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1 July 2022
Former Rancho Mirage Resident Sentenced to More Than 8 Years in Prison for $44 Million Fraud that Illegally Billed Insurers for Cosmetic SurgeriesRead the Press Release
LOS ANGELES – A former Coachella Valley resident whom Israel deported after she and her then-doctor husband fled there to escape criminal prosecution was sentenced today to 97 months in federal prison for her role in a conspiracy in which insurers were fraudulently billed $44 million for unnecessary cosmetic surgeries.
Linda Morrow, 70, formerly of Rancho Mirage, was sentenced by United States District Judge Josephine L. Staton, who also ordered her to pay $14,025,904 in restitution. At today’s hearing, Judge Staton remarked that Morrow’s “greed knew no bounds.”
Morrow, who has been in federal custody since July 2019, pleaded guilty on February 4 to one count of conspiracy to commit health care fraud and one count of contempt of court.
Morrow’s husband, 77-year-old David M. Morrow, was extradited by Israel in January 2020 and is currently serving a 20-year prison sentence. David Morrow pleaded guilty in 2016 and was free on bond awaiting sentencing when the couple fled to Israel. Judge Staton imposed the 20-year sentence while the Morrows were living as fugitives, finding that the intended loss from the scheme was more than $44 million. David Morrow was a doctor whose medical license was revoked in January 2018.
Linda Morrow helped her husband run the fraudulent billing scheme out of The Morrow Institute (TMI) in Rancho Mirage and was TMI’s executive director. The Morrows schemed to defraud health insurance companies by submitting bills for procedures performed at TMI that were billed as “medically necessary” – but in fact were cosmetic procedures such as “tummy tucks,” “nose jobs,” breast augmentations, and vaginal rejuvenations.
The victims included Aetna, Anthem Blue Cross, Blue Shield of California and Cigna Health Insurance. The scheme also defrauded Staples, Inc. and a self-insured group of public entities that included school districts.
“[Linda Morrow] was not simply the ‘doctor’s wife’ to a doctor who happened to commit a crime,” prosecutors wrote in a sentencing memorandum. “To the contrary, [she] was an equal partner in their fraudulent scheme, and she participated and ran multiple parts of it.”
In 2017, Linda Morrow fled the United States with her husband to avoid prosecution and failed to appear in court as ordered. In addition to helping move $4 million from domestic bank accounts to accounts in Israel, Morrow used a fraudulent Mexican passport to enter Israel and a fraudulent Guatemalan passport while living there. While living as a fugitive in Israel, Morrow applied for Israeli citizenship using a fraudulent identity.
Israel deported her in 2019.
The FBI, IRS Criminal Investigation and the California Department of Insurance conducted the investigation into the Morrows and TMI. The FBI’s Legal Attachés in Jerusalem, Mexico City, and Guatemala; the Israeli National Police; the United States Marshals Service; the United States Border Patrol’s Northern Border Coordination Center; and the Department of Justice’s Office of International Affairs provided considerable assistance in tracking down and capturing the Morrows.
Assistant United States Attorney Charles E. Pell of the Santa Ana Branch Office prosecuted this case. Assistant United States Attorney Robert I. Lester of the Civil Division’s Financial Litigation Section is enforcing restitution orders in this matter.
Former Monroe, Louisiana, Police Department Officer Pleads Guilty to Civil Rights Charge for Using Excessive ForceRead the Press Release
Jared Preston Desadier, 44, of Monroe, Louisiana, pleaded guilty today before U.S. District Judge Elizabeth E. Foote to a charge of deprivation of rights under color of law, announced Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division; U.S. Attorney Brandon B. Brown of the Western District of Louisiana; and Special Agent in Charge Douglas A. Williams of the FBI New Orleans Field Office.
According to evidence presented to the court, on or about the evening of April 21, 2020, Desadier, who was at the time a uniformed officer with the Monroe Police Department (MPD), used unreasonable force by kicking an arrestee in the face. The incident occurred shortly after midnight, when MPD officers overheard an alarm system activate, and Desadier and other officers detained a man for questioning. When officers discovered drug paraphernalia on the man, the man ran from the scene and officers gave chase. Approximately a block away, a patrolling MPD officer caught up to the man and ordered him to the ground. The man complied, by lying flat on his stomach and putting his hands behind his back. As that officer approached and prepared to handcuff the man, Desadier ran up to the scene and kicked the man in the face as he lay face-down on the ground with both hands behind his back.
Desadier admitted in court that his assault on the victim was without justification, as the man did not present a threat to any officer or other person on the scene. Desadier also admitted that he knew, at the time, that his actions were unjustified and unreasonable under the circumstances.
“Instead of lawfully carrying out his sworn duties as a law enforcement officer, Desadier abused his authority by assaulting and injuring an arrestee who was not a threat,” said Assistant Attorney General Clarke. “The Justice Department will continue to vigorously prosecute any officer who abuses the public trust by using excessive force without basis.”
“I applaud our local, law-abiding police officers for their service to our respective communities,” said U.S. Attorney Brown. “Unfortunately, there are a few police officers who cannot be described as law-abiding. When police officers commit crimes in violation of federal criminal civil rights statutes that can be proved beyond a reasonable doubt in a federal court of law, we will prosecute those officers zealously and without hesitation. The actions of this officer are inexcusable, violate public trust in law enforcement and he must be held accountable. The U.S. Attorney’s Office is committed to enforcing the rule of law and protecting the civil rights of all persons present within the Western District of Louisiana, with a goal of restoring and building the public’s trust in local, state and federal law enforcement.”
“The preservation of civil rights and the investigation of color of law violations are of utmost priority for the FBI,” said Special Agent in Charge Williams Jr. “Today's guilty plea sends a clear message that individuals like Jared Preston Desadier will be held responsible and no one is above the law. We thank our partners at the U.S. Attorney's Office, Western District of Louisiana and Department of Justice Civil Rights Division for their strong partnership and dedication to protecting the civil rights of every citizen.”
Desadier faces a maximum sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. His sentencing has been set for Nov. 21.
The case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Brian C. Flanagan and Mary J. Mudrick, and Trial Attorney Thomas Johnson of the Justice Department’s Civil Rights Division.
Former Monroe Police Department Officer Pleads Guilty to Civil Rights Charge for Using Excessive ForceRead the Press Release
MONROE, La. - Jared Preston Desadier, 44, of Monroe, Louisiana, pleaded guilty today before U.S. District Judge Elizabeth E. Foote to a charge of deprivation of rights under color of law, announced Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division; U.S. Attorney Brandon B. Brown of the Western District of Louisiana; and Special Agent in Charge Douglas A. Williams of the FBI New Orleans Field Office.
According to evidence presented to the court, on or about the evening of April 21, 2020, Desadier, who was at the time a uniformed officer with the Monroe Police Department (MPD), used unreasonable force by kicking an arrestee in the face. The incident occurred shortly after midnight, when MPD officers overheard an alarm system activate, and Desadier and other officers detained a man for questioning. When officers discovered drug paraphernalia on the man, the man ran from the scene and officers gave chase. Approximately a block away, a patrolling MPD officer caught up to the man and ordered him to the ground. The man complied, by lying flat on his stomach and putting his hands behind his back. As that officer approached and prepared to handcuff the man, Desadier ran up to the scene and kicked the man in the face as he lay face-down on the ground with both hands behind his back.
Desadier admitted in court that his assault on the victim was without justification, as the man did not present a threat to any officer or other person on the scene. Desadier also admitted that he knew, at the time, that his actions were unjustified and unreasonable under the circumstances.
“Instead of lawfully carrying out his sworn duties as a law enforcement officer, Desadier abused his authority by assaulting and injuring an arrestee who was not a threat,” said Assistant Attorney General Clarke. “The Justice Department will continue to vigorously prosecute any officer who abuses the public trust by using excessive force without basis.”
“I applaud our local, law-abiding police officers for their service to our respective communities,” said U.S. Attorney Brown. “Unfortunately, there are a few police officers who cannot be described as law-abiding. When police officers commit crimes in violation of federal criminal civil rights statutes that can be proved beyond a reasonable doubt in a federal court of law, we will prosecute those officers zealously and without hesitation. The actions of this officer are inexcusable, violate public trust in law enforcement, and he must be held accountable. The U.S. Attorney’s Office is committed to enforcing the rule of law and protecting the civil rights of all persons present within the Western District of Louisiana, with a goal of restoring and building the public’s trust in local, state and federal law enforcement.”
“The preservation of civil rights and the investigation of color of law violations are of utmost priority for the FBI. Today's guilty plea sends a clear message that individuals like Jared Preston Desadier will be held responsible and no one is above the law,” said Special Agent in Charge Williams Jr. “We thank our partners at the U.S. Attorney's Office, Western District of Louisiana and Department of Justice Civil Rights Division for their strong partnership and dedication to protecting the civil rights of every citizen.”
Desadier faces a maximum sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. His sentencing has been set for November 21, 2022.
The case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Brian C. Flanagan and Mary J. Mudrick, and Trial Attorney Thomas Johnson of the Justice Department’s Civil Rights Division.
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Former Head of Anaheim Chamber of Commerce Pleads Guilty to Federal Fraud, False Statement and Criminal Tax ChargesRead the Press Release
LOS ANGELES – The former president and CEO of the Anaheim Chamber of Commerce pleaded guilty today to federal criminal charges for defrauding a cannabis company, fraudulently obtaining a COVID-relief business loan worth nearly $62,000, lying to a bank while seeking a loan for a $1.5 million second home, and cheating on his taxes.
Todd Ament, 57, of Orange, pleaded guilty to two counts of wire fraud, one count of making a false statement to a financial institution, and one count of subscribing to a false tax return.
According to his plea agreement, in 2019, Ament served as president and CEO of the Anaheim Chamber of Commerce. During that time, Ament and a political consultant who was a partner at a national public relations firm, devised a scheme to divert proceeds intended for the Chamber through the PR firm and into Ament’s personal bank account.
Ament and the political consultant schemed to defraud a cannabis company that had retained the political consultant to lobby for favorable cannabis-related legislation in Anaheim. The cannabis company paid $225,000 to the Chamber with the understanding that it would have access to a task force that crafted such legislation, but at least $41,000 of that money was paid directly to Ament without those payments being disclosed to the client.
In April 2020, Ament applied to the Small Business Administration (SBA) for an Economic Injury Disaster Loan (EIDL) on behalf of his company, TA Consulting LLC, a sole proprietorship based in Big Bear City that had no substantial operations or employees. In May 2020, the SBA wired Ament $61,900 as EIDL proceeds for his business. Ament used the money to pay for various personal expenses, including at clothing stores, boat dealers and on property taxes on his home.
In December 2020, Ament lied to JPMorgan Chase by submitting a letter falsely representing that three deposits from the PR firm to Ament-controlled bank accounts – totaling $205,000 – were earned income based on services provided by TA Consulting LLC on the PR firm’s behalf. In fact, Ament knew the $205,000 represented a loan to himself and was not earned income.
Finally, Ament admitted in his plea agreement that for the tax years 2017, 2018 and 2019 he knowingly and willfully caused false tax returns to be signed and filed that did not report income he had received from various sources. For example, in July 2019, Ament signed and filed a federal tax return that reported that his gross receipts for the tax year 2018 was $0, when in fact his actual gross receipts for that year were $179,336.
In total, Ament caused a tax loss to the United States government of $249,998 for those three tax years.
United States District Judge Fernando L. Aenlle-Rocha scheduled a December 9 sentencing hearing, at which time Ament will face statutory maximum sentences of 20 years in federal prison for each wire fraud count, 30 years in federal prison for the false statement to a financial institution count, and three years’ imprisonment for the tax count.
The FBI and IRS Criminal Investigation are investigating this matter.
Assistant United States Attorneys Daniel H. Ahn, Daniel S. Lim and Melissa S. Rabbani of the Santa Ana Branch Office are prosecuting this case.
Former Head Tennis Coach at Georgetown University Sentenced to More Than Two Years in Prison in College Admissions CaseRead the Press Release
BOSTON – The former head coach of men and women’s tennis at Georgetown University was sentenced today in connection with soliciting and accepting bribes to facilitate the admission of prospective Georgetown applicants and failing to report all of the income from the bribes on his federal income taxes.
