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7 July 2022
Iowa Man Sentenced for Conspiracy to Distribute MethRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Waterloo, Iowa, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on July 5, 2022, by U.S. District Judge Karen E. Schreier.
Kurtis Jensen, age 43, was sentenced to nine years and six months in federal prison, followed by four years of supervised release, and was ordered to pay a special assessment of $100 to the Federal Crime Victims Fund.
Jensen was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury on April 6, 2021. He pled guilty on April 7, 2022.
Beginning on an unknown date and continuing until April 6, 2021, Jensen reached an agreement or came to an understanding to distribute 50 grams or more of a mixture and substance containing methamphetamine, a Schedule II controlled substance, in the District of South Dakota. During Jensen’s involvement, he purchased approximately four ounces of methamphetamine from a co-conspirator and transported it through South Dakota. On May 17, 2020, he was stopped in a vehicle by a South Dakota Highway Patrol Trooper. The trooper eventually searched the vehicle, found the four ounces of methamphetamine and arrested Jensen. Jensen intended to deliver the methamphetamine in his possession to a co-conspirator in Iowa. At the time of Jensen’s arrest, he had an extensive criminal history and was on parole.
This case was investigated by the Drug Enforcement Administration and the South Dakota Highway Patrol. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Jensen was immediately remanded to the custody of the U.S. Marshals Service.
Howes Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Howes, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on July 5, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Arnold Dean Buck Elk Thunder, Jr., age 55, was sentenced to 16 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Buck Elk Thunder was indicted by a federal grand jury on February 8, 2022. He pled guilty on March 14, 2022.
Buck Elk Thunder was convicted of Sexual Contact with a Child under the age of 16 in May 2001. As a result of this conviction, he is required to register as a sex offender and to update his registration within three business days of relocation or changing employment. Between May 17, 2021, and January 11, 2022, Buck Elk Thunder failed to properly register as a sex offender and update his registration.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Carl Thunem prosecuted the case.
Buck Elk Thunder was immediately remanded to the custody of the U.S. Marshals Service.
Hanover, Maryland Man Who Used a Ghost Gun to Shoot at United States Secret Service Security Guards is Sentenced to 10 Years in Federal PrisonRead the Press Release
Greenbelt, Maryland – On Tuesday, July 5, 2022, U.S. District Judge Paula Xinis sentenced Jeremiah Peter Watson, age 24, of Hanover, Maryland, to 10 years in federal prison, followed by 5 years of supervised release, for assault on a federal officer with a deadly or dangerous weapon and using, carrying, and brandishing a firearm in relation to a violent crime.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Acting Chief of Police Christopher Stock of the U.S. Park Police.
According to his guilty plea, on February 25, 2021, Watson drove to the entrance of a United States Secret Service facility, positioning his vehicle in a manner that blocked the driveway and prevented other drivers from passing through the entrance of the facility. When a security officer (Victim 1) approached Watson to ask him to move his vehicle, Watson became verbally combative and did not move his vehicle.
A second security officer (Victim 2) approached Watson and asked him to move his vehicle and informed him that if he did not move his vehicle, a United States Secret Service agent would arrest him. Watson continued to be combative towards the security. During the confrontation, Watson approached Victim 1 aggressively and lunged at Victim 2, putting his face within inches of Victim 2’s face.
When Watson lunged at Victim 2 and reached into his pocket, Victim 2 was startled and believed that Watson was armed. In response, Victim 2 began to pull out his firearm and Victim 1 sprayed pepper spray at Watson. Watson then retreated into his vehicle and drove away.
Before Watson drove away, the victims noted Watson’s distinctive colored cell phone case and license plate number. As Victim 1, Victim 2, another security guard (Victim 3) and a United States Secret Service agent (Victim 4), began to re-enter the facility building, the victims saw Watson’s vehicle return and saw a flash of a gunshot coming out of the driver-side window towards them. Watson did another U-turn and fired at least four additional shots before he drove away.
As stated in his guilty plea, United State Park Police officers responded to the scene where law enforcement recovered three 9mm ammunition shell casings and located a bullet fragment within a wall. Through the review of information associated with Watson’s license plate registration, law enforcement linked the vehicle to Watson’s Hanover, Maryland address and identified the vehicle at Watson’s residence later that night.
On February 26, 2021, law enforcement executed search warrants at Watson’s residence and recovered Watson’s cell phone, 9mm ammunition, two empty 9mm cartridge cases, and a privately made 9mm handgun without a serial number, also known as a “ghost gun”. Forensic examination concluded that the cartridge cases recovered from Watson’s vehicle had been fired from the recovered ghost gun and that the bullet fragment recovered from the scene was consistent with having been fired from the same ghost gun.
All four victims were acting in the course of their duties as federal officers or employees when Watson discharged his firearm at them.
United States Attorney Erek L. Barron commended the ATF and the U.S. Park Police for their work in the investigation and thanked the Federal Bureau of Investigation, and the United States Secret Service for their assistance. Mr. Barron thanked Assistant U.S. Attorney Elizabeth Wright, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/community-outreach.
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Hampton Man Sentenced for COVID-19 Loan Fraud While in BOP Halfway HouseRead the Press Release
NEWPORT NEWS, Va. – A Hampton man was sentenced today to 27 months in prison for falsely applying for loans intended to grant COVID-19 relief to small businesses.
According to court documents, in August 2020 and January and February 2021, Marlon McKnight, 44, falsely applied for four loans administered by the Small Business Administration. He applied for three Economic Injury Disaster Loans and one Paycheck Protection Program loan using false information, including false business names, income, and employee information, as well as a false tax return. McKnight sought over $100,000 in loans and obtained approximately $35,000. McKnight used the $35,000 obtained to pay his personal expenses, contrary to the purposes for these loans. McKnight submitted certain false applications from a halfway house and others after just being released from the Bureau of Prisons.
McKnight had been incarcerated because this instance of fraud came directly on the heels of a previous federal fraud scheme wherein McKnight, his wife, and several others victimized banks and stole individual identities. McKnight had been sentenced to 30 months for that scheme and ordered to pay nearly $100,000 in restitution. In addition to the 27-month sentence, McKnight was sentenced to an additional four months of consecutive incarceration for his violation of supervised release from his prior case.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office; and Tira Hayward, Acting Inspector in Charge of the U.S. Postal Inspection Service’s Washington Division, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen.
Assistant U.S. Attorney Brian Samuels prosecuted the case.
This case was investigated under the leadership and coordination of the Newport News Financial Crimes Task Force.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:21-cr-71.
Haitian Gang Member Charged with Hostage Taking for Kidnapping of 16 U.S. Missionaries in Fall 2021Read the Press Release
WASHINGTON – A criminal complaint was unsealed today charging Jean Pelice, a Haitian national, also known as “Zo,” with hostage taking for his role in the armed kidnapping of 16 U.S. citizens in Haiti in the fall of 2021. The victims were Christian missionaries serving in Haiti and most of them were held captive for 61 days before escaping.
Pelice, 27, a member of the 400 Mawozo gang, was transferred into U.S. custody on May 16, 2022, on the basis of an arrest warrant in the matter and has since been detained. He made his initial appearance this afternoon in the U.S. District Court for the District of Columbia.
Matthew M. Graves, U.S. Attorney for the District of Columbia, and John J. Bernardo, Acting Special Agent in Charge of the FBI Miami Field Office, made the announcement today.
The charges brought today are related to the Oct. 16, 2021, kidnapping of 17 Christian missionaries near Port-au-Prince, Haiti. Sixteen of the kidnapping victims were U.S. citizens, including five children, one as young as eight months’ old. According to the complaint, Pelice, along with other 400 Mawozo gang members, used firearms to guard the missionaries during their captivity. 400 Mawozo made ransom demands for the release of the missionaries, and one of the gang’s stated goals in holding the hostages was to secure from the Haitian government release of Joly Germine, a 400 Mawozo leader, from prison. Two of the hostages were released on or about Nov. 18, 2021, and three more were released on or about Dec. 5, 2021. The remaining hostages escaped captivity on or about Dec. 16, 2021.
Germine, 29, also known as “Yonyon,” was indicted in the District of Columbia on May 10, 2022, on a charge of conspiracy to commit hostage taking. He has pleaded not guilty.
Charges in a complaint or indictment are merely allegations, and every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. If convicted of any offense, a defendant’s sentence will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
The case is being investigated by the FBI’s Miami Field Office. The case is being prosecuted by Assistant U.S. Attorney Karen P. Seifert, with assistance from Paralegal Specialist Jorge Casillas, of the U.S. Attorney’s Office for the District of Columbia.
Franklin County Man Sentenced to 300 Months for Production of Child PornographyRead the Press Release
FRANKFORT, Ky.— A Belfry, Ky., man, Edward Leonidas Lewis, 54, was sentenced to 300 months in federal prison on Wednesday, by U.S. District Judge Greg Van Tatenhove, after pleading guilty to producing child pornography.
According to Lewis’ guilty plea, on February 25, 2021, law enforcement found images of child pornography on four different electronic devices in his possession. Lewis then admitted to using “spy cameras,” hidden in bathrooms and bedrooms of his residences, to produce child pornography images of a victim.
Lewis was previously convicted of four counts of Possession of a Matter Portraying a Sexual Performance by a Minor, in Franklin Circuit Court, in May 2013.
Lewis pleaded guilty to the federal charge in March 2022.
Under federal law, Lewis must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for life.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jerry Templet, Special Agent in Charge of Homeland Security Investigations (HSI); and Colonel Phillip Burnett, Jr., Commissioner, Kentucky State Police, jointly announced the sentence.
The investigation was conducted by the HSI and KSP. The United States was represented by Assistant U.S. Attorney David Marye.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the 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.
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Fourth Felon Who Possessed Guns Found During a Search of a House in Waterloo Sentenced to Federal PrisonRead the Press Release
The final person charged after five guns were found during a search in Waterloo, Iowa, was sentenced July 6, 2022, to more than three years in federal prison.
William Rashad Burt, age 28, from Waterloo, Iowa, received the prison term after a February 22, 2022 guilty plea to possession of a firearm by a felon.
Evidence in this case showed that, on July 6, 2021, law enforcement officers searched a residence and located four felons, including Burt, and five firearms. Officers also found evidence of marijuana trafficking. Burt was found with a revolver and $1,272 in cash. While being arrested, Burt told officers that he would obtain more guns and threatened them. Burt was previously convicted of the felony offense of possession of marijuana with the intent to distribute.
Burt’s co-defendants were sentenced on June 10, 2022. Qunshaundes Davion McNealy was sentenced to 120 months’ imprisonment. William McNealy III was sentenced to 87 months’ imprisonment. Sahjit Mcyle Phillips was sentenced to 100 months’ imprisonment for possessing firearms and the Court revoked Phillips’ term of supervised release for a 2017 federal conviction and imposed an additional term of 10 months’ imprisonment to run consecutively to the new case for a total of 110 months’ months imprisonment.
Burt was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Burt was sentenced to 42 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.
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.
Burt is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Emily K. Nydle and was investigated by a Federal Task Force composed of the Waterloo Police Department, Federal Bureau of Investigation, and Bureau of Alcohol Tobacco and Firearms assisted by the Black Hawk County Sheriff’s Office and Cedar Falls Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file numbers are 21-cr-2064
Follow us on Twitter @USAO_NDIA.
Fourth Circuit Upholds Multiple Life Sentences for Raleigh Gang Leaders Convicted on RICO charges and Gang-Related MurdersRead the Press Release
RALEIGH, N.C. – A three-judge panel from the Fourth Circuit Court of Appeals has issued a unanimous, published opinion affirming the trial convictions and multiple life sentences for gang leaders who were convicted on charges of racketeering (RICO), drug trafficking, and gang-related murders.
“These gang leaders used gun violence, intimidation, and murder to terrorize parts of Raleigh for nearly two decades” said U.S. Attorney Michael Easley. “The Court’s ruling ensures they will spend the rest of their lives behind bars. We will never stop seeking justice for victims of gun violence and we will ensure sentences reflect the severity of the crime committed.”
Demetrice R. Devine, a/k/a “Respect,” of Garner and Brandon Jowan Magnum, a/k/a “B-Easy,” of Knightdale were convicted in October 2019 for Conspiracy to Participate in a Pattern of Racketeering (RICO conspiracy), two counts of Murder in Aid of Racketeering, two counts of Murder with a Firearm During and in Relation to a crime of Violence, Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances, and Conspiracy to Commit Witness Tampering.
In 2020, Devine was sentenced to four consecutive terms of life imprisonment followed by a term of 240 months imprisonment and 5 years supervised release. Mangum was sentenced to three consecutive life sentences plus 240 months in prison. Devine and Mangum appealed the sentence on numerous counts, all of which were rejected by the Court.
Demetrice Devine is currently serving his life sentences at the “Supermax” Federal Prison in Colorado, as recommended the Court at the sentencing hearing.
Evidence presented at trial and other public documents established that Devine was the leader of the Gangsta Killer Bloods (GKB), and then created the Black Mob Gangstas (BMG), which became part of the Donald Gee Family (DGF) organization. The BMG/DGF are sets of the “Bloods” gang whose members committed various crimes in the city of Raleigh and especially in the area of Haywood Street.
Mangum was another high-ranking member of BMG/DGF. BMG/DGF members committed acts of violence to maintain membership and discipline, both within the gang and against non-gang members. Members committed acts of violence, including murder, attempted murder, and assaults, in order to maintain their positions within the gang and to be promoted within the leadership structure of the gang.
BMG/DGF also held gang meetings to communicate gang information, to recruit members, issue punishment and collect gang dues from each BMG/DGF member for the benefit of the BMG/DGF organization. A portion of the dues were saved and utilized locally in what was referred to as a “community rent box” (CRB) while another portion was sent up the chain of command to gang leadership in Virginia and New York. BMG/DGF members were permitted to earn their money for dues through various methods, including, but not limited to, robberies, fraud schemes, and drug distribution. The monies were used locally for loans to gang members, for drug purchases, for firearm purchases, for gifts, and cellular telephones for high-ranking members who were in jail. Devine ordered that individuals selling narcotics in and around Haywood Street who were not BMG/DGF members were also required to pay gang dues in order to continue their drug sales in territory controlled by BMG/DGF. Individuals who did not pay gang dues risked being robbed, assaulted, or murdered.
In his leadership position, Devine directed members of his gang to shoot a 16-year-old rival gang member, Adarius Fowler, who died from gunshot wounds. He also ordered a gang member to shoot a person who provided information to law enforcement regarding the murder of Fowler. While this person was recovering from those gunshot injuries in the hospital, Devine ordered that the person be killed.
Devine presided over a “beat-in” gang initiation of a BMG/DGF gang member and personally assaulted another gang member whose loyalty he questioned. Devine conspired with other gang members to silence and threaten gang members that had been provided subpoenas to testify in a federal proceeding.
Mangum, along with other gang members, conspired to shoot an 18-year-old rival gang member, Rodriguez Burrell, because he refused to pay money to BMG/DGF. Burrell was shot multiple times in the presence of his father and died of his wounds.
In affirming the convictions and sentences, the Fourth Circuit Court of Appeals concluded that “Devine’s desire for ‘respect’ at all costs led to the murder of Adarius Fowler, while the Gangstas’ insatiable desire for ‘money’ led to the execution of Rodriguez Burrell. This collective malevolence . . . led to a neighborhood where so many deserved so much better and where respect for the old and opportunities for the young existed no longer.”
Devine and Mangum both sold drugs on behalf of BMG/ DGF. Specifically, the jury found Devine guilty of conspiracy to distribute and possession with the intent to distribute more than 280 grams of cocaine base (crack), more than 500 grams of cocaine, and a quantity of marijuana. Devine frequently provided drugs to lower ranking gang members for further distribution into the community. The jury found Mangum guilty of conspiracy to distribute and possession with the intent to distribute a quantity of cocaine and marijuana.
The prosecution of Devine and Mangum was a part of an Organized Crime and Drug Enforcement Task Force Operation (OCDETF) targeting violent gang members and drug traffickers in Raleigh, North Carolina.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after the Fourth Circuit Court of Appeals issued its opinion. The Federal Bureau of Investigation and the Raleigh Police Department led the investigation with assistance from the North Carolina Department of Public Safety, Wake County Sheriff’s Office, Raleigh/ Wake City-County Bureau of Identification, United States Marshal’s Service, Bureau of Alcohol, Tobacco, Firearms and Explosives, and the North Carolina Office of the Chief Medical Examiner.
