminal in possession of a weapon and for shooting at a police officer.
Gregory Kalvitz and Jessica Downing were arrested on Jan. 20 in Cleveland by members of the Northern Ohio Violent Fugitive Task Force. They were wanted in Henry County, Ohio, for interference of a custody warrant after taking an 8-year-old girl and fleeing.
Jermaine Westbrook was arrested on Jan. 26 in Parkersburg, West Virginia, by personnel from the U.S. Marshals Service Southern District of West Virginia, with assistance from members of the Southern Ohio Fugitive Apprehension Strike Team. Westbrook was wanted in Franklin County, Ohio, for felony assault, murder, and parole violation.
Richard Nichols was arrested on Jan. 30 in Albion, Michigan, by members of the Detroit Fugitive Apprehension Team. Nichols was wanted by the Michigan State Police for assault with intent to murder.
Gerard Parker was arrested on Jan. 26 in Harrison County, Mississippi, by members of the Gulf Coast Regional Fugitive Task Force. Parker was wanted in New Orleans for third-degree sexual assault and parole violations.
Aaron Payne was arrested on Jan. 18 in Kansas City, Missouri, by members of the Missouri Violent Fugitive Task Force. Payne was wanted in Tarrant County, Texas, for felony assault strangulation.
Antonio Jenkins was arrested on Jan. 13 in West Allis, Wisconsin, by members of the Great Lakes Regional Fugitive Task Force. Jenkins was wanted in Milwaukee for numerous charges including first-degree reckless endangering safety, felon in possession of a firearm, battery, and sale/possess/use/transport of a machine gun.
Michael Nguyen was arrested on Jan. 11 in Oakland, California, by members of the Pacific Southwest Regional Fugitive Task Force. Nguyen was wanted in Oakland for possession of illegal weapons, illegal manufacturing of weapons, and firing weapons.
Edwin Padilla-Lopez was arrested on Feb. 3 in Carolina, Puerto Rico, by members of the Puerto Rico Violent Offender Task Force and Puerto Rico Organized Crime Drug Enforcement Task Force. Padilla-Lopez was wanted in the District of Puerto Rico for conspiracy to distribute controlled substances in the municipalities of Caguas, Cidra, and Aguas Buenas.
The concept behind interagency law enforcement operations such as ONS II evolved largely from regional and district task forces. Since the 1980s, the U.S. Marshals Service has combined their resources and expertise with local, state, and federal agencies to find and apprehend dangerous fugitives.
For more information, visit www.usmarshals.gov. For ONS II photos, click here.
Two Bronx Men Sentenced to 14 and over 11 Years in Prison for Shooting Three Victims Near A PlaygroundRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that ROBERT WADE was sentenced to 168 months in prison and DARRIUS CHRISTOPHER was sentenced to 137 months in prison by U.S. District Judge Sidney H. Stein. CHRISTOPHER and WADE were each convicted, following trial, on December 7, 2022, of one count of possessing ammunition after having previously been convicted of a felony and one count of conspiracy to possess ammunition after having previously been convicted of a felony.
U.S. Attorney Damian Williams said: “Today’s sentence demonstrates that those who use illegal weapons to inflict violence in our community will be held accountable for their crimes. I thank our law enforcement partners in the New York City Police Department and the Drug Enforcement Administration for working with us to keep violent criminals off the streets and to keep our communities safe.”
According to evidence presented in court during the trial:
On October 25, 2019, minutes before 7:42 p.m., CHRISTOPHER and WADE were dropped off by a car on Ryer Avenue in the Bronx, New York, approximately one block north of Slattery Playground. CHRISTOPHER and WADE walked side-by-side southbound toward a group of approximately 10 young people gathered on the sidewalk next to Slattery Playground. As they approached the group from the opposite side of Ryer Avenue, CHRISTOPHER removed a handgun from his pocket and racked the weapon, readying it to fire. Soon after, CHRISTOPHER crossed the street and approached the group of people while WADE positioned himself on the opposite street of Ryer Avenue. When CHRISTOPHER was mere feet from the group, CHRISTOPHER and WADE both opened fire. CHRISTOPHER fired three shots while WADE fired seven bullets at the crowd. CHRISTOPHER and WADE hit three victims, all of whom received treatment from a local hospital that night and were released. CHRISTOPHER and WADE then made a prompt escape into a waiting getaway car a few blocks away.
