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13 July 2022
Three South Carolina Men Are Sentenced to Prison for Defrauding Lowe's of More Than $450,000Read the Press Release
CHARLOTTE, N.C. – Today, U.S. District Judge Max O. Cogburn Jr. sentenced to prison three South Carolina men for a scheme that defrauded Lowe’s of more than $450,000, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
U.S. Attorney King is joined in making this announcement by Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department.
Judge Cogburn ordered Bobby Cherry, 58, of Manning, South Carolina, to serve 41 months in prison and three years of supervised release. Russell Leroy Calvin, 43, of Sumter, South Carolina, was ordered to serve 33 months in prison and three years of supervised release, and Michael Marcel Montgomery, 48, also of Sumter, was sentenced to 27 months in prison, followed by three years of supervised release. In addition to the prison terms imposed, the defendants were ordered to pay more than $450,000 jointly and severally as restitution. All three defendants pleaded guilty to conspiracy to commit wire fraud.
According to filed documents and today’s sentencing hearings, from August 2019 to March 2020, Cherry, Calvin and Montgomery engaged in a conspiracy to defraud Lowe’s stores in the southeastern United States. The defendants and other co-conspirators created business accounts for fraudulent landscaping and home improvement companies at Lowe’s stores, passed fictitious and worthless checks to fund the fraudulent accounts, and then purchased expensive landscaping equipment, such as zero turn mowers, and other items using the account funds. In total, during the course of the scheme, the co-conspirators opened more than 30 such fraudulent business accounts which they used to obtain more than $450,000 in fraudulently purchased goods. During the scheme, the three defendants made purchases at local stores in Mecklenburg, Gaston, Union, Lincoln, Cleveland, and Iredell Counties in North Carolina, as well as stores in South Carolina and Georgia.
In making today’s announcement, U.S. Attorney King thanked HSI and CMPD for their investigation of the case.
Assistant United States Attorney William Bozin, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Taylor Man Sentenced to 25 Years in Prison for Sexual Exploitation of MinorsRead the Press Release
DETROIT – A Taylor man was sentenced today to 25 years in federal prison on charges of sexual exploitation of children and possession of child pornography, announced United States Attorney Dawn N. Ison.
Ison was joined in the announcement by Special Agent in Charge James A. Tarasca, Federal Bureau of Investigation, Detroit Division.
Kenneth Hartley, 53, was sentenced before United States District Judge Victoria Roberts.
During his plea hearing, Hartley admitted that in 2010 he pretended to be a teenage female on the Skype internet messaging platform and tricked a male minor born in 1995 into providing sexually explicit images of himself to Hartley. As part of his plea agreement, Hartley also acknowledged that he used the Kik social media application to obtain sexually explicit images of a 13-year-old male in 2014 and another 13-year-old male in 2015. In all, Hartley victimized over 100 minors over the course of a decade until law enforcement executed a search warrant at his residence in December 2020. Agents identified 29 of those victims, 17 of those victims were minors under 12 years of age at the time Hartley exploited them. Hartley’s youngest victim was eight. Hartley was found responsible for possessing 46,153 images of child pornography for the purposes of sentencing guidelines.
“This investigation and subsequent prosecution ended this offender’s decade-long sexual exploitation of children. This significant sentence demonstrates that those who seek to harm our children through online exploitation will be held responsible. We will continue to work to make the Internet a safer place for our children.” stated Dawn N. Ison, United States Attorney.
“In addition to possessing child pornography, Mr. Hartley actively created it for himself and others by exploiting vulnerable children around the world,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Division. “The FBI considers the investigation and prosecution of predators like this defendant to be of the highest priority. Today’s sentence serves as a warning to others like him the FBI will aggressively pursue anyone who victimizes and exploits children.”
The case was investigated by the Southeast Michigan Trafficking and Exploitation Crimes Task Force (“SEMTEC”) of the Federal Bureau of Investigation. case was prosecuted by Assistant United States Attorney Christopher Rawsthorne.
Student Who Hacked over a Dozen Email and Snapchat Accounts of Female Students from the University of Puerto Rico Pleads Guilty to CyberstalkingRead the Press Release
SAN JUAN, Puerto Rico – On July 13, 2022, Iván Santell-Velázquez pled guilty to cyberstalking before United States District Court Judge Silvia Carreño-Coll, in violation of 18 U.S.C. § 2261A(2), announced W. Stephen Muldrow, U.S. Attorney for the District of Puerto Rico.
According to the parties’ stipulation of facts, Santell-Velázquez, while a student at the University of Puerto Rico at Cayey, sent unauthorized emails to faculty, administration, and students under the moniker “Slay3r_r00t”. Santell targeted over 100 student email accounts and successfully broke into multiple university e-mail accounts, collecting personal information through phishing and spoofing schemes. In addition, between 2019 and 2021, Santell-Velázquez hacked into several female students’ Snapchat accounts, some of which contained nude images that he shared with third parties who published the images online.
After Santell-Velázquez broke into a victim’s Snapchat account, she began receiving harassing text messages with her intimate pictures. Nude photos stolen from the victim’s Snapchat account were posted on Twitter as well as on a Facebook page.
The plea agreement encompasses 15 female victims of Santell-Velázquez’s conduct, as well as the University of Puerto Rico.
“This individual engaged in phishing and spoofing schemes to steal information,” said U.S. Attorney Muldrow. “He harassed numerous women with the nude photos he stole from them, and in some cases, he published them. This case demonstrates the importance of safeguarding personal information and passwords, especially in response to suspicious e-mails and text messages.”
“Individuals who engage in this type of behavior know what they are doing is wrong and they know they are causing great harm to their victims. What I want everyone to know is that, it is not just wrong, it is a federal crime, and one that the FBI won’t tolerate.” said Joseph González, Special Agent in Charge of the FBI San Juan Field Office. “I want to urge everyone who has been a victim to this crime to report it immediately by calling 787-987-6500 or visiting tips.FBI.gov”.
Assistant U.S. Attorney Jeanette Collazo is in charge of the prosecution of the case. FBI Special Agent Christian Nieves of the San Juan Cyber Division was in charge of the investigation. Cyberstalking carries a maximum prison sentence of five years. The sentencing hearing is scheduled for October 12, 2022.
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Statement of U.S. Attorney Damian Williams on the Espionage Conviction of Ex-CIA Programmer Joshua Adam SchulteRead the Press Release
Joshua Adam Schulte was a CIA programmer with access to some of the country’s most valuable intelligence-gathering cyber tools used to battle terrorist organizations and other malign influences around the globe. When Schulte began to harbor resentment toward the CIA, he covertly collected those tools and provided them to WikiLeaks, making some of our most critical intelligence tools known to the public – and therefore, our adversaries. Moreover, Schulte was aware that the collateral damage of his retribution could pose an extraordinary threat to this nation if made public, rendering them essentially useless, having a devastating effect on our intelligence community by providing critical intelligence to those who wish to do us harm. Today, Schulte has been convicted for one of the most brazen and damaging acts of espionage in American history.
Springfield, Illinois, Man Sentenced to Six Months’ Home Confinement, Fined for COVID-19 Related FraudRead the Press Release
SPRINGFIELD, Ill. – A Springfield, Illinois man, Thalamus Alexander, Jr., 27, of the 2000 block of Bradley Court was sentenced on July 12, 2022, to six months’ home confinement, to be followed by three years of supervised release, and ordered to pay restitution in the amount of $50,000 for wire fraud and theft of government property.
At the sentencing hearing in front of U.S. District Judge Sue E. Myerscough, the government presented evidence that Alexander fraudulently obtained an Economic Injury Disaster Loan (“EIDL”) from the U.S. Small Business Administration (“SBA”). The loans were funded through the CARES Act in response to the global pandemic caused by COVID-19. The EIDL funds were intended to provide low-interest loans to businesses that were unable to cover their fixed costs due to the pandemic. Alexander submitted six applications containing various falsehoods in an effort to obtain EIDL funding. On the application that was accepted and funded, Alexander falsely represented that he owned and operated a clothing and apparel business, Paper Junkie Desiner, that had generated $100,000 in revenue in the 12 months prior to January 31, 2020. Due to the misrepresentations, Alexander was granted a $49,000 loan and a $1,000 advance. Alexander did not have a registered business in the state of Illinois.
Also at the hearing, Judge Myerscough found that Alexander deprived other legitimate businesses of the funds that had been set aside to assist those who had been hit hard by the pandemic. By committing this fraud, Alexander was essentially stealing from small businesses in need.
Alexander was indicted in October 2021 and plead guilty in February 2022.
The statutory penalties for wire fraud are up to 20 years in prison, up to a $250,000 fine, and up to three years of supervised release. The statutory penalties for theft of government property are up to 10 years in prison, up to a $250,000 fine, and up to three years of supervised release.
“Individuals who fraudulently obtained funds through pandemic-related programs took necessary resources from other citizens in need,” said Assistant U.S. Attorney Sierra Senor-Moore. “The EIDL and PPP loans were funded using tax payor money. We all suffer when government programs are defrauded and those who criminally misused funds intended for COVID relief will be prosecuted.”
If members of the public are aware of COVID-19 related loans that they suspect were fraudulently obtained or forgiven, they should report it to the Office of Inspector General for the Small Business
Administration, 1-800-767-0385, or online at https://sbax.sba.gov/oigcss/. Reports can be made anonymously.
The Internal Revenue Service, Criminal Investigations, investigated the case. Assistant U.S. Attorney Senor-Moore represented the government in the prosecution.
South Florida PPE Thieves Headed to Federal PrisonRead the Press Release
Miami, Florida – Today, a federal district judge in Fort Lauderdale, Florida sentenced three members of a theft ring to federal prison terms for stealing large quantities of N-95 respirator masks, nitrile medical gloves, and medical gowns from a Broward County medical supply company during the early spread of Covid-19 in the United States.
U.S. District Judge Rodney Smith sentenced Alexander G. Jolly, Kenold Million, and Pietro Felipe Sinclair each to 28 months in federal prison, followed by three years of supervised release. In addition, Judge Smith ordered the defendants to pay over $470,000 in restitution.
Jolly and Million worked for a large medical supply company that provides personal protective equipment (PPE) and other products to hospitals for front-line health care workers. Sinclair worked for the trucking company that the medical supply company used to transport pallets of products to South Florida hospitals. In April 2020, during the start of the Covid-19 pandemic, when PPE was in high demand, Jolly and Million used their jobs at the medical supply company’s warehouse in Sunrise, Florida to steal PPE. They moved pallets containing large quantities of N-95 respirator masks, nitrile medical gloves, and gowns to certain areas of the warehouse. Sinclair would load the pallets onto his work truck (along with legitimate loads) and transport the stolen PPE to Jolly and Million’s home in Fort Lauderdale, Florida. Once there, Sinclair transferred the stolen pallets from the truck to the home’s carport. He used pieces of cardboard and furniture to hide the pallets from view. Then, rental trucks and vans were used to move the stolen PPE from Jolly and Million’s home to different locations in Broward and Miami-Dade.
Jolly, Million and Sinclair stole more than 8.5 million pairs of gloves, more than 57,000 respirator masks, and dozens of gowns from the medical supply company’s warehouse. The total replacement cost of the stolen PPE was $470,000. This was one of the largest known thefts of PPE in U.S. history.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, Justin C. Fielder, Special Agent in Charge, Food and Drug Administration (FDA) Office of Criminal Investigations Miami Field Office, and Juan A. Vargas, Acting Inspector in Charge, U.S. Postal Inspection Service (USPIS), Miami Division, made the announcement.
The FDA Office of Criminal Investigations Miami Field Office investigated the case. Assistant U.S. Attorney James Ustynoski prosecuted it.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-60007.
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Solera Specialty Pharmacy Agrees to Enter into Deferred Prosecution Agreement; Company and CEO to Pay $1.31 Million for Submitting False Claims for Anti-Overdose DrugRead the Press Release
Florida-based Solera Specialty Pharmacy has entered into a deferred prosecution agreement and agreed to pay a $1.31 million civil settlement to resolve allegations that it submitted fraudulent claims to Medicare for Evzio, a high-priced drug used in rapid reversal of opioid overdoses.
According to Solera’s admissions in the criminal and civil agreements, the pharmacy dispensed Evzio from January 2017 to May 2018. During that time, Evzio was the highest-priced version of naloxone on the market and insurers frequently required the submission of prior authorization requests before they would approve coverage for Evzio. Solera completed Evzio prior authorizations forms in place of the prescribing physicians, including instances in which Solera staff signed the forms without the physician’s authorization and listed Solera’s contact information as if it were the physician’s information. In addition, Solera submitted Evzio prior authorization requests that contained false clinical information to secure approval for the expensive drug. Finally, Solera waived Medicare beneficiary co-payment obligations for Evzio on numerous occasions without analyzing whether the patient had a genuine financial hardship.
“Pharmacies, like all Medicare providers, must submit accurate claims,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “This settlement demonstrates the department’s continuing commitment to preventing submissions of false claims by entities at all levels of the health care delivery chain.”
“Taxpayers deserve honesty and integrity from those who profit from federal health care programs,” said U.S. Attorney Rachael S. Rollins for the District of Massachusetts. “This resolution will provide oversight to correct behavior and prevent it from happening again.”
Solera entered into a deferred prosecution agreement in connection with a criminal information charging the pharmacy with one count of health care fraud. Solera and its CEO, Nicholas Saraniti, also entered into a civil settlement agreement and will pay the government $1.31 million to resolve claims under the False Claims Act.
In connection with the settlements, Solera and Saraniti entered into a three-year integrity agreement (IA) with the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). The IA requires, among other things, Solera implement measures designed to ensure that its submission of claims for pharmaceutical products complies with applicable law relating to prior authorizations and collection of beneficiary co-payment obligations. In addition, the IA requires reviews by an independent review organization.
