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2 June 2022
U.S. Attorney Charges New Jersey Registered Sex Offender with Attempted Sexual Enticement of A Minor and Committing an Offense Against A Minor While A Registered Sex OffenderRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today the arrest of BRIAN REED. REED is charged with communicating online with an individual he believed to be a 13-year-old girl and attempting to meet the girl to engage in sexual activities and with engaging in that offense while a registered sex offender. REED was presented today before U.S. Magistrate Judge Andrew E. Krause in White Plains federal court and detained.
U.S. Attorney Damian Williams said: “This case underlines the urgent need for law enforcement to continue its efforts to protect children from those who prey on them. As this arrest shows, we will use every tool available to law enforcement to investigate and prosecute those who sexually exploit children.”
According to the allegations in the Complaint[1] filed on May 31, 2022 in White Plains federal court:
On May 25, 2022 and May 26, 2022, an investigator with the Rockland County District Attorney’s Office (“Investigator-1”), who was posing as a 13-year-old girl on various online social media platforms, communicated via text with BRIAN REED. REED asked Investigator-1 for sexually explicit photos and indicated that he wanted to meet with her for the purpose of having sex.
During the communications with REED, Investigator-1 referred on multiple occasions to the fact that she was 13 years old and also told REED that “im a virgin still.” REED responded, “Thats ok.” REED told Investigator-1 that he wanted to speak by phone and Investigator-1 spoke to REED by phone on a number of occasions. During their calls, REED and Investigator-1 discussed meeting in person and REED described in detail various sexual activities that he wanted to engage in with Investigator-1. REED said he was excited to meet her and that he could “teach [her] some things.” REED made a plan to meet Investigator-1 at a park in Rockland County, New York.
On May 26, 2022, at approximately 11:35 p.m., REED arrived at a parking lot near the agreed-upon meeting spot and parked his car. As he began to walk toward Investigator-1, who was waiting at the meeting spot, REED was arrested. Following his arrest, REED was interviewed and he admitted, among other things, that he communicated with an individual he believed was 13 years old and made a plan to meet her so that he could have sex with her. In addition, REED stated that he had been convicted of a sex offense and was a registered sex offender. On May 27, 2022, BRIAN REED, the defendant, was charged in Clarkstown Justice Court with Attempted Rape in the 2nd Degree and Disseminating Indecent material to minors.
On October 17, 2016, REED was convicted in Morris County Superior Court, New Jersey, of Endangering the Welfare of a Child Through Sexual Conduct and sentenced to three years in prison. REED was required to register as a sex offender upon his release from prison.
There may be other victims of this alleged conduct. If you have information to report, contact the Federal Bureau of Investigation through its toll-free Tip Line at 1-800-CALL-FBI
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REED, 33 of Sussex, New Jersey is charged with one count of attempted enticement of a minor, which carries a minimum sentence of 10 years in prison and a maximum sentence of life in prison, and one count of committing the offense of attempted enticement while a registered sex offender, which carries a minimum sentence of 10 years to be imposed consecutively to any sentence of imprisonment imposed for the attempted enticement.
The statutory minimum and maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Following today’s presentment, Judge Krause ordered that BRIAN REED be detained.
Mr. Williams praised the efforts of the Federal Bureau of Investigation, Homeland Security Investigations, the Rockland County District Attorney’s Office, Rockland County District Attorney’s Office Special Investigations Unit, Rockland County District Attorney’s Office Special Victims Unit, Town of Clarkstown Police Department, and the Westchester County Safe Streets Task Force, which is comprised of special agents and task force officers from the FBI, U.S. Probation, New York State Police, New York State Department of Corrections and Community Supervision, Putnam County Sheriff's Office, Westchester County DAs Office, Rockland County DAs Office, NYPD, Westchester County PD, and the Yonkers, New Rochelle, Mount Vernon, Greenburgh, White Plains, Peekskill, Ramapo, and Clarkstown Police Departments. He added that the investigation is ongoing.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorneys Marcia S. Cohen is in charge of the prosecution.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
U.K. National Sentenced to 3 Years in Prison for $8.3 Million Scam That Claimed Precious Metals Could Be Extracted from ‘Ancient Slag’Read the Press Release
LOS ANGELES – A British national was sentenced today to 36 months in federal prison for defrauding over 100 investors out of more than $8 million through a scheme that sold “ancient slag,” a mining waste byproduct that supposedly contained precious metals.
Michael Godfree, 80, a United Kingdom citizen who resides in the Mount Washington neighborhood of Los Angeles, was sentenced by United States District Judge John A. Kronstadt, who also ordered Godfree to pay $8,336,965 in restitution.
Godfree pleaded guilty in December 2021 to one count of mail fraud.
From 2011 to November 2017, Godfree schemed to defraud victim-purchasers of material he identified as “ancient slag” and “gold ore.” He was co-founder of The Minerals Acquisition Company (TMAC), a Pasadena-based outfit that offered to sell slag to victims who were told the company would be able to extract precious metals from this slag, which was generated from copper mining. TMAC sold ton-quantities of the slag with promises of refining the material and recovering precious metals. TMAC provided victims with supposedly attorney-certified “Certificates of Title” that purported to transfer ownership of the slag to victims.
Godfree fraudulently induced the victims to buy the “ancient slag” by falsely stating the “ancient slag” was valuable because it contained precious metals and a process would soon be available that could extract the precious metals supposedly in the slag.
In fact, Godfree and TMAC did not actually own most of the slag they sold, there was not a commercially viable process for extracting precious metals from the slag, and the business operation had not been endorsed by a lawyer.
Acting on Godfree’s false promises, victims sent the company money by mailing checks to the TMAC offices in Pasadena and by wiring money to accounts that Godfree controlled. Godfree used the funds to pay for his personal expenses.
In total, Godfree and TMAC caused losses of approximately $8,336,965 to the victims of their fraud.
TMAC was dissolved in 2015, but its operations were largely taken over by Precious Metals of North America Inc., another of Godfree’s companies.
“Godfree was nothing more than a glorified conman,” prosecutors wrote in a sentencing memorandum. “At bottom, [Godfree] was selling nothing more than worthless dirt (that he generally didn’t own) along with a non-existent ‘process’ to extract value from the dirt…. Unsurprisingly, not a single victim-purchaser has ever seen any return on their purchase. Instead, the money was spent on lavish goods and personal expenses for [Godfree].”
The FBI investigated this matter.
Assistant United States Attorney Bruce K. Riordan of the Violent and Organized Crime Section prosecuted this case.
Two current, one former St. Louis aldermen indicted on corruption chargesRead the Press Release
ST. LOUIS – Two current and one former St. Louis aldermen, including board President Lewis Reed, have been indicted on federal charges accusing them of misusing their offices on multiple occasions in multiple ways in exchange for cash bribes and other things of value.
Reed, 22nd Ward Alderman Jeffrey L. Boyd and former 21st Ward Alderman John Collins-Muhammad were all indicted May 25. Collins-Muhammad resigned his office on May 12, 2022 due to the ongoing criminal investigation. They are scheduled to turn themselves in and make their first appearance in court Thursday at 1 p.m. Reed is facing two bribery-related charges. Collins-Muhammad has been indicted on two bribery-related charges and one charge of honest services bribery/wire fraud. Boyd is facing two bribery related charges and a separate, two count wire fraud indictment alleging he fraudulently sought $22,000 from his insurance company for damage to vehicles that he falsely claimed to own.
The main indictment alleges Collins-Muhammad and Reed helped a small business owner obtain a lucrative property tax abatement in exchange for a series of cash bribes related to what the indictment refers to as “project A.”
The indictment also alleges that in “project B,” Boyd accepted cash to help the business owner buy a city-owned property for tens of thousands of dollars less than it was worth, and accepted more cash to help the business owner obtain a lucrative tax abatement for that project.
Project A:
The indictment lays out a years-long scheme in which Collins-Muhammad, and later Reed, sought to help the business owner, referred to in the indictment as “John Doe,” obtain a significant property tax abatement for a new gas station and convenience store development in Collins-Muhammad’s ward. Doe estimated that the abatement could be worth $20,000 to $30,000 per year over at least 10 years, the indictment says. In all, Reed accepted $9,000 in cash from Doe, the indictment alleges. Collins-Muhammad accepted $7,000 cash, $3,000 in campaign contributions, a new iPhone 11 and a 2016 Volkswagen CC sedan in exchange for his help, the indictment alleges. Collins-Muhammad and Reed ultimately worked to pass Board Bills which provided the property tax abatement for Project A.
During Reed’s 2021 run for mayor, Doe also gave Reed $6,000 total in cash and $3,500 in campaign contributions for Reed’s help in Doe’s ultimately unsuccessful attempt to obtain Minority Business Enterprise certification for his trucking company, and for help in winning contracts for city construction projects, the indictment alleges.
Collins-Muhammad is also accused of accepting $3,000 after setting up a meeting with a public official who could steer business to Doe’s trucking company. Collins-Muhammad later asked for $2,500 more on behalf of the official, but instead used it to buy a 2008 Chevrolet Trailblazer, the indictment alleges.
Project B:
A separate scheme set out in the main indictment involved Doe’s purchase of a commercial property on Geraldine Avenue in St. Louis from the city’s Land Reutilization Authority, which owns and sells vacant property. The property was in Boyd’s ward.
Collins-Muhammad introduced Doe to Boyd so Boyd could help in the purchase, telling Doe that he would have to pay cash for Boyd’s help, the indictment says. Through Boyd’s assistance, Doe eventually was able to buy the property from the LRA for $14,000. The LRA valued it at $50,000, and Doe estimated it would have cost $250,000 if privately sold, the indictment alleges. Boyd also submitted and sponsored a board bill which provided a substantial property tax abatement for Doe’s Project B.
Boyd accepted a total of $9,500 in cash from Doe related to Project B, and Doe also made free repairs worth $1,611 to Boyd’s 2006 Chevrolet Impala and $733 to his Kia van, the indictment alleges. Collins-Muhammad received an additional $1,000 cash for introducing Doe to Boyd.
Boyd was indicted in a separate case on two counts of wire fraud for a scheme in which he and Doe are accused of agreeing to split the proceeds of insurance fraud related to a Jan. 17, 2021 vehicle accident at Doe’s used car lot in Jennings, Missouri.
After Doe learned his insurance company would not cover the damage, Boyd suggested falsely claiming that three of the damaged vehicles were owned by his used car company, The Best Place Auto Sales on Dr. Martin Luther King Drive in St. Louis, the indictment alleges.
Boyd filled out Missouri Department of Revenue bill of sale and certificate of title forms for the three vehicles, fraudulently backdating the sales dates to Jan. 2 and falsely claiming Boyd’s company had paid $22,000 for the vehicles, the indictment says. Boyd also falsely sought a $50 per vehicle, per day storage fee from Boyd’s insurance company for the damaged vehicles. Boyd’s insurance company ultimately rejected the claim.
If convicted of the main indictment, Reed’s and Boyd’s charges carry maximum penalties of 10 years and five years in prison, respectively, and a $250,000 fine. Collins-Muhammad’s honest services bribery/wire fraud charge carries a maximum penalty of 20 years in prison and a $250,000 fine. One of his bribery charges carries a 10-year maximum and the other has a five-year maximum. Boyd’s additional wire fraud charges related to the automobile insurance scheme carry maximum penalties of 20 years and a $250,000 fine. Restitution is also mandatory. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
The case was investigated by the Federal Bureau of Investigation. Assistant United States Attorney Hal Goldsmith is prosecuting the case.
The charges contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Two Men Charged in Indictment with Distributing Narcotics, Including Fentanyl, and Causing the Deaths of Four Persons on the East End of Long Island in the Summer of 2021Read the Press Release
A seven-count indictment was unsealed today in federal court in Central Islip charging Marquis Douglas, also known as “Prince” and “President,” and Jesse Pace, also known as “Jah,” with conspiring to distribute fentanyl, cocaine, heroin and crack cocaine. The indictment also charges Douglas and Pace with distribution of controlled substances resulting in four separate deaths on August 13, 2021. The indictment separately charges Douglas with the possession of fentanyl and cocaine in Suffolk County in May 2022. Pace was arrested this morning and will be arraigned this afternoon before United States Magistrate Judge Steven L. Tiscione. Douglas, who is already in federal custody on related charges, will be arraigned at a later date.
Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Raymond A. Tierney, Suffolk County District Attorney, announced the charges.
“The defendants’ drug sales caused four overdose deaths in a single day last summer, contributing to the tragic history of the opioid epidemic that has claimed too many lives on Long Island,” stated United States Attorney Peace. “Dealing deadly drugs in this district will be met with severe consequences. At the same time, we are working to reduce the availability of these drugs and prevent new addictions in our efforts to save lives. It is our hope that the federal prosecution of Douglas and Pace will bring some solace to the families of the four victims who died as a result of the defendants’ actions.”
Mr. Peace also extended his thanks to the Riverhead Police Department for their assistance in investigation.
