title: Colorado Man Sentenced for Cyberstalking Three Individuals in Hawaii and Obstructing Justice

component: Criminal Division

body_text: A Colorado man was sentenced yesterday to eight years and one month in prison followed by three years of supervised release for cyberstalking and obstruction of justice offenses committed in Hawaii. According to court documents, from May 2022 to August 2022, John B. Hart, 54, of Louisville, while living in Hawaii, engaged in a cyberstalking campaign to harass and intimidate his former girlfriend, Jane Doe 1; her former partner, John Doe 1; and her then-partner, John Doe 2. Hart frequently posed as John Doe 1 while targeting his other two victims, and also pretended to target himself in an attempt to deflect attention away from himself and falsely implicate John Doe 1. Hart hid his true identity by using multiple “burner apps” to generate dozens of fake phone numbers that he used to message his victims. Hart also falsely reported the conduct to local and federal law enforcement authorities and others, claiming that John Doe 1 was responsible and posed a genuine and serious threat to Hart and others. Two days after being questioned by federal agents, Hart deleted one of his personal e-mail accounts in an attempt to obstruct the ongoing investigation. Hart pleaded guilty in April to three counts of cyberstalking and one count of obstruction of justice. In his plea agreement, Hart admitted to posing as John Doe 1 and committing acts directed at each of his three victims, including, among other things: (1) sending communications to Jane Doe 1 encouraging her to kill herself; (2) sending communications to Jane Doe 1, her family members, and her associates claiming that John Doe 2 was a human trafficker who may have kidnapped Jane Doe 1; (3) sending communications to Jane Doe 1’s family members, John Doe 2, and their associates that contained express or implied threats to kill, kidnap, rape, and otherwise injure Jane Doe 1; (4) creating online dating profiles in Jane Doe 1’s name, and sending messages causing multiple men to appear at Jane Doe 1’s workplace; (5) sending communications to John Doe 2 claiming to have sexual photos and videos of Jane Doe 1 and threatening to post them online and distribute them to her friends and family; and (6) spray-painting Jane Doe 1’s vehicle and placing metal spikes on the ground near her tires, while her vehicle was parked outside of her place of employment. Hart has been detained since his August 2023 arrest in Colorado. Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division, U.S. Attorney Clare E. Connors for the District of Hawaii, Special Agent in Charge Steven Merrill of the FBI Honolulu Field Office, and Acting Assistant Director James C. Barnacle Jr. of the FBI’s Criminal Investigative Division made the announcement. The FBI investigated the case. Senior Trial Attorney Mona Sedky of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorneys Sara D. Ayabe and Aislinn Affinito for the District of Hawaii prosecuted the case.


title: Third member of smuggling scheme found guilty

component: USAO - Texas, Southern

body_text: CORPUS CHRISTI, Texas – A federal jury has convicted a 49-year-old Cuban national for conspiring to unlawfully transport non-U.S. citizens, announced U.S. Attorney Alamdar S. Hamdani. The jury deliberated for less than one hour before finding Deivis Reinaldo Rodriguez-Ramirez guilty following a two-day trial. The jury heard evidence that Rodriguez-Ramirez was part of a group of three men conspiring to conceal undocumented individuals inside a tractor-trailer. On Aug. 21, 2023, Daikiel Perdomo-Castro drove the tractor-trailer into the Border Patrol checkpoint near Falfurrias with no visible occupants. There, authorities asked Perdomo-Castro to drive the vehicle through an X-ray inspection. Law enforcement discovered Rodriguez-Ramirez, who had moved into the passenger seat, and eight individuals illegally present and attempting to hide in the sleeper compartment of the tractor. A third co-conspirator, Macdiel Labrada-Martin, was also found in the sleeper compartment. During the trial, the defense attempted to convince the jury that even though Rodriguez-Ramirez was in the tractor with the other two-conspirators and the eight undocumented aliens, he had no part in the offense. They did not believe those claims and found Rodriguez-Ramirez guilty as charged. Perdomo-Castro, 40, and Labrada-Martin, 32, both of Louisville, Kentucky, previously pleaded guilty and received sentences of nine and 15 months in federal prison, respectively. U.S. District Judge Nelva Gonzales-Ramos presided over the trial and set sentencing for Dec. 4. At that time, Rodriguez-Ramirez faces up to 10 years in federal prison and a possible $250,000 fine. He was permitted to remain on bond pending that hearing. Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorneys Young Burkett and Ashley Martin are prosecuting the case.


title: India- and New Jersey-Based Jeweler Admits Multimillion-Dollar International Trade Fraud Scheme and Unlicensed Money Transmitting

component: USAO - New Jersey

body_text: NEWARK, NJ. – An India- and New Jersey-based man who operated jewelry companies in New York City’s Diamond District admitted today to spearheading a scheme to illegally evade customs duties for more than $13.5 million of jewelry imports into the United States and with illegally processing more than $10.3 million through an unlicensed money transmitting business, U.S. Attorney Philip R. Sellinger announced. Monishkumar Kirankumar Doshi Shah, aka “Monish Doshi Shah, 39, of Mumbai, India, and Jersey City, New Jersey, pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to an information charging him with one count each of conspiracy to commit wire fraud and operating and aiding and abetting the operation of an unlicensed money transmitting business. According to documents filed in this case and statements made in court: From December 2019 through April 2022, Shah engaged in a scheme to evade duties for shipments of jewelry from Turkey and India to the United States. Shah would ship and/or instruct his conspirators to ship goods from Turkey or India – which would have been subject to an approximately 5.5 percent duty if shipped directly to the United States – to one of Shah’s companies in South Korea. Shah’s conspirators in South Korea would change the labels on the jewelry to state that they were from South Korea instead of Turkey or India, and then ship them to Shah or his customers in the United States, thereby unlawfully evading the duty. Shah would also make and instruct his customers to make fake invoices and packing lists to make it look like Shah’s South Korean companies were actually ordering jewelry from Turkey or India. Shah also instructed a third-party shipping company to provide false information to U.S. Customs and Border Protection (CBP) concerning the origin of the jewelry. During the scheme, Shah shipped approximately $13.5 million of jewelry from South Korea to the United States without paying the appropriate duty. From July 2020 through November 2021, Shah owned and/or operated numerous jewelry companies in New York City’s Diamond District, including MKore LLC, MKore USA Inc., and Vruman Corp. Shah used these entities to conduct more than $10.3 million in illegal financial transactions for customers, including converting cash to checks or wire transfers. Shah would also collect cash from customers and use other individuals’ jewelry companies to convert the cash into wires or checks. At times, Shah and other members of the money transmitting business moved hundreds of thousands of dollars in a single day. In exchange for their services, Shah or other members of the money transmitting business charged a fee. None of Shah’s or his associates’ companies were registered as money transmitting businesses with New York, New Jersey, or the Financial Crimes Enforcement Network (FinCEN). As part of his plea agreement, Shah agreed to pay restitution to CBP in the amount of $742,500 for the wire fraud scheme and forfeiture in the amount of $11.13 million for the wire fraud and unlicensed money transmitting schemes. The wire fraud conspiracy charge is punishable by a maximum of 20 years in prison. The charge of operating and aiding and abetting the operation of an illegal money transmitting business carries a maximum penalty of five years in prison. Each count is also punishable by a maximum fine of either $250,000 or twice the gain or loss from the offense, whichever is greatest. Sentencing is scheduled for Jan. 23, 2025. U.S. Attorney Sellinger credited special agents and task force officers of IRS – Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan in Newark; special agents of Homeland Security Investigations New York, under the direction of Acting Special Agent in Charge Darren B. McCormack; special agents of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge William S. Walker; and special agents with U.S. Customs and Border Protection at the Port of New York/Newark, under the direction of Port Director TenaVel Thomas, with the investigation leading to today’s guilty plea. He also thanked U.S. Customs and Border Protection in New York; Homeland Security Investigations in Seoul, South Korea; the Korea Customs Service in South Korea; the Seoul Customs Special Investigation Office in South Korea; the U.S. Drug Enforcement Administration in Paterson; the Parsippany-Troy Hills Police Department; the Morristown Police Department; the Federal Deposit Insurance Corporation – Office of Inspector General; and the Justice Department’s Money Laundering and Asset Recovery Section (MLARS). 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 government is represented by Assistant U.S. Attorneys Marko Pesce and Olta Bejleri of the Economic Crimes Unit in Newark. shah.information.pdf


