title: New Hampshire Man Sentenced to Over Six Years for Role in Methamphetamine Conspiracy

body_text: BOSTON – A Manchester, N.H. man was sentenced today in federal court in Boston to his role in a multi-state methamphetamine trafficking conspiracy. Anthony Elwell, 49, was sentenced by U.S. District Judge Denise J. Casper to 78 months in prison and five years of supervised release. In July 2023, Elwell pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute methamphetamine and one count of distribution and possession with intent to distribute methamphetamine. Elwell was indicted in May 2021 along with three other individuals, Andrew Lunn, Mark Daileanes and William Velez. On four occasions between June and September 2020, Lunn sold pure methamphetamine to a cooperating witness in amounts ranging from 100 to almost 280 grams. Velez supplied Lunn with the methamphetamine for each of those deals. For one of the deals, in July 2020, Elwell provided Daileanes with money to purchase 280 grams of methamphetamine from Lunn. All of Elwell’s co-defendants have pleaded guilty. The final defendant is scheduled to be sentenced on Dec. 20, 2023. Acting United States Attorney Joshua S. Levy and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration in New England made the announcement today. The New Hampshire State Police and the Everett, Nashua (N.H), Merrimack (N.H.), Litchfield (N.H), and Manchester (N.H.) Police Departments provided valuable assistance. Assistant U.S. Attorney Alathea Porter of the Criminal Division prosecuted the case.


title: Scott, Louisiana Man Sentenced for Attempting  to Entice a Minor to Engage in Criminal Sexual Activity and Attempting to Produce Child Pornography

component: Federal Bureau of Investigation (FBI)

body_text: LAFAYETTE, La. – Kane Miller , 33, of Scott, Louisiana , has been sentenced by United States District Judge Robert R. Summerhays to 205 months (17 years, 1 month) in prison, followed by a lifetime of supervised release, announced United States Attorney Brandon B. Brown. On September 12, 2023, Miller pleaded guilty to one count of attempting to entice a minor to engage in criminal sexual activity and two counts of attempted production of child pornography of the superseding indictment filed in this case. The charges in this case stem from an investigation by an undercover law enforcement officer wherein the officer posed as a 13-year-old female on Whisper, an anonymous social networking app. A message was posted by the undercover officer and a user, who was later identified as Miller, contacted the purported minor female utilizing the private message function on Whisper. Between December 5, 2022 and January 4, 2023, Miller was messaging the minor female and expressed his desire to meet with the “child.” In very explicit terms, he further expressed his desire to engage in sexual acts with the “child” when they met. The defendant discussed details of meeting with the “child,” including determining that she lived in Lafayette, Louisiana, and confirming that he also lived in Lafayette. In addition, he sent numerous images of his private parts to the “child.” Law enforcement officers arrested Miller on March 7, 2023. At the time of his arrest, after being advised of his Miranda rights, Miller admitted that he had not only talked to the “child” identified above, but that in addition, numerous other minor females had sent him images and he kept them on his cell phone. Miller gave law enforcement officers consent to view his cell phone and they found numerous sexually explicit naked images of what appeared to be young adolescent children. Those images could be coupled with text messages in which the defendant had asked for the sexually explicit images and in which the children had told the defendant that they were minor females under the age of 15. These instances occurred on February 8 and 21, 2023, prior to his conversations with the undercover agent. In each instance, Miller requested and obtained sexually explicit images from females identifying themselves as minor females under the age of 15. Though the children have not been identified, they appear to be minor females. As such, the defendant attempted to cause persons he believed to be minor females to produce sexually explicit images of themselves and sent to him using the internet. The case was investigated by Federal Bureau of Investigation (FBI) and prosecuted by Assistant United States Attorney J. Luke Walker. This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov . # # #


title: Owner of Kansas Company Pleads Guilty to Crimes Related to Scheme to Illegally Export U.S. Avionics Equipment to Russia and Russian End Users

body_text: Cyril Gregory Buyanovsky, 60, of Lawrence, Kansas, the owner and president of KanRus Trading Company Inc., pleaded guilty today for his role in a years-long conspiracy to circumvent U.S. export laws by filing false export forms with the U.S. government and, after Russian’s unprovoked invasion of Ukraine in February 2022, continuing to sell and export sophisticated and controlled avionics equipment to customers in Russia without the required licenses from the U.S. Department of Commerce. “Buyanovsky admitted to a long-running scheme to smuggle sophisticated U.S. avionics equipment to Russia, doubling down to hide his actions after Russia’s unprovoked invasion of Ukraine,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “Today’s guilty plea demonstrates the Justice Department’s commitment to cut off Moscow from the means to fuel its military and hold those enabling it accountable in a court of law.” “The rejection of tyranny and the protection of democracy are among the foundational principles of the United States of America. Our country continues to hold steadfastly to these ideals,” said U.S. Attorney Kate E. Brubacher for the District of Kansas. “After the Russian invasion of Ukraine, the U.S. government imposed export controls and sanctions to prevent the weaponization of U.S. manufactured technology against Ukraine in a conflict intended to usurp its right to sovereignty within its borders. As long as there are people who value greed and profit over freedom and justice, the U.S. Department of Justice will remain vigilant and investigate and prosecute these crimes.” “Buyanovsky’s guilty plea serves as a reminder to those who defy U.S. law to support Russia’s aggression – know you will be held accountable for your actions,” said Executive Assistant Director Larissa Knapp of the FBI’s National Security Branch. “The FBI, along with our partners, works diligently to identify and prevent illegal transfers of sophisticated equipment to hostile nations and will pursue those who support such smuggling operations.” “The diversion of controlled U.S.-origin goods and falsification of end user information for use by Russian end users will be vigorously investigated,” said Special Agent in Charge Aaron Tambrini of Department of Commerce’s Office of Export Enforcement Chicago Field Office. “Individuals will be pursued and prosecuted wherever they are located.” According to court documents, as part of his guilty plea, Buyanovsky admitted that between 2020 and when he was arrested in March, he conspired with others – including co-defendant and former KanRus vice president Douglas Edward Robertson, 56, of Olathe, Kansas – to smuggle U.S.-origin avionics equipment to end users in Russia, as well as Russian end users in other foreign countries, by, among other actions, knowingly filing false export forms and failing to file required export forms with the U.S. government. In these forms, Buyanovsky and his conspirators lied about the exports’ value, end users and end destinations. Buyanovsky further admitted that on at least one occasion in 2021, he and Robertson smuggled a repaired Traffic Alert and Collision Avoidance System (TCAS) to the Federal Security Service of the Russian Federation (FSB) by removing the FSB sticker from the device before sending the device to a U.S. company to be repaired and then reattaching the sticker before shipping the TCAS back to the FSB in Russia. Buyanovsky further admitted that after Russia invaded Ukraine in February 2022 and the U.S. government tightened export controls concerning Russia, he, co-defendant Robertson and other conspirators continued to purchase and export U.S.-origin avionics equipment to customers in Russia and took numerous steps to hide their illegal activity from law enforcement, including by lying to U.S. suppliers about the intended end users; shipping goods through intermediary companies in Armenia, the United Arab Emirates, and Cyprus; continuing to file false export forms with the U.S. government; and using foreign bank accounts in countries other than Russia, such as Armenia, Kazakhstan, Kyrgyzstan, Cyprus and the United Arab Emirates, to funnel money from the Russian customers to KanRus in the United States. In addition to pleading guilty, Buyanovsky consented to the forfeiture of over $450,000 worth of avionics equipment and accessories and a $50,000 personal forfeiture judgment. According to court documents, among the equipment that Buyanovsky forfeited was a pallet of avionics devices that was detained by U.S. Customs and Border Protection the day before Buyanovsky and Robertson were arrested. On Dec. 7, as part of the U.S. government’s interagency efforts to dismantle Russian procurement networks designed to circumvent U.S. export controls and sanctions imposed in response to Russia’s invasion of Ukraine, the Department of Commerce added many of the entities and individuals involved in Buyanovsky’s illegal export scheme to the Commerce Department’s Entity List , which imposes specific license requirements on all listed individuals and entities. As a result of today’s guilty plea, Buyanovsky faces a maximum penalty of 25 years in prison – five years for the conspiracy count and 20 years for the money laundering count. A sentencing hearing is scheduled for March 21, 2024. Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Task Force KleptoCapture Co-Directors David Lim and Michael Khoo, U.S. Attorney Kate E. Brubacher for the District of Kansas, Executive Assistant Director Larissa Knapp of the FBI’s National Security Branch, Special Agent in Charge Stephen A. Cyrus of the FBI Kansas City Field Office, and Special Agent in Charge Aaron Tambrini of the Department of Commerce’s Office of Export Enforcement Chicago Field Office, and Special Agent in Charge John Johnson of the Department of Commerce’s Office of Export Enforcement Miami Field Office made the announcement. The FBI and the Department of Commerce’s Office of Export Enforcement are investigating the case. U.S. Customs and Border Protection provided substantial assistance. Assistant U.S. Attorneys Scott Rask and Ryan Huschka for the District of Kansas and Trial Attorney Adam Barry of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case. The investigation was coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine. Announced by the Attorney General on March 2, 2022, and under the leadership of the Office of the Deputy Attorney General, the task force will continue to leverage all of the department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.