Gordon Ernst, 55, of Rockville, Md. and Falmouth, Mass., was sentenced by U.S. District Court Judge Indira Talwani to 30 months in prison and two years of supervised release, with the first six months to be served in home confinement. This is the longest prison term imposed in the college admissions case. Ernst was also ordered to forfeit $3,435,053, including more than $1.3 million in assets that the government seized in March 2019. In October 2021, Ernst pleaded guilty to one count of conspiracy to commit federal programs bribery, three counts of federal programs bribery and one count of filing a false tax return.
Ernst conspired with William “Rick” Singer to solicit and receive bribe payments from the families of prospective Georgetown applicants to facilitate their admission to Georgetown as purported student athletes. Specifically, Ernst regularly used at least two, and often as many as five, of the six recruitment slots Georgetown allotted him each year to recruit unqualified students in exchange for bribe payments. For more than 10 years, Ernst facilitated the admission of at least 22 students – at least 19 of which were Singer’s clients – to Georgetown as purported tennis recruits in exchange for a total of nearly $3.5 million in bribe payments. He then failed to report all of the income from those bribe payments on his federal income tax returns.
Case information, including the status of each defendant, is available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Terry Harris, Special Agent in Charge of the U.S. Department of Education Office of Inspector General Eastern Regional Office made the announcement today. Assistant U.S. Attorneys Stephen E. Frank, Leslie A. Wright, Kristen A. Kearney and Ian Stearns of Rollins’ Securities, Financial & Cyber Fraud Unit prosecuted the case and Assistant U.S. Attorney Carol E. Head, Chief of Rollin’s Asset Recovery Unit handled the forfeiture aspects of the case.
Former Gainesville Preschool Teacher Indicted for Production and Possession of Child PornographyRead the Press Release
GAINESVILLE, FLORIDA – Trevor Alec Hruby, 24, of Gainesville, Florida, was indicted by a federal grand jury charging him with four counts of production of child pornography and one count of possessing child pornography. The indictment was announced by Jason R. Coody, United States Attorney for the Northern District of Florida. Hruby was remanded to federal custody following his arraignment on the charges.
The indictment alleges that, between December 2020 and September 2021, Hruby produced and possessed material containing child pornography. The pornographic material allegedly found in Hruby’s possession involved minors under the age of 12.
Trial for Hruby is set for August 3, 2022, at 8:30 a.m., at the United States Courthouse in Gainesville before the Honorable United States District Judge Allen Winsor.
Hruby is also facing separate, related state charges which are being prosecuted by the State Attorney’s Office for 8th Judicial Circuit.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The case was investigated by the Gainesville Police Department and the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney F.T. Williams.
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 for the Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former Director of Accounting and Human Resources Pleads Guilty to Embezzling from Her EmployerRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Michael J. Driscoll, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced that SUSANA RIVERA, the former Director of Accounting and Human Resources for a kitchen remodeling firm located in Westchester County and Greenwich, Connecticut, pled guilty to wire fraud in connection with her embezzlement of more than $630,000 from her former employer.
According to the allegations contained in the Information:
In October 2019, RIVERA was hired as the Director of Accounting and Human Resources at the victim company, a family owned kitchen design and remodeling business in Mamaroneck, Bedford and Greenwich, Connecticut. Starting in November 2019, RIVERA made hundreds of unauthorized charges in a total amount exceeding $175,000 to the victim company’s credit cards for personal expenses, including jewelry, beauty treatments, laser treatments, travel, pets, cosmetic surgery, clothing and cars, including a partial payment on a $100,000 Corvette. RIVERA also caused the victim company’s payroll company to make unauthorized payments in a net amount of more than $370,000 to a fake vendor that RIVERA created to receive the money. RIVERA also caused unauthorized transfers from the victim company’s bank account in an amount exceeding $2,900 to pay her personal utility bills. To get restrictions on the use of the victim company’s credit cards removed, RIVERA posed as an owner of the victim company in telephone calls with the company’s credit card company. RIVERA also sent the credit card company photographs of the owner’s driver’s license to cause credit card company personnel to believe she was the owner.
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RIVERA, 40, of the Bronx, New York, pled guilty to one count of wire fraud, which carries a maximum sentence of 20 years in prison.
The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as the sentence will be determined by the court.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorney James McMahon is in charge of the prosecution.
Former Correctional Officer at Jessup Correctional Institution Sentenced to Federal Prison for Racketeering Conspiracy ChargeRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced former Correctional Dietary Officer Chanel Pierce, age 29, of Pikesville, Maryland, yesterday to 21 months in federal prison, followed by 3 years of supervised release, for a racketeering conspiracy in connection with her work at the Jessup Correctional Institution (JCI), a maximum-security prison that housed approximately 1,800 male prisoners. The conspiracy, which included former correctional officers, inmates, and outside “facilitators,” was centered on bribing correctional officers to smuggle contraband, including narcotics, alcohol, tobacco, and cell phones, into the prison.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski, of the Federal Bureau of Investigation, Baltimore Field Office; and Secretary Robert L. Green, of the Maryland Department of Public Safety and Correctional Services.
According to Pierce’s plea agreement and other court documents, correctional officers (COs) accepted or agreed to accept payments from facilitators and/or inmates or engaged in sexual relations with inmates as consideration for smuggling contraband into JCI. Inmates acted as both wholesalers and retailers of contraband and, in the process, made profits that far exceeded the profits that could be made by selling similar drugs on the street. For example, conspirator inmates could purchase Suboxone strips for approximately $3 each and sell them inside JCI for approximately $50 each, or for a profit of more than 1,000 percent.
As detailed in her plea agreement, Pierce conspired with inmate Darnell Smith, a/k/a Hook, Smith’s outside facilitator, Chaz Chriscoe, and others to smuggle contraband, including controlled dangerous substances, such as Suboxone, into JCI and then distribute the contraband to Smith and other inmates. Pierce regularly met with Chriscoe at her residence and elsewhere to obtain contraband for smuggling. Pierce then concealed the contraband on her person, smuggled it into JCI, and distributed it to JCI inmates. Pierce admitted that she did this regularly while employed at the facility.
In exchange for smuggling the contraband, Pierce received thousands of dollars in bribe payments, which were sent to her by co-conspirators on behalf of JCI inmates. The memo line of the payments would often include the name or nickname of the inmate on whose behalf the bribe was made. For example, on April 12, 2019, Pierce received a $500 bribe payment from co-defendant Vonda Bolden along with the message “for Boosie,” who was Bolden’s son, JCI inmate Marshall Hill. Pierce transferred most of the bribe payments to her personal bank accounts and used the funds for her own benefit.
Early on the morning of May 25, 2019, Pierce met with co-defendant Chriscoe at her home and obtained several balloons filled with controlled substances to smuggle into JCI. Pierce then went to work and was stopped by law enforcement as she entered the facility and searched. Law enforcement recovered a concealed purple balloon from Pierce’s person containing Suboxone. A subsequent search of Pierce’s home revealed several more balloons filled with contraband that she intended to smuggle into JCI.
All fifteen defendants charged in this case have pleaded guilty to their roles in the conspiracy, including another former Correctional Office, co-defendant Dominique Booker. Chaz Michael Chriscoe, age 41, of Owings Mills, Maryland, was sentenced to 39 months in federal prison; Inmates Darnell Smith, a/k/a Hook, age 41 and Marshall Hill, a/k/a Boosie, age 30, were sentenced to 63 months and to four years in federal prison, respectively; Dominique Booker, age 45, of Baltimore, Maryland and Vonda Bolden, age 57, of Baltimore, Maryland, are awaiting sentencing.
The U.S. Attorney expressed appreciation to the Department of Public Safety and Correctional Services, whose staff initiated the JCI investigation and have been full partners in this investigation.
This case is also part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron commended the FBI and the Department of Public Safety and Correctional Services for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Christopher M. Rigali, who is prosecuting this case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Federal Jury Convicts Lapwai Man for Assault with a Dangerous WeaponRead the Press Release
COEUR D’ALENE – After a three-day trial, a federal jury sitting in Coeur d’Alene found Qaya Mikel Gordon, 20, guilty of two counts of Assault with a Dangerous Weapon, U.S. Attorney Josh Hurwit announced today. Chief U.S. District Judge David C. Nye presided over the trial, which began on June 27. The case was charged and tried in federal court because the Defendant and victims were tribal members and the crime was a felony that occurred on the Nez Perce Indian reservation.
According to court records and evidence presented at trial, Gordon attacked and injured his mother and her boyfriend with a hammer on November 1, 2021. Gordon initially denied involvement in the crime, telling the police that he was not there. At trial, however, he acknowledged that he was there but claimed that he acted in self-defense. The jury found him guilty.
Chief U.S. District Judge David C. Nye set sentencing for September 14, 2022, at 9:00 a.m. at the federal courthouse in Coeur d’Alene.
U.S. Attorney Hurwit attributed the successful investigation and prosecution to the collaborative effort of the Nez Perce Tribal Police and Prosecutor’s Offices, the Federal Bureau of Investigation, and the U.S. Attorney’s Office. “We succeed in protecting our citizens and furthering the interests of justice when we work together,” he said.
Hurwit also encourages those experiencing domestic violence or those who know of someone in need of help to reach out to local law enforcement or to the free and confidential National Domestic Violence Hotline by calling 1-800-799-SAFE, texting “START” to 88788, or visiting their website at www.thehotline.org.
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Federal Jury Convicts Ada Resident of Murder in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma announced today that Tyler Jay Mullins, age 44, of Ada, Oklahoma, was found guilty by a federal jury of Murder in Indian Country, in violation of Title 18, United States Code, Sections 1111(a), 1151, and 1153, and Causing the Death and Murder of a Person in the Course of a Violation of Title 18 U.S.C. § 924(c), in violation of Title 18, United States Code, Section 924(j)(1).
The jury trial began with testimony on Monday, June 27, 2022, and concluded on Thursday, June 30, 2022, with the guilty verdict.
During the trial, the United States presented evidence that in the early morning hours of April 20, 2002, the defendant severely beat his ex-girlfriend, Rachel Woodall. The defendant wrapped her in a tarp, put her into the trunk of his car, and drove her to a gravel/sand pit in rural Seminole County. The defendant placed the tarp-wrapped victim into a hole, shot her three times, and buried the body in the hole. The Medical Examiner determined Woodall died from the gun shots. After initially denying responsibility for Woodall’s death, on April 21, 2002, the defendant took law enforcement to where her body was located. A search of the scene also revealed 9mm shell casings in close proximity to the victim’s body.
The guilty verdict was the result of an investigation by the Oklahoma State Bureau of Investigation and the Federal Bureau of Investigation.
The United States Attorney’s Office for the Eastern District of Oklahoma prosecuted the case because the defendant in this case is a member of a federally recognized Indian tribe and the crime occurred in Seminole County, within the boundaries of the Seminole Nation Reservation, and within the Eastern District of Oklahoma.
The Honorable Charles B. Goodwin, U.S. District Judge in the United States District Court for the Western District of Oklahoma, sitting in Oklahoma City, presided over the trial and ordered the completion of a presentence report. Sentencing will be scheduled following completion of the report. Mullins was remanded to the custody of the United States Marshal pending the imposition of sentencing.
Assistant United States Attorneys Patrick Flanigan and Dean Burris represented the United States.
Federal Indictments Charge Two Violent Carjackings in ChicagoRead the Press Release
CHICAGO — The U.S. Attorney’s Office today announced federal charges against three individuals in connection with separate violent carjackings in Chicago.
United States v. Kimbrough, 22 CR 330
TRIMANE O. KIMBROUGH, 20, of Chicago, is charged with one count of carjacking and one count of using, carrying, and brandishing a firearm during a crime of violence, according to an indictment returned Tuesday in U.S. District Court in Chicago. Kimbrough allegedly brandished a semiautomatic handgun and stole a 2010 Mazda 6 from a victim in Chicago on May 2, 2022.
The carjacking count is punishable by up to 15 years in federal prison. The firearm count carries a minimum prison sentence of seven years and a maximum of life, which must be served consecutively to the sentence imposed for the carjacking offense.
Kimbrough is currently in law enforcement custody. Arraignment in federal court in Chicago has not yet been scheduled.