title: Kalispell couple admit defrauding Social Security Administration

component: USAO - Montana

body_text: MISSOULA — A Kalispell couple today admitted to stealing nearly $200,000 from the Social Security Administration by falsely reporting their living and financial situation so they could receive more benefits on behalf of their children than they were entitled, U.S. Attorney Jesse Laslovich said. The defendants, Mistie Lynn Knapton, 49, and her husband, Travis Ray Knapton, 50, each pleaded guilty to theft of government money in separate hearings. Mistie Knapton pleaded to a felony charge and faces a maximum of 10 years in prison, a $250,000 fine and three yeas of supervised release. Travis Knapton pleaded to a misdemeanor charge and faces a maximum of one year in prison, a $100,000 fine and one year of supervised release. U.S. District Judge Donald W. Molloy presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing for both defendants was set for Jan. 9, 2025. The defendants were released pending further proceedings. The government alleged in court documents that the Knaptons received benefits from the Social Security Administration (SSA) on behalf of five of their children through the Supplemental Security Income (SSI) program. The program is meant to provide monthly payments to people with disabilities who have little to no income or resources. The SSI program has income and asset limits, either of which could make a beneficiary ineligible for benefits. The government further alleged that Mistie was the representative payee for her children enrolled in SSI. In May 2009, Mistie wrote to SSA that Travis no longer lived with her and her children. Mistie frequently reported to SSA that she and the children paid rent for their housing, that Travis was not a member of the household and that their only income was child support Travis paid to Mistie. However, from 2009 to present, Travis owned the houses that Mistie and the children lived in, he frequently lived with them, and he paid for vehicles, food and other living expenses for the family from his income. In addition to the houses, Travis owned several cars, trucks, ATVs, a motorcycle and a jet ski. In September 2020, SSA conducted a redetermination of benefits for one of the children. The agency determined that Mistie failed to list Travis as a member of the household and told SSA that she paid rent of $1,400 a month. Mistie also confirmed that “no one in the household was a parent or child of either the landlord or his/her spouse.” In truth, Mistie and Travis jointly owned the house, and Travis was part of the household at that time. SSA analyzed the Knapton’s assets and determined that from April 2011 through February 2024, the Knapton children would not have qualified for SSI benefits had SSA known the truth abut the Knapton’s living and financial situation. SSA calculated that the Knapton children received $196,575 in SSI benefits they were not actually eligible to receive. The SSI income was paid into separate bank accounts for each child. Mistie frequently shared and transferred this money, stolen from the United States, into Travis’ bank account. Travis then used the stolen money to purchase homes and vehicles, pay for general living expenses and other items for himself and his family. The U.S. Attorney’s Office is prosecuting the case. The SSA Office of Inspector General and Montana Division of Criminal Investigation conducted the investigation. XXX


title: Canadian Man Pleads Guilty to $1.4 Million Embezzlement Scheme

component: USAO - Massachusetts

body_text: BOSTON – A Canadian man pleaded guilty today in federal district court in Boston to embezzling more than $1.4 million from his employer and its clients. Adil Rahman, 36, of Ontario, Canada, pleaded guilty to one count of wire fraud before United States Senior District Judge William G. Young, who scheduled sentencing for Dec. 9, 2024. Rahman was charged in July 2024. Rahman worked in Ontario, Canada as a credit analyst for Company A – a subsidiary of a large electrical distribution and services company based in Pittsburgh. As part of his job, Rahman interacted with clients of Company A concerning invoices for the company’s services. Between November 2022 and December 2023, Rahman directed certain customers of Company A to pay their invoices via ACH transfers to his personal bank account, rather than to the account of Company A. For example, in or about November 2022, Rahman sent an email to the accounts payable department of Company B – a nonprofit municipal corporation based in Hartford, Conn. – asking if the company would be interested in paying future invoices to Company A by ACH transfer rather than by check. When Company B agreed to do so, Rahman provided his personal account information to Company B. Thereafter, under the false impression that it was sending the money to Company A to pay the invoices it owed, Company B sent at least 15 ACH transfers to Rahman’s personal account between December 2022 and June 2023. Likewise, in May 2023, Rahman emailed the accounts payable department at Company C – a privately held provider of corporate security systems based in Andover, Mass. – asking if Company C wished to pay future invoices by ACH transfer. Once again, when Company C agreed to do so, Rahman provided his personal bank account information and Company C thereafter made 11 ACH transfers to Rahman’s personal account between May 2023 and July 2023. In total, through this scheme, Rahman defrauded Company A and its clients of more than $1.4 million. The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000 or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigations, Boston Division made the announcement. Assistant U.S. Attorney Stephen E. Frank, Chief of the Securities, Financial & Cyber Fraud Unit, is prosecuting the case.


title: Lancaster Woman Pleads Guilty to Defrauding Two Nonprofit Veterans Organizations

component: Federal Bureau of Investigation (FBI)

body_text: PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Jessika L. Hiepler, 46, of Lancaster, Pennsylvania, entered a plea of guilty today before United States District Judge Jeffrey L. Schmehl to two counts of wire fraud related to her scheme to defraud two nonprofit veterans organizations, American Legion Post 34 and American Veterans Post 19. Hiepler and her associate netted $1.425 million from the fraud scheme. The defendant was charged with these violations by criminal information on August 12. For nearly 15 years, Hiepler served as a board member and as the manager, treasurer, and financial officer for American Legion Post 34 (“Legion Post 34”). In 2019, Hiepler offered to “bail out” a separate veterans’ organization, American Veterans Post 19 (“AMVETS Post 19”), that was facing financial difficulties. Under the pretext of bailing out AMVETS Post 19, Hiepler assumed control over its financial affairs and acquired its valuable four-acre commercial property through theft, deceit, and misrepresentation. First, Hiepler misled AMVETS Post 19 to secure approval for the bailout, including with the false promises of an interest-free loan, minimal rent, and full transparency. Second, Hiepler stole from her then-employer, Legion Post 34, to raise funds for the bailout. Third, once in control of AMVETS Post 19’s finances, Hiepler also stole from AMVETS Post 19 and used its funds for her own benefit. Fourth, Hiepler concealed her self-dealing, manipulated and altered financial records, and destroyed financial and business records at both Legion Post 34 and AMVETS Post 19. From the outset, the defendant schemed about making money and selling the AMVETS Post 19’s property at 715 Fairview Avenue in Lancaster, PA. In Hiepler’s own words: “[W]e will make our money and they [AMVETS Post 19] can kiss our a[**]” “I am ready to get rid of these motherf[*****]s. . . . I can’t wait for sh[**] to be ours” “I can’t wait to see their face when we hand them their eviction notice” “Honestly all I want is my money. That’s it. I could care f[***]ing less about any of them.” Three years after acquiring the AMVETS Post 19’s property for a below-market rate of $500,000 through the “bailout,” Hiepler’s real estate investment company sold the fraudulently obtained property for $1.95 million, and booked a gain of $1.425 million after expenses. “Jessika Hiepler’s contempt for her victims, veterans who served this country, is palpable — and despicable,” said U.S. Attorney Romero. “Not only did she defraud these organizations, she did so gleefully, hurling insults and expletives behind the scenes. My office and the FBI will never stop working to hold crooks like this accountable on behalf of fraud victims, both past and potential.” “In weaving a web of lies and deception, this defendant pocketed over one million dollars intended for organizations dedicated to supporting our nation’s veterans,” said Wayne A. Jacobs, Special Agent in Charge of FBI Philadelphia. “FBI Philadelphia and our law enforcement partners will continue to pursue criminals who prey on the public for their own personal profit.” Hiepler faces a maximum possible sentence of 40 years in prison, three years of supervised release, and a $500,000 fine, along with restitution. As part of the plea agreement, Hiepler agreed to a forfeiture money judgment in the amount of $1,425,847.24. The case was investigated by the FBI, with assistance from the Lancaster City Bureau of Police, and is being prosecuted by Assistant United States Attorneys Samuel S. Dalke and Andrew Jenemann.


title: Second Beaumont man sentenced to federal prison in cat kicking case

body_text: BEAUMONT, Texas – A Beaumont man has been sentenced to federal prison for animal cruelty violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today. Donaldvan Williams, 30, pleaded guilty to animal crushing and aiding and abetting and was sentenced to 40 months in federal prison by U.S. District Judge Marcia A. Crone on September 10, 2024. Animal crushing is defined under federal criminal law as, “actual conduct in which one or more living non-human mammals, birds, reptiles, or amphibians, is purposely crushed, burned, drowned, suffocated, impaled, or otherwise subjected to serious bodily injury.” According to information presented in court, on October 15, 2021, Williams and Decorius Mire encountered a live domestic cat in the parking lot of a Beaumont apartment complex. Williams, encouraged by Mire, kicked the cat as if kicking a football field goal, propelling the cat approximately 15 to 20 feet through the air. Williams was aware that Mire filmed the event with his cellular telephone and posted the video on his social media accounts where it was commented on and shared with others. Williams and Mire were prosecuted under the Preventing Animal Cruelty and Torture (PACT) Act. Signed into law in November 2019, the PACT Act bans the intentional crushing, burning, drowning, suffocating, impalement or other serious harm to “living non-human mammals, birds, reptiles, or amphibians.” The law also bans “animal crush videos,” meaning any photograph, motion picture film, video or digital recording or electronic image that depicts animal cruelty. Mire was sentenced to 18 months in federal prison in July 2023. This case was investigated by the Beaumont Police Department and the FBI and prosecuted by Assistant U.S. Attorney Joseph R. Batte and Department of Justice and Environmental and Natural Resource Division Trial Attorney Ethan Eddy. ###


title: Missouri Man Admits Producing Child Pornography

body_text: CAPE GIRARDEAU – A man from the unincorporated community of Patterson, in Wayne County, Missouri on Tuesday admitted producing images and videos containing child sexual abuse material for years. Kevin D. Carroll, 59, pleaded guilty in U.S. District Court in Cape Girardeau to one count of sexual exploitation of a minor. He admitted producing child sexual abuse material by taking pictures and videos of a child starting when the victim was 8 years old. Carroll said he took pictures and videos for about four years. An investigation began when deputies with the Wayne County Sheriff’s Department were called to Carroll’s home for a domestic dispute and seized electronic devices containing the child sexual abuse material. As part of the plea, both sides will recommend 25 years in prison at Carroll’s sentencing, which is scheduled for December 11. The FBI and the Wayne County Sheriff’s Department investigated the case. Assistant U.S. Attorney Julie Hunter is prosecuting the case. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc .


title: Missouri Man Sentenced to 3 Years in Federal Prison for Fraud and Tax Offenses

component: USAO - Connecticut

body_text: Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that LYELL CHAMPAGNE, JR., 24, of St. Louis, Missouri, was sentenced today by U.S. District Judge Sarala V. Nagala in Hartford to 36 months of imprisonment, followed by three years of supervised release, for offenses stemming from two separate fraud schemes. According to court documents and statements made in court, between approximately March 2021 and April 2022, Champagne conspired with Kristian Gupta to obtain online bank account credentials from potential victims, and then transfer money from victims’ bank accounts to cryptocurrency accounts controlled by Champagne and Gupta. As part of the scheme, Gupta provided Champagne with personal identifying information of victims, and Champagne used that information to open email accounts and accounts at a cryptocurrency exchange. Champagne and Gupta attempted to recruit bank “insiders” to participate in their scheme, but were disrupted by an undercover law enforcement investigation and failed to transfer any funds from compromised accounts. In a second scheme, Champagne filed wholly fictitious tax returns for “Shireberk International,” which had no actual business operations, for the 2018 through 2021 tax years. The returns resulted in a refund of $3,449,935. Judge Nagala ordered Champagne to pay restitution of $111,738.52. The remaining funds were recovered by law enforcement. On June 11, 2024, Champagne pleaded guilty to one count of conspiracy to commit bank fraud and one count of filing false claims with the IRS. He has been detained since October 2022 when his bond was revoked. On April 19, 2024, Gupta, of Port Charlotte, Florida, pleaded guilty to conspiracy to commit bank fraud. He is scheduled to be sentenced on September 19, 2024. This matter has been investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Edward Chang.


title: Convicted Felon Indicted for Possessing a Firearm

component: Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF)

body_text: A federal grand jury returned an indictment today charging a Mississippi man with being a felon in possession of a firearm. The indictment charges that, on or about June 28, Marquez Dante Scott, 21, of Jackson, knowingly possessed a firearm after he was previously convicted of a crime punishable for a term exceeding one year. If convicted, Scott faces a maximum penalty of 15 years in prison. Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division, and U.S. Attorney Todd W. Gee for the Southern District of Mississippi made the announcement. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case, with assistance from the Capitol Police Department. Trial Attorney Lakeita F. Rox-Love of the Criminal Division’s Violent Crime and Racketeering Section and Assistant U.S. Attorney Matt Allen for the Southern District of Mississippi are prosecuting the case. This case is brought as part of the Criminal Division’s Violent Crime Initiative to prosecute violent crimes in Jackson and the surrounding areas. The Criminal Division and the U.S. Attorney’s Office for the Southern District of Mississippi have partnered, along with local, state, and federal law enforcement agencies, to address violent crimes committed by gang members and associates through the enforcement of federal laws and use of federal resources to prosecute the violent offenders and prevent further violence. An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Two Nashville Men Convicted of Federal Ammunition Charges Following Shooting at Car Wash

body_text: NASHVILLE – Elbert Bryant Gleaves, 29, and Corey Monte Pickett, 35, both of Nashville, Tennessee, were found guilty by a federal jury of possession of ammunition after having previously been convicted of a felony, announced Henry C. Leventis, United States Attorney for the Middle District of Tennessee. The evidence presented at trial showed that on March 18, 2021, defendant Corey Pickett was at the Camel Carwash on Doverside Drive near Dickerson Pike with two other men. Defendant Gleaves drove to the carwash, exited his car wearing a mask, and began shooting at Pickett and the others. After firing nine rounds, Gleaves backed his car out of an entry area, breaking the carwash’s mechanical arm, then fled the scene. Pickett and another man chased Gleaves, running into the adjacent parking lot, while shooting at Gleaves’ car. A passenger in a car sitting at a traffic light on Dickerson Pike was struck in the left upper arm by a bullet from the shootout and critically injured. “These defendants’ reckless disregard for human life resulted in the serious injury of an innocent bystander and placed many others at risk,” said United States Attorney Henry C. Leventis. “As a result of the excellent work of our law enforcement partners and our trial team, they can now be held accountable.” At sentencing, Gleaves and Corey Pickett face up to 10 years in federal prison. A co-defendant in this case, Dezzion Pickett, previously pled guilty to being a felon in possession of a firearm and ammunition as well as drug charges and is scheduled to be sentenced on September 19, 2024. Dezzion Pickett faces 70-87 months in federal prison. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Metropolitan Nashville Police Department. Assistant U.S. Attorneys Rachel M. Stephens and Kathryn D. Risinger are prosecuting the case. # # # # #


body_text: WASHINGTON - A federal grand jury returned an indictment today charging a Mississippi man with being a felon in possession of a firearm. The indictment charges that, on or about June 28, Marquez Dante Scott, 21, of Jackson, knowingly possessed a firearm after he was previously convicted of a crime punishable for a term exceeding one year. If convicted, Scott faces a maximum penalty of 15 years in prison. Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division, and U.S. Attorney Todd W. Gee for the Southern District of Mississippi made the announcement. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case, with assistance from the Capitol Police Department. Trial Attorney Lakeita F. Rox-Love of the Criminal Division’s Violent Crime and Racketeering Section and Assistant U.S. Attorney Matt Allen for the Southern District of Mississippi are prosecuting the case. This case is brought as part of the Criminal Division’s Violent Crime Initiative to prosecute violent crimes in Jackson and the surrounding areas. The Criminal Division and the U.S. Attorney’s Office for the Southern District of Mississippi have partnered, along with local, state, and federal law enforcement agencies, to address violent crimes committed by gang members and associates through the enforcement of federal laws and use of federal resources to prosecute the violent offenders and prevent further violence. An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Former Michigan Police Officer Sentenced for Civil Rights Violation for Violently Assaulting Arrestee

component: Civil Rights Division

body_text: A former Warren, Michigan, police officer was sentenced today to one year and one day in prison for using excessive force against an arrestee while fingerprinting and photographing him at a local detention facility. Matthew Rodriguez, 49, pleaded guilty in March to one count of deprivation of rights under color of law. According to court documents, on June 13, 2023, then-officer Rodriguez was fingerprinting and photographing an arrestee, J.S., who had recently been brought to the Warren Police Department’s jail for processing. During fingerprinting, Rodriguez and J.S. got into a verbal argument and began trading insults. In retaliation for one of J.S.’ remarks, Rodriguez struck J.S. multiple times and slammed J.S.’ head against the fingerprint room floor. In connection with his plea, Rodriguez admitted to writing a report in which he made false statements about the incident and omitted material information in an attempt to cover up his crime. “This defendant swore to protect and serve his community, but instead he abused his power by violently assaulting an arrestee,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This sentence should serve as a reminder to all law enforcement that a badge is not a license to answer verbal insults with physical violence and excessive force. The Justice Department will continue to protect the constitutional rights of all Americans and to hold law enforcement accountable when they violate federal civil rights law.” “Police officers have a duty to protect the civil rights of everyone in our community, including individuals in their custody,” said U.S. Attorney Dawn N. Ison for the Eastern District of Michigan. “Physical abuse of detainees is completely unacceptable and undermines public confidence in the integrity of law enforcement. My office is committed to accountability for all public servants who abuse the public trust, and today’s sentence is a powerful reflection of that commitment.” “When it comes to the public’s trust, law enforcement officers are held to the highest ethical standards,” said Special Agent in Charge Cheyvoryea Gibson of the FBI Detroit Field Office. “The sentencing of former police officer Matthew Rodriguez should serve as a stark reminder that the use of excessive force and deliberate false statements are not only criminal acts but also tarnishes the hard work and dedication of law enforcement officers who serve with integrity every day. This sentencing would not have been possible without the assistance of the Warren Police Department, the U.S. Attorney’s Office of Eastern Michigan and the Justice Department’s Civil Rights Division.” The FBI Detroit Field Office investigated the case, with assistance from the Warren Police Department’s Internal Affairs Unit. Assistant U.S. Attorney Robert Moran for the Eastern District of Michigan and Trial Attorney Alec Ward of the Justice Department’s Civil Rights Division prosecuted the case.


