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6 July 2022
A Former Employee and a Contract Worker of Medtronic-CR Indicted for Conspiring to Defraud the Company of over $1M and Launder their ProceedsRead the Press Release
SAN JUAN, Puerto Rico – A federal grand jury in the District of Puerto Rico returned an indictment charging defendants Elieser Feliciano-Soto and José E. Santana-Criado with agreeing to benefit and enrich themselves by obtaining money and property belonging to Medtronic Medical CR SRL (Medtronic-CR) through a wire fraud scheme. The defendants are also charged with a money laundering conspiracy involving transactions, using the stolen proceeds, in excess of $10,000. The indictment includes a forfeiture allegation related to the total value of the loss, approximately $1,151,296.38, and two residential properties.
As alleged in the indictment, Medtronic-CR was a Costa Rica limited liability company that manufactured orthopedic components used for spine surgery devices and spine surgery procedures, which are distributed and sold globally. As part of its expansion plans, in or about 2017, Medtronic-CR set out to build a new manufacturing facility in Coyol Alajuela, Costa Rica.
Elieser Feliciano-Soto was the Site Director for Medtronic-CR and was in charge of overseeing the construction of the new manufacturing facility. José E. Santana-Criado, a contract worker for Medtronic-CR, organized Innovative Engineering Corp. and Innovative Engineering LLC (collectively referred to as Innovative) in Puerto Rico. The defendants used Innovative to fraudulently obtain payments from Medtronic-CR for the purported provision of services which were never rendered.
Elieser Feliciano-Soto used his position as Site Director to authorize purchase orders issued by Innovative for the purpose of defrauding Medtronic-CR. The purchase orders authorized services to be rendered by Innovative. Once the purchase orders were approved, the defendants submitted fraudulent invoices from Innovative to Medtronic-CR for services which were never provided. Innovative would then receive electronic wire transfer payments from Medtronic-CR’s bank account in Costa Rica to Innovative’s bank account in Banco Popular de Puerto Rico (BPPR) corresponding to payments for Innovative’s invoices.
The defendants then transferred the wire fraud proceeds from Innovative’s bank account to other accounts that they controlled in BPPR and Baxter Credit Union (BCU) in Illinois. The wire fraud proceeds were used to financially enrich themselves, including to pay the mortgages for real property in Cabo Rojo and Humacao, Puerto Rico.
Pursuant to the indictment, the defendants are charged with conspiracy to commit wire fraud in violation of 18 U.S.C. § 1349, and a money laundering conspiracy in violation of 18 U.S.C. § 1956(h). If convicted, the defendants face a sentence of up to 20 years in prison for each offense.
U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico; and Joseph González, Special Agent in Charge of the FBI made the announcement.
The FBI is investigating the case.
Assistant US Attorney Víctor O. Acevedo-Hernández is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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48-Year-Old Evansville Man Sentenced to 25 Years in Federal Prison for Sexual Exploitation of a Minor GirlRead the Press Release
EVANSVILLE – Michael Lesean Franklin, 51, of Evansville, was sentenced to 300 months in federal prison for sexual exploitation of a child.
According to court documents, Franklin was arrested on state child molestation charges on March 1, 2020. Investigators examined his smartphone and discovered that Franklin used the device to photograph himself engaged in sex acts with a minor female child under the age of 16 on at least three separate occasions in early 2020. Franklin’s smartphone also contained additional sexually explicit images of the child.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, Herbert J. Stapleton, Special Agent in Charge of the Federal Bureau of Investigation’s Indianapolis Field Office, and Chief Billy Bolin, Evansville Police Department made the announcement.
The Federal Bureau of Investigation and the Evansville Police Department investigated the case. The Vanderburgh County Prosecuting Attorney’s Office also provided valuable assistance.
The sentence was imposed by U.S. District Judge Richard L. Young following Franklin’s guilty plea. As part of the sentence, Judge Young ordered that the Franklin be supervised by the U.S. Probation Office for 10 years following his release from prison. Franklin must also register as sex offender wherever he lives, works, or goes to school, as required by law.
U.S. Attorney Myers thanked Assistant U.S. Attorney Todd S. Shellenbarger who prosecuted this case.
5 July 2022
Woman Charged for Smuggling 108 Pounds of Methamphetamine Across the US-Mexico BorderRead the Press Release
PHOENIX, Ariz. – Maria Arredondo De Sanchez, 56, of Mexico, was charged by criminal complaint on July 1, 2022, for Possession with Intent to Distribute Methamphetamine and Importation of Methamphetamine into the United States from Mexico.
The complaint alleges that on June 30, 2022, Arredondo De Sanchez entered the United States through the San Luis Port of Entry where Customs and Border Protection officers discovered 105 packages hidden in Arredondo De Sanchez’s car. The packages contained a white crystal-like substance that tested positive for methamphetamine. The combined weight of the packages was over 108 pounds.
A conviction for each charged offense carries a maximum penalty of life in prison and a $10,000,000 fine.
A criminal complaint is merely an allegation of criminal conduct, not evidence. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
Homeland Security Investigations (HSI) are conducting the investigation in this case. The United States Attorney’s Office, District of Arizona, Phoenix, is handling the prosecution.
CASE NUMBER: 2022-MJ-02088
RELEASE NUMBER: 2022-107_Arredondo De Sanchez# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
U.S. Attorney Announces Two Additional Indictments as Part of COVID-19 Relief Fraud Strike ForceRead the Press Release
Spokane, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, has announced two new indictments resulting from the COVID-19 Relief Fraud Strike Force launched by the U.S. Attorney’s Office earlier this year. The Indictments were recently unsealed.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided government-backed loans to small businesses which could be forgiven so long as the proceeds were used for payroll and other eligible expenses. Another program, the Economic Injury Disaster Loan (EIDL) program, provided low interest loans that could be deferred until the conclusion of the pandemic to provide “bridge” funding for small businesses to maintain their operations during shutdowns and other economic circumstances caused by the pandemic. The PPP and EIDL programs have provided billions of dollars in aid, the vast majority of which have not been paid back, including hundreds of millions of dollars disbursed within Eastern Washington.
“COVID-19 relief programs quickly ran out of money due to the number of people and businesses that requested funding, which meant that some deserving small businesses were not able to obtain funding to keep their businesses in operation during the COVID-19 pandemic,” said U.S. Attorney Waldref. “We created the COVID-19 Fraud Strike Force because it is critical to the strength and safety of our community in Eastern Washington that we all work together to combat pandemic-related fraud. The Strike Force is one way to ensure that limited resources are provided to deserving local businesses that provide vital services for our communities. I greatly appreciate the hard work and esprit de corps of so many talented agents and agencies that are contributing to our collective efforts.”
In February 2022, U.S. Attorney Waldref and the U.S. Attorney’s Office (USAO) began working with federal law enforcement agencies to create and launch a COVID-19 Fraud Strike Force that would leverage partnerships between different agencies to aggressively investigate and prosecute fraud against COVID-19 relief programs in Eastern Washington. The Strike Force consists of agency representatives from the USAO, Small Business Administration (SBA) Office of Inspector General (OIG), Federal Bureau of Investigation (FBI), U.S. Department of the Treasury Inspector General for Tax Administration (TIGTA), U.S. Secret Service, U.S. Homeland Security Investigations, U.S. Department of Veterans Affairs OIG, General Services Administration OIG, Internal Revenue Service, Department of Energy OIG, and others. Cases investigated and prosecuted by the Strike Force have resulted in numerous indictments, criminal prosecutions, and civil penalties, including these two most recent indictments.
On May 3, a federal grand jury returned an Indictment charging Natasha Opsal, age 40, a former Spokane resident now residing in Great Falls, Montana, with nine counts of fraud in connection with several COVID-19 relief loans. The Indictment charges that Opsal fraudulently sought over $600,000 through the PPP and EIDL programs for fictitious businesses, over $50,000 of which she received. The Indictment was unsealed today following Opsal’s arrest and arraignment on the charges.
The same day, May 3, a federal grand jury returned an Indictment charging Yuriy P. Anishchenko, age 34, a former Spokane resident last known to be residing in Kent, Washington, with three counts of fraud in connection with two EIDL loans sought and obtained by Anishchenko. The Indictment charges that Anishchenko fraudulently obtained over $300,000 for non-qualifying and ineligible businesses. The fraud charges in both cases carry maximum sentences of up to 20 years in federal prison.
“I commend the stellar investigative work on these cases performed by the Strike Force and especially by the U.S. Secret Service, SBA, FBI, and TIGTA” said U.S. Attorney Waldref. “We will continue to work together with our law enforcement partners to vigorously prosecute those who abuse and misuse COVID-19 relief funding.”
Assistant United States Attorney Dominique Park is prosecuting United States v. Anishchenko, while Special Assistant United States Attorney Frieda Zimmerman and Assistant United States Attorney Tyler H.L. Tornabene are prosecuting United States v. Opsal. Both cases were investigated by the COVID-19 Relief Fraud Strike Force.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States v. Opsal, Case No: 2:22-CR-0053-TOR
United States v. Anishchenko, Case No: 2-22-CR-0057-TOR
Three Plead Guilty in Grandparent Scheme Targeting Rhode Island SeniorsRead the Press Release
PROVIDENCE – Appearing before a federal judge in Providence, three individuals today admitted that they participated in a “Grandparent Scam” that defrauded fourteen Rhode Island seniors out of a total of more than $350,000, announced United States Attorney Zachary A. Cunha.
The victims, who ranged from seventy-nine to ninety-four years of age, were contacted by telephone by callers impersonating family members or attorneys. These callers falsely told the victims that a loved one, generally a grandchild, had been arrested after being involved in a motor vehicle accident, and needed cash bail. The victims were directed to gather cash for these fake bail payments, and told to provide the money to a courier that would be sent to their home.
Bryan Valdez-Espinosa, 22, and Diego A. Alarcon, 22, of Union City, NJ; and Jason Hatcher, 40, of New York, NY, admitted that in June 2021, they traveled to New England to participate in the scam. Hatcher pleaded guilty to conspiracy to commit wire fraud and aggravated identity theft; Alarcon and Valdez-Espinosa each pleaded guilty to conspiracy to commit wire fraud.
“Few things are more frightening than thinking a family member is in trouble,” said U.S. Attorney Cunha. “These defendants exploited that fear to steal from loving grandparents and line their own pockets. Thanks to superb investigative work by our local law enforcement partners and the Department of Homeland Security, I am pleased that, with today’s guilty pleas, each of these defendants will answer for their fraud.”
“These three took advantage of a grandparent’s love for a grandchild to fleece them of their hard-earned money. They caused the victims to believe a loved one was in legal trouble or in danger, using fear as a weapon to turn a profit,” said Matthew Millhollin, Special Agent in Charge for the Homeland Security Investigations New England Field Office. “HSI works every day alongside our partners to uncover scams like this one to help keep our seniors safe.”
According to court documents and information presented to the court, victims were scammed out of a total of $350,815. In at least one instance, a family member intervened leading to the arrest of Valdez-Espinosa who was posing as a courier. Scammers defrauded the victims out of between $9,500 and $85,000.
Valdez-Espinosa, Alarcon, and Hatcher will be sentenced on October 11. 2022. Their sentences will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.
The cases are being prosecuted by Assistant U.S. Attorneys William J. Ferland and Christine D. Lowell.
The matter was investigated by Homeland Security Investigations.
United States Attorney Cunha thanks the Barrington, Cranston, Coventry, Cumberland, East Providence, Hopkinton, Johnston, North Kingstown, Smithfield, and Warwick Police Departments for their investigative assistance and assistance provide residents in their community victimized by this scam.
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St. Louis County man faces drug charge after teen’s suspected overdose deathRead the Press Release
ST. LOUIS – A man from St. Louis County is facing a federal drug charge after allegedly providing fentanyl to a 19-year-old who then suffered what is suspected to be a fatal overdose.
William Edward Martin, 21, was charged by complaint Thursday with one count of distributing a controlled substance. He appeared in federal court Tuesday and waived his right to a detention hearing, meaning he will be held in jail pending resolution of his case.
Charging documents say Martin sold fentanyl to the teen when they met in a Walgreens parking lot in Arnold on the evening of June 23. Surveillance video shows the woman getting into a BMW with Martin. A short time later, Martin can be seen dragging the teen out of the BMW and placing her in the backseat of her vehicle, where she then suffered a suspected fentanyl overdose, the charging documents say. She was found dead the next morning.
Martin was spotted in the BMW by Arnold police officers on Wednesday. He then sped away. Investigators later discovered a safe in the car containing suspected fentanyl, LSD, mushrooms, prescription drugs and drug paraphernalia.
Martin was subsequently arrested by police with a loaded pistol.
Charges set forth in a criminal complaint are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The case is being investigated by the Drug Enforcement Administration and the Arnold Police Department.
St. Cloud Man Sentenced to 21 Months in Prison for Possessing A Short-Barreled RifleRead the Press Release
Orlando, Florida – United States District Judge Carlos E. Mendoza has sentenced Yunis Isaac Mejia (28, St. Cloud) to 21 months in federal prison for possessing an unregistered short-barreled rifle. Mejia had pleaded guilty on January 28, 2022.
According to evidence admitted during the sentencing hearing, Mejia illegally modified a CZ Scorpion EVO 3 S1 pistol, with a barrel less than 16 inches long, with an aftermarket shoulder stock. With this modification, Mejia illegally converted the pistol into a short-barreled rifle. Under the federal National Firearms Act, short-barreled rifles are required to be registered.
Mejia then offered to sell his illegally modified firearm to an confidential source working at the direction of the Federal Bureau of Investigation. Mejia also provided direction and instruction to the confidential source on how the confidential source could purchase the same model of pistol and modify it himself.
This case was investigated by the Federal Bureau of Investigation, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Shawn P. Napier.
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.
Springfield, Massachusetts Man Sentenced for Drug Trafficking OffenseRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that on July 1, 2022, Justin Zayas-Sanchez, 22, of Springfield, Massachusetts, was sentenced in United States District Court in Burlington, Vermont, to serve 20 months in prison after his guilty plea to one count of distribution of fentanyl. U.S. District Judge Christina Reiss also ordered Zayas-Sanchez to serve a six-year term of supervised release and to pay a $100 special assessment.
According to court records and proceedings, on April 14, 2021, Zayas-Sanchez sold crack cocaine and ten bags of fentanyl to a confidential informant in the Rutland area. He also sold crack to an informant on May 26, 2021 and fentanyl to an informant on July 19, 2021. Zayas-Sanchez was arrested in November 2021 and has been detained since then.
U.S. Attorney Nikolas P. Kerest commended the efforts of the Vermont Drug Task Force, the Federal Bureau of Investigation, and the Fair Haven Police Department in the investigation and prosecution of Zayas-Sanchez.
Assistant U.S. Attorney Paul Van de Graaf handled the prosecution for the government. Assistant Federal Public Defender Mary Nerino represented Zayas-Sanchez.
Smuggler imprisoned after woman left on the side of the roadRead the Press Release
VICTORIA, Texas – A 43-year-old non-U.S. citizen illegally residing in Mission has been sent to prison for conspiracy to commit hostage taking which resulted in death, announced U.S. Attorney Jennifer B. Lowery.
Nelson Bahena-Garcia pleaded guilty Nov. 2, 2021, admitting the victim died during the smuggling incident.
Today, U.S. District Judge Rainey ordered Bahena-Garcia to serve 252 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At the hearing, the court heard additional evidence about how he operated an alien stash house using threats and intimidation and refused to allow the victim to be released for medical care during the smuggling attempt.
The investigation began after authorities had learned of a missing Honduran female. Her fiancé called authorities and informed them he had been unable to make payment for her release.
On May 28, 2018, authorities found her on a rural county road in Victoria County. She had been stripped nude and had what appeared to be trauma inflicted upon her body. The investigation revealed she had collapsed during the smuggling attempt and had to be carried. Even though she said, “please don’t leave me,” a companion heard Bahena-Garcia eventually provide instructions to leave her behind in the brush to die.
At the time of his plea, Bahena-Garcia admitted his driver had abandoned her by on the side of the highway.
Bahena-Garcia has been and will remain in custody pending transfer to a U.S. Bureau of prisons facility to be determined in the near future.
Homeland Security Investigations, Customs and Border Protection and the Victoria County Sheriff’ Office conducted the investigation. Assistant U.S. Attorney Patti Booth prosecuted the case.
Rapid City Business Owner Sentenced for Not Paying Employee TaxesRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man convicted of Failure to Withhold, Properly Account for, and Pay Over Tax was sentenced on June 30, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Frank Morrison, age 72, was sentenced to 13 months in federal prison, followed by two years of supervised release, and ordered to pay a $200,000 fine, $684,927.56 in restitution to the Internal Revenue Service (IRS), and a $100 special assessment to the Federal Crime Victims Fund
Morrison was charged on March 18, 2022, and pleaded guilty on April 1, 2022. The conviction stems from Morrison, while the owner of Thirsty’s Bar and Restaurant in Rapid City, failing to pay over taxes to the IRS after he withheld those taxes from his employees from 2008 through 2020. Morrison then used a large portion of those funds for his own personal use.
The investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Morrison was immediately remanded to the custody of the U.S. Marshals Service.
Prewitt man sentenced to five years in prison for manslaughter in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that on June 30 a federal judge sentenced Brandon Charley of Prewitt, New Mexico, to five years and three months in prison for voluntary manslaughter in Indian Country. Charley pleaded guilty on Sept. 8, 2021.
According to the plea and other court records, Charley got into an altercation with the victim and shot him from a motor vehicle in a remote area near Prewitt, New Mexico. The shooting occurred on the Navajo Nation, and Charley and the victim are enrolled members of the Navajo Nation. Following Charley’s imprisonment, he will be placed on supervised release for three years.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Department of Criminal Investigation. Assistant United States Attorneys Joseph M. Spindle and Letitia Carroll Simms prosecuted the case.
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Poultney, Vermont Man Charged with Distribution of Fentanyl and Cocaine BaseRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that on June 29, 2022 a federal grand jury, sitting in Rutland, charged Javon Wright (a.k.a. “Ace”), 37, of Poultney, Vermont with five counts of distributing fentanyl and cocaine base in May and June of 2022 in Rutland County.
According to court documents and proceedings, on June 30, 2022, following his indictment and the issuance of an arrest warrant, law enforcement arrested Wright as he was exiting a store in Fair Haven, Vermont. According to the government, at the time of his arrest, Wright possessed approximately 9 grams of cocaine base and less than a gram each of heroin and fentanyl. Also, early in the morning of July 1, 2022, law enforcement officers executed a search warrant at Wright’s residence at 288 Bentley Avenue in Poultney, Vermont and seized approximately 82 grams of cocaine powder, 20 grams of cocaine base, 12 grams of methamphetamine, and 9 grams of fentanyl – all weights with packaging.
At today’s arraignment, Wright pleaded not guilty to the charges. U.S. District Court Magistrate Judge Kevin Doyle ordered Wright remanded to the custody of the U.S. Marshals Service pending a hearing on the government’s motion for detention, which the Court scheduled for July 7, 2022.
The maximum penalty for each of the charges are 20 years of imprisonment, a $1,000,000 fine, and a mandatory three years of supervised release, which follows any jail sentence. Any actual sentence, however, will be informed by the advisory Sentencing Guidelines. The Indictment is an accusation only and the defendant is presumed innocent until and unless proven guilty.
United States Attorney Nikolas Kerest commended the efforts of the Vermont State Police Narcotics Investigative Unit and the Federal Bureau of Investigation in this matter. This case is prosecuted by Assistant U.S. Attorney Joseph Perella. Wright is represented by the Office of the Federal Public Defender in Burlington.
Phillipsburg Woman Sentenced to 60 Months in Prison for Conspiring to Distribute MethamphetamineRead the Press Release
JOHNSTOWN, Pa. – A former resident of Phillipsburg, PA, has been sentenced in federal court to a total of 60 months in prison followed by 4 years of supervised release on her conviction of conspiracy to distribute methamphetamine, United States Attorney Cindy K. Chung announced today.
Senior United States District Judge Kim R. Gibson imposed the sentence on Miranda Williams, 28, of Phillipsburg, Pennsylvania.
According to information presented to the court, from July 2019 to June 2020, Williams conspired to distribute 50 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
Ms. Chung commended the Drug Enforcement Administration and the Pennsylvania State Police for the investigation that led to the successful prosecution of Williams. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Homeland Security Investigations, Pennsylvania Office of the Attorney General, Clearfield County District Attorney’s Office, Erie County District Attorney’s Office, Millcreek Police Department, Erie Bureau of Police, and other local law enforcement agencies.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Orinda Man Found Guilty of Bank Fraud, Wire Fraud, and Money LaunderingRead the Press Release
SAN FRANCISCO – Alan Safahi was found guilty following a federal bench trial of bank fraud, wire fraud, and money laundering in a prepaid debit card scheme that caused losses of approximately $1.5 million, announced United States Attorney Stephanie M. Hinds and Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Mark H. Pearson.
In a 39-page order filed late Thursday, United States District Judge Susan Illston convicted Safahi, 61, of Orinda, of one count of bank fraud, four counts of wire fraud, and one count of money laundering. The order, handed down following a nearly four-week bench trial, detailed the evidence against Safahi.
Evidence presented at trial demonstrated that Safahi developed an elaborate fraud scheme in which he collected money from clients to fund prepaid debit cards and, while accurately reporting the balances of the cards to the clients, created a system called “funding on demand” to defraud the bank that supported the cards. In the fraud, Safahi reported to the bank only the amount the clients spent on the card as the card’s “balance,” while diverting to himself the remaining balance of the card’s value. For example, a client of Safahi’s company, CardEx, would buy a prepaid debit card for $100 and spend $10 of that $100 balance. Safahi’s fraudulent “funding on demand” system would then report to the bank the “balance” of that card as $10 instead of $100. This allowed Safahi to access the money representing the difference between the actual card balance and the amount that had been spent on the card as reported to the bank.
Safahi used the fraudulently obtained funds not only to pay off his company’s debt to another bank but also to buy a house in Orinda. Just two days before reporting the accurate balance to the bank, Safahi issued himself an $80,000 cashier’s check from his company’s account that, among other fraudulently obtained funds, he used to purchase the house. This transaction provided the basis of his money laundering conviction.
The fraud scheme unraveled on September 25, 2014. On the same day Safahi shut down his CardEx business, he directed an employee to provide the accurate balances of the prepaid debit cards to the bank. According to trial evidence, Safahi had earlier reported to the bank a false balance of $93,734 on the cards he had sold. The true balance on the cards reported to the bank that day was $2,774,953. The difference was nearly $2.7 million, and further investigation revealed that Safahi had fraudulently appropriated approximately $1.5 million of that amount.
United States District Judge Susan Illston has not yet set a sentencing date.
Safahi was convicted of one count of bank fraud in violation of 18 U.S.C. § 1344, which carries a maximum term of imprisonment of 30 years and a maximum fine of up to $1,000,000 or twice the gross gain or loss amount. He was also convicted of four counts of wire fraud in violation of 18 U.S.C. § 1343, which carries a maximum term of imprisonment of 20 years and a maximum fine of $250,00. Safahi was lastly convicted of one count of money laundering in violation of 18 U.S.C. § 1957, which carries a maximum term of imprisonment of 10 years and a maximum fine of $250,000. However, any sentence for these convictions will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Robert David Rees and Benjamin Kurtis Kleinman are the Assistant U.S. Attorneys who prosecuted the case, with the assistance of Llessica Chan Fierro, Veronica Hernandez, Olivia Hawkins, Leeya Kekona, and Karina Ruiz. The prosecution is the result of an investigation by IRS-CI.
Nicaraguan Man Who Used a Fraudulent Social Security Card and Permanent Resident Card Sentenced to PrisonRead the Press Release
A man who used false identification documents and someone else’s social security number was sentenced today to six months in federal prison.
Fernando Moreno-Moreno, age 43, a citizen of Nicaragua illegally present in the United States and residing in Postville, Iowa, received the prison term after a May 17, 2022 jury verdict finding him guilty of one count of unlawful use of identification documents and one count of misuse of a social security number.
Evidence at trial showed that Moreno-Moreno illegally entered the United States in November 2021, and after being released by immigration authorities, traveled to Iowa looking for work. Despite being told that he could not work in the United States without authorization, Moreno-Moreno used an alias name and a Social Security number assigned to another person when completing employment paperwork in January 2022 at a business in West Union, Iowa. Specifically, Moreno-Moreno presented the company with a fraudulent Lawful Permanent Resident card, also known as a “green card,” bearing the alias name and an Alien Registration number, to prove his authorization to work in the United States. The Alien Registration number on the green card was not assigned to anyone and was invalid. He also presented a Social Security card bearing his alias name but containing the social security number assigned to another person when completing state and federal tax forms. Moreno-Moreno admitted at trial that he used the alias when employed at the company between January and March 2022 but denied knowingly using another person’s identification documents.
Moreno-Moreno was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Moreno-Moreno was sentenced to six 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.
Moreno-Moreno is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and was investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-2010.
Follow us on Twitter @USAO_NDIA.
New Orleans Woman Pleads Guilty to Misprision of FelonyRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that ASHLEY OVERTON, age 36, of New Orleans, pled guilty on June 30, 2022 to misprision of felony, in violation of 18 U.S.C. § 4.
According to court documents, as a part of a narcotics drug trafficking investigation, OVERTON failed to notify law enforcement authorities of criminal activity and performed acts to conceal a crime.
OVERTON faces a maximum sentence of 3 years imprisonment, a fine of up to $250,000, up to 1 year of supervised release and a mandatory $100 special assessment fee.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (“OCDETF”). OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
U.S. Attorney Evans praised the work of the Drug Enforcement Administration and Federal Bureau of Investigation in investigating this matter. Assistant United States Attorneys Elizabeth Privitera and Jonathan L. Shih are in charge of the prosecution.
New Orleans Man Sentenced to Nine Years in Federal Prison for Massive Credit Card Fraud SchemeRead the Press Release
NEW ORLEANS, LOUISIANA – On June 30, 2022 United States District Judge Eldon E. Fallon sentenced MAURICE DURIO, age 42, a New Orleans native to 108 months in federal prison for his role in a massive credit card fraud scheme, announced U.S. Attorney Duane A. Evans.
According to the court records, DURIO previously pleaded guilty to a credit card fraud charge. In a sworn factual basis, DURIO admitted that he began making fraudulent credit cards in New Orleans before eventually renting office space in an office park in Houston to expand his operation. He outfitted the space with equipment used to make fraudulent credit cards. Over the next several years, DURIO and his co-defendant, EDWARD TOLIVER, who also operated a card manufacturing plant in the same office park, obtained hundreds of thousands of stolen credit card numbers from a variety of sources, including a computer hacker TOLIVER had met in prison and by purchasing them on the dark web.
DURIO and TOLIVER, with the assistance of several co-conspirators, created and/or downloaded credit card templates on laptop computers and transferred the stolen credit card numbers into the templates, which were then used to create tens of thousands of fraudulent access devices. The cards would generally be printed in batches with the same name appearing on numerous cards. The name was typically the real name of a co-conspirator. The cards were embossed with numbers, and corresponding account information was encoded on the strips on the back of the cards. The names of the co-conspirators/users of the fraudulent cards did not correspond to the actual account holders, who had not given permission for their accounts to be used. DURIO and TOLIVER distributed thousands of fraudulent access devices to numerous individuals who then used them to fraudulently obtain things of value, including merchandise and gift cards.
The Secret Service, with the assistance of local law enforcement, investigated numerous instances in which individuals were caught with cards manufactured at the Houston plants operated by DURIO and TOLIVER. Agents were able to tie these card seizures to the plants where DURIO and TOLIVER were making the cards through several means.
In July 2014, a federal search warrant was executed at the Houston office park and agents seized device making equipment, including embossers, scanners, and high-end printers, thousands of cards, and a laptop computer. The computer had approximately 80,000 card numbers in files, as well as spreadsheets used to move the card numbers from the text files they came in when obtained through the dark web to the actual credit cards. Agents also obtained other laptops used by DURIO and TOLIVER that contained approximately 300,000 additional card numbers.
The scheme used various methods to monetize the fraudulent credit card production. First, DURIO and TOLIVER would simply sell cards. The buyer would pay them a set amount and then get to keep whatever the buyer could purchase with the cards. Second, DURIO and TOLIVER would provide cards with the idea that the person getting the cards would buy merchandise and then sell the merchandise at a discount for cash and kick back some of the cash. Third, DURIO and TOLIVER would provide cards and the person getting the cards would buy gifts cards, some of which were kicked back.
This case was investigated by Special Agents of the United States Secret Service. The prosecution is being handled by Assistant United States Attorney David Haller.
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New Orleans Man Indicted for Violations of the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – COREY HALE, age 32, a resident of New Orleans, was charged on June 30, 2022 in a four-count indictment by a federal grand jury for being a felon in possession of a firearm and possession of a firearm after being convicted of a misdemeanor crime of domestic violence.
If convicted, HALE faces a maximum term of imprisonment of ten (10) years, a fine of up to $250,000.00, up to three (3) years of supervised release following any term of imprisonment and a $100 mandatory special assessment fee.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
U. S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The case was investigated by the Federal Bureau of Investigation, Louisiana State Police, and the New Orleans Police Department. The case is being prosecuted by Assistant U.S. Attorney Mike Trummel.
New Haven Man Sentenced to 78 Months in Prison for Drug Trafficking, Assaulting Correctional OfficerRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that SHAWN HILL, also known as “SB,” 38, of New Haven, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 78 months of imprisonment, followed by three years of supervised release, for assaulting a federal correctional officer, and distributing heroin and crack cocaine shortly after his release from federal custody and while on supervised release.
According to court documents and statements made in court, on March 11, 2016, Hill was sentenced in Hartford federal court to 72 months of imprisonment, followed by three years of supervised release, for possession of a firearm by a convicted felon. After his sentencing, Hill was incarcerated at USP Canaan, a high-security federal prison in Waymart, Pennsylvania. On June 30, 2017, a correctional officer located a 6-inch metal “ice pick” style weapon in Hill’s left sock. About an hour later, as prison staff attempted to put hand restraints on Hill so that Hill could be transported to the prison’s Special Housing Unit, Hill slipped his arm out of the restraints and struck a correctional officer in the head with a restraint that was still attached to one of his hands, causing injury to the correctional officer.
On September 19, 2017, a grand jury in the Middle District of Pennsylvania returned an indictment charging Hill with one count of assaulting a federal correctional officer, and one count of possessing contraband in prison.
On April 4, 2019, after he had completed his 72-month sentence, Hill was released on bond while his charges in the Middle District of Pennsylvania were pending.
On April 11, 2019, Hill was intercepted over a court-authorized wiretap during an investigation being conducted by the FBI’s New Haven Safe Streets/Gang Task Force and New Haven Police Department addressing drug trafficking and related acts of violence by members, former members and associates of the “Island Brothers” street gang in New Haven. Evidence developed during the investigation confirmed that Hill was involved in the acquisition and distribution of heroin and crack cocaine.
On July 9, 2019, a grand jury in New Haven returned a 15-count indictment charging 25 individuals with federal narcotics offenses related to the distribution of crack cocaine, cocaine and heroin. Hill and another individual were added as defendants in a superseding indictment that was returned on November 25, 2019.
Hill has been detained since his arrest on November 26, 2019. His case in the Middle District of Pennsylvania was subsequently transferred to the District of Connecticut for further prosecution.
On September 22, 2020, Hill pleaded guilty to one count of conspiracy to possess with intent to distribute cocaine base (“crack”) and heroin, and one count of assault on a correctional officer. Hill also admitted that he violated the conditions of his supervised release.
Judge Chatigny sentenced Hill to 57 months of imprisonment for the narcotics and assault offenses, and a consecutive 21 months of imprisonment for violating the conditions of his supervised release. Hill also must spend the first six months of his supervised release in a halfway house, and the next six months on curfew with electronic monitoring.
This matter was investigated by the FBI’s New Haven Safe Streets/Gang Task Force, New Haven Police Department, Milford Police Department, Hamden Police Department, East Haven Police Department, Connecticut State Police, Connecticut Department of Correction, the U.S. Drug Enforcement Administration, and the U.S. Bureau of Prisons. The case was prosecuted by Assistant U.S. Attorneys Anthony E. Kaplan, Elena L. Coronado and Tara E. Levens.
Montrose Woman Pleads Guilty to Mail FraudRead the Press Release
Grand Junction – The United States Attorney’s Office for the District of Colorado announces Megan Hess, age 45, of Montrose, Colorado pleaded guilty to one count of mail fraud and aiding and abetting.
According to the plea agreement, beginning in 2010 and continuing into 2018, Hess devised and executed a scheme to steal the bodies or body parts of hundreds of victims, and then sold those remains to victims purchasing the remains for scientific, medical, or educational purposes.
Magistrate Judge Gordon P. Gallagher presided over the change of plea hearing on July 5, 2022. Sentencing will be set at a later date.
This case was investigated by the FBI Denver Division and the U.S. Department of Transportation Office of Inspector General. It is being prosecuted by Assistant United States Attorneys Jeremy Chaffin and Tim Neff.
Due to public interest in this case, a copy of the plea agreement is posted here:
hessplea_1.pdfCase #: 20-cr-00098
Mexican Man Sentenced to Prison for Illegally Reentering the United States After Being Deported Three TimesRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to two months in federal prison.
Marcos Espina-Cruz, age 27, a citizen of Mexico illegally present in the United States and residing in Iowa City, Iowa, received the prison term today after a guilty plea on May 20, 2022, to one count of illegal reentry into the United States after having been deported.
At the guilty plea, Espina-Cruz admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Espina-Cruz was first deported to Mexico by immigration officials in March 2016 following a conviction in the Western District of Texas for illegal entry into the United States. He was also deported in May 2016 after being caught at the border in California and in September 2019 following his arrest on state charges in Johnson County, Iowa. On April 22, 2022, immigration officials learned Espina-Cruz had illegally returned to the United States and found Espina-Cruz at the Linn County Jail following his arrest on state charges.
Espina-Cruz was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Espina-Cruz was sentenced to 65 days’ imprisonment. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Espina-Cruz is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-42.
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Meridian Man Pleads Guilty to Possession of a Firearm by a Convicted FelonRead the Press Release
Jackson, Miss. – A Meridian man pleaded guilty to possession of a firearm by a convicted felon, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation in Mississippi.
According to court documents, on February 3, 2020, Eric Wayne Washington, 50, was found to be in possession of a firearm during the execution of a search warrant at his residence. Washington was found in the residence and taken into custody. After Washington identified which bedroom belonged to him, the officers continued their search. A 9mm pistol was found in the bedroom along with methamphetamine. Washington has multiple prior felony convictions. As a convicted felon, it is contrary to federal law for Washington to possess any firearms or ammunition.
Washington pleaded guilty to a violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2) which criminalize the possession of firearms by convicted felons. He is scheduled to be sentenced on October 14, 2022 and faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Meridian Police Department and the FBI are investigating the case.
Assistant U.S. Attorney Charles W. Kirkham is prosecuting the case.
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.
Mexico-Based Marijuana Trafficker Sentenced to Lengthy Prison SentenceRead the Press Release
PHOENIX, Ariz. – On June 28, 2022, Juan Carlos Juarez-Torres, 41, of Mexico, was sentenced by United States District Judge Steven P. Logan to 240 months in prison, followed by 60 months of supervised release. Juarez-Torres previously pleaded guilty on October 13, 2021, to conspiracy to import marijuana, conspiracy to distribute marijuana, conspiracy to possess with intent to distribute marijuana, and conspiracy to commit money laundering.
In October 2014, Homeland Security Investigations (HSI) began an 18-month wiretap investigation of Mexico-based members of a large international drug-trafficking organization (DTO) that smuggled multiple tons of marijuana from Mexico into the southern Arizona desert. Juarez-Torres coordinated and directed marijuana smuggling activities on behalf of the DTO and the pick-up and repatriation of marijuana proceeds to DTO members in Mexico. Additionally, Juarez-Torres coordinated and directed the purchase and smuggling of firearms and ammunition and the acquisition and distribution of equipment and vehicles for use by the DTO. HSI also intercepted communications between Juarez-Torres and other members of the DTO regarding the killing of rival drug traffickers, bribing public officials in furtherance of the DTO’s illicit activities, and the use of residences to store marijuana smuggled into the United States
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
HSI Phoenix, Customs and Border Protection’s U.S. Border Patrol, the Drug Enforcement Administration, HSI Mexico City, the Pinal County Sheriff’s Office, and the West Desert Task Force conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-15-1211-PHX-SPL
RELEASE NUMBER: 2022-106_JUAREZ-TORRES# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Luling Man Pleads Guilty to Possessing Files Depicting the Sexual Victimization of ChildrenRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that DOMINIC ROMANO, age 21, a resident of Luling, Louisiana, pleaded guilty on June 30, 2022 before United States District Judge Barry W. Ashe to a one-count indictment charging him with possession of images and videos depicting the sexual exploitation of children under the age of twelve years old, in violation of 18 U.S.C. ' 2252(a)(4)(B).
According to court documents, the Federal Bureau of Investigation received a tip from another law enforcement agency that an individual, subsequently determined to be ROMANO, accessed an online bulletin board having an explicit focus on the advertisement, distribution, and facilitation of sharing child abuse material. The bulleting board contained sections and forums cataloged by the age of the victims and the nature of the violence inflicting on them.
The FBI executed a search warrant on ROMANO’s residence on May 7, 2020 and seized electronic devices. ROMANO’s seized devices contained at least 2589 image and 62 videos depicting the sexual exploitation of children, including children less than three years old. Among ROMANO’s collection was a digital presentation that purported to be an instruction manual on how to successfully victimize “very young girls” without being caught.
ROMANO faces a maximum term of imprisonment of twenty (20) years. ROMANO also faces up to a lifetime of supervised release, up to a $250,000 fine, and he can be required to register as a sex offender. Sentencing before Judge Ashe is scheduled for September 29, 2022, at 1:30 pm.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys= Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to 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.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorney Jordan Ginsberg is in charge of the prosecution.
Kentucky Man Charged with Communications of Interstate ThreatsRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that BRIAN ADAMS, age 22, of Paintsville, Kentucky, was indicted on June 30, 2022 by a federal grand jury for communication of interstate threats to kidnap or injure, in violation of 18 U.S.C. § 875(c).
According to the indictment, ADAMS, transmitted a threat to a fifth-grade class at the Laureate Academy Charter School on or about October 14, 2020. At the time, the school was conducting class virtually over Zoom due to the COVID-19 pandemic. Specifically, ADAMS is alleged to have used racial epithets and threats against the students. The grand jury also made a special finding that ADAMS selected the fifth-grade class as the object of his threat because of the actual and perceived race of the students and teachers.
If convicted of this offense, ADAMS faces a maximum sentence of 5 years, a fine of up to $250,000, up to 1 year of supervised release, and a $100 mandatory special assessment fee.
U.S. Attorney Evans reiterated that the indictment is merely an allegation and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is being investigated by the Federal Bureau of Investigation. Assistant United States Attorneys Tracey N. Knight and Jonathan L. Shih are in charge of the prosecution.
Justice Department Files Lawsuit Against the State of Arizona over Restrictive Voter Registration RequirementsRead the Press Release
The Justice Department announced today that it has filed a lawsuit against the State of Arizona challenging voting restrictions imposed by House Bill 2492 (2022), a recently-enacted law set to take effect in January 2023. The United States’ complaint challenges provisions of House Bill 2492 under Section 6 of the National Voter Registration Act of 1993 (NVRA) and Section 101 of the Civil Rights Act of 1964.
“House Bill 2492’s onerous documentary proof of citizenship requirement for certain federal elections constitutes a textbook violation of the National Voter Registration Act,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “For nearly three decades, the National Voter Registration Act has helped to move states in the right direction by eliminating unnecessary requirements that have historically made it harder for eligible voters to access the registration rolls. Arizona has passed a law that turns the clock back on progress by imposing unlawful and unnecessary requirements that would block eligible voters from the registration rolls for certain federal elections. The Justice Department will continue to use every available tool to protect all Americans’ right to vote and to ensure that their voices are heard.”
“The U.S. Attorney’s Office for the District of Arizona is dedicated to protecting voters in the state,” said U.S. Attorney Gary M. Restaino for the District of Arizona. “We are proud to join the Civil Rights Division in bringing this lawsuit to ensure that all eligible citizens in Arizona have the opportunity to register to vote and exercise their fundamental right to participate in our elections.”
The United States’ complaint contends that House Bill 2492 violates the NVRA by requiring that applicants produce documentary proof of citizenship before they can vote in presidential elections or vote by mail in any federal election when they register to vote using the uniform federal registration form created by the NVRA. This requirement flouts the 2013 U.S. Supreme Court decision in Arizona v. Inter Tribal Council of Ariz., Inc., 570 U.S. 1 (2013), which rejected an earlier attempt by Arizona to impose a similar documentary proof of citizenship mandate on applicants seeking to vote in federal elections. The United States’ complaint also contends that House Bill 2492 violates Section 101 of the Civil Rights Act by requiring election officials to reject voter registration forms based on errors or omissions that are not material to establishing a voter’s eligibility to cast a ballot.
The United States’ complaint asks the court to prohibit Arizona from enforcing the provisions of House Bill 2492 that violate the NVRA and the Civil Rights Act.
More information about the Voting Rights Act and other federal voting laws is available on the Department of Justice’s website at https://www.justice.gov/crt/voting-section. Complaints about discriminatory voting practices may be reported to the Civil Rights Division through the internet reporting portal at https://civilrights.justice.gov or by telephone at 1-800-253-3931.
Former Philadelphia Water Department Employee Sentenced to over One Year in Prison for TheftRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Thomas Staszak, 47, of Philadelphia, PA, a former employee of the Philadelphia Water Department (“PWD”), was sentenced to fourteen months in prison, two years of supervised release, and was ordered to pay $153,367 restitution by United States District Judge Joel H. Slomsky for stealing inventory from a City of Philadelphia storage facility.
In January 2022, the defendant pleaded guilty to multiple counts of theft from a federally funded program and computer fraud. On multiple occasions from approximately April 2017 through at least November 2018, the defendant accessed PWD’s computerized inventory control system without authorization, using log-in credentials associated with PWD employees under his supervision, at a PWD storeroom. Staszak created false entries in PWD’s electronic records to provide justifications for removing maintenance materials, for example bulk wire, from the storeroom. The defendant then physically took the materials from PWD’s inventory, transported them to local scrap yards, sold the materials, and kept the proceeds. In this fashion, Staszak stole items valued at approximately in excess of $150,000 before he was caught. As a City of Philadelphia agency, PWD receives millions of dollars in federal funds and assistance annually.
“Mr. Staszak used his position as a supervisor with a public sector agency to enrich himself to the detriment of all Philadelphians who expect and deserve honest services from their government,” said U.S. Attorney Romero. “The Philadelphia Water Department is entrusted with a task which is vital to the health of our city and region; the defendant’s actions took money and resources for that mission directly out of the hands of taxpayers and moved the proceeds into his own bank account.”
“Thomas Staszak apparently felt his city salary wasn’t enough,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “But stealing and selling your employer’s property certainly isn’t the way to enhance your paycheck. In doing so, Staszak cheated the Philadelphia Water Department, the taxpayers who help fund it, and all the honest municipal employees who do the right thing, in the right way, every day. He’ll now pay for his crimes through restitution and prison time.”
The case was investigated by the Federal Bureau of Investigation and the City of Philadelphia’s Office of Inspector General, and is being prosecuted by Assistant United States Attorney Eric L. Gibson.
Former Hawaii Senate Majority Leader Sentenced to 40 Months in Federal PrisonRead the Press Release
HONOLULU – Senior United States District Judge Susan Oki Mollway sentenced Jamie Kalani English, age 55, former Majority Leader of the State of Hawaii Senate, today to serve 40 months in federal prison and pay a fine of $100,000 for honest services wire fraud consisting of acceptance of multiple bribes in return for performing, and agreeing to perform, official legislative acts on behalf of a Hawaii businessperson.
According to the prosecution’s argument to the court, English was never reluctant about taking money in return for political and legislative favors. English’s behavior signaled that it was systematic and normal for him to accept, and indeed expect, financial benefits in return for legislative favors. It was English who unknowingly initiated the FBI covert relationship with him by reaching out to Person A with a demand for hotel rooms in Las Vegas for English and some of his friends.
The court also received information that on February 24, 2020, English accepted $1,000 from Person A for assistance with cesspool legislation that could directly benefit Person A’s company, telling Person A that he “should formulate what you would like to see” in the bill. On March 11, 2020, Person A met with English and offered him $10,000 in cash to kill the cesspool bill. English accepted the $10,000 stating “it’s easy to kill bills.” Due to the Covid 19 pandemic, the bill did not advance.
In January 2021, English accepted another $5,000 from Person A in return for anticipated legislative assistance to Person A. During a subsequent law enforcement traffic stop, English hid the $5,000 under the vehicle’s floor mat. On his annual mandatory gift disclosure report, English failed to report any of the bribes and gifts Person A paid and gave him. As a part of his official gift disclosure submissions, English emailed this false and misleading disclosure form, thereby using interstate commerce.
In sentencing English to federal prison and imposing the $100,000 fine, Judge Mollway observed that an elected public official who had the power to affect legislation and was willing to accept a bribe was a “terrible combination.” She called it a “terrifying prospect” that accepting a bribe was so natural to him that he could receive it as if normal.
“As we stated when recommending a term of imprisonment, English, as a prominent leader in the State Senate, shoulders significant responsibility for any deficit of confidence in our public officials,” said U.S. Attorney Clare E. Connors. “He criminally abused the power of his official position to serve his personal interests rather than the people of Hawaii, which is misconduct the federal government will prosecute in order to hold elected officials accountable.”
“As a former Hawaii politician is sentenced today for public corruption, the taxpayers of Hawaii should know that the FBI continues to vigorously investigate those who misuse their official position for their own personal financial gain,” said Federal Bureau of Investigation (FBI) Special Agent in Charge Steven Merrill. “We will not stop in our pursuit to bring these types of cases to the U.S. Attorney's Office for prosecution and ensure that the best interests of the people of Hawaii are served.”
The Federal Bureau of Investigation conducted the investigation that resulted in the indictment. Assistant U.S. Attorneys Ken Sorenson, Micah Smith and Michael Albanese handled the prosecution.
Former Bangor Business Owner Pleads Guilty to Paycheck Protection Plan (PPP) Loan FraudRead the Press Release
BANGOR, Maine: A Skowhegan man pleaded guilty today in federal court to a bank fraud scheme arising from his applications for Paycheck Protection Plan (PPP) loans, U.S. Attorney Darcie N. McElwee announced.
According to court records Nathan Reardon, 44, formerly of Brewer, Maine, owned and controlled Global Disruptive Technologies Inc., a Bangor-based business. In April 2020, Reardon obtained a $59,145 PPP loan for Global Disruptive Technologies Inc. using false employee wage information and false supporting payroll documentation. Reardon then improperly spent the PPP funds on items and expenses he knew were not covered by the program. After receiving the first loan, Reardon submitted additional fraudulent PPP applications to the same bank in April and May 2020. Two of the applications were for companies that had no active business operations, employees or payroll.
The Coronavirus Aid Relief and Economic Security (CARES) Act is a federal law, enacted in March 2020, was designed to provide emergency financial assistance to the millions of Americans who suffered economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses for job retention and certain other expenses through the PPP.
Businesses were required to use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities. The PPP allowed the interest and principal to be forgiven if businesses spent the proceeds on these expenses within a set period and used at least a certain percentage of the funds for payroll expenses.
Reardon was indicted by a federal grand jury in Bangor on May 13, 2021. He faces up to 30 years in prison and a $1,000,000 fine. He also faces up to five years of supervised release. Reardon will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The case was investigated by the Treasury Inspector General for Tax Administration and the U.S. Small Business Administration.
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Florida Man Charged with Unlawful Transportation of IndividualsRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Juan Mejia-Flores, 31, of Bradenton, Florida, has been indicted by the federal grand jury for the unlawful transportation of individuals who entered the United States illegally. Mejia-Flores is scheduled to be arraigned before United States Magistrate Judge Kevin J. Doyle this afternoon.
According to public documents in the case, on June 24, 2022, United States Border Patrol observed four people unlawfully cross the international border near Pelow Street in Derby Line, Vermont, and enter a white sedan. Border Patrol agents responded to the area, and conducted a traffic stop of the white sedan, which was being driven by Mejia-Flores. The other four occupants of the sedan admitted they were Mexican nationals without lawful status in the United States and had unlawfully entered the United States in Derby Line. Investigation by Border Patrol agents determined Mejia-Flores had been involved in a second unlawful crossing event near Burke, New York on May 14, 2022 that involved seven people unlawfully entering the United States from Canada.
The U.S. Attorney’s Office notes that an indictment is an accusation only and that the defendant is presumed innocent until and unless proven guilty. If convicted, the defendant faces up to 5 years of imprisonment on the current charge. Any sentence in the case will be advised by the Federal Sentencing Guidelines.
U.S. Attorney Nikolas Kerest credited the United States Border Patrol and Homeland Security Investigations for their investigation of Mejia-Flores.
Assistant U.S. Attorney Jonathan Ophardt represents the government. Mejia-Flores is represented by Assistant Federal Public Defender Steven Barth.
Federal Grand Jury Indicts Former Schuele Boys Gang Associate for Stealing Painkillers from Rite AidRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that a federal grand jury has returned an indictment charging Demario Robbins, 29, of Buffalo, NY, with one count of robbery of a pharmacy, which carries a maximum penalty of 20 years in prison.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that according to the indictment, on December 30, 2021, Robbins stole quantities of oxycodone and hydrocodone, both Schedule II controlled substances, from the Rite Aid on Genesee Street in Buffalo.
Robbins, a former associate of the Schuele Boys Gang, was convicted of conspiracy to distribute cocaine and sentenced to serve 24 months in prison in 2017.
The defendant was arraigned before U.S. Magistrate Judge Jeremiah J. McCarthy and released on conditions.
The indictment is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Frank A. Tarentino III, New York Field Division and the Buffalo Police Department, under the direction of Commissioner Joseph Gramaglia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Contractor charged in bribery and bid rigging schemeRead the Press Release
HOUSTON – A 64-year-old Houston resident is set to appear in court on charges he participated in a fraud scheme for 12 years, announced U.S. Attorney Jennifer B. Lowery.
Abraham Joseph is expected to appear before U.S. Magistrate Judge Peter Bray at 2 p.m. today.
A one-count criminal information, filed June 27, alleges Joseph was the owner of a company called One Point Inc. and participated in a fraud scheme from 2007 until 2019 against a company with a manufacturing facility in Houston.
Joseph allegedly engaged in a bribery and bid rigging scheme to obtain construction and maintenance work at the victim company. According to the charges, Joseph submitted fake bids through the facilities manager who made it appear that OnePoint was the low bidder. In return, Joseph allegedly paid millions of dollars and gave other items of value. Joseph also had work funneled to him and his company and paid kickbacks in return, according to the charges.
The information alleges that when submitting invoices for payment to the victim company, Joseph failed to disclose he was submitting falsified bids, paying kickbacks from victim company funds and even had their employee on OnePoint’s payroll at one point.
The victim company would not have paid OnePoint invoices had it known about the falsified bids or the kickback payments, according to the charges.
If convicted, Joseph faces up to five years in federal prison and a possible $250,000 fine.
The FBI conducted the investigation. Assistant U.S. Attorney Belinda Beek is prosecuting the case.
A criminal information is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Chula Vista Woman Sentenced for Attempting to Avoid Prison for Fraud Conviction by Faking CancerRead the Press Release
SAN DIEGO – This morning, Ashleigh Lynn Chavez was sentenced to serve 24 additional months in prison for obstruction of justice by forging doctors’ notes falsely indicating she had been diagnosed with cancer and causing these notes to be submitted to the federal judge.
U.S. District Judge Anthony J. Battaglia had previously sentenced Chavez to serve 12 months and 1 day in federal prison for her conspiracy to embezzle more than $160,000 from a former employer. From the time of her guilty plea in that case in 2019 through her sentencing hearing on March 31, 2021, Chavez was permitted to remain out of custody on bond.
On the eve of her sentencing, Chavez, 38, created a doctor’s note that falsely claimed that a biopsy had revealed “cancerous cells” in her uterus. She forged the signature of her doctor on this letter. Chavez provided the note to her attorney who, believing it to be genuine, submitted it to the court and to the assigned prosecutor in a bid for leniency. As a direct result of the forged doctor’s note she had caused her attorney to submit, Chavez was permitted to remain out of custody for an additional three months so that she could allegedly receive medical treatment.
As detailed in her plea agreement, after her sentencing hearing Chavez hired a new attorney whom she provided with additional forged letters from two different San Diego-area physicians. The new attorney, also believing the letters to be genuine, submitted them to the assigned prosecutor and to the court.
One forged letter, purporting to be from an oncologist, said: “Ashleigh has limitations due to uterine cancer and future need for radiation.” Other letters indicated that she was undergoing a surgical procedure, that she had been admitted to the hospital, and that her “condition has progressed… to Stage II; the cancer has spread to the cervix.” One letter warned that “she cannot be exposed to COVID-19” because of her fragile state. In August 2021, Chavez was purportedly scheduled to begin chemotherapy. Her attorney contacted the assigned prosecutor and indicated that she was too ill to work, and that as a result she needed to be relieved of monthly restitution obligations to the victim in her previous case.
By August 2021, the notes forged by Chavez were overtly recommending that the court reconsider her prison sentence and instead permit her to serve time on home confinement. In one forged note attributed to a San Diego-area oncologist, Chavez wrote that “(a) year in prison could be a death sentence for my patient… I highly recommend the chance to allow home confinement or anything else that you deem appropriate rather than a year in prison.” Two weeks later, she forged a note from the same oncologist stating that “Ashleigh’s cancer, it has in fact metastasized affecting the lymph nodes… I recommend a different approach to her sentencing.”
In fact, Chavez was never diagnosed with or treated for cancer by either doctor. Both doctors denied writing any of the letters attributed to them. While Chavez had been a patient of one, the second doctor had never heard of her and had no idea how or why his identity had been stolen and his signature repeatedly forged by Chavez. In total, Chavez was able to delay serving her sentence for six months prior to her fraud being exposed. During that time, Chavez paid zero restitution to the victim of her embezzlement.
“The defendant obstructed justice by committing a fraud on the federal court,” said U.S. Attorney Grossman. “The lengthy sentence in this case – double the prison term that she initially received – demonstrates just how ill-advised it was for this defendant to attempt to delay the payment of her debt to society.” Grossman thanked the prosecution team and the FBI for their excellent work on this case.
“This defendant went to appalling lengths to avoid her initial prison sentence by falsifying medical documents to claim she had cancer. This offensive conduct is an affront to every person fighting that battle,” said FBI Special Agent in Charge Stacey Moy. “This additional sentence demonstrates to criminals that the FBI takes all fraud seriously, and trying to cheat the system will only result in additional prison time.”
DEFENDANT Case No. 22-CR-0318-AJB
ASHLEIGH LYNN CHAVEZ Age 37 Chula Vista, CA
aka “Ashleigh Lynn Coulson”
aka “Ashleigh Chavez Coulson”
SUMMARY OF CHARGES
Obstruction of Justice – Title 18, U.S.C., Section 1503
Maximum penalty: Ten years in custody and a $250,000 fine.
AGENCIES
Federal Bureau of Investigation
Charlotte Woman Pleads Guilty to COVID-19 Unemployment Benefits FraudRead the Press Release
CHARLOTTE, N.C. – Kaila Leaann Shanteau-Jackson, 30, of Charlotte, pleaded guilty to wire fraud today, for defrauding the State of Arizona’s COVID-19 Unemployment Insurance (UI) benefit program of approximately $995,000, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Jason Byrnes, Acting Special Agent in Charge of the U.S. Secret Service, Charlotte Field Office, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department join U.S. Attorney King in making today’s announcement.
According to plea documents and statements made in court, from June 2020 to September 2021, Jackson engaged in a scheme to defraud the U.S. Department of Labor and the State of Arizona by fraudulently creating and redirecting payments for COVID-19 UI benefits to herself and others. During the relevant time frame, Jackson was employed as a vendor-contractor for a financial institution that serviced the UI benefit program in Arizona through the mailing of pre-paid debit cards to qualified recipients. Jackson held the position of Pre-Paid Claims Initiation Agent with the financial institution and, as part of her employment, Jackson had access to the financial institution’s Pre-Paid Administration System (PAS).
According to court documents, Jackson utilized her employment credentials to divert and re-route UI benefits intended for 138 victims to herself and others. To effectuate the scheme, Jackson accessed PAS and changed the recipients’ address information in the database to addresses in Charlotte to which Jackson and others had access. Once Jackson and others received the re-routed pre-paid debit cards, they either withdrew the benefits in cash from ATMs or engaged in merchant transactions with the stolen funds.
Jackson appeared before U.S. Magistrate Judge David C. Keesler and pleaded guilty to wire fraud. The charge carries a maximum term of 30 years in prison and a $1,000,000 fine. A sentencing date for Jackson has not been set.
In making today’s announcement, U.S. Attorney King thanked the U.S. Secret Service and CMPD for their investigative efforts.
The prosecution is handled by Assistant U.S. Attorney Matthew Warren of the U.S. Attorney’s Office in Charlotte.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form. Members of the public in the Western District of North Carolina can also call 704-344-6222 to reach their local Coronavirus Fraud Coordinator.
Brooklyn Man Sentenced to 72 Months in Prison for $1.9 Million Paycheck Protection Program FraudRead the Press Release
Earlier today, in federal court in Brooklyn, Leon Miles was sentenced by United States District Judge Brian M. Cogan to 72 months in prison following his guilty plea to making false statements in an application for over $1.9 million from the Paycheck Protection Program (PPP), which Congress created as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The court also ordered forfeiture in the amount of $1,904,593, including the 2020 Bentley that the government seized, and restitution in the amount of $598,299.39 to the authorized lender.
Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); Amaleka McCall-Brathwaite, Special Agent-in-Charge, Office of the Inspector General of the U.S. Small Business Administration, Eastern Region Office (SBA-OIG); and Thomas M. Fattorusso, Special Agent-in-Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI), announced the sentence.
“Leon Miles selfishly enriched himself by defrauding a program designed to alleviate the economic suffering caused by the COVID-19 pandemic,” stated United States Attorney Peace. “The defendant stole nearly $2 million dollars that was intended to keep struggling businesses afloat and honest workers employed, and he spent those funds on personal luxuries. This Office and our agency partners will continue working to bring to justice those fraudsters who try to take advantage of a national emergency, and recover every dollar that they stole from the government.”
“Leon Miles indulged himself at the expense of U.S. taxpayers by both defrauding the Paycheck Protection Program and victimizing those business owners who legitimately needed the benefits. Today’s sentencing is a fair response to Miles’s criminal behavior and he will now face justice behind bars,” stated IRS-CI Special Agent-in-Charge Fattorusso.
“OIG works tirelessly to identify persons seeking to use falsified information to selfishly exploit SBA programs meant to uplift the nation’s small businesses,” said SBA OIG Eastern Region Special Agent in Charge McCall-Brathwaite. “Our Office will remain relentless in the pursuit of fraudsters who seek to exploit SBA’s vital economic programs. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and commitment to seeing justice served.”
The CARES Act is a federal law enacted on March 29, 2020 to provide emergency financial assistance in connection with economic effects of the COVID-19 pandemic. One source of relief provided by the CARES Act was the allocation of funds for the issuance of forgivable loans to small businesses for job retention and certain other expenses through the PPP. The PPP allowed qualifying small businesses to receive unsecured loans on favorable terms, which they were required to use for specified expenses, including payroll costs, interest on mortgages, rent and utilities. The PPP provided for forgiveness of the loan if recipient businesses spent the proceeds on these specified expenses within a limited time period and used a certain percentage for payroll costs.
In May 2020, Miles applied for a $1,904,593.00 PPP loan on behalf of a limited liability company he owns in Brooklyn, falsely claiming that the company had 50 employees and a total average monthly payroll of $761,838.00. In support of these claims, Miles submitted fraudulent personal and business tax returns and tax forms that were never filed with the IRS. In fact, he reported to the IRS no taxable income during the relevant period, and his company filed no tax returns and reported no wages paid to employees. The loan proceeds were disbursed to Miles’s personal savings account, and within days he had withdrawn hundreds of thousands of dollars, a portion of which he used to purchase a 2020 Bentley Continental for approximately $250,000 and a 2020 Cadillac Escalade for approximately $100,000. The government seized the 2020 Bentley Continental, and the insurance proceeds of the 2020 Cadillac Escalade, which had been totaled. Additionally, approximately $1.3 million of the loan proceeds were frozen and returned to the authorized lender.
The government’s case is being prosecuted by Assistant United States Attorney Robert M. Pollack. Assistant United States Attorney Brian D. Morris of the Office’s Asset Recovery Section is handling forfeiture matters.
The Defendant:
LEON MILES
Age: 53
Brooklyn, New YorkE.D.N.Y. Docket No.: 21-CR-221 (BMC)
Bridgeport Gang Member Admits Role in 2019 MurderRead the Press Release
TYRONE MOORE, also known as “Ty Ralph Lauren,” 20, of Bridgeport, pleaded guilty today before U.S. District Judge Victor A. Bolden in Bridgeport to a racketeering offense stemming from his involvement in a violent Bridgeport street gang, including the murder of a rival in July 2019.
Today’s announcement was made by Vanessa Roberts Avery, United States Attorney for the District of Connecticut; Joseph T. Corradino, State’s Attorney for the Fairfield Judicial District; Bridgeport Acting Police Chief Rebeca Garcia; David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation; James Ferguson, Special Agent in Charge, ATF Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, and Acting U.S. Marshal Lawrence Bobnick.
According to court documents and statements made in court, the FBI, ATF, DEA, U.S. Marshals Service and Bridgeport Police have been investigating multiple Bridgeport-based gangs whose members are involved in narcotics trafficking, murder and other acts of violence. Moore has been a member of the “East End gang,” which began as a local street gang based in the East End of Bridgeport, but currently has members and associates who are either incarcerated or living throughout Bridgeport and surrounding towns. The East End gang has been aligned with other groups, including the PT Barnum Gang, the East Side gang and 150, which is a geographic gang based on the West Side of Bridgeport. These groups were aligned against rival organizations in Bridgeport, including the “Original North End” (“O.N.E.”) and the “Greene Homes Boyz,” (“GHB/Hotz”), based in the Charles F. Greene Homes Housing Complex in Bridgeport’s North End.
Moore and other East End members distributed heroin, crack cocaine, marijuana and Percocet pills; used and shared firearms; and committed murder and other acts of violence against rival gang members and other individuals. East End members celebrated their criminal conduct on social media websites such as Facebook and YouTube, and committed acts of intimidation and made threats to deter potential witnesses to their crimes and to protect gang members and associates from detection and prosecution by law enforcement authorities.
In pleading guilty to one count of conspiracy to engage in a pattern of racketeering activity, Moore specifically admitted that, on July 12, 2019, he and another East End member shot and killed Sean Warren, also known as “Kujoe,” a member and associate of the O.N.E. gang.
Under the terms of a binding plea agreement, if accepted by the court, the parties have agreed that a sentence of between 20 and 30 years of imprisonment is an appropriate sentence in this case.
Moore is detained pending sentencing, which is not scheduled.
This investigation is being conducted by the FBI’s Safe Streets and Violent Crimes Task Forces, ATF, DEA, U.S. Marshals Service, Bridgeport Police Department, Connecticut State Police and the Bridgeport State’s Attorney’s Office, with the assistance of the U.S. Postal Inspection Service, Connecticut Forensic Science Laboratory and the Waterbury Police Department. The case is being prosecuted by Assistant U.S. Attorneys Rahul Kale, Jocelyn C. Kaoutzanis, and Stephanie T. Levick.
This prosecution is a part of the Justice’s Department’s Project Safe Neighborhoods (PSN), Project Longevity and Organized Crime Drug Enforcement Task Forces (OCDETF) programs.
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.
Project Longevity is a comprehensive initiative to reduce gun violence in Connecticut’s major cities. Through Project Longevity, community members and law enforcement directly engage with members of groups that are prone to commit violence and deliver a community message against violence, a law enforcement message about the consequences of further violence and an offer of help for those who want it. If a group member elects to engage in gun violence, the focused attention of federal, state and local law enforcement will be directed at that entire group.
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.
Bonifay Doctor Settles Controlled Substances Act Violations for $130,000Read the Press Release
PENSACOLA, FLORIDA —Ahmad T. Ismail, 70, of Bonifay, Florida, settled potential violations of the Controlled Substances Act by agreeing to pay a fine of $130,000 and surrendering his Drug Enforcement Administration (DEA) registration. The settlement was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“A physician’s failure to adhere to the safeguards of the Controlled Substances Act can facilitate the diversion of addictive drugs, illegal distribution of those substances, and risk of overdose,” said U.S. Attorney Jason R. Coody. “With our law enforcement partners, we will continue to utilize both the civil and criminal provisions of the Controlled Substances Act to protect our communities and hold violators responsible.”
Ismail entered into a civil settlement agreement with the United States Attorney’s Office for the Northern District of Florida. The terms of the settlement include a provision that Ismail will surrender his DEA registration and will not reapply for a period of at least three years. In addition, Ismail will pay a fine of $130,000.
Beginning in December 2018, DEA investigators conducted a routine inspection of Ismail’s practice in Bonifay, Florida. During that inspection and subsequent investigation, they discovered numerous potential civil violations of the Controlled Substances Act, including:
- Failing to keep complete and accurate records, revealing significant discrepancies between the number of dosage units in inventory and the number of dosage units purchased using Dr. Ismail’s DEA registration number;
- Failing to complete a biennial inventory;
- Failing to maintain accurate and complete records of dispensation/administration of controlled substances;
- Failing to maintain complete and accurate dispensing records to include the name of the substance, quantity, date dispensed, address of person whom it was dispensed, the written or typewritten name or initials of the individual who dispensed the substance, the drug strength, and units in each container; and
- Failing to sign and date a controlled substance prescription on the date of issuance on at least two occasions.
“As trusted members of the community, medical professionals are required to adhere to the federal laws regarding controlled substances as set forth in the Controlled Substances Act,” said DEA Miami Field Division Special Agent in Charge Deanne L. Reuter. “Our communities can rest assured that DEA will pursue civil actions against any DEA Registrant who violates these federal laws as well as the trust of the American public.”
This civil settlement agreement is not an admission of any liability by Dr. Ismail, nor a concession by the United States that its potential claims were not well-founded.
Assistant United States Attorneys Mary Ann Couch, Kathryn Drey, and Marie Moyle represented the United States in this matter, which was investigated by the Drug Enforcement Administration, Diversion Control Program.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Birmingham Man Pleads Guilty to Interference with Commerce by Robbery and Felon in Possession of a FirearmRead the Press Release
BIRMINGHAM, Ala. – A Birmingham man has pleaded guilty to robbery and gun charges, announced U.S. Attorney Prim F. Escalona and Federal Bureau of Investigation Special Agent in Charge Johnnie Sharp, Jr.
Henry Sirnard Russell, 42, pleaded guilty this week before U.S. District Judge Anna M. Manasco to the charges of Interference with Commerce by Robbery and being a Felon in Possession of a Firearm.
He entered his plea pursuant to a binding Plea Agreement with the government, in which the parties jointly agreed to a sentence of 240 months (20 years) in prison. His sentencing is scheduled for October 26, 2022.
According to the Plea Agreement, on October 12, 2021, Hoover Police responded to the Chevron convenience store in Hoover. The clerk of the store reported an armed male stole an undisclosed amount of money. The clerk saw the suspect leave in a grey SUV, and the police issued a BOLO to surrounding agencies. Vestavia Hills officers saw a vehicle matching the BOLO and conducted a traffic stop on the vehicle. Henry Sirnard Russell was the sole occupant of the vehicle and appeared very nervous and was shaking. Russell was asked to exit his vehicle, but he refused and drove away. A short pursuit ensued, and Russell stopped his vehicle and fled on foot. Various law enforcement agencies arrived on scene, set up a perimeter, used a drone, a K-9, and a helicopter to assist in locating Russell. The search continued throughout the night until a Hoover Police Officer notified dispatch that he observed Russell on the northbound side of I-65 toward Hoover from Homewood. Officers immediately converged on the area and Russell fled into the wood line where he was arrested.
“Federal and local law enforcement agencies prioritize resources on individuals and factors that drive violent crime in communities and that pose a continual threat to public safety,” said United States Attorney Prim F. Escalona. “People who persistently cause harm in our communities will receive the full attention of federal law enforcement.”
Russell has prior felony convictions for Domestic Violence, Assault (Second Degree), and Robbery (First and Second Degree).
FBI investigated the case along with the Jefferson County Sheriff’s Office, Homewood Police Department, Hoover Police Department, and the Vestavia Hills Police Department. Assistant United States Attorney Darius Greene prosecuted the case.
Bellevue Man Sentenced to 48 Months for Distributing FentanylRead the Press Release
BOISE – On Friday, July 1, 2022, Dakota James Hoffman, 29, of Bellevue, was sentenced to 48 months in federal prison for distribution of fentanyl, U.S. Attorney Josh Hurwit announced.
According to court records, Hoffman distributed oxycodone pills to a man with the initials A.K. who overdosed on fentanyl on April 2, 2020. A review of A.K.’s digital communications revealed that Hoffman had distributed oxycodone pills to A.K. approximately two weeks prior to the overdose. A subsequent investigation revealed that the oxycodone pills contained fentanyl. Additional investigation into Hoffman uncovered a separate incident where he distributed a fake oxycodone pill containing fentanyl to another individual that resulted in a non-fatal overdose. For his distribution, Hoffman was charged with distributing fentanyl, and he pleaded guilty on March 1, 2022.
U.S. District Judge Billy Roy Wilson of the Eastern District of Arkansas, sitting by designation, imposed the sentence and ordered Hoffman to serve three years of supervised release to follow his incarceration. Hoffman was further ordered to pay restitution to the family of A.K.
U.S. Attorney Hurwit commended the cooperative efforts of the Drug Enforcement Administration, Blaine County Sheriff’s office, and the Bellevue Marshals Office. Their investigation of this matter led to the successful prosecution of this case.
“Fentanyl is unlike any other drug threat we have faced,” Hurwit said. “No part of our nation has been able to escape from the spread of this poison. We must continue to speak out to make sure all Idahoans know about the threat of fentanyl-related overdose and poisoning. And we will hold accountable those who risk the lives of others by distributing this deadly drug.”
Only two milligrams of fentanyl is considered a potentially lethal dose, and it’s particularly dangerous for someone who does not have a tolerance to opioids.
According to the CDC, 107,375 people in the United States died of drug overdoses and drug poisonings in the 12-month period ending in January 2022. Such deaths are now the leading cause of death for adults aged 18-45, and a staggering 67 percent of those deaths involved synthetic opioids like fentanyl. Some of these deaths were attributed to fentanyl mixed with other illicit drugs like cocaine, methamphetamine, and heroin, with many users unaware they were actually taking fentanyl.
For more information about fentanyl and counterfeit pills, visit https://www.dea.gov/onepill.
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Atlantic City Man Sentenced to 125 Months in Prison for Conspiring to Distribute Kilogram Quantities of HeroinRead the Press Release
CAMDEN, N.J. – A member of an Atlantic City, New Jersey, drug-trafficking organization was sentenced today to 125 months in prison for conspiring to distribute one kilogram or more of heroin, U.S. Attorney Philip R. Sellinger announced.
Terryn Kelsey, 32, of Atlantic City, previously pleaded guilty before U.S. District Judge Robert B. Kugler to an indictment charging him with one count of conspiracy to distribute and possess with intent to distribute more than one kilogram of heroin. Judge Kugler imposed the sentence today in Camden federal court.
Seventeen other members of the drug trafficking conspiracy – Khalif Toombs, Tyjuan Demarest, Nasir Brown, Karon Carey, James Blackwell, Philip Surace, David Ramirez, Wilbert Toombs, Quadir Stanley, Dean Johnson, Khalif Davis, Joseph Aversa, Thomas Randall, Mayda Hernandez, Sarah Taliaferro, Wayne Burnside, and Blaine Dorsey – previously have pleaded guilty. Of those 17 defendants, 15 have been sentenced to prison terms ranging from eight to 135 months. The charges against four other defendants, Jeremy Carll, Valarie Lamar, Tieyesha Tucker, and Jamal Marshall, remain pending.
According to documents filed in the case and statements made in court:
Kelsey, along with leader Khalif Toombs and other members of the drug conspiracy, trafficked heroin from Patterson, New Jersey and into Atlantic City throughout the course of the investigation. Kelsey admitted in court to conspiring with others to traffic between one and three kilograms of heroin during this time and to operating Toombs’ cellular phone to further the conspiracy. The investigation tracked multiple stamps of heroin being distributed by Toombs and others, including, “AK-47,” “Apple,” “Fortnite,” “Rolex,” “Frank Lucas,” “Bentley,” “Pandora,” and “9 ½.” Between Jan. 1, 2017, and June 21, 2019, those stamps accounted for 48 deaths and 84 non-fatal overdoses in New Jersey.
In addition to the prison term, Judge Kugler sentenced Kelsey to five years of supervised release.
U.S. Attorney Sellinger credited special agents of the FBI’s Safe Streets South Jersey Violent Incident and Gang Task Force, Atlantic City Resident Agency, and FBI, Newark, under the direction of Special Agent in Charge Jesse Levine; officers of the Atlantic City Police Department, under the direction of Deputy Chief James A. Sarkos, the Interim Officer in Charge; the Atlantic County Prosecutor’s Office, under the direction of Acting Prosecutor William E. Reynolds; the Atlantic County Sheriff’s Department, under the direction of Sheriff Eric Scheffler; and the Pleasantville Police Department, under the direction of Chief Sean Riggin, with the investigation leading to today’s pleas. He also thanked the U.S. Department of Homeland Security, Homeland Security Investigations; the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives; the Drug Enforcement Administration; and the N.J. State Police for their assistance.
This case is being conducted as 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.
The government is represented by Assistant U.S. Attorneys Martha K. Nye of the U.S. Attorney’s Office Criminal Division in Trenton and Elisa T. Wiygul of the U.S. Attorney’s Office Criminal Division in Camden.
For the four defendants whose charges remain pending, the charges and allegations are merely accusations, and they are presumed innocent unless and until proven guilty.
Armed robbery and illegal possession of firearm brings 102-month sentence for Columbus manRead the Press Release
COLUMBUS, Ohio – Kamar L. Cox, 23, of Columbus was sentenced in U.S. District Court today to 102 months in prison for armed robbery and illegal possession of a firearm.
A jury convicted Cox of the crimes of robbery and illegal possession of a firearm following a trial in March. According to court documents and trial testimony, on Aug. 21, 2020, an individual working with the ATF attempted to conduct a controlled purchase of a machine gun from Cox for $500. Cox was in possession of a Glock handgun and demanded the $500. Agents later recovered the handgun while executing a search warrant at Cox’s apartment.
Cox’s sentence includes restitution in the amount of $500 and three years of supervised release after his prison term.
As a previously convicted felon, Cox was prohibited from possessing a firearm.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; and Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), Columbus Field Division, announced the sentence imposed today by U.S. District Judge Sarah Morrison. Assistant United States Attorneys Noah R. Litton and Kevin W. Kelley represented the United States in this case.
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Allen Woman Sentenced to Federal Prison for Second Degree MurderRead the Press Release
United States Attorney Alison J. Ramsdell announced that an Allen, South Dakota, woman convicted of Second Degree Murder was sentenced on June 30, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Jonnie Fineran, age 20, was sentenced to 21 years in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Fineran was indicted by a federal grand jury in August of 2020 and pleaded guilty on April 8, 2022. The murder charge stemmed from Fineran, acting with a juvenile cohort, killing a man by stabbing him repeatedly with a knife in July 2020 in Manderson, South Dakota.
The investigation was conducted by the FBI and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Fineran was immediately remanded to the custody of the U.S. Marshals Service.
Albuquerque men sentenced to prison for sex traffickingRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced today that Adonis Baker, 37, and Inkosi Grandberry, 40, both of Albuquerque, were sentenced for their parts in a sex trafficking ring.
Baker pleaded guilty to conspiracy to commit sex trafficking, and admitted that he used narcotics and physical force to cause victims to engage in prostitution. Baker and his co-conspirators advertised the victims online and used cellphones to arrange clients for the women. The victims were not allowed to keep any money paid to them for sex and were expected to work when they were told. The conspirators used motel rooms to harbor the victims. Baker was sentenced to 14 years in prison, followed by five years of supervised release.
Grandberry pleaded guilty to transportation for prostitution by coercion and enticement. In his plea, Grandberry admitted that on June 3, 2015, he aided and abetted Baker in persuading a victim, identified in court records as Jane Doe 1, to travel from Phoenix to Albuquerque for prostitution. Grandberry was sentenced to 10 years in prison, followed by five years of supervised release.
A third defendant, Leotha Williams, 61, of Memphis, Tennessee, pleaded guilty to transportation for prostitution by coercion and enticement. In his plea, Williams admitted that he and Baker approached a victim, identified as Jane Doe 2, at a bus stop in Albuquerque between June 2016 and September 2016. Williams and Baker instructed the victim to get into a vehicle with them. They then traveled to Colorado Springs, Colorado, where Williams ensured that the victim engaged in prostitution. On July 16, 2020, Williams was sentenced to five years in prison, after which he will be subject to five years of supervised release.
Homeland Security Investigations (HSI) investigated this case with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Albuquerque Police Department, the Bernalillo County Sheriff’s Office, and Deliver Fund, an anti-human trafficking, non-governmental organization. Assistant U.S. Attorneys Letitia Carroll Simms and Joseph M. Spindle are prosecuting the case.
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27-Year-Old Florida Man Sentenced to over 26 Years in Prison for Enticing Minors in New York, Kentucky, and New Jersey to Engage in Sexual ActivityRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that CHRISTOPHER NUNEZ was sentenced to 320 months in prison by United States District Judge Kenneth M. Karas for his enticement of three minors to engage in sexual activity. The sentencing today followed NUNEZ’s guilty plea on February 28, 2022.
U.S. Attorney Damian Williams said: “Christopher Nunez’s conduct is the nightmare of any parent. Today’s sentencing illustrates that we will continue to use every tool available to law enforcement to prosecute and punish those who sexually exploit children.”
According to documents filed in this case and statements made in related court proceedings:
Between in or about early March 2021 up to and including on or about May 1, 2021, NUNEZ communicated online with a 15-year-old minor (“Victim-1”) and persuaded Victim-1 to meet NUNEZ in person to engage in sexual activities with him. On or about April 30, 2021 and May 1, 2021, NUNEZ travelled to New York from Miami, Florida to meet with Victim-1 in person in Westchester County, New York to engage in sexual activity with her.
On or about May 2, 2021, CHRISTOPHER NUNEZ was charged in the Town of North Salem with Rape in the Third Degree and Endangering the Welfare of a Child. On October 5, 2021, NUNEZ pled guilty to Rape in the Third Degree.
The federal investigation revealed that, prior to Nunez’s abuse of Victim-1, he abused a 12-year-old girl (“Victim-2”) in Laurel County, Kentucky. Nunez engaged in sexually explicit communications online with Victim-2 beginning in or about January 1, 2021, when she was in 6th grade and 11 years old. During these communications, he persuaded Victim-2 to engage in sexually explicit activity, capture this activity in images and videos, and then transmit the photos and videos to Nunez. On March 6, 2021, Nunez travelled from his home in Florida to Laurel County, Kentucky, where he met Victim-2 in person and engaged in sexual activity with her.
The federal investigation also revealed that, in May and June of 2021, Nunez engaged in sexually explicit communications online with Victim-3, a 16-year-old in New Jersey. During these communications, Nunez persuaded Victim-3 to engage in sexually explicit activity, capture the activity in images and videos, and transmit the images and videos to Nunez.
On February 28, 2022, Nunez entered a guilty plea to a four-count federal Information, charging him with three counts of enticement, in violation of Title 18, United States Code, Section 2422(b) and one count of sexual exploitation, in violation of Title 18, United States Code, Section 2251(a).
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In addition to the prison term, NUNEZ, 27, was sentenced to a lifetime term of supervised release.
Mr. Williams praised the efforts of the Federal Bureau of Investigation, the New York State Police, the Westchester County District Attorney’s Office, and the Westchester County Safe Streets Task Force, which is comprised of special agents and task force officers from the FBI, U.S. Probation, New York State Police, New York State Department of Corrections and Community Supervision, Putnam County Sheriff's Office, Westchester County DAs Office, Rockland County DAs Office, NYPD, Westchester County PD, and the Yonkers, New Rochelle, Mount Vernon, Greenburgh, White Plains, Peekskill, Ramapo, and Clarkstown Police Departments, in connection with this investigation.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorney Marcia S. Cohen is in charge of the prosecution.
11 arrested as part of narcotics distribution ring bringing bulk amounts of fentanyl, cocaine, and crack cocaine into central OhioRead the Press Release
COLUMBUS, Ohio – A multi-agency law enforcement task force today announced the arrests of eight men and three women indicted by a federal grand jury here for distributing bulk amounts of fentanyl, cocaine, and crack cocaine in central Ohio. The charges include dealing drugs within 1,000 feet of a school. Local, state, and federal law enforcement officers executed 14 search warrants at various locations throughout Central Ohio and made the arrests between June 29 and July 1.
Those charged are:
Name
Age
City of Residence
Cordell A. Washington, aka Corey, Dub, Bro
35
Columbus
Patrick M. Saultz, aka White Boy Pat
44
Columbus
David E. Price, aka DP
53
Columbus
Allison E. Smith, aka Alli
27
Columbus
Tavaryyuan Johnson, aka Gucci
22
Columbus
Tyler N. Bourdo
28
Columbus
Alexis C. Lewis
30
Columbus
Michael Fowler
45
Canton
Carmela Brooks
48
Canton
Dustin A. Speakman, aka Dawg
32
Columbus
Danny G. Mullins
53
Columbus
All are charged with conspiracy to distribute and possess with intent to distribute fentanyl, cocaine, and cocaine base, which is punishable by at least ten years and up to life in prison. The 12-count indictment alleges that some of the dealing over the past two years took place within 1000 feet of Burroughs Elementary School in Columbus. As part of the conspiracy, defendants created Limited Liability Companies in order to create bank accounts to deposit their drug proceeds.
The indictment alleges that the drug trafficking organization sold drugs out of local residences to customers and distributed larger amounts to regional drug traffickers.
“We’ve reached this milestone in this ongoing two-year investigation through meticulous and determined work by federal, local and state law enforcement agencies working together,” said Kenneth L. Parker, United States Attorney for the Southern District of Ohio. “In this case, it appears the perpetrators of this offense had no regard for the children in the community as they allegedly dealt drugs within 1,000 feet of an elementary school.”
Parker announced that the indictment grew from an investigation coordinated by Ohio Attorney General Dave Yost’s Ohio Organized Crime Investigations Commission task force which includes Columbus Division of Police Chief Elaine Bryant; Angie Salazar, Special Agent in Charge, Homeland Security Investigations; and Orville Greene, Special Agent in Charge, U.S. Drug Enforcement Administration. Other agencies that have assisted the task force with the investigation include the Franklin County Sheriff's Office, HIDTA Task Force, Internal Revenue Service, Federal Bureau of Investigation, Ohio Bureau of Criminal Investigations, Ohio National Guard Counter Drug Task Force, Pickerington Police Department, New Albany Police Department, and the Fairfield County Sheriff's Office SWAT Team. Assistant United States Attorneys Timothy Prichard and Emily Czerniejewski are representing the United States in this case.
This investigation 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.
Indictments merely contain allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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2 July 2022
Omaha Man Sentenced to 10 Years for Transporting Child PornographyRead the Press Release
Acting United States Attorney Steven Russell announced that James Long, 34, of Omaha, Nebraska, was sentenced today in federal court in Omaha for transporting child pornography. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Long to 10 years of imprisonment. There is no parole in the federal system. After completing his term of imprisonment, Long will begin a 5-year term of supervised release. Long was also ordered to pay $102,000 in restitution to the victims.
On December 14, 2015, Long uploaded child pornography from his online DropBox account to his Google account. On March 6, 2018, Long uploaded child pornography to Google Photos. On July 25, 2019, law enforcement executed a search warrant at Long’s Omaha residence. Long admitted to possessing and downloading child pornography. Agents located approximately 41,000 images and 11,000 videos of child pornography on his devices.
This case was investigated by the Federal Bureau of Investigation and was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jury Finds MS-13 Members Guilty of Roles in Murdering Two JuvenilesRead the Press Release
ALEXANDRIA, Va. – Five members of the transnational street gang La Mara Salvatrucha, or MS-13, were convicted late yesterday by a federal jury for their roles in the kidnapping and murder of two adolescent boys in 2016.
According to court records and evidence presented at trial, MS-13 gang members Elmer Zelaya Martinez, Ronald Herrera Contreras, Henry Zelaya Martinez, Pablo Velasco Barrera, and Duglas Ramirez Ferrera, along with their co-conspirators, targeted E.E.E.M., a 17-year-old resident of Falls Church, who they erroneously suspected was a member of the rival 18th Street gang. On the night of August 28, 2016, the gang lured E.E.E.M. to Holmes Run Stream Valley Park in Fairfax County under the pretense that there was going to be a gang meeting there. Instead, in a wooded area of the park, gang members restrained, attacked, and killed E.E.E.M., stabbing and chopping him more than 100 times with knives, a machete, and a pickaxe. Afterwards, the gang broke one of E.E.E.M.’s legs so that his body would fit into the pre-dug hole that was nearby.
Court records and evidence presented at trial also established that the same gang members, along with their co-conspirators, targeted S.A.A.T., a 14-year-old resident of Alexandria, who they erroneously suspected was a police informant. On the evening of September 26, 2016, the gang told S.A.A.T. that there was going to be a gang meeting later that night and encouraged him to attend. Not long thereafter, S.A.A.T. went outside in his pajamas, telling his mother he was just taking out the trash. Eventually, several gang members picked up S.A.A.T. and drove him to the same park where they had killed E.E.E.M. The gang members restrained, attacked, and killed S.A.A.T., stabbing and chopping him with knives, machetes, and a pickaxe. They also filmed the murder with a cell phone so that they could prove to gang leaders in the United States and in El Salvador that they deserved to be promoted in rank. Once S.A.A.T. was dead, the gang broke his legs and tied him up with his own pajama pants so that he would fit into the shallow grave that was dug for him that night.
To date, a total of 17 defendants have been charged in this case. Of those, five defendants went to trial and were convicted of all charges. Nine defendants pleaded guilty prior to trial. See the table below for additional information on the defendants who were convicted at trial.
Name
Age
Country of Origin
Convictions
Sentencing Info
Elmer Zelaya Martinez
31
El Salvador
Conspiracy to commit kidnapping and murder in aid of racketeering activity; conspiracy to kidnap; murder in aid of racketeering activity; kidnapping resulting in death
Faces mandatory life
Ronald Herrera Contreras
24
El Salvador
Conspiracy to commit kidnapping and murder in aid of racketeering activity; conspiracy to kidnap; murder in aid of racketeering activity; kidnapping resulting in death
Faces mandatory life
Henry Zelaya Martinez
28
El Salvador
Conspiracy to commit kidnapping and murder in aid of racketeering activity; conspiracy to kidnap; murder in aid of racketeering activity; kidnapping resulting in death
Faces mandatory life
Pablo Velasco Barrera
24
El Salvador
Conspiracy to commit kidnapping and murder in aid of racketeering activity; conspiracy to kidnap; murder in aid of racketeering activity; kidnapping resulting in death
Faces mandatory life
Duglas Ramirez Ferrera
25
El Salvador
Conspiracy to commit kidnapping and murder in aid of racketeering activity; conspiracy to kidnap; murder in aid of racketeering activity; kidnapping resulting in death
Faces mandatory life
Each of the defendants convicted today faces a mandatory sentence of life in prison for murder in aid of racketeering activity and for kidnapping resulting in death, in addition to the sentences they receive for conspiracy to commit kidnapping and murder in aid of racketeering activity and conspiracy to kidnap, the maximum sentences for which are ten years and life, respectively. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division; and Kevin Davis, Fairfax County Chief of Police, made the announcement after U.S. District Judge Rossie D. Alston, Jr. accepted the verdict.
The FBI Washington Field Office, the Fairfax County Police Department, the U.S. Immigration and Customs Enforcement Washington Field Office, the U.S. Marshals Service, the Alexandria Police Department, the Prince William County Police Department, the Montgomery County (MD) Police Department, and the Marin County (CA) Sheriff’s Office provided significant assistance on the investigation.
Assistant U.S. Attorneys Rebeca H. Bellows, Alexander E. Blanchard, and Cristina C. Stam are prosecuting the case.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to the federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
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. 1:18-cr-123.
1 July 2022
Wilkes-Barre Moving Company Owner Pleads Guilty to Failing to Pay Required Federal Payroll TaxesRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jason T. Cawley, age 44, owner of J Cawley Moving, located in Wilkes-Barre, Pennsylvania, pleaded guilty on June 30, 2022, before United States District Court Judge Malachy E. Mannion, to failing to collect and pay over several years’ worth of required federal payroll taxes.
According to United States Attorney Gerard M. Karam, Cawley, who was responsible, as owner of J Cawley Moving, for collecting and paying over to the Internal Revenue Service (IRS) federal payroll taxes, including Federal Insurance Contribution Act (FICA) taxes, willfully failed to pay over to the IRS these required taxes for the period from 2015 through 2019, in the total amount of $398,726.61.
These charges stem from an investigation by IRS-Criminal Investigations. Assistant U.S. Attorney Jeffery St John is prosecuting the case.
The maximum penalty under federal law for this offense is 5 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.
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Whiteriver Man Sentenced to 96 Months' Imprisonment for Domestic AssaultRead the Press Release
PHOENIX, Ariz. – On June 29, 2022, Nathan Brooks Manuelito, 41, of Whiteriver, Arizona, was sentenced by United States District Judge Steven P. Logan to 96 months in prison, followed by 36 months of supervised release. Manuelito was previously convicted by a jury of Assault of an Intimate Partner by Strangulation or Attempted Strangulation, Assault of an Intimate Partner Resulting in Substantial Bodily Injury, and Assault Resulting in Serious Bodily Injury.
The evidence presented at trial demonstrated that on April 16, 2018, Manuelito repeatedly punched, kicked, and strangled the victim, who was his girlfriend. The victim suffered serious bodily injuries including bruising and a facial fracture. The assault happened on the Fort Apache Indian Reservation, where Manuelito is a member of the White Mountain Apache Tribe.
The FBI and the White Mountain Apache Tribal Police Department conducted the investigation in this case. Assistant U.S. Attorneys Dimitra Sampson, Jillian Besancon, and Anthony Church, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-18-8252-PCT-SPL
RELEASE NUMBER: 2022-104_Manuelito_et_al# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
West Plains Man Sentenced for Illegal FirearmRead the Press Release
SPRINGFIELD, Mo. – A West Plains man has been sentenced in federal court for illegally possessing a sawed-off shotgun, which was found in one of the two vehicles he stole within a week of each other.
Michael Bryant, 33, was sentenced by U.S. District Judge Brian C. Wimes on Tuesday, June 28, to eight years in federal prison without parole.
On Nov. 18, 2021, Bryant pleaded guilty to being a felon in possession of a firearm.
A Howell County, Mo., sheriff’s deputy located a stolen Mazda Miata in a trailer park located on County Road 6540 on Oct. 23, 2019. As the deputy was about to search the trailer, he heard glass break and saw Bryant jump out of the back window of the trailer. The deputy chased him until he injured his leg and Bryant was able to escape.
Another deputy arrived and searched the stolen vehicle. The deputy found a loaded Harrington and Richardson 12-gauge sawed-off shotgun wedged between the driver’s side door and seat.
On Oct. 28, 2019, an individual called the Howell County Sheriff’s Department to report that a vehicle was stuck on a rock near the driveway of her rental property. Deputies arrived at the location and found an extensively damaged Chevrolet Silverado stuck on some rocks. The truck’s license plate was registered to another vehicle. Deputies learned that Bryant, who had a number of outstanding arrest warrants, had been operating the truck earlier in the day.
The deputies knocked on the door of a nearby residence. They were told that Bryant was no longer there, but refused permission to enter the residence to search for him. While the investigators began preparing a warrant to search the home, Bryant came out of the residence and was taken into custody.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Bryant has prior felony convictions for tampering with a motor vehicle, stealing, resisting arrest, and possession of a controlled substance.
This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Howell County, Mo., Sheriff’s Department, the West Plains, Mo., Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.