The investigation was conducted by the FBI-led Violent Crimes Task Force, which includes the Cook County Sheriff’s Office and Illinois State Police, and the Chicago Police Department. Valuable assistance was provided by the Northwestern University Police Department. The government is represented by Assistant U.S. Attorney Jasmina Vajzovic.
United States v. Clay and Cain, 22 CR 333
ALLEN CLAY, 20, and NARONN CAIN, 25, both of Chicago, are each charged with one count of carjacking and one count of using, carrying, and brandishing a firearm during a crime of violence, according to an indictment returned Wednesday in U.S. District Court in Chicago. Clay brandished a semiautomatic handgun and Cain brandished a semiautomatic rifle when the pair stole a 2011 Kia Optima from a victim in Chicago on April 25, 2022, the indictment states.
The carjacking count is punishable by up to 15 years in federal prison. The firearm count carries a minimum prison sentence of seven years and a maximum of life, which must be served consecutively to the sentence imposed for the carjacking offense.
Clay and Cain are currently in law enforcement custody. Arraignments in federal court in Chicago have not yet been scheduled.
The investigation was conducted by the FBI-led Violent Crimes Task Force, which includes the Cook County Sheriff’s Office and Illinois State Police, and the Chicago Police Department. The government is represented by Assistant U.S. Attorney Albert Berry III.
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“Our message to would-be carjackers is simple: Committing a senseless act of violence like carjacking will earn you a home in federal prison for a long time,” said John R. Lausch, Jr., United States Attorney for the Northern District of Illinois. “We are working closely with our law enforcement partners to pursue, prosecute, and detain violent carjackers and gun offenders in Chicago.”
“This indictment shows that the Violent Crimes Task Force is hard at work removing carjackers and illegal weapons from our streets,” said Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. “The FBI is committed to using every resource in our arsenal to stop carjackings and make our communities safer.”
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Federal Grand Jury Charges Three Men with Firearms OffensesRead the Press Release
Paducah, KY – A federal grand jury returned three indictments in May of this year separately charging three men with firearms offenses. According to the indictments:
Shaun Powers, 43, of Hopkinsville, Kentucky, was charged with possession of a firearm by a prohibited person, illegal possession of a machine gun, and possession of an unregistered firearm, that is, a weapon made from a shotgun having a barrel length of less than 18 inches;
Cleve R. Nedd, Jr., 30, of Hopkinsville, Kentucky, was charged with being a felon in possession of a firearm; and
Anthony Jones, 22, of Indianapolis, Indiana, formerly of Christian County, Kentucky, was charged with engaging in the business of dealing firearms, 5 counts of making a false statement during the purchase of a firearm, transferring a firearm to an out of state resident, and illegal possession of a machine gun.
Powers made his initial court appearance on June 28, 2022. Jones made his initial court appearance on June 30, 2022. Both Powers and Jones remain in federal custody pending trial. Nedd is currently scheduled to make his initial court appearance on July 28, 2022. If convicted at trial, the defendants each face up to 10 years in federal prison. There is no parole in the federal system. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and ATF Special Agent in Charge Shawn Morrow of the Louisville Division made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, Kentucky State Police, Hopkinsville Police Department, and the Christian County Sheriff’s Office are investigating the cases.
These cases are being prosecuted by Assistant U. S. Attorneys Seth Hancock and Leigh Ann Dycus.
These cases are 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
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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Federal Correctional Officer Indicted and Arrested for Use of Excessive Force Against an InmateRead the Press Release
SAN JUAN, Puerto Rico – On Thursday, June 30, a federal grand jury in the District of Puerto Rico returned an indictment charging Emilio Rodríguez-Arroyo with deprivation of rights under color of law and obstruction of justice. Today the defendant was arrested on these charges and taken into federal custody.
According to court documents, Emilio Rodríguez-Arroyo, a correctional officer at the Metropolitan Detention Center (MDC) in Guaynabo, Puerto Rico, used excessive force against an inmate, while the inmate was handcuffed behind his back and not resisting, resulting in bodily injury.
On Nov. 8, 2021, Rodríguez-Arroyo deprived victim E.R.R. of the Eighth Amendment right to be free from cruel and unusual punishment. The indictment alleges that the defendant struck E.R.R. in the head and face area while E.R.R. was handcuffed behind his back, not resisting, and in the control of other officers. After the incident, Rodríguez-Arroyo knowingly misled a senior Bureau of Prisons (BOP) official about the incident.
The defendant made his initial court appearance today before U.S. Magistrate Judge Giselle López-Soler of the U.S. District Court for the District of Puerto Rico. If convicted, he faces a maximum penalty of 10 years in prison for the civil rights violation count, and a maximum penalty of 20 years for the obstruction of justice count.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico, Special Agent in Charge Joseph González of the FBI San Juan Field Office and Special Agent in Charge James F. Boyersmith of the Department of Justice Office of the Inspector General Miami Field Office made the announcement.
The FBI and the Department of Justice Office of the Inspector General are investigating the case.
Assistant U.S. Attorney Alexander Alum of the District of Puerto Rico and Trial Attorney Eric Peffley of the Civil Rights Division are 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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Federal Correctional Officer Indicted and Arrested for Use of Excessive Force Against an InmateRead the Press Release
On Thursday, June 30, a federal grand jury in the District of Puerto Rico returned an indictment charging Emilio Rodríguez-Arroyo with deprivation of rights under color of law and obstruction of justice. Today, the defendant was arrested on these charges and taken into federal custody.
According to court documents, Emilio Rodríguez-Arroyo, a correctional officer at the Metropolitan Detention Center (MDC) in Guaynabo, Puerto Rico, used excessive force against an inmate while the inmate was handcuffed behind his back and not resisting, resulting in bodily injury.
On Nov. 8, 2021, Rodríguez-Arroyo deprived victim E.R.R. of the Eighth Amendment right to be free from cruel and unusual punishment. The indictment alleges that the defendant struck E.R.R. in the head and face area while E.R.R. was handcuffed behind his back, not resisting and in the control of other officers. After the incident, Rodríguez-Arroyo knowingly misled a senior Bureau of Prisons (BOP) official about the incident.
The defendant made his initial court appearance today before U.S. Magistrate Judge Giselle López-Soler of the U.S. District Court for the District of Puerto Rico. If convicted, he faces a maximum penalty of 10 years in prison for the civil rights violation count, and a maximum penalty of 20 years for the obstruction of justice count.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico, Special Agent in Charge Joseph González of the FBI San Juan Field Office and Special Agent in Charge James F. Boyersmith of the Department of Justice Office of the Inspector General Miami Field Office made the announcement.
The FBI and the Department of Justice Office of the Inspector General are investigating the case.
Assistant U.S. Attorney Alexander Alum for the District of Puerto Rico and Trial Attorney Eric Peffley of the Civil Rights Division are 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.
Federal Charges Accuse Chicago Man of Illegally Possessing Handgun Equipped with “Glock Switch”Read the Press Release
CHICAGO — A Chicago man has been arrested on a federal firearm charge for allegedly illegally possessing a handgun equipped with a device converting it into an automatic weapon.
An indictment unsealed today in U.S. District Court in Chicago charges PARIS SHEPHERD, 31, with one count of illegal possession of a firearm. Shepherd had previously been convicted of a felony and was prohibited by federal law from possessing a firearm.
The indictment accuses Shepherd of illegally possessing the loaded semiautomatic handgun in the Auburn Gresham neighborhood of Chicago on June 14, 2022. The gun was allegedly equipped with a conversion device, also known as a “Glock switch,” which transforms firearms into automatic weapons capable of shooting more than one shot with a single pull of the trigger.
Shepherd was arrested this morning. He is scheduled to make an initial appearance in federal court this afternoon before U.S. Magistrate Judge Jeffrey T. Gilbert.
The indictment and arrest were announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Kristen de Tineo, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; and David Brown, Superintendent of the Chicago Police Department. The government is represented by Assistant U.S. Attorneys Margaret Steindorf and Paul Schied.
“The illegal possession of firearms equipped with conversion devices poses a grave threat to public safety,” said U.S. Attorney Lausch. “Our office is using every available federal law enforcement tool to keep dangerous weapons out of the wrong hands.”
Holding illegal firearm possessors accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods, the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, U.S. Attorney Lausch and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. The charge in the indictment is punishable by up to ten years in federal prison. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Fayette Drug Dealer Sentenced to Federal Prison for Possessing FirearmsRead the Press Release
A man that possessed firearms in connection with marijuana distribution was sentenced June 30, 2022, to more than five years in federal prison.
Kaleb James Huffman, age 23, from Fayette, Iowa, received the prison term after a December 28, 2021 guilty plea to one count of possession of a firearm by a drug user.
Evidence disclosed at sentencing showed that, on December 4, 2020, law enforcement searched Huffman’s residence and seized a Mossberg 715T, .22 LR caliber rifle with an obliterated serial number, a Raven Arms P-25, .25 Auto caliber pistol, and at least two pounds of marijuana, all in the same bedroom. Law enforcement also located evidence of marijuana use throughout the residence. A later search of Huffman’s social media accounts revealed pictures and videos of Huffman smoking marijuana, advertising the sale of marijuana, and possessing large sums of cash.
Huffman was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Huffman was sentenced to 70 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Huffman 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 Dillan Edwards and investigated by the Fayette Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-02045-CJW.
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Farmington Man Sentenced to 86 Months in Prison for StabbingRead the Press Release
PHOENIX, Ariz. – On June 27, 2022, Fabian Yazzie, 33, of Farmington, N.M., was sentenced by United States District Judge Steven P. Logan to 86 months in prison, followed by three years of supervised release. Yazzie had previously pleaded guilty on February 11, 2022, to Assault with a Dangerous Weapon.
On March 15, 2018, Yazzie stabbed the victim in the neck and hand with a knife. The assault occurred in Lukachukai, Arizona, on the Navajo Nation, where both Yazzie and the victim are enrolled members.
The FBI and the Navajo Nation Division of Public Safety conducted the investigation in this case. Assistant U.S. Attorneys Emma Mark and Alexander Samuels, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-08030-PCT-SPL
RELEASE NUMBER: 2022-105_YAZZIE# # #
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.
El Departamento de Justicia llega a un acuerdo con un reclutador de informática que resuelve unas acusaciones de discriminación relacionada con la inmigraciónRead the Press Release
WASHINGTON – El Departamento de Justicia anunció hoy que ha llegado un acuerdo conciliatorio con Technology Hub Inc., una compañía de contratación y reclutamiento en el ámbito de la informática con sede en Virginia. El acuerdo resuelve las acusaciones de que Technology Hub había discriminado tanto a ciudadanos de los EE. UU. como a no ciudadanos de los EE. UU. que contaban con permiso para trabajar en los Estados Unidos, con base en su estatus migratorio o ciudadanía durante su proceso de reclutamiento.
«Ni empleadores ni agencias de contratación pueden excluir a solicitantes de trabajo al promocionar o implementar preferencias ilícitas basadas en la ciudadanía o el estatus migratorio de uno», afirmó Kristen Clarke, la Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia. «La División de Derechos Civiles está comprometida a hacer cumplir la ley para garantizar que los que están buscando un trabajo queden protegidos de la discriminación ilícita».
Con base en su investigación, el Departamento concluyó que en al menos cuatro ocasiones, Technology Hub buscó e investigó a solicitantes con base en la preferencia de la compañía y sus clientes por trabajadores con cierto estatus migratorio o ciudadanía. Las prácticas de la compañía perjudicaron a trabajadores que no acataban esas preferencias al disuadirles de solicitar un trabajo. Por ejemplo, la investigación reveló que en al menos tres ocasiones, Technology Hub excluyó a asilados, refugiados y nacionales de los EE. UU. al promocionar vacantes solamente para ciudadanos y residentes permanentes legales de los EE. UU. Más aún, el Departamento concluyó que en al menos una ocasión, Technology Hub discriminó a trabajadores en este país al promocionar un puesto que buscaba solamente a trabajadores con visas H-1B.
