title: Federal and Local Law Enforcement Officials Form Task Force to Combat Crimes Related to Los Angeles-Area Wildfires

component: USAO - California, Central

body_text: LOS ANGELES – The leaders of federal and local law enforcement agencies have joined together to create the Joint Regional Fire Crimes Task Force to investigate and prosecute fire-related crimes as Los Angeles County recovers from devastating wildfires. The Task Force will focus on investigating and prosecuting criminal actors seeking to exploit the wildfire crisis. The Joint Regional Fire Crimes Task Force includes representatives of the United States Attorney’s Office; the FBI; the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Homeland Security Investigations (HSI); the Los Angeles County District Attorney’s Office; the Los Angeles City Attorney’s Office; the Los Angeles Police Department; and the Los Angeles County Sheriff’s Department. Members of the Task Force will meet to discuss case leads, develop and share crime intelligence, and facilitate the efficient prosecution of crimes related to the Los Angeles County wildfires. The Task Force will primarily focus on four areas: looting, burglary and impersonation offenses; crimes related to arson; illegal drone activity; and financial fraud targeting both disaster victims and those wishing to make charitable donations. “We will not permit victims to be re-victimized,” said United States Attorney Martin Estrada. “Our community has suffered tremendously, and we are here to support them. The Joint Fire Crimes Task Force is committed to addressing crimes coming out of the fires, including any looting, arson, illegal drone flights and fraud. As the rebuilding process begins and donations and relief funds come in, we must ensure that those seeking to take advantage through criminal activity are held fully accountable.” “Every crisis generates the best of us – brave first responders and average people who step up financially to support victims – as well as the worst in our society, including those who steal well-intentioned money or defraud victims who are already suffering,” said Akil Davis, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “In addition to our efforts to combat fraud, we will devote resources to the task force to investigate allegations of arson, and we will not tolerate careless and criminal drone operators who put firefighters and residents in harm’s way. The FBI will commit resources to address this new crop of criminals callously taking advantage of the vulnerable during and after these devastating wildfires.” “ATF possesses unparalleled expertise in determining the origin and cause of fires, even under the most complex and challenging conditions,” said Jose Medina, Acting Special Agent in Charge of the ATF Los Angeles Field Division. “Our agency offers a comprehensive set of resources for arson investigations, including certified fire investigators, chemists, electrical engineers, accelerant-detection canines, and a state-of-the-art fire research laboratory. Arson destroys lives, businesses, and entire communities. Together with our partners, we are committed to identifying, apprehending, and prosecuting those responsible.” “Far too often, during tragic events like the Los Angeles-area wildfires, we have seen greedy individuals seek to line their pockets and divert critical funds from those most in need,” said HSI Los Angeles Special Agent in Charge Eddy Wang. “HSI Los Angeles and partner agencies will do our part to help the region recover and rebuild by ensuring that disaster-related funds will go to individuals and families that lost loved ones, homes and livelihoods – and not unscrupulous fraudsters.” “The Los Angeles County District Attorney’s Office, in partnership with local and federal law enforcement agencies, will relentlessly pursue and hold accountable those who despicably seek to exploit this tragedy for personal gain,” said Los Angeles County District Attorney Nathan Hochman. “We want to send a clear and unequivocal message to criminals: If you seek to commit crime during this crisis, from arson, looting, burglary and theft to price gouging and financial scams, we will arrest you, prosecute you, and seek to punish you to the full extent of the law. As billions of dollars in vital aid relief pour into Los Angeles County, our Task Force, comprised of over a thousand prosecutors and thousands of law enforcement agents, will protect those who have suffered from being victimized again. Justice will be swift, certain and significant. Los Angeles County has been tested before and prevailed; and we will prevail again.” “I am proud to stand with this powerful collaboration as we work together to ensure that no individual or business gets away with illegal or predatory conduct, including price gouging. People preying on others will face criminal justice,” said Los Angeles City Attorney Hydee Feldstein Soto. “In addition, with so many people now facing uncertainty about their future, my office is also leaning in to bring every legislative, executive and civil resource at our disposal to help us get through this emergency, and to heal, recover and rebuild together. As Angelenos, it’s what we’ve always done.” “As our community continues to deal with these devastating wildfires, we remain steadfast in our commitment to protect our residents from those who would exploit their vulnerability,” said Los Angeles County Sheriff Robert G. Luna. “Whether it’s arson, illegal drone activity disrupting first responders, or fraud targeting victims and donors, this joint task force will investigate and hold individuals accountable. These efforts are about protecting our communities and ensuring those affected by this unimaginable disaster recover without fear or further victimization.” “The Joint Task Force brings together individuals and agencies with the most experience and best resources to ensure that those suspected of breaking the law are identified and held accountable,” said LAPD Chief of Police Jim McDonnell. “The LAPD will not allow criminals to compound the devastation of our residents, and we will devote whatever resources are necessary to protect them.” The Joint Regional Fire Crimes Task Force will aggressively pursue offenders in the following categories: Looting, Burglary, Curfew Violations and Impersonation The Task Force and partner agencies are investigating any looting, burglary, robbery, grand theft, impersonation of firefighters or law enforcement, curfew violations, and related crimes stemming from the Palisades Fire, the Eaton Fire, and other wildfires. To date more than 50 individuals have been arrested, and nine defendants have been charged and face maximum sentences ranging from six years to life in prison. Arson Members of the Task Force and fire authorities are investigating the Palisades Fire, the Eaton Fire and the other wildfires that started over the past week. At the request of the U.S. Attorney’s Office, ATF Los Angeles and the LAPD, ATF deployed its renowned National Response Team to the Palisades fire to investigate. These specialized investigators are working around the clock to determine the origins of these fires. In addition, as wind events and dry conditions continue to leave the region vulnerable to wildfires, the Task Force will aggressively prosecute anyone who attempts to cause new fires by malice or reckless behavior. The federal arson statute carries a five-year mandatory minimum prison sentence and a statutory maximum sentence of 20 years in federal prison. Those penalties can increase to life sentence if a death has occurred. Under California law, arson carries a prison sentence of up to nine years. Illegal Drones Fire personnel must be able to perform their duties without interference. Illegal drone activity in active fire zones has disrupted operations, including one instance where a drone collided with a fire suppression plane. The areas around the Palisades and Eaton fires are under temporary flight restrictions through January 25, and it is a crime to fly a drone in these areas. The FBI has deployed equipment to detect drones flying in these restricted areas. The federal offense of flying a drone in ones of these restricted airspaces carries a penalty of up to one year in federal prison and a fine of up to $75,000. Fraud The Task Force will not allow fire victims to be re-victimized by fraud and theft. Its efforts focus on ensuring that relief funds reach those in need and working to swiftly prosecutor those engaged in defrauding donors. Generous people around the world are making donators to assist victims. Unfortunately, this creates opportunities for scams as criminals exploit disasters for their own gain by sending fraudulent solicitations or creating deceiving websites. Potential donors are urged to make donations only to known entities and to avoid giving donations in cash or via wire transfer. The Task Force will also investigator the misuse of aid programs administered by government agencies, such as the Federal Emergency Management Agency (FEMA) and the Small Business Administration (SBA). Federal agencies are deploying significant financial resources to support homeowners, renters, nonprofits and businesses affected by the fires, and any attempt to misuse these funds through fraud or identity theft will be vigorously investigated and prosecuted. There are numerous other potential scams that might victimize victims such as contractor fraud. The Task Force will target any individual seeking to defraud victims of the wildfires. Price-gouging laws went into effect immediately upon the declaration of a state of emergency. No person and no business can increase pricing on housing, shelter, food, water, clothing, pet care, health care or any other essential goods or services by more than 10% without violating the law. The Los Angeles City Attorney’s Office is leading Task Force efforts in this area. Violations of the price gouging statute are subject to criminal prosecution for up to one year in prison, plus a fine of up to $10,000. They are also subject to civil enforcement actions to include civil penalties of up to $2,500 per violation, injunctive relief and mandatory restitution. Members of the Task Force remain committed to seeing that victims of these devastating fires receive justice and that those who exploit or harm them are held accountable. Members of the public are encouraged to report wrongdoing to authorities at any law enforcement agency. For example, tips may be directed to the FBI at 1-800-CALL-FBI or https://tips.fbi.gov/home. The public may also report examples of financial fraud to the National Center for Disaster Fraud at (866) 720-5721 or https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form


title: Former spouse of deceased U.S. Army veteran pleads guilty to fraud for improperly claiming military benefits

