title: Lexington Man Sentenced to 120 Months for Armed Methamphetamine Trafficking

body_text: FRANKFORT, Ky. — A Lexington man, John M. Hoskins, III, 33, was sentenced to 120 months in federal prison on Wednesday, by U.S. District Judge Gregory Van Tatenhove, for multiple counts of distributing 50 grams or more of methamphetamine and one count of carrying a firearm during and in relation to a drug trafficking crime. Between May and July 2022, law enforcement conducted multiple controlled drug transactions with Hoskins using a confidential informant. Through these transactions, Hoskins sold a total of nearly 500 grams of methamphetamine and at least one firearm to the confidential informant. In addition, Hoskins was observed armed with another firearm during at least one of the drug transactions. Hoskins pleaded guilty to the charges in June 2023. Under federal law, Hoskins must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the U.S. Probation Office for five years. Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Division; and Phillip J. Burnett, Commissioner of the Kentucky State Police (KSP), jointly announced the sentence. The investigation was conducted by ATF, the KSP, and the Bluegrass Narcotics Task Force. The United States was represented by Assistant U.S. Attorney Paco Villalobos. This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials. -END-


title: Philadelphia Man Charged with Enticing Minor

component: USAO - New Jersey

body_text: CAMDEN, N.J. – A Philadelphia, Pennsylvania, man has been charged with using an internet-based chat application to entice a minor to engage in prostitution, U.S. Attorney Philip R. Sellinger announced today. Louis Goldenberg, 41, of Philadelphia, Pennsylvania, is charged by complaint with one count of attempted online enticement of a minor to engage in prostitution. Goldenberg made his initial appearance on Sept. 19, 2023, before U.S. Magistrate Judge Sharon A. King in Camden federal court and was released on $100,000 unsecured bond. According to documents filed in this case and statements made in court: In August 2023, Goldenberg began interacting on a messaging application with an undercover agent, who was posing as a middle-aged woman with a 12-year-old niece. From August through September 2023, Goldenberg messaged the undercover agent, continuously expressing interest in having sexual contact with the minor. During one of the conversations, Goldenberg indicated a specific hotel in Mt. Laurel, New Jersey, where he wanted to have sex with the minor. On Sept. 18, 2023, Goldenberg traveled from Pennsylvania to the Mt. Laurel hotel, where he had a reservation for that evening. When Goldenberg arrived, he was arrested. The count of enticement carries a mandatory minimum term of incarceration of 10 years in prison, a potential maximum term of life in prison, and up to a $250,000 fine. U.S. Attorney Sellinger credited special agents and task force officer of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge Robert Kurtz, with the investigation leading to the charges. He also thanked the Burlington County Prosecutor’s Office and Mount Laurel Police Department. The government is represented by Special Assistant U.S. Attorney Katelyn Waegener of the U.S. Attorney’s Office in Camden. The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty. goldenberg.complaint.pdf


title: Pain Management Physician Convicted of Unlawfully Distributing Opioids

component: Criminal Division

body_text: A federal jury in the Southern District of Ohio convicted an Ohio physician today for unlawfully distributing opioids from his clinic. According to court documents and evidence presented at trial, Thomas Romano, 73, of Wheeling, West Virginia, owned and operated a self-named pain management clinic in Martin’s Ferry to which individuals traveled hundreds of miles to obtain prescriptions for opioids and other controlled substances. Romano charged $750 for an initial visit and $120 for subsequent monthly visits. The prescriptions Romano issued for opioids and other controlled substances greatly exceeded recommended dosages and were in dangerous, life-threatening combinations that fueled the addiction of the individuals to whom he prescribed. Between October 2014 and September 2019, Romano prescribed over 137,000 pills, including opioids, benzodiazepines, and muscle relaxants, to nine individuals. The jury convicted Romano of 24 counts of unlawful distribution of a controlled substance, outside the usual course of professional practice, and not for a legitimate medical purpose to nine individuals. He faces a maximum penalty of 20 years in prison for each charge. A sentencing date has not yet been set. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Kenneth L. Parker for the Southern District of Ohio, Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration (DEA) Detroit Division, Special Agent in Charge J. William Rivers of the FBI Cincinnati Field Office, and Special Agent in Charge Mario M. Pinto of the Department of Health and Human Service Office of the Inspector General (HHS-OIG) made the announcement. The DEA, FBI, and HHS-OIG, as well as the Ohio Bureau of Worker’s Compensation and Ohio Board of Pharmacy, investigated this case. Assistant Chief Alexis Gregorian and Trial Attorneys Devon Helfmeyer and Danielle Sakowski of the Criminal Division’s Fraud Section are prosecuting the case. The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past four years, ARPO has charged over 115 defendants, collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 60 ARPO defendants have been convicted. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit .


title: Crownpoint Man Sentenced to 12 Years in Prison for Firearm Offenses

component: Federal Bureau of Investigation (FBI)

body_text: ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Derrick Cook was sentenced to 12 years in prison. Cook, 28, of Crownpoint, and an enrolled member of the Navajo Nation, pled guilty to assault with a dangerous weapon and using and carrying a firearm during and in relation to a crime of violence on April 11, 2023. According to court documents, on Aug. 27, 2022, Cook got into an argument with John Doe 1 and his girlfriend outside the Crownpoint Trading convenience store. When an employee told Cook to leave, he fired multiple shots at the building from the back of a car. Later that evening, John Doe 1 and John Doe 2 confronted Cook at his home. A fight began and Cook shot both men. Doe 1 was shot in the left side of his chest/abdomen, which resulted in a collapsed lung. He was intubated to assist his breathing, given a chest tube to treat the collapsed lung and a blood transfusion, and underwent surgery to repair his injuries. Doe 2 was shot in the right elbow resulting in a radial fracture. Upon his release from prison, Cook will be subject to 3 years of supervised release. The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department and the Navajo Department of Criminal Investigations. Assistant United States Attorney Nicholas J. Marshall is prosecuting the case. # # # 23-232


title: Key defendant in drug-distribution conspiracy sentenced to 20 years in federal prison

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

body_text: BRUNSWICK, GA: A Georgia state prison inmate who participated in a drug trafficking operation while behind bars has been sentenced to 20 years in federal prison. Jonathan Alvin Pope , 39, of Waycross, Ga., was sentenced to 240 months in prison after previously pleading guilty to Conspiracy to Possess with Intent to Distribute and to Distribute Methamphetamine, Fentanyl, and Heroin, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge Lisa Godbey Wood also ordered Pope to serve three years of supervised release upon completion of his prison term. There is no parole in the federal system. “The sentencing of Jonathan Pope represents a key victory in the investigation and prosecution of a significant drug trafficking network distributing illegal narcotics in multiple south Georgia counties,” said U.S. Attorney Steinberg. “We applaud the outstanding work of the local, state and federal agencies who collaborated to dismantle this network and make our communities safer.” The indictment in Operation Pope’s G.O.A.L., an Organized Crime Drug Trafficking Task Force investigation, was unsealed in July 2022. The indictment charged 14 defendants involved in a drug trafficking conspiracy that distributed methamphetamine, heroin, and fentanyl since as early as 2018. The drug traffickers operated in Glynn, Brantley, Bacon, Pierce, Coffee, Camden, and Ware counties, and beyond. Pope used contraband cell phones and electronic devices to participate in the conspiracy while imprisoned on unrelated state charges. All of the defendants have pled guilty to various charges related to the conspiracy, including: Lena Leigh Davis , 46, of Homeland, Ga., who conducted drug transactions at Pope’s direction. She pled guilty to Conspiracy to Possess with Intent to Distribute and to Distribute Methamphetamine, Heroin, and Fentanyl, and is serving 135 months in federal prison. Richard Reginald Perkins Jr., a/k/a “Reggie,” 47, of Nahunta, Ga., sentenced to 168 months in prison after pleading guilty to Conspiracy to Possess with Intent to Distribute and to Distribute Methamphetamine. Kristina Ashley Montgomery , a/k/a Kristina Ashley Crews, 38, of Hortense, Ga., who conducted drug transactions as part of the operation. She is serving 126 months in federal prison after pleading guilty to Conspiracy to Possess with Intent to Distribute and to Distribute Methamphetamine, Heroin, and Fentanyl. And, Clark Bennett , 51, of Blackshear, Ga., is serving 60 months in prison after pleading guilty to Possession of a Firearm in Furtherance of a Drug Trafficking Crime. “Poisonous drugs, such as methamphetamine, fentanyl, and heroin have taken a terrible toll on our communities,” said Robert J. Murphy, Special Agent in Charge of the Drug Enforcement Administration Atlanta Division. “Drug trafficker Jonathan Pope must now deal with the consequences of his actions.” “This case exemplifies our commitment to prevent drug violence and criminal activity from poisoning our communities,” said Beau Kolodka, Assistant Special Agent in Charge of the Atlanta Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives. “It also sends a clear message that we will relentlessly pursue and prosecute the leaders and members of these violent drug enterprises.” “Contraband cell phones in the hands of inmates as a tool to carry out crimes continues to be a challenge within correctional facilities across our state, and we are using every resource at our disposal to combat this issue,” said GDC Commissioner Tyrone Oliver. “Our Agents work closely with our law enforcement partners each and every day in our common goal of public safety, and this case is another great example of that vital collaboration at every level,” continued Oliver. “We are pleased to see justice being served on this individual for his role in jeopardizing the safe operations of our facilities and the safety of the public.” The case was investigated under the 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. The investigation was conducted by the Savannah Office of the U.S. Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Georgia Department of Corrections Investigative Unit; the Brantley County Sheriff’s Office; the Ware County Sheriff’s Office; the Glynn County Sheriff’s Office; the Coffee County Sheriff’s Office; the Charlton County Sheriff’s Office; and the Pierce County Sheriff’s Office, with assistance from the Georgia State Patrol, and prosecuted for the United States by Assistant U.S. Attorneys Frank M. Pennington II and OCDETF Coordinator Marcela C. Mateo.


