title: Two Individuals Sentenced to Prison in Connection With $7.5 Million Multi-State PPP Fraud Scheme

body_text: BOSTON – Two individuals have been sentenced in federal court in Boston for their roles in a multi-state scheme to obtain millions of dollars in Paycheck Protection Program (PPP) funds for themselves and others through the submission of dozens of fraudulent applications to PPP lenders. Adiana Pierre, 39, of Lookout Mountain, Tenn., was sentenced on June 7, 2024 by U.S. District Court Judge Myong J. Joun to 17 months in prison and three years of supervised release on June 7, 2024. On May 28, 2024, Gardy Alexandre, 51, of West Palm Beach, Fla., was sentenced by Judge Joun to 15 months in prison and three years of supervised release in connection with the same scheme. A third defendant, Wallace Ford, 38, of Buford, Ga., will be sentenced at a later date. In February 2024, all three defendants pleaded guilty to one count each of conspiracy to commit wire fraud and conspiracy to engage in unlawful monetary transactions. Ford, Pierre and Alexandre conspired to submit fraudulent PPP applications on behalf of numerous actual or purported businesses and non-profit organizations across the United States – including businesses operated in Massachusetts – and to collect kickback payments from the borrowers for securing loan amounts. Shortly after PPP funds first became available in April 2020, Ford began submitting PPP applications on behalf of his own businesses, Pierre, Alexandre and other borrowers. Pierre, Alexandre and others identified potential applicants and provided those applicants’ information to Ford. Ford then submitted applications for those borrowers online, fabricating employee numbers and monthly payroll expenses. Ford also submitted false wage and tax forms in support of the misrepresentations on the applications. As a result, between May and August 2020, Ford, Pierre, Alexandre and others obtained approximately $7 million in PPP funds. The borrowers who received PPP funds based on these fraudulent applications paid kickbacks to Ford, Pierre, Alexandre and others, commonly in amounts equal to 10 or 20 percent of the loan amount they received. Collectively, Ford, Pierre and Alexandre received over $1 million in kickback payments from borrowers. Acting United States Attorney Joshua S. Levy and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorney David M. Holcomb of the Securities, Financial & Cyber Fraud Unit is prosecuting the case. On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus . Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form .


title: Southern District of Mississippi Recognizes World Elder Abuse Awareness Day

component: USAO - Mississippi, Southern

body_text: Jackson, Miss. – Todd Gee, U.S. Attorney for the Southern District of Mississippi, joins national, state, local, and Tribal leaders in recognizing World Elder Abuse Awareness Day (WEAAD) on Saturday, June 15, 2024. Since 2006, WEAAD has been commemorated to promote awareness and increase understanding of the many forms of elder abuse as well as the resources available to those at risk. Highlighting the partnership between law enforcement and the public, U.S. Attorney Gee emphasized the importance of awareness and education. “Fraudulent scams targeting elders and other forms of elder abuse happen far too often in Mississippi and throughout the nation,” said U.S. Attorney Gee. “We can see these scams being attempted nearly every day in the junk emails and robocalls targeting elder relatives for money and personal information. World Elder Abuse Awareness Day is a great opportunity to spread information about how to protect elder family and friends from fraud and other abuse.” Elder abuse is an act that knowingly, intentionally, or negligently causes or creates a serious risk of harm to an older person by a family member, caregiver, or other person in a trust relationship. Such harm may be financial, physical, sexual, or psychological. The Justice Department maintains a variety of programs and initiatives to combat elder abuse. The Transnational Elder Fraud Task Force marshals federal and state agencies working collaboratively to investigate and prosecute foreign-based schemes that target older Americans. In addition to aggressively investigating the individuals, organizations, and networks responsible for these crimes, this initiative provides the public with information to guard against both traditional scams, like tech support fraud, as well as trending schemes, such as romance scams. Using one scam to perpetrate or conceal another, some fraudsters rely on money mules to move the proceeds of their illegal activity. Preying on the good will or financial vulnerability of their targets, scammers recruit people, many times older victims, to participate in schemes to move money in ways that avoid notice. The Money Mule Initiative identifies and addresses money mule activity to disrupt these fraud schemes, and helps people to recognize and avoid participation in perpetuating fraud. To help older individuals and their families identify and avoid fraudulent activity, the Justice Department provides Senior Scam Alerts with information about the tactics used in specific schemes. For example, in Social Security Administration Impostor schemes, scammers impersonate government administrators and falsely reporting suspicious activity to request that the victims provide their Social Security number for confirmation. In Tech Support scams, fraudsters contact victims, sometimes through internet pop-up messages, to warn about non-existent computer problems, ask that the victim give them remote access to their computer, and identify a non-existent problem, then demand large sums of money for unnecessary services. In Lottery scams, telemarketers falsely notify victims that they have won a sweepstakes and tell them they must first pay fees for shipping, insurance, customs duties, or taxes before they can claim their prizes. To learn more about the department’s elder justice efforts please visit the Elder Justice Initiative page . The U.S. Attorney’s Office for the Southern District of Mississippi continues to work with federal, state, local, and Tribal law enforcement partners to investigate and prosecute elder abuse crimes. For example, the office recently prosecuted a case involving six college track and field athletes for their roles in overseas fraud schemes targeting elders and others across the United States in romance scams, fraudulent goods scams and military scams. The victims of the fraud schemes would be instructed to send money to individuals based in the United States, who would then transfer the money ultimately back overseas. Additionally, a Kiln man was sentenced to 30 months in prison for convincing his elderly neighbors to give him their personal identifying information so he could help them receive benefits related to the COVID pandemic. Evans then used that information to apply for unemployment insurance under the Economic Security (CARES) Act benefits in the victims’ names and had the benefits sent to him at his residence. To report elder fraud, contact the dedicated National Elder Fraud Hotline at 1-833-FRAUD-11 or 1-833-372-8311 and visit the FBI’s IC3 Elder Fraud Complaint Center at IC3.gov.


title: Investigative Team from MDNC Receives ADL SHIELD Award for Local Prosecution

component: Civil Rights - Criminal Section

body_text: Photo provided by Anti-Defamation League of Washington, DC GREENSBORO - United States Attorney Sandra J. Hairston announced today that the Anti-Defamation League [ADL] awarded a local team of prosecutors and investigators with the group’s 2024 SHIELD Award. SHIELD stands for Service, Honor, Integrity, Excellence, Leadership and Dedication. Assistant United States Attorneys JoAnna McFadden and Ashley Waid of the United States Attorney’s Office for the Middle District of North Carolina, along with Special Agent Samantha Oubre, Special Agent Emilie Franks, Special Agent Michael Stone, Tactical Specialist Whitney Orndorff, Intelligence Analyst Brian Bowers, Victim Specialist Shannon Meyers, of the Federal Bureau of Investigation, and Department of Justice Trial Attorney Daniel Grunert were presented with their awards during a ceremony on June 6 in Washington, D.C. The award was presented for the investigation and prosecution of Marian Hudak. “The Hudak prosecution exemplifies our commitment to investigating and prosecuting civil rights violations in this district,” United States Attorney Hairston said today. “Targeting individuals with violence because of their race or national origin will be met with a strong federal response. We are pleased and grateful that the Anti-Defamation League recognized the extraordinary efforts of AUSAs McFadden and Waid, Trial Attorney Grunert, and the FBI agents and other personnel who pursued this case.” Hudak was sentenced to 41 months of federal incarceration after a jury found him guilty of committing hate crimes against a Black man and a Hispanic man on separate occasions. According to evidence presented at trial, on Oct. 13, 2022, Hudak encountered a Black man, identified as J.S., while Hudak and J.S. were driving on a public street in Concord, North Carolina. After shouting racial slurs at J.S. and telling J.S. to “come here, boy,” Hudak swerved into J.S.’s lane and stopped his car in traffic, then got out of his truck and approached J.S.’s vehicle, where he continued shouting and punched J.S.’s driver’s side window multiple times. When J.S. fled, Hudak chased him to his home where he blocked egress from the parking area and shouted racial slurs at and threatened to shoot and kill J.S. Evidence at trial also proved that, on Nov. 27, 2021, Hudak attacked his Hispanic neighbor, J.D., outside of J.D.’s home because of his nationality. Hudak shouted racially charged insults at J.D. before attacking him. Hudak punched and tackled J.D. and the jury found that J.D. suffered serious bodily injury from the attack. Additional trial witnesses testified about Hudak’s frequent anti-Hispanic comments, both before and after the attack on J.D., and about other instances where Hudak shouted slurs at, gave the middle finger to, and aggressively drove near other minority motorists in the Concord, North Carolina area. Other evidence included a KKK flag, a racist publication, and Nazi memorabilia found in Hudak’s residence. At the ceremony, the ADL honored law enforcement heroes who have protected the nation and communities from hate crimes and terrorist threats. The SHIELD award was created in 2010 to annually honor law enforcement for major successes in the fight against hate crimes and domestic and international terrorism. The Award’s name reflects law enforcement’s role as protectors and is also an acronym for the core values of the profession: Service, Honor, Integrity, Excellence, Leadership, and Dedication. ###


title: Former Police Officer Sentenced To Four Consecutive Life Sentences For 2016 Quadruple Murder