component: USAO - Georgia, Southern

body_text: SAVANNAH, GA: The divorced spouse of a deceased U.S. Army veteran awaits sentencing after pleading guilty to fraudulently claiming her ex-husband’s benefits. Miranda Rachel Briggs, a/k/a “Miranda Rachel Fisher,”34, of Rincon, Georgia, pled guilty to Wire Fraud, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. The guilty plea subjects Briggs to a statutory penalty of up to 20 years in prison, along with substantial financial penalties and restitution. “Programs that financially benefit surviving family members of deceased veterans are designed to provide a safety net to those survivors,” said U.S. Attorney Steinberg. “This guilty plea demonstrates the tenacity of investigators and prosecutors in dismantling this scheme.” The guilty plea outlines key events that began in November 2015 when Briggs married G.B., a U.S. Army veteran, keeping her maiden name “Fisher.” Less than a year later, Briggs filed for divorce. Two weeks after the divorce was final, the U.S. Department of Veterans Affairs granted G.B.’s request to remove Briggs as a recipient of G.B.’s benefits. Briggs filed for Chapter 7 bankruptcy in January 2018, certifying that she and G.B. were divorced. After G.B. died about two weeks later, Briggs filed for VA benefits, falsely claiming to be G.B.’s surviving spouse. In April 2018 she also claimed to be G.B.’s spouse when applying for benefits from the Civilian Health and Medical Program of the Department of Veterans Affairs. As a result of those false claims, Briggs received approximately $49,000 for medical care, and approximately $80,000 in benefits from the VA Dependency and Indemnity Compensation Program. After the VA’s initial decision to deny her claim to G.B.’s VA survivor benefits, Briggs submitted additional paperwork claiming she and G.B. were married until his death in 2018. Based on this claim, the VA granted her the benefits. She then filed a petition in Chatham County Superior Court, changing her name from Miranda Rachel Fisher to Miranda Rachel Briggs. In April 2021, Briggs was named administrator of G.B.’s estate after claiming in Chatham County Probate Court to be G.B.’s surviving spouse. In March 2023, the Chatham County Probate Court removed Briggs as administrator after finding she was divorced from G.B. at the time of his death and not eligible to act as an administrator of his estate. U.S. District Court Judge Lisa Godbey Wood will schedule a sentencing hearing for Briggs after completion of a pre-sentence investigation by U.S. Probation Services. “This guilty plea holds the defendant accountable for defrauding vital VA programs that provide monetary benefits for survivors of service members and veterans,” said Special Agent in Charge David Spilker with the VA OIG Southeast Field Office. “The VA OIG will continue to work with our law enforcement partners to root out fraudulent activity and seek the prosecution of those who would compromise the integrity of VA’s programs and services.” The case was investigated by the U.S. Department of Veterans Affairs Office of Inspector General, and prosecuted for the United States of America by Assistant U.S. Attorneys Michael Z. Spitulnik and Patricia G. Rhodes.


title: Tennessee Man Indicted For Robbing Pizza Shop With A Firearm

component: USAO - Florida, Middle

body_text: Tampa, FL - United States Attorney Roger B. Handberg announces the return of a superseding indictment charging Justin Alan Seymour (37, Tennessee) with one count of Hobbs Act robbery and one count of possession of a firearm in furtherance of a crime of violence. The same grand jury had previously returned an indictment charging Seymour with possession of a firearm by a convicted felon. If convicted, Seymour faces up to 20 years in federal prison for the robbery offense, up to life in prison for the first firearm offense, and up to 15 years in federal prison for the second firearm offense. According to court documents, on October 21, 2024, Seymour robbed a pizza shop on Fowler Avenue in Tampa while brandishing a firearm. Two days later, law enforcement pulled over a vehicle driven by Seymour who had a firearm in his waistband. Seymour has a prior felony conviction for attempted robbery with a firearm or deadly weapon and is therefore prohibited from possessing a firearm or ammunition under federal law. An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty. This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Hillsborough County Sheriff’s Office, and the Tampa Police Department with assistance from the Federal Bureau of Investigation. It will be prosecuted by Assistant United States Attorney Samantha Newman. The forfeiture is being handed by Assistant United States Attorney James Muench. 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: Previously Convicted Sex Offender Sentenced to 180 Months for Distribution of Child Sexual Abuse Materials

component: Federal Bureau of Investigation (FBI)

body_text: WASHINGTON – Raymon Edward Dandridge, 40, of Harwood, Maryland, was sentenced today in U.S. District Court to 180 months in prison in connection with distributing videos depicting the violent rape of toddlers. The sentence was announced by U.S. Attorney Matthew M. Graves of the District of Columbia and FBI Special Agent in Charge Sean T. Ryan of the Washington Field Office Criminal and Cyber Division. Dandridge pleaded guilty on April 10, 2024, to one count of distribution of child pornography. In addition to the 180-month prison term, U.S. District Court Judge Royce C. Lamberth ordered Dandridge to serve 25 years of supervised release and pay restitution of $9,000. Dandridge previously was convicted in August 2022 in Anne Arundel County for possessing child pornography, and, as a result, was required to register as a sex offender. According to court documents, on April 22, 2023, an undercover FBI Washington Field Office Task Force officer was monitoring a social media platform known to law enforcement as a place that people use to meet others who have an interest in incest, taboo, and child sex abuse material (CSAM). That day, the undercover officer received a private message from Raymon Dandridge using the screen name, “D4ALL.” During the chat with the undercover officer, in a private “secret” forum, Dandridge sent a video depicting an adult male forcibly raping a crying toddler. Two days later, on April 24, 2023, they discussed meeting up so that Dandridge could sexually abuse the undercover officer’s purported 8-year-old daughter. Dandridge also sent the undercover officer more than 20 videos depicting toddlers and infants being sexually abused by adult men. Dandridge later sent another 20 videos depicting prepubescent children, some as young as infants, being sexually abused by adults. On April 27, 2023, Dandridge agreed via text message to meet the undercover agent and his purported daughter to abuse the girl at a residence in Washington D.C. Dandridge was arrested on April 28, 2023, when he arrived at the agreed-on meeting place. The FBI forensically analyzed Dandridge’s two cellular phones; one of them contained 3,400 images and videos depicting the sexual abuse of children, while the other had an additional 100 images of child pornography. This case was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force in cooperation with the Metropolitan Police Department’s Youth Division. The task force is composed of FBI agents, along with other federal agents and detectives from northern Virginia and the District of Columbia. The task force is charged with investigating and bringing federal charges against individuals engaged in the exploitation of children and those engaged in human trafficking. The matter was prosecuted by Assistant U.S. Attorneys Karen Shinskie and Caroline Burrell and former Assistant U.S. Attorney Amy Larson. This case was brought as part of the Department of Justice's Project Safe Childhood initiative. In February 2006, the Attorney General created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov . 23cr168


title: Hiram Man Indicted for Possessing Enough Fentanyl to Kill Up to 500,000 Individuals

component: USAO - Georgia, Northern

body_text: ROME, Ga. - Darrlin Vernard Warner, also known as “Juice,” has been arraigned on federal charges of conspiracy to possess with intent to distribute fentanyl and methamphetamine, possession with intent to distribute fentanyl and methamphetamine, and possession of firearms in furtherance of drug trafficking. “Warner was allegedly trafficking a substantial amount of fentanyl and methamphetamine, posing an immense threat to the safety of residents of Paulding and Douglas Counties,” said U.S. Attorney Ryan K. Buchanan. “Fentanyl and methamphetamine continue to ravage communities throughout northern Georgia. Our Office is especially proud of the impact that our federal, state, and local law enforcement made in this investigation.” “Fentanyl poisonings and other dangerous drugs are taking a terrible toll on Georgia,” said FBI Atlanta Acting Special Agent in Charge Sean Burke. “Disrupting the manufacturers and distributers of this poison remains a high priority for the FBI and our law enforcement partners.” “This indictment highlights the significant threat that fentanyl and methamphetamine pose to our communities,” said GBI Director Chris Hosey. “The seizure of enough fentanyl to potentially kill 500,000 people underscores the deadly scale of this crisis. The collaborative efforts of local, state, and federal law enforcement continue to be crucial in protecting our citizens and dismantling drug trafficking networks.” “We are proud to stand united with our state, local, and federal law enforcement agencies in operations like this,” remarked Paulding County Sheriff Ashley Henson. “This interagency collaboration has enabled us to effectively eliminate a substantial amount of deadly fentanyl, heroin, cocaine, and methamphetamine from the streets of Paulding County. As the new Sheriff, I will relentlessly work to ensure that these dangerous substances are kept away from our children and residents.” According to U.S. Attorney Buchanan, the indictment, information provided in court, and other publicly available information: In October and November 2024, law enforcement found during the course of their investigation evidence that Darrlin Warner allegedly conspired to distribute fentanyl and methamphetamine in the region of Paulding and Douglas Counties. On November 13, 2024, federal, state, and local agencies executed a federal search warrant on Warner’s home and vehicle, recovering approximately one kilogram (2.2. pounds) of fentanyl, approximately one pound of methamphetamine, five firearms, and approximately $177,000 in cash, as well as other suspected controlled substances. Two milligrams of illicit fentanyl can be a lethal dose, and the approximate one kilogram of fentanyl recovered from Warner is enough to potentially kill as many as 500,000 people. Darrlin Vernard Warner, aka “Juice,” 39, of Hiram, Georgia, was arraigned before U.S. Magistrate Judge Walter E. Johnson on January 14, 2025. He was indicted by a federal grand jury on December 10, 2024. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges, and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial. This case is being investigated by the Federal Bureau of Investigation - Cartersville Office, the Georgia Bureau of Investigation - Northwest Georgia Drug Task Force, the Paulding County Sheriff’s Office, and the Douglas County Sheriff’s Office, with valuable assistance provided by Paulding County Fire/Rescue and Metro Ambulance. Assistant U.S. Attorneys Calvin A. Leipold, III and Thomas M. Forsyth, III are prosecuting the case. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strategic Initiative focused on combatting the fentanyl crisis in northwest Georgia. 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 . Anyone with information about drug sales/trafficking in their area can report it to the GBI at1-800-597-TIPS (8477) or DEA’s Atlanta Division Office at (404) 893-7000. Online tips can be submitted at https://www.dea.gov/submit-tip . The Office of the U.S. Attorney for the Northern District of Georgia encourages parents and children to learn about the dangers of fentanyl and other drugs at the following websites: www.justthinktwice.gov , www.GetSmartAboutDrugs.com , www.operationprevention.com/ , www.CampusDrugPrevention.gov , and www.dea.gov/onepill . For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga .


title: Johnstown Woman Pleads Guilty to Trafficking Heroin, Fentanyl and Other Narcotics

body_text: JOHNSTOWN, Pa. – A resident of Johnstown, Pennsylvania, pleaded guilty in federal court to charges of violating federal narcotics laws, United States Attorney Eric G. Olshan announced today. Jessica Wilson, 39, pleaded guilty to Count One of two separate Superseding Indictments before United States District Judge Marilyn J. Horan on January 14, 2025. In connection with the guilty plea, the Court was advised that, from in and around January 2021 to July 2021, in the Western District of Pennsylvania, Wilson conspired to distribute and possessed with intent to distribute quantities of heroin, cocaine base in the form commonly known as crack, and methamphetamine. Wilson was intercepted on a federal wiretap obtaining quantities of the drugs that she distributed to others. Further, from in and around April 2024 to June 2024, Wilson conspired to distribute and possessed with intent to distribute quantities of mixtures and substances containing fentanyl and crack cocaine. Judge Horan scheduled sentencing for May 8, 2025. At each count, the law provides for a total sentence of up to 20 years in prison, a fine of up to $1 million, or both. Under the federal Sentencing Guidelines, the actual sentences imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Assistant United States Attorneys Maureen Sheehan-Balchon and Arnold P. Bernard Jr. are prosecuting these cases on behalf of the government. The Federal Bureau of Investigation’s Laurel Highlands Resident Agency and Homeland Security Investigations conducted the investigation that led to the prosecution of Wilson. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, Internal Revenue Service – Criminal Investigation, United States Postal Inspection Service, Pennsylvania Office of Attorney General, Pennsylvania State Police, Cambria County District Attorney’s Office, Indiana County District Attorney’s Office, Cambria County Sheriff’s Office, Cambria Township Police Department, Indiana Borough Police Department, Johnstown Police Department, Upper Yoder Township Police Department, Richland Police Department, Ferndale Police Department, and other local law enforcement agencies. This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.


title: Doctor Sentenced for $70M Medicare Fraud Scheme

component: Criminal Division

body_text: A Texas doctor was sentenced today to 10 years in prison and ordered to pay $26,622,522.82 in restitution for his role in a scheme to defraud Medicare by prescribing durable medical equipment and cancer genetic testing without seeing, speaking to, or otherwise treating patients. According to court documents and evidence presented at trial, David M. Young M.D., 61, of Fredericksburg, signed thousands of medical records and prescriptions for orthotic braces and genetic tests that falsely represented that the braces and tests were medically necessary and that he diagnosed the beneficiaries, had a plan of care for them, and recommended that they receive certain additional treatment. Young prescribed braces and genetic tests for over 13,000 Medicare beneficiaries, including undercover agents posing as different Medicare beneficiaries, many of whom he did not see, speak to, or otherwise treat. Young’s false prescriptions were then used by brace supply companies and laboratories to bill Medicare more than $70 million. Young was paid approximately $475,000 in exchange for signing the fraudulent prescriptions. In May 2024, a jury convicted Young of one count of conspiracy to commit health care fraud and three counts of false statements relating to health care matters. Principal Deputy Assistant Attorney General Brent S. Wible, head of the Justice Department’s Criminal Division; Special Agent in Charge Jason E. Meadows of the Department of Health and Human Services Office of Inspector General (HHS-OIG) Dallas Regional Office; and Chief William Marlowe of the Texas Attorney General’s Medicaid Fraud Control Unit (MFCU) made the announcement. HHS-OIG and MFCU investigated the case. Assistant Chief Brynn Schiess and Trial Attorney Ethan Womble of the Criminal Division’s Fraud Section prosecuted the case. The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, currently comprised of nine strike forces operating in 27 federal districts, has charged more than 5,400 defendants who collectively have billed federal health care programs and private insurers more than $27 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit .


title: Sacramento Man Sentenced to 30 Years in Prison for Sexual Exploitation of a Child

component: USAO - California, Eastern

body_text: SACRAMENTO, Calif. — Michael Buchno-Factor, 36, of Sacramento, was sentenced Tuesday by U.S. District Judge Kimberly J. Mueller to 30 years in prison to be followed by a life-term of supervised release, and ordered to pay $29,000 in restitution, for sexual exploitation of a child, Acting U.S. Attorney Michele Beckwith announced. According to court documents, Buchno-Factor had a prior conviction relating to abusive sexual contact with a minor. While on parole, parole agents seized cellphones from Buchno-Factor, and he admitted that he used encrypted messaging and social media. A further parole search found child sexual abuse material (CSAM) on his cellphones, and images of a minor girl in a foreign country, as well as messages asking for images of the minor victim engaged in sexually explicit conduct. Additional investigation established that Buchno-Factor was distributing CSAM, including images of the minor victim. This case was the product of an investigation by the Sacramento County Sheriff’s Office, the Internet Crimes against Children Task Force, and Homeland Security Investigations. Assistant U.S. Attorney Roger Yang prosecuted the case. This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.


title: Seven-Time Convicted Felon Pleads Guilty To Possession Of Firearm And Ammunition

body_text: Tampa, FL - United States Attorney Roger B. Handberg announces that Martez Manning (26, St. Petersburg) has pleaded guilty to possessing a firearm and ammunition as a convicted felon. Manning faces a minimum sentence of 15 years, up to life, in federal prison. A sentencing date has not yet been set. According to court documents, Manning was previously convicted of seven felonies, including possession of cocaine, tampering with physical evidence, and five convictions for sale or delivery of cocaine. As a convicted felon, Manning is prohibited from possessing firearms or ammunition under federal law. On January 2, 2023, Manning possessed a Beretta model 21A Bobcat semiautomatic pistol and two rounds of CCI 22 long rifle ammunition. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Petersburg Police Department. It is being prosecuted by Assistant United States Attorney Samantha Newman. The forfeiture is being handled by Assistant United States Attorney Suzanne Nebesky. 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: Arcadia Felon Pleads Guilty To Selling Firearms To Undercover ATF Agent

body_text: Tampa, Florida – United States Attorney Roger B. Handberg announces that William Roger Clayton (41, Arcadia) has pleaded guilty to possessing a firearm as a convicted felon. Clayton faces a maximum penalty of 15 years in federal prison. According to court documents, on July 28, 2022, Clayton directed an ATF agent, acting in an undercover capacity, to meet him in Arcadia where Clayton offered several firearms for sale, including a Ruger Mini-14 .223 caliber rifle, a Mauser 6.5 caliber rifle, a VZ24 6.5 caliber rifle, a Tokarev 7.62mm caliber pistol, and a Romarm-Cugir 7.62mm pistol. Clayton advised that he could also facilitate the sale of silencers as well as “ghost guns,” which are privately manufactured and untraceable firearms. At the time, Clayton had multiple prior felony convictions including grand theft, grand theft of a motor vehicle, trafficking in stolen property, possession of a place for the purpose of trafficking, fleeing and eluding a law enforcement officer, and robbery. As a convicted felon he is prohibited from possessing firearms or ammunition under federal law. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the DeSoto County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys David W.A. Chee and Michael J. Buchanan. 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: Orlando-Area Residents Sentenced To Prison For Using Stolen Mail To Commit Bank Fraud And Aggravated Identity Theft

body_text: Orlando, Florida – U.S. District Judge Roy B. Dalton has sentenced Jamel Williams (26, Altamonte Springs) to four years and six months years in federal prison for conspiracy, bank fraud, and aggravated identity theft. Judge Dalton also sentenced Levar Baker (21, Orlando) to three years and six months in federal prison for the same offenses. Baker and Williams previously pleaded guilty on August 21 and September 17, 2024, respectively. According to court documents, between March and August 2023, Williams and Baker obtained stolen mail, including checks, altered the payees listed on the checks, and fraudulently negotiated the checks at banks throughout the Middle District of Florida. In total, Williams and Baker defrauded victims out of $307,185.65 as a result of their criminal activities. This case was investigated by the U.S. Postal Inspection Service and the Orange County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kara Wick.


