title: Justice Dept. Seizes Over $112M in Funds Linked to Cryptocurrency Investment Schemes, With Over Half Seized in Los Angeles Case

body_text: LOS ANGELES – The Department of Justice announced today that it has seized virtual currency worth an estimated $112 million linked to cryptocurrency investment scams commonly called “pig butchering.” Seizure warrants for six virtual currency accounts were authorized by judges in Los Angeles, the District of Arizona, and the District of Idaho. In the Los Angeles matter, a United States magistrate judge authorized the seizure of an account containing approximately $66.4 million in various cryptocurrencies after finding probable cause that the funds were derived from wire fraud schemes. According to court documents, the six virtual currency accounts were used to launder proceeds of various cryptocurrency confidence scams. In these schemes, fraudsters cultivated long-term, online relationships with victims, eventually enticing them to make investments in fraudulent cryptocurrency trading platforms. In reality, the funds sent by victims for these purported investments were instead funneled to cryptocurrency addresses and accounts controlled by scammers and their co-conspirators. “The victims in Pig Butchering schemes are referred to as ‘pigs’ by the scammers because the scammers will use elaborate storylines to ‘fatten up’ victims into believing they are in a romantic or otherwise close personal relationship,” according to the affidavit in support of the Los Angeles seizure warrant. “Once the victim places enough trust in the scammer, the scammer brings the victim into a cryptocurrency investment scheme.” The scammer attempts to create the appearance of legitimacy by fabricating websites or mobile apps to display a bogus investment portfolio with large returns, the affidavit states. In relation to the Los Angeles-based account seizure, the FBI has identified at least 10 victims who were unable to withdraw funds they had invested, with the seized account containing some funds from all 10 victims. Authorities executed the Los Angeles seizure warrant in December and received the last transfer of cryptocurrency on March 21. “Using the methods of traditional con artists, high-tech fraudsters have taken advantage of the publicity and hype surrounding cryptocurrency to encourage an untold number of Americans to invest in get-rich-quick schemes,” said United States Attorney Martin Estrada. “We all know that investment scams are not new, but the use of digital currency to commit fraud presents new challenges to victims and to law enforcement trying to recover lost funds – which likely total billions of dollars in the so-called ‘pig butchering’ schemes. The major seizures announced today show that law enforcement is confronting the new challenges and taking strong measures to address this fraud, but the public should be extremely wary of investment scams that use cryptocurrency and promise unrealistic returns.” The affidavit in the Los Angeles seizure warrant discussed a series of cryptocurrency investment scams, one of which targeted a professional woman who was contacted on LinkedIn by a man who used the name “Fei Kuang.” After learning that the victim already had a small cryptocurrency account, “Fei Kuang” offered to help the victim, eventually convincing her to invest more money and to move her funds to another, presumably fraudulent, trading exchange. When she tried to withdraw her funds, she was told she had to pay a 20% in “taxes.” When the trading platform continued to demand more money, the woman realized she was the victim of a scam which cost her approximately $2.5 million. “Transnational criminal organizations are combining confidence scams with technological savvy to swindle Americans out of their hard-earned funds,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “These particularly vicious frauds – where scammers carefully cultivate relationships with their victims over time – have devastated families and cost individuals their life savings. Now that we have seized this virtual currency, we will seek to swiftly return it to victims. In addition to our tireless efforts to disrupt these schemes, we must also work to raise public awareness and help inform potential victims: be wary of people you meet online; seriously question investment advice, especially about cryptocurrency, from people you have not met in person; and remember, investments that seem too good to be true, usually are.” In 2022, investment fraud caused the highest losses of any scam reported by the public to the FBI’s Internet Crimes Complaint Center (IC3), totaling $3.31 billion. Frauds involving cryptocurrency, including pig butchering, represented most of these scams, increasing 183% from 2021 to $2.57 billion in reported losses last year. According to the FBI, the highest number of reports came from victims between the ages of 30 and 49. In these schemes, often called “Sha Zhu Pan,” a Chinese phrase that loosely translates to “pig butchering,” scammers often target their victims through social networking and online communications platforms, dating websites, and phone calls and text messages that are meant to appear to have been misdialed. After gaining the trust of their victims – sometimes over a period of months – scammers eventually introduce the idea of trading in cryptocurrency. They then direct victims to cryptocurrency investment platforms or to co-conspirators posing as investment advisors or customer service representatives. Scammers control websites that are built to look like legitimate trading platforms, applications that victims download onto their phones, or malicious smart contracts accessed through cryptocurrency wallet software. Once victims make an initial “investment,” the platforms purport to show substantial gains. Sometimes, victims are even allowed to withdraw some of these initial gains to further engender trust in the scheme. It is not until a large investment is made that victims find that they are unable to withdraw their funds. Even when a victim is denied access to their funds, the fraud is often not yet over. Scammers request additional investments, taxes or fees, promising that these payments will allow victims access to their accounts. These scam operations often continue to steal from their victims and do not stop until they have deprived victims of any remaining savings. “Depriving scam organizations of their ill-gotten gains is an important part of our strategy to combat these ruthless schemes,” said Director Eun Young Choi of the Criminal Division’s National Cryptocurrency Enforcement Team (NCET). “We will continue to use all tools at our disposal to disrupt and deter cryptocurrency confidence schemes, including by following the money on the blockchain and seizing cryptocurrency to return funds to victims, and by targeting and taking down online infrastructure used by the scammers. Today’s announcements also demonstrate the value of early notification by victims to law enforcement; we thank those victims who came forward to notify the FBI when they were targeted by this scheme.” The FBI Phoenix Division is investigating the matter that resulted in seizures announced today. Assistant United States Attorney Daniel Boyle of the Asset Forfeiture and Recovery Section is handling the Los Angeles case. The other cases are being handled by the District of Arizona and the District of Idaho. The NCET and the Criminal Division’s Fraud Section provided substantial assistance and coordination. If you or someone you know is a victim, visit www.fbi.gov/cryptoguard , contact your local FBI field office (the Los Angeles Field Office can be reached at 310-477-6565), call 1-800-CALL-FBI, or report it to IC3.gov. In your complaint, please reference, “Pig Butchering PSA.” Include as much information as possible in your complaint including names of investment platforms, cryptocurrency addresses and transaction hashes, bank account information, and names and contact information of suspected scammers. Maintain copies of all communications with scammers and records of financial transactions.


title: Convicted Drug Trafficker Sentenced to 30 Years For Trafficking Nearly 150 Pounds of Drugs, Including Heroin, Fentanyl, and Marijuana

component: Federal Bureau of Investigation (FBI)

body_text: WASHINGTON – Linwood Douglas Thorne, 51, of Washington, D.C., was sentenced to 30 years in prison for his role in a large-scale drug trafficking conspiracy that resulted in one of the largest seizures of heroin in the District of Columbia’s history. The sentence, handed down March 31, 2023, by U.S. District Court Judge Beryl A. Howell, was announced by U.S. Attorney Matthew M. Graves, FBI Special Agent in Charge Wayne A. Jacobs, of the Washington Field Office Criminal and Cyber Divisions, and Acting Special Agent in Charge Michael Weddel, of the Washington Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). On March 25, 2022, a jury found Thorne guilty of conspiracy, possession with intent to distribute one kilogram or more of heroin, possession with intent to distribute fentanyl, possession with intent to distribute marijuana, and a firearms charge. “This sentence should send a clear message to all those who would even consider operating a large-scale drug network: doing so will result in you possibly spending the rest of your life in jail,” said U.S. Attorney Graves. “We have zero tolerance for those looking to poison our communities with massive amounts of drugs—particularly when the drug trafficking involves firearms.” “This joint investigation, which resulted in one of the largest seizures of heroin in our city's history, is a testament to the strength of our federal and local partnerships,” said FBI Special Agent in Charge Jacobs. “The Washington Field Office's Safe Streets Task Force remains committed to pursuing criminals who traffic in drugs and guns. Let the defendant's sentence serve as a reminder of the consequences traffickers face for putting people's lives in danger.” “Today’s announcement sends an accountability message not only to those who traffic deadly drugs and illegal firearms, but to the families of victims as well. ATF stands with our law enforcement partners to say, violent acts will cost and will be addressed accordingly,” said ATF Acting Special Agent in Charge Weddel. “We reaffirm our commitment to holding those that attempt to destroy our communities responsible for their illegal and dangerous actions.” In 2018, the FBI’s Safe Streets Task Force began investigating Thorne, as a major heroin supplier. On Dec. 19, 2018, the FBI and ATF executed simultaneous search warrants on Thorne’s Maryland business and D.C. residence, finding 44 kilograms of heroin laced with fentanyl; 55 pounds of marijuana; five firearms; and significant drug paraphernalia. In addition to the search warrants, the task force’s investigation—which began in July of 2018—has led to the recovery of eight additional firearms, approximately 1.5 additional kilograms of marijuana, 260 additional grams of heroin, and several firearms magazines and accessories. During trial, the government presented over a dozen civilian and law enforcement witnesses, along with digital and business records establishing and corroborating the defendant’s guilt. In announcing the sentence, U.S. Attorney Graves, Special Agent in Charge Jacobs, and Acting Special Agent in Charge Weddel commended the work of those who investigated the case from the FBI and ATF, as well as those from the Metropolitan Police Department (MPD) who were on the Safe Streets Task Force, and the United States Marshals Service. They also expressed appreciation for the assistance provided by joint law enforcement and prosecution partners, including the U.S. Attorney’s Office for the Middle District of Georgia, the U.S. Attorney’s Office for the Eastern District of Virginia, and the U.S. Attorney’s Office for the District of Maryland. They also acknowledged the efforts of those who handled the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Gregory Rosen, as well as Paralegal Specialist Alexis Spencer-Anderson of the Capitol Siege and Federal Major Crimes Section, and former Assistant U.S. Attorneys Brandon Regan, Samuel Frey, and Andrea Duvall.


title: San Antonio Woman Pleads Guilty to Providing Fentanyl That Led to Man’s Death

component: Drug Enforcement Administration (DEA)

body_text: SAN ANTONIO – A San Antonio woman pleaded guilty in San Antonio federal court Thursday to distribution of a controlled substance resulting in death. According to court documents, Claudia Cardenas, 47, provided a man with a sample of fentanyl on May 8, 2022, allowing him to try the substance before committing to future purchases. The man ingested the fentanyl sample the following day. He immediately collapsed and was unresponsive. Two doses of Narcan were administered prior to the arrival of Emergency Medical Services, but the man was declared deceased upon EMS’s arrival. An autopsy revealed that the victim’s death was the result of toxic effects from Fentanyl and Methamphetamine. Cardenas is scheduled to be sentenced on July 13 and faces a penalty of at least 20 years in prison up to life imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. U.S. Attorney Jaime Esparza for the Western District of Texas and Special Agent in Charge Daniel Comeaux of the Drug Enforcement Administration made the announcement. The DEA; the University of Texas at San Antonio Police Department; the San Antonio Police Department; the Texas Department of Public Safety; and the Alamo Heights Police Department are investigating the case. Assistant U.S. Attorney Amy Hail is prosecuting the case. ###


title: Nurse Practitioner Convicted of Opioid Distribution Conspiracy

component: Criminal Division

body_text: A federal jury convicted a Tennessee nurse practitioner last week for illegally prescribing opioids – including oxycodone and fentanyl – from his medical practice. According to court documents and evidence presented at trial, Jeffrey Young, 49, of Jackson, used his medical practice, Preventagenix, to illegally prescribe more than one million medically unnecessary controlled substance pills to hundreds of patients, including a pregnant woman and women with whom he was having inappropriate physical relationships. Young maintained a party-like atmosphere at his clinic, and prescribed these drugs at least in part to boost his popularity on social media and promote a self-produced reality TV show pilot based on his self-identified persona, the “Rock Doc.” Young was convicted of conspiracy to unlawfully distribute controlled substances, maintaining a drug-involved premises, and 13 counts of distributing controlled substances, six of which involved distribution to a pregnant woman. He is scheduled to be sentenced on Aug. 3 and faces a maximum penalty of 40 years in prison for each count involving distribution to a pregnant woman, and 20 years in prison for each of the other counts of conviction. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Kevin G. Ritz for the Western District of Tennessee, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division, and Director David Rausch of the Tennessee Bureau of Investigation made the announcement. The DEA and Tennessee Bureau of Investigation investigated the case, with valuable assistance from the Jackson Police Department. Assistant Chief Kate Payerle and Trial Attorney Drew Pennebaker of the Criminal Division’s Fraud Section are prosecuting the case with significant assistance from Jillian Willis and Dermot Lynch. The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past four years, ARPO has charged over 115 defendants, collectively responsible for issuing prescriptions for over 115 million controlled substance dosage units. To date, more than 70 ARPO defendants have been convicted. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit .


title: Justice Department Seizes Over $112M in Funds Linked to Cryptocurrency Investment Schemes

body_text: The Department of Justice announced today that it has seized virtual currency worth an estimated $112 million linked to cryptocurrency investment scams. Seizure warrants for six virtual currency accounts were authorized by judges in the District of Arizona, the Central District of California, and the District of Idaho. According to court documents, the virtual currency accounts were allegedly used to launder proceeds of various cryptocurrency confidence scams. In these schemes, fraudsters cultivate long-term relationships with victims met online, eventually enticing them to make investments in fraudulent cryptocurrency trading platforms. In reality, however, the funds sent by victims for these purported investments were instead funneled to cryptocurrency addresses and accounts controlled by scammers and their co-conspirators. “Transnational criminal organizations are combining confidence scams with technological savvy to swindle Americans out of their hard-earned funds,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “These particularly vicious frauds – where scammers carefully cultivate relationships with their victims over time – have devastated families and cost individuals their life savings. Now that we have seized this virtual currency, we will seek to swiftly return it to victims. In addition to our tireless efforts to disrupt these schemes, we must also work to raise public awareness and help inform potential victims: be wary of people you meet online; seriously question investment advice, especially about cryptocurrency, from people you have not met in person; and remember, investments that seem too good to be true, usually are.” In 2022, investment fraud caused the highest losses of any scam reported by the public to the FBI’s Internet Crimes Complaint Center (IC3), totaling $3.31 billion. Frauds involving cryptocurrency, including pig butchering, represented the majority of these scams, increasing a staggering 183% from 2021 to $2.57 billion in reported losses last year. According to the FBI, the highest number of reports came from victims between the ages of 30 and 49. In these schemes, often called “Sha Zhu Pan,” a Chinese phrase that loosely translates to “pig butchering,” scammers often target their victims through social networking and online communications platforms, dating websites, and phone calls and text messages that are meant to appear to have been misdialed. After gaining the trust of their victims – sometimes over a period of months – scammers eventually introduce the idea of trading in cryptocurrency. They then direct victims to cryptocurrency investment platforms or to co-conspirators posing as investment advisors or customer service representatives. Scammers control websites that are built to look similar to legitimate trading platforms, applications that victims download onto their phones, or malicious smart contracts accessed through cryptocurrency wallet software. Once victims make an initial “investment,” the platforms purport to show substantial gains. Sometimes, victims are even allowed to withdraw some of these initial gains to further engender trust in the scheme. It is not until a large investment is made that victims find that they are unable to withdraw their funds. Even when a victim is denied access to their funds, the fraud is often not yet over. Scammers request additional investments, taxes, or fees, promising that these payments will allow victims access to their accounts. These scam operations often continue to steal from their victims and do not stop until they have deprived victims of any remaining savings. “Depriving scam organizations of their ill-gotten gains is an important part of our strategy to combat these ruthless schemes,” said Director Eun Young Choi of the Criminal Division’s National Cryptocurrency Enforcement Team (NCET). “We will continue to use all tools at our disposal to disrupt and deter cryptocurrency confidence schemes, including by following the money on the blockchain and seizing cryptocurrency to return funds to victims, and by targeting and taking down online infrastructure used by the scammers. Today’s announcements also demonstrate the value of early notification by victims to law enforcement; we thank those victims who came forward to notify the FBI when they were targeted by this scheme.” “Financial fraud schemes like these demonstrate the great lengths criminals will take to swindle innocent victims out of their money,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “We continue to see these schemes evolve and provide new avenues for criminals to exploit. Today's announcement should serve as reminder of the FBI's unwavering commitment, alongside our federal and international law enforcement partners, to investigating and pursuing criminal actors who seek to defraud the American public. There is no place beyond the reach of the FBI.” The FBI Phoenix Division is investigating this case. Assistant U.S. Attorneys Seth Goertz and Ryan Ellersick for the District of Arizona, Daniel Boyle for the Central District of California, and Bill Humphries for the District of Idaho are in charge of the seizures announced today, with significant assistance and coordination by Georgiana MacDonald of the NCET and Tian Huang and Brandon Burkart of the Criminal Division’s Fraud Section. If you or someone you know is a victim, visit www.fbi.gov/cryptoguard , contact your local FBI field office , call 1-800-CALL-FBI, or report it to the IC3.gov. In your complaint, please reference, “Pig Butchering PSA.” Include as much information as possible in your complaint including names of investment platforms, cryptocurrency addresses and transaction hashes, bank account information, and names and contact information of suspected scammers. Maintain copies of all communications with scammers and records of financial transactions.


title: President of Rhode Island Trucking Company and Truck Computer Design Service, and Companies, Admit to Conspiring to Violate the Clean Air Act

component: USAO - Rhode Island

body_text: PROVIDENCE – The owner and President of a North Kingstown-based trucking company, along with his two corporations, all admitted to a federal judge in Providence today that they conspired together with trucking and diesel vehicle sales and service companies throughout the United States and with a foreign national to violate the Clean Air Act by selling and providing a software program that tampered with on-board computers in order to alter or bypass key features in emission control systems, announced United States Attorney Zachary A. Cunha. Under the federal Clean Air Act, the Environmental Protection Agency (EPA) has established standards that limit the emission of air pollutants from various types of vehicle engines. To meet those standards, vehicle manufacturers design and install certain hardware components as part of the systems that manage and treat engine exhaust to reduce multiple types of pollution. “Our environmental laws are here to protect the clean air that every Rhode Islander deserves to breathe,” said U.S. Attorney Zachary Cunha. “When companies choose to ignore those laws and put profit over their legal duties, and spew diesel soot and contaminants across Rhode Island and New England in the process, this Office will hold them to account.” “Tampering with diesel vehicles by installing defeat devices increases emissions of smog and soot, both of which contribute to serious health problems that often disproportionately affect families, especially children, living in underserved communities,” stated Tyler Amon, Special Agent in Charge for EPA’s Criminal Investigation Division for New England. “Placing profit over public health in Rhode Island has clear accountability.” According to court documents, from roughly September of 2014 through approximately August 27, 2019, Michael J. Collins, his North Kingstown company M&D Transportation, Inc.; his now-defunct computer company Diesel Tune-Ups of RI, Inc.; various trucking and diesel vehicle sales and repair companies throughout the United States; and a foreign national all conspired to alter or disable certain functions of the Electronic Control Modules (ECM) and On Board Diagnostic (OBD) monitoring systems of heavy-duty diesel vehicles such as semi-trucks or “big rigs.” These alterations were referred to in the industry as “tunes.” In exchange for a fee, the foreign national would download tuning software through a laptop computer, provided by Collins and his companies, that was then connected to each vehicle. The tuning business was marketed on Facebook, with claims that it provided increased power and better fuel mileage and offered tuning for “BigRig semi-trucks & engines” including tuning related to emission control equipment. The Facebook page directed interested companies to contact a Rhode Island telephone number associated with Collins, M & D and Diesel Tune-Ups. When tuning was done through a laptop computer, Collins instructed the Companies to call the foreign national for further instructions once they had received the laptop. Through a remote connection, the “tunes” were then downloaded onto each vehicle’s ECM or computer to reprogram the vehicle’s monitoring systems. The tunes tampered with the vehicle’s monitoring systems so that they would not detect malfunctions in the emission control components, thereby allowing vehicles to operate without proper emission controls. As a result, “tuned” vehicles could run with increased horsepower and torque, which can reduce maintenance and repair costs, but which results in significant increases in pollutant emissions. Often, installation of the “tunes” was undertaken in concert with diesel sales and service centers that were making other changes to trucks’ pollution control systems. Collins also employed the same techniques to circumvent emission controls on some of M & D's own diesel vehicles. Customers paid Collins’ companies between $1,700 and $3,650 for each vehicle tuned. Collins and his companies wired a portion of the funds to their foreign co-conspirator and retained a portion of the funds for themselves. From at least March of 2017 through at least June 1, 2018, Collins either deposited or caused to be deposited into the Diesel Tune-Ups bank account fees received from approximately 25 different diesel trucking or repair shops throughout the United States. According to court documents, diesel exhaust is known to contain a variety of air pollutants identified as hazardous air pollutants under the Clean Air Act. The act of completely removing or disabling a vehicle's emission control system can increase pollutant emissions, presenting a risk to the environment and public health. More recent testing conducted by EPA indicates that the pollutant increase is even greater when the emission controls are deleted from commercial semi-tractor trailer trucks. Collins, M&D Transportation, and Diesel Tune Ups of RI pleaded guilty to conspiracy to violate the Clean Air Act. They are scheduled to be sentenced on July 10, 2023. The defendant’s sentence will be determined by United States District Judge Mary S. McElroy after consideration of the U.S. Sentencing Guidelines and other statutory factors. The case is being prosecuted by Assistant United States Attorney John P. McAdams. The matter was investigated by the Environmental Protection Agency Criminal Investigation Division - Boston Area Office. ###


title: Clinton Man Sentenced to Serve 24 Years in Federal Prison for Bank Robbery and Being a Felon in Possession of a Firearm

component: USAO - Oklahoma, Western

body_text: OKLAHOMA CITY – Last week, a federal judge sentenced RONALD DEYOUNG ALLEN , 44, of Clinton, Oklahoma, to serve a total of 288 months in federal prison for bank robbery and illegally possessing a firearm after a prior felony conviction, announced United States Attorney Robert J. Troester. On June 15, 2021, a federal grand jury sitting in the Western District of Oklahoma returned a one-count Indictment against Allen, charging him with being a previously convicted felon in possession of a firearm. Federal law prohibits convicted felons from possessing a firearm. Then, on March 9, 2022, a separate one-count Information filed against Allen charged him with robbing the Security State Bank in Hammon, Oklahoma, on July 22, 2020. According to public records, on July 22, 2020, Allen walked into the Security State Bank in Hammon, Oklahoma, wielding a firearm and disguised as a woman. During the robbery, Allen dropped a Kleenex-type tissue, and law enforcement collected it for DNA testing. More than six months later, on February 7, 2021, in Snyder, Oklahoma, Allen was involved in a vehicle collision where law enforcement found Allen, a convicted felon, in possession of a firearm. After the vehicle collision, the FBI collected a sample of Allen’s DNA and sent it to the FBI laboratory. The examination confirmed Allen’s DNA was on the tissue recovered in the Security State Bank robbery. At the sentencing hearing on March 29, 2023, U.S. District Court Judge Jodi W. Dishman sentenced Allen to serve 100 months in federal prison for being a felon in possession of a firearm and 188 months in federal prison for the bank robbery. Judge Dishman ordered those sentences to run consecutively to each other. Additionally, those sentences were ordered to run consecutively to a separate, unrelated federal Armed Robbery conviction from 2021 in Oklahoma County District Court case CF-2019-3970, for which Allen is serving a 12-year sentence in state prison. In support of Allen’s federal sentence, Judge Dishman cited, among other things, the serious nature of the offense, Allen’s lengthy criminal history involving armed robberies, and the significant impact the robbery had on the three tellers involving in the bank robbery. Judge Dishman also ordered Allen to serve three years of supervised release when released from federal prison. The Court ordered Allen to pay $194,500 in restitution to the victim bank. Allen has been detained in federal custody since August 10, 2021. These cases were the result of investigations by the Oklahoma City FBI Field Office, Oklahoma Highway Patrol, and Snyder Police Department. Assistant U.S. Attorney Wilson D. McGarry prosecuted the cases. Reference is made to public filings for more information.


title: Owner of D.C.-area Tax Preparation Business Pleads Guilty to  Tax Refund Fraud Scheme

component: Tax Division

body_text: An Indiana woman pleaded guilty in federal court last Friday in the District of Columbia to conspiring to file false tax returns and related charges. According to court documents and statements made in court, Awett Tedla of Indianapolis was the owner and operator of Speedy Tax Services, L.L.C., a tax preparation business in Washington, D.C., and District Heights, Maryland. From 2012 through 2016, Tedla and her coconspirators prepared and electronically filed with the IRS fraudulent returns on behalf of clients and illegally-obtained identities of unwitting taxpayers, claiming purported refunds were due. The false returns reported fictitious businesses and claimed certain tax credits in order to generate inflated tax refunds. Clients paid an increased fee depending on the size of the fraudulent refund. Tedla also underreported business gross receipts and taxable income on her 2016 personal income tax return, and in total, evaded approximately $171,534 in income tax between 2013 through 2016. She faces a maximum sentence of 20 years in prison for wire fraud, 10 years in prison for conspiring to file false claims, five years in prison for tax evasion and a mandatory sentence of two years in prison for aggravated identity theft. Tedla also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement. IRS-Criminal Investigation and the Treasury Inspector General for Tax Administration (TIGTA) are investigating the case. Trial Attorneys Mark McDonald and George Meggali of the Justice Department’s Tax Division are prosecuting the case.


title: Justice Department Files Lawsuit and Proposed Consent Decree to Prohibit Activision Blizzard from Suppressing Esports Player Compensation

component: Antitrust Division

body_text: The Justice Department filed a civil antitrust lawsuit today against Activision Blizzard, Inc. (Activision), one of the world’s largest video game developers and publishers, for imposing rules that limited competition for players in Activision’s Overwatch and Call of Duty professional esports leagues and suppressed the wages of esports players in these leagues in violation of the Sherman Act. “Video games and esports are among the most popular and fastest growing forms of entertainment in the world today, and professional esports players—like all workers—deserve the benefits of competition for their services. Activision’s conduct prevented that from happening,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “Today’s lawsuit makes clear that the Antitrust Division remains committed to protecting workers across all types of industries from anticompetitive conduct.” The complaint, filed today in the U.S. District Court for the District of Columbia, alleges that in two esports leagues owned by Activision, Activision and the independently-owned teams in each league implemented a so-called Competitive Balance Tax. As alleged in the complaint, the Tax was structured to penalize teams in the Overwatch and Call of Duty Leagues, respectively, if a team’s player compensation exceeded a threshold set by Activision. At the same time, the Antitrust Division filed a proposed consent decree to address its competition concerns. If approved by the Court, the proposed consent decree would prohibit Activision from imposing any rule that would, directly or indirectly, limit player compensation in any of Activision’s professional esports leagues, or that would tax, fine, or otherwise penalize any team for exceeding a certain amount of compensation for its players. The proposed consent decree with Activision would also require Activision to certify that it has ended all Competitive Balance Taxes in its professional esports leagues, to implement revised antitrust compliance and whistleblower protection policies, and to provide notice and an explanation of the final judgment to teams and players in its professional esports leagues. As required by the Tunney Act, the proposed consent decree, along with the competitive impact statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed consent decree during a 60-day comment period to Chief, Civil Conduct Task Force, Antitrust Division, Department of Justice, 450 Fifth Street NW, Suite 8600, Washington, D.C. 20530. At the conclusion of the 60-day comment period, the U.S. District Court for the District of Columbia may enter the final judgment upon finding it is in the public interest. Today’s lawsuit is part of a broader focus of the Antitrust Division on anticompetitive labor market abuses. Anyone with information about anticompetitive conduct against workers, or any other violations of the antitrust laws, is encouraged to contact the Antitrust Division’s Citizen Complaint Center at 1-888-647-3258 or antitrust.complaints@usdoj.gov.


component: Department of Justice

body_text: WASHINGTON – A federal jury convicted a Tennessee nurse practitioner last week for illegally prescribing opioids – including oxycodone and fentanyl – from his medical practice. According to court documents and evidence presented at trial, Jeffrey Young, 49, of Jackson, used his medical practice, Preventagenix, to illegally prescribe more than one million medically unnecessary controlled substance pills to hundreds of patients, including a pregnant woman and women with whom he was having inappropriate physical relationships. Young maintained a party-like atmosphere at his clinic, and prescribed these drugs at least in part to boost his popularity on social media and promote a self-produced reality TV show pilot based on his self-identified persona, the “Rock Doc.” Young was convicted of conspiracy to unlawfully distribute controlled substances, maintaining a drug-involved premises, and 13 counts of distributing controlled substances, six of which involved distribution to a pregnant woman. He is scheduled to be sentenced on Aug. 3 and faces a maximum penalty of 40 years in prison for each count involving distribution to a pregnant woman, and 20 years in prison for each of the other counts of conviction. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Kevin G. Ritz for the Western District of Tennessee, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division, and Director David Rausch of the Tennessee Bureau of Investigation made the announcement. The DEA and Tennessee Bureau of Investigation investigated the case, with valuable assistance from the Jackson Police Department. Assistant Chief Kate Payerle and Trial Attorney Drew Pennebaker of the Criminal Division’s Fraud Section are prosecuting the case with significant assistance from Jillian Willis and Dermot Lynch. The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past four years, ARPO has charged over 115 defendants, collectively responsible for issuing prescriptions for over 115 million controlled substance dosage units. To date, more than 70 ARPO defendants have been convicted. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit .


title: Man Pleads Guilty to $3.1M Medicare Fraud Scheme

body_text: A Southern California man pleaded guilty today to submitting false enrollment applications to Medicare that hid the real owners of a fraudulent hospice company, which then submitted over $3.1 million in false and fraudulent claims to Medicare. According to court documents, Karen Sarkisyan, aka Kevin Sarkisyan, 44, of Glendale, submitted false and fraudulent Medicare enrollment forms for San Gabriel Hospice and Palliative Care Inc. (San Gabriel), falsely identifying a straw owner as the sole owner and manager, concealing the actual beneficial owners and managers. San Gabriel submitted approximately $3,668,050 in false and fraudulent claims to Medicare, of which $3,180,677 was paid after Sarkisyan submitted the false enrollment applications. Sarkisyan pleaded guilty to one count of conspiracy to defraud the United States. He is scheduled to be sentenced on Sept. 11 and faces a maximum penalty of five years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Co-conspirator Gayk Akhsharumov previously pleaded guilty to health care fraud conspiracy and is scheduled to be sentenced on Aug. 14. A third co-conspirator was indicted for his role in the scheme but remains a fugitive. Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Martin Estrada for the Central District of California, Assistant Director in Charge Donald Always of the FBI Los Angeles Field Office, and Special Agent in Charge Timothy B. DeFrancesca of the Department of Health and Human Services Office of Inspector General (HHS-OIG) made the announcement. The FBI Los Angeles Field Office and HHS-OIG are investigating the case. Assistant Chief Niall M. O’Donnell and Trial Attorneys Patrick J. Queenan and Alexandra Michael of the Criminal Division’s Fraud Section are prosecuting the case. The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 25 federal districts, has charged more than 5,000 defendants who collectively have billed federal health care programs and private insurers more than $24 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit .


title: Keene Man Charged for Threatening to Kill a Member of Congress

component: USAO - New Hampshire

body_text: CONCORD – A man attending Keene State College has been charged for calling the office of a member of the United States House of Representatives and threatening to kill the Congressman. Allan Poller, 23, was charged with transmitting in interstate commerce a threat to injure the person of another. Poller made an initial appearance in federal court in Concord on April 3, 2023 at 3:00 p.m. According to the charging documents, on March 29, 2023 at approximately 12:20 a.m., Poller called the congressional office in Washington DC and left a voicemail, stating: "Hi, my name is Allan Poller, A-L-L-A-N P-O-L-L-E-R, phone number []8931. And I just want to let you know, Representative [Name], if you keep on coming for the gays, we’re gonna strike back and I guarantee you, you do not want to fuck with us. We will kill you if that’s what it takes. I will take a bullet to your fucking head if you fuck with my rights anymore. And then if you want to keep going down that path, you know who’s next." The charge provides for a sentence of up to five years in prison, up to three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. United States Attorney Jane E. Young; the Federal Bureau of Investigation, Boston Division; and the United States Capitol Police made the announcement today. Valuable assistance was provided by the Keene, New Hampshire Police Department and the Springfield, Vermont Police Department. Assistant U.S. Attorney Jarad E. Hodes is 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: Lawrence Man Sentenced for Drug Trafficking

body_text: CONCORD – A Lawrence man was sentenced today in federal court in Concord for possession with intent to distribute controlled substances. Daniel Adorno, Jr., 28, was sentenced by U.S. District Court Judge Paul J. Barbadoro to 41 months in prison and 3 years of supervised release. Adorno pleaded guilty to the charge on January 11, 2022. “The U.S. Attorney’s Office is committed to working closely with our law enforcement partners to identify and prosecute drug dealers,” said U.S. Attorney Jane E. Young. “In this case, the Salem Police Department successfully stopped the flow of fentanyl, cocaine, and methamphetamine from endangering their community.” On November 13, 2019, a Salem Police Officer encountered Adorno during a routine motor vehicle stop that resulted in the arrest of the driver and impoundment of the vehicle. During the pre-tow inventory search of the vehicle, officers located Adorno’s backpack containing cocaine, cocaine base, and methamphetamine. Adorno admitted that the drugs in the backpack belonged to him and that he distributed drugs. On May 15, 2020, the same Salem Police Officer recognized Adorno as he was driving away from a hotel. Adorno had a suspended license and had an active warrant for the November 2019 encounter at the time. The officer stopped Adorno to arrest him for the outstanding warrant. Adorno admitted that he possessed drugs and had more in his hotel room. The officer located 9 baggies of fentanyl from Adorno’s pockets. Officers attempted to recover the drugs from Adorno’s hotel room, but they learned that the defendant’s sister had removed and concealed the drugs in a bush next to the hotel room. Officers recovered approximately 174.89 grams of fentanyl during their search of the area. United States Attorney Jane E. Young made the announcement today. This case was prosecuted by former Assistant U.S. Attorney Joachim H. Barth and Assistant U.S. Attorney Cam T. Le ###


title: Baltimore County Police Officer Pleads Guilty to Accepting Bribes in Exchange for Firearms Training Certifications

component: USAO - Maryland

body_text: Baltimore , Maryland – William R. Johnson, Jr., age 33, of Baltimore, Maryland, pleaded guilty today to a federal charge of honest services wire fraud, for seeking and accepting bribes and kickbacks, totaling at least $16,804, to falsely certify that applicants for Maryland handgun qualifying licenses (HQL) and wear and carry permits (CCW) had completed the required training. The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation (“FBI”), Baltimore Field Office; and Interim Chief Dennis J. Delp of the Baltimore County Police Department (“BCPD”). “We’re taking a hardline on any and all firearms-related violations,” said U.S. Attorney Erek L. Barron. “These requirements are in place for good reasons and we’re trusting law enforcement officials to ensure compliance.” As detailed in court documents, Johnson joined the Baltimore County Police Department in August 2008, and obtained a qualified handgun instructor certificate (QHIC) from the Maryland State Police on April 29, 2019. In order to purchase, rent, or receive a handgun in Maryland, residents must have a handgun qualification license (HQL), which requires, among other things, that an applicant complete four hours of instruction by a qualified handgun instructor, including classroom training, a firearms orientation, and a “live fire” exercise in which the applicant safely shoots the weapon. Similarly, to obtain a license to wear and carry a firearm (referred to as a wear and carry permit or “CCW”) residents must undergo a minimum of 16 hours of instruction for an initial CCW application, and a minimum of eight hours of instruction for a renewal CCW application which is administered by a qualified handgun instructor. Part of the training course for obtaining a CCW is a firearms qualification exercise in which the applicant must shoot a specific course, scoring at least 70 percent accuracy, to demonstrate their proficiency and use of the firearm. According to his guilty plea, from May 2019 through September 2021, Johnson solicited and accepted bribes and kickbacks, paid through interstate electronic funds transfer services like Venmo, CashApp and Zelle, from applicants seeking HQLs and CCWs in exchange for Johnson falsely certifying to the Maryland State Police that the applicant had completed the training required by law. Johnson communicated with applicants and arranged the payments using a messaging application. Johnson charged approximately $100 for an HQL certification and between $150 and $200 for a CCW certification. In conversations with the applicants, Johnson made clear that once they paid the money, Johnson would send them the required documentation and they did not need to attend the required classes. After receiving payment from the applicants, Johnson sent the applicants a “Certified Qualification Score Sheet” falsely certifying that the applicant completed the required training. The applicants then submitted those falsified forms as part of their application. Based on the falsified documentation provided by Johnson and submitted by the applicants, the applicants received an HQL and/or CCW from MSP. Johnson further admitted that in January 2021, he provided information to A.F. regarding a BCPD investigation into A.F. during a text message conversation about Johnson signing off on A.F.’s required HQL training. The information Johnson provided included details which led A.F. to determine the probable identity of the individual who provided the confidential information, the fact that the individual stopped providing information to the Narcotics Unit, and that the Narcotics Unit closed out the investigation. Johnson faces a maximum sentence of 20 years in federal prison for honest services wire fraud. As part of his plea agreement, Johnson will be required to pay a money judgment of at least $16,804, representing the proceeds he obtained from the scheme. U.S. District Judge Richard D. Bennett has scheduled sentencing for Johnson on July 13, 2023. United States Attorney Erek L. Barron commended the FBI and the Baltimore County Police Department for their work in the investigation and thanked Homeland Security Investigations Baltimore, the Maryland State Police, and the Food and Drug Administration - Office of Investigations for their assistance. Mr. Barron thanked Assistant U.S. Attorneys Christine Goo and Leo J. Wise, who are prosecuting the case. For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach . # # #


title: United States Attorney’s Office for the Western District of Tennessee Commemorates Sexual Assault Awareness Month

component: USAO - Tennessee, Western

body_text: Memphis, TN – United States Attorney Kevin Ritz joins the United States Department of Justice, the Office on Violence Against Women (OVW), advocates, survivors, victim service providers, justice professionals, police, first responders, and communities across the United States in commemorating Sexual Assault Awareness Month. April is Sexual Assault Awareness Month (SAAM). Every April, we rededicate our efforts to ending sexual assault, believing survivors, strengthening prevention and education efforts, and holding offenders accountable. U.S. Attorney Ritz said: “The impact of sexual assault can reverberate through an entire community. The crime leaves lasting harm and trauma on survivors, their families, friends, and can impact their schools and workplaces. As federal prosecutors, we have a responsibility to the citizens throughout the Western District of Tennessee to pursue accountability and justice for crimes of sexual violence.” SAAM is a reminder of the importance of creating supportive environments and teaching young people ways to prevent sexual violence – including bystander intervention and mobilizing men and boys as allies. It is especially critical to reach young people with information and resources about sexual violence because over 80 percent of rape survivors report that they were first raped before age 25. The Centers for Disease Control and Prevention (CDC) estimates that approximately 33.5 million women and 4.5 million men are the victims of completed or attempted rape in their lifetime, and many more experience other forms of sexual violence. The CDC estimates more than half of women and nearly one third of men are victims of contact sexual violence in their lifetimes. Sexual violence can have a lasting impact on survivors, ranging from physical injury to mental health, to fear and safety concerns, to lifelong effects on financial and housing stability, employment, and educational attainment. ### For more information, please contact Public Information Officer Cherri Green at (901) 544-4231 or cherri.green@usdoj.gov. Follow @ WDTNNews on Twitter for office news and updates.


title: U.S. Attorney’s Office Unveils New Initiative for Area Youth to Identify, Report and Prevent Hate Crimes

body_text: Memphis, TN – United States Attorney Kevin G. Ritz announced that the United States Attorney’s Office for the Western District of Tennessee has launched a series of presentations in district high schools aimed at educating students on identifying, reporting, and preventing hate crimes and other civil rights violations. This effort is part of the Department of Justice’s United Against Hate Program, developed by its Hate Crimes Enforcement and Prevention Initiative. Today, attorneys from the U.S. Attorney’s Office, the Assistant Special Agent in Charge from the FBI, and officers from the Memphis Police Department’s Office of Community Policing launched the local program at Central High School in Memphis and plan to visit additional schools in 2023. “Civil rights enforcement is a priority of the United States Attorney’s Office,” said U.S. Attorney Ritz. “Ensuring that our citizens, even the young ones, understand the law and how to report what they believe are civil rights violations or hate crimes is essential. Our goal is to equip Memphis youth with the tools to recognize hate crimes or discrimination when it happens and with what steps they should take afterward.” “Hate crimes have a devastating impact not just on the victims and their families, but communities as well,” said Douglas DePodesta, Acting Special Agent in Charge of the Federal Bureau of Investigation’s Memphis Field Office. “The FBI has been engaged in a nationwide effort to build awareness and encourage individuals to report violations and will continue to do so through the United Against Hate program and other platforms. We want everyone, including students, to understand that if they encounter what they believe is a hate crime that the FBI is here to investigate.” If your school is interested in hosting a United Against Hate presentation, contact our office. This interactive presentation is best for audiences under 100 students, though we are happy to discuss your school’s unique needs. To learn more about the U.S. Attorney’s Office’s Civil Rights Program, or to file a complaint with our office, visit: https://www.justice.gov/usao-wdtn/civil-rights- program . To report a possible hate crime, call your local law enforcement or 1-800-CALL FBI. ### For more information, please contact Public Information Officer Cherri Green at (901) 544-4231 or cherri.green@usdoj.gov. Follow @ WDTNNews on Twitter for office news and updates.


title: District of Columbia Man Pleads Guilty to Bribing Correctional Officer to Smuggle Drugs into D.C. Jail

body_text: WASHINGTON –A District of Columbia man pleaded guilty today to bribing a public official to smuggle drugs into the D.C. jail. Andre Gregory, 31, pleaded guilty in United States District Court to one count of bribery. U.S. District Court Judge Dabney L. Friedrich scheduled a sentencing hearing for June 12, 2023. U.S. Attorney Matthew M. Graves for the District of Columbia and FBI Special Agent in Charge Wayne A. Jacobs of the Washington Field Office made the announcement. According to court documents, in June of 2022, Gregory contacted Keywaune McLeod, 28, via jail telephone. Specifically, Gregory recruited McLeod to act as a conduit outside of D.C. jail to package narcotics and manage payments from the sale of those narcotics from inside the jail. As a part of this conspiracy, McLeod would package and provide drugs to a public official, Beverly Williams, 52, a Correctional Officer working at the jail, who would smuggle them into the facility by concealing them on her body. Once inside the D.C. Jail, Williams would transfer the drugs to Gregory who would then distribute the drugs for a profit. McLeod would accept and manage the proceeds from such distribution using CashApp and make bribe payments to the Williams for the drug smuggling. Previously in September and October of 2022, Williams was charged as part of a three-co-defendant complaint, later followed by an indictment. Specifically, McLeod, Williams and Andre Gregory were charged with conspiracy, bribery and smuggling. The bribery charge carries a statutory maximum sentence of 15 years in prison, as well as potential financial penalties. The federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. In announcing the sentence, U.S. Attorney Graves and Special Agent in Charge Jacobs commended the work of those who investigated the case from the FBI and the District of Columbia Department of Corrections Office of Investigative Services. This case is being prosecuted by Assistant U.S. Attorneys Gauri Gopal and Ahmed Baset with assistance from Paralegal Specialist Lisa Abbe, of the U.S. Attorney’s Office for the District of Columbia’s Fraud, Public Corruption and Civil Rights Section.


title: Sinaloa Cartel Distributor Sentenced for Methamphetamine Conspiracy and Firearms Crimes

component: USAO - Nebraska

body_text: United States Attorney Steven Russell announced that Jose Leyva-Martinez, 49, was sentenced today in federal court in Omaha, Nebraska, for his participation in a methamphetamine drug conspiracy and for possessing a firearm during a drug trafficking crime. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Leyva-Martinez to 210 months’ imprisonment on the drug charge and a consecutive 60 months’ imprisonment on the firearm charge for a total sentence of 270 months. There is no parole in the federal system. After his release from prison, he will begin a five-year term of supervised release. On March 31, 2021, an Omaha Police confidential source purchased more than 50 grams of methamphetamine from an Omaha-based methamphetamine dealer. A search of the dealer’s home resulted in the seizure of more than 300 grams of methamphetamine, 19 grams of heroin, 14 grams of cocaine, a Glock 10mm handgun, and $5,744 in United States currency. In an interview with police, the Omaha dealer provided police with the name of his supplier: Leyva-Martinez. With this information, officers searched Leyva-Martinez’s home, seizing nearly 4 kilograms of methamphetamine, 1 kilogram of cocaine, money transfer receipts, ammunition, 2 drug scales, vehicle titles for a gray Toyota Tacoma, a gray Honda civic, and a black GMC 1500, a money counter, drug ledger, jewelry, $468,990.00 in United States currency, and an Astra 9mm handgun. The handgun was found in a bedroom near $28,000 in United States currency. Leyva-Martinez admitted being a methamphetamine supplier and distributor for the Sinaloa Cartel. He admitted that all three vehicles and the residence were put in his name at the direction of the Cartel. Law enforcement estimated that the seized currency represented cash proceeds from the sale of more than 100 pounds of methamphetamine. Leyva-Martinez’s home, vehicles, monies, and other valuables were seized by law enforcement as proceeds of narcotics trafficking. This case was investigated by the Omaha Police Department.


title: Former Oregon Securities Broker Sentenced to Federal Prison

component: USAO - Oregon

body_text: PORTLAND, Ore.—A former Oregon securities broker was sentenced to federal prison today for willfully evading payment of more than $2.5 million in personal income taxes and using the excess cash to fund a lavish lifestyle. James W. Millegan, aka JW Millegan, 65, of McMinnville, Oregon, was sentenced to 51 months in federal prison and three years’ supervised release. Millegan was also ordered to pay more than $2.5 million in restitution to the IRS and more than $1.4 million to 12 former clients. “Tax evasion is a crime of greed that trivializes the duty all Americans share to pay their taxes. We take these crimes seriously and will continue working with our partners at the IRS to hold criminal tax evaders accountable,” said Ethan Knight, Chief of the Economic Crimes Unit for the U.S. Attorney’s Office. “It’s been said that the difference between tax avoidance and tax evasion…is the thickness of a prison wall. Mr. Millegan is learning that firsthand today,” said Bret Kressin, Special Agent in Charge of the IRS Criminal Investigation (IRS:CI) Seattle Field Office. “While everyone is entitled to use legal means to reduce their tax liabilities, Mr. Millegan actively attempted to evade his taxes for many years. Instead of paying his fair share, Mr. Millegan lived lavishly at the expense of honest taxpayers. Today, he is answering for those crimes.” According to court documents, Millegan owned and operated J.W. Millegan, Inc. (JWMI), a small, commission-based securities broker-dealer business that served clients in the Portland and Salem, Oregon metropolitan areas. From 1996 to 2016, the firm was Millegan’s only significant source of income. Millegan closed JWMI at the end of 2016, in part because a Financial Industry Regulatory Authority (FINRA) arbitration panel determined he had churned the investment accounts of several clients and fined him $450,000. Millegan filed for Chapter 13 bankruptcy almost immediately. Over a seven-year period from July 2009 through September 2016 while operating JWMI, Millegan evaded payment of $2.5 million in income taxes due from 2006 through 2015. Millegan filed tax returns each year reflecting his true income, which sometimes exceeded $1 million, and the taxes he owed on that income, which typically ranged from $125,000 to $350,000. Despite these returns, Millegan usually paid almost no taxes when due. Millegan was described as a prolific spender by personal assistants hired to pay his bills. He used the proceeds of his tax evasion to fund an extravagant lifestyle that included a $4.5 million home in Portland’s Dunthorpe neighborhood, a $1.3 million beach house in Gleneden Beach, Oregon, Rolls Royce and Bentley automobiles for everyday use, equestrian expenses like stabling and lessons, and an attempt to establish Wallace Bridge, a world-class equestrian competition center and resort near Sheridan, Oregon. In 2003, Millegan bought a classic 1938 Rolls Royce Phantom III touring car at a classic car auction. From 2004 to 2006, while owing hundreds of thousands of dollars in past due taxes, Millegan spent $800,000 restoring his Phantom III, including shipping it to a restoration specialist in the United Kingdom, so that he could show it at classic car shows. In 2006 and 2007, Millegan paid to show his Phantom III at multiple premier car shows in the United States, United Kingdom, and Europe. To evade the payment of his taxes, Millegan concealed his income from the IRS by transferring it to six bank accounts he controlled, including transferring $1.4 million to the bank account of his deceased mother’s trust, which he used to pay his personal expenses. From July 2009 through September 2016, Millegan transferred $3.7 million to these accounts. To further conceal his income, Millegan submitted false financial statements to the IRS. On November 21, 2019, a federal grand jury in Portland returned a 13-count indictment charging Millegan with tax evasion and investment churning. Later, on February 17, 2022, he was charged by superseding indictment with wire fraud and tax evasion. On November 14, 2022, Millegan was convicted at trial on one count of tax evasion. Millegan’s wire fraud charges were dismissed at sentencing. This case was investigated by IRS:CI. It was prosecuted by Seth D. Uram and Meredith D.M. Bateman, Assistant U.S. Attorneys for the District of Oregon. Assistant U.S. Attorney Hannah Horsley assisted the trial team. The referenced media source is missing and needs to be re-embedded.


title: Man Pleads Guilty to Distributing Heroin

component: USAO - Iowa, Northern

body_text: A man who distributed heroin in Dubuque, Iowa, plead guilty on March 30, 2023. John A. Pruitt, age 39, formerly of Dubuque, was convicted of distribution of heroin. In a plea agreement, Pruitt admitted to distributing heroin in the Dubuque area. In the fall of 2021, Pruitt was stopped by Dubuque police officers because he had three active arrest warrants. During the stop, officers recovered a distribution quantity of heroin from Pruitt’s person and from the floorboard area, where he was reaching during the stop. Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Pruitt remains in custody of the United States Marshal pending sentencing. Pruitt faces a possible maximum sentence of 20 years’ imprisonment, a fine of not more than $1 million, and of at least three years and up to a lifetime of supervised release. This case was investigated by the Dubuque Drug Task Force and is being prosecuted by Assistant United States Attorney Jason D. Norwood. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl . The case file number is 22-CR-1030-CJW. Follow us on Twitter @USAO_NDIA.


title: Collin County Woman Guilty in Theft Scheme

body_text: SHERMAN, Texas– A Melissa woman has pleaded guilty to federal violations in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today. Nnenna Mary Jones, 39, pleaded guilty to wire fraud today before U.S. Magistrate Judge Christine A. Nowak. According to information presented in court, the Texas Muslim Women’s Foundation, a 501(c)(3) public charity in Plano, Texas, serves Muslim women and their families who are survivors of domestic and family violence. The Foundation offers its clients in-house legal assistance with the immigration process, among other services. The Foundation advertises that it offers its services—including immigration legal assistance—free of charge. Jones worked for the Foundation as a paralegal and was a Department of Justice Accredited Representative, which allowed her to represent clients in court in immigration matters with the Department of Homeland Security. She was also a licensed attorney in Nigeria before moving to the United States. The Foundation’s legal team routinely requests waivers of certain fees its clients incur during the immigration process, and most of its clients qualify for these waivers. If the Foundation’s clients do not qualify for a waiver of the immigration fees, then at times the Foundation pays the fee. However, Jones represented to clients of the Foundation that they were required to pay certain fees to the government in relation to their immigration proceedings. In reality, the clients’ fees had either been waived by the government or paid by the Foundation. Clients wrote checks and obtained money orders in the amounts of the fees Jones told them they owed to the government. However, Jones instructed the clients to leave the “pay to” line on the checks and money orders blank. Jones photocopied the clients’ checks and money orders, wrote “U.S. Department of Homeland Security” on the “pay to” line of the photocopied checks and money orders, and placed the photocopies in the clients’ files. Jones then wrote her own name in the “pay to” line of the clients’ original checks and money orders and cashed them or deposit them into her own accounts. Jones stole approximately $17,000 from at least nine of the Foundation’s clients. Jones was indicted by a federal grand jury on Oct. 19, 2022. She faces up to 20 years in federal prison. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office. This case is being investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Sean J. Taylor. # # #


title: Former National Guardsman Sentenced to Federal Prison for Child Pornography Possession

component: USAO - Iowa, Southern

body_text: Davenport, IA – A Salem man was sentenced yesterday to 100 months in prison for possession of child pornography. According to court records, law enforcement began investigating Jason Robert Wesely, 39, a former member of the Iowa National Guard, after receiving a cybertip from a social media platform in May 2020. The tip included descriptions of Wesely’s sexual conversations with an undercover agent, pretending to be a 14-year-old child. Further investigation revealed that Wesely belonged to a chat group where child pornography was shared among its members. Wesely admitted to belonging to the group and to viewing and sharing child pornography. Wesely was ultimately discharged from the Iowa National Guard. Following his prison term, Wesely was ordered to serve eight years of supervised release. There is no parole in the federal system. United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. Homeland Security Investigations and the Iowa State Patrol investigated the case. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the U.S. Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nationwide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.


title: Clinton Man Sentenced to 27 Years in Prison for Production of Child Pornography and Unlawful Possession of a Firearm

body_text: DAVENPORT, IA – A Clinton man was sentenced Tuesday to 27 years in federal prison for production of child pornography and being a prohibited person in possession of a firearm. According to court documents and evidence presented at sentencing, Timothy Craig Geerts, 49, sexually abused a child and recorded the abuse. Geerts also surreptitiously recorded that child, and two other children, naked, in the bathroom. As a part of the investigation, officers also located videos of Geerts sexually assaulting an incapacitated adult, who he admitted to drugging. Geerts was previously convicted in state court of sexually assaulting one of the child victims. Geerts also possessed three firearms. He was prohibited from possessing firearms because he was a drug user. After completing his term of imprisonment, Geerts will be required to serve five years of supervised release. There is no parole in the federal system. Geerts will also be required to register as a sex offender. United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Federal Bureau of Investigation and the Clinton Police Department. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the U.S. Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nation-wide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.


title: Iowa City Man Sentenced to Federal Prison for Child Pornography Charge

body_text: DAVENPORT, IA – An Iowa City man was sentenced to 204 months in prison for receiving child pornography. Law enforcement identified Jesus Rafael Diaz-Figueroa, 31, after the National Center for Missing & Exploited Children (NCMEC) received a cybertip from KIK that videos depicting child pornography were uploaded using IP addresses found to be associated with Diaz-Figueroa. Law enforcement executed a search warrant at Diaz-Figueroa’s residence and seized multiple electronic devices, which contained more than 3,300 images and videos depicting child pornography. Diaz-Figueroa admitted he had been viewing child pornography since high school. Following his term of imprisonment, Diaz-Figueroa was ordered to serve 10 years of supervised release. There is no parole in the federal system. He was also ordered to pay $48,000 in restitution. United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The University of Iowa Department of Public Safety investigated the case. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the U.S. Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nationwide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. For more information about Internet safety education, please visit https://www.justice.gov/psc and click on the resources tab.


title: Oral Surgeon Sentenced to Two Years in Prison for Fentanyl Tampering

body_text: Des Moines, IA – An Iowa City man was sentenced yesterday to two years in prison for tampering with his dental practice’s fentanyl supply by removing the medication from vials for his own personal use. Dr. Andrew Charles Hartwig, 55, previously worked as an oral surgeon in Iowa City and Mt. Pleasant. According to court documents, Hartwig diverted fentanyl from his previous employer, Oral Surgery Associates of Iowa City, also known as Oral Surgery and Dental Implant Center of Iowa City, beginning at least as early as April 2019 and until at least July 10, 2019. Hartwig admitted that his actions resulted in the dilution and contamination of the fentanyl supply. Hartwig admitted he acted with reckless disregard that dental patients would be placed in danger of death and bodily injury and manifested extreme indifference to such risk. In October 2022, Hartwig pleaded guilty to one count of tampering with consumer products, in violation of Title 18, United States Code, Section 1365(a)(4). The Court imposed a term of supervised release of two years, a fine of $50,000, and a $100 special assessment. “Patients rely on receiving the proper FDA-approved medications from those entrusted with their medical care,” said Acting Special Agent in Charge Brian G. McClune, Food and Drug Administration, Office of Criminal Investigations, Kansas City Field Office. “We must hold medical personnel accountable when they take advantage of their unique position and tamper with medications their patients need.” United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Food and Drug Administration, Office of Criminal Investigations, and the Drug Enforcement Administration investigated the case.


title: Mechanicsburg Business Owner Sentenced To A Year And A Day In Prison For Tax Evasion

component: USAO - Pennsylvania, Middle

body_text: HARRISBURG- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Travis Stelzer, age 45, of Pelham, Massachusetts, was sentenced on March 28, 2023, to one year and one day in prison by United States District Court Judge Christopher C. Conner for tax evasion. According to United States Attorney Gerard M. Karam, Stelzer filed tax forms with the IRS on January 29, 2016, where he under-reported his gross receipts in his tax returns that he filed on behalf of his staffing business, Top Gun Staffing, Inc., that he operated in Cumberland County, Pennsylvania. He also misrepresented the income he received from his company. Seltzer entered a guilty plea to tax evasion on October 3, 2022 and agreed to pay the IRS $255,353 in restitution owed. The case was investigated by the Internal Revenue Service (IRS). Assistant U.S. Attorney Michael A. Consiglio is prosecuting the case. # # #


title: Inmate At USP Canaan Sentenced To 64 Months In Prison For Assaulting Another Inmate With A Dangerous Weapon

body_text: SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jordan Anderson, age 28, an inmate at the United States Penitentiary, Canaan, Pennsylvania, was sentenced on March 28, 2023, by U.S. District Judge Robert D. Mariani, to 64 months’ imprisonment for assaulting another inmate with a dangerous weapon. According to United States Attorney Gerard M. Karam, Anderson previously pleaded guilty to assaulting another inmate on May 10, 2022, at USP Canaan with a sharpened piece of metal commonly known as a “shank.” The case was investigated by the Bureau of Prisons Special Investigative Service. Assistant United States Attorney Robert J. O’Hara prosecuted the case. ###


title: Dormont Felon Indicted for Illegally Possessing a Firearm with a Glock Switch

component: USAO - Pennsylvania, Western

body_text: PITTSBURGH, PA. - A resident of Dormont, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal firearms laws, Acting United States Attorney Troy Rivetti announced today. The two-count Indictment, returned on March 28 and unsealed today, named Donald Smith, 35, as the sole defendant. According to the Indictment, on or about March 5, 2023, Smith is alleged to have unlawfully possessed a machine gun and possessed a firearm as a convicted felon. Federal law prohibits an individual who has been convicted of a felony from possessing a firearm or ammunition. According to the Indictment, Smith is alleged to have possessed a Glock semiautomatic pistol that was equipped with a machinegun conversion device. A machinegun conversion device is a device that converts a semiautomatic firearm into a fully automatic firearm. Under federal law, both the machine conversion device itself as well as the firearm equipped with it are considered machine guns and are illegal. The law provides for a maximum total sentence of 25 years in prison, a fine of $500,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. Assistant United States Attorney Douglas C. Maloney is prosecuting this case on behalf of the government. The Bureau of Alcohol, Tobacco, and Firearms, the Pittsburgh Bureau of Police, and the United States Marshals Service conducted the investigation leading to the Indictment in this case. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.


title: Former Stoneham Police Officer Arrested for Wire Fraud

component: USAO - Massachusetts

body_text: BOSTON – A former detective sergeant for the Stoneham Police Department has been arrested and charged for allegedly providing false information in rental applications to fraudulently obtain three separate apartment leases for which he intentionally withheld rent payments. Robert Kennedy, 53, of Stoneham, was charged with one count of wire fraud. Kennedy will appear in federal court in Boston at 10:30 AM today. According to the charging document, Kennedy defrauded his last three landlords by providing materially false and misleading information in his rental applications to obtain the respective apartment leases. After moving in, it is alleged that Kennedy would intentionally withhold rent payments, despite making $141,000 - $187,000 a year from the Stoneham Police Department. As a result, Kennedy lived in the apartments rent-free by allegedly taking advantage of the slow eviction process. Specifically, it is alleged that Kennedy defrauded his most recent landlord by submitting materially false and fraudulent information during the rental application process. The landlord required Kennedy to submit to a tenant screening service, which included a credit check and eviction history check. Instead of providing his own date of birth and social security number to the tenant screening service – which would likely have shown Kennedy’s history of collections, delinquent payments, defaults and evictions – Kennedy allegedly provided the date of birth and social security number of a relative who shared his first and last name. The landlord relied on the information from the fraudulently obtained tenant screening report to approve Kennedy’s rental application and give Kennedy a lease for the apartment. It is further alleged that Kennedy immediately and intentionally violated the terms of the lease by giving the landlord bad checks for his rent and security deposit and failing to make subsequent rent payments. Kennedy lived in the apartment for approximately four months without making rent payments and currently owes the landlord approximately $14,000 in overdue rent. The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. 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. United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made announcement today. Valuable assistance was provided by the Stoneham Police Department. Assistant U.S. Attorney Elysa Q. Wan of Rollins’ Public Corruption & Special Prosecutions Unit and Assistant U.S. Attorney Dustin Chao, Chief of Rollins’ Public Corruption & Special Prosecutions Unit, 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: U.S. Attorney Releases Recorded Statement in Celebration of Transgender Day of Visibility Today

component: USAO - Maine

body_text: PORTLAND, Maine: Today, March 31, is Transgender Day of Visibility, a day of recognition and celebration that will be marked by events across the country, including here in Maine. The U.S. Attorney joins in the marking of the occasion with the release of a recorded statement and wishes all of today’s celebrants a safe and joyful day. Ensuring that all Mainers are treated fairly and with respect, and in accordance with federal law, is among the highest priorities for the U.S. Attorney’s Office for the District of Maine. The U.S. Attorney is committed to engaging in a meaningful dialogue with the transgender community in Maine to show support and to increase public safety, with an aim to build trust in the U.S. Attorney’s Office, the Department of Justice, and in law enforcement to foster an environment where the reporting of hate crimes feels safe and meaningful. View and/or download the U.S. Attorney’s recorded statement: https://youtu.be/Fq5eEcimLCM Text of the recorded statement: “As U.S. Attorney, I have had the privilege of meeting several transgender Mainers. I want to thank you all for sharing your stories and challenges with me. I am hopeful that I can use my position to spread awareness on transgender issues throughout Maine in order to help remove barriers and address matters that are important to you. I want to affirm my commitment to doing what I can to ensure that you feel seen, heard, and respected when you interact with law enforcement, including with my office and the Department of Justice. I hope you will continue to work with me to develop trust. Today, as we celebrate Transgender Day of Visibility, please know that I see you. I celebrate you. And I am committed to making Maine a safer place for you.” ###


title: Former Manager of Brockton RMV Pleads Guilty to Passing Learner's Permit Tests in Exchange for Money

body_text: BOSTON – A Brockton woman pleaded guilty yesterday to accepting money in exchange for agreeing to issue passing learner’s permit test scores to applicants regardless of whether they actually passed or not, at the Registry of Motor Vehicles (RMV) in Brockton. Mia Cox-Johnson, 43, pleaded guilty to two counts of extortion under color of official right and one count of conspiring to commit extortion. U.S. District Court Judge Denise J. Casper scheduled sentencing for July 20, 2023. Cox-Johnson was charged by an Information on March 2, 2023. Cox-Johnson, a former manager of the RMV service center in Brockton, took money in exchange for agreeing to give passing scores on learner’s permit tests for both passenger vehicle driver’s licenses and Commercial Driver’s Licenses (CDLs). Between December 2018 and October 2019, Cox-Johnson conspired to take money in exchange for agreeing to give customers passing scores on their multiple-choice learner’s permit tests even if they did not pass. These customers were told to request a paper test instead of taking the test on the RMV computer. Cox-Johnson scored these customers’ paper tests. On Dec. 28, 2018, Cox-Johnson accepted $1,000 in cash – delivered from a friend on behalf of another individual – in exchange for giving a passing score to the individual’s relative who had failed the passenger vehicle learner’s permit test six times when taking it in their native language. Cox-Johnson also agreed to score the relative as having passed the permit test regardless of whether they had actually passed. Cox-Johnson did, in fact, pass the relative’s test, which was taken on paper in English. On Oct. 21, 2019, a customer came to the Brockton RMV and took three multiple-choice tests they needed to pass in order to get a commercial learner’s permit – a prerequisite to taking the road test for a CDL. Cox-Johnson accepted $200 in cash from an individual to score the customer as having passed the tests even if they did not actually pass. In fact, the applicant failed one of the tests, but Cox-Johnson scored the applicant as having passed all three tests. The charges of extortion under color of official right and conspiracy to commit extortion each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $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. United States Attorney Rachael S. Rollins; Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England; and U.S. Department of Transportation, Office of Inspector General’s Special Agent-in-Charge is Christopher A. Scharf made the announcement today. The investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF). Valuable assistance was provided by the Mattapoisett Police Department. Assistant U.S. Attorneys Christine Wichers and Adam Deitch of Rollins’s Public Corruption & Special Prosecutions Unit; Assistant U.S. Attorney Eugenia M. Carris, Deputy Chief of Rollins’ Public Corruption & Special Prosecutions Unit; and Assistant U.S. Attorney Mackenzie Duane of Rollins’ Major Crimes Unit are prosecuting the case.


title: Davenport Man Sentenced to Federal Prison for Firearm Charge

body_text: DAVENPORT, IA – A Davenport man was sentenced on Wednesday, March 29, 2023, to 84 months in prison for being a felon in possession of firearms, and 12 months for violating his term of federal supervised release. According to court documents, law enforcement encountered Ki-Jana Kolajuan Ivey, 25, as the front seat passenger during an April 2022 traffic stop. Officers observed a pistol under the front passenger seat where Ivey was sitting. Pursuant to a search warrant of Ivey’s phone, officers found videos and photographs of Ivey in possession of other firearms in the weeks preceding the traffic stop. During an interview, Ivey admitted to possessing the firearms shown on his phone. In 2018, also in the Southern District of Iowa, Ivey was convicted of felon in possession of a firearm. For that conviction, he was sentenced to 30 months in prison, followed by 3 years of supervised release. At the time of the traffic stop, Ivey was serving that period of supervised release. As a result of this conviction, Ivey’s supervised released was revoked, and he was sentenced to serve a period of 12 months in prison consecutive to the 84-month sentence. Following his prison term, Ivey was ordered to serve three years of supervised release. United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Scott County Sheriff’s Office and the Bettendorf Police Department investigated the case.


title: Ballwin Man Admits Sex with Minors, Distributing Child Pornography

component: Federal Bureau of Investigation (FBI)

body_text: ST. LOUIS – A man from Ballwin, Missouri on Thursday admitted distributing child pornography and engaging in sexual contact with underage girls he’d approached on Snapchat. Luke Edward Nicozisin, 22, pleaded guilty in front of U.S. District Judge Audrey G. Fleissig to one count of distribution of child pornography. Nicozisin admitted sending nude images of himself to three 15-year-old girls and one 12-year-old girl, soliciting nude pictures of a 15-year-old and having sex with two 15-year-old girls. He also recorded videos of himself having sex with one of the 15-year-olds. Nicozisin initially approached the girls via Snapchat. One of his victims reported Nicozisin to a school resource officer on July 28, 2021, prompting Nicozisin’s initial arrest. Other victims came forward that October. On Oct. 20, 2021, a court-approved search was conducted of Nicozisin’s home, and investigators found an iPhone containing multiple pictures of videos of himself with one of the victims as well as condoms that depicted Nicozisin’s Instagram account. At his sentencing, scheduled for July 7, Nicozisin faces a mandatory minimum sentence of at least five years in prison and a maximum of 20 years. The FBI, the Manchester Police Department and the Chesterfield Police Department investigated the case. Assistant U.S. Attorney Kyle Bateman is prosecuting the case. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc .


title: Former Air Force Sergeant Pleads Guilty to Stealing Firearm Silencers Intended  for Military Use

component: USAO - North Carolina, Eastern

body_text: RALEIGH, N.C. – Troy Lynn Misiak, age 47, of Spring Lake pleaded guilty to felony theft of government property and unlawful possession of an unregistered weapon. According to the Government’s statement during the plea hearing, Misiak used his former position as a United States Air Force Master Sergeant (MSgt) to obtain, among other things, firearm suppressors supposedly for use by his military unit, but which he stole for himself. These items required proper registration under the National Firearms Act, which designated them as property of the United States Air Force. The Government further explained that after Misiak left the Air Force and became a civil service employee of the United States Army, he continued to try to obtain weaponry, sometimes successfully, from firearms dealers and manufacturers that were again purportedly intended for the military’s use, but which Misiak took for his personal collection. Items seized from Misiak’s home included two Surefire brand firearm suppressors, a Daniel Defense internally suppressed rifle barrel, eight Geissele Automatics brand rifle upper assemblies, two suppressor alignment rods, two suspected rocket launcher tubes, and approximately 6,000 rounds of sealed ammunition. Investigators also seized a 31-page classified document from the US Army Special Operations Command that Misiak was not authorized to possess. “Our American military is the best-equipped fighting force the world has ever seen, and our military leaders should be good stewards of that equipment, not abuse their positions for personal gain,” said U.S. Attorney Michael Easley. “We won’t allow dangerous weaponry that is provided for military use to be stolen without consequences. Today’s guilty plea is just one example of our partnership with the Air Force and ATF to ensure those consequences are meted out.” “This defendant took advantage of his position, creating a potential threat to public safety,” said ATF Special Agent in Charge Bennie Mims. “There’s a proper procedure for acquiring firearms and related devices. Ignoring that process could lead to firearms ending up in the hands of prohibited and dangerous individuals.” Each charge carries a maximum sentence of ten years’ imprisonment. The theft charge also carries a maximum fine of $250,000, while the weapon charge also carries a maximum fine of $10,000. Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after United States Magistrate Judge Robert T. Numbers II accepted the plea. The Air Force Office of Special Investigations and the Bureau of Alcohol, Tobacco, Firearms, and Explosives are investigating the case and Assistant U.S. Attorney Lori B. Warlick is prosecuting the case. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-48-D.


title: Boston Man Pleads Guilty to Illegally Transporting Firearms from Alabama into Massachusetts

body_text: BOSTON – A Boston man has pleaded guilty in federal court in Boston to illegally transporting firearms from Alabama into Massachusetts. Jarmori Brown, 20, pleaded guilty on March 29, 2023 to one count of illegal transportation or receipt in state of residency of firearm purchased or acquired outside of state of residency, and one count of conspiracy to illegally transport firearms. U.S. District Court Chief Judge F. Dennis Saylor IV scheduled sentencing for July 10, 2023. In July 2022, Brown was charged along with co-defendants Brandon Moore, Jahquel Pringle and Kobe Smith. Brown has been in state custody on unrelated state charges since being charged federally. Pringle and Smith are currently in federal custody pending the government’s appeal of a District of Oregon order of release on conditions. Moore’s case was transferred to his home district of the Middle District of Alabama, where he has since pleaded guilty. “The illegal trafficking of firearms is a serious crime and threat to public health and safety. Every illegal firearm in our Commonwealth fuels gun violence in our communities. Each can potentially be used to commit a shooting or homicide. Preventing the trafficking of illegal firearms and removing them from our streets is critical to addressing and reducing violent crime,” said United States Attorney Rachael S. Rollins. “Mr. Brown knowingly circumvented the law to unlawfully purchase multiple firearms in another state and funnel them into our Commonwealth. At least seven of these illegal firearms have since been recovered from the streets of Boston and surrounding communities. Every single day, our City and our nation feel the devastating and deadly consequences of firearms. Trafficking plays a direct role in this. Anyone who attempts to evade firearm laws and put Massachusetts residents in jeopardy will be targeted and held accountable.” “Transporting firearms across state lines with the express intent of furthering criminal activity will not be tolerated, and ATF will continue to use our resources to stop these crimes in their tracks,” said James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division. According to court documents, Brown, Pringle, Smith and Moore conspired to obtain at least 24 firearms from Alabama, where Moore lived, and then transport them to Boston. In August 2020, Brown traveled from Boston to Alabama on a commercial bus to pick up the firearms from Moore and then transported the firearms, concealed within luggage, back to Boston on the commercial bus. At least seven firearms obtained in this manner have been recovered by law enforcement from the streets of Boston and surrounding communities. Both the interstate transportation charge and the conspiracy charge provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors. United States Attorney Rachael S. Rollins and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division, made the announcement today. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime. The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.