title: Arizona Woman, Two Codefendants Sentenced for Human Smuggling Death

component: Drug Enforcement Administration (DEA)

body_text: EL PASO, Texas – The third member of a group charged in a human smuggling case was sentenced today in a federal court in El Paso to 135 months in prison for her role in an ongoing conspiracy which resulted in the death of two migrants. According to court documents, Guadalupe Quezada, 35, of Mesa, Arizona, along with codefendants Veronica Quezada, 39, of Mesa, and Elizabeth Miranda Lozano, 39, of Dallas, actively participated in an ongoing conspiracy to bring in, transport, and harbor undocumented immigrants into the U.S. from Mexico from on or about November 2019 through on or about August 2021. The organization smuggled groups of migrants into the U.S. by traversing the border across the Chihuahuan Desert near Van Horn. Foot guides would direct the migrants to walk through the desert and rendezvous with drivers who then transport the immigrants to stash houses or staging areas for further harboring by stash house operators. During the time of the conspiracy, the organization twice abandoned migrants who were unable to keep pace with the group. An investigation revealed that the abandonment of the migrants under the harsh conditions resulted in their deaths. Guadalupe Quezada would receive human smuggling proceeds in bulk as well as through financial institutions and redirect them to promote the human smuggling and to invest in real property. In addition to imprisonment, she also forfeits three Phoenix properties. Guadalupe Quezada and her two codefendants each pleaded guilty to one count of conspiracy to bring an alien to the United States resulting in death. “The dangerous smuggling of human beings across our border has become far too prevalent and those engage in or facilitate this activity must account for their deadly dealings,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I commend the joint multi-district efforts of our local, state, and federal partners to bring this case to a successful close. We will continue working together at all levels of law enforcement to aggressively prosecute human smugglers as long as their operations persist.” “As demonstrated by these defendants, human smugglers have a callous disregard for the value of life,” said Special Agent in Charge Francisco B. Burrola for Homeland Security Investigations El Paso Division. “Tragically, their inhumane practices all too often result in serious injury or death. HSI will continue to work closely with our law enforcement partners to aggressively pursue transnational criminal organizations that jeopardize the lives of others for their personal profit." Veronica Quezada was sentenced to 63 months in federal prison on Dec. 13. Her role was to provide logistical support to foot guides, drivers and others by registering vehicles that would be used to facilitate the human smuggling venture. She traveled daily to the U.S. from Mexico to oversee operations on behalf of the organization. Lozano was sentenced to 97 months in federal prison on Dec. 13. Her role was to transport and harbor aliens in staging areas prior to releasing them to their final destination. She relocated to Dallas from Arizona to manage the stash house on behalf of the organization. HSI investigated the case with the assistance of the U.S. Border Patrol Big Bend and Tucson Sectors, Dallas Enforcement Removal Operations, the Drug Enforcement Administration, Texas Department of Public Safety, Dallas Police Department, and Hudspeth Country Sheriff’s Office. Assistant U.S. Attorneys Jose Luis Acosta and Patricia Acosta prosecuted the case. These charges resulted from the coordinated efforts of Joint Task Force Alpha (JTFA). The U.S. Attorney’s Office for the Western District of Texas is part of the JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security JTFA is comprised of detailees from U.S. Attorneys’ Offices along the southwest border, including the Southern District of Texas, the Western District of Texas, the District of New Mexico, the District of Arizona, and the Southern District of California. Dedicated support is also provided by numerous components of the Criminal Division that are part of JTFA, led by HRSP, and supported by ODPAT, the Narcotic and Dangerous Drug Section, the Money Laundering and Asset Recovery Section, the Office of Enforcement Operations, OIA, and the Violent Crime and Racketeering Section. JTFA also relies on substantial law enforcement investment from DHS, FBI, the Drug Enforcement Administration (DEA), and other partners. To date, JTFA’s work has resulted in over 260 domestic and international arrests of leaders, organizers, and significant facilitators of human smuggling; over 180 convictions; significant jail sentences imposed; and forfeitures of substantial assets. ###


title: Little Rock Man Sentenced to Prison for Being a Felon in Possession of a Firearm

component: USAO - Arkansas, Eastern

body_text: LITTLE ROCK—On December 18, 2023, United States District Judge Lee P. Rudofsky sentenced Dontarious Marquette Henderson, 28, to 70 months in federal prison for being a felon in possession of a firearm. In addition to the prison sentence of nearly six years, Judge Rudofsky sentenced Henderson, of Little Rock, to three years supervised released. Henderson was indicted on September 8, 2022, on one count of being a felon in possession of a firearm. He faced a maximum sentence of 10 years’ imprisonment. There is no parole in the federal system. On November 11, 2021, the Arkansas State Police attempted to conduct a traffic stop when Henderson failed to stop, activated his hazard lights, and ran through a red light, nearly striking a vehicle. The pursuit continued at speeds up to 90 miles per hour through the streets of Little Rock, Arkansas, when Henderson struck another person’s vehicle. Henderson pulled a backpack out of the vehicle and began to flee on foot. He was taken into custody and during a search, Troopers located a Ruger handgun magazine containing 17 rounds in Henderson's front pocket. A Ruger P89 pistol with an extended magazine inserted on the front seat passenger floorboard was also discovered in Henderson’s vehicle. The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Arkansas State Police. # # # Additional information about the office of the United States Attorney for the Eastern District of Arkansas, is available online at https://www.justice.gov/edar X (formerly known as Twitter): @EDARNEWS


title: Two Albuquerque Men Charged with Federal Drug Trafficking Offenses

body_text: ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Eric Castañeda, Acting Special Agent in Charge of the Drug Enforcement Administration’s El Paso Division, announced today that Isaiah Anthony Aragon and Miguel Antonio Ramirez were charged by criminal complaint with possession with intent to distribute 400 grams or more of fentanyl and conspiracy to distribute controlled substances. Aragon and Ramirez, both 22 and of Albuquerque, will remain in custody pending trial, which has not been scheduled. According to the criminal complaint, on Dec. 6, 2023, Ramirez allegedly agreed to sell 30,000 fentanyl pills to an undercover detective from the Albuquerque Police Department for $30,000. Agents from the Drug Enforcement Administration conducted surveillance on Ramirez throughout the day leading up to the schedule transaction, following him to a stash house operated by Aragon. There the agents observed Aragon entering Ramirez’s car carrying a bag which agents believed carried fentanyl pills. At that time, agents attempted to take both men into custody. Ramirez was arrested without incident. Aragon attempted to flee but was quickly apprehended. Agents recovered the bag from the car and determined it contained a large amount of suspected fentanyl pills weighing approximately 3388.2 gross grams, or about 7.5 pounds. DEA agents also executed a federal search and seizure warrant which resulted in the seizure of numerous vehicles and approximately $60,000.00 cash. A criminal complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted on the current charges, Aragon and Ramirez each face not less than 10 years and up to life in prison. The Drug Enforcement Administration investigated this case with assistance from the Albuquerque Police Department. View the Criminal Complaint # # # 23-289


title: Florida man sentenced to prison in India-based computer hacking scheme that stole $150,000 from elderly Kalispell woman

body_text: MISSOULA — A Florida man who admitted his role in an India-based computer hacking scheme that stole $150,000 from an elderly Kalispell woman was sentenced today to two years and nine months in prison and ordered to pay $1,236,470 in restitution to seven victims, U.S. Attorney Jesse Laslovich said. Eddly Joseph, 44, of Gainesville, Florida, pleaded guilty in August to wire fraud. U.S. District Judge Donald W. Molloy presided. The court also imposed two years of supervised release following Joseph’s prison sentence. “Far too often, these internationally-based fraud schemes result in no accountability for those who prey on Montanans. But not this time. Due to the diligent work of the FBI, Joseph was caught and is now going to federal prison for running a predatory scheme by tricking and stealing from elderly victims across the country, including a Kalispell woman. As this case showed, we will turn over every rock to pursue these fraudsters, but the best thing Montanans can do to protect themselves is to not send money to people who randomly call soliciting money due to some kind of fake emergency, such as an alleged virus existing on your computer,” U.S. Attorney Laslovich said. The government alleged in court documents that in February, Glacier Bank notified the FBI that Jane Doe, a Montana woman in her 70s, was the victim of a scam. The international, India-based scam included fraudsters tricking Jane Doe into giving them $150,000 for “safe-keeping.” The fraudsters made it appear as if victims had a virus on their computers and that their bank accounts were accessible to hackers. To “safekeep” the victims’ money, Joseph and others directed victims to withdraw cash and give it to them so the hackers could not access and steal the victims’ money. After learning of the scam, the FBI set up a ruse, claiming Jane Doe had an additional $50,000 for the fraudsters. When Joseph and others arrived to collect the money, the FBI arrested them. As a result of Joseph’s and others’ conduct, victims across the United States were repeatedly scammed, with a total loss of $1,236,470. Assistant U.S. Attorney Ryan G. Weldon prosecuted the case. The FBI and Flathead County Sheriff’s Office conducted the investigation. XXX