title: Two Illinois Businessmen Charged in $7.8 Million Covid-Relief Fraud

body_text: CHICAGO – Two Illinois businessmen have been indicted on federal charges for allegedly fraudulently obtaining more than $7.8 million in small business loans under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. SHARHABEEL SHREITEH, an accountant in Palos Hills, Ill., and TRACY MITCHELL, the owner of a business in Joliet, Ill., allegedly engaged in fraud related to the federal Paycheck Protection Program (PPP), which was created by the CARES Act to cover lost revenue due to economic disruptions from the Covid-19 pandemic. A PPP loan allowed the interest and principal to be forgiven if businesses spent a certain amount of the loan proceeds on essential expenses, such as payroll and rent. An indictment unsealed Tuesday in the Northern District of Illinois alleges that Shreiteh and Mitchell recruited purported sole proprietors, self-employed individuals, and businesses to provide personal identifying information, bank statements, and other documents, and then submitted fraudulent PPP loan applications on their behalf. The applications contained numerous misrepresentations and false statements that inflated the applicants’ payroll, income, and other expenses, the indictment states. In exchange for preparing and submitting the fraudulent applications, Shreiteh and Mitchell received at least $1,000 to $4,000 per successful loan, the indictment states. The indictment charges 13 counts of wire fraud against Shreiteh, 43, of Crete, Ill., and ten counts against Mitchell, 49, of Plainfield, Ill. Mitchell pleaded not guilty during his arraignment Tuesday in federal court in Chicago. Shreiteh’s arraignment has not yet been scheduled. The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the FBI Chicago Field Office. The government is represented by Assistant U.S. Attorney Elie Zenner. The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Each count of wire fraud is punishable by up to 20 years in federal prison. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines. Anyone with information about attempted Covid-19 fraud can report it to the Department of Justice by calling the National Center for Disaster Fraud at (866) 720-5721, or by filing an online complaint at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form . Shreiteh et al indictment


title: Browning man admits assault with a gun on Blackfeet Indian Reservation

component: USAO - Montana

body_text: GREAT FALLS — A Browning man accused of firing a gun into an occupied house during a dispute admitted to an assault crime today, U.S. Attorney Jesse Laslovich said. Gerald Anthony Bullchild, 47, pleaded guilty to assault with a dangerous weapon. Bullchild faces a maximum of 10 years imprisonment, a $250,000 fine and three years of supervised release. Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. The court set sentencing for Feb. 29, 2024. Bullchild was released on conditions pending further proceedings. In court documents, the government alleged that on March 28, 2021, Bullchild drove to the home of a former girlfriend, identified as Jane Doe, to speak with their minor child. When the child refused to go with Bullchild, Bullchild started yelling and honking at Jane Doe. Jane Doe went outside to speak with Bullchild, where he continued yelling and called her profane names. Bullchild left and returned later, yelling and honking. Jane Doe refused to leave the home and Bullchild continued yelling and honking. Finally, as Bullchild started to leave, he fired a pistol round into Jane Doe’s living room. The bullet traveled through the front wall of the house and lodged in the couch, where it bumped against the leg of a child on the couch. Law enforcement recovered a spent .45-caliber shell casing and an empty .45-caliber magazine from the vehicle. The round recovered from the couch was a .45-caliber bullet. Assistant U.S. Attorney Kalah A. Paisley is prosecuting the case. The Bureau of Indian Affairs and Blackfeet Law Enforcement Services conducted the investigation. XXX


title: Gary Man Sentenced to 30 Months in Prison

body_text: HAMMOND- Milton Daniels, 35 years old, of Gary, Indiana, was sentenced by United States District Court Senior Judge Jon E. DeGuilio after pleading guilty to being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson. Daniels was sentenced to 30 months in prison followed by 2 years of supervised release. According to documents in the case, on August 5, 2022, Daniels was arrested on an outstanding warrant. At the time of his arrest, Daniels possessed a loaded 9mm semi-automatic firearm. His criminal history revealed he had a prior felony conviction for residential entry and escape, and as such is prohibited from possessing the firearm in this case. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives in coordination with Indiana High Intensity Drug Trafficking Task Force and the Gary Police Department. This case was prosecuted by Assistant United States Attorney Michael J. Toth. 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: Rhode Island Man Sentenced to Seven Years in Prison for Role in Nationwide Conspiracy that Trafficked Drugs Hidden in Toy Trucks, Disney Items and Halloween Decorations

component: USAO - Massachusetts

body_text: BOSTON – A Rhode Island man was sentenced yesterday in federal court in Boston for his role in a nationwide conspiracy to traffic controlled substances from Arizona into Massachusetts. Nathan Boddie, 38, of Pawtucket, R.I., was sentenced by U.S. District Court Judge Indira Talwani to seven years in prison and three years of supervised release. On May 19, 2023, Bodie pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute controlled substances. Boddie was indicted by a federal grand jury along with alleged co-conspirators Denise Guyette and Gerardo Garza in February 2023. According to court documents, in or about April 2022, an investigation began into a drug trafficking organization (DTO) led by Guyette. Boddie conspired with Garza and, allegedly, Guyette and others to traffic various controlled substances – including methamphetamine, fentanyl pills and cocaine – in Massachusetts, Rhode Island and elsewhere. It is further alleged that the DTO routinely used the mail to ship drugs from Arizona to Massachusetts, often hiding the drugs within packages containing children’s items such as toy trucks, Halloween decorations and Disney items. Between May and October 2022, investigators seized seven packages containing a total of over 900 grams of methamphetamine, thousands of counterfeit pills containing fentanyl, as well as suspected Dimethyltryptamine– a very strong psychedelic. One such package was destined for Boddie and contained over 200 grams of pure methamphetamine. On Feb. 6, 2023, Boddie was arrested in Rhode Island following a traffic stop. Located inside his vehicle was a 9mm ghost gun loaded with five rounds of ammunition, an empty 9mm magazine and a 10-round capable magazine loaded with one round of ammunition. Additionally, Boddie attempted to swallow a plastic bag containing 20 grams of methamphetamine during a search of his person. During a search of Boddie’s Rhode Island residence, two ghost guns, a 3-D printer used to print ghost gun components, approximately 120 grams of methamphetamine as well as 10 different driver’s licenses, each bearing Boddie’s photo with names and addresses of other individuals were recovered. In total, over 16 pounds of methamphetamine and more than 700 grams of counterfeit prescription pills containing fentanyl was seized over the course of the investigation. On Aug. 10, 2023, Garza pleaded guilty to a superseding indictment charging him and Guyette with conspiracy to distribute methamphetamine and fentanyl. Guyette has pleaded not guilty and is pending trial. Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and Hudson Police Chief Richard DiPersio made the announcement today. Valuable assistance was provided by the Drug Enforcement Administration; Federal Bureau of Investigation, Imperial County Resident Agency and Yuma Resident Agency; United States Postal Service; Massachusetts State Police; and the Woonsocket (R.I.) Police Department. Assistant U.S. Attorneys Alathea Porter and Charles Dell’Anno of the Narcotics & Money Laundering Unit are prosecuting the case. This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF . The details contained in the charging document are allegations. The remaining defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.


title: Man Sentenced for Defrauding Hundreds of Victims Online

body_text: BOSTON – A Nigerian man was sentenced yesterday for using various online scams to steal more than $1.3 million from approximately 125 victims. Esogie Osawaru, 30, was sentenced by U.S. District Court Judge Leo T. Sorokin to six months in prison and two years of supervised release. Osawaru was also ordered to pay $1,340,516 in restitution and forfeiture. In November 2020, Osawaru pleaded guilty to one count of conspiracy to commit mail and wire fraud and one count of money laundering. Osawaru was arrested in June 2020 along with a co-defendant, Nosayamen Iyalekhue. Osawaru and Iyalekhue participated in a series of romance, pandemic unemployment insurance and other online scams designed to defraud victims by convincing them to send money to accounts controlled by the defendants. Osawaru opened at least six bank accounts using fake foreign passports in the names of aliases but bearing photos of him, to which co-conspirators directed victims to send money. Osawaru and Iyalekhue then rapidly withdrew the victims’ money from various bank branches and ATMs, often multiple times during a single day. The victims, who were often elderly, were deprived of thousands of dollars and in some instances, their life savings. The schemes also included collecting unemployment insurance in the name of others during the COVID-19 pandemic. In March 2021, Iyalekhue was sentenced to 63 months in prison and three years of supervised release after previously pleading guilty to his role in the scheme. Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant U.S. Attorneys Kristen A. Kearney and Ian J. Stearns of the Securities, Financial & Cyber Fraud Unit are prosecuting the case.