Evidence at trial demonstrated that CHRISTOPHER and WADE were members of a gang and that one of the shooting victims had posted online video footage insulting rival gang members only hours before the shooting. CHRISTOPHER and WADE’s shooting was revenge for insults one of their victims lodged against their gang.
When imposing today’s sentences, Judge Stein described the defendants’ crime as “horrific.” Judge Stein further remarked he “couldn’t overstate the extreme gravity of this crime, shooting innocent bystanders” simply because the defendants “were called names.”
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CHRISTOPHER, 31, of the Bronx, New York, had previously been convicted of three crimes, including attempted robbery in the second degree and attempted assault in the first degree. WADE, 34, of the Bronx, New York, had previously been convicted of four crimes, including assault in the second degree and attempted possession of a loaded firearm in the second degree. In addition to the prison term, CHRISTOPHER and WADE were sentenced to three years of supervised release.
Mr. Williams praised the outstanding investigative work of the New York City Police Department and the Drug Enforcement Administration in this investigation.
The prosecution is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorneys Ryan B. Finkel and Mollie E. Bracewell are in charge of the prosecution.
Two Amazon Marketplace Sellers and Four Companies Plead Guilty to Price Fixing DVDs and Blu-Ray DiscsRead the Press Release
Two Amazon marketplace sellers and four of their companies have pleaded guilty to price fixing DVDs and Blu Ray Discs.
On Feb. 10 in U.S. District Court for the Eastern District of Tennessee, Bruce Fish of Hayfield, Minnesota, along with BDF Enterprises, Inc., a corporate entity owned by Fish, admitted to participating in a conspiracy to fix the prices of DVDs and Blu-Ray discs sold on the Amazon marketplace. Victor Btesh of Brooklyn, New York, and three New York corporate entities of which Btesh is the sole or majority owner, pleaded guilty to the same conspiracy on Feb. 9.
According to the plea agreements, Btesh and Fish, along with their four corporate entities, agreed with co-conspirators to raise and maintain the prices of DVDs and Blu-Rays sold in Amazon marketplace storefronts, resulting in those products being sold at collusive and noncompetitive prices. Amazon Marketplace is an e-commerce platform that enables third-party vendors to sell new or used products alongside Amazon’s own offerings. Amazon Marketplace is owned and operated by Amazon.com, Inc. The four corporate entities are the first corporate defendants to plead guilty and the owners are the fifth and sixth individuals in the scheme.
“As e-commerce has become a cornerstone of the economy, it is vital to protect fair and open competition in online marketplaces,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “Conspiring to fix prices, wherever that conduct may occur, harms competition. These guilty pleas demonstrate that the division remains committed to deterring, detecting, and prosecuting anticompetitive conduct across markets.”
“Cases like these demonstrate the FBI’s dedication to investigating those who look to operate outside of the law to conspire to fix prices in the consumer marketplace,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners remain committed to protecting consumers against all forms of fraud, schemes and illegal activity, and bringing those who orchestrate these crimes to justice."
“Activities related to price fixing and collusion do not promote an environment conducive to open competition, ultimately harming the consumer,” said Executive Special Agent in Charge Kenneth Cleevely of the U.S. Postal Service (USPS) Office of Inspector General. “The guilty pleas in this case represent a win for all law enforcement agencies who investigate those who engage in this type of harmful conduct to ensure that justice is served.”
A criminal violation of the Sherman Act carries a statutory maximum penalty of 10 years in prison, a $1 million criminal fine for individuals, and a $100 million fine for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Antitrust Division’s Chicago Office and the U.S. Attorney’s Office for the Eastern District of Tennessee are prosecuting the case, which was investigated with the assistance of the FBI’s New York Field Office and the USPS Office of Inspector General’s Contract Fraud Investigations Division.
Anyone with information concerning price fixing or other anticompetitive conduct related to the sale of DVDs, Blu-Rays, or products sold through Amazon Marketplace should contact the Antitrust Division’s Chicago Office at 312-984-7200, Citizen Complaint Center at 888-647-3258 or www.justice.gov/atr/contact/newcase.html, FBI’s New York Field Office at 212-384-1000, or USPS OIG’s Fraud, Waste, & Misconduct Hotline at 888-877-7644.
Tulare County Woman Pleads Guilty to Distributing over 3 Pounds of MethamphetamineRead the Press Release
FRESNO, Calif. — Alma Sanchez, 50, of Alpaugh, pleaded guilty today to distributing methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Sanchez distributed methamphetamine on two occasions to a co‑conspirator, who then immediately resold the methamphetamine. On June 16, 2021, Sanchez distributed 1.5 pounds of methamphetamine, and on Jan. 31, 2022, she distributed 2 pounds of methamphetamine.