“Tragically, as overdose deaths continue to rise, people are still peddling these poisons into our communities. Fortunately our focus on the illegal drug epidemic hasn't waned, and bringing Douglas and Pace to justice shows our pursuit of these dealers hasn't either,” stated FBI Assistant Director-in-Charge Driscoll.
“We thank the U.S. Attorney’s Office and the FBI for their assistance in helping us get these dangerous drug dealers off of our streets,” stated District Attorney Tierney. “These defendants, while in federal custody, will no longer be able to sell fentanyl and other dangerous drugs to unwitting customers and pose a danger to the community.”
The charges arise from Douglas and Pace allegedly distributing cocaine and a fentanyl analogue, flourofentanyl, which led to a series of overdose deaths, on the East End of Long Island in 2021. As set forth in the indictment and other court filings, Douglas and Pace allegedly engaged in a years’ long conspiracy to distribute over five kilograms of cocaine, one kilogram of heroin, 280 grams of crack cocaine, 40 grams of fentanyl and a quantity of a fentanyl analogue. In August of 2021, Douglas and Pace distributed cocaine laced with a fentanyl analogue in Greenport, New York. When their drugs were re-distributed at the street level, it caused four fatal overdoses on August 13, 2021. The bodies were found the following day. More recently, while travelling as a passenger in a vehicle that was stopped for a traffic infraction in Suffolk County on May 5, 2022, Douglas was found in possession of distribution quantities of cocaine and fentanyl.
The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, each defendant faces up to life imprisonment.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Michael R. Maffei and Andrew P. Wenzel, along with Special Assistant United States Attorney Dana Gremaux are in charge of the prosecution.
The Defendants:
MARQUIS DOUGLAS (also known as “Prince” and “President”)
Age: 36
Riverhead, New YorkJESSE PACE (also known as “Jah”)
Age: 38
Riverhead, New YorkE.D.N.Y. Docket No. 22-CR-246 (JS)
Toledo Man Sentenced to Prison for Stealing Motorcoach Buses and Defrauding Church GroupRead the Press Release
First Assistant U.S. Attorney Michelle M. Baeppler announced that Derrick Lamont Jones, 57, of Toledo, was sentenced on May 31, 2022, to 54 months in prison and ordered to pay $21,702 in restitution by U.S. District Judge Jack Zouhary after Jones pleaded guilty to stealing motorcoach buses from various businesses and defrauding a church tour group.
According to court documents, from 2003 through 2019, Jones conspired together with codefendant Kelly Marie Thomas to steal, conceal and transport motorcoach buses. Court records state that between April 2003 and April 2009, Jones stole several buses from businesses in Ohio and elsewhere, including Ground Transportation Specialists in Taylor, Michigan; Lakefront Lines in Toledo, Ohio; Seniors Unlimited in Pontiac, Michigan and American Heritage Trails in Fort Wayne, Indiana.
According to court records, Jones had prior experience working as a bus driver and was familiar with the operations of the vehicles. After stealing a bus, Jones would take steps to conceal the fact that the bus was stolen, including altering vehicle identification numbers, changing exterior paint and removing company logos and markings.
As part of the conspiracy, Jones and Thomas would offer charter bus transportation services to passengers in Ohio and elsewhere through advertisements on the internet, on social media and in local newspapers. Jones and Thomas offered these services under the names of Destiny Tours, Kelly Tours, Marie’s Tours and Travel, Elite Tours and GT Tours. Jones and Thomas purportedly offered these services as compliant with the FMCSA (Federal Motor Carrier Safety Administration) and the Department of Transportation (DOT) regulations when, in fact, they knew that these companies were never incorporated and never received operating authority from the DOT or FMCSA.
In one instance, in December 2017, Jones entered into a contract with a church group from Toledo for $3,200 to provide charter bus services from Toledo to New York City. Court documents state that Jones received approximately $2,200 in cash prior to the scheduled departure date of the trip but failed to take the group on the trip and never returned the payment he had received.
Jones pleaded guilty to conspiracy, interstate transportation of stolen vehicles, violation of FMCSA regulations, and conspiracy to commit wire fraud. In addition to the prison sentence, Judge Zouhary ordered Jones to pay restitution to the church group that he defrauded and restitution to the various business that owned the buses he stole for damages and bus retrieval costs.
Kelly Marie Thomas was previously sentenced to three years of probation for her role in the conspiracy.
This case was investigated by the U.S. Department of Transportation - Office of Inspector General, with assistance by the U.S. Department of Transportation – Federal Motor Carrier Safety Administration, Ohio Division, Ohio State Highway Patrol, Toledo Police Department and the Michigan State Police. This case was prosecuted by Assistant United States Attorney Jody L. King.
Third Former Executive of Telecommunications Company Charged in Scheme to Defraud InvestorsRead 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 the unsealing of an indictment charging ANTHONY SIROTKA, the former chief administrative officer of a FTE Networks, Inc. (“FTE”), along with the company’s former chief executive officer, Michael Palleschi and former chief financial officer, David Lethem, with conspiracy, securities fraud, wire fraud, improperly influencing the conduct of an audit and aggravated identity theft. These charges stem from a years-long scheme to inflate FTE’s revenue and to conceal liabilities and expenses. SIROTKA was arrested this morning and was presented today in Manhattan federal court. Palleschi and Lethem were previously arrested based on an indictment charging them with the same crimes.
U.S. Attorney Damian Williams said: “As alleged, Anthony Sirotka conspired with his co-defendants to lure investors with false claims about FTE’s financial condition and to make the company appear more profitable than it was. Sirotka helped to deceive FTE’s auditors and the investing public, and now faces serious criminal charges for his alleged conduct.”
According to the allegations in Indictment unsealed today in Manhattan federal court:[1]
FTE was a telecommunications company based in Naples, Florida and Manhattan. As of December 2017, its stock traded on the NYSE American market. SIROTKA served as the company’s Chief Administrative Officer, Senior Vice President of Business Development, and Chief Business Development Officer. Together with Palleschi and Lethem, among other things, SIROTKA caused FTE to recognize more than $13 million in fraudulent revenue. This fraudulent revenue included more than $10 million in “unbilled” revenue that the defendants represented FTE had earned from services it had supposedly provided to a large customer that would not yet accept bills for those services. FTE never provided any such services. In addition, the defendants caused FTE to recognize approximately $2.6 million as an account receivable for which there was no support. When FTE’s auditors said that the account receivable should be written off, SIROTKA and his co-conspirators created a fake email from a representative of the customer saying that the customer would “expedite payments” for more than $1.5 million for projects completed by FTE in 2016 and 2017. The defendants caused this fake email to be sent to FTE’s auditors so that FTE could continue to recognize the receivable.
As a result of the defendants’ fraudulent recognition of revenue, FTE’s financial statements overstated the company’s accounts receivable by between 18% and 120% for each of the quarters in 2017 and 2018 and by approximately 477% for 2016.
In a separate action, the United States Securities and Exchange Commission (“SEC”) filed civil charges against SIROTKA. The SEC previously filed civil charges against Palleschi and Lethem.
* * *
SIROTKA, 55, of New York, New York, is charged with one count of conspiring to commit securities fraud, wire fraud, making false statements in SEC filings and improperly influencing the conduct of audits, which carries a maximum sentence of five years in prison; one count of securities fraud, which carries a maximum sentence of 20 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; one count of improperly influencing the conduct of audits, which carries a maximum sentence of 20 years in prison; and one count of aggravated identity theft, which carries a mandatory minimum term of two years in prison.
The minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Williams praised the investigative work of the FBI and thanked the SEC for its assistance.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys James McMahon and Daniel Loss are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment constitutes only allegations, and every fact described herein should be treated as an allegation.
Tampa Bay Medical Biller Sentenced for Healthcare Fraud, Aggravated Identity Theft, and Tax OffensesRead the Press Release
Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Joshua Maywalt (42, Tampa) to five years and five months in federal prison for healthcare fraud, aggravated identity theft, filing a false income tax return, and failing to file an income tax return. As part of his sentence, the court also entered an order forfeiting $2,257,029.86 and real property located at 5346 Northdale Boulevard in Tampa, which are traceable to proceeds of the offense. Maywalt had pleaded guilty on December 1, 2021.
According to court documents, Maywalt worked as a medical biller at a company in Clearwater that provided credentialing and medical billing services for its medical provider clients. In this capacity, Maywalt had access to the company’s financial, medical provider, and patient information. Maywalt was assigned to a Tampa Bay area physician’s account (“Physician #1”) and was responsible for submitting claims to Florida Medicaid Health Maintenance Organizations (HMO) for services rendered by Physician #1 to Medicaid recipients.
Maywalt abused his role as a medical biller by wrongfully accessing and utilizing the company’s patient information and Physician #1’s name and identification number to submit false and fraudulent claims to a Florida Medicaid HMO for medical services purportedly rendered by Physician #1, which were not actually rendered. Maywalt also altered the “pay to” information associated with the HMO’s payment processor so that the payments for the non-rendered medical services were sent to bank accounts under Maywalt’s control.
Maywalt knowingly signed and filed a false federal income tax return for tax year 2019 which substantially understated his income and reported only his employment wages, and not the substantial amount of money he was depositing into his bank accounts as a result of his fraudulent activities. In addition, Maywalt failed to file federal income tax returns for 2017 and 2018, as required by the Internal Revenue Service.
“Health care industry professionals are required to follow Medicaid rules and accurately bill for services that are actually provided. Fraudulently billing Medicaid for personal gain cheats millions of people who fund the program and contributes to the soaring cost of health care,” stated Omar Perez Aybar, Special Agent in Charge with the Department of Health and Human Services, Office of Inspector General. “Working closely with our law enforcement partners, we will continue to pursue those who exploit government health care programs.”
“Joshua Maywalt had no concern for anyone except himself. He exploited the personal information of medical patients, fraudulently billed services on behalf of a local physician and then cheated the U.S. tax system for his own personal gain,” said Brian Payne, special agent in charge of the IRS-CI Tampa Field Office. “In the end, committing fraud doesn’t pay. In this case, it resulted in a five-year prison sentence and a multimillion dollar forfeiture order.”
This case was investigated by the Department of Health and Human Services -Office of Inspector General, the Federal Bureau of Investigation, the Florida Medicaid Fraud Control Unit, Office of the Florida Attorney General, and the Internal Revenue Service – Criminal Investigation. It was prosecuted by Assistant United States Attorneys Maria Guzman and Suzanne Nebesky.
TSA Labor Union President Pleads Guilty to Fraud Scheme to Misappropriate Union FundsRead the Press Release
BOSTON – The president of a local union representing Transportation Security Administration (TSA) employees pleaded guilty yesterday in federal court in Boston to engaging in a fraud scheme to defraud the union by misappropriating $3,000 in union funds.
Marie LeClair, 59, of Lynn, pleaded guilty to one count of wire fraud. U.S. District Court Judge Indira Talwani scheduled sentencing for Aug. 16, 2022. LeClair was charged by an Information on April 26, 2022.
LeClair was the president of the American Federation of Government Employees, Local 2617, which was based in Boston and represented TSA employees. Beginning in or about March 2015, LeClair engaged in a scheme to defraud the union by misappropriating funds belonging to the union for her personal use. Specifically, LeClair transferred funds from union accounts to a travel debit card issued in her own name without the knowledge or authorization of the union and used the misappropriated union funds for personal expenses. On May 22, 2018, LeClair made a wire transfer of $3,000 from a union account to her personal travel debit card.
The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Jonathan Russo, District Director of the U.S. Department of Labor, Office of Labor Management Standards; and Dr. Joseph V. Cuffari, Inspector General of the U.S. Department of Homeland Security made the announcement today. Assistant U.S. Attorney Laura Kaplan of Rollins’ Criminal Division is prosecuting the case.
Springfield Man Pleads Guilty to Child Sexual Abuse, Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A Springfield, Mo., man pleaded guilty in federal court today to sexually assaulting a child victim and recording the abuse on his cell phone.
William Shane Berg, 49, pleaded guilty before U.S. Chief Magistrate Judge David P. Rush to one count of the sexual exploitation of a minor and one count of receiving child pornography over the internet.
By pleading guilty today, Berg admitted that he sexually abused a minor victim, identified in court documents as John Doe 2.
Law enforcement officers executed a search warrant at Berg’s residence on April 12, 2020, and seized a laptop computer, VHS tapes, CDs, two laptop hard drives, a portable hard drive, a CD writer, USB drives, a camera and media card, three Chromebooks, and a cell phone. Investigators found multiple files on the cell phone and the laptop computer that depicted Berg sexually abusing John Doe 2. They also found additional files of child pornography that Berg downloaded from the internet.
When the victim was interviewed at the Springfield Child Advocacy Center, he told investigators that Berg started sexually abusing him when he was in the fifth grade. He said Berg took videos on his cell phone during the sexual abuse.
Under federal statutes, Berg is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 50 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the Southwest Missouri Cyber Crimes Task Force, the FBI and the Springfield, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Second Whitley County Man Sentenced to Life Imprisonment for Violent KidnappingsRead the Press Release
LONDON, Ky. — Jake Messer, 39, of Rockholds, Kentucky, was sentenced to Life in federal prison on Tuesday, by United States District Judge Robert E. Wier. On February 10, 2022, Messer was convicted by a federal jury of two counts of kidnapping, following his indictment in November of 2020.