title: Bronx Man Sentenced To Life In Prison For The 2006 Murder Of Kelly Diaz And Other Crimes

component: USAO - New York, Southern

body_text: Damian Williams, the United States Attorney for the Southern District of New York, announced today that EDWIN CORTORREAL, a/k/a “Crazy Ed,” was sentenced by U.S. District Judge Valerie E. Caproni to life in prison for his participation in a violent robbery crew known as the “Hot Boys” and the murder of Kelly Diaz in 2006 in the Washington Heights neighborhood of Manhattan. CORTORREAL was convicted following a five-day trial before Judge Caproni on April 26, 2023. U.S. Attorney Damian Williams said: “Edwin Cortorreal was a member of a violent robbery crew that terrorized the Washington Heights neighborhood in Manhattan. But simply robbing his victims was not enough for Cortorreal. He was willing to kill them to make sure he got away with his crimes. To that end, in 2006, Cortorreal executed Kelly Diaz in front of Diaz’s wife. But thanks to the hard work of our law enforcement partners and the prosecutors of this Office, Cortorreal did not get away with this crime.” According to the evidence presented in court during the trial: From at least 2006 to in or about 2013, a violent robbery crew known as the “Hot Boys” committed countless burglaries and robberies and sold narcotics in the Washington Heights area. EDWIN CORTORREAL was a trusted associate of the Hot Boys. In 2006, CORTORREAL and four other members and associates of the Hot Boys broke into Kelly Diaz’s apartment in the middle of the night. During the course of the robbery, CORTORREAL and his co-conspirators duct-taped Diaz to a chair and threw his wife to the ground. As they were leaving, CORTORREAL came back and shot Diaz point-blank in the head, killing him instantly as his wife looked on. Less than a year later, CORTORREAL planned to commit another armed robbery, during which he plotted to kill the victims to avoid leaving behind any witnesses. * * * CORTORREAL, 36, of the Dominican Republic, was found guilty of one count of conspiracy to commit racketeering, one count of murder in aid of racketeering, and one count of the use of firearm resulting in death. Mr. Williams thanked the New York Healthcare Fraud Unit of the Federal Bureau of Investigation, the New York City Police Department (“NYPD”), and NYPD Task force officers assigned to the U.S. Attorney’s Office for their work on the investigation. The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Mathew Andrews, David Denton, Courtney Heavey, Adam Hobson, Emily Johnson, Ni Qian, Justin Rodriguez, and Hagan Scotten are in charge of the prosecution, with the assistance of paralegal specialist Mia Vuckovich.


title: Independence Man Sentenced to 17 Years in Prison for $2.2 Million Fraud Schemes

component: USAO - Missouri, Western

body_text: KANSAS CITY, Mo. – An Independence, Mo., man was sentenced in federal court today for two fraud schemes in which he sold unwitting victims rental equipment and real estate that did not belong to him. Jeremy Ace Woods, 46, was sentenced by U.S. District Judge Howard F. Sachs to 17 years in federal prison without parole. The court also ordered Woods to pay $798,021 in restitution to 48 victims and to forfeit to the government $336,150, which represents the proceeds he personally received from the charged conduct in this case. On Dec. 14, 2022, Woods pleaded guilty to three counts of travel fraud and two counts of wire fraud as part of a rental-equipment scheme and a real estate scheme that victimized at least 48 individuals or businesses. $1,187,177 Rental Equipment Fraud Scheme As part of the rental-equipment scheme, Woods stole approximately 96 pieces of rental equipment valued at approximately $999,077 from 25 separate rental companies. He then sold at least 41 pieces of equipment to at least 15 victim buyers from across the Midwest, including buyers from Missouri, Kansas, Nebraska, Iowa, Illinois, Oklahoma, and Arkansas. These victim buyers paid Woods a total of $188,100 for the stolen equipment. According to court documents, Woods used aliases and lies to enter into sexual relationships with multiple women and employment relationships with multiple men. He exploited these relationships by asking these individuals to rent equipment for him, thus acting as straw renters of the equipment — using their real names and banking information to obtain the equipment. Once the rental equipment was obtained, Woods — again, using various aliases — lined up buyers for the stolen equipment by posting the equipment for sale on Facebook Marketplace or similar websites. Through this scheme, the unwitting straw renters suffered damage to their credit scores and suffered financial losses; the victim rental companies suffered financial losses; and the victim buyers — many of whom were small business owners — sustained devastating financial losses when the equipment they purchased was ultimately returned to the appropriate rental companies. According to the victim declarations, this fraud had a direct impact on multiple victims’ financial solvency and caused substantial loss of retirement, education, or other savings. Among the rental equipment cited in court documents as being stolen then sold by Woods is a Boxer skid steer from Home Depot in Olathe, Kan., a Bobcat skid steer from United Rentals in Olathe, and a Toro Dingo TX 1000 compact utility loader from Colman Equipment in Smithville, Mo. As part of the relevant conduct in the scheme, Woods entered into a romantic relationship with a woman with an intellectual disability. Woods exploited this relationship by having the woman buy and rent property for him, including a truck, multiple trailers, and 12 smart phones. Additionally, Woods told the woman they were going to get married, and – based on those lies – used her money to purchase a $3,500 ring for himself. $1,042,000 Real Estate Fraud Scheme As part of the real-estate scheme, Woods fraudulently sold 12 homes he did not own, extracting large down payments and monthly installment payments from unsuspecting victim buyers, from September 2021 to February 2022. The scheme involved total payments, made or intended, of over $1 million. In this scheme, Woods (through his companies, Ace’s Remediation and Lawn Service or Vaughns Property Management) solicited and received subcontracting jobs for maintenance tasks on homes going through the foreclosure process, many of which were owned by the United States Department of Housing and Urban Development. Instead of honoring the contracts and performing the agreed-upon work, Woods posed as the owner of a real-estate company and fraudulently sold the homes to unsuspecting victim buyers. According to court documents, Woods used aliases with each victim of this scheme. Woods elicited large downpayments from the victims and had the victims enter fraudulent contracts, requiring them to make monthly installment payments until the homes were paid in full. In total, Woods elicited $183,000 in down payments and monthly installments from various victims. Additionally, the victims also spent approximately $33,777 to remodel the homes, leading to a total actual loss of $216,777. According to court documents, Woods attempted to victimize two additional individuals but the fraud was discovered before a downpayment was made. According to the victim declarations, this fraud — like the rental-equipment scheme — had a devastating financial impact on numerous lives. This fraud had a direct impact on multiple victims’ solvency; has caused substantial loss of retirement, education, or other savings; has caused substantial changes to employment and/or living arrangements; and has impacted victims’ ability to obtain credit. Among the residential properties cited in court documents as fraudulently sold by Woods is a residence in Shawnee, Kan. $2,229,177 Total Losses The intended loss of the two schemes totaled $2,229,177 while the actual loss of the schemes totaled $900,896. For the rental-equipment scheme, the intended loss was calculated by adding the value of the stolen rental equipment, $999,077, to the amount the victim buyers paid the defendant, $188,100. The intended loss for the real-estate scheme was calculated by adding the amount paid by the victims for the downpayments, home upgrades, and/or monthly installment payments to the total unpaid amount owed under the fraudulent contracts for a total of $1,042,000. The three counts of travel fraud to which Woods pleaded guilty are related to instances in which he caused his victims to travel across state lines as part of the fraud schemes. During the schemes, Woods used multiple aliases, including Jeremy Ace, Jeremy Vaughn, Jeremy Brown, James Hanna, and Elvis John. Woods has 31 prior felony convictions, including several fraud convictions that are relevant conduct in the two schemes in this case. When arrested in this case in May 2022, Woods was on felony probation in four separate cases in four separate Missouri counties and was on misdemeanor probation in Montgomery County, Kansas. Additionally, he has been convicted of 25 misdemeanors and has had his probation or parole revoked 15 times. He also has pending cases in four separate counties, including an active warrant out of Lyon County, Kansas, for escaping from custody. This case was prosecuted by Assistant U.S. Attorney Nicholas Heberle. It was investigated by the FBI; the U.S. Department of Housing and Urban Development, Office of Inspector General; and the Overland Park, Kan., Police Department with assistance from the Belton, Mo., Police Department; the Blue Springs, Mo., Police Department; the Bonner Springs, Kan., Police Department; the Cole County, Mo., Sheriff’s Department; the Columbia, Mo., Police Department; the Dickinson County, Kan., Sheriff’s Department; the Harrisonville, Mo., Police Department; the Hutchinson, Kan., Police Department; the Independence, Mo., Police Department; the Independence, Kan., Police Department; the Johnson County, Kan., Sheriff’s Department; the Junction City, Kan., Police Department; the Kansas City, Kan., Police Department; the Kansas City, Mo., Police Department; the Lawrence, Kan., Police Department; the Lee’s Summit, Mo., Police Department; the Leavenworth County, Kan., Sheriff’s Department; the Olathe, Kan., Police Department; the Parkville, Mo., Police Department; the Parsons, Kan., Police Department; the Shawnee, Kan., Police Department; the Smithville, Mo., Police Department; and the Topeka, Kan., Police Department.