title: Columbia Man Sentenced for Illegal Firearms

component: USAO - Missouri, Western

body_text: JEFFERSON CITY, Mo. – A Columbia, Mo., man was sentenced in federal court today for illegally possessing firearms. Shaune Aaron Price, 36, was sentenced by U.S. District Judge Brian C. Wimes to a total sentence of 10 years and 10 months in federal prison without parole. On Nov. 7, 2023, Price pleaded guilty to two counts of being a felon in possession of a firearm. A detective with the Jefferson City, Mo., Police Department recognized Price on March 23, 2022, and confirmed he had a warrant for his arrest. Officers stopped the bus Price was riding and arrested him. Price had a tan duffle bag that contained a loaded Glock 9mm semi-automatic handgun. The ATF National Integrated Ballistic Information Network (“NIBIN”) conducted an analysis that linked the handgun to three separate events, including a shooting outside Gold Bar in downtown Columbia on Nov. 6, 2021, and a domestic assault on Jan. 1, 2022. Investigators also found a video on Price’s cell phone that depicts him holding a Glock .40-caliber handgun on May 31, 2021. According to the government evidence, Price’s cell phone and Facebook records indicate he possessed at least 11 firearms. Investigators also discovered several messages in which Price bragged about being involved in “shoot-outs,” including one message about being involved in three “shoot-outs” in the past nine days. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Price has prior felony convictions for attempting to carry a concealed weapon and carrying a concealed weapon. This case was prosecuted by Supervisory Assistant U.S. Attorney Lauren E. Kummerer. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson City, Mo., Police Department. Project Safe Neighborhoods 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.


component: USAO - Michigan, Eastern

body_text: DETROIT – A former Warren, Michigan, police officer was sentenced today to one year and one day in prison for using excessive force against an arrestee while fingerprinting and photographing him at a local detention facility. Matthew Rodriguez, 49, pleaded guilty in March to one count of deprivation of rights under color of law. According to court documents, on June 13, 2023, then-officer Rodriguez was fingerprinting and photographing an arrestee, J.S., who had recently been brought to the Warren Police Department’s jail for processing. During fingerprinting, Rodriguez and J.S. got into a verbal argument and began trading insults. In retaliation for one of J.S.’ remarks, Rodriguez struck J.S. multiple times and slammed J.S.’ head against the fingerprint room floor. In connection with his plea, Rodriguez admitted to writing a report in which he made false statements about the incident and omitted material information in an attempt to cover up his crime. “This defendant swore to protect and serve his community, but instead he abused his power by violently assaulting an arrestee,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This sentence should serve as a reminder to all law enforcement that a badge is not a license to answer verbal insults with physical violence and excessive force. The Justice Department will continue to protect the constitutional rights of all Americans and to hold law enforcement accountable when they violate federal civil rights law.” “Police officers have a duty to protect the civil rights of everyone in our community, including individuals in their custody,” said U.S. Attorney Dawn N. Ison for the Eastern District of Michigan. “Physical abuse of detainees is completely unacceptable and undermines public confidence in the integrity of law enforcement. My office is committed to accountability for all public servants who abuse the public trust, and today’s sentence is a powerful reflection of that commitment.” “When it comes to the public’s trust, law enforcement officers are held to the highest ethical standards,” said Special Agent in Charge Cheyvoryea Gibson of the FBI Detroit Field Office. “The sentencing of former police officer Matthew Rodriguez should serve as a stark reminder that the use of excessive force and deliberate false statements are not only criminal acts but also tarnishes the hard work and dedication of law enforcement officers who serve with integrity every day. This sentencing would not have been possible without the assistance of the Warren Police Department, the U.S. Attorney’s Office of Eastern Michigan and the Justice Department’s Civil Rights Division.” The FBI Detroit Field Office investigated the case, with assistance from the Warren Police Department’s Internal Affairs Unit. Assistant U.S. Attorney Robert Moran for the Eastern District of Michigan and Trial Attorney Alec Ward of the Justice Department’s Civil Rights Division prosecuted the case.


title: Sexual predator sentenced to 30 years in federal prison

component: USAO - Mississippi, Northern

body_text: OXFORD, Miss. – U.S. District Judge Sharion Aycock sentenced Joshua Chasestefan Anderson, a 29-year-old Desoto County man, to 30 years in prison for videoing his sexual assault of at least two minors. According to court documents, while investigating the sexual assault of an adult acquaintance, Southaven Police Detective William Boliek uncovered videos Anderson had made and kept of the sexual assaults of at least two minors on his cell phone. Anderson was identified by a distinctive physical trait on his left hand. Anderson was charged with the sexual exploitation of minors and pled guilty on an earlier occasion. In addition to 30 years in prison, Anderson was also sentenced to a life term of supervised release and will be required to register as a sex offender wherever he resides, is employed, attends school, or is a temporary resident. “After choosing to victimize innocent children for his own warped sexual gratification, this defendant has earned every day of the 30-year sentence imposed in this case,” remarked U.S. Attorney Clay Joyner. “I truly appreciate the efforts of AUSA Parker King and Detective Boliek, and the removal of this individual from free society is an important step towards making our District a safer place.” “Thanks to the excellent work done in this investigation and as a part of this prosecution, today’s sentencing has resulted in the removal of a sexual predator from the streets of our community,” said Southaven Police Chief Brent Vickers. “Although we cannot undo the harm caused to these victims, the Southaven Police Department will leave no stone unturned when it comes to investigating and holding accountable sexual offenders who choose to victimize minors and innocent citizens.” The Southaven Police Department investigated the case. Assistant U.S. Attorney Parker S. King prosecuted the case as part of the Project Safe Childhood initiative. Project Safe Childhood is a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. 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. The goal of Project Safe Childhood is to reduce the incidence of sexual exploitation of children.


title: Missouri Man Sentenced to 15 Years for Possessing Child Pornography

component: USAO - Wisconsin, Western

body_text: MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Ryan A. Campbell, 46, Levasy, Missouri, formerly of Amery, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to 15 years in federal prison for possessing child pornography. This term of imprisonment will be followed by 20 years of supervised release. Campbell pleaded guilty to this charge on March 28, 2024. In September 2022, the National Center for Missing & Exploited Children received a tip that Campbell was uploading child pornography. Law enforcement agents later searched a phone seized from Campbell and found child pornography, including images that Campbell himself produced. At sentencing, Judge Peterson questioned whether Campbell understood the seriousness of his actions and was concerned Campbell was deflecting blame for his actions on others. Judge Peterson determined that the 20-year period of supervised release was warranted because the defendant did not seem to accept responsibility for his actions and because he had an impulse toward sexual activity with children. The charge against Campbell was the result of an investigation conducted by the Wisconsin Department of Justice, Division of Criminal Investigation, the Eau Claire County Sheriff’s Office, and the Federal Bureau of Investigation. Assistant U.S. Attorney Elizabeth Altman prosecuted this case. This investigation was a part of Project Safe Childhood, a nationwide initiative to combat child sexual exploitation and abuse. Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc .


title: Pittsburgh Couple Pleads Guilty to Obstruction of Law Enforcement During 2023 Protest on University of Pittsburgh Campus

component: USAO - Pennsylvania, Western

body_text: PITTSBURGH, Pa. - A husband and wife from Pittsburgh, Pennsylvania, pleaded guilty in federal court to obstructing law enforcement during a public gathering and protest in 2023, United States Attorney Eric G. Olshan announced today. Krystal DiPippa, 42, pleaded guilty before United States District Judge J. Nicholas Ranjan to one count of obstruction of law enforcement during civil disorder, and her husband Brian DiPippa, 37, pleaded guilty to one count of conspiracy and one count of obstruction of law enforcement during civil disorder. In connection with the guilty pleas, the Court was advised that the DiPippas participated in an April 2023 protest that occurred on the University of Pittsburgh campus, during which Brian DiPippa ignited and dropped two homemade smoke bomb containers in and around a line of people waiting to enter a building for a scheduled event featuring guest speakers. When university police officers gathered and formed a barrier to prevent protesters from entering the rear of the building, Brian DiPippa, concealed by his wife (Krystal), ignited and threw a large explosive firework into the group of officers, causing a loud explosion and injuries to several officers. “The United States Attorney’s Office is dedicated to prosecuting individuals who physically attack our law enforcement partners,” said U.S. Attorney Olshan. “The DiPippas went to this event not for the purpose of having their voices heard in a protest, but instead for the purpose of using this protest as a means of cover so that they could disrupt the protest and conceal themselves in a crowd while carrying out a cowardly attack on police officers.” “The FBI and our Joint Terrorism Task Force partners want to make it clear: we will not allow the rights protected by the First Amendment to be exploited as cover for individuals to carry out violent attacks on law enforcement,” said FBI Pittsburgh Special Agent in Charge Kevin Rojek. “Peaceful protest is a right afforded to everyone under the Constitution, but not when used as a guise for injuring, maiming, and leaving lasting impacts to victims by launching explosives. These attacks had very real consequences, not only for these individuals, but also for the law enforcement officers who were violently targeted while trying to ensure public safety.” Judge Ranjan scheduled sentencing for January 6, 2025. The law provides for a maximum sentence of up to five years in prison, a fine of up to $250,000, or both, as to each charge. Under the federal Sentencing Guidelines, the actual sentences imposed are based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Pending sentencing, the Court continued the detention of Brian DiPippa, who has been in custody since his June 30, 2023, arrest. Assistant United States Attorney Shaun E. Sweeney is prosecuting this case on behalf of the government. The Federal Bureau of Investigation; Federal Bureau of Investigation Joint Terrorism Task Force, of which the University of Pittsburgh Police is a member; Bureau of Alcohol, Tobacco, Firearms and Explosives, and Pittsburgh Bureau of Police conducted the investigation that led to the prosecution in this case.