component: USAO - New York, Southern

body_text: Damian Williams, the United States Attorney for the Southern District of New York, announced that NICHOLAS TARTAGLIONE was sentenced today to four consecutive life sentences for his leadership role in the 2016 murders of Martin Luna, Urbano Santiago, Miguel Luna, and Hector Gutierrez. TARTAGLIONE, who is a former police officer, orchestrated the kidnapping and murders of all four victims on April 11, 2016. TARTAGLIONE was sentenced today by U.S. District Judge Kenneth M. Karas. U.S. Attorney Damian Williams said: “Nicholas Tartaglione brutally and senselessly murdered Martin Luna over money, and then ruthlessly executed Urbano Santiago, Miguel Luna, and Hector Gutierrez simply because they were in the wrong place at the wrong time. He tried to cover up his crimes by burying all four victims in a shallow grave on his property. Thanks to the tireless efforts of countless law enforcement officers at the federal, state, and local level, and the relentless pursuit of justice by the career prosecutors in my Office, Tartaglione has now been held accountable for his reprehensible crimes. Today’s sentence of four consecutive life terms justly reflects the pain and suffering each victim underwent at Tartaglione’s hands. I hope that this outcome brings some measure of closure to the victims’ families and to their community.” According to the allegations contained in the Indictment, the evidence offered at trial, statements made in open court, and matters included in public filings: On April 11, 2016, NICHOLAS TARTAGLIONE, a former police officer, orchestrated the kidnapping and murders of Martin Luna, Urbano Santiago, Miguel Luna, and Hector Gutierrez. Martin was 41 years old when he died. Urbano was Martin’s nephew by marriage and was 35 years old when he died. Miguel was Martin’s nephew and was 25 years old when he died. Hector was a close family friend of all three and was 43 years old when he died. All four victims left behind a loving family, and many of their family members attended the trial in this case. Martin was killed because TARTAGLIONE believed Martin had stolen approximately $250,000 meant for the purchase of cocaine. TARTAGLIONE tortured Martin by restraining him and beating him for over an hour, but when Martin did not provide the location of the missing money, TARTAGLIONE strangled Martin to death with a zip-tie. Urbano, Miguel, and Hector were killed — each with a single gunshot to the back of the head, execution style — because they witnessed Martin’s murder and were in the wrong place at the wrong time. TARTAGLIONE buried all four victims in a mass grave on his remote property in Otisville, New York. The four victims remained in the ground until the Federal Bureau of Investigation’s (“FBI”) Hudson Valley Safe Streets Task Force located the grave in December 2016. At today’s sentencing, Judge Karas described TARTAGLIONE as a “monster” who has shown no remorse for his conduct. * * * TARTAGLIONE, 56, of Otisville, New York, was found guilty of 11 counts of murder, four counts of kidnapping resulting in death, one count of kidnapping conspiracy, and one count of narcotics conspiracy. Mr. Williams praised the outstanding investigative work of the FBI, the New York State Police, and the Village of Chester Police Department. Mr. Williams also thanked the City of Middletown Police Department and the Houston, Texas Police Department for their assistance in the case. This prosecution is part of an Organized Crime Drug Enforcement Task Forces (“OCDETF”) operation. OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF program can be found at https://www.justice.gov/OCDETF . The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorneys Maurene Comey and Jacob R. Fiddelman, with the assistance of Paralegal Specialist Shannon Becker, are in charge of the prosecution.


title: Skiatook Man Sentenced for Strangling Partner and Witness Tampering

component: Federal Bureau of Investigation (FBI)

body_text: TULSA, Okla. – Today, U.S. District Judge John D. Russell sentenced Jesse Wayne Caughron, 38, to 144 months imprisonment, followed by 3 years of supervised release. Caughron pled guilty to Assault of an Intimate Dating Partner by Strangling, Suffocating, and Attempting to Strangle and Suffocate in Indian County; and Witness Tampering. According to court documents, Caughron accused his partner of cheating on him. He then suffocated her with a pillow, hit her repeatedly, and strangled her until she lost consciousness, causing a life-threatening injury. When the victim obtained a protective order against Caughron, he violated it sending harassing and threatening messages. He further attempted to mislead the victim and prevent her from testifying. Caughron is a citizen of the Cherokee Nation. He was previously released on bond and ordered not to have contact with the victim. However, Caughron violated the no-contact order and was detained for violating the conditions of his release. He will remain in custody pending transfer to the U.S. Bureau of Prisons. The FBI and Tulsa Police Department investigated the case. Assistant U.S. Attorney Stacey P. Todd and Stephen Scaife prosecuted the case.


title: Northridge Man Sentenced to More Than 3½ Years in Federal Prison for Campaign in Which He Threatened Violence Against Jewish and Asian Americans

component: USAO - California, Central

body_text: LOS ANGELES – A San Fernando Valley man, who has admitted to engaging in a 14-month campaign in which he threatened a Jewish victim with violent and antisemitic rhetoric and threatened to “exterminate” Jewish people and Asian Americans, was sentenced today to 43 months in federal prison. Andre Morrow Lackner, 35, of Northridge, was sentenced by United States District Judge Dale S. Fischer. Lackner pleaded guilty on January 29 to one count of stalking. He has been in federal custody since December 2022. “Hate and intolerance, including antisemitism, is both wrong and anti-American,” said United States Attorney Martin Estrada. “Our nation is one of inclusion, not exclusion, and through this case we send a strong message that we will not tolerate attempts to divide us.” “The defendant admitted to stalking victims based on either their religion or their race by making vile threats for more than a year,” said Krysti Hawkins, the Acting Assistant Director in Charge of the FBI's Los Angeles Field Office. “Today's sentence is evidence that there is zero tolerance for criminal activity rooted in hatred, and of the FBI's commitment to holding accountable those who seek to threaten or harm innocent victims.” From June 2021 to October 2022, Lackner sent a series of abusive text messages to the victim. In these messages, Lackner directed a series of antisemitic remarks to the victim, including, “Hitler was right about you people,” “I want to see every single Jew exterminated from this earth,” “Would you like to celebrate the next synagogue shooting?” and “I will make sure I kill a Jew before I leave this Earth.” Lackner also texted the victim multiple racist statements against Asian Americans, including “We need to start more Asian hate and “wipe [Asian people] off the planet too.” The text messages Lackner sent the victim placed her in reasonable fear of death and serious bodily injury to herself or one of her immediate family members. The FBI investigated this matter. Assistant United States Attorney Amanda B. Elbogen of the Terrorism and Export Crimes Section prosecuted this case.


title: United States Sues Telehealth Providers and Executives for Unfair and Deceptive Conduct

component: Civil Division

body_text: The Justice Department, together with the Federal Trade Commission (FTC), today announced that the United States filed an amended complaint against telehealth company Cerebral Inc., Cerebral’s founder and former Chief Executive Officer, Kyle Robertson; former Cerebral executive Alex Martelli; telehealth companies Zealthy Inc., Gronk Inc. and Bruno Health P.A. and an executive of those companies, German Echeverry. The government has settled its claims against Cerebral, Inc. The proposed stipulated order pending approval by the U.S. District Court for the Southern District of Florida would require Cerebral to cease misusing and improperly disclosing patient information, misrepresenting its data privacy or security practices and misrepresenting its cancellation practices. Upon issuance of the order, Cerebral will also be required to pay approximately $5 million in consumer redress in addition to a civil penalty judgment of $10 million, which is suspended to $2 million based on its limited ability to pay. The Justice Department continues to pursue relief arising from its claims against Robertson and Martelli, as well as telehealth companies Zealthy Inc., Gronk Inc. and Bruno Health P.A. and their executive German Echeverry. The Unlawful Conduct of Cerebral and Its Executives The United States alleges that Cerebral and Robertson violated the Federal Trade Commission Act (FTC Act), the Opioid Addiction Recovery Fraud Prevention Act of 2018 (the Opioid Act) and the Restore Online Shoppers’ Confidence Act (ROSCA) in connection with their misuse of patients’ sensitive personal health information, failure to keep that information private and secure and use of deceptive, burdensome and convoluted cancellation practices. According to the amended complaint, which was filed on May 31, Cerebral and Robertson violated the FTC Act in two primary ways. First, the company failed to protect consumers’ sensitive health information when — at Robertson’s direction — it intentionally deployed online tracking technologies across its website. These tracking technologies collected and transmitted users’ information, without users’ informed consent, to third parties for business purposes such as targeted advertisements. In doing so, the company contravened its own express claims that its services were “private” or “confidential,” and that it would not disclose user data to third parties without the users’ consent. Second, Cerebral and Robertson failed to safeguard consumers’ sensitive data from unauthorized disclosure, despite claiming that the company’s website offered “secure” services to do so. Cerebral’s deficient practices led to chronic data security breaches and repeated unauthorized disclosures of users’ sensitive health information. The amended complaint also alleges that Robertson and Martelli violated the FTC Act by causing Cerebral employees to falsely impersonate patients on online review sites, post fictitious reviews praising the company’s services and suppress authentic, negative reviews of the company. The amended complaint further alleges that Cerebral and Robertson violated ROSCA by failing to clearly disclose material terms related to data privacy, data security and cancellation before obtaining patients’ billing information, by failing to obtain patients’ informed consent before billing them, and by failing to provide consumers with simple mechanisms to cancel their Cerebral subscriptions. As a result, Cerebral obtained millions of dollars from consumers who unsuccessfully attempted to cancel their subscriptions. Finally, the amended complaint alleges that Cerebral, Robertson and Martelli violated the Opioid Act by engaging in deceptive acts or practices with respect to substance use disorder treatment services. The Unlawful Conduct of Zealthy Inc. and Its Executives The amended complaint further alleges that Robertson continued to violate the FTC Act and ROSCA after he left Cerebral. In May 2022, Robertson founded another telehealth company, Zealthy Inc. (later renamed Gronk Inc.), which he heads alongside German Echeverry, its Medical Director. According to the Amended Complaint, through Zealthy and its affiliated medical corporation, Bruno Health, Robertson and Echeverry violated ROSCA by failing to clearly disclose material terms of online subscriptions before obtaining consumers’ billing information, by failing to obtain consumers’ express informed consent to those terms before charging their credit cards and by failing to provide consumers with a simple cancellation process to stop recurring charges. The government also alleges that Zealthy and its executives violated the FTC Act by committing unfair and deceptive business practices. Such practices include billing consumers for costs they did not knowingly agree to; misleading consumers about the terms of their telehealth subscriptions; disregarding consumers’ cancellation requests and making it challenging for consumers to cancel; and tracking, collecting, disclosing and using consumers’ sensitive, personal data in ways that were not fully disclosed to consumers and that consumers did not knowingly authorize. The department will continue to pursue civil penalties, injunctive relief and monetary relief against Robertson, Martelli, Echeverry, Bruno Health and Zealthy. “The Justice Department is committed to stopping companies and their executives from mishandling and misusing individuals’ sensitive personal health information, and from implementing predatory billing practices,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Consumers who turn to telehealth companies for treatment expect that their sensitive health information will be handled with great care and that companies will abide by the representations they have made rather than flouting their stated policies for the sake of profits and growth. This case reflects the department’s commitment to making sure that telehealth companies follow the law and safeguard the rights of those who seek treatment from them. We will continue to work with the FTC to vigorously enforce the FTC Act, the Opioid Act and ROSCA.” “Companies shouldn’t take shortcuts on privacy or security, or hinder patients from cancelling services they no longer want,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “By continuing this case against the company’s former CEO, the government demonstrates its commitment to seeing that executives are held accountable for their misconduct.” Trial Attorneys Shana C. Priore, Joshua A. Fowkes, Francisco L. Unger and Amber M. Charles of the Civil Division’s Consumer Protection Branch and Assistant U.S. Attorney Rosaline Chan, in conjunction with staff at the FTC’s Division of Enforcement, are prosecuting the case. For more information about the Consumer Protection Branch and its enforcement efforts, visit www.justice.gov/civil/consumer-protection-branch . For more information about the FTC, visit www.FTC.gov . The claims made in the amended complaint are allegations that, if the case were to proceed to trial, the government must prove by a preponderance of the evidence.


title: Pharmacist Convicted of Unlawfully Dispensing Controlled Substances at Retrial

component: Criminal Division

body_text: A federal jury in the Southern District of Texas convicted a Texas pharmacist last Friday after a retrial for unlawfully distributing and dispensing controlled substances at a now-shuttered pharmacy. According to court documents and evidence presented at trial, Hieu “Tom” Truong, 60, of Houston, was the pharmacist-in-charge at S&S Pharmacy in Houston. In just 18 months, Truong and his accomplices unlawfully distributed over 750,000 doses of controlled substances, including over 500,000 oxycodone and hydrocodone pills. Trial evidence showed that S&S Pharmacy unlawfully dispensed controlled substances in bulk for cash, based on forged prescriptions brought in by street-level drug dealers. The jury convicted Truong of two counts of unlawfully distributing and dispensing controlled substances. Truong was originally convicted at trial in May 2022 and was granted a new trial due to a change in the law following the Supreme Court’s decision in United States v. Ruan . He is scheduled to be sentenced on Sept. 23 and faces a maximum penalty of 20 years in prison on each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas; and Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration (DEA) made the announcement. The DEA Houston Division investigated the case, with assistance from the Conroe Police Department, Houston Police Department, and Harris County Constable’s Office. Trial Attorneys Devon Helfmeyer, Monica Cooper, and Andrew Tamayo of the Criminal Division’s Fraud Section are prosecuting 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 5,000 defendants who collectively have billed federal health care programs and private insurers more than $24.7 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Department of Health and Human Services Office of the Inspector General, 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: Bluefield Woman Sentenced to Prison for Federal Drug Crime

component: USAO - West Virginia, Southern

body_text: BLUEFIELD, W.Va. – Denise R. Allen, 29, of Bluefield, was sentenced today to five years in prison, to be followed by five years of supervised release, for possession with intent to distribute fentanyl and methamphetamine. According to court documents and statements made in court, on August 16, 2023, Allen and another individual were apprehended at a gun store in Princeton, West Virginia. Following their arrest, Allen and the other individual consented to a search by law enforcement officers of a truck they had rented using a stolen identity. Officers found 431 grams of methamphetamine, 21 grams of fentanyl and two Glock 9mm semiautomatic handguns during the search of the rental truck. Allen admitted that she and the other individual possessed the methamphetamine and fentanyl and intended to distribute it. United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Southern Regional Drug and Violent Crime Task Force. The task force consists of members of the West Virginia State Police, the Bluefield Police Department, the Princeton Police Department, the Mercer County Sheriff’s Department, the McDowell County Sheriff’s Department, and the Wyoming County Sheriff’s Department. Senior United States District Judge David A. Faber imposed the sentence. Assistant United States Attorney Andrew D. Isabell is prosecuting the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case Nos. 1:23-cr-196. ###


title: Two Ohio Men Sentenced for Operating Illegal Gambling Businesses and Tax Fraud Conspiracy

component: Tax Division

body_text: Two Ohio men were sentenced to prison today for tax, gambling, money laundering, conspiracy and obstruction crimes arising out of their ownership and operation of illegal gambling businesses. Christos Karasarides Jr. was sentenced to serve 262 months in prison and three years of supervised release, to pay $5,541,520 in restitution to the United States and to forfeit his residence and $419,768 in cash. Ronald DiPietro was sentenced to 112 months in prison and three years of supervised release and ordered to pay $4,763,520 in restitution to the United States. A jury previously convicted Karasarides and DiPietro. According to evidence presented at trial, court documents and statements made in court, from 2009 through July 2018, Karasarides and DiPietro, who was then a Certified Public Accountant, operated multiple illegal gambling businesses together and with others including Skilled Shamrock and Redemption. At Skilled Shamrock, which operated slot machines, patrons gambled more than $34 million between 2012 and 2017 from which the business made more than $7 million in profits. Karasarides and DiPietro sought to conceal their ownership of the gambling businesses by using nominee owners and sham contracts. Karasarides did not report or pay taxes on much of the income he received from Redemption and Skilled Shamrock. From 2012 through 2018, Karasarides did not report $2.3 million in such income or pay over $800,000 in tax. Separately from Skilled Shamrock and Redemption, Karasarides owed the IRS millions of dollars in taxes from income he earned from another gambling business. DiPietro assisted Karasarides in thwarting the IRS’ efforts to collect the taxes owed by making false representations to the IRS – including by preparing tax returns for Karasarides – showing that Karasarides did not have the assets or income to pay his taxes. Evidence at trial also showed that Karasarides sought to make it more difficult for the IRS to seize his home by using a straw purchaser to disguise his ownership of it. In total, Karasarides caused a tax loss to the IRS of $5.4 million and DiPietro caused a tax loss to the IRS of $4.7 million. Karasarides and DiPietro used the criminal proceeds of their schemes to purchase luxury vehicles, maintain country club memberships and buy and sell property. Karasarides also took several extravagant gambling trips during which he made millions of dollars of bets at legal casinos throughout the country. Karasarides and DiPietro also kept large amounts of cash or silver at their homes and other properties they controlled. For instance, law enforcement seized more than $150,000 in cash from Karasarides’ house and $239,000 in cash from a safe deposit box in the name of Karasarides’ son. Karasarides attempted to obstruct the investigation into his conduct. After a witness received a grand jury subpoena, Karasarides directed that witness to lie to authorities. Karasarides also caused false documents to be created to obstruct the investigation. And in 2022, after some of Karasarides’ co-defendants had been indicted, Karasarides caused another individual to file tax returns that falsely claimed that the individual was a partner in a business when, in fact, Karasarides was the partner in the business. Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement. IRS Criminal Investigation, the Department of Homeland Security’s Homeland Security Investigations, the Department of Treasury’s Office of Inspector General, the Stark County Prosecutor’s Office, the Ohio Casino Control Commission and Ohio Organized Crime Investigations Commission-Major Crimes Task Force are investigating the case. Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.


title: North Carolina Man Pleads Guilty to Federal Drug Crime

body_text: BLUEFIELD, W.Va. – Keith Deshon Adams, 39, of Statesville, North Carolina, pleaded guilty today to possession with intent to distribute 5 grams or more of methamphetamine and a quantity of fentanyl. According to court documents and statements made in court, on September 7, 2022, law enforcement officers conducted a traffic stop of a vehicle in which Adams was a passenger in Oak Hill. Adams admitted that he tried to flee on foot after he was asked to exit the vehicle and stand at the front of an officer’s cruiser. An officer deployed a taser to stop Adams. While struggling with the officer, Adams opened a cross-body bag he was wearing and retrieved a plastic baggy containing fentanyl powder from it. Adams tore open the bag, causing the fentanyl to spill out of the bag and onto the officer’s clothing, face and mouth. The officer ingested some of the fentanyl and began suffering an apparent overdose. Other officers secured Adams. A second officer suffered an apparent overdose after ingesting some of the spilled fentanyl. Both officers were taken to the hospital and treated with naloxone. Adams admitted that the cross-body bag contained controlled substances including methamphetamine, fentanyl and tablets containing methamphetamine and ecstasy. Adams is scheduled to be sentenced on September 17, 2024, and faces a mandatory minimum of five years and up to 40 years in prison, at least four years of supervised release, and a $5 million fine. United States Attorney Will Thompson made the announcement and commended the investigative work of the Oak Hill Police Department, the Fayette County Sheriff’s Department, the Drug Enforcement Administration (DEA), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Senior United States District Judge David A. Faber presided over the hearing. Assistant United States Attorney JC MacCallum is prosecuting the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 1:23-cr-152. ###


body_text: BLUEFIELD, W.Va. – Keith Deshon Adams, 39, of Statesville, North Carolina, pleaded guilty today to possession with intent to distribute 5 grams or more of methamphetamine and a quantity of fentanyl. According to court documents and statements made in court, on September 7, 2022, law enforcement officers conducted a traffic stop of a vehicle in which Adams was a passenger in Oak Hill. Adams admitted that he tried to flee on foot after he was asked to exit the vehicle and stand at the front of an officer’s cruiser. An officer deployed a taser to stop Adams. While struggling with the officer, Adams opened a cross-body bag he was wearing and retrieved a plastic baggy containing fentanyl powder from it. Adams tore open the bag, causing the fentanyl to spill out of the bag and onto the officer’s clothing, face and mouth. The officer ingested some of the fentanyl and began suffering an apparent overdose. Other officers secured Adams. A second officer suffered an apparent overdose after ingesting some of the spilled fentanyl. Both officers were taken to the hospital and treated with naloxone. Adams admitted that the cross-body bag contained controlled substances including methamphetamine, fentanyl and tablets containing methamphetamine and ecstasy. Adams is scheduled to be sentenced on September 17, 2024, and faces a mandatory minimum of five years and up to 40 years in prison, at least four years of supervised release, and a $5 million fine. United States Attorney Will Thompson made the announcement and commended the investigative work of the Oak Hill Police Department, the Fayette County Sheriff’s Department, the Drug Enforcement Administration (DEA), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Senior United States District Judge David A. Faber presided over the hearing. Assistant United States Attorney JC MacCallum is prosecuting the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia . Related court documents and information can be found on PACER by searching for Case No. 1:23-cr-152. ###


title: Correctional Officer Admits Role in Scheme to Smuggle Contraband into Wyatt Detention Center

component: USAO - Rhode Island

body_text: PROVIDENCE, RI – A now former Donald W. Wyatt Detention Facility correctional officer admitted to a federal judge today that he smuggled approximately 200 Suboxone strips into the detention center that were seized from a detainee’s cell, announced United States Attorney Zachary A. Cunha. Appearing in U.S. District Court, Kaii Almeida-Falcones, 30, of Smithfield, pleaded guilty to a charge of providing contraband to an inmate. He is scheduled to be sentenced on September 12, 2024. The defendant’s sentence will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors. According to charging documents and information presented to the court, in mid-February 2021, two inmates housed at the Wyatt Detention Center communicated with a former detainee and another person outside of the facility to arrange to provide Suboxone strips to Almeida-Falcones, who then smuggled the Suboxone inside the facility. On February 15, 2021, a strip search of detainee Emmanuel Nolasco, 37, of Providence, and his cell, revealed a package containing Suboxone strips. The strips were sent to a lab that determined the presence of 201 strips, 5 of which were partial strips, all containing Buprenorphine, which is an ingredient in Suboxone. The case is being prosecuted by Assistant U.S. Attorney Ly T. Chin. The matter was investigated by the FBI, the United States Marshals Service, the U.S. Department of Justice, Office of Inspector General, and the Professional Standards Unit at the Wyatt Detention Center. ###


title: Gloucester County Man Admits Stealing over $200,000 in Social Security and Medicaid Benefits

component: USAO - New Jersey

body_text: CAMDEN, N.J. – A Gloucester County, New Jersey, man admitted today that he defrauded the government of more than $200,000 in Social Security and Medicaid benefits, U.S. Attorney Philip R. Sellinger announced. Dennis Gaudette, 72, of Franklinville, New Jersey, pleaded guilty before U.S. District Judge Christine P. O’Hearn in Camden federal court to an information charging him with Social Security fraud. According to documents filed in this case and statements made in court: Beginning in March 2009, Gaudette used the identity of a deceased individual to apply for and receive Social Security and Medicaid benefits. Between 2009 and 2023, Gaudette collected $43,464 in Social Security Retirement Income Benefits and $85,332.50 in Supplemental Security Income benefits that he was not entitled to receive. During the same time period, the state of New Jersey paid $88,993 in Medicaid benefits for medical care, testing, and medications that Gaudette received using the name of the deceased individual. Over the course of the scheme, Gaudette concealed and failed to disclose that he was ineligible for these government benefits because he was not in fact the deceased individual and his actual age, income, and resources did not qualify him for these programs. The Social Security fraud charge carries a maximum penalty of five years in prison and a fine of $250,000 or twice the gross profits or gross loss, whichever is greatest. Sentencing is scheduled for Oct. 15, 2024. U.S. Attorney Sellinger credited special agents of the Social Security Administration, Office of the Inspector General, New York Field Division, under the direction of Acting Special Agent in Charge Bradley Parker, and special agents of the U.S. Department of State, Diplomatic Security Service, Philadelphia Resident Office, under the direction of Resident Agent-in-Charge Robert Picco, with the investigation leading to today’s guilty plea. The government is represented by Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden. gaudette.information.pdf


title: Georgia siblings sentenced to federal prison for defrauding unemployment, COVID-19 relief programs

body_text: AUGUSTA, GA: Two Georgia siblings have been sentenced to federal prison and ordered to repay stolen funds after pleading guilty in a fraud conspiracy. La’Kyera Me’Lika Thurmond , 35, of Snellville, Ga., and Brandon Jamal Thurmond , 34, of Lilburn, Ga., were sentenced in U.S. District Court after pleading guilty to Conspiracy to Commit Wire Fraud, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. Each was sentenced to 21 months in prison followed by three years of supervised release. U.S. District Court Judge J. Randal Hall also ordered the siblings to pay $140,228 in restitution. “Programs that provided unemployment benefits and disaster relief served as a lifeline to small businesses during the pandemic,” said U.S. Attorney Steinberg. “The Thurmonds’ greed-fueled scheme targeted both programs, and they’re now being held accountable for their crimes.” As described in court documents and testimony, the Thurmonds used fraudulent documents to file for unemployment benefits in multiple states for Brandon Thurmond – who was serving a prison sentence on state charges in Georgia at the time and therefore ineligible to receive unemployment benefits – and for other individuals through the Pandemic Unemployment Assistance Program and other relief initiatives. The Thurmond siblings also filed multiple fraudulent applications in Brandon Thurmond’s name and others seeking Paycheck Protection Program funding through the Coronavirus Aid, Relief, and Economic Security (CARES) Act administered by the Small Business Administration. The restitution in the case represents payments the Thurmonds and others fraudulently received for unemployment benefits from Georgia and Arizona, and for COVID-19 relief payments from the SBA and a financial services company. “It is disheartening to see the willingness of some individuals to take advantage of programs intended to help people in need during a national and world crisis,” said Matthew Ploskunak, Senior Supervisory Special Agent of FBI Atlanta’s Augusta office. “The Thurmond’s personal greed affects every tax paying citizen, in particular those who needed help most. The FBI will make every effort to make sure federal funds are used as intended.” “Abusing SBA’s pandemic relief programs intended to provide critical relief to small businesses is unconscionable,” said SBA OIG’s Eastern Region Special Agent in Charge Amaleka McCall-Braithwaite. “This sentencing further showcases that OIG will relentlessly pursue fraudsters and bring them to justice. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and commitment to seeing justice served.” “These current sentencings of those who committed fraud on COVID-19 relief programs is sending the message that accountability is coming for those who did the same,” said Demetrius Hardeman, Acting Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “IRS Criminal Investigation special agents and our law enforcement partners will continue finding and investigating individuals who chose greed over the well-being of their fellow Americans during the COVID-19 pandemic.” “The Thurmonds engaged in an unemployment insurance (UI) fraud scheme targeted at multiple state workforce agencies. They used the identities of others to submit fraudulent UI applications. As a result, they stole UI benefits intended for individuals who experienced financial hardships due to the COVID-19 pandemic,” said Mathew Broadhurst, Special Agent-in-Charge, Southeast Region, U.S. Department of Labor Office of Inspector General. “We will continue to work with our law enforcement partners to protect the integrity of these critical benefit programs.” The case was investigated by the FBI, the Small Business Administration Office of Inspector General, IRS Criminal Investigation, and the U.S. Department of Labor, and prosecuted for the United States by Assistant U.S. Attorney Jennifer A. Stanley. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form .


title: Miami Man Sentenced to 41 Months in Federal Prison for Operating an Illegal Money Transmitting Business

component: USAO - Louisiana, Middle

body_text: United States Attorney Ronald C. Gathe, Jr. announced that Chief Judge Shelly D. Dick sentenced Oluwafemi Osinowo, age 35, of Miami, Florida, to 41 months in federal prison following his conviction for operating an illegal money transmitting business. The Court further sentenced Osinowo to three years of supervised release following his term of imprisonment. According to admissions made as part of his guilty plea, from December 2016 to January 2019, Osinowo operated an unlicensed money transmitting business. He confessed that the business conducted foreign currency exchange business without complying with required federal registration requirements. During the course of operating the business, money was transmitted from third parties from the Middle District of Louisiana and elsewhere to bank accounts located in Miami, Florida. Once the money was in the bank accounts in Miami, Florida, an individual acting as an agent of Osinowo’s business wired the money to a bank in Lagos, Nigeria. Those wire transfers included approximately 51 separate transmissions in the aggregate total of approximately $722,177 dollars. This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Jeremy S. Johnson.


title: Huntington Man Sentenced to Prison for Federal Drug Crime

body_text: HUNTINGTON, W.Va. – Kenard Jerlonnie Moore, also known as “Lonnie,” 41, of Huntington, was sentenced today to four years and nine months in prison, to be followed by three years of supervised release, for distribution of a quantity of a mixture and substance containing methamphetamine. According to court documents and statements made in court, on September 28, 2023, Moore sold approximately 16 grams of methamphetamine to a confidential informant in Huntington. Moore admitted to the transaction, and further admitted that he arranged the transaction when the confidential informant contacted him earlier that day. United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Stephanie Taylor prosecuted the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:24-cr-3. ###


title: Essex County Man Convicted of Unlawful Possession of Ammunition by a Convicted Felon

body_text: NEWARK, N.J. – An Essex County man was convicted of being a felon in possession of ammunition, Attorney Philip R. Sellinger announced today. Lamar McCullough, 30, of Essex County, was convicted by a federal jury on June 7, 2024, of unlawful possession of ammunition by a convicted felon following a trial before U.S. District Judge Katherine Hayden in Newark federal court. According to documents filed in this case and statements made in court: On March 5, 2021, members of the Newark Police Department responded to a report of a shooting victim at University Hospital. Surveillance video recorded at 7:22 p.m. showed McCullough shoot a victim four times at close range in the middle of Isabella Avenue in Newark. Four 9-millimeter shell casings were recovered from the area where McCullough discharged the firearm. The felon in possession of ammunition charge carries a maximum sentence of 10 years in prison and a maximum fine of $250,000. Sentencing has been scheduled for October 8, 2024. U.S. Attorney Philip R. Sellinger credited Newark Police Department, under the direction of Public Safety Director Fritz Fragé, the Essex County Prosecutor’s Office, under the direction of Prosecutor Theodore N. Stephens II, and special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation. The investigation was conducted as part of the Newark Violent Crime Initiative (VCI). The Newark VCI was formed in August 2017 by the U.S. Attorney’s Office for the District of New Jersey, the Essex County Prosecutor’s Office, and the City of Newark’s Department of Public Safety for the purpose of combatting violent crime in and around Newark. As part of this partnership, federal, state, county, and city agencies collaborate and pool resources to prosecute violent offenders who endanger the safety of the community. The VCI is composed of the U.S. Attorney’s Office, the FBI, the ATF, the DEA New Jersey Division, the U.S. Marshals, the Department of Homeland Security – Homeland Security Investigations, the Newark Department of Public Safety, the Essex County Prosecutor’s Office, the Essex County Sheriff’s Office, New Jersey State Parole, Union County Jail, New Jersey State Police Regional Operations and Intelligence Center/Real Time Crime Center, New Jersey Department of Corrections, the East Orange Police Department, and the Irvington Police Department. The government is represented by Assistant U.S. Attorneys Jessica Ecker of the Healthcare Fraud Unit and Katherine Calle of the Special Prosecutions Division.


title: East Greenbush Man Arrested for Distribution of Child Pornography

component: USAO - New York, Northern

body_text: ALBANY, NEW YORK – Michael Klugo, age 44, of East Greenbush, New York, was arrested on Friday, June 7 on a criminal complaint charging him with distribution of child pornography. United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement. The criminal complaint alleges that on or about June 6, 2024, Klugo distributed an image of child pornography over the internet. The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty. Kluger was arraigned today in Albany before United States Magistrate Judge Christian F. Hummel, and ordered detained pending a detention hearing scheduled for Thursday, June 13. FBI is investigating the case. Assistant U.S. Attorney Allen J. Vickey is prosecuting the case. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc .


title: Guilty Plea Entered in February 2024 Shooting in Which the Victim Was Shot Seven Times

component: USAO - District of Columbia

body_text: WASHINGTON –Scotland Alston, 33, of Washington, D.C., pleaded guilty today, before Superior Court Judge Michael O’Keefe, to aggravated assault while armed for a February 2024 shooting, announced U.S. Attorney Matthew M. Graves and Chief Pamela A. Smith, of the Metropolitan Police Department (MPD). Judge O’Keefe scheduled sentencing for August 9, 2024. Alston faces a minimum term of 10 years in prison at sentencing. According to the government’s evidence, with which Alston agreed, on February 28, 2024, Alston and the female victim got into a heated argument, during which Alston shoved the victim and she shoved him back. During the argument, Alston took a gun from his waistband and held it at his side. A bystander tried to separate Alston and the victim, but the two continued to argue. Alston then got onto a bicycle to leave the area but then returned to where the victim sat. Alston then fired numerous times at the victim. The victim tried to flee but she collapsed after being hit by approximately seven bullets. This case was investigated by the Metropolitan Police Department. It is being prosecuted by Assistant U.S. Attorney Jacqueline Yarbro.


title: U.S. Attorney Recognizes World Elder Abuse Awareness Day

component: USAO - North Carolina, Eastern

body_text: RALEIGH, N.C. – U.S. Attorney Michael Easley joined national, state, and local leaders in recognizing World Elder Abuse Awareness Day (WEAAD), which is on June 15. Since 2006, WEAAD has been commemorated to promote awareness and increase understanding of the many forms of elder abuse and the resources available to those at risk. Highlighting the partnership between law enforcement and the public, U.S. Attorney Easley emphasized the importance of awareness and education. To help build awareness, the office is hosting three community events with Meals on Wheels, AARP, the Federal Bureau of Investigation (FBI), and the U.S. Postal Inspection Service, where elder abuse will be discussed with the public. “Respecting our elders is a core American value,” said U.S. Attorney Easley. “But too many crooks see our seniors as targets for financial scams. We are prioritizing cases with elderly victims to help stop the frauds and cheats trying to rob our seniors. Learn the signs of elder fraud and abuse. Together, we can give our older generation the respect they deserve.” “The U.S. Postal Inspection Service is dedicated to investigating individuals who abuse consumer trust and target the elderly and vulnerable individuals because of greed,” said U.S. Postal Inspector in Charge Tommy D. Coke of the Atlanta Division. “Postal Inspectors, along with our federal partners, are committed to preventing these bad actors from taking advantage of our elderly population by educating the community with common signs that are indicative of fraud.” Starting this week, the office is hosting three community outreach events, all open to the public. Media interested in attending should RSVP to the email above and plan to arrive at least 15 minutes early for set up. Raleigh on Tuesday, June 11 at noon , at the Friendship Café [Capital Towers, 4808 Six Forks Road, Bldg. 2]. Wake Forest on Wednesday, June 12 at 11:30 a.m. , at the Friendship Café - Northern Wake Senior Center [234 E. Holding Ave.]. Supply on Monday, June 15 at 1 p.m. at The Brunswick Center at Supply, [101 Stone Chimney Road] This event is co-hosted by Brunswick Senior Resources, Inc. “Scams and fraud that target older adults remain one of the worst forms of elder abuse. When it comes to fighting back, knowledge is power. We are working together so more people know how to prevent, spot, and report scams. We also want victims to know that they are not alone and free help and support from trained volunteers is available,” said AARP North Carolina Director Mike Olender. “Attempts at the financial exploitation of our elderly population are rampant. The resources and information provided by the U.S. Attorney’s Office for our seniors will help them discern fraudulent and predatory practices and provides them with the resources to hold any bad actors accountable. This information ensures safer and more empowered financial futures for seniors and destigmatizes seeking help in the event that a senior does fall victim to a financial scam. We want to thank the U.S. Attorney's office for taking the time to present this information to our senior clients.” Elder abuse is an act that knowingly, intentionally, or negligently causes or creates a serious risk of harm to an older person by a family member, caregiver, or other person in a trust relationship. Such harm may be financial, physical, sexual, or psychological. In addition to these prosecutions, the Justice Department maintains various programs and initiatives to combat elder abuse. The Transnational Elder Fraud Task Force marshals federal and state agencies working collaboratively to investigate and prosecute foreign-based schemes that target older Americans. In addition to aggressively investigating the individuals, organizations, and networks responsible for these crimes, this initiative provides the public with information to guard against both traditional scams, like tech support fraud, and trending schemes, such as romance scams. Using one scam to perpetrate or conceal another, some fraudsters rely on money mules to move the proceeds of their illegal activity. Preying on their targets’ goodwill or financial vulnerability, scammers recruit people, many times older victims, to participate in schemes to move money in ways that avoid notice. The Money Mule Initiative identifies and addresses money mule activity to disrupt these fraud schemes and helps people to recognize and avoid participation in perpetuating fraud. To help older individuals and their families identify and avoid fraudulent activity, the Justice Department provides Senior Scam Alerts with information about the tactics used in specific schemes. For example, in Social Security Administration Impostor schemes, scammers impersonate government administrators and falsely report suspicious activity to request that the victims provide their Social Security numbers for confirmation. In Tech Support scams, fraudsters contact victims, sometimes through internet pop-up messages, to warn about non-existent computer problems, ask that the victim give them remote access to their computer, and identify a non-existent problem, then demand large sums of money for unnecessary services. In Lottery scams, telemarketers falsely notify victims that they have won a sweepstakes and tell them they must first pay fees for shipping, insurance, customs duties, or taxes before they can claim their prizes. Please visit the Elder Justice Initiative page to learn more about the department’s elder justice efforts. To report elder fraud, contact the dedicated National Elder Fraud Hotline at 1-833-FRAUD-11 or 1-833-372-8311 and visit the FBI’s IC3 Elder Fraud Complaint Center at IC3.gov.


title: Former Kentucky State Prison Sergeant Sentenced for Violating Civil Rights of an Inmate and Obstruction of Justice

component: Civil Rights Division

body_text: A former Kentucky corrections sergeant, Eric L. Nantell, 48, was sentenced today to 84 months in prison followed by two years of supervised release for one count of deprivation of civil rights for his failure to intervene to stop the assault of an inmate, two counts of obstruction of justice for misleading state investigators and one count of making false statements to a special agent of the FBI. Nantell was convicted after a four-day trial. Six other officers previously pleaded guilty and were sentenced for their roles in the assault and cover-up, and three of those officers testified for the government at trial. “As the vicious beating of a handcuffed, leg-shackled inmate unfolded, this defendant failed to intervene to stop the assault and then abused his power by obstructing the investigation into the crime,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This cover-up scheme failed. All seven officers who participated in the brutal assault of the inmate or the coordinated cover-up that followed have been brought to justice. The Justice Department will continue to hold accountable law enforcement officials who engage in misconduct at every level, including those who carry out unlawful assaults, those who fail to intervene to stop them and those who try to cover up the violations.” “Instead of protecting someone in his custody and care or supervising others under his command, he turned a blind eye to a brutal beating and then tried to cover it up,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “That’s not law enforcement; that’s disgraceful criminal conduct. Fortunately, he now faces the consequences of his utter betrayal of responsibility and callous attempts to undermine genuine law enforcement.” “In this case, one inmate was betrayed by no less than seven corrections officers whose basic duty was to protect the civil rights of all the inmates under their supervision,” said Special Agent in Charge Michael E. Stansbury of the FBI Louisville Field Office. “With today’s sentencing, all of the officers who took part in the assault, and those who attempted to cover-up the truth, have now been held accountable. Everyone deserves protection under the law, and the FBI is proud to work with the Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the Eastern District of Kentucky to hold any officer criminally responsible for violating the civil rights of a person in his or her custody.” According to court documents and evidence introduced at trial, Nantell, who at that time was a sergeant at the Eastern Kentucky Correctional Complex (EKCC), was supervising a routine prisoner escort procedure when three officers, two of whom were members of the prison’s internal affairs department, assaulted a non-violent inmate who was lying face-down, wearing handcuffs and leg shackles and isolated in a prison shower cell. Nantell was standing at the door of the shower when the assault began, and he watched the officers repeatedly punch and kick the inmate in the head and back. After silently observing the beating for more than 20 seconds, Nantell walked away while the officers continued to beat the inmate. Within hours of the inmate reporting the abuse, supervisors of EKCC and state detectives of the Kentucky State Police had opened an investigation. Nantell joined with other officers in a cover-up scheme to hide the truth. As part of that cover-up, he lied to officers of both agencies as well as a special agent of the FBI. The FBI Louisville Field Office investigated the case. Assistant U.S. Attorneys Zachary Dembo for the Eastern District of Kentucky and Trial Attorney Thomas Johnson of the Justice Department’s Civil Rights Division prosecuted the case, with assistance from Assistant U.S. Attorney Mary Melton for the Eastern District of Kentucky.


title: Individual Sentenced to Over Ten Years for Elder Financial Fraud

component: USAO - West Virginia, Northern

body_text: MARTINSBURG, WEST VIRGINIA – Samuel Kristofer Bunner, 51, formerly of Ranson, West Virginia, was sentenced today to a total of 121 months in federal prison for defrauding a Jefferson County man who suffered from dementia. Bunner pled guilty to bank fraud and aggravated identity theft in February 2024. According to court documents, Bunner defrauded the victim of $1,906,229 by selling his real estate, emptying his investment and bank accounts, and opening a credit card in his name. Bunner used the money taken from the victim for his benefit, purchasing homes, campers, cars, and hundreds of thousands of dollars’ worth of consumer goods. Bunner was ordered to pay $1,906,229 in restitution to the victim. He will serve 5 years of supervised release following his prison sentence. Assistant U.S. Attorney Eleanor Hurney prosecuted the case on behalf of the government. The investigation was conducted by the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation. The Jefferson County, WV Prosecutor’s Office, the U.S. Attorney’s Office in the Middle District of Florida, and FBI-Tampa assisted with the matter. U.S. District Judge Gina M. Groh presided.


title: Huntington Man Sentenced to Prison for Federal Gun Crime

body_text: HUNTINGTON, W.Va. – Stephen Michael Wolford, 32, of Huntington, was sentenced today to one year and six months in prison, to be followed by three years of supervised release, for being a felon in possession of a firearm. According to court documents and statements made in court, on March 29, 2023, a law enforcement attempted to initiate a traffic stop of a vehicle driven by Wolford near the intersection of 27th Street and Ninth Avenue in Huntington. Wolford admitted that he fled in the vehicle, speeding in excess of 90 miles per hour before wrecking the vehicle and flipping it on its roof on the 1400 block of 28th Street. Wolford further admitted that he attempted to flee on foot before he was caught and arrested. Officers found a Smith & Wesson Model M&P .40-caliber pistol at the location of the vehicle crash. Wolford admitted to possessing the firearm and further admitted to bringing the firearm into a Huntington business on March 28, 2023, and showing it to a store employee while shopping for accessories for the firearm. Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Wolford knew he was prohibited from possessing a firearm because of his prior felony conviction for grand larceny in Cabell County Circuit Court on August 15, 2017. United States Attorney Will Thompson made the announcement and commended the investigative work of the Huntington Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Joseph F. Adams prosecuted the case. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-84. ###


title: U.S. Attorney’s Office for the Eastern District of Washington  Commemorates LGBTQ+ Pride Month

component: USAO - Washington, Eastern

body_text: Spokane, Washington - For the month of June, the U.S. Attorney’s Office for the Eastern District of Washington (EDWA) will honor the vast contributions and important history of the Lesbian, Gay, Bisexual, Transgender, and Queer community during LGBTQ+ Pride Month. The first presidential proclamation recognizing Pride Month occurred in 1999. On January 20, 2021, President Biden issued Executive Order 13988, directing the heads of every federal agency to take steps to prevent and combat discrimination on the basis of sexual orientation and gender identity, both in the federal government itself and in its enforcement of anti-discrimination laws such as Title VII. “The enforcement and defense of civil rights for everyone is at the core of the Justice Department’s mission. My office is committed to protecting the rights of all individuals to live free from discrimination and persecution based on who they are or whom they love,” stated U.S. Attorney Waldref. “The members of the LGBTQ+ community are our families, friends, neighbors, and co-workers. We recognize their past struggles to receive equal treatment under the law and will support and defend their efforts to secure justice now and in the future. In 1969, after a police raid on the Stonewall Inn in New York City, members of the LGBTQ+ community engaged in several days of protest of discrimination against LGBTQ+ people. The following year, activists organized the first annual Pride March on June 28, 1970, a several-thousand-person march from the Stonewall Inn to Central Park commemorating the riots and protesting discrimination against LGBTQ+ people. Although not the first demonstration against LGBTQ+ discrimination, that Pride March marked the beginning of the galvanizing force that became a national civil rights movement to demand equal rights and protections for LGBTQ+ citizens under the law, ultimately culminating in the creation of the first gay pride parades in Chicago, Los Angeles, New York City, and San Francisco. Since 1970, the LGBTQ+ community has celebrated every June as Pride Month and held annual Pride Marches in a growing number of cities, including internationally. On June 8, 2024, Members of the U.S. Attorney’s Office for the Eastern District of Washington joined with hundreds of others by marching in the Spokane Pride Parade. U.S. Attorney Waldref added, “This was the first time my office joined to march in the Spokane Pride Parade. It is an honor to lead an office committed to enforcing civil rights and ensuring liberty and justice for all.” More information about the U.S. Attorney’s Office’s Civil Rights and United Against Hate programs are available on our website: https://www.justice.gov/usao-edwa/pr/us-attorney-announces-anti-hate-crime-initiatives . If you have witnessed or been a victim of a hate crime, you can report it to the FBI by submitting an online tip at fbi.gov/tips, by calling 1-800-CALL-FBI, or by calling 911 in an emergency. Federal law protects against discrimination based on race, gender, religion, national origin, sexual orientation, gender identity, disability, age, and citizenship in several important aspects of daily life, such as housing, employment, places of public accommodation, educational opportunities, and other areas. More information about these and other federal civil rights protections is available at https://civilrights.justice.gov/#your-rights . Additional resources regarding hate crimes and bias incidents are available at https://www.fbi.gov/investigate/civil-rights/hate-crimes .


title: Tucumcari Man Sentenced for Federal Child Exploitation Offense

body_text: ALBUQUERQUE – A Tucumcari man was sentenced to 10 years in prison for attempting to engage in sexual conduct with two fictitious minor children after an undercover FBI operation. There is no parole in the federal system. According to court documents, the investigation into Joseph Gadman , 42, began in mid-December 2022, when an undercover agent from the FBI engaged him on a social networking website known to be a hub for child sexual abuse material. Using the screen name "Gadmanj40," Gadman contacted the undercover agent and expressed interest in engaging in sexual acts with the undercover agent's fictitious children. The conversation transitioned from the website to text messages, with Gadman providing his phone number to the undercover agent. In the text messages, Gadman detailed his desire to engage in sex acts with children ages 5 and 8 years old. On January 13, 2023, Gadman traveled from Tucumcari to a pre-arranged meeting location in Albuquerque with condoms, cash, and snacks for the fictitious children. When he arrived, FBI agents swiftly arrested him. During a subsequent interview, Gadman admitted to being "Gadmanj40" but denied having intentions to follow through on the discussed acts. After completing his term of imprisonment, Gadman will be required to serve 10 years of supervised release and must register as a sex offender. U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, made the announcement today. The FBI Albuquerque Field Office investigated this case with the assistance of the Bernalillo County Sheriff’s Office as part of the New Mexico Internet Crimes Against Children (ICAC) Task Force. The ICAC Task Force Program is a nation-wide network of task forces including over 90 federal, state, local and tribal law enforcement agencies in New Mexico dedicated to investigating, prosecuting and developing effective responses to Internet crimes against children. Assistant United States Attorney Jaymie L. Roybal is prosecuting the case as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC. # # #


title: Texas U.S. Attorney’s announce “Operation Texas Kill Switch”  aimed at machinegun conversion devices

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

body_text: BEAUMONT, Texas – Today, U.S. Attorneys for the Eastern, Northern, Southern, and Western Districts of Texas announced “Operation Texas Kill Switch,” a statewide initiative targeting illegal machinegun conversion devices, commonly known as “switches.” At simultaneous press conferences throughout the state, U.S. Attorneys Damien M. Diggs, Leigha Simonton, Alamdar Hamdani, and Jaime Esparza, joined by Alcohol, Tobacco, Firearms, and Explosives (ATF) Special Agents in Charge Jeffrey Boshek and Michael Weddel, lambasted switches , which transform commercially available firearms into fully automatic weapons capable of firing faster than military-grade M4s. “Machinegun conversion devices are incredibly dangerous and pose an unacceptable risk to the public and law enforcement,” said U.S. Attorney Damien M. Diggs. “They’re also illegal and simply possessing a machinegun conversion device—let alone firing one—comes along with a hefty prison sentence. As U.S. Attorney, I am committed to keeping them off the streets of the Eastern District of Texas.” “Today’s important initiative is aimed at raising awareness of illegal machinegun conversation devices also known as ‘switches,’ said ATF Houston SAC Michael Weddel. “Today’s threat comes from machinegun conversion devices that easily convert a firearm into a machinegun. These ‘switches’ as they are often called on the streets, not only pose a serious threat to those living in our communities but a unique and deadly threat to law enforcement. Simply possessing one of these devices is a federal crime and we will work endlessly in conjunction with our United States Attorney’s Office in addition to our local, state, and federal partners to identify and prosecute these crimes.” About an inch long, switches may be made of metal or plastic and can be printed on commercially available 3D printers. They generally slot into the butt of a gun and allow the shooter to fire “full auto,” unloading dozens of rounds with a single pull of the trigger. (In contrast, regular semi-automatic firearms require a separate trigger pull for each round fired.) To date, switches have been used in numerous fatal shootings, including at least one juvenile mass shooting and multiple police killings . Except in very limited circumstances, possession of a switch is illegal, as the National Firearms Act classifies the switch itself as a machinegun. Yet the number of switches recovered by law enforcement has risen dramatically in the past few years. Between 2017 and 2023, Texas-based ATF agents seized 991 switches; 490 of those, 50 percent, were seized just last year. They are often sold over social media, marketed to adults and juveniles alike. At Monday’s press conferences, the U.S. Attorneys announced that as part of Operation Texas Kill Switch, they are partnering with Crime Stopper programs statewide to combat the proliferation of these illegal devices. From now until Aug. 31, local Crime Stopper programs will offer cash rewards for information leading to the apprehension or prosecution of those who possess switches or 3D printers being used to manufacture them. To be eligible for cash rewards, tipsters must provide information to their local Crime Stoppers program . Tipsters may also use **TIPS to be connected to a Crime Stoppers program in their area. Tips can be submitted 24 hours a day, and anonymity is guaranteed by law. Information may also be submitted directly to ATF at www.atf.gov/contact/atf-tips . U.S. Attorneys Diggs, Simonton, Hamdani, and Esparza also urged local law enforcement to partner with federal authorities on switch cases, which carry maximum sentences of up to 10 years in the federal system. They laid out their case in a joint op-ed published Monday in the Austin American Statesman , which you can read here . ###


title: Man Sentenced to Serve Four Years in Federal Prison for Domestic Assault in Indian Country

component: USAO - Oklahoma, Western

body_text: OKLAHOMA CITY – Today, GARY MANILE HARRIS , 39, of Oklahoma City, was sentenced to serve 48 months in federal prison for domestic assault by a habitual offender in Indian country, announced U.S. Attorney Robert J. Troester. On February 8, 2024, a federal grand jury returned a two-count Indictment charging Harris with domestic assault by a habitual offender and domestic assault by strangulation. According to the Indictment, on November 10, 2023, Harris placed a woman with whom he was living in a chokehold and physically abused her, including by dragging her across the floor. This case is in federal court because Harris is a member of the Chickasaw Nation and the crime occurred within the boundaries of the Chickasaw Nation. On April 3, 2024, Harris pleaded guilty to Count 1, admitted he assaulted the victim, and acknowledged his previous domestic abuse charges. At the sentencing hearing today, U.S. District Judge David L. Russell sentenced Harris to serve 48 months in federal prison, followed by three years of supervised release. In sentencing Harris, Judge Russell considered Harris’s drug use and the need for his sentence to protect the public. Judge Russell also noted Harris’s extensive record of victim’s protective order violations and violent crime. Public record reflects that Harris holds prior felony convictions for domestic assault with a dangerous weapon and domestic abuse in Cleveland County District Court case number CF-2020-7, and domestic violence by strangulation in Oklahoma County District Court case number CF-2007-3387. This case is the result of an investigation by the Chickasaw Lighthorse Police Department. Special Assistant U.S. Attorney Kaleigh Blackwell and Assistant U.S. Attorney Brandon Hale prosecuted the case. Reference is made to public filings for additional information.


title: Texas U.S. Attorneys Announce “Operation Texas Kill Switch” Aimed At Machinegun Conversion Devices

body_text: SAN ANTONIO – Today, U.S. Attorneys for the Western, Northern, Southern, and Eastern Districts of Texas announced, “Operation Texas Kill Switch,” a statewide initiative targeting illegal machinegun conversion devices, colloquially known as “switches.” At simultaneous press conferences throughout the state, U.S. Attorneys Jaime Esparza, Leigha Simonton, Alamdar Hamdani, and Damien Diggs, joined by Bureau of Alcohol, Tobacco, Firearms, & Explosives Special Agents in Charge Jeffrey Boshek and Michael Weddel, and ATF Assistant Special Agent in Charge Robert Topper, lambasted switches , which transform commercially available firearms into fully automatic weapons capable of firing faster than military-grade M4s. “As U.S. Attorneys and federal law enforcement agents, our offices have been investigating and prosecuting switches for many years, but as the problem continues to escalate, we are determined to do more,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “Operation Kill Switch has two main goals. We encourage state and local law enforcement to be on the lookout for machinegun conversion devices, and we urge the public to report switches to law enforcement.” “Today’s important initiative is aimed at raising awareness of illegal machine gun conversation devices also known as ‘switches,’” said Special Agent in Charge Michael Weddel for ATF Houston. “Today’s threat comes from machinegun conversion devices that easily convert a firearm into a machinegun. These “Switches” as they are often called on the streets, not only pose a serious threat to those living in our communities but a unique and deadly threat to law enforcement. Simply possessing one of these devices is a federal crime and we will work endlessly in conjunction with our United States Attorney’s Office in addition to our local, state, and federal partners to identify and prosecute these crimes.” About an inch long, switches may be made of metal or plastic and can be manufactured using a 3D printer. They generally slot into the butt of a gun and allow the shooter to fire “full auto,” unloading dozens of rounds with a single pull of the trigger. (In contrast, regular semi-automatic firearms require a separate trigger pull for each round fired.) To date, switches have been used in numerous fatal shootings, including at least one juvenile mass shooting and multiple police killings . Except in very limited circumstances, possession of a switch is illegal, as the National Firearms Act classifies the switch itself as a machinegun. Yet the number of switches recovered by law enforcement has risen dramatically in the past few years. Between 2017 and 2023, Texas-based ATF agents seized 991 switches; 490 of those, 50 percent, were seized just last year. They are often sold over social media, marketed to adults and juveniles alike. At Monday’s press conference, the U.S. Attorneys announced that as part of Operation Texas Kill Switch, they are partnering with Crime Stopper programs statewide to combat the proliferation of these illegal devices. From now until Aug. 31, local Crime Stopper programs will offer cash rewards for information leading to the apprehension or prosecution of those who possess switches or 3D printers being used to manufacture them. To be eligible for cash rewards, tipsters must provide information to their local Crime Stoppers program . Tipsters may also use **TIPS to be connected to a Crime Stoppers program in their area. Tips can be submitted 24 hours a day, and anonymity is guaranteed by law. Information may also be submitted directly to ATF at www.atf.gov/contact/atf-tips . U.S. Attorneys Esparza, Simonton, Hamdani, and Diggs also urged local law enforcement to partner with the feds on switch cases, which carry maximum sentences of up to 10 years in the federal system. They laid out their case in a joint op-ed published Monday in the Austin American Statesman. ###


title: French National Sentenced to 10 Years in Prison for Multimillion-Dollar Fraud Scheme Targeting California State Controller’s Office

component: USAO - California, Eastern

body_text: SACRAMENTO, Calif. — Gabriel Adrien Lobe Diop, 35, a French national previously residing in Fremont and Agoura Hills, was sentenced today by U.S. District Judge William B. Shubb to 10 years in prison and ordered to pay $1.8 million in restitution for nine counts of mail fraud and one count of aggravated identity theft, U.S. Attorney Phillip A. Talbert announced. “It took a remarkable amount of energy for the defendant to steal nearly $2 million from the State Controller’s Office and attempt to steal millions more,” said U.S. Attorney Talbert. “Today’s sentence should make it clear to the defendant and to those who would imitate him that my office and our law enforcement partners will put a similar amount of energy into bringing those who commit serious white-collar crimes to justice.” San Francisco Division Inspector in Charge Rafael Nunez of the U.S. Postal Inspection Service stated: “Postal Inspectors work closely with the U.S. Attorney’s Office and our partners in law enforcement to arrest and prosecute those individuals responsible for fraud schemes committed against the public.” “The State Controller’s Office has a zero-tolerance policy on any criminal activities related to theft from the Unclaimed Property Division and will not tolerate theft of property we are here to protect,” said State Controller Malia Cohen. “Mr. Diop’s sophisticated fraud scheme was insufficient to bypass detection, and he was ultimately apprehended, tried, and convicted for his criminal activities. I believe Diop’s sentence was appropriate and want to thank law enforcement for working together with various agencies including my office for their good work in bringing him to justice.” According to court documents, between 2019 and 2021, Diop orchestrated a scheme to fraudulently obtain millions of dollars of Unclaimed Property Division funds from the California State Controller’s Office. Diop did so by assuming the identities of victims for whom the Controller’s Office was holding significant amounts of unclaimed property and then submitting fraudulent applications for that property. Diop concealed his involvement in the fraud using a combination of post office boxes, mail forwarding requests, counterfeit notary stamps, and falsified driver licenses issued by numerous states. Starting in January 2019, Diop attempted to steal at least $9 million from the Unclaimed Property Division, and did in fact fraudulently obtain at least $1.8 million, before law enforcement disrupted his criminal scheme. Diop primarily spent the proceeds of his fraud on luxury goods, property, and consumer electronics. Law enforcement agents executed search and arrest warrants at Diop’s residence in Agoura Hills in June 2021. Inside his residence, agents seized counterfeit stamps that Diop used to “notarize” his fraudulent applications for unclaimed property, 12 falsified driver licenses, bank cards and check books in his victims’ names. This case was the product of an investigation by the U.S. Postal Inspection Service with assistance provided by the California State Controller’s Office, the Sacramento Valley Hi-Tech Crimes Task Force, and the U.S. Postal Service Office of Inspector General. Assistant U.S. Attorney Sam Stefanki prosecuted the case.


title: Two Ohio Men Sentenced for Operating Illegal Gambling Businesses and Tax Fraud Conspiracy

component: Office of Public Affairs

body_text: Two Ohio men were sentenced to prison for tax, gambling, money laundering, conspiracy and obstruction crimes arising out of their ownership and operation of illegal gambling businesses. Christos Karasarides Jr., 59, of Canton, Ohio, was sentenced to serve 262 months (more than 21 years) in prison and three years of supervised release, to pay $5,541,520 in restitution to the United States and to forfeit his residence and $419,768 in cash. Ronald DiPietro, 65, of Clinton, Ohio, was sentenced to 112 months (more than nine years) in prison and three years of supervised release and ordered to pay $4,763,520 in restitution to the United States. A jury previously convicted Karasarides and DiPietro. According to evidence presented at trial, court documents and statements made in court, from 2009 through July 2018, Karasarides and DiPietro, who was then a Certified Public Accountant, operated multiple illegal gambling businesses together and with others including Skilled Shamrock and Redemption. At Skilled Shamrock, which operated slot machines, patrons gambled more than $34 million between 2012 and 2017 from which the business made more than $7 million in profits. Karasarides and DiPietro sought to conceal their ownership of the gambling businesses by using nominee owners and sham contracts. Karasarides did not report or pay taxes on much of the income he received from Redemption and Skilled Shamrock. From 2012 through 2018, Karasarides did not report $2.3 million in such income or pay over $800,000 in tax. Separately from Skilled Shamrock and Redemption, Karasarides owed the IRS millions of dollars in taxes from income he earned from another gambling business. DiPietro assisted Karasarides in thwarting the IRS’ efforts to collect the taxes owed by making false representations to the IRS – including by preparing tax returns for Karasarides – showing that Karasarides did not have the assets or income to pay his taxes. Evidence at trial also showed that Karasarides sought to make it more difficult for the IRS to seize his home by using a straw purchaser to disguise his ownership of it. In total, Karasarides caused a tax loss to the IRS of $5.4 million and DiPietro caused a tax loss to the IRS of $4.7 million. Karasarides and DiPietro used the criminal proceeds of their schemes to purchase luxury vehicles, maintain country club memberships and buy and sell property. Karasarides also took several extravagant gambling trips during which he made millions of dollars of bets at legal casinos throughout the country. Karasarides and DiPietro also kept large amounts of cash or silver at their homes and other properties they controlled. For instance, law enforcement seized more than $150,000 in cash from Karasarides’ house and $239,000 in cash from a safe deposit box in the name of Karasarides’ son. Karasarides attempted to obstruct the investigation into his conduct. After a witness received a grand jury subpoena, Karasarides directed that witness to lie to authorities. Karasarides also caused false documents to be created to obstruct the investigation. And in 2022, after some of Karasarides’ co-defendants had been indicted, Karasarides caused another individual to file tax returns that falsely claimed that the individual was a partner in a business when, in fact, Karasarides was the partner in the business. Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement. IRS Criminal Investigation, the Department of Homeland Security’s Homeland Security Investigations, the Department of Treasury’s Office of Inspector General, the Stark County Prosecutor’s Office, the Ohio Casino Control Commission and Ohio Organized Crime Investigations Commission-Major Crimes Task Force are investigating the case. Trial Attorneys Sam Bean and Hayter Whitman of the Justice Department’s Tax Division and Assistant U.S. Attorney David Toepfer for the Northern District of Ohio prosecuted the case.


title: Miami Tax Return Preparer Sentenced to Federal Prison for Tax Fraud

component: USAO - Florida, Southern

body_text: MIAMI – On June 7, Jean Wesner Pierre Louis, 52, of Miami, Florida was sentenced to 30 months in federal prison, followed by one year of supervised release, and ordered to pay over $4,000,000 in restitution for aiding and assisting the preparation and presentation of false tax returns. Pierre Louis was the president and chief operating officer of a tax preparation business operating in Miami-Dade County, Florida. Pierre Louis pled guilty in February 2024. For tax years 2015 through 2019, on multiple occasions Pierre Louis prepared tax returns for his clients that falsely claimed certain credits that increased the amount of refund owed or decreased the amount of taxes owed, such as: the American Opportunity Credit, a refundable credit which allowed taxpayers to claim a credit for qualified education expenses paid for an eligible student in the first four years of higher education; and the Credit for Federal Taxes Paid on Fuels (Fuel Tax Credit), which could be claimed for fuel used for certain specified purposes. For those same tax years, on multiple occasions Pierre Louis prepared tax returns for his clients that falsely claimed losses on an IRS Schedule C for businesses that did not exist, which also had the effect of increasing the amount of refund owed or decreasing the amount of taxes owed. U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Matthew D. Line of the IRS Criminal Investigation (IRS-CI), Miami Field Office, announced the sentence imposed by U.S. District Judge Paul C. Huck. IRS-CI Miami investigated the case. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-cr-20379. ###