title: Former Stoneham Police Officer Pleads Guilty to Defrauding Three Landlords

body_text: BOSTON – A former detective sergeant for the Stoneham Police Department pleaded guilty today to concealing his history of evictions and using a family member’s credit report to obtain an apartment lease and then defrauding his landlord by intentionally withholding rent payments. Robert Kennedy, 54, of Stoneham, pleaded guilty to two counts of wire fraud. U.S. District Court Judge Denise J. Casper scheduled sentencing for Jan. 4, 2024. Kennedy was arrested in March 2023 and subsequently indicted by a federal grand jury in April 2023. Kennedy defrauded his last three landlords by providing materially false and misleading information in his rental applications to obtain the respective apartment leases. After moving in, Kennedy would intentionally withhold rent payments, despite making $141,000 - $187,000 a year from the Stoneham Police Department. As a result, Kennedy lived in the apartments rent-free by taking advantage of the slow eviction process. Specifically, Kennedy defrauded his most recent landlord by submitting materially false and fraudulent information during the rental application process. The landlord required Kennedy to submit to a tenant screening service, which included a credit check and eviction history check. Instead of providing his own date of birth and social security number to the tenant screening service – which would likely have shown Kennedy’s history of collections, delinquent payments, defaults and evictions – Kennedy provided the date of birth and social security number of a relative who shared his first and last name. The landlord relied on the information from the fraudulently obtained tenant screening report to approve Kennedy’s rental application and give Kennedy a lease for the apartment. Additionally, Kennedy immediately and intentionally violated the terms of the lease by giving the landlord bad checks for his rent and security deposit and failing to make subsequent rent payments. Kennedy lived in the apartment for approximately four months without making rent payments and currently owes the landlord approximately $14,000 in overdue rent. The charges of wire fraud each provide 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. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made announcement today. Valuable assistance was provided by the Stoneham Police Department. Assistant U.S. Attorneys Elysa Q. Wan and Dustin Chao of the Public Corruption & Special Prosecutions Unit are prosecuting the case.


title: Suburban Houston man imprisoned for embezzlement

component: USAO - Texas, Southern

body_text: HOUSTON – A 35-year-old Missouri City man has been ordered to prison in a long-running scheme that cost his employer millions of dollars, announced U.S. Attorney Alamdar S. Hamdani. Preston Allen Fredrich pleaded guilty to wire fraud Aug. 17, 2022. U.S. District Judge Keith P. Ellison has now ordered him to prison for 21 months to be immediately followed by one year of supervised release. In imposing the sentence, Judge Ellison noted the uniquely intimate nature of the crime. From at least 2018 through spring 2021, Fredrich stole from a family-owned company located in North Houston that sold and re-fitted large trucks. Fredrich was the lead salesmen. He orchestrated an embezzlement scheme in which he stole from his employer by submitting fake and fraudulent invoices and then collecting the payments for himself. He began his scheme by asking clients to send invoices directly to him, as opposed to the company. He then sent these invoices to the company with inflated expenses or unwanted upgrades, pocketing the difference for himself. Fredrich also admitted that as the scheme progressed, he eventually set up a bank account with another individual who ran an auto-body shop that frequently did business with the victim company. Fredrich then submitted fake invoices from this company and hid them by bundling them with other legitimate invoices. Fredrich was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future. The FBI conducted the investigation. Assistant U.S. Attorney Thomas Carter prosecuted the case.


title: Woman Sentenced to 15 Years in Prison for St. Louis County Armed Robbery, St. Louis Carjacking

body_text: ST. LOUIS – U.S. District Judge Matthew T. Schelp on Wednesday sentenced a woman who robbed a St. Louis County cell phone store in 2021 and then carjacked a Jeep in St. Louis to 15 years in prison. Kadijah McFadden, 29, pointed a gun at an employee of the Boost Mobile store at 12135 Bellefontaine Road on Aug. 9, 2021 and said, “give me everything out the drawer right now.” She stole about $630 and multiple cell phones. On Sept. 5, 2021, at around 9 a.m., she approached a woman in the 3600 block of Bates Street who was unloading groceries from her 2017 Jeep Cherokee. McFadden pointed a handgun at the victim and demanded her purse. McFadden got the victim’s car keys and then walked to the opposite side of the Jeep, opened the passenger side door and again demanded the purse before firing four shots into the air and at the ground. McFadden then stole the Jeep. The incident was captured on video. McFadden was spotted about three hours later by St. Louis County police and then crashed after a pursuit. Her co-defendant, Damonta Jamall Bridges, was inside in the vehicle. McFadden pleaded guilty in December to carjacking, discharge of a firearm in furtherance of a crime of violence, robbery, brandishing a firearm in furtherance of a crime of violence and being a felon in possession of a firearm. Bridges, 30, pleaded guilty to a robbery charge and a charge of being a felon in possession of a firearm in August. He admitted being present during the Boost robbery and possessing a 9mm handgun in the carjacked Jeep. As part of the plea, both prosecutors and Bridges’ lawyer will recommend a sentence of 137 months in prison at his sentencing hearing, scheduled for November 28. The case was investigated by the St. Louis Metropolitan Police Department, the St. Louis County Police Department and the FBI. Assistant U.S. Attorney Ashley Walker is prosecuting the case.


title: Central Illinois Man Pleads Guilty to Attempted Arson of Clinic

body_text: URBANA, Ill. – A Prophetstown, Illinois, man, Philip J. Buyno, 73, pleaded guilty on September 19, 2023, to attempting to use fire to damage a building used in interstate commerce. Sentencing for Buyno is scheduled for February 5, 2024, at the U.S. Federal Courthouse in Urbana, Illinois. In court before U.S. Magistrate Judge Eric I. Long, Buyno admitted that, on May 20, 2023, he brought several containers filled with gasoline with him and used his car to breach the front entrance to a commercial building at 600 N. Logan Avenue in Danville, Illinois, for the purpose of burning it down before it could be used as a reproductive health clinic. During the hearing, the government stated that Danville police officers responded to an alarm at 600 N. Logan Avenue around 4:30 a.m. early that Saturday morning. When officers arrived, they found Buyno stuck inside a maroon Volkswagen Passat that he had backed into the entrance of the building, which was under renovation. During a search of the car, FBI Agents found bottles containing gasoline, a hatchet, road flares, multiple old tires, and a pack of matches. Agents also found that Buyno had fortified the trunk of the Passat with 4x4 wooden beams. Buyno has been in the custody of the U.S. Marshals Service since May 2023, where he remains pending sentencing. Buyno faces statutory penalties of a minimum five years up to twenty years in prison, a fine of up to $250,000, three years of supervised release, and restitution for the damage caused to the building. The charges are the result of an investigation by the Federal Bureau of Investigation, Springfield Field Office, and the Danville Police Department. Supervisory Assistant U.S. Attorney Eugene L. Miller is representing the government in the prosecution.


title: Man Accused of $730,000 Pandemic Loan Fraud Appears in Federal Court in St. Louis

body_text: ST. LOUIS – A man from Slovakia who also lists an address in St. Louis, Missouri appeared in U.S. District Court in St. Louis on Wednesday to answer an indictment that accuses him of fraudulently obtaining $730,500 in pandemic loans. Mark Ethan Jermain, 40, pleaded not guilty Wednesday to three felony counts of wire fraud. An August 20 indictment accuses Jermain, aka Arsene Millogo, of submitting fraudulent Paycheck Protection Program loan applications from April 26, 2020 to July 16, 2021. The PPP loans were intended to save American businesses and jobs during the COVID-19 pandemic and the money was supposed to be spent on payroll and business expenses. Jermain submitted a fraudulent loan application for Crazyeats LLC and two applications for Unimentors LLC , falsely inflating the monthly payroll for both companies and submitting falsified documents, including a credit card statement, to support the loan, the indictment says. Jermain received three loans totaling $730,550, transferred the money to a Slovakian bank account and spent the money for unauthorized purposes, including personal expenses, the indictment says. A motion seeking to have Jermain held in jail until trial says Jermain has lived overseas since 2019. Jermain returned to the U.S. on August 17, 2023, and was scheduled to fly to Poland Sept. 21 but changed his flight to Sept. 7, the day he was arrested in New York. Jermain was in the Slovak Republic at the time of the alleged fraud, the motion says. The U.S. Attorney’s Office in St. Louis has prosecuted or is involved in the investigation of at least 60 individuals who exploited pandemic-era programs. Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty. The FBI investigated the case. Assistant U.S. Attorney Gwen Carroll is prosecuting the case.