title: St. Petersburg Convicted Felon Pleads Guilty To Possessing A Firearm And Ammunition

body_text: Tampa, FL - United States Attorney Roger B. Handberg announces that Darrius Lovett (27, St. Petersburg) has pleaded guilty to possessing a firearm and ammunition as a convicted felon. He faces up to 15 years in federal prison. A sentencing date has not yet been set. According to court documents, Lovett has numerous prior felony convictions, including felonious possession of a firearm. On November 2, 2023, the St. Petersburg Police Department Surveillance Unit located Lovett to arrest him on a felony warrant. The officer who located Lovett told him to get on the ground, but Lovett refused and ran from the officer. During a short pursuit, the officer observed Lovett toss a firearm from his right hand. The firearm was later located in the area of Lovett’s arrest. A witness, who was working in the area, also observed Lovett toss the firearm. This case was investigated by Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Petersburg Police Department. It is being prosecuted by Assistant United States Attorney Samantha Newman. 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: Phoenix, Arizona man sentenced to more than eight years for conspiracy to distribute fentanyl and methamphetamine using the U.S. Postal Service

component: Drug Enforcement Administration (DEA)

body_text: Lorenzo Antonio Santillan-Solis, 28, of Phoenix, Arizona, was sentenced to 100 months in prison with three years of supervised release for conspiracy to distribute fentanyl and methamphetamine. U.S. District Court Judge Kelly H. Rankin imposed the sentence on Jan. 9 in Cheyenne. According to court documents, in November 2022, law enforcement became aware of narcotics from the Phoenix area being sold from an address in Powell, Wyoming. This address was associated with an individual later identified as Santillan-Solis’s known co-conspirator. On March 15, 2023, in Casper, the United States Postal Inspection Service intercepted a parcel sent to the Powell address. Law enforcement obtained a search warrant for the parcel where they located approximately 10,000 fentanyl pills (weighing over 1 kilogram) and over 1 pound of methamphetamine. On that same day, the known co-conspirator contacted the post office inquiring about the package. Through their investigation, agents tracked correspondence and fingerprints back to Santillan-Solis. Santillan-Solis was indicted on May 16, 2024. He was arrested on May 20, in Phoenix, and made an initial appearance in Casper on June 28, before U.S. Magistrate Judge R. Michael Shickich. Santillan-Solis pleaded guilty on Oct. 18, 2024. The U.S. Postal Inspection Service, the Drug Enforcement Administration, and the Wyoming Division of Criminal Investigation investigated the crime. Assistant U.S. Attorney Mackenzie Morrison prosecuted the case. Case No. 24-CR-00068


title: Heart Butte man admits sexually abusing two girls on Blackfeet Indian Reservation

body_text: GREAT FALLS — A Heart Butte man accused of sexually abusing children on the Blackfeet Indian Reservation admitted to charges on Jan. 14, U.S. Attorney Jesse Laslovich said today. The defendant, Bradley Joseph Guardipee, 26, pleaded guilty to a superseding information charging him with two counts of aggravated sexual abuse and commission of a sex offense by a registered sex offender. Guardipee faces a maximum of life in prison, a $250,000 fine and at least five years to life of supervised release on the aggravated sexual abuse charges and a mandatory minimum of 10 years in prison, consecutive to any sentence imposed on the aggravated sexual abuse charges, for the commission of a sexual offense by a registered sex offender. 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. Sentencing was set for May 28. Guardipee was detained pending further proceedings. In a plea agreement, the parties agreed that a specific disposition of between 20 years and 30 years in prison is appropriate in this case. The government alleged in court documents that in July 2024, Jane Doe 3 disclosed that she was sexually assaulted by Guardipee in 2022, when she was 11 and was in a residence alone with Guardipee. Doe 3 was taking a nap when Guardipee sexually assaulted her. Doe 3 reported that she knew at least four other girls who were sexually abused by Guardipee. Forensic interviews followed and six girls disclosed some kind of abusive touching by Guardipee. The government also alleged that Jane Doe 1 reported being sexually abused by the defendant since she was about three years old. She reported in March 2024, when she was 12 years old, that Guardipee sexually abused her while she was in a vehicle with him. At the time of the March 2024 assault on Doe 1, Guardipee was required to register as a sex offender. Guardipee was required to register after being convicted by a guilty plea in May 2023 to sexual assault in state District Court in Cascade County. The U.S. Attorney’s Office is prosecuting the case. Blackfeet Law Enforcement Services and the FBI conducted the investigation. XXX


title: Grand jury charges Dayton man with 12 armed robberies

component: USAO - Ohio, Southern

body_text: DAYTON, Ohio – A Dayton man was indicted by a federal grand jury and charged with committing 12 separate armed robberies last month throughout southwest Ohio. Timothy Farr, 43, was originally arrested in December 2024 after being charged by criminal complaint for committing eight of the robberies. The 24-count indictment includes 12 counts of interfering with commerce by threats or violence (punishable by up to 20 years in prison) and 12 counts of using a firearm during a crime of violence (punishable by at least seven years and up to life in prison). The indictment says Farr allegedly brandished a firearm at local gas stations, convenience stores and drive thru stores, demanding cash and cigarettes. During the robberies, it is alleged Farr often wore a dark jacket, pants and shoes, as well as gray two-tone style gloves and a black balaclava mask covering part of his face. In some instances, Farr also allegedly wore an N-95 style mask. Farr allegedly brandished a black firearm. Farr is accused of committing armed robberies on: Dec. 3, 2024, at Sunoco gas station on Wayne Avenue in Dayton, Dec. 4, 2024, at Marathon gas station on Linden Avenue in Riverside, Dec. 6, 2024, at Ray’s Xenia Avenue Market on Xenia Avenue in Dayton, Dec. 7, 2024, at Free Pike Drive-Thru on Free Pike in Dayton, Dec. 8, 2024, at Sunoco gas station on Selma Road in Springfield, *Dec. 8, 2024, at Family Dollar on Salem Avenue in Trotwood, Dec. 10, 2024, at Mini Mart on N. Main Street in Dayton, Dec. 11, 2024, at Marathon gas station on E. Fifth Street in Dayton, *Dec. 12, 2024, at White Oak Deli on Cheviot Road in Green Township, *Dec. 14, 2024, at Family Dollar on West Main Street in Springfield, Dec. 15, 2024, at Sammy’s Drive-thru store on Woodman Drive in Riverside, and *Dec. 15, 2024, at United Dairy Farmers on Vine Street in Cincinnati. *Robberies added at indictment During the investigation, law enforcement was able to identify a vehicle of interest using the Flock Safety Camera System and identified a 2011 red Ford Taurus linked to armed robbery locations. When Dayton police officers initiated a traffic stop of the red Taurus on Dec. 16, 2024, Farr was allegedly in the front passenger seat wearing the outfit described in the armed robberies, had an N-95 style mask on the floorboard and gray two-tone gloves in his pocket. Farr also allegedly had a 9mm pistol in his waistband. Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); Springfield Police Chief Allison Elliott; Dayton Police Chief Kamran Afzal; Green Township Police Chief James Vetter; Cincinnati Police Chief Teresa Theetge; Trotwood Police Chief Erik Wilson; and Riverside Police Chief Frank Robinson announced the charges filed yesterday afternoon. Assistant United States Attorney Ryan A. Saunders is representing the United States in this case. An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law. Anyone with information regarding these incidents should contact ATF at 1-888-ATF-TIPS (888-283-8477). Individuals may also email ATFTips@atf.gov , or contact ATF through its website at www.atf.gov/contact/atf-tips . Tips may also be submitted to ATF using the ReportIt® app, available on both Google Play and the Apple App Store, or by visiting www.reportit.com . # # #


title: Five indicted for drug trafficking in “The Jungle” and Seattle’s International District

component: USAO - Washington, Western

body_text: Seattle – Five Seattle-area men are in custody following a grand jury indictment for their drug trafficking activity in Seattle’s homeless encampments and International District, announced U.S. Attorney Tessa M. Gorman. The men are charged federally and have made their initial appearances over the last few days. “We are all focused on increasing community safety, especially in Seattle’s International District,” said U.S. Attorney Gorman. “The Seattle Police Department, the FBI, DEA, and other law enforcement partners have worked tirelessly to identify members of this drug ring who are peddling drugs in the International District and homeless encampments. They prey on the most vulnerable and with guns and threats increase the danger on our streets.” “This organization took advantage of many people’s addictions, homelessness, and other vulnerabilities, often using violence or threats of violence,” said W. Mike Herrington, Special Agent in Charge of the FBI Seattle field office. “Together with our partners, the FBI will continue to pursue drug trafficking organizations and remove dangerous individuals from our communities to keep Seattle and Washington state safer.” The five men named in the indictment are: Tommy Pham, 37, of Newcastle, Washington Donfeuy Saephan, 54, of Seattle Khampheth Keodara, 42, of Seattle Sang Tran, 54, of Kent, Washington Theodore Nation, 35, of Seattle According to records filed in the case, the investigation began in November 2023, with the Seattle Police, FBI, and DEA focusing on a drug trafficking organization dealing fentanyl, methamphetamine, cocaine, and heroin in the homeless encampments of Seattle and in drug trafficking areas of the International District at locations such as 12 th and Jackson. Some of the defendants were arrested with firearms. Using a court authorized wiretap, investigators gathered evidence of the drug trafficking and made arrests and seizures over the course of the investigation. Law enforcement heard intimations of violence on the calls and worked to intervene without tipping off the targets of the investigation. During the arrest operation over the last few days, law enforcement seized 17 firearms and 23 kilos of suspected fentanyl powder. Five defendants are charged with conspiracy to distribute controlled substances, Theodore Nation is charged with possession of controlled substances with intent to distribute. Pham and Tran are charged with distribution of controlled substances. Pham is charged with unlawful possession of a firearm because he has criminal history that bars him from possessing firearms. The current charges carry a mandatory minimum ten years in prison for the conspiracy and some drug counts. Possession with intent to distribute is punishable by a mandatory minimum five years in prison. Illegal possession of a firearm is punishable by up to 15 years in prison. “We’re proud to work with our federal partners on this enforcement action. The Seattle Police Department will continue to take the necessary steps to continue ensuring our city is safe and welcoming for all,” said Seattle Police Chief Sue Rahr. “The fentanyl powder alone seized from this group could have unleashed 1.7 million potentially deadly doses of fentanyl into our community,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division. “This group posed a major threat to our neighborhoods, and I am proud of the work of DEA and our partners in neutralizing this danger.” “This operation speaks to the stand against drug trafficking from all levels of law enforcement,” said Adam Jobes, Special Agent in Charge of IRS Criminal Investigation’s Seattle Field Office. “We will continue doing our part to expose the profits of drug trafficking because we believe there should be no profit in crime.” The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law. This investigation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. The investigation was led by the FBI, Seattle Police Department and Drug Enforcement Administration (DEA) with significant assistance from the Internal Revenue Service - Criminal Investigation (IRS-CI). Investigators also worked with the King County Sheriff’s Office and the Tukwila Police Department. The case is being prosecuted by Assistant United States Attorneys Casey Conzatti and Brian Wynne.