Assistant U.S. Attorneys Dena King (now U.S. Attorney for the Western District of North Carolina) and Scott Lemmon (now Deputy Criminal Chief for the Organized Crime and Drug Enforcement Task Force, or OCDETF, section of the U.S. Attorney’s Office for the Eastern District of North Carolina) prosecuted this case with Christina Taylor with the U.S. Department of Justice Criminal Division’s Organized Crime and Gang Section.
Assistant U.S. Attorney Kristine Fritz defended the case before the Appellate Court.
A copy of this press release is located on our website. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:16-cr-00012-D.
Court documents for the appellate cases can be found on the Fourth Circuit Court of Appeals PACER website by searching for Case Nos. 20-4280 and 20-4327.
Four individuals, including owners of a freight forwarding company, charged for exporting 600 stolen outboard engines to MexicoRead the Press Release
Miami, Florida – Four Florida residents -- Carlos Orlando Ledesma, 56, Nadia Esperanza Ledesma, 45, and Roberto Marrero-Cisneros, 65 (all from Miami), and Osmani Valdivia Perez, 55 (from Lehigh Acres), were arrested and have made their initial appearances in federal court to face charges in the Southern District of Florida that they exported around 600 stolen outboard engines to Mexico through a Miami-based freight forwarding company.
Nadia Ledesma is the President of a freight forwarding company in Miami, and Carlos Ledesma is the warehouse manager. According to allegations in the indictment, from 2015 to 2018, Carlos and Nadia Ledesma received stolen outboard engines from Valdivia and others for export to Mexico. Valdivia paid cash for the exportation of the stolen outboard engines he delivered to the freight company himself, as well as for the exportation of stolen outboard engines delivered by others. Marrero-Cisneros created false serial number stickers to be placed on the stolen outboard engines. Nadia and Carlos Ledesma and their co-conspirators caused false bills of sale to be created, and false export information to be submitted to the United States, it is alleged.
The indictment charges Carlos Ledesma, Nadia Ledesma, Valdivia, and Marrero-Cisneros with conspiring to export stolen outboard engines and to smuggle goods from the United States. In addition, it charges: Carlos Ledesma and Nadia Ledesma with four counts of exporting stolen outboard engines, one count of attempting to export stolen outboard engines, and four counts of smuggling goods from the United States; Valdivia with two counts of exporting stolen outboard engines and two counts of smuggling goods from the United States; and Marrero-Cisneros with one count of exporting stolen outboard engines and one count of smuggling goods from the United States.
Juan Antonio Gonzalez, United States Attorney for the Southern District of Florida, Anthony Salisbury, Special Agent in Charge, Homeland Security Investigations (HSI), Miami Field Office, and Special Agent in Charge, Zinnia P. James, Coast Guard Investigative Service (CGIS) Southeast Region, made the announcement.
This case is being investigated by HSI and CGIS, with assistance from Customs and Border Protection (CBP) and the Florida Department of Law Enforcement (FDLE). The case is being prosecuted by Assistant U.S. Attorney Ana Maria Martinez of the Southern District of Florida. Asset forfeiture is being handled by Assistant U.S. Attorney Daren Grove.
An indictment and criminal complaint are charging instruments containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fla.
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 on http://pacer.flsd.uscourts.gov, under case number 22-cr-20269.
Former St. Croix Casino General Manager Sentenced to 18 Months for Tax FraudRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Leva Oustigoff Jr., 60, Cumberland, Wisconsin was sentenced today by U.S. District Judge William M. Conley to 18 months in federal prison for making false statements on his taxes. Oustigoff pleaded guilty to this charge on March 29, 2022.
Between 2015 and 2018, Oustigoff filed false tax returns by failing to report over $130,000 in income derived from money he embezzled from the St. Croix Turtle Lake Casino, operated by the St. Croix Chippewa Indians of Wisconsin. Oustigoff, a tribal member, was general manager of the St. Croix casinos during this time. He used the money for various personal expenses, including remodeling and construction on his personal residence. The unreported income amounted to a tax loss of just over $40,000.
In sentencing Oustigoff to prison, Judge Conley wanted to send a message to the Tribe that the Court took seriously that its leaders cavalierly took money from the Tribe to line their own pockets instead of helping the larger community. The Court observed that Oustigoff was a trusted steward who took advantage of his position. Finally, Judge Conley cautioned that while this may have been the “way of doing business,” it is unhealthy and cynical, and must stop. During his sentencing, Oustigoff told the Court that he convinced himself that using the money for home improvements was legitimate, but that he knew deep down it was not.
The charge against Oustigoff was the result of an investigation conducted by the Federal Bureau of Investigation, Department of Housing and Urban Development Office of Inspector General, and IRS Criminal Investigation, with the cooperation of the St. Croix Tribe.
Former Postal Employee Sentenced for Unlawfully Opening the MailRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that TYRONE DILLING, age 27, of New Orleans, Louisiana was sentenced today by the Honorable Barry W. Ashe, District Court Judge, Eastern District of Louisiana, to a two-year term of probation after pleading guilty to unlawfully opening the mail he was entrusted to deliver. The Court ordered DILLING to pay a mandatory special assessment fee of one hundred dollars.
According to documents filed in federal court, TYRONE DILLING was employed by the United States Postal Service as a letter carrier in New Orleans when he was apprehended opening and tampering with the content of mail items he was entrusted to handle for the Postal Service.
U.S. Attorney Evans praised the work of the United States Postal Service, Office of the Inspector General in investigating this matter. Assistant United States Attorney Richard R. Pickens, II is in charge of the prosecution.
Former Minneapolis Police Officer Derek Chauvin Sentenced to More Than 20 Years in Prison for Depriving George Floyd and a Minor Victim of their Constitutional RightsRead the Press Release
The Justice Department announced today that former Minneapolis Police Officer Derek Chauvin, 46, was sentenced to serve 252 months in prison with credit for time served for depriving George Floyd Jr. and a then-14-year-old child of their constitutional rights.
On Dec. 15, 2021, Chauvin pleaded guilty in federal court to violating a federal criminal civil rights statute on two separate occasions. First, Chauvin pleaded guilty to willfully depriving Mr. Floyd of his constitutional right to be free from the use of unreasonable force by a police officer, resulting in Mr. Floyd’s bodily injury and death. In the plea documents, Chauvin agreed that the sentencing for this crime should be based on the sentence for second-degree murder because he acted willfully and in callous and wanton disregard of the consequences to Mr. Floyd’s life.
Chauvin also pleaded guilty to willfully depriving a then-14-year-old child of his constitutional right to be free from the use of unreasonable force by a police officer, resulting in the child’s bodily injury.
“In no uncertain terms, George Floyd should be alive today,” said Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division. “Defendant Chauvin’s use of excessive force and his failure to provide medical care resulted in Mr. Floyd’s senseless murder. Chauvin’s unlawful actions in a separate incident also resulted in injury to a 14-year-old child. This sentence should send a strong message that the Justice Department stands ready to prosecute law enforcement officers who use deadly force without basis. While no amount of prison time can reverse the tragic consequences of Derek Chauvin’s violent actions, we hope that this sentence provides some small measure of justice for the families and communities impacted.”
“Derek Chauvin abandoned his sworn oath to uphold the sanctity of life when he callously took George Floyd’s life and when he violently assaulted a 14-year-old child,” said U.S. Attorney Andrew M. Luger for the District of Minnesota. “Chauvin’s actions constituted a grave abuse of police authority and a clear violation of these individuals’ civil rights. To the victims, their families, and to the broader community: although the harm that Chauvin caused will never be erased, today’s sentence of more than 20 years in prison represents a measure of justice and accountability.”
In the plea agreement, Chauvin admitted that on May 25, 2020, he willfully violated Mr. Floyd’s constitutional right to be free from an officer’s use of unreasonable force. Specifically, Chauvin admitted that he held his left knee across Mr. Floyd’s neck, back and shoulder and his right knee on Mr. Floyd’s back and arm. The plea agreement stated that Mr. Floyd remained restrained, prone and handcuffed on the ground for approximately 10 minutes. Chauvin further admitted that he continued to use force even though he was aware that Mr. Floyd had stopped resisting, talking and moving, and even though he was aware that Mr. Floyd had lost consciousness and a pulse. Chauvin admitted that Minneapolis Police Department (MPD) policy and training requires officers to stop using force when a subject is not resisting and to move an arrestee from the prone position into a side recovery or seated position because the prone position may make it more difficult to breathe. Chauvin admitted that his willful use of unreasonable force resulted in Mr. Floyd’s bodily injury and death because his actions impaired Mr. Floyd’s ability to obtain and maintain sufficient oxygen to sustain Mr. Floyd’s life.
In the plea agreement, Chauvin also admitted that he willfully violated Mr. Floyd’s constitutional right not to be deprived of liberty without due process of law, which includes an arrestee’s right to be free from a police officer’s deliberate indifference to his serious medical needs. Specifically, Chauvin admitted that he failed to render medical aid to Mr. Floyd, although he saw that Mr. Floyd was lying on the ground, in serious medical need, and although he was aware that MPD policy required him to provide emergency medical aid, including CPR, to an arrestee who needs it. Chauvin admitted that his failure to render medical aid resulted in Mr. Floyd’s bodily injury and death.
Additionally, according to the plea agreement, Chauvin admitted that on Sept. 4, 2017, he willfully violated the then-14-year-old child’s constitutional right to be free from an officer’s use of unreasonable force. Specifically, Chauvin admitted that he held the child by the throat and struck the child multiple times in the head with a flashlight, resulting in the child’s bodily injury. In the plea agreement, Chauvin also admitted that he held his knee on the child’s neck, shoulders and upper back for between 15 and 16 minutes, even though the child was face-down on the floor, handcuffed and not resisting. Chauvin admitted that these actions resulted in the child’s bodily injury.
On Feb. 24, 2022, following a more than month-long trial, a federal jury convicted three other officers — former Minneapolis Police Officers Tou Thao, J. Alexander Kueng, and Thomas Kiernan Lane — of violating the same criminal civil rights statute. The jury found that Thao and Kueng both willfully deprived Mr. Floyd of his constitutional rights when they failed to intervene in Chauvin’s excessive force. The jury also found that Thao, Kueng and Lane willfully deprived Mr. Floyd of his right to be free from a police officer’s deliberate indifference to his serious medical needs, by seeing Mr. Floyd in clear need of medical care and willfully failing to aid him. The jury found that Thao, Kueng and Lane’s offenses resulted in Mr. Floyd’s bodily injury and death. Thao, Kueng and Lane will be sentenced separately at a future hearing.
This case was investigated by the FBI and the Minnesota Bureau of Criminal Apprehension. It was prosecuted by Special Litigation Counsel Samantha Trepel and Trial Attorney Tara Allison of the Civil Rights Division, and Assistant U.S. Attorneys Samantha Bates, LeeAnn Bell, Evan Gilead, Manda Sertich and Allen Slaughter for the District of Minnesota.
Former Minneapolis Police Officer Derek Chauvin Sentenced to More Than 20 Years in Prison for Depriving George Floyd and a Minor Victim of Their Constitutional RightsRead the Press Release
ST. PAUL, Minn. – The Justice Department announced today that former Minneapolis Police Officer Derek Chauvin, 46, was sentenced today to serve 252 months in prison, with credit for time served, for depriving George Floyd, Jr. and a then-14-year-old child of their constitutional rights.
On Dec. 15, 2021, Chauvin pleaded guilty in federal court to two violations of a federal criminal civil rights statute. First, Chauvin pleaded guilty to willfully depriving George Floyd of his constitutional right to be free from the use of unreasonable force by a police officer, resulting in Mr. Floyd’s bodily injury and death. In the plea documents, Chauvin agreed that the sentencing for this crime should be based on the sentence for second-degree murder because he acted willfully and in callous and wanton disregard of the consequences to Mr. Floyd’s life.
Chauvin also pleaded guilty to willfully depriving the then-14-year-old child of his constitutional right to be free from the use of unreasonable force by a police officer, resulting in the child’s bodily injury.
“In no uncertain terms, George Floyd should be alive today,” said Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division. “Defendant Chauvin’s use of excessive force and his failure to provide medical care resulted in Mr. Floyd’s senseless murder. Chauvin’s unlawful actions in a separate incident also resulted in injury to a 14-year-old child. This sentence should send a strong message that the Justice Department stands ready to prosecute law enforcement officers who use deadly force without basis. While no amount of prison time can reverse the tragic consequences of Derek Chauvin’s violent actions, we hope that this sentence provides some small measure of justice for the families and communities impacted.”
“Derek Chauvin abandoned his sworn oath to uphold the sanctity of life when he callously took George Floyd’s life and when he violently assaulted a 14-year-old child. Chauvin’s actions constituted a grave abuse of police authority and a clear violation of these individuals’ civil rights,” said U.S. Attorney Andrew M. Luger. “To the victims, their families, and to the broader community: although the harm that Chauvin caused will never be erased, today’s sentence of more than 20 years in prison represents a measure of justice and accountability.”
In the plea agreement, Chauvin admitted that on May 25, 2020, he willfully violated Mr. Floyd’s constitutional right to be free from an officer’s use of unreasonable force. Specifically, Chauvin admitted that he held his left knee across Mr. Floyd’s neck, back, and shoulder and his right knee on Mr. Floyd’s back and arm. The plea agreement stated that Mr. Floyd remained restrained prone and handcuffed on the ground for approximately 10 minutes. Chauvin further admitted that he continued to use force even though he was aware that Mr. Floyd had stopped resisting, talking, and moving, and even though he was aware that Mr. Floyd had lost consciousness and a pulse. Chauvin admitted that Minneapolis Police Department (MPD) policy and training requires officers to stop using force when a subject is not resisting and to move an arrestee from the prone position into a side recovery or seated position because the prone position may make it more difficult to breathe. Chauvin admitted that his willful use of unreasonable force resulted in Mr. Floyd’s bodily injury and death because his actions impaired Mr. Floyd’s ability to obtain and maintain sufficient oxygen to sustain Mr. Floyd’s life.
In the plea agreement, Chauvin also admitted that he willfully violated Mr. Floyd’s constitutional right not to be deprived of liberty without due process of law, which includes an arrestee’s right to be free from a police officer’s deliberate indifference to his serious medical needs. Specifically, Chauvin admitted that he failed to render medical aid to Mr. Floyd, although he saw that Mr. Floyd was lying on the ground, in serious medical need, and although he was aware that MPD policy required him to provide emergency medical aid, including CPR, to an arrestee who needs it. Chauvin admitted that his failure to render medical aid resulted in Mr. Floyd’s bodily injury and death.
Additionally, according to the plea agreement, Chauvin admitted that on Sept. 4, 2017, he willfully violated the then-14-year-old child’s constitutional right to be free from an officer’s use of unreasonable force. Specifically, Chauvin admitted that he held the child by the throat and struck the child multiple times in the head with a flashlight, resulting in the child’s bodily injury. In the plea agreement, Chauvin also admitted that he held his knee on the child’s neck, shoulders, and upper back for between 15 and 16 minutes, even though the child was face-down on the floor, handcuffed, and not resisting. Chauvin admitted that these actions resulted in the child’s bodily injury.
On Feb. 24, 2022, following a more than month-long trial, a federal jury convicted three other officers—former Minneapolis Police Officers Tou Thao, J. Alexander Kueng, and Thomas Kiernan Lane—of violating the same criminal civil rights statute. The jury found that Thao and Kueng both willfully deprived George Floyd of his constitutional rights when they failed to intervene in Chauvin’s excessive force. The jury also found that Thao, Kueng, and Lane willfully deprived Mr. Floyd of his right to be free from a police officer’s deliberate indifference to his serious medical needs, by seeing Mr. Floyd in clear need of medical care and willfully failing to aid him. The jury found that Thao, Kueng, and Lane’s offenses resulted in Mr. Floyd’s bodily injury and death. Thao, Kueng, and Lane will be sentenced separately at a future hearing.