La disposición antidiscriminatoria de la ley de Inmigración y Nacionalidad (INA, por sus siglas en inglés) protege a ciudadanos estadounidenses, nacionales no ciudadanos de los EE. UU., refugiados, asilados y residentes permanentes legales recientes de la discriminación en el empleo por motivos de su estatus migratorio o de ciudadanía. Por lo general, la INA prohíbe que los empleadores y reclutadores restrinjan puestos de trabajo con base en la ciudadanía o el estatus migratorio a menos que así lo requiera una ley, un reglamento, una orden ejecutiva o un contrato gubernamental. Conforme la INA, los empleadores y otras entes que reclutan o recomiendan por comisión a trabajadores solo pueden restringir puestos con base en la ciudadanía o el estatus migratorio si así lo requiera una ley, un reglamento, una orden ejecutiva o un contrato gubernamental. Los empleadores y sus reclutadores están vulnerando la INA si implementan las preferencias discriminatorias ilegales de un cliente.
Conforme los términos del acuerdo conciliatorio, Technology Hub pagará una sanción civil que asciende a $12,000 a los Estados Unidos; revisará sus políticas y procedimientos; capacitará a los empleados y agentes relevantes acerca de la disposición antidiscriminatoria de la INA y se someterá a la supervisión durante un período de tres años con el fin de garantizar su cumplimiento.
La Sección de Derechos de Inmigrantes y Empleados de la División de Derechos Civiles es responsable de hacer cumplir la disposición antidiscriminatoria de la INA. Entre otras cosas, la ley prohíbe la discriminación con base en el estatus migratorio o de ciudadanía o bien por la nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión; prácticas documentales injustas y represalias e intimidación. El sitio web de la IER tiene información sobre cómo los empleadores pueden evitar la discriminación por motivos de estatus de ciudadanía en la contratación y el reclutamiento.
Para aprender más sobre la labor de la IER y cómo conseguir ayuda, vea este vídeo corto. Aquellos aspirantes o empleados que creen haber sido discriminados por motivos de su estatus de ciudadanía o nacionalidad de origen en los procesos de contratación, despido, reclutamiento o verificación de la elegibilidad para trabajar (Formulario I-9 e E-Verify) o sujetos a represalias pueden presentar una denuncia. El público también puede llamar a la línea directa de la IER para trabajadores al 1‑800-255-7688; llamar a la línea directa de la IER para empleadores al 1-800-255-8155 (1‑800‑237-2515, TTY para personas con discapacidades auditivas); enviar un correo electrónico a IER@usdoj.gov; inscribirse a un seminario en línea gratuito; o visitar la página web de la IER en inglés o español. Para recibir las últimas noticias de la IER, inscríbase a GovDelivery.
Visualice este comunicado de prensa en inglés.
Ethete Man Sentenced for Abusive Sexual ContactRead the Press Release
Acting United States Attorney Nicholas Vassallo announced today that ROBERT EARL FRIDAY, 28, of Ethete, Wyoming, was sentenced for abusive sexual contact on June 28, 2022 by Chief United States District Court Judge Scott W. Skavdahl. Friday was sentenced to 19 months’ imprisonment, to be followed by five years supervised release and was ordered to pay a fine of $250 and a $100 special assessment.
The case arose on April 10, 2021 on the Wind River Indian Reservation. On that day, law enforcement received a call for service for a drunk and disorderly male at a residence. A Bureau of Indian Affairs officer responded to the scene and identified Robert Friday as the subject of the call. While effectuating the arrest, Friday grabbed the genitalia of the female officer and exposed himself to her.
This crime was investigated by the Bureau of Indian Affairs. Assistant United States Attorney Michael J. Elmore prosecuted the case.
Case No. 21-00108-SWS
Doniphan Woman Sentenced for Possession of MethamphetamineRead the Press Release
Acting United States Attorney Steven Russell announced that Tess Kleinknecht, 31, of Doniphan, Nebraska, was sentenced today to 77 months in prison for possession of methamphetamine with intent to distribute by United States District Judge John M. Gerrard. Following her release from prison, Kleinknecht will serve four years on supervised release. There is no parole in the federal system.
On July 30, 2020, law enforcement officers went to a Grand Island residence to arrest a person federally indicted on methamphetamine conspiracy charges. While there, investigators found Kleinknecht inside the residence, and obtained a search warrant for the residence. Investigators found three bags of methamphetamine along with cutting agent and distribution paraphernalia in Kleinknecht’s belongings. A lab analyst found there to be more than 5 grams of actual or pure methamphetamine.
This case was investigated by the Nebraska State Patrol and the Central Nebraska Drug and Safe Streets Task Force, which is made up of officers from the Grand Island Police Department, Hall County Sheriff, Hastings Police Department, Adams County Sheriff, Kearney Police Department, Buffalo County Sheriff, Nebraska State Patrol, Homeland Security Investigations, and the Federal Bureau of Investigation.
Department of Justice Settles Lawsuit Against Spine Device Distributor and its Owners Alleging Illegal Kickbacks to PhysiciansRead the Press Release
Reliance Medical Systems LLC, a distributor of spinal implant devices headquartered in Bountiful, Utah, its owners, Bret Berry and Adam Pike, and two of their physician-owned distributorships have agreed to pay $1 million to resolve a lawsuit against them alleging that they violated the False Claims Act by paying physicians to use Reliance medical devices in spinal surgeries on their own patients.
The Justice Department’s lawsuit alleged that the defendants operated physician-owned distributorships (PODs) that, in reality, were vehicles for the payment of kickbacks to induce physicians to use Reliance’s medical devices in their surgeries. The Anti-Kickback Statute prohibits offering or paying anything of value to encourage the referral of items or services covered by federal health care programs.
The Justice Department contends that the defendants’ PODs paid physicians based on their referrals, made false statements to health care providers, and terminated physicians who did not refer enough patients. The complaint alleged that Berry and Pike were recorded attempting to induce a spine surgeon to join Kronos Spinal Technologies, one of Reliance’s PODs, by offering to pay him a share of the profits he generated for Kronos after he proved his “loyalty” to Kronos.
“As today’s settlement demonstrates, we will look to the substance, not just the form, of an arrangement to determine whether the payment of remuneration constitutes an illegal kickback,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to redressing the corrupting influence of kickbacks on federal health care programs, regardless of how companies seek to characterize such payments.”
“When health care companies try to boost their profits through kickbacks arrangements, they compromise the integrity of medical decision-making while increasing health care costs for everyone,” said Special Agent in Charge Timothy B. DeFrancesca of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “Working with our law enforcement partners, our agency is committed to thoroughly investigating such schemes.”
The United States filed this lawsuit in 2014, and this settlement was reached after the first day of trial. The case is captioned United States of America v. Reliance Medical Systems, LLC, et al., No. 14-6979 (C.D. Cal.).
This settlement is the most recent in a series of settlements with persons affiliated with Reliance Medical Systems. The Civil Division previously recovered over $9.25 million from owners of Reliance PODs.
The investigation and resolution of this matter illustrate the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
This matter was handled by the Civil Division’s Commercial Litigation Branch (Fraud Section) Attorneys Robert Chandler and David Finkelstein, with assistance from HHS-OIG.
The claims asserted against defendants are allegations only and there has been no determination of liability.
Convicted Felon Sentenced to 25 Years in Prison for Armed Carjacking and Firearm PossessionRead the Press Release
GAINESVILLE, FLORIDA – Jonquayvias Davon Givens-Moore, 21, of Miami, Florida, has been sentenced to 25 years in federal prison after he pled guilty to carjacking, brandishing a firearm in furtherance of a crime of violence, and possessing a firearm as a convicted felon following his guilty plea on March 8, 2022. The prison term will be followed by 5 years of supervised release. Jason R. Coody, United States Attorney for the Northern District of Florida, announced the sentence.
“The horrific beating and armed carjacking perpetrated by this recently released felon is beyond the pale and he is unquestionably deserving of the imposed sentence,” said U.S. Attorney Coody. “Due to the valiant efforts of the Alachua County Sheriff’s Office and the Federal Bureau of Investigation, this violent felon has been held accountable for his continued criminal conduct, and our community is safer as a result.”
Court documents reflect that on August 30, 2021, Givens-Moore requested a ride using the Uber rideshare app. The Uber driver responded, picked him up, then began proceeding towards his pre-set destination. Along the way, Givens-Moore feigned confusion about their path of travel and directed the Uber driver to pull into an apartment complex. When the driver did so, Givens-Moore produced a Glock .40 caliber pistol, pointed it in the driver’s face, and climbed into the front passenger seat. From that position, Givens-Moore demanded the vehicle and threatened to kill the driver if she did not give it to him. When the driver resisted and pleaded with Givens-Moore to not steal her vehicle, he attempted to forcibly eject her from the vehicle and ultimately struck her in the head with his firearm repeatedly. These blunt force strikes to the driver’s head caused significant injury and almost caused her to lose consciousness. Givens-Moore was eventually able to remove the driver from the vehicle and he fled from the apartment complex in the driver’s vehicle, striking other vehicles in the process.
Civilian witnesses in the complex observed the struggle and called 911 to report the incident and provided aid to the driver. A responding deputy from the Alachua County Sheriff’s Office (ACSO) quickly spotted the vehicle being driven from the scene by Givens-Moore. As he did so, Givens-Moore accelerated and eventually entered onto I-75 southbound, with multiple deputies giving chase. During the high-speed chase that ensued, Givens-Moore travelled at speeds in excess of 110 mph and drove in an incredibly reckless and dangerous manner as he attempted to elude law enforcement. Givens-Moore attempted to exit I-75 at the Micanopy exit, but lost control on the shoulder of the exit ramp. ACSO deputies arrived shortly after his vehicle became stuck and removed him from the vehicle. A subsequent search of the vehicle led to recovery of the loaded Glock .40 caliber pistol with an extended magazine.
“This case highlights the value of law enforcement and the community working together to hold violent criminals accountable as violent crime will not be tolerated in our neighborhoods,” said Alachua County Sheriff Clovis Watson, Jr. “We will continue to work with all our law enforcement and judicial partners to ensure Alachua County remains a safe community.”
“This case is a direct result of the commitment by the FBI and the Alachua County Sheriff's Office to protect and keep our streets safe by identifying, investigating and arresting violent criminals," said Sherri E. Onks, Special Agent in Charge of the FBI Jacksonville Division.
The Federal Bureau of Investigation adopted the case for federal prosecution and conducted additional investigation. Givens-Moore had multiple prior felony convictions, including two-armed robbery convictions and an attempted robbery conviction from 2017. Givens-Moore had been released from the Florida Department of Corrections just three months prior to this carjacking and he was still on supervision resulting from those convictions at the time of this offense. Givens-Moore also had additional prior felony convictions, including grand thefts of automobiles and burglary.
This sentencing resulted from the collaborative work of the Alachua County Sheriff’s Office and the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorney Chris Elsey.
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.
Columbus woman sentenced to eight years in prison for conspiring to kidnap Hilliard coupleRead the Press Release
COLUMBUS, Ohio – Denia I. Avila, 39, of Columbus was sentenced to 96 months in prison for leading a failed conspiracy that attempted twice to kidnap her ex-boyfriend and his new girlfriend.
Court documents say Avila recruited seven co-conspirators to plan and carry out her plan to kidnap the couple near their Hilliard residence. Two conspirators dressed in black facemasks approached the victims as they entered their vehicle about 5:30 a.m. on November 25, 2019, while two others were nearby to assist if the victims tried to run back to the residence. One of the conspirators used a stun-gun against the male victim’s neck. The woman victim screamed. The victims fought off the two would-be kidnappers and fled.
During the second kidnapping attempt a week later, Avila blocked in the victims’ vehicle in the early morning hours to try and keep them from leaving the residence. Two co-conspirators dressed as law-enforcement officers approached the victims and presented a fake arrest warrant, demanding that they exit their vehicle. The victim drove over a curb and escaped.
Detectives discovered two videos in which Avila and one of the conspirators discuss plans for kidnapping and injuring the victims. A Taser and leg shackles are shown in the videos. In the videos, Avila states she knows the victims would be too fearful to go to the authorities because she helped smuggle the male victim back into the United States after he was deported, and therefore she knew he was here illegally. After a federal grand jury indicted Avila, she conspired with another person to tamper with a witness by having the victim she had paid to have smuggled into the country deported.
Avila pleaded guilty on October 29, 2021 to conspiracy to commit kidnapping. Her sentence includes three years under court supervision after she’s released from prison, and payment of $1,396 in restitution. Others charged with participating in the conspiracy have also pleaded guilty and been sentenced.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; James C. Harris, Special Agent in Charge, Homeland Security Investigations (HSI), Jennifer Huerta, Special Agent in Charge, ICE Office of Professional Responsibility, and Hilliard Division of Police Chief Mike Woods announced the sentence imposed today by U.S. District Chief Judge Algenon L. Marbley. The Department of Homeland Security Office of Inspector General assisted in the case.