title: Springfield Man Sentenced to 20 Years for Drug Trafficking, Illegal Firearms

body_text: SPRINGFIELD, Mo. – A Springfield, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute valeryl fentanyl, which is an analogue of fentanyl, and illegally possessing eight firearms. Darrell L. Smith, 35, was sentenced by U.S. District Judge M. Douglas Harpool to 20 years in federal prison without parole. On Jan. 11, 2024, Smith was found guilty at trial of one count of conspiracy to distribute a fentanyl analogue known as valeryl fentanyl, one count of possessing a fentanyl analogue with the intent to distribute, and one count of possessing firearms in furtherance of a drug-trafficking crime. Co-defendant Eugene C. Saunders, 51, of Springfield, pleaded guilty to his role in the drug-trafficking conspiracy and was sentenced on Aug. 1, 2023, to three years in federal prison without parole. In August 2019, law enforcement learned that Smith and Saunders were selling “heroin” (later determined to be valeryl fentanyl) together in Springfield and that Saunders stored his “heroin” at Smith’s residence. Smith and Saunders often packaged the drug together at Smith’s residence. On Aug. 15, 2019, law enforcement officers executed a search warrant at the residences of both Smith and Saunders. At Smith’s residence, officers seized a large plastic bag that contained valeryl fentanyl and 30 individually packaged sandwich bags of valeryl fentanyl. In plain view on a table in the living room near the bags of valeryl fentanyl, officers found a loaded magazine for a 9mm pistol. Officers found body armor (leaning against his infant daughter’s crib) and seven loaded firearms – including a Smith & Wesson .22-caliber semi-automatic pistol, a Glock 9mm semi-automatic pistol, a Taurus 9mm semi-automatic pistol, a North American Arms .22-caliber revolver, a Mossberg 20-gauge pump shotgun, a Smith & Wesson .45-caliber semi-automatic pistol, and a Winchester 12-gauge shotgun – in an upstairs bedroom. Three of these firearms were located in plain view on a dresser and two shotguns were leaned up against a wall (one directly behind his daughter’s crib). An eighth firearm was found in a child’s bedroom, where Smith had been located when the warrant was executed. This firearm, a Smith & Wesson 9mm semi-automatic pistol, was located underneath a couch cushion on a child’s bed among some toys. At Saunders’ residence, law enforcement recovered 69 individually packaged bags of fentanyl. Evidence introduced at trial revealed that Smith recruited the mother of his infant daughter to the conspiracy and filmed a video of her bagging up fentanyl for distribution in his living room. Smith testified he had filmed the video to use it as leverage in an ongoing custody dispute. This case was prosecuted by Assistant U.S. Attorney Jessica R. Eatmon. It was investigated by the Springfield, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.


title: Ramsey County Felon Charged with Possession with Intent to Distribute Methamphetamine, Illegal Possession of Multiple Firearms

component: USAO - Minnesota

body_text: MINNEAPOLIS – A Ramsey County man has been charged in a superseding indictment with illegal possession of multiple firearms and possession with intent to distribute methamphetamine, announced U.S. Attorney Andrew M. Luger. According to court documents, on May 14, 2023, and on January 29, 2024, Timothy Michael Decker, 39, illegally possessed firearms, including a CZ Model CZ40B .40 caliber pistol, a Taurus Model 38 Special .38 caliber revolver, a Beretta Model 92FSR .22 caliber pistol, and a Girsan Regard Model MC 9-millimeter pistol. Decker also possessed more than 50 grams of methamphetamine. Because Decker has prior felony convictions in Ramsey and Washington Counties, he is prohibited under federal law from possessing firearms or ammunition at any time. The superseding indictment charges Decker with two counts of possessing a firearm as a felon, one count of possession with intent to distribute methamphetamine, and one count of possession of firearms in furtherance of a drug trafficking crime. Decker was arraigned today in U.S. District Court before Magistrate Judge Tony N. Leung. He has been ordered to remain in custody pending further proceedings. This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ramsey County Sheriff’s Office, and the Saint Paul Police Department. Assistant U.S. Attorney David Green is prosecuting the case. An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Michigan Men Admit Smash-and-Grab at St. Louis County Jewelry Store

component: USAO - Missouri, Eastern

body_text: ST. LOUIS – Two men from the Detroit, Michigan area have admitted stealing hundreds of thousands of dollars’ worth of watches from a jewelry store in Ellisville, Missouri. Kordaryl Cross, 25, pleaded guilty in U.S. District Court in St. Louis Tuesday to conspiracy to commit interstate transportation of stolen property. Dajuan Marcellus, 34, pleaded guilty to the same charge July 29. Both men admitted hatching a plan to use a stolen vehicle to travel to the Ellisville store to steal Rolex watches. On Jan. 2, 2023, Marcellus bought a prepaid Visa gift card that Cross used eight days later to purchase sledgehammers at a Missouri retailer. Marcellus, Cross and at least two others stole a Dodge Ram truck from Brentwood that they then drove to Ellisville. Marcellus and one other person entered the store and used sledgehammers to smash glass cases containing the watches while Cross monitored the time. They then drove to a parking garage and abandoned the stolen truck. Cross and Marcellus took the watches to Illinois. Marcellus is scheduled to be sentenced October 29 and Cross on December 9. The charge carries a maximum penalty of 5 years in prison, a $250,000 fine or both prison and a fine. The Ellisville Police Department investigated the case. Assistant U.S. Attorney Gwendolyn Carroll is prosecuting the case.


title: San Antonio Man Sentenced to 15 Years in Federal Prison Following Jury Conviction for Attempting to Meet Minor for Sex

component: USAO - Texas, Western

body_text: SAN ANTONIO – A San Antonio man was sentenced in federal court to 120 months in prison for one count of attempted coercion and enticement of a minor followed by 60 months in prison for one count of attempted transfer of obscene material to a minor. According to court documents, James Martin Shearer, 48, initiated contact with a social media user claiming to be a 15-year-old girl. Shearer asked the minor for her address and a photo of herself, saying he wanted to pick her up and take her for a ride in his car. Shearer continued to text her on a cell phone the next day, asking when they could meet. They agreed the minor would skip school the following day. Shearer then quickly turned the conversation to a sexual nature, telling the girl that her age excited him. The next day, April 27, 2023, Shearer sent an image of himself via text message and arrived at their predetermined meeting spot. Rather than meeting the 15-year-old he believed he had been texting, Shearer was arrested by San Antonio Police officers. A search of his vehicle revealed methamphetamine, condoms, and other sexual paraphernalia. Shearer was found guilty of both counts in trial by a federal jury March 5, 2024. In addition to the 15 years in prison, he was ordered 10 years of supervised release and must register as a sex offender. U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement. Homeland Security Investigations and SAPD investigated the case. Assistant U.S. Attorneys Bettina Richardson and Sade Bogart prosecuted the case. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc . ###


title: Arizona Man and Co-Defendants Facing Federal Charges for Roles in $178 Million COVID-19 Fraud Conspiracy

component: Office of the Inspector General

body_text: PORTLAND, Ore.—A federal superseding indictment was unsealed Monday in the District of Oregon charging an Arizona man and three associates for conspiring with one another and others to devise and carry out a scheme that attempted to defraud the U.S. Small Business Administration out of at least $178 million in loans intended to help small businesses during the COVID-19 pandemic. Eric Karnezis, 43, of Sedona, Arizona, is charged in the 23-count superseding indictment with conspiracy to commit wire fraud, wire fraud, and conspiracy to commit money laundering, along with co-defendants Lynisha Wells, 47, and Nikkia Bennett, 43, both of Chula Vista, California, and Fredrico Williams, 48, of San Diego. According to the superseding indictment, from January 2021 and continuing until at least March 2022, Karnezis carried out a scheme whereby he conspired with recruiters, including Williams, to gather fraudulent business information from customers, including Wells and Bennett, and used the information to submit fraudulent Paycheck Protection Program (PPP) loan applications to the U.S. Small Business Administration (SBA). To facilitate the scheme, Karnezis and his co-conspirators created fictious documents to support their fraudulent loan applications, including false payroll information and tax documents. In total, Karnezis submitted or caused to be submitted at least 1,300 PPP applications, which together attempted to obtain at least $178 million from SBA. Approximately $105 million in loans were funded in response to these fraudulent applications. On September 6, 2024, following his arrest in Sedona the day prior, Karnezis made his initial appearance in federal court in the District of Arizona and pleaded not guilty. In a detention hearing held today, Karnezis was released on conditions pending his arraignment in District of Oregon on September 24, 2024. Bennett and Wells made their first appearances and were arraigned in the District of Oregon on August 23 and August 29, 2024, respectively. Both were released on conditions pending a three-day jury trial scheduled to begin on February 11, 2025. Williams will be arraigned in the District of Oregon on September 20, 2024. Conspiracy to commit wire fraud, wire fraud, and conspiracy to commit money laundering are punishable by up to 20 years in federal prison, three years’ supervised release, and fines of up to $250,000 or twice the gross gains or losses resulting from the offense. This case was investigated by the SBA Office of Inspector General (SBA-OIG), IRS Criminal Investigation (IRS:CI), the U.S. Treasury Inspector General for Tax Administration (TIGTA), and the Naval Criminal Investigative Service (NCIS). It is being prosecuted by Meredith Bateman and Robert Trisotto, Assistant U.S. Attorneys for the District of Oregon. An indictment is only an accusation of a crime, and defendants are presumed innocent unless and until proven guilty. Since January 2021, more than 50 people have been charged in the District of Oregon for their roles in fraud schemes targeting federal COVID-19 relief programs. Together, these defendants attempted to steal more than $903 million in federal funds. 38 individuals have been convicted for their crimes and sentenced to a combined total of 631 months in federal prison and 1,194 months of probation and/or supervised release. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’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 .