title: Registered Sex Offender Sentenced To 20 Years In Federal Prison For Child Pornography

body_text: PENSACOLA, FLORIDA – Nicholas Allen Walker, 30, of Pensacola, Florida, was sentenced to 20 years in federal prison after previously pleading guilty to receiving and distributing child pornography. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida. “Protecting innocent children from sexual predators remains one of our highest priorities,” said U.S. Attorney Coody. “I commend our law enforcement partners and prosecutors who work diligently to identify these predators and bring them to justice so that they can no longer exploit any child again. Due to their efforts, our community is safer, and this repeat offender is exactly where he belongs – back behind bars.” On January 28, 2021, and February 18, 2021, the National Center for Missing and Exploited Children received information from a social media company regarding the defendant uploading files of child pornography. On April 8, 2021, investigators with the Escambia County Sheriff’s Office interviewed the defendant and obtained a search warrant for his cellular telephone. The search of his cellular telephone revealed between December 16, 2020, and April 8, 2021, the defendant received and distributed numerous images and videos of child pornography using a social media application and text messages. Walker is a registered sex offender based on a prior state of Florida conviction relating to the offense of traveling to engage in sexual activity with a minor. “This sentencing confirms that the FBI and our partners will stop at nothing to protect our children from predators who seek to exploit them," said Sherri E. Onks, Special Agent in Charge of FBI Jacksonville. "Together, we have ensured one less predator is victimizing the most innocent and vulnerable members of our community.” Walker’s prison sentence will be followed by a Lifetime of supervised release. Walker will continue to be required to register as a sex offender and be subject to all sex offender conditions. This conviction was the result of an investigation conducted by the Federal Bureau of Investigation, the Alabama Law Enforcement Agency, and the Escambia County Sheriff’s Office. Assistant United States Attorney Jeffrey M. Tharp 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 and led by the U.S. Attorney’s Offices and the Criminal Divisions Child Exploitation and Obscenity Section (CEOS), it marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov . The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html .


title: Former Erie Resident Sentenced to 30 Months in Jail for Violating Federal Firearm Laws

component: USAO - Pennsylvania, Western

body_text: ERIE, Pa. - A former resident of Erie, Pennsylvania, has been sentenced in federal court to 30 months in jail on his conviction of violating federal firearms laws, United States Attorney Eric G. Olshan announced today. United States District Judge Susan Paradise Baxter imposed the sentence on Dustin Robert Patterson, 30. According to information presented to the court, in and around February 2022, Patterson possessed a firearm while being a convicted felon. Federal law prohibits an individual who has been convicted of a felony from possessing a firearm. In addition, the firearm was possessed while Patterson was subject to a Protection From Abuse order. 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. Prior to imposing sentence, Judge Baxter noted Patterson’s lengthy criminal history which included crimes of violence. Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government. United States Attorney Olshan commended the United States Marshal’s Service for the investigation leading to the successful prosecution of Patterson.


title: Grand Jury Returns Indictments

component: USAO - Wisconsin, Western

body_text: MADISON, WIS. - A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty. Chippewa Falls Man Charged with Gun & Drug Crimes In a five-count indictment, Brandon Herman, 42, Chippewa Falls, Wisconsin, is charged with gun offenses and drug crimes involving methamphetamine and fentanyl. The indictment alleges that on May 24, 2023, Herman was a felon in possession of firearms, that he possessed 500 grams or more of methamphetamine with intent to distribute, that he possessed fentanyl with intent to distribute, that he maintained a drug house, and that he possessed a firearm in furtherance of a drug trafficking crime. The indictment alleges that he maintained a place in the Township of Lafayette in Chippewa County for the purpose of distributing methamphetamine and fentanyl, and that he possessed four handguns and a rifle. If convicted, Herman faces a maximum penalty of 15 years in federal prison on the charge of being a felon in possession of firearms, a mandatory minimum of 10 years and a maximum of life on the charge of possessing 500 grams or more of methamphetamine for distribution, a maximum of 20 years on the fentanyl charge, and a maximum of 20 years on the charge of maintaining a drug house. The charge of possessing a firearm in furtherance of a drug trafficking crime has a mandatory minimum penalty of 5 years and a maximum of life; federal law requires that any sentence imposed on this charge be served consecutive to any other prison sentence imposed. The charges against Herman are the result of an investigation by the Chippewa County Sheriff’s Office, Eau Claire County Sheriff’s Office, West Central Drug Task Force, St. Paul (Minnesota) Police Department, Drug Enforcement Administration, and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Kathryn Ginsberg is handling the prosecution. Two Madison Men Charged with Drug Crimes Involving Fentanyl Steven P. Dixon, 30, and Tysean J. Pollard, 22, both of Madison, Wisconsin, are charged with distributing fentanyl on June 6, 2023. The indictment alleges that the amount attributable to Dixon as the result of his conduct is 40 grams or more. The indictment also charges that on June 21, 2023, Dixon distributed 40 grams or more of fentanyl, and that on July 28, 2023, he possessed 400 grams or more of fentanyl with intent to distribute. The indictment also charges that Dixon was a felon in possession of ammunition. If convicted, Pollard faces a maximum penalty of 20 years in federal prison. Dixon faces a mandatory minimum of 5 years and a maximum of 40 years on each of the two charges alleging 40 grams or more of fentanyl, and a mandatory minimum of 10 years and a maximum of life on the charge alleging 400 grams or more of fentanyl, and 15 years on the charge of being a felon in possession of ammunition. The charges against Dixon and Pollard are the result of an investigation by the Madison Police Department, Drug Enforcement Administration, U.S. Postal Inspection Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Anita Marie Boor is handling the prosecution. Madison Man Charged with Drug Offenses Kendal J. Harris, 28, Madison, Wisconsin, is charged in a six-count indictment with drug offenses involving fentanyl. The indictment charges that between July 11 and August 17, 2023, Harris distributed fentanyl on five occasions, with one count alleging the distribution of 40 grams or more. The indictment also charges that on August 24, 2023, Harrison possessed 40 grams or more of fentanyl with intent to distribute. If convicted, Harris faces a mandatory minimum penalty of 5 years and a maximum of 40 years in federal prison on the two counts alleging 40 grams or more of fentanyl. The other four counts each have a maximum penalty of 20 years. The charges against Harris are the result of an investigation by the Dane County Narcotics Task Force and the Madison Police Department. Assistant U.S. Attorney Steven Anderson is handling the prosecution. La Crosse Man Charged with Gun Crime Shane L. Tucker, 30, La Crosse, Wisconsin, is charged with being a felon in possession of a firearm. The indictment alleges that on July 20, 2023, Tucker possessed a .22 caliber handgun. If convicted, Tucker faces a maximum penalty of 15 years in federal prison. The charge against him is the result of an investigation by the La Crosse Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Corey Stephan is handling the prosecution. Pepin County Man Charged with Illegally Possessing Firearm & Ammunition Jesse Turnmire, 34, Durand, Wisconsin, is charged with being a felon in possession of a firearm and ammunition. The indictment alleges that on July 7, 2023, Turnmire possessed a .22 caliber revolver and ammunition. If convicted, Turnmire faces a maximum penalty of 15 years in federal prison. The charge against him is the result of an investigation by the Eau Claire County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Robert Anderson is handling the prosecution.


title: Business Partner Of Convicted Art Dealer Inigo Philbrick Sentenced To 20 Months In Prison

body_text: Damian Williams, the United States Attorney for the Southern District of New York, announced today that ROBERT NEWLAND, the business partner of convicted art dealer INIGO PHILBRICK, was sentenced today to 20 months in prison in connection with a multi-year scheme to defraud various individuals and entities in order to finance PHILBRICK’s art business. U.S. District Judge Sydney H. Stein imposed today’s sentence. U.S. Attorney Damian Williams said: “Robert Newland helped Inigo Philbrick commit one of the largest fraud schemes ever perpetrated in the art market. By taking advantage of the lack of transparency in the art market, Philbrick and Newland defrauded art collectors, investors, and lenders by lying about the true ownership interests of artworks and selling or pledging as collateral over 100% of numerous artworks. As the financial adviser, Newland appeared to give legitimacy to Philbrick’s art business, but in reality, he perpetuated the fraud. Today’s sentence sends a message to anyone who facilitates fraud in the art market that they will face serious consequences.” According to the allegations in the Complaint, Indictment, and statements made in court: From approximately 2016 through 2019, to finance his art business, PHILBRICK engaged in a scheme to defraud multiple individuals and entities in the art market located in the New York metropolitan area and abroad (the “Fraud Scheme”). NEWLAND was PHILBRICK’s business partner and financial adviser and conspired with PHILBRICK to perpetrate the Fraud Scheme. NEWLAND and PHILBRICK made material misrepresentations and omissions to art collectors, investors, and lenders to access valuable art and obtain sales proceeds, funding, and loans. NEWLAND and PHILBRICK knowingly misrepresented the ownership of certain artworks, for example, by selling a total of more than 100% ownership in an artwork to multiple individuals and entities without their knowledge and by selling artworks and/or using artworks as collateral on loans without the knowledge of co-owners and without disclosing the ownership interests of third parties to buyers and lenders. Over the years, PHILBRICK obtained over $86 million in loans and sale proceeds in connection with the Fraud Scheme. NEWLAND and PHILBRICK made fraudulent misrepresentations about artworks including, among others, a 1982 painting by the artist Jean-Michel Basquiat titled “Humidity,” a 2010 untitled painting by the artist Christopher Wool, and an untitled 2012 painting by the artist Rudolf Stingel depicting the artist Pablo Picasso. In the fall of 2019, NEWLAND and PHILBRICK’s Fraud Scheme collapsed as various investors and lenders learned about the material misrepresentations and omissions PHILBRICK and NEWLAND had made. * * * In addition to the prison term, NEWLAND, 46, of the United Kingdom, was sentenced to two years of supervised release, during which time he must complete 200 hours of community service per year. NEWLAND was further ordered to pay a forfeiture of $76,000 and the following property: (i) Personal Distance A, painting by Carroll Dunham, 96.5 x 124.5 cm (49 x 38 in.); (ii) Untitled 2016 painting, oil and etching on paper, by Christopher Wool, image size 19 x 15 cm (7.5 x 6 in), paper size 41.3 x 35.6 cm. (16.24 x 14 in.); (iii) Untitled 2007 print, Epson UltraChrome inkjet on linen, by Wade Guyton, 213.36 x 175.26 cm. (83.21 x 68.35 in.); and (iv) a Jean Prouvé desk H 72 x L 160 x P 71.5 cm. In addition, NEWLAND was ordered to pay restitution to victims in the amount of $67,489,808. PHILBRICK, 35, a U.S. citizen formerly residing in the United Kingdom, pled guilty to one count of wire fraud on November 18, 2021. On May 23, 2022, U.S. District Judge Sidney L. Stein sentenced PHILBRICK to seven years in prison and two years of supervised release. PHILBRICK was further ordered to pay forfeiture of $86,672,790 and restitution of $82,592,367. Mr. Williams praised the investigative work of the Federal Bureau of Investigation’s Art Crime Team. This case is being handled by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorneys Jessica K. Feinstein and Cecilia E. Vogel are in charge of the prosecution.