Assistant United States Attorney Jessica W. Knight and Special Assistant United States Attorney Christopher N. St. Pierre are representing the United States in this case.
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Cleveland Man Sentenced to More than 27 Years in Prison for Selling Fentanyl that Led to Overdose DeathRead the Press Release
CLEVELAND – Devonte L. Fellows, 26, of Cleveland, Ohio, was sentenced on Thursday, June 30, 2022, to more than 27 years in prison by U.S. District Judge Donald C. Nugent after his conviction at trial of distributing fentanyl that led to the death of a Cuyahoga Falls individual.
According to court documents and evidence presented at trial, in April 2019, detectives with the Cuyahoga Falls Police Department began an investigation into the overdose death of an individual found unresponsive in a Cuyahoga Falls residence. During the investigation, authorities recovered from the residence a substance that contained fentanyl.
The Summit County Medical Examiner’s Office performed a full autopsy of the victim and determined that the cause of death was acute fentanyl toxicity. Court records state that investigators later determined that Defendant Devonte L. Fellows knowingly and intentionally distributed the fentanyl to the victim, who later ingested it, overdosed and died.
A federal jury convicted Fellows in March 2022 of one count of distribution of fentanyl, which contained a sentencing enhancement due to the death of an individual resulting from the distribution of the controlled substance.
This investigation was conducted by the Cuyahoga Falls Police Department and the FBI. This case was prosecuted by Assistant U.S. Attorneys Peter E. Daly and Christopher J. Joyce.
Central Illinois Mother and Son Sentenced to Prison for Marijuana and Money Laundering ConspiracyRead the Press Release
URBANA, Ill. –Jennifer Fisher, 50, of Springfield, Illinois, was sentenced on June 27, 2022, to 14 months of imprisonment and a $10,000 fine for conspiracy to possess with intent to distribute marijuana and conspiracy to commit money laundering.
At the sentencing hearing, the government presented evidence establishing that Fisher aided her son, Courtney Johnson, 32, of Decatur, Illinois, in the conspiracy, which involved hundreds of pounds of marijuana. Fisher assisted her son in laundering drug proceeds to expand the drug operation and fund his travel. The laundering included expanding operations within the Decatur area through the maintenance of several storage areas for the marijuana. Through subsequent investigation, law enforcement agents also discovered that Johnson had multiple pounds of cocaine that he intended to sell as well.
A federal grand jury returned a second superseding indictment against Fisher and Johnson in March 2020. Fisher pleaded guilty in February 2022 to conspiracy to commit money laundering and conspiracy to possess with the intent to distribute marijuana. In May 2022, Johnson pleaded guilty to conspiracy to commit money laundering, conspiracy to possess with intent to distribute marijuana, possession with intent to distribute at least 500 grams of a mixture and substance containing cocaine, and maintaining a drug-involved premises (two counts).
Both Fisher and Johnson faced maximum possible penalties of 20 years of imprisonment and up to a $500,000 fine for the money laundering conspiracy. Fisher faced additional penalties of up to 20 years of imprisonment and up to a $1,000,000 fine for her involvement in the marijuana conspiracy. For his participation in the marijuana conspiracy, Johnson faced a maximum possible penalty of 40 years of imprisonment and a maximum possible fine of $5,000,000. Johnson faced the same penalties for the cocaine charge as well. And he faced maximum possible penalties of 20 years of imprisonment and a $500,000 fine for each count of maintaining a drug-involved premises.
Various items derived from proceeds of the offense or items used to commit or facilitate the offense are subject to criminal forfeiture. Those included four motor vehicles, $27,598 of United States currency, gold and diamond jewelry, and several precious wristwatches.
Johnson was previously sentenced in May 2022 to an aggregate seven-and-a-half years in the Bureau of Prisons for his offenses.
“The outcome of this case is another example of cooperation between federal and local law enforcement agencies not only to disrupt an illegal drug conspiracy but also to seize and forfeit the ill-gotten gains produced from the drug conspiracy,” said U.S. Attorney Gregory K. Harris. “Federal prosecutors will continue to seek the forfeiture of assets obtained or used in criminal activity.”
“This is an important victory for the American public. Not only are two criminals going to prison for their crimes, but the government has seized a significant portion of the illegal proceeds through asset forfeiture,” said Justin Campbell, Special Agent in Charge, Chicago Field Office, IRS Criminal Investigation. “The role of IRS CI in narcotics investigations is to follow the money so we can financially disrupt and dismantle major drug trafficking organizations. IRS-CI is proud to provide its financial expertise as we work alongside our law enforcement partners to bring criminals to justice.”
The Decatur Police Department, the Federal Bureau of Investigation, and the U.S. Internal Revenue Service – Criminal Investigation investigated the case. Assistant U.S. Attorneys William J. Lynch and C. Ryan Finlen represented the government in the prosecution.
This investigation grew into a multi-jurisdictional effort involving the Illinois State Police, the Nevada Highway Patrol, the Drug Enforcement Administration and the U.S. Department of Homeland Security. This effort is part of an Organized Crime Drug Enforcement Task Force (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 www.justice.gov/OCDETF.
Central Illinois Man Sentenced to 144 Months in Prison for Multiple Robbery Charges and Attempted EscapeRead the Press Release
PEORIA, Ill. – A Mechanicsburg, Illinois, man, John W. Beck, 55, of the 500 block of East Main Street, was sentenced on June 29, 2022, to 120 months in prison on each of four counts of interference with commerce by robbery, one count of bank robbery, and one count of armed bank robbery, all to run concurrently. He was also ordered to serve an additional 24 months in prison in relation to his conviction for attempted escape from the Livingston County Jail. That sentence is to be served consecutively to the 120 months in prison imposed for the robbery offenses.
At the sentencing hearing, the government presented evidence that Beck admitted to robbing the following businesses and banks:
Dollar General in Buffalo, Illinois, on April 8, 2021
Bank of Pontiac, doing business as Odell Bank, in Odell, Illinois, on April 9, 2021
Fast Stop Store in Odell, Illinois, on April 17, 2021
Village Pantry in Paxton, Illinois, on April 18, 2021
Subway in Danville, Illinois, on April 19, 2021
Elmwood Bank, a division of Morton Community Bank, in Elmwood, Illinois, on April 20, 2021.
During this robbery spree, Beck stole cars from two different individuals, one on April 7, 2021, in Mechanicsburg and another on April 19, 2021, in Paris, Illinois, as well as a car from Green Hyundai in Springfield, Illinois, on April 16, 2021, and one from Central Illinois Motors in Springfield on April 17, 2021. He also stole license plates from two other individuals, which he then used on the stolen cars.
Beck was arrested on the current charges in April 2021, indicted in May 2021, and has remained in the custody of the U.S. Marshals since that time. While in custody, in September 2021, Beck attempted to escape from the Livingston County Jail, where he was being held.
Beck pleaded guilty to all charges in January 2022. There was no plea agreement.
At the time of his arrest, Beck was on supervised release for a bank robbery he committed in 2007, for which he was sentenced to the Bureau of Prisons for 151 months. He was also on state parole for an armed robbery conviction in Champaign County, Illinois. He had been released from federal prison in January 2019 and released from the Illinois Department of Corrections sentence in 2020.
Also at the hearing, U.S. District Judge Joe Billy McDade found that, because of previous violent crime convictions, as well as the current bank robbery convictions, Beck was a career offender.
U.S. Attorney Gregory Harris commended the exceptional coordination and cooperation of the law enforcement agencies affected by Beck’s crime spree. “The dedication and cooperation of the law enforcement agencies – including the State’s Attorneys’ Offices for Livingston, Peoria, Edgar, Vermilion, Sangamon, and Ford Counties – led to the arrest of John Beck before he could do any more harm to the people and businesses of central Illinois,” Harris said.
“Thanks to the exemplary work of our law enforcement partners, FBI Springfield was able to piece together Beck’s 14-day crime spree allowing for significant federal charges that help ensure he is no longer a menace to Illinois communities,” said Springfield Field Office Special Agent in Charge David Nanz. “This sentence holds Beck accountable for his actions and demonstrates the effectiveness of working collaboratively with our partners to combat violent crime.”
The investigation was conducted by the Sheriff’s Departments in DeWitt, Edgar, Livingston, Peoria, and Sangamon, Illinois, counties; the Danville, Elmwood, Paxton, and Springfield, Illinois, Police Departments; the Federal Bureau of Investigation, Springfield Office; and the U.S. Marshals Service. Criminal Chief Darilynn J. Knauss represented the government in the prosecution.
California Man Pleads Guilty for $3.6 Million Paycheck Protection Program and Economic Injury Disaster Loan FraudRead the Press Release
SAN FRANCISO –Lebnitz Tran pleaded guilty to criminal charges related to a scheme to submit fraudulent loan applications seeking millions of dollars in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) COVID-19 relief funds. The plea was accepted by the Hon. William H. Orrick, United States District Judge.
According to court documents, Lebnitz Tran, 41, of San Jose, submitted at least 27 PPP loan applications and at least seven EIDL loan applications on behalf of multiple persons and business entities, using false and fictitious information and documents, including falsified employee information, fictitious or grossly exaggerated payroll figures, and fake tax documents. Tran sought approximately $8.5 million in PPP and EIDL funds, obtained over $3.6 million in illicit loan proceeds, and ultimately netted approximately $1.7 million from the scheme. Tran and others used these illicit loan proceeds to make purchases at restaurants and retail stores, make deposits into personal investment accounts, buy cryptocurrency, and, in one instance, to purchase a $100,000 Tesla from a luxury car dealership.
On July 1, 2021, a federal grand jury indicted Tran, charging him with six counts of wire fraud, in violation of 18 U.S.C. § 1343, and one count of bank fraud, in violation of 18 U.S.C. § 1344(2). Pursuant to the plea, Tran pleaded guilty to two of the wire fraud counts. If Tran complies with the plea agreement, the remaining counts will be dismissed at sentencing.
Judge Orrick scheduled Tran’s sentencing for November 3, 2022; he faces a maximum penalty of 20 years in prison as to each count of wire fraud. At sentencing, Tran also may be ordered to pay restitution and fines, as well as serve an additional term of supervised release. However, any sentence will be imposed only after consideration of the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Stephanie M. Hinds of the Northern District of California and Federal Bureau of Investigation, Special Agent in Charge of the San Francisco Field Office Sean Ragan made the announcement.
The FBI and the Small Business Administration’s Office of Inspector General are investigating the case.
Assistant U.S. Attorney Sarah Griswold of the Northern District of California and Trial Attorney Christopher Jackson of the Criminal Division’s Fraud Section are prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Calabasas Man Agrees to Plead Guilty to Charges for Scamming Cannabis Vaping Business Investors Out of at Least $28 MillionRead the Press Release
LOS ANGELES – A former UCLA decathlete who also competed with the Philippines national team has agreed to plead guilty to two federal criminal charges for fraudulently raising more than $37 million from investors who were told their funds would be used to finance companies marketing cannabis vape pens, the Justice Department announced today.
David Joseph Bunevacz, 53, of Calabasas, agreed to plead guilty to one count of securities fraud and one count of wire fraud, according to a plea agreement filed today in United States District Court. Both crimes carry a statutory maximum penalty of 20 years in federal prison.
Bunevacz, who has been in federal custody since his arrest in this case on April 5, is expected to plead guilty to the charges in the coming weeks.
According to his plea agreement, going back to 2010, Bunevacz created several business entities – including Holy Smokes Holdings LLC and Caesarbrutus LLC – that he claimed were involved in the cannabis industry and the sale of vape pens containing cannabis products such as CBD oil and THC.
Bunevacz falsely told at least one investor he had a longstanding relationship with a Chinese manufacturer of disposable vape pens and he obtained “raw pesticide-free oil” that was sent to a “lab that infuses the flavors into the oil with our proprietary custom process that renders the vape flavoring smooth and discrete,” according to court documents. Bunevacz also provided investors with forged documents – such as bank statements, invoices and purchase orders – to support his claims of the businesses’ success and the need for investor funds.
Instead of using the funds to finance business operations, Bunevacz misappropriated the vast majority of the funds to pay for his own opulent lifestyle, including a luxurious house in Calabasas, Las Vegas trips, jewelry, designer handbags, a lavish birthday party for his daughter, and horses.
To create the false appearance that his companies were engaged in legitimate business activities, Bunevacz registered various shell companies, including several with names similar or identical to those of legitimate cannabis businesses. To conceal his control of these shell companies and the bank accounts associated with them, Bunevacz listed other individuals, including his stepdaughter, as the corporate officers of the shell companies.
Bunevacz’s blog touts his success as a former decathlete who competed for the Philippines, and his wife and daughter appeared in a reality television show. Despite Bunevacz’s promotion of his background, Bunevacz took efforts to conceal negative information from investors, such as his 2017 felony conviction for the unlawful sale of securities, according to an affidavit submitted in support of the criminal complaint. After one investor uncovered a lawsuit against Bunevacz, Bunevacz emailed a counterfeit version of the settlement agreement to falsely make it appear that he had been paid $325,000 as part of a settlement. In reality, it was Bunevacz who had agreed to pay $325,000 to settle the claim.
Operating through his cannabis companies, Bunevacz raised between approximately $37,166,737 and $45,068,227 from more than 10 victim-investors. He admitted to causing losses of at least $28,409,112.
The FBI, the Los Angeles County Sheriff’s Department and IRS Criminal Investigation are investigating this matter. The U.S. Securities and Exchange Commission provided substantial assistance.
Assistant United States Attorney Alexander B. Schwab of the Major Frauds Section is prosecuting this case.
Bullhead Man Indicted for Possession of a Stolen FirearmRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Bullhead, South Dakota, man has been indicted by a federal grand jury for Possession of a Stolen Firearm.
Nicholas James Black Cloud, age 20, was indicted on January 11, 2022. He appeared before U.S. Magistrate Judge Mark A. Moreno on June 29, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is up to ten years in federal prison and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on October 25, 2021, in McLaughlin, South Dakota, Black Cloud was in possession of a stolen firearm, which he took from a vehicle.
The charge is merely an accusation and Black Cloud is presumed innocent until and unless proven guilty.
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.
The investigation is being conducted by the Corson County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Bureau of Indian Affairs – Office of Justice Services. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Black Cloud was released on bond pending trial. A trial date has not been set.
Birmingham Man Pleads Guilty to Drug ChargesRead the Press Release
BIRMINGHAM, Ala. – A Birmingham man pleaded guilty to drug charges, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge Mickey French.
Randy Hasan Abdurrahim, 37, pleaded guilty this week to possession of a controlled substance. His sentencing is scheduled for October 19, 2022, before United States District Court Judge Madeline Hughes Haikala.
According to the Plea Agreement, on September 2, 2021, while two detectives on patrol were at a Shell gas station on East Lake Boulevard, a Lexus pulled up to the gas pump with the smell of marijuana coming from inside the vehicle. A detective ran the tag through NCIC and it came back as belonging to a Nissan Altima. The vehicle left the gas station and the detectives attempted to perform a traffic stop. The driver refused to stop and fled from detectives. The driver hopped out of the Lexus and fled on foot as the vehicle rolled down the hill. The detectives pursued the driver and were able to take him into custody.
Detectives searched the vehicle and recovered 4 grams of cocaine, 9 grams of fentanyl, 6.16 grams of marijuana, 107 grams of methamphetamine, 2 grams of heroin, and drug paraphernalia.
ATF investigated the case along with the Jefferson County Sheriff’s Office. Assistant United States Attorney Darius Greene prosecuted the case.
Beckley Man Sentenced to Prison for Fentanyl CrimeRead the Press Release
BECKLEY, W.Va. – Eric Dale Mills, 45, of Beckley, was sentenced today to five years in prison, to be followed by four years of supervised release, for possession with intent to distribute 40 grams or more of a mixture or substance containing fentanyl.
According to court documents and statements made in court, on July 26, 2021, law enforcement officers found more than 50 grams of fentanyl and a small amount of methamphetamine in a vehicle driven by Mills after conducing a traffic stop. Officers also found small bags for packaging and scales. Mills admitted that he possessed the fentanyl and that he intended to distribute it.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Raleigh County Sheriff’s Department.
United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Andrew D. Isabell prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:21-cr-252.
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Baltimore Man Pleads Guilty to Arson Charges and Admits to Setting a House on Fire While Three People Were InsideRead the Press Release
Baltimore, Maryland – Luther Moody Trent, age 21, of Baltimore, Maryland, pleaded guilty yesterday to malicious destruction of property by fire.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Maryland State Fire Marshal Brian S. Geraci; Commissioner Michael Harrison of the Baltimore Police Department; and Chief Niles R. Ford of the Baltimore City Fire Department
According to his guilty plea, on May 21, 2021, at approximately 1:30 a.m., Trent poured gasoline along the exterior of a Baltimore residence and then set the gasoline on fire while Victim 1, Victim 2, and Victim 3 were inside. The fire caused significant damage to the residence and the adjoining property. All three victims and firefighter personnel were alerted and were able to evacuate without injury.
Victim 1 was in a prior volatile relationship with Trent which result in the police being called on at least one occasion, as well as an order of protection being issued in favor of Victim 1. Examination of Victim 1’s cell phone revealed that Trent had sent threatening text messages to Victim 1.
After further investigation, a Baltimore City police detective located a video of a prior incident with Trent and Victim 1 on March 23, 2021. After reviewing the video, the BPD detective recognized Trent and remembered that he had approached him at the scene of the arson. At that time, Trent identified himself as “Trey Johnson” and claimed to be inquiring about his “cousin” that he said lived in the residence. According to the detective, Trent seemed to be acting nervous and drove away from the scene in a black two-door sedan. Victim 1 confirmed that Trent drove a black two-door sedan at the time.
As stated in his guilty plea, Trent was interviewed by a local news station about the arson in which he claimed to have set Victim 1’s residence on fire because he was upset that he could not see Victim 1. Further, Trent compared his actions to Romeo and Juliet and stated that “if I can’t have her, nobody can, or at least no one in Baltimore.”
Trent faces a mandatory minimum of 5 years and a maximum of 20 years in prison for malicious destruction of property by fire. U.S. District Judge Ellen L. Hollander has scheduled sentencing for August 11, 2022 at 10 a.m.
United States Attorney Erek L. Barron commended the ATF, Maryland State Fire Marshals, the Baltimore City State’s Attorney’s Office, the Baltimore Police Department, and the Baltimore City Fire Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Judson T. Mihok, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Bagel Company Owner Sentenced to Prison for Tax Evasion and Wire Fraud ConspiracyRead the Press Release
Joseph Smith, 57, formerly of Fishkill, New York, was sentenced to three years and six months in prison, three years of supervised release, and ordered to pay $2,100,450 in restitution by U.S. District Court Judge Gerald J. Pappert for his scheme to defraud prospective franchisees of more than $2.1 million, collectively.
In February 2022, the defendant, the owner of New York Bagel Enterprises Inc., (New York Bagel), which operated in Pennsylvania and other states, pleaded guilty to charges of conspiracy to commit wire fraud and tax evasion in connection with this scheme. According to court documents and statements made in court, Smith and Dennis Mason, charged separately, made numerous misrepresentations to individuals interested in buying a New York Bagel franchise. These misrepresentations included: a guarantee that New York Bagel could get financing for the prospective franchisee, the actual costs to open a franchise, the number of franchises that were already open or opening, and the profitability of existing franchises. The defendant and Mason charged prospective franchisees fees ranging between $7,500 and $44,500 to gain rights to open stores. When some prospective franchisees learned of the misrepresentations and demanded their money back, Smith refused to refund these fees. As a result of the fraud, Smith and New York Bagel sold more than 160 franchises and obtained more than $2.1 million in franchise fees.
From 2014 through 2016, Smith deposited more than $1.3 million franchise fees into New York Bagel bank accounts which he controlled. The defendant spent these funds on personal items unrelated to the business, including rent for his home, travel, car payments for personal vehicles and living expenses. Smith did not file corporate or individual income taxes for these three years or pay the taxes he owed to the IRS.
In addition to the term of imprisonment, Smith was ordered to serve three years of supervised release and pay $2,100,450 in restitution.
Mason previously pleaded guilty to related charges and was sentenced to three years in prison in April 2022.
“While Smith was defrauding investors out of their franchise fees, he also evaded nearly $175,000 in taxes due on that income,” said Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. “Business owners who pay the IRS their fair share of taxes deserve to compete on a level playing field. Competitors who cut corners and seek to skirt their legal obligations should know they will be investigated and prosecuted.”
“Individuals seeking to own and operate business franchises are seeking opportunity and financial stability for themselves and their families; they deserve honesty and forthrightness in their business dealings so they can make informed decisions,” said U.S. Attorney Jacqueline C. Romero for the Eastern District of Pennsylvania. “Mr. Smith took advantage of his position to swindle millions of dollars from people seeking legitimate business opportunities, and for that crime he will now spend years in prison.”
“Joseph Smith peddled what looked like a great opportunity to potential franchisees,” said Special Agent in Charge Jacqueline Maguire of the FBI’s Philadelphia Division. “But once they signed on the dotted line, they learned he’d been peddling something else instead. Smith treated their franchise fees like found money. It was a clear-cut case of fraud and this sentence puts him behind bars and provides some justice for his victims. The FBI will always fight to hold crooks like this accountable.”
“Mr. Smith’s scheme served no purpose other than to mislead and defraud perspective franchisees,” said Special Agent in Charge Yury Kruty of IRS-Criminal Investigation. “Furthermore, he took steps to hide his earnings from IRS, thus shirking his tax liability. The sentence he received is a victory for all Americans who play by the rules.”
The FBI and IRS-Criminal Investigation are investigating the case.
Trial Attorney Eric B. Powers of the Tax Division and Assistant U.S. Attorney David Ignall for the Eastern District of Pennsylvania are prosecuting the case.
Attorney General Merrick B. Garland Announces Department of Justice 2022-26 Strategic PlanRead the Press Release
In the following message to all Department of Justice employees today, on the 152nd anniversary of the founding of the Department, Attorney General Merrick B. Garland announced the publication of the Department’s 2022-26 strategic plan:
“The Justice Department was founded exactly 152 years ago, on July 1, 1870. Today, the Department’s urgent mission continues: to uphold the rule of law; to keep our country safe from all threats, foreign and domestic; and to protect civil rights.
“The Strategic Plan we are issuing today reflects that charge. It organizes the Justice Department’s important responsibilities into five areas of focus that will guide our work in the years to come.
“Our first area of focus is upholding the rule of law, which is the foundation of our democracy. To that end, we will continue to work to uphold the norms and principles that are essential to the fair application of our laws and to the Justice Department’s independence and integrity.
“Our second area of focus is keeping our country safe. The Justice Department will continue to counter both foreign-based and domestic-based threats that endanger our safety and our democracy. These include the threats posed by nation-states, terrorist groups, cyber criminals, and others who seek to undermine our democratic and economic institutions, as well as the threats posed by violent crime, drug-trafficking organizations, and those who target vulnerable populations.
“Our third area of focus is protecting civil rights. We will continue to use every resource at our disposal to reinvigorate civil rights enforcement, including by defending voting rights, deterring and prosecuting hate crimes, advancing environmental justice, and expanding access to justice.
“Our fourth area of focus is ensuring economic opportunity and fairness for all. The Department will continue to strengthen its antitrust and consumer protection efforts; combat fraud, waste, and abuse; and investigate and prosecute corporate crime and the individuals responsible.
“Our final area of focus is administering just court and correctional systems. The Justice Department will continue to work to ensure that our nation’s immigration court system is fairly administered, and that our federal prisons and detention centers are safe, transparent, and effectively managed.
“I encourage you to read this plan, which will guide our efforts across the Department as we continue to fulfill our responsibilities to the American people.
“I have the utmost confidence in our ability to achieve these goals together, and I continue to be grateful to do this work alongside you.”
Armed Methamphetamine Dealer Sentenced to More Than 12 Years in PrisonRead the Press Release
MOBILE, AL – A Grand Bay man was sentenced to a total of 145 months in prison for conspiring to distribute methamphetamine.