title: Two Sentenced to 10 Years in Federal Prison for Attempting to Entice a Minor

body_text: BENTON, Ill. – A district judge sentenced two men to each spend ten years in federal prison after both were charged in a law enforcement sting to detect online child predators. Timmy Wayne Smith, 59, of McLeansboro, Illinois, and Joseph Randall Edmaiston, 37, of Clinton, Kentucky, each pleaded guilty to one count of attempted enticement of a minor. “Although both men fully intended to sexually abuse a child, they were apprehended by law enforcement after interacting online with a purported 15-year-old girl who was actually an undercover agent,” said U.S. Attorney Rachelle Aud Crowe. “This proactive operation successfully detected child predators lurking online, and I appreciate the actions of the officers to put these offenders in federal prison.” In August 2020, law enforcement agents conducted an undercover investigation to detect child predators where an agent created an online profile of a purported 15-year-old girl. According to court documents, Smith and Edmaiston both interacted with the undercover profile and discussed plans to engage in sexual conduct with the purported child. “The ease of online interaction increases the likelihood that a predator will engage your child with the intent to harm them,” said FBI Springfield Field Office Acting Special Agent in Charge Shannon Fontenot.” It is imperative that parents and caregivers establish safety guidelines for children and monitor who they talk to online. The FBI’s proactive efforts help to thwart the attempts of those looking to do harm, but prevention can go a long way in avoiding a tragedy all together.” Smith and Edmaiston were each arrested by police after both men traveled to a home in Marion, Illinois, for the sexual encounter. Following the federal prison sentence, both men will each serve five years of supervised release. FBI Springfield Field Office led the investigation with assistance from the U.S. Marshals Service, the Illinois State Police, the Williamson County Sheriff’s Office, the Herrin Police Department, and the Marion Police Department. Assistant U.S. Attorneys Casey Bloodworth and David Sanders 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.


title: Two East Bay Insurance Executives And Investment Advisor Charged With Fraud Tied To Insurance Company Collapse

component: USAO - California, Northern

body_text: OAKLAND – A federal grand jury indictment was unsealed charging Jasbir S. Thandi, Sandeep Sahota, and Jaspreet Padda with insurance fraud crimes related to the collapse of Global Hawk Risk Retention Group, an insurance company headquartered in Livermore, California, announced United States Attorney Ismail J. Ramsey, FBI Special Agent in Charge Robert K. Tripp, and San Francisco Division Postal Inspector in Charge Rafael Nuñez. According to the indictment, Thandi 67, of El Sobrante, was the president and treasurer of Global Hawk, The indictment alleges that between 2017 and 2019, Thandi, misappropriated over $19 million in Global Hawk funds, including sending over $1 million to an entity domiciled in the British Virgin Islands, and over $7 million to other outside entities controlled by Thandi. The indictment further alleges that Thandi, Sahota, 47, resident of Concord, and Padda, 40, of Elk Grove, submitted false and fraudulent financial statements to insurance regulators that overstated Global Hawk’s assets by tens of millions of dollars and concealed the misappropriations. Sahota was Global hawk’s vice president and secretary and Padda was the company’s outside investment advisor. Global Hawk’s primary business was providing automobile liability insurance coverage for truck drivers and small trucking companies. In May 2020, after regulators discovered the misappropriation and Global Hawk’s insolvency, Global Hawk was declared insolvent and was liquidated pursuant to a court order. The indictment charges Thandi, Sahota, and Padda with conspiracy to commit insurance fraud, in violation of 18 U.S.C. § 371 as well as two counts of insurance fraud (false statements to regulators), in violation of 18 U.S.C. §§ 1033(a) and 2. The indictment also charges Thandi with two counts of insurance fraud (misappropriation) in violation of 18 U.S.C. § 1033(b). The indictment also charges Thandi with two counts of bank fraud, in violation of 18 U.S.C. § 1344. The indictment alleges that in 2016, Thandi obtained a $6.4 million bank loan based on false representations, and in 2017, obtained another $14.75 million bank loan, also based on false representations. The conspiracy count has a maximum statutory sentence of five years in prison and a fine of $250,000. Each insurance fraud count has a maximum statutory sentence of 10 years in prison (or 15 years if the fraud jeopardized the safety and soundness of an insurer and was a significant cause of such insurer being placed in conservation, rehabilitation, or liquidation by an appropriate court) and a maximum fine of $250,000. Each bank fraud count has a maximum statutory sentence of 30 years in prison and a maximum fine of $1,000,000. For all counts, the court also may order a term of supervised release, fines or other assessments, restitution, and forfeiture, if appropriate. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553. Sahota was arrested yesterday morning and made an initial appearance before the Hon. Alex G. Tse, U.S. Magistrate Judge for the Northern District of California. Padda was arrested in the Eastern District of California. An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. Assistant United States Attorneys David Ward and Abraham Fine are prosecuting the case with assistance from Kay Konopaske, Kathleen Turner, and Kevin Costello. The prosecution is a result of an investigation by the FBI and the United States Postal Inspection Service. Individuals who believe that they may be a victim in this case should contact the United States Attorney’s Office for the Northern District of California’s victim specialists by email at: USACAN.DCVictimAsst@usdoj.gov.


title: Chicago Businessman Convicted of Defrauding Financial Institutions out of $4 Million

body_text: CHICAGO — A federal jury has convicted a Chicago businessman of scheming to defraud multiple financial institutions out of $4 million. DAVID IZSAK, 48, of Chicago, was a licensed real estate professional and the sole proprietor of Skokie, Ill.-based Premier Assets Inc. and Premier Properties Enterprises, Inc. From 2005 to 2018, Izsak engaged in a scheme to defraud financial institutions by obtaining residential loans through false statements, concealing the existence of unpaid loans, and falsely obtaining credit. As part of the scheme, Izsak submitted or caused to be submitted to the Cook County Recorder of Deeds fictitious lien releases. In reality, the releases were not from the lender and the loans were not paid in full. In one instance, after causing a lien to be released, Izsak sold the property to an unsuspecting buyer. In another instance, he obtained six mortgages on a single property, obtaining a new loan after fictitiously releasing the prior loan without repaying it. Izsak also obtained a loan to buy a 57-foot yacht known as the “Flying Lady” by submitting fraudulent tax returns and financial information to the lender. The yacht was seized in 2019 by federal authorities. After a week-long trial in U.S. District Court in Chicago, the jury on Friday convicted Izsak on ten counts of financial institution fraud, each of which is punishable by up to 30 years in federal prison. U.S. District Judge Manish S. Shah set sentencing for July 9, 2024. The government at sentencing will seek forfeiture from Izsak of approximately $4 million. The verdict was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the FBI Chicago Field Office, and Ruth M. Mendonça, Inspector-in-Charge of the Chicago Division of the U.S. Postal Inspection Service. The government is represented by Assistant U.S. Attorneys Patrick J. King, Jr., and Elly M. Peirson.


title: Indictment Charges San Jose Man With Robbing U.S. Mail Carrier

body_text: SAN JOSE – A federal grand jury has indicted James Luna, charging him with the robbery of a mail carrier in the Sunnyvale, Calif., area, announced U.S. Attorney Ismail J. Ramsey and U.S. Postal Inspector in Charge Rafael Nuñez. The indictment follows the announcement by U.S. Attorney Ramsey and Postal Inspector in Charge Nuñez regarding multiple arrests made throughout the Bay Area in cases involving the interference with delivery of the U.S. mail. According to papers filed in connection with the Luna case, on December 30, 2022, a person fitting Luna’s description approached a United States Postal Service mail carrier just before 4:00 p.m. and demanded that the mail carrier hand over her postal keys. The mail carrier reported that she could see the handle of a firearm sticking out of the robber’s pocket. The mail carrier handed over the keys and the robber absconded with them. The robber was later identified as James Luna, 32, of San Jose. The keys are used to open United States Postal Service mailboxes in a designated area. An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. Luna is charged with robbery of a mail carrier, in violation of 18 U.S.C. § 2114. The maximum statutory penalty for robbery of a mail carrier is 10 years in prison. Further, in addition to the prison term, the court may order defendant to serve an additional term of supervised release to begin after a prison term, additional fines, and restitution, if appropriate. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553. On October 10, 2023, U.S. Attorney Ramsey and Postal Inspector in Charge Nuñez held a press conference at which they discussed a recent increase in the theft of postal keys, break-ins of postal vehicles, assaults on letter carriers, and various other criminal acts involving interference with delivery of the mail. According to U.S. Attorney Ramsey, a surge in arrests throughout the Bay Area has resulted in several defendants now facing severe federal penalties. A press release discussing the press conference can be found here . Assistant U.S. Attorney Neal Hong is prosecuting the Luna case. The prosecution of this case is the result of an investigation by the United States Postal Inspection Service and Sunnyvale Police Department.