This case was investigated by the FBI and the Minnesota Bureau of Criminal Apprehension. It was prosecuted by Special Litigation Counsel Samantha Trepel and Trial Attorney Tara Allison of the Civil Rights Division, and Assistant U.S. Attorneys Samantha Bates, LeeAnn Bell, Evan Gilead, Manda Sertich and Allen Slaughter of the U.S. Attorney’s Office for the District of Minnesota.
Former Mayor of Guayama, Puerto Rico Sentenced for Accepting BribesRead the Press Release
SAN JUAN, Puerto Rico – The former mayor of the Municipality of Guayama, Puerto Rico, Eduardo Cintrón-Suárez, was sentenced today to 30 months in prison for his involvement in a bribery scheme in which he received cash payments in exchange for executing municipal contracts and approving invoice payments for an asphalt and paving company.
Eduardo Cintrón-Suárez, 54, pleaded guilty in April 2022 to one count of conspiracy to engage in a bribery scheme. According to court documents and statements made in connection with his plea and sentencing, Eduardo Cintrón-Suárez, was the mayor and highest-ranking government official in the municipality of Guayama from 2013 until 2022. Starting in 2013, Cintrón-Suárez executed asphalt and paving contracts and also approved municipal payments to Company A. In exchange, Cintrón-Suárez agreed to receive a kickback payment corresponding to $1.00 per square meter of new asphalt laid by Company A in the municipality of Guayama under the contracts. This kickback scheme continued until approximately February 2021. In addition to the term of imprisonment, the defendant forfeited $114,000 in cash and was sentenced to three years of supervised release.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and Special Agent in Charge Joseph Gonzalez of the FBI San Juan Field Office made the announcement.
The FBI San Juan Field Office investigated the case.
Trial Attorney Nicholas W. Cannon of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Seth A. Erbe for the District of Puerto Rico are prosecuting the case.
This case is part of the Justice Department’s ongoing efforts to combat public corruption by municipal officials in Puerto Rico. In addition to the above matters, the Public Integrity Section and the U.S. Attorney’s Office for the District of Puerto Rico have recently obtained convictions against other former public officials and contractors in the District of Puerto Rico for soliciting and accepting bribes related to municipal contracts. See United States v. Pedro Marrero-Miranda, 22-251(RAM); United States v. Ramon Conde-Melendez, 22-221 (PAD); United States v. Eduardo Cintrón-Suárez, 22-151 (SCC); United States v. Luis Arroyo-Chiqués, 21-485 (SCC); United States v. Félix Delgado-Montalvo, 21-463 (RAM); United States v. Oscar Santamaria-Torres, 21-464 (RAM); and United States v. Raymond Rodríguez, 21-465 (RAM).
Additionally, the department recently obtained indictments charging several former officials and contractors with bribery related to municipal contracts, and those cases are still pending. See United States v. Mario Villegas-Vargas, 21-468 (FAB); United States v. Ángel Pérez-Otero, 21-474 (ADC); United States v. Radamés Benítez-Cardona, 21-475 (PAD); United States v. Javier García-Pérez, 22-185 (ADC); and United States v. Reinaldo Vargas-Rodríguez, 22-186 (PAD).
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Former Maine Woman Sentenced to 48 Months for Stealing over $500,000 from New Hampshire CompanyRead the Press Release
CONCORD - Jessica Pechtel, 35, now of Andover, Massachusetts and formerly of Springvale, Maine, was sentenced to 48 months in federal prison today for embezzling over a half million dollars, United States Attorney Jane E. Young announced.
According to court documents and statements made in court, Pechtel was the office manager for a company in Somersworth, New Hampshire. In that role, she had full access to the company’s finances, including its accounting records, bank accounts, and company credit card.
Pechtel used her access to the company’s finances to make unauthorized purchases and transfers of funds to accounts that she controlled. Pechtel engaged in a multifaceted scheme for at least a year and a half to steal the funds. First, she transferred funds from the company’s bank accounts to her own accounts. Additionally, she used the company’s credit card to make unauthorized purchases from retailers such as Amazon or make payments via the online payment transfer system Venmo. Pechtel also drafted 17 unauthorized checks payable to herself that were drawn on the company’s bank account. And lastly, she stole almost $44,000 in COVID-19 relief funds that were intended for the company.
Pechtel also took steps to conceal her embezzlement. For example, she created and controlled a PayPal account in the name of one of her coworkers to transfer funds. Additionally, she manipulated the company’s accounting records to make her fraudulent transfers appear like payments to legitimate vendors.
Overall, Pechtel fraudulently obtained at least $587,219 from her employer. Those funds were used for various personal expenses such as Amazon purchases and the purchase of a boat.
Pechtel previously pleaded guilty to one count of Wire Fraud, in violation of 18 U.S.C. §1343, on March 23, 2022.
“The defendant brazenly stole from her trusted employer’s funds, including COVID-19 relief funds the company received to help it through the pandemic,” said U.S. Attorney Young. “In a sophisticated effort to cover her crimes, she manipulated the company’s record keeping. The repeated cunning that the defendant employed allowed her to steal more than a half-million dollars. Those convicted of violating the trust of others for personal profit will not be tolerated and will be prosecuted to the fullest extent of the law.”
“The U.S. Secret Service is committed to investigating complex fraud schemes that significantly damage the financial stability of small business owners in New Hampshire,” stated Timothy Benitez, Resident Agent in Charge of the U.S. Secret Service. “The outcome is a direct result of the coordination between local law enforcement participating on the Secret Service New England Cyber Fraud Task Force.”
This matter was investigated by the United States Secret Service, the Somersworth Police Department and the Nashua Police Department. The case is being prosecuted by Assistant U.S. Attorney Matthew Hunter and Special Assistant U.S. Attorney Alexander S. Chen.
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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.
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Former DPS Employee Sentenced for Bribery and Fraud in CDL SchemeRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced yesterday to 24 months in prison for his role in a commercial driver’s license bribery and fraud scheme.
According to court documents, from January 2017 until June 2019, Alonzo Blackman, 68, was an employee of the Texas Department of Public Safety (DPS) and oversaw the issuance of commercial driver licenses (CDLs). A CDL permits the holder to drive and operate large commercial vehicles and buses. To be eligible for a CDL, an applicant must pass a written exam and a skills test. Investigation revealed Blackman did not administer the skills test to applicants but passed them as if the test had been conducted.
Blackman issued 215 fraudulent CDLs and was paid approximately $1,000 per CDL. Bribes were paid to Blackman by two co-defendants, Fernando Guardado Vazquez, 43, of San Antonio, and Marino Maury Diaz-Leon, 55, a Cuban national living in San Antonio. Of the 215 fraudulent CDLs, 197 went to Cuban nationals; 11 to U.S. citizens; one to a Dominican Republic national; one to an Ethiopian national; one to an Iraqi national; one to a Puerto Rican national; one to a Ukrainian national; and two to Mexican nationals.
On February 13, 2020, Blackman pleaded guilty to one count of conspiracy to commit mail and honest services fraud. In addition to the prison sentence, Blackman was ordered to pay a $215,000 money judgment.
Codefendant Diaz-Leon also was sentenced today to 12 months and 1 day in prison. On May 26, 2021, Diaz-Leon pleaded guilty to one count of conspiracy to commit mail and honest services fraud.
Codefendant Vazquez is scheduled to be sentenced on August 10, 2022. On May 9, 2022, Vazquez pleaded guilty to one count of conspiracy to commit mail fraud and honest services fraud.
“This case represents an appalling breach of public trust and safety,” said U.S. Attorney Ashley C. Hoff. “Our office will continue to work with the FBI and our other law enforcement partners to hold corrupt officials and those who conspire with them accountable for their criminal actions.”
“The FBI is committed to working with our partners to hold public officials accountable to the trust bestowed upon them by the citizens we serve,” said FBI Special Agent in Charge Oliver E. Rich Jr. “We will continue to aggressively investigate allegations of public corruption and would like to thank our partners for their strong partnership and unrelenting pursuit of justice.”
The FBI and the Texas Rangers with the Texas Department of Public Safety investigated the case.
Assistant U.S. Attorneys Joseph E. Blackwell and William R. Harris prosecuted the case.
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Former Contracting Officer for the Department of Defense to Plead Guilty in Conspiracy to Defraud the GovernmentRead the Press Release
BOSTON – An Uxbridge man has agreed to plead guilty to his role in a conspiracy to defraud the government of thousands of dollars from 2014 to 2018.
Thomas Bouchard, 59, of Uxbridge, Mass, has agreed to plead guilty to one count of conspiracy and 10 counts of theft of government funds. A plea hearing has not yet been scheduled by the Court. Bouchard was arrested and charged in July 2020 along with co-defendant Chantelle Boyd.
Bouchard was the Contracting Officer in charge of the U.S. Army Natick Contracting Division, a full-service contracting organization for the Department of Defense. According to the charging documents, in 2014, Bouchard used his long-standing relationship with Evolution Enterprise, Inc., a government contractor, to allegedly have Boyd hired for a “no show” job as an assistant that specifically supported Bouchard. Boyd’s position cost the Department of Defense more than $490,000 during her time at Evolution from 2014 to 2018, during which Boyd allegedly performed little if any useful function.
Bouchard and, allegedly, Boyd took numerous government-funded trips, ranging in duration from two to 15 days, under the guise that they were work related. This included 31 trips to Orlando, Fla., among other locations such as Clearwater Beach, Fla., and Stafford, Va., during which Boyd allegedly performed little if any work. For many of the trips, Bouchard and, allegedly, Boyd stayed in the same hotel room and spent time at the pool and Disney parks – all during business hours. In order to conceal the personal nature of the trips, Bouchard altered, created and approved false travel to reimburse the Boyd for out-of-pocket expenses.
The charge of conspiracy provides a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charges of theft of government funds each provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph Dattoria, Special Agent in Charge of the General Services Administration Office of Inspector General; Patrick Hegarty, Special Agent in Charge of the Defense Criminal Investigative Service; and Michael Connor, Resident Agent in Charge of the Army Criminal Investigations Command, Major Procurement Fraud Unit made the announcement. Assistant U.S. Attorney Evan Gotlob of Rollins’ Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Ford County Man Pleads Guilty to Attempted KidnappingRead the Press Release
URBANA, Ill. – A Roberts, Illinois, man, Paul Theesfield, 37, of the 200 block of Maple Avenue, pleaded guilty on July 6, 2022, to attempted kidnapping. Sentencing for Theesfield has been scheduled on November 14, 2022, at the U.S. Courthouse in Urbana, Illinois
In court before U.S. Magistrate Judge Eric I. Long, Theesfield admitted that he had attempted to kidnap a woman in Gibson City, Illinois, on December 5, 2020. During the hearing, the government stated that around 2:30 p.m. that day, Theesfield drove his red SUV past the woman multiple times while she was walking near Wood Street and 12th Street. Theesfield then used the SUV to strike the woman from behind in an attempt to incapacitate her, put her in his SUV, and drive her out of town to sexually assault her. After striking her, Theesfield got out of the SUV and approached the woman, who recognized him and screamed. Theesfield then fled the scene and returned to his Roberts residence, where he and his red SUV were later found by a Ford County Deputy. After initially telling authorities he accidentally struck the woman, Theesfield admitted his kidnapping plan and was arrested. The Ford County Sheriff later seized handcuffs, wire rope chokers, zip ties, duct tape, an electric cattle prod, and other items from the Roberts Water House, where Theesfield was employed.
Theesfield remains in the custody of the U.S. Marshals Service pending sentencing.
Theesfield faces statutory penalties of a maximum twenty-year term of imprisonment, a maximum $250,000 fine, and a maximum three-year term of supervised release.
The case investigation was conducted by the Federal Bureau of Investigation, Ford County Sheriff’s Office, and Gibson City Police Department. Supervisory Assistant U.S. Attorney Eugene L. Miller is representing the government in the prosecution.
Five Men Indicted for Crimes Related to Transnational Repression Scheme to Silence Critics of the People’s Republic of China Residing in the United StatesRead the Press Release
A federal grand jury in Brooklyn returned a superseding indictment yesterday charging five defendants, including one current federal law enforcement officer and one retired federal law enforcement officer, with various crimes pertaining to a transnational repression scheme orchestrated on behalf of the Government of the People’s Republic of China (PRC).
Defendants Fan “Frank” Liu, 62, of Jericho, New York; Matthew Ziburis, 49, of Oyster Bay, New York; and Qiang “Jason” Sun, 40, of the PRC were charged in March 2022 with allegedly perpetrating a transnational repression scheme that targeted U.S. residents whose political views and actions are disfavored by the PRC Government. Among other items, these defendants allegedly plotted to destroy the artwork of a PRC national residing in Los Angeles, who was critical of the PRC government and planted surveillance equipment in the artist’s workplace and car to spy on him from the PRC. Liu and Ziburis were arrested pursuant to a criminal complaint in March 2022, while Sun remains at large.
The superseding indictment adds two new defendants, Craig Miller and Derrick Taylor, to the scheme. Miller is a 15-year employee of the Department of Homeland Security (DHS), currently assigned as a deportation officer to DHS’s Emergency Relief Operations in Minneapolis, and Taylor is a retired DHS law enforcement agent who presently works as a private investigator in Irvine, California. Miller and Taylor are charged with obstruction of justice for allegedly destroying evidence after they were approached by FBI agents and asked about their procurement and dissemination of sensitive and confidential information from a restricted federal law enforcement database regarding U.S.-based dissidents from the PRC. Both Miller and Taylor were arrested pursuant to a criminal complaint in June 2022.
“We will defend the rights of people in the United States to engage in free speech and political expression, including views the PRC government wants to silence,” said Assistant Attorney General for National Security Matthew G. Olsen. “As charged, these individuals aided agents of a foreign government in seeking to suppress dissenting voices who have taken refuge here. The defendants include two sworn law enforcement officers who chose to forsake their oaths and violate the law. This indictment is the next step in holding all of these defendants responsible for their crimes.”
“As alleged, this case involves a multifaceted campaign to silence, harass, discredit and spy on U.S. residents for exercising their freedom of speech – aided by a current federal law enforcement officer and a private investigator who provided confidential information about U.S. residents from a restricted law enforcement database, and when confronted about their improper conduct, lied and destroyed evidence,” said U.S. Attorney Breon Peace for the Eastern District of New York. “This office will always work closely with our law enforcement partners to root out corrupt officials in all levels of government and will prosecute those who act on behalf of a hostile foreign state to target the free speech of U.S. residents on American soil.”
“This case exposes attempts by the government of the PRC to suppress dissenting voices within the United States. Actions taken by the defendants – two of which are current or former federal law enforcement officers – demonstrate how the PRC seeks to stalk, intimidate, and silence those who oppose it,” said Assistant Director Alan E. Kohler Jr. of the FBI’s Counterintelligence Division. “The FBI battles transnational repression because it is an evil in its own right, and an assault on the freedoms of an open society. Our community’s safety and our nation’s security were jeopardized by this criminal behavior, and we remain dedicated to combating transnational repression and bringing to justice those that perpetrate it.”
Liu and Ziburis are charged with conspiring to act as agents of the PRC government. Liu, Ziburis and Sun are charged with conspiring to commit interstate harassment and criminal use of a means of identification. Liu and Sun are charged with conspiring to bribe a federal official in connection with their scheme to obtain the tax returns of a pro-democracy activist residing in the United States. Both Miller and Taylor are charged with obstruction of justice, while Taylor is charged with making a false statement to the FBI.
If convicted, Liu faces up to 30 years’ imprisonment; Ziburis, Sun and Taylor face up to 25 years’ imprisonment; and Miller faces up to 20 years’ imprisonment. The defendants will be arraigned at a later date.
As alleged, Liu and Ziburis operated under Sun’s direction and control to discredit pro-democracy PRC dissidents residing in the United States, including those in New York City, California and Indiana. with efforts to disseminate negative information about, and to spy on, stalk, harass and surveil U.S.-based dissidents.