title: New Haven Man Charged with 2 Gunpoint Robberies

component: USAO - Connecticut

body_text: Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Robert Fuller, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury in New Haven has returned a five-count indictment charging GARY GIBSON, JR., 24, of New Haven, with offenses stemming from the armed robberies of two convenience stores in May. The indictment was returned on September 12, 2023. Gibson appeared today before U.S. Magistrate Judge Robert M. Spector in New Haven and pleaded not guilty to the charges. He has been detained since his arrest on related state charges on May 8, 2023. As alleged in the indictment, on May 7, 2023, Gibson, brandishing a Glock semiautomatic handgun, robbed the Star Food & Convenience Store, located at 193 Boston Post Road in West Haven. On May 8, 2023, Gibson robbed the 7th Haven Convenience Store, located at 129 Sylvan Avenue in New Haven, and discharged the same handgun during the robbery. Gibson stole cash from both stores. New Haven Police, with the assistance of West Haven Police, arrested Gibson shortly after the New Haven robbery and seized from him the handgun he allegedly used during the robberies. The gun had an attached laser sight and a loaded 15-round magazine. It is alleged that Gibson’s criminal history includes six felony convictions for weapon possession, robbery, and larceny offenses. 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. The indictment charges Gibson with two counts of interference with commerce by robbery (Hobbs Act robbery), an offense that carries a maximum term of imprisonment of 20 years on each count; one count of brandishing a firearm during and in relation to a crime of violence, an offense that carries a mandatory consecutive term of imprisonment of at least seven years; one count of discharging a firearm during and in relation to a crime of violence, an offense that carries a mandatory consecutive term of imprisonment of at least 10 years; and one count of unlawful possession of a firearm by a felon, an offense that carries a maximum term of imprisonment of 15 years. U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt. This matter is being investigated by the FBI’s Connecticut Violent Crimes Task Force with the assistance of the New Haven and West Haven Police Departments. The case is being prosecuted by Assistant U.S. Attorney Robert S. Ruff through Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.


title: Independence Man Sentenced to 12 Years in Prison for Child Pornography

body_text: KANSAS CITY, Mo. – An Independence, Mo., man was sentenced in federal court today for possessing and distributing child pornography following two unrelated investigations by separate law enforcement agencies. Nicholas P. Johnson, 29, was sentenced by U.S. District Judge Greg Kays to 12 years and six months in federal prison without parole. The court also ordered Johnson to pay $19,000 in restitution to his victims and sentenced him to spend the rest of his life on supervised release following incarceration. Johnson will be required to register as a sex offender upon his release from prison and will be subject to federal and state sex offender registration requirements, which may apply throughout his life. On March 17, 2023, Johnson pleaded guilty to one count of distributing child pornography and one count of possessing child pornography that involves a prepubescent minor. Johnson admitted that he shared images of child pornography on multiple occasions on Discord, a social media platform. When task force officers with the Western Missouri Cyber Crimes Task Force received reports of two separate Cybertipline reports from Discord, they contacted Johnson on June 17, 2020, and seized his cell phone. A forensic analysis of Johnson’s cell phone found 292 videos and 888 photos of child pornography. Investigators also found Kik Messenger chats between Johnson and another individual in which Johnson made claims that he had sexually abused children. Johnson was actually communicating with an undercover FBI task force officer, who was conducting a separate and unrelated investigation. In May 2020, an FBI Child Exploitation Task Force officer was working online in an undercover capacity, monitoring internet forums known to be used for sharing child pornography. During that online investigation, the undercover officer communicated with Johnson via the Kik Messenger application and, later, the Wickr instant messaging application. Johnson shared advice with the undercover officer on the grooming and sexual exploitation of children, made claims that he had sexually abused children, and shared child pornography with the undercover officer. Federal agents executed a search warrant at Johnson’s residence on July 14, 2020. Johnson told agents that he shared child pornography with about 25 other users. Some the files, Johnson told investigators, included depictions of bondage and of prepubescent girls being raped. Investigators seized two laptop computers, which contained at least 164 files that contained child pornography. This case was prosecuted by Assistant U.S. Attorney David Luna. It was investigated by the FBI, the Independence, Mo., Police Department, and the Western Missouri Cyber Crimes Task Force. Project Safe Childhood This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."


title: Texas Man Sentenced to Serve 18 Years in Federal Prison for Traveling to Oklahoma to Engage in a Sexual Act with Children

component: USAO - Oklahoma, Western

body_text: OKLAHOMA CITY – Yesterday, JOSHUA DANIEL-ENOCH COX , 39, of Denton, Texas, was sentenced to serve 18 years in federal prison for interstate travel with intent to engage in a sexual act with a minor, announced U.S. Attorney Robert J. Troester. On July 21, 2022, a federal grand jury returned a four-count Indictment against Cox, charging him with distribution of child pornography, transportation of child pornography, attempted coercion and enticement of a minor, and interstate travel with intent to engage in a sexual act with a minor. According to an affidavit filed in support of the criminal complaint, on or about February 16, 2022, a federal Online Covert Employee (OCE) was contacted by Cox through an instant messaging internet and phone application. Cox was referred to the OCE by a confidential human source (CHS). The complaint alleges over the course of several weeks, Cox sent several files containing child pornography to both the OCE and the CHS, and expressed interest in having sex with children. In talking with the OCE, Cox coordinated a visit to Oklahoma City, with the intent of having sex with two fictitious children. He was arrested on June 24, 2022, at an Oklahoma City motel, and admitted to traveling to Oklahoma City with the intent to engage in sexual acts with two female minors. On October 20, 2022, Cox pleaded guilty to interstate travel with intent to engage in a sexual act with a minor. At the sentencing hearing yesterday, U.S. District Judge Jodi W. Dishman sentenced Cox to serve 18 years in prison, followed by ten years of supervised release. In announcing the sentence, the court noted the seriousness of the offense and the need to protect the public from future crime of the defendant. This case is a result of an investigation by the FBI Oklahoma City Field Office. Assistant U.S. Attorney Tiffany Edgmon prosecuted the case.


title: Bronx Gang Member Convicted Of Racketeering, Drug Trafficking, And Firearms Offenses

body_text: Damian Williams, the United States Attorney for the Southern District of New York, announced today that a jury returned a guilty verdict against YELTSIN BELTRAN, a/k/a “Yells,” on three counts in a Superseding Indictment, including charges of racketeering conspiracy, narcotics conspiracy, and a firearms offense. BELTRAN will be sentenced at a later date by U.S. District Judge Katherine Polk Failla, who presided over the eight-day trial. U.S. Attorney Damian Williams said: “Yeltsin Beltran lived a dangerous lifestyle as a member of the YBMG street gang. Beltran trafficked dangerous drugs and was involved in reckless gunplay in connection with his membership in the gang. Today’s conviction reaffirms this Office’s commitment to prosecute those who choose to participate in gangs that threaten the wellbeing and safety of our community.” According to the Superseding Indictment and the evidence at trial: Between in or about 2006 and in or about 2021, BELTRAN was a member of the Young Bronx Money Getters (“YBMG”), an armed gang that trafficked large quantities of heroin throughout the Northeast including in the Bronx, Long Island, upstate New York, and Connecticut. BELTRAN also used, carried, and possessed firearms, at least one of which was discharged in connection with the narcotics conspiracy, including during an April 24, 2017, shooting at an after-hours club, in which BELTRAN shot at another person and struck a bystander, and in an April 19, 2019, incident in which BELTRAN shot himself in the foot while inside a crowded nightclub. * * * BELTRAN, 31, of the Bronx, New York, was convicted on three counts: (i) conspiring to participate in the YBMG racketeering enterprise, which carries a maximum term of life in prison; (ii) conspiring to distribute and possess with intent to distribute heroin, cocaine, and marijuana, which carries a mandatory minimum term of 10 years in prison and a maximum term of life in prison; and (iii) using and carrying firearms during, and possessing firearms in furtherance of, the narcotics conspiracy, which carries a mandatory consecutive term of 10 years in prison and a maximum term of life in prison. BELTRAN was acquitted of a December 24, 2017, shooting in connection with the racketeering enterprise and a related firearms count. The statutory minimum and maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge. Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation and the Drug Enforcement Administration’s ("DEA") New York Drug Enforcement Task Force that comprises agents and officers of the DEA, New York City Police Department, and the New York State Police. The case is being handled by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Frank Balsamello, Christopher Brumwell, Brandon Harper, Benjamin Gianforti, and Mathew Andrews, with the assistance of Paralegal Specialists Chanel-Ashley Foster and William Coleman, are in charge of the prosecution.