“The submission of truthful and accurate documentation by all parties involved in the delivery of health care goods or services is essential to the integrity of federal health care programs. This includes pharmacies that submit claims for pharmaceutical products,” said Special Agent in Charge Phillip M. Coyne of the HHS-OIG. “Along with our law enforcement partners, HHS-OIG is committed to preventing fraud in Medicare and other taxpayer-funded health care programs.”
“Today’s settlement resolves serious allegations that Solera submitted false and fraudulent claims to Medicare for their own financial gain, pilfering funds from a program intended to help those truly in need, while going behind the backs of prescribing physicians to secure approval for this expensive anti-overdose drug,” said Special Agent in Charge Joseph R. Bonavolonta of the FBI Boston Division. “This is not a victimless crime — health care fraud is a crime against all of us who contribute hard earned income and taxes into the system. The FBI will continue to work with our law enforcement partners to ensure those who willingly defraud the American people are held accountable.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Rebecca Socol, a former employee of kaléo Inc., the manufacturer of Evzio. 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, Ms. Socol will receive $262,000 of the settlement amount. The qui tam case is captioned United States ex rel. Socol v. Solera Specialty Pharmacy LLC., 18-cv010050-RGS (D. Mass.) (under seal). In 2021, the department announced settlements with kaléo for $12.7 million and with other pharmacies for $1 million relating to the submission of false claims for Evzio.
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 U.S. Attorney’s Office for the District of Massachusetts, with assistance from the HHS OIG; the Department of Defense Criminal Investigative Service; the Office of Personal Management, Office of Inspector General; the FBI; and the U.S. Postal Service Office of Inspector General.
The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The matter was handled by Senior Trial Counsel Sarah Arni of the Justice Department’s Civil Division and Assistant U.S. Attorneys David Derusha, Abraham George and Amanda P.M. Strachan for the District of Massachusetts.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Sioux City Felon Who Was Armed with a Handgun When Arrested Sentenced to Six Years in Federal PrisonRead the Press Release
A 23-year-old Sioux City man who unlawfully possessed a gun was sentenced on July 7, 2022, to six years in federal prison.
Denvy Hoffman, age 23, from Sioux City, Iowa, received the prison term after a March 8, 2022 guilty plea to possession of a firearm by a felon.
Evidence in the case revealed that Hoffman possessed a gun after being convicted on felony intent to deliver marijuana. During the investigation, Hoffman was apprehended on a pending felony state arrest warrant leaving a downtown Sioux City bar. An arresting officer noted the odor of marijuana emanating from Hoffman and located a loaded pistol and marijuana on Hoffman’s person. Hoffman has history of drug convictions, resisting arrest, and failures on state probation, parole and drug treatment.
Hoffman was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Hoffman was sentenced to 72 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system. Hoffman is being held in the custody of the United States Marshal’s until he can be transported to a federal prison.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Sioux City Police Department and prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-04074
Seymour Man Sentenced to More Than 5 Years in Federal Prison for Drug and Firearm OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that LOUIE McDOWELL, 49, of Seymour, was sentenced yesterday by U.S. District Judge Alvin W. Thompson in Hartford to 66 months of imprisonment, followed by five years of supervised release, for narcotics distribution and firearm possession offenses.
According to court documents and statements made in court, in the summer of 2017, members of the FBI’s Bridgeport Safe Streets Task Force and Bridgeport Police Department began investigating individuals who were distributing narcotics in and around Bridgeport. The investigation included the use of court-authorized wiretaps, controlled purchases of narcotics, physical and video surveillance, and the execution of multiple search and seizure warrants. The investigation revealed that McDowell, Christian Rodriguez, Antonio Small, Evan Sheffield, Anthony Small and others were distributing large quantities of heroin, fentanyl and crack cocaine in the Bridgeport area.
McDowell and several of his co-conspirators were arrested on November 6, 2018. On that date, a search of McDowell’s residence on Cedar Street in Seymour revealed quantities of cocaine and heroin, items used to process and package narcotics, firearms and ammunition, jewelry, and approximately $129,000 in cash. A related search of a safety deposit box that McDowell used revealed approximately $217,000 in cash.
Judge Thompson ordered the forfeiture of the seized firearms, jewelry and cash.
McDowell has been detained since his arrest. On July 14, 2021, he pleaded guilty to one count of conspiracy to distribute and to possess with the intent to distribute controlled substances, and one count of possession of a firearm during and relation to a drug trafficking crime.
Rodriguez, Antonio Small, Sheffield and Anthony Small also pleaded guilty. On October 27, 2020, Sheffield was sentenced to 97 months of imprisonment, and on February 11, 2022, Rodriguez was sentenced to 60 months of imprisonment.
Antonio Small and Anthony Small await sentencing.
This matter has been investigated by the FBI’s Bridgeport Safe Streets Task Force and the Bridgeport Police Department, as well as the DEA, Connecticut State Police, and the Stratford, Norwalk, Seymour and Trumbull Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys Karen L. Peck and Patrick J. Doherty through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Seven More Defendants Plead Guilty to Drug-Trafficking Conspiracy, Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – Seven more defendants have pleaded guilty in federal court to their roles in a major drug-trafficking conspiracy and to illegally possessing firearms.
Four defendants pleaded guilty in separate appearances before U.S. District Judge Greg Kays on Tuesday, July 12. Sonia Lara, 32, of Independence, Mo.; Haydee Griselda Erazo-Moreno, 39, a citizen of El Salvador residing in Kansas City, Mo.; and Yader J. Arita, 33, of Kansas City, Kansas, each pleaded guilty to one count of conspiracy to distribute methamphetamine and heroin from Jan. 1, 2014, to June 23, 2020, and one count of conspiracy to commit money laundering. Erazo-Morena also pleaded guilty to one count of using firearms in furtherance of a drug-trafficking crime. Jose Antonio Soto Herrera, 60, a citizen of Mexico residing in Coachella, California, pleaded guilty to misprision of a felony.
Sergio Perez-Martinez, 43, a citizen of Mexico residing in Panorama City, Calif., and Ruben Chigo Paz, 26, of Kansas City, Mo., pleaded guilty on Monday, July 11. Perez Martinez pleaded guilty to one count of conspiracy to distribute methamphetamine and one count of conspiracy to commit money laundering. Paz pleaded guilty to one count of conspiracy to distribute methamphetamine and heroin, one count of conspiracy to commit money laundering, and one count of using firearms in furtherance of a drug-trafficking crime.
Melvin Aleman-Nunez, 27, of Independence, pleaded guilty on Friday, July 8, to his role in the methamphetamine and money-laundering conspiracies, and to using firearms in furtherance of a drug-trafficking crime.
They are among 18 defendants who have pleaded guilty in this case.
Lara admitted that she was responsible for the distribution of at least 10 kilograms of methamphetamine and one kilogram of heroin during the drug-trafficking conspiracy.
Erazo-Moreno admitted that she was responsible for the distribution of at least five kilograms of methamphetamine and one kilogram of heroin during the drug-trafficking conspiracy.
She was involved in the sale of approximately 3.5 kilograms of methamphetamine and 1.2 kilograms of heroin to confidential sources and undercover law enforcement officers between February and October 2019. In addition, law enforcement officers in the Eastern District of Missouri purchased approximately 900 grams of heroin in controlled buys. Erazo-Moreno also admitted that she sold, traded, or possessed multiple firearms during these drug-trafficking activities.Arita admitted that he was involved in the sale of methamphetamine to an undercover law enforcement officer on several occasions. Arita was arrested following a traffic stop on Sept. 5, 2018, in which officers found approximately three pounds (896 grams) of methamphetamine in his vehicle.
Perez-Martinez admitted that he is responsible for the distribution of at least 15 kilograms of methamphetamine during the conspiracy.
Perez-Martinez and Aleman-Nunez each admitted that Perez-Martinez supplied Aleman-Nunez with eight to 10 pounds of methamphetamine each week for five weeks. Perez-Martinez transported the methamphetamine from California to Missouri either by mail or by tractor trailer.
Perez-Martinez also admitted that he provided two kilograms of methamphetamine to Erazo-Moreno, who was paid to transport the methamphetamine to a customer in Columbia, Mo. The methamphetamine was seized by law enforcement officers when Erazo-Moreno was arrested during a traffic stop on Oct. 25, 2018. In total, Erazo-Moreno received more than six kilograms of methamphetamine from Perez-Martinez’s associates in Kansas City, Mo. Additionally, a law enforcement confidential informant conducted controlled drug purchases totaling 1,559 grams of methamphetamine, which were coordinated by Perez-Martinez.
Paz admitted that he is responsible for the distribution of more than 1.5 kilograms of methamphetamine during the conspiracy. Paz admitted that he sold a total of 1,314.49 grams of methamphetamine to a law enforcement confidential source from July 13 to Dec. 4, 2018. Paz was arrested at a residence in Kansas City, Mo., in which law enforcement officers found 37 pounds of methamphetamine, one pound of heroin, and a Zenith .45-caliber pistol with a magazine.
Aleman-Nunez admitted that he sold a total 2,225.9 grams of methamphetamine to two law enforcement confidential informants. During one of those transactions on Oct. 17, 2018, Aleman-Nunez told a confidential informant that he had sold seven pounds of methamphetamine in the last few days. Aleman-Nunez was arrested on April 30, 2019, when law enforcement officers were called to his residence on a disturbance. Officers searched the residence and found a stolen handgun, ammunition, approximately half an ounce of methamphetamine and drug paraphernalia.
Under the terms of their plea agreements, Lara, Erazo-Morena, Arita, Perez-Martinez, Paz and Aleman-Nunez each must forfeit to the government a money judgment according to their drug responsibility as determined by the court at sentencing, based upon drug value calculations but not to exceed $882,000, which represents the proceeds of the unlawful distribution of more than 220 pounds of methamphetamine (based on an average price of $3,500 per pound of methamphetamine) and more than two kilograms of heroin (based on an average price of $1,400 per ounce of heroin).
Under federal statutes, Erazo-Morena, Arita, and Aleman-Nunez each are subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of life in federal prison without parole. Lara and Perez-Martinez each are subject to a mandatory minimum sentence of up to 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. Paz is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendants will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Sentencing hearings will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Bruce Rhoades and Robert M. Smith. It was investigated by the FBI, the Independence, Mo., Police Department, the Jackson County Drug Task Force, the Kansas City, Mo., Police Department, the Jackson County, Mo., Sheriff’s Department, Homeland Security Investigations, and the U.S. Marshals Service.
Organized Crime and Drug Enforcement Task Force
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Seasoned Federal Prosecutor Receives the Attorney General's Award for Fraud PreventionRead the Press Release
CHARLOTTE, N.C. – Attorney General Merrick B. Garland announced the recipients for the 69th Annual Attorney General’s Awards yesterday, recognizing Department of Justice employees and partners for their extraordinary contributions to the enforcement of our nation’s laws.
Daniel Ryan, Assistant United States Attorney (AUSA) for the Western District of North Carolina, was among the 298 Justice Department employees and 54 non-department individuals who were honored for their work. AUSA Ryan was part of a team receiving the Attorney General’s Award for Fraud Prevention, which recognizes exceptional dedication and effort to prevent, investigate, and prosecute fraud, white collar crimes, and official corruption.
“This year’s awardees have served selflessly to further the Department’s important work upholding the rule of law, keeping our country safe, and protecting civil rights,” said Attorney General Garland. “I am proud to recognize these individuals for their professionalism, skill, and leadership, and I am grateful for their service to our Department and our nation.”
“AUSA Ryan is a worthy recipient of this prestigious award. As a seasoned federal prosecutor, he is being recognized for his tireless dedication to the pursuit of justice. His contributions to the community, his advocacy on behalf of victims, and his high standards of professional conduct exemplify his commitment to our office’s mission,” said U.S. Attorney King.
AUSA Ryan is the recipient of the award for his legal work in connection with the multi-agency investigation of Wells Fargo’s unlawful sales practices, including the opening of millions of accounts without customer authorization. The dedicated efforts of AUSA Ryan and his colleagues, which resulted in the payment of a $3 billion penalty, ensured that Wells Fargo was held accountable for its conduct and that affected victims were made whole.
This is AUSA Ryan’s second Attorney General Award. In 2015, AUSA Ryan was awarded the Attorney General’s Award for Distinguished Service for his work in connection with the Department of Justice’s record breaking $16.65 billion settlement with Bank of America concerning its origination and securitization of residential mortgages.
AUSA Ryan received his undergraduate degree from the University of Notre Dame and his law degree from Harvard School of Law.
In making today’s announcement, U.S. Attorney King thanked AUSA Ryan for his tireless dedication to fulfilling the Justice Department’s mission and noted that it is an honor and a privilege to recognize him both for his accomplishments and public service.
Rome Donut Shop Owners Sentenced to Prison for Tax EvasionRead the Press Release
SYRACUSE, NEW YORK – A Rome, New York couple and their adult son were sentenced today in federal court in Utica for tax evasion and conspiracy to defraud the United States, announced United States Attorney Carla B. Freedman, Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, and Thomas Fattorusso, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation Division, New York Field Office.
In November 2021, John Zourdos, age 69, his wife, Helen Zourdos, age 65, and their son, Dimitrios Zourdos, age 39, were each convicted of conspiracy to defraud the United States, tax evasion, and helping to file false corporate tax returns. U.S. District Court Judge David N. Hurd sentenced John Zourdos to 30 months’ imprisonment; Helen Zourdos to 20 months’ imprisonment; and Dimitrios Zourdos to 10 months’ imprisonment. Judge Hurd also ordered the defendants to pay $2,000,769 in restitution to the United States and to serve 3 years of supervised release after they complete their terms of incarceration.
According to evidence presented at trial and other court documents, John, Helen, and Dimitrios Zourdos operated three Dippin Donuts coffee and donut shops with locations in Rome and New Hartford. From 2012 to 2017, the trio concealed from the IRS approximately $4.5 million in cash sales. During that period, they evaded more than $2 million in individual and corporate taxes, by, among other things, depositing cash directly into their personal bank accounts instead of into business bank accounts, providing incomplete information to their accountants, causing their accountants to file false individual and corporate tax returns with the IRS, and funding personal expenditures directly with undeposited and unreported cash. They used unreported income to fund a lavish lifestyle that included multiple luxury vehicles, expensive watches, investment accounts, and real estate. They also paid some of their employees “off the books” cash wages to avoid federal payroll taxes.
This case was investigated by the IRS Criminal Investigation Division. It was prosecuted by Assistant Chief John N. Kane of the Justice Department’s Tax Division and Assistant United States Attorney Michael F. Perry.
Repeat Offender Sentenced to 10 Years in Prison for Knowingly Possessing Visual Depictions of Children Engaging in Sexually Explicit ConductRead the Press Release
SACRAMENTO, Calif. — William Richter, 39, of Shasta County, was sentenced Tuesday to 10 years in prison, plus 20 years of supervised release, for knowing possession of visual depictions of minors engaging in sexually explicit conduct, U.S. Attorney Phillip A. Talbert announced.
Additionally, Richter was ordered to pay $3,000 in victim restitution and was sentenced to an additional four months in prison for violating the terms of his supervised release on his prior federal case.
According to court documents, Richter had been convicted of the same offense in 2013, and was on federal supervised release when he committed this new crime on July 23, 2020. On that date, Richter was pulled over for a traffic violation. A smart phone was discovered hidden in Richter’s driver’s seat cover. According to the terms of his supervised release, Richter was not allowed to use the internet or to possess a smart phone. Forensic analysis revealed that Richter possessed at least 51 explicit photographs and three videos of pre-pubescent minors on his phone, one of which depicted sexual abuse of an infant. The victims in the images came from locations outside of California, such as the Philippines, Germany, Russia, Ukraine, Ecuador, Slovenia, Sweden, Pennsylvania, Alabama, Virginia, Florida, Tennessee, Utah, and Delaware. Richter had installed programs such as Kik messenger, VLC media player, the TOR browser, Yo Live, Telegram and Mega on his unauthorized phone, and accessed websites which likely hosted sexually explicit conduct.
This case is the product of an investigation by Homeland Security Investigations and the Shasta County Sheriff’s Office. Assistant U.S. Attorney Christina McCall is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Previously convicted sex offender sentenced to 35 years in prison for federal child pornography crimesRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Donald Alvin Tolbert was sentenced on July 12 to 35 years in prison. Tolbert, 53, of Albuquerque, pleaded guilty on July 8, 2019, to 12 counts of distribution, receipt, and possession of videos and images containing child pornography.
According to the plea agreement and other court records, between July 17, 2012, and September 20, 2012, Tolbert sent and received numerous images and videos of child pornography by email. Tolbert then transferred several of those pornographic images and videos between his multiple email accounts. Tolbert also stored videos and images of child pornography on his mother’s computers.
At the time Tolbert committed these crimes he had been convicted of sexual offenses previously in New Mexico. In 2006, Tolbert was convicted of two counts of criminal sexual contact of a minor in the third degree, one count of kidnapping, one count of bribery of a witness and one misdemeanor count of battery.
“The U.S. Attorney’s Office will bring the full weight of the law to bear upon those who sexually exploit children,” said U.S. Attorney Uballez. “This case is an example of how federal, state, and local law enforcement cooperate together to keep our children safe. Most importantly, I thank the victims and witnesses who bravely shared their stories during the course of this case; your bravery has made a difference.”
Upon his release from prison, Tolbert will be subject to 10 years of supervised release and must register as a sex offender.
The Albuquerque office of Homeland Security Investigations (HSI), New Mexico Attorney General’s Office, New Mexico State Probation and Parole, and the New Mexico Regional Computer Forensics Laboratory investigated this case as part of the New Mexico Internet Crimes Against Children (ICAC) Task Force. U.S. Attorney Uballez and Assistant U.S. Attorney Kristopher N. Houghton prosecuted the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s 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 http://www.justice.gov/psc/. The ICAC Task Force Program is a nation-wide network of task forces including over 90 federal, state, local and tribal law enforcement agencies in New Mexico dedicated to investigating, prosecuting and developing effective responses to Internet crimes against children.
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Postal Worker Charged with Obstruction of MailRead the Press Release
NEW ORLEANS, LOUISIANA – KEVIN HART, age 31, a resident of Marrero, Louisiana, was charged on July 12, 2022 in a one-count bill of information with obstruction of mail, announced United States Attorney Duane A. Evans.
According to court documents, HART was employed by the United States Postal Service as a City Carrier Associate and was assigned to work at the Johnson Street Post Office in Metairie, Louisiana, 70001. On or about July 1, 2021, HART knowingly and willfully did obstruct and retard the passage of the mail in that he unlawfully secreted, destroyed, detained, and delayed approximately 236 pieces of mail that were recovered from a dumpster in Metairie.
U.S. Attorney Evans reiterated that the bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
If convicted, the defendant faces a maximum penalty of up to six (6) months imprisonment, up to a $5,000 fine or the greater of twice the gross grain to defendant or twice to gross loss to any person under Title 18, United States Code, Section 3571, and a $100 mandatory special assessment fee.
U.S. Attorney Evans praised the work of the U.S. Postal Service Office of Inspector General in investigating this matter. Assistant U. S. Attorney Rachal Cassagne is in charge of the prosecution.
Port Angeles, Washington, man who prompted evacuation in Olympic National Park, pleads guilty to interfering with a government communication systemRead the Press Release
Tacoma – A 42-year-old Port Angeles, Washington, man pleaded guilty today in U.S. District Court in Tacoma to interfering with a federal communications system, announced U.S. Attorney Nick Brown. Caleb Jesse Chapman’s actions from August 29, 2021 to August 31, 2021, resulted in the evacuation and closure of a popular section of Olympic National Park, at one the busiest times of the year. Under the terms of the plea agreement prosecutors will recommend no more than ten months in prison when Chapman is sentenced by U.S. District Judge Robert J. Bryan on October 7, 2022.
According to the plea agreement, just after midnight on August 29, 2021, Chapman appeared at a stranger’s home armed with a handgun and AR-15 style rifle. Chapman admits he was high on methamphetamine when he handed the stranger a letter outlining his concerns over political events, his difficulty getting ammunition, and his belief that there would be a revolution starting on the Olympic Peninsula, Texas and elsewhere.
Chapman drove his girlfriend to Olympic National Park where he felled a tree to block a road to the Deer Park campground. Chapman told his girlfriend she was going to die in the “revolution.” The girlfriend called 9-1-1 and Chapman threw a can of soup at her, cutting her leg. Chapman stormed off into the woods with nine firearms including a stolen handgun, an AR-15 and two shotguns. He had more than 3500 rounds of ammunition.
Law enforcement evacuated the Deer Park campgrounds, trailheads, and road areas, and attempted to locate Chapman. Around 3 PM on August 29, 2021, Chapman disabled the Olympic National Park radio communications site (radio repeater) located at the summit of Blue Mountain. The repeater is used by the park for emergency response, public safety, and administrative radio communications. By disabling the repeater, Chapman left the northeast corner of the park without emergency communications. In fact, the Blue Mountain repeater was also the repeater that the NPS Search and Rescue helicopter based at Mt. Rainier would need to use, for a rescue at Olympic National Park.
On August 31, 2021, a drone located Chapman in the park. Chapman fired a short barrel shotgun at the drone. Ultimately, law enforcement was able to negotiate Chapman’s surrender with no injuries to anyone.
As part of the plea agreement, Chapman has agreed to make restitution to those harmed by his actions, including losses to the National Park Service, and to specific individuals, incurred because of the closure of portions of Olympic National Park, including the popular Hurricane Ridge Visitor’s Center.
Interference with a federal communications system is punishable by up to ten years in prison. Judge Bryan is not bound by prosecutors’ ten-month recommendation and can impose any sentence up to the statutory maximum after considering the sentencing guidelines and other statutory factors.
The case was investigated by the Investigative Services Branch of the National Park Service, the FBI, and the Olympic Peninsula Narcotics Enforcement Team (OPNET) which includes officers from Jefferson County Sheriff’s Office, Clallam County Sheriff’s Office, the Sequim, Port Angeles, and Port Townsend Police Departments and the U.S. Border Patrol.
The case is being prosecuted by Assistant United States Attorney Kristine Foerster.
Pittsburgh Cocaine Dealer Sentenced to 15 Years' ImprisonmentRead the Press Release
PITTSBURGH, PA -- A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 15 years of imprisonment and 10 years of supervised release on his conviction of violating federal narcotics laws, United States Attorney Cindy K. Chung announced today.
United States District Judge Cathy Bissoon imposed the sentence on Cadee Akins Sr., age 50, formerly of the City’s Stanton Heights neighborhood.
According to information presented to the court, Akins Sr. conspired to possess with intent to distribute and distribute five kilograms or more of cocaine and 280 grams or more of cocaine base. The investigation revealed that from November 2017 to September 2020, the defendant distributed cocaine to multiple individuals who in turn distributed cocaine to lower-level dealers and end users. Additionally, during a July 2019 traffic stop, law enforcement seized two kilograms of cocaine from the defendant, who was operating a rental vehicle. In a subsequent traffic stop in March 2020, law enforcement seized approximately $50,600 in drug proceeds from the defendant.
Assistant United States Attorney Brendan J. McKenna prosecuted this case on behalf of the government.
United States Attorney Chung commended the Drug Enforcement Administration and the Pennsylvania Office of Attorney General for the investigation leading to the successful prosecution of Akins Sr.
Pharmacy Agrees to Enter into Deferred Prosecution and Civil Settlement Agreements in Connection with Fraudulent Claims for Anti-Overdose DrugRead the Press Release
BOSTON – Florida-based Solera Specialty Pharmacy has entered into a deferred prosecution agreement and has agreed, along with its Chief Executive Officer (CEO), to pay a $1.31 million civil settlement to resolve allegations that it submitted fraudulent claims to Medicare for Evzio, a high-priced drug used in rapid reversal of opioid overdoses.
According to the admissions of Solera and its CEO Nicholas Saraniti in the civil agreement, and Solera’s additional admissions in the criminal agreement, the pharmacy dispensed Evzio from January 2017 to May 2018. During that time, Evzio was the highest-priced version of naloxone on the market and insurers frequently required the submission of prior authorization requests before they would approve coverage for Evzio. Solera completed Evzio prior authorization forms in place of the prescribing physicians, including instances in which Solera staff signed the forms without the physician’s authorization and listed Solera’s contact information as if it were the physician’s. In addition, Solera submitted Evzio prior authorization forms that contained false clinical information to secure approval for the expensive drug. Finally, Solera waived Medicare beneficiary co-payment obligations for Evzio on numerous occasions without analyzing whether the patient had a genuine financial hardship.
Solera entered into a deferred prosecution agreement in connection with a criminal information charging the pharmacy with one count of health care fraud. Solera and its CEO, Saraniti, also entered into a civil settlement agreement and will pay the government $1.31 million to resolve claims under the False Claims Act.
“Taxpayers deserve honesty and integrity from those who profit from federal health care programs,” said United States Attorney Rachael S. Rollins. “This resolution will provide oversight to correct behavior and prevent it from happening again.”
“Pharmacies, like all Medicare providers, must submit accurate claims,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “This settlement demonstrates the department’s continuing commitment to preventing submissions of false claims by entities at all levels of the health care delivery chain.”
In connection with the settlement, Solera and Saraniti entered into a three-year Integrity Agreement (IA) with the U.S. Department of Health and Human Services Office of Inspector General. The IA requires, among other things, that Solera implement measures designed to ensure that its submission of claims for pharmaceutical products complies with applicable law relating to prior authorizations and collection of beneficiary co-payment obligations. In addition, the IA requires reviews by an independent review organization.
“The submission of truthful and accurate documentation by all parties involved in the delivery of health care goods or services is essential to the integrity of federal health care programs. This includes pharmacies that submit claims for pharmaceutical products,” said Special Agent in Charge Phillip M. Coyne of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Along with our law enforcement partners, HHS-OIG is committed to preventing fraud in Medicare and other taxpayer-funded health care programs.”
“Today’s settlement resolves serious allegations that Solera submitted false and fraudulent claims to Medicare for their own financial gain, pilfering funds from a program intended to help those truly in need, while going behind the backs of prescribing physicians to secure approval for this expensive anti-overdose drug,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “This is not a victimless crime—health care fraud is a crime against all of us who contribute hard earned income and taxes into the system. The FBI will continue to work with our law enforcement partners to ensure those who willingly defraud the American people are held accountable.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Rebecca Socol, a former employee of kaléo Inc., the manufacturer of Evzio. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Socol v. Solera Specialty Pharmacy, LLC., 18-cv010050-RGS (D. Mass.) (under seal). In 2021, the department announced settlements with kaléo for $12.7 million and with other pharmacies for $1 million relating to the submission of false claims for Evzio.
U.S. Attorney Rollins, Principal Deputy AAG Boynton of the Justice Department’s Civil Division, HHS-OIG SAC Coyne and FBI Boston SAC Bonavolonta made the announcement today. Assistant U.S. Attorneys David J. Derusha, Abraham R. George, and Amanda P.M. Strachan of Rollins’s Office and Senior Trial Counsel Sarah Arni of the Justice Department’s Civil Division handled the matter.
Passaic County Man Admits Role in Illegal Money Transmitting SchemeRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man today admitted his role in an illegal money transmitting business, U.S. Attorney Philip R. Sellinger announced.
Enmanuel Nunez-Reyes, 29, pleaded guilty by videoconference before U.S. District Judge Brian Martinotti to an information charging him with aiding and abetting an illegal money transmitting business.
According to documents filed in this case and statements made in court:
From December 2016 through September 2017, Nunez-Reyes accepted over $2.8 million in cash and purchased over 100 cashier’s checks at local bank branches in New Jersey and elsewhere, the proceeds of illegal drug distribution. The check purchases were part of an illegal money transmitting and money laundering scheme designed to hide the illegal source of the cash and transfer it from New Jersey to the Dominican Republic and Colombia, all while attempting to avoid scrutiny by law enforcement and U.S. banks.
The charge of aiding and abetting an illegal money transmitting business carries a maximum penalty of five years in prison and a fine of $250,000 or twice the amount involved in the offense, whichever is greater. Sentencing is scheduled for Oct. 18, 2022.
U.S. Attorney Sellinger credited special agents and task force officers of the U.S. Drug Enforcement Administration, New Jersey Division, under the direction of Special Agent in Charge Susan A. Gibson; the DEA Special Operations Division, and the Santo Domingo Country Office, under the supervision of Special Agent in Charge Renita D. Foster; special agents and task force officers of IRS - Criminal Investigation, under the direction of Acting Special Agent in Charge Tammy Tomlins; the Morristown, New Jersey, Police Department, under the direction of Acting Police Chief Darnell Richardson; and the Passaic, NJ Police Department under the direction of Chief Luis A. Guzman. U.S. Attorney Sellinger thanked officials in the Dominican Republic for their assistance in the investigation.
The government is represented by Assistant U.S. Attorney Jonathan M. Peck of the Criminal Division in Newark.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Defense counsel: Wanda M. Akin Esq., Newark
Parker Man and Woman Sentenced in Connection with Robbery After Stealing Victim’s VehicleRead the Press Release
PHOENIX, Ariz. – On Monday, Andre Stephan Stevens, 21, and Tenelle Inez Moses, 32, both of Parker, Arizona, were sentenced by United States District Judge Michael T. Liburdi. Stevens, who previously pleaded guilty to Robbery, was sentenced to 126 months in prison, followed by three years of supervised release. Moses, who previously pleaded guilty to Accessory After the Fact, was sentenced to 46 months in prison, followed by three years of supervised release.
On October 29, 2019, Stevens assaulted the victim outside of Moses’ residence in Parker. After the assault, Moses and Stevens drove the victim’s vehicle to a remote location near a casino in Parker. The victim was in the back seat when Stevens told Moses to pull over. Moses stopped the vehicle and Stevens threw the victim out of the victim’s own vehicle. Moses and Stevens then fled the scene in the victim’s vehicle. Stevens later led law enforcement on a high-speed chase, driving the victim’s vehicle with Moses in the passenger seat. The police pursuit was abandoned due to safety concerns, but Stevens and Moses were arrested later that morning. These offenses occurred on the Colorado River Indian Tribes (CRIT) Reservation. Stevens, Moses, and the victim are all enrolled members of the CRIT Tribe.
The FBI and the CRIT Police Department conducted the investigation in this case. Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-00317-PHX-MTL
RELEASE NUMBER: 2022-115_Stevens-Moses# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Palm Beach Art Dealer Indicted on Charges Related to Art Fraud SchemeRead the Press Release
Miami, Florida – Palm Beach art dealer Daniel Elie Bouaziz was charged by Indictment with mail fraud, wire fraud, and money laundering in connection with his alleged scheme to sell forged high-end artwork.
The indictment alleges Bouaziz engaged in a scheme to sell paintings and other artwork that he falsely marketed for sale as original or authentic pieces by prominent artists, including Jean-Michel Basquiat, Andy Warhol, Banksy, and Roy Lichtenstein. The indictment further alleges that the fraudulent art, that was purchased from Bouaziz, was picked up from Bouaziz’s South Florida galleries, mailed by commercial interstate carrier, and hand-delivered to Bouaziz’s victims. Bouaziz purchased and acquired pieces from various sources, to include online auction sites at low prices, and falsely sold the pieces as originals, at drastically increased prices, at his retail art galleries on Worth Avenue in Palm Beach, Florida. To make the fraudulent art appear authentic, Bouaziz allegedly made false representations to prospective buyers regarding the provenance and originality of the art. To support these false statements, it is alleged Bouaziz, among other things: (1) provided prospective buyers with invoices and documents that included false provenance information; (2) omitted descriptors that were included with low-cost online purchases, to include “after” and “reproduction” language; (3) sold prospective buyers pieces on which false edition numbers and artists’ signatures had been added; and (4) provided prospective buyers with certificates of authenticity that included false assertions and appraisals which had a stamped signature block that read “Daniel Bouaziz, Certified International Fine Art Appraiser.”
The indictment further alleges that Bouaziz committed money laundering by engaging in transactions in criminally derived property.
Bouaziz was previously charged in a criminal complaint under case number 22-mj-08209-RMM.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida; John J. Bernardo, Acting Special Agent in Charge, FBI Miami; and Matthew D. Line, Special Agent in Charge, IRS-Criminal Investigation (IRS-CI) Miami Office, made the announcement.
FBI Miami’s West Palm Beach Office and IRS-CI Miami investigated this matter. Assistant U.S. Attorney Sarah J. Schall is prosecuting this case. Assistant U.S. Attorney Peter A. Laserna is handling the asset forfeiture aspects of this case.
An indictment contains mere allegations. The defendant is presumed innocent unless and until proven guilty in a court of law.
If you believe you have been a victim of art fraud, please contact the FBI’s Art Crime Team at 1-800-CALL-FBI.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-80099.
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Owners and Operators of Mid-State Japanese Restaurants Indicted in Conspiracies Related to Harboring Undocumented WorkersRead the Press Release
NASHVILLE – A nine-count federal indictment, unsealed today, charges four individuals with conspiracy to harbor undocumented workers while employing them to work at various mid-state restaurants, harboring undocumented workers, and conspiracy to commit money laundering, announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee. The indictment also charges these individuals and another person with conspiracy to defraud the United States by failing to collect and pay employment taxes to the IRS.
Those charged in the indictment are: Zhongzhi “Tommy” Zhuo, 46, Jianping “Alan” Zhuo, 37, and Xiaofen “Joyce” Zhuo, 38, all of Hendersonville, Tennessee; and Jianhua “Jason” Zhuo, 35, and Lili Wu, 32, both of Gallatin, Tennessee.
The indictment alleges that Zhongzhi, Jianping, and Jianhua Zhuo, along with Lily Wu, as the owners or operators of several middle Tennessee restaurants, participated in a scheme to harbor persons who were in the United States illegally, by providing a means of financial support through employment at the restaurants and providing them with housing and transportation. The restaurants identified in the indictment include the Fuji Japanese Steakhouse, with locations in Hendersonville, Goodlettsville, and Whitehouse, Tennessee; Bonfire Mongolian Grill, with locations in Hendersonville, Clarksville, Mount Juliet, and Spring Hill, Tennessee; and the Koi Japanese Steakhouse in Gallatin, Tennessee.
The indictment also alleges that residential properties owned or leased by one or more of the defendants were used to house undocumented workers, including properties in Hendersonville, Gallatin, Goodlettsville, Clarksville, Mount Juliet, and Spring Hill.
Other allegations in the indictment include that these defendants communicated with and paid a broker to find and deliver undocumented workers to work at the restaurants; employed undocumented workers without requiring them to complete applications or collecting any documents to determine the worker’s immigration status and employment authorization; housed the undocumented workers at the residences; transported the undocumented workers between the residences and restaurants; and maintained separate books accounting for payments to undocumented workers made outside of the regular payroll system.
The allegations also include that these defendants, along with Xiaofen “Joyce” Zhuo, conspired to defraud the United States by paying undocumented workers in cash; failed to withhold and pay employment taxes to the IRS; and refused to allow undocumented workers to pay taxes, including for those that had Individual Taxpayer Identification Numbers. These defendants also conspired to provide understated wages to tax preparation businesses that prepared and filed tax forms with the IRS.
The indictment also contains a forfeiture allegation in which the United States seeks to forfeit four residences involved in the commission of the offenses, bank accounts, and a money judgement representing the amount of the proceeds of the crimes.
The charges carry maximum penalties between 5 and 20 years in prison, if convicted.
This case was investigated by Homeland Security Investigations; IRS-Criminal Investigation; the Tennessee Bureau of Investigation; and the Hendersonville Police Department. Assistant U.S. Attorneys Robert S. Levine and Thomas J. Jaworski are prosecuting the case.
An indictment is merely an accusation. All defendants are presumed innocent until proven guilty in a court of law.
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Orange County Man Prohibited from Preparing Tax Returns after Filing Returns that Fraudulently Sought over $50 Million in RefundsRead the Press Release
SANTA ANA, California – A federal judge has ordered a Buena Park man to stop preparing or helping to prepare tax returns after federal authorities determined his clients filed tax returns that claimed bogus dependents and fraudulently sought more than $50 million in tax refunds.
The judgment that became public today enjoins Jose Pineda and his business – the Anaheim-based ABK Income Tax & Travel, Inc. – from directly or indirectly acting as federal tax return preparers and other federal tax-related activities.
According to a civil complaint filed in March 2021 by the United States, between 2013 and 2020, Pineda and ABK fraudulently claimed fabricated or unqualified dependents on their customers’ tax returns, thus claiming refundable credits to which they were not entitled, including the child tax credit, the additional child tax credit and the earned income credit.
When the IRS confronted taxpayers with the false returns, they confirmed the dependents were added fictitiously and they did not qualify for the tax benefit. A majority of Pineda and ABK’s customers came from Spanish-speaking immigrant communities in Orange County. Due to their limited education, language ability and knowledge of tax or accounting matters, most of Pineda and ABK’s customers followed Pineda’s direction to certify that their tax returns were correct, even though they did not understand contents of the returns.
Pineda and ABK’s customers revealed during interviews with IRS authorities that, even when Pineda and ABK knew the IRS was disallowing erroneously claimed dependents, Pineda and ABK continued to falsely report these same dependents on their customers’ tax returns for subsequent years. According to the government’s complaint, between 2016 and 2020, Pineda and ABK prepared approximately 22,340 federal income tax returns, and 89% of those returns sought refunds – a total of approximately $51,899,961 in refunds, most of which stemmed from fraudulent deductions on those returns.
This case was handled by Assistant United States Attorney Najah Shariff of the Tax Division. The IRS’ Abusive Transactions Investigation Group conducted the investigation in this matter.
The judgment entered today on the court’s docket concludes the government’s case in United States v. Jose Pineda, individually and doing business as ABK Income Tax & Travel, and ABK Income Tax & Travel, Inc., SACV21-463. United States District Judge David O. Carter on Tuesday filed the judgment for injunction with the consent of Pineda and ABK.
Return preparer fraud remains a high priority of the IRS, and taxpayers seeking a return preparer should remain vigilant. The IRS has published tips on its website for choosing a tax preparer and has launched a free directory of federal tax preparers.
Nigerian National Sentenced to Eight Years in Federal Prison for an Elder Fraud Scheme and Unrelated Cares Act Covid-19 Unemployment Fraud SchemeRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Oluwaseyi Akinyemi, a/k/a “Paddy Linkin”, a/k/a “Joseph Kadin”, age 35, of Hyattsville, Maryland, yesterday to eight years in federal prison, followed by three years of supervised release for two counts of mail fraud relating to a social media advanced fee fraud scheme that targeted elderly victims. Judge Chuang also ordered Akinyemi to pay $486,119.07 in restitution to his victims.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge Selwyn Smith of Homeland Security Investigations (HSI) Baltimore; Acting Special Agent in Charge Troy Springer, of the Washington Regional Office, U.S. Department of Labor Office of Inspector General; and Chief Malik Aziz of the Prince George’s County Police Department.
“Akinyemi committed elder fraud and CARES Act COVID-19 fraud, which are both priorities for this Office,” said United States Attorney for the District of Maryland Erek L. Barron. “Akinyemi not only took advantage of a nursing care patient, a national health crisis, and an employment crisis, but he also caused financial harm to at least 13 elderly victims.”
According to his guilty plea, from July 10, 2018 to April 29, 2019, Akinyemi and at least one co-conspirator engaged in a social media based elder fraud scheme. Members of the conspiracy targeted elderly victims on social media platforms, representing themselves as agents of both real and fictitious government agencies and offered victims non-existent financial rewards if the victims first sent cash, money orders, or gift cards to cover associated “taxes and fees.” Conspirators even impersonated social media accounts of the victim’s friends to vouch for their fraudulent financial scheme. Believing that they would receive a financial reward, the victims sent cash, money orders, gift cards, and other valuable items through the mail to Akinyemi as well as other members of the conspiracy in order to obtain a financial reward. Akinyemi, who lived in Landover, Maryland at the time, received packages under the aliases of Paddy Linkin,” “Flex,” “Joseph Kadin,” “Anna Marcos,” and other aliases. After receiving the fraudulently obtained funds, Akinyemi kept a portion of the funds and provided the rest of the fraudulently obtained cash to co-conspirators in Nigeria. Akinyemi admitted that this advance fee fraud scheme defrauded 13 victims from around the United States, ranging in age from 47 to 78 years old, of a total of $478,145.07.
For example, Victim 1, who was 78 years old and lived in Texas, received an application via social media to apply to a purported federal government grant program. The application was accompanied by a message from a person whom Victim 1 believed was a friend, vouching for the program. Victim 1 was told by members of the conspiracy that he had been approved for $100,000 in grant funds but would need to pay taxes before he could receive the grant funds. As instructed by members of the conspiracy, Victim 1 sent multiple packages of money, including to Akinyemi. To induce Victim 1 to continue to send money, members of the conspiracy sent Victim 1 electronic “certificates,” including a “Certificate of Completion” bearing the Internal Revenue Service seal, stating that it was from the “Federal and State Tax Institutes.” Victim 1 also received a certificate with a U.S. flag on it with the words “Federal Grants” next to it which included Victim 1’s full name and the text: “Federal Government Grants for the sum of $5,000,000.” After receiving these certificates, Victim 1 continued to send money to Akinyemi and other members of the conspiracy. In total, Victim 1 sent between approximately $70,000 to $80,000 to Akinyemi.
Victim 2, who was 71 years old and lived in Indiana, received a message from someone they believed to be a high school friend regarding a “Strengthening Community Fund,” but was, in fact, a member of the conspiracy posing as the victim’s high school friend. The conspiracy member told Victim 2 that they received money from the fund in the recent past and that there were different amounts for which a person could apply. The member of the conspiracy then provided Victim 2 with the contact information for a fictitious agent representing the “Fund.”
After Victim 2 contacted and sought information regarding the Fund, a member of the conspiracy masquerading as an agent asked Victim 2 if they were ready to apply. When Victim 2 communicated their desire to do so, the member of the conspiracy sought biographical information from Victim 2, including their monthly income. Once Victim 2 provided this information, the member of the conspiracy informed Victim 2 that they had been “approved.” Victim 2 applied for $80,000, which Victim 2 believed would cost $800 in fees. Victim 2 sent a total of approximately $50,000 in fictitious fees and taxes in order to obtain money from the fictitious fund.
During an interview with law enforcement on April 25, 2019, Akinyemi confirmed that he had received packages from victims throughout the country, detailed the scheme to defraud, and informed investigators that individuals in Nigeria were responsible for soliciting the victims to send money to him. Further, Akinyemi stated that he received approximately $80,000 in the mail in the year prior to his interview. A subsequent review of Akinyemi’s phone revealed, among other things, photos of tracking numbers and dollar amounts, a receipt for a money order, and conversations with conspirators discussing the percentage of the proceeds Akinyemi would take for his participation in the conspiracy. At least five victims suffered a substantial financial hardship as a result of the money that was fraudulently obtained by Akinyemi and his co-conspirators during the execution of the scheme.
According to his plea agreement, beginning in December 2020, Akinyemi and other co-conspirators also illegally obtained unemployment and CARES Act COVID-19 related benefits by filing fraudulent unemployment claims in the names of living and deceased victims from Maryland and Arizona. Akinyemi and his co-conspirators used the mailing address of his Landover residence, as well as the home address of a Washington D.C. client to whom Akinyemi provided at-home nursing care services to receive the fraudulent unemployment insurance debit cards in the mail. A total of nine unemployment insurance claims were filed using the address of Akinyemi’s D.C. nursing care client. As stated in his plea agreement, 10 CARES Act Pandemic Unemployment Assistance (“PUA”) claims were filed with the state of Maryland using Akinyemi’s Landover residence as the mailing address, with an intended loss of more than $170,000.
In total, Akinyemi and his co-conspirators used the identities of 19 real individuals to file fraudulent CARES Act unemployment insurance and PUA claims, causing an actual loss of more than $7,000, and an intended loss of $250,000 in state and federal benefits.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The Pandemic Response Accountability Committee (PRAC) Fraud Task Force was established to serve the American public by promoting transparency and facilitating coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC Fraud Task Force brings together agents from its 22 member Inspectors General to investigate fraud involving a variety of programs, including the Paycheck Protection Program. Task force agents who are detailed to the PRAC receive expanded authority to investigate pandemic fraud as well as tools and training to support their investigations.
The Department of Justice runs the National Elder Fraud Hotline at 1-833-FRAUD-11 (1-833-372-8311), has an interactive tool for elders who have been financially exploited to help determine to which agency they should report their incident, and also a senior scam alert website. Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324. Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP.
United States Attorney Erek L. Barron commended HSI, the DOL-OIG, and the Prince George’s County Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Rajeev R. Raghavan, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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New York Donut Shop Operators Sentenced to Prison for Tax EvasionRead the Press Release
A New York couple and their adult son were sentenced to prison today for conspiring to defraud the United States and for tax evasion.
In November 2021, John Zourdos, his wife Helen Zourdos and their son Dimitrios Zourdos, all of Rome, were each convicted by a federal jury of conspiracy to defraud the United States, tax evasion and helping to file false corporate tax returns. U.S. District Court Judge David N. Hurd sentenced John Zourdos to 30 months in prison, Helen Zourdos to 20 months in prison and Dimitrios Zourdos to 10 months in prison.
According to evidence presented at trial and other court documents, John, Helen and Dimitrios operated three Dippin Donuts coffee and donut shops with locations in Rome and New Hartford. From 2012 to 2017, the defendants concealed from the IRS approximately $4.5 million in cash sales. During that period, they evaded more than $2 million in individual and corporate taxes by, among other things, depositing cash directly into their personal bank accounts instead of into business bank accounts, providing incomplete information to their accountants, causing their accountants to file false individual and corporate tax returns with the IRS, and funding personal expenditures directly with undeposited and unreported cash. They used unreported income to fund a lavish lifestyle that included multiple luxury vehicles, expensive watches, investment accounts and real estate. They also paid some employees “off the books” cash wages for overtime hours, and paid other employees entirely in “off the books” cash.
In addition to the terms of imprisonment, Judge Hurd ordered each defendant to serve three years of supervised release and to pay more than $2 million in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Carla B. Freedman for the Northern District of New York made the announcement.
IRS-Criminal Investigation investigated the case.
Assistant Chief John N. Kane of the Tax Division and Assistant U.S. Attorney Michael F. Perry for the Northern District of New York prosecuted the case.
New Orleans Man Sentenced to over 16 Years for Gun and Drug OffensesRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that SHEON COPPRUE, age 52, of New Orleans, was sentenced to sixteen and a half years in prison on charges relating to drug trafficking, firearm possession, and bribery.
COPPRUE previously pled guilty to conspiring to distribute and to possess with the intent to distribute 50 grams or more of methamphetamine and 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine, in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(A), and 846. COPPRUE also pled guilty to possession of a firearm by a felon, in violation of 18 U.S.C. § 922(g)(1), and bribery of a public official, in violation of 18 U.S.C. § 201(b)(1).
According to court documents, COPPRUE conspired with several California-based drug dealers, including codefendants Allen EDGERSON and Rachel CESARIO, to ship large quantities of methamphetamine from California to New Orleans. COPPRUE also bribed codefendant TONYA CALVIN, a postal worker, to deliver the drug-filled packages to him in New Orleans. COPPRUE, who was a felon and prohibited from possessing firearms, was caught with four firearms that he kept at his home and another address where he stored narcotics. All of COPPRUE’s co-defendants have already pled guilty, and all but CALVIN have already been sentenced. EDGERSON was sentenced to over seventeen years in prison, and CESARIO to five years in prison.
Today, U.S. District Judge Sarah S. Vance sentenced COPPRUE to a 198-month term of imprisonment or sixteen and a half years, a mandatory special assessment fee of $300, and five years of supervised release.
U.S. Attorney Evans praised the work of the United States Postal Inspection Service, the Drug Enforcement Administration, and the Louisiana State Police. Assistant U.S. Attorney Nicholas D. Moses is in charge of the prosecution.
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Navajo man sentenced to eight years in prison for assault in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Meredith Yazzie, 51, of To’hajiilee, New Mexico, was sentenced on July 12 to eight years and four months in prison. Yazzie pleaded guilty on Sept. 13, 2021, to assault in Indian Country resulting in serious bodily injury and assaulting a federal officer.
In his plea agreement, Yazzie admitted that on May 25, 2020, he intentionally stabbed a man in the torso with a knife, causing a puncture to the man’s heart and lungs. During his apprehension on June 11, 2020, Yazzie raised a hatchet menacingly at a federal officer. The assaults occurred on the Navajo Nation in Bernalillo County, New Mexico.
Upon his release from prison, Yazzie will be subject to three years of supervised release.
The FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department. Assistant United States Attorney Joseph Spindle prosecuted the case.
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Muskegon Man Charged with Drug Trafficking, Firearms OffensesRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney Mark Totten announced today that Saul Douglas Briggs, a/k/a “76 Chain,” a/k/a “Chain,” a 32 year-old resident of Muskegon, Michigan, has been indicted on multiple drug trafficking charges, including conspiracy to distribute fentanyl, heroin, cocaine, and methamphetamine, as well as possession of controlled substances with the intent to distribute them. Briggs is also charged with illegal firearms possession and maintaining a drug house.
The charges stem from a series of search warrants conducted by law enforcement in and around the Muskegon area in June 2022. On the afternoon of June 15, 2022, investigators raided a residence at 2060 Letart Avenue in Muskegon, which they suspected to be a stash house used by Briggs and other drug traffickers to store and process their illegal products. Inside, investigators seized approximately 8 kilograms of suspected fentanyl, 774 grams of suspected black tar heroin, 61 grams of suspected cocaine, and 22 grams of suspected methamphetamine. They also seized extensive drug trafficking paraphernalia as well as seven firearms, including four assault style rifles, a tactical shotgun, and two semi-automatic pistols. They recovered one of the pistols under the seat of Briggs’s vehicle. In related searches as part of the same investigation, law enforcement also seized nearly $250,000 in cash believed to be proceeds of drug trafficking, jewelry, and multiple vehicles.
At the time of the search of the residence at 2060 Letart Avenue, Briggs, who had been inside, attempted to flee on foot, running out of the house and jumping over the back fence of the residence. Investigators apprehended Briggs and took him into custody at that time.
The investigation into Briggs is part of Operation Interstate Zeus, an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation that began in 2019 and has been led by the Drug Enforcement Administration (DEA) and members of Michigan State Police’s West Michigan Enforcement Teams (WEMET). To date, the operation has led to the prosecution and conviction of 10 separate defendants on drug trafficking charges.
OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The charges in the indictment are merely accusations and are not evidence of guilt. The defendant is presumed innocent unless and until proven guilty in a court of law. The government has the burden of proving guilt beyond a reasonable doubt.
This case is being prosecuted by Assistant U.S. Attorney Stephanie M. Carowan.
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Monongalia County woman guilty of child pornography chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Nicole Renee Halterman, of Morgantown, West Virginia, has admitted to a child pornography charge, United States Attorney William Ihlenfeld announced.
Halterman, 32, pleaded guilty today to one count of “Possession of Child Pornography.” Halterman admitted to having child pornography in March 2021 in Monongalia County.
Halterman faces up to 20 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney David J. Perri is prosecuting the case on behalf of the government. The West Virginia State Police investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Massachusetts Men Indicted for Conspiring to Steal 12 FirearmsRead the Press Release
CONCORD – Jaythean Diaz, 19, of Lawrence and Gary Ortiz, 18, of Haverhill, were indicted by a federal grand jury on July 11, 2022, and charged with one count of conspiracy to steal firearms from a New Hampshire Federal Firearm Licensee, United States Attorney Jane E. Young announced today.
Diaz and Ortiz were arrested in Lawrence today and released on electronic monitoring and a 8:00 pm to 6:00 am curfew.
The indictment filed in court alleges that between on or about December 6, 2021, and on or about December 8, 2021, in the District of New Hampshire and elsewhere, the two men conspired with each other and with other persons to steal firearms from Second Amendment Arms, a Derry, New Hampshire Federal Firearms Licensee. During the course of the conspiracy, the indictment alleges that the men stole 12 firearms.
The charges in the indictment are only allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Andover Police Department, the Atkinson Police Department, the Brentwood Police Department, the Derry Police Department, the Haverhill Police Department, the Lawrence Police Department, the Massachusetts State Police, the Methuen Police Department, the Milford Police Department, the New Hampshire State Police, the Rockingham County Sheriff’s Office, the Salem (NH) Police Department, the Somersworth Police Department, the Saugus Police Department, the Wellesley Police Department, and the Windham Police Department.
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Maryland heights man charged in suspected overdose death of St. Charles mother of threeRead the Press Release
ST. LOUIS – A man suspected of supplying drugs to a St. Charles mother who died last month was indicted Wednesday on a charge of possession and distribution of fentanyl.
The woman’s children, ages 2, 4 and 2 months, had been alone in a bedroom after their mother’s death for as many as 20 hours before their screaming alerted a neighbor, charging documents say.
Charging documents say Valentino Terez Carpenter, 37, of Maryland Heights, sold two capsules containing suspected fentanyl to the victim at her home on Lindenwood Avenue early on the morning of June 21 for $10. Investigators believe Carpenter was aware the woman’s children were in the home. About three hours later, he warned her not to ingest a whole capsule, adding “you almost died last night.”
At about 7:40 p.m. that night, a neighbor heard the screams of the victim’s children and entered the apartment, discovering the victim dead on the couch and the children confined to a bedroom with a baby gate.
Police found one black and white capsule which tested positive for fentanyl in a field test, and Facebook messages in which the victim told Carpenter she wanted to buy fentanyl, charging documents say.
Carpenter was arrested July 7 at his home and was charged by complaint July 8 with distribution of a controlled substance.
“While the facts in this case are appalling, it is just one of many currently being investigated by law enforcement in the St. Louis area, and every case seems more tragic than the next,” said U.S. Attorney Sayler Fleming Wednesday.
U.S. Attorney Fleming also thanked the hard work of those who helped the children and investigated the case. “The children are now safe and in the care of relatives,” she said.
“This is another example of how fentanyl is impacting our communities in tragic ways,” said Special Agent in Charge Michael A. Davis, head of DEA’s St. Louis Division. “Fentanyl is killing Americans at an unprecedented rate. Our best defense against this deadly drug is awareness of its danger, helping those who suffer from substance use or mental health disorders find help, and continued enforcement of the drug laws.”
The drug charge carries a penalty of up to 20 years and prison, a fine of up to $1 million, or both.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The case was investigated by the Drug Enforcement Administration, the St. Charles Police Department and the St. Charles County Regional Drug Task Force.
Manteno, Illinois, Man Sentenced to 96 Months in Prison for Attempted Enticement of a Minor and Use of Interstate Facilities to Attempt to Transmit Information about a MinorRead the Press Release
URBANA, Ill. – A Manteno, Illinois, man, Joseph Longanecker, 42, was sentenced on July 12, 2022, to 96 months in prison for attempted enticement of a minor and use of interstate facilities to attempt to transmit information about a minor.
At the sentencing hearing before United States District Judge Michael M. Mihm, the government presented evidence that on or about February 14 to 15, 2020, Longanecker knowingly attempted to persuade, induce, and entice an individual whom he believed had not attained the age of 18 years to engage in sexual activity. On those same dates, Longanecker also knowingly used a facility and means of interstate commerce, namely, the internet and a cellular telephone, with the intent to transmit the name and address of another individual who had not attained the age of 16, and he did so with the intent to entice, encourage, offer, and solicit that person to engage in sexual activity.
Longanecker was indicted in March 2020 and pleaded guilty in February 2022. He was taken into the custody of the United States Marshals after the sentencing hearing.
The prosecution was the result of an investigation by the Federal Bureau of Investigation, Springfield Office, with the assistance of the Kankakee County Sheriff’s Office; Kankakee Area Metropolitan Enforcement Group, and the Bradley Police Department. Special Assistant U.S. Attorney Shannon O’Brien, also an Assistant Attorney General for the Illinois Attorney General’s Office, represented the government in the prosecution.
“Children are among the most vulnerable victims, and Individuals who exploit them must be held accountable for their reprehensible actions,” said Illinois Attorney General Kwame Raoul. “I am thankful for the collaboration and work of the dedicated men and women who represent different law enforcement agencies that came together to ensure justice was served in this case.”
“Each year hundreds of children fall victim to online crimes, said FBI Springfield Field Office Special Agent in Charge David Nanz. "The FBI implements proactive techniques as part of its effort to stop offenders from taking advantage of the innocence of children."
The case was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Man Sentenced for Role in the 2013 Murder of Loomis Armored Guard Hector TrochezRead the Press Release
NEW ORLEANS, LA – United States Attorney Duane A. Evans announced today that CURTIS JOHNSON, JR., 30, of New Orleans, was sentenced today by U.S. District Judge Lance Africk for his role in the December 2013 armed robbery of a Loomis armored vehicle at Chase Bank, 2331 S. Carrollton, Avenue, New Orleans, Louisiana, which resulted in the death of Loomis guard Hector Trochez.
JOHNSON, was found guilty by a jury at trial in March 2022 of conspiracy to commit a Hobbs Act robbery, aiding and abetting the commission of a Hobbs Act Robbery, and discharging a firearm in furtherance of Hobbs Act robbery.
JOHNSON was sentenced to 600 months imprisonment, a five-year term of supervised release following imprisonment, a $300 mandatory special assessment fee, and ordered to pay restitution in the amount of $277,000.
According to court documents, on the morning of December 18, 2013, JOHNSON, along with co-defendants, Lilbear George, Chukwudi Ofomata, and Jeremy Esteves, robbed a Loomis armored vehicle as it was making a delivery of approximately $265,000 to the Chase Bank at the intersection of S. Carrollton and S. Claiborne Avenues. As the Loomis guard, Hector Trochez, prepared to make the delivery, George and Ofomata, both armed, exited the vehicle (a Chevy Tahoe stolen by George in preparation for the robbery), and ordered Trochez to give up the money. Trochez pulled his weapon and fired at the robbers. Ofomata and George fired their weapons in Trochez’s direction. JOHNSON fired at the Loomis truck to keep the driver inside. Trochez was fatally struck on the left side of his forehead and suffered a graze wound to his elbow. One of the robbers ran towards the rear of the Loomis truck and took possession of the money bag before re-entering the Tahoe. The robbers then fled the Chase Bank parking lot.
A witness seated in a vehicle at the corner of S. Claiborne and S. Carrollton Avenues observed the shooting and provided a description of the shooters and the vehicle they occupied. That witness followed the Chevy Tahoe as it fled the location of the shooting/robbery. During the vehicle’s flight, one of the shooters fired at the witness’s vehicle in an attempt to deter the witness from following. The witness observed the Chevy Tahoe arrive in the 1700 block of Adams Street and saw the four robbers exit the Chevy Tahoe and enter the awaiting Honda Accord driven by co-defendant Robert Brumfield, III. The Honda Accord fled the Adams Street location, leaving the Chevy Tahoe behind.
In November 2019, Esteves and Brumfield were found guilty by a jury at trial, and later sentenced to 600 months imprisonment and 240 months imprisonment, respectively. In 2021, George and Ofomata pleaded guilty and were both sentenced to a 480-month term of imprisonment. Co-defendant Jasmine Theophile, the former girlfriend of Lilbear George, pleaded guilty to obstructing justice and was sentenced to a five (5) year term of probation, which included six months in the custody of a halfway house.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation along with the New Orleans Police Department and the Louisiana State Police. Assistant United States Attorneys Brittany L. Reed, Gregory M. Kennedy, and Inga Petrovich prosecuted the matter.
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Man Arrested, Charged with Assaulting an FBI AgentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Tyler Collins, 27, of Buffalo, NY, was arrested and charged by criminal complaint with assaulting a federal officer. The charge carries a maximum penalty of eight years in prison.
Assistant U.S. Attorney Franz M. Wright, who is handling the case, stated that according to the complaint, on July 12, 2022, at approximately 4:00 p.m., Collins attempted to enter the FBI-Buffalo Division main office but was denied entry by the security guards inside of the front door. At the time, three federal agents were walking back to the main office and encountered Collins, who they observed was yelling into the intercom system. Collins was heard yelling “You are screwing with me! The FBI is screwing with me!” One of the federal agents approached Collins and attempted to calm him down, at which time Collins punched the federal agent, physically assaulting him. One of the other federal agents discharged pepper spray, in an attempt to subdue Collins, who then fled on Elmwood Avenue. Approximately an hour later, Collins was taken into custody as he was walking on Delaware Avenue.
The criminal complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia, and the Buffalo Police Department, under the direction of Commissioner Joseph Gramaglia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Luzerne County Man Charged with Drug Trafficking and Firearms OffensesRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jon Robert Donohue, age 29, of Pittston, Pennsylvania, was indicted yesterday by a federal grand jury on drug trafficking and firearms offenses.
According to United States Attorney Gerard M. Karam, the indictment alleges that Donohue possessed with the intent to distribute over 500 grams of cocaine and over 50 grams of methamphetamine on May 9, 2022, in Luzerne County, Pennsylvania. The indictment also alleges that Donohue possessed various ammunition and multiple firearms in furtherance of his drug trafficking. The indictment further alleges that Donohue possessed the ammunition and firearms after being prohibited to possess firearms due to a prior felony conviction.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Luzerne County Drug Task Force and the Luzerne County Adult Probation and Parole Office. Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
This case was part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The maximum penalty under federal law for this offense is lifetime imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Louisiana Woman Sentenced to Prison in False Tax Return SchemeRead the Press Release
A Louisiana woman was sentenced yesterday to 40 months in prison for conspiring to defraud the United States.
According to court documents, Carlanda Isaac, of New Orleans, worked for Pelican Income Tax and Bookkeeping Services LLC, and later for Taxes by J.A.D.A., another tax preparation business. Isaac, together with others, sought inflated tax refunds for clients by claiming on their returns false income, withholding and education credits. Isaac charged her clients a fee for preparing false tax returns.
In addition to the term of imprisonment, U.S. District Judge Greg G. Guidry ordered Isaac to serve three years of supervised release and to pay approximately $283,378 in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Duane A. Evans for the Eastern District of Louisiana made the announcement.
IRS-Criminal Investigation investigated the case.
Trial Attorney Jessica Kraft of the Justice Department’s Tax Division and Assistant U.S. Attorney Carter Guice of the U.S. Attorney’s Office for the Eastern District of Louisiana prosecuted the case.
Los Angeles County Man Indicted on Child Exploitation ChargesRead the Press Release
SACRAMENTO, Calif. — Pedro Luis Millan, aka Peter Millan, 36, of Montebello, was arrested today after a federal grand jury returned a two-count indictment last Thursday, charging him with conspiracy to sexually exploit a child and receipt of child pornography, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in May 2021, Millan used the Kik messaging application to conspire with another user located in Yuba County to produce an image of a child under the age of 12 engaged in sexually explicit conduct. Millan received that image, as well as additional pornographic images of the same child victim, from his co-conspirator over the Kik messaging application.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Denise N. Yasinow is prosecuting the case.
If convicted of conspiracy to sexually exploit a child, Millan faces a mandatory minimum sentence of 15 years in prison, a maximum statutory penalty of 30 years in prison, and a $250,000 fine. If convicted of receipt of child pornography, Millan faces a mandatory minimum sentence of five years in prison, a maximum statutory penalty of 20 years in prison, and a $250,000 fine. Any sentence, however, would 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. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
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 those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Long-Term Care Pharmacy, Tara Pharmacy SE, LLC, to Pay $622,000 to Settle Lawsuit Alleging Violations of False Claims Act and to Settle Alleged Controlled Substances Act ViolationsRead the Press Release
BIRMINGHAM, Ala. – Tara Pharmacy SE, LLC has agreed to pay the United States $622,000 to resolve allegations that it violated the Controlled Substances Act by dispensing Schedule II controlled drugs without a valid prescription and violated the False Claims Act by submitting false claims to Medicare for these improperly dispensed drugs, announced U.S. Attorney Prim F. Escalona, Special Agent in Charge Tamala E. Miles of the U.S. Department of Health and Human Services Office of Inspector General, and DEA Special Agent in Charge Brad L. Byerley.
“Pharmacies that violate federal prescribing guidelines put their patients’ health at risk and contribute to the drug epidemic plaguing our communities. Since 2020, drug overdose deaths in Alabama have increased by more than 71%,” said United States Attorney Prim F. Escalona. “Law enforcement and public health agencies are committed to combatting any unlawful sources that distribute controlled substances into our communities.”
“Pharmacies that distribute controlled substances without legitimate prescriptions seriously endanger the well-being of their patients. In billing Medicare for inappropriately dispensed drugs, those pharmacies also divert federal funds needed to care for the program’s many beneficiaries,” said Special Agent in Charge Tamala E. Miles of the U.S. Department of Health and Human Services Office of Inspector General. “Our agency will continue to collaborate with our law enforcement partners to thoroughly investigate allegations of such activity.”
“Prescription drug abuse is a serious public health crisis that harms families and communities,” said DEA Special Agent in Charge Brad L. Byerley. “DEA Registrants, like Tara Pharmacy, who violate their duties will be held accountable for allowing these medications to get into the wrong hands. This settlement agreement is the result of DEA’s continued commitment to work with the United States Attorney’s Office and our law enforcement partners and hold accountable those who participate in illegally diverting controlled substances.”
Tara Pharmacy is a specialty pharmacy located in Homewood, Alabama, that provides pharmacy services for long-term care facilities located in Alabama and Georgia. Tara Pharmacy filled prescriptions for controlled substances listed in Schedule II under the Controlled Substances Act. Schedule II drugs, such as oxycodone, can cause significant harm if used improperly and have a high potential for abuse.
The agreement settled allegations that Tara Pharmacy filled prescriptions for Schedule II controlled substances that lacked a valid, original physician signature and that Tara Pharmacy failed to get written prescriptions for Schedule II controlled substances within the required 7-day period after an emergency dispense.
The False Claims Act allegations resolved by today’s settlement were originally brought by Alex Sproule and Nicholas Fuhrmann, former employees of Tara Pharmacy, under the whistleblower provisions of the Act, which authorize private parties to sue on behalf of the United States and to receive a portion of any recovery. Mr. Sproule and Mr. Fuhrmann will receive $52,000 as their share of the settlement.
The settlement with Tara Pharmacy was the result of a coordinated effort among HHS-OIG, the DEA, and Assistant U.S Attorney Don Long.
The lawsuit is captioned United States ex rel. Sproule, et al., v. Aurora Cares LLC d/b/a Tara Cares, et al., 2:20-CV-217-AMM (N.D. Ala.) The claims resolved by the settlement are allegations only; there has been no determination of liability.
Long Island Man Convicted of over $600 Million Health Care Fraud, Wire Fraud and Identity Theft SchemeRead the Press Release
Earlier today, a federal jury in Central Islip returned a guilty verdict on eight counts of a superseding indictment charging Mathew James with perpetrating an over $600 million health care fraud scheme, which also included wire fraud and aggravated identity theft charges. The verdict followed a six-week trial before United States District Judge Joanna Seybert.
Breon Peace, United States Attorney for the Eastern District of New York, Kenneth A. Polite Jr., Assistant Attorney General of the Justice Department’s Criminal Division, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.
“The defendant stands convicted of carrying out an audacious scheme in which he used insurance companies like ATM machines. He stole hundreds of millions of dollars until he was finally exposed by a paper trail a mile-long, phone recordings on which he impersonated patients, and text messages and emails with his co-conspirator doctor clients demonstrating his nefarious billing practices. For this massive fraud, a federal jury convicted him today,” stated United States Attorney Peace. “Health care fraud is not a victimless crime, because fraudulent billing ultimately affects consumers who must pay the cost of higher insurance premiums.”
“James orchestrated a fraudulent medical billing scheme to steal from insurance companies and businesses, in order to line his own pockets,” said Assistant Attorney General Polite of the Justice Department’s Criminal Division. “This conviction shows that medical billers who fuel health care fraud will be brought to justice.”
As proven at trial, James operated medical billing companies to provide billing services for physicians, primarily plastic surgeons throughout the United States, and used his companies to carry out a massive scheme to defraud insurance companies. As a third-party medical biller, James submitted claims to insurance companies and when necessary, requested reconsideration or appeals of denied claims. The evidence showed that James billed for procedures that were either more serious or entirely different than those his doctor-clients performed. For example, the government presented evidence that James impersonated Jeff Pash, the National Football League’s general counsel, and Marcus Smart, a professional basketball player for the Boston Celtics of the National Basketball Association, in calls the defendant made to insurance companies in which he exaggerated medical procedures. James made thousands of impersonation calls resulting in over tens of millions of dollars in additional reimbursement to his doctor-clients and from which he received a percentage of the fraudulent proceeds.
James also directed his doctor-clients to schedule elective surgeries through the emergency room so that insurance companies would reimburse at substantially higher rates. When insurance companies denied the inflated claims, James impersonated patients to demand that the insurance companies pay the outstanding balances of tens or hundreds of thousands of dollars.
The FBI investigated the case and was brought under the supervision of the U.S. Attorney Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section. Assistant United States Attorneys Catherine M. Mirabile and Antoinette N. Rangel of the Eastern District of New York, and Acting Assistant Chief Miriam L. Glaser Dauermann of the Fraud Section are in charge of the prosecution with the assistance of paralegal specialist Shernita Moore-Glasgow.
The Defendant:
MATHEW JAMES
Age: 54
Saint James, Long IslandE.D.N.Y. Docket No. 19-CR-382 (JS)
Las Cruces man arraigned on federal charges related to shooting deathRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Rudy Garcia was arraigned on a five-count indictment. Garcia, 35, of Las Cruces, New Mexico, will remain in custody pending trial, which has not been scheduled.
A federal grand jury indicted Garcia on June 22. According to the indictment, on Jan. 25, Garcia allegedly shot and killed another man during a drug deal involving fentanyl. The indictment charges Garcia with conspiracy, distribution of fentanyl, using a firearm during a drug trafficking crime and in furtherance of such a crime, discharging a firearm during a drug trafficking crime resulting in death, and being a felon in possession of a firearm and ammunition. At the time of the alleged offenses, Garcia was a convicted felon and could not legally possess a firearm or ammunition.
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted on all counts, Garcia faces up to life in prison or death.
The Las Cruces Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Las Cruces Police Department. Assistant United States Attorneys Randy M. Castellano and Matthew Ramirez are prosecuting the case.
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KC Man Used Fake Gun in Foiled Independence Restaurant RobberyRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man who attempted to rob an Independence, Mo., restaurant with a fake gun, but was thwarted when employees fought back, pleaded guilty in federal court today to the robbery.
Bryan C. Byers, 23, pleaded guilty before U.S. District Judge Roseann Ketchmark to one count of robbery.
Byers robbed Lucky Buffet, 2931 S. Noland Road in Independence, on Feb. 21, 2022. Byers, armed with what appeared to be a Glock handgun, approached two restaurant employees who were working near the sushi station in the restaurant. Investigators later learned the upper portion of the apparent handgun was an actual Glock, but the lower portion was from an airsoft pistol and was not designed to fire.
Byers pointed the apparent handgun at the two employees, who later told officers they feared for their lives, and told them they had five seconds to give him the cash from the cash register or he would kill them. The employees opened the register drawer and Byers began taking money from the register. One of the employees grabbed the apparent handgun from Byers and both employees began fighting with Byers. Byers attempted to get away but was restrained until police arrived. During the physical altercation, restaurant employees threw plates of food at Byers and repeatedly hit him with a chair to keep him from getting away.
Byers, who was on the floor of the restaurant, was arrested and transported to a local hospital for medical treatment. Police officers found approximately $873 scattered on the floor of the restaurant.
Under federal statutes, Byers is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney David A. Barnes. It was investigated by the Independence, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Jury convicts former Missoula resident of child pornography crimesRead the Press Release
MISSOULA — A jury today convicted a former Missoula resident of transporting, distributing and receiving child pornography using the internet and social media, U.S. Attorney Jesse Laslovich said.
After a three-day trial, the jury found Taurean Jerome Weber, 39, formerly of Missoula and currently of Littleton, Colorado, guilty of all eight counts, including four counts of transportation of child pornography, three counts of distribution and one count of receipt of child pornography. The trial began on July 11. Weber faces a mandatory minimum five years to 20 years in prison, a $250,000 fine and five years to life of supervised release.
U.S. District Judge Dana L. Christensen presided. Judge Christensen set sentencing for Nov. 18. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Weber was remanded into custody pending further proceedings.
“Weber’s distribution of child pornography perpetuated the sexual exploitation and abuse of children for his own gratification. It was wrong and disgusting. We are committed to protecting children from this horrible crime and will be resolute in our efforts to hold those who prey on them accountable. I want to thank Assistant U.S. Attorneys Cyndee L. Peterson and Karla E. Painter, along with the Missoula Police Department, Internet Crimes Against Children Task Force and FBI for investigating and prosecuting this case,” U.S. Attorney Laslovich said.
In court documents and at trial, the government alleged that from about September 2016 to July 2020, Weber used Dropbox and Instagram to transport child pornography images and a computer to distribute child pornography. An investigation began in October 2019 when Instagram reported child pornography on its platform to the National Center for Missing and Exploited Children (NCMEC), which sends those CyberTips to members of the Internet Crimes Against Children Task Force for investigation. Records obtained through subpoenas and search warrants found evidence that Weber was the creator and user of the social media and email accounts. Investigators served a search warrant on Weber’s residence, seized computers and storage devices and determined they contained video and image files depicting minors engaged in sexually explicit conduct.
Assistant U.S. Attorneys Cyndee L. Peterson and Karla E. Painter are prosecuting the case, which was investigated by Missoula Police Department Det. Katie Hall, the Internet Crimes Against Children Task Force and FBI.
This case was initiated under the Department of Justice’s Project Safe Childhood initiative, which was launched in 2006 to combat the proliferation of technology-facilitated crimes involving the sexual exploitation of children. Through a network of federal, state and local law enforcement agencies and advocacy organizations, Project Safe Childhood attempts to protect children by investigating and prosecuting offenders involved in child sexual exploitation. It is implemented through partnerships including the Montana Internet Crimes Against Children Task Force. The ICAC Task Force Program was created to assist state and local law enforcement agencies by enhancing their investigative response to technology facilitated crimes against children.
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Jury Convicts Man of $600 Million Health Care Fraud, Wire Fraud, and ID Theft SchemeRead the Press Release
A federal jury convicted a New York man today in an over $600 million health care fraud, wire fraud, and identity theft scheme.
According to court documents and evidence presented at trial, Mathew James, 54, of East Northport, operated a medical billing company that billed for procedures that were either more serious or entirely different than those James’ doctor-clients performed. James directed his doctor-clients to schedule elective surgeries through the emergency room so that insurance companies would reimburse at substantially higher rates. When insurance companies denied the inflated claims, James impersonated patients to demand that the insurance companies pay the outstanding balances of tens or hundreds of thousands of dollars.
“James orchestrated a fraudulent medical billing scheme to steal from insurance companies and businesses, in order to line his own pockets,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “This conviction shows that medical billers who fuel health care fraud will be brought to justice.”
“The defendant stands convicted of carrying out an audacious scheme in which he used insurance companies like ATM machines. He stole hundreds of millions of dollars until he was finally exposed by a paper trail a mile-long, phone recordings on which he impersonated patients, and text messages and emails with his co-conspirator doctor clients demonstrating his nefarious billing practices. For this massive fraud, a federal jury convicted him today,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Health care fraud is not a victimless crime, because fraudulent billing ultimately affects consumers who must pay the cost of higher insurance premiums.”
“Health care fraud, including fraudulent billing schemes like this, costs U.S. taxpayers tens of billions of dollars annually. These crimes impact all of us in many ways, including increased health insurance premiums, greater out-of-pocket expenses and copayment amounts for medical treatment, and reduced or lost benefits, just to name a few,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI, together with our law enforcement partners, is committed to rooting out health care fraud in all its forms and bringing those who seek to exploit our health care system to justice.”
James was convicted of conspiracy to commit health care fraud, health care fraud, three counts of wire fraud, and three counts of aggravated identity theft. He is scheduled to be sentenced at a later date and faces up to 10 years in prison for health care fraud conspiracy, up to 10 years in prison for health care fraud, up to 20 years in prison for each of three wire fraud counts, and a two year mandatory minimum each for three aggravated identity theft counts. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI investigated the case.
Acting Assistant Chief Miriam Glaser Dauermann of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Catherine Mirabile and Antoinette Rangel of the Eastern District of New York are prosecuting the case.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 24 federal districts, has charged more than 4,200 defendants who collectively have billed the Medicare program for more than $19 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit.
Johnstown Woman Pleads Guilty to Conspiring to Distribute and Possess Cocaine and FentanylRead the Press Release
JOHNSTOWN, Pa. – A former resident of Johnstown, PA pleaded guilty in federal court to a charge of violating federal narcotics laws, United States Attorney Cindy K. Chung announced today.
Mary Lou Nelson, 59, pleaded guilty to a lesser included offense at Count One of the Superseding Indictment before Senior United States District Judge Kim R. Gibson.
In connection with the guilty plea, on or about April 2019 to on or about July 2021, Nelson did conspire to distribute and possess with intent to distribute 28 grams or more of a mixture and substance containing a detectable amount of cocaine base, in the form commonly known as “crack;”, a quantity of a mixture and substance containing a detectable amount of cocaine, and a quantity of a mixture and substance containing a detectable amount of fentanyl.
Judge Gibson scheduled sentencing for November 29, 2022. The law provides for a minimum sentence of 5 years in prison and a maximum of 40 years in prison, a fine of $5,000,000, 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 Maureen Sheehan-Balchon. is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Laurel Highlands Resident Agency and Homeland Security Investigations conducted the investigation that led to the prosecution of Nelson. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Pennsylvania Office of the Attorney General, Pennsylvania State Police, Cambria County District Attorney’s Office, Indiana County District Attorney’s Office, Cambria County Sheriff’s Office, Cambria Township Police Department, Indiana Borough Police Department, Johnstown Police Department, Upper Yoder Township Police Department, Richland Police Department, Ferndale Police Department and other local law enforcement agencies.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Jamestown Man Going to Prison for Selling FentanylRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Alfredo Diaz a/k/a Dindo, 59, of Jamestown, NY, who was convicted of possession with intent to distribute, and to distribute, fentanyl, was sentenced to serve 70 months in prison by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorneys Michael J. Adler and Evan K. Glaberson, who handled the case, stated that in April 2020, investigators conducted three controlled purchases of fentanyl from Diaz. On May 13, 2020, searches were conducted of both Diaz’s residence as well as a storage unit he used. In the residence, investigators located approximately $8,000 in U.S. currency as well as drug distribution paraphernalia, including glassine bags and a digital scale. In the storage unit, a black 2016 Cadillac SRX sport utility vehicle registered to Diaz, as well as approximately $44,075 U.S. currency, was seized. The vehicle also contained a digital scale and packaging material.
The sentencing is the result of an investigation by the Jamestown Police Department and the Jamestown Metro Drug Task Force, under the direction of Jamestown Police Chief Timothy Jackson; Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Matthew; the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff Timothy Whitcomb; the Chautauqua County Sheriff’s Office, under the direction of Sheriff James Quattrone; the Ellicott Police Department, under the direction of Chief William Ohnmeiss Jr.; and the New York State Police, under the direction of Major Eugene Staniszewski.
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Grand Jury Returns IndictmentsRead the Press Release
MADISON, WIS. - A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Two Florida Men Charged with Kidnapping
Gerardo Hernandez Anselmo, 34, and Felipe Engracia-Gonzalez, 39, both of Kissimmee, Florida, are charged with kidnapping an individual and holding him for money. The indictment alleges that on June 9, 2022, they transported the victim from Wisconsin to Florida.
Anselmo and Engracia-Gonzalez previously were charged with this offense in a criminal complaint filed in U.S. District Court for the Western District of Wisconsin on June 23, 2022. The complaint alleges that on June 9 the two defendants forced an individual into a vehicle in Abbotsford, Wisconsin, and transported him to Florida to work off a debt owed to the defendants.
Anselmo and Engracia-Gonzalez were arrested in Florida and are in federal custody. A date for their initial appearance in Wisconsin has not been set. If convicted, Anselmo and Engracia-Gonzalez face a maximum penalty of life in federal prison. The charge against them is the result of an investigation by the Federal Bureau of Investigation, Marathon County Sheriff’s Office, Colby-Abbotsford Police Department, and the Kissimmee (Florida) Police Department, with assistance from the Marathon County District Attorney’s Office. Assistant U.S. Attorney Elizabeth Altman is handling the prosecution.
La Crosse County Man Charged with Drug & Gun Crimes
Todd Allyn Valentine, 53, Holmen, Wisconsin, is charged with possessing 500 grams or more of methamphetamine with intent to distribute, with being a felon in possession of a firearm, and with maintaining a drug house. The indictment alleges that on April 20, 2021, Valentine possessed 500 grams or more of methamphetamine for distribution and a loaded .22 pistol. The indictment further alleges that from March to April 2021, he maintained a place in Holmen for the purpose of distributing methamphetamine.
If convicted, Valentine faces a mandatory minimum penalty of 10 years and a maximum of life in prison on the charge of possessing 500 grams or more of methamphetamine for distribution, 10 years on the felon in possession of a firearm charge, and 20 years on the charge of maintaining a drug house. The charges against him are the result of an investigation by the La Crosse Police Department, La Crosse and Marquette County Sheriffs’ Offices, Federal Bureau of Investigation, and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Steven Anderson and Chadwick Elgersma are handling the case.
Baraboo Man Charged with Drug Crimes
Paul R. Ripp, 49, Baraboo, Wisconsin, is charged with 2 counts of distributing methamphetamine and 2 counts of possessing 50 grams or more of methamphetamine with intent to distribute. The indictment alleges that he distributed methamphetamine on November 2 and 29, 2021, and that on March 28 and 29, 2022, he possessed 50 grams or more of methamphetamine for distribution.
If convicted, Ripp faces a maximum penalty of 20 years in federal prison on each distribution charge. The charges alleging the possession of 50 grams or more of methamphetamine with intent to distribute carry a mandatory minimum penalty of 5 years and a maximum of 40 years. The charges against him are the result of an investigation by the Columbia and Sauk County Sheriffs’ Offices. Assistant U.S. Attorney Robert Anderson is handling the prosecution.
Madison Man Charged with Drug Crimes Involving Fentanyl, Heroin & Crack Cocaine
Earl Galtney, Jr., is charged with 3 counts of distributing fentanyl, 2 counts of distributing heroin, 2 counts of distributing a mixture containing both heroin and fentanyl, and 1 count of distributing fentanyl and crack cocaine. The indictment alleges that these 8 distributions occurred between April 18 and June 9, 2022. The indictment further alleges that one of the fentanyl distributions involved 40 grams or more of the drug.
If convicted, Galtney faces a mandatory minimum penalty of 5 years and a maximum of 40 years on the charge alleging the distribution of 40 grams or more of fentanyl. The other seven charges each carry a maximum penalty of 20 years. The charges against him are the result of an investigation by the Dane County Narcotics Task Force. Assistant U.S. Attorney David Reinhard is handling the prosecution.
Wausau Man Charged with Drug & Gun Crimes
Trenton McCorkle, 26, Wausau, Wisconsin, is charged with possessing 50 grams or more of methamphetamine with the intent to distribute and with being a felon in possession of a firearm and ammunition. The indictment alleges that on December 14, 2021, he possessed 50 grams or more of methamphetamine for distribution and a loaded .45 caliber handgun and ammunition.
If convicted, McCorkle faces a mandatory minimum penalty of 5 years and a maximum of 40 years in federal prison on the drug charge. The gun charge carries a maximum penalty of 10 years. The charges against him are the result of an investigation by the Wisconsin State Patrol, Rothschild Police Department, Marathon County Sheriff’s Office, Central Wisconsin Narcotics Task Force, Wisconsin Department of Justice Division of Criminal Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Taylor Kraus is handling the prosecution.
La Crosse Man Charged with Illegally Possessing Firearm
Anthony J. James, 38, La Crosse, Wisconsin, is charged with being a felon in possession of a firearm. The indictment alleges that on April 3, 2022, he possessed a .22 caliber handgun.
If convicted, James faces a maximum penalty of 10 years in federal prison. The charge against him is the result of an investigation by the Wisconsin State Patrol and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Robert Anderson is handling the prosecution.
The indictments against Valentine, McCorkle and James are brought as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition, and violent crimes and drug crimes that involve the use of firearms.
Gallia County man pleads guilty to dealing fentanylRead the Press Release
COLUMBUS, Ohio - A 39-year old Bidwell, Ohio man pleaded guilty in U.S. District Court here today to dealing and possessing hundreds of grams of deadly fentanyl on a rural property in southern Ohio.
Michael D. Valentine pleaded guilty to all five counts contained in an indictment returned against him in April following a six-month investigation by law enforcement agencies in West Virginia and Ohio. Investigators found that he dealt approximately 141 grams of fentanyl from the rural property and had stored approximately 677 grams more for the purpose of distribution.
Valentine pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute 400 grams or more of fentanyl, a crime punishable by at least ten years and up to life in prison. Valentine also entered guilty pleas to two counts of dealing 40 grams or more of fentanyl, crimes that carry a penalty of at least five and up to 40 years in prison, distribution of a detectable amount of fentanyl (up to 20 years) and possession with intent to distribute 400 grams or more of fentanyl (also punishable by at least ten years and up to life in prison). Penalties are listed for reference only.
Valentine entered the guilty pleas before U.S. Magistrate Judge Norah McCann King. Senior U.S. District Judge Michael Watson, who is presiding over the case, will determine Valentine’s sentence under federal sentencing guidelines.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio, and J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division said that the charges stemmed from an investigation begun by the Metropolitan Drug Enforcement Network Team (MDENT) in Charleston, West Virginia who worked with the FBI and Gallia County Sheriff Matt Champlin to build the case. Assistant United States Attorney Nicole Pakiz is representing the United States in this case.
This investigation was conducted as part of an Organized Crime Drug Enforcement Task Forces (OCDETF) initiative. OCDETF identifies, disrupts, and dismantles criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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Fraudster Resentenced to More Than 10 Years in Federal Prison for Stealing the Identities of Hundreds of Victims to Fraudulently Obtain More Than $2.2 Million in Tax RefundsRead the Press Release
Baltimore, Maryland – Yesterday, U.S. District Judge Catherine C. Blake sentenced Toyosi Alatishe, a/k/a Felix Victor Johnson, age 51, of Columbia, Maryland, to 126 months in federal prison, for conspiracy to commit credit/debit card fraud, wire fraud, and for aggravated identity theft, in connection with two separate schemes from 2012-2015 to obtain fraudulent tax refunds. Judge Blake also required Alatishe to serve a period of supervised release following his release from prison and pay restitution in the amount of $2,287,959.67. A federal jury convicted Alatishe on all 16 counts charged in the indictment on January 24, 2019.
The Court had previously sentenced Alatishe in 2019, and re-sentenced him yesterday after he appealed his conviction and sentence to the U.S. Court of Appeals For The Fourth Circuit, which remanded the case for a new sentencing. At the resentencing, Judge Blake only reduced Alatishe’s 2019 sentence by six months, based on the harsher conditions of confinement caused by the COVID-19 pandemic, and rejected Alatishe’s request for a time-served sentence.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Darrell Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Special Agent in Charge Christopher Dillard of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service, Mid-Atlantic Field Office; Acting Postal Inspector in Charge Tira Hayward of the U.S. Postal Inspection Service - Washington Division; and Chief Gregory Der of the Howard County Police Department.
According to the evidence presented at Alatishe’s six-day trial, in the first scheme, which occurred from 2012 to 2013, Alatishe misused his position as a caretaker for residents of a group home for individuals suffering from severe mental and physical disabilities, by using their personal information to file fraudulent tax returns with the IRS and the State of Maryland. Alatishe also obtained access to the personal identifying information of other mentally disabled Maryland victims, who lived at group homes run by a company where Alatishe’s ex-wife worked, as well as eight other victim taxpayers from across the United States. Alatishe filed the fraudulent tax returns through an online tax filing company and had the tax refunds deposited into bank accounts he controlled, including an account opened using a fraudulent Nigerian passport in the name of Felix Victor Johnson. The fraudulent tax returns contained false information concerning the taxpayers, including their marital status, spouses, dependents, employers, wages, withholdings, tax due and owing, and refund amounts. This resulted in Alatishe receiving fraudulently obtained tax refunds of more than $30,000 in March and April 2013, which the IRS direct deposited into the Felix Victor Johnson bank account.
In the second scheme, a conspirator in Florida used the identifying information of a Florida accountant to fraudulently purchase debit cards from First View Financial, purportedly so that customers of the accountant could have their tax refunds transferred directly from the IRS to the cards. The co-conspirator asked First View to mail 2,000 prepaid debit cards to him at an address in Tampa, Florida, which was actually the address of Regus Management Group, LLC, a company that provided virtual office services to businesses. Still posing as the accountant, the co-conspirator contracted with Regus for mail forwarding. Specifically, the evidence proved that all mail received by Regus in the victim accountant’s name was forwarded to Alatishe’s address in Columbia, Maryland. Trial evidence showed that during January and February 2015, First View sent out the debit cards in five different shipments, which Regus then forwarded to Alatishe’s address.
Further, the government presented evidence proving that in 2015, the personal identifying information of more than 300 individuals from across the United States was used without their permission and knowledge to file false tax returns with the IRS in order to obtain refunds. More than 300 of the First View debit cards were activated and loaded with IRS tax refund money from the fraudulently filed tax returns. The total value of the IRS funds loaded onto the cards was more than $2.2 million. During February and March 2015, Alatishe and his co-conspirator withdrew more than $1 million through ATM and point-of-sale transactions, including the purchase of $40,000 in money orders.
Further, between March 6 and March 15, 2015, Alatishe was captured on security video repeatedly using ATMs at a specific financial institution in Columbia, Maryland. As detailed in the trial testimony, withdrawals occurred in short periods of time with many different cards from First View, in approximate withdrawal amounts of $300. The large number of transactions and high dollar value resulted in the ATMs running out of money. The financial institution conducted an investigation and notified law enforcement and First View, resulting in First View and other financial institutions freezing the remaining funds on the First View debit cards on about March 17, 2015.
According to trial testimony, a federal search warrant was executed at Alatishe’s residence in June 2016. Law enforcement recovered electronic evidence, including evidence as to Alatishe’s involvement in both fraudulent tax refund schemes. Agents also seized physical evidence, including numerous handwritten lists containing the personal identifying information of identity theft victims. Some of these handwritten documents were identified by Alatishe as his handwriting and the information on the handwritten sheets matched even more extensive lists of personal identifying information from his computer. In 2013, Alatishe had been the subject of an investigation and search warrant by the Howard County Police Department, which led to the seizure of important evidence used during the federal trial of the two schemes.
United States Attorney Erek L. Barron praised the IRS-CI, DCIS, U.S. Postal Inspection Service, and Howard County Police Department for its work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Harry M. Gruber and Dana J. Brusca, who prosecuted the case and handled the appeal and Paralegal Joanna B.N. Huber, who assisted with the prosecution.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community and to report fraud, please visit www.justice.gov/usao/md and https://www.justice.gov/usao-md/report-fraud.
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Four Time Convicted Felon Going to Prison for Gun PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Roosevelt E. Collins, III, 40, of Rochester, NY, who was convicted of being a felon in possession of a firearm and ammunition, was sentenced to serve 18 months in prison by U.S. District Judge Charles J. Siragusa.
Assistant U.S. Attorney Cassie Kocher, who handled the case, stated that Collins was previously convicted on felony charges in 2001, 2005, 2010, and 2015, in Monroe County Court, and is legally prohibited from possessing a firearm. On July 26, 2021, members of the U.S. Marshals Task Force were surveilling Collins, who was wanted in connection with an alleged shooting incident on July 2, 2021. Officers took Collins into custody while he was sitting in a vehicle parked in a driveway on Magee Avenue. During the arrest, officers observed a loaded 9mm semiautomatic pistol in plain view on the floor of the front passenger seat. Collins also had a magazine loaded with 12 additional rounds of ammunition on his person.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief David Smith, the U.S. Marshals Service, under the direction of Marshal Charles Salina, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
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Former Santa Rosa County Deputy Sheriff Pleads Guilty to Federal and State ChargesRead the Press Release
PENSACOLA, FLORIDA – Scott P. Haines, 50, of Milton, Florida, pled guilty to multiple federal and state felony charges this week, announced Jason R. Coody, United States Attorney for the Northern District of Florida. Haines entered his guilty pleas in federal court and state court separately. In federal court, Haines pled guilty to making material false statements to the Federal Bureau of Investigation during the course of its investigation. In state court, Haines pled guilty to the unauthorized access or use of a computer system or network in relation to law enforcement systems.
During his plea in federal court, Haines admitted that he became personally involved in the real property management and finances of an elderly woman in Santa Rosa County and deposited rental payments from tenants of the elderly woman into his own bank account without authority to do so. When confronted by the Federal Bureau of Investigation and the Florida Department of Law Enforcement, Haines made material false statements regarding his involvement with the rental properties, the depositing of rental payments into his personal account, and his knowledge and involvement with the Last Will and Testament of the elderly woman of which he became a beneficiary.
During his plea in state court, Haines admitted to his personal misuse of the National Crime Information Center database utilized by law enforcement officers and analysts for official purposes.
Sentencing is currently set for October 17, 2022, at 9:00 a.m., at the United States Courthouse in Pensacola before the Honorable United States District Judge M. Casey Rodgers. Haines faces up to five years’ federal imprisonment and a $250,000 fine. He will also pay over $45,000 in investigative and prosecutive costs and relinquish his criminal justice certifications pursuant to the state prosecution.
The case was investigated by the Federal Bureau of Investigation and the Florida Department of Law Enforcement. The cases are being prosecuted by Assistant United States Attorney David L. Goldberg and Assistant Statewide Prosecutor Guillermo L. Vallejo.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.