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8 October 2024
Former CDCR Correctional Officer Pleads Guilty to Conspiracy to Distribute Cocaine in StocktonRead the Press Release
SACRAMENTO, Calif. — Fidel Andrade, 36, of Stockton, pleaded guilty today to conspiring to possess and distribute cocaine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between January and October 2020, Andrade, who then worked as a correctional officer, supplied cocaine to his co-defendant Neftali Castillo Montes. Montes then sold over 9 ounces of cocaine to an FBI confidential source. On March 3, 2021, officers discovered an additional ounce of cocaine during a search warrant executed at Andrade’s house.
Andrade is scheduled to be sentenced on Jan. 14, 2025, by U.S. District Judge Kimberly J. Mueller. Montes pleaded guilty for his role in this conspiracy on July 15, 2024, and is scheduled to be sentenced on Jan. 28, 2025. Both defendants face a maximum statutory penalty of 20 years on prison for their roles in this conspiracy. Montes is separately charged in another indictment involving a methamphetamine trafficking conspiracy. The actual sentences, however, will 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.
This case is the product of an investigation by the California Department of Corrections and Rehabilitation, the U.S. Customs and Borders Protection, the Drug Enforcement Administration, Homeland Security Investigations, the Federal Bureau of Investigation, and the Tracy Police Department. Assistant U.S. Attorney Adrian T. Kinsella is prosecuting the case.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about Organized Crime Drug Enforcement Task Forces, please visit Justice.gov/OCDETF.
Former Bank Loan Officer Sentenced for Defrauding Federal Credit UnionRead the Press Release
BOSTON – A Boston woman was sentenced on Oct. 4, 2024 for conspiring to defraud the federal credit union where she worked as a loan officer by obtaining loans in the names of inmates at a Massachusetts prison where a co-conspirator was incarcerated.
Nadaje Hendrix, 27, of Brighton, was sentenced by U.S. District Judge Julia E. Kobick to eight months in prison to be followed by three years’ supervised release. Hendrix was also ordered to pay restitution in the amount of $134,000. In July 2024, Hendrix pleaded guilty to one count of conspiracy to commit bank fraud. In January 2024, Hendrix was indicted by a federal grand jury along with alleged co-conspirator Glenroy Miller
Between December 2019 and August 2021, Hendrix and, allegedly, Miller agreed to defraud the credit union where Hendrix worked as a loan officer and assistant branch manager, by obtaining loans in the names of other individuals, including inmates at a Massachusetts prison where Miller was incarcerated. While in prison, Miller allegedly gave Hendrix information about fellow inmates for Hendrix to use in creating fraudulent loan applications, and then arranged to have other co-conspirators go into the credit union to pretend to be the inmates, sign loan forms and obtain loans from the credit union through Hendrix. The scheme also involved obtaining loans in the names of individuals whose identities were stolen. In total, Hendrix and, allegedly, Miller stole about $134,000 from the credit union in about two months in 2021.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant U.S. Attorney Kriss Basil of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
The details contained in the charging document are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Family members sent to prison for sex trafficking women in cantina backroomRead the Press Release
HOUSTON – A Mexican national illegally residing in Houston and a relative have been sentenced following their convictions of several sex trafficking crimes, announced U.S. Attorney Alamdar S. Hamdani.
Maria Botello-Morales, 57, and her son Edgar Adrian Botello, 31, Houston, pleaded guilty in 2023.
U.S. District Judge Andrew S. Hanen has now imposed a 280-month-term of imprisonment for Botello-Morales, while Botello received a total of 180 months. Restitution will be determined at a later date. Not a U.S. citizen, Botello-Morales is expected to face removal proceedings following her imprisonment, while Botello will serve 15 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Both will also be ordered to register as sex offenders.
“Cantina cases shine a light on a unique form of trafficking where mostly undocumented women are sexually exploited for the financial benefit of the traffickers,” said Hamdani. “These individuals stole the American dream from the victims. This form of trafficking takes advantage of the fear these victims live in and we are grateful for the hard work of the Texas Alcohol and Beverage Commission (TABC) and Homeland Security Investigations (HSI) in bringing them justice.”
“TABC is proud to work with the Office of the U.S. Attorney and our other partners in the effort to end human trafficking in Texas,” said TABC Chairman Kevin J. Lilly. “We join our fellow Texans in denouncing this heinous crime and reaffirming our pledge to help free the victims of human trafficking.”
At the time of the pleas, Botello-Morales admitted to sex trafficking with force, fraud or coercion and conspiracy to do so as well as sex trafficking of a minor. Botello pleaded guilty to conspiracy to commit sex trafficking with force, fraud or coercion, two counts of sex trafficking of adults as well as possession of child pornography.
In 2007, Botello-Morales recruited a minor female from Mexico. She caused the minor to engage in commercial sex and took payment directly from the commercial sex buyers.
Botello-Morales ran Puerto Algre with Botello and others from 2015 to 2020. Puerto Algre was a cantina where numerous females were forced to engage in commercial sex in backrooms built specifically for that purpose. Botello-Morales, Botello and others threatened and intimidated these victims with violence to manipulate them into engaging in commercial sex for their own financial benefits.
The victims reported they started at the bar as waitresses. However, Botello-Morales soon told them they had to engage in commercial sex. If they refused, she threatened them with violence.
Some witnessed violence and weapons at the bar and in the back area where the sex acts occurred. Each described how they had to take customers to the backrooms through a door and hidden from view of the bar. They were given a condom wrapped in a paper towel, were to spend no more than 15 minutes in the room and charge approximately $70. On the way out, they had to turn the money over to whoever was guarding the room.
During the investigation, one victim also explained when she refused to come to work, Botello-Morales sent someone to physically assault her.
The victims explained that Botello, who regularly carried a weapon, was the enforcer. He would also pass out the condoms and collect the money. During the execution of a search warrant at the home Botello-Morales and Botello shared, law enforcement found several loaded firearms in his room along with a computer containing child pornography.
Another co-conspirator, Esteban Toribio, 65, Houston, pleaded guilty June 17 and held the liquor license for the bar. Toribio reported the conduct to authorities in an attempt to help him gain control of the cantina. Also convicted in relation to the conspiracy was Arian Botello, 26, the nephew of Botello-Morales.
Both will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
TABC and HSI conducted the investigation with the assistance of the Houston Police Department (HPD) as part of the Human Trafficking Rescue Alliance (HTRA). Assistant U.S. Attorney Sherri L. Zack prosecuted the case.
HTRA law enforcement includes members of the HPD; FBI; HSI; Texas Attorney General’s Office; IRS-Criminal Investigation; Department of Labor (DOL); DOL – Wage and Hour Division; Department of State; Federal Air Marshals; TABC; Texas Department of Public Safety; Texas Rangers; Texas Parks and Wildlife; Social Security Administration – OIG; Texas Department of Licensing and Regulation; Texas Department of Family and Protective Services as well as police departments in Houston Independent School District (ISD), Conroe ISD and Missouri City; Harris County constables offices – Precincts one and four; sheriff’s offices in Harris, Montgomery, Fort Bend, Brazoria and Waller counties in coordination with District Attorney’s offices in Harris, Montgomery, Fort Bend and Galveston counties. They work in coordination with victim service providers such as YMCA, United Against Human Trafficking and Texas Forensic Nurse Examiners.
Established in 2004, the United States Attorney’s office in Houston formed HTRA to combine resources with federal, state and local enforcement agencies and prosecutors, as well as non-governmental service organizations to target human traffickers while providing necessary services to those that the traffickers victimized. Since its inception, HTRA has been recognized as both a national and international model in identifying and assisting victims of human trafficking and prosecuting those engaged in trafficking offenses.
Essex County Man Sentenced to 10 Years in Prison for Unlawful Possession of Ammunition by a Convicted FelonRead the Press Release
NEWARK, N.J. – An Essex County man was sentenced today to 120 months in prison for being a felon in possession of ammunition, Attorney Philip R. Sellinger announced today.
Lamar McCullough, 30, of Essex County, was convicted by a federal jury on June 7, 2024, of unlawful possession of ammunition by a convicted felon following a trial before U.S. District Judge Katherine Hayden, who imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
On March 5, 2021, members of the Newark Police Department responded to a report of a shooting victim at University Hospital. Surveillance video recorded at 7:22 p.m. showed McCullough shoot a victim four times at close range in the middle of Isabella Avenue in Newark. Four 9-millimeter shell casings were recovered from the area where McCullough discharged the firearm.
In addition to the prison term, Judge Hayden sentenced McCullough to three years of supervised release.
U.S. Attorney Philip R. Sellinger credited Newark Police Department, under the direction of Public Safety Director Fritz Fragé, the Essex County Prosecutor’s Office, under the direction of Prosecutor Theodore N. Stephens II, and special agents of the FBI, under the direction of Acting Special Agent in Charge Nelson I. Delgado in Newark, with the investigation.
The investigation was conducted as part of the Newark Violent Crime Initiative (VCI). The Newark VCI was formed in August 2017 by the U.S. Attorney’s Office for the District of New Jersey, the Essex County Prosecutor’s Office, and the City of Newark’s Department of Public Safety for the purpose of combatting violent crime in and around Newark. As part of this partnership, federal, state, county, and city agencies collaborate and pool resources to prosecute violent offenders who endanger the safety of the community. The VCI is composed of the U.S. Attorney’s Office, the FBI, the ATF, the DEA New Jersey Division, the U.S. Marshals, the Department of Homeland Security – Homeland Security Investigations, the Newark Department of Public Safety, the Essex County Prosecutor’s Office, the Essex County Sheriff’s Office, New Jersey State Parole, Union County Jail, New Jersey State Police Regional Operations and Intelligence Center/Real Time Crime Center, New Jersey Department of Corrections, the East Orange Police Department, and the Irvington Police Department.
The government is represented by Assistant U.S. Attorneys Jessica Ecker of the Healthcare Fraud Unit and Katherine Calle of the Special Prosecutions Division.
Dual U.S. and Iranian Citizen Arrested for Unlawful Scheme to Violate and Evade U.S. Sanctions Against IranRead the Press Release
Kambiz Eghbali, also known as Cameron Eghbali, 50, of Los Angeles, was arrested yesterday pursuant to a now-unsealed indictment charging him, along with Hamid Hajipour and Babak Bahizad, both Iranian nationals, with violations of the International Emergency Economic Powers Act, conspiracy to commit bank fraud, and conspiracy to commit money laundering. Bahizad and Hajipour remain at large.
According to the indictment, from March 2014 through September 2019, Eghbali and others conspired to unlawfully send digital and physical gift cards loaded with U.S. dollars to Iran. Eghbali would list his company, a U.S.-based purported videogame wholesaler and distributor located in the Central District of California, as the seller of the gift cards, and would provide cards to Bahizad for the benefit of his Iran-based gaming company, and to Hajipour for the benefit of his mobile software application service company. Bahizad and Hajipour would then pay Eghbali for the cards by transferring money from Iran to Eghabli’s U.S.-based bank accounts using third parties in other countries to conceal the transfer from U.S. regulators.
The International Emergency Economic Powers Act (IEEPA) and the Iranian Transactions and Sanctions Regulations (ITSR) impose controls and restrictions on transactions involving Iran based on the threats posed by Iran to the national security of the United States including, among others, its pursuit of nuclear weapons and sponsorship of terrorism. The IEEPA and ITSR, among other things, prohibit the export, reexport, sale, or supply, directly or indirectly, from the United States or by a United States person, wherever located, of any goods, technology, or services, including financial services, to Iran or the Government of Iran without first obtaining authorization from the U.S. Treasury Department’s Office of Foreign Assets Control.
If convicted, the defendants face the following maximum penalties: 20 years in prison for violations of IEEPA, 30 years in prison for bank fraud violations, and 20 years in prison for money laundering violations. The indictment also notifies defendants that the United States intends to forfeit all property alleged to be traceable to proceeds of the offense. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Martin E. Estrada for the Central District of California, and Executive Assistant Director Robert Wells of the FBI’s National Security Branch made the announcement.
The FBI is investigating the case, with support from Homeland Security Investigations.
Assistant U.S. Attorneys Anna Boylan and Mark Takla for the Central District of California and Trial Attorneys David J. Ryan and Leslie Esbrook of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Department of Justice Awards City of Atlanta with Grant to Fight Violent CrimeRead the Press Release
ATLANTA – The Department of Justice announced it has awarded nearly $700,000 to the City of Atlanta in support of the Atlanta Police Department’s (APD) initiative to establish an Atlanta Crime Gun Intelligence Center to address violent crime.
“Reducing violent crime is a top priority for the Department of Justice, our office, and our local, state, and federal law enforcement partners,” said U.S. Attorney Ryan K. Buchanan. “Gun violence in particular remains a pervasive threat to our communities. This grant to the City of Atlanta will strengthen our ongoing collaborative efforts with the Atlanta Police Department and reflects the long-standing and successful partnerships our offices have forged to reduce and prevent violent crime.”
“The creation of the Atlanta Crime Gun Intelligence Center will significantly enhance our ability to combat gun violence in the metro-Atlanta area,” said Assistant Special Agent in Charge Alicia D. Jones, ATF. “This collaboration will bring advanced forensic tools and innovative strategies to the forefront of our efforts, allowing us to swiftly identify and apprehend violent offenders.”
“We are profoundly grateful for the grant that will establish the Atlanta Crime Gun Intelligence Center. This initiative will equip the Atlanta Police Department with advanced technology and critical resources to combat gun violence, disrupt drug trafficking, and dismantle gang activity,” said Atlanta Police Chief Darin Schierbaum more effectively. “Through innovation and strategic partnerships, we are committed to enhancing the safety and security of our communities.”
This grant awards $699,539 in funding to support APD’s initiative to establish an Atlanta Crime Gun Intelligence Center (ACGIC) to better respond to gun violence in the metro-Atlanta area. Specifically, this initiative enables the creation of a standalone ACGIC forensic ballistic lab for prioritized and swift processing of ballistic evidence in gang and repeat offender involved cases and expands the use of National Integrated Ballistic Information Network (NIBIN) technology by other law enforcement jurisdictions in conjunction with APD’s program. APD will also partner with Georgia State University to develop, implement, and monitor agreed upon performance measures and conduct process and outcome evaluations of ACGIC efforts.
This award is the first in the state of Georgia and is made through the Local Law Enforcement Crime Gun Intelligence Center Integration (CGIC) Initiative, which is administered by Bureau of Justice Assistance in partnership with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The grant provides funding to state and local government organizations to equip them with the resources needed to reduce violent crime and the illegal use of firearms within their jurisdictions by enabling them to integrate with their local ATF Crime Gun Intelligence Centers (CGICs).
This award is also made as part of the regular end-of-fiscal year cycle. More information about these and other OJP awards can be found on the OJP Grant Awards Page.
The Office of Justice Programs provides federal leadership, grants, training, technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime; advance equity and fairness in the administration of justice; assist victims; and uphold the rule of law. More information about OJP and its program offices – the Bureau of Justice Assistance, Bureau of Justice Statistics, National Institute of Justice, Office of Juvenile Justice and Delinquency Prevention, Office for Victims of Crime, and SMART Office – can be found at www.ojp.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Departamento de Justicia demanda a LA Fitness por la Discriminación por Discapacidad en sus Gimnasios y Clubes de Aptitud FísicaRead the Press Release
El Departamento de Justicia hoy entabló un pleito contra Fitness International LLC, también conocido como LA Fitness, por discriminación contra las personas con discapacidades en sus gimnasios y clubes de aptitud física. LA Fitness es la cadena más grande de gimnasios y clubes de aptitud física de propiedad única en los Estado Unidos, con más de 700 ubicaciones por todo el país.
La demanda, que se entabló hoy en el Tribunal de Distrito de los Estados Unidos para el Distrito Central de California, alega que LA Fitness violó la Ley para Estadounidenses con Discapacidades (ADA, por sus siglas en inglés), que prohíbe que los alojamientos públicos, incluyendo los gimnasios y los clubes de aptitud física, discriminen contra las personas con discapacidades. La ADA requiere que LA Fitness provee a personas con discapacidades acceso igualitario a sus servicios y facilidades, remueve barreras arquitecturales para hacer que sus facilidades son accesibles para las personas con discapacidades y mantiene características accesibles. La ADA también prohíbe que LA Fitness cobre a las personas con discapacidades honorarios adicionales.
Sin embargo, como alega la demanda del departamento, los gimnasios y clubes de aptitud física tienen muchas barreras que previenen que los miembros de LA Fitness con discapacidades accedan a los clubes o que usan las piscinas o equipamiento de aptitud física de los clubes. Las barreras comunes incluyen los elevadores para piscinas rotos y ascensores rotos. A veces, estos problemas han dejado a las personas con discapacidades incapaz de entrar en los clubes o las piscinas en absoluto. Otras veces, las personas con discapacidades se han quedado atascadas y colgantes sobre el agua en elevadores para piscina rotos. Estas personas han sido obligadas de pedir asistencia de los empleados de LA Fitness para entrar o salir de las piscinas o de salir de la piscina arrastrándose. Aún después de que los miembros con discapacidades quejaron sobre estos problemas, LA Fitness no los arregló por largas duraciones.
“El acceso a actividad de aptitud física es esencial para promover la salud y el bienestar de todos Estadounidenses, incluyendo aquellos con discapacidades,” comentó la Fiscal General Auxiliar Kristen Clarke de la División de Derechos Civiles del Departamento de Justicia. “Por más de 30 años, la ADA ha prohibido que los gimnasios y clubes de aptitud física como LA Fitness nieguen a los clientes con discapacidades la oportunidad de usar y disfrutar de facilidades disfrutadas por los clientes sin discapacidades. A través de esta demanda, el Departamento de Justicia busca eliminar las barreras discriminatorias de LA Fitness y asegurar que las personas con discapacidades tienen acceso igualitario para participar enteramente en sus gimnasios y clubes de aptitud física locales de LA Fitness.”
“Asegurar la accesibilidad es clave para salvaguardar los derechos civiles para todos Estadounidenses,” comentó el Fiscal de Los Estados Unidos Martin Estrada para el Distrito Central de California. “Nuestra oficina se dedica a asegurar que las personas con discapacidades tengan acceso a los alojamientos públicos a través de enforzar las protecciones ofrecidas por la Ley para los Estadounidenses con Discapacidades. Cuando apoyamos a las personas con discapacidades, nuestra comunidad entera se beneficia.”
A través de la demanda, el departamento pide al corte detener que LA Fitness discrimine contra las personas con discapacidades, incluyendo a través de requerir que LA Fitness hagan sus facilidades y equipamiento accesibles. El departamento también busca daños monetarios para las personas con discapacidades que resultaron heridas por la discriminación de LA Fitness. Esto incluye las personas que resultaron heridas directamente por las barreras de acceso y equipamiento roto de LA Fitness, además para las personas que necesitan ayuda para usar los clubes de LA Fitness y que han sido cobrados por honorarios adicionales para tener un amigo, enfermero o asistente personal ayudarlos usar las facilidades de LA Fitness.
Si usted o alguien que conoce experimentó problemas por acceder a un gimnasio o club de aptitud física de LA Fitness por razón de discapacidad, incluyendo debido a un elevador de piscina o ascensor roto, o si se le cobró un honorario adicional para tener a alguien ayudarle con acceder al equipamiento de LA Fitness, por favor llame a la línea gratuita 1-888-392-5417 o mande un correo electrónico a Claims.LAFitness@usdoj.gov. Para conocer más sobre la ADA, por favor llame a La Línea de Información de la ADA gratuita a 1-800-514-0301 (TDD 800-514-0383) o visite www.ada.gov. Para conocer más sobre la División de Derechos Civiles, por favor visite www.justice.gov/crt.
Deland Firearms Trafficking Ring Charged with Violating Federal Firearm LawsRead the Press Release
Orlando, FL – United States Attorney Roger B. Handberg announces the charging of six defendants with violations of federal firearms laws as listed below:
Name, Age,
City of Residence
Charges
Maximum Penalties
Number of Firearms Involved
Angel Velazquez Delgado
34, Deland
- Firearms Trafficking
- Straw Purchasing
Jesus Hernandez
32, Deland
- Conspiracy
- Firearms Trafficking
- Straw Purchasing
- Making False Statement on Firearm Transaction Record
Edgar Jimenez
30, Deland
- Straw Purchasing
Jesus Paulino
27, Deland
- Straw Purchasing
Jonathan Borja
23, Deland
- Straw Purchasing
Jesus Andres
28, Deland
- Making a False Statement on Firearm Transaction Record
According to charging documents and other records filed in court, in May 2023, investigators with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began investigating a firearms trafficking organization operating in the Middle District of Florida. The organization was comprised of at least six individuals and led by Angel Velazquez Delgado. These individuals purchased high-caliber firearms in the United States for resale to Mexican drug cartels. These cartels were and are criminal organizations engaged in the trafficking of controlled substances into the United States.
The firearms trafficked by the defendants included high-caliber, armor-piercing and anti-material weapons. For example, approximately 11 of the firearms trafficked by this organization were Barrett .50 caliber rifles, which can expel a very accurate, heavy, and fast-moving projectile that defeats all individually worn body armor, can penetrate and disable vehicles, aircraft, boats, and can also defeat some types of protection provided by armored vehicles. The organization also trafficked approximately 16 FN M249S rifles, which are sold in the United States as a semi-automatic weapon but are easily converted into a machinegun.
(photographs located in cellphone communications amongst defendants)
It is alleged that the firearms were purchased at the request of the cartels and transported to the cartels soon after purchase. None of the defendants possess a license to sell firearms. The defendants were paid in cash, illegal narcotics, or the profits of illegal narcotics sales, to purchase each of the firearms. All firearms were purchased in Florida or Georgia and transported to Mexico.
Using the eTrace Firearm Recovery Notification Program, Mexican authorities were able to confirm the presence of at least one of the trafficked firearms in Mexico. On March 22, 2023, Mexican State Police and Mexican Military Personnel were involved in a shooting with suspected cartel members in Michoacan, Mexico. Two individuals were killed during the exchange of gunfire. After the shooting, a Barrett .50 caliber rifle purchased by Jesus Hernandez on November 8, 2022, was recovered.
At some point during its operation, the trafficking organization began removing the serial numbers from the firearms to avoid tracing by law enforcement.
An indictment or information is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until proven guilty.
“The investigation and prosecution of violent crime continues to be one of the top priorities of my District,” said U.S. Attorney Handberg. “These defendants are alleged to have trafficked high-caliber, military-grade weapons into the hands of dangerous Mexican cartel members. Our law enforcement partners worked efficiently and effectively to hold the defendants accountable for their crimes and to stop them from continuing to jeopardize public safety.”
This case was prosecuted under the new criminal provisions of the Bipartisan Safer Communities Act, which Congress enacted and the President signed in June 2022. The Act is the first federal statute specifically designed to target the unlawful trafficking and straw-purchasing of firearms.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Customs and Border Patrol, the Volusia Bureau of Investigations and the Deland Police Department. It will be prosecuted by Assistant United States Attorneys Rachel Lyons and Noah Dorman.
Corona Man Sentenced to 6 Years in Prison for Filing False Tax Returns for Clients and Causing at Least $28 Million Loss to IRSRead the Press Release
RIVERSIDE, California – A Riverside County man has been sentenced to 72 months in federal prison for preparing and filing false tax returns for his clients, a decade-long scheme that caused a tax loss to the IRS of at least $28 million, the Justice Department announced today.
Salvador Gonzalez, of Corona, was sentenced on Monday by United States District Judge Jesus G. Bernal, who also ordered him to pay $403,908 in restitution.
Gonzalez pleaded guilty on June 17 to three counts of aiding and assisting in the preparation of false tax returns.
Starting in 2013, Gonzalez operated Grace’s Lighthouse Resource Center, Inc., a Corona-based tax return-preparation business. During that time, on thousands of returns he prepared for clients, Gonzalez consistently directed his clients to create a phony corporation and to title their homes, cars, and other assets in the name of that corporation. Gonzalez then referred those clients to an associate to prepare these sham corporation’s tax returns. The associate would provide the clients with a blank spreadsheet and request that they input their business expenses into that spreadsheet.
At Gonzalez’s direction, the clients would include personal expenses such as their mortgage payments, car payments, and utility bills, and then provide the spreadsheet to the associate. The associate would, in turn, use the spreadsheet to prepare the business tax returns, which inevitably would show a loss. These fabricated losses flowed through to the clients’ individual income tax returns, and fraudulently reduced the amount of individual income taxes they paid.
Gonzalez then prepared the clients’ individual income tax returns, which incorporated the fraudulent business losses and offset their income. To further reduce the clients’ taxes owed to the IRS, Gonzalez also fabricated deductions on the personal returns such as unreimbursed employee expenses, cash contributions to charity, and medical and dental expenses. As a result of Gonzalez’s fraudulent return-preparation practices, his clients paid less taxes than they owed.
Gonzalez profited from his return-preparation business. Before 2019, he typically charged clients a flat fee of $500 per tax return. In 2019, he started charging clients 1% of their gross income as a fee for his services.
In total, Gonzalez caused a tax loss to the IRS of at least $28 million, according to court documents.
Consistent with the plea agreement, the U.S. Attorney’s Office – Tax Section, filed a civil complaint in U.S. District Court for the Central District of California, against Gonzalez. The complaint seeks to permanently enjoin Gonzalez from preparing, assisting in, directing, or supervising the preparation or filing of federal tax returns, amended tax returns, or other related documents or forms for others. The civil complaint alleges that over a period of years, Gonzalez has prepared tax returns that understate the federal income-tax liability of his customers using a scheme which has harmed the United States, the IRS, his customers, and the public.
Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS also offers tips to recognize tax scams and fraud.
In the past decade, the Justice Department has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the U.S. Attorney’s Office’s website and the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page.
IRS Criminal Investigation investigated this matter.
Assistant United States Attorney Eli A. Alcaraz of the Public Corruption and Civil Rights Section and Trial Attorney Lauren K. Pope of the Justice Department’s Tax Division prosecuted this case.
Convicted Felon Pleads Guilty to Unlawful Gun PossessionRead the Press Release
BIRMINGHAM, Ala. – A convicted felon pleaded guilty to illegally possessing firearms, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge Marcus Watson.
Devon Rashard Boatman, 34, of Hoover, pleaded guilty before U.S. District Court Judge Madeline H. Haikala to being a felon in possession of a firearm.
According to court records, on April 21, 2023, Birmingham Police officers responded to a domestic violence dispute between Boatman and a victim at the victim’s home. Boatman became angry and began to tussle with the victim. Boatman broke two of the victim’s televisions and slashed one of the tires on her vehicle before leaving the victim’s home on foot. Officers located Boatman a short time later. Boatman was walking when officers located him, but he immediately ran from the officers once he saw them. Officers chased Boatman and saw him throw a Glock 9mm pistol on the ground before they apprehended him. Officers recovered three firearms that Boatman was concealing on his body: a Taurus 9mm pistol, a Smith and Wesson .40 caliber pistol, and a Taurus G3c 9mm pistol. Officers also recovered a fourth firearm, which was the Glock 9mm pistol that Boatman threw on the ground while fleeing from officers. Two of the four firearms had been reported stolen. The Glock 9mm pistol had been stolen in Jefferson County, Alabama, and the Taurus G3c 9mm pistol had been stolen in Birmingham, Alabama.
The maximum penalty for being a felon in possession of a firearm is 15 years in prison.
ATF investigated the case, along with the Birmingham Police Department. Assistant United States Attorney Brittney Plyler is prosecuting the case.
Cocoa Man Sentenced to 14 Years for Possessing Firearms and Ammunition as A Convicted FelonRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced Dana Hunter Calley (54, Cocoa) to 14 years in federal prison for possessing a firearm or ammunition as a convicted felon and possessing unregistered silencers. Calley was found guilty by a federal jury on June 10, 2024.
According to evidence presented at trial, on September 20, 2023, law enforcement executed a search warrant at Calley’s residence and seized four firearms, three silencers, and thousands of rounds of ammunition. On April 5, 2024, law enforcement executed a second search warrant at Calley’s residence and seized six silencers in various stages of production. At the time of the offenses, Calley was a convicted felon and therefore prohibited from possessing a firearm under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Brevard County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Diane Hu and Special Assistant United States Attorney Matthew Del Mastro.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Canadian national who used false names to illegally buy firearms in Montana for transportation back to Canada sentenced to 18 months in prisonRead the Press Release
MISSOULA — A Canadian national was sentenced today to 18 months in prison and fined $10,000 for using fake names to buy firearms in several Montana cities to take back to Canada to sell, U.S. Attorney Jesse Laslovich said.
The defendant, Haptei John Kozak, 27, of Kelowna, British Columbia, Canada, pleaded guilty in May to four counts of false statements during firearms transactions.
U.S. District Judge Donald W. Molloy presided. The court also imposed three years of supervised release and ordered the forfeiture of 12 firearms.
“Black market firearms smugglers like Kozak contribute to the epidemic of gun violence nationally and internationally because these weapons often end up in the hands of criminals. As this case shows, we will work aggressively with our national and international law enforcement partners to hold accountable those who attempt to traffic firearms across our border,” U.S. Attorney Laslovich said.
"Gun crime has no boundaries, making our efforts to uncover and dismantle illegal firearms trafficking channels crucial," said ATF Special Agent in Charge Brent Beavers. "Traffickers who move firearms from lawful commerce into the hands of violent offenders are directly contributing to the cycle of violence at our borders and beyond. We are grateful for the hard work from our partners at the US Customs and Border Patrol, Homeland Security Investigations, Royal Canadian Mounted Police, and the US Attorney’s Office District of Montana for their partnership in this investigation and mutual pursuit of justice.”
"Today, justice has been served. The courts have delivered a firm and unwavering message to those who seek to profit from violence and chaos,” said HSI acting Special Agent in Charge Tim Lenzen. “Let this be a clear warning: we will not tolerate those who fuel crime through the black market. We will find you, you will be prosecuted, and justice will prevail."
The government alleged in court documents that an investigation by the ATF determined that Kozak, aka Tyler John Cossack, had purchased 12 pistols, mostly 9mm pistols, in four multiple-sale purchases from Sept. 9, 2023 through Oct. 16, 2023 in Montana. Kozak is a Canadian citizen with a Canadian passport. The investigation found that Kozak used the name Tyler John Cossack to purchase the firearms and used a falsified Montana’s driver’s license with a false date of birth, a false Missoula address and a false driver’s license number. Kozak provided false information to buy guns in Kalispell, Butte, Helena and Missoula, purchasing 12 firearms in 45 days. Kozak was arrested in March 2024 and had firearms that he recently purchased in his pickup truck. A review of his text messages and other evidence indicted that Kozak was purchasing the firearms in the United States and then transporting them back to Canada to sell.
The U.S. Attorney’s Office prosecuted the case. The ATF, Homeland Security Investigations and the Royal Canadian Mounted Police conducted the investigation.
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California Tax Preparer Sentenced for Preparing False ReturnsRead the Press Release
A California man was sentenced yesterday to six years in prison for preparing false tax returns for clients.
According to court documents and statements made in court, Salvador Gonzalez, of Corona, operated for more than a decade Grace’s Lighthouse Resource Center Inc., a return-preparation business.
During that time, on thousands of returns he prepared for clients, Gonzalez consistently claimed false deductions like charitable donations and medical expenses, which reduced the amount of income taxes his clients paid. Gonzalez also directed his clients to create sham corporations and fraudulently deduct personal expenses — such as their mortgage, car and utility payments — as business expenses on the tax returns filed for these phony corporations. These fabricated losses flowed through to the clients’ individual income tax returns, thereby fraudulently reducing the amount of individual income taxes they paid.
In total, Gonzalez caused a tax loss to the IRS of at least $28 million.
In addition to his prison sentence, the court ordered Gonzalez to serve one year of supervised release and to pay $403,908 in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Martin Estrada for the Central District of California made the announcement.
IRS Criminal Investigation investigated the case.
Trial Attorney Lauren K. Pope of the Justice Department’s Tax Division and Assistant U.S. Attorney Eli A. Alcaraz for the Central District of California prosecuted the case.
Consistent with the plea agreement, the U.S. Attorney’s Office’s Tax Section filed a civil complaint against Gonzalez in U.S. District Court for the Central District of California. The complaint seeks to permanently enjoin Gonzalez from preparing, assisting in, directing or supervising the preparation or filing of federal tax returns, amended tax returns or other related documents or forms for others. The civil complaint alleges that over a period of years, Gonzalez prepared tax returns that understate the federal income-tax liability of his customers using a scheme which has harmed the United States, the IRS, his customers and the public. Yesterday, Gonzalez consented to the entry of the civil judgment and permanent injunction.
Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS also offers tips to recognize tax scams and fraud.
In the past decade, the Justice Department has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page.
Bob Dean Jr. and Affiliated Corporate Entities Agree to $8.2M Consent Judgment to Resolve Allegations of Financial Misconduct Stemming from Evacuation of Nursing Homes During Hurricane IdaRead the Press Release
Bob Dean Jr. and several companies that he owned and operated have agreed to an $8.2 million consent judgment to resolve allegations that they violated the National Housing Act of 1934 (NHA), by misappropriating and misusing the assets and income of four nursing homes in Louisiana before and after Hurricane Ida’s landfall in August 2021. The four nursing homes, all of which were owned and operated by Dean and his companies, and had loans insured by the Federal Housing Administration (FHA), are Maison De’Ville Nursing Home in Houma; Maison De’Ville Nursing Home in Harvey; Maison Orleans Healthcare in New Orleans; and West Jefferson Health Care Center in Harvey.
The FHA, part of the Department of Housing and Urban Development (HUD), provides mortgage insurance on loans that cover residential care facilities, such as nursing homes, pursuant to the NHA. To encourage lenders to make loans to such facilities, FHA mortgage insurance provides lenders with protection against losses that result from borrowers defaulting on their mortgage loans. To obtain such FHA-insured loans, loan recipients must enter into regulatory agreements with the FHA that provide, among other requirements, that the assets and income of an FHA-insured nursing home may only be spent on goods and services that are reasonable and necessary to the operation of the nursing home. The NHA permits the United States to recover twice the amount of any assets and income of FHA-insured nursing homes that were improperly distributed or misspent.
In 2023, the government filed a complaint against Dean and his corporate entities alleging that they misspent the nursing homes’ assets and income. The United States alleged that in the five years leading up to Hurricane Ida, Dean funneled money that should have been used to prepare an evacuation site for nursing home residents to his personal bank accounts, leaving his nursing homes — and, more importantly, the nursing homes’ residents — unprepared for a hurricane. As a result, when Hurricane Ida made landfall in August 2021, the residents of Dean’s nursing homes had to ride out the storm in an overcrowded and ill-prepared industrial warehouse Dean owned through a corporate entity. The United States alleged that at Dean’s evacuation center, his nursing homes’ residents languished in squalor and did not receive adequate care, leading to the Louisiana Department of Health evacuating the nursing home residents from Dean’s warehouse and revoking Dean’s nursing homes’ licenses. The United States further alleged that, following the hurricane, Dean did not use the homes’ income and assets solely to operate or maintain the nursing homes, but instead to purchase personal goods and services, including antiques, firearms and cars.
“This settlement demonstrates the department’s continuing commitment to holding accountable those who put their own financial gain over the needs of our nation’s seniors,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will continue to take action to protect the integrity of federal programs designed to ensure that nursing home residents, who are among our most vulnerable citizens, receive appropriate care.”
“As the residents of Louisiana well know, hurricanes and natural disasters can devastate people’s lives,” said U.S. Attorney Ronald C. Gathe Jr for the Middle District of Louisiana. “Nursing home operators like Mr. Dean have an obligation to protect their residents during such events, particularly if they are going to rely on federal programs to support or sustain their businesses. This settlement will ensure that those individuals charged with caring for our community’s most vulnerable residents take seriously their duty to have proper safeguards and plans in place to avoid tragedies like the one we saw in Independence, Louisiana, after Hurricane Ida.”
“Nursing home providers have obligations to protect the health, safety, and welfare of residents entrusted to their care,” said HUD General Counsel Damon Smith. “Owners of FHA-insured nursing homes should be on notice that we will hold them accountable when we learn of allegations that they have failed to meet those obligations.”
“By the time Hurricane Ida bore down on the vulnerable nursing home residents at properties operated by Mr. Dean, he illegally skimmed funding from those facilities and failed to maintain sanitation and adequately equip the warehouse he designated as the evacuation site,” said HUD Inspector General Rae Oliver Davis. “He unfairly enriched himself while residents under his charge endured horrid conditions including insufficient food and medical care. HUD OIG will continue to work with our law enforcement and prosecutorial partners to hold accountable those who misappropriate funds at the expense of vulnerable populations.”
The Civil Division’s Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Middle District of Louisiana handled the case, with substantial assistance from HUD and HUD’s Office of Inspector General. Trial Attorneys Christopher Reimer and Samuel Robins of the Civil Division’s Fraud Section and Assistant U.S. Attorneys Davis Rhorer Jr. and Chase Zachary for the Middle District of Louisiana handled the matter.
The United States’ complaint stemmed from an investigation that the Justice Department initiated as part of its Elder Justice Initiative, which supports the efforts of state and local prosecutors, law enforcement and other elder justice professionals to combat elder abuse, neglect and financial exploitation, with the development of training, resources and information. Learn more about the Justice Department’s Elder Justice Initiative at www.justice.gov/elderjustice.
The claims settled by this agreement are allegations only. There has been no determination of liability.
Blair Taylor Sentenced to Life Imprisonment for the Murder of Two PeopleRead the Press Release
NEW ORLEANS, LOUISIANA – On October 3, 2024, BLAIR TAYLOR (“TAYLOR”), a New Orleans resident, was sentenced after being found guilty by a federal jury of two-counts of causing a death through the use of a firearm, in violation of Title 18, United States Code, Section 924(j)(1), announced U.S. Attorney Duane A. Evans.
According to the trial evidence, TAYLOR killed two individuals on August 10, 2014, in what was called the “Burgundy Massacre.” One of the homicide victims killed by TAYLOR was a sixteen-year-old girl. Five other people were shot and seriously injured, including a 2-year-old child and a 4-year-old child. TAYLOR and two other individuals went to Burgundy Street in New Orleans to retaliate against a narcotics dealer who had stolen drugs from the mother of one of TAYLOR’s co-conspirators. When they arrived, TAYLOR, who possessed a rifle, opened fire on the crowd, despite several young children being outside. One of his accomplices approached the intended target and shot and killed him.
On February 2, 2017, TAYLOR and his accomplice were found guilty of two counts of second-degree murder and five counts of attempted second-degree murder after the jury returned an 11-1 verdict of guilty on all counts. However, in 2021 they were granted new trials after the United States Supreme Court found ruled non-unanimous jury verdicts unconstitutional. In October of 2022 the State of Louisiana retried TAYLOR and he was found not guilty. He was subsequently released from jail in March 2023.
Following that not guilty verdict, a federal grand jury conducted an investigation and indicted TAYLOR, for the two murders.
After a three (3) day trial, the jury found TAYLOR guilty of causing the death of both victims through the use of a firearm. As to each count of murder, TAYLOR was sentenced to life imprisonment.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation and the New Orleans Police Department. Assistant United States Attorney Inga Petrovich, Unit Chief Elizabeth Privitera and Special Assistant United States Attorney James Ollinger, all from the Violent Crime Unit, are in charge of the prosecution.
Bel Air Man Arrested on Indictment Alleging Scheme to Violate United States Sanctions Against IranRead the Press Release
LOS ANGELES – A Bel Air man was arrested today on a federal grand jury indictment charging him and two Iranian nationals with violating United States sanctions against Iran by illegally sending to that nation digital and physical gift cards loaded with approximately $2.4 million.
Kambiz Eghbali, 50, a.k.a. “Cameron Eghbali,” a dual citizen of the United States and Iran, is charged with violations of the International Emergency Economic Powers Act (IEEPA), conspiracy to commit bank fraud, and conspiracy to commit money laundering. His arraignment is scheduled for this afternoon in United States District Court in downtown Los Angeles.
Hamid Hajipour and Babak Bahizad, both Iranian nationals charged in the indictment, remain at large.
“Restrictions on exports and transactions with countries that are hostile to the United States, such as Iran, are critical to protecting our nation,” said United States Attorney Martin Estrada. “Nothing is more important than protecting our country from foreign threats and my office will continue to aggressively prosecute those who undermine our national security.”
According to the indictment unsealed today, from March 2014 through September 2019, Eghbali and others conspired to unlawfully send digital and physical gift cards loaded with U.S. dollars to Iran. Eghbali would list his company, a North Hills-based purported videogame wholesaler and distributor, as the seller of the gift cards, and would provide cards to Bahizad for the benefit of his Iran-based gaming company, and to Hajipour for the benefit of his mobile software application service company.
Bahizad and Hajipour would then pay Eghbali for the cards by transferring money from Iran to Eghabli’s U.S.-based bank accounts using third parties in other countries to conceal the transfer from U.S. regulators.
The IEEPA and the Iranian Transactions and Sanctions Regulations (ITSR) impose controls and restrictions on transactions involving Iran based on the threats posed by Iran to the national security of the United States including, among others, its pursuit of nuclear weapons and sponsorship of terrorism.
The IEEPA and ITSR, among other things, prohibit the export, reexport, sale, or supply, directly or indirectly, from the United States or by a United States person, wherever located, of any goods, technology, or services, including financial services, to Iran or the Government of Iran without first obtaining authorization from the United States Treasury Department’s Office of Foreign Assets Control.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted, the defendants face the following maximum penalties: 20 years in prison for violations of the International Emergency Economic Powers Act, 30 years in prison for bank fraud violations, and 20 years in prison for money laundering violations. The indictment also notifies defendants that the United States intends to forfeit all property alleged to be traceable to proceeds of the offense.
The FBI is investigating this matter with support from Homeland Security Investigations.
Assistant United States Attorneys Anna Boylan and Mark Takla of the Terrorism and Export Crimes Section are prosecuting this case with Trial Attorneys David J. Ryan and Leslie Esbrook from the National Security Division’s Counterintelligence and Export Control Section.
Baltimore County Businessman Pleads Guilty to Fraudulently Obtaining More Than $1.3 Million in Covid-19 Cares Act LoansRead the Press Release
Baltimore, Maryland – David Epstein, age 46, of Owings Mills, Maryland, pleaded guilty to one count of wire fraud, relating to the submission of fraudulent CARES Act loan applications. The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was a federal law enacted in March 2020 to provide emergency financial assistance to Americans suffering from the economic effects caused by the COVID-19 pandemic.
The guilty plea was announced by Erek L. Barron, U.S. Attorney for the District of Maryland and Acting Special Agent in Charge Kareem A. Carter of the Internal Revenue Service - Criminal Investigation (“IRS-CI”), Washington, D.C. Field Office.
Financial assistance offered through the CARES Act included forgivable loans to small businesses for job retention and certain other expenses, through the Paycheck Protection Program, administered through the Small Business Administration (SBA), as well as an Economic Injury Disaster Loan (EIDL) and/or an EIDL advance to help businesses meet their financial obligations.
According to his plea agreement, beginning in May 2020 and continuing through February 2021 in the District of Maryland, Epstein engaged in a scheme to defraud financial institutions, including Cross River Bank, Bluevine, Celtic Bank, and the United States Small Business Administration (SBA), to obtain fraudulent loans for his business PEI Staffing (PEI), a temporary staffing company, under the Paycheck Protection Program (PPP), and the Economic Injury Disaster Loan (EIDL) program.
Specifically, on April 30, 2020, Epstein submitted a false and misleading PPP loan application in the name of PEI, seeking approximately $1,307,170 in PPP funds. The application allegedly contained false statements and omissions relating to PEI including the number of employees, the wages paid to employees, and that any funds received would be spend on expenses such as payroll, business rent and business utilities. For example, the application stated that PEI had 382 employees, when in fact, an IRS Form 941 for the second quarter of 2020 listed 79 employees for PEI. Epstein also falsely stated that he did not have common management with any other business. In fact, Epstein was a common manager of both PEI and Stafquik.
As detailed in the plea agreement, Epstein submitted a fictitious February 2020 bank statement for a SunTrust bank that purported to be a bank statement of PEI. In truth, this account was not in the name of PEI but instead was in the name of Stafquik. Epstein admitted that he had earlier altered the bank statement for the purpose of submitting it in connection with PPP applications for PEI.
According to the plea agreement, on May 4, 2020, approximately $1,307,170 in PPP loan proceeds were disbursed to the SunTrust Stafquik account. Within four days, Epstein opened four personal bank accounts at two separate banks and subsequently transferred the PPP loan proceeds to those accounts to be used for personal and unauthorized expenses.
Epstein admitted that he spent the fraudulently obtained PPP funds in multiple ways that were impermissible under the PPP. One day after receiving the PPP funds, on May 5, 2020, Defendant made an ACH transfer in the amount of $110,356.48 from the SunTrust account that received the PPP funds to Mercedes-Benz Financial in connection with a payment for a 2019 Mercedes-Benz GT43C4 automobile previously purchased by the Defendant.
Epstein also admitted that beginning on May 20, 2020, and continuing through in or about August 2020, he transferred approximately $138,522.22 in PPP funds to a contractor in connection with extensive renovations to the Defendant’s home and installation of a pool there. He further admitted to using the PPP funds to pay $100,000 in connection a settlement agreement pertaining to a 2013 litigation involving unpaid insurance premiums and to pay off a $344,341.05 debt related to funds the Defendant misappropriated from a business partner and used for personal expenses. None of these were permissible uses of the PPP funds.
According to the plea agreement, Epstein also used the PPP funds to pay various personal expenses (including a trip to a luxury golf resort) and provided PPP funds to various family members and associates for purposes unrelated to employment with PEI (including his family’s nanny), making withdrawals for himself, and paying off various personal debts. Epstein also attempted to repeatedly add individuals whom he owed money to PEI’s payroll to make it appear as though they were employees when they were not. He also attempted to hide the size of the PPP loan he received, concealing it from his family members, other employees of PEI, and various business partners whom he owed money.
Epstein faces a maximum possible sentence of 20 years in prison followed by up to three years of supervised release. U.S. District Judge Richard D. Bennett has scheduled sentencing for January 14, 2025 at 11:00 a.m.
The District of Maryland Strike Force is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
U.S. Attorney Barron commended the IRS-CI for its work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Paul A. Riley who is prosecuting the case. Mr. Barron also recognized the assistance of the Maryland COVID-19 Strike Force Paralegal Specialist Joanna B.N. Huber.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao/md.
Albany Sex Offender Pleads Guilty to Child Pornography OffensesRead the Press Release
ALBANY, NEW YORK – Stephen Brisee a/k/a Sage Brisee, age 30, of Albany, pled guilty today to a six-count indictment charging Brisee with distributing, receiving, and possessing child pornography.
United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Homeland Security Investigations (HSI) Buffalo Field Office, made the announcement.
Brisee admitted to receiving and distributing videos of adults subjecting girls between the ages of six months and 10 years to sexual penetration. A search of Brisee’s phone revealed Brisee to be in possession of a collection of other child pornography images. At the time of the offenses, Brisee was a registered sex offender on post-release supervision following a New York State conviction for promoting a sexual performance by a child.
At sentencing scheduled for February 7, 2025, Brisee faces at least 15 years and up to 40 years in prison; a fine of up to $250,000; mandatory restitution to victims of the offenses; and a term of supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. As a result of this conviction, Brisee will also continue to be required to register as a sex offender.
HSI investigated the case, which Assistant U.S. Attorney Jonathan S. Reiner is prosecuting as a part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s 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 https://www.justice.gov/psc.
Afghan National Arrested for Plotting an Election Day Terrorist Attack in the Name of ISISRead the Press Release
Note: View the unsealed criminal complaint here.
WASHINGTON — The Justice Department today announced charges against a citizen of Afghanistan residing in Oklahoma City, Oklahoma, for conspiring to conduct an Election Day terrorist attack in the United States on behalf of the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization (FTO).
According to a criminal complaint filed today, Nasir Ahmad Tawhedi, 27, conspired and attempted to provide material support to ISIS and obtained firearms and ammunition to conduct a violent attack on U.S. soil in the name of ISIS. As part of the plot, the defendant allegedly took steps to liquidate his family’s assets, resettle members of his family overseas, acquire AK-47 assault rifles and ammunition, and commit a terrorist attack in the United States.
“As charged, the Justice Department foiled the defendant’s plot to acquire semi-automatic weapons and commit a violent attack in the name of ISIS on U.S. soil on Election Day,” said Attorney General Merrick B. Garland. “We will continue to combat the ongoing threat that ISIS and its supporters pose to America’s national security, and we will identify, investigate, and prosecute the individuals who seek to terrorize the American people. I am deeply grateful to the public servants of the FBI, National Security Division, and U.S. Attorney’s Office for the Western District of Oklahoma for their work to disrupt this attack and for the work they do every day to protect our country.”
“This defendant, motivated by ISIS, allegedly conspired to commit a violent attack, on Election Day, here on our homeland," said FBI Director Christopher Wray. "I am proud of the men and women of the FBI who uncovered and stopped the plot before anyone was harmed. Terrorism is still the FBI's number one priority, and we will use every resource to protect the American people."
“Thanks to the relentless efforts of the FBI, National Security Division’s Counterterrorism Section, and federal prosecutors in my office, the alleged plan to commit an attack on Election Day was disrupted and Mr. Tawhedi was arrested,” said U.S. Attorney Robert J. Troester for the Western District of Oklahoma. “Fighting terrorism remains the top priority of the Justice Department. We will continue to pursue, disrupt, and hold accountable those who plot to commit acts of terrorism against our country and our people.”
According to the criminal complaint, as part of the investigation into Tawhedi, the FBI searched Tawhedi’s phone and obtained communications between Tawhedi and a person who facilitated recruitment, training, and indoctrination of persons who expressed interest in terrorist activity and who Tawhedi understood to be affiliated with ISIS. Tawhedi was also seen in a video recorded on July 20 reading to two children text that describes the rewards a martyr receives in the afterlife. Tawhedi also allegedly accessed, viewed, and saved ISIS propaganda on his iCloud and Google account, participated in pro-ISIS Telegram groups, and contributed to a charity which fronts for and funnels money to ISIS.
The complaint alleges that while liquidating their family’s assets prior to the attack, Tawhedi and his co-conspirator, who is a juvenile, advertised the sale of the family’s personal property on Facebook. At the FBI’s direction, a confidential human source responded to inquire if a computer was still for sale. The FBI source noted that he needed the computer for a new gun business he was starting, which ultimately led Tawhedi and the juvenile to meet with the source and other FBI assets at a rural location to test firearms. Tawhedi expressed interest in purchasing two AK-47 assault rifles, magazines, and ammunition from the source.
According to the criminal complaint, on Oct. 7, Tawhedi and the juvenile met with the FBI assets at a rural location in the Western District of Oklahoma and purchased, received, and took possession of two AK-47 assault rifles, ten magazines, and 500 rounds of ammunition. Upon receipt of the rifles and ammunition, Tawhedi and the juvenile were arrested.
In his seized communications, Tawhedi allegedly indicated that his attack was planned for Election Day, and in a post-arrest interview, Tawhedi allegedly confirmed the attack was planned for Election Day targeting large gatherings of people, during which he and the juvenile were expected to die as martyrs.
Tawhedi was charged with conspiring and attempting to provide material support to ISIS, which carries a maximum prison sentence of 20 years, and receiving a firearm to be used to commit a felony or a federal crime of terrorism, which carries a maximum prison sentence of 15 years, if convicted.
The case is being investigated by the FBI Oklahoma City Field Office, with valuable assistance from the Oklahoma City Police Department and the Moore, Oklahoma Police Department.
Assistant U.S. Attorneys Jessica L. Perry, Matt Dillon, and Mark Stoneman for the Western District of Oklahoma and Trial Attorneys George C. Kraehe and Everett McMillian of the National Security Division’s Counterterrorism Section are prosecuting the case.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Afghan National Arrested for Plotting an Election Day Terrorist Attack in the Name of ISISRead the Press Release
Note: View the unsealed criminal complaint here.
The Justice Department today announced charges against a citizen of Afghanistan residing in Oklahoma City, Oklahoma, for conspiring to conduct an Election Day terrorist attack in the United States on behalf of the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization (FTO).
According to a criminal complaint filed today, Nasir Ahmad Tawhedi, 27, conspired and attempted to provide material support to ISIS and obtained firearms and ammunition to conduct a violent attack on U.S. soil in the name of ISIS. As part of the plot, the defendant allegedly took steps to liquidate his family’s assets, resettle members of his family overseas, acquire AK-47 assault rifles and ammunition, and commit a terrorist attack in the United States.
“As charged, the Justice Department foiled the defendant’s plot to acquire semi-automatic weapons and commit a violent attack in the name of ISIS on U.S. soil on Election Day,” said Attorney General Merrick B. Garland. “We will continue to combat the ongoing threat that ISIS and its supporters pose to America’s national security, and we will identify, investigate, and prosecute the individuals who seek to terrorize the American people. I am deeply grateful to the public servants of the FBI, National Security Division, and U.S. Attorney’s Office for the Western District of Oklahoma for their work to disrupt this attack and for the work they do every day to protect our country.”
“This defendant, motivated by ISIS, allegedly conspired to commit a violent attack, on Election Day, here on our homeland," said FBI Director Christopher Wray. "I am proud of the men and women of the FBI who uncovered and stopped the plot before anyone was harmed. Terrorism is still the FBI's number one priority, and we will use every resource to protect the American people."
“Thanks to the relentless efforts of the FBI, National Security Division’s Counterterrorism Section, and federal prosecutors in my office, the alleged plan to commit an attack on Election Day was disrupted and Mr. Tawhedi was arrested,” said U.S. Attorney Robert J. Troester for the Western District of Oklahoma. “Fighting terrorism remains the top priority of the Justice Department. We will continue to pursue, disrupt, and hold accountable those who plot to commit acts of terrorism against our country and our people.”
According to the criminal complaint, as part of the investigation into Tawhedi, the FBI searched Tawhedi’s phone and obtained communications between Tawhedi and a person who facilitated recruitment, training, and indoctrination of persons who expressed interest in terrorist activity and who Tawhedi understood to be affiliated with ISIS. Tawhedi was also seen in a video recorded on July 20 reading to two children text that describes the rewards a martyr receives in the afterlife. Tawhedi also allegedly accessed, viewed, and saved ISIS propaganda on his iCloud and Google account, participated in pro-ISIS Telegram groups, and contributed to a charity which fronts for and funnels money to ISIS.
The complaint alleges that while liquidating their family’s assets prior to the attack, Tawhedi and his co-conspirator, who is a juvenile, advertised the sale of the family’s personal property on Facebook. At the FBI’s direction, a confidential human source responded to inquire if a computer was still for sale. The FBI source noted that he needed the computer for a new gun business he was starting, which ultimately led Tawhedi and the juvenile to meet with the source and other FBI assets at a rural location to test firearms. Tawhedi expressed interest in purchasing two AK-47 assault rifles, magazines, and ammunition from the source.
According to the criminal complaint, on Oct. 7, Tawhedi and the juvenile met with the FBI assets at a rural location in the Western District of Oklahoma and purchased, received, and took possession of two AK-47 assault rifles, ten magazines, and 500 rounds of ammunition. Upon receipt of the rifles and ammunition, Tawhedi and the juvenile were arrested.
In his seized communications, Tawhedi allegedly indicated that his attack was planned for Election Day, and in a post-arrest interview, Tawhedi allegedly confirmed the attack was planned for Election Day targeting large gatherings of people, during which he and the juvenile were expected to die as martyrs.
Tawhedi was charged with conspiring and attempting to provide material support to ISIS, which carries a maximum prison sentence of 20 years, and receiving a firearm to be used to commit a felony or a federal crime of terrorism, which carries a maximum prison sentence of 15 years, if convicted.
The case is being investigated by the FBI Oklahoma City Field Office, with valuable assistance from the Oklahoma City Police Department and the Moore, Oklahoma Police Department.
Assistant U.S. Attorneys Jessica L. Perry, Matt Dillon, and Mark Stoneman for the Western District of Oklahoma and Trial Attorneys George C. Kraehe and Everett McMillian of the National Security Division’s Counterterrorism Section are prosecuting the case.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Acting U.S. Attorney for the Middle District of Alabama Alerts Public to Charity Scams Involving Hurricane Relief EffortsRead the Press Release
Montgomery, Alabama – Acting United States Attorney Kevin Davidson issued a public safety alert today advising the public to be vigilant to hurricane relief fraud attempts in the wake of Hurricane Helene and future storms.
“Criminals will use any situation, including natural disasters, to profit from the kindness and generosity of others,” said Acting U.S. Attorney Davidson. “I encourage all Alabamians to be mindful as they consider participating in donation requests for disaster relief. Using the suggestions listed below will help ensure that donations reach their intended recipient and do not get diverted to those who seek only to enrich themselves.”
On Sept. 26, Hurricane Helene made landfall in Florida’s Big Bend Region and quickly caused major devastation there and across states including Georgia, South Carolina, North Carolina, Tennessee, and others. Currently, Hurricane Milton is making its way across the Gulf of Mexico and will impact Florida’s west coast this week. As we have seen in the wake of previous national disasters, fraudsters will target victims of the storm along with citizens across the country who want to do what they can to assist individuals affected by the storm. Unfortunately, criminals exploit disasters for their own gain by sending fraudulent communications through email or social media and by creating deceiving websites designed to solicit contributions.
The public should exercise diligence before giving contributions to anyone soliciting donations or individuals offering to assist those affected by Hurricane Helene or any other natural disaster. Solicitations can originate from phone calls, texts, social media, e-mail, door-to-door collections, flyers, mailings, and other similar methods. Before making a donation to benefit victims of a disaster, individuals should adhere to certain guidelines, including:
- Make contributions directly to known organizations rather than relying on others to make the donation on your behalf.
- Do not be pressured into making contributions as reputable charities do not use such tactics.
- Do not respond to any unsolicited communications (e.g., e-mails and texts), and never click links contained within those messages because they may be targeting your personal information, to include bank and credit card account information, and other identifiers such as dates of birth and social security numbers.
- Rather than clicking on a purported link to a charity, verify its legitimacy by utilizing various internet-based resources that may assist in confirming whether the organization is a valid charity.
- Beware of organizations with copy-cat names similar to but not exactly the same as those of reputable charities.
- Avoid cash donations if possible. Pay by credit card or write a check directly to the charity. Do not make checks payable to individuals.
- Know that legitimate charities do not normally solicit donations via money transfer services, and their website will normally end in .org rather than .com.
- Be cautious of e-mails that claim to show pictures of the disaster areas in attached files because the files may contain viruses. Only open attachments from known senders.
The U.S. Department of Justice established the National Center for Disaster Fraud (NCDF) in the wake of Hurricane Katrina to deter, investigate, and prosecute fraud in the wake of disasters. More than 50 federal, state, and local agencies participate in the NCDF, which reminds the public to be aware of and report any instances of alleged fraudulent activity related to relief operations and funding for victims. Complaints of fraud may be reported online at www.justice.gov/DisasterComplaintForm. Complaints may also be reported to the NCDF at (866) 720-5721, a hotline that is staffed 24 hours a day, 7 days a week.
Acting U.S. Attorney Fondren Announces Grant Awards of over $2 Million to Support Local Nonprofit OrganizationsRead the Press Release
Memphis, TN – Reagan Fondren, Acting United States Attorney for the Western District of Tennessee, announced today that two Memphis nonprofit organizations were awarded Department of Justice grants totaling more than $2 million.
“These grantees play a critical role in serving citizens of West Tennessee who are or may become justice-involved,” said Acting United States Attorney Fondren. “These organizations have demonstrated their commitment to working with the Department of Justice to decrease crime, advance opportunities for ex-offenders, and protect our community. We applaud them for the work they have done and will do in the future.”
The grants were awarded as follows:
Smart Reentry: Housing Demonstration Program
The Returning Neighbor’s Program, led by the Shelby County Office of Reentry, seeks to provide safe, affordable housing and comprehensive services to formerly incarcerated individuals upon their release. The initiative plans to reduce recidivism rates in Memphis and Shelby County by mitigating barriers to obtaining stable housing and employment. This initiative will operate pre-release through partnerships with the Shelby County Division of Corrections and post-release through collaboration with local programs, such as HOPE Credit Union, Lifeline to Success, and the Hospitality Hub, to help provide safe and affordable housing and a continuum of care that includes vocational training, employment opportunities, and wrap-around services. DOJ Grant Award: $999,101.00.
Office of Justice Programs Community Based Violence Intervention and Prevention Initiative Site-Based Grant
Heal 901 is an organization that will implement an intensive community violence intervention and prevention program. The purpose of this project is to reduce violent crime in Memphis. Heal 901 helps to bridge the gap between the vulnerable populations of Memphis and the resources available that will allow them to live a more empowered life. DOJ Grant Award: $1,764,992.00.
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For more information, please contact the Media Relations Team at USATNW.Media@usdoj.gov. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
Abilene Man Pleads Guilty to Paying 12, 13 Year Olds for Sexually Explicit VideoRead the Press Release
A 27-year-old man who paid two young boys $200 to produce a sexually explicit video pleaded guilty today to federal child pornography charges, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Mark Penfield Eichorn, a former preschool teacher’s assistant, was indicted in June. He pleaded guilty Tuesday to production of child pornography before U.S. Magistrate Judge John R. Parker.
According to plea papers, Mr. Eichorn admitted that he contacted two young boys, ages 12 and 13, via Snapchat and asked them to produce a sexually explicit video of themselves.
The children, who lived in Georgia, later confided to law enforcement that they produced a 90-second video as instructed and sent it to Mr. Eichorn, who paid them $200 via Venmo. Financial and phone records corroborated their accounts.
In an interview with law enforcement, Mr. Eichorn admitted that he knew the children were roughly 13 years old when he asked them to produce the video, and that he paid them $200 for it.
At a detention hearing shortly after he was indicted, federal law enforcement testified that when asked about the children in Georgia, Mr. Eichorn responded, “just those two?”
Mr. Eichorn now faces 30 years in federal prison followed by a lifetime of supervised release.
Homeland Security Investigations’ Dallas Field Division and the Abilene Police Department conducted the investigation with the assistance of the Forsyth County Sheriff’s Office in Georgia. Assistant U.S. Attorney Whitney Ohlhausen is prosecuting the case.
6 defendants sentenced to prison for trafficking nearly 12 kilograms of methamphetamine in Adderall lookalike pills via the dark webRead the Press Release
CINCINNATI – Six Texans convicted as part of a large-scale dark web drug trafficking organization have been sentenced in federal court in Cincinnati.
According to court documents, from July 2019 through December 2020, the co-conspirators distributed significant quantities of methamphetamine – pressed to look like legitimate Adderall pills – over the dark web. The defendants sold at least 11.98 kilograms total of methamphetamine in pills and laundered between $15,000 and $50,000 per month using cryptocurrency. The group shipped the drugs nationwide, including into the Southern District of Ohio, using the United States Postal Service.
The defendants used the vendor name “Loverbois,” along with several other usernames, and averaged 20 orders per day.
Those sentenced in this case include:
NameAgeCity of ResidenceSentence ImposedHung Ahn Huy Phung26Houston, Texas84 months in prisonJohn G. Dang24Houston, Texas75 months in prisonBernardo Guzman31Houston, Texas72 months in prisonStephanie R. Pray35Houston, TexasFive years’ probationKevin Tran25Houston, Texas60 months in prisonChazton Harris29Houston, Texas74 months in prisonCourt documents detail that Phung created and ran the Loverbois account(s) for much of the conspiracy period. He took orders online and obtained pills from Tran and Guzman. Phung also coordinated the receipt of cryptocurrency in exchange for the pills and laundered those proceeds.
Guzman had a pill press and industrial mixer at his apartment in Houston, where Phung also lived for a period of time. Harris also lived in the Houston apartment, where he pressed his own pills for distribution. Pray aided Guzman by helping obtain, pack, and ship the pills.
Dang packaged pills for shipment and delivery and helped move and launder cryptocurrency. Dang laundered approximately $15,000 per month.
The Loverbois online drug trafficking organization sold and shipped pills to undercover law enforcement officers in the Southern District of Ohio in a series of transactions.
A federal grand jury indicted the defendants in June 2021. The final defendant, Kevin Tran, was sentenced on Sept. 30.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio, Elena Iatarola, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Orville O. Greene, Special Agent in Charge, Drug Enforcement Administration (DEA); Charles L. Grinstead, Special Agent in Charge, U.S. Food and Drug Administration – Office of Criminal Investigations (FDA-OCI), Kansas City Field Office; Lesley C. Allison, Inspector in Charge, United States Postal Inspection Service (USPIS); Mason Police Chief Levi Wells; Houston Police Chief J. Noe Diaz and the Joint Criminal Opioid and Darknet Enforcement (JCODE) team announced the sentences imposed by U.S. District Court Judge Jeffery P. Hopkins. Deputy Criminal Chief Frederic C. “Fritz” Shadley is representing the United States in this case.
This prosecution is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, and gangs that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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7 October 2024
Ukrainian National Pleads Guilty to “Raccoon Infostealer” CybercrimeRead the Press Release
AUSTIN, Texas– A Ukrainian national pleaded guilty in federal court in Austin today to one count of conspiracy to commit computer intrusion.
According to court documents, Mark Sokolovsky, 28, conspired to operate the Raccoon Infostealer as a malware-as-a-service or “MaaS.” Individuals who deployed Raccoon Infostealer to steal data from victims leased access to the malware for approximately $200 per month, paid for by cryptocurrency. These individuals used various ruses, such as email phishing, to install the malware onto the computers of unsuspecting victims. Raccoon Infostealer then stole personal data from victim computers, including log-in credentials, financial information, and other personal records. Stolen information was used to commit financial crimes or was sold to others on cybercrime forums.
In March 2022, concurrent with Sokolovsky’s arrest by Dutch authorities, the FBI and law enforcement partners in Italy and the Netherlands dismantled the digital infrastructure supporting the Raccoon Infostealer, taking its then existing version offline. Sokolovsky was extradited to the United States from the Netherlands in February 2024 after being indicted for crimes related to fraud, money laundering and aggravated identity theft. As part of the plea, he agreed to a forfeiture money judgment of $23,975 and restitution of at least $910,844.61.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement of the defendant’s plea.
The FBI’s Austin Cyber Task Force is investigating the case with the assistance of the Department of the Army Criminal Investigation Division (Army CID), the Austin Police Department, the Naval Criminal Investigative Service (NCIS), the Round Rock Police Department and the Texas Department of Public Safety.
Assistant U.S. Attorney G. Karthik Srinivasan is prosecuting the case.
Victims of the Raccoon Infostealer can find more information at www.justice.gov/usao-wdtx/victim-assistance-raccoon-infostealer.
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U.S. Attorney’s Office Settles Americans with Disabilities Act Investigation of Water Utility Company, Ensuring Access to Customer Service LineRead the Press Release
PHILADELPHIA – The United States has reached a settlement with Aqua Services, Inc. (“Aqua”), a company providing water and wastewater utility services to more than 3 million people in eight states, including Pennsylvania, announced Jacqueline C. Romero, United States Attorney for the Eastern District of Pennsylvania. The settlement ensures equal access to Aqua’s customer service telephone line for individuals with disabilities pursuant to the Americans with Disabilities Act (“ADA”). Title III of the ADA prohibits discrimination against individuals with disabilities by businesses that serve the public.
The agreement resolves an ADA complaint filed with the Department of Justice by an Aqua customer alleging that Aqua failed to effectively communicate with him when he called its customer service telephone line. The complainant, who is nonspeaking due to a disability, uses a relay calling service to communicate by telephone. The complainant alleged that on several occasions when he called Aqua’s customer service line to address a billing issue, the customer service representatives who answered the phone hung up on him rather than accept the relay call. As a result, he alleged, he was unable to promptly resolve his billing issue.
The ADA requires that businesses communicate with people with disabilities — including people who have vision, hearing, or speech disabilities — as effectively as they communicate with people without disabilities. This can include communicating through auxiliary aids and services such as telephone relay services.
Under the agreement, Aqua will designate an ADA Coordinator, implement a telephone number and email address to receive comments and complaints relating to access to Aqua’s customer service line, and adopt and publish an Effective Communications Policy for effectively communicating with people with disabilities. Aqua will also pay a monetary sum to the complainant.
“Many individuals who have hearing or speaking disabilities use relay services to communicate by phone,” said U.S. Attorney Romero. “Businesses must ensure that their employees are prepared to communicate effectively with customers who use such services. My office appreciates Aqua’s cooperation during this investigation and its commitment to effective communication with its customers who have disabilities.”
The U.S. Attorney’s Office for the Eastern District of Pennsylvania is committed to investigating alleged violations of the ADA. Those interested in learning more about obligations under the ADA may access https://www.ada.gov/ or call the Department of Justice’s toll-free information line at (800) 514-0301 or (800) 514-0383 (TDD). Information about filing a complaint, including instructions for filing a complaint online, can be found at https://civilrights.justice.gov/. This matter was handled by Assistant U.S. Attorney Erin E. Lindgren.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
U.S. Attorney Lapointe Reminds the Public to Be Aware of Scams in the Wake of Hurricane Helene and Other Natural DisastersRead the Press Release
MIAMI – United States Attorney Markenzy Lapointe reminds the public to be vigilant of hurricane relief fraud in the wake of Hurricane Helene and other natural disasters.
“Throughout hurricane season and in the aftermath of Hurricane Helene, I urge the public to be wary of fraudsters looking to exploit victims of hurricanes and other natural disasters through identity theft schemes, solicitations for fake charities, or other types of fraud. Report suspected disaster fraud to the National Center for Disaster Fraud by calling (866) 720-5721 or by going online at www.justice.gov/DisasterComplaintForm,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida.
On Sept. 26, Hurricane Helene made landfall in Florida’s Big Bend Region and quickly caused major devastation there and across states including Georgia, South Carolina, North Carolina, Tennessee, and others. As we have seen in the wake of previous national disasters, fraudsters will target victims of the storm along with citizens across the country who want to do what they can to assist individuals affected by the storm. Unfortunately, criminals exploit disasters for their own gain by sending fraudulent communications through email or social media and by creating deceiving websites designed to solicit contributions.
The public should exercise diligence before giving contributions to anyone soliciting donations or individuals offering to assist those affected by Hurricane Helene. Solicitations can originate from phone calls, texts, social media, e-mail, door-to-door collections, flyers, mailings, and other similar methods. Before making a donation to benefit victims of Hurricane Helene, individuals should adhere to certain guidelines, including:
Make contributions directly to known organizations rather than relying on others to make the donation on your behalf.
Do not be pressured into making contributions as reputable charities do not use such tactics.
Do not respond to any unsolicited communications (e.g., e-mails and texts), and never click links contained within those messages because they may be targeting your personal information, to include bank and credit card account information, and other identifiers such as dates of birth and social security numbers.
Rather than clicking on a purported link to a charity, verify its legitimacy by utilizing various Internet-based resources that may assist in confirming whether the organization is a valid charity.
Beware of organizations with copy-cat names similar to but not exactly the same as those of reputable charities.
Avoid cash donations if possible. Pay by credit card or write a check directly to the charity. Do not make checks payable to individuals.
Know that legitimate charities do not normally solicit donations via money transfer services, and their website will normally end in .org rather than .com.
Be cautious of e-mails that claim to show pictures of the disaster areas in attached files because the files may contain viruses. Only open attachments from known senders.
The U.S. Department of Justice established the National Center for Disaster Fraud (NCDF) in the wake of Hurricane Katrina to deter, investigate, and prosecute fraud in the wake of disasters. More than 50 federal, state, and local agencies participate in the NCDF, which reminds the public to be aware of and report any instances of alleged fraudulent activity related to relief operations and funding for victims. Complaints of fraud may be reported online at www.justice.gov/DisasterComplaintForm. Complaints may also be reported to the NCDF at (866) 720-5721, a hotline that is staffed 24 hours a day, 7 days a week.
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U.S. Attorney Higgins Alerts Public to Charity Scams in Wake of Hurricane HeleneRead the Press Release
SALT LAKE CITY, Utah – United States Attorney Trina A. Higgins is warning the public to be vigilant to fraud attempts in the wake of Hurricane Helene.
On Sept. 26, Hurricane Helene made landfall in Florida’s Big Bend Region and quickly caused major devastation there and across states including Georgia, South Carolina, North Carolina, Tennessee, and others. As we have seen in the wake of previous national disasters, fraudsters will target victims of the storm along with citizens across the country who want to do what they can to assist individuals affected by the storm. Unfortunately, criminals exploit disasters for their own gain by sending fraudulent communications through email or social media and by creating deceiving websites designed to solicit contributions.
The public should exercise diligence before giving contributions to anyone soliciting donations or individuals offering to assist those affected by Hurricane Helene. Solicitations can originate from phone calls, texts, social media, e-mail, door-to-door collections, flyers, mailings, and other similar methods. Before making a donation to benefit victims of Hurricane Helene, individuals should adhere to certain guidelines, including:- Make contributions directly to known organizations rather than relying on others to make the donation on your behalf.
- Do not be pressured into making contributions as reputable charities do not use such tactics.
- Do not respond to any unsolicited communications (e.g., e-mails and texts), and never click links contained within those messages because they may be targeting your personal information, to include bank and credit card account information, and other identifiers such as dates of birth and social security numbers.
- Rather than clicking on a purported link to a charity, verify its legitimacy by utilizing various Internet-based resources that may assist in confirming whether the organization is a valid charity.
- Beware of organizations with copy-cat names similar to but not exactly the same as those of reputable charities.
- Avoid cash donations if possible. Pay by credit card or write a check directly to the charity. Do not make checks payable to individuals.
- Know that legitimate charities do not normally solicit donations via money transfer services, and their website will normally end in .org rather than .com.
- Be cautious of e-mails that claim to show pictures of the disaster areas in attached files because the files may contain viruses. Only open attachments from known senders.
The U.S. Department of Justice established the National Center for Disaster Fraud (NCDF) in the wake of Hurricane Katrina to deter, investigate, and prosecute fraud in the wake of disasters. More than 50 federal, state, and local agencies participate in the NCDF, which reminds the public to be aware of and report any instances of alleged fraudulent activity related to relief operations and funding for victims. Complaints of fraud may be reported online at www.justice.gov/DisasterComplaintForm. Complaints may also be reported to the NCDF at (866) 720-5721, a hotline that is staffed 24 hours a day, 7 days a week.
U.S. Attorney Gregory J. Haanstad Alerts Public to Charity Scams in Wake of Hurricane HeleneRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, issued a public safety alert on October 7, 2024 advising the public to be vigilant to hurricane relief fraud in the wake of Hurricane Helene.
“When natural disasters strike, Americans are often are at their best, seeking to help their neighbors and fellow citizens in any way possible,” said United States Attorney Greg Haanstad. “However, these disasters also provide an opportunity for scam artists to take advantage of this compassion and generosity. Although the Eastern District of Wisconsin was not directly impacted by Hurricane Helene, residents of Wisconsin have shown themselves to be among the most thoughtful and caring in the country, often seeking to donate money to relief efforts. To help ensure that these donations reach their intended goal and do not get diverted to those who seek only to enrich themselves, I ask residents of the Eastern District to be mindful as they consider participating in solicited or unsolicited donation requests.”
On Sept. 26, Hurricane Helene made landfall in Florida’s Big Bend Region and quickly caused major devastation there and across states including Georgia, South Carolina, North Carolina, Tennessee, and others. As we have seen in the wake of previous national disasters, fraudsters will target victims of the storm along with citizens across the country who want to do what they can to assist individuals affected by the storm. Unfortunately, criminals exploit disasters for their own gain by sending fraudulent communications through email or social media and by creating deceiving websites designed to solicit contributions.
The public should exercise diligence before giving contributions to anyone soliciting donations or individuals offering to assist those affected by Hurricane Helene. Solicitations can originate from phone calls, texts, social media, e-mail, door-to-door collections, flyers, mailings, and other similar methods.
Before making a donation to benefit victims of Hurricane Helene, individuals should adhere to certain guidelines, including:
• Make contributions directly to known organizations rather than relying on others to make the donation on your behalf.
• Do not be pressured into making contributions as reputable charities do not use such tactics.
• Do not respond to any unsolicited communications (e.g., e-mails and texts), and never click links contained within those messages because they may be targeting your personal information, to include bank and credit card account information, and other identifiers such as dates of birth and social security numbers.
• Rather than clicking on a purported link to a charity, verify its legitimacy by utilizing various Internet-based resources that may assist in confirming whether the organization is a valid charity.
• Beware of organizations with copy-cat names similar to but not exactly the same as those of reputable charities.
• Avoid cash donations if possible. Pay by credit card or write a check directly to the charity. Do not make checks payable to individuals.
• Know that legitimate charities do not normally solicit donations via money transfer services, and their website will normally end in .org rather than .com.
• Be cautious of e-mails that claim to show pictures of the disaster areas in attached files because the files may contain viruses. Only open attachments from known senders.
The U.S. Department of Justice established the National Center for Disaster Fraud (NCDF) in the wake of Hurricane Katrina to deter, investigate, and prosecute fraud in the wake of disasters. More than 50 federal, state, and local agencies participate in the NCDF, which reminds the public to be aware of and report any instances of alleged fraudulent activity related to relief operations and funding for victims. Complaints of fraud may be reported online at www.justice.gov/DisasterComplaintForm.
Complaints may also be reported to the NCDF at (866) 720-5721, a hotline that is staffed 24 hours a day, 7 days a week.
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U.S. Attorney Announces an Additional Civil Settlement with Chiropractor and His Practice as Part of National Effort to Combat Electronic Stimulation Fraudulent Billing SchemeRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Gregory Thomas White Jr, DC and Healing Place Medical, P.C. (collectively, “Healing Place”) agreed to pay $170,000 to resolve liability under the False Claims Act for the alleged improper billing of “Sanexas” devices. This settlement is the latest action in the national investigation into the improper billing involving the RST Sanexas neoGEN-Series device (“Sanexas”).
Healing Place is a chiropractic clinic that principally used Sanexas treatment for patients diagnosed with edema and other forms of acute and chronic pain. Sanexas is an electric stimulation device marketed by RST Sanexas, Inc. (“RST”) to treat various forms of pain and other medical conditions. It consists of a large central unit and electrical leads that are temporarily affixed to the area being treated.
Patients typically received treatment on an outpatient basis and received two treatments per week for 12 weeks, for a total of approximately 24 treatments. Treatment times generally lasted approximately 30 to 40 minutes. In conjunction with Sanexas treatment, the clinics injected patients with a vitamin blend.
White is a chiropractor and owner of the Healing Place, which operated at 1600 Horizon Drive #123, Chalfont, Pa. The United States contends that Healing Place submitted approximately 27,121 claims to Medicare for payment under various codes for Sanexas treatment and vitamin injections, TM Flow testing, and ENFD testing, during the relevant time period, all of which were non-reimbursable.
The United States contends that Medicare did not permit reimbursement of Sanexas or vitamin injections used in conjunction with Sanexas in the way in which Healing Place administered them. In particular, National Coverage Determination 160.7.1 states: “Electrical nerve stimulation treatments furnished by a physician in his/her office, by a physical therapist or outpatient clinic are excluded from coverage by § 1862(a)(1) of the Act.”
Similarly, Local Coverage Determination (“LCD”) 35222 reinforces that “[t]he use of electrostimulation alone for the treatment of multiple neuropathies or peripheral neuropathies caused by underlying systemic diseases is not medically reasonable and necessary.” Other LCDs contain the same or similar statements, such as L35456, L35457, L37642, and L36850.
The United States Food and Drug Administration cleared Sanexas as substantially equivalent to a transcutaneous electrical nerve stimulator (“TENS”) on or around January 24, 2003. Sanexas treatment was not FDA-cleared for use in combination with vitamin injections, the vitamin blend was not FDA-approved, and the vitamin blend was produced in bulk, rather than prescribed for individual patients.
The United States contends that vitamin injections used in conjunction with Sanexas treatment as Healing Place administered them do not fall under the limited coverage available for prescription drugs under Medicare Part B. The LCDs noted above reinforce that vitamin injections that act as nerve blocks are not medically reasonable and necessary.
Healing Place also submitted Medicare claims for testing used in conjunction with electric stimulation treatment – ENFD testing and/or TM Flow testing. ENFD testing involves performing a punch biopsy on patients to purportedly evaluate nerve damage that could be treated with the Sanexas device. ENFD testing was also conducted after Sanexas treatment, purportedly to evaluate whether there has been an improvement to nerve health. The Sanexas device, however, is not FDA-cleared for healing or regrowing nerves. In addition, the United States alleges that it was not medically reasonable or necessary to conduct additional testing related to electrical stimulation treatment, which was not covered by Medicare in the way in which Healing Place administered it.
Healing Place also offered “TM Flow” testing to screen new patients for various diseases, which, if identified, could purportedly support the need for electric stimulation treatment using the Sanexas device. The TM Flow device conducts various autonomic nervous system (“ANS”) and vascular function assessments. The applicable LCD includes 10 limitations, which the United States contends render ANS testing not medically reasonable and necessary and not covered, including “patient screenings without signs or symptoms of autonomic dysfunction,” testing where “results are not used in clinical decision-making and patient management,” and testing without the competence in the Autonomic Disorders medical subspecialty. See L35395. LCDs L23236, L33609, and L35124 contain similar limitations. Contrary to these limitations, however, Healing Place used it to screen patients during an initial visit, offered treatment with the Sanexas device regardless of the results of TM flow testing, and lacked the necessary training to perform and interpret ANS testing.
“Our office continues to lead the national charge to hold alleged fraudsters accountable for improper Sanexas billing,” said U.S. Attorney Romero. “We will continue working closely with our partners at CMS’s Center for Program Integrity, the Department of Health and Human Services Office of the Inspector General, and sister U.S. Attorney’s Offices around the country to hold accountable any other providers who inappropriately billed for these devices and caused false claims to be submitted.”
“Accurately billing for services provided to Medicare enrollees is required of all health care providers participating in the program,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG). “HHS-OIG, CMS’s Center for Program Integrity, and the U.S. Attorney’s Office will continue to evaluate and pursue allegedly inaccurate billings of Sanexas and similar devices.”
Prior DOJ press releases related to the Sanexas national initiative include:
- https://www.justice.gov/usao-edpa/pr/two-doctors-and-their-medical-practice-pay-more-181000-resolve-false-claims-act
- https://www.justice.gov/usao-edpa/pr/us-attorney-announces-two-additional-civil-settlements-part-national-effort-combat
This matter was investigated by the U.S. Department of Health and Human Services Office of the Inspector General. The investigation and settlement were handled by Special Assistant U.S. Attorney Eric S. Wolfish, Civil Division Chief Gregory B. David, and Auditors Dawn Wiggins and Andrew Schobert.
The settled civil claims are allegations only. There has been no determination of civil liability.
U.S. Attorney Announces Voluntary Forfeiture and Pending Repatriation of 16th Century Hebrew Religious TextRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that, on October 4, 2024, U.S. District Judge Analisa Torres confirmed the voluntary forfeiture to the United States of the Chamisa Humshe Torrah (Five Books of Moses), Venice, Giovanni di Gara, 1588, and Haftarot, 1589, Miniature, 162+60 Leaves (the “Di Gara Text”). The United States anticipates repatriating the Di Gara Text to the Jewish Theological Seminary of the University of Jewish Studies in Budapest, Hungary (the “Budapest Rabbinical Seminary”), in the coming weeks.
U.S. Attorney Damian Williams said: “With this forfeiture, a small, but meaningful, piece of the history of the Jewish faith will be returned to its rightful owner, the Budapest Rabbinical Seminary. The Di Gara Text went missing for nearly 80 years after it was looted from the Budapest Rabbinical Seminary during the city’s occupation by Nazi forces in 1944. We may never know how it ended up in the Southern District of New York, but it is now returning home. My Office retains its firm commitment to protecting priceless cultural property and, where it has been illegally taken, returning it to its rightful peoples.”
According to the stipulated facts in the voluntary forfeiture order, statements made in court filings, and relevant online publications:
Giovanni di Gara was a Venetian printer of Hebrew books in the 16th century. The Di Gara text is comprised of two works from the Jewish faith: (1) the Chamisa Humshe Torrah (Five Books of Moses), or the Jewish Torrah in book form, and (2) the Haftarot, a series of selections from the Hebrew Bible. An image of the leatherbound Di Gara text is included below.
Lelio Della Torre was an Italian Jewish scholar and rabbi who lived from approximately 1805 to 1871. At some point during his life, the Di Gara Text came into Della Torre’s personal collection (the “Della Torre Collection” or the “Collection”). Works in the Della Torre Collection were stamped to indicate that they belonged to the Collection, as set forth below.
In or about 1877, after Della Torre’s death, the Collection was sold to the Budapest Rabbinical Seminary. The Collection catalogue, which was published in or about 1872, is in the custody of the Budapest Rabbinical Seminary. The Di Gara Text is listed in the catalogue of the Della Torre Collection as “(Homasc) Pentateuc. sine accentis et punctis vocal., Venetiis, 5348, vol. 1, in-3.” The Jewish year 5348 equates to 1588 and the place of publication (Venetiis) is the Latin translation of Venice, Italy.
In 1944, in the midst of World War II and the Jewish Holocaust, Nazi forces invaded Budapest and seized and occupied the Budapest Rabbinical Seminary, looting its holdings. The Di Gara Text is believed to have disappeared during this period. At no point did the Budapest Rabbinical Seminary deaccession—that is, formally remove from its collection—the Di Gara Text.
In March 2023, Hungarian officials notified the Department of Homeland Security that a volume that appeared to be the Di Gara Text was for sale for $19,000 on www.abebooks.com. AbeBooks is an online marketplace used by independent vendors to sell, among other things, rare books. The vendor (“Vendor-1”), who was based in Manhattan, specialized in selling Judaica in various languages. The description of the volume on Vendor-1’s AbeBooks page was consistent with the description of the Di Gara Text in the catalogue of the Della Torre Collection. Furthermore, an image of a stamp in the volume was consistent with the stamp used by Della Torre, as set forth below.
In late March 2023, Special Agents with Homeland Security Investigations (“HSI”) met with Vendor-1 in Manhattan. Vendor-1 admitted that he possessed the Di Gara Text, having acquired it during the 1980s without knowledge of its provenance, and stated that he was willing to give the book to HSI if served with valid legal process. In early April 2023, Special Agents with HSI served Vendor-1 with a seizure warrant issued by United States Magistrate Judge Barbara Moses and took custody of the Di Gara Text. On October 4, 2024, Judge Torres issued an order confirming Vendor-1’s voluntary forfeiture of the Di Gara Text.
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Mr. Williams praised the outstanding investigative work of Special Agents from HSI’s Cultural Property, Art, and Antiquities Squad. Mr. Williams also thanked the Hungarian Inspectorate of Cultural Goods for notifying the Government of the Di Gara Text’s presence in the Southern District of New York and providing helpful information to effectuate its seizure and forfeiture. Finally, Mr. Williams thanked Vendor-1 for his cooperation in this matter.
This case is being handled by the Office’s Illicit Finance and Money Laundering Unit. Assistant U.S. Attorney Benjamin A. Gianforti is in charge of this matter.
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Trio Responsible for Eight Armed Robberies of Indianapolis-Area Cell Phone Stores Sentenced to Combined Sixty-Five Years in Federal PrisonRead the Press Release
INDIANAPOLIS- Robdarius Williams, 21, D’Maurah Bryant, 21, and Quintez Tucker, 20, all of Indianapolis, have all been sentenced to federal prison for their roles in a series of eight armed robberies of Indianapolis cell phone retailers.
DefendantChargesSentenceQuintez Tucker, 20Eight counts of robbery
Four counts of brandishing a firearm during a crime of violence
30 years in prison
3 years of supervised release$64,894 in restitution
D’Maurah Bryant, 21Four counts of robbery
Three counts of brandishing a firearm during a crime of violence
25 years in prison
3 years of supervised release$24,485 in restitution
Robdarius Williams, 21One count of robbery
Brandishing a firearm in furtherance of a crime of violence
9.5 years in prison
3 years of supervised releaseIn April of 2024, Tucker and Bryant each plead guilty. In June of 2024, a federal jury found Williams guilty following a one-and-a-half-day trial.
According to court documents and evidence introduced at trial, from November 8 through December 3, 2021, Tucker and Bryant worked together to rob eight cell phone retailers around Indianapolis. During each robbery, the men brandished firearms and pointed them at employees, demanded cash, cell phones, and accessories from the store and customers. Williams joined in the eighth and final armed robbery as the getaway driver, stole a license plate for the getaway car and took Tucker to pick up an AR-style rifle used in the robbery.
In total, the trio robbed eight businesses in twenty-five days:
DateLocationDefendantsNovember 8, 2021Verizon, Olio Rd., Fishers.Tucker & BryantNovember 18, 2021T-Mobile, Southport Rd.Tucker & BryantNovember 23, 2021Verizon, Kessler Blvd.Tucker & BryantNovember 26, 2021T-Mobile, E. 86th St.Tucker & BryantNovember 29, 2021T-Mobile, Fox Rd.Tucker & BryantDecember 1, 2021T-Mobile, E. Stop 11 Rd.Tucker & BryantDecember 1, 2021T-Mobile, W. 38th St.Tucker & BryantDecember 3, 2021AT&T, S. Emerson Ave.Tucker & Williams“No one should have a gun pointed in their face by heartless criminals simply because they went shopping, or went to work,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “These armed criminals terrorized their victims with utter disregard for the consequences of their actions—going so far as to point an AR-style firearm at a toddler as their parent shielded the child with their body. These horrific crimes will not be tolerated in our community. The Department of Justice has no higher priority than keeping the public safe from armed, violent crimes. Thanks to the dedicated efforts of the FBI, the Fishers Police Department, IMPD, and our federal prosecutors, our communities will be protected from these criminals for many years to come.”
“The lengthy sentences handed out should serve as a deterrent to remind potential offenders that the FBI and our law enforcement partners are committed to protecting those who live in the communities we serve,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “The defendants didn’t just steal items; they instilled a sense of fear in and disrupted the lives of their victims.
“The sentencing of these three violent felons to a combined 65 years in prison sends a strong message that our community will not tolerate such criminal behavior,” said Ed Gebhart, Fishers Police Chief, “I commend the hard work of our officers, our law enforcement partners and the justice system for ensuring that these dangerous individuals will be off the streets for a significant amount of time.”
The FBI investigated this case. The Fishers Police Department, the Indianapolis Metropolitan Police Department, and the Marion County Prosecutors Office also provided valuable assistance. The sentences were imposed by U.S District Court Judge Jane Magnus-Stinson.
U.S. Attorney Zachary A. Myers thanked Assistant U.S. Attorneys Jeremy C. Fugate and Peter A. Blackett, who prosecuted this case.
This case was part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
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Treasure map leads officers to buried fentanylRead the Press Release
NORFOLK, Va. – Two men pled guilty for their roles in a conspiracy to distribute fentanyl after law enforcement followed a treasure map to buried drugs.
According to court documents, on Dec. 7, 2021, Ronald Devon Matthews, 39, was arrested at his home in Isle of Wight County and has remained in custody since the day of his arrest. Following his arrest, Matthews authorized Demetris Alexander Daniels, 34, of Hampton, to live in the residence.
On Aug. 11, 2022, a federal grand jury indicted Matthews on three counts of being a felon in possession of a firearm and ammunition. On Sept. 29, 2022, Matthews pled guilty to all three counts, and on Feb. 24, 2023, he was sentenced to six years and nine months in prison.
Prior to his arrest, however, Matthews buried 383.02 grams of fentanyl in the ground outside his home for future distribution. On May 2, 2023, while incarcerated at the Federal Correctional Complex (FCC) in Petersburg, Matthews drew a map of his property indicating the location of the buried fentanyl. Matthews drew the map on the reverse side of a sales invoice issued in his name at Petersburg FCC. Matthews transferred the map to Daniels, so that the fentanyl could be retrieved and sold. Matthews also contacted a witness and solicited the witness’ assistance in helping Daniels locate the buried fentanyl.
In May or June 2023, Daniels unsuccessfully tried to find the fentanyl by digging in the yard. On June 15, 2023, the witness contacted Daniels by phone and agreed to meet on June 18, 2023, to look for the fentanyl.
On June 16, 2023, law enforcement officers with the Isle of Wight Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) executed a search warrant on the residence with Daniels present. Investigators located the map in the bedroom used by Daniels. Following the map, the officers discovered the spot where the drugs were buried and recovered a container with the fentanyl inside.
On Sept. 30, Matthews pled guilty to conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl. He is scheduled to be sentenced on April 11, 2025, and faces a mandatory minimum of five years and up to 40 years in prison.
Daniels pled guilty today to being an accessory after the fact to maintaining a drug-involved premises. He is scheduled to be sentenced on May 1, 2025, and faces up to 10 years in prison.
Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; James VanVliet, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division; Jason S. Miyares, Attorney General of Virginia; and James R. Clarke Jr., Isle of Wight County Sheriff, made the announcement after U.S. Magistrate Judge Douglas E. Miller accepted the plea.
Assistant U.S. Attorney Darryl J. Mitchell and Special Assistant U.S. Attorney Marc W. West, an Assistant Attorney General with the Virginia Attorney General’s Office, are prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:24-cr-69.
Three Texas Men Face Federal Charges for Robbing an ATM Repairman at Truist Bank in MurfreesboroRead the Press Release
NASHVILLE – A federal grand jury returned an indictment charging Robert Bailey, Jr., 24, Demond Johnson, Jr., 19, and Ryan Smith, Jr., 26, all of Houston, Texas, with one count of bank larceny, announced Thomas J. Jaworski, Acting United States Attorney for the Middle District of Tennessee.
According to the indictment and publicly available information, on November 14, 2023, the defendants stole over $50,000 from an ATM outside of Truist Bank on Old Fort Parkway in Murfreesboro while it was being repaired. Smith was arrested on Interstate 24 while riding in an Uber. Johnson was arrested at the Nashville International Airport. Bailey was able to catch a flight to Houston and was arrested on a later date. Law enforcement officers in Houston seized the bag containing the stolen money when it arrived at the Houston Hobby Airport.
If convicted, each defendant faces up to 10 years in federal prison and a minimum fine of $250,000.
This case was investigated by the Federal Bureau of Investigation, Nashville Field Office and Houston Field Office, the Murfreesboro Police Department, and the Rutherford County Sheriff’s Office. Assistant U.S. Attorney Joseph P. Montminy is prosecuting the case.
An indictment is merely an allegation. The defendants are presumed innocent until proven guilty.
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St. Louis Woman Admits Stealing Dead Grandmother's Government BenefitsRead the Press Release
ST. LOUIS – A woman from St. Louis on Monday admitted stealing from government benefits intended for her grandmother, who had passed away.
Shamari Jackson, 32, pleaded guilty in U.S. District Court in St. Louis to one felony count of theft of government money. She admitted as part of her guilty plea that the deaths of her grandmother and father were not properly reported to the Social Security Administration. Jackson used her grandmother’s debit card to access $13,047 in Social Security benefits that continued to be paid by direct deposit into her grandmother’s account after her death. She also used a $1,200 COVID-19-related stimulus payment intended for her grandmother, her plea says.
Jackson is scheduled to be sentenced Jan. 21, 2025. The theft of government funds charge carries a penalty of up to 10 years in prison, a $250,000 fine or both prison and a fine.
This case was investigated by the Social Security Administration Office of Inspector General. Assistant U.S. Attorney Diane Klocke is prosecuting the case.
Randolph County Woman Sentenced for Methamphetamine TraffickingRead the Press Release
ELKINS, WEST VIRGINIA – Pansy Loraine Ray, age 44, of Elkins, West Virginia, was sentenced today to 36 months in federal prison for methamphetamine trafficking.
According to court documents and statements made in court, Ray assisted Donald Cantrell, Jr., another defendant in this case, by hiding drugs and drug proceeds. Investigators searched Ray’s home and found 220 grams of methamphetamine, $18,000, and drug paraphernalia.
Ray will serve five years of supervised release following her prison sentence.
Cantrell was sentenced to 188 months in prison on October 2, 2024.
Assistant U.S. Attorney Stephen Warner prosecuted the case on behalf of the government.
The Mountain Region Drug Task Force investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
View the release on Cantrell’s sentence here: https://www.justice.gov/usao-ndwv/pr/randolph-county-man-sentenced-methamphetamine-charge-4
Porterville Man Pleads Guilty to Making Destructive Devices and Unlawfully Possessing a SilencerRead the Press Release
FRESNO, Calif. — Joseph Marcus Silva, 28, of Porterville, pleaded guilty today to possessing an unregistered silencer and manufacturing three destructive devices, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Silva manufactured three destructive devices, all of which were designed to expel a projectile by the action of an explosive and were designed for use as a weapon. Silva used a 3D-printer to make two of the destructive devices. One of the destructive devices was similar to a military claymore mine with flash powder that read, “FRONT TOWARDS ENEMY.” A military Claymore mine is a directional fragmentation, antipersonnel mine that will incapacitate, injure, or kill one or more persons. The second 3D‑printed destructive device was a military-type M67 grenade. Silva also made a destructive device using a glass tube with flash powder, BB’s, and a fuse and was in possession of a silencer that was not registered to him.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the Tulare County Agency Regional Gun Violence Enforcement Team of the California Department of Justice and the Porterville Police Department. Assistant U.S. Attorney Karen A. Escobar is prosecuting the case.
Silva was previously ordered detained based on evidence of trafficking in firearms and drugs. He is scheduled for sentencing on Jan. 21, 2025, before U.S. District Judge Jennifer L. Thurston. Silva faces up to 10 years in prison and a $250,000 fine for each of the four charges. The actual sentence, however, will 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.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Pleas Announced in Connection with April 2023 Mass Poisoning in Kalamazoo CountyRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced the guilty pleas of James Smith, aka “Yola,” and Patrick Martin of Kalamazoo County for federal drug charges in connection with an April 2023 mass poisoning event in Kalamazoo County. That event resulted in at least six deaths linked to fentanyl.
“What Kalamazoo experienced in April 2023 is a snapshot of the crisis we confront across America, driven by fentanyl, and snatching the lives of even first-time users with no idea they’re consuming this deadly poison. The enforcement efforts of our federal and state investigators and the recovery efforts of our communities are taking root, and the number of such tragic events are coming down,” said U.S. Attorney Mark Totten. “While we’ll never prosecute our way out of this crisis, today marks an important first step toward justice. This investigation is ongoing, and I encourage anyone with information to come forward. Now is the time.”
In open court, earlier today, Chief U.S. District Judge Hala Y. Jarbou accepted Smith and Martin’s guilty pleas, accounting them guilty of their crimes. Smith faces a maximum sentence of 20 years in federal prison and Martin a maximum sentence of 4 years in prison. The Court set both men to be sentenced on February 6, 2025.
In pleading guilty, Smith admitted to the following facts in his plea agreement: “Between April 12 and 13, 2023, a series of drug-induced overdoes resulted in multiple hospital admissions and more than seven deaths in or around Kalamazoo, Michigan, including victim D.M., named in Count 1 of the Indictment. Defendant, James Smith, distributed the drugs that caused D.M.’s death and caused the deaths and overdoses of several of the other April 2023 victims. Defendant was a cocaine dealer who sold cocaine by the ounce in Kalamazoo. On April 12, 2023, Defendant sold two ounces of what he believed to be cocaine, but what was, in fact, fentanyl, to Patrick Martin, one of his regular customers. Martin passed the fentanyl on to several of his own customers, one of whom was D.M. D.M. used the fentanyl, believing it to be cocaine, overdosed, and died in Portage, Michigan, as a result. Following the series of overdoses, Defendant continued to sell cocaine.”
This investigation is ongoing and anyone with information related to the April 2023 mass poisoning event in Kalamazoo County is encouraged to contact the Kalamazoo Department of Public Safety through the Kalamazoo Valley Enforcement Team (KVET) at 269-337-8880. You may also submit an anonymous tip through the Kalamazoo Silent Observer tip line at 269-343-2100, the “P3Tips” app, or online at www.KalamazooSilentObserver.com.
“Fentanyl-related deaths continue to claim lives at an alarming rate in communities across Michigan and throughout the United States,” said Orville Green, Special Agent in Charge of the Detroit Field Division of DEA. “Working in partnership with our federal, state and local partners, DEA is determined to hold accountable, individuals like James Smith and Patrick Martin.”
According to the Centers for Disease Control (see here), in 2023 at least 107,543 people died from drug poisoning across the United States, which is near the all-time high of 111,029 deaths in 2022. In Michigan, at least 2,931 people died from drug poisoning in 2023. Approximately 75% of the 2023 drug poisoning deaths across the United States were due to fentanyl.
The following services are available for people experiencing addiction, or their friends and loved ones:
- Substance Abuse and Mental Health Services Administration (SAMHSA) Helpline, 1-800-662-4357, www.samhsa.gov/find-support/in-crisis.
- Cope Network (providing free Naloxone and other harm reduction services in Barry, Berrien, Branch, Cass, Calhoun, St. Joseph, and Van Buren Counties), 269-580-8290, www.copenetwork.org.
- The Grand Rapids Red Project (providing free Naloxone and other harm reduction services in Kent and Muskegon Counties), 616-456-9063 (Kent County), 231-563-6865 (Muskegon County), www.redproject.org.
- The Michigan Department of Health and Human Services has a webpage that identifies county-by-county services.
This case was investigated by the Drug Enforcement Administration, the Portage Department of Public Safety, the Kalamazoo Department of Public Safety, and the Michigan State Police.
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Pequot Lakes Man Sentenced to 15 Years in Prison for Producing Child PornographyRead the Press Release
MINNEAPOLIS – A Pequot Lakes man has been sentenced to 180 months in prison followed by 10 years of supervised release for producing images and videos of child sexual abuse, announced United States Attorney Andrew M. Luger.
According to court documents, over the course of several years, Jeffrey Benjamin Adkins, 43, repeatedly engaged in sexual acts with a minor victim. On one of the occasions, Adkins produced a five-minute video that depicted the sexual abuse of a minor.
On May 28, 2024, Adkins pleaded guilty to one count of production of child pornography. He was sentenced on October 4, 2024, in U.S. District Court by Judge Katherine M. Menendez.
This case is the result of an investigation conducted by the FBI.
Assistant U.S. Attorney Emily A. Polachek prosecuted the case.
Owner of Massachusetts Cellular Phone Tower Installation and Repair Business Pleads Guilty to Employment Tax CrimesRead the Press Release
A Massachusetts man pleaded guilty on Friday to willful failure to collect, account for and pay over any payroll taxes owed by businesses he owned and controlled.
According to court documents, Kenneth Marston, of Kingston, was the owner and operator of Bowmar Steel Industries Inc., a steel fabrication company, and Teleconstructors Inc., which provided installation services on cellular phone towers. Marston was responsible for withholding Social Security, Medicare and income taxes from his employees’ paychecks and paying those funds over to the IRS.
However, from approximately March 2015 through December 2018, Marston caused Bowmar Steel and Teleconstructors to not withhold taxes or pay them to the IRS on approximately $3.8 million in wages.
In total, Kenneth Marston caused a tax loss to the IRS of between $550,000 and $1.5 million.
Marston is scheduled to be sentenced on Jan. 3. He faces a maximum penalty of five years in prison. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts made the announcement.
IRS Criminal Investigation is investigating the case.
Trial Attorney Mark McDonald of the Tax Division and Assistant U.S. Attorney James R. Drabick for the District of Massachusetts are prosecuting the case.
Omaha Man Sentenced for Methamphetamine ConspiracyRead the Press Release
United States Attorney Susan Lehr announced that Randall Lee Duncan, age 64, of Omaha, Nebraska, was sentenced October 3, 2024, in federal court in Omaha for his participation in a methamphetamine drug conspiracy. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Duncan to 96 months’ imprisonment. There is no parole in the federal system. After Duncan’s release from prison, he will begin a 3-year term of supervised release. Duncan also agreed to the forfeiture of his 2014 Ford F-250 King Ranch Super Duty Crew Cab pickup which was used to facilitate the drug conspiracy.
As part of a long-term investigation into a known source-of-supply (SOS) operating out of Mexico, the DEA began investigating various related meth distributors operating in the Omaha metro area. One of the local distributors was identified as Randall Duncan.
Beginning on August 17, 2022, Duncan arranged with the SOS to purchase meth for distribution, and DEA surveilled Duncan’s meeting with another known distributor working for the SOS. Following the meeting, Duncan messaged the SOS with complaints about the quality of the meth he had received. Duncan sent a text message photograph of a bag of meth. Law enforcement obtained the photograph.
In April 2023, law enforcement utilized a confidential source to purchase one pound of meth from Duncan. Law enforcement ultimately searched Duncan’s residence and located an additional seven pounds of meth.
This operation was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and
transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
This case was investigated by the Drug Enforcement Administration, the Omaha Police Department, and Bellevue Police Department.
New Canaan Man Sentenced to Prison for Tax EvasionRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that VISHAL DHAR, 56, of New Canaan, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 12 months and one day of imprisonment, followed by two years of supervised release, for tax evasion.
According to court documents and statements made in court, Dhar formed and operated various entities, including Grey Brown, Inc. (a holding company for several restaurants operating under the name “Oaxaca Taqueria”), West Partners, Inc., and NY Cloud Kitchens, LLC. From approximately October 2013 through August 2023, Dhar willfully failed to disclose to the Internal Revenue Service significant income from his business and gifts from family members. Instead of paying his outstanding tax liabilities, Dhar paid off personal and business debts, invested in a new business venture, and paid various personal expenses. In evading his payment of taxes owed, Dhar used financial accounts in the names of entities and other individuals rather than in his own name, paid personal expenses with corporate funds, and omitted significant assets on IRS forms.
In addition, in the bankruptcy case In re Grey Brown Inc., filed in the Southern District of New York, Dhar failed to disclose the receipt of an Employee Retention Credit check in amount of $254,203.01 made payable to Oaxaca Atlantic Avenue, LLC. The Employee Retention Credit is a refundable tax credit for certain eligible businesses and tax-exempt organizations that had employees and were affected during the COVID-19 pandemic.
For the 2011 through 2020 tax years, Dhar owed $272,390.07 in back taxes, penalties, and interest. Dhar has paid full restitution to the IRS.
Dhar pleaded guilty on May 23, 2024.
Dhar, who is released on bond, is required to report to prison on February 12, 2025.
This matter was investigated by the Internal Revenue Service – Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorney David T. Huang.
Mother and Son Sentenced for Drug Trafficking ConspiracyRead the Press Release
BOSTON – A mother and son were sentenced in federal court in Boston for participating in a North Shore-based drug trafficking organization (DTO) that allegedly distributed tens of thousands of counterfeit prescription pills containing fentanyl and methamphetamine.
Javier Bello, a/k/a “Javi,” 29, of Beverly, Mass. was sentenced by U.S. District Court Chief Judge Dennis F. Saylor IV to 180 months in prison followed by five years of supervised release. In May 2024 Bello pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute more than 400 grams of fentanyl and one count of possession with intent to distribute more than 40 grams of a mixture or substance containing a detectable amount of fentanyl.
Bello’s mother, Chevon Dorce, 45, of Lynn, Mass. was sentenced by U.S. District Court Chief Judge Dennis F. Saylor IV to 23 months in prison followed by three years of supervised release. In July 2024, Dorce pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute controlled substances.
According to court documents, the DTO distributed counterfeit oxycodone pills containing fentanyl and counterfeit Adderall pills containing methamphetamine, among other things, to various individuals in the Lynn area. Bello directed a number of individuals to acquire, distribute and store controlled substances on his behalf.
Based on intercepted communications and simultaneous surveillance, it was determined that Bello distributed approximately 1,000 fentanyl pills to Ortiz, which were seized. Subsequent forensic analysis determined that 1,008 counterfeit oxycodone pills contained fentanyl and that the seized pills weighed approximately 135.5 grams.