According to evidence at trial, the kidnappings were motivated by an unsuccessful drug deal, where Messer and his co-conspirators lost $10,000. Jake Messer organized, directed, and recruited assistance for the armed kidnappings. Messer ordered the two victims transported to a remote trailer in Clay County, where they were held for 24 hours. There, the victims were separated, interrogated, threatened, and assaulted. After several hours of captivity, Messer held the female victim down and raped her. Messer then provided his father, George Oscar Messer, duct tape and zip ties. His father then duct taped the victim and sexually assaulted her a second time, at gunpoint. The victims only escaped after a family member spotted them in a ditch on the side of the road with Messer. Thereafter, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Kentucky State Police (KSP) recovered 15 firearms, including an assault rifle, from the Messer residence.
Messer received numerous sentencing enhancements, including use of a dangerous weapon, acting as an organizer, demanding ransom, and sexually exploiting a victim. At the sentencing hearing, witnesses also testified that Jake Messer had previous incidents of violence, sexual assault, and threats. In rendering the sentence, Judge Wier described the Messers’ conduct as the “very basement of human conduct.” Judge Wier also said the sentence reflected the importance of declaring that the rule of law exists and applies to everyone, regardless of location and culture.
“This is a disturbing example of the incidence of unspeakable violence that often accompanies illegal drug trafficking,” said Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky. “This case included kidnappings, threats, firearms, repeated sexual assaults, and even a true sense of lawlessness. This unconstrained violence and infliction of suffering certainly warrants the sentence imposed. Cases like this will embolden our efforts to combat this blight on our communities; it should also serve as a stark warning to those who continue to participate in destructive violence and drug trafficking.”
“This is the second defendant to receive a life sentence from an armed drug-trafficking group that kidnapped, tortured and raped the victims in this case,” said ATF Special Agent in Charge R. Shawn Morrow of the Louisville Division. “This was a joint effort between the Kentucky State Police and ATF. We hope this life sentence brings some sense of justice to the victims and sends a very clear message that ATF and our law enforcement partners will not stand by and allow these acts of violence."
United States Attorney Shier, Special Agent in Charge Morrow, and Colonel Phillip Burnett, Jr., Commissioner of the Kentucky State Police, jointly announced the sentence.
This case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. The PSN program involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
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S. Lane Tucker Confirmed as U.S. Attorney for the District of AlaskaRead the Press Release
ANCHORAGE – The United States Senate confirmed S. Lane Tucker as the United States Attorney for the District of Alaska on May 17, 2022, and she was sworn in on May 31. She was nominated by President Joseph R. Biden on January 26 of this year.
Tucker brings with her over three decades of experience as a prosecuting attorney and defense attorney. Prior to entering private practice, Tucker was an Assistant U.S. Attorney and Civil Chief for the U.S. Attorney’s Office in Anchorage. Before joining the U.S. Attorney’s Office, Tucker was a Trial Attorney in the Civil Division of the U.S. Department of Justice in Washington D.C., and began her legal career as an Assistant General Counsel for the General Services Administration.
“I am both honored and humbled to have this opportunity to serve Alaskans,” Tucker said. “Over the past twenty years I have built the most important relationships of my life among the people of Alaska, and I look forward to working tirelessly to give back to this great state. I know from personal experience that the prosecutors and staff in the United States Attorney’s Office for the District of Alaska are deeply committed to ensuring justice for the people of Alaska, and I am prepared to lead our office to a new era of combating crime in our state and making Alaska a safe place for all who live here.”
Tucker has served as President of the Federal Bar Association, as a lawyer representative to the 9th Circuit Judicial Conference, and is the founder and chair of the Alaska Bar Public Contracts section. For many years she has been selected as one of America’s Leading Lawyers for litigation by Chambers USA, included in Best Lawyers in America, and listed in Alaska Super Lawyers. She has served as a board member and officer for the Alaska Community Foundation and the Anchorage Association of Women Lawyers.
She received her J.D. from the University of Utah S.J. Quinney College of Law in 1987, her B.A. from Mary Baldwin College in 1983, and attended Oxford University.
For more information about the U.S. Attorney’s Office for the District of Alaska, please visit https://www.justice.gov/usao-ak
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Roswell man sentenced to 110 years in prison for child pornographyRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Dain Justin Adams was sentenced on June 1 to 110 years in prison. After a five-day trial, a federal jury convicted Adams, 41, of Roswell, New Mexico, on Jan. 28, 2020, of possession of child pornography, conspiracy to produce child pornography, receipt of child pornography and two counts of distribution of child pornography.
Adams was charged on Dec. 17, 2019, in a superseding indictment. According to the indictment and other court records, on June 27, 2018, law enforcement officers executed a search warrant at Adams’ residence in Roswell. Adams was not home, but investigators seized multiple electronic devices. Jade Tiffany Laurezo, 38, was present in the residence when the search warrant was executed. A review of their cell phones revealed conversations between Adams and Laurezo through the Viber app, which they also used to exchange child pornography. During those conversations, they discussed their sexual interest in children and Adams discussed his desire to sexually abuse children.
The jury found that Adams possessed and had access to images and videos of children engaged in sexual conduct, that he conspired with others to entice and coerce children to engage in sexual conduct to produce child pornography, that he knowingly received child pornography, and that he distributed child pornography to others.
Upon his release from prison, Adams will be subject to 10 years of supervised release and must register as a sex offender.
Laurezo pleaded guilty on Oct. 31, 2019, to production of a visual depiction of a minor engaging in sexually explicit conduct. A sentencing hearing for Laurezo is scheduled for June 16. By the terms of the plea agreement, Laurezo faces 15 to 20 years in prison.
The Roswell Resident Agency of the FBI Albuquerque Field Office, the New Mexico Office of the Attorney General and the Chavez County Sheriff’s Department investigated this case with assistance from the National Center for Missing and Exploited Children (NCMEC). Assistant United States Attorney Marisa A. Ong prosecuted the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
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Registered Sex Offender Is Sentenced to 25 Years in PrisonRead the Press Release
ASHEVILLE, N.C. – A Buffalo, New York man who traveled to Western North Carolina to engage in sexual activity with a minor was sentenced to 25 years in prison today, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Allen Roger Cobb, 63, was ordered to serve a lifetime of supervised release and to register as a sex offender.
Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, joins U.S. Attorney King in making today’s announcement.
“Cobb is a repeat sex offender who was willing to travel great distance for his sexual gratification with a child. Thanks to the work of HSI and my office, this dangerous predator is off the streets and no longer able to harm innocent children,” said U.S. Attorney King.
“One of HSI’s most important missions is to protect children from predators like Cobb. As a repeat offender Cobb has proven he was willing and capable of traveling to North Carolina to irrevocably harm yet another child, were it not for the outstanding work of our special agents. We will continue to utilize all of the resources at our disposal to ensure individuals like Cobb are investigated and prosecuted to the fullest extent that the law allows,” said Special Agent in Charge Martinez.
According to filed court documents and today’s sentencing hearing, beginning in July 2021, Cobb began communicating online with an undercover HSI agent posing as the parent of a minor female. During the online exchanges, Cobb expressed an interest in having sexual contact with the minor and discussed travel arrangements and details pertaining to the commission of the sexual assault. According to court records, over the course of their discussions, Cobb expressed concern to the HSI agent about being tracked by law enforcement given his sex offender registration status and stressed the importance of being discreet in their communications.
Cobb was arrested on August 31, 2021, after he travelled from Buffalo to Western North Carolina to engage in a sexual act with a minor. At the time of the arrest, law enforcement found a stuffed toy Cobb had purchased as a gift for the minor and a camcorder which Cobb intended to use to record the sexual assault.
On December 29, 2021, Cobb pleaded guilty to traveling to engage in illicit sexual conduct with a minor. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
U.S. Attorney King thanked HSI for their investigation that led to today’s sentence. Assistant U.S. Attorney Alexis I. Solheim of the U.S. Attorney’s Office in Asheville prosecuted the case.
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Rapid City Man Sentenced to Federal Prison for Illegal Possession of FirearmRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced on May 24, 2022, by Judge Jeffrey L. Viken, U.S. District Court.
Alexander Salway, age 38, was sentenced to 20 months in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Salway was indicted by a federal grand jury on March 18, 2021, and pleaded guilty on December 3, 2021. The conviction stems from Salway, a previously convicted felon who is prohibited from possessing firearms, illegally possessing a Taurus, model PT111 Millennium Pro, 9mm semi-automatic pistol, which was found after Salway came into contact with law enforcement in January 2021 in Rapid City.
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 was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Salway was immediately remanded to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced to Federal Prison for Illegal Possession of FirearmRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced on May 24, 2022, by Judge Jeffrey L. Viken, U.S. District Court.
Tyler Allen, age 28, was sentenced to 24 months in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Allen was indicted by a federal grand jury on March 18, 2021, and pleaded guilty on July 23, 2021. The conviction stems from Allen, a previously convicted felon who is prohibited from possessing firearms, illegally possessing an FEG, model PA-63, 9x18mm Makarov caliber, semi-automatic pistol, which was found after Allen came into contact with law enforcement in January 2021 in Rapid City.
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 was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Allen was immediately remanded to the custody of the U.S. Marshals Service.
Rapid City Man Charged with Illegal Possession of FirearmRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Possession of a Firearm by a Prohibited Person.
Michael Wilson, age 37, was indicted on May 19, 2022. He appeared before U.S. Magistrate Judge Daneta Wollmann on May 24, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is 10 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 charge stems from Wilson, a previously convicted felon who is prohibited from possessing firearms, knowingly possessing a Taurus 9mm semi-automatic pistol in February 2022 in Rapid City. The charge is merely an accusation and Wilson 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 Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson is prosecuting the case.
Wilson was detained pending trial. A trial date has not been set.
Rapid City Man Charged with Illegal Possession of FirearmRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Possession of a Firearm by a Prohibited Person.
Julion Graham, age 26, was indicted on May 19, 2022. He appeared before U.S. Magistrate Judge Daneta Wollmann on May 24, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is 10 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 charge stems from Graham, a previously convicted felon who is prohibited from possessing firearms, knowingly possessing a Bersa, .380 ACP semi-automatic pistol in April 2022 in Rapid City. The charge is merely an accusation and Graham 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 Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson is prosecuting the case.
Graham was detained pending trial. A trial date has not been set.
Previously Convicted Child Sex Offender Sentenced to 15 Years in Federal Prison for Trafficking Child Sex Abuse MaterialRead the Press Release
INDIANAPOLIS – Adam L. Mahaffey, 39, of Martinsville, Indiana, was sentenced late yesterday to fifteen years in federal prison after pleading guilty to distributing visual depictions of minors engaging in sexually explicit conduct and possession of child sexual abuse material.
According to court documents, Mahaffey is a repeat sex offender against children, convicted in 2012 of child seduction in Johnson County Indiana. Beginning no later than January 2021, Mahaffey began using an end-to-end encrypted online application to communicate with other individuals. One of the people Mahaffey contacted reported to the FBI Oklahoma City Field Office that Mahaffey sent them videos containing child sexual abuse material.
Between January 24, 2021, and April 20, 2021, Mahaffey was communicating online with an undercover FBI agent. During those exchanges, Mahaffey talked at length about his interest in engaging in sex acts with children as young as five years old. Mahaffey sent the agent multiple images and videos of child sexual abuse material. Mahaffey also told the agent that he wanted to meet at a hotel in the Southern District of Indiana so that Mahaffey could engage in sex with two prepubescent girls.
On April 26, 2021, the FBI executed federal search warrants at Mahaffey’s residence in Martinsville. Agents recovered Mahaffey’s cellular phone which contained hundreds of images and videos depicting child sexual abuse material. The images and videos distributed and possessed by Mahaffey included depictions of the sexual abuse of a prepubescent child.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana and FBI Indianapolis Special Agent in Charge Herbert J. Stapleton made the announcement.
The FBI’s Violent Crimes Against Children Task Force investigated the case. The FBI Oklahoma City Field Office also provided valuable assistance. The sentence was imposed by U.S. District Judge Tanya Walton Pratt. As part of the sentence, Judge Pratt ordered that Mahaffey be supervised by the U.S. Probation Office for 10 years following his release from federal prison and ordered Mahaffey to pay a $1,000 fine and restitution to each of the minor victims depicted in the images and videos he distributed and possessed. Mahaffey must also register as a sex offender wherever he lives, works, or goes to school, as required by law.
U.S. Attorney Myers thanked Assistant U.S. Attorney Tiffany J. Preston who prosecuted this case.