title: Overland Park man charged with robbing bank

component: USAO - Kansas

body_text: KANSAS CITY, KAN. – A Kansas man has been charged through criminal complaint in Kansas City, Kansas, for allegedly robbing a bank. According to court documents, Cesar Serrano, 46, of Overland Park is charged with one count of bank robbery. On December 16, 2023, Serrano allegedly used a firearm to demand money from employees at Great Southern Bank in Prairie Village, Kansas. The defendant is scheduled for his initial court appearance on December 20, 2023, before U.S. Magistrate Judge Angel D. Mitchell of the U.S. District Court for the District of Kansas. If convicted, he faces a maximum penalty of 25 years in prison. The Prairie Village Police Department, Federal Bureau of Investigation (FBI), and Overland Park Police Department are investigating the case. Assistant U.S. Attorney Kim Flannigan is prosecuting the case. A criminal complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law . ###


title: Brockton Man Pleads Guilty to Fraudulently Obtaining More Than $1.5 Million in COVID-Relief Funds

component: Criminal - Money Laundering, Narcotics and Forfeiture Section

body_text: BOSTON – A Brockton man pleaded guilty today in federal court in Boston in connection with a scheme to submit false applications to obtain Paycheck Protection Program (PPP) and Economic Injury Disaster Loan Program (EIDL) funds through the Small Business Administration (SBA) that were made available under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Joao Mendes, 60, pleaded guilty to one count of wire fraud. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for April 9, 2024. Mendes was charged in July 2022. Beginning in or around June 2020 and continuing until at least in or around September 2020, Mendes submitted or caused to be submitted multiple fraudulent PPP and EIDL loan applications on behalf of various entities. The fraudulent PPP loan applications misrepresented the number of employees and the average monthly payroll expenses of Mendes’s various businesses. Mendes also submitted false tax records in support of his loan applications. In his EIDL applications, Mendes misrepresented the number of employees, gross revenues and costs of goods sold for each business. Based on the fraudulent applications, Mendes and others received more than $1.5 million in PPP and EIDL funds. Once Mendes received the funds, he either spent them for his own personal benefit—including for the purchase of cryptocurrency—or transferred the funds into other accounts he controlled or to other individuals. The United States seized cryptocurrency and fiat currency from over 20 accounts, resulting in the recovery of $1.545 million in cryptocurrency and more than $206,000 in U.S. currency, which will be criminally forfeited. The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses for job retention and certain approved expenses, through the PPP. Another is the EIDL, through which the SBA offers loans that can only be used on certain permissible business expenses, which can include payment of fixed business debts, payroll, accounts payable, and other business-related expenses that could have been paid had the COVID-19 disaster not occurred. The American Rescue Plan Act established the RRF to provide funding to help restaurants and other eligible businesses keep their doors open through forgivable loans for eligible uses. 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 from the offense. 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; Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division; Robert Manchak, Special Agent in Charge of the Federal Housing Finance Agency Office of Inspector General, Northeast Region; Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; Donald Alway, Assistant Director in Charge for the FBI’s Los Angeles Field Office; Weston King, Special Agent in Charge of the Small Business Administration Office of Inspector General, Western Region; Patricia Tarasca, Special Agent in Charge of the Federal Deposit Insurance Corporation Office of Inspector General, New York Regional Office; Tyler Hatcher, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation, Los Angeles Field Office; William A. Kalb, Special Agent in Charge of the U.S. Treasury Inspector General for Tax Administration, Northeast Field Division; and Brian Tucker, Special Agent in Charge, Office of Inspector General for the Board of Governors of the Federal Reserve System and the Consumer Financial Protection Bureau, Eastern Region, made the announcement today. Assistant U.S. Attorneys Mackenzie A. Queenin and Carol E. Head of the Criminal Division and Trial Attorney Jennifer Bilinkas of the Criminal Division’s Fraud Section are prosecuting the case. Attorney Advisor Scott J. Campbell of the Criminal Division’s Money Laundering and Asset Recovery Section provided significant assistance. On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus . Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form .


title: Lead Defendant in OCDETF Operation Sentenced to 15 Years in Prison

component: USAO - Florida, Southern

body_text: MIAMI – A Palm Beach County resident was sentenced to prison after having been convicted by a federal jury of participating in a fentanyl trafficking conspiracy. Belas Shelson Rosier, of Greenacres, Florida, was sentenced today to 15 years in federal prison, to be followed by 5 years of supervised release, by U.S. District Judge Aileen M. Cannon. Rosier was convicted at trial of conspiracy to possess with intent to distribute over 400 grams of fentanyl, and possession with intent to distribute over 400 grams of fentanyl, in addition to fentanyl analogs and cocaine. According to court documents, the investigation into Rosier was initiated, by federal and local investigators, based on evidence recovered during the successful prosecution of one of Rosier’s long-term street level fentanyl and cocaine distributors. The evidence presented at trial established that Rosier was responsible for the distribution of at least six kilograms of fentanyl during the time period of October 4, 2021 through March 9, 2022, alone. During the investigation, federal agents seized and administratively forfeited over $50,000 in cash and $50,000 in jewelry that had been recovered from Rosier’s possession. U.S. Attorney for the Southern District of Florida Markenzy Lapointe, Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI), Miami, Christopher A. Robinson, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Miami Field Division, Frank Adderly, Chief of Police, West Palm Beach Police Department (WPBPD), and Ric L. Bradshaw, Sheriff, Palm Beach County Sheriff’s Office (PBSO) made the announcement. HSI Miami and ATF Miami Field Office investigated this case jointly with their local partners from WPBPD and PBSO. AUSA John McMillan prosecuted this case. Assistant U.S. Attorney William Zloch handled asset forfeiture. This case was 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 www.justice.gov/OCDETF. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under Case No. 23-CR-80045. ###


title: Georgia Man Admits Role in $127 Million Health Care Fraud and Kickback Scheme

component: USAO - New Jersey

body_text: NEWARK, N.J. – A Georgia man and operator of a marketing company today admitted his role in conspiracies to commit health care fraud and to pay and receive illegal kickbacks, Attorney for the United States Vikas Khanna announced. Nicco Romanowski, 31, of Roswell, Georgia, pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to an information charging him with conspiracy to violate the Federal Anti-Kickback statute and conspiracy to commit health care fraud. According to documents filed in this case and statements made in court: From June 2017 through May 2019, Romanowski participated in a scheme with durable medical equipment (DME) companies, telemedicine companies, and doctors to submit false claims to health care benefit programs, including Medicare and TRICARE, based on a circular scheme of kickbacks and bribes. Romanowski operated a marketing company though which he and his conspirators identified Medicare and TRICARE beneficiaries to target for DME. Employees of the company called the beneficiaries to pressure them to agree to accept DME, frequently consisting of back, shoulder, and knee braces. Romanowski and his conspirators paid the company’s employees commissions, bonuses, and incentives to encourage them to convince as many beneficiaries as possible to accept DME, regardless of medical necessity. Romanowski and his company paid kickbacks to telemedicine companies, which in turn paid kickbacks to doctors, to obtain doctor’s orders for the DME. The doctors paid by the telemedicine companies signed the orders regardless of medical necessity, often without ever speaking to the patient. Romanowski and his business partner, Eric Karlewicz, then steered the doctor’s orders to DME suppliers around the country, with which Romanowski and his company had additional kickback arrangements. The DME companies submitted claims for reimbursement to health care benefit programs including Medicare and TRICARE, and thereafter sent a portion of the proceeds to Romanowski and his company as payment for the doctor’s orders generated through the conspiracy. The company received more than $63 million from DME suppliers in exchange for the referrals. In total, Romanowski and his conspirators caused the submission of false and fraudulent claims to health care benefit programs totaling more than $127 million for DME. Karlewicz previously pleaded guilty to an information charging conspiracy to violate the anti-kickback statute and conspiracy to commit health care fraud. The kickback conspiracy charge is punishable by a maximum of five years in prison, and the health care fraud conspiracy charge is punishable by a maximum of 10 years in prison, along with fines, restitution, and penalties as to both counts. Both charges are punishable by a fine of $250,000, or twice the gross gain or loss from the offense, whichever is greatest. Sentencing is scheduled for May 21, 2024. Attorney for the United States Khanna credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark; special agents of the U.S. Department of Health and Human Services Office of Inspector General, under the direction of Special Agent in Charge Naomi Gruchacz; and special agents of the U.S. Department of Defense, Office of Inspector General, Defense Criminal Investigative Service, Northeast Field Office, under the direction of Acting Special Agent in Charge Brian J. Solecki, with the investigation. The government is represented by Assistant U.S. Attorney Katherine M. Romano of the Health Care Fraud Unit and Senior Trial Counsel Barbara Ward of the Asset Recovery and Money Laundering Unit in Newark. romanowski.information.pdf


title: Tuolumne County Motel Agrees to Ensure Access for People with Disabilities