According to the indictment, one of Liu’s co-conspirators (“Co-conspirator”) retained Taylor to obtain personal identification information regarding multiple PRC dissidents residing in the United States, including passport information and photos, and flight and immigration records, which Taylor allegedly tasked to two DHS law enforcement officers, including Miller. As alleged, Miller and the other DHS agent obtained the information from the restricted database and improperly provided it to Taylor, who shared it with the Co-conspirator. Liu, Ziburis and Sun used this information to target and harass these U.S. residents while acting on behalf of the PRC government.
According to court documents, Miller and Taylor both lied about their past conduct when confronted by the FBI. According to the indictment, Miller deleted text messages with Taylor from his phone while being interviewed by the FBI, and Taylor instructed a co-conspirator to withhold evidence from the U.S. government. When interviewed by the FBI, Taylor falsely claimed that he obtained the records in question from a friend who was using the “Black Dark Web” — likely a reference to the dark web.
According to the indictment, the Co-conspirator called Taylor and claimed he received a subpoena from the Department of Justice seeking the Co-conspirator’s communications with Taylor, and Taylor directed the Co-conspirator to withhold such information from the U.S. government.
According to court documents, when interviewed by the FBI, Miller initially claimed to be in sporadic contact with Taylor and said the two did not discuss work matters. After agents admonished Miller to be honest, Miller admitted that Taylor provided him names to run through law enforcement databases. Miller granted consent to the FBI to search his phone, and ultimately admitted that he ran the queries for Taylor and sent the results to Taylor via text message, and that Taylor had provided a gift card in return. Miller then admitted that he deleted the text chain with Taylor during the interview earlier that day and that he fabricated all earlier statements about the text chain, including whether the chain included the names requested by Taylor.
Assistant U.S. Attorneys Alexander A. Solomon and Emily J. Dean for the Eastern District of New York are prosecuting the case with assistance provided by Trial Attorney Scott Claffee of the National Security Division’s Counterintelligence and Export Control Section, Assistant U.S. Attorney Christopher D. Grigg for the Central District of California and Assistant U.S. Attorney Kimberly Svendsen for the District of Minnesota. U.S. Attorney Peace also thanked the U.S. Immigration and Customs Enforcement, Office of Professional Responsibility, for its assistance in the investigation.
The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States. If you believe that you are or have been a victim of transnational repression, please visit https://www.fbi.gov/investigate/counterintelligence/transnational-repression.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Five Individuals Indicted for Crimes Related to Transnational Repression Scheme to Silence Critics of the People's Republic of China Residing in the United StatesRead the Press Release
Yesterday, a grand jury returned an indictment in federal court in Brooklyn charging five defendants with various crimes pertaining to a transnational repression scheme orchestrated on behalf of the government of the People’s Republic of China (PRC). The case is assigned to the United States District Judge LaShann DeArcy Hall and the defendants’ will be arraigned at a later date.
Three of the defendants—Fan “Frank” Liu, Matthew Ziburis, and Qiang “Jason” Sun—allegedly perpetrated in the transnational repression scheme to target U.S. residents whose political views and actions are disfavored by the PRC government, such as advocating for democracy in the PRC. Among other items, the defendants plotted to destroy the artwork of a PRC national residing in Los Angeles, California that was critical of the PRC government, and planted surveillance equipment in the artist’s workplace and car to spy on him from the PRC. Liu and Ziburis were arrested pursuant to a criminal complaint in March 2022, while Sun remains at large.
There are two new defendants charged in the scheme, Craig Miller and Derrick Taylor. Miller is a 15-year employee of the Department of Homeland Security (DHS), currently assigned as a Deportation Officer to DHS's Enforcement and Removal Operations in Minneapolis, Minnesota; and Taylor is a retired DHS law enforcement agent who presently works as a private investigator in Irvine, California. The charges against Miller and Taylor pertain to their alleged obstruction of justice, including by destroying evidence, after they were approached by agents with the Federal Bureau of Investigation (FBI) and asked about their procurement and dissemination of sensitive and confidential information from a restricted federal law enforcement database regarding U.S.-based dissidents from the PRC. This information was used by Liu and Sun in the transnational repression scheme. Both Miller and Taylor were arrested pursuant to a criminal complaint in June 2022.
Breon Peace, United States Attorney for the Eastern District of New York, Matthew G. Olsen, Assistant Attorney General for National Security, and Michael J. Driscoll, Assistant Director-in-Charge, FBI, New York Field Office, announced the arrests and charges.
“As alleged, this case involves a multifaceted campaign to silence, harass, discredit and spy on U.S. residents for exercising their freedom of speech – aided by a current federal law enforcement officer and a private investigator who provided confidential information about U.S. residents from a restricted law enforcement database, and when confronted about their improper conduct, lied and destroyed evidence,” stated United States Attorney Peace. “This Office will always work closely with our law enforcement partners to root out corrupt officials in all levels of government and will prosecute those who act on behalf of a hostile foreign state to target the free speech of U.S. residents on American soil.”
Mr. Peace thanked the U.S. Immigration and Customs Enforcement, Office of Professional Responsibility, for its assistance in the investigation.
“We will defend the rights of people in the United States to engage in free speech and political expression, including views the PRC government wants to silence” said Assistant Attorney General for National Security Olsen. “As charged, these individuals aided agents of a foreign government in seeking to suppress dissenting voices who have taken refuge here. The defendants include two sworn law enforcement officers who choose to forsake their oaths and violate the law. This indictment is the next step in holding all of these defendants responsible for their crimes.”
“As alleged in the indictment, the defendants committed various acts in furtherance of a transnational repression scheme aimed at silencing the free speech of PRC dissidents on U.S. soil. One of the defendants was even a federal law enforcement officer who allegedly accessed government databases to aid the illegal campaign in direct conflict with his duty to protect the rights of all U.S. residents. Today’s action is the latest example of the FBI’s commitment to aggressively pursue those who attempt to put the interests of hostile foreign governments above those of our residents,” stated FBI Assistant Director-in-Charge Driscoll.
Defendant Overview
According to court documents, Liu, a resident of Jericho, Long Island, is president of a purported media company based in New York City; Ziburis, a resident of Oyster Bay, Long Island, is a former correctional officer for the State of Florida and a bodyguard; Sun is a PRC-based employee of an international technology company; Miller is a 15-year employee of the Department of Homeland Security (DHS), currently assigned as a Deportation Officer to DHS’s Emergency Relief Operations in Minneapolis, Minnesota; and Taylor is a retired DHS law enforcement agent who presently works as a private investigator in Irvine, California.
As alleged, Liu and Ziburis are charged with conspiring to act as agents of the PRC government. Liu, Ziburis, and Sun are charged with conspiring to commit interstate harassment and criminal use of a means of identification. Liu and Sun are charged with conspiring to bribe a federal official in connection with their scheme to obtain the tax returns of a pro-democracy activist residing in the United States. Both Miller and Taylor are charged with obstruction of justice, while Taylor is charged with making a false statement to the FBI.
The Scheme
As set forth in court filings, Liu and Ziburis operated under Sun’s direction and control to discredit pro-democracy PRC dissidents residing in the United States—including in New York City, California, and Indiana—by spying on them and disseminating negative information about them. For example, at Sun’s direction, Liu paid a private investigator in Queens to bribe an Internal Revenue Service employee to obtain the federal tax returns of one of the dissidents. The private investigator was cooperating with law enforcement, and no Internal Revenue Service employee received a bribe payment. The defendants planned to publicly disclose the dissident’s potential tax liabilities to discredit him. The co-conspirators also made plans to destroy the artwork of a dissident artist whose work is critical of the PRC government, and the artist’s sculpture depicting PRC President Xi Jinping as a coronavirus molecule was demolished in the Spring of 2021. Sun paid both Liu and Ziburis for these efforts to stalk, harass, and surveil dissidents residing in the United States.
As part of their efforts, Liu, Ziburis, and Sun electronically spied on the pro-democracy activists. For example, posing as an art dealer interested in purchasing the artwork of the dissident artist, Ziburis secretly installed surveillance cameras and GPS devices at the dissident’s workplace and in his car. While in the PRC, Sun watched the live video feed and location data from these devices. Liu, Ziburis, and Sun made similar plans to install surveillance equipment at the residences and on the vehicles of two other dissidents. Liu and Ziburis planned to gain access to one such residence by posing as a member of an international sports committee.
Liu, Ziburis, and Sun also planned to interview the dissidents in mock media sessions, using the cover of Liu’s purported media organization. Sun provided outlines for these fake interviews and designed questions to elicit answers that were intended to humiliate or discredit the dissidents. Liu, Ziburis, and Sun intended that audio or video clips of these statements could be used in PRC propaganda materials targeting the dissidents.
One of Liu’s co-conspirators (Co-conspirator) retained Taylor to obtain confidential and sensitive personal identification information regarding multiple PRC dissidents residing in the United States, including passport information, passport photos, flight records, and immigration records. In turn, Taylor tasked two DHS law enforcement officers, including Miller, to obtain these records. Miller and the other DHS agent obtained the information from a restricted federal law enforcement database and improperly provided the records to Taylor, who then passed the information to the Co-conspirator. Liu, Ziburis, and Sun used this information to target and harass the PRC dissidents, while acting on behalf of the PRC government.
Later, the Co-conspirator, acting at the direction of law enforcement, called Taylor and claimed that he had received a subpoena from the Department of Justice seeking the Co-conspirator’s communications with Taylor. Taylor directed the Co-conspirator to withhold such information from the government. Miller and Taylor procured and disseminated sensitive and confidential information from a restricted federal law enforcement database regarding U.S.-based dissidents from the PRC. This improperly provided information was used by Liu, Ziburis, and Sun in the transnational repression scheme targeting these very dissidents.
When FBI special agents confronted Miller and Taylor about their roles in improperly disseminating confidential and sensitive law enforcement information, Miller and Taylor both lied about their past conduct. Additionally, Miller deleted text messages with Taylor from his phone while being interviewed by the FBI, and Taylor instructed a co-conspirator to withhold evidence from the government.
When interviewed by FBI special agents, Taylor falsely claimed that he had obtained the records in question from a friend who was using the “Black Dark Web”—likely a reference to the “Dark Web.”
When FBI special agents interviewed Miller, he initially claimed to be in sporadic contact with Taylor, but that the two did not discuss work matters since Taylor’s retirement to become a private investigator. After agents admonished Miller to be honest, Miller admitted that Taylor had provided him names to run through law enforcement databases but claimed that the names were not in his phone, which he repeatedly consulted and referred to during the interview. FBI special agents then asked Miller for consent to search the phone. Miller granted consent and ultimately admitted that he had run the queries for Taylor and sent the results to Taylor via text message, and that Taylor had provided a gift card in return.
Following the interview, FBI special agents began to search Miller’s phone but were unable to find the text messages between Miller and Taylor that Miller had referred to during the interview. Agents then called Miller to ask whether the text messages were still in the phone. He confirmed that they were under the name “Derrick” and expressed surprise that the agents could not find them. After FBI agents reminded Miller that it is a crime to lie to federal law enforcement officers, Miller admitted that he had deleted the text chain with Taylor during the interview earlier that day and that he had fabricated all earlier statements about the text chain, including whether the chain included the names requested by Taylor.
The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted of the charges, Liu faces up to 30 years’ imprisonment; Ziburis, Sun, and Taylor face up to 25 years’ imprisonment; and Miller faces up to 20 years’ imprisonment.
The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States. If you believe that you are or have been a victim of transnational repression, please visit https://www.fbi.gov/investigate/counterintelligence/transnational-repression.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant U.S. Attorneys Alexander A. Solomon and Emily J. Dean are prosecuting the case with assistance provided by Trial Attorney Scott Claffee of the National Security Division’s Counterintelligence and Export Control Section, Assistant U.S. Attorney Christopher D. Grigg of the U.S. Attorney’s Office for the Central District of California, and Assistant U.S. Attorney Kimberly Svendsen of the U.S. Attorney’s Office for the District of Minnesota.
The Defendants:
FAN "FRANK" LIU
Age: 62
Jericho, New YorkMATTHEW ZIBURIS
Age: 49
Oyster Bay, New YorkQIANG “JASON” SUN
Age: 40
People’s Republic of ChinaCRAIG MILLER
Age: 48
Hastings, MinnesotaDERRICK TAYLOR
Age: 60
Irvine, CaliforniaE.D.N.Y. Docket No. 22-CR-00311 (LDH) (VMS)
Five Alleged Members of Enfield-Area Drug Trafficking Organization IndictedRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, and Enfield Police Chief Alaric Fox today announced that a federal grand jury in Hartford has returned a five-count indictment charging the following five men with narcotics trafficking offenses:
SERGIO HORTA-MOLINA, 46, of Suffield
OCTAVIO RAZON-MEJIA, also known as “Pachas,” 36, of Enfield
CARLOS GUTIERREZ-FERNANDEZ, also known as “Shaggy,” 38, of Enfield
JUAN SANCHEZ-RAZON, also known as “Juanito,” 27, of Enfield
GUILLERMO CAPETILLO-CERVANTES, 34, of EnfieldHorta-Molina, Razon-Mejia and Gutierrez-Fernandez were arrested on federal charges on May 5. An indictment was returned on May 19 and unsealed on June 21 after Sanchez-Razon and Capetillo-Cervantes were arrested on that date. Sanchez-Razon and Capetillo-Cervantes appeared today before U.S. Magistrate Judge Thomas O. Farrish in Hartford and entered pleas of not guilty. Each defendant is currently detained.
As alleged in court documents and statements made in court, in October 2021, the Drug Enforcement Administration’s Hartford Task Force began investigating a drug trafficking organization, with ties to a Mexican drug cartel, operating in the area of Enfield, Connecticut, and Springfield, Massachusetts. The organization was believed to be trafficking multi-kilogram quantities of cocaine, as well as heroin. The investigation, which included court-authorized wiretaps and controlled purchases and seizures of narcotics, revealed that Horta-Molina arranged the shipment of cocaine and other narcotics to Connecticut, and then distributed the drugs to other members of the organization who, in turn, sold the drugs to street-level traffickers and drug customers.
It is further alleged that, during the investigation, Horta-Molina arranged the shipment of a package from California to Sanchez-Razon’s Enfield residence. On April 27, 2022, Sanchez-Razon delivered the package to Gutierrez-Fernandez. Law enforcement subsequently stopped Gutierrez-Fernandez as he was attempting to deliver the package to Horta-Molina. A search of the package revealed more than one kilogram of cocaine.
The indictment charges the five defendants with conspiracy to distribute, and to possess with intent to distribute, controlled substances. If convicted of this charge, based on the type and quantity of narcotics involved, Horta-Molina, Razon-Mejia and Gutierrez-Fernandez face a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years, and Sanchez-Razon and Capetillo-Cervantes face a maximum term of imprisonment of 20 years. Each defendant is also charged in one or more counts related to the possession and distribution of narcotics.
The indictment alleges that Horta-Molina faces enhanced penalties based on a prior federal conviction in the District of New Jersey for conspiring to distribute cocaine and heroin. Horta-Molina was charged with the offense after a search of his Suffield residence in September 2017 revealed approximately 23 kilograms of cocaine and one kilogram of heroin. In November 2019, Horta-Molina was sentenced to 40 months of imprisonment and five years of supervised release for that offense. He was released from prison in July 2020 and was on federal supervised release at the time of his arrest in this case.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the DEA’s Hartford Task Force and the Enfield Police Department. The Task Force includes personnel from the DEA Hartford Resident Office, the Connecticut State Police, and the Bristol, Hartford, East Hartford, Enfield, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments. This case is being prosecuted by Assistant U.S. Attorney A. Reed Durham 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.
Fentanyl, meth dealer who hid drugs in teddy bear sentenced to 230 months in prisonRead the Press Release
CINCINNATI – Bryce Montrea Hodges, 34, of Cincinnati has been sentenced in U.S. District Court to 230 months in prison for dealing drugs out of an apartment where children lived. He also illegally possessed firearms.
The FBI, Warren County Drug Task Force, the DEA, and the Northeast Hamilton County Drug Task Force began investigating Hodges in January 2021. Agents made five controlled buys of methamphetamine and fentanyl over a matter of weeks. Investigators arranged a sixth purchase and arrested Hodges without incident when he showed up for the deal at a location on Springdale Pike in March 2021.