In fiscal year 2019, the most recent year for which data is available, the Southern District of Indiana was second out of the 94 federal districts in the country for the number of child sexual exploitation cases prosecuted.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
Port St. Joe Man Sentenced to 14 Years in Prison for Conspiracy to Distribute MethamphetamineRead the Press Release
TALLAHASSEE, FLORIDA –Roderick L. Robinson, 55, of Port St. Joe, Florida, also known as “Raggedy” and “Rags,” was sentenced to 168 months in federal prison for his part in a conspiracy to distribute methamphetamine. Jason R. Coody, United States Attorney for the Northern District of Florida, announced the sentence.
“Those who repeatedly commit serious crimes are deserving of significant prison sentences,” said U.S. Attorney Coody. “Our federal, state, and local law enforcement partners work tirelessly to keep us safe and serve a critical role in our efforts to remove addictive and deadly controlled substances from our communities. Moreover, this sentence should serve as a strong deterrent to those who would distribute drugs in North Florida.”
Robinson pled guilty to conspiring to distribute over 50 grams of methamphetamine and 500 grams of a mixture containing methamphetamine. Court documents show that Robinson was responsible for distributing at least 180 ounces (5.1 kilograms) of methamphetamine.
“DEA’s top priority is to protect our Florida communities from individuals like Mr. Robinson who threaten the health and safety of our citizens with their illegal actions,” said Miami Field Division Special Agent in Charge Deanne L. Reuter. “DEA remains committed to our partnerships with the law enforcement community in northern Florida to bring these drug trafficking organizations to justice and keep our communities safe.”
Robinson had an extensive criminal history which included eight prior convictions for sale of cocaine and a 1994 conviction for attempted second degree murder with a hate crime enhancement for which Robinson had previously served over 15 years in state prison.
Following Robinson’s 168-month sentence, he will be on federal supervised release for 10 years. This sentence was the result of an investigation conducted by the Drug Enforcement Administration, with assistance from the Franklin County Sheriff’s Office, the Gulf County Sheriff’s Office, and the Leon County Sheriff’s Office. Assistant United States Attorney James A. McCain prosecuted the case.
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.
Pine Ridge Man Sentenced to Ten Years in Federal PrisonRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Pine Ridge, South Dakota, man convicted on two separate charges of Possession of a Firearm by a Prohibited Person and a third charge of Conspiracy to Distribute a Controlled Substance was sentenced on May 20, 2022, by U.S. District Court Judge Karen E. Schreier.
As to the conviction for Conspiracy to Distribute a Controlled Substance, Nikki Joshua James Coomes, age 30, was sentenced to 10 years in federal prison, followed by five years of supervised release. Regarding the first conviction for Possession of a Firearm by a Prohibited Person, Coomes was sentenced to serve 37 months in federal prison, and on the second conviction of Possession of a Firearm by a Prohibited Person, Coomes was sentenced to serve 10 months in federal prison, followed by three years of supervised release. All three sentences are to be served concurrently. Coomes was also ordered to pay a $300 special assessment to the Federal Crime Victims Fund.
Coomes pleaded guilty to the Possession of Firearms charges on December 22, 2021. Coomes, a previously convicted felon who is prohibited from possessing firearms, was found to be in possession of a 20-gauge pump-action shotgun on December 5, 2020, at Pine Ridge. On September 15, 2021, Coomes was found in possession of a 9 mm caliber pistol, two .22 caliber rifles, two 12-gauge shotguns, a .380 caliber pistol, and a .38 caliber derringer on September 15, 2021, at Pine Ridge.
The firearms investigations were conducted by the Bureau of Alcohol, Firearms, Tobacco, and Explosives, the Federal Bureau of Investigation, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Heather Sazama prosecuted the cases.
Coomes also pleaded guilty to Conspiracy to Distribute a Controlled Substance on April 26, 2022. From approximately June 2018 through 2021, Coomes obtained methamphetamine from multiple sources and then distributed it primarily from his residence on the Pine Ridge Reservation. The Defendant would supply quantities of methamphetamine to other persons, who would in turn further distribute the methamphetamine.
The drug distribution case was investigated by the Badlands Safe Trails Task Force, which includes the Federal Bureau of Investigation, Bureau of Indian Affairs, Oglala Sioux Tribe Department of Public Safety, South Dakota Department of Criminal Investigation, and the Martin, South Dakota, Police Department. Assistant U.S. Attorney Gina S. Nelson prosecuted the case.
Following the pronouncement of his sentences, Coomes was immediately turned over to the custody of the U.S. Marshals Service.
Philadelphia Man Sentenced to 25 Years’ Imprisonment for Producing Child PornographyRead the Press Release
HARRISBURG—The United States Attorney’s Office for the Middle District of Pennsylvania announced that David Serrano-Munoz, age 43, of Philadelphia, Pennsylvania, was sentenced yesterday by U.S. District Court Judge Christopher C. Conner to 25 years’ imprisonment for producing child pornography. The sentence also included a 10-year term of supervised release, which will follow the term of imprisonment.
According to United States Attorney John C. Gurganus, Serrano-Munoz previously admitted to coercing a minor living in York County, Pennsylvania, to take sexually explicit photos of herself and to send those images to him over the internet in 2017.
The case was investigated by the Federal Bureau of Investigation and the Pennsylvania State Police. Assistant U.S. Attorney Carlo D. Marchioli prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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Philadelphia Man Pleads Guilty to Unlawfully Possessing Firearms and AmmunitionRead the Press Release
JOHNSTOWN, Pa. – A former resident of Philadelphia, PA pleaded guilty in federal court to a charge of violating federal firearms laws, United States Attorney Cindy K. Chung announced today.
Joel Butler, 28, pleaded guilty to the offense at Count One of the Indictment before United States District Judge Stephanie L. Haines.
In connection with the guilty plea, on or about February 24, 2022, Butler knowingly, intentionally, and unlawfully, possessed firearms and ammunition, after having previously been convicted of a crime punishable by imprisonment for a term exceeding one year.
Judge Haines scheduled sentencing for Oct. 12, 2022, at 10:30 a.m. The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Arnold P. Bernard Jr. is prosecuting this case on behalf of the government.
The United States Marshals Service conducted the investigation leading to the successful prosecution of Butler.
Operation Washout Classic City Results in Arrests of Most Wanted Individuals in Athens-Clarke County RegionRead the Press Release
ATHENS, Ga. –An eight-day multi-agency operation to curb violent crime in the Athens-Clarke County and surrounding communities resulted in wanted repeat violent offenders and documented gang members taken into custody on various state charges. These cases are currently under federal investigation and no federal charges have been filed at this time.
“Operation Washout Classic City” took place between May 18 – 25, amassing federal, state and local law enforcement resources to arrest the most wanted individuals in the area, including repeat violent offenders and gang members, who had eluded police. The operation was led by the U.S. Marshals Service-Southeast Regional Fugitive Task Force (USMS SERFTF), and included FBI, ATF, DEA, GBI, Georgia Department of Community Supervision (DCS), Georgia State Patrol (GPS), Organized Crime and Gang Unit-Atlanta (OCAG), Clarke County Sheriff's Office, Oconee County Sheriff’s Office, Oglethorpe County Sheriff’s Office, Athens-Clarke County Police Department and Western Circuit District Attorney’s Office with support from the U.S. Attorney’s Office for the Middle District of Georgia.
Arrest and search warrants executed during this time period resulted in 49 arrests; 13 are documented gang members of Ghostface Gangsters, Gangster Disciples, Bloods and 1831 Piru. The individuals taken into custody as part of the operation are facing various state charges including probation violations for violent crimes, aggravated assault, rape and robbery. During the operation, law enforcement seized five firearms and a quantity of illegal drugs.
“Reducing violent crime in the Athens-Clarke County region and in every community across the Middle District of Georgia is the highest priority,” said U.S. Attorney Peter Leary. “Partnering directly with community stakeholders and law enforcement through Project Safe Neighborhoods, the U.S. Attorney’s Office aims to direct our resources toward addressing the most significant drivers of violent crime in each community and taking action.”
“Operation Washout Classic City is a great example of federal, state and local law enforcement partners working together to make a significant impact on reducing violent crime in our communities,” said USMS-SERFTF Deputy Commander John Edgar.
“The success of Operation Washout Classic City and initiatives like Project Safe Neighborhoods speak directly to what can be accomplished through collaboration and shared goals. The goal of directing resources to the most violent offenders in our community as a means to reducing violent crime is a strategy we can all unify behind,” stated District Attorney Deborah Gonzalez. “We are grateful for the strong work of our partners in the pursuit of creating a safer Athens-Clarke County.”
“The Athens-Clarke County community will not tolerate violent crime and criminal street gangs. The Athens-Clarke County Police Department is committed to protecting the citizens of Athens-Clarke County and Operation Washout Classic City is an example of what we can achieve when federal, state, and local law enforcement agencies work collaboratively, with a unified goal of removing violent, repeat offenders from our community,” said ACCPD Interim Chief of Police Jerry Saulters. “ACCPD appreciates the hard work of our federal, state and local law enforcement partners and the support from the U.S. Attorney’s Office for the Middle District of Georgia.”
“Crime in our area is a regional problem. Through efforts like this one, we want to ensure those that engage in the criminal lifestyle do not find a comfortable place to stay in Oglethorpe County,” said Oglethorpe County Sheriff David Gabrielle.
The following individuals were taken into custody on state charges as part of Operation Washout Classic City; those who are documented street gang members are noted below:
Demetrius Bankston, 39, Cocaine
David Bingham, 39, Probation Violation, Ghostface Gangsters affiliation
Bradley Blakely, 34, Probation Violation, Ghostface Gangsters affiliation
Larry Bolton, 20, Robbery, 1831 Piru affiliation
Eric Brunson, 45, Illegal Drugs
Melvin Bryant, 56, Probation Violation
Delvin Buckles, 35, Aggravated Assault, Gangster Disciples affiliation
Jarvis Clark, 22, Probation Violation/Bond Violation, Crips affiliation
Denzell Davis, 29, Aggravated Assault, Sex, Money, Murder affiliation (sub-set of Bloods)
Reginald Dillard, 61, Probation Violation
Trellis Drake, 36, Probation Violation, Gangster Disciples affiliation
Domeeka Dunn, 33, Obstruction
Reco Echols, 45, Probation Violation, Gangster Disciples affiliation
Rodney Edwards, 34, Bond Violation, Gangster Disciples affiliation
Dominque Faust, 33, Probation Violation
Alden Fleming, 31, Failure to Appear
Jeffery Foote, 58, Burglary
Brandy Franklin, 27, Cocaine
Jason Jackson, 36, Rape
Andrew Jackson, 41, Probation Violation, Bloods affiliation
David Jones, 39, Probation Violation
Joshua Kell, 30, Probation Violation, Ghostface Gangsters affiliation
Carey Kimbro, 52, Probation Violation
Roy Dale Kirk , 56, Illegal Drugs
Michael Kiser, 35, Probation Violation, Gangster Disciples affiliation
Quincy Lassiter, 20, Probation Violation
Darious Latimore, 24, Probation Violation
Andrew Lattimore, 59, Probation Violation
Terrance McGuire, 31, Parole Violation
Gregory McIntosh, 65, Aggravated Assault
Joshua Pappe, 29, Probation Violation
Jamie Parker, 37, Probation Violation
Keyron Pass, 29, Aggravated Assault
Bryan Prather, 44, Stalking
Yobani Rico, 31, Methamphetamine
Justin Rogers, 30, Methamphetamine, Ghostface Gangsters affiliation
Shanika Rucker, 31, Aggravated Assault
Johnnty Saylors, 46, Parole Violation
Antoine Stewart, 30, Aggravated Assault
Amber Tatum, 34, Probation Violation
Jerilyn Titus, 44, Methamphetamine
Steven Walls, 40, Illegal Drugs
Derrion Watson, 20, Probation Violation
Rufus Whitfield, 59, Failure to Appear
Steven Williams, 33, Aggravated Assault
Reavco Woodall, 37, Violation Probation
Jose Yanez, 22, Sodomy
In addition, two juveniles were taken into custody for armed robbery charges.
Operation Washout Classic City was conducted as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
In addition, Operation Washout Classic City is a response to The Department of Justice’s Comprehensive Violent Crime Reduction Strategy announced on May 26, 2021. The comprehensive strategy supports local communities in preventing, investigating and prosecuting gun violence and other violent crime—and requires U.S. Attorneys’ offices to work with federal, state, local and tribal law enforcement, as well as the communities they serve, to address the most significant drivers of violence in their districts.
Criminal charges are merely allegations and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Onslow County Drug Dealer Sentenced in Federal CourtRead the Press Release
RALEIGH, N.C. – A Jacksonville woman was sentenced to 180 months in prison for trafficking methamphetamine, heroin, fentanyl, cocaine, cocaine base (crack), and marijuana, and possessing a firearm in furtherance of such drug trafficking crime. On December 8, 2021, Ramona Lopez pled guilty to the charges.