title: Child Sex Predator Sentenced to 30 Years in Prison

component: USAO - California, Eastern

body_text: SACRAMENTO, Calif. — Sean E. Karjala, 53, formerly of Red Bluff, was sentenced today by U.S. District Judge John A. Mendez to 30 years in prison and a life term of supervised release for production of child sexual abuse material, U.S. Attorney Phillip A. Talbert announced. Karjala’s federal sentence will be served concurrently with his state sentence of 36 years to life for the attempted murder of a California Highway Patrol Officer. According to court documents, in 2013, Karjala engaged in a months-long inappropriate sexual relationship with a minor female victim after she answered an online Craigslist advertisement. Karjala repeatedly raped the minor victim and subjected her to bondage and other physical abuse. Karjala manipulated the victim into sexual activity with another female and took photos of the activity with his cellphone camera. After Karjala communicated with an undercover police officer whom he believed was another minor female, investigators searched Karjala’s residence. During the search, investigators found multiple sexual bondage materials including a matching pink and white ankle and wrist cuff set and a collar that Karjala had described in conversations with the undercover officer. They also found clothing commonly associated with younger females and a photo of Karjala and the victim. In Karjala’s vehicle, investigators found a duffle bag containing a bondage manual, condoms, and a local high school counseling slip with the victim’s name. Investigators also located numerous images on Karjala’s cellphone of the victim engaged in sexual acts with another female. This case was the product of an investigation by the Tehama County District Attorney's Office and the Federal Bureau of Investigation. Assistant U.S. Attorneys Heiko P. Coppola and Roger Yang prosecuted the case. This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.


title: Fraudster Sentenced for Deceitfully Obtaining Social Security Disability Benefits

component: USAO - Utah

body_text: Salt Lake City, Utah – Calvin Perry, 53, of Sandy, Utah, was sentenced today to 12 months’ home detention, four years’ probation, and ordered by the court to pay $130,901 in restitution after defrauding the Social Security Administration (SSA) for at least six years. On July 1, 2024, Perry pleaded guilty to theft of government property before a U.S. District Court Judge. According to court documents and statements made at Perry’s sentencing hearing, beginning by at least March 2017 and continuing until October 2023, Perry stole funds from the United States, specifically benefits from the SSA. Perry was initially granted SSA disability benefits in November 2012 after he claimed he could not work due to a back injury. At that time, and on several later occasions, the SSA reminded Perry of his duty to update the SSA of various changes, including those related to work, income, and improvements in his condition. Yet, in March 2017, Perry began working full time at a lawncare company, earning a monthly salary of $4,400, without notifying SSA. In October and November 2023, SSA agents observed Perry actively engaged in manual labor for this company including, heavy lifting and unloading large equipment while bending and twisting his back. After SSA received reports of Perry’s work concealment, it gave Perry the opportunity to complete a Continuing Disability Review Report. However, he failed to respond, and SSA suspended Perry’s benefits. In November 2023, Perry visited the South Jordan SSA Field office and filed a Continuing Disability Review Report and a Work Activity Report, claiming that he had not worked since 2011 and still struggled with basic tasks like standing, walking, and getting dressed. However, in December 2023 SSA agents interviewed Perry and his employer, who both admitted that Perry had been working for several years. In total, Perry received overpayment of $130.901.00 in Social Security benefits. Additionally, according to court documents, Perry is a repeat offender, having a prior state conviction in 2005 for attempting to receive unemployment benefits while he was employed. The case was investigated jointly by the Social Security Administration (SSA). Special Assistant United States Attorney Sachi J. Jepson of the U.S. Attorney’s Office for the District of Utah prosecuted the case.


title: Former Orange County High School Teacher Who Installed Hidden Cameras in School Bathrooms Sentenced to 17½ Years in Prison

component: USAO - California, Central

body_text: SANTA ANA, California – A former teacher at a high school in Orange County who secretly installed hidden cameras in bathrooms at the school and elsewhere and, during a three-year span, viewed and downloaded hundreds of images – including of children under the age of 12 – using the restroom, was sentenced today to 210 months in federal prison for possessing child sexual abuse material (CSAM). Siu Kong Sit, 38, of Rowland Heights, was sentenced by United States District Judge John W. Holcomb, who ordered Sit to be placed on lifetime supervised release following his eventual release from prison and scheduled a restitution hearing for November 8 in this case. Sit pleaded guilty on March 29 to one count of possession of child pornography. “This defendant was every parent’s nightmare – rather than care for the safety and well-being of students, he exploited them in the most abhorrent way,” said United States Attorney Martin Estrada. “It is important that we send a strong message of zero tolerance for those who take advantage of children. My office will continue to prosecute offenders who prey on our youth to the fullest extent allowed by law.” According to Sit’s plea agreement, beginning in at least February 2020, when he was employed as a teacher at Beckman High School in Irvine, Sit began secretly installing hidden cameras in restrooms located on campus. After installing the cameras, Sit regularly reviewed the videos captured by the cameras and downloaded the videos that were of interest to him. In May 2022, while serving as the high school robotics team coach, Sit placed a hidden camera in the restroom of a hotel room where minor students on the robotics team were staying during a robotics tournament in Texas. From 2020 to 2023, Sit viewed and downloaded hundreds of images of children and adults, in various states of undress, using restrooms. In February 2023, after the cameras had been discovered, law enforcement seized several digital devices from Sit’s home. Sit owned and was the sole user of all these devices. Officers also seized two external storage drives from the cameras that Sit had secretly installed at Beckman High School. A forensic review of the various digital devices identified dozens of images and videos of child pornography, including images and videos that Sit had recorded himself of children using restrooms in various states of undress. The victims that Sit recorded without their consent were under the age of 18, and some of the victims were under the age of 12. A search of a Sit-owned hard drive resulted in the seizure of at least 22 images and one video of CSAM, including several depicting a toddler engaged in sexual activity. The search of a separate Sit-owned hard drive contained at least 150 images and four videos of CSAM. Sit admitted in his plea agreement to knowingly possessing images and videos of minors under the age of 12 engaging in sexual conduct. The Orange County District Attorney’s Office is pursuing criminal charges against Sit in Orange County Superior Court concerning the adult victims in the hidden videos matter. The charges filed in state court concerning Sit’s minor victims was dismissed so the federal case could proceed. Homeland Security Investigations and the Irvine Police Department investigated this matter. Assistant United States Attorney Melissa S. Rabbani of the Santa Ana Branch Office prosecuted this case.


title: Former Utica Mayor and School Board President Sentenced for Mail Fraud Scheme

component: USAO - New York, Northern

body_text: SYRACUSE, NEW YORK – Louis LaPolla, age 79, of Utica, New York, was sentenced today in federal court in Syracuse to 3 years of probation, after previously pleading guilty to mail fraud for soliciting and then stealing donations intended for a scholarship fund in his late wife’s name. United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), announced the guilty plea. In pleading guilty previously, LaPolla admitted that he set up a scholarship fund in honor of his late wife, Andrea LaPolla, after she passed away in 2018, with the stated intention of benefitting Utica City School District students who planned to pursue post-secondary education in health-related fields. LaPolla further admitted that he received nearly $40,000 in donations intended for the scholarship fund from individuals and businesses and that he spent nearly all the donated money on himself rather than depositing it into the scholarship fund. LaPolla served as the mayor of Utica from 1984 to 1995, and he served as President of the Utica City School Board from 2018 to 2022, following 21 years of service as a member of the board. As part of his sentence, LaPolla will pay restitution in the amount of $38,616, and he will separately owe a forfeiture money judgment in the same amount. Earlier this year, LaPolla pled guilty in Oneida County Court to a misdemeanor petit larceny charge after admitting that he used envelopes, stamps, and mailing labels belonging to the Utica City School District to send out fundraising flyers relating to the scholarship. In that case, LaPolla was sentenced to 60 days of house arrest, 3 years of probation, and ordered to pay $3,100 in restitution. The FBI investigated this case with assistance from the New York State Police and the Oneida County District Attorney’s Office. Assistant U.S. Attorney Michael F. Perry prosecuted the case.


title: Two Guatemalan Men Arrested Near the Pittsburg Port of Entry for Illegal Immigration Offenses

component: USAO - New Hampshire

body_text: CONCORD – Two Guatemalan men were arrested in connection with illegal immigration offenses, U.S. Attorney Jane E. Young announces. Esdras Aaron Calel-Cumes, 29, and Luis Felipe Xiloj-Ambrocio, 31, were charged by complaint, stemming from an arrest yesterday - September 9, 2024. Calel-Cumes was charged with one count of transporting an illegal alien, and Xiloj-Ambrocio was charged with one count of illegal entry. Both men will appear in federal court later today. According to the charging documents, on September 9, 2024, remote surveillance equipment detected and captured images of a male walking in a remote and undeveloped area, just south of the Pittsburg Port of Entry in the northern most part of New Hampshire near the United States/Canadian International Border, in close proximity to US Route 3. Shortly thereafter, a responding Border Patrol Agent stopped a southbound vehicle after observing a male in the passenger seat who was wearing dark clothing like that of the individual who was captured on the surveillance images. The passenger was identified as Xiloj-Ambrocio. Both men were identified as Guatemalan nationals, and a record check revealed that neither Calel-Cumes nor Xiloj-Ambrocio had legal status in the United States. The charge of transportation of an illegal alien carries a sentence of up to 5 years incarceration, up to 3 years of supervised released, and a fine up to $250,000. The charge of illegal entry carries a sentence of up to 6 months incarceration, up to 1 year of supervised release. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. U.S. Customs and Border Protection led the investigation. Assistant U.S. Attorney Tiffany Scanlon is prosecuting the case. The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. ###


title: Man sentenced for online activities with a minor

body_text: OXFORD, Miss. – A Byhalia, Mississippi man was sentenced today to more than 15 years in prison for transmitting sexual conduct with a minor over the Internet. According to court documents, Thomas Taylor, 29, was identified as part of Operation Renewed Hope, an operation run by Homeland Security Investigations to identify victims and perpetrators of known child sexual exploitation videos. Taylor admitted to using a video chat mobile application to communicate on live video with others over the Internet. While on the live video, Taylor masturbated and revealed a minor’s genitals and anus to the audience. A recording was made of the incident which has appeared in other investigations related to trafficking of child sexual abuse materials. On Tuesday afternoon, U.S. District Judge Sharion Aycock sentenced Taylor to 200 months in prison followed by five years of supervised release. “Minor victims of sexual abuse and exploitation often face a life-time of far-reaching consequences as a result of the reprehensible acts committed by their perpetrators,” remarked U.S. Attorney Clay Joyner. “This office is committed to holding accountable those individuals who sexually exploit minors and we appreciate the outstanding work by HSI and AUSA King to do just that.” “These despicable crimes are beyond comprehension,” said HSI New Orleans Special Agent in Charge Eric DeLaune. “This criminal will now be held accountable for his vile crimes.” The Department of Homeland Security investigated the case. Assistant U.S. Attorney Parker S. King prosecuted the case as part of the Project Safe Childhood initiative. Project Safe Childhood is a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. 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. The goal of Project Safe Childhood is to reduce the incidence of sexual exploitation of children.


title: Brooklyn Park, Minnesota, Man Guilty of Distributing Cocaine

component: USAO - Iowa, Northern

body_text: A man who conspired with others to distribute large quantities of cocaine that resulted in the death of a young Dubuque woman pled guilty today in federal court in Cedar Rapids. Michael Samuel Knight, age 38, from Brooklyn Park, Minnesota, was convicted of one count of conspiracy to distribute 500 grams of more of cocaine within 1000 feet of several parks and schools in Dubuque, Iowa, between 2017 and April of 2021, that resulted in the death of a young Dubuque woman on February 14, 2021. Knight also pled guilty to personally distributing the cocaine on February 14, 2021, that caused the woman’s death. At the plea hearing, Knight admitted he was a member of a conspiracy to distribute cocaine in the Dubuque area near numerous parks and schools. He admitted getting cocaine from the individual who brought it from Chicago, and then worked with others to distribute the cocaine to customers in Dubuque. On February 14, 2021, Knight distributed cocaine to a young woman in Dubuque who went home, used the cocaine and died. Sentencing before United States District Court Chief Judge C.J. Williams will be set after a presentence report is prepared. Knight remains in custody of the United States Marshal pending sentencing. Knight faces a mandatory minimum sentence of 20 years imprisonment and a possible maximum sentence of life imprisonment, a $6,000,000 fine, and up to life on supervised release following any imprisonment. Knight will also be required to pay restitution to the family of the young woman who died using the cocaine distributed by him. The case was prosecuted by Assistant United States Attorneys Patrick J. Reinert and Nicole Nagin and was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Iowa Medical Examiner’s Office and the Dubuque Drug Task Force, comprised of Dubuque Police Department, Dubuque Sheriff’s Office. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl . The case file number is 23-CR-01013. Follow us on Twitter @USAO_NDIA.


title: Rock Rapids Man Sentenced to Federal Prison For Re-entry of a Removed Alien After Aggravated Felony and Failure to Register as a Sex Offender

body_text: A man who re-entered the country as an aggravated felon, failed to register as a sex offender, and violated his supervised release was sentenced September 6, 2024, to 21 months in federal prison. Melvin Geovani Aguilar-Lopez, age 31, from Rock Rapids, Iowa, received the prison term after a May 3, 2024, guilty plea to one count of illegal re-entry as an aggravated felon; a May 17, 2024, guilty plea to one count of failure to update his registration as required by the Sex Offender Registration and Notification Act, in violation of 18 U.S.C. § 2250(a); and a May 17, 2024, admission to violations of his supervised release. At a plea hearing, Aguilar-Lopez admitted to re-entering the country after being deported in April of 2023, after a conviction for re-entry of a removed alien convicted of an aggravated felony in the Southern District of Texas. On December 9, 2016, the defendant was convicted in the Iowa District Court for Lyon County for Sex Abuse in the Third Degree, a Class C felony in Case No. FECR005748. In a plea agreement, Aguilar-Lopez admitted that he was required to register and update his registration under the Sex Offender Registration and Notification Act by reason of a conviction of Sexual Abuse in the Third Degree in the Iowa District Court for Lyon County Criminal No. FECR005748 on December 9, 2016. Aguilar-Lopez admitted he knew he needed to update his sex offender registration to reflect the fact he had been living in Rock Rapids for approximately 5 months and working in Lyon County for approximately 2 months. Aguilar-Lopez also admitted to violations of his supervised release. Aguilar-Lopez was sentenced in Sioux City by United States District Court Judge Leonard T. Strand. Aguilar-Lopez was sentenced to 21 months’ imprisonment. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system. The case was prosecuted by Assistant United States Attorney Kevin Fletcher and was investigated by the Lyon County Sheriff’s Department, the Iowa Division of Criminal Investigations (Sex Offender Unit) and the United States Marshal’s Service. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl . The case file number is 24-CR-04004 and 23-Cr-4077. Follow us on Twitter @USAO_NDIA.


title: Muskogee Resident Pleads Guilty To Aggravated Sexual Abuse In Indian Country

component: Federal Bureau of Investigation (FBI)

body_text: MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Jonathan Gage Wiedel, age 19, of Muskogee, Oklahoma, entered a guilty plea to a Superseding Indictment of 12 counts of Aggravated Sexual Abuse of a Minor in Indian Country. The Superseding Indictment alleged that Wiedel sexually abused four children under the age of 12 while he was employed as a teacher’s assistant at St. Joseph Catholic School in Muskogee, Oklahoma. The crimes occurred in Muskogee County, within the boundaries of the Muscogee Creek Nation Reservation, in the Eastern District of Oklahoma. The charges arose from an investigation by the Federal Bureau of Investigation and the Muskogee County Sheriff’s Office. The Honorable D. Edward Snow, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma accepted the plea and ordered the completion of a presentence investigation report. Wiedel will remain in the custody of the United States Marshal Service pending sentencing. Assistant United States Attorney Jessie K. Pippin represented the United States.