title: Tohajiilee Man Sentenced to 67 Months in Prison for Sexual Abuse of a Minor


title: Illegal possession of gun sends Billings felon to prison for 30 months

body_text: BILLINGS — A Billings felon who was on probation when officers found him wearing a bandana over his face and a carrying semi-automatic rifle wrapped in a blanket as he walked down a residential street was sentenced today to 30 months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said. Fermin Joseph Vasquez, 39, pleaded guilty in May to prohibited person in possession of a firearm. U.S. District Judge Susan P. Watters presided. The government alleged in court documents that on April 27, 2021 in Billings, a 911 caller spotted Vasquez walking down a residential street with his entire face concealed by a bandana with eyeholes cut out, wearing a black jumpsuit and carrying what appeared to be a shotgun or rifle wrapped in a blanket. When he saw officers approach, Vasquez began doing lunges with the gun over his shoulders. Officers suspected Vasquez was under the influence of drugs. Officers disarmed and handcuffed Vasquez. Vasquez admitted he was a felon and on probation. The gun was a .22-caliber semi-automatic rifle. Vasquez had four prior felony convictions and was on supervision at the time he possessed the firearm. Assistant U.S. Attorney Julie R. Patten prosecuted the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Billings Police Department conducted the investigation. 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. XXX


title: Chickasha Man Sentenced to Serve a Decade in Federal Prison for Distributing a Fentanyl Pill that Resulted in an Overdose

body_text: Case Demonstrates Importance of Drug Enforcement Administration’s “One Pill Can Kill” Campaign OKLAHOMA CITY – Yesterday, MARCUS LAMAR RICHARDSON , 23, of Chickasha, was sentenced to serve 120 months in federal prison for distribution of fentanyl, announced U.S. Attorney Robert J. Troester. On November 15, 2022, Richardson was charged by Superseding Information with distribution of fentanyl. According to public record, on or about December 30, 2021, Richardson distributed a pill containing fentanyl to co-defendant Brianna Rechell Hugar, 24, to deliver to another person. That person went on to overdose and nearly die as a result of the fentanyl. The victim survived only because of life saving measures by Chickasha Police. On December 1, 2022, Richardson pleaded guilty to the Superseding Information charge. “It only takes one deadly fentanyl-laced pill to cause a fatal overdose,” said U.S. Attorney Robert J. Troester. “Far too many have died due to the flood of fentanyl in the United States and Oklahoma. We stand with and support our DEA partners to do all we can to stop the illicit flow of fentanyl where we can and hold those who dispense this deadly poison accountable.” “This sentence sends a message to drug traffickers who feed the drug addicted and line the pockets of criminal organizations,” said Eduardo A. Chavez, Special Agent in Charge of the Dallas Field Division. “Mr. Richardson is being held accountable for the poison that found its way into our neighborhoods by his hand. Whether it is one pill of fentanyl or 1,000 pills, the DEA will never cease its efforts to rid these drugs from the streets of Oklahoma.” At the sentencing hearing on Tuesday, U.S. District Judge Joe Heaton sentenced Richardson to 10 years in prison. In announcing the sentence, Judge Heaton noted the seriousness of the offense—particularly the near fatal consequence of his drug distribution—as well as the extent of the threat to the public posed by fentanyl, and thus, by extension, Richardson’s conduct. Judge Heaton noted that it took only half a pill for the victim to overdose, while also observing that Richardson was distributing significant quantities of this dangerous drug. On August 23, 2023, Hugar was sentenced to serve 24 months in federal prison after pleading guilty to distribution of fentanyl. This case demonstrates the importance of the “One Pill Can Kill” campaign by the Drug Enforcement Administration. More information about “One Pill Can Kill” can be found at https://www.dea.gov/onepill . This case is a result of an investigation by the Drug Enforcement Administration and the Grady’s County Sheriff’s Office. Assistant U.S. Attorneys David McCrary and Elizabeth Joynes prosecuted the case.


title: Hammond Woman Pleads Guilty to Theft of More Than $44,000 in Social Security Funds

component: USAO - Louisiana, Eastern

body_text: NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced that MELISSA KING (“KING”) , age 53, of Hammond, Louisiana, pled guilty as charged on September 19, 2023 to a one count indictment, charging her with Theft of Government Funds, in violation of Title 18, United States Code, Section 641. For this crime, KING faces a maximum penalty of ten (10) years of imprisonment, followed by up to three (3) years of supervised release, a fine of up to $250,000, and a mandatory special assessment fee of $100. United States District Court Judge Greg G. Guidry set the sentencing hearing in this matter for January 9, 2024. According to court records, beginning in or around December 2016, and continuing until in or around March 2020, KING collected approximately $44,696.00 in Social Security Administration funds to which she was not entitled. U.S. Attorney Evans praised the work of the Social Security Administration, Office of the Inspector General. The prosecution of this case is being handled by Assistant U.S. Attorney Maria Carboni of the Financial Crimes Unit.


title: Coffee County Man and His Brother Found Guilty of Carrying Out a  Murder-for-Hire Plot

component: USAO - Alabama, Middle

body_text: MONTGOMERY, ALABAMA – Today, a federal jury in Montgomery, Alabama, convicted two men for their roles in a murder-for-hire conspiracy that resulted in the November 27, 2017, death of an Enterprise woman. According to court documents and evidence presented during the six-day trial, in 2017, Jason Starr, 50, from Coffee Springs, Alabama, went through a divorce from his former wife. Ultimately, a judge awarded a significant portion of Jason Starr’s income to his ex-wife. Shortly after the divorce, from September 2017 to November 2017, Jason Starr sent approximately $2,600 to his brother, Darin Starr, 54, a resident of Lakehills, Texas. Cell phone records for Darin Starr showed that he traveled from Texas to Coffee County just before Thanksgiving in 2017 and, on multiple occasions, was very near the home of his brother’s ex-wife. Around midnight on November 27, 2017, Darin Starr’s phone was turned off. Approximately seven hours later, Darin Starr shot and killed his brother’s ex-wife in her driveway as she was leaving for work. Darin Starr turned his phone back on around 8:00 a.m. when he was on I-10 heading back to Texas. In rendering its verdict, the jury determined that the money sent by Jason Starr to his brother was payment for the murder of his ex-wife. A sentencing hearing for Jason and Darin Starr will be held in the coming months. At that hearing, they will each face a mandatory sentence of life in prison. There is no parole in the federal system. “The tragedy endured by the victim’s family is unthinkable,” stated United States Attorney Sandra J. Stewart. “I am grateful for the hard work of all the investigating agencies in this case. Their efforts resulted in bringing Jason and Darin Starr to justice.” "The FBI and our state and local partners worked tirelessly to ensure justice was served,” stated FBI Special Agent in Charge Paul Brown. “We thank the jury for their work on this case." The FBI, the Coffee County Sheriff’s Office, the Alabama Department of Forensic Sciences, and the Alabama Law Enforcement Agency investigated the case, with Assistant United States Attorneys Joshua J. Wendell and B. Chelsea Phillips prosecuting.


title: New Orleans Man Sentenced to Ten Years in Prison for Violations  of the Federal Gun Control Act

body_text: NEW ORLEANS, LOUISIANA – On September 19, 2023, United States District Judge Wendy B. Vitter sentenced JAVEN JONES , age 20, a resident of New Orleans, to (10) ten years in federal prison for violating the Federal Gun Control Act, announced U.S. Attorney Duane A. Evans. According to court records, JONES pleaded guilty to two separate counts of possessing a firearm in furtherance of a drug trafficking crime. The first count related to an April 2022 incident in which New Orleans Police Department officers found JONES asleep in a stolen vehicle. During a search of the vehicle, the police found crack, fentanyl, over $2,000 in cash, and two pistols, a Glock Model 23, .40 caliber pistol and a Sig Sauer Model P320, nine-millimeter pistol. The second count related to an August 2022 incident in which New Orleans Police Department officers arrested JONES while JONES was in possession of fentanyl and a Glock pistol. Judge Vitter sentenced JONES to five years in prison on each of the two counts of conviction, to run consecutively, for a total sentence of ten years. Judge Vitter also ordered that JONES serve five years of supervised release after his release from prison. JONES also was ordered to pay a mandatory special assessment fee of $100 per count. 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 case was investigated by the Federal Bureau of Investigation and the New Orleans Police Department. The prosecution is being handled by Assistant United States Attorney David Haller of the Violent Crime Unit.