According to court documents and other information presented in court, the Jacksonville Police Department received complaints from management of a local hotel regarding Lopez’s selling of narcotics from a room at the hotel. After law enforcement surveillance revealed that Lopez was using the hotel as the base of operation for her drug trafficking organization, a search warrant was executed on the hotel room and law enforcement recovered 122 grams of methamphetamine, 107 grams of heroin, a quantity of fentanyl, 73 doses of Ecstasy, 7 grams of cocaine, written instructions for cooking methamphetamine, $6,636,and a loaded Taurus 9 millimeter handgun, later determined to have been stolen from Virginia.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Jacksonville Police Department, Onslow County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Federal Bureau of Investigation investigated the case and Assistant U.S. Attorney Dennis M. Duffy prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:21-cr-00038-D.
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Odyssey International Inc. and Former Officer of Company Convicted of Fraudulent Scheme to Obtain $99 Million-Dollar U.S. Government ContractRead the Press Release
SALT LAKE CITY – On June 1, 2022, a federal jury found both Odyssey International, Inc. and its president and owner, Whitney McBride, 41, of Queen Creek, Arizona, guilty of conspiracy to commit wire fraud, wire fraud, and major fraud after a trial in Salt Lake City on June 1, 2022. In addition, the jury found McBride guilty of making a false statement to federal law enforcement and making a false declaration to the Court. The charges arise out of fraudulently claiming special status under a Small Business Administration (“SBA”) program in order to obtain the proceeds of a $99 million contract.
McBride and Odyssey were both charged in August of 2020 by a federal grand jury in Utah with conspiracy to commit wire fraud, wire fraud, and major contract fraud in relation to submitting fraudulent applications for a $99 million-dollar federal government contract in Fort Drum, New York. McBride was charged with additional felony counts related to perjury and making false statements during the criminal investigation and prosecution of her and Odyssey’s fraudulent business ventures.
McBride and Odyssey were charged with federal felony violations after investigators discovered, that in 2011, Odyssey fraudulently bid on a $99 million contract for work at the Fort Drum military base in New York. The contract had been set aside for qualified businesses operating in historically underutilized business zones (“HUBzones”) under an SBA program. Areas are qualified as HUBzones based upon historical unemployment and poverty levels, and also include areas such as Indian reservations and military base closure areas. To qualify for a HUBzone contract through the SBA, two requirements are that at least 35% of the business’s employees must reside in a HUBzone and the business must be a small business. Odyssey bid upon the contract knowing that it did not qualify for HUBzone contracts through the SBA because 35% of its employees did not reside in a HUBzone and because Odyssey was not a small business.
In pursuing the $99 million dollar Fort Drum contract, Odyssey’s officers and employees falsified information about who was working for Odyssey and where they worked. These efforts included recruiting employees to falsify their addresses on their driver’s licenses and voter’s registrations, temporarily placing HUBzone residents who did not actually work for the company on payroll in order to falsely claim them as employees and using a shell company to pay employees who did not reside in HUBzones off of Odyssey’s books in order to conceal them from the SBA.
It was further alleged at trial that Odyssey had also fraudulently gained admission to the SBA’s 8(a) program. That program is designed to provide contract opportunities to businesses owned by individuals who have personally experienced discrimination. The Defendants conceded at trial that Odyssey’s application to this program was fraudulent but claimed Odyssey’s CFO was solely responsible for the application. Over a period of about nine years, Odyssey obtained more than $200 million in contracts through this program.
Sentencing is currently set for September 1, 2022. The maximum penalties for the counts of conviction are twenty years’ imprisonment and a fine of up to twice the amount gained from the fraud.
The investigation also resulted in Odyssey’s former chief operating officer Michael Tingey and chief financial officer Paul Lee both previously entering guilty pleas to wire fraud, and the seizure of more than $7 million in assets.
This case was investigated by Special Agents from the FBI, the United States Army Criminal Investigations Division, United States Air Force Office of Special Investigations, IRS Criminal Investigation, and the Small Business Administration. Additional assistance was provided by other government agencies including the General Services Administration and the Department of the Interior. The case was prosecuted by Assistant United States Attorney Carl LeSueur and Assistant United States Attorney Aaron Clark.
Oakland Man Sentenced to 15 Years for Sex Trafficking CrimesRead the Press Release
PITTSBURGH - A former resident of Alabama, who was living in Pittsburgh at the time of the offenses, has been sentenced in federal court to 15 years’ imprisonment on his conviction of sex trafficking crimes, United States Attorney Cindy K. Chung announced today.
United States District Judge Christy Criswell Wiegand imposed the sentence on Anthony Juskowich, 23, who resided in Pittsburgh’s Oakland neighborhood.
According to information presented to the court, Juskowich had been grooming the victim, Jane Doe, since December of 2019, when the two met in Alabama. After a few failed attempts at expanding his sex trafficking business in Alabama and Georgia, Juskowich convinced Jane Doe, who had never traveled outside of the south, to travel with him to Pittsburgh. Once in Pittsburgh, the Court was informed that Juskowich coerced and forced Jane Doe to engage in commercial sex acts based upon the false promise of making enough money to go legitimate someday by purchasing and running a fast-food franchise. Additionally, Juskowich used force, threats of force, fraud and coercion to compel Jane Doe to meet sex customers. While Jane Doe initially tried to resist, to maintain some form of control over her life, Juskowich’s control, manipulation, demands, and intimidation wore down her resistance.
On May 14, 2021, investigators, after conducting an undercover operation, disrupted Juskowich’s crimes and arrested him, which enabled Jane Doe to be physically separated from Juskowich. Even so, Juskowich continued to exercise control over Jane Doe, even from jail.
Assistant United States Attorney Rebecca L. Silinski prosecuted this case on behalf of the government and conveyed to the Court, at sentencing, that human trafficking is more than a crime, it is an affront to human dignity and an attack on fundamental humanitarian values. There are no words to adequately describe the experience of a victim of any form of sexual abuse, particularly a victim of sex trafficking. The impact on a victim, including Jane Doe, is not merely physical, it affects one emotionally and psychologically in ways that most cannot begin to understand.
United States Attorney Chung commended the Federal Bureau of Investigation, as well as the Pittsburgh Bureau of Police Narcotics Division and the Moon Township Police Department for the investigation leading to the successful prosecution of Juskowich.
This prosecution is part of Operation T.E.N. (Trafficking Ends Now), the United States Attorney for the Western District of Pennsylvania’s coalition to end human trafficking. Operation T.E.N. serves as an umbrella coalition for law enforcement, community and non-profit partners in the 25 counties in the Western District of Pennsylvania. Through this initiative, the US Attorney’s Office is proactively working with local, state and federal law enforcement, including the Federal Bureau of Investigation and Homeland Security Investigations, to identify and prosecute human traffickers and to empower victims to become thriving survivors. This coordinated effort aims to end human trafficking through education, training and improved cooperation, resulting in the successful prosecution of individuals like Juskowich.
North Dakota Man Convicted of Laundering over One Million Dollars from Schemes Targeting Victims Across the United States Perpetrated by Ghana-Based Criminal EnterpriseRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that SADICK EDUSEI KISSI was convicted today of three criminal counts he was charged with for his participation in a conspiracy based in the Republic of Ghana (“Ghana”) involving the theft of more than one million dollars. KISSI was convicted after a jury trial before U.S. District Judge Paul A. Crotty which lasted approximately one week. KISSI was previously arrested on February 5, 2021.
As reflected in the Indictment, public filings, and the evidence presented at trial:
From in or about 2014 through in or about February 2020, a criminal enterprise (the “Enterprise”) based in Ghana committed a series of romance scams against individuals and businesses located across the United States, including in the Southern District of New York. The Enterprise conducted the romance scams by using electronic messages sent via email, text messaging, or online dating websites that deluded victims, many of whom were vulnerable older men and women who lived alone, into believing the victim was in a romantic relationship with a fake identity assumed by members of the Enterprise. Once members of the Enterprise had gained the trust of the victims using the fake identity, they used false pretenses to cause the victims to wire money to bank accounts the victims believed were controlled by their romantic interests, when in fact the bank accounts were controlled by members of the Enterprise like KISSI.
KISSI received money sent by victims of the Enterprise under false pretenses into personal bank accounts located in the Bronx, New York. The defendant also received criminal proceeds from other U.S.-based members of the Enterprise by cash deliveries. Once KISSI received these funds, he took out a percentage fee and then withdrew, transported, and laundered those criminal proceeds to other members of the Enterprise, in order to send those funds abroad to Ghana.
From in or about 2015 through in or about 2020, KISSI controlled more than eight bank accounts that had deposits that totaled over approximately $1 million during that time period. A substantial portion of the deposits consisted of large wire transfers and check or cash deposits from U.S.-based individuals and entities that were victims of schemes of the Enterprise.
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KISSI, 25, of Dickinson, North Dakota, was convicted by a jury of one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison; one count of receipt of stolen money, which carries a maximum sentence of 10 years in prison; and one count of conspiracy to receive stolen money, which carries a maximum sentence of five years in prison. KISSI was also acquitted of one count of conspiring to commit wire fraud.
KISSI will be sentenced before Judge Crotty at a later date.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the FBI.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Katherine C. Reilly, Mitzi Steiner, and Sagar Ravi are in charge of the prosecution.
Niagara Falls Woman Who Allegedly Stole Hundreds of Thousands of Dollars from Investment Firm Clients Indicted on Fraud and Identity Theft ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that a federal grand jury has returned a 23-count indictment charging Jennifer Campbell, 47, of Niagara Falls, NY, with wire fraud and aggravated identity theft. The charges carry a minimum penalty of two years in prison, a maximum penalty of 20 years, and a $250,000 fine.
Assistant U.S. Attorney Douglas A. C. Penrose, who is handling the case, stated that according to the indictment, Campbell was employed as the Office Manager and Chief Compliance Officer at an investment advisory firm based in Buffalo, NY, with access to client accounts. Between November 2018, and May 2021, Campbell used this access to steal over $500,000 from several clients and from the firm itself. Campbell wrote checks from client accounts, forging signatures of either the client or a principal at the firm, and then deposited the checks into her own personal account. Campbell also took steps to conceal the thefts. For instance, she sent a victim a falsified account statement showing a balance of approximately $148,000, when in fact the account had a balance of only $93. In another instance, Campbell took funds from a client and transferred the funds to the bank account of one of a previous victim, who believed that the funds she received were a distribution from her account.
In addition, Campbell diverted emails received by firm principals from anti-money laundering and financial crimes personnel at the firm’s broker-dealer, who had begun to raise questions about some of the transactions that Campbell had engaged in. To put off these inquiries, Campbell sent several emails using the email account of a firm principal making false statements and submitted fake documentation in an effort to make the transactions appear legitimate.
The defendant was arraigned today before U.S. Magistrate Judge Jeremiah J. McCarthy and was released on conditions.
The indictment is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia, and the Internal Revenue Service, Criminal Investigation Division, under the direction of Thomas Fattorusso, Special Agent-in-Charge.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Mount Pleasant Man Sentenced to Federal Prison for Child Pornography ChargesRead the Press Release
DAVENPORT, Iowa – Victor Alberto Elias Rodriguez, age 40, of Mount Pleasant, was sentenced Wednesday, June 1, 2022, to 342 months in prison for Production of Child Pornography. Elias Rodriguez was also ordered to serve ten years of supervised release following his imprisonment and was assessed a $100 Special Assessment immediately payable to the Crime Victims Fund.
According to court documents, officers initiated an investigation into Elias Rodriguez after receiving information regarding his possible sexual abuse of a minor female. The investigation revealed that Elias Rodriguez had been sexually assaulting the minor victim from the age of five, up to this incident when the victim was seventeen years old. In addition, Elias Rodriguez took a video of the sexual assault with his cell phone. On January 21, 2022, Elias Rodriguez pleaded guilty to the one-count Indictment.
U.S. Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by Homeland Security Investigations.
This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the U.S. Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nation-wide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
Morris County Man Sentenced to 78 Months in Prison for Role in Passaic County Cocaine Trafficking ConspiracyRead the Press Release
NEWARK, N.J. – A Morris County, New Jersey, man was sentenced today to 78 months in prison for his role in a Passaic County cocaine distribution conspiracy, U.S. Attorney Philip R. Sellinger announced.
Kiuny Perez, 44, of Rockaway Township, previously pleaded guilty before U.S. District Judge Claire C. Cecchi to a criminal information charging him with conspiracy to distribute cocaine. Judge Cecchi imposed the sentence today in Newark federal court.
According to documents filed in the case and statements made in court:
The defendant was part of a conspiracy to distribute large quantities of cocaine in and around Passaic County. In November 2017, law enforcement officers observed Perez and a co-defendant meet at a location in Passaic and exchange a package containing cocaine. Law enforcement officers stopped Perez’s vehicle and found cocaine in a hidden compartment underneath the dashboard. Law enforcement officers also discovered $297,350 in cash in Perez’s residence.
In addition to the prison term, Judge Cecchi sentenced Perez to three years of supervised release.
U.S. Attorney Sellinger credited special agents and task force officers of the U.S. Drug Enforcement Administration, New Jersey Division, under the direction of Special Agent in Charge Susan A. Gibson, and the Passaic County Prosecutor’s Office under the direction of Passaic County Prosecutor Camelia M. Valdes, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Jonathan M. Peck of the U.S. Attorney’s Office Criminal Division in Newark.
