title: U.S. Attorney's Office Conducts Law Enforcement Training On Overdose Investigations And Prosecutions

body_text: CHARLOTTE, N.C. - Today, the U.S. Attorney’s Office conducted a training in Charlotte for law enforcement agencies, on the investigation and prosecution of fatal and near-fatal overdose cases, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. The training is part of a broader effort by federal prosecutors to combat the opioid epidemic and ensure justice for victims and their families. “Tackling the opioid crisis requires a comprehensive approach,” said U.S. Attorney King. “Today’s training provides law enforcement with the tools and knowledge they need to thoroughly investigate overdose cases, so those responsible for distributing lethal substances are held accountable in a court of law. But today’s training goes beyond enforcement. It’s also about saving lives and supporting our communities.” Over the past decade, overdose deaths caused by powerful synthetic opioids like fentanyl have devastated communities nationwide, including in Western North Carolina. To build on recent courtroom successes and enhance the investigation and prosecution of fatal and near-fatal overdose cases, the U.S. Attorney’s Office developed today’s training, which is the first of its kind for the district. During the training, members of the U.S. Attorney’s Office’s Drug and Violent Crime Unit gave participants a comprehensive review of the legal tools that can be utilized to investigate and prosecute overdose cases, including applicable federal and state statutes, investigative avenues and resources, the challenges and complexities associated with the investigation of these cases, and tried-and-true methods to enhance investigative methods to ensure a successful outcome. The audience consisted of investigators representing 17 federal, state, local, and Tribal law enforcement agencies throughout the Western District. A portion of the training analyzed the successful prosecution of recent fatal and near-fatal overdose cases prosecuted by federal prosecutors in Charlotte and Asheville. For example, in January 2024, two men were sentenced to prison for distributing fentanyl that resulted in a victim’s death. In April 2024, a woman was charged with selling fentanyl that led to an overdose death. In April 2023, a woman was sentenced to prison for distributing a substance that contained fentanyl that caused two near-fatal overdoses. The training concluded with a panel of experienced investigators discussing their first-hand experiences in successfully investigating these cases. Additional trainings will be scheduled in the later part of the year. Law enforcement interested in participating in future training sessions may contact the U.S. Attorney’s Office’s Law Enforcement Coordinator at 704-344-6222.


title: Michigan Man Charged With Attempted Online Enticement Of An 11-Year Old Child

component: USAO - Florida, Middle

body_text: Jacksonville, Florida – United States Attorney Roger B. Handberg announces the filing of a criminal complaint charging William Isaak Sparks (23, Kalamazoo, Michigan) with using a cellphone to attempt to entice a child to engage in sex acts. If convicted, Sparks faces a minimum mandatory penalty of 10 years, up to life, in federal prison. According to the complaint, an FBI special agent was conducting an online undercover investigation designed to identify and target adults who were seeking sexual activity with children. The undercover agent, posing as the parent of an 11-year-old girl, made contact with Sparks in a chat group on a social media app. Sparks offered to travel from Michigan to Florida for the purpose of sexually exploiting the “child.” The undercover agent asked Sparks if he had experience with “young” to which Sparks responded “Yes . . . 12 and 13” and claimed that these sexual encounters with children had happened “a couple of months ago[.]” Sparks provided his cellphone number to the undercover agent, distributed to the undercover agent two videos of children being sexually abused, and offered to send an explicit video of himself. Via text message, Sparks continued to make arrangements to travel to Florida. The undercover agent again encountered Sparks in a chat room on May 21, 2024. In that conversation, Sparks again offered to travel to Florida to sexually abuse the 11-year old “child.” Sparks provided his true name to the undercover agent so that the agent could book a bus ticket from Michigan to Florida for Sparks. The undercover agent later learned that on May 24, 2024, Sparks had been arrested by the Michigan State Police after information was provided by a private citizen that Sparks was attempting to engage in sex acts with a purported 11-year-old child in Michigan. Sparks was arrested after he showed up a condom and $45 in cash expecting to sexually abuse the purported 11-year-old child in Michigan. A complaint is merely a charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty. This case was investigated by the Federal Bureau of Investigation, the Michigan State Police, and the Township of Kalamazoo Police Department. It will be prosecuted by Assistant United States Attorney Laura Cofer Taylor. This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.


title: Sex offender on state supervision arrested for traveling to Oregon to sexually assault teen

component: USAO - Washington, Western

body_text: Seattle – A 27-year-old registered sex offender on supervision with electronic monitoring was brought into federal custody today for allegedly traveling to Oregon to sexually assault a teen, announced U.S. Attorney Tessa Gorman. The criminal complaint charging James Harrison Newcomer alleges that between February and April 2024 Newcomer assaulted three different teens he met via Snapchat. Newcomer will appear today at 2:00 in U.S. District Court in Seattle. According to records filed in the case, Newcomer was on state supervision following his 30-month prison sentence for two counts of rape of a child. As part of the supervision, Newcomer was on electronic monitoring with an ankle bracelet. On January 19, 2024, the ankle monitor lost connection and when corrections officers went to arrest Newcomer on January 25, 2024, he had left the residence and could not be located. Over the next three months, Newcomer connected with various teen girls via social media and then arranged to meet them in person. In those meetings he allegedly gave girls drugs and alcohol and sexually assaulted them. The victims were from Snoqualmie, Auburn and most recently, Woodburn Oregon. The victims ranged in age from 14 to 16. Travel with intent to engage in sexual acts with a minor is punishable by up to 30 years in prison. The charges contained in the complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law. The case is being investigated by the FBI, the Woodburn, Oregon Police Department, the Marion County District Attorney’s Office, the Auburn Police Department, the Snoqualmie Police Department, and the Kent Police Department, with the assistance of the Department of Corrections. Anyone with information regarding other potential victims is asked to contact the Seattle FBI Field Office at 206-622-0460. The case is being prosecuted by Assistant United States Attorney Cecelia Gregson. newcomer_complaint.pdf


title: Executives for Fresno-Based Business American Labor Alliance Convicted of Multi-Million Dollar Fraud Following Five-Week Trial

component: USAO - California, Eastern

body_text: FRESNO, Calif. — Following a 19-day trial, on Tuesday, a jury convicted Fresno residents Marcus Asay, 68; Antonio Gastelum, 53; and their company, Agricultural Contracting Services Association dba American Labor Alliance (ALA), of committing a multi-year pension fraud scheme, U.S. Attorney Phillip A. Talbert announced. The jury also convicted Asay and ALA of committing separate workers’ compensation and hardship exemption fraud schemes. The hardship exemption fraud scheme involved a supposed exemption from the Affordable Care Act’s requirement that people obtain health insurance or pay a significant shared responsibility payment when they file their taxes. Finally, the jury convicted Asay of laundering money that he received from the pension fraud scheme. According to court documents and evidence presented at trial, Asay was the founder and chairman of ALA, and Gastelum was the company’s Chief Operating Officer, Chief Financial Officer, and Compliance Officer. Gastelum is also the former city manager for the City of Parlier. From 2011 through 2019, the defendants offered three sham products: retirement plan, workers’ compensation coverage, and hardship exemption. Pension Fraud Scheme For the pension fraud scheme, Asay, Gastelum, and ALA falsely represented to over 3,000 people that they would protect and invest their retirement money through a 401(k) Plan when, in fact, they used the money for improper business and personal expenses. The improper expenses included restaurants, travel, credit cards, rare coins, transfers to Asay’s personal retirement account, online companion websites, and rent for Asay’s lakefront house in Fresno. The defendants then covered up the fact that the retirement money was gone by taking money the company received from the workers’ compensation fraud scheme and holding those funds out as pension funds. The loss caused by the pension fraud scheme was over $750,000. Workers’ Compensation Fraud Scheme For the workers’ compensation fraud scheme, Asay and ALA falsely represented that national insurers backed the workers’ compensation coverage that the company offered in several states, including California. The defendants did so by listing the national insurers on the certificates of insurance and policy declarations that the company issued to customers. The accuracy of the certificates of insurance and policy declarations was important to the customers because they needed to present these items to their own customers and regulators as proof of having workers’ compensation coverage in order to continue doing business. When government authorities began investigating the workers’ compensation fraud scheme, the defendants sent letters to customers telling them not to cooperate. The loss caused by the workers’ compensation fraud scheme was over $2,250,000. Hardship Exemption Fraud Scheme For the hardship exemption fraud scheme, Asay and ALA falsely represented that for a few hundred dollars they could provide people with an exemption that would protect them from The Affordable Care Act’s shared responsibility payment for not having health insurance when, in fact, only government agencies could issue such exemptions. Moreover, the exemptions were free to those who qualified. This case is the product of an investigation by the U.S. Department of Labor’s Employee Benefits Security Administration and Office of Labor-Management Standards, the Federal Bureau of Investigation, the IRS Criminal Investigation, and the Social Security Administration Office of Inspector General. Assistant U.S. Attorneys Michael Tierney, Joseph Barton, and Stephanie Stokman are prosecuting the case. The defendants are scheduled to be sentenced on Oct. 21, 2024, by U.S. District Judge Dale A. Drozd. Asay and Gastelum face up to 20 years in prison for each count of conviction as well as maximum fines ranging from $250,000 to $500,000 per count. ALA faces up to an $8.5 million fine. The actual sentences, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.


title: Co-Worker Who Sold His Friend Fentanyl Pills Causing His Death Sentenced to 84 Months in Federal Prison

component: Drug Enforcement Administration (DEA)

body_text: BOISE – Tanner Lee Goforth, 38, of Nampa, was sentenced to seven years in federal prison for selling a co-worker fentanyl that led to his overdose death, U.S. Attorney Josh Hurwit announced today. According to court records, on May 17, 2022, Goforth met his friend and co-worker, the victim, at a local gas station where Goforth sold the victim ten fentanyl pills. The victim went home, ingested the fentanyl intravenously, and died almost immediately. Nearly a half hour later, his girlfriend found him in their bathroom, called 911, and began performing CPR. Nampa Police Department officers and Nampa Fire Protection District arrived on scene and attempted life-saving measures including the administration of Narcan. Unfortunately, the victim was unable to be resuscitated. “This case tragically illustrates the toll that fentanyl is taking in Idaho,” said U.S. Attorney Hurwit. “All of our communities need to know how deadly fentanyl is and individuals need to know that we will hold them accountable if they distribute fentanyl to others.” “This case should serve as a warning of just how lethal fentanyl can be, even if obtained from a trusted friend,” said Special Agent in Charge Shohini Sinha of the Salt Lake City FBI. “The overdose epidemic has taken too many lives. The FBI and our partners will relentlessly pursue those who profit from addictions and contribute to the harm in our communities.” “The harm being done by fentanyl in our communities is devastating,” said Nampa Chief of Police Joe Huff. “Families and friends are suffering as they lose their loved ones to this deadly drug. Those responsible must be held accountable.” U.S. District Judge Amanda K. Brailsford also ordered Goforth to pay a $1,000 fine and to serve three years of supervised release following his prison sentence. Goforth pleaded guilty to the charge on March 7, 2024. U.S. Attorney Hurwit commended the investigations by the Nampa Police Department, the Drug Enforcement Administration, the Canyon County Coroner’s Office, and the Federal Bureau of Investigation, which led to the charges. Assistant U.S. Attorney David Morse prosecuted the case. ###


title: U.S. Attorney’s Office, FBI Recover Millions for Elderly Fraud Victims

component: USAO - California, Southern

body_text: NEWS RELEASE SUMMARY – June 20, 2024 SAN DIEGO – Because of a new and aggressive effort to thwart criminals who target seniors, the U.S. Attorney’s Office and the San Diego FBI have recovered more than $3 million lost by victims of sophisticated fraud schemes that primarily targeted the elderly. The ongoing operation, launched at the beginning of the year, is a collaboration led by the U.S. Attorney’s Office and the FBI with assistance from state and local agencies. The operation uses a data-driven approach to target and seize money on behalf of victims of fraud. Since January 2024, investigators have obtained over 40 seizure warrants written for more than $5.6 million in seizures, with $3,339,273.58 recovered so far. “By getting reports of suspected fraud early, we have been able to interrupt millions of dollars in transactions and recover victims’ money before it’s too far gone,” said U.S. Attorney Tara McGrath. “We are using every tool at our disposal to support victims of these sophisticated scams, and bring those who prey on the elderly to justice. But our efforts depend on early reporting – so if you think you may have been contacted by a scammer, report it immediately.” “It is imperative that we are relentless in our fight against scammers who seek to defraud our most vulnerable citizens,” said FBI San Diego Acting Special Agent in Charge Jamie Arnold. “Our best defense is educating the public about how to avoid becoming a victim of these schemes, and encouraging those that fall victim to a scam to immediately report it to law enforcement.” June 15 was World Elder Abuse Awareness Day, meant to draw attention to the abuse and neglect affecting the older generations. Approximately one in ten people over the age of 60 have experienced some form of elder abuse, including financial exploitation. And such crimes are still widely underreported. Cyber-enabled fraud is a nationwide menace, but it uniquely impacts California, including the citizens of the Southern District of California. According to the recently published 2023 FBI IC3 report, in 2023, California led the nation in both number of victims (more than 77,000) and the amount of victim loss ($2.1 billion). But population alone is not the reason for these troubling statistics. While California has 30 percent more population than Texas, the next most populous state, California has 63 percent more victims and more than double the victim loss in comparison. Some recent prosecutions related to schemes that victimized seniors: United States v. Xilin Sun, 24CR1007-BTM - Man Charged in $1.49 Million Scam Involving Bitcoin ATM Deposits and Bulk Gold Purchases; Victim is Retiree who Lost Life Savings United States v. Jiaci Liu, 24MJ1929-DDL - Man Charged in Scams Targeting Seniors In terms of loss amounts, cryptocurrency investment scams have the highest loss amounts. These schemes involve victims being targeted through messages on mobile messaging apps or social media. It starts as a text message or a chat message from a stranger, often with an attractive profile photo, with a simple “hello” or what seems like confusion about why your phone number is in the person’s contacts. Once a victim responds to these messages, the conversation is steered over time to an online investment. After building the trust of the victim, the scammers suggest that they can show the victim how to make money by investing online in cryptocurrency, for example. In reality, the victim unknowingly transfers money to the scammers, who first pretend that the victim is making incredible gains, and then ultimately disappear with the money. In terms of number of victims, the most prevalent scams are tech support/government impersonation/bank impersonation scams. These scams specifically target victims over 60 years old. These scams, alone or layered on top of one another, involve unsolicited pop-up ads on a computer or spam emails or phone calls. The scam may involve allegations that the victim’s computer is compromised. In other instances, victims receive emails claiming the victim made a purchase or subscribed to some service the victim did not subscribe to. Victims are then directed to call a phone number to address the issue. When the victim calls, they unwittingly connect to a scam call center that often then instructs the victim to download commercially available remote desktop software, which the scammers use to perpetuate the fraud. Ultimately, victims are defrauded into sending wire transfers, bulk cash in express mail packages, or to purchase gift cards for the scammers. Once a victim is successfully scammed, they are often repeatedly targeted until they no longer have any money. For that reason, it is critical for victims to report the scams to the FBI IC3 (www.ic3.gov), as well as local law enforcement. The last major category of scams affecting Americans are business email compromise (“BEC”). These scams involve spoofing an email address of a business, such as a realtor or escrow company or some other entity owed significant amounts of money. The scammers then pretend to be that business by creating email addresses that are very similar to the legitimate business’s email address. Victims are then told that the wire instructions have been changed and are instructed to wire money to the new account. In reality, victims are defrauded out of thousands (often hundreds of thousands) of dollars when they send the wire transfer to the scammers’ bank accounts. Individuals involved in purchases of real estate are particularly vulnerable, since they are often dealing with realtors and escrow companies on a one-off basis and may not notice the person emailing the wire instructions is a fraud. If you receive wire instructions, especially involving high dollar amounts, it is best to confirm those instructions are real by contacting the other parties in the transaction by phone and using phone numbers you have already verified. The U.S. Attorney’s Office requests that the following warnings be distributed or announced to the general public in an effort to engage and educate those who may be targeted: Legitimate companies DO NOT typically seek to access to computers or phones remotely, that is, you should not be asked to share your computer screen with a legitimate company. Legitimate companies DO NOT request that customers provide User ID or Passwords for the representative to log into your account for you. Legitimate companies DO NOT ask customers to send cash through the mail, deliver gold bars or precious metals, or make deposits into cryptocurrency ATMs. Legitimate companies DO NOT ask customers to mail money or wire funds in order to refund alleged overpayments. If you are asked to do any of these things, HANG UP the phone. If you are concerned – HANG UP. It is ok to GET OFF THE PHONE AND CALL A FRIEND OR FAMILY MEMBER TO DOUBLE CHECK if a call is suspicious. A legitimate company will want you to be sure and careful. If you think you’ve been contacted by a scammer, report it quickly at IC3.gov. There is a team standing by. The faster the report comes in, the more likely we are to stop the transaction and recover your money. Ways to help prevent elder abuse and neglect: • Listen to older adults and their caregivers to understand their challenges and provide support. • Check-in on older adults who may have few friends and family members. • Look for unusual financial transactions – unexplained withdrawals, purchases of gold bars or cryptocurrency, or uncharacteristic efforts to wire large amounts of money. • And report abuse or suspected abuse to local adult protective services, long-term care ombudsman, or the police. For other non-life-threatening emergencies, call the National Elder Fraud Hotline at 1-833-FRAUD-11, or go to the Department of Justice’s Elder Justice Initiative website for more information: www.justice.gov/elderjustice.


title: Tracy Man Pleads Guilty to Bank Fraud and ID Theft in Mail Theft Conspiracy

body_text: SACRAMENTO, Calif. — Cameron Pope, 30, of Tracy, pleaded guilty today to bank fraud and aggravated identity theft, United States Attorney Phillip A. Talbert announced. According to court documents, Pope entered into a conspiracy to steal mail from the U.S. Postal Service. Pope and others stole from cluster mailboxes throughout Northern California, including throughout Placer County and Sacramento County. From the stolen mail, the conspirators obtained identifying information and financial information from California residents. Pope and the conspirators then digitally altered checks and forged account holder signatures to negotiate and deposit checks. Pope and the conspirators stole thousands of pieces of mail from California residents, including checks totaling over $200,000. This case is the product of an investigation by the U.S. Postal Inspection Service, with assistance from the police departments of Citrus Heights, Folsom, Rancho Cordova, Roseville, and Tracy. Assistant U.S. Attorney Jessica Delaney is prosecuting the case. Pope is scheduled to be sentenced by U.S. District Judge Troy L. Nunley on Sept. 19, 2024. Pope faces a maximum statutory penalty of 30 years in prison and a $1 million fine for bank fraud and a mandatory consecutive sentence of two years in prison for aggravated identity theft. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.


title: Billings man sentenced to two years in prison for bank robbery

component: USAO - Montana

body_text: BILLINGS — A Billings man convicted for his role in two bank robberies within days of each other was sentenced today to two years in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said. The defendant, Steven Whitecloud, 88, pleaded guilty in February to bank robbery. U.S. District Judge Susan P. Watters presided. The court also ordered $3,092 restitution. Whitecloud was ordered to report to the U.S. Marshals Service pending designation to a Bureau of Prisons medical facility. The government alleged in court documents that on Aug. 24, 2023, co-defendant Patrick Justice entered U.S. Bank, on Grand Avenue in Billings, presented the teller a note that demanded money, received money and fled in a Ford Taurus. Four days later, on Aug. 28, 2023, Justice entered Wells Fargo Bank, on Main Street, and again presented a demand note to the teller and told the teller he was “strapped,” which the teller interpreted as he was armed with a gun. The teller gave Justice money, and he fled. As officers responded to the scene, they spotted a green Taurus matching the description from the first bank robbery. Officers attempted to stop the vehicle, and, after a pursuit, pulled over the vehicle and detained Justice and Whitecloud. Whitecloud told officers he suggested he and Justice rob banks to make money, as he had done in the past. Whitecloud was convicted in 2008 of bank robbery. Whitecloud admitted he showed Justice what banks to rob and acted as the getaway driver. Justice was sentenced to two years in prison for his conviction in the case. The U.S. Attorney’s Office prosecuted the case. The Billings Police Department conducted the investigation. XXX


title: Illinois Bank President Admits Falsifying Records

component: Federal Bureau of Investigation (FBI)

body_text: BENTON, Ill. – The president of a bank in southern Illinois on Thursday admitted a scheme to falsify bank records to facilitate real estate loans. Steven Cook pleaded guilty in U.S. District Court in Benton to three felony counts of aiding and abetting the making of a false bank entry. Cook was the president of SouthernTrust Bank at the time, which has branches in Marion, Vienna and Goreville, Illinois. Cook was also on the bank’s board and was a member of its loan committee. Cook admitted fraudulently facilitating three different sales of real estate to Lawler and Maze Properties LLC in 2022. In one transaction, Cook approved a loan that funded the sale of seven commercial rental properties in Williamson and Franklin counties from Results Home Buyers 2 to Lawler and Maze, the plea agreement says. The transaction was a new purchase of real estate, not a refinance, and the buyers were not using any cash to fund the purchase. During an April 6, 2022, meeting with the seller and buyer, Cook and the others agreed to fraudulently make it appear as if the loan was a refinancing, however, and the bank would supply the cash to make the purchase. They agreed to backdate documents to falsely indicate the buyer purchased the properties on Feb. 1, 2022, for a falsely inflated price of $545,152. The documents also falsely indicated that the bank was refinancing 80% of that loan, with the buyers bringing 20% in cash to the sale. The real sales price for the properties was $436,122, and the buyers were not bringing any cash to the transaction. The bank’s loan to the buyers was approved by the bank’s loan committee based upon the false information. Results Home Buyers 2 is partially owned by former Williamson County State’s Attorney Brandon Zanotti, who was sentenced in May to two years of probation, a $5,000 fine and 20 hours of community service for his role in the scheme. In August of 2022, Cook facilitated a second real estate transaction with Lawler and Maze involving four properties. Cook, Lawler and Maze and the seller agreed that the real estate contract would falsely list the sales price of $413,000 instead of the actual price of $330,400, and falsely stated that the buyer would supply $82,600 in cash. Finally, during November of 2022, Cook facilitated an additional loan to Lawler and Maze for the purchase of a property in Marion. Bank documents falsely stated that the borrowers would supply $21,500 cash, and Cook was aware that the false loan details were presented to the bank board for approval. “The lack of professional responsibility demonstrated by Steven Cook diminishes the faith consumers place in the banking process,” said FBI Springfield Field Office Acting Special Agent in Charge Shannon Fontenot. “Financial fraud is a serious crime with serious consequences and the FBI will investigate anyone who takes advantage of their trusted position of employment for their own personal gain.” “The Federal Housing Finance Agency Office of Inspector General (FHFA OIG) is committed to investigating and prosecuting allegations of mortgage-related fraud, including fraud committed by officers of financial institutions who have a duty to conduct honest business,” said Korey Brinkman, Acting Special-Agent-in-Charge of FHFA OIG’s Midwest Regional Office. “We are proud to have partnered with our FBI colleagues on this case.” Cook’s sentencing hearing has been set for September 19. His ultimate sentence will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Lawler and Maze is owned by Justin Maze and David Lawler, who entered into a pretrial diversion program in which they acknowledged their involvement in the criminal conduct by aiding and abetting Zanotti and Cook. As a condition of pretrial diversion, Maze was required to resign from his position as Williamson County Circuit Clerk and agreed not to seek re-election to any public office. Lawler’s conduct was reported to the Illinois Attorney Registration and Disciplinary Commission. The FBI Springfield Office and the Federal Housing Finance Agency Office of Inspector General investigated the case. The prosecution was handled by Special Attorney Hal Goldsmith from the Eastern District of Missouri. The U.S. Attorney’s Office for the Southern District of Illinois was recused from the case.


title: Long Island Man Sentenced to 20 Years in Prison for Conspiring to Distribute Fentanyl That Contributed to Two Poisoning Deaths

component: USAO - New York, Eastern

body_text: Earlier today, in federal court in Central Islip, Charles Carter, also known as “Chase,” was sentenced by United States District Judge Gary R. Brown to 20 years in prison for conspiring to distribute fentanyl that contributed to two poisoning deaths. In November 2023, Carter pleaded guilty to conspiring to distribute more than 40 grams of fentanyl. As part of his plea, Carter admitted that fentanyl that he sold contributed to the deaths of two victims in 2020 and 2021 respectively. Carter also admitted that in 2021, he sold more than 43 grams of fentanyl to an undercover Glen Cove Police Department (GCPD) officer (UC-1). As part of the sentence, the defendant was ordered by the Court to pay restitution in the amount of $29,416.50 to cover the victims’ funeral expenses. Breon Peace, United States Attorney for the Eastern District of New York, Frank A. Tarentino, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), Patrick J. Ryder, Commissioner of the Nassau County Police Department (NCPD), and William Whitton, Chief of Police, GCPD, announced the guilty plea. “Carter, who openly acknowledged his drug dealing was all ‘about the money,’ is held responsible today for callously selling fentanyl that contributed to the deaths of two victims on Long Island. Fentanyl is a lethal drug that is killing so many people across this nation every day,” stated United States Attorney Peace. “This Office is working nonstop with our federal and local partners to address the fentanyl crisis and prosecute those who push the deadly poison for profit.” “While this guilty plea can't undo the tragic loss of life, it sends a message that we will do everything we can to make sure those responsible for drug related deaths face the consequences for their actions and the families of those lost receive justice. The men and women of DEA New York Division, along with our law enforcement partners, will continue to target those responsible for poisoning and destroying our communities” stated DEA New York Division Special Agent-in-Charge Tarentino. “The sentencing of defendant Charles Carter to 20 years in prison for conspiring to distribute fentanyl is a clear example that this behavior will never be tolerated. Two victims lost their lives and their families are suffering due to this poison being accessible. We need to set an example and continue to investigate and arrest these offenders to keep our communities and residents safe. I would like to thank all of the investigators and their agencies for a job well done,” stated NCPD Commissioner Ryder. “The Glen Cove Police Department will continue to work with federal, state and local law enforcement to prevent the distribution of illegal substances into our community. Those who decide to profit by selling their poison, will be identified, arrested and prosecuted,” stated GCPD Chief of Police Whitton. Between August 2020 and February 2021, Carter sold more than 40 grams of fentanyl to two overdose poisoning victims and an undercover GCPD detective. The investigation revealed that on August 6, 2020, a 23-year-old individual (Victim-1) died of a drug-related overdose at her residence in Glen Cove, Long Island. Cellular telephone analysis and additional investigation showed that the fentanyl that Victim-1 used was purchased from Carter about two days before Victim-1’s death. On February 5, 2021, a 40-year-old individual (Victim-2) died of a drug-related poisoning at his residence in Farmingdale, Long Island. A search of Victim-2’s phone revealed text messages between Carter and Victim-2 which related to Victim-2’s purchase of fentanyl shortly before, and in the months preceding, Victim-2’s death. For example, on January 21, 2021, Carter wrote text messages to Victim-2, stating “im.(sic) around and I got the good stuff[.] Do u (sic) need to see me..??” Additionally, Carter repeatedly sold fentanyl to the UC-1 in doses that could have been lethal if consumed, including approximately 43 grams of fentanyl in January 2021. For example, on October 23, 2020, Carter sent text messages to UC-1, stating “Next time imma (sic) give you some super fire cuz (sic) I’m getting some new sh-- in a couple days so let your people know . . . . I ain’t going to lie I’m going to have some way stronger sh-- in the next couple days then I might have to cut it might be that strong seriously.” On January 13, 2021, in response to a text message from UC-1 describing how much money UC-1 could make from reselling Carter’s drugs, Carter wrote “I’m about the money.” According to the Centers for Disease Control and Prevention (CDC) and the Department of Justice, in 2023, nearly 108,000 people died from drug overdoses, making it a leading cause of injury-related death in the United States. The increase in overdose deaths has been driven in large part by fentanyl, a drug that has been described as 50 to 100 times more potent than morphine. In 2023, over 74,000 people died from a drug overdose involving synthetic opioids such as fentanyl, a figure that was around 2,000 less than the more than 76,000 synthetic opioid overdose deaths that occurred in 2022. Between 2022 and 2023, overall drug overdose deaths decline approximately 3% from around nearly 111,000 such deaths in 2022. The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Bradley T. King and Madeline O’Connor are in charge of the prosecution, with assistance from Paralegal Specialist Samantha Schroder and Legal Assistants Janelle Robinson and Danielle Casey. The Defendant : CHARLES CARTER (also known as “Chase”) Age: 34 Amityville, New York E.D.N.Y. Docket No. 21-CR-88 (S-1) (GRB)


title: Alamogordo Man Pleads Guilty to Federal Firearms Offense

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

body_text: ALBUQUERQUE – An Alamogordo man pleaded guilty in federal court to charges related to the unregistered weapon used to shoot and kill Alamogordo Police Officer Anthony Ferguson. According to publicly available court documents, Jonah Apodaca , 31, provided a “sawed-off” shotgun to Dominic Cruz De La O which he later used to shoot and kill Alamogordo Police Officer Anthony Ferguson. Apodaca ’s DNA was located on the shotgun shell recovered from the chamber of the shotgun and ammunition from the magazine tube. The Court ordered that Apodaca remain in custody pending sentencing, which has not been scheduled. At sentencing, Apodaca faces up to 15 years in prison. Upon his release from prison, Apodaca will be subject to up to three years of supervised release. De La O was charged with possession of a firearm not registered with the National Firearm Registration and Transfer Record and possession of a firearm not identified by a serial number. De La O remains in custody pending trial. U.S. Attorney Alexander M.M. Uballez and Brendan Iber, Special Agent in Charge of the Phoenix Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, made the announcement today. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated this case with assistance from the Alamogordo Police Department, New Mexico State Police, and the Otero County Sheriff’s Office. Assistant U.S. Attorneys Maria Y. Armijo and Ry Ellison are prosecuting the case. View the Plea Agreement # # #


title: Operation Smoke and Mirrors Update: California-Based Supplier Pleads Guilty in Methamphetamine Trafficking Organization Case

component: USAO - West Virginia, Southern

body_text: CHARLESTON, W.Va. – Alejandro Gallegos, also known as “Alex,” “Rooster,” “G” and “Primo,” 41, of Hacienda Heights, California, pleaded guilty today to conspiracy to distribute 500 grams or more of methamphetamine and 500 grams or more of a mixture and substance containing a detectable amount of cocaine. Gallegos admitted to a major supplier role in a drug trafficking organization (DTO) that operated in the Charleston area. According to court documents and statements made in court, from in or about February 2021 to in or about March 2023, Gallegos conspired with others to distribute methamphetamine and cocaine within the Southern District of West Virginia. On March 18, 2023, Gallegos directed co-defendant Ildiberto Gonzalez Jr. to deliver approximately 196 pounds of methamphetamine and four kilograms of cocaine from California to Bluefield, West Virginia, in his 2009 Freightliner semi-truck with attached trailer. Gallegos arranged the shipment in exchange for approximately $400,000 with another co-conspirator in West Virginia. Gallegos arranged for Gonzalez and the West Virginia co-conspirator to meet in a particular parking lot in Bluefield on March 22, 2023. There, Gonzalez provided the controlled substances to the other individual in exchange for a box that Gonzalez believed contained the cash. Gallegos is scheduled to be sentenced on October 10, 2024, and faces a mandatory minimum of 10 years and up to life in prison, at least five years of supervised release, and a $10 million fine. Gonzalez, 30, of San Bernadino, California, pleaded guilty on September 12, 2023, to conspiracy to distribute a quantity of methamphetamine and awaits sentencing. Gallegos and Gonzalez are among 32 individuals indicted as a result of Operation Smoke and Mirrors, a major drug trafficking investigation that has yielded the largest methamphetamine seizure in West Virginia history. Law enforcement seized well over 400 pounds of methamphetamine as well as 40 pounds of cocaine, 3 pounds of fentanyl, 19 firearms and $935,000 in cash. Gallegos and Gonzalez are also among 29 defendants who have pleaded guilty. Indictments against the other defendants are pending. An indictment is merely an allegation and all defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Postal Inspection Service, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the West Virginia National Guard Counter Drug program, the Kanawha County Sheriff’s Office, the Charleston Police Department, the Putnam County Sheriff’s Office and the Raleigh County Sheriff's Office. MDENT is composed of the Charleston Police Department, the Kanawha County Sheriff’s Office, the Putnam County Sheriff’s Office, the Nitro Police Department, the St. Albans Police Department and the South Charleston Police Department. Chief United States District Judge Thomas E. Johnston presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is prosecuting the case. The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States. 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-32. ###


title: Leaders Of One Of The Largest No-Fault Insurance Frauds In New York History Sentenced To 15, 12, And Seven Years In Prison

component: USAO - New York, Southern

body_text: Damian Williams, the United States Attorney for the Southern District of New York, announced that PETER KHAIMOV, ALEXANDER GULKAROV, and ROMAN ISRAILOV were sentenced to 15 years, 12 years, and seven years in prison, respectively, by U.S. District Judge Paul G. Gardephe for crimes related to their orchestration of a $40 million fraud targeting No-Fault automobile insurance companies. KHAIMOV previously pled guilty to one count of conspiracy to commit bribery, one count of conspiracy to commit healthcare fraud, and one count of conspiracy to commit money laundering and was sentenced on June 11, 2024. GULKAROV previously pled guilty to one count of conspiracy to commit bribery, one count of conspiracy to commit healthcare fraud, and one count of aggravated identity theft and was sentenced on June 20, 2024. ISRAILOV previously pled guilty to one count of conspiracy to commit healthcare fraud and one count of aggravated identity theft and was sentenced on May 23, 2024. U.S. Attorney Damian Williams said: “Peter Khaimov, Alexander Gulkarov, and Roman Israilov organized one of the largest No-Fault insurance frauds in New York history, stealing $40 million through their operation of sham medical clinics and pharmacies. By posing as legitimate medical providers, they exploited the system, prescribed unnecessary treatments, and jeopardized patient care. This case exemplifies our relentless pursuit of justice against those who think they can outsmart the system, and I commend the FBI and our dedicated team of prosecutors for their outstanding work in dismantling this massive fraud operation.” According to the Indictment, the Informations to which KHAIMOV, GULKAROV, and ISRAILOV pled guilty, their plea agreements, and statements made in court: New York and New Jersey No-Fault insurance laws require a driver’s automobile insurance company to pay automobile insurance claims automatically for certain types of motor vehicle accidents, provided that the claim is legitimate and below a particular monetary threshold. Pursuant to these requirements, insurance companies will often pay medical service providers directly for the treatment they provide to automobile accident victims without the need to bill the victims themselves. This process resolves automobile claims without apportioning blame or fault for the accident, thereby avoiding protracted disputes and the costs associated with an extended investigation of the accident. From 2014 through 2021, KHAIMOV, GULKAROV, and ISRAILOV (collectively, the “Clinic Controllers”) conspired to unlawfully own, run, and profit from medical clinics and pharmacies in the New York area. KHAIMOV, GULKAROV, and ISRAILOV knew that clinics and pharmacies are unable to bill insurance companies for No-Fault benefits if the medical facilities are controlled by non-physicians. They nonetheless agreed to submit bills to insurance companies falsely representing that the clinics were owned and operated by licensed medical practitioners, and for medical practitioners to lie under oath during Examinations under Oath (“EUOs”) about the ownership, control, and finances of the clinics. KHAIMOV, GULKAROV, and ISRAILOV unlawfully obtained from insurance companies at least $40,000,000 as part of the scheme. In connection with the scheme described above, KHAIMOV, GULKAROV, and ISRAILOV also arranged for medical practitioners, including physicians, to prescribe unnecessary medical treatments (including MRIs, EMG/NCV testing, spinal injections, and computerized radiologic mensuration analysis), unnecessary durable medical equipment (including cervical home traction devices and lumbar back support), and medically unnecessary medications (including prescription strength painkillers, topical creams, and topical gels). KHAIMOV and GULKAROV received kickbacks from MRI facilities, pain management doctors, and other specialized care providers, who performed these unnecessary medical treatments. KHAIMOV and GULKAROV further personally arranged for the unnecessary medications to be filled at pharmacies under the control of the conspirators. GULKAROV also overbilled insurance companies for treatments provided by medical practitioners. In connection with the scheme, GULKAROV owned and operated a billing company, which submitted bills to insurance companies overstating the amount of time that practitioners spent treating patients. The billing company also used improper, unlisted billing codes to bill insurance companies in excess of what is permitted under No-Fault regulations. The Bribery Scheme KHAIMOV, GULKAROV, and ISRAILOV further agreed to pay bribes in connection with the above-described scheme. From at least 2014 through November 2019, they agreed with others to pay bribes to hospital employees, 911 dispatchers, and other individuals for the confidential names and numbers of motor vehicle accident victims. As part of the scheme, KHAIMOV, GULKAROV, and others provided approximately $150,000 for the creation of a call center that called victims and lied to them to induce victims to receive medical treatment at, among other places, clinics controlled by KHAIMOV, GULKAROV, and ISRAILOV. KHAIMOV and GULKAROV further personally paid the operation of the call center hundreds of thousands of dollars in bribe payments in cash. As part of the bribery scheme, KHAIMOV also personally attempted to recruit others to disclose confidential names and numbers of motor vehicle accident victims. These people included, among others, a hospital employee. KHAIMOV was ultimately unsuccessful because these other individuals refused to provide confidential information. As part of the scheme, GULKAROV arranged for an New York City Police Department (“NYPD”) officer to provide confidential information from NYPD servers. In particular, this officer sent GULKAROV over 400 photos of confidential NYPD motor vehicle accident reports using the encrypted messaging application, WhatsApp. GULKAROV then re-transmitted the reports to others so that they could call patients, lie to them, and direct them to clinics controlled by KHAIMOV, GULKAROV, and ISRAILOV. Money Laundering and Obstruction Conduct KHAIMOV, GULKAROV, and ISRAILOV laundered the proceeds of the bribery and healthcare fraud from the bank accounts of the medical clinics and pharmacies to personal accounts using a variety of methods. Among other things, KHAIMOV, GULKAROV, and ISRAILOV agreed to have medical practitioners sign blank checks from the clinics’ bank accounts, which KHAIMOV, GULKAROV, and ISRAILOV used to pay personal expenses such as luxury vacations around the world, expensive meals, jewelry, and parties. GULKAROV also used the blank checks to pay for hundreds of thousands of dollars of construction-related expenses for a three-story, multimillion dollar home in Queens, New York. KHAIMOV, GULKAROV, and ISRAILOV arranged for checks from the clinics’ bank accounts to be cashed at shell companies under their control or the control of co-conspirators. Over two dozen of these shell companies were opened by foreign nationals, who entered the country on tourism visas, opened bank accounts for the shell companies, provided the debit cards to the co-conspirators, and then left the country. KHAIMOV and GULKAROV additionally agreed to use the Wisnicki & Associates and Wisnicki Neuhauser (collectively, the “Wisnicki Firm”) to launder proceeds from the No-Fault scheme. KHAIMOV and GULKAROV wrote over $150,000 in checks to the Wisnicki Firm from the No-Fault clinics’ bank accounts. The Wisnicki Firm did not provide any legal services to the No-Fault clinics. Instead, the Wisnicki Firm used this money to purchase real estate for KHAIMOV and another individual. The conspirators deducted the payments to the Wisnicki Firm on the clinics’ tax returns as legal expenses. In addition, GULKAROV engaged in a multi-month obstruction scheme beginning in February 2021. In February and March 2021, the Government served grand jury subpoenas on the medical practitioners involved in the No-Fault scheme. GULKAROV immediately contacted at least half-a-dozen of his co-conspirators and ordered them not to speak with law enforcement. In return, GULKAROV gave his co-conspirators money to pay for attorneys. GULKAROV also obtained the phones of multiple practitioners and deleted his communications with them from their devices. Thereafter, on or about April 1, 2021, the Government served a grand jury subpoena on the Wisnicki Firm for documentation surrounding the $150,000 in payments made from the clinics to the Wisnicki Firm. GULKAROV agreed with others that the Wisnicki Firm would fabricate retainer agreements for transmission to the grand jury. The fabricated retainer agreements, which were backdated to 2016 and 2017, falsely represented that the No-Fault clinics had retained the Wisnicki Firm for legal services. During the following months, in or about April and May 2021, GULKAROV approached multiple medical practitioners and ordered them to sign the backdated, fabricated retainer agreements. The medical practitioners complied. GULKAROV also provided these medical practitioners with checks, written from the Wisnicki Firm, returning the purported “retainer fees” paid to the Wisnicki Firm. GULKAROV ordered the medical practitioners to deposit the checks, withdraw the money in small cash increments, and return the cash to GULKAROV. At least one medical practitioner complied. Lastly, in or about early 2022, KHAIMOV approached a cooperating witness (the “CW”), who was the registered owner of one of KHAIMOV’s pharmacies. KHAIMOV drove to the CW’s house and began honking his car horn outside. The CW came out, at which point KHAIMOV told the CW that he heard the CW was speaking with law enforcement. KHAIMOV instructed the CW to stop doing so. * * * KHAIMOV, 44, GULKAROV, 37, and ISRAILOV, 42, all of Queens, New York, were each sentenced to three years of supervised release, respectively, and they were each ordered to forfeit money judgments of $40,000,000. The Court deferred determination of restitution. Mr. Williams praised the investigative work of the Federal Bureau of Investigation. This case is being handled by the Office’s Complex Frauds and Cybercrime Unit and the White Plains Division. Assistant U.S. Attorneys Mathew Andrews, Ryan Allison, and Timothy V. Capozzi are in charge of the prosecution.


title: Burlington County Man Admits Possessing Child Pornography

component: USAO - New Jersey

body_text: NEWARK, N.J. – A Burlington County, New Jersey, man today admitted possessing multiple images and videos of child sexual abuse, U.S. Attorney Philip R. Sellinger announced. Dennis Nerolich, 68, of Burlington, New Jersey, and formerly of New Egypt, New Jersey, pleaded guilty before U.S. District Judge Brian R. Martinotti in Newark federal court to an information charging him with possession of child pornography. According to documents filed in this case and statements made in court: From March 2016 to May 1, 2018, Nerolich possessed multiple images and videos of child sexual abuse. Nerolich received the images and videos from his roommate or landlord at the time, Frank Maile. On Sept. 6, 2023, Maile pleaded guilty before Judge Martinotti to Count Four of a five-count indictment, charging him with travelling in foreign commerce and engaging in illicit sexual conduct, that is, a sexual act with a person under 18 years of age, a commercial sex act, and production of child pornography. Maile is scheduled to be sentenced on June 27, 2024. The charge of possession of child pornography carries a statutory maximum of 10 years in prison, and a $250,000 fine. Sentencing is scheduled for Nov. 6, 2024. U.S. Attorney Sellinger credited special agents of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge William S. Walker, with the investigation leading to the guilty plea. The government is represented by Assistant U.S. Attorney Elisa T. Wiygul of the Criminal Division in Camden. nerolich.information.pdf


title: U.S. Attorney Announces $4.6 Million False Claims Act Settlement With Restaurants, Fur Apparel Companies, And Their Owners And Managers For Submitting False Information To Obtain Paycheck Protection Program Loans

body_text: Damian Williams, the United States Attorney for the Southern District of New York, and Amaleka McCall-Brathwaite, the Special Agent in Charge of the Eastern Regional Office of the U.S. Small Business Administration, Office of Inspector General (“SBA-OIG”), announced today that the United States has settled a civil fraud lawsuit against CHRISTOS SPYROPOULOS; IOANNIS GEORGIADES; GALATIA ASPROU; ARISTOTELIS SPYROPOULOS; IORDANIS SPYROPOULOS; LIMANI 51, LLC; ESTIATORIO LIMANI LLC; LML HOSPITALITY LLC; ONIRO TAVERNA LLC; BC INTERNATIONAL GROUP, INC.; and BCI SERVICES LLC (collectively, the “Defendants”) for including false information in their applications for Paycheck Protection Program (“PPP”) loans, in violation of the False Claims Act. The PPP, administered by the SBA, was created to provide forgivable loans to small businesses struggling to fund payroll and certain other qualifying business expenses because of the effects of the COVID-19 pandemic. The settlement resolves claims that the Defendants—four restaurants located in New York, two companies based in New Jersey that distribute, sell, and service fur apparel, and five individuals who owned/managed these businesses—inflated payroll figures in their PPP loan and forgiveness applications by, among other things, misrepresenting that family members and an acquaintance of the owners/managers were employed by the businesses when they were not, and listing the same individuals as “full-time employees” of multiple businesses. Under the settlement approved today by U.S. District Judge Edgardo Ramos, the Defendants will pay the U.S. $4,646,700.21 and have admitted and accepted responsibility for conduct alleged in the Government’s Complaint. Specifically, the Defendants admitted that they misrepresented and inflated their payroll and employee headcounts in their PPP loan and forgiveness applications, and that they requested and received PPP loans for amounts that were substantially above what they were entitled to receive. U.S. Attorney Damian Williams said: “The Paycheck Protection Program was created to help struggling small businesses weather the worst moments of the COVID-19 pandemic. These defendants submitted false information to artificially inflate the PPP loans they received. This Office will continue to hold accountable those who engaged in fraud to secure pandemic relief funds for which they were not eligible.” SBA-OIG Special Agent in Charge Amaleka McCall-Brathwaite said: “This settlement reinforces our unwavering commitment to protecting the integrity of SBA’s programs. Wrongful practices, such as inflating payroll and employee numbers, divert essential funds from deserving businesses. I want to thank the U.S. Attorney’s office and our law enforcement partners for their support and dedication to pursuing justice in this case.” As alleged in the Complaint filed in Manhattan federal court: Under the PPP, eligible businesses could obtain SBA-guaranteed loans to spend on payroll costs, rent or mortgage, and other specified business expenses. The amount of PPP funds a business was eligible to receive was determined by the number of individuals employed by the business and their average payroll costs. Businesses applying for a PPP loan were required to provide documentation to confirm that they had in the past paid employees the compensation represented in the loan application. In addition, the PPP loan application required businesses (through their authorized representatives) to acknowledge the PPP Rules and make certain affirmative certifications in order to be eligible to obtain the PPP loan. The SBA also provided for forgiveness of PPP loans. To receive forgiveness, borrowers were required to submit signed loan forgiveness applications and documents containing certain information and certifications. The six defendant companies applied for and received six first-draw PPP loans and six second-draw PPP loans for a total of more than $11.9 million, nearly all of which was fully forgiven. The five individual defendants were involved in preparing the PPP loan and forgiveness applications and personally signed the applications on behalf of their companies. The Defendants improperly inflated the PPP loan amounts and the amounts forgiven by falsely claiming that six family members and one acquaintance of the individual defendants were bona fide employees of the businesses when, in fact, they were not (and distributing the PPP funds to these “no show” employees); falsely claiming that three of the individual defendants were full-time employees of LIMANI 51 when, in fact, they were not; falsely claiming that individuals were full-time employees of multiple businesses and including their full salaries in the calculation of the loan and forgiveness amounts for each of those businesses; and mispresenting that they were entitled to forgiveness for wages paid to certain owners and employees that exceeded the maximum amount permitted under the PPP Rules. As part of the settlement, the Defendants admit, acknowledge, and accept responsibility for the following conduct: In their second-draw PPP loan application and first and second-draw PPP loan forgiveness applications, ESTIATORIO LIMANI, LIMANI 51, ONIRO TAVERNA, and LML HOSPITALITY misrepresented and inflated their payroll and employee headcounts by including wages attributable to six family members and an acquaintance of the individual defendants in the calculation of the PPP loan and PPP loan forgiveness amounts, even though the seven individuals were “no show” employees who never undertook any work for the corporate defendants and therefore were ineligible for consideration. In its second-draw PPP loan application and first and second-draw PPP loan forgiveness applications, LIMANI 51 misrepresented and inflated its payroll and employee headcounts by stating that three individual defendants were “full-time employees” of the entity when they were not. In their first-draw and second-draw PPP loan applications and PPP loan forgiveness applications, ESTIATORIO LIMANI, LIMANI 51, ONIRO TAVERNA, LML HOSPITALITY, BC INTERNATIONAL, and BCI SERVICES each misrepresented and inflated their payroll and headcounts by erroneously listing some of the same individuals as “full-time employees” of different companies and including their full wages in the PPP loan and forgiveness applications submitted for each of the companies. For example, in BC INTERNATIONAL and BCI SERVICES’ second-draw PPP loan forgiveness applications, they each simultaneously listed 13 individuals as “full-time employees” of both companies—and sought forgiveness for the employees’ full wages at both companies—resulting in $481,240.42 of loan proceeds being paid to these individuals, which was an improper use of funds. BC INTERNATIONAL and BCI SERVICES misrepresented in their loan forgiveness applications for their first-draw and second-draw PPP loans that they were entitled to forgiveness for wages paid to their owners and certain employees that exceeded the maximum amount permitted under the PPP Rules. As a result of the above-referenced conduct and misrepresentations, each of the six defendant companies requested and received PPP loans for amounts that were substantially above what they were entitled to receive. In connection with the filing of the lawsuit and settlement, the Government joined a private whistleblower lawsuit that had been filed under seal pursuant to the False Claims Act. * * * Mr. Williams praised the SBA-OIG for its assistance with this case. The case is being handled by the Office’s Civil Frauds Unit. Assistant U.S. Attorney Adam M. Gitlin is in charge of the case.


title: Weatherly Man Charged with Making False Statements During the Attempted Purchase of a Firearm and Unlawful Possession of a Firearm

component: USAO - Pennsylvania, Middle

body_text: SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that David Feliciano-Seize, age 60, of Weatherly, Pennsylvania was indicted on June 18, 2024, by a federal grand jury for making a false statement during the purchase of a firearm and unlawful possession of a firearm. According to United States Attorney Gerard M. Karam, the indictment alleges that Feliciano-Seize, who had previously been sentenced to 10 years of imprisonment for an armed robbery conviction, attempted to purchase an assault rifle by falsely representing that he had never been convicted of a crime punishable by a term of imprisonment exceeding one year. The indictment further alleges that in 2023, Feliciano-Seize unlawfully possessed a firearm. This matter was investigated by the Federal Bureau of Investigations (FBI). Assistant United States Attorney Sarah R. Lloyd is prosecuting the case. The maximum penalty under federal law for making a false statement during the attempted purchase of a firearm is 10 years imprisonment, 3 years supervision, and a fine. The maximum penalty under federal law for unlawful possession of a firearm is 15 years imprisonment, 3 years supervision, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines. Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court. # # #


title: 24 Federally Indicted in San Antonio for Alleged Drug and Firearm Trafficking

body_text: SAN ANTONIO – U.S. Attorney Jaime Esparza for the Western District of Texas announced at a press conference Thursday that 24 alleged members and associates of the Mexican American prison gang Hermanos de Pistoleros Latinos were indicted in San Antonio for criminal charges related to their alleged drug and firearm trafficking. Law enforcement arrested 19 alleged gang members and associates Tuesday in an operation involving federal, state and local agencies. Five of the 24 defendants were already in federal or state custody prior to Tuesday’s arrests. The indictment carries 24 counts including conspiracy to possess with intent to distribute methamphetamine; conspiracy to possess with intent to distribute heroin; conspiracy to possess with intent to distribute cocaine; conspiracy to possess firearms in furtherance of drug trafficking; conspiracy to traffic firearms; and more. If convicted, the defendants face varying ranges of time in prison, from maximum sentences of 15 or 20 years to penalties of five years to life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. “Thank you to our federal, state and local law enforcement partners, led by the FBI and DEA in this case, for their ongoing commitment to investigating these issues in our communities and for their continued commitment to reducing violence, and firearm and drug crimes that plague our communities,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “Their professionalism, determination, and expertise help protect the safety of our citizens and allow our federal prosecutors to keep violent criminals out of our communities for years.” “We are truly safer today because there are fewer firearms in the hands of bad actors — fewer kilos of meth, heroin and cocaine for sale in our community and one less trafficking organization doing business in South Texas,” said Special Agent in Charge Aaron Tapp of the FBI's San Antonio Field Office. “The FBI remains committed working with our partners in whatever way we can to reduce violent crime in our communities, throughout the state of Texas – and across the country.” “These arrests will put a dent into HPL’s drug trafficking activities that have been their main source of income,” said Special Agent in Charge Daniel Comeaux for the Drug Enforcement Administration Houston Division. Members rely on the money made outside to fund members behind bars and help HPL as an organization thrive at the devastating expense of our communities.” The defendants arrested Tuesday are: Daniel Natividad aka “Danny Boy,” 50, of Hebronville Brian Zepeda aka “Get Down”, 39, of San Antonio Roberto Ibarra aka “Bobby,” 44, of Laredo Mike Rayas Carrillo aka “Gordo,” 37, of San Antonio Jesus Mendoza Jr. aka “Chivo,” 50, of San Antonio Gilberto Garcia aka “Gibo,” 42, of San Antonio Ramon Lozoya aka “Bulldog,” 41, of San Antonio Maximo Flores Jr., 44, of San Antonio Miguel Zamora Rosas aka “Eight Ball”, 39, of San Antonio Paul Garcia aka “Baby Paul”, 38, of San Antonio Abraham Pagan aka “Shank,” 44, of San Antonio Mark Anthony Avila, 43, of San Antonio Rudy Hugo Lopez, 34, of San Antonio Robert Davalos Alvarado aka “Pork Chop,” 41, of San Antonio Raymond Medina aka “Crime”, 35, of San Antonio Roger Hilburn, 33, of San Antonio Armando Perales aka “Pitbull,” 54, of San Antonio Ruben Rivera, 36, of San Antonio JR Perales, 31, of San Antonio The following defendants were already in custody: Antonio Rios Jr. aka “Tone”, 33, of San Antonio Vidal Morales Jr. aka “Moe”, 49, of San Antonio Ronald Mendoza aka “Ronnie,” 41, of San Antonio Carlos Bernal aka “Guero,” 46, of San Antonio Adrian Calvillo aka “Token,” 40, of San Antonio The FBI and DEA are leading the investigation with valuable assistance from the U.S. Marshals Service, IRS-Criminal Investigations, Customs and Border Protection, Texas National Guard Counter Narcotics Taskforce, Texas Department of Public Safety, Texas Department of Criminal Justice - Office of the Inspector General, Bexar County District Attorney’s Office, Bexar County Sheriff’s Office, San Antonio Police Department, Boerne Police Department, and the New Braunfels Police Department. Assistant U.S. Attorneys Brian Nowinski and Fidel Esparza III are prosecuting the case. This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. ###


title: Former Tucson Resident Sentenced to Prison for Scheme to Defraud Refugees

component: USAO - Arizona

body_text: TUCSON, Ariz. – Nidal Awawdah, aka Kifah Dalia, 34, of Bakersfield, California (and formerly of Tucson), was sentenced last week by United States District Judge Rosemary Márquez to 14 months in prison, followed by three years of supervised release. Awawdah pleaded guilty to one count of Bank Fraud on January 25, 2024. From approximately December 2016 through August 2017, Awawdah established herself as a trusted resource to several Syrian refugees. Awawdah befriended the refugees, acted as a translator, and assisted them in establishing their new lives in the Tucson community. Awawdah then used her position of trust to defraud the victims. Awawdah gained access to the victims’ personal information and stole their identities. Awawdah opened credit card accounts in the victims’ names and made thousands of dollars in unauthorized purchases using the fraudulently obtained credit cards. Awawdah also used at least one stolen identity to unlawfully obtain student loans. The Federal Bureau of Investigation conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution. CASE NUMBER: CR-22-01033-TUC-RM RELEASE NUMBER: 2024-077_Awawdah # # # For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/ Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.


title: Justice Department Sues Five Individuals for Violation of Freedom of Access to Clinic Entrances (FACE) Act

component: Civil Rights Division

body_text: The Justice Department filed a civil federal lawsuit today in the Middle District of Florida against five people for violating the Freedom of Access to Clinic Entrances (FACE) Act, which prohibits anyone from using force, threats of force or physical obstruction against any person because they are seeking or providing reproductive health services. The lawsuit alleges that Calvin Zastrow, Kenneth Scott, Chester Gallagher, Eva Zastrow and Katelyn Sims, also known as Katelyn Velasco, committed violations of the FACE Act in Ft. Myers, Florida, on Jan. 27, 2022. Specifically, the complaint alleges that the defendants trespassed onto a reproductive health center’s property, blocked the entrances and temporarily stopped operations at the center. The complaint seeks injunctive relief and monetary penalties as provided by the FACE Act. “These five defendants deliberately obstructed access to reproductive health services,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Physically blocking those seeking or providing reproductive health services in order to impose their views is unlawful. The Justice Department will continue enforcing the FACE Act to protect against such obstruction.” “The Justice Department ensures that individuals cannot pick which laws they wish to follow,” said U.S. Attorney Roger B. Handberg for the Middle District of Florida. “We look forward to continuing to protect the rights of patients and providers to access reproductive health care.” The Civil Rights Division’s Special Litigation Section and the U.S. Attorney’s Office for the Middle District of Florida are handling the case. For additional information about the Civil Rights Division and the Special Litigation Section, please visit www.justice.gov/crt/special-litigation-section. Those interested in finding out more about the FACE act can visit www.justice.gov/crt/freedom-access-clinic-entrances-places-religious-worship . Past FACE Act cases by the Special Litigation Section can be found at www.justice.gov/crt/special-litigation-section-cases-and-matters#face .


title: U.S. Attorney Announces Extradition Of Individual From Benin For His Role In An International Money Laundering Network

body_text: Damian Williams, the United States Attorney for the Southern District of New York, announced that DOMINIC FRANCIS LABIRAN, a citizen of the United Kingdom and Nigeria, was extradited Tuesday, June 18, from Benin. LABIRAN was charged with participating in an international money laundering conspiracy between March and June of 2019. LABIRAN was arrested in Benin on or about October 29, 2021, on an Interpol Red Notice and was presented and arraigned today before U.S. District Judge Katherine Polk Failla. U.S. Attorney Damian Williams said: “As alleged, Dominic Francis Labiran participated in a conspiracy to launder millions of dollars. This extradition not only highlights the effectiveness of global cooperation, but shows that no matter where they are or how long it takes, law enforcement will find and hold accountable those who engage in fraudulent schemes and money laundering.” According to the allegations in the Indictment: [1] Beginning in at least 2013, one of LABIRAN’s co-conspirators, Alade Kazeem Sodiq, a/k/a “Eluku,” and others defrauded financial institutions by falsely representing themselves as bank accountholders in order to conduct financial transactions without the consent of the true accountholders. Beginning in or about January 2019, one of the participants in that scheme who had agreed to cooperate with law enforcement (“CW-1”) contacted Sodiq and said that CW-1 could fraudulently obtain funds from a U.S.-based business. CW-1 told Sodiq that CW-1 needed bank accounts in the U.S. through which CW-1 could launder the criminal proceeds. Sodiq agreed to provide bank accounts to CW-1 and introduced CW-1 to LABIRAN and another co-conspirator, Abdulai Kennedy Saaka, a/k/a “Kenny.” LABIRAN and Sakka agreed to provide accounts in their names or over which they exercised control in exchange for a fee of nearly 50% of the money that passed through the accounts. Law enforcement subsequently moved funds from a covert account to the designated accounts and then on to a second covert account, less the agreed-upon fees. * * * LABIRAN, 62, a citizen of the United Kingdom and Nigeria, is charged with conspiracy to commit money laundering and money laundering, each of which carries a maximum sentence of 20 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. Mr. Williams praised the outstanding investigative work of the FBI. He further thanked the Justice Department’s Office of International Affairs, the U.S. Embassy in Benin, and the Diplomatic Security Service, as well as authorities in Benin’s Ministry of Justice and Legislation and the Beninese Republican Police for their assistance in securing the defendant’s extradition from Benin. This case is being handled by the Office’s Illicit Finance & Money Laundering Unit. Assistant U.S. Attorneys Jonathan Rebold and Andrew Rohrbach are in charge of the prosecution. The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty. [1] As the introductory phrase signifies, the entirety of the text of the Indictment constitutes only allegations, and every fact described should be treated as an allegation.


title: Haverhill Man Indicted for Allegedly Filing Fraudulent Pandemic Unemployment Assistance Claim for Brazilian Resident

component: USAO - Massachusetts

body_text: BOSTON – A Haverhill man was indicted today for allegedly filing a Massachusetts Pandemic Unemployment Assistance (PUA) claim in 2020 for a man who was living in Brazil at the time, and therefore ineligible to receive PUA benefits. Julio Roncaly Morais, 41, was charged with one count of wire fraud and one count of conspiracy to commit wire fraud. He will appear in federal court in Boston at a later date. According to the charging documents, Morais filed a Massachusetts PUA claim on June 3, 2020, on behalf of a co-conspirator who was living in Brazil before and after the PUA claim was filed. In the PUA application, Morais allegedly certified under penalty of perjury that the co-conspirator was a resident of Massachusetts and was able and available to work in Massachusetts but was unable to due to the pandemic. As a result of this claim, the Massachusetts Department of Unemployment Assistance paid a total of $5,202 in benefits before suspending payments due to an inability to reach the co-conspirator. The charges of wire fraud and conspiracy to commit wire fraud each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in charge for the Homeland Security Investigations New England Field Office; Jonathan Mellone, Special Agent in Charge of the Department of Labor, Office of Inspector General; and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistance in the investigation was provided by the Woburn and Norwood Police Departments. Assistant U.S. Attorneys Kelly Begg Lawrence, James D. Herbert, and Samuel R. Feldman of the Criminal Division are prosecuting the case. The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.


title: June Federal Grand Jury 2023-B Indictments Announced

component: USAO - Oklahoma, Northern

body_text: United States Attorney Clint Johnson today announced the results of the June Federal Grand Jury 2023-B Indictments. The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence. Keith Alan Beets. Felon in Possession of a Firearm and Ammunition. Beets, 47, of Tulsa, is charged with possessing a firearm and ammunition, knowing he was previously convicted of felonies. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Adam D. McConney is prosecuting the case. 24-CR-199 Juan Cervando Cervantes. Unlawful Reentry of a Removed Alien. Cervantes, 37, a Mexican national, is charged with unlawfully reentering the United States after having been removed in May 2011 at or near Del Rio, Texas. U.S. Immigration and Custom’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Cheryl L. Baber is prosecuting the case. 24-CR-202 Cesar Vera Eugenio. Unlawful Reentry of a Removed Alien. Eugenio, 42, a Mexican national, is charged with unlawfully reentering the United States after having been removed in June 2023 at or near Laredo, Texas. U.S. Immigration and Custom’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Eric O. Johnston is prosecuting the case. 24-CR-201 Juan Jose Huerta; Miguel Angel Huerta; Carlos Pena-Villalba; Jose Fernando Flores Carillo; Roberto Carlos Valle. Drug Conspiracy (Count 1); Possession of Methamphetamine with Intent to Distribute (Counts 2 & 8); Possession of Cocaine with Intent to Distribute (Count 3); Possession of a Firearm in Furtherance of a Drug Trafficking Crime (Counts 4, 6, 9, 11 & 14); Possession of Cocaine with Intent to Distribute (Counts 5, 10 & 13); Maintaining a Drug-Involved Premises (Counts 7 & 15); Possession of Methamphetamine with Intent to Distribute (Count 12); Possession of a Firearm by an Alien Illegally in the United States (Counts 16 – 19) (second superseding). Juan Huerta, 57, a Mexican National; Miguel Huerta, 27, of Broken Arrow; Pena-Villalba, 53, a Mexican National; Carillo, 24, a Mexican National; Valle, 45, a Mexican National are charged with conspiring to distribute over 500 grams of methamphetamine, over 5 kilograms of cocaine, and maintaining a residence to distribute drugs. Juan Huerta is charged with allegedly possessing more than 500 grams of methamphetamine and cocaine with intent to distribute. He is additionally charged with possessing a firearm while drug trafficking. Miguel Huerta is charged with knowingly possessing cocaine with intent to distribute and possessing a firearm while drug trafficking. Pena-Villalba is charged with possessing more than 500 grams of methamphetamine and possessing a firearm while drug trafficking. Carillo allegedly possessed cocaine with intent to distribute and possessed a firearm while drug trafficking. Valle is further charged with knowingly possessing methamphetamine and cocaine with intent to distribute and possessing a firearm while drug trafficking. Additionally, Huerta, Pena-Villalba, Carillo, and Valle are charged with possessing firearms and ammunition, knowing they were an illegal alien and unlawfully in the United States. The Drug Enforcement Administration, the Tulsa Police Department, and the Broken Arrow Police Department are the investigative agencies. Assistant U.S. Attorney David A. Nasar is prosecuting the case. 24-CR-118 Dontae Domance Revels, Sr.; Latoyia Deswann Shelton. Possession of Methamphetamine with Intent to Distribute (Count 1); Possession of Cocaine with Intent to Distribute (Count 2); Attempted Manufacture of Cocaine Base (Count 3); Maintaining a Drug-Involved Premises (Counts 4 & 5). Revels, 41, of Tulsa, and a member of the Seminole Nation of Oklahoma; Shelton, 40, of Tulsa, are charged with possessing methamphetamine and cocaine with the intent to distribute. They both knowingly used and maintained a residence for the purpose of distribution of drugs. Additionally, Shelton knowingly attempted to manufacture cocaine. The Drug Enforcement Administration and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Mandy M. Mackenzie is prosecuting the case. 24-CR-192 Mitchell Dean Twidwell. Receipt and Distribution of Child Pornography; Possession of Child Pornography in Indian Country. Wade, 30, of Tulsa, is charged with knowingly receiving, possessing, and distributing visual images and videos depicting the sexual abuse of children. Additionally, he is charged with possessing visual images and videos depicting the sexual abuse of a child under 12 years old. Homeland Security Investigations – Houston, Tulsa Police Department, and the Texas Department of Public Safety are the investigative agencies. Assistant U.S. Attorney Ashley Robert is prosecuting the case. 24-CR-200


title: California man and Miami woman charged in the murder of a victim at Aladdin Hotel in Miami

component: USAO - Florida, Southern

body_text: MIAMI – On June 20, Jimmy Sanchez, 36, of San Diego, Calif., and Tsvia Kol, 36, of Miami were charged in the execution-style murder of a victim at the Aladdin Hotel in Miami. The indictment charges both Sanchez and Kol with conspiracy to possess with intent to distribute a controlled substance, discharge of a firearm in furtherance of a drug trafficking offense, and causing a death in the course of the drug trafficking conspiracy. On November 29, 2022, the victim was lured to the Aladdin Hotel by Kol, who demanded to know the whereabouts of a missing methamphetamine package she believed the victim stole. Kol arranged for Sanchez to fly to Miami, from San Diego, to assist her with locating the missing package and the subsequent murder of the victim. Law enforcement discovered the victim lying in the hotel room with two gunshot wounds to the face and head. If convicted at trial, Sanchez and Kol face a mandatory sentence of life in prison, up to life of supervised release, and up to $10,000,000 in fines. U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Deanne L. Reuter of the Drug Enforcement Administration (DEA), Miami Field Division, and Director Stephanie V. Daniels of the Miami-Dade Police Department (MDPD) made the announcement. DEA Miami Field Division and MDPD investigated the case. FBI, Homeland Security Investigations (HSI), Miami, and U.S. Postal Inspection Service (USPIS), Miami Division assisted with this matter. Assistant U.S. Attorneys Yara Dodin and Monica Castro are prosecuting it. Assistant U.S. Attorney Mitchell Hyman is handling asset forfeiture. An indictment contains mere allegations, and all defendants are presumed innocent unless and until proven guilty in a court of law. You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Southern District of Florida at www.justice.gov/usao-sdfl . 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 24-cr-20149. ###


title: Waltham Man Sentenced to 15 Years in Prison for Attempted Sex Trafficking of A Child

body_text: BOSTON – A Waltham man was sentenced today in federal court in Boston for attempted sex trafficking of a 12-year-old girl. Misael Fabian Medina, 38, was sentenced by U.S. District Court Judge Denise J. Casper to 15 years in prison. Medina will be subject to deportation proceedings to Guatemala upon completion of his sentence. In March 2024, Medina was convicted by a federal jury of one count of attempted sex trafficking of a child; and one count of attempted coercion and enticement. “Children are sold for sex far too often in our society. Our office has prosecuted several individuals who have trafficked minors, often highly vulnerable girls. This prosecution is squarely aimed at addressing the demand that fuels this despicable practicing of selling sex with kids. Medina showed up at a hotel with $200 in his hand in order to have sex with a 12-year-old girl. This sting operation should send a message to every person using a smart phone to troll for sex with minors, that the federal government is out there aggressively enforcing the laws against this reprehensible conduct,” said Acting United States Attorney Joshua S. Levy. “Misael Fabian Medina was ready to pay to sexually abuse a 12-year-old child before he was arrested by HSI special agents. Today’s sentence will keep him off the streets and away from children he could harm,” said Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England. “Sex trafficking is driven by demand and we work every day with our partners to investigate and bring predators like Medina to justice.” In November 2022, Misael Medina responded to an online advertisement offering sex with two young girls. Through an ensuing text conversation with undercover agents who were posing as the seller of the two girls, Medina agreed to pay $200 to engage in a sex act with a 12-year-old girl. Shortly thereafter, Medina went to a greater Boston hotel to meet with the purported seller. Once at the hotel, he met with an undercover agent and confirmed he had the money to pay for the commercial sex act. During that meeting, Medina was arrested and found to be in possession of a box of condoms. If you or someone you know may be impacted or experiencing commercial sex trafficking, please contact USAMA.VictimAssistance@usdoj.gov. Acting U.S. Attorney Levy and SAC Krol made the announcement today. Assistant U.S. Attorneys Brian A. Fogerty and Jason A. Casey of the Criminal Division prosecuted the case.


title: Florida Man Charged With Embezzling $5.7 Million From Employer

body_text: BOSTON – A Florida man was indicted today for allegedly embezzling at least approximately $5.7 million from his employer, a Florida-based portfolio company owned by a Massachusetts investment firm. Paul Schnitzer, 51, of Clermont, Fla., was indicted on one count of wire fraud. He will appear in federal court in Boston at a later date. Schnitzer was previously arrested and charged by criminal complaint on May 21, 2024 . According to the charging documents, Schnitzer worked as the finance director for the portfolio company. It is alleged that between January 2022 and May 2024, Schnitzer made over 100 transfers, most disguised as “equity distributions,” from the company’s operating account into his personal account. To hide these transfers, Schnitzer allegedly provided falsified financial reports with inflated cash balances for the company to the investment firm. It is also alleged that Schnitzer secretly used a line of credit to replenish the company’s operating account after he had stolen from it. The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000, or twice the loss to the victim. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney David M. Holcomb of the Securities, Financial & Cyber Fraud Unit is prosecuting the case. The details contained in the charging documents are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.


title: Hopkinsville Man Sentenced to Over 14 Years for Conspiracy to Traffic Methamphetamine and Fentanyl While on Federal Supervision

component: USAO - Kentucky, Western

body_text: Paducah, KY - A Hopkinsville, Kentucky man was sentenced this week to a total of 14 years and 5 months in federal prison for conspiring to possess with the intent to distribute methamphetamine and fentanyl while on federal supervision from a previous federal conviction. U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Acting Special Agent in Charge Erek G. Davodowich of the DEA Louisville Field Division, Christian County Sheriff Tyler DeArmond, and Chief Jason Newby of the Hopkinsville Police Department made the announcement. According to court documents, Daniel Major, 43, of Hopkinsville, was sentenced to 11 years and 8 months in prison, followed by 5 years of supervised release, for one count conspiring to possess with the intent to distribute methamphetamine and one count of conspiring to possess with the intent to distribute fentanyl. Major received an additional sentence of 2 years and 9 months for violating his federal supervision on a previous conviction. There is no parole in the federal system. The case was investigated by the DEA Paducah Post of Duty, with assistance from the Christian County Sheriff’s Office and the Hopkinsville Police Department. Assistant U.S. Attorney Leigh Ann Dycus, of the U.S. Attorney’s Paducah Branch Office, prosecuted the case. ###


title: Insurance Agent Admits to Fabricating Applications and Payment Forms for Unauthorized End-of-Life Policies in Order to Collect Commission Payments

component: USAO - Rhode Island

body_text: PROVIDENCE, RI – A North Attleboro, MA, insurance broker admitted to a federal judge in Rhode Island today that he submitted fabricated applications for end-of-life insurance policies in clients’ names and used their banking and personal information, all without their knowledge or authorization, in order to obtain insurance in their names and collect over $135,000 dollars in commissions, announced United States Attorney Zachary A. Cunha. Bruno Francis Ragusa, 53, pleaded guilty to a charge of wire fraud. Ragusa admitted that, without his clients’ knowledge, permission, or consent, he fabricated and submitted applications to purchase final expense policies in his clients’ names, using their personal identification information. Ragusa also admitted that he forged clients’ electronic signatures on the applications and directed that all policy correspondence be sent directly to him and not to the clients; that he used clients’ bank account and routing numbers to cause payment for the policies to be directly wired from their bank accounts without their knowledge; that he failed to advise his clients of the fact that policies had been issued in their names or that that payment was being drawn from their bank accounts; and that as a result of his criminal conduct, he collected $136,956.56 in sales commissions. Ragusa is scheduled to be sentenced on September 9, 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. On November 28, 2023, the Department of Business Regulation for the State of Rhode Island revoked Ragusa’s license to sell insurance in Rhode Island. Ragusa’s licenses to sell insurance in Massachusetts and Connecticut remain active. The case is being prosecuted by Assistant United States Attorney Milind M. Shah. The matter was investigated by the FBI. United States Attorney Cunha thanks the United States Attorney’s Office for the District of Massachusetts and the North Attleboro Police Department for their assistance. ###