Investigators found a stuffed teddy bear in his car. Inside the teddy bear was a hidden compartment containing a plastic bag with approximately 72.5 grams of acetylfentanyl.
Investigators searched Hodges’ apartment in Springdale. Several people, including children, lived there. Agents found a hidden compartment in a bathroom. Hodges had stored a loaded handgun, more fentanyl and drug paraphernalia in the compartment. Agents also found a blender used to “cut” fentanyl when they searched a child’s bedroom closet.
A federal grand jury returned a nine-count indictment against Hodges in May 2021, charging him with five counts of illegal distribution of a controlled substance, two counts of possession with intent to distribute a controlled substance, and one count each of possession of a firearm in furtherance of a drug offense and possession of a firearm by a convicted felon. Hodges pleaded guilty on October 12, 2021, to all counts charged in the indictment.
“Courts reserve their most severe punishments for those whose crimes can have a devastating impact on children,” said Kenneth L. Parker, United States Attorney for the Southern District of Ohio. “Crimes involving illegal drugs and firearms threaten the safety of our entire community.”
Joining Mr. Parker in announcing the sentence imposed by U.S. District Judge Michael Barrett are J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, members of the Warren County Drug Task Force, the Northeast Hamilton County Drug Task Force, and DEA Detroit Field Division Special Agent in Charge Orville O. Greene. Assistant United States Attorney Kelly K. Rossi represented the United States in this case.
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Felon Previously Convicted of Shooting into an Occupied Home Sentenced for Illegal Possession of a FirearmRead the Press Release
RICHMOND, Va. – A Richmond man and self-avowed member of the Bloods Gang was sentenced today to six and a half years in prison for possession of a firearm after being convicted of discharging a firearm in a public space on two separate occasions.
According to court documents, Alexander O’Neal Jackson, 36, was arrested on September 25, 2021, after he shot a firearm six times into a loaded parking lot at the St. Luke’s Apartment Complex on September 23. One of his bullets struck the vehicle transporting a mother and her minor son. Another bullet struck the apartment sliding door of another woman while she and her three children were inside. When arrested, Jackson was found in possession of a Taurus PT709, 9mm semiautomatic pistol.
An expert firearm and toolmark examiner conducted microscopic comparisons of test-fired cartridge cases fired from the pistol with the cartridge cases recovered from the apartment complex. The analysis confirmed that the cartridges were fired from the defendant’s pistol.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Charlie J. Patterson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ Washington Field Division; and Colonel Eric D. English, Chief of Police for Henrico County Police Department, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson.
Assistant U.S. Attorney Kenneth Simon prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), which 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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:21-cr-142.
Federal Grand Jury A Indictments Announced- July 2022Read the Press Release
United States Attorney Clint Johnson today announced the results of the July 2022 Federal Grand Jury A.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
James Arthur Berry. Assault of a Spouse and Intimate/Dating Partner by Strangling in Indian Country. Berry, 30, of Tulsa, is charged with strangling an intimate partner on April 22, 2022. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case. 22-CR-159
Daniel Thomas Giraldi. Possession of Oxycodone with Intent to Distribute (Count 1); Possession of Clonazepam with Intent to Distribute (Count 2); Use of a Communication Facility in the Commission of a Drug Trafficking Felony (Counts 3-12); Interstate Travel to Aid Racketeering (Count 13); Honest Services Fraud (Counts 14-17) (superseding). Giraldi, 44, of Joplin, allegedly possessed with intent to distribute Oxycodone and Clonazepam on April 19, 2022. Giraldi and a woman also allegedly engaged in a texting conversation about Giraldi providing the woman with Xanax on April 14, 2022. He is further charged with traveling from Missouri to Oklahoma to distribute Oxycodone and Clonazepam. Finally, he is charged with honest services fraud. According to the indictment, from February 2019 until April 20, 2022, Giraldi abused his official position as an Assistant District Attorney in the Ottawa County District Attorney’s Office when he secretly used his position to provide favorable official action related to certain defendants’ criminal cases in exchange for sexual acts. Official actions included dismissing criminal charges, reducing charges and/or offering favorable plea agreements; moving court dates; reducing bond amounts and dismissing or reducing traffic infractions. Prosecutors also alleged that Giraldi took steps to cover up his activity by communicating via untraceable physical notes, using secured messaging applications, communicating in coded language, and using the trappings of his office to perform official actions for his own gain. The FBI is the investigative agency. Assistant U.S. Attorney Kyle M. McWaters is prosecuting the case. 22-CR-143
Samuel Goana-Gonzalez. Unlawful Reentry of a Removed Alien. Goana-Gonzalez, 37, a Mexican national, is charged with unlawfully being in the United States after having been removed on Sept. 9, 2008, near Hidalgo, Texas. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations and the U.S. Marshals Service are the investigative agencies. Assistant U.S. Attorney Charles M. McLoughlin is prosecuting the case. 22-CR-102
Imani Neiya Jones. Possession of Methamphetamine with Intent to Distribute; Possession of Marijuana with Intent to Distribute; Maintaining a Drug-Involved Premises; Possession of Firearms in Furtherance of a Drug Trafficking Crime. Jones, 26, of Tulsa, is charged with knowingly possessing with intent to distribute both methamphetamine and marijuana on July 29, 2018. She is further alleged to have maintained a residence for manufacturing, distributing and using the drugs and to have possessed firearms to further her drug trafficking crimes. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney George Jiang is prosecuting the case. 22-CR-209
Michael Lee Knighten. Robbery in Indian Country; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Assault with Intent to Commit a Felony in Indian Country; Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence; Carjacking. Knighten, 35, of Tulsa, allegedly stole a leaf blower then pointed a firearm at the lawn maintenance worker who tried to pursue him. Knighten is further charged with pointing a firearm at a second victim when he stole the man’s Toyota Tundra pickup truck that contained numerous professional tools. Both alleged crimes occurred the morning of April 29, 2022. The Tulsa Police Department is the investigative agency. Assistant U.S. Attorney Gina S. Gilmore is prosecuting the case. 22-CR-204
Hector Prado-Jimenez. Receipt and Distribution of Child Pornography. Prado-Jimenez, 46, of Tulsa, is charged with knowingly receiving and distributing child sexual abuse material from June 1, 2020, through June 14, 2022. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Edward Snow is prosecuting the case. 22-CR-210
Ruben Vega Escobar. Unlawful Reentry of a Removed Alien. Vega, 28, an El Salvador national, is charged with unlawfully residing in the United States after having been removed the from the country on Dec. 18, 2019, at or near Alexandria, Louisiana. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations (ICE-ERO) are the investigative agencies. Assistant U.S. Attorney Eric O. Johnston is prosecuting the case. 22-CR-203
Joseph Austin Wagener. Wagener, 32, of Tulsa, is charged with stealing a 2003 Acura sedan, worth over $1,000, on March 14, 2022. The Muscogee Nation Lighthorse Tribal Police Department is the investigative agency. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case. 22-CR-205
Joshua Wayne Willis. Kidnapping in Indian Country. Willis, 25, of Tulsa, allegedly held a woman hostage at her residence on June 12, 2022. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Steven J. Briden is prosecuting the case. 22-CR-206
Directing transportation of drugs lands local meth trafficker in prisonRead the Press Release
CORPUS CHRISTI, Texas – A 34-year-old man has been ordered to federal prison for 27 years for drug trafficking, announced U.S. Attorney Jennifer B. Lowery.
Henry Wilkinson pleaded guilty Nov. 23, 2021.
Today, U.S. District Judge David S. Morales handed Wilkinson a sentence of 324 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court heard additional evidence that Wilkinson organized the drug trafficking by purchasing hotel rooms in Houston where meth was purchased on several occasions. In handing down the sentence, the court found Wilkinson was in fact the leader/organizer of the drug trafficking conspiracy.
On June 2, 2020, authorities arrested a drug dealer in possession of 39.99 grams of pure meth. Soon after, they learned that Wilkinson supplied the individual with meth from February through June 2020.
On Aug. 25, 2020, law enforcement intercepted a 2.8 kilogram shipment of meth in transit from Houston. Subsequent investigation revealed that Wilkinson instructed the individual to transport multiple kilograms of meth and other drugs on numerous occasions from Houston to Corpus Christi.
Wilkinson will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorney Joel Dunn prosecuted the case.
Detroit Man Pleads Guilty to Fentanyl CrimeRead the Press Release
BECKLEY, W.Va. – A Detroit man pleaded guilty today to the distribution of fentanyl.
According to court documents and statements made in court, Eugene W. Williams, also known as “Bo,” 45, admitted that he sold what he now knows was a quantity of fentanyl to a confidential informant near Mount Hope in Raleigh County on March 4, 2021. Williams further admitted that he sold another quantity of fentanyl to the same confidential informant on March 11, 2021.
Williams is scheduled to be sentenced on December 15, 2022, and faces a maximum penalty of 20 years in prison as well as at least three years of supervised release and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and the Beckley/Raleigh County Drug and Violent Crime Unit for conducting the investigation. The Beckley/Raleigh County Drug and Violent Crime Unit consists of officers from the West Virginia State Police, the Raleigh County Sheriff’s Department, and the Beckley Police Department.
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Timothy D. Boggess is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:22-cr-32.
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Deming man pleads guilty to producing child pornographyRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Guillermo Rodriguez Garcia pleaded guilty on July 6 to production of a visual depiction of a minor engaging in sexually explicit conduct. Garcia, 40, of Deming, New Mexico, will remain in custody pending sentencing, which has not been scheduled.
In his plea agreement, Garcia admitted that on Aug. 27, 2021, he produced a video of himself engaging in sexual conduct with a victim who was 12 years old. Garcia produced the video with a cellphone. Garcia faces a minimum of 15 years and up to 30 years in prison and must register as a sex offender.
Homeland Security Investigations (HSI) investigated this case with assistance from the Sixth Judicial District Attorney’s Office and the Deming Police Department. Assistant United States Attorneys Marisa A. Ong and Matilda McCarthy Villalobos are prosecuting 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/.
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Cleveland Man Sentenced to Prison for Leading Conspiracy that Purchased Thousands Worth of Jewelry Using Stolen Financial InformationRead the Press Release
Hasan Howard, 23, of Cleveland, was sentenced on Wednesday, July 6, 2022, by U.S. District Judge Sara Lioi to more than six years in prison and ordered to pay $261,319.28 in restitution after he pleaded guilty to leading a conspiracy that bought stolen credit and debit card information from the dark web and used it to purchase expensive watches, chains, jewelry and services at retail locations around Northeast Ohio.
Howard pleaded guilty in March 2022 to conspiracy to commit access device fraud, access device fraud and aggravated identity theft.
According to court documents, from September to May 2020, Howard recruited a number of coconspirators in Cleveland and elsewhere, including codefendants Robert Nathaniel Andre Thomas, Tyvione Guthery and Jaelen D. Lattimore, to participate in a scheme that bought stolen credit and debit card information from the dark web and used it to purchase expensive jewelry and services at retail locations around Northeast Ohio.
As part of the conspiracy, Howard used the stolen financial information to create fraudulent credit and debit cards, which he then provided to his coconspirators. Howard and the others would then use the cards to make purchases of expensive merchandise and services, including jewelry. Howard and the coconspirators purchased the items either over the phone or in-store, using fraudulent identification cards embossed with the stolen information of others.
In one instance, court documents state that Howard, Guthery and Lattimore purchased a Rolex watch from a jewelry store in Westlake, Ohio, valued at $19,062 using a fraudulent credit card. In a separate instance, court records show that Howard again used a fraudulent credit card to purchase four diamond and gold bracelets from a jewelry store in Canton, Ohio, valued at $26,463.
After obtaining the jewelry, Howard frequently sold the stolen items to others and used the proceeds for his own benefit and to pay his coconspirators.
Howard was arrested on May 20, 2021, with codefendant Lattimore, after purchasing more than $20,000 in items from jewelers in Aurora, Ohio. At the time of the arrest, court documents state that Howard and Lattimore had in their possession a credit card embossing machine and three Rolex watches.
In total, court records show that Howard and the other coconspirators made fraudulent purchases at approximately 30 stores and caused a total loss of $261,319.28.
Codefendants Thomas, Guthery and Lattimore have each pleaded guilty to their role in the scheme.
This investigation was conducted by the FBI Cleveland and the Avon, Westlake, Aurora and Cleveland Police. This case was prosecuted by Assistant U.S. Attorney Bryson N. Gillard.
Clay County Convicted Felon Arrested on Federal Drug and Firearm ChargesRead the Press Release
Jacksonville, Florida –United States Attorney Roger B. Handberg announces the return of an indictment charging Shawntae Jamell Clark (41, Clay County) with possession with the intent to distribute 50 grams or more of methamphetamine, possession of two firearms in furtherance of a drug trafficking crime, and possession of a firearm by a convicted felon. If convicted on all counts, Clark faces a minimum mandatory term of 15 years, and up to life, in federal prison. The indictment also notifies Clark that the United States intends to forfeit two firearms and ammunition, which are alleged to be traceable to his offenses. Clark is detained pending a detention hearing scheduled for July 11, 2022.
According to the indictment, on July 2, 2021, Clark was in possession of 50 grams or more of pure/actual methamphetamine while also in possession of two firearms and ammunition. At the time of the incident, Clark had previous felony convictions for armed robbery, attempted lewd or lascivious act – sexual battery, and multiple convictions for possession of cocaine. As a previously convicted felon, Clark is prohibited from possessing a firearm or ammunition under federal law.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, and the Clay County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Kevin C. Frein. The forfeiture will be handled by Assistant United States Attorney Mai Tran.
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.
Chelmsford Man Pleads Guilty to Distributing Fentanyl and Methamphetamine Pills in Drug Trafficking ConspiracyRead the Press Release
BOSTON – A Chelmsford man pleaded guilty yesterday in federal court in Boston to trafficking counterfeit oxycodone and Adderall pills that actually contained fentanyl and methamphetamine.
Vando Gvozdarevic, 29, pleaded guilty to possession with intent to distribute 500 grams or more of methamphetamine and 40 grams or more of fentanyl. U.S. Senior District Court Judge Douglas P. Woodlock scheduled sentencing for Nov. 7, 2022.
“Yesterday, Mr. Gvozdarevic admitted to peddling deadly narcotics – fentanyl and methamphetamine – disguised in the form of counterfeit prescription pills into neighborhoods across New England. He is part of a drug pipeline that profited off of destroying lives, families, and communities,” said United States Attorney Rachael S. Rollins. “That he committed the instant felonies while on probation for similar state crimes is an affront to the overwhelming number of people that adhere to the terms of their probation without incident. This was a lost opportunity for Mr. Gvozdarevic. Probation can assist people with employment opportunities and training. I am committed to working with my law enforcement partners to make sure probationers and the community know all of the employment and advancement opportunities individuals have if they come into contact with the criminal legal system. There are viable options.”
“Convicted felon Vando Gvozdarevic supplied a ruthless gang demonstrating a blatant disregard for the law by distributing counterfeit prescription pills containing methamphetamine and fentanyl while on state probation for similar crimes. Today, he was convicted yet again for his role in a multi-state drug trafficking conspiracy that posed a significant threat to our communities,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “Getting dangerous criminals off the street and dismantling the organized and violent criminal enterprises they belong to is a top priority of the FBI’s North Shore Gang Task Force.”
Gvozdarevic was charged in November 2021 along with 12 others in connection with a large drug conspiracy centering around the Gangster Disciples in Lawrence, Haverhill and Methuen. The investigation, which began in August 2020, intercepted communications between Gangster Disciples’ leaders, members and drug suppliers pertaining to their alleged distribution of fentanyl, cocaine, methamphetamine and suboxone in Massachusetts, Maine and southern New Hampshire as well as into the Essex County Jail. The investigation identified Gvozdarevic as a supplier of methamphetamine and fentanyl disguised as counterfeit Adderall and oxycodone pills. 12,556 counterfeit Adderall pills containing methamphetamine and 3,717 counterfeit oxycodone pills containing fentanyl were seized from Gvozdarevic’s apartment during the execution of a federal search warrant.
At the time of his arrest, Gvozdarevic was on probation for drug trafficking and firearm convictions out of Middlesex Superior Court, for which he served a five-year prison sentence.