title: Broward County Resident Sentenced to 110 Months in Prison for  Conspiracy in MJ Capital Funding, LLC Ponzi Scheme

component: USAO - Florida, Southern

body_text: MIAMI - Yesterday, Pavel Ramon Ruiz Hernandez, a/k/a “Pavel Ruiz,” age 30, of Broward County, Florida, was sentenced to 110 months in prison, followed by three years of supervised release, for conspiring to commit wire fraud in connection with an investment Ponzi fraud scheme associated with MJ Capital Funding, LLC (“MJ Capital Funding”). According to court records, beginning in March 2021, and continuing through on or about August 12, 2021, Ruiz Hernandez conspired with others to fraudulently solicit money from investors purportedly to fund MJ Capital Funding’s MCAs. Ruiz Hernandez and his co-conspirators recruited other individuals to solicit investors to invest in MJ Capital Funding’s investment offering and paid these individuals commissions, typically 10% of the funds raised. MJ Capital Funding was a Florida limited liability company with its listed place of business in Pompano Beach, Florida. MJ Capital Funding was purportedly engaged in the business of providing merchant cash advances, or MCAs, a type of short-term financing typically used by small and medium-sized businesses. Court records also state that Ruiz Hernandez and his co-conspirators, directly and indirectly, made false statements and fraudulent representations to investors concerning the nature of the MJ Capital Funding investment and the use of investor funds. Ruiz Hernandez and others falsely told investors that their money would be used to fund MCAs and that investor returns would be paid from the profits of MJ Capital Funding’s MCA business. However, MJ Capital Funding made few MCAs and failed to earn anywhere near the profits it needed to pay the investor returns and principal promised to investors. As a result, Ruiz Hernandez and his co-conspirators paid investor returns by running a large Ponzi fraud scheme, paying existing investors using new investor funds while misappropriating millions of investor dollars for their own personal use and benefit. In his plea, Ruiz Hernandez admitted that he and his co-conspirators falsely and fraudulently obtained at least approximately $42,942,000 dollars from investors. U.S. Attorney Markenzy Lapointe of the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri, FBI, Miami Field Office, made the announcement. This case is being investigated by FBI in Miami. The case was prosecuted by Assistant U.S. Attorney Eric E. Morales of the Southern District of Florida. Assistant U.S. Attorney Marx P. Calderón handled asset forfeiture. 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 on http://pacer.flsd.uscourts.gov under case number 21-cr-20185. ###


title: Repeat Offender Sentenced to a total of 90 Months in Prison for Money Laundering of Medicare Fraud Proceeds

body_text: MIAMI – A defendant, who was previously convicted of money laundering, was sentenced to a total of 90 months in federal prison for his recent money laundering conviction. According to the court docket, Carlos Alberto Padron, Age 55, of Miami, Florida, pled guilty to money laundering on June 20, 2023. According to the agreed upon factual proffer, that was made part of the court docket, Padron participated in two separate money laundering conspiracies while on supervised release from a prior federal prison sentence. Between July 2022 and August 2022, Padron and his co-defendant Ovidio Gonzalez Roche laundered $249,901 in Medicare fraud proceeds related to two fraudulent durable medical equipment companies located in Pompano Beach, Florida, Newtech Medical Supply LLC and Spraig Medical Supplies LLC. Padron and his co-defendant Ovidio Gonzalez Roche picked up nearly $229,920 in cash in parking lots in Miami-Dade County after the money was laundered. Between April 2021 and December 2021, Padron also participated in laundering $2,185,392 in Medicare fraud proceeds related to two other durable medical equipment companies: Unlimited Medical Supply (Pembroke Pines, Florida) and Best Medical Supply (North Fort Myers, Florida). Padron was involved in managing the nominee owner of those two DME companies and he also received some of the approximately $260,000 in withdrawals of Medicare fraud proceeds from the nominee owner. Yesterday, U.S. District Judge Cecilia M. Altonaga sentenced Padron to 70 months in prison, to be followed by 3 years of supervised release to be served consecutively to his sentence on the supervised release violation. Padron was also ordered to pay $2,435,293 in restitution. On June 7, 2023, U.S. District Judge Jose E. Martinez sentenced Padron to 20 months in prison on the supervised release violation. The United States seized and successfully forfeited over $2.3 million in connection with the health care fraud conspiracy. Padron’s co-defendant Ovidio Roche Gonzalez, who was only charged with the 2022 money laundering conspiracy, was sentenced to 21 months in prison, followed by 3 years of supervised release. U.S. Attorney for the Southern District of Florida Markenzy Lapointe; Special Agent in Charge Jeffrey B. Veltri, FBI, Miami Field Office; and Special Agent in Charge Omar Pérez Aybar, HHS-OIG, made the announcement. FBI Miami and HHS-OIG Miami investigated this case. AUSA Timothy Abraham is prosecuting this case. Assistant U.S. Attorneys Emily Stone and Mitchell Hyman are handling asset forfeiture. 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 23-20084-CMA. ###


title: Massachusetts Man Convicted in Rideshare and Delivery Account Fraud Scheme

body_text: PROVIDENCE – A Revere, MA, man was convicted Tuesday by a federal jury in Boston of defrauding rideshare companies using fraudulent driver accounts that he created using stolen identities. Thiago De Souza Prado, 39, was convicted of one count of conspiracy to commit wire fraud, three counts of wire fraud, and three counts of aggravated identity theft. U.S. Senior District Court Judge Mark L. Wolf scheduled sentencing for Dec. 18, 2023. Prado was indicted in May 2021 along with 17 others, including co-conspirators Flavio Da Silva, Wemerson Dutra Aguiar and Luiz Neto. In March 2023, Aguiar was sentenced to 45 months in prison after pleading guilty to related charges. Da Silva is scheduled to be sentenced on Oct. 10, 2023. Neto pleaded guilty on Nov. 22, 2022, and fled the country before his scheduled sentencing in April 2023. According to the evidence presented at trial, starting in 2019, Prado obtained stolen Massachusetts driver’s licenses and bought social security numbers on the darknet. He and his co-conspirators then used the stolen identities to pass the criminal background checks, the sex offender registry check and the driving record check required by the rideshare companies and by the Massachusetts Department of Public Utilities. Prado and his co-conspirators also used the stolen social security numbers for tax reporting on their fraudulent accounts. Once the driving accounts were active, Prado either used the accounts himself or rented them out to others, who also could not pass the background checks, often because they did not have social security numbers and were in the United States illegally. Prado also used his fake driver accounts to get bonuses from rideshare companies by referring his other fake driver accounts as new drivers. In addition, Prado and his co-conspirators used an app, which they called “the drone,” to spoof rides and ride lengths, so that they were paid by the rideshare companies for “ghost rides” or for rides that were longer and more expensive than those actually provided. Prado received payments via bank accounts that he opened in the names of identity theft victims. The charges of wire fraud conspiracy and wire fraud each carry a maximum sentence of 20 years of in prison, three years of supervised release, and a fine of $250,000, or twice the gain or loss from the crime. Each charge of aggravated identity theft carries a mandatory sentence of 24 months, in addition to any other sentence imposed, a year of supervised release, and a fine of $250,000, or twice the gain or loss from the crime. The defendant’s sentence will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors. United States Attorney Zachary Cunha and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Valuable assistance was provided by the Social Security Administration, the Massachusetts Department of Public Utilities and the Massachusetts Registry of Motor Vehicles. Assistant U.S. Attorneys David Holcomb and Kriss Basil of the Securities, Financial & Cyber Fraud Unit of the U.S. Attorney’s Office for the District of Massachusetts are prosecuting the case. Mr. Cunha was assigned to oversee this matter by the Department of Justice upon recusal of the U.S. Attorney for the District of Massachusetts. ###


title: South Florida Man Charged with Bulk Food and Personal Protective Equipment Scheme that Cost Victim $10 Million

body_text: MIAMI – Isaac Halwani, 41, of Sunny Isles Beach, Florida, is charged with carrying out a bulk food and personal protective equipment investment scheme that defrauded a single victim out of $10 million. Halwani was arraigned on a federal indictment today before U.S. Magistrate Judge Lauren F. Louis. According to allegations in the multi-count wire fraud indictment, Halwani falsely and fraudulently represented that he was a successful bulk food re-seller and that he had a profitable business re-selling personal protective equipment (“PPE”), such as masks, gloves, and hand-sanitizer. Halwani falsely and fraudulently represented that each re-sale transaction generated returns of 20-25% and that investors would receive monthly returns of 5% returns. A victim, referenced in the indictment, made various investments with Halwani for what the victim believed were investments in the re-sale of PPE and Halwani’s food distribution business. To induce the victim to invest, Halwani made numerous materially false and fraudulent statements. Unbeknownst to the victim, no such PPE or food distribution deals exited. To create the illusion of false deals, amongst other things, Halwani created false and fraudulent invoices, opened bank accounts, and Halwani used his own money to partially repay the victim. As a result of his false and fraudulent misrepresentations, Halwani obtained approximately $10 million dollars from the victim and used the money to pay for his personal expenses. If convicted, Halwai faces a maximum penalty of 20 years in prison as to each wire fraud count. A federal district court judge would determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. U.S. Attorney Markenzy Lapointe for the Southern District of Florida, and Special Agent in Charge Jeffrey B. Veltri, FBI, Miami Field Office, made the announcement. FBI Miami investigated this case. The Sunny Isles Beach Police Department assisted with the arrest. Assistant U.S. Attorney Yisel Valdes is prosecuting the case. Assistant U.S. Attorney Mitchell Hyman is handling forfeiture. An indictment is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law. 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 number 23-CR-20348. ###