Bello used his mother’s residence as a stash location. On Oct. 25, 2022, during a search of Dorce’s residence,2.5 kilograms of fentanyl, 22 grams of cocaine, a firearm concealed in a piece of furniture and an inoperable pill press, were recovered.
Bello also used Isaac Clayton’s residence as a second stash location. On Oct. 25, 2022, during a search of Clayton’s residence, various quantities of marijuana, cocaine base and fentanyl, as well as three loaded firearms, additional rounds of ammunition, $2,640 in drug proceeds and materials used to package and distribute controlled substances were recovered. Kion Shepherd also stored controlled substances on Bello’s behalf. On Oct. 25, 2022, during a search of Kion Shepherd’s mother’s home, a backpack containing several hundred grams of fentanyl and cocaine as well as a handgun with an obliterated serial number were recovered. Additionally, Erick Solis Lopez stored and distributed drugs on Bello’s behalf. On Oct. 28, 2022, during a search of Solis’s home more than 2,300 fentanyl pills and more than 100 grams of powder fentanyl from a Subaru Outback registered to Solis and parked at Solis’s residence.
Bello and a co-conspirator, Melvin Nieves, were arrested at Logan Airport as they boarded a flight to California with the intent of purchasing marijuana. At the time of their arrests, Bello and Nieves were in possession of a combined total of $70,000 in United States currency.
Ortiz pleaded guilty in June 2024 and was sentenced to 28 months in prison and three years of supervised release in September 2024; Clayton pleaded guilty in February 2024 and was sentenced to two months in prison to be followed by three years of supervised release, with the first six months to be served in home confinement August 2024;Shepherd pleaded guilty in April 2024 and was sentenced to 70 months in prison in July 2024; Solis pleaded guilty in October 2023 and was sentenced to 62 months in prison in January 2024;Nieves pleaded guilty in October 2023 and was sentenced to 27 months in prison in January 2024.
Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Division; and Geoffrey Noble, Colonel of the Massachusetts State Police made the announcement today. Valuable assistance was provided by the Beverly, Everett, Peabody, Revere, Salem, Saugus and Swampscott Police Departments. Assistant U.S. Attorney Evan D. Panich of the Narcotics & Money Laundering Unit 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 indictment are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Michigan Men Sentenced for Methamphetamine TraffickingRead the Press Release
CLARKSBURG, WEST VIRGINIA – Two Michigan men were sentenced today for their roles in a drug trafficking organization operating in Monongalia County.
Giovanni George, age 34, of Taylor, Michigan, was sentenced today to 141 months in federal prison. Addonis Moore, age 29, of Detroit, Michigan, was sentenced to 121 months. Both previously pled guilty to a charge of possession with intent to distribute methamphetamine.
According to court documents and statements made in court, George and Moore were two of several defendants in a drug trafficking conspiracy that stretched from Michigan to Monongalia County. During a traffic stop, officers found nearly one pound of methamphetamine in George’s car. Moore was a passenger. George has a criminal history that includes domestic battery, possession of controlled substances, unlawful assault, witness intimidation, violation of a protective order, robbery, and wanton endangerment. Moore was previously convicted of drug charges in Michigan.
George will serve three years of supervised release once his prison sentence is complete. Moore will serve five of supervised release.
Assistant U.S. Attorney Zelda Wesley prosecuted the case on behalf of the government.
The Mon Metro Drug Task Force, a HIDTA-funded initiative, investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
Mexican National Sentenced to 30 Months in Prison for Illegal ReentryRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced German Altamirano-Hernandez (42, Mexico) to two years and six months in federal prison for illegal reentry into the United States by a previously deported alien. Altamirano-Hernandez entered a guilty plea in June 2024.
According to court documents, Altamirano-Hernandez is a native and citizen of Mexico. He had been granted voluntary removal from the United States 10 times between 1999 and 2002 after it was determined he was illegally in the United States. In 2005, he was encountered by law enforcement in New Mexico and was prosecuted for illegal entry into the United States, then was deported to Mexico later that year. In 2013, he was encountered by law enforcement in Florida and was convicted of illegal reentry into the United States by a previously deported alien. He was deported to Mexico in 2015 after his release from federal prison. In 2019, Altamirano-Hernandez was encountered by law enforcement in Arizona, after having crossed the border illegally, and was prosecuted a third time for illegal reentry into the United States. He was again deported to Mexico in 2020 after his release from federal prison.
In March 2024, Altamirano-Hernandez was encountered by deputies with the Flagler County Sheriff’s Office when they conducted a traffic stop on the car he was driving. During the stop, Altamirano-Hernandez provided deputies with a false name and a fraudulent identification card. During a search of his car, deputies found multiple forms of fraudulent identification. After confirming Altamirano-Hernandez’s identity, he was arrested. Altamirano-Hernandez admitted to law enforcement that he had again unlawfully reentered the United States.
This case was investigated by U.S. Customs and Border Protection and the Flagler County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Elisibeth Adams.
Mexican National Ordered to Serve A Consecutive Prison Sentence for Reentering the United States IllegallyRead the Press Release
Tampa, Florida – U.S. District Judge Richard A. Lazzara has sentenced Ramon Ochoa (43, Mexico) to 18 months in federal prison, consecutive to another sentence Ochoa is serving in the Florida Department of Corrections, for illegal reentry into the United States after deportation. Ramon Ochoa entered a guilty plea on July 8, 2024.
According to court documents, Ochoa is a Mexican citizen who entered the United States illegally in 2008 and again in 2014. He was removed from the United States on both occasions, most recently in May 2014. In 2017, Ochoa again entered the United States without permission from appropriate government officials, and he remained here until he was arrested in Polk County in May 2019. United States Customs and Border Protection (CBP) officials were alerted to the fact that Ochoa was in custody in the Polk County Jail under the name Samuel Santana-Ortuno and was charged with trafficking in methamphetamine. Ochoa admitted to a Border Patrol agent that his true name is Ramon Ochoa and he did not have any documents allowing him to enter the United States.
Ochoa was later sentenced in state court to seven years’ imprisonment for his state drug-trafficking offense. Judge Lazzara ordered that his 18-month federal sentence be served consecutive to his state prison sentence.
This case was investigated by United States Customs and Border Protection. It was prosecuted by Assistant United States Attorney Michael Sinacore.
Mexican National Charged with Illegal ReentryRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Elvis Alfonso Lopez-Perez, age 31, of Mexico, was indicted on October 2, 2024, by a federal grand jury for illegal reentry into the United States by a previously deported alien.
According to United States Attorney Gerard M. Karam, the indictment alleges that Lopez-Perez was previously removed from the United States on February 1, 2013. It is alleged that he was subsequently found in the United States on May 28, 2024, in Cumberland County, without having first obtained legal permission to reenter the country.
This matter was investigated by U.S. Immigration and Customs Enforcement and Removal Operations (ERO). Assistant United States Attorney Michael Scalera is prosecuting the case.
The maximum penalty under federal law for this offense is two 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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Mexican Man Pleads Guilty to Federal Immigration CrimeRead the Press Release
CHARLESTON, W.Va. – David Cuevas, 45, a Mexican national, pleaded guilty today to fraud and misuse of a lawful Permanent Resident Card.
According to court documents and statements made in court, on May 30, 2019, Cuevas fraudulently possessed and used information from a Permanent Resident Card issued in the name of another individual to apply for an individual explosives license from the West Virginia Office of the State Fire Marshal. Cuevas admitted that he knew the information on his explosives application was false and that he submitted the other individual’s Permanent Resident Card with the application. Cuevas further admitted that he sought the explosives license to assist him in his employment laying a pipeline in Greenbrier, Nicholas and Fayette counties for a construction company.
Cuevas is scheduled to be sentenced on November 21, 2024, and faces a maximum penalty of 10 years in prison, up to three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Department of State-Diplomatic Security Service, U.S. Immigration and Customs Enforcement (ICE) Enforcement and Removal Operations (ERO) of the U.S. Department of Homeland Security, the West Virginia Office of the State Fire Marshal, and the West Virginia Fusion Center.
Senior United States District Judge John T. Copenhaver, Jr. presided over the hearing. Assistant United States Attorney Erik S. Goes is prosecuting the case, and former Assistant United States Attorney Stefan Hasselblad previously handled the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:19-cr-177.
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Man Who Bound and Raped Au Pair, Victimized Other Women and Girls, Sentenced to Life in PrisonRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Arisknight Winfree, 32, of East Lansing, was sentenced to life in federal prison for sexually exploiting four women, including two minors, in 2022. Winfree was convicted on multiple charges that included Kidnapping (Count 1), Coercion and Enticement (Count 2), Attempted Coercion and Enticement (Count 3), and Production of Child Pornography (Counts 4 and 5).
“Arisknight Winfree is a sexual predator whose horrendous acts caused immeasurable harm to the women and girls upon whom he preyed,” said U.S. Attorney Mark Totten. “This life sentence is necessary to protect the community and bring a measure of justice to the survivors.”
Winfree targeted his victims in multiple ways, including through use of the messaging service on various social media apps and through an online service that connects individuals, often young women, with host families in need of childcare and light housework. The Court convicted Winfree of five crimes involving four victims.
First, Winfree was convicted of Kidnapping (Count 1) and Coercion and Enticement (Count 2) for the crimes he committed against S.D. The victim was a young woman living in Italy who Winfree contacted on September 5, 2022 through AuPair.com, a website service that connects young women with potential host families. Winfree falsely represented that his family was in search of an au pair to care for his niece. On October 12, 2022, S.D. flew from Italy to Detroit, Michigan, and then took a bus to Winfree’s residence in East Lansing, Michigan. The day after she arrived, Winfree handcuffed his victim’s hands behind her back, placed a gag ball in her mouth, and raped her. Winfree considered killing his victim and hiding her body to avoid prosecution.
Second, Winfree was convicted of Attempted Coercion and Enticement (Count 3) for the crimes he committed against A.S. Winfree connected with A.S. through AuPair.com in July 2022, falsely representing he needed someone to watch his 7-year-old niece every other week. Winfree paid for A.S. to fly to Michigan on September 14, 2022. When A.S. got to Winfree’s residence, she noticed all the windows were covered with paper and cardboard. She also noticed there were cameras around the house. A.S. saw no signs of children. She saw several knives and guns around the house. On September 16, 2022, A.S.’s family called the East Lansing Police Department and requested a welfare check for A.S. With the assistance of the police, the victim left the residence with her belongings and returned to Kansas.
Third, Winfree was convicted of Production of Child Pornography (Count 4) for the crimes he committed against Minor Victim 1 (MV1). Winfree connected with MV1 on Instagram in November 2022, when the victim was 17 years old. From November 29-30, MV1 created nude images at Winfree’s request and sent them to him through the social media app’s messaging feature. On November 30, 2022, Winfree picked MV1 up from her high school, drove her to his home, and engaged in sexual acts with her.
Fourth, Winfree was convicted of another count of Production of Child Pornography (Count 5) for the crimes he committed against Minor Victim 2 (MV2). Winfree connected with MV2 in September or October of 2022 on SnapChat, when the victim was 16 years old. He instructed MV2 to engage in sexual acts and send images and videos to him through SnapChat and later through WhatsApp.
Further details are provided in the attached Complaint and the United States’ Statement of Facts Establishing Defendant’s Guilt.
“The sentencing of Arisknight Winfree marks a significant step towards healing for all those who suffered from his callous and heinous criminal acts,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “Individuals who engage in sexual exploitation involving minors will be investigated and arrested by the FBI and our law enforcement partners in Michigan. The collective investigative efforts by members from FBI Michigan, the East Lansing Police Department, and the prosecutorial efforts of the United States Attorney's Office of Western Michigan prevented another crime from being committed by Mr. Winfree.”
“The East Lansing Police Department would like to thank the FBI and the U.S. Attorney’s Office for the Western District of Michigan for their commitment to this case,” said ELPD Police Chief Chad Pride. “Arisknight Winfree’s conviction on multiple charges shows our collaborative partnerships were essential in bringing justice to the survivors of these awful acts and holding Arisknight accountable for his actions.”
This case is part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. The U.S. Attorney’s Office, county prosecutor's offices, the Internet Crimes Against Children task force (ICAC), federal, state, tribal, and local law enforcement are working closely together to locate, apprehend, and prosecute individuals who exploit children. The partners in Project Safe Childhood work to educate local communities about the dangers of online child exploitation, and to teach children how to protect themselves. For more information about Project Safe Childhood, please visit the following website: www.projectsafechildhood.gov. Individuals with information or concerns about possible child exploitation should contact local law enforcement officials.
Assistant United States Attorney Davin Reust prosecuted this case. The East Lansing Police Department, Michigan State University Police and Public Safety, and the FBI investigated it.
The U.S. Attorney’s Office for the Western District of Michigan issued the previous press releases in this case and a related case:
- February 15, 2023 – East Lansing Man Indicted for Kidnapping and Raping Italian Teen, Attempting to Rape Another Teen, and Sexually Exploiting Two Minors.
- April 10, 2024 – Man Who Bound and Raped Au Pair Pleads No Contest.
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- February 15, 2023 – East Lansing Man Indicted for Kidnapping and Raping Italian Teen, Attempting to Rape Another Teen, and Sexually Exploiting Two Minors.
MS-13 Gang Member Sentenced to over Five Years in Prison for Illegally Possessing Ammunition in A “Ghost Gun”Read the Press Release
SAN FRANCISCO – Christian Quintanilla, a/k/a “Casper,” was sentenced to 63 months in prison for illegally possessing 11 rounds of unfired ammunition near 16th Street and Mission Street in the Mission District of San Francisco, announced First Assistant United States Attorney Patrick D. Robbins and Homeland Security Investigations (HSI) Special Agent in Charge Tatum King. The sentence was handed down by the Hon. Richard Seeborg, Chief United States District Judge.
Quintanilla, 24, of San Pablo, pleaded guilty to the unlawful ammunition possession charge on Mar. 19, 2024. Quintanilla had previously admitted in a plea agreement to being a member of the MS-13 20th Street clique. According to court documents, Quintanilla had been sentenced to 36 months’ imprisonment for his participation in two MS-13 gang-related assaults in San Francisco and was therefore prohibited from carrying either a firearm or ammunition. Nevertheless, as described in court documents, Quintanilla was a passenger in a car with other MS-13 associates that led California Highway Patrol officers on a high-speed chase on June 17, 2023, after which officers located a handgun with a loaded magazine and a round in the chamber in the car. Quintanilla’s involvement in this incident violated the terms of his federal supervised release, which led to the issuance of an arrest warrant. On Sept. 7, 2023, San Francisco Police Department officers encountered Quintanilla near 16th Street and Mission Street in San Francisco. When officers arrested Quintanilla, they found a 9mm Polymer 80 pistol (a “ghost gun”) with an extended magazine containing 11 unfired cartridges of 9mm ammunition.On Oct. 25, 2023, a federal grand jury indicted Quintanilla, charging him with one count of being a felon in possession of ammunition, in violation of 18 U.S.C. § 922(g)(1).
In addition to the 63-month prison term, Chief Judge Seeborg ordered Quintanilla to serve three years of supervised release to begin after his prison term is completed. Chief Judge Seeborg also found that Quintanilla’s possession of the weapon and ammunition violated the terms of his release relating to his August 2021 conviction and revoked his release, imposing a sentence of 24 months’ imprisonment to run concurrently with the 63-month term.
Assistant U.S. Attorneys Aseem Padukone and Andrew Scoble prosecuted the case, with the assistance of Kevin Costello and Yenni Weinberg. The prosecution is the result of an investigation by HSI.