Gvozdarevic is the third defendant to plead guilty in the case.
The charge of possession with intent to distribute 500 grams or more of methamphetamine provides for a sentence of at least 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of $10 million. The charge of conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl provides for a sentence of at least five years and up to 40 years in prison, at least four years and up to a lifetime of supervised release and a fine of $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins, FBI SAC Bonavolonta and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement. Valuable assistance was provided by the Chelmsford Police Department. Assistant U.S. Attorney Philip C. Cheng of Rollins’ Organized Crime & Gang Unit is prosecuting the case.
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.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Bus Passenger Sentenced for Drug Trafficking CrimeRead the Press Release
Acting United States Attorney Steven Russell announced that Rogelio Molina, 22, of Arizona, was sentenced on July 6, 2022, in federal court in Omaha, Nebraska, for possessing with the intent to distribute 500 grams or more of methamphetamine. United States District Judge Brian C. Buescher sentenced Molina to 96 months of imprisonment. There is no parole in the federal system. After completing his term of imprisonment, Molina will begin a 3-year term of supervised release.
On March 1, 2021, the DEA Interdiction Task Force made consensual contact with Molina at the Jackson Street Omaha bus station. The agent asked about Molina’s travel from Las Vegas to New York and whether he had any medical or recreational marijuana. Molina stated he had a THC vape cartridge which he gave to the officer.
The agent conducted a search of the backpack Molina was wearing. The agent located two separate packages wrapped in tape and sawdust, which were tested and determined to be 1,761 grams of actual methamphetamine.
This case was investigated by the Drug Enforcement Administration Interdiction Task Force.
Brother-Sister Duo Indicted for Laundering More Than $42 Million of Drug Proceeds Through 22 Shell CorporationsRead the Press Release
SAN DIEGO—Today Jesus Vazquez Padilla and his sister Monica Vazquez were indicted for laundering more than $42 million of drug trafficking proceeds through the financial system in the United States.
Special Agents from the Internal Revenue Service (“IRS”) led the investigation into hundreds of financial transactions by the sibling duo between 2015 and 2019. Using approximately 85 United States bank accounts belonging to at least 22 California-based ‘shell’ corporations, Padilla and Vazquez deposited cash proceeds of drug sales into U.S.-based bank accounts and layered those deposits across multiple corporate accounts before finally transferring the funds to accounts in Mexican-based financial institutions.
For example, the indictment alleges that Defendants served as corporate officers for two San Diego-based corporations, OSVA Incorporated and Jeva International, Inc.. As corporate officers, they opened corporate bank accounts in U.S.-based financial institutions and, on various dates in 2017, deposited large cash amounts before finally transferring those funds to Mexico.
In total, the indictment contends that the siblings laundered $42,276,668, transferred approximately 95% of those funds to Mexico, and retained the remainder as payment for their services.
“Jesus Vazquez Padilla and his sister Monica Vazquez are charged with directing millions of dollars in drug trafficking proceeds through U.S. Banks and into the hands of drug trafficking organizations,” said U.S. Attorney Randy S. Grossman. “Today’s indictment shows that the United States will prosecute not only those who traffic in drugs but also those who enable drug traffickers through sophisticated shell corporations, false tax returns, and multiple bank accounts.” Grossman praised the prosecutors and agents from IRS Criminal Investigation, the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG), and the San Diego Police Department for their diligent work on this case.
“Today’s indictment of the sibling defendants demonstrates our commitment to disrupting professional enablers who corrupt the U.S. financial system to launder the proceeds of deadly and illegal drugs,” said IRS Criminal Investigation Special Agent in Charge Ryan L. Korner of the Los Angeles Field Office. “The defendants not only created fake businesses to move drug money offshore, but also attempted to legitimize their scheme by filing false tax returns. IRS Criminal Investigation is proud to lead the Financial Investigations and Border Crimes Task Force and work with our law enforcement partners on this international money laundering investigation.”
“The allegations described in the indictment demonstrate criminal behavior designed to use our nation’s financial system against us,” said Federal Deposit Insurance Corporation Office of Inspector General Special Agent in Charge Jeffrey D. Pittano. “FDIC OIG will continue to work with our law enforcement partners to investigate allegations of laundering and other significant crimes impacting our nation’s financial institutions.”
“The San Diego Police Department is proud of its contributions to this federal task force,” said Chief David Nisleit. “These types of partnerships enable law enforcement to better address organized crime.”
This case is the result of ongoing efforts by the Financial Investigations and Border Crimes Task Force, a partnership targeting unlawful transactions through the financial system. The task force brings together the combined expertise of federal, state, and local law enforcement.
DEFENDANTS Case Number 22cr1551RBM
Jesus Vazquez Padilla, Tijuana, Mexico, Age: 50
Monica Vazquez, Chula Vista, California, Age: 48
SUMMARY OF CHARGES
Conspiracy to Operate an Unlicensed Money Transmitting Business—Title 18, U.S.C., Section 371
Conspiracy to Launder Money—Title 18, U.S.C. Section 1956(h)
Criminal Forfeiture—Title 18, U.S.C., Section 982(a)
Maximum penalty: Twenty years imprisonment and $500,000 fine or twice the value of the funds involved in the transportation, transmission, or transfer, whichever is greater
AGENCY
Internal Revenue Service Criminal Investigation
Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG)
San Diego Police Department
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Brooklyn Man Sentenced to 125 Months in Prison for Stabbing Pharmacy Employee and Attempted RobberyRead the Press Release
Earlier today, in federal court in Brooklyn, Rayvaughn Williams was sentenced by United States District Judge Nicholas G. Garaufis to 125 months’ imprisonment following his guilty plea to attempted Hobbs Act robbery in connection with his August 12, 2019 attempt to rob a pharmacy in Canarsie, Brooklyn, during which Williams repeatedly stabbed a pharmacy employee.
Breon Peace, United States Attorney for the Eastern District of New York, John B. DeVito, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the sentence.
“Rayvaughn Williams tried to rob a neighborhood pharmacy and ended up senselessly, viciously attacking an innocent employee merely because he could not open the cash register fast enough,” stated United States Attorney Peace. “Today’s sentence sends a message that those who engaged in violence in our communities will be held accountable.”
“This sentencing brings yet another violent criminal to justice,” stated ATF New York Special Agent-in-Charge DeVito. “This atrocious and unwarranted violent attack on an innocent person is unacceptable. Fortunately, the victim survived due to the quick response of the EMTs and the investigative efforts of our partners at NYPD’s Brooklyn Robbery Squad. ATF will continue to work with our partners to keep our communities safe.”
“Violence will never be tolerated in our city,” stated NYPD Commissioner Sewell. “And actions must have consequences. Today’s sentence removes a career criminal with multiple arrests for armed robbery from our streets, and the people of Brooklyn can breathe a little easier. I want to thank the U.S. Attorney’s Office for the Eastern District of New York, the New York Field Division of the Bureau of Alcohol, Tobacco, and Firearms, and all of our own officers and detectives who brought this case to a successful conclusion.”
According to court filings and statements made by the defendant at his guilty plea proceeding, on August 12, 2019, Williams entered the Canarsie Plaza Pharmacy and claimed he was there to pick up a prescription. When the employee could not find a record of the prescription, Williams removed a knife from a plastic bag he was carrying and demanded money. When the employee tried but failed to open the register, Williams vaulted over the counter and stabbed the employee repeatedly. The employee was seriously wounded, but survived the attack.
Assistant United States Attorney Robert M. Pollack is in charge of the prosecution.
The Defendant:
RAYVAUGHN WILLIAMS
Age: 26
Brooklyn, New YorkE.D.N.Y. Docket No.: 20-CR-273 (NGG)
Bridgeport Man Charged with Unlawful Possession of a FirearmRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury in Bridgeport returned an indictment yesterday charging KIMANI WILLIAMS, 30, of Bridgeport, with unlawful possession of a firearm by a felon.
As alleged in the indictment, on April 7, 2022, Williams was arrested in Bridgeport after law enforcement recovered a loaded Smith and Wesson .45 caliber semi-automatic pistol, which Williams had possessed, from the ground next to Williams’ person.
It is alleged that Williams’ criminal history includes felony convictions in Connecticut and New York for criminal possession of a weapon, carrying a dangerous weapon, and assault of public safety or emergency personnel. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Williams has been detained since his arrest. If convicted of the charge, he faces a maximum term of imprisonment of 10 years.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the FBI’s Bridgeport Safe Streets Task Force and the Bridgeport Police Department. The case is being prosecuted by Assistant U.S. Attorneys Kenneth L. Gresham and Jocelyn C. Kaoutzanis.
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.
Boston Man Arrested in Counterfeit Fentanyl Pills ConspiracyRead the Press Release
BOSTON – A Boston man was arrested yesterday for his alleged participation in a conspiracy to distribute thousands of counterfeit prescription pills containing fentanyl.
Alexis Radhames Diaz Tejeda, 44, was charged with one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl. Following an initial appearance today in federal court in Boston before U.S. District Court Magistrate Judge Judith G. Dein, Diaz Tejeda was detained pending a detention hearing which is scheduled for July 12, 2022.
“Counterfeit fentanyl pills put lives at risk, destroy communities and worsen the opioid crisis. These powerful pills are manufactured to look like regular prescriptions from a pharmacy, but beneath that disguise is a deadly narcotic,” said United States Attorney Rachael S. Rollins. “We believe Diaz Tejeda conspired to flood our neighborhoods with thousands of fentanyl pills. This arrest means that one less alleged drug trafficker, and approximately 5,000 fewer potentially deadly pills, are out on the streets of Boston threatening the health and safety of our residents. We will use every resource to stem the flow of fentanyl in our Commonwealth and remove drug traffickers from our communities.”
“DEA is committed to investigating and dismantling drug trafficking organizations and individuals like Mr. Diaz Tejeda who are responsible for distributing lethal drugs like counterfeit fentanyl pills to the citizens of Massachusetts,” said Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division. “This arrest serves as a warning to those traffickers who are fueling the opioid epidemic with deadly drugs in order to profit and destroy people’s lives. DEA’s top priority is combating the opioid epidemic by working with our local, county, state and federal partners to bring to justice anyone who distributes this poison.”
According to the charging document, in October 2021, law enforcement began an investigation into the drug trafficking and money laundering activities of Diaz Tejeda and others. On March 7, 2022, during a video-recorded controlled purchase in Dorchester, Diaz Tejeda was allegedly captured providing a confidential source with 30 counterfeit fentanyl pills as a sample. It is alleged that, on June 1, 2022, Diaz Tejeda again met with the confidential source during a controlled purchase in Lawrence, this time providing the source with 1,000 counterfeit fentanyl pills weighing approximately 152 grams. On July 5, 2022 in Dorchester, Diaz Tejeda allegedly agreed to sell another 4,000 fentanyl pills to the confidential source and arranged for the deal to occur the following day in Dorchester. Diaz Tejeda was arrested on July 6, 2022 after greeting the source for the arranged deal. It is alleged that approximately 4,000 fentanyl pills weighing approximately 513 grams were recovered during a subsequent search of Diaz Tejeda’s residence.
The charge of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl provides for a sentence of at least 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins and DEA SAC Boyle made the announcement. Special assistance was provided by the Boston Police Department’s Gang Unit and the Massachusetts State Police. Assistant U.S. Attorney Samuel R. Feldman of Rollins’ Narcotics & Money Laundering Unit is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Birmingham Store Manager Pleads Guilty to Food Stamp and Tax FraudRead the Press Release
BIRMINGHAM, Ala. – The manager of a Birmingham grocery store pleaded guilty on Wednesday in federal court to wire and tax fraud for his unlawful manipulation of the Supplemental Nutrition Act Program totaling more than $4.6 million, announced United States Attorney Prim F. Escalona, U.S. Department of Agriculture Office of Inspector General, Investigations, Acting Special Agent-in-Charge Salina Walker, and Internal Revenue Service, Criminal Investigation Assistant Special Agent in Charge Lisa Fontanette.
OMAR MOTLEY, 42, of Birmingham, pleaded guilty before U.S. District Judge Karon O. Bowdre to one count of tax fraud and one count of wire fraud. Motley’s guilty plea will require him to repay restitution of $847,001.00 to the IRS and $3,815,599.98 to the USDA, which administers the food stamp program under the name Supplemental Nutrition Assistance Program (SNAP). Motley is scheduled for sentencing on November 8, 2022.
Motley was the manager of the Big B Food Mart located at 4012 24th Street North in Birmingham, Alabama, which was authorized by USDA to accept food stamp benefits. A federal grand jury indicted Motley in March 2021.
SNAP benefits are provided to qualified recipients by the USDA on an electronic benefit transfer card (EBT), which functions like a debit card. Motley pleaded guilty to unlawfully redeeming EBT SNAP benefits for cash and ineligible items between November 2014 through March 2017. During this time, SNAP benefits redeemed at Big B Food Mart were 52 times greater than similarly sized stores in the area. Motley’s manipulation of the SNAP program led to him withdrawing approximately $3.7 million of cash from the Big B Food Mart’s bank account.
Motley also pleaded guilty to tax fraud for under-reporting to the IRS his 2015 income received from redeeming SNAP benefits. According to evidence proffered by the United States at the hearing, Motley substantially overstated the amount of Big B Food Mart’s cost of goods sold on this return, resulting in a large deduction in the amount of his personal income tax liability. The tax loss to the IRS totals $847,001.00. The maximum penalty for the tax fraud is three years in prison and a $250,000 fine. The maximum penalty for wire fraud is 20 years in prison and a $250,000 fine.
“The money allocated by Congress for the SNAP program funds critical USDA efforts to help families in need,” said U.S. Attorney Escalona, “I commend the efforts of our federal partners who worked to ensure that these public funds are used for their intended purposes.”
“The United States Department of Agriculture, Office of Inspector General - Investigations, actively investigates allegations of fraud in the Supplemental Nutritional Assistance Program (SNAP). This investigation and prosecution serve as a warning to all stores, that participate in the SNAP program as vendors, that fraud and trafficking (purchasing those benefits for cash) will be vigorously investigated and prosecuted by the USDA-OIG, the U. S. Attorney’s Office, and all of its federal, state, and local partners that have a stake in ensuring that fraud is eliminated from taxpayer-funded programs,” said Salina Walker, Acting Special Agent-in-Charge for USDA’s Office of Inspector General.
“The purpose of the SNAP program is to feed and nourish our community. Motley took advantage of that program,” said IRS-Criminal Investigation Assistant Special Agent in Charge Lisa Fontanette. “Motley diverted funds from the program to ultimately benefit himself. On top of that, he did not pay taxes; money which could have further helped our citizens. Motley showed a blatant disregard for others, so today’s plea is a victory for our community.”
The USDA-OIG and IRS-CI investigated the case, which Assistant United States Attorney Catherine Crosby prosecuted.
Bay Area Men Charged with Bribing a Vallejo City OfficialRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against Steven Chu, 40, of San Bruno, and Ben Guan, 35, of San Francisco, charging each with one count of conspiracy to commit federal program bribery and one count of federal program bribery, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Chu and Guan ran an illegal marijuana grow operation in Vallejo. In July 2020, Chu and Guan were notified that the building in which they maintained the operation was in violation of multiple laws, including city codes related to illegal drug activity, and that the city would take legal or administrative action if the violations were not corrected. Subsequently, Chu and Guan offered to pay and paid bribes to a Vallejo building inspector to clear the violations and ensure the city would not interfere with their operation. Chu and Guan paid the building inspector on at least six occasions. The payments totaled approximately $27,000.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Matthew Thuesen is prosecuting the case.
If convicted, Chu and Guan each face a maximum statutory penalty of five years in prison and a $250,000 fine on the conspiracy charge and 10 years in prison and a $250,000 fine on the bribery charge. 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 defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Arizona Man Sentenced to 25 Years in Federal Prison for Drug Conspiracy and Obstruction of JusticeRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Phoenix, Arizona, man convicted of Conspiracy to Distribute a Controlled Substance and Obstructing Justice by Retaliating Against a Witness, Victim or Informant, was sentenced on July 5, 2022, by U.S. District Judge Karen E. Schreier.