title: Central Ohio men sentenced to 25 years & 13 years in prison for crimes related to armed robberies, I-70 shootout

body_text: COLUMBUS, Ohio – Two central Ohio men were sentenced in federal court here today for committing crimes related to the July 6, 2023, shooting of a Columbus police officer. The men participated in a crime spree that involved the armed robberies of five high-end automobile dealerships, banks and gaming stores in and around Columbus and ended in a shootout with police officers on I-70. Faisal M. Darod, 25, of Columbus, was sentenced to 300 months in prison. Aden Abdullahi Jama, 21, of Reynoldsburg, was sentenced to 156 months in prison. “Violent crimes like these reverberate throughout the community. The victims of the armed robberies remain traumatized from being held at gunpoint and having their lives threatened. One accomplice is dead. And, though he survived this tragedy, one Columbus police officer was shot a number of times and was gravely injured,” said U.S. Attorney Kenneth L. Parker. “Put simply, gun violence is never worth the resulting costs, including spending significant time in federal prison.” “The gun violence committed by these defendants altered the lives of many victims, especially the hero Columbus Division of Police Officer who was wounded during the harrowing gun battle that ensued when Columbus Police bravely confronted the defendants,” stated Daryl S. McCormick, Special Agent in Charge of ATF’s Columbus Field Division. “Thanks to the valiant action of Columbus and Whitehall Police, the violent crime spree of the defendants was stopped. ATF is proud to have led the investigation in collaboration with our federal, state, and local partners to ensure justice for all the victims and accountability for the defendants.” Columbus Police Chief Elaine R. Bryant stated: “This case serves as a solemn reminder of the dangers brave officers of the Division face every day in the line of duty. I extend my appreciation to those in the U.S. Attorney’s office who worked to ensure that justice prevailed, holding the responsible individuals accountable.” In spring 2023, Darod began making concerted efforts to obtain a firearm for a third man involved in the crimes. By June of 2023, Darod and the man began using a Glock handgun with extended magazine to commit a host of armed robberies. According to court documents, on June 21, 2023, Darod aided in the robbery of a GameStop store on Hilliard-Rome Road in Hilliard. Darod and the other man initially planned to rob a bank that day, but mistakenly thought the bank would be open until 6pm. When they realized the bank was closed, they shifted focus to the GameStop instead, and, at approximately 6:15pm, robbed the store at gunpoint using the handgun with an extended magazine. Darod served as a lookout during the robbery. On July 3, 2023, Darod drove the other man to the Auto Gallery on Westerville Road in Minerva Park, where the man robbed the car dealership owner at gunpoint. The man stole a 2016 Corvette Stingray. Over the next two days, Darod had others record several videos of him driving the Corvette around the parking lot of the Baymont Inn and Suites at Morse Road, where he had rented a room. On July 5, 2023, Darod arranged for Jama to pick up him and another individual after they robbed at gunpoint the Fifth Third Bank on Fishinger Road in Upper Arlington. Following the bank robbery, Darod texted Jama and instructed him to meet up with them on West Sixth Avenue in Columbus and drive them to the Baymont Inn and Suites. While at the hotel, Darod and Jama recorded a video on Darod’s cell phone showing Darod lying on the bed surrounded by the recently stolen cash. In the video, Darod raps about “cheese” – i.e., money, being in the air and everywhere. The next day, on July 6, 2023, Darod aided and abetted an armed robbery at Byers Imports in Whitehall. He and Jama drove the third man to the car dealership to commit the robbery. Shortly after the robbery, Darod and Jama met up with the other man at townhomes on the southeast side of Columbus. The three men then drove the stolen Porsche Cayenne, sometimes exceeding 100 miles per hour, to Hilliard to commit another armed bank robbery. Darod and Jama again served as the lookout and aided and abetted the armed robbery and the use of a firearm during that robbery at Fifth Third Bank on Hilliard-Rome Road in Hilliard. Unbeknownst to the three men, Whitehall police detectives had been tracking their movements using the Porsche Cayenne’s onboard GPS system. The detectives surrounded the stolen car at Fifth Third Bank and ordered the men to stop the vehicle. The other man drove the stolen Porsche through a gap in the detectives’ cars and fled over a grass embankment onto Hilliard-Rome Road, and, eventually, out to Roberts Road and the freeway. Columbus police officers then located the stolen vehicle on I-70 traveling eastbound. The men reached speeds more than 125 miles per hour near rush hour while attempting to flee law enforcement. The vehicle became damaged and came to an abrupt stop before Darod and Jama both fled on foot. The third man used the handgun with an extended magazine to ambush the responding officers. He opened fire from close range and struck one officer. That officer suffered life-threatening injuries. The driver of the stolen vehicle was struck several times and died of his gunshot wounds soon after. Following the gun battle on I-70, a coordinated manhunt ensued for Jama and Darod. Darod was arrested in Columbus on the evening of July 7, 2023. By then, he had conducted several internet searches for flights out of Columbus to Somalia. U.S. Marshals and Homeland Security Investigation agents arrested Jama at Chicago O’Hare International Airport on July 8, 2023, bound for Turkey, with an ultimate destination of Somalia. Both Darod and Jama pleaded guilty in October 2023. Darod pleaded guilty to all nine counts charged against him in a superseding indictment that was returned in September 2023. The crimes include aiding and abetting robberies and aiding and abetting the use of a firearm during the robberies. Jama pleaded guilty to being an accessory after the fact to bank robbery, two counts of aiding and abetting robberies and two counts of aiding and abetting the use of a firearm during the robberies. Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); Columbus Police Chief Elaine Bryant; the United States Marshals in Columbus and Chicago; ICE and HSI Chicago; the Whitehall, Minerva Park and Upper Arlington police departments; and Franklin County Sheriff Dallas Baldwin announced the sentences imposed today by Chief U.S. District Judge Sarah D. Morrison. Assistant United States Attorney Noah R. Litton and Special Assistant United States Attorney David J. Bosley are representing the United States in this case. # # #


title: Global Cryptocurrency Exchange BitMEX Fined $100 Million For Violating Bank Secrecy Act

component: USAO - New York, Southern

body_text: Matthew Podolsky, Attorney for the United States, Acting under Authority Conferred by 28 U.S.C. § 515, announced that HDR GLOBAL TRADING LTD., a/k/a “BITMEX”, was sentenced today to a fine of $100 million for violating the Bank Secrecy Act by willfully failing to establish, implement, and maintain an adequate anti-money laundering (“AML”) and know-your-customer (“KYC”) program. Attorney for the United States Matthew Podolsky said: “Anti-money laundering and know-your-customer rules protect Americans from fraud, combat money laundering, and prevent the financing of terrorist activity. It is critical that all financial institutions, including cryptocurrency exchanges, comply with these rules to protect our country’s economy and national security. Today’s sentence sends a clear message that companies that willfully violate these rules and refuse to implement AML/KYC programs will face consequences.” According to the allegations in the Information and other filings and statements made in court: Arthur Hayes, Benjamin Delo, and Samuel Reed founded BITMEX in or about 2014, and Gregory Dwyer became BITMEX’s first employee in 2015 and later its Head of Business Development. BITMEX, which has long serviced and solicited business from U.S. traders and operated through U.S. offices, was required to register with the Commodity Futures Trading Commission (“CFTC”) and to establish and maintain an adequate AML program. AML programs ensure that financial institutions, such as BITMEX, are not exploited for illicit purposes and serve to protect the integrity of the U.S. financial system and national security more broadly. BITMEX and its executives knew that because BITMEX served U.S. customers, it was required to implement an AML program that included a KYC component but chose to flaunt those requirements, requiring only that customers provide an email address to use BITMEX’s services. Indeed, senior executives each knew that customers residing in the U.S. continued to access BITMEX’s trading platform through at least in or about 2018, and that BITMEX policies nominally in place to prevent such trading were toothless or easily overridden to serve BITMEX’s bottom line goal of obtaining revenue through the U.S. market without regard to U.S. criminal laws. Corporate executives took affirmative steps purportedly designed to exempt BITMEX from the application of U.S. laws like AML and KYC requirements, despite knowing of BITMEX’s obligation to implement such programs by operating in the U.S. As part of BITMEX’s willful evasion of U.S. AML laws, the company lied to a bank about the purpose and nature of a subsidiary to allow BITMEX to pump millions of dollars through the U.S. financial system. Hayes, Delo, and Reed, BITMEX’s three founders and top executives, and Dwyer, another top executive, all previously entered guilty pleas for violating the Bank Secrecy Act and were sentenced in 2022. The corporation entered a guilty plea on July 10, 2024, and was sentenced today. * * * In addition to the fine, BITMEX was sentenced to two years’ probation. Mr. Podolsky praised the outstanding investigative work of the Federal Bureau of Investigation’s New York Money Laundering Investigation Squad. The prosecution is being handled by the Office’s Illicit Finance & Money Laundering Unit. Assistant U.S. Attorneys Jessica Greenwood and Thane Rehn are in charge of the prosecution.