Michael Avenatti Sentenced to 48 Months in Prison for Identity Theft and Defrauding A Former ClientRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that MICHAEL AVENATTI was sentenced today in Manhattan federal court by United States District Judge Jesse M. Furman to 48 months in prison for fraud and aggravated identity theft. AVENATTI was previously found guilty on February 4, 2022, following a two-week jury trial.
U.S. Attorney Damian Williams said: “Lawyers have a duty to be loyal and advocates for their clients. Far from being a loyal advocate for his client, Michael Avenatti stole his client’s identity and her money in order to line his own pockets. Now, Avenatti will serve a substantial prison sentence for his brazen crimes and betrayal of his client.”
According to the allegations in the Indictment, court documents, and evidence presented at trial:
AVENATTI met Stormy Daniels in February 2018, when she was seeking an attorney to assist her with respect to a non-disclosure agreement that she had earlier signed with President Donald Trump. Daniels later signed a book deal to publish her memoir, and AVENATTI, pretending to act as her attorney and in her interests, stole a portion of the advance on that deal by directing her literary agent to send the money to a bank account AVENATTI controlled.
Specifically, AVENATTI stole two installments of Daniels’ book advance, totaling $297,500. AVENATTI sent to Daniels’ literary agent a fraudulent and unauthorized letter purporting to be from Daniels and appearing to bear her signature, which directed that future payments be sent to a bank account controlled by AVENATTI. In fact, AVENATTI wrote the letter himself, never received authorization from Daniels, and caused Daniels’ signature to be copied and pasted from another document onto the letter without her consent.
After transmitting the fraudulent letter to Daniels’ literary agent, AVENATTI received an installment of Daniels’ advance, worth $148,750, and promptly spent the money to satisfy his own personal and business expenses. When Daniels began inquiring of AVENATTI as to why she had not received the payment, AVENATTI lied to Daniels, telling her that her publisher had not made the payment. Approximately one month after diverting the payment, after Daniels threatened to go directly to her publisher about the missing payment, AVENATTI obtained a personal loan to pay $148,750 to Daniels, so that Daniels would not realize that AVENATTI had previously taken and used Daniels’ money.
A short time later, AVENATTI pressured the publisher to make the next installment payment early, purportedly at Daniels’ request though in truth without her awareness. AVENATTI soon received that installment, another payment of $148,750, which he again spent for his own purposes. For months after he had stolen this installment, Daniels repeatedly asked AVENATTI about the missing payment and, after he again falsely claimed that the publisher had not made the payment, asked that AVENATTI, as her lawyer, assist her in obtaining the book payment. AVENATTI continued to lie and claim that he was fighting with the publisher on her behalf when, as he knew, the publisher had made the payment early, but that he had stolen it. At the same time, further to avoid discovery of his scheme, AVENATTI, purporting to act as Daniels’ attorney, told her publisher and literary agent not to respond to direct requests for information from Daniels.
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In addition to the prison sentence, AVENATTI, 51, of Los Angeles, California, was sentenced to three years of supervised release, as well as restitution and forfeiture. AVENATTI is currently serving a thirty-month sentence for extorting NIKE, Inc., imposed by Judge Paul G. Gardephe in United States v. Avenatti, 19 Cr. 373. Thirty months of imprisonment in this case were imposed consecutively with AVENATTI’s other sentence, and the remainder will run concurrently.
Mr. Williams praised the work of the Federal Bureau of Investigation and the Special Agents of the United States Attorney’s Office for the Southern District of New York.
The cases are being handled by the Office’s Public Corruption Unit. Assistant United States Attorneys Matthew Podolsky, Robert B. Sobelman, and Andrew A. Rohrbach are in charge of the prosecution.
Meriden Man Charged with Trafficking CocaineRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division, today announced that a federal grand jury in New Haven returned an indictment yesterday charging BIMAEL ACEVEDO-ROMAN, 28, of Meriden, with one count of conspiracy to possess with intent to distribute five kilograms or more of cocaine.
As alleged in court documents and statements made in court, in October 2020, the U.S. Postal Inspection Service’s Narcotics and Bulk Cash Trafficking Task Force began investigating a cocaine trafficking operation headed by Acevedo-Roman. The investigation revealed that Acevedo-Roman was coordinating the shipment of parcels containing kilogram quantities of cocaine from U.S. Post Offices in Puerto Rico to various “drop addresses” in Meriden, New Britain and Bristol, and the shipment of parcels of cash back to Puerto Rico. Acevedo-Roman and others picked up parcels from the drop addresses and delivered them to Acevedo-Roman’s Meriden residence.
During the investigation, it is alleged that investigators intercepted and seized mail parcels containing more than five kilograms of cocaine and $179,300 in cash, and have identified dozens of other suspicious parcels that likely contained kilogram quantities of cocaine and bulk currency.
Acevedo-Roman was arrested on May 18, 2022, and is currently released on a $100,000 bond. If convicted of the charge, he faces a mandatory minimum term of imprisonment of 10 years and a maximum term of life imprisonment.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the U.S. Postal Inspection Service’s Narcotics and Bulk Cash Trafficking Task Force, includes members from the U.S. Postal Inspection Service, the U.S. Postal Service – Office of the Inspector General, the Connecticut Army National Guard, and the Hartford, New Britain, Meriden and Town of Groton Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys Konstantin Lantsman and Stephanie Levick.
Medford Man Sentenced to Federal Prison for Possessing Methamphetamine on Post-Prison SupervisionRead the Press Release
MEDFORD, Ore.—A Medford, Oregon man on post-prison supervision after a previous drug trafficking conviction was sentenced to federal prison today for eluding law enforcement while in possession of methamphetamine and a firearm.
Vincent Russell Jacobo, 38, was sentenced to 80 months in federal prison and five years’ supervised release.
According to court documents, on December 31, 2020, a Jackson County Sheriff’s Office deputy was on patrol in Medford when he observed a black sedan driving toward him at a high rate of speed. The deputy attempted to stop the vehicle, but it fled and the deputy terminated the pursuit. A short time later, the deputy located the vehicle in a ditch and observed Jacobo attempting to crawl out the back window. Authorities arrested Jacobo and located a gram of heroin, two cell phones, and $1,500 on his person. Later, detectives from the Medford Area Drug and Gang Enforcement team (MADGE) searched Jacobo’s vehicle and located more than 90 grams of methamphetamine, a small quantity of heroin, a loaded pistol, and drug packaging material. At the time of the incident, Jacobo had recently been released from state prison after convictions for drug trafficking and other felonies.
On January 28, 2021, Jacobo was charged by criminal complaint with possessing with intent to distribute methamphetamine, illegally possessing a firearm as a convicted felon, and possessing a firearm in furtherance of a drug trafficking crime. Later, on February 1, 2022, he was charged by criminal information with possessing with intent to distribute methamphetamine. On February 28, 2022, Jacobo waived indictment and pleaded guilty.
U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) with assistance from MADGE. It was prosecuted by Marco A. Boccato, Assistant U.S. Attorney for the District of Oregon.
Marietta Man Pleads Guilty to Distribution, Receipt and Possession of Child PornographyRead the Press Release
SYRACUSE, NEW YORK – Thomas Martin, age 35, of Marietta, New York, pled guilty yesterday to one count of distribution of child pornography, one count of receipt of child pornography and three counts of possession of child pornography, announced United States Attorney Carla B. Freedman, Matthew Scarpino, Acting Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo, New York Field Office, and New York State Police Superintendent Kevin P. Bruen.
Martin, who remains detained pending his sentencing scheduled for September 29, 2022, before United States District Judge Brenda K. Sannes, faces at least 5 years and up to 60 years in prison and a term of supervised release of between 5 years and life. A defendant’s sentence is imposed by a judge based on the statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. Martin will also be required to register as a sex offender.
As part of his guilty plea yesterday, Martin admitted that he actively traded child pornography images and videos using a social media messaging application on his cellular telephones, and that on January 30, 2022, he distributed an image file depicting the lascivious display of a child’s genitals who was between 4 and 6 years old. Martin further admitted that from February 3, 2020 to January 30, 2022, he received child pornography through the messaging application, including an image file depicting the lascivious display of a child’s genitals who was between 9 and 11 years old. Finally, Martin admitted that on February 11, 2022, he knowingly possessed 158 image files and 2 video files depicting child pornography on his three cellular telephones.
Martin’s case was investigated by U.S. Homeland Security Investigations (HSI), and Investigators of the New York State Police, Computer Crimes Unit (CCU). The case is being prosecuted by Assistant U.S. Attorney Geoffrey J.L. Brown as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Man Pleads Guilty to Violating the Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced today that on June 1, 2022, TRAVIS GIBSON, 48, pled guilty to possession with the intent to distribute methamphetamine, in violation of Title 21, United States Code, Sections 846, 841(a)(1), and 841(b)(1)(C).
GIBSON conspired to distribute methamphetamine throughout Jefferson Parish and the surrounding areas for over a year.
At sentencing, GIBSON faces up to a maximum term of imprisonment of twenty (20) years, a maximum fine of up to $1,000,000.00, at least three (3) years of supervised release following any term of imprisonment, and a $100 mandatory special assessment fee per count, pursuant to Title 21, United States Code, Sections 846, 841(a)(1), and 841(b)(1)(C).
This case was investigated by the U.S. Drug Enforcement Administration, Jefferson Parish Sheriff’s Office, Kenner Police Department, Orleans Parish Sheriff’s Office, New Orleans Police Department, and St. John Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorneys Nolan Paige, André Jones, and Melissa Bücher.
Los Angeles Man Sentenced to Federal Prison for Bank Fraud and Identity Theft SchemeRead the Press Release
PORTLAND, Ore.—A Los Angeles man was sentenced to federal prison today after he orchestrated an elaborate bank fraud and identity theft scheme targeting an elderly couple residing in Oregon.
Ijomah Joseph Oputa, 53, was sentenced to 36 months in federal prison and five years’ supervised release. Oputa was also ordered to pay $40,396 in restitution and forfeit $32,478.
According to court documents, since his arrest in Los Angeles in March 2021, Oputa has failed to disclose to law enforcement the details of his many suspected fraud schemes. Instead, he has repeatedly misled investigators on his sources and level of income as well as basic biographical details such as his date of birth, where and with whom he lives, how many siblings he has, and whether his parents are still living. Oputa’s repeated obfuscation of basic facts presented significant challenges to law enforcement. Despite these, investigators successfully uncovered a scheme Oputa concocted targeting an elderly couple residing in northeast Oregon.
In April of 2019, an elderly victim and his wife, both in their seventies, obtained a home equity line of credit from First Community Credit Union (FCCU). The couple accessed cash from this line of credit via an account they maintained at FCCU. Just two weeks after receiving the loan, Oputa called FCCU’s customer-service line, pretending to be his elderly victim. Oputa verified his stolen identity with the victim’s basic biographical details, account number, and monthly payment information. Oputa then proceeded to hijack his victim’s account.
After linking the victim’s bank account to his own email address, Oputa changed the mailing address on the account to a mailbox he controlled at a commercial mail drop in Los Angeles. Oputa then requested that a debit card linked to the account be issued to himself. Between June 2 and July 12, 2019, Oputa used the debit card to purchase 41 money orders at five U.S. Postal Service locations in the greater Los Angeles area. Together, the money orders totaled more than $32,000. Oputa deposited most of the money orders into bank accounts he maintained under other stolen identities at several Los Angeles banks. A review of records from one such account revealed that 74 money orders totaling nearly $71,000 had been laundered through it.
In mid-July 2019, the adult victim reported the unauthorized account activity to FCCU and local police. By then, FCCU had suffered losses exceeding $40,000. Local police referred the investigation to the U.S. Postal Inspection Service (USPIS).
On February 27, 2021, Oputa was charged by criminal complaint with aggravated identity theft and bank fraud. Later, on March 16, 2021, a federal grand jury in Portland indicted him on the same charges. Finally, on April 20, 2022, Oputa pleaded guilty to both charges.
U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by USPIS with assistance from the IRS, Environmental Protection Agency, and Small Business Administration Office of Inspector General. It was prosecuted by Ryan W. Bounds, Assistant U.S. Attorney for the District of Oregon.
Liberty Man Sentenced for Trafficking Fentanyl Near High SchoolRead the Press Release
KANSAS CITY, Mo. – A Liberty, Mo., man was sentenced in federal court today for distributing fentanyl from his apartment near Liberty High School and for illegally possessing a firearm.
Daniel I. Ramirez, 22, was sentenced by U.S. District Judge Gary A. Fenner to 11 years in federal prison without parole.
On Oct. 19, 2021, Ramirez pleaded guilty to one count of conspiracy to distribute fentanyl, one count of distributing fentanyl within 1,000 feet of a public school, and one count of possessing a firearm in furtherance of a drug-trafficking crime. Co-defendant Valerie Rios, 23, also of Liberty, has pleaded guilty to the same charges and awaits sentencing.
Ramirez admitted that he participated in a conspiracy to distribute fentanyl from March 4 to April 30, 2021. According to court documents, Rios sold an undercover detective fentanyl on three occasions between March 4 and March 9, 2021.