component: USAO - California, Eastern

body_text: SACRAMENTO, Calif. — The United States Attorney’s Office for the Eastern District of California has entered into an agreement under the Americans with Disabilities Act (ADA) with the owner of the El Dorado Motel in Twain Harte, U.S. Attorney Phillip A. Talbert announced today. In the agreement, Golden State Hospitality Management LLC, which owns and operates the motel, agreed to make a series of modifications to the motel to create a fully ADA-complaint unit in order to provide better access for guests with disabilities. The motel has also implemented a remote check-in option for guests who use wheelchairs. “Popular tourist destinations in the Sierras draw a cross-section of our community,” said U.S. Attorney Talbert. “The U.S. Attorney’s Office is committed to protecting the rights of individuals with disabilities so that they may enjoy access to places of public accommodation throughout the District.” The U.S. Attorney’s Office launched this investigation after it received a complaint from a member of the public who was told that she would have a wheelchair accessible room but found upon arrival that her room in fact had no accommodations. A further investigation and architectural assessment revealed that no room at the motel was appropriately wheelchair accessible. The ADA requires that places of public accommodation provide access to individuals with disabilities, including those who use wheelchairs. Assistant U.S. Attorney Emilia P. E. Morris handled the case for the United States. The claims resolved by the settlement are allegations only, and there has been no determination of liability. Individuals interested in finding out more about the ADA can call the Justice Department’s toll‑free ADA information line at 800-514-0301 or 833-610-1264 (TTY) or access the ADA website at www.ada.gov. 12-18-23_-_fully_signed_el_dorado_motel_settlement_agreement.pdf


title: Hartford Man Sentenced to 57 Months in Federal Prison for Gun Offense

body_text: Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that DEVIN TEXIRA, also known as “LV,” 27, of Hartford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 57 months of imprisonment, followed by three years of supervised release, for a firearm possession offense. According to court documents and statements made in court, this matter stems from an investigation into gang-related drug trafficking and firearm possession by members of Los Solidos. The investigation, which included court-authorized wiretaps, revealed that Luis Feliciano, also known as “Louminaty,” distributed fentanyl, heroin, cocaine, and crack to customers and other distributors in the Hartford area, and also to individuals in New York and Maine. In October 2021, a member of Feliciano’s drug trafficking network, Jose Tirado, coordinated the sale of 9mm handgun, owned by Texira, to another individual for $800. Texira’s criminal history includes felony convictions for firearm possession, robbery, assault, and threatening offenses, and he was on state probation in October 2021 during the firearm transaction. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce. Hartford Police arrested Texira on March 27, 2022, on state charges related to an alleged threatening incident involving a firearm. On June 8, 2022, a federal grand jury returned an indictment charging Texira, Feliciano, Tirado, and 13 others with various narcotics distribution and firearm possession offenses. On February 16, 2023, Texira pleaded guilty to unlawful possession of a firearm by a felon. He has been detained since his arrest, and he awaits sentencing on the unrelated state charges. Feliciano and Tirado pleaded guilty. On August 11, 2023, Tirado, also known as “Joselito” and “Leet,” was sentenced to 84 months of imprisonment. Feliciano awaits sentencing. This investigation has been conducted by the Federal Bureau of Investigation’s Northern Connecticut Gang Task Force and the Hartford Police Department. The Task Force includes members of the FBI, Hartford Police Department, East Hartford Police Department, New Britain Police Department, West Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. This case is being prosecuted by Assistant U.S. Attorney Robert S. Ruff. through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.


title: Return preparer and former owner of national tax preparation franchise sentenced to prison for evading his own taxes

component: USAO - Georgia, Southern

body_text: STATESBORO, GA: A Bulloch County, Ga., man has been sentenced to federal prison for income tax evasion. Samir Patel, 56, of Statesboro, Ga., was sentenced today (Dec. 19) to two years in prison after previously pleading guilty to tax evasion, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. U.S. District Court Chief Judge J. Randal Hall also ordered Patel to pay approximately $550,000 in restitution to the United States, a fine of $95,000, and ordered him to serve three years of supervised release upon completion of his prison term. There is no parole in the federal system. “Much of our nation’s operating revenues are dependent on the lawful participation of citizens in the income tax system, and those who evade their responsibilities place a greater burden on everyone else,” said U.S. Attorney Steinberg. “This sentence demonstrates the substantial consequences of attempting to cheat the system.” As described in court documents and testimony, Patel was a tax return preparer at a national return preparation business. In 2015, Patel purchased a franchise of the business in Claxton, Ga. As the owner, he hired, trained, and supervised tax preparers, and continued to prepare returns for customers. Patel, however, willfully filed false income tax returns that omitted more than $1.28 million in income – including almost $1.18 million from S&W Amusements, a company that placed coin operated amusement machines in convenience stores and gas stations – and evaded proper assessment of his personal taxes for years 2015, 2016, and 2017. As part of his sentence, Patel is prohibited from preparing tax returns for others or for entities in which he has no interest during his term of supervised release. IRS Criminal Investigation investigated the case, which was prosecuted for the United States by Trial Attorneys Matthew C. Hicks and Richard J. Hagerman of the Department of Justice Tax Division, and Assistant U.S. Attorney John P. Harper III of the Southern District of Georgia.


title: Dallas County individuals indicted in investment fraud and money laundering scheme

body_text: PLANO, Texas – Three individuals have been indicted for federal violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today. Marina Brooks, 67; Charles “Chuck” Brooks, 71; and Crystal Brooks, 35, were named in the two-count indictment returned by a federal grand jury on Dec. 14, 2023, in the Eastern District of Texas. The indictment charges the defendants with conspiracy to commit wire fraud and conspiracy to commit money laundering. The defendants made their initial appearances today before U.S. Magistrate Judge Kimberly C. Priest Johnson. The defendants are alleged to have engaged in a large-scale investment fraud scheme targeting individuals in the Mexican-American community. According to the indictment, the defendants and their co-conspirators fraudulently solicited “investments” for a multitude of schemes, such as concert series and cryptocurrency-related projects. Through marketing seminars, radio advertisements, and in-person meetings, the defendants fraudulently represented that these investment opportunities would yield significant returns relative to market standards. However, the defendants are alleged to have transferred the victim investor funds to other business and personal accounts, took out commissions and cash withdrawals, and lost over 95% of the funds taken from victim investors. In all, the defendants fraudulently took at least $9.5 million from at least 100 victim investors. If convicted, the defendants each face up to 20 years in federal prison. This case is being investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigations. A grand jury indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. ###


title: Former Alabama Department of Corrections Lieutenant Sentenced for Civil Rights and Obstruction Offenses for Assaulting a Restrained Inmate and Lying to Cover It Up

component: Civil Rights Division

body_text: A former Alabama Department of Corrections (ADOC) lieutenant, Mohammad Shahid Jenkins, 52, was sentenced today to 87 months in prison followed by three years of supervised release for using excessive force on an inmate and lying afterwards in an official report in an attempt to cover up his abuse. He previously pled guilty to these offenses on Sept 12. “This defendant was a lieutenant with more than 20 years of experience and a supervisor who was supposed to set an example of what proper law enforcement looks like for the less experienced officers he oversaw,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Instead, the defendant abused his position of power to repeatedly and viciously assault a restrained inmate, returning to the inmate’s cell several times to renew the assault. We are committed to holding accountable law enforcement officers who violate the civil rights of any American, including those who are incarcerated in our jails and prisons.” “Corrections officers have the responsibility to ensure the safety and security of those incarcerated in our nation’s prisons,” said U.S. Attorney Prim F. Escalona for the Northern District of Alabama. “The physical abuse of prisoners in violation of the Constitution threatens the safety of the entire institution, officers and inmates alike. We will continue to work with our law enforcement partners to investigate and prosecute corrections officers who abuse inmates and violate positions of public trust.” “This sentence sends a strong message that the FBI remains committed to protecting the civil rights of all people, including those in prison custody,” said Special Agent in Charge Carlton L. Peeples of the FBI Birmingham Field Office. “This individual's conduct is not reflective of the honor and professionalism with which the men and women of law enforcement exemplify. The FBI Birmingham Division is proud to work alongside the Civil Rights Division and ADOC to bring justice to these victims and remain steadfast in addressing all Color of Law allegations.” According to court documents and evidence introduced at sentencing, Jenkins, former William E. Donaldson correctional facility lieutenant and shift commander, who had more than 20 years of experience in law enforcement, used excessive force on inmate V.R. Specifically, on Feb. 16, 2022, Jenkins willfully deprived inmate V.R. of his right to be free from excessive force by kicking him, hitting him, spraying him with chemical spray, striking him with a can of chemical spray and striking him with a shoe while V.R. was restrained inside of a holding cell and not posing a threat. Over the course of approximately five minutes and outside the presence of other officers and inmates, Jenkins repeatedly re-entered the holding cell that V.R. was in and re-assaulted him numerous times. Jenkins used a dangerous weapon — chemical spray and the can of chemical spray — on V.R., and his attacks on V.R. caused V.R. to suffer bodily injury. Following his assault on V.R., Jenkins authored a false incident report and later Jenkins lied to investigators by denying using any force on V.R. As part of the plea agreement, Jenkins also admitted that he used unlawful force on another inmate on a separate occasion at Donaldson. Specifically, on Nov. 29, 2021, Jenkins willfully deprived inmate D.H. of his right to be free from excessive force by repeatedly spraying D.H. with chemical spray while D.H. was handcuffed behind his back and compliant, by hitting D.H. in the head with the can of chemical spray and by delivering an open-hand strike to D.H.’s head while he was suffering from the effects of chemical spray. The FBI Birmingham Field Office investigated the case with the assistance of ADOC’s Law Enforcement Services Division. Assistant U.S. Attorney George Martin for the Northern District of Alabama and Trial Attorney Anna Gotfryd of the Civil Rights Division’s Criminal Section prosecuted the case.