William Stevenson, age 56, was sentenced to 25 years in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Stevenson was indicted for Conspiracy to Distribute a Controlled Substance and Obstructing Justice by Retaliating Against a Witness, Victim or Informant, by a federal grand jury on January 4, 2022. He was convicted by a jury on April 14, 2022.
Beginning on an unknown date, and continuing until on or about January 2021, Stevenson and others reached an agreement to distribute 500 grams or more of methamphetamine in the District of South Dakota and elsewhere. Stevenson and other co-conspirators brought eight kilograms of methamphetamine to South Dakota from Arizona to distribute. Stevenson and his co-conspirators were arrested on December 13, 2020, when they tried to sell methamphetamine to an undercover agent. While in jail after the arrest, Stevenson physically assaulted one of his co-conspirators in retaliation for the co-conspirator providing information to law enforcement.
Stevenson’s co-conspirators pled guilty to Conspiracy to Distribute a Controlled Substance and have also been sentenced in this case. Edwin Donis-Melgar, age 36, of Guatemala, was sentenced on October 12, 2021, and Luis Hernandez Parra, age 35, of Mexico, was sentenced on October 14, 2021. Both Donis-Melgar and Hernandez Parra were sentenced to 10 years in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. Manuel Obregon-Robin, age 20, of Sioux Falls, South Dakota, was sentenced on February 28, 2022, to 37 months in federal prison, followed by two years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
This case was investigated by the South Dakota Division of Criminal Investigation, Sioux Falls Police Department, Minnehaha County Sheriff’s Office, and the Drug Enforcement Administration. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Stevenson was immediately remanded to the custody of the U.S. Marshals Service.
Albany Man Sentenced to 94 Months for Methamphetamine Distribution and Aggravated Identity TheftRead the Press Release
ALBANY, NEW YORK - Matthan Carroll, age 36, of Albany, was sentenced today to 94 months in prison following his convictions for the distribution of methamphetamine, making fake government identification documents, using others’ identification information to open a U.S. Post Office Box, and aggravated identity theft.
The announcement was made by United States Attorney Carla B. Freedman; Matthew Scarpino, Acting Special Agent in Charge of Homeland Security Investigations (HSI), Buffalo Field Office; and Ketty Larco-Ward, Postal Inspector in Charge of the Boston Division of the U.S. Postal Inspection Service (USPIS).
As part of his prior guilty plea, Carroll admitted to selling a total of 277.41 grams of methamphetamine and sending a portion of that methamphetamine through the U.S. mail. Carroll also admitted to opening a Clifton Park P.O. Box—using other people’s personally identifying information without their permission—in order to receive mailed shipments of methamphetamine. He also admitted to making two fake government identification documents, one of which used another person’s personally identifying information without that person’s permission, bearing Carroll’s photograph.
Chief United States District Judge Glenn T. Suddaby also sentenced Carroll to a 3-year term of supervised release to begin after he serves his term of imprisonment.
This case was investigated by HSI and USPIS, with the assistance of the Federal Bureau of Investigation (FBI) and the Drug Enforcement Administration (DEA). The case was prosecuted by Assistant U.S. Attorney Ashlyn Miranda.
Akron Man Sentenced to 25 Years in Prison for Armed Robbery, Carjacking and Illegal Possession of a FirearmRead the Press Release
Aaron J. Gaines, 39, of Akron, was sentenced on Wednesday, July 6, 2022, to 25 years in prison by U.S. District Judge James S. Gwin. Judge Gwin pronounced the sentence following Gaines’ guilty plea to a seven-count indictment that charged him with robbery, carjacking and illegal possession of a firearm.
“This defendant committed a series of violent crimes, armed with a firearm, that put the lives of multiple innocent people in danger,” said First Assistant U.S. Attorney Michelle M. Baeppler. “As evident by this lengthy sentence, violent crimes, particularly those committed while illegally possessing a firearm, will only result in a long time in federal prison.”
“Multiple criminal offenses combined with illegal possession of a firearm is a serious felony,” said Philip E. Frigm, Jr., Acting Special Agent in Charge, FBI Cleveland. “The FBI is focused on identifying violent offenders and performing investigative work that ultimately results in justice. This sentence reflects our commitment with federal, state, and local partners to keep our communities safe and protect the American public.”
According to court documents, on January 25, 2021, Gaines entered a convenience store on Arlington Street in Akron, brandished a firearm and stole approximately $500 from the store’s lottery register. Akron police officers responded and determined that Gaines had committed the robbery.
Later that night, police officers responded to an Akron residence for a report of an armed robbery and felonious assault. Upon arrival, officers learned that Gaines had brandished and discharged a firearm at an occupant of the residence in an attempt to steal a vehicle parked nearby. The vehicle keys were stolen, but the vehicle remained.
After the attempted carjacking, police responded to the intersection of Fountain Street and Carroll Street for a report of a car theft. Police interviewed the victims at the scene and established that Gaines had brandished a firearm and stole the victim’s vehicle. Gaines crashed the vehicle soon after stealing it and then fled on foot. Police recovered a firearm from the driver’s side floorboard of the car.
Gaines was later apprehended and pleaded guilty in March 2022 to interference with commerce by robbery, possession of a firearm in furtherance of a crime of violence, attempted carjacking, carjacking and felon in possession of a firearm.
Gaines is prohibited from possessing a firearm due to previous convictions of aggravated burglary and kidnapping in the Summit County Court of Common Pleas.
This case was investigated by the FBI and the Akron Police Department. This case was prosecuted by Assistant U.S. Attorneys Peter E. Daly and Toni Beth Schnellinger Feisthamel.
Addiction Treatment Facilities’ Medical Director Sentenced in $112 Million Addiction Treatment Fraud SchemeRead the Press Release
A Florida doctor was sentenced today to 54 months in prison for engaging in a scheme that fraudulently billed approximately $112 million for substance abuse services that were never provided or were medically unnecessary.
According to court documents, Jose Santeiro, 62, of Miami Lakes, worked with others to unlawfully bill for approximately $112 million of addiction treatment services that were never rendered and/or were medically unnecessary at two addiction treatment facilities where Santeiro was the medical director. The facilities were Second Chance Detox LLC, dba Compass Detox (Compass Detox), an inpatient detox and residential facility, and WAR Network LLC (WAR), a related outpatient treatment program.
According to court documents and evidence presented at trial, Santeiro and others admitted patients for medically unnecessary detox services, the most expensive kind of treatment the facilities offered. Patient recruiters offered kickbacks to induce patients to attend the programs and then gave them illegal drugs to ensure admittance for detox at Compass Detox. Evidence at trial also showed that Santeiro submitted false and fraudulent claims for excessive, medically unnecessary urinalysis drug tests that were never used in treatment. Santeiro and others then authorized the re-admission of a core group of patients who were shuffled between Compass Detox and WAR to fraudulently bill for as much as possible, even though the patients did not need the expensive treatment for which they were repeatedly admitted. Santeiro also prescribed Compass Detox patients a so-called “Comfort Drink” to sedate them, ensure they stayed at the facility, and keep them coming back. The evidence further showed that Santeiro’s log-in was used, with his knowledge, by others to sign electronic medical files to make it appear as if Santeiro had provided treatment himself when he did not.
After a 15-day trial in March 2022, Santeiro was convicted of conspiracy to commit health care fraud and wire fraud, and eight counts of health care fraud. Two other co-defendants, Jonathan and Daniel Markovich, were convicted in an earlier trial in November 2021 and sentenced to 188 months and 97 months in prison, respectively. Richard Waserstein, an attorney, pleaded guilty to one count of conspiracy to commit money laundering and was sentenced to 13 months in prison. Drew Lieberman, another doctor, pleaded guilty to conspiracy to commit health care fraud and was sentenced to 13 months in prison. Christopher Garnto pleaded guilty to conspiracy to commit health care fraud and wire fraud and was sentenced to 24 months in prison.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; and Special Agent in Charge Omar Pérez Aybar of the Department of Health and Human Services Office of Inspector General (HHS-OIG) made the announcement.
The FBI’s Miami Field Office, HHS-OIG, and the Broward County Sherriff’s Office investigated the case.
Senior Litigation Counsel Jim Hayes and Trial Attorneys Jamie de Boer and Andrea Savdie of the Criminal Division’s Fraud Section prosecuted the case.
The National Rapid Response Strike Force, Los Angeles Strike Force, and Miami Strike Force lead the Department of Justice’s Sober Homes Initiative, which prosecutes defendants who exploit vulnerable patients seeking treatment for drug and/or alcohol addiction.
6 July 2022
Woman Indicted in Connection with Fatal Nicholas County ShootingRead the Press Release
CHARLESTON, W.Va. – United States Attorney Will Thompson announced today that a federal grand jury returned a three-count indictment against a Nicholas County woman related to the June 3, 2022, shooting in which one Nicholas County sheriff’s deputy was killed and another was wounded.
Melanie Clodfelter, 41, of Summersville, is charged with knowingly making a false and fictitious oral and written statement by certifying that she was the transferee of a firearm, unlawfully selling or disposing of a firearm to a convicted felon, and possession of a firearm by someone who is an unlawful user of and addicted to methamphetamine and marijuana.
The indictment alleges that Clodfelter purchased a Radical Firearms, model RF-15, multi-caliber rifle in Nicholas County on November 17, 2021, and provided it that day to an individual identified in the indictment as “R.H.” A criminal complaint previously filed against Clodfelter identified the individual as Richie Holcomb, who was prohibited from possessing a firearm because of a July 30, 2014, felony conviction for unlawful wounding in Webster County Circuit Court.
Nicholas County Sheriff’s Deputy Thomas Edward Baker III was killed and Corporal Joshua Ellison was wounded in an exchange of gunfire after responding to a domestic disturbance in the Birch River area on June 3, 2022. Holcomb, 36, was fatally shot in the incident.
Thompson commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), which assisted the Nicholas County Sheriff's Office and the West Virginia State Police in response to the shooting of the two deputies.
Assistant United States Attorney Alex Hamner is handling the prosecution. Clodfelter faces up to 10 years in prison if convicted.
An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-135.
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Wellsboro Man Charged with Covid-Relief FraudRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Nicholas Perkins, age 57, of Wellsboro, Pennsylvania, was charged on June 28, 2022, by a federal grand jury with perpetrating a fraud and money laundering scheme that included approximately $420,000 in COVID-19 relief guaranteed by the Small Business Administration through the Paycheck Protection Program (PPP).
The PPP is designed to help small businesses facing financial difficulties during the COVID-19 pandemic. Funded by the March 2020 CARES Act, PPP funds are offered in forgivable loans, provided that certain criteria are met, including use of the funds for employee payroll, mortgage interest, lease, and utilities expenses.
According to United States Attorney Gerard M. Karam, the indictment alleges that Perkins, the sole proprietor of Well-Versed Oilfields, LLC (“Well-Versed”), a Wellsboro-based energy industry consulting firm, took out $465,000 in PPP loans in the name of Well-Versed, and then used $420,000 of those loan proceeds to buy a beach front vacation home in Dauphin Island, Alabama. In December of 2020, Perkins then asked for loan forgiveness for these funds, declaring in his loan forgiveness application that he used the funds for eligible pay costs, such as payroll costs, business mortgage interest payments, business rent or less payments, or business utility payments, and that at least 60% of the forgiveness amount was used for payroll costs. In reality, Perkins spent over 90% of the PPP loan amounts on the beach front vacation property, intending to be used as a secondary residence and a potential rental income source. Perkins is charged with one count each of Wire Fraud, Bank Fraud, Unlawful Money Transaction, and making a False Loan Application.
The case was investigated by the IRS, Criminal Investigations Division. Assistant U.S. Attorney James M. Buchanan is prosecuting the case.
The maximum penalty under federal law for the most serious offenses is 30 years of 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.
Criminal indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Vermont Resident Sentenced for Drug Trafficking OffenseRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that on July 6, 2022, Robert J. Rideout, 59, formerly of Winooski, was sentenced in United States District Court in Rutland, Vermont, to serve 60 months in prison upon his conviction of possession with intent to distribute 500 grams or more of cocaine. Rideout had pleaded guilty to the offense on January 7, 2022, pursuant to a plea agreement with the United States. Chief U.S. District Judge Geoffrey W. Crawford also ordered Rideout to serve a four-year term of supervised release and to pay a $100 special assessment.
According to court records and proceedings, on July 14, 2021, agents with Homeland Security Investigations (HSI), in conjunction with the Vermont State Police (VSP), stopped Rideout along Interstate 89 in Vermont while he was driving back from Springfield, Massachusetts. Investigators located and seized a backpack containing approximately 1.5 kilograms of cocaine and over 4,500 “tickets” (individual glassine baggies) that contained approximately 130 grams of fentanyl in total. Rideout, in conjunction with another individual, had acquired the controlled substances in Springfield and was transporting them back to Burlington. Rideout intended to transfer a substantial portion of the controlled substances to a third individual in the Burlington area upon his return. The other two individuals are charged in a separate federal case that currently remains pending.
United States Attorney Nikolas P. Kerest commended the joint efforts of HSI and VSP—as well as the assistance of the Berlin Police Department, the South Burlington Police Department, the Drug Enforcement Administration, and the United States Marshals Service—in the investigation and prosecution of Rideout and others in the case.
Assistant U.S. Attorney Matthew Lasher prosecuted the case for the United States. Assistant Federal Public Defender Sara Puls represented Rideout.
United States Attorney Alison J. Ramsdell Names Leadership TeamRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell has announced a new senior management team to lead the District’s enforcement mission. “The mission of the United States Attorney's Office for the District of South Dakota is today as it always has been - to impartially enforce and uphold the laws of the United States with the central goal of enhancing safety in our communities. That work will continue under the experienced leadership of our senior management team. Each of these individuals has dedicated their career to the pursuit of justice and bring to bear a tremendous amount of wisdom and integrity in support of the District’s mission.”
USA Ramsdell named Gregg S. Peterman as First Assistant U.S. Attorney. Mr. Peterman joined the office as an Assistant U.S. Attorney (AUSA) in 1995 and has been the Supervisory Assistant U.S. Attorney in Rapid City since January 2012. As an AUSA, Mr. Peterman prosecuted violent crimes in Indian country, including murder, sexual abuse, aggravated assault, child abuse, and robbery. Mr. Peterman received the United States Attorney General’s Award for Exceptional Service in Indian Country in 2017, and the Executive Office for United States Attorneys (EOUSA) Director’s Award for Superior Performance in Indian Country in 2013. He presently serves on the Department of Interior’s Not Invisible Act Commission, and is a former member of the U.S. Attorney General’s Advisory Task Force on Domestic Violence in Indian Country. Mr. Peterman grew up in New Jersey and is a graduate of Syracuse University and Brooklyn Law School.
USA Ramsdell also named Assistant U.S. Attorney John E. Haak to serve as Chief of the Criminal Division. Mr. Haak joined the office as an AUSA in 2002 and has served as Deputy Criminal Chief for the District since 2015. Mr. Haak has also served as the District’s Senior Litigation Counsel, as well as the point of contact for the Attorney General’s Organized Crime and Drug Enforcement Task Force. In 2016 and 2018, Mr. Haak was recognized by the Drug Enforcement Administration for his outstanding contributions in the field of federal drug law enforcement. Prior to joining the U.S. Attorney’s Office, Mr. Haak spent fourteen years in the South Dakota Attorney General’s Office, first in the appellate division and then as a drug prosecutor. Mr. Haak grew up in Howard, South Dakota, and earned both his B.A. and J.D. from the University of South Dakota.
Assistant U.S. Attorney Diana J. Ryan will continue to serve as Chief of the Civil Division. Ms. Ryan joined the office in 1989 as a criminal prosecutor handling violent crime in Indian country. In 1997, Ms. Ryan transitioned to civil litigation, and in 2004, she became the Civil Chief. As Civil Chief, Ms. Ryan supervises all affirmative and defensive litigation for the District and runs the Financial Litigation Unit, which collects federal civil debts and enforces court orders for criminal restitution. Ms. Ryan is an experienced litigator who has been lead counsel on more than 150 criminal matters, 750 civil cases, and 89 appeals. She has served on the National Civil Chief’s Working Group and continues to serve as an Equal Employment Opportunity (EEO) counselor for EOUSA. In 1999, Ms. Ryan received an EOUSA Director’s Award for Superior Achievement in Promoting Equal Employment Opportunities. Ms. Ryan grew up in Mobridge, South Dakota, and earned both her B.A. and J.D. from the University of South Dakota.