This case is the product of an investigation by the Drug Enforcement Administration, the Coalinga Police Department, the Tulare County Sheriff’s Office, the Tulare County High Intensity Drug Trafficking Area Unit (HIDTA), and the Fresno Police Department. Assistant U.S. Attorney Antonio J. Pataca is prosecuting the case.
Sanchez is scheduled to be sentenced by U.S. District Judge Jennifer L. Thurston on May 30, 2023. Sanchez faces a maximum statutory penalty of up to 20 years in prison and a $1 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
St. Louis Sex Offender Admits New Child Pornography ChargesRead the Press Release
ST. LOUIS – A registered sex offender from St. Louis, Missouri on Monday pleaded guilty to new child pornography charges.
Alimayo R. Darden, 33, pleaded guilty in U.S. District Court to three felony counts of possession of child pornography. He admitted that on May 11, he tried to hide an item from probation officers who were doing an unannounced home visit in connection to a 2016 child pornography conviction. Probation officers then discovered unauthorized cell phones, USB drives and other electronic equipment that were later determined to contain at least 10 videos containing child pornography.
Darden is scheduled to be sentenced May 16. He faces 10 to 20 years in prison and both sides agreed to recommend a 10-year sentence.
In 2016, Darden pleaded guilty in U.S. District Court in St. Louis to one count of receiving child pornography and four counts of possession of child pornography. He was sentenced to six years and eight months in prison and placed on supervised release for life.
The case was investigated by the U.S. Probation Office. Assistant U.S. Attorney Carrie Costantin is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
St. Louis County Sex Offender Admits Online 'Baiting,' Child Pornography PossessionRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri on Monday admitted possessing child pornography and using a fake social media profile to bait people into sending him sexual images and videos.
Christopher D. Gruebbel, 37, pleaded guilty to one count of possession of child pornography.
In 2013, Gruebbel was sentenced to four years and three months in prison after pleading guilty to two counts of possession of child pornography. After his release from prison, he was placed on supervised release for life.
On multiple occasions in 2021, Gruebbel’s probation officer was unable to find him at his approved residence, later learning that Gruebbel had been evicted and was living with his mother without permission.
Probation officers then discovered that Gruebbel was in possession of multiple electronic devices without permission, including a laptop, a cell phone, an iPad and an iPod,.
An analysis of the devices showed that Gruebbel was using fake social media accounts and posing as a young female named “Hannah” to bait people into sending nude pictures and videos of themselves, his plea agreement says. Gruebbel also participated in chat rooms devoted to “baiting” others into providing sexual images.
A total of 50 images and 14 videos containing child pornography were found on the iPad, as well as 251 images and 117 videos that contained exploitative and/or suspected child pornography on Gruebbel’s electronic devices.
Gruebbel is scheduled to be sentenced in the new case May 16. The possession of child pornography charge to which Gruebbel pleaded guilty carries a mandatory minimum prison term of 10 years and is punishable by up to 20 years in prison, a $250,000 fine or both.
The case was investigated by the U.S. Probation Office and the FBI. Assistant U.S. Attorney Jonathan Clow is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Springfield Man Sentenced to 20 Years for Leading Heroin ConspiracyRead the Press Release
SRINGFIELD, Mo. – A Springfield, Mo., man was sentenced in federal court today for leading a conspiracy to distribute heroin.
Dawuan White, 48, was sentenced by U.S. District Judge M. Douglas Harpool to 20 years in federal prison without parole.
On April 26, 2022, White pleaded guilty to participating in a conspiracy to distribute heroin from Feb. 1, 2017, to Feb. 15, 2018. White admitted that he sold heroin to a confidential law enforcement source on three occasions in December 2017 and January 2018.
A task force officer contacted White, who was on foot near the intersection of Grant Avenue and Norton Road, on Feb. 15, 2018. White immediately began running. During the pursuit, the officer saw White throw two plastic bags. The officer caught up to White and arrested him, then located the two plastic bags, which contained 35.8 grams of heroin. The officer also searched a residence that investigators had determined to be a stash house for White, and found a plastic bag that contained 15.2 grams of heroin as well as drug paraphernalia.
White was on state parole for a drug-trafficking conviction during this federal investigation into his drug-trafficking conspiracy.