According to court documents, Robert Orrin Draughon, Jr., 31, was arrested in May 2021 after leading sheriff’s deputies on a high-speed chase in Grand Bay. Deputies ended the chase by boxing Draughon’s truck in behind a gas station. Deputies then searched Draughon’s truck and the immediate area, recovering Draughon’s identification, more than $1,600 in cash, a loaded Ruger pistol, and a water cooler containing more than 160 grams of 99.6% pure methamphetamine. In connection with his guilty plea, Draughon admitted that he knowingly possessed the methamphetamine and the pistol. Data extracted from Draughon’s cell phone included text messages that he exchanged with others about drug distribution in the Mobile area.
In 2018, Draughon was convicted in the United States District Court for the Southern District of Alabama of being a felon in illegal possession of a firearm. Draughon was on federal supervised release at the time of his arrest in May 2021.
United States District Judge Kristi K. DuBose imposed a sentence of 121 months in prison, to run consecutively to a 24-month custody sentence for Draughon’s supervised-release violation, for a total sentence of 145 months. The court ordered Draughon to serve a five-year term of supervised release upon his release from prison, during which time he will undergo drug testing and treatment. The court did not impose a fine, but Judge DuBose ordered Draughon to pay $100 in special assessments.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Mobile County Sheriff’s Office and Homeland Security Investigations investigated the case.Assistant U.S. Attorneys Sinan Kalayoglu and Justin Roller prosecuted the case on behalf of the United States.
Air France and KLM Airlines to Pay $3.9 Million to Settle False Claims Act Allegations for Falsely Reporting Delivery Times of U.S. Mail Carried InternationallyRead the Press Release
The Justice Department announced today that Air France and KLM Airlines (AF/KLM) have agreed to pay $3.9 million to resolve their alleged liability under the False Claims Act for falsely reporting information about the transfer of U.S. mail to foreign posts or other intended recipients under contracts with the U.S. Postal Service (USPS). AF/KLM are international air carriers with headquarters in Paris and Amsterdam, respectively.
“The Department of Justice is committed to ensuring that government contractors provide the services for which they are paid,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “When contractors knowingly fail to meet their obligations, we will pursue appropriate remedies to redress the violations and deter future ones.”
USPS contracted with AF/KLM to take possession of receptacles of U.S. mail at six locations in the United States or at various Department of Defense and State Department locations abroad, and then deliver that mail to numerous international and domestic destinations. To obtain payment under the contracts, AF/KLM was required to submit electronic scans of the mail receptacles to USPS reporting the time the mail was delivered at the identified destinations. The contracts specified penalties for mail that was delivered late or to the wrong location. The settlement resolves allegations that scans submitted by AF/KLM falsely reported the time and fact that they transferred possession of the mail.
“The USPS contracts with commercial airlines for the safeguarding and timely delivery of U.S. mail to foreign posts, including the mail sent to our soldiers deployed to foreign operating bases,” said Executive Special Agent in Charge Ken Cleevely of the USPS, Office of Inspector General (OIG). “The OIG supports the Postal Service by aggressively investigating allegations of contractual non-compliance within the mail delivery process, including the falsification of delivery information. Our special agents worked hand-in-hand with the Department of Justice to help ensure a reasonable resolution and we applaud the exceptional work done by the investigative and legal teams.”
The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, with substantial assistance from the USPS Office of the Inspector General and the USPS Office of General Counsel. Senior Trial Counsel Don Williamson of the Civil Division’s Commercial Litigation Branch, Fraud Section, represented the government in the civil case.
This is the seventh civil settlement involving air carrier liability for false delivery scans under the USPS ICAIR Contracts, and collectively the United States has recovered more than $84 million as a result of its investigation of such misconduct.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Abbeville Man to Spend Time in Federal PrisonRead the Press Release
LAFAYETTE, La. - United States Attorney Brandon B. Brown announced that Xzavier Dyson, 23, of Abbeville, Louisiana, has been sentenced by United States District Judge R. Summerhays to 42 months in prison, followed by 3 years of supervised release, on firearms charges.
Dyson was indicted by a federal grand jury in April 2021 and charged with possession of a firearm by a convicted felon. He pleaded guilty to the charge on March 23, 2022. The charge stems from an incident that occurred on May 26, 2020 when Dyson was the rear passenger in a vehicle that was stopped for a traffic violation in Abbeville. The driver consented to a search of the vehicle and a pat down search was conducted by law enforcement officers of each occupant of the vehicle. The deputy found a Cobra .380 pistol on Dyson’s person and seized the weapon. Dyson had a previous felony conviction for possession with intent to distribute marijuana and illegal carrying of a weapon in 2018 and was on probation when this offense occurred. As a convicted felon, he is prohibited from having a firearm or ammunition in his possession.
The case was investigated by the ATF and the Vermillion Parish Sheriff’s Office and was prosecuted by Assistant U.S. Attorney Craig R. Bordelon.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
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30 June 2022
Woodbridge Man Pleads Guilty to Illegally Possessing a Firearm and over 14,500 Counterfeit Pills Containing FentanylRead the Press Release
ALEXANDRIA, Va. – A Woodbridge man pleaded guilty today to possession with intent to distribute fentanyl and possession of a firearm in furtherance of drug trafficking.
According to court documents, between the end of November and beginning of December 2021, Keyshone Stephan Hogan, 24, worked with a co-conspirator to distribute counterfeit pressed pills containing fentanyl from a hotel room in Manassas. On December 2, 2021, Hogan was arrested after he and his co-conspirator exited the hotel and entered Hogan’s car in the hotel parking lot. At the time of his arrest, Hogan was concealing a loaded Glock handgun in his waistband. Law enforcement recovered over 250 counterfeit Percocet pills containing fentanyl from Hogan’s driver side door and several boxes of ammunition from the trunk of the vehicle.
A search of the hotel room, registered under Hogan’s name, revealed over 14,000 counterfeit Percocet pills containing over 1,500 grams of fentanyl in 14 plastic zipper bags. Two loaded mini Draco AK47 pistols and one loaded micro Draco AK47 pistol were in the hotel room. After his arrest and during processing at the local jail, Hogan was found to be hiding an additional 50 counterfeit Percocet pills containing fentanyl in his pants.
Hogan is scheduled to be sentenced on October 5. He faces a mandatory minimum of five years in prison and a maximum penalty of 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Charlie J. Patterson, Special Agent in Charge of the ATF’s Washington Field Division; and Peter Newsham, Chief of Prince William County Police, made the announcement after Senior U.S. District Judge Anthony J. Trenga accepted the plea.
Assistant U.S. Attorney Rachael C. Tucker is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-104.
Woman admits firearm crime in fatal shooting on Rocky Boy’s Indian ReservationRead the Press Release
GREAT FALLS — A woman today admitted to a firearm crime after fatally shooting a man while she was in his car in Box Elder, on the Rocky Boy’s Indian Reservation, U.S. Attorney Jesse Laslovich said.
Shaide Jo Demontiney, 19, no permanent address, pleaded guilty to an information charging her with use of a firearm during and in relation to a crime of violence. Demontiney faces a mandatory minimum of 10 years to life in prison, a $250,000 fine and five years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris set sentencing for Sept. 28. The court will determine a sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Demontiney was detained pending further proceedings.
The government alleged in court documents that on Aug. 16, 2021, tribal police officers responded to a report of a shooting in Box Elder and found a deceased man. Officers learned that Demontiney had shot the man and driven away. Officers found and arrested Demontiney a short time later after the car she was driving broke down on the highway. Demontiney had a .380-caliber handgun and the victim’s cell phone. Demontiney told investigators that she had been in the car with the victim and had grabbed a handgun from her purse after he had offered her money and drugs for sex and touched her inappropriately. After the victim made another remark, Demontiney shot him in the chest. Demontiney told agents that she did not feel like she was in danger when she shot the victim. Demontiney then took the car and drove off.
Assistant U.S. Attorney Jessica A. Betley is prosecuting the case, which was investigated by the FBI and Rocky Boy’s Police Department.
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Wheeling man sentenced to 10 years for firearms chargeRead the Press Release
WHEELING, WEST VIRGINIA – Shawn Brookins, of Wheeling, West Virginia, was sentenced today to 120 months of incarceration for a firearms charge, United States Attorney William Ihlenfeld announced.
Brookins, 37, pleaded guilty in March 2022 to one count of “Possession of a Stolen Firearm.” Brookins admitted to having a 9mm Smith and Wesson firearm that had been stolen in June 2019 in Ohio County.
Assistant U.S. Attorney Jennifer T. Conklin prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms & Explosives and the Wheeling Police Department investigated.
U.S. District Judge John Preston Bailey presided.
Wenham Man Charged with COVID-19 Pandemic Fraud SchemeRead the Press Release
BOSTON – A Wenham man was charged today in connection with a scheme to obtain Paycheck Protection Program funds made available under the Coronavirus Aid, Relief, and Economic Security (CARES) Act by submitting false applications.
James Joseph Cohen, 59, was charged and has agreed to plead guilty to one count of bank fraud. A plea hearing has not yet been scheduled by the Court.
According to the charging documents, between April 2020 and September 2021, Cohen submitted six false applications to financial institutions and to the Small Business Administration to obtain pandemic-related relief funds on behalf of companies that he controlled. In the applications, it is alleged that Cohen falsely misstated the revenues of the companies, the persons employed, or amounts paid to those employees in the 12-month period preceding the application. In total, Cohen is alleged to have fraudulently obtained approximately $1.2 million in pandemic relief funds based upon these false submissions.
The charge of bank fraud provides a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $1 million or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorney Mackenzie A. Queenin of Rollins’ Securities, Financial & Cyber Fraud Unit is prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Utah Tax Preparer Pleads Guilty to Tax Evasion and Obstructing IRSRead the Press Release
A Utah professional tax preparer pleaded guilty today to tax evasion, conspiring to defraud the United States and obstructing the IRS’s efforts to collect his personal tax debt.
According to court documents, Sergio Sosa, of Orem, owned and operated Sergio Centro Latino, a tax return preparation business. From 2004 to the present, Sosa conspired with his two adult children to defraud the United States by concealing Sosa’s assets and income from the IRS. From 2003 through 2017, Sosa also did not timely file his own tax returns or pay the taxes he owed for these years. After the IRS audited Sosa and began efforts to collect his then pending tax debt of more than $750,000, he obstructed those efforts by using nominees to open corporate bank accounts, renaming his business and placing it in the names of his children, and making false statements to the IRS. Sosa also directed his daughter to make mortgage payments on his personal residence using funds he provided to her. In total, Sosa caused a tax loss to the IRS exceeding $1.1 million.
Sosa is scheduled to be sentenced on Sept. 19 and faces a maximum penalty of five years in prison for tax evasion, five years in prison for conspiring to defraud the United States and three years in prison for obstructing the IRS. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Trina A. Higgins for the District of Utah made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorney Ahmed Almudallal of the Tax Division and Assistant U.S. Attorney Ruth Hackford-Peer for the District of Utah are prosecuting the case.
U.S. Attorney’s Office to Join Partners with U.S. Postal Service for a Press Conference Tomorrow in Columbia at 10 a.m.Read the Press Release
COLUMBIA, SOUTH CAROLINA — United States Attorney Corey F. Ellis announced today that a press conference will be held tomorrow, July 1, 2022, at 10 a.m., at the U.S. Post Office on 1601 Assembly Street in Columbia, South Carolina 29201.
The purpose of the press conference is to recognize National Postal Worker Day, which will include a recognition of significant cases brought by the U.S. Postal Inspection Service and the U.S. Postal Service Office of Inspector General.
Represented at the press conference will be the U.S. Attorney’s Office for the District of South Carolina and representatives of the U.S. Postal Service.
WHEN: Friday, July 1, at 10 a.m.
WHERE: U.S. Post Office
1601 Assembly Street in Columbia, South Carolina 29201
NOTE: Press inquiries regarding logistics should be directed to Assistant U.S. Attorney Derek A. Shoemake at 843-813-0982. Members of the media wishing to attend should arrive at the Post Office fifteen minutes in advance.
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U.S. Attorney's Office Testifies at D.C. Council Hearing on Forensic SciencesRead the Press Release
WASHINGTON - The U.S. Attorney’s Office for the District of Columbia testified today at a committee hearing before the Council of the District of Columbia on proposed legislation, Bill 24-0838, the “Restoring Trust and Credibility to Forensic Sciences Amendment Act of 2022.”
As stated today, the U.S. Attorney’s Office is committed to working with its partners to chart a path forward for the District of Columbia Department of Forensic Sciences.
In addition to appearing before the Council’s Committee on the Judiciary and Public Safety, Elana Suttenberg, Special Counsel to the U.S. Attorney, provided written remarks, available in the accompanying attachment.
The testimony is also available at this link.
U.S. Attorney Convenes Multi-Agency Briefing Informing Local Community Leaders on Targeted Violence IndicatorsRead the Press Release
SAN DIEGO – In response to recent violent shootings, online white supremacist rhetoric, and a significant increase in hate crimes, U.S. Attorney Randy Grossman today gathered key law enforcement and community leaders for a briefing that included a threat assessment, an overview of pre-attack indicators and the best ways to report and mitigate threats.
Grossman was joined by DHS officials in Washington, D.C., Marcus Coleman, Director of the DHS Faith Based and Community Relations Program, and Dominic Cucciarre, Team Lead in the DHS Office of Intelligence and Analysis, Counterterrorism Mission Center, several local law enforcement leaders, including Curtis Jones, Deputy National Sector Chief, FBI - InfraGard Program, San Diego Police Department Chief Dave Nisleit, Assistant District Attorney Dwain Woodley, FBI Supervisory Special Agent Renee Green, and two Fusion Center Senior Intelligence Analysts, as well as more than a dozen stakeholders who work in Southeast San Diego, including leaders of the San Diego Organizing Project, which requested the briefing.
“While the combination of hateful online rhetoric and access to firearms presents a chilling challenge, prevention through partnerships has saved lives, both nationally and here in San Diego,” said U.S. Attorney Randy Grossman. “Violent remarks by online extremists have resulted in public ‘tip’ reports to law enforcement, followed by a gun violence restraining order and successful federal prosecution. To ensure this prevention strategy is repeated, it is essential to arm our community leaders with information.”
“It’s important that the community members know they are not alone in this battle against radical extremism, hateful threats and targeted gun violence: federal, state and local law enforcement agencies are with you, ready to assist in every way possible,” Grossman added. “We want to work hand in hand with you to keep your loved ones and community safe.”
“Our faith and nonprofit leaders are often in the best position to notice and report suspicious behavior,” Marcus Coleman stated. “We need to ensure they are briefed on the latest intelligence so they can better identify pre-attack indicators and contact law enforcement.”
Two St. Louis County men charged with robbing postal workersRead the Press Release
ST. LOUIS – Two men from St. Louis County are facing federal charges accusing them of robbing two mail carriers at gunpoint on June 9.
Roy Lee Jones, 19, and Xavier Sean Boyd, 18, of Jennings, were charged by complaint June 15 with two counts of robbery and two counts of theft of a mail key. Boyd appeared in U.S. District Court June 23 and Jones appeared in court Thursday.
Charging documents say that on June 9 at about 12:30 p.m., Jones approached a U.S. Postal Service letter carrier near Lindbergh Boulevard and New Halls Ferry Road in St. Louis County and demanded his “arrow key,” which opens certain U.S. Postal Service collection boxes.
About 18 minutes later and a mile and a half away, Boyd robbed a different letter carrier of his arrow key, the charges say.
A few minutes later, St. Louis County police spotted the robbers’ Volkswagen Tiguan, which crashed after a brief chase.
Jones and Boyd tried to flee from the vehicle but were arrested, and the arrow keys and guns were found in the SUV, the charges say.
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 was investigated by the U.S. Postal Inspection Service and the St. Louis County Police. Assistant U.S. Attorney Jason Dunkel is prosecuting the case.
Two Sentenced for Conspiracy to Distribute MethRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Fort Pierre, South Dakota, woman and a Pierre, South Dakota, man both convicted of Conspiracy to Distribute a Controlled Substance were sentenced on June 28, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Shannon Spears, age 44, was sentenced to 121 months in federal prison, followed by five years of supervised release. John Klein, age 45, was sentenced to 20 years in federal prison, followed by five years of supervised release. Both Spears and Klein were each also ordered to pay a $1,000 fine, and special assessment to the Federal Crime Victims Fund in the amount of $100.
Klein was indicted by a federal grand jury on July 13, 2021. He pled guilty on March 24, 2022. Spears was indicted by a federal grand jury on September 14, 2021. She pled guilty on March 10, 2022.
The convictions stem from Klein and Spears conspiring with others to knowingly and intentionally distribute methamphetamine in and around central South Dakota. Klein utilized sources of supply of methamphetamine from Minnesota and Colorado to bring large amounts of methamphetamine to the Pierre area, where he would utilize individuals, including Spears, to distribute that methamphetamine in and around central South Dakota. It was reasonably foreseeable that over 500 grams of methamphetamine was distributed during the course of the conspiracy.
Klein’s spouse, Taylor Huemoeller, a/k/a, Taylor Klein, who was also involved in the conspiracy, is set to be sentenced on August 15, 2022. Randy Little Shield was previously sentenced to 10 years in federal custody for his role in the conspiracy.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force, the FBI, the South Dakota Highway Patrol, the South Dakota Division of Criminal Investigation, and the Bureau of Indian Affairs. Assistant U.S. Attorney Meghan Dilges prosecuted the case.
Klein and Spears were both immediately turned over to the custody of the U.S. Marshals Service.
Two Men Plead Guilty to International Telemarketing Sweepstakes Fraud SchemeRead the Press Release
Two individuals have pleaded guilty to an international telemarketing sweepstakes fraud scheme that defrauded numerous elderly and vulnerable victims in the United States of more than $9 million.
According to court documents, Maurice Levy, 51, and Derrick Levy, 54, both of Jamaica, admitted that between July 2008 and September 2016, they worked in call centers in Costa Rica that defrauded victims in the United States. Derrick Levy and Maurice Levy admitted that they concealed their physical location using Voice-over-IP technology, which enabled them to give victims telephone numbers that, although bearing U.S. area codes, were actually answered at the call centers in Costa Rica. Maurice Levy and Derrick Levy further admitted that they would call individuals in the United States, many of whom were elderly and vulnerable, and falsely claim that the individuals had won a sweepstakes prize but were required to pay fees prior to the delivery of the prize. In truth, no such prize existed. Once a victim made an initial payment for the purported fees, Maurice Levy, Derrick Levy, and their co-conspirators would continue to call the victim, falsely representing that a mistake had been made and that the victim had actually won a prize of a greater amount, or an issue had occurred, and the victim needed to pay additional fees to claim the prize. Many victims sent tens of thousands of dollars to Maurice Levy, Derrick Levy, and their co-conspirators in response to these calls. During the scheme, Derrick Levy and Maurice Levy fraudulently obtained more than $9,400,000 from victims, which was used to continue operating the call centers and for the co-conspirators’ personal benefit.
Maurice Levy pleaded guilty yesterday to conspiracy to commit wire fraud and will be sentenced at a future date. Derrick Levy pleaded guilty on Jan. 25 to conspiracy to commit wire fraud and will be sentenced on Sept. 28. They each face at least up to 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Dena J. King of the U.S. Attorney’s Office for the Western District of North Carolina; Inspector in Charge Tommy Coke of the U.S. Postal Inspection Service’s Atlanta Division; Special Agent in Charge Donald “Trey” Eakins of IRS Criminal Investigation’s (IRS-CI) Charlotte Field Office; and Special Agent in Charge Robert R. Wells of the FBI’s Charlotte Field Office made the announcement.
This case was investigated by the U.S. Postal Inspection Service, IRS-CI, and the FBI, with assistance from the Federal Trade Commission, Homeland Security Investigations, and the U.S. Department of State’s Diplomatic Security Service. The Justice Department’s Office of International Affairs and Costa Rican authorities also provided assistance.
Trial Attorney Jason M. Covert of the Criminal Division’s Fraud Section is prosecuting the case.
The Fraud Section uses the Victim Notification System (VNS) to provide victims with case information and updates related to this case. Victims with questions may contact the Fraud Section’s Victim Assistance Unit by calling the Victim Assistance phone line at 1-888-549-3945 or by emailing Victimassistance.fraud@usdoj.gov. To learn more about victims’ rights, please visit: https://www.justice.gov/criminal-vns/victim-rights-derechos-de-las-v-ctimas. If you believe you are a victim of the conduct described in the plea agreements and informations, please visit https://www.justice.gov/criminal-vns/case/united-states-v-levy-et-al.
Two Guatemalan Nationals Plead Guilty to Assaulting a Federal OfficerRead the Press Release
TUCSON, Ariz. –On June 28, 2022, Esdly Amarilis Gonzalez, 28, of Guatemala, pleaded guilty to one count of assault on a federal officer. Sentencing is scheduled for September 7, 2022, before United States District Judge James A. Soto. Co-defendant Nayber Eziquiel Juarez-Mantanic, 24, of Guatemala, previously pleaded guilty to one count of assault on a federal officer. Juarez-Mantanic’s sentencing is scheduled for August 29, 2022, before United States District Judge James A. Soto.
On February 3, 2022, a U.S. Border Patrol (USBP) agent attempted to conduct an immigration inspection of the vehicle in which Gonzalez and Juarez-Mantanic were passengers. When the agent approached the vehicle and identified himself as a USBP agent in both English and Spanish, Gonzalez and Juarez-Mantanic attempted to run from the vehicle on foot. When the agent tried to detain them, Juarez-Mantanic intentionally struck the agent in the head and shoulders. As the agent was struggling to handcuff Juarez-Mantanic, Gonzalez came up behind them and intentionally struck the agent on his shoulders. The driver of the vehicle fled the scene.
A conviction for assault on a federal officer carries a maximum penalty of 8 years imprisonment, a fine of up to $250,000.00, or both.
Customs and Border Protection’s U.S. Border Patrol conducted the investigation in this case. Assistant U.S. Attorneys Sarah B. Houston and Frances M. Kreamer Hope, District of Arizona, Tucson, are handling the prosecution.
CASE NUMBER: CR-22-00271-TUC-JAS (BGM)
RELEASE NUMBER: 2022-102_Gonzalez_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.Two Convicted Felons Charged with Ammunition Offenses in Connection with Everett ShootingRead the Press Release
BOSTON – Two previously convicted felons have been charged with illegally possessing ammunition in connection with a January shooting in a residential neighborhood of Everett.
Luis Rivera, 25, of Medford, and Kenneth Munoz, 24, of Revere, were charged with one count each of being a felon in possession of ammunition. Rivera was arrested this morning and, following an initial appearance today before U.S. District Court Magistrate Judge Donald L. Cabell, Rivera was detained pending a detention hearing which is scheduled for July 6, 2022. Munoz is currently in state custody on unrelated state firearms charges and will appear in federal court at a later date.
“Gun violence continues to plague and hurt our communities,” said United States Attorney Rachael S. Rollins. “These defendants, each prohibited from possessing firearms and ammunition due to prior criminal convictions, are alleged to have recklessly fired shots in the middle of the day in a residential neighborhood, striking numerous homes. It is sheer luck that no one was harmed or killed as a result of their alleged reckless and violent conduct. Gun violence poses a real threat to our community. There is only one use for ammunition. One. Accordingly, we will prosecute prohibited individuals.”
“The ATF values the partnership we have with our local, state and federal partners to target violent offenders,” said James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division. “These individuals put the lives of everyday citizens at risk, and we will work diligently to combat these senseless acts of violence.”
According to the charging document, on the afternoon of Jan. 2, 2022, three individuals fired over 20 shots in an Everett neighborhood causing ballistic damage in the surrounding area, including bullet holes inside of bedrooms and living rooms in surrounding residences. The shooting was captured on video surveillance from nearby residences. Rivera and Munoz were allegedly identified as two of the shooters in the surveillance footage. Both men are prohibited from possessing firearms and ammunition due to prior convictions.
The charge of being a felon in possession of ammunition provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins, ATF SAC Ferguson, Everett Police Chief Steven A. Mazzie and Chelsea Police Chief Brian Kyes made the announcement. Assistant U.S. Attorney Sarah Hoefle of Rollins’ Organized Crime & Gang Unit is prosecuting the case.
The details contained in the charging document are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.