Assistant U.S. Attorney Kevin M. Koliner will continue to serve as Chief of the Appellate Division. Mr. Koliner joined the office as an AUSA in 2006 and has served as Appellate Chief since January 2013. Over the last sixteen years, Mr. Koliner has prosecuted large-scale human trafficking cases, including several sex trafficking cases that resulted in multiple life sentences, and represented the federal government before the Eighth Circuit Court of Appeals across the full range of matters handled by the district, including complex civil cases, white collar crimes, sex abuse and other violent crimes, civil rights violations, cybercrimes, gun crimes, and drug conspiracies. He has been honored to serve as a Department of Justice representative at international meetings of experts aimed at crafting multinational human trafficking and human rights policies. Mr. Koliner grew up in Yankton, South Dakota, and is a graduate of the University of Minnesota and of the University of Virginia School of Law.
U.S. Marshals National Violence Reduction Operation Captures More Than 1,500 FugitivesRead the Press Release
The U.S. Marshals Service has concluded a high-impact fugitive apprehension initiative aimed at combating violent crime in 10 cities with a significant number of homicides and shootings.
This 30-day initiative, called Operation North Star (ONS), resulted in the arrest of 1,501 fugitives, violent criminals, sex offenders, and self-identified gang members in Baltimore, Chicago, Houston, Indianapolis, Los Angeles, Memphis, New Orleans, New York City, Philadelphia, and Washington, D.C.
Operation North Star focused on fugitives wanted for the most serious, violent, and harmful offenses, including homicide, sexual assault, robbery, or aggravated assault. Operation North Star investigators prioritized their efforts to include individuals using firearms in their crimes, or who exhibited risk factors associated with violence.
“The Justice Department is committed to doing everything we can to protect our communities from violent crime and end the plague of gun violence,” said Attorney General Merrick B. Garland. “Operation North Star reflects the approach we are taking across the Department to work in partnership with law enforcement agencies and communities to identify and hold accountable those responsible for the greatest violence. I am grateful to the U.S. Marshals Service and the many federal, state, and local task force partners who carried out this operation, and who continue to work to keep the American people safe each and every day.”
Throughout the month of June, the U.S. Marshals Service used its broad arrest authority and network of task forces to arrest individuals wanted on charges, including 230 for homicide; and 131 for sexual assault. In addition, investigators seized 166 firearms, more than $53,600 in currency, and more than 33 kilograms of illegal narcotics.
“The Marshals remain committed to assisting state and local law enforcement with reducing violent crime in our most vulnerable communities,” said U.S. Marshals Service Director Ronald Davis. “Operation North Star was focused on areas where local law enforcement has seen a large number of homicides and shootings. By partnering with our local and state partners, we are able to hone in on the most dangerous criminals who cause the most harm. I am very proud to lead an agency that is always willing and ready to do the work necessary to quell the violence affecting so many of our cities.”
Notable arrests resulting from Operation North Star:
- On June 4, Great Lakes Regional Fugitive Task Force (GLRFTF) members arrested Jose Galiano-Meza, 28, who was wanted out of Douglas County, Kansas, for homicide. Galiano-Meza was the suspect in a hit-and-run that resulted in the death of a 10-year-old girl from Eudora, Kansas. A collateral lead was sent by the District of Kansas to the GLRFTF in Indianapolis where Galiano-Meza was located and arrested.
- On June 6, members of the Eastern Pennsylvania Violent Crime Fugitive Task Force (EPVCFTF) arrested Rashaan Vereen, 34, for attempted homicide, aggravated assault, and firearms charges. Vereen was one of the suspects in a mass shooting incident on June 4 on South Street in Philadelphia in which three people were killed and 11 injured. Also arrested in connection with the shooting were Quran Garner, 18, and a 15-year-old suspect.
- On June 8, members of the New York/New Jersey Regional Fugitive Task Force (NY/NJRFTF) arrested Dionte Mitchell, 22, on two counts of homicide and possession of a weapon during a violent crime. Mitchell allegedly shot and killed two female victims after a dispute at a party.
- On June 9, members of the NY/NJRFTF arrested Jaden Baskerville, 21. He was wanted in New York for attempted homicide in connection with a drive-by shooting that resulted in the injury of a seven-year-old girl. Task Force members located Baskerville at a residence in Brooklyn and arrested him without incident.
- On June 14, GLRFTF members arrested Prince Cunningham, 49, for homicide. Cunningham was wanted by the Aurora (Illinois) Police Department on two counts of first-degree murder on a cold case homicide from May 9, 2003. After conducting countless hours of surveillance at multiple locations, investigators spotted Cunningham getting into the driver’s seat of a pickup truck. They broke surveillance, approached Cunningham and safely arrested him.
- On June 16, Capital Area Regional Fugitive Task Force (CARFTF) members arrested Robert Bakersville, 28, for homicide. At the residence where Bakersville was arrested, a search warrant was conducted and ammunition and parts consistent with building a “ghost gun” were seized.
The concept behind interagency law enforcement operations such as Operation North Star evolved largely from regional and district task forces. Since the 1980s, the Marshals Service has combined their resources and expertise with local, state, and federal agencies to find and apprehend dangerous fugitives. Operation North Star continued this tradition.
For more information about Operation North Star visit www.usmarshals.gov.
U.S. Attorney’s Office Joins Plaza Tower Tenants to Combat Elder Financial AbuseRead the Press Release
TYLER, Texas – The U.S. Attorney’s Office is promoting World Elder Abuse Awareness in conjunction with the Department of Justice’s Elder Justice Initiative to help seniors in the Eastern District of Texas avoid falling victim to financial exploitation, announced U.S. Attorney Brit Featherston today.
The U.S. Attorney’s Office is participating in events through the summer to provide educational programming to seniors such as a presentation provided to tenants of the Plaza Tower in downtown Tyler. Assistant U. S. Attorney Nathaniel Kummerfeld was joined by U.S. Secret Service agents this morning to discuss prevalent fraud schemes targeting seniors and how to avoid them. Attendees were also provided with tips for recognizing and avoiding scams and resources for reporting.
“Although we prosecute dozens of scammers each year, there are hundreds, if not thousands more we never know about,” said U.S. Attorney Brit Featherston. “Scammers are particularly skilled at tricking victims, often causing the victim to be embarrassed when they realize they have been duped and not report the crime. By educating our seniors we hope to spare them from this heartache. Preventing this crime is a lot easier than trying to investigate and get back the money!”
In the last few months, similar programs were provided at a local Rotary Club and the Hamptons of Tyler. Groups or organizations that are interested in securing a speaker for their event should contact Division Chief Mary Ann Cozby at 903-590-1400.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 10am-6pm Eastern Time, Monday-Friday. English, Spanish, and other languages are available.
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U.S. Attorney Philip R. Sellinger Recognizes Newark Public Safety Director Brian O’Hara’s Significant Contributions to Cooperative Law EnforcementRead the Press Release
NEWARK, N.J. – City of Newark Deputy Mayor and former Public Safety Director Brian O’Hara was recognized today by the U.S. Attorney’s Office for the District of New Jersey for his unwavering commitment to cooperative law enforcement in the state of New Jersey, U.S. Attorney Philip R. Sellinger announced.
On June 30, 2022, Newark Mayor Ras Baraka elevated O’Hara to deputy mayor of Newark. In February 2021, Baraka appointed O’Hara to be public safety director and he began his service in that role in March 2021, overseeing more than 1,960 employees, comprising 996 sworn police officers, 611 firefighters, and 346 civilian employees, and a budget that exceeded $200 million.
“Director O’Hara's service has been defined by his commitment to reforming policing and his fidelity to partnering with other law enforcement agencies to protect the people of Newark,” U.S. Attorney Sellinger said. “Through his leadership, we have maintained our indispensable cooperation and proactive participation in our efforts to confront and suppress violent crime in the great city of Newark. During his career, he brought reform and transparency to police practices by leading the Newark Police Department’s implementation of the Department of Justice’s Consent Decree. Under Director O’Hara ‘s leadership, the Police Department’s crime suppression efforts improved upon the record levels of violent crime reduction that were met in 2020.”
As the leader of the city of Newark’s Department of Public Safety, Director O’Hara has enhanced the collaborative working relationships among federal, state, and local partners, including the U.S. Attorney’s Office, the Newark Police Department, the Essex County Prosecutor’s Office, the FBI, the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New Jersey State Police, the New Jersey Attorney General’s Office, the New Jersey Office of Homeland Security & Preparedness, and numerous other state and local agencies and police departments. Director O’Hara’s commitment to the Newark Violent Crime Initiative (VCI), the U.S. Attorney’s Office’s multi-agency cooperative effort aimed at combatting violent crime in and around vulnerable communities, has saved lives and lessened the scourge of gun violence. As other communities experience significant increases in gun violence, Director O’Hara to date this year has led the Newark Police Department to a 29 percent decrease in total shooting incidents, and a 26 percent decrease in shooting murder victims. Under Director O’Hara’s stewardship, the Newark Police Department has less total shooting incidents and shooting murder victims than it did at this point in 2018, 2019, 2020, and 2021.
“The city of Newark was well served by Director O’Hara’s relentless efforts to prioritize the safety of the people in this wonderful community,” U.S. Attorney Sellinger said.
Director O’Hara received both his Bachelor of Science and Master of Arts in criminal justice from Rutgers University. In 2001, Director O’Hara joined the Newark Police Department as a police officer, rising through the ranks to become a captain in 2016.
Two Sentenced for Scheme to Steal and Sell Vaccination CardsRead the Press Release
SALT LAKE CITY – Dino A. Rende, 19, of Los Angeles, California, and Francis J. Rende II, 29, of La Mesa, California, were both sentenced to 36 months of probation and ordered to pay $500 dollars in restitution after pleading guilty to misdemeanor conspiracy to steal or convert government property charges stemming from the theft of Centers for Disease Control (CDC) COVID-19 Vaccination Record Cards.
In the plea agreement, both defendants admitted that between March 2021 and August 2021, they conspired to defraud the Centers for Disease Control by agreeing to sell stolen CDC COVID-19 Vaccination Record Cards to others for $50 each. Both defendants also admitted that defendant Francis Rende II stole at least 20 CDC Vaccination Record Cards in March of 2021, that he sent his brother, Defendant Dino Rende, some of the stolen vaccination record cards, and that they agreed to use them and sell them to others for $50. Both brothers admitted that they had agreed to sell the CDC Vaccination Record Cards to several buyers for $50 each.
Assistant United States Attorney Todd Bouton from the United States Attorney’s Office for the District of Utah prosecuted the case. Special Agents from the Utah Department of Public Safety State Bureau of Investigation and U.S. Health and Human Services Office of Inspector General conducted the investigation.
Two Men Charged in $5.4 Million Scheme to Defraud New York City Program for Homeless VeteransRead the Press Release
Damian Williams, United States Attorney for the Southern District of New York, and Jocelyn E. Strauber, Commissioner of the New York City Department of Investigation (“DOI”), announced today the unsealing of a Complaint charging RUDEAN WEIR and JEROME WEAH, with conspiracy to commit wire fraud, wire fraud, and aggravated identity theft, in connection with a scheme to defraud a program of the New York City Human Resources Administration (“HRA”) which provides cash assistance to homeless veterans of the United States armed services (“Veterans”) seeking permanent housing. WEAH was presented yesterday in Manhattan federal court before United States Magistrate Judge Valerie Figueredo. WEIR will be presented today in federal court in Atlanta, Georgia.
U.S. Attorney Damian Williams said: “As alleged, the defendants abused a New York City program intended to benefit veterans of the United States armed services seeking permanent housing by submitting hundreds of false applications for benefits and causing more than $5 million in fraudulent payments. Thanks to the efforts of the New York City Department of Investigation, the fraud has been exposed and the defendants will have to answer for their conduct.”
DOI Commissioner Jocelyn E. Strauber said: “The Enhanced One-Shot Deal program provides critical funding to help New York City’s unhoused veterans obtain permanent housing. As alleged, defendants Jerome Weah and Rudean Weir stole millions of dollars from the program by fraudulently claiming entitlement to rent, brokers’ fees and other program payments. I thank the City’s Department of Social Services for referring this investigation to DOI and for their hard work on this matter. DOI is proud to work with DSS, and our federal partners at the U.S. Attorney's Office for the Southern District of New York and the Office of Inspector General for the U.S. Department of Veterans Affairs, to expose and prevent the theft of precious public funding intended to aid vulnerable New Yorkers.”
As alleged in the Complaint unsealed today in Manhattan federal court[1]:
From at least October 2020 through at least May 2022, RUDEAN WEIR and JEROME WEAH submitted more than 340 fraudulent applications seeking cash assistance pursuant to the Enhanced One Shot Deal (“EOSD”) program administered by the HRA. The EOSD is an emergency assistance program pursuant to which HRA makes a one-time cash assistance payment to qualifying individuals. EOSD payments are often used to help individuals move out of homeless shelters and/or other temporary housing into permanent housing. EOSD payments may be used to cover certain costs associated with the move to permanent housing, including rent, moving expenses, security deposits, broker’s fees, and payments for furniture and other household items. The HRA also offers and administers services and programs for Veterans, sometimes referred to as “Veteran’s Initiatives.” In connection with these services, the HRA has a designated group responsible for receiving and reviewing EOSD requests made on behalf of homeless Veterans seeking permanent housing.
Between October 2020 and May 2022, the HRA received at least 340 EOSD applications which claimed that the applicants were homeless Veterans who had entered into a lease agreement with a particular landlord (“Landlord-1”). Each of these applications (the “Landlord-1 EOSD Applications”) claimed that a particular company provided broker’s services in connection with the lease agreement (“Broker Company-1”). HRA paid over $5.4 million in EOSD payments and broker’s fees pursuant to the Landlord-1 EOSD Applications.
Based on a review of approximately 60 of the 340 Landlord-1 EOSD Applications, those applications included, among other things, a completed application for “Emergency Assistance” on an HRA designated form; a copy of a purported lease agreement between a Veteran and Landlord-1; forms requesting payment to Landlord-1 and Broker Company-1 for services provided; personal identifying information, such as copies of identification cards and military and/or employment records for the Veteran; and an identification card issued by the New York Department of State reflecting one of two individuals and purporting that each of those individuals was a “Real Estate Salesperson” with Broker Company-1.
The Landlord-1 EOSD Applications were fraudulent. Specifically, Landlord-1 and the Veterans did not, in fact, enter into the lease agreements submitted to HRA in connection with the Landlord-1 EOSD Applications, and Broker Company-1 did not provide real estate brokerage services to either Landlord-1 and/or the Veterans. Furthermore, the identification cards reflecting purported individual brokers associated with Broker Company-1 were forged, in that those brokers are not affiliated with Broker Company-1 and did not provide any real estate brokerage services to either Landlord-1 and/or the Veterans. Therefore, the Landlord-1 EOSD Applications contained fake documentation and information, and fraudulently induced HRA into making EOSD payments.
HRA made EOSD payments of at least $5.4 million in connection with the Landlord-1 EOSD Applications. Of this $5.4 million, over $3.6 million was deposited into a bank account controlled by WEIR, and over $1 million was deposited into a bank account controlled by WEAH. In addition, during this period, the bank account controlled by WEIR paid over $1 million to a bank account held in the name of WEAH.
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WEIR, 37, of Atlanta, Georgia, and WEAH, 46, of Edison, New Jersey, are charged with conspiracy to commit wire fraud and wire fraud, each of which carries a maximum sentence of 20 years in prison, and one count of aggravated identity theft, which carries an additional mandatory consecutive two-year sentence.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Mr. Williams praised the outstanding investigative work of the DOI. Mr. Williams also thanked the DSS and the U.S. Department of Veterans Affairs, Office of Inspector General, for their assistance.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Matthew Weinberg is in charge of the prosecution.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth in this release constitute only allegations, and every fact described should be treated as an allegation.