title: Lexington Gang Member Returned to Federal Prison

component: USAO - South Carolina

body_text: COLUMBIA, S.C. —Jake Rupert, 40, of Lexington, was sentenced to two years in federal prison after pleading guilty to walkaway escape from a federal residential re-entry facility. Evidence obtained in the investigation revealed that on the morning of March 5, 2024, Rupert walked away, without permission, from a federal halfway house in Columbia. In January 2024, Rupert transitioned to the halfway house from the Federal Bureau of Prisons to finish the last six months of the 96-month custodial sentence he received in 2017, for being a felon in possession of a firearm and possession of a firearm with an obliterated serial number. Deputies with the Lexington County Sheriff’s Department located Rupert, a known gang member, inside a residence in Gaston on May 27, 2024. Rupert was taken into custody to serve the remainder of his original sentence and was also charged federally with escape. Senior United States District Judge Cameron McGowan Currie sentenced Rupert to 24 months imprisonment, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system. This case was investigated by the United States Marshals Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Lexington County Sheriff’s Department. Assistant U.S. Attorney Stacey D. Haynes prosecuted the case. ###


title: Chicago Man Sentenced to 108 Months in Prison

body_text: HAMMOND- Clinton Williams, 48 years old, of Chicago, Illinois was sentenced by United States District Court Judge Gretchen S. Lund after pleading guilty to conspiracy to possess with intent to distribute and to distribute heroin and fentanyl, announced United States Attorney Clifford D. Johnson. Williams was sentenced to 108 months in prison followed by 4 years of supervised release. According to documents in the case, between August 2021 and June 2022, Williams was involved in a conspiracy to distribute heroin laced with fentanyl. As part of that conspiracy, Williams was personally involved in five controlled buys of the substance. This case was investigated by the Federal Bureau of Investigation Gang Response Investigative Team. This case was prosecuted by Assistant United States Attorney Michael J. Toth and Special Assistant United States Attorney Patrick D. Grindlay.


title: Two Men Sentenced for Roles in Drug Trafficking Organization

component: USAO - West Virginia, Northern

body_text: MARTINSBURG, WEST VIRGINIA – Two men have been sentenced today for their leadership of a drug trafficking operation in the Eastern Panhandle of West Virginia. Dorian Scott Burks, age 29, of Jeannette, Pennsylvania, was sentenced today to 262 months in federal prison. John William Malcolm, 57, of Clarksburg, West Virginia, was sentenced to 300 months in prison. According to court documents and statements made in court, Burks, also known as “Cash,” and Malcolm worked with others to sell methamphetamine, fentanyl, heroin, cocaine, and cocaine base in Berkeley, Morgan, and Hampshire Counties. Burks would travel from Pittsburgh, Pennsylvania, to Clarksburg, West Virginia, and Bunker Hill, West Virginia, to deliver large quantities of methamphetamine and cocaine to other conspirators, including Malcolm, for resale in the Eastern Panhandle. During a traffic stop, officers found 333 grams of methamphetamine and drug paraphernalia in Malcolm’s vehicle. U.S. District Court Judge Gina M. Groh noted during sentencing that Burks was a dealer’s dealer due to the substantial quantities of high-purity crystal methamphetamine. At the hearing, evidence was presented that Burks supplied over 32 pounds of crystal methamphetamine from January 2023 through July 2023. Burks had firearms and maintained a property for drug distribution, something the judge took into consideration during sentencing. Malcolm is a career criminal, with a history that includes grand larceny, assault, drug trafficking, and firearms violations. Burks and Malcolm will each serve five years of supervised release following their prison sentences. Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, investigated. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.


title: New Orleans Man Sentenced for Being a Felon in Possession of a Firearm and Making False Statement During Firearm Purchase

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

body_text: NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that on January 8, 2025, the U.S. District Judge Sarah S. Vance sentenced GERNELL HANKTON (“HANKTON”) , age 34, a resident of New Orleans, to 135-months imprisonment. As to Counts 1 and 2 of the indictment against him, charging him with being a felon in possession of a firearm, in violation of 18 U.S.C. §§ 922(g)(1) and 924(a)(2), HANKTON was sentenced to 120 months imprisonment per count, to run concurrently. As to Count 3, charging him with making a false statement during the purchase of a firearm, in violation of 18 U.S.C. §§ 922(a)(6) and 924(a)(2), The Court sentenced HANKTON to a term of imprisonment of 15 months imprisonment which runs consecutive to the 120 months imposed in Counts 1 and 2. Following imprisonment, HANKTON will also be supervised by the U.S. Probation Office for 3 years. HANKTON was also ordered to pay a mandatory special assessment fee of $300. According to court records, on July 20, 2019, HANKTON was involved in a hit and run vehicular accident when he struck an occupied vehicle in the drive-thru of the McDonald’s restaurant located at 2856 Claiborne Avenue in New Orleans. When the victim exited his vehicle, HANKTON and the victim argued. HANKTON then drove away and ran over the victim’s girlfriend’s foot with his truck. HANKTON also struck a security guard who was standing in parking lot. The victim pursued HANKTON’s truck and called 911. Upon reaching a nearby intersection, HANKTON exited his truck, brandished and fired a .40 caliber firearm approximately seven (7) times at the vehicle occupied by the victim. The victim, however, was not injured. On August 7, 2019, members of the New Orleans Police Department (NOPD) located HANKTON ’s truck in the 1800 block of Laurel Street. A black firearm was positioned on the floorboard of the truck. HANKTON was observed exiting a nearby residence and was arrested. NOPD obtained a search warrant for HANKTON ’s truck, and seized the Glock Model 23, .40 caliber pistol. Ballistic analysis of the firearm and the seven (7) casings recovered from the scene of the shooting confirmed it was the same firearm discharged by HANKTON . On August 8, 2019, the Bureau of Alcohol, Tobacco, Firearms, and Explosives was notified of an attempted straw purchase of a firearm from the Gurvich Detective Agency, a federal firearms licensee. Gurvich records revealed that HANKTON’s then-girlfriend, purchased a Century Arms, Model C39V2 classic pistol and unsuccessfully attempted to pick up the firearm from Gurvich. Later, HANKTON arrived at Gurvich asking for the pistol on behalf of his girlfriend. HANKTON was instructed to have the original purchaser complete the ATF 4473 form. Days later, HANKTON returned to Gurvich with an ATF 4473 form that he claimed had been completed by his girlfriend as purchaser of the weapon. HANKTON was informed a second time that only A.S. could receive the firearm because she was the listed purchaser on the ATF 4473 form. Days later, a Gurvich employee contacted HANKTON’s girlfriend. When contacted by a Gurvich employee, HANKTON’s girlfriend admitted that she was not the purchaser of the firearm. Thereafter, HANKTON admitted he was the real purchaser and had made a false statement on the ATF 4473 form to get the pistol. However, HANKTON was not allowed to legally possess, or purchase this weapon since he was a convicted felon This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorney Brittany Reed of the Public Integrity Unit.


title: Nigerian National Pleads Guilty to Scheme That Defrauded More Than 400 U.S. Victims