title: Boston Man Indicted for Firearm, Ammunition and Drug Offenses

component: USAO - Massachusetts

body_text: BOSTON – A Boston man has been indicted by a federal grand jury for unlawfully possessing a firearm and ammunition and distributing cocaine. Herbert Small, 22, was indicted with one count of being a felon in possession of a firearm and ammunition and two counts of distribution and possession with intent to distribute controlled substances. He was arraigned in federal court in Boston today. Small was previously charged by complaint on Oct. 24, 2023 and has remained in custody since his arrest on Nov. 7, 2023. According to the charging documents, on Aug. 17, 2023, Small sold 25 grams of cocaine and two firearms – a .22 caliber revolver and a .40 caliber pistol with a magazine containing 11 rounds of ammunition – to a cooperating witness in Dorchester. On Oct. 16, 2023, Small again sold approximately 70 grams of cocaine base (commonly known as crack cocaine) to the same cooperating witness. Small prohibited from possessing firearms and ammunition due to a previous federal drug conviction in 2017. The charge of being a felon in possession of firearms and ammunition provides for a sentence of up to 15 years in prison, three years of supervised release and a fine of $250,000. The charge of conspiracy to distribute and possess with intent to distribute controlled substances provides for a sentence of up to 20 years in prison, at least three years of supervised release up to life and a fine of $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting United States Attorney Joshua S. Levy and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Office. Valuable assistance was provided by the Boston Police Department. Assistant U.S. Attorneys Philip C. Cheng and Lucy Sun of the Office’s Organized Crime & Gang Unit are prosecuting the case. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF . The details contained in the complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.


title: Return Preparer Who Evaded His Own Taxes Sentenced to Two Years in Prison

component: Tax Division

body_text: A Georgia man was sentenced today to two years in prison for evading his personal federal income taxes. According to court documents and statements made in court, from 1999 to 2021, Samir Patel, of Statesboro, was a tax return preparer at a national return preparation business. In 2015, Patel purchased a franchise of the business in Claxton, Georgia. As the owner, he hired, trained and supervised tax preparers, while continuing to prepare returns for customers. Patel nevertheless evaded his own income taxes by, among other things, filing false returns for 2015 through 2017 that omitted over $1.28 million in income – including almost $1.18 million from his business, S&W Amusements, a company that placed coin-operated amusement machines in convenience stores and gas stations. In total, Patel caused a tax loss to the IRS of approximately $550,000. In addition to his prison sentence, U.S. District Court Chief Judge J. Randal Hall for the Southern District of Georgia ordered Patel to serve three years of supervised release and to pay a $95,000 fine and $551,450 in restitution to the United States. Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Jill E. Steinberg for the Southern District of Georgia made the announcement. IRS Criminal Investigation investigated the case. Trial Attorneys Matthew C. Hicks and Richard J. Hagerman of the Tax Division and Assistant U.S. Attorney John P. Harper III for the Southern District of Georgia prosecuted the case.


title: Texas Man Indicted for Stealing from ATM at Ozark Bank

component: USAO - Missouri, Western

body_text: SPRINGFIELD, Mo. – A Houston, Texas, man was indicted by a federal grand jury today for his role in the theft from an automated teller machine (ATM) at an Ozark, Mo., bank. Nigel Dwane Luchin, 26, was charged in a two-count indictment returned by a federal grand jury in Springfield, Mo. Today’s indictment replaces a federal criminal complaint that was filed against Luchin on Nov. 6, 2023. Luchin is charged with one count of entering a bank with the intent to commit bank theft and one count of bank theft. According to an affidavit filed in support of the original criminal complaint, Luchin was part of a group of unidentified subjects who used a stolen Ford F-250 pickup truck to destroy an ATM at Southern Bank, located at 2471 Jackson Road in Ozark, Mo., at 1:26 a.m. on Oct. 30, 2023. They used a chain and two large hooks to dismantle the door to the ATM, the affidavit says, by attaching the chains to the ATM and pulling the chain and hooks with the stolen Ford F-250. They stole $30,700 from the ATM and left the bank, abandoning the pickup truck a short distance away. Investigators learned the pickup truck had been stolen from the parking lot of Tom’s Diesel in Nixa, Mo., at about 12:30 a.m. the same day. They reviewed surveillance videos from businesses in the area, which allegedly showed Luchin and others arriving at the area in two vehicles – a Chrysler Voyager minivan and a Toyota Highlander – and leave the area with the stolen pickup. Both the Voyager and the Highlander were identified on a license plate reader and traced to two car rental agencies in Houston. Later the same day, a license plate reader in Houston captured both of those vehicles traveling in the same direction. Ozark police officers searched the stolen pickup truck and found Luchin’s Texas identification card on the driver’s seat. The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence. This case is being prosecuted by Assistant U.S. Attorney Stephanie L. Wan. It was investigated by the FBI and the Ozark, Mo., Police Department.


title: KC Man Indicted for Illegal Firearm Following Police Chase

body_text: KANSAS CITY, Mo. – A Kansas City, Mo., man was indicted by a federal grand jury today for illegally possessing a firearm following a high-speed pursuit from police officers. Shane C. Hyde, 36, was charged with being a felon in possession of a firearm in an indictment returned by a federal grand jury in Kansas City, Mo. Today’s indictment replaces a criminal complaint that was filed against Hyde on Dec. 6, 2023. The federal indictment alleges that Hyde was in possession of a Ruger AR-style pistol with a collapsible rifle stock on Dec. 6, 2023. According to an affidavit filed in support of the original federal criminal complaint, Independence police officers found a black Ford Fusion parked in front of an Independence residence in the early morning hours of Dec. 6, 2023. Hyde was the only occupant of the vehicle, which was idling without its lights on. When officers attempted to contact Hyde, the affidavit says, he fled in the vehicle. Hyde traveled at a high rate of speed without the vehicle’s headlights illuminated. He also failed to yield and drove into opposing lanes of traffic, the affidavit says, driving in the wrong lane of traffic around a dangerous curve. At least two vehicles had to take evasive action to avoid a collision. Officers deployed “stop sticks” to end the pursuit. Hyde’s vehicle struck a curb and he got out of the car, holding a firearm in his left hand. As Hyde fled from officers on foot, they saw something fall from his waistband. Officers deployed their taser to take Hyde into custody after a brief struggle. Officers found the Ruger AR-style pistol with a collapsible rifle stock on the ground. When they searched the Ford Fusion, officers found several rounds of various makes and calibers of ammunition, a firearm magazine, a Halloween mask, a pair of handcuffs, a ballistic panel from a bullet-proof vest, two glass pipes with methamphetamine residue, and a plastic bag with approximately .33 grams of methamphetamine. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Hyde has two prior felony convictions for possession of a controlled substance and prior felony convictions for tampering with a motor vehicle, resisting a lawful stop, property damage, and theft. The charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence. This case is being prosecuted by Assistant U.S. Attorney Ashleigh A. Ragner. It was investigated by the Independence, 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.


title: RICO Conspirators Responsible For Nationwide Computer Intrusions And Tax Fraud Sentenced To Federal Prison