Law enforcement officers executed a search warrant at Ramirez’s apartment on South Forrest Avenue in Liberty, which is near Liberty High School, on March 12, 2021. Officers found a plastic bag that contained 184 counterfeit oxycodone pills that were actually fentanyl, a Smith and Wesson .45-caliber handgun with a loaded magazine, four magazines and ammunition, and $12,340 in cash.
This case is being prosecuted by Assistant U.S. Attorney Byron H. Black. It was investigated by the Clay County, Mo., Sheriff’s Department, the Drug Enforcement Administration, the Liberty, Mo., Police Department, and the Missouri State Highway Patrol.
Lev Tahor Operatives Convicted at Trial of Kidnapping OffensesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced that MORDECHAY MALKA and MATITYAU MALKA were convicted in White Plains federal court of kidnapping following a three-week jury trial. The defendants, members of an extremist Jewish sect called Lev Tahor, participated in a scheme to kidnap a 14-year-old girl (“Minor-1”) and a 12-year-old boy (“Minor-2”) from their mother in Woodridge, New York in December 2018. The kidnappers then smuggled the children across the U.S. border to Mexico, where they reunited Minor-1 with her adult “husband,” who she had religiously “married” when she was 13 years old. After the children were recovered and returned to their mother, the defendants and their co-conspirators tried to kidnap the children a second time in March 2019. Two co-conspirators, Nachman Helbrans and Mayer Rosner, were previously convicted of kidnapping and sexual exploitation charges in connection with this case after an October 2021 trial and have each been sentenced to 12 years in prison.
According to the allegations contained in the Superseding Indictment, other court filings, and the evidence presented at trial:
MORDECHAY MALKA and MATITYAU MALKA are U.S. citizens and members of Lev Tahor, an extremist Jewish sect that has been located in several different jurisdictions, including New York, Israel, Canada, Mexico, and Guatemala. In or about October 2018, the mother of Minor-1 and Minor-2 escaped from Lev Tahor’s compound in Guatemala and arrived in the United States in early November 2018. Also in November 2018, a Brooklyn family court granted her sole custody of the children and prohibited the children’s father, a leader within Lev Tahor, from communicating with the children.
After the mother fled and settled in New York with her children, MORDECHAY MALKA and other Lev Tahor members devised a plan to return Minor-1 and Minor-2 to the Lev Tahor community. Then, in December 2018, the kidnappers took the children in the middle of the night from a home in upstate New York and transported them through various states and, eventually, to Mexico. MORDECHAY MALKA and his co-conspirators used disguises, aliases, drop phones, fake travel documents, an encrypted application, and a secret pact to execute on their kidnapping plan. At the time of the kidnapping, Lev Tahor leadership was seeking asylum for the entire Lev Tahor community in the Islamic Republic of Iran.
Following a three-week search involving hundreds of local, federal, and international law enforcement officers, Minor-1 and Minor-2 were recovered in Mexico and returned to their mother in New York.
Then, in March 2019, members of Lev Tahor again tried to kidnap the children. The leader of Lev Tahor, Nachman Helbrans, attempted another kidnapping of the children while incarcerated in Westchester, New York. MATITYAU MALKA acted as the operative on the ground to execute the attempted kidnapping.
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MORDECHAY MALKA, 27, of Guatemala, and MATITAU MALKA, 30, of Guatemala, were convicted of one count of conspiring to commit international parental kidnapping, to unlawfully use a means of identification, and to enter by false pretenses the secure area of an airport, which carries a maximum sentence of five years in prison. MORDECHAY MALKA was also convicted of two counts of international parental kidnapping, which carries a maximum sentence of three years in prison for each count. MATITYAU MALKA was also convicted of one count of attempted international parental kidnapping, which carries a maximum sentence of three years in prison for each count.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Williams praised the outstanding work of the FBI, United States Customs and Border Protection, the Department of State, the Transportation Security Administration, the New York State Police, the Rockland County Sheriff’s Department, the Sullivan County District Attorney’s Office, the Village of Spring Valley Police Department, Special Agents with the U.S. Attorney’s Office for the Southern District of New York, and our law enforcement partners in Mexico, Guatemala, Canada, and Israel.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorneys Sam Adelsberg, Jamie Bagliebter, Jim Ligtenberg, and Daniel Tracer, and paralegal specialist Shannon Becker, are in charge of the prosecution.
Lawrence Man Pleads Guilty in Fentanyl Trafficking ConspiracyRead the Press Release
BOSTON – A Lawrence man pleaded guilty today in federal court in Boston to his role in a Lawrence-based fentanyl trafficking conspiracy.
Elvin Mendoza, 25, pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl. U.S. District Court Judge Patti B. Saris scheduled sentencing for Oct. 12, 2022.
In June 2021, Mendoza was indicted along with 13 others following an over two-year investigation into a drug trafficking organization (DTO) operating out of the Lawrence area. As a result of the investigation, Mendoza was identified as a drug trafficker who distributed fentanyl throughout Massachusetts and southern New Hampshire. In December 2020, approximately $74,000 cash and approximately four kilograms of fentanyl, among other evidence, were seized from members of the DTO in various locations in Billerica, Methuen, Lawrence and Ayden, N.C.
The charge of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl provides for a sentence of at least five years and up to life in prison, at least four years and up to a lifetime of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement. Valuable assistance was provided by Homeland Security Investigations in Boston and the Andover, Billerica, Haverhill, Lawrence, Lowell, Methuen, North Andover, Tewksbury, Wilmington and Salem (N.H.) Police Departments. Assistant U.S. Attorney Philip C. Cheng of Rollins’ Criminal Division is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Judge Orders Middle Georgia Family Rehab to Pay $9.6 Million in Damages for Submitting Hundreds of Fraudulent TRICARE/Medicaid ClaimsRead the Press Release
MACON, Ga. – The District Court for the Middle District of Georgia found in favor of the United States and the State of Georgia in a civil case involving the fraudulent billing of hundreds of TRICARE and Medicaid claims by a Macon health care facility, ordering the defendants to pay $9,617,679.22 in damages and penalties.
U.S. District Judge Tilman E. “Tripp” Self, III issued the judgment following an evidentiary hearing in U.S. v. Middle Georgia Family Rehab (MGFR) on Tuesday, May 24. The judgment was entered today.
“The ‘reckless disregard’ displayed by Middle Georgia Family Rehab in its billing should serve as a warning to other health facilities across Georgia—and the nation—that filing improper and false claims will come with hefty consequences,” said U.S. Attorney Peter D. Leary. “Middle Georgia Family Rehab reaped hundreds of thousands of dollars from taxpayers by improperly filing claims with agencies designated to provide physical therapy and speech therapy services to children and military families. A strong team effort from our Civil Division and its investigative partners resulted in a significant judgment against Middle Georgia Family Rehab which reinforces that our community’s most deserving patients are entitled to quality health care services.”
“Providers who undermine the integrity of the Department of Defense health care system for their own selfish gain must be held accountable,” said Special Agent in Charge Cynthia A. Bruce, DoD Office of Inspector General, Defense Criminal Investigative Service (DCIS), Southeast Field Office. “DCIS and our investigative partners will aggressively pursue those who divert funds intended for military families.”
“When Medicaid providers fraudulently divert funds for personal gain, not only does it undermine the needs of those who are most vulnerable, but the taxpayers of Georgia are harmed as well,” said Georgia Attorney General Chris Carr. “Middle Georgia Family Rehab was charged with providing trusted health services to our military families and children in-need, and it failed to fulfill its responsibilities by instead choosing to exploit the system. This type of deceptive behavior is entirely unacceptable, and those who abuse our publicly-funded health care programs will be held accountable.”
U.S. District Judge Self initially granted partial summary judgment in this False Claims Act case on Wednesday, April 20. According to court documents, in that decision, the Court determined that approximately 800 false claims for services were improperly billed to Medicaid and TRICARE by MGFR and MGFR owner Brenda Hicks. Those improper services were billed under the names of a physical therapist and a speech therapist who were no longer employed by MGFR and therefore could not possibly have provided the services in question.
In analyzing the question of whether MGFR knowingly submitted the false claims, the Court found that MGFR’s conduct “epitomizes ‘reckless disregard’ of the truth.” (ECF No. 52 at 30.) Specifically, the Court found that MGFR’s submission of almost 800 claims to Medicaid and TRICARE over an eight-month period following the resignation of one physical therapist and the submission of 41 claims following the resignation of a speech therapist could not be characterized as an “honest mistake.” (ECF No. 52 at 30.)
Assistant U.S. Attorneys Bowen Reichert Shoemaker and Taylor McNeill in the Civil Division are handling this case on behalf of the United States, with assistance from Senior Assistant Attorney General Rick Tangum, Assistant U.S. Attorney Todd Swanson, and Investigators Scott Jones and Shaketia Morgan, along with investigators from the Georgia Medicaid Fraud Control Division, U.S. Department of Defense, U.S. Department of Health and Human Services and the Department of Veterans Affairs.
Jesse Laslovich sworn in as U.S. Attorney for District of MontanaRead the Press Release
MISSOULA – U.S. District Judge Dana L. Christensen swore in Jesse Laslovich today as the United States Attorney for the District of Montana. President Biden nominated Laslovich on Jan. 31, and the U.S. Senate confirmed him on May 17.
U.S. Attorney Laslovich leads all federal criminal prosecutions and civil litigation in the District of Montana. The district has offices in Helena, Great Falls, Missoula, Butte and Billings.
“I am honored to serve as United States Attorney for the District of Montana,” U.S. Attorney Laslovich said. “As the chief federal law enforcement officer, I look forward to working with communities across Montana and with our federal, state, local and tribal partners to improve public safety, seek justice and uphold civil rights for everyone. I am excited to join the U.S. Attorney’s Office and to work with the outstanding attorneys and support staff who have devoted their careers to public service.”
Prior to becoming the U.S. Attorney, Laslovich served as regional vice president for the SCL Health Montana-Wyoming region since 2017. From 2009 to 2016, Laslovich was chief legal counsel in the office of the Montana Commissioner of Securities and Insurance, where he prosecuted securities fraud cases. During 2011 and 2012, Laslovich also served as a special assistant U.S. attorney on securities cases in the U.S. Attorney’s Office for the District of Montana. From 2007 to 2008, Laslovich was the lead consumer protection attorney in the Montana Attorney General’s Office, in the Montana Department of Justice. Laslovich began his legal career at Datsopoulos, MacDonald & Lind, P.C. in Missoula and also taught as an adjunct professor at the University of Montana School of Law for two semesters.
As one of the youngest Montanans ever elected to the Montana Legislature, Laslovich first served in the House of Representatives from 2001 through 2004 and then in the Senate from 2005 to 2010, representing Anaconda-Deer Lodge, Granite, and Powell counties.
Laslovich received his J.D. from the University of Montana School of Law in 2006 and his B.A., with high honors, from the University of Montana in 2003.
During his career, Laslovich has volunteered his time to non-profit organizations, including Aware, which serves people who have developmental and mental disabilities, and ExplorationWorks, which promotes the sciences to children, and he volunteers as a youth baseball and basketball coach. Laslovich also served on the professionalism committee for the State Bar of Montana.
U.S. Attorney Laslovich thanked former U.S. Attorney Leif M. Johnson, who has served as the interim U.S. Attorney since December 2020, for his leadership and dedicated service. Johnson joined the office in 1995 as a career prosecutor and previously served as First Assistant U.S. Attorney under U.S. Attorney Kurt G. Alme, who left the office in December 2020 with the change in administration.
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Indictment Unsealed Charging a Birmingham Lawyer with Child Exploitation OffensesRead the Press Release
BIRMINGHAM, Ala. – Today, a federal grand jury indictment was unsealed charging a Birmingham lawyer with child exploitation offenses, announced U.S. Attorney Prim F. Escalona and Federal Bureau of Investigation Special Agent in Charge Johnnie Sharp, Jr.
The two-count indictment filed in the U.S. District Court charges Chase Tristian Espy, 36, with attempted coercion and enticement of a minor and possession of child pornography arising out of events that occurred from March 2021 to August 2021.
The attempted coercion and enticement of a minor charge carries a statutory imprisonment range of ten years to life and a $250,000 fine. The maximum penalty for child pornography is 20 years in prison and a $250,000 fine.
Birmingham FBI’s Child Exploitation Human Trafficking Task Force (CEHTTF) investigated the case along with the Homewood Police Department and the Alabama Law Enforcement Agency (ALEA). Assistant U.S. Attorneys R. Leann White and Jonathan Cross are prosecuting the case.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Department of Justice in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Indian National Indicted for Immigration Documents Fraud and Aggravated Identity TheftRead the Press Release
CAMDEN, N.J. – An Indian national was indicted for immigration documents fraud and aggravated identity theft, U.S. Attorney Philip R. Sellinger announced today.
Rohit Kumar, 30, of West Bengal, India, is charged with six counts of submitting false and fraudulent immigration documents and six counts of committing aggravated identity theft.
According to documents filed in this case and statements made in court:
Kumar worked for several years in India for one of the largest information technology companies in the world. This IT company contracted with an electric utility company that was based in New Jersey and owned and operated nuclear power facilities at multiple locations, including in southern New Jersey. Under the contract, the IT company supplied services to the New Jersey company, including through the use of foreign national workers from India who worked in specialized occupations.
Kumar helped to arrange for Indian national workers to enter the United States under the H-1B visa program and then work at the New Jersey company. Some of these Indian national workers were stationed at a nuclear power plant in southern New Jersey, while other foreign workers were stationed at the company’s other locations in and around New Jersey.
On several occasions in 2017 and 2018, Kumar created and presented false and fraudulent documents to the United States Citizenship and Immigration Service in support of the H-1B visa applications of the Indian national workers. The documents purported to contain the authorized signature of a contracting manager at the New Jersey electric utility company, but the contracting manager never signed or authorized a signature on these documents.
Each count of immigration documents fraud is punishable by a sentence of up to 10 years in prison, as well as a maximum fine of $250,000. Each count of aggravated identity theft is punishable by sentence of two years in prison, which must be served consecutively to any other term imposed, as well as a maximum fine of $250,000.
U.S. Attorney Sellinger credited special agents of the Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina in Newark, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorneys Sara Aliabadi and Jason M. Richardson in Camden.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Illegal alien admits to reentry chargeRead the Press Release
WHEELING, WEST VIRGINIA – Maical Kvec, a Romanian National, has admitted to being in the United States illegally, United States Attorney William Ihlenfeld announced.
Kvec, 24, pleaded guilty today to one count of “Reentry of Removed Alien.” Kvec, after being removed from the Chicago in 2019 and convicted of a felony in 2017 in California and another charge in 2019 in Iowa, was found in February 2022 in Ohio County.
Kvec faces up to 10 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Jarod J. Douglas is prosecuting the case on behalf of the government. The U.S. Department of Homeland Security Immigration and Customs Enforcement and the West Virginia State Police investigated.
U.S. Magistrate Judge James P. Mazzone presided.
Houston Man Sentenced for Stealing $230,000 from Bank ATMsRead the Press Release
KANSAS CITY, Mo. – A Houston, Texas, man was sentenced in federal court today for stealing more than $230,000 from bank ATMs in Kansas City, Mo., and Allen Park, Michigan.
Deandre J. Gilliam, 20, was sentenced by U.S. District Judge Stephen R. Bough to three years and one month in federal prison without parole. The court also ordered Gilliam to pay $218,835 in restitution to JPMorgan Chase Bank, N.A.
On Jan. 6, Gilliam pleaded guilty to one count of aiding and abetting bank theft. He also pleaded guilty to one count of aiding and abetting the possession and concealment of money stolen from a bank, which was a case transferred from the Eastern District of Michigan.
Gilliam admitted that he and his co-conspirators broke into and stole $150,200 from the Chase Bank ATM located at 1614 E. 63rd Street in Kansas City, Mo., on March 6, 2020. Gilliam and his co-conspirators left Houston at about 5 p.m. on March 5, 2020, and traveled to Kansas City in three vehicles. Between midnight and 4:30 a.m. on March 6, 2020, they stole a Ford F-250 pick-up truck that was parked on the street in Fairway, Kansas, to use in their ATM theft. They used their cell phones to search for a suitable ATM.
At approximately 5:30 a.m. on March 6, 2020, four conspirators (wearing clothing that completely covered their faces and bodies) used tools to break into the ATM. The truck then backed up to the ATM and two chains were attached to the ATM. The truck then accelerated away from the ATM and forcibly pulled apart the ATM’s inner encasement. Conspirators removed canisters of cash from the ATM, got back into the truck, and drove away. While the conspirators in the truck broke into the ATM, others assisted by sitting in a nearby get-away vehicle and conducting counter-surveillance for police vehicles. Investigators later found the abandoned truck, with the tow chains still attached, near the Citadel Apartments.
Gilliam and his co-conspirators drove from Kansas City back to Houston. Law enforcement officers, who used a traffic camera to obtain the license plate number of the get-away vehicle, were able to track their return trip. Officers intercepted the vehicles on the outskirts of Houston and attempted to stop the vehicles. One of the vehicles pulled over immediately, but the other two vehicles fled from the officers and a high-speed chase ensued. One of the fleeing vehicles crashed and its occupants were arrested.
The occupants of the third vehicle, including Gilliam, eventually abandoned the vehicle and fled on foot. As he fled from the police, Gilliam picked up a red Spiderman backpack that had been dropped by one of his co-conspirators. Gilliam was still in possession of the backpack, which contained $72,385 stolen from the bank ATM, when he was arrested.
On June 2, 2021, Gilliam traveled from Houston to the Detroit, Mich., area. On June 3, 2021, Gilliam and his co-conspirators worked together to forcibly break into an ATM located outside the Chase Bank branch in Allen Park, Mich. Gilliam and his co-conspirators used a stolen Ford F250 pick-up truck, hooks, chains, and crowbars to break into the ATM and steal approximately $80,240.
Gilliam and his co-conspirators transported the stolen money to a rental house located about eight miles away, in Detroit. Later the same day, law enforcement officers executed a search warrant at that residence, where Gilliam and four co-conspirators were found. Officers found $71,238 in stolen money concealed in various places throughout the house. They also found the tools and clothing used to break into the ATM.
Two of Gilliams’s co-defendants have pleaded guilty and been sentenced, and two co-defendants have pleaded guilty and await sentencing.
This case is being prosecuted by Assistant U.S. Attorneys Brent Venneman and Leigh Farmakidis. It was investigated by the FBI, the Kansas City, Mo., Police Department, the Houston, Texas, Police Department, the Texas Department of Public Safety, the Montgomery County, Texas, Sheriff’s Department, the Montgomery County, Texas, Constable, the Detroit, Mich., Police Department and the Allen Park, Mich., Police Department.
Honesdale Man Indicted on Child Pornography ChargesRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Drew Lynn Jennings, age 35, of Honesdale, Pennsylvania, was indicted on May 31, 2022, by a federal grand jury on child pornography charges.
According to United States Attorney John C. Gurganus, the indictment alleges that Jennings attempted to distribute child pornography on June 5, June 22 and June 23, 2021, in Wayne County.
The case was investigated by the Federal Bureau of Investigation (FBI). Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The maximum penalty under federal law for this offense is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Guatemalan Man Sentenced to Prison for Illegally Reentering the United States After Being DeportedRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to one year in federal prison.
Juan Raymundo-Perez, age 34, a citizen of Guatemala illegally present in the United States and residing in Dubuque, Iowa, received the prison term after a guilty plea on February 28, 2022, to one count of illegal reentry into the United States after having been deported.
In a plea agreement, Raymundo-Perez admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. In June 2017, Raymundo-Perez was convicted in the Northern District of Iowa of using a fraudulent permanent resident card and a fraudulent Social Security card with numbers assigned to other people to illegally obtain employment in Dubuque. Illegal aliens are not authorized to work in the United States. Raymundo-Perez was deported to Guatemala by immigration officials in July 2017. He claimed to have illegally re-entered the United States through Texas in April 2021. On November 8, 2021, immigration officials learned Raymundo-Perez had illegally returned to the United States and found Raymundo-Perez at the Dubuque County Jail following his arrest on state charges. Further investigation by immigration officials showed that Raymundo-Perez again used a fraudulent permanent resident card and a fraudulent Social Security card with numbers assigned to other people to illegally obtain employment in Dubuque using an alias in April 2021.
Raymundo-Perez was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Raymundo-Perez was sentenced to imprisonment of 12 months and one day. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Raymundo-Perez is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-1035.
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Grand jury charges 2 New York men in $1 million, California-to-Cincinnati narcotics conspiracyRead the Press Release
CINCINNATI – A federal grand jury has charged two New York men in a narcotics conspiracy involving more than 66 pounds of cocaine and at least 10 pounds of heroin.
Maximo Pena Herrera, 40, and Joel Serrata Rosario, 27, were each charged with conspiring to possess with intent to distribute at least one kilogram of heroin and five kilograms or more of cocaine.
Rosario was charged with a second count of possessing with the intent to distribute cocaine.
According to court documents, on May 11, law enforcement conducted a traffic stop in El Reno, Oklahoma on a commercial truck driver traveling from California to Cincinnati. The DEA Dallas-Oklahoma District Office assisted agents from the Oklahoma Corporation Commission (OCC) and Oklahoma Bureau of Narcotics (OBN) on the traffic stop.
A drug-detecting canine alerted to an SUV being transported by the hauler truck. Law enforcement officials discovered 29 kilograms of cocaine and five kilograms of heroin in a hidden compartment within the SUV. The amount of narcotics seized has a street value of more than $1 million.
Court documents detail that law enforcement tracked the vehicle to the Cincinnati area where Herrera and Rosario allegedly picked up the vehicle and paid the commercial truck driver $1,900 in cash. It is alleged the defendants were instructed by an inmate in a New York jail to obtain the narcotics in Harrison, Ohio, and deliver them to a specific location in Cincinnati.
A subsequent search of Rosario’s Cincinnati hotel room led agents to discover an additional three kilograms of cocaine.
The narcotics conspiracy charged in this case carries a penalty of at least 10 years and up to life in prison. Possessing with intent to distribute cocaine, as charged against Rosario, is punishable by five to 40 years in prison.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Kent Kleinschmidt, Acting Special Agent in Charge, Drug Enforcement Administration (DEA); and other members of the DEA’s drug task force announced the charges. Assistant United States Attorney Kelly K. Rossi is representing the United States in this case.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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Grand Jury Indicts Former UC Davis Assistant Water Polo CoachRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a three-count indictment today against Daniel Joseph Noble, 26, of Davis, charging him with distribution of visual depictions of minors engaging in sexually explicit conduct, U.S. Attorney Phillip A. Talbert announced.
According to court documents, while working as the assistant water polo coach for UC Davis men’s team and the associated youth team, Noble joined a Kik group where users exchanged videos and images depicting the sexual abuse of children. On multiple dates in 2022, Noble sent the Kik group different videos showing children being sexually abused. Noble was arrested during the execution of a search warrant at his residence in Davis on May 19, 2022.
This case is the product of an investigation by the Federal Bureau of Investigation (in Jacksonville, FL and Sacramento, CA) and the Sacramento Internet Crimes Against Children task force. Assistant U.S. Attorney Christina McCall is prosecuting the case.
Noble has been released on a $100,000 bond, with special conditions including no-contact with minors and home confinement with electronic location monitoring.
If convicted, Noble faces a maximum statutory penalty of 20 years in prison, with a mandatory minimum of five years in prison, a $250,000 fine, and up to a lifetime of supervised release. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Gladstone Woman Pleads Guilty to Arson-for-Hire Attempt of KC BusinessRead the Press Release
KANSAS CITY, Mo. – A Gladstone, Mo., woman pleaded guilty in federal court today to attempting to hire an arsonist to destroy her commercial building in Kansas City, Mo., which contained several businesses.
Mia Lee Jamison, 70, pleaded guilty before U.S. Magistrate Judge Lajuana M. Counts to one count of soliciting a crime of violence – specifically, to maliciously destroy a building by arson – and one count of making a false statement to investigators of the Bureau of Alcohol, Tobacco, Firearms and Explosive.
By pleading guilty today, Jamison admitted that she met with an undercover agent with the Bureau of Alcohol, Tobacco, Firearms, and Explosives at her home on several occasions in April 2019 to discuss hiring him to commit arson. She offered to pay the undercover agent $150,000 to burn her commercial building, Mia Plaza, which is located near the corner of 39th Street and Bell Avenue in Kansas City. Three businesses operated at that location at that time – 39th World of Spirits (a liquor and grocery store), Bob Wasabi Kitchen (a sushi bar), and Sahara Sheesha Lounge (a hookah lounge).
Jamison told the undercover agent that she was going to be losing ownership of the building due to a civil lawsuit, and wanted the building burned before April 29, 2019. She told the agent she had a $1.5 million insurance policy on the building (it was actually $2 million). She agreed to pay him $150,000 and gave him a deposit of $3,500. Jamison wanted the fire to look like an accident, and the undercover agent agreed to set the fire between 3 a.m. and 5 a.m. to limit the risk to the tenants.
On April 28, 2019, Jamison met with the undercover agent for the last time. She told the undercover agent she had removed the video surveillance cameras at the building in preparation for the fire and wanted the building to be burned that night. Investigators recorded all the meetings between Jamison and the undercover agent by either audio or video recording equipment, or both.
At approximately 4 a.m. the next morning, federal investigators contacted Jamison at her residence. Investigators asked whether she burned down the building in question or whether she asked someone to burn the building down. On multiple occasions she denied requesting or hiring someone to destroy the building by fire.
Following the interview, they told Jamison her building had not actually been damaged by a fire but was still standing and placed her under arrest.
Under federal statutes, Jamison is subject to a sentence of up to 15 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Trey Alford and Patrick D. Daly. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.