title: Convicted Felon Who Shot at a Cartersville Police Officer Returned to Prison

body_text: ROME, Ga. - Jose Rivera has been sentenced to federal prison for the possession of a stolen firearm, which he discharged at a Cartersville police officer, and for the possession of a firearm as a convicted felon. “Rivera’s reckless criminal behavior placed the citizens of Cartersville at serious risk,” said U.S. Attorney Ryan K. Buchanan. “The sentencing of this dangerous felon is an example of our office’s commitment to work with our federal, state, and local law enforcement partners to keep our communities safe.” “The complete disregard shown by Rivera for the safety of civilians, and the law enforcement officer who was shot at, is inexcusable,” said Mitchell Jackson, Senior Supervisory Resident Agent of FBI Atlanta’s Cartersville Office. “This disturbing trend of attacking law enforcement officers will not be tolerated by the FBI and we will continue to work with our partners in these cases to successfully prosecute dangerous repeat offenders.” “Those that break the law and disregard the safety of our communities in Georgia will be held accountable,” said Chris Hosey, Director, Georgia Bureau of Investigation. “The GBI and our law enforcement partners will not tolerate these reckless criminal acts that place Georgia communities in danger. This case represents our commitment to upholding the safety of citizens across the state.” According to U.S. Attorney Buchanan, the charges and other information presented in court: On November 17, 2022, Rivera threw a cinderblock through the front door of a local store in Cartersville, Georgia, after which he entered the store and stole a 9mm pistol. He then went to a Circle K in Cartersville, where he pointed the gun at customers and fired the weapon. An officer with the Cartersville Police Department arrived at the scene and Rivera fled behind the Circle K. As the officer pursued the suspect, Rivera turned and fired at the officer. The officer returned fire, striking Rivera in the leg and foot. Rivera was arrested and provided with medical treatment. A subsequent investigation revealed that Rivera was a convicted felon and was prohibited from possessing a firearm. Jose Rivera, 46, of Cartersville, Georgia, was sentenced by U.S. District Judge William M. Ray, II to 18 years, four months in prison to be followed by three years of supervised release. He was also ordered to pay restitution in the amount of $300. Rivera was convicted on these charges on April 26, 2024, after he pleaded guilty. This case was investigated by the Federal Bureau of Investigation and Georgia Bureau of Investigation. Assistant U.S. Attorney Calvin A. Leipold, III prosecuted 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. 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 .


title: $5.2 Million in Department of Justice Funding Awarded in West Virginia

component: USAO - West Virginia, Northern

body_text: WHEELING, WEST VIRGINIA – Department of Justice grants totaling more than $5.2 million have been awarded to law enforcement, higher education, and service agencies in West Virginia, United States Attorney William Ihlenfeld announced. The Edward Byrne Memorial Justice Assistance Grants Program (Byrne JAG) grants were announced, supporting various programs and initiatives in the Mountain State. Those receiving awards are: Hancock County Sheriff’s Office - for equipment upgrades to ensure community safety; Wetzel County Sheriff’s Office - for the purchase of new police cruisers; Marion County Sheriff’s Office - for its Smart Community Project, integrating many types of technology to upgrade cruisers, equipment, and investigative tools; West Virginia Wesleyan College - for the establishment of a Center for Ethical Professional Development in Criminal Justice; Fairmont State University - for increased and upgraded security on campus; West Virginia Potomac State College - for enhanced and updated security on campus; Justice and Community Services in Charleston - for rape crisis centers and nonprofit organizations statewide that address sexual assault and domestic violence. Byrne JAG is the leading source of federal justice funding to state and local jurisdictions. Funding allows criminal justice professionals and their allies to build the capacity to take on their most pressing challenges, keep their communities safe, and deliver equal justice to all Americans. Byrne JAG funds support a range of program areas , from crime prevention activities and law enforcement technologies to drug treatment, and crisis intervention. Funds can also be used to help communities combat hate crimes and counter threats to election workers .


title: Maryland Man Sentenced To A Year And A Day In Connection With Covid Fraud Scheme

component: USAO - Maryland

body_text: Baltimore , Maryland –Senior United States District Judge James K. Bredar sentenced Ayaz Qureshi, age 55, of Severna Park, Maryland to a year and a day in federal prison, followed by two years of supervised release, in connection with a conspiracy to commit wire fraud affecting financial institutions, relating to more than $250,000 in fraudulent Paycheck Protection Program (“PPP”) benefits. PPP benefits were a program created by the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which 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 sentence was announced by Erek L. Barron, U.S. Attorney for the District of Maryland; Special Agent in Charge William J. DelBagno of the Federal Bureau of Investigation, Baltimore Field Office (‘FBI’), Special Agent in Charge Amaleka McCall-Brathwaite of the Small Business Administration Office of Inspector General (“SBA-OIG”), Eastern Region, and Chief Robert McCullough of the Baltimore County Police Department (“BCPD”). Financial assistance through PPP benefits included forgivable loans to small businesses for job retention and certain other expenses, administered through the Small Business Administration (“SBA”), and SBA-approved lenders. According to the guilty plea, in March 2021, the Defendant and co-conspirator Ahmed (“Adam”) Sary submitted a fraudulent PPP loan application to Cross River Bank to obtain a PPP loan for Yazee, Inc. (“Yazee”), a company the Defendant owned. The PPP loan application contained numerous material misrepresentations, including that Yazee in 2019 had 16 employees and an average monthly payroll of more than $100,000. In support of the loan application, a fabricated 2019 Internal Revenue Service (“IRS”) form was submitted, which falsely stated that Yazee’s total payments to employees in 2019 were more than $1,200,000. Based on the false representations and fraudulent submissions made on behalf of the Defendant as the owner of Yazee, the PPP loan was funded on March 22, 2021 and approximately $250,000 was distributed to a bank account controlled by the Defendant. The Defendant agreed to pay Sary kickbacks totaling $75,000 for his work in submitting the false application and obtaining the fraudulent PPP loan. After receipt of the PPP loan, the Defendant established payroll services for Yazee to facilitate documentation that would later be used to substantiate a request for the PPP loan to be forgiven. 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 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 . United States Attorney Erek L. Barron commended the FBI for their work in the investigation, and thanked the Small Business Administration’s Office of Inspector General, and the Baltimore County Police Department. Mr. Barron thanked Assistant U.S. Attorneys Paul A. Riley, Jared M. Beim, and Bijon A. Mostoufi, who are prosecuting the federal case. For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao/md . # # #


title: Lynchburg Man Sentenced to 18 Years For Drug Distribution

component: USAO - Virginia, Western

body_text: LYNCHBURG, Va. – A Lynchburg, Virginia man, who distributed large quantities of cocaine and methamphetamine throughout the greater-Lynchburg area while possessing a firearm and had previously been convicted in state court of second degree murder, was sentenced to 18 years in federal prison. Taurus McDaniel, 43, previously pled guilty to conspiracy to possess with the intent to distribute and distribute methamphetamine, possession with the intent to distribute and to distribute methamphetamine and possessing a firearm in furtherance of a drug trafficking crime. In addition, McDaniel was convicted in 2007 of murder in the second degree in the Circuit Court for Sussex County. Quentin Randolph, a co-defendant in the matter, was previously sentenced to 15 years in federal prison for his role in the conspiracy. According to court documents, between October 2022 and June 2023, McDaniel, Randolph, and others conspired to distribute methamphetamine in the greater Lynchburg metropolitan area. The Lynchburg, Virginia Police Department development several confidential informants (CIs) and made numerous controlled purchases of methamphetamine from McDaniel and Randolph from McDaniel’s residence at 100 Bright Star Court in Lynchburg. On June 2, 2023, law enforcement executed a search warrant at McDaniel’s residence and discovered 356 grams of cocaine, a loaded, Colt .38 caliber revolver, a digital scale, a loaded 9 mm pistol with a laser sight and an extended magazine, and 236 grams of methamphetamine. United States Attorney Christopher R. Kavanagh, Jared Forget, Special Agency in Charge of the DEA’s Washington Division, James VanVliet, Acting Special Agent in Charge of the Washington Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Ryan M. Zuidema, Chief of the Lynchburg Police Department made the announcement. The Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the City of Lynchburg Police Department investigated the case. The investigation and conviction of Taurus McDaniel is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Assistant U.S. Attorney Sean Welsh prosecuted the case.


title: Federal Jury Finds Miami Man Guilty Of Producing And Attempting To Produce Child Sexual Abuse Material Using Hidden Cameras

component: USAO - Florida, Middle

body_text: Jacksonville, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Gray Edward Rivera (46, Miami) guilty of two counts of production and attempted production of child sexual abuse material and one count of attempted production of child sexual abuse material. For each count, Rivera faces a minimum mandatory term of 15 years, up to 30 years, in federal prison. Rivera has been detained since his arrest on February 8, 2024. His sentencing hearing is scheduled for December 6, 2024. According to testimony and evidence presented at trial, Rivera gifted three items containing hidden cameras to a child—a Bluetooth speaker, calendar/clock, and a USB charging tower—and set them up in the child’s bedroom. In addition, a hidden camera smoke detector was discovered in the living room area. The hidden cameras were later discovered by the child’s mother, and she contacted the Clay County Sheriff’s Office (CCSO). Rivera was out of country at the time. The CCSO partnered with Homeland Security Investigations and obtained Rivera’s cellphones when he re-entered the United States. A review of Rivera’s cellphones resulted in the discovery of 14 files containing child sexual abuse material of the child, as well as phone activity related to the use of the app for controlling the hidden cameras. This case was investigated by the Clay County Sheriff’s Office and Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Ashley Washington. This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.