component: USAO - Florida, Middle

body_text: Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Louisaint Jolteus, Michael Jean Poix, Monika Shauntel Jenkins, Alain Jean-Louis (34, Hollywood), Louis Noel Michel, and Jeff Jordan Propht-Francisque to federal prison terms for their roles in a RICO conspiracy that involved cyber intrusions and millions of dollars of tax fraud. Andi Jacques, Dickenson Elan, and Vladimyr Cherelus will be sentenced next year for their involvement in the conspiracy. See chart below for details. Name (Age, Residence) Status Offense Sentence Louisaint Jolteus 37, West Palm Beach Pleaded guilty on July 6, 2022 RICO Conspiracy 9 years and 2 months in prison and $2,928,841.00 in restitution Michael Jean Poix (33, West Palm Beach) Pleaded guilty on August 29, 2023 RICO Conspiracy and Aggravated Identity Theft 10 years and 10 months in prison and $130,771.00 in restitution Monika Shauntel Jenkins (34, Hollywood) Pleaded guilty on September 18, 2023 RICO Conspiracy and Aggravated Identity Theft 87 months in prison, 3 years of supervised release, and $3,384,913.00 in restitution Alain Jean-Louis (32, Miami) Pleaded guilty on August 31, 2023 RICO Conspiracy and Aggravated Identity Theft 102 months in prison, 3 years of supervised release, and $2,554,907.00 in restitution Louis Noel Michel (29, Hollywood) Pleaded guilty on July 25, 2023 RICO Conspiracy and Aggravated Identity Theft 7 years, 3 months in prison and $1,941,533.00 in restitution Jeff Jordan Propht-Francisque (29, Pompano Beach) Pleaded guilty on August 29, 2023 RICO Conspiracy 4 years in prison and $2,574,235.00 in restitution Andi Jacques (42, Greenacres) Pleaded guilty on August 23, 2023 RICO Conspiracy and Aggravated Identity Theft Sentencing hearing is scheduled for January 10, 2024 Dickenson Elan (39, Clearwater) Found guilty on November 6, 2023 RICO Conspiracy Sentencing hearing is scheduled for February 7, 2024 Vladimyr Cherelus (34, Lauderdale Lakes) Pleaded guilty on September 18, 2023 RICO Conspiracy Sentencing hearing is scheduled for January 10, 2024 According to court documents, from 2015 through 2019, these individuals and numerous other conspirators—including a now-deceased conspirator who is referenced in the indictment as RICH4EVER4430—banded together to engage in a sophisticated cybercrime and tax fraud scheme. RICH4EVER4430, Jean-Louis, Jenkins, Michel, Propht-Francisque, and Cherelus used the dark web to purchase server credentials for the computer servers of Certified Public Accounting (CPA) and tax preparation firms across the country. They used those server credentials to remotely and covertly commit computer intrusions and exfiltrate the tax returns of thousands of taxpayers who were clients of those CPA and tax preparation firms. Jacques, Elan, Jean-Poix, and Jolteus were involved with creating and operating fraudulent tax businesses to file false tax returns in the names of thousands of victims. They also registered with the Internal Revenue Service (IRS) preparer tax identification numbers using the names and information of identity theft victims, to make it appear that those victims were the individuals who were filing false returns in bulk. RICH4EVER4430, Jean-Louis, Jenkins, Michel, Propht-Francisque, Cherelus, and other conspirators then partnered with Jacques, Elan, Poix, Jolteus, and others to form an enterprise through which they filed thousands of false tax returns in the names of more than 9,000 identity theft victims. The conspirators directed the resulting tax refunds to debit cards and bank accounts that they controlled. Also, to make the businesses appear more legitimate, members of the enterprise opened bank accounts in the names of these fraudulent tax businesses to receive fake “tax preparer fees.” As the RICO conspiracy evolved, members of the enterprise “hijacked” the IRS-issued identification numbers of CPA and tax preparation firms and used those identification numbers to file scores of additional false tax returns. Members of the enterprise filed false self-prepared tax returns using stolen identities as well. Altogether, the enterprise claimed more than $45 million in false tax refunds over the course of approximately four years. The actual loss to the IRS and the United States was estimated to be more than $7 million. “The recent sentencings of these co-conspirators, highlights the unwavering dedication of IRS-CI and our law enforcement partners in combating cybercrime. Our determination remains resolute in pursuing individuals who exploit technology as a means to commit unlawful activities,” said Tara K. Reed IRS-CI Acting Special Agent in Charge. “These sentences serve as a stark warning to potential wrongdoers that there is nowhere to hide, and IRS-CI will work tirelessly to bring you and your misdeeds to light.” “This was a milestone investigation for the FBI because of the RICO cybercrime conspiracy,” said FBI Tampa Division Special Agent in Charge David Walker. “It underscores the evolution of the cyber threat and how criminals are learning cyber tradecraft in an attempt to advance their criminal enterprises. However, this case also demonstrates how the FBI and our law enforcement partners are evolving our approach to investigations and prosecutions to continue to successfully disrupt cyber gangs.” This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation in Orlando, with assistance from the FBI in Miami and IRS-CI in Minnesota. It is being prosecuted by Assistant United States Attorneys John M. Gardella and William S. Hamilton.


title: Georgia state prison inmate pleads guilty to impersonating a federal agent as part of a national telephone fraud scheme

component: USAO - Washington, Western

body_text: Seattle – A Georgia prison inmate who was indicted in Western Washington for a telephone fraud scheme pleaded guilty today in U.S. District Court in Seattle to conspiracy to impersonate a federal officer, announced Acting U.S. Attorney Tessa M. Gorman. Robert “Bo” Nnanwubas, 29, was incarcerated at Calhoun State Prison in Morgan, Georgia when he and others conspired to impersonate federal agents to defraud health care workers across the country. Prosecutors will ask that eight months in federal prison be added to Nnanwubas state sentence when he is sentenced by U.S. District Judge John C. Coughenour on March 12, 2024. According to the plea agreement, Nnanwubas and others used contraband cell phones and Voice Over Internet Protocol (VOIP) technology to call victims and impersonate law enforcement personnel, including Deputy U.S. Marshals. The “Marshal” would tell the victim that a subpoena had been issued for the victim to appear and testify in court, and since the victim did not appear, a warrant had been issued for their arrest. The caller would say the warrant could be “quashed” if the victim sent money via Zelle or another digital payment system. The conspirators targeted health care workers across the country. In March 2022, Nnanwubas’ Zelle account received approximately $15,000 in payments from eight different victims. An additional $5,300 was sent to Nnanwubas via Paypal and Venmo by three additional victims. In a call to a Seattle area victim, Nnanwubas or his co-conspirators claimed to be “Deputy Marshal Gary Hartnett,” and demanded the victim return the call to what appeared to be a Seattle number. The scammers told the victim that two subpoenas had been sent to her place of work and that she needed to make payment, or she would be arrested. They also claimed there was a gag order in the case so that the victim could not consult a lawyer or other legal or law enforcement expert. The caller demanded the victim pay $2,000 or she would be arrested. The caller even told the victim she would have to turn herself in at the federal courthouse at 700 Stewart Street in Seattle. The schemers used as many correct details as possible to try to convince the victims to pay. The Seattle victim did not send money. In the plea agreement Nnanwubas agrees to pay restitution to the victims of $15,300. “This case should serve as a reminder that legitimate government workers will not call and demand payment via Zelle, Venmo or some other digital means,” said Acting U.S. Attorney Tessa M. Gorman. “The Courts and our federal partners do not demand money or any kind of payment in response to a subpoena. If you get a call like this, just hang up.” The case was investigated by the FBI with assistance from the U.S. Marshals Service. The case is being prosecuted by Assistant United States Attorney Cindy Chang.


title: Maryland Financial Advisor Pleads Guilty to Stealing an Elderly Client’s Life Savings