According to court documents, White provided heroin to his co-defendants to distribute. White is the sixth and final defendant to be sentenced in this case.
This case was prosecuted by Assistant U.S. Attorney Josephine L. Stockard. It was investigated by the Drug Enforcement Administration and the Springfield, Mo., Police Department.
Spacelabs Healthcare, LLC Agrees to Pay $2.5 Million to Settle Allegations it Overcharged Federal Agencies for Patient Monitoring EquipmentRead the Press Release
Spacelabs Healthcare, LLC (Spacelabs) has agreed to pay $2.5 million to resolve False Claims Act allegations that it overcharged the United States for patient monitoring equipment sold to the U.S. Department of Veterans Affairs (VA) and the Department of Defense.
“Those who do business with the United States must comply with their contractual commitments,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will ensure that the government gets the prices it bargained for when it cares for the health of our veterans and service members.”
The settlement announced today resolves allegations that from 2014 to 2019, Spacelabs failed to follow the Price Reductions Clause in a VA contract, which required Spacelabs to provide the government with certain lower prices offered to another customer, resulting in the government paying more than it should have for patient monitoring equipment. The settlement also resolves allegations that Spacelabs failed to follow a related clause in a Defense Logistics Agency contract.
“Federal contractors are expected to deal honestly with federal agencies and faithfully abide by the terms of their government contracts,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “This settlement demonstrates that our Office will diligently investigate and hold accountable those companies that fail to live up to their end of the bargain and unfairly overcharge taxpayers.”
“This settlement sends a clear message that the VA OIG will actively investigate allegations involving contractors overbilling for products provided to VA,” said Special Agent in Charge Kim R. Lampkins of the Department of Veterans Affairs Office of Inspector General’s Mid-Atlantic Field Office. “The VA OIG will continue to work with the Department of Justice and our law enforcement partners to ensure the integrity of VA programs and services.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Marci Gebhardt, a former Spacelabs Government Business Specialist, and Christopher Kelley, a former Spacelabs Government Accounts Manager. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. As part of this resolution, Gebhardt and Kelley will receive $437,500. The qui tam case is captioned United States ex rel. Gebhardt v. Spacelabs Healthcare, Inc., Civil Action Number 19-cv-03503 (D.D.C.).
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the United States Attorney’s Office for the District of Columbia, with assistance from the VA OIG.
The matter was handled by Senior Trial Attorney Greg Pearson and Assistant U.S. Attorney John Truong.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Simi Valley Man Sentenced to over 4 Years in Prison for Fraudulently Obtaining More Than $1 Million in COVID Business LoansRead the Press Release
LOS ANGELES – A Ventura County man who schemed with an Orange County man to illegally acquire disaster relief funds was sentenced today to 51 months in federal prison for fraudulently obtaining more than $1 million in loans intended to help businesses weather the COVID-19 pandemic’s economic fallout.
Manuel Asadurian, 66, of Simi Valley, was sentenced by United States District Judge Dale S. Fischer, who also ordered him to pay $1,071,222 in restitution.
Asadurian pleaded guilty in October 2022 to one count of wire fraud affecting a financial institution.
From April 2020 to January 2021, Asadurian and an accomplice, Jeffrey Scott Hedges, 51, of Irvine, schemed to fraudulently obtain federal disaster relief funds distributed through the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) programs that Congress intended to help businesses during the pandemic.
Asadurian lied to the United States Small Business Administration and federally insured financial institutions on a total of 12 PPP and EIDL loan applications, which were submitted on behalf of Asadurian-controlled businesses, including LTL Enterprises LLC, Redline Performance LLC, and Diamond A Motorsports. Hedges submitted 18 fraudulent PPP and EIDL applications on behalf of companies he controlled, including West Coast Chassis, WCC Pro Touring, Von Schoff Apparel, and Hedges Corvette.
The false information submitted by Asadurian and Hedges included the number of employees to whom the companies had paid wages, the amount of payroll expenses for the companies, and false certifications that the loans would be used for permissible business purposes. In support of the bogus applications, Asadurian and Hedges submitted false tax documents, payroll records and bank records that fraudulently inflated the number of employees and amount of payroll expenses and gross receipts associated with the companies.
Once the PPP and EIDL loan applications were approved, they were deposited in bank accounts Asadurian and Hedges controlled. Asadurian and Hedges then used the fraudulently obtained loans for their personal benefit, including making mortgage payments on a personal residence, paying living expenses and medical expenses, and purchasing luxury vehicles.
In total, Asadurian sought approximately $1,620,122 in PPP and EIDL loans and fraudulently obtained approximately $1,071,222 related to those loans.
In a related case, Hedges pleaded guilty in August 2022 to one count of conspiracy to commit wire fraud affecting a financial institution and one count of aggravated identity theft for his submission of fraudulent PPP and EIDL applications that sought approximately $5,288,476. Hedges received approximately $2,087,701 of those loan funds. On January 30, Judge Fischer sentenced Hedges to a term of seven years in federal prison and ordered him to pay $2,087,701 in restitution.
The Federal Deposit Insurance Corporation Office of Inspector General; the Federal Reserve Board Office of Inspector General; the FBI; IRS Criminal Investigation; Treasury Inspector General for Tax Administration; and the Small Business Administration investigated these matters.
Assistant United States Attorney Scott Paetty of the Major Frauds Section prosecuted these cases.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Schenectady Man Pleads Guilty to Attempted Enticement of a MinorRead the Press Release
ALBANY, NEW YORK – Michael E. Robbins, II, age 27, of Schenectady, New York, pled guilty today to attempted coercion and enticement of a minor. United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
Robbins admitted that between February and March 2021, he exchanged sexually explicit messages online with an undercover officer posing as a 12-year-old girl, in an attempt to entice the presumed child into engaging in sexual acts with him. Robbins admitted that he initiated the conversations with the presumed minor after locating her in an online chat group for teens in the (518) area code. Robbins further admitted that he arranged to meet the minor on March 18, 2021 at a location in Latham, New York, and he traveled from Rensselaer to Latham on that date with the intent to engage in sexual acts with the presumed 12-year-old child. Robbins was arrested by law enforcement shortly after arriving at the location.
Robbins pled guilty on the day his trial was supposed to begin.
United States District Judge Glenn T. Suddaby will sentence Robbins on July 13, 2023. Robbins faces at least 10 years and up to life in prison, a maximum fine of $250,000, and a term of post-imprisonment supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case was investigated by the FBI and its Child Exploitation Task Force, which includes members of federal, state, and local law enforcement agencies, including the Colonie Police Department and the New York State Police. Assistant United States Attorneys Benjamin S. Clark and Michael D. Gadarian are prosecuting this case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
San Joaquin County Man Pleads Guilty to Federal Gun and Drug ChargesRead the Press Release
FRESNO, Calif. — Alphonso Jimenez, 31, of Stockton, pleaded guilty today to possession with intent to distribute methamphetamine, cocaine, heroin, and fentanyl and using a firearm during and in relation to a drug trafficking crime, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in 2021, a team of local and federal law enforcement officers partnered in an investigation into the drug trafficking activities of Jimenez and co-defendant Erik D. Mendoza-Contreras, 33, of Stockton.
During the investigation and on multiple occasions, confidential sources working with law enforcement purchased several pounds of narcotics from Mendoza and Jimenez. On Feb. 23, 2022, Jimenez delivered 28 pounds of methamphetamine to Mendoza for further distribution to a customer. A subsequent search of Jimenez’s home recovered over 31 kilograms of methamphetamine, over 28 kilograms of cocaine, over 6 kilograms of heroin, over 350 grams of counterfeit M-30 pills containing fentanyl, approximately $297,000 in cash, and a firearm.
This case is the product of an investigation by the Drug Enforcement Administration and the San Joaquin County Metropolitan Narcotics Task Force. Assistant U.S. Attorney Antonio J. Pataca is prosecuting the case.
Charges are pending against Mendoza; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Jimenez is scheduled to be sentenced by U.S. District Judge Jennifer L. Thurston on May 30, 2023. Jimenez faces a mandatory minimum sentence of 15 years up to life in prison. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Romance Fraud Awareness: A Great Gift for Valentine’s Day (or Any Day)Read the Press Release
CHARLESTON, W.Va. – Criminals attempt romance fraud schemes every day, but Valentine’s Day is a good opportunity to raise awareness and help protect yourself and loved ones.
Romance scams occur when a fake online identity is used to gain a victim’s affection and trust. The scammer then uses the illusion of a romantic or close relationship to manipulate and/or steal from the victim.
The Federal Bureau of Investigation’s Internet Crime Complaint Center (IC3) reports that in West Virginia, 103 victims lost roughly $3.4 million in 2022 to romance scams, also called confidence fraud. Nationwide, approximately 19,000 victims reported a loss of more than $700 million last year.
“Romance scams can prove costly in terms of money, but they also cause great emotional harm to victims and their families,” said United States Attorney Will Thompson of the Southern District of West Virginia. “It’s never too late to learn how to detect and avoid becoming a victim of a romance scheme. There’s never any shame in reporting a scam or seeking help: the techniques used by these criminals are often extremely sophisticated.”
Thompson added that his office expects to issue a significant educational resource targeting romance and elder fraud in the coming weeks.
Experts offer tips for flagging romance scams:
- Be careful what you post and make public online. Scammers can use details shared on social media and dating sites to better understand and target you.
- Beware if the individual seems too perfect or quickly asks you to leave a dating service or social media site to communicate directly.
- Beware if the individual attempts to isolate you from friends and family or requests inappropriate photos or financial information that could later be used to extort you.
- Beware if the individual promises to meet in person but then always comes up with an excuse why he or she can’t. If you haven’t met the person after a few months, for whatever reason, you have good reason to be suspicious.
- Never send money to anyone you have only communicated with online or by phone. Never provide your financial information or allow your bank accounts to be used for transfers of funds.
Requests for gift cards are also a red flag. The FBI has additional tips and information for protecting against romance and confidence fraud: https://www.fbi.gov/how-we-can-help-you/safety-resources/scams-and-safety/common-scams-and-crimes/romance-scams.
The FBI’s IC3 has numerous resources including an online complaint form: https://www.ic3.gov/Home/ComplaintChoice.
These schemes affect victims from all demographics, but elderly women are targeted most. The U.S. Department of Justice offers information through its Elder Justice Initiative and the Office of Victims of Crime: https://ovc.ojp.gov/program/stop-elder-fraud/providing-help-restoring-hope.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 10 a.m.-6 p.m. Eastern Time, Monday-Friday. English, Spanish, and other languages are available.
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.
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Roanoke-Area ATM Scammer Sentenced to Additional 18 Months in PrisonRead the Press Release
ROANOKE, Va. – A member of a Romanian criminal organization, who traveled to the United States to conduct ATM skimming, was sentenced today to serve 18 months in prison, bringing his total period of incarceration for his offenses to 54 months.
Catalin Puscasu, 40, pleaded guilty in September 2022 to conspiracy to commit bank fraud, access device fraud, and aggravated identity theft.
According to court documents, between December 2018 and March 2019, Puscasu and others worked together to obtain personal identifying information, including debit and credit card numbers as well as PINs from bank customers and used that data to make unauthorized cash withdrawals from the accounts of these victims and use the victims’ credit for their personal gain.
Specifically, this group used “skimming devices” installed on ATMs at federally-insured banks throughout the Western District of Virginia to steal customers’ PINS and account numbers using small hidden cameras. They then took this information, re-encoded it onto blank cards, and used those cards to withdraw money.
In March 2019, Puscasu was arrested in Michigan for committing similar offenses. After serving 36 months in prison in the Eastern District of Michigan, he was returned to the Western District of Virginia to be sentenced for his fraudulent activity in and around the Roanoke area.
In addition to prison time, Puscasu was also ordered to pay restitution to the impacted banks.
United States Attorney Christopher R. Kavanaugh made the announcement.
The United States Secret Service, the Botetourt County Sheriff’s Office, the Roanoke County Police Department, the Campbell County Police Department, the Henry County Sheriff’s Office, the Farmville Police Department, the Patrick County Sheriff’s Office, the Blacksburg Police Department, and the Lynchburg Police Department investigated the case.
Assistant U.S. Attorney Coleman Adams prosecuted the case.
Roanoke Area Drug Dealer Sentenced to 60 Months in PrisonRead the Press Release
Shakeem Malik Hunt, 28, pleaded guilty in October 2022 to one count of distributing 50 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
According to court documents, Hunt distributed over 200 grams of methamphetamine to a single individual on January 6, 2022. Recently, Hunt had previously distributed over 500 grams of methamphetamine and 60 grams of cocaine to this same individual.
United States Attorney Christopher R. Kavanaugh made the announcement today.
The Federal Bureau of Investigation (FBI), the High Intensity Drug Trafficking Area Task Force (HIDTA), the Virginia State Police, the Roanoke City and County Police Departments, and the City of Salem Police Department investigated the case.
Assistant U.S. Attorney Coleman Adams prosecuted the case.