component: Civil Division

body_text: Today, a Nigerian national pleaded guilty in the U.S. District Court for the Southern District of Florida to operating a transnational inheritance fraud scheme that defrauded elderly and vulnerable consumers across the United States. According to court documents, Okezie Bonaventure Ogbata, 36, was a member of a group of fraudsters that sent personalized letters to elderly victims in the United States over the course of several years. The letters falsely claimed that the sender was a representative of a bank in Spain and that the recipient was entitled to receive a multimillion-dollar inheritance left for the recipient by a family member who had died overseas years before. Ogbata and his co-conspirators told a series of lies to victims, including that, before they could receive their purported inheritance, they were required to send money for delivery fees, taxes and other payments to avoid questioning from government authorities. Ogbata and his co-conspirators collected money victims sent in response to the fraudulent letters through a complex web of U.S.-based former victims, whom the defendants convinced to receive money and forward to the defendants or persons associated with them. Victims who sent money never received any purported inheritance funds. In pleading guilty, Ogbata admitted to defrauding over $6 million from more than 400 victims, many of whom were elderly or otherwise vulnerable. “The Justice Department’s Consumer Protection Branch will continue to pursue transnational criminals wherever they are located,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “This case is a testament to the critical role of international collaboration in tackling transnational crime. I want to thank the members of the U.S. Postal Inspection Service (USPIS) and Homeland Security Investigations (HSI), as well as the Portuguese Judicial Police and Public Prosecution Service of Portugal, for their outstanding contributions to this case.” “The long arm of the American justice system has no limits when it comes to reaching fraudsters who prey on our nation’s most vulnerable populations, to include the elderly,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “We will not allow transnational criminals to steal money from the public we serve. Individuals who defraud American consumers will be brought to justice, no matter where they are located.” “The U.S. Postal Inspection Service (USPIS) has a long tradition of protecting American citizens from these types of schemes and bringing those responsible to justice,” said Acting Postal Inspector in Charge Steven Hodges of the USPIS Miami Division. “This guilty plea is a testament to the dedicated partnership between the Department of Justice’s Consumer Protection Branch, HSI and USPIS to protect our citizens from these scams.” “Transnational fraud schemes thrive in the shadows, turning illicit gains into a facade of legitimacy, especially those involving seniors or other vulnerable people,” said Special Agent in Charge Francisco B. Burrola of HSI Arizona. “HSI and our law enforcement partners commitment to investigate criminals who steal money sends a clear message: justice will prevail, and those who exploit others for personal gain will be held accountable. We thank all our partners who assisted in this investigation.” On Jan. 15, Ogbata pleaded guilty to conspiracy to commit mail and wire fraud. Ogbata is scheduled to be sentenced by U.S. District Judge Roy K. Altman on April 14. Ogbata faces a maximum penalty of 20 years in prison. This is the second indicted case related to this international fraud scheme. Six other co-conspirators from the United Kingdom, Spain and Nigeria have previously been convicted and sentenced in connection with this scheme. On Nov. 1, 2023, the Honorable Kathleen M. Williams sentenced Ezennia Peter Neboh, who was extradited from Spain, to 128 months in prison. On Oct. 20, 2023, Judge Williams sentenced another defendant who was also extradited from Spain, Kennedy Ikponmwosa, to 97 months in prison. Three other defendants who were extradited from the United Kingdom also received prison sentences. Judge Williams sentenced Emmanuel Samuel, Jerry Chucks Ozor and Iheanyichukwu Jonathan Abraham to prison sentences of 82 months, 87 months and 90 months, respectively, for their roles in the scheme. Lastly, Prince Amos Okey Ezemma was paroled into the United States from Nigeria and was sentenced to 90 months in prison for his role in the scheme. USPIS, HSI and the Consumer Protection Branch are investigating the case. Senior Trial Attorney and Transnational Criminal Litigation Coordinator Phil Toomajian and Trial Attorneys Josh Rothman and Brianna Gardner of the Justice Department’s Consumer Protection Branch are prosecuting the case. The Justice Department’s Office of International Affairs, U.S. Attorney’s Office for the Southern District of Florida, Department of State’s Diplomatic Security Service, UK National Crime Agency, and authorities from Spain and Portugal all provided critical assistance. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Justice Department hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish and other languages are available. More information about the department’s efforts to help American seniors is available at its Elder Justice Initiative webpage. For more information about the Consumer Protection Branch and its enforcement efforts, visit www.justice.gov/civil/consumer-protection-branch . Elder fraud complaints can be filed with the FTC at reportfraud.ftc.gov/ or at 877-FTC-HELP. The Justice Department provides a variety of resources relating to elder fraud victimization through its Office for Victims of Crime, which can be reached at www.ovc.gov .


title: St. Louis Man Sentenced to 510 Months in Prison for Recording Sexual Abuse of Multiple Victims

body_text: ST. LOUIS – U.S. District Judge Stephen R. Clark on Wednesday sentenced a man who produced child sexual abuse material involving at least eight victims to 42 and one-half years in prison. Tracy Jenkins, 59, recorded his sexual abuse of five children who have been identified by investigators. Three other victims have not yet been identified but appear in the recordings. One of the victims was 6 years old when the abuse began. Another was 11. Jenkins began making videos at least as early as 2013, and the videos are now circulating online. Judge Clark called Jenkins “a ravenous and insatiable sexual predator of the highest order” after detailing the lengthy history of Jenkins’ sexual abuse of the victims and his production of nearly 1,200 hours of videos recording that abuse. Jenkins’ crimes were stopped after the FBI’s Crimes Against Children and Human Trafficking Unit determined the identity of one of the victims whose image was online and contacted the St. Louis office of the FBI. Agents quickly located Jenkins and conducted a court-approved search of his home, finding multiple electronic devices with thousands of files containing child pornography. They also located about 200 videos that Jenkins produced of his sexual abuse of the victims in this case, ranging in length from seconds to over one hour and 45 minutes, Jenkins’ plea agreement says. Jenkins pleaded guilty in June in U.S. District Court in St. Louis to one count of production of child pornography and one count of being a felon in possession of a firearm. Investigators found a stolen pistol when they searched his home. The FBI investigated the case. Assistant U.S. Attorney Jillian Anderson prosecuted the case. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc .


title: Laredo man given max sentence for possessing over 47,000 child pornography images, including some of minor relatives

component: USAO - Texas, Southern

body_text: LAREDO, Texas – A 31-year-old man has been sentenced for sexual exploitation of a child and possession of child sexual assault material (CSAM), announced U.S. Attorney Alamdar S. Hamdani. Kristopher Santos pleaded guilty March 28, 2023. U.S. District Judge Lee H. Rosenthal has now sentenced Santos to 360 months and 240 months for the sexual exploitation of a child and possession of child pornography convictions, respectively. They will run concurrently for a total 360- month-term of imprisonment. At the hearing, the court also heard additional information including the history of the case and vast collection of child pornography Santos possessed. In handing down the prison terms, the court noted the severity of his actions in producing CSAM as well as the sheer volume of images he possessed. Santos was further ordered to pay $126,000 in restitution to the victims and will serve 10 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Santos will also be ordered to register as a sex offender. “This defendant is a textbook child predator,” said Hamdani. “He is the reason parents lose sleep at night, wondering if their kids are safe when not with them. He was a trusted family member, who violated that trust when he both abused and utilized the minors to create child pornography images of his own. Parents can sleep better tonight knowing there is one less child predator on the streets.” "Today's sentencing marks a significant victory in our relentless pursuit of justice for the innocent victims of child exploitation. This 30-year sentence sends a clear message that those who prey on the most vulnerable members of our society will be held accountable for their heinous crimes,” said Homeland Security Investigations (HSI) San Antonio Special Agent in Charge Craig Larrabee. “HSI remains steadfast in our commitment to protecting children and dismantling the networks that perpetuate these atrocities. We will continue to work tirelessly with our partners to ensure that justice is served and that no child suffers in silence." Authorities identified Santos in 2019 when conducting a peer-to-peer network undercover investigation. It revealed Santos was sharing CSAM online. On April 12, 2019, law enforcement executed a search warrant at his home and discovered and seized several electronic devices. Authorities also discovered a trunk full of sex toys and children’s underwear. Santos acknowledged he was sexually attracted to children, viewing the child pornography and that the trunk belonged to him. He also admitted to touching two minor relatives inappropriately and taking naked pictures of the children exposing themselves. Law enforcement ultimately identified a total of 47,729 images and 7,667 videos containing child pornography on the seized electronic devices. Santos will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. HSI conducted the investigation with the assistance of Webb County Sheriff’s office conducted the investigation. Assistant U.S. Attorney Michael Makens prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page . For more information about internet safety education, please visit the resources link on that page.


title: Lewiston Man Sentenced to 4+ Years for Armed Robbery of Saco Convenience Store

body_text: PORTLAND, Maine: A Lewiston man was sentenced today in U.S. District Court in Portland for interference with commerce by robbery. U.S. District Judge Nancy Torresen sentenced Max Gbetibouo , 51, to 51 months in prison followed by three years of supervised release. While sentencing Gbetibouo, the judge noted that as an Ivory Coast National, he would likely face deportation following incarceration. Gbetibouo was also ordered to pay restitution to the victim. He pleaded guilty on August 13, 2024. According to court records, in September 2021, Gbetibouo entered a Saco convenience store brandishing a weapon and demanded money from the register. The store clerk complied, and Gbetibouo fled the store on foot. The robbery was captured on surveillance video. The Saco Police Department, Federal Bureau of Investigation (FBI), Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Portland Police Department investigated the case. Project Safe Neighborhoods : This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Childhood, visit https://www.justice.gov/usao-me/psn . ###


title: Guatemala Resident Ordered Removed from U.S. After Pleading Guilty to Illegal Reentry Charge

component: USAO - Pennsylvania, Western

body_text: PITTSBURGH, Pa. - A resident of Guatemala pleaded guilty in federal court to a charge of illegal reentry of a removed alien and was sentenced to time served and ordered removed from the United States, United States Attorney Eric G. Olshan announced today. United States District Judge William S. Stickman IV imposed the sentence on Josue Raul Ascon-Morales, 26. According to information presented to the Court, Ascon-Morales was previously removed from the United States in March 2008. On September 1, 2024, the Moon Township Police Department encountered Ascon-Morales in the Western District of Pennsylvania secondary to a traffic stop. Law enforcement determined that Ascon-Morales was unlawfully present in the United States, and he was taken into custody by immigration authorities on October 22, 2024. He admitted to unlawfully entering the United States in April 2018, and was indicted by a federal grand jury on November 19, 2024. Assistant United States Attorney Rebecca L. Silinski prosecuted this case on behalf of the government. United States Attorney Olshan commended U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations for the investigation leading to the successful prosecution of Ascon-Morales.


title: El Salvador Man Sentenced for Illegal Reentry into U.S.

body_text: PITTSBURGH, Pa. - A resident of El Salvador pleaded guilty in federal court to a charge of illegal reentry of a removed alien and was sentenced to time served, United States Attorney Eric G. Olshan announced today. United States District Judge Christy Criswell Wiegand imposed the sentence on Jose Humberto Diaz-Tobar, 41. According to information presented to the Court, on February 1, 2024, the Allegheny County Police Department encountered Diaz-Tobar following a traffic accident. Law enforcement determined that Diaz-Tobar was unlawfully present in the United States after being previously removed from the country in October 2012, when he admitted to immigration officials that he crossed the Rio Grande River near Hidalgo, Texas, and was not inspected by an immigration officer. Diaz-Tobar was taken into custody by immigration authorities for his latest offense on July 24, 2024, and was in federal custody for nearly six months prior to his sentencing. Assistant United States Attorney Rebecca L. Silinski prosecuted this case on behalf of the government. United States Attorney Olshan commended U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations for the investigation leading to the successful prosecution of Diaz-Tobar.


title: Lead defendants in prolific human smuggling and money laundering network sentenced in Joint Task Force Alpha investigation

body_text: LAREDO, Texas - A Texas woman and her fiancé have been sentenced for their roles as leaders of a human smuggling organization that conspired to illegally transport, harbor and conceal from law enforcement hundreds of undocumented individuals in the United States and laundering the proceeds. Erminia Serrano Piedra aka Irma or Boss Lady, 33, and Oscar Angel Monroy Alcibar aka Pelon, 41, pleaded guilty to conspiracy to transport and move illegal aliens, including placing the aliens’ lives in jeopardy, and conspiracy to launder money Jan. 4 and 9, 2024, respectively. U.S. District Judge Lee H. Rosenthal ordered Monroy Alcibar to serve 135 months in federal prison to be immediately followed by three years of supervised release Jan. 15. The court sentenced Serrano Piedra Jan. 13 to 121 months in federal prison also immediately followed by three years of supervised release. Both will also be ordered to pay large money judgments as part of their pleas - $438,119 for Monroy Alcibar and $942,537 for Serrano Piedra. The also entered orders of criminal forfeiture of two properties belonging to one or both that were purchased with the illicit proceeds of human smuggling, recently estimated to have the value of approximately $2.275 million and $515,000. “The two defendants sentenced in this case were leaders of a human smuggling operation that endangered vulnerable migrants for profit,” said Attorney General Merrick B. Garland. “Since I directed the formation of Joint Task Force Alpha (JTFA) in 2021, the Justice Department has combatted the threats posed by dangerous human smuggling networks where they originate and operate. Since then, the Justice Department has made over 345 domestic and international arrests and secured 290 convictions.” “Confining individuals, including minors, in coffin-like spaces with no room to move or breathe, reveals this organization’s complete disregard for human life,” said U.S. Attorney Alamdar S. Hamdani, U.S. Attorney for the Southern District of Texas. “Those who profit from such human suffering will face justice, and their ill-gotten gains will be stripped away to ensure that crime does not pay.” “The defendants exploited vulnerable migrants by leading a scheme to unlawfully transport them across the U.S. border, using dangerous methods that risked the migrants’ lives in order to evade detection,” said Principal Deputy Assistant Attorney General Brent S. Wible, head of the Justice Department’s Criminal Division. “Because of illegal operations like this one, more than three years ago we launched JTFA to combat the most prolific and harmful human smuggling organizations. The sentences and forfeitures announced today underscore the Criminal Division’s commitment to working with its JTFA partners to disrupt and dismantle smuggling networks that callously endanger human life for profit.” “This sentencing sends a clear message that those involved in human smuggling will be identified and held accountable for their actions,” said Inspector General Joseph V. Cuffari Ph.D. of Department of Homeland Security - Office of Inspector General (DHS-OIG). “DHS-OIG is grateful for our continued partnership with our law enforcement partners as we continue to fight corruption along the Southern Border.” According to court documents, Serrano Piedra and Monroy Alcibar were the leaders of the human smuggling organization. Those smuggled were citizens of Mexico, Guatemala, Colombia and elsewhere and they or their families paid members of the organization to help them travel illegally to and within the United States. Serrano Piedra’s role included directing the organization’s operations, recruiting members, ordering payments to be made related to the organization’s operation and instructing members to be lookouts for law enforcement. Monroy Alcibar coordinated the smuggling of undocumented individuals and movement of financial proceeds for the organization. Serrano Piedra, Monroy Alcibar and their co-conspirators derived substantial profits from the proceeds of this illicit activity. The organization used drivers to pick up undocumented individuals near the U.S.-Mexico border and transport them further into the interior of the United States, often harboring them at stash houses along the way in locations such as Laredo and Austin. The organization’s drivers used various dangerous methods to transport undocumented individuals, including hiding them in suitcases placed in pickup trucks, cramming them in the back of tractor-trailers, covered beds of pickup trucks, repurposed water tankers and wooden crates strapped to flatbed trailers. The methods the organization used to transport undocumented individuals placed their lives in danger as they were frequently held in contained spaces with little ventilation, which became overheated and made it difficult to breathe, and they were driven at high speeds with no vehicle restraints in the back of trucks and tankers. Members of this organization commonly referred to the undocumented individuals as “boxes,” “packages,” or “pieces.” Typically, the fee paid to the organization was approximately $8,000 with $3,000 paid up front to smugglers in Mexico and the remainder paid once the undocumented individuals entered the United States. Further, these defendants haves admitted in court documents that they conspired to engage in financial transactions designed to conceal the nature, location, source, ownership and control of ill-gotten proceeds of illicit human smuggling and the unlawful harboring and transportation of undocumented individuals. The leaders recruited and utilized straw persons to accept human smuggling proceeds in the straw persons’ bank accounts and then transferred these proceeds to the leaders under the pretense of work payments. They also established incorporated businesses and opened business accounts in order to transfer the human smuggling proceeds. In addition, the two leaders recruited individuals in the construction industry who accepted human smuggling proceeds in the form of cash in exchange for checks from the recruited individuals’ business bank accounts. Serrano Piedra and Monroy Alcibar have admitted in court documents they made significant money from their involvement in human smuggling. Moreover, Serrano Piedra admitted she was and she was going to continue doing this for a lifetime and was not planning to retire. “Homeland Security Investigations (HSI) is at the forefront of combating human smuggling on a global scale,” said HSI San Antonio Special Agent in Charge Craig Larrabee. “This week, these two defendants were sentenced for their involvement in this heinous crime. Fighting transnational human smuggling remains one of our top priorities. Our special agents work tirelessly alongside international law enforcement partners and task forces to dismantle criminal networks that commoditize human lives. HSI will continue to utilize every available resource to bring those responsible to justice.” Including Serrano Piedra and Monroy Alcibar, 14 co-conspirators have been sentenced for their various roles in the human smuggling organization, including some for laundering illicit proceeds. The sentences ranged up to 135 months with money judgments totaling over $2.3 million, forfeiture of interests in real property, including residences located in Bastrop and Elgin. One other co-conspirator still awaits sentencing. HSI Laredo, along with Border Patrol and DHS-OIG led U.S. investigative efforts on the case. HSI offices in Austin, San Antonio, Waco and Corpus Christi; New Orleans, Louisiana; Gulfport, Mississippi; Mobile, Alabama; West Palm Beach, Florida; and HSI’s Human Smuggling Unit in Washington, D.C.; along with Customs and Border Protection’s National Targeting Center; U.S. Marshals Service; Immigration and Customs Enforcement’s Enforcement and Removal Operations ; Treasury Executive Office for Asset Forfeiture; Police Departments in Laredo, Killeen, Elgin and Round Rock as well as Wiggins, Missouri, and Bogalusa, Louisiana; Webb County Constable’s Office; Webb County District Attorney’s Office; Sheriff’s Offices in Webb, Bastrop and Caldwell County; Harrison, George and Stone County, Mississippi, and Mobile County, Alabama; Jefferson Parish and Washington Parish, Louisiana; Mississippi Bureau of Narcotics and Louisiana State Police provided substantial assistance in the investigation. Assistant U.S. Attorney and JTFA detailee Jennifer Day is prosecuting the case along with Human Rights and Special Prosecutions (HRSP) Section Trial Attorneys Christian Levesque and Angela Buckner, Money Laundering and Asset Recovery Section (MLARS) Trial Attorney and Deputy Director of JTFA Daria Andryushchenko and MLARS Financial Investigator Kelly O’Mara with substantial assistance from the Department of Justice’s Electronic Surveillance Unit of the Office of Enforcement Operations. This and related convictions of co-conspirators are the result of the coordinated efforts of JTFA. Attorney General Merrick B. Garland established JTFA in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with DHS, to combat the rise in prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador and Honduras. The initiative was expanded to Colombia and Panama to combat human smuggling in the Darién in June 2024. JTFA comprises detailees from U.S. attorneys’ offices along the southwest border including the Southern District of California, districts of Arizona and New Mexico and the Western and Southern Districts of Texas. Dedicated support is provided by numerous components of the Justice Department’s Criminal Division, led by the Human Rights and Special Prosecutions HRSP Section, and supported by the Office of Prosecutorial Development, Assistance and Training; Narcotic and Dangerous Drug Section; MLARS; Office of Enforcement Operations; Office of International Affairs; and the Violent Crime and Racketeering Section. JTFA also relies on substantial law enforcement investment from DHS, FBI, Drug Enforcement Administration and other partners. To date, JTFA’s work has resulted in 34513 domestic and international arrests of leaders, organizers and significant facilitators of human smuggling; more than 29051 U.S. convictions; more than 240 defendants sentenced, including 186 significant jail sentences imposed; and forfeitures of substantial assets.