component: USAO - Maryland

body_text: Baltimore , Maryland – Eddy Blizzard, age 45, of Perry Hall, Maryland, pleaded guilty today to bank fraud, in connection with a fraud scheme in which he embezzled approximately $1 million from an elderly client’s retirement account. The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge R. Joseph Rothrock of the Federal Bureau of Investigation, Baltimore Field Office; and Southeast Region Special Agent in Charge Edwin Bonano of the Federal Housing Finance Agency, Office of Inspector General. “This defendant perpetrated a heartless scheme that preyed on a vulnerable elderly victim, stealing more than a million dollars,” said United States Attorney Erek L. Barron. “We will continue to work with our law enforcement partners to bring to justice those who engage in these despicable schemes targeting elderly victims. I encourage anyone who believes they may be a victim of financial fraud to contact the Elder Fraud Hotline at 833-FRAUD-11 (833-372-8311).” According to his plea agreement, Blizzard held several licenses that allowed him to operate as a registered broker and a registered investment adviser per the Financial Industry Regulatory Authority (“FINRA”). From 2003 to 2014, Blizzard was employed by a bank securities company (Bank 1) and from 2014 to 2017 he was employed by a bank investment services company (Bank 2), both in Maryland. As detailed in the statement of facts, victim R.M. was a resident of Maryland and had attended school through the ninth grade. R.M. was 75 years old in January 2020. Beginning in 1963, R.M. went to work for a Baltimore based commercial air-conditioning company, where he enjoyed a successful career installing commercial grade air conditioning units around the country. R.M.’s employer offered him supervisory positions at the company, but R.M. declined because he was not able to read or write. R.M. was able to continue as an air conditioning technician by memorizing facts and figures and conceptualizing things visually. R.M. routinely worked approximately 15 to 30 hours of overtime per week during his career to make extra money. In 2003, after approximately 40 years of service with the air conditioning company, R.M. took a buyout and retired. Six months later, R.M. decided to invest his retirement funds to provide an inheritance for his grandchildren. R.M. sought investment advice from Bank 1, where he had his depository accounts. Blizzard began working at Bank 1 shortly after R.M. began investing there and became R.M.’s financial adviser. Blizzard admitted that in about 2005, he told R.M. that he “went out on his own” meaning that Blizzard began working as an independent financial advisor and asked R.M. if R.M. wanted to leave Bank 1 and use Blizzard as a full-time financial advisor. Blizzard told R.M. that it would be a while before he had his own office, but he would continue to work out of the Bank 1 branch in Catonsville, Maryland. However, Blizzard never went to work as an independent financial advisor. According to the plea agreement, approximately once a month, R.M. would drive from his new home in Chester, Maryland on the Eastern Shore to meet with Blizzard at Bank 1 in Catonsville, approximately one hour away; however, R.M. and Blizzard would meet in Blizzard’s car, not the office. R.M. continued to meet with Blizzard in this way over several years. These meetings lasted 30 to 45 minutes and R.M. was never told why they were meeting in Blizzard’s car. Blizzard admitted that after he became R.M.’s financial advisor, he began asking R.M. for signed blank checks. R.M. recalled giving Blizzard 15-20 signed blank checks. Blizzard filled in the remaining information to include the payee, the amount, the date, and detailed memo section, but R.M. did not know what the checks were for. When R.M. received the cancelled checks in the mail, he knew Blizzard had written them out because R.M. recognized Blizzard’s handwriting. Blizzard used these checks for personal purposes, and not for any benefit of R.M. On approximately 12 different instances, R.M. went to his local bank to withdraw cash and was told there was not enough money in the account. R.M. would then call Blizzard to let him know about the deficiency. Blizzard then told R.M. to wait a day or two and there would be funds in the account to withdraw. R.M. did not ask Blizzard why there were no funds in the account or how those funds were replenished. During his years of investment with Blizzard, R.M. believed that his retirement funds were protected, meaning they would not lose value – a fact that Blizzard reiterated to R.M. many times. R.M. also believed that Blizzard was handling payment of R.M.’s mortgage. As detailed in the plea, in August 2019, R.M. realized there was a problem. R.M. was preparing to go on a family vacation and attempted to withdraw $1,000 to $1,500 in cash from the local Bank 1 branch and was told there were not sufficient funds in the account. R.M. attempted to contact Blizzard on his cell phone for a week with no response. R.M. then went to Blizzard’s Perry Hall, Maryland residence to talk to Blizzard in person, knocking on the front and back doors of Blizzard’s residence. No one came to the door, but R.M. received a voicemail from Blizzard, while he was still at Blizzard’s home. In the voicemail, Blizzard stated that the neighbors had called him and were complaining about the banging on the door. Blizzard further explained that all of R.M.’s money was gone, and that Blizzard had attempted suicide at his parent’s Myrtle Beach, South Carolina home, and was being hospitalized. On September 19, 2019, Blizzard sent an email to R.M.’s son in response to a message R.M.’s son had sent via social media to Blizzard’s wife inquiring about what happened to R.M.’s money. Blizzard told R.M.’s son that he had made some bad investments and felt terrible about failing R.M. and that is why Blizzard tried to end his life. As explained in the plea, Blizzard admitted that, in fact, he was never hospitalized and did not attempt suicide in South Carolina and that the reason R.M.’s account lost value was almost entirely because Blizzard withdrew R.M.’s funds, and deposited those funds into his own bank account, to use for his own purposes. A review of R.M.’s depository and investment accounts showed that between January 2013 and August 2019 there were a total of 242 distributions totaling approximately $1.4 million from R.M.’s retirement accounts. Of those, 129 distributions totaling $1.2 million were specifically requested from R.M.’s retirement accounts instead of being regular systematic annuity payments. After taxes and fees were deducted from those requested payments, approximately $1 million was deposited into R.M.’s Bank 1 account. This review also revealed that from April 2016 to April 2019 Blizzard deposited approximately 112 checks drawn on R.M.’s account into various bank accounts at Bank 1 and elsewhere that were held by Blizzard jointly with his wife or individually. These checks totaled approximately $848,000 and were written to Blizzard or Blizzard’s wife. A review of these checks showed that almost all had comments written on the memo section indicating various purposes such as payment of property taxes, construction, boat payments, and down payments for a new house. In addition, on at least three occasions Blizzard stole R.M.’s Social Security income, which was directly deposited into R.M.’s checking account. On each occasion, once the payment was deposited into R.M.’s account, a check in the amount of $1,200 or more, signed by R.M. and made payable to Eddy Blizzard, was deposited in Blizzard’s personal account. Also, in the fall of 2019, R.M.’s home was put into foreclosure because Blizzard failed to make the mortgage payments on R.M.’s home as he had promised. R.M. died on March 20, 2020. Blizzard faces a maximum sentence of 30 years in federal prison for bank fraud. As outlined in the plea agreement, Blizzard will also be required to pay restitution in the full amount of the victims’ losses, which is at least $1,030,000 and to forfeit $848,000 in the form of a money judgment. U.S. District Judge Stephanie A. Gallagher scheduled sentencing for Blizzard on April 30, 2024, at 11:30 a.m. Reporting from consumers about fraud and fraud attempts is critical to law enforcements efforts to investigate and prosecute schemes targeting older adults. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available through the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice Hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying next steps, including identifying appropriate reporting agencies, providing information to callers to assist them in reporting or connecting them with agencies, and providing resources and referrals on a case-by-case basis. The hotline is staffed from 10:00 a.m. to 6:00 p.m. Monday through Friday. English, Spanish, and other languages are available. More information about the Department’s elder justice efforts can be found on the Department’s Elder Justice website, www.elderjustice.gov . Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324. United States Attorney Erek L. Barron commended the FBI and the FHFA OIG for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Evelyn Lombardo Cusson and Aaron S.J. Zelinsky, who are prosecuting this case. For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help seniors, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/elder-justice-initiative . # # #


title: Third Defendant Convicted in Scheme that Laundered Illicit Funds for International Drug Trafficking Organizations

component: USAO - California, Central

body_text: LOS ANGELES – A federal jury has convicted a third defendant in a money laundering conspiracy that moved millions of dollars in narcotics-related funds from the United States to international drug trafficking organizations, the Justice Department announced today. Gustavo Adolfo Aldana-Martinez, 57, of Pico Rivera, was found guilty late Friday of conspiracy to launder money following a three-day trial in United States District Court. The evidence at trial showed that Aldana-Martinez accepted wire transfers of trafficker-directed drug proceeds sent from an undercover account run by agents with the Drug Enforcement Administration. After nearly $300,000 was sent to a bank account in the name of his bogus business, Aldana-Martinez made a series of wire transfers to unrelated companies to pay for electronic items that were then shipped to Colombia and Mexico, where they were sold to produce laundered funds for the drug traffickers. The evidence showed that Aldana-Martinez laundered approximately $15.5 million between 2015 and 2017. The man who oversaw the money laundering enterprise – Daniel Shaun Zilke, a.k.a. “The Englishman,” 48, of Mexico City, pleaded guilty on December 8 to conspiracy to aid and abet drug distribution, conspiracy to launder money, and obstruction of an official government proceeding for stealing and attempting to cover up the theft of $150,000 in DEA undercover funds. The third defendant in the case – Jeffrey Mark Thompson, a.k.a. “The Cowboy,” 62, of Springtown, Texas, pleaded guilty on November 27 to conspiracy to aid and abet drug distribution, conspiracy to launder money, and money laundering. All three defendants were named in federal grand jury indictment filed in January 2023. A fourth defendant in the case – Juan Rachid Dergal-Zulbaran, 48, of Mexico City – is currently a fugitive. According to court documents, the investigation into Zilke’s operation started in late 2015 when an undercover DEA agent posing as a money launderer contacted Zilke. When he pleaded guilty, Zilke admitted telling the undercover “he had a client in Europe who needed hundreds of millions of dollars moved to Mexico, and that he could use the bank account of a charity in Dallas, Texas to assist in laundering the money.” The undercover agent agreed to assist Zilke by allowing him to use bank accounts associated with cash-intensive businesses. Subsequently, Zilke and his associates arranged numerous pickups of large sums of cash from drug traffickers in cities all over the country, funds that were deposited at Zilke’s direction into various bank accounts, including one controlled by Aldana-Martinez and another in the name of Thompson’s purported charity, Peace Through Water Foundation. When he pleaded guilty, Thompson admitted that he used the Peace Through Water bank account to launder drug money. Zilke, Thompson and Aldana-Martinez each earned a commission that was a percentage of the amount laundered through their respective accounts, according to court documents. During the investigation, Zilke approached the DEA in 2019 and offered his cooperation to expose the money laundering organization. After being made a cooperator and agreeing to always be truthful, Zilke received $200,000 in official government funds to be delivered to defendant Thompson. The intent was for Thompson to launder the money through his bank accounts and return the money to DEA undercover accounts. However, as Zilke admitted in his plea agreement, approximately two weeks after the cash delivery, Zilke returned to Thompson’s residence and took back $150,000 without telling the DEA agents. After this theft of government funds, he repeatedly lied to the agents about the money and made excuses for why it was taking so long to receive the wire transfers for the full $200,000. As a result of the conviction and guilty pleas, the three defendants each face potential sentences of decades in federal prison. Zilke is scheduled to be sentenced on April 1, 2024, while Thompson and Aldana-Martinez face sentencing on April 8, 2024. DEA Seattle and DEA San Ysidro investigated this matter. Assistant United States Attorneys Julie J. Shemitz, James A. Santiago and Kyle W. Kahan of the International Narcotics, Money Laundering, and Racketeering Section